The Washington herald., 1920-05-27
CONTINUED FROM PAGE ONE.


edged the relationship. but con-
tended there was no impro priety in
it nor any connection with his in
terest in the Palmer campaign.
The Crucible Steel Company was
required to pay additional income
tax of between $1,000. 900 and s1o.-
100000 after an investigation had
disclosed its return was inadequate
to that amount. Mr.. Du Puy paid
s36.o0o personal taxes. The gov
ernment contended he should have
paid $1,5o0.o0O. Mr.. Carlin de-
clared the Crucible Company had
not contributed to Mr.. Palmer's
campaign fund and that no such
contribution would have been ac-
cepted had it been offered.
Guney Largest Contributor.
Mr.. Carlin told the committee the
Palmer campaign was costing
about $4,000 a month. but he
dwelt upon the high cost OF ma
tional undertakings of that kind.
He declared money was being
wasted and that large sums of
money could be expended in en-
tirely legitimate ways. He read to
the committee a statement Of con-
tributions amounting to S5s,61O, of
which Joseph F. Guffey. OF Pitts
burg, the new Democratic national
committeeman from Pennsylvania,
gave $4,000. Mr.. Guffey was asso-
.ciated with Mr.. Palmer In the ad-
ministration of the office Of the
alien property custodian during the
war. His name was brought into
the Senate hearing by Senator
James A. Reed, Democrat, of Mis-
souri,.
Was Guffey sent to Mexico on a
government mission. and when he
returned. after getting some oil land
concessions from the Carranza gov
ernmeht, did he make a public
statement giving the Carranza gov
ernment a good send -off?" Mr.. Reed
asked Mr.. Carlin.
Il don't know whether he got any
concessions, nor whether he went on
government mission" Mr.. Carlin
replied. He went. and when he
came back he spoke we'll of Car
rama"
Are you counsel for the packers,
or any of them?" inquired Senator
William S. Kenyon. Republican. of
Iowa, chairman of the committee.
mo, and never have been: nor my
law firm" Mr.. Carlin stated.
Mentionea by Packers.
Snhea1nnnflxr 10 ,
the Federal Trade Commissions in
vealed that Mr.. Cariln while a MEM
Der OF the House judiciary Commit
tee, was referred to in some corre-
spondence by the packers. Huston
Thompson and william B. Colver
members OF the Trade Commission,
were called to the Capitol. but they
were not placed ,on the witness
stand by Mr.. Kenyon.
Although Democratic leaders in
Washington appeared elated over
the testimony on the Wood cam
paign fund, there was a widespread
feeling in quarters not especially
friendly to Mr.. Palmer that his can
didacy had been jolted very ma
terially by the established relation
DSI"StH HldHdkeTS anu per
sons and corporations against which
the government had taken action.
There was almost general agree
ment that the Wood campaign had
been injured. perhaps fatally. Sem
ator William L. Borah. of Idaho,
author of the resolution that re-
suited in the investigation, began
attacking the Wood disbursements
about six weeks ago. and for that
reason the statement was made fire.
quently that the whole inquiry was
staged in the interest of Senator
Hiram w. Johnson. Reports from
all quarters of the Nation yester-
day left no doubt that a small COM
mittee-room in the Senate Office
Building had become almost over
night the real political center of the
country. Five Senators and fifty
newspaper correspondents were re-
garded as scattering political fire.
brands that could wreck not only
candidates but harm national parties.
G. o. p. Becomes Fearful.
Conservative Republican opinion
indicated that some of the con-
servative leaders were beginning To
Nbe fearful of the ~effect upon the
country. yet they knew of no way
by which to stop the inquiry. They
had given tacit approval to the
Borah plan to discredit Gen. Wood
but few believed the investigation
would be such a gold mine for Sen
ator johnson.
Col. Proctor described the nation
al State and county organization
for Gen. Wood in some detail. He
made no attempt to conceal from
the committee that it had cost a
large sum of money to establish
the nation wide organization. He
declared 1t was necessary and that
under such conditions the work
could not be. done economically. but
ne insisted that no money had heen
spent for improper purposes. ~
Col. Proctor professed to know
nothing ahnnt 0arnnafrn nAnfrfhn.