Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-01-06
MUTT AIDED LUCAS
PAY CAMPO |GN DEBT
G. 0. P. Director Tells Nye
Group He Received $500
From Party Treasurer.
Continued From First Page.>

Continued From First Page.)
there was a special account in his name,
and he would agree not to draw out
$4,000 Of that money until the loan was
paid.
"It was Lucas suggestion, not mine, "
that he knew Mr.. Lucas standing in his
own State and city and supposed he
could handle $4,000 loan.
Questioned Regarding $4,000.
Mr.. Lucas was questioned by the COM
nittee regarding the checks drawn
against the $4,000 special account in
the Commercial National Bank, opened
there last october by Treasurer Mutt,
with the provision that Lucas could
draw against it. Senator Nye, in an
interview following the last meeting of
the committee, had characterized this
fund as "slush fund.-" intimating that
1t was to be used to defeat progressive
Republican candidates for the Senate.
Treasurer Mutt denounced this char
acterization of the special account and
issued statement showing just where
the money from this account had been
used during the campaign-a total OF
So, 900.
The checks drawn against this &C.
count, all of which had been returned
by the bank to Treasurer Mutt on Oc-
tober 81 and November 4, were laid be-
fore the committee. The first Of the
checks to be submitted in evidence was
check for $4,000, drawn to Galen L.
TAFT, Republican chairman in Mary
land and also collector of internal
revenue at Baltimore. The money was
for the Maryland campaign. The Sec
oh oExyY1f RI Mott l.
ton, Republican national committee
man for Kentucky. It was for $500.
Mr. Lucas testified that this money was
to be used to aid Republicans win cleo
ton in the congressional districts of
Kentucky.
Cooper First Witness.
Wade H Cooper, president of the
Commercial National Bank, was the
first witness on the stand today and
submitted various documents relating TO
the special account of the Republican
National Committee which he had been
requested to bring by the committee.
Mr.. Cooper told the committee that
no checks had been drawn against that
special account since November 4. He
revealed to the committee that Mr..
Lucas had paid his personal note to
the bank for $4,000 to the Commercial
National Bank since Mr.. Cooper was on
the stand 10 days ago. Mr.. Cooper
also submitted to the committee a
statement Of the account of the Re-
publican Senatorial Campaign Com
mittee, which also has an account in
his bank.
Senator Wagner asked Mr.. Cooper:
If Mr.. Lucas had not paid his 81 900
note, is it not true that the Republican
National Committee would have paid
the note under the agreement that made
part of the special account collateral?"
Mr.. Cooper replied that was subject
to Interpretation He intimated that
the question of Mr.. Lucas authority to
use the funds of the national COM
mittee as collateral for his own loan
might be raised.
81 did not handle the negotiation,
and a good banker gets all the security
he can" said Mr.. Cooper.
Even questionable security" said
Senator Wagner.
Was Personal Affair.
Pressed by Senator Wagner Mr..
Cooper said that he did not recall any
other transaction in his bank where the
loan Of an individual had been secured
by the fund of an organization like the
Republican National Committee.
Ordinarily bank would not accept
such security" asked Senator Wagner.
mo it would not" said Mr.. Cooper.
He added, however, that his bank had
the special account and that Lucas had
authority to draw against it.
1.-THE fact of the matter was" said
Senator Wagner, that the bank did
not think there was much difference
between the Lucas account and the
special account, that both were political
! accounts"
Mr.. Cooper said that was a matter
Of Interpretation.
When Mr.. Lucas took the stand he
told the committee that If he had really
wanted to use the National Committee
| funds to send out the cartoon and lit
erature to be used against Senator Nor
RS he could have drawn $4,000 out of
the special account.
This was a personal affair."" said Mr..
Lucas, land that is why / made the
| loan"
Mr.. Lucas said that he had told Mr..
/ Stengle Of the Independent Publishing
| Co., which printed the posters and car
| toonS and sent them TO Nebraska and
| other States at Mr.. Lucas direction,
| that he would pay him December /.
He said that Stengle had come to him
/ about three weeks after the election in
November and told him that the Nye
/ Committee was investigating to find out
who sent the cartoons and literature
| into Nebraska.
/ The executive director of the Re-
publican National Committee defended
his right to send out the literature to
be used against Norris and to be used
in other States where the wet and dry
question was an issue. He insisted
that he had not taken any particular
| precaution to prevent its being known
! that he was financing this literature
In addition to Nebraska, literature was
sent to Montana, Ohio, West Virginia,
Delaware, 4Aentucky, North Carolina