The Wilmington morning star., 1946-05-04
Fair Enough
By PEGLER

AN0o AA thS "a No10
able radio apparatus by the Alamo Broad
casting Corporation, of San Antonio, the chief
property of the network organized by Elliott
Roosevelt, will be investigated by the Federal
Communications Commission. These ale
cations were contained in a petition filed with
the commission last Dec. Is by Norman
Baker, of Laredo, Tex, who claims to be
able to cure some types of cancer and who
has had a long series of troubles with the
FEC. and the Department OF Justice, includ-
ing a prison term of four years and a fine
of 81, 900 on a charge of using the mails to
defraud patients at a hospital which he for
merly operated at Eureka Springs, Ark.
Baker claims that while he was IN Leaven-
worth prison, and unable to protect his in
~terests, representatives of the Alamo Broad
casting company obtained an option to buy
the equipment from his station KENT, IN
Neuvo Laredo, Mexico, "by actions OF an en-
ployee who called a meeting Of the corpo-
ration and voted the stock OF your petltloner
by a false proxy, without his knowledge or
consent" Baker was president and general
manager of CHA Industrial Universal Mexico.
which owned KENT.
This unauthorized action put the Mexicsn
corporation out of the radio business and Ell
abled the Alamo Broadcasting company to
apply for a better frequency and increased
operating power when radio equipment was
frozen due to the war;" Baker charges. He
then alleges that the Alamo company of
fered to give said employee 8 steady position
at an attractive salary for closing the trans
action"
The petition puts the commission itself in
the position of defendant for it says the COM
x.;.r;o. NV. AJopoo q con ctrI1cfiop porrpit sin
an unprecedently short time and without
notice of opportunity for any interested par
ties to be heard"
F.C.C.'s construction permit was issued in
November, 1914, and the first complaint from
Baker was not received until April, 1945. The
F.C.C.'s rules provide that such protests must
be filed within 20 day but Charles r.. Denny,
acting chairman of the FEC, has decided
to reopen the case and consider the infor-
nation which Baker claims to possess.
According to Bakers petition, notwithstand-
ing threats that he would be sent back to
prison if he tried to interfere, he obtained
a decree from the President of Mexico for
bidding the expectation of his equipment. New
ertheless, he says, under cover Of darkness
in April, 1945, four large trucks loaded with
his property moved across the border into
the United States.
The stock of Elliott Roosevelt's network was
represented TO be worthless in January, 1912,
and on such representations John Hartford and
David G. Baird, of New York, were induced
not only to settle large loans to Elliott at
two cents on the dollar but to surrender to
Jesse Jones, then Secretary Of Commerce, the
stock which they held as collateral. Jones
the stock to the late President
Roosevelt who held it until Nov. 9, 1943, when
ne, personally. sent it to Elliott's wife of
that time. now Mrs. Ruth Edison. This stock,
worthless less than two years before, now
was used to defray the continuing RESPONSE
bility Of the Presidents son in alimony and
the support of his children of that marriage
Five months later, the Alamo station applied
for the permit to increase its power and.
incidentally, its value as the key property Of
the network.
When I say that the FEC. will Investigate
Bakers charges Of fraud l do not mean to
convey the idea that this federal bureau will
make a thorough inquiry of its own. 1t is
committed only to consideration Of the allie
cations and the documents which is a far
different thing from an aggressive inquiry
with a view to proving the case. This would
seem 10 mean that Baker will be required
to make the real investigation under great
nandlcaps by contrast with the conduct of
other government bureaus in calling on the
FBl and assigning investigators and lawyers
to round up small restaurant owners for over
charging ny d lew cents and property owners
who violate rent ceilings. The F.C.C.'s DO
sltlon is that of a passive court here, pos
slbly with a little prejudice against the COM
planning witness. Yet, if Baker speaks the
truth, and he does speak with force and in
plain, rough language a constructive case
could be made that property was stolen from
a helpless and unfortunate citizen to rehabili-
tate the alimony stocL. with the help of one
of the most powerful Of the new deal gov
eminent agencies.
The Department of Justice has shown no
interest although federal laws were violated
if Baker tells the truth, SO grand jury action
is unlikely. The only remaining possibility
therefore would appear to be a civil suit by
Baker to cover damages. Bakers attorney,
II. L. Fisher, has notified the FEC. that they
intend to bring such a suit, but if it should
be tried in a remote Texas border town the
coverage probably would be perfunctory and
inadequate to the Importance of the issue
which actually involves the Presidents con-
duct in the White Hous for Baker charges
that Mrs. Edison visited the White House to
support the application of the Alamo company
for an increase Of power.
In this connection the report of the minority
of the House Committee on Ways and Means
after the hearings OF. Elliott's cancelled loans
Is pertinent.
THE only facts before the committee were
developed by the Bureau OF Internal Reve-
nue." this report said. mo independent in
va eli hos baap made The cornroit+oo