The Wilmington morning star., 1945-09-28

Editors note-The Star and the News
accept no responsibility tor the personal
views of Mr.. Pegler, and often disagree
with them as much as many OF his read
ers. His articles serve the good purpose
OF making people Think
BY wEsTBRoOK PEGLER
Copyright 1915, BY King Features Syndicate
WASHINGTON, Sept. 81 - The verbatim
testimony and statements taken by the Trea-
SIT in the case of Elliott Roosevelts $780,
600 loan from John Hartford, of the A. and P.
grocery chain, reveal financial double
squeeze play reminiscent OF the mischievous
pranks of get-rich-quick Wallingford and his
partner, Blaclie Daw, as related by the late
George Randolph Chester, more than 20 years
ago.
That these two cynical adventures with
other peoples money should ever have been
brought to life at all is incredible enough of
itself but that President of the United States
should have participated in both the come-on
and the eventual triumphant trimming of the
sucker is historic proof that fiction fears to
tread where truth boldly swaggers.
John Hartford, telling of his futile attempt
to escape the bite after Hall Roosevelt, Ell
liott's uncle, had found him for Elliott told
agents that the President previously had dis
approved plan to hire Mrs. Roosevelt as
commercial broadcaster for the A. and P.
therefore, he said, he thought he might es-
cape the $200,00 bite if he suggested that the
loan might embarrass the President.
However, he found that Mr.. Roosevelt was
not one who embarrassed easily. Elliott called
at Hartford's apartment in the Plaza hotel in
New York and for reply to Hartford's mis-
givings, picked up the phone and called his
father at the Little White House in Warm
Springs, Georgia.
elliott said, Hello, dad IS Mr.. Hartford
49, -, oa,of Uoyed iynfo
his father that he was in John Hartford's
apartment and said Here's Mr.. Hartford and
handed the receiver to me. inquired of the
President whether he was familiar with the
matter Of the proposed loan requested by his
son, Elliott, and the President replied that he
! knew all about it and gave assurance that he
knew it was a sound business proposition and
fine thing and that he appreciated any as
sistance and consideration that could give to
Elliott in this matter and extended to me an
invitation to call at the White House,
Under investigation on July g. Mrs. Hart
ford said Caruthers Ewing, his attorney, who
had received the first approach from the late
William Sirovich New York new deal con-
gresham, gave him to understand that he and
his brother, George Hartford, also of A. and
P, and also millionaire, "had been ear
marked for this loan"
@. 'By whom?'
A. washington
@. do you mean the PRESIDENT"
A. "That is right. It was very definite
idea.'
At another point Mr. Hartford said. I'll
wanted to get out of making the loan If
could
Again discussing the telephone call to Warm
Springs, he said that when the phone was
handed to him IT said Hello, Mr.. President
and heard a familiar voice a voice that
I had heard over the radio many times-say
Hello, john He said he would appreciate any,
thing I could do for him. ElliotD.
IT then told Elliott was going to make him
the loan, and that the only reason I was ma
king the loan was that his father practically
asked me to. I further told Elliott was not
interested in radio and was not aking any
favors."
O. "1n other words, having spoken to the
President you felt that you had received all
the credit information you needed?"
A. II thought it was better than Dun and
Bradstreet.'
@. after the President was so enthusiastic
about it," Mr.. Hartford testified. II felt was
on the spot I had to make decision right
then and there and did not want to do any
thing to incur the enmity Of the President.
could have asked the President to endorse the
note. did not do so and would not do So"
Hartford then asked whether he felt
that the Presidents remarks were a sort OF
moral guaranty and he replied II certainly
did"
@. "what reason did you have for expecting
that the loan would be repaid?"
A. "F.D.R."
Hartford was asked why, when he went to
see Jesse Jones, then Secretary of Commerce
and chairman Of the Reconstruction Finance
Corporation, at Jones' suggestion he expected
that he was going to get back his $500, 900,
with interest.
IT thought the President would pay his sons
debts, just as any father would Hartford
answered.
At the time of the settlement, Sid Richard
son and Charles Roeser, Fort Worth oil men
and friends Of Elliott who had been dined
several times at the White House. wrote their
opinion that the stock Of Elliott's Texas state
network, which Hartford has taken as COLA
teral, was worthless.
Richardson and Roeser were large stock
holders and friends of Elliott and his wife at
that time, a Fort Worth girl. Jones was ap-
pearing in the deal as agent for clients the
President and Elliott All concerned In the
representations by which Hartford was led to
believe that his collateral was worthless and
that he was well rid Of it at 2 cents on the
dollar, had an interest in the company or, in
the President s case, paternal interest in his
sons fortunes.
There were reasons at that very time, how
ever, had Hartford taken the pains to inform
himself thoroughly, instead of relying on his
faith in the President and Jones, which might
have persuaded him TO hold his stock for a