The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1932-05-17
SLUMP Of POST
EXPLAINED
IN COURT
Business Manager A. D. Marks
Tells Marked Decline
Is Shown Recently

news ABOUT the HOSt, accord
ing to Arthur D. Marks, bust
ness manager Of the Washing
ton Post, who testified today
in District Supreme Court be-
fore Justice Jennings Bailey
in the suit to GUST Mr.. Nc
Lean as co-trustee of his
fathers estate.
Mr.. Marks said that Mr.. Nc
Lean never told him in advance
of his plans to leave town, that
he had not had a real chance to
talk with him in the last two
years, and that Mr.. Mclean never
cared to discuss business condi-
tons.
Was Seldom Consulted
He said that he was seldom con-
suited by Mclean, but that he had
seen Mclean about a year ago at
the home of John Major, in
Chevy Chase, Md. Mclean told
him at that time that he was
evading service.
Mr.. Major was on the Post pay
roll for Is or 20 years. but Mr..
Marks said he was employed with
McLean's private affairs. The
Post paid his salary of 500 a
week, but he went out of town
whenever Mclean went.
George B. Fraser was also OIL
the payroll of the corporation,
although he, too, according to
Mr.. Marks, was primarily finan-
cial secretary for Mclean. Marks
said that Fraser had helped the
Post on tax returns, but he had
done more work for Mclean than
for the Post.
Post "ShOws Decline"
The Post, according to Mr..
Marks, has recently shown
marked decline in advertising and
circulation. The Hearst papers,
he said, had gone ahead. The
Star had lost lineage, but the Post
losses had been greater than any
of it's competitors, he said.
He continued:
81 think our trouble started
with the petition to the court
to sell the paper. Mr.. McLean's
marital troubles and the result
ing publicity also affected us.
His name was continuously
in the newspapers, both here
and elsewhere, and it come
back to us that the paper was
slipping and losing money,
"That impression gathered
like a SNOWFALL. Advertising
men came from other cities to
see me. My own advertising So
icitOrs said that the talk about
Mr.. Mclean was hurting them
in selling advertising"
Deducted Their Bills
Mr.. Marks also testified that
Mclean had not paid personal
bills to certain advertisers, who
had deducted the amount of
those bills from their advertising
accounts. The total of these
deductions was SGT, 1854, which
had eventually. been paid through
the inSistence of the American
Security and Trust Company,
co-trustee with Mr.. Mclean. He
said he had various letters and
other documents to bring out
these points and some Of them
were introduced.
Mr.. Marks said that Mr.. Nc
Lean had not been on the Post
payroll for about two or three
years. There was not much
esprit de corps on the paper now,
he said, due to unfavorable pub
licity and the fact that employees
did not know what was going to
happen next day. Mr.. McLean's
absences, he said, caused rumors
that the paper was to be sold.
$4,000, 100000 Offer
Last June or July, he said, an
offer of 100000 had been re-
cived for the paper.
Mr.. Marks said he had carried
the principal burden of the paper
for a long time. He had kept
Ira Bennett, the editor, and the
American Security and Trust Com
pany informed as to the finances
of the paper, but they had had
nothing to do with the actual
business management.
John r. Mclean, father of the
present owner, he said, had come
to the Post every night at 8
o'clock and stayed until press
time, usually 2 a. m.
Evening Papers Led
Under croSS-examination by
Major Julius I. Peyser, counsel
for Mr.. Mclean, he said that all
papers had been affected by the
depression, and that evening
papers in general we're more pros
porous than morning papers, but
that the Post had lost more than
it should.
Majr PeySer inquired whether
Mrs. Mclean had mt brought a
considerable amount of the litiga-
ton affecting Mr.. Mclean. Marks
admitted this was so. Counsel for
Mrs. Evalyn Walsh Mclean, Nc
Leans wife. inquired whether
Major PeySer had mentioned a
suit he himself had filed to col
lect a fee from Mr.. Mclean. Mr..
Marks replied that he had not,
and that suit also came under
the head of unfavorable publicity.
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