Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1922-04-11
PA[MER'S FRIENDS
ENJOYED FAT FEES
Report Of Alien Property Gus.
todian Shows Sums Paid
Politicians and Lawyers
PROMINENT NAMES LISTED

7 nOWVCVV NHWco IIS I6U
Bv a sta1 Correspondent
Washington. April 11.--Fat fees for
favorites Of the former Dmocratic Ad-
ministration. including many friends
md political associates OF A. Mitchell
Palmer, Of Pennsylvania. are disclosed
In a report Of the Allie nProperty Gus.
todian's Office submitted to the Senate
by Custodian Thomas w. Miller.
Pennsylvania lawyers and Doliticians
are shown to have received salayics and
fees aggregating 1926, 900 from the Alien
Property Custodian. principally while
Palmer held that Office. A dozen or
more Of Pnlmer's neighbors in Strouds-
burg received moderate fees.
Altogether q total Of S2.12S. .546. .O3
was paid out in attorney fees up TO
March 4. 1921, when the Republican
Administration came into Office. In ad-
dition the salaries of officers and di.
rectors Of enemy concerns seized BY the
Government amounted to 81 .574. OF. 90,
making a grand total of disbursements
for legal and executive services OF
50. .112 ,584. 90.
AS further charge against the alien
property taken over. Of which $3.50.
GO0,OOO still remains in the. hands of
the Government. total Of S1.OS4,-
S59.23 was paid out for accounting,
March 4, 1921. when President Hard.
ing assumed control.
There was also paid out total
Of S25s ,OGI.52 for advertising and
printing.
Prominent Democratic Lawyers
The records show a number of promi.
nent Democratic lawyers listed as
counsel for claimants In cases before
the Office. They include Robert Lansing,
former Secretary of State: former Sen.
ator Hoke Smith, Of Georgia: Oscar W.
Underwood. Jr., son Of Senator Under.
Attorney General: former Congressman
G. G. Carlin, of Virginia. and Gordon
Auchincloss. son in law of Colonel Ed.
ward House.
One Of the chief beneficiaries of large
fees was Frank T.. Crocker. of New
York. Mr.. Crockers fees reached well
into six figures. Throughout the report
the name Of Mr.. CrOcker appears along
with expenditures I'm varying sums,
some as high as 100000.
The name Of j. Harry Covington,
former Chief Justice of the Supreme
Court Of the District of Columbia. and
close friend of former Attorney Gen
eral Palmer, also figured conspicuously
in the report. Covlngton and Crocker
each drew large sums, both as legal
representatives and as members of
boards of directors of corporations.
Mr.. Crocker and Judge Covington in
some cases participated literally in legal
fees paid out by the same corporation.
In the case of the Bayer Chemical Com.
pany. Covington got $4,000 and
Crocker SIC, 600. Another entry showed
they received jointly from the same
concern S5117. Mr.. Crocker was paid
$50 900 fee for representing the Berlin
Aniline Company. Covington received
Covington received $1,000 for routine
legal service for the Bosch Magnetic
Company.
Palmer Defends Expenses
Criticism Of large fees paid for legal
services is answered by Mr.. Palmer
with the assertion that the total amount
expended for legal assistance was less
than one third Of per cent of the value
of property seized. amounting approx
matcly to $3.50. 900, 900.
One expense of item which attracted
attention was payment of Sl73.-
757 80 to Lybrnnd Ross Bros. Il Mont
gomcry, of Philadelphia, for making an
audit of the Office Of the Alien Property
Custodian. Some of the members Of
this firm are said to have been active
as supporters of former Attorney Cen
eral Palmer during the pre- presidential
campaign.
a total Of S1.OS4.S50 was paid for
accounting. auditing and appraising"
during the Wilson Administration.
In the case of the payment to the
Philadelphia auditing firm. Colonel
Miller said that when the audit was
completely 1t was of mo practicable
vaiue.'
Pcnnsylvanians favored by Palmer
while custodian included X. j. Baker.
OF Harrisburg, who was carried on the
payroll in Washington as member of
the legal staff. and also received fees as
an officer and director of number of
corporations seized by the Government !;
and q. s. McClintOck, Of Wilkes
Barre, who profited similarly.
Fees for Supporters
In many instances fees were paid to
men who were active in Palmcr's sup
port politically.
1t Is disclosed by the report that
when the Harding Administration came
into power the services Of so.callcd
State counsel for the custodian were
terminated and new counsel appointed.
Those dropped at that time included
Edward Wiener and James Hood of
Philadelphia. representing the eastern
district Of the State; Baker. in the
central district. and James T.. Mac
Closkey, of Pittsburgh, in the western
district.
They were succeeded by William J,
Brady and Vincent 4. Carroll. of Phila-
dolphin, In the eastern district; Ben
Branch, of Mauch Chunk, central, and
Harmar ID. Denny, of Pittsburgh, west
crn district.
Attorney James +. MacCloskey. Of
Pittsburgh, received the largest amount
from the custodian, according to the
report. lie was paid fees ranging from
5000 to $1,000 in several smaller eases,
and 500 0.323J0 for services in conncr-
tiOn with the seizure and sale of the
Orcnstein- Arthur Koppel Company,
near Pittsburgh the report states. lie
received n dollar a year as State coun-
sci for the custodian for the Western
district Of Pennsylvania.
Finn Served Without Pay
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