Evening star., 1949-10-03
Five-Percenter Probe
Finished for Year,
Senator Hoey Says
lY the A,soeiated Rrss,


The Senate five-percenter in
duiry, which reached into the
White House and also brought the
retirement of an Army major gen.
eral, probably won't be resumed
this year. according to Senator
Hoey. Democrat. of North Caro-
lima. There may be a report is
sued on it soon.
Whether the investigation ever
Is reopened will depend on de-
velopments," said Senator Hoey,
who heads the special Senate SUBJ
committee which studied whether
Federal buying was improperly in
f1uenced.
For all practical purposes the
investigation already is COM
pleted," he told a reporter.
The subcommittee still wants to
get the testimony of a pair of key
figures in the inquiry-James ".
Hunt and David Bennett. But
Senator Hoey said both men still
are too Ill to take the witness
stand and probably won't be avail
able for some time.
Improper Deals Denied.
Mr.. Hunt is the Washington
, counselor who. the subcommittee
was told. collected substantial fees
for help in seeking Government
contracts for others. He has as
serted in an affidavit that there
never was anything improper
about his business affairs. He de-
MED that he ever said-as a wit
ness claimed he did-"All have to
sell is influence"
Mr.. Bennett is the head of the
Albert Verley Co.. the Chicago
perfume house which footed the
bill for seven home freezers pre-
sented in 1945 to Maj. Gen. Harry
II. Vaughan, President Truman's
military aide. Gen. Vaughan had
one Of the freezers sent to the
Little White House in Independ-
ence, Mo.
Gen. Vaughan himself was a star
witness at the five-percenter in
quiry. He took the stand after
his name had been linked to
series of incidents the investiga-
ton uncovered.
He denied any wrongdoing, and
afterWard Mr.. Truman said he
had no intention of getting a new
Army aide. Senator Mccarthy, |
Republican. of Wisconsin, a men,
ber of the subcommittee, sharply
criticized the Presidents decision
and said he wanted Gen. Vaughan
recalled for more questioning. (
Senator Hoey said. however,
that he sees no reason for bring
ing Gen. Vaughan back to the
stand. I
Absolutely nothing has de- /
veloped to warrant it," he added. i
The investigation also brought !
the suspension of Maj. Gen.
Alden H. Watt. then chief of the
Army Chemical Corps. and Maj.
Gen. Herman Feldman, the Quar-
termaster General.
Watt Allowed to Retire.
After the inquiry Gen. Watt
was allowed to retire. Gen. Field
man was restored to his post.
Senator Hoey said the subcom-
tee staff already is at work on a
report on the inquiry and that he
hopes to release it before Con-
gress adjourns. probably some
tipe this month,
1T appears very unlikely there
will be any further hearings this
year." he added. IF it turns out
that way. we will take a look at
the situation when we get back
next year and decide then whether
the investigation ought to be re-
opened"
Senator Hoey said the report
being prepared probably will be
merely a recital of the evidence
presented, together with bill
which he has said will be designed
to discourage, the activities of
middlemen who charge a COM
mission, usually 5 per cent of the
proceeds, for help in seeking Gov
ernment contracts.
The bill would require registra-
ton of commission men and pro-
vide for Federal bureaus where
businessmen could go for informa-
ton about prospective contracts.
The Military Establishment al
ready has set up such a bureau as
q result of the Senate inquiry. /