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December 15, 1920

Harold Evans, Esq.
732 Commercial Trust Building
Philadelphia, Pa.

Sir:

Your astonishing letter has been brought to
my attention. Mr. J. S. Watson, Jr. and I, who now
control and run THE DIAL, bought the controlling
interest from Mr. Martyn Johnson, who previously
controlled and ran THE DIAL. We bought this con-
trolling interest at Mr. Johnson's price. We paid
Mr. Johnson more for his stock than he could obtain
for it from any other of the many people whom he had
consulted before selling to us..

I myself had invested in THE DIAL while Mr.
Johnson still had control $20,000.00, with the under-
standing that I was to share equally with Mr. Johnson
in the control of the magazine. Disagreements
between Mr. Johnson and myself as to the policy of the
magazine made this equal sharing impossible. I there-
fore resigned my office of associate editor and of
secretary-treasurer of The Dial Publishing Company.
$5,000.00 of the $20,000.00 originally pledged to THE
DIAL by me was not yet due. When it later came due
Mr. Johnson courteously wrote me, absolving me from my
obligation on the ground that THE DIAL had indeed
developed into a different sort of publication from
what I had expected it. to be. Wishing, as I always do,
to err on the side of generosity in my business dealings
I nevertheless, against the advice of my friends, gave
Mr. Johnson's DIAL that $5,000.00. Mr. Johnson and his
associate in the running of THE DIAL, Miss Helen Marot,
both wrote me to express their respect for my generosity.

Had I not already sunk $20,000.00 in THE
DIAL and had I not already been, next to Mr. Johnson,
the largest stockholder it would not have been to
Mr. Watson's advantage and to my advantage for us to pay
Mr. Johnson as much as we did for his stock. For in

4

MAC COY, EVANS, HUTCHINSON & LEWIS

ATTORNEYS AND COUNSELLORS AT LAW
732 COMMERCIAL TRUST BUILDING

W. LOGAN MACCOY
HAROLD EVANS
ARTHUR EMLEN HUTCHINSON
SHIPPIN LEWIS

PHILADELPHIA December 17, 1920.

Mr. Scofield Thayer,
Editor, The Dial,
152 W. 13th Street,
New York City.

My dear Mr. Thayer:

I have received your letter of December 15th and am glad that you have taken the trouble to write, as I naturally would not wish in any way to make any unjust criticisms of those in control of the Dial, and if my information has been incorrect, I certainly wish to know it. In writing as I did, I felt it was only fair to you to let you know my reasons for not subscribing instead of merely throwing your notice in the wastepaper basket.

My understanding of the change in control of The Dial was that when the magazine was in financial difficulties a year or more ago, certain persons, whose names were unknown to me, professing to be interested in the project and its aims, agreed to loan the Company considerable sums of money. It was understood that these loans would be renewed and could be paid off when The Dial really got on its feet. When these notes fell due, I understood that the holders, instead of carrying out this agreement, demanded payment in full, but made some sort of proposition by which they would take over The Dial from Mr. Johnson and his associates. The financial situation was such that it was almost impossible for The Dial at that time to stand such a financial strain as this. Policies had been

Mr. Scofield Thayer

-2-

December 17, 1920.

shaped and plans made on the faith of the extension of the loans in question and after struggling for some time to raise sufficient capital, Mr. Johnson was forced to surrender control of The Dial to the holders of the notes, whose interest seemed to be cut short the existence of a liberal magazine such as The Dial was under Mr. Johnson's management.

These were in brief the circumstances that I referred to and I personally feel that this sort of economic pressure is such that if the facts were in substance as above stated, I should not be interested in subscribing to The Dial or asking my friends to do so. I trust that this will make my position plain and I can assure you that if I, in any way, have been misinformed, I shall be very glad to be corrected. In accordance with your suggestion, I shall be very glad to write to Mr. Johnson. My only desire in the matter is to know the actual facts and, for this reason, I am glad that you have written me so frankly.

HE*R

W. LOGAN MACCOY
HAROLD EVANS
ARTHUR EMLEN HUTCHINSON
SHIPPEN LEWIS

PHILADELPHIA December 30, 1930/

Mr. Scofield Thayer,
Editor of the Dial,
152 West 13th Street,
New York City.

My dear Mr. Thayer:

Thanks for your letter of December 24. At your
suggestion I had already written to Mr. Johnson
enclosing a copy of my recent letter to you.

My experience as a lawyer has taught me that
there are usually two sides to disagreements of
this sort, both of which are honestly held.

I certainly have been impressed by your
frank statement of the situation which has very
much altered my feelings in the matter.

Yours very truly,
Harold Evans

HE:F

PHILADELPHIA January 3, 1921

Mr. Scofield Thayer,
Editor, The Dial,
152 W. 139th Street,
New York City.

Dear Mr. Thayer:

Just a few lines to let you know that I have heard
from Mr. Johnson and that he informs me that the affair which seemed
open to criticism occurred in the spring of 1919 and that neither
you nor Mr. Watson were connected with it. He states "Mr. Thayer's
attitude toward the editorial board and myself was one of extra-
ordinary fairness as is illustrated by the fact, mentioned in his
letter, of his keeping his financial pledge to us after severing
his connection".

I am very glad that the whole matter has been cleared
up so satisfactorily, and that I am now in a position to deny any
rumors questioning the manner in which the control of The Dial passed
into your hands.

I trust you will accept my apology for a criticism
which was perfectly sincere on my part, but which fortunately is not
founded upon fact.

With very best wishes for your success, I am

Very sincerely yours,
Harold Evans -

HE-R