The Idaho Republican. [volume] (Blackfoot, Idaho) 1904-1932, 1920-10-25
DAMAGING CHARGES CONCERNING COX
and CORPORATION CAMPAIGN MONEY
Continued from page one

Schantz admitted that these men
really were dummies and that the
$22,242.50 was transferred by the
dummies to himself, he in turn turn
ling the money over, pro-rata among
the original contributors, or giving II
ito the Metal Products Company, for
distribution by them.
The Dummy "a
Method Adopted @
Explaining the purpose of the
Flood Prevention Committee, Schant2
who was one Of its trestees, said II
was committee formed following
the 1913 food, to relieve suffering
and to work against recurrence Of a
food. Schantz said 1874 per cent Of
the money originally collected by
the committee had been returned to
the contributors.
"Was the return made direct, or
Through dummies?" asked Edge.
Direct
"Then it was not customary to dis
burse the food committee funds
through dummies?"
"No,' answered Schantz, but
when the $26,242.50 was disbursed,
the dummy method was suggested
and agreed to by all members of the
committee"
care you aware" Edge asked
Schantz, ''that the Ohio corrupt
practices act prohibits contributions
by corporation to campaign
fund.-"
Schantz said he was not familiar
with this law.
The $4,000 note, dated August 16,
1917, signed by James M. Cox, then
was introduced into the evidence. 1t
was made payable to the City Ma
tional Bank, of which Talbot, ST.,
resident of the Metal Products Com
pany, also was president at the time.
An Endorsement showed it was paid.
A check drawn by the Dayton
Metal Products Company to the City
National Bank for $5,075 on June 20
1918, then was introduced.
Accountant Scudder testified books
of the Metal Products Company
showed this check was in payment of
Cox's note, covering principal and in
terest charges. 1t was for $5,075,
signed by H. e. Talbot.
On June 20, 1918, Cox was a can
didate for a third term as governor,
the primary petition having been
filed few days before.
This Coincidence
Is Remarkable
Meier Steinbrink, who served as
counsel to the Hughes investigating
committee, testified to what he
termed "a remarkable coincidence in
dates" centering about August Is,
1917. He said:
"E. A. Deeds went to Washington
in March, 1917, and served on the
munitions board. Afterward, the
Dayton Wright Airplane Company
was formed. In June, 1917, negotia-
ton for airplane contracts were
opened with the War Department.
On August Is, 1917, Deeds was COM
missioned colonel. On August 16,
1917, the Cox note was discounted
by the City National Bank. On Aug
ust 1, 1917, the first contract for
airplanes was awarded to the Day.
Wright Airplane Company.
"In August 1917, salaries of Ket-
tering, Talbot, ST., and Talbot, jr.,
were fixed. On August 2, 1917, Deeds
then head of the equipment depart
ment was authorized to execute con-
tracts. In May, 1918, the Dayton
Wright Airplane Company got it's
first check from Washington. On
June 20, 1918, the Cox note was paid
by the Metal Products Company,
which controls the airplane COM
pany."
At one period in the dignified sub
senatorial hearing the proceedings
threatened to terminate with great
abfuptness. A moment after Mr..
Schantz had admitted that $26,242.5O
of flood prevention money had been
used to re-elect Governor Cox, SEN
ator Pomerene declared the commit
tee was wholly without jurisdiction
to investigate that matter. 4
"Oh, WE'LL" observed Senator Edge,
IF it is your desire that we go no
further with this inquiry into the use
of that money, will not oppose dis
continuing the hearing right now"
Corporation Money
Used For Cox.
There was a pause in which Sena-
tor Edge waited for his Democratic
colleague to declare himself further
one way or another concerning his
desire to continue or terminate the
hearing and when no indication was
the investigation went J
on.
& Under the Ohio corrupt practices |
act corporations are prohibited from
to political campaign |
funds. 1t also is required that all
political bodies file statements Of
their expenditures and receipts, re-
al