Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-11-05
ARNOLD IS GRILLED
BY LOBBY PROBERS
Blaine Accuses Southern
Tariff Group officer of
Pocketinu Donations.

Charges that large number of banks,
public utilities, manufacturing concerns
and municipalities were used as .
sucker list" and that a large portion
OF money collected from them went into
the pocket of J. A. Arnold, vice presi-
dent and general manager of the South
ern Tariff Association, stirred the SEN
ate committees investigation of lobbying
today.
The charge was made specifically by
Senator Blaine, Republican, Of Wis
consin, when Arnold, witness before
the committee took exception to ques-
tions asked about group of companies
which IL was shown had contributed to
the American Taxpayers League.
Arnold objected to the questioning
IT resent your asking about it, he said;
you are ridiculing the service our or
ganisation gave its members"
Clashes Heatedly With Blaine.
''I confess am ridiculing your serv-
ices" Blaine retorted. II propose to
show that you have been using them
as a sucker list to collect money. q
large portion of which went into your
own pocket.
"You will not" Arnold declared heat
edly.
other members of the committee were
startled by Senator Blaine's blunt
declaration. Senator Walsh, Democrat
Of Montana, said: That is a serious
charge" and sought to divert the ques-
tioning into other channels.
subsequently, Arnold agreed 70
figures cited by Blaine from records of
the American Taxpayers Leagues of
which Arnold also is manager, and the
Southern Tariff Association, showing
that the two organizations paid Arnold
$22,619.45 between September i, 1928,
and August 81, last.
Citing the records, Blaine read into
the committee record that Arnold and
three subordinate employees received 80
per cent of $209,5 ,5S6 collected during
the period and SIS per cent Of the gross
receipts. Arnold protested that his
salary was $4,000 q year plus expenses.
that he had paid back to the organiza-
ton q large amount of money and that
he had coming to him about $4,000 for
the last years work.
Money Distribution Is Listed.
The money paid to Arnold's organ
izers was said to have been the fol-
lowing amounts. S2o.74S.50 to Mrs. Ida
Garden; Vance Muse. $19,610.09, and
w. S. Myrick, $14.e5s.50, a total of
$77,936.44.
Arnold protested the figures vigor-
ously. He said Mrs. Garden was paid
$4,000 a year and expenses: Muse. $500
a month and expenses, and Myrick S400
a month. and expenses. Every ex-
penditure is accounted for in the books, :"
he said, which have been certified to
by public accountant"
The committee was not satisfied with
Arnold's account of the service he rem
dered to contributing members. The
witness insisted that the service was
educational, including the sending out
OF bulletins about tax matters and the
holding of meetings and state conpen-
tions in order Ito encourage citizens to
take part in government"
Several large corporations were cited
by Senator Blaine as typical con-
tributors to the American Taxpayers
League" Joseph r. Grundy, president
of the Pennsylvania Manufacturers
Association, was shown to have con-
tributed $40. The State of Florida con-
tributed $2,O5O.75.
Contributors Are Named.
Previous testimony before the COM
mittee has described the American Tax
payers League as being chiefly inter-
ested in the abolition and, in all cases,
lowering inheritance taxes. Among the
IOopfirIIaS On paUe . roi1IynD \