The Waterbury Democrat. [volume] (Waterbury, Conn.) 1917-1946, 1944-03-06

one better on higher taxes.
The issue was between Wilkes
publicity right bower, Russell DAY.
export, former editor OF Fortune
Magazine. and WILKES fiscal right
bower, John Hancs, former IN
dersecretary Of the Treasury for
FDR.
HaneS, whose father helped
found the Reynolds Tobacco en-
pirc and who Is one OF the most
successful brokers In Wall Street,
has been dcvoting his time and
money helping to nominate Will
kie. But Hanes Is a low-tax man.
AS Undersecretafy OF the Treas
ury, he fougth higher taxes and
In the end resigned. Last year.
he even had session with Treas
ury tax expert Randolph Paul IN
which he virtually laid down an
ultimatum that the Ruml Plan
would have TO be adopted.
With this background, 1t Is easy
to understand how Willkie's high
er tax statement was about as
easy Tor Hanes to swallow rs O
rattlesnake.
In making his decision, WILL
kie had Hanes on one side and
Russell Davenport on the other.
Davenport had resigned from
Fortune 10 devote all his time to
Wilkes campaign. Also he
had prepared careful study on
taxes showing how the cost Of
the war was being postponed and
would fall on the shoulders Of
the men now fighting the war.
Hanes, on the other hand, ar
gued that business couldn't stand
higher taxes now. He virtually
served warning on Willkie that he
would Withdraw his support II
Willkie came out for higher
taxes.
WILKES reply was: I'm he
damned II I'm going to let those
kids pay for this war"
And he issued the statement.
NOTE: Don't DC surprised II you
see Johnny Hanes bowling out OF
the Willkle picture soon.
JESSE JONES DENIES
Exactly one year ago this month.
Secretary OF Commerce Jesse
Jones sent letter TO all Wash
ington Merry-Go- Round subscribe
crs denying the Shipsaw aluminium
deal IN Canada,
BY this deal. the Me.ry-Go-
Round reported, Jones would en-
able the Aluminium Corporation
to build giant powder project in
the Wilds OF Quebec, riValing Boul-
der Dam. There, it would be be-
You'd U. S, control, would escape
U. s. taxes and II the war ended
before l946, the corporation would
not have to pay back the money
loaned by Jesse, much Of 1t with
out interest.
"All OF these statements"
Jesse Jones said In his letter to
editors. "are false. lie de-
manded that editors publish his
letter as a refutatiOn Of this
column.
Now, one year later, comes the
truman Committee with q COM
.rehensive report regarding that
anne Shipshaw aluminium project
IN Canada. Here Is what the
.ruman Committee says, compared
With the Merry Go- Round state
.nents one year ago, then so Wig
orously denied by Jessie Jones.
Merry Co Round: Jesse Is
gaming the Aluminium Corpora
Ion $68.500,000 OF u. s. Govern
ment cash and charging no inter-
est"
Truman ,mmittee: Under Con-
tract No. 3 Alcoa gets IAN advance
payment Of $4,000, 900 without in
crest or security" Contract No.
provides for Ian additional adj
ance Of Gl8,Co0,OOO without inter-
est Total $68,50o,0 900.
Merry. Co Round: ut will be
beyond U. s. control, and will cs-
cape u. S. taxes"
Truman Committee: ut would
not be subject to the tax and
antitrust laws OF the United
States"
Merry Co Round: "If the con-
tract ~ cancelled before Dec. 81,
1915, the balance OF the 500, $780,
100 not repaid by the delivery OF
aluminium will remain In ALCOA's
nands and nede not be repaid II.
the United States"
Truman Committee: I'm event
of cancellation, the Aluminium
ompany is permitted to retain
without obligation the unaccount-
ID for balance Of the advance
payment Of 468,500. 000."
Merry Go Round: 1.-The original
S6S.b0O,OO0 will Just about pay for