Evening star., 1940-04-17

Quiz seeks to Find 1t ;.
Firm Aided George in
'38, Utility Head Stotes
The purge" of 1898, when the
administration sought unsuccessful
ly to unseat Senator George, Demo-
crat, of Georgia, for fighting Presi-
dent Roosevelt's court plan, was
back in the field of controversy to-
day as the Securities and Exchange
Commission announced it was in
vestigating the affairs Of the Geor-
gia Power Co., and P. S. Arkwright,
the president, countered with the
declaration that the probe was an
attempt to smear" Senator George
and discover II his campaign had
been aided by the power company.
In Atlanta William Green, At
lanta director of the S. E. c., said
complaints Georgia Power made
political contributions in 1888 would
be investigated until it is deter
mined whether there have been any
irregularities" the Associated Press
reported
Complaints Received.
1.-THE Securities and Exchange
Commission" Mr.. Green said, has
received complaints that the Geor-
gia Power Co. made political con-
tributions during the 1888 campaign.
Such contributions would be viola
ton of section 1903 of the Utilities
Act, which makes it illegal for a
registered holding company or SUBJ
sidiary to make political contribu-
ton"
Mr.. Green said the complaints
concerned contributions to the cam
paigns of candidates for both State
and national offices. He did not give
the source of the complaints.
THE investigation" he said, "is
being conducted like any other in
vestigation and is not related to the
campaign Of any one man."
Mr., Arkwright declared that "the
inquisition by the New Deal in its
effort to vent its spite and ill-will
on Senator George and this COM
pany is parallel only to the methods
Of the Ogpu and Gestapo in Russia
and Germany-both in lack of def
mite charges and in methods which
are pursued"
Willkie Hits Charges.
He denied aiding the campaign, as
did Wendell Willkie, chairman of
the Commonwealth and Southern
Corp, of which Georgia Power is a
subsidiary. Absolved of any "irregu-
laritIes by Chairman Jerome Frank
of the S. E. c.. Mr.. Willkie, who
charged recently that the New Deal
was out to get" him, issued
statement here declaring that the
charges were entirely false and were
preferred by "a disappointed Office
seeker"
The attack by the utilities chiefs
followed statement which the S.
E. c. issued after a telephone con-
versation between Mr.. Frank and
Mr.. Willkie. who is being mentioned
as Republican presidential possi-
bility. This statement. designed to
clarity the situation" did not men,
ton the nature of the charges that
were beinig investigated, but it has
been noised about here for months
that the George campaign was un-
der scrutiny.
S. E. c. Statement.
The commission said:
Several months ago a complaint
was made to the commission regard
ing the Georgia Power Co. in con-
nection with certain prohibitions
contained in the Public Utility
Holding Act of 1885. After due con-
sideration, the commission decided,
in accordance with its usual prac-
tice, to make an investigation of
the complaint. The commission
has come to no conclusions as to
whether or not there are any ir-
regularities. The complaint made
no charges against Mr.. Wendell
Willkie." To this, Mr. Frank added
the comment that Il know of moth
ing to justify any suggestion that
Mr.. Willkie has had anything to do
with the alleged irregularities.
In his statement, Mr.. Willkie said
that as soon as the S. E. C. started
its investigation he began an inde-
pendent inquiry.
Based upon that" he continued,
"and also upon statements made
to me by officials of the Georgia
Power Co., in whose integrity, after
long years of business and personal
acquaintanceship, I have complete
faith, I will say that neither the
Georgia Power Co. nor any asso-
ciated or affiliated companies, or
any officers of any such companies,
directly or indirectly, contributed
to Senator Georges campaign"
Mr.. ArkWright in Atlanta said in
vestigators of the S. E. C. had been
IN the company's Offices since early
January, had asked such questions
as for whom certain unnamed in
dlVlduals had voted in the George
balloting, examined the entire pay
roll and all disbursements, damage
claims, expenditures for advertising,
rents, leases, and the like, and all
outlays of any kind made in 1888,
the Associated Press reported.
Camp Contributions Suggested.
When "one witness" suggested
that there had been large expendi-
lures on behalf of Lawrence Camp,
Senator Georges defeated primary
opponent, the investigators, Mr..
Arkwright said, refused to make
any investigation or pay any at
tention to it,"
He continued:
This company did not contribute
one single cent of money to Senator
Georges campaign"
Concurrently it was made known
that the S. E. c. is expected to make
an early decision on the question of
holding public hearings in the in