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Mar 19, 1924 From:        To:     
 
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Darrow, Sissman, Holly & Carlin     
Lawyers
1310, 140 N. Dearborn St.
Chicago

Clarence S. Darrow
Peter Sissman
William H. Holly
William L. Carlin
Victor S. Yarros

Telephone
Central 925

March 19, 1924.

Dear Paul:-

   Replying to your letter of March 15th, I would say I do not remember exactly what I wrote you about McAdoo, but there is no question about the facts.

   Doheny employed four of Wilson's cabinet members immediately on their retirement. It is perfectly obvious that they were not employed for law business, but to help him in his graft on account of political influence. As to McAdoo, he resigned from the cabinet, stating that he had to make some money. He had never been a lawyer to speak of - was really a promoter and a soldier of fortune. Within one year of his resignation, he received a million dollars from Doheny and others, which was paid purely as political graft. He says he went to Mexico to spend about two weeks in reference to 'Doheny's interests in Mexico. This I am sure is not true and if the Senate Committee had seen fit to cross-examine him, the facts would have been brought out. He received. $100,000 with the prospective contingent fee of $900,000 more. He never made an entry in his books, nor prepared a paper, nor filed one, nor entered a court room. He could be of no use in Mexico. The only lawyer that could help him there would be some Dago who spoke their language and know their men. When he went to Mexico, his partners went to Washington. Of course Doheny could be helped from Washington and nowhere else. It was undoubtedly a case of the recognition of the Mexican government by providing that oil should be protected. McAdoo had been the Secretary of the Treasury for six or seven years. He was a son-in-law of the President; he knew all the departments and the men connected with them. He not only got this money from Doherty, but some three or four hundred thousand dollars on coal shipped to Italy and several hundred thousand dollars by getting a rebate of taxes for the Republic Iron & Steel Co., from his own department. He got many other sums which have not yet come out. The Federal statutes provide that it is an offense for any clerk in any department to practise law within two years after leaving the department. This statute does not apply to the heads of the department, for it would be presumed that they would not do such a thing. One of my friends said that McAdoo was not a lawyer, but a son-in-lawyer.

   There is absolutely no defense for him, and to nominate him would be certain defeat, otherwise he would have
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been cross-examined by the Republicans on the investigating committee.

   The whole situation revealed in Washington by the investigating committee is rotten in the extreme. Nothing like it has ever been shown in American politics, with the possible exception of Grant's administration.

   As to Coolidge, he sent his Secretary to Palm Beach to see Fall and he spent several weeks with him. Three telegrams were sent from the White House cautioning Fall and Doheny and informing them of the situation. He has not acted in the Daugherty case. He has appointed Investigators whom he knew would not investigate. He is simply a small-sized New England politician.

   I feel about as you do as to Mellon. It would require a very strong necessity to make me vote for Coolidge. As between him and McAdoo, I would have no choice.

   I am rather expecting to be a delegate to the National Democratic Convention for Al Smith. Don't know whether I will succeed or not.

   I did not know about Phipps on the Volsted Act. In fact, I know very little about it. I presume my view of him is largely prejudiced. About all I know of him is that he was a very wealthy Pittsburgh man who had never been known as anything but a business man. He went to Colorado, either for his health or his family's and on account of his money alone, this man who was practically a carpet bagger in Colorado, was elected to the United States Senate. He might be better than I think, but it was a rotten thing for Colorado to do and it shows the effect of money in politics.

   I see you have the free trade idea of the tariff, which I believe is absolutely sound. As you know, I am not very well posted on exchange. You know much more about this than, I do. However, you are probably in error in thinking that the tariff on wheat caused a drop in xxx exchange. I can readily see how it would do this if it effected the export or import of wheat, which it does not - at least only slightly, due to a sentiment in Europe against the United states on account of our selfishness.  I noted the drop of the price of wheat after the increase in tariff, but I would rather assume that this was due to the law of supply and demand which causes a constant variance of price instead of tariff.

   I was interested in my radio talk reaching Greeley.  I dont look for any improvement in stocks until the campaign is far enough along to see who will win still I dont expect much further decline[.]

C.S.D.