The Wilmington morning star., 1945-09-22
Bv WEsTBROOK PEGLER
downright 1915, BY King Features Syndie

| downright 1885, BY King Features Syndicate)
NEW YORK. In the absence of any public
statement by Elliott Roosevelt and in view Of
his refusal to make statement when he was
invited to do SO, Tor MS slde OF 1ne story OF
| his loan of 5000, 900 from John Hartford and
it's eventual settlement for $4,000 of Jesse
Jones' money. the public thus far has to rely
on press association reports from Washington.
These usually are reliable, although in the
present case they are patchy. Inc 1ault mere
is Elliott's and the choice OF his own because
he surely knows that if he made full public
statement it would be published faithfully
within reasonable length and 1alth1ully sum-
married beyond such length.
| The upshot of it all is that his father stands
charged with mercenary degradation OF the
office of President of the United States for the
benefit OF his son.
According to Elliott's own version, as OBJ
tanned from members of the House Ways and
Means Committee who mad stud1ed
Treasury report based on an official investiga-
ton, his father did discuss the loan by long
distance with Hartford before it was made.
Still according to that version, his father later
sent him to Jesse Jones, then Secretary OF
Commerce in the Roosevelt Cabinet. for sug-
gestions as to how he might settle his debts.
Further according to this source, Elliott did
not know until he read the news in the papers
that Mr.. Jones had picked up Hartford's claim
tons for trifling amounts
We find in these reports no mention OF the
S25 900 loan which Charles HARDWOOD, governor
of the Virgin Islands, by appointment Of the
late President says he made to Elliotts ra-
dio network, in settlement Of which HARDWOOD
says Jones tried to persuade him to accept
for $500 or ST, O00" Harwoods case is so ir
regular as to suggest serious liberties with
correct business procedure by corporations.
In view of the fact that he is a lawyer and
once was judge of the United States Dis
triot court by President Roosevelts appoint
ment it strongly invites a suspicion that he
has not remembered all of the truth.
Elliott's sole statement in defense of his
fathers honor thus far revealed is denial
that the long distance conversation between
| the President and Hartford constituted pro-
motion or assistance of his personal business
AFFAIRS
"Any statement that he ever did so is a
deliberate, infamous lie," Elliott said in
general denial issued from the office Of Ran
dolph Paul. his lawyer, who was general coun-
sci to the Treasury under President Roose-
belt.
But, in detail, Elliott proved that the state
ment was not lie when he told Of Jones'
intervention, at his fathers suggestion, with
the result that the good old common man,
the ordinary income-tax payer had to make
up to the Treasury the tax on the money
his return and there has been no representa-
ton that Elliott ever listed the 5000, 900, plus
the $4,000 advanced on his behalf by Jones
as income or gifts and paid tax on it.
There is Treasury regulation which holds
that "a taxpayer realizes income by the pay
ment or purchase of his obligation at less
than their face value"
The 81 1000 advanced by Jones would seem
to have been gift inasmuch as Elliott main
tains that for more than three years, from
March II. 1912 when the Hartford loan was
settled, until June II, 1915, when the news of
the deal was published, he did not know Jones
had done this. If he did not know about it
then surely the $4,000 could not have been
loan from Jones to Elliott. A lender cannot
lend money to a borrower without the bor-
rower's knowledge and consent.
Further proof that President Roosevelt did
promote and assist Elliott in his private, at
fairs" consists in further Washington dis
| patches, again relying on members of the
Ways and Means Committee, which report
that the President personally sent to Ruth
Googins Roosevelt Elliotts wife at that time
stock in Elliott's company which had been
| left with Hartford as collateral and surren-
dered by Hartford to Jones in the settlement
Elliott may create in some minds a doubt
that he, personally, knew of the settlement
But this development strengthens the convic-
ton that his father not only hit upon a way
" 1eIcVe Ills sun OF a OeOL OF money OUT Sc
lected an angel or sucker to pay the cost and
finally, entered the transaction himself in for
warding the redeemed stock.
AS to the original negotiations with Hartford
in March, 1885, Elliott would have it that the
consultation with his father by phone proved
that Mr.. Roosevelt refused to intervene in one
way or another. 1t is not amiss, however, to
consider what might have been Mr. Hartford S
frame OF mind when he asked by a
stranger, then 20, to lend him 5000, 900 on ''un-
bankable' security. Hartford's grocery bust
ness was under fire from the Roosevelt ad-
ministration and he might reasonably have
suspected that here was an invitation to in
gratiate himself and terminate campaign
which he honestly regarded as political and
theological persecution preliminary to a
shakedoWn. If the President said, he is
reported to have said to Hartford, you can't
lose" Hartford could not be blamed for in
| terpreting this remark to mean that even
though he might lose the loan his gain in re-
lief from persecution would show net profit
in the costs of litigation and other benefits
| to his legitimate business, and Franklin D.
Roosevelt's btterest defenders have never
contended that he was naive man who
would not have calculated the thoughts OF Mr.
Hartford in this crisis
President Roosevelt was millionaire. If
anyone should have picked up his sons debts
he had plenty of money with Whlch TO 40 it.
He was, however, VIGOROUSLY greedy ana stin-
ny, as presently will be demonstrated And
for money he permitted another man to pro-
vide even the paltry token settlement, with
! 1f(r 4