New-York tribune., 1920-09-04
Millions
Spent by Creel
Publicity Board
Republicans Rejoice at Ex-
posure i'm View of Gov.
Cox's Charges of $l5,-
100000 Slus h Fund
Net Cost Was 5 Millions
Committee Charged With
Being Used to Advertise
Wilson Administration

w - - - ~ - II ~ GAVx1
From Tho Tr@bNnc's Washington Bureau
WASHINGTON, Sept. 8. - A report
issued to-day by E. X. Ellsworth, of
the Council of National Defense, show
ing that the Committee on Public In
formation, of which George Creel was
chairman, spent ss,245,24oe5, caused
jubilation in Republican circles in view
of the "slush" fund charges of Cover
nor Cox.
Republicans and many Democrats In
Congress repeatedly charged during
the war that the Crecl bureau was
organized and conducted as a publicity
agent for the Wilson Administration.
Governor Cox charged that the Repub-
leans were seeking campaign fund
of S15,00O,O00 with which Ito buy the
Presidency but it was shown before
the Senate committee in Chicago, in
tie opinion of political leaders here,
that the Republicans have planned to
spend less than one-half as much in
the champaign this year as the Creel
bureau spent.
soon after the United States entered
the war, and until after the armistice
al! publicity concerning the Federal
government and it's activities passed
through its hands
On August 21. 1919, the files. records.
assets, liabilities, ETC., OF the committee
were transferred to the Council of Ma
tional Defense by executive order of
the President. On June 80, 1919, the
Committee on Public Information was
left without funds, due to the fact that
congress had not made any appropria-
ton to the committee for the govern
ment fiscal year 1o19-2O. On july 20
the records were moved to the old Fuel
Administration, where they remained
until removed to the Council of Ma
tional Defense.
Liquidating Officer. Named
On August 25, 1919, Mr.. Ellsworth of
the council staff was appointed liqui-
dating officer. Since that date there
has been recovered from various
sources and deposited to the credit of
the proper appropriations in the Treas
ury Department the sum of $676,369.47,
and claims amounting to $365,337 80
have been approved and forwarded to
the auditor for settlement.
The financial report of the liquidat-
ing othcer shows that there was ap-
prcpriated by Congress for the use
of the committee s1,250,00O; that there
vas allotted to the committee by the
priation for national security and de-
Tense; that there was received from
the sale Of publications and photo
graphs and from subscriptions to the
official bulletin $125. 5.797O2; and that
there was turned into the appropria-
ton $741.204.S5 from Che receipts of
the film division, derived mostly from
admissions to the various war ex-
positions. This made the total re-
sources of the committee $7,767 ,O01 81.
Ihere was disbursed the sum of
$4,s5o,43o,S0 and direc; settlements
were made by the Treasury Depart
ment AMOUNTING to s1,416.o97sa a
total of S6,275 5,5336S. Of these paw
ments there has been recovered
$393,S10.77 of advances made for for
clgn propaganda, but which were not
fully expended; S25 5,035.65 for work
done for other departments of the
government, and $5,710.7O from over
Of s42!,35712 The net disbursc.
raents were therefore s5,951, 1866 to
June 30, 1920, with outstanding iia-
bllttics estimated at $4,000.
Ihesc figures, however, do not take
lnto account the cost Of the film d..
vision, whose expenses were mostly
pad from their receipts and consc-
q"cntly were never taken up on the
books of the Treasury Department.
me payments from such receipts
amounted to $2,391 ,O73Oo, the balance
o.. the receipts, or s741,204.s5. being
turned into the appropriation.
\ot ctOstCoN
The total expenditures OF the com
nlttee therefore amounted to S8,245,-
2a9.65 to June 80, 1920, although the
net cost to the government amountod
to but $4,954,200.O1 after deducting the
amount. received from the sources
above indicated, together with The sum
of S29,974.6S, which was received from
the sale of equipment, pamphlets, ETC.,
and from interest on bank deposits.
which was placed to the credit Of mis-
cellaneous receipts in the Treasury in
stead of to the credit of the COM
nlittec's appropriations.
There has been returned to the gen.
eral fund Of the Treasury s1,7OO,OO0,
and after the outstanding liabilities s
are settled it is estimated that there
will be a further sum of 100000 to
turn back to the Treasury
The principal items Of expenditure.
rs shown hy tho report, are sl.44s. .Oo9
for propag gaH'!a work in fore 'gn coun-
tries, sl.25o,O0O FOR salaries, s035, 900
for printing done at the Government
Printing Office, $500 900 for printing
done elsewhere, $3.50 900 for telegraph
and cable service, s435,0oo for films
and motion picture apparatus. S127 900
for stationery and $4,000 for travel
in the United States.
Creel Comments on Report
George Crccl, who was chairman of
the Committee on Public Information,
declared last night that the report of
the National Defense Council on the
liquidation Of the committee, made
public in Washington, was a complete
answer to every charge Of waste, in
efficiency and corfu-ion.
The sum of. S4,954 200, net cost Of
TNIRST ICING