Evening star., 1951-09-14
Boyle Linked With PorIeys
Between RFC and LithofoId
CONTINUED From First Page

BOyleS part IN arranging the con-
ference between Lithofold officials
and Mr.. HiSe was given by Mr.
Toole who was an RFC and Small
War Plants Corp. official for sew
eral years before going with the
st. Louis company as its treasurer
in 1945. While with SWPC, ac-
cording to testimony yesterday, he
handled a loan of SIS million by
the agency to Lithofold.
Mr.. Toole testified today that
he and two other officials were
in Mr.. Boye's Office when Mr.
Boyle telephoned Mr.. Hise to set
up the interview in February
1949.
Hise Can't Recall Discussion.
Mr.. Hise, who was questioned at
the closed session late yesterday
was quoted in the transcript to-
day as saying he did not recall
having discussed the Lithofold
loan with Mr.. Boyle or any one
else. ,sx
Disclosure of the meeting be-
tween Mr.. Hise and the company
officials came as the subcommit-
tee counsel, Francis A. Flanagan
was going through diary kept
by Mr. Toole. Under the Febru-
ary. %. l949, there was an entry
that Mr.. Toole had got the bad
news that the loan application
had been rejected The diary
went on to say that after lunch
MIR. Toole, Mr.. Blauner and Mr..
Green decided to visit Mr.. BOYLE.
Mr. Toole testified that Mr..
Boyle ther called Mr.. Hise and
suggested a meeting, saying that,
~ have some friends here of
Finnegan +"
The name of James P. Finne-
gan who resigned under fire last
April as internal revenue COL
lector in st Louis came up several
times yesterday in testimony con-
corning the Lithofold loan appli-
cation
Interview Called Short. :
I'VE had a rather short inter-
view with Mr.. Hise that same
afternoon" Mr.. Toole testified.
1T was late. We really discussed
some things. in effect. which I
had said before in connection
with the loan. He suggested we
see Chauncey Dodds, another RFC
Official, to see If something
couldn't be worked out about a
working capital loan"
Mr.. Toole said he could not re-
member who suggested seeing Mr..
Boyle but that the suggestion
might have come from Mr.. Fin
negan. He said he had heard Mr..
Blauner mention ''B. B. in making
such remarks as that he was help
full" The witness added that
"B. B. stood for Bill Boyle"
Mr.. Toole disclosed also that
before going to Mr.. Boyles Office.
there had been some talk of drop
ping in on Donald Dawson. He
explained that he knew Mr.. Daw-
son, now an administrative as
sistant to President Truman. as a
former RFC official. But he added
that the Lithofold officials did
not see Mr.. Dawson and didn't
have any idea of getting him to
use any influence"
Yesterday two former RFC di-
rectors. Walter C. Dunham and
Mr.. Hise, testified in executive
session that Mr.. Boyle never
sought to influence them on any
loan matter.
Received Frequent Calls.
They said. however, that Mr..
Boyle or close associates at Demo-
cratic National Headquarters fire.
quently had called them for in
formation on loan applications or
in, behalf of individuals seeking
jobs or reports on loan negotia-
tionS.
MIR. Dunham, Detroit Re-
publican who was an RFC director
from March, 1949 to last May, dis
closed that a man named Mayer"
from New York once brought a
valuable piece Of camera equip
ment to his Office in the RFC. Mr..
Dunham declared that he sent it
back Immediately and is certain
that the offer was not made by,
any one connected with the Litho-
fold Corp. and had nothing to do
with that company's loan.
Senator Mccarthy, Republican
OF Wisconsin, according to the
transcript. disclosed that testi-
mony taken recently by the SUBJ
committee in closed session indi-
Gated that Cecil A. Green gave
some cameras and perfume to one
RFC official"
The wisconsin Senator did not
reveal who gave that testimony or
whether, the RFC officials name
was given to the subcommittee.
Mr.. Green previously ha been
identified as a Washington repre-
sentative of the Lithofold COM
pany.
Questioned Three Hours.
The testimony was released to-
day by the subcommittee, headed
by Senator Hoey, Democrat, of
North Carolina. The two men
were questioned in closed session
almost three hours late yesterday
after they submitted doctors GER
tificates indicating that the strain