commissions ran as high as 75 percent, but he emphasized the fact that out of this portion, he had to pay all commissions of solicitors and collectors, as well as to pay for the overhead of the organization. "We solicited $60,000, of which my share was $42,000, but I had to pay commissions to solicitors, collectors, phone and printing charges, rents, and other costs," Mr. Giuliani stated. He characterized 1942 as a "poor" year, alleging that only $35,000 to $40,000 was collected. He told the committee that he severed all connections with the State Republican League in 1943 because "It just became a collection agency.' A copy of a letter found in the files of the State Republican League reads as follows:

Mr. GORDON S. HARRIS,

92 Liberty Street, New York, N. Y.

OCTOBER 13, 1943.

Dear Mr. HarRIS: I read your most interesting experiences in the booklet you sent me and was deeply impressed.

If you can adapt your remarkable experiences and ability to raising funds you can make a great deal of money between now and the 1944 election.

During the 1940 campaign we raised more than $100,000 and had it not been for the lack of capable men we would have raised considerably more. We have the names of all New Jersey contributors to the Republican State Committee and also to the Republican National Committee which we did not have 4 years ago. We have thousands of such names, who, besides giving to the above-named committees, could also be induced to contribute to us.

If you think this would appeal to you, I would be glad to see you at any time. Yours very truly,

STATE REPUBLICAN LEAGUE.

CONCLUSIONS

It was found that the two organizations while ostensibly separate were actually related in activity, the principal link between the two groups being the fund-raising contract with George A. Giuliani. The activities of the Republican Citizens Committee, which had ceased on May 16, 1944, however, had been much more circumscribed than those of the State Republican League.

The net proceeds of all funds collected by these political committees were used for the personal aggrandizement of a small group of men. The amounts expended for the sporadic publication of the Hudson News and pieces of campaign literature or letters represented a negligible amount of the funds solicited to all appearances, on behalf of the Republican Party and its candidates.

In considering the facts concerning the individual contribution of more than $5,000 to the Republican Citizens Committee in 1942, it was noted that section 13 (a) of the Hatch Act makes it pernicious political activity to give such amount but not to receive same.

The whole course of conduct on the part of both of these organizations indicated that palpable fraud had been practiced upon a number of the unsuspecting donors. The committee, therefore, recommended to the attorney general of the State of New Jersey, that a study of the entire matter be made in connection with the fraud statute of that State. The evidence was made available to the proper State and Federal enforcement agencies. The committee was subsequently notified that a grand jury investigation was to be conducted by the attorney general of the State of New Jersey.

B. PRIMARY CAMPAIGNS

1. ARKANSAS

COMPLAINT

Complaints relating to the primary campaigns for the office of United States Senator in the State of Arkansas were filed with the committee alleging that (1) large and excessive amounts of money were being expended and (2) that the expenditures of these excessive amounts of money had led to fraud and corruption in the preferential primary of July 25, 1944.

A preliminary investigation was initiated; and, acting upon the findings of this investigation, a subcommittee, consisting of Senator James Tunnell, chairman, and Senator Homer Ferguson, was appointed on September 1, 1944, for the purpose of conducting hearings relating to the charges. The subcommittee conducted hearings at Little Rock, Ark., on September 7, 8, and 9 in the courtroom of the Federal building, made available through the courtesy of Federal Judge Trimble. The committee heard the testimony of 35 witnesses and ordered the opening and examination of a score of ballot boxes for the purpose of ascertaining the validity of the allegations of fraud and corruption in the primary campaigns.

Election law.

STATEMENT OF FACTS

For a clearer understanding of the significance of the testimony presented to the committee and the facts established thereby, some comment should be made with reference to the primary election laws of the State of Arkansas and, particularly, their practical application. Geographically, the State is divided into 75 counties. In these counties there are 2,087 voting precincts. By statute, the major control of the primary election machinery is placed in the hands of county central committees of the party. Precinct judges and clerks are appointed by each county central committee (Popes Ark. Stat., sec. 4724). The county central committee is responsible for the printing and distribution of the ballots (Popes Ark. Stat., sec. 4725). The county central committee is also required to furnish carbon paper for use with the duplicate ballot (Popes Ark. Stat., sec. 4759). The county election commission, a board which is appointed by the State election commissioners, are required to furnish ballot boxes and the law provides that the box shall be "a good and sufficient ballot box with lock and key" (Popes Ark. Stat., sec. 4758). It is not unusual, however, to find various types of ballot boxes, many of a unique variety being used in each county.

Upon closing the polls the judges and clerks begin a count of the ballots and upon completion of the count the ballots, poll books, registry of voters, and the returns are turned over to the county central committee (Popes Ark. Stat., sec. 4729). Only the original ballot box is thus transferred to the county central committee. The county central committee makes a canvass of the returns and certifies the result to the State central committee (Popes Ark. Stat., sec. 4736). The law provides that the ballots must be returned by the

county central committee to the county clerk in the ballot boxes, locked and sealed (Popes Ark. Stat., sec. 4737).

The duplicate ballot law of the State is of particular importance. Briefly, under the duplicate ballot law, an elector, upon entering the polling place, receives a ballot printed in duplicate. The ballots are in one piece, being so printed and perforated that by folding over and using carbon paper an exact duplicate can be made. The most significant feature of the law is the fact that the voter is required to sign the duplicate ballot (Popes Ark. Stat., sec. 4759). In addition, the duplicate ballot is numbered by the election officials when it is handed to the voter and the law requires that the ballot bear the name or initials of one of the election officials on the back thereof. No ballot shall be received from any elector or deposited in the ballot box which does not have the name or initials of at least one of the judges endorsed on the back of it (Popes Ark. Stat., sec. 4776). The number on the ballot must correspond to the number which is given to the voter on the list of electors voting. For example, if John Jones is first elector to arrive at the polls, his name is entered on the list of electors and the number (1) is placed opposite his name. The number (1) is marked on the back of the duplicate ballot which, in turn, is initialed by one of the election officials before being handed to the voter. The elector votes his ballot by scratching off, erasing, or crossing out the names of all candidates except those for whom he wishes to vote (Popes Ark. Stat., sec. 4773). After marking his ballot, the voter places the original in the ballot box maintained for original ballots and the duplicate is placed in a separate box_maintained for duplicate ballots (Popes Ark. Stat., sec. 4773). In the canvassing of the election, only the ballots in the original box are counted. This original box must be sealed and delivered to the county central committee and is deposited by them with the county clerk who must maintain it in a safe place. The duplicate ballot box is delivered to the county treasurer and is not to be opened and examined except upon order of a court of competent jurisdiction made in an election contest or by a grand jury in connection with its inquisitorial duties or by direction of a prosecuting attorney in the prosecution of a person for violation of any of the election laws (Popes Ark. Stat., sec. 4759). Basically, the purpose of the duplicate ballot is to provide a sound means of determining an election contest for, in the event of a contest, the duplicate ballot box is opened and the canvassing of the ballots contained therein is determinative of the result.

It is further provided that when two or more ballots are folded together it shall be considered conclusive evidence of their being fraudulent and neither or any of them shall be counted (Popes Ark. Stat., sec. 4811).

The requirements relating to absentee voting are also of importance. Any person expecting to be absent from his voting precinct on election day may apply, by letter, to the county clerk for a ballot. The applicant must state that he is necessarily away from home and will not vote again in the primary. This is usually done in the form of an affidavit filed with the county clerk (Popes Ark. Stat., sec. 4782). It is unlawful for any person to cast an absentee ballot unless, in fact, actually absent from his or her voting precinct (Popes Ark. Stat., sec. 4794). A serviceman may obtain ballots in the same manner

except that the law allows any member of his family to apply to the county clerk and secure the ballot for him. Absentee ballots are voted and returned to the county clerk who holds them until the canvassing of the regular votes is made on election day. Absentee ballots are counted by a board of three judges appointed by the county central committee (Popes Ark. Stat., sec. 4731).

Since separate boxes must be used for the original and duplicate ballot, in the 2,087 voting precincts, a total of 8,348 "boxes" were used in the two primary elections. Acting upon instructions, committee investigators impounded approximately 1,200 boxes from 11 counties. All impounded boxes were duplicate ballot boxes except 127 original ballot boxes from Garland County. Placed in the custody of the United States marshal's office at Little Rock and in the United States marshal's office at Fort Smith, they were kept in vaults under lock and key.

Primary election results. In a primary election in the State of Arkansas, the candidate must receive a majority of the votes cast in order to win the party nomination. Failing this, the first two candidates are paired in a run-off primary. The initial primary is commonly referred to as the "preferential primary." In the preferential primary of July 25, 1944, the candidates were Hon. Hattie W. Caraway, Hon. J. William Fulbright, Hon. Homer M. Adkins, Col. T. H. Barton, and Hon. J. Rosser Venable. The votes in this primary were as follows:

In the run-off primary of August 8, 1944, in which the candidates were Hon. J. W. Fulbright and Hon. Homer M. Adkins, the vote was distributed as follows:

Expenditures: The initial hearing on the evening of September 7 was devoted to the examination of witnesses who were connected with the campaign of Homer M. Adkins, present Governor of Arkansas. The chief witness of the Adkin's forces, Clifton E. Scott, financial manager of the Adkins' campaign, testified that a total of $74,000 had been expended on behalf of the Governor's candidacy. A most interesting phase of his testimony was that relating to a special fund which was contributed by State employees earning $3,000 or more. He told the committee that statutory limitations on campaign expenditures "places all of us in an embarrassing situation." Although contending that it was impossible to conduct an election in a large State, such as Arkansas, without spending seemingly excessive

* * *

sums of money, he admitted that such practices might cause corruption in the ballot box. Most of the Adkins' disbursements were made through the Gerald L. LeFevre Advertising Agency, of Little Rock, Ark., which handled the entire advertising campaign for the Governor's group, including radio broadcasts. The committee found that a 40page record book had been printed by the Adkins' campaign group and 200,000 copies thereof had been circulated throughout the State of Arkansas. The total cost of the printing of this ambitious record book was $11,800. This figure does not include the mailing charges. Although not subpenaed, Governor Adkins was present at the hearing and upon invitation of the committee, personally testified as to his own activities with regard to expenditures made during his campaign. He stated that he personally had expended $9,250. Of this sum, about $2,500 represented his own personal contribution and the balance consisted of funds that were turned over to him by representatives of the State employees. He specifically emphasized the fact that the contributions from the State employees were made without any solicitation on his part. Subsequent to the committee hearings Governor Adkins filed a questionnaire with the committee in Washington which reports a total expended on his behalf of $99,606.44. On Friday morning, September 8, 1944, witnesses affiliated with the campaign of Col. T. H. Barton were called to the stand. Mr. Sidney M. Brooks, owner of the S. M. Brooks Advertising Agency of Little Rock, Ark., testified that he handled the advertising matters for the Barton campaign and that the total disbursements through his agency were $60,686.75.

The most significant testimony with reference to the Barton campaign was that given by the financial manager, Mr. R. E. Meinert of El Dorado, Ark. Mr. Meinert is the vice president of the Lion Oil & Refining Co. of El Dorado, Ark., of which Colonel Barton is the president. He told the committee that a total of $118,797.29 was expended on the campaign. He further testified that the chief contributors to Colonel Barton's campaign fund were two sons of the candidate, Clark N. Barton and T. K. Barton who gave a total of $105,937.36. Clark Barton, also an executive of the Lion Oil Co., donated $50,500 to his father's campaign, while T. K. Barton, the publisher of the Arkansas Farmer, gave $55,437.36. Mr. Meinert related that he personally contributed $5,000 and that the balance was collected from a small number of individuals.

It was found, further, that a famous radio troupe known as the Grand Old Opry of Nashville, Tenn., was engaged to assist in the campaign of Colonel Barton. This company, numbering among its members such well known entertainers as Minnie Pearl, Jamup and Honey, and the Duke of Paducah, was engaged through solicitation by Mr. G. E. Zimmerman, general manager, of radio station KARK of Little Rock, Ark. Colonel Barton is a part owner of this station. It was found that the Grand Old Opry had been paid about $35,000, receiving $1,200 a day for their services, and staged 29 performances during the course of the Barton campaign.

Colonel Barton testified that he personally spent a total of $8,934.81. He denied that any bonus or payment was made by him or his corporation to his sons, one of whom was an officer of the corporation, to