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Washington Confidential · Lait, Jack, Mortimer, Lee

Section 40

But most of those we consider lobbyists are the ones who feel they are not required to register. When we mention anyone in this chapter, we are not inferring that if he is not a registered lobbyist he is breaking the law. We group together for purposes of posing a picture, every Washington lobbyist, fixer, five-percenter, hot-shot lawyer, industrial press agent, and man from Missouri. They are a multitude, especially men from Missouri.

When a really big fix is made, it usually is not handled in Washington at all. The deal is consummated back home, as a quid pro quo for a large campaign donation, after which the county or state chairman sends word through channels to his men in Washington that the matter should be okayed.

Lobbying can be a delightful and well-paid occupation. The mouthpieces of the industrial petitioners are usually charming gentlemen who know how to entertain. Buying an uninstructed Congressman C.O.D. is obsolete. Giving him a high time will do it, and the lobbyist can pocket the money earmarked for bribing and tell his client he passed on the boodle.

Most solons are lonely uprooted rustics. Usually their wives are away, holy frights they are glad to leave back home. These men want to talk and drink with someone. You don’t even have to get them girls, just invite them to a hotel and spend an evening with them. They’ll be so thankful, they’ll do anything you want.

The average big lobbyist doesn’t bother with run-of-the-mill Senators and Representatives, who are in the bag without much trouble. He sets his sights on the key characters like committee chairmen and floor leaders, and even they can be snared at little cost, though naturally to corral a chairman means an even heftier bill to the employer. The procedure used in the case of VIPs is simple and cheap. Each lobbyist is on friendly terms with some local hostess, for whom he does favors or to whom he gives gifts. When he has an especially important deal on, he asks her to invite his prospect to a party. During most of the evening he keeps away from the man he wants to meet, until by a fortuitous accident he is placed next to him at the table. Even then the conversation is kept chatty and frothy. A couple of days later, the lobbyist phones his erstwhile table companion and invites him to a rubber of bridge or a game of golf, and from then on he’s on his own.

Administrative heads and assistants are much more sought after than Senators. They are the ones who receive the deep freezes and their wives, the expensive gifts. In the final analysis, the best contact is a clerk, not a division head. The clerks do the work and make the decisions while their bosses drink cocktails.

Much of the big-time fixing is done by law firms. Many New York outfits maintain offices in Washington. These firms usually have partners belonging to both parties, so they are prepared for any political eventuality.

We would like to introduce you to some of the boys in Washington who can get things done:

First comes to mind an attorney, Charles Patrick Clark. Mr. Clark is a wonder-worker. When others can’t score, Clark is called in. Even Max Truitt, the Vice President’s son-in-law, had trouble getting Franco’s loan, so Clark hit in the pinch and Congress voted it. It may be a coincidence, but Clark was a counsel for the Senatorial Committee Investigating War Frauds when Harry Truman was its chairman.

Part of Clark’s success can be ascribed to the majestic manner in which he entertains. He used to project his parties in Georgetown, but now hosts it in a palatial four-story building near the Mayflower Hotel. It set him back a hundred grand to furnish its interior. The yard was landscaped at a cost of $25,000 more. Clark can muster more pretty girls than anyone else in Washington. You will always find enough of them at his parties. He has two stunners in his office, a blonde and a brunette, who frequently are escorted by his clients and his contacts.

Congressman Buchanan, Pennsylvania Democrat, chairman of the committee investigating lobbying, fell for Clark’s charm. He and his wife visited Clark’s play-place.

Clark is hot-tempered. He recently had a fist fight in the lobby of the Mayflower Hotel with Charlie Rogers, handsome former counsel of the committee that nailed John Maragon.

Dan Hanlon, a former law-partner of Democratic National Chairman Bill Boyle, has an office at 1727 Massachusetts Ave., where he handles internal revenue cases with much success. Hanlon is from Missouri. But as Boyle seems to be on the way out so is Hanlon.

The business is intensively departmentalized. Different lawyers have ins in different branches of the government. Persuasion on the Department of Justice is handled by Laughlin Currie, a former Truman appointee, through Tommy “The Cork” Corcoran, a Roosevelt favorite.

Treasury Department matters go through Joe Nunan, former Commissioner of Internal Revenue, who does not practice personally before the Treasury yet, because the law requires ex-employes to wait two years before they may represent clients in bureaus to which they were attached. But his associates are not so hobbled.

Former Senator Burton K. Wheeler is the man to see if you have any trouble with the Interstate Commerce Commission. Wheeler can have anything he wants in Washington. President Truman passed the word along. It was Wheeler who advised Truman not to resign from the Senate at the time of the Pendergast scandal. Harry has been eternally grateful ever since.

The law firm of Thurman Arnold, Abe Fortas and Paul A. Porter has practically everything for its field. All three are prominent ex-New Dealers. Porter’s contact is with the Federal Communications Commission. Arnold, once a trust-buster, now defends trusts. Fortas, onetime stooge of Harold Ickes, is the boy to see for anything in the Department of the Interior. Among the clients of this firm is the Western Union Telegraph Company, for which they are the registered lobbyists. During their plugging for the telegraph monopoly it was brought out under oath that at least one block of 17 percent of its stock was owned by underworld figures. Since then, Western Union was indicted twice in New Jersey for engaging illegally in transmission of racing information, which the Grand Jury investigation indicated was the company’s main source of profit.

The Arnold firm secured $200,000,000 for the Puerto Rican government. It also defended Owen Lattimore against Senator McCarthy’s charges. The boys netted $600,000 last year. Drew Pearson’s daughter is married to Arnold’s son.

Arnold is the playboy of the firm, congenial and convivial.

When Dean Acheson’s law firm swung the $90,000,000 Polish loan, its fee from behind the Iron Curtain was $1,000,000, plus an equal sum for expenses.

Leon Henderson, the social planner who admits he won World War II single-handed, deserves an important place in this chapter. As one of the brain-trust of the “progressive” Americans for Democratic Action, brother Henderson throws the weight of that organization’s supposed voting strength around Washington for the benefit of his private clients. That is, when he is not too busy making a fool of himself with some young blonde on a New York dance floor.

The A.D.A. pipeline into the White House is David Garrison Lloyd, assistant general counsel to the President.

Robert Nathan, the CIO economist, who comes up with fantastic suggestions such as that the cost of labor has nothing to do with the final price of the commodity, helps support himself by “economizing” for capitalistic clients trying to borrow dough from the RFC. If they hire him, they usually get it.

Those who shed tears for Louis D. Johnson when he was fired as Secretary of Defense need have no worries about how Louis is going to make a living in the future. He is a partner in the firm of Stepto and Johnson, and he has high connections.

Louis, who put the stigma on five-percenters, is one of the biggest operators on government contracts in town. Incidentally, there’s nothing illegal about five-percenting and the fee is now seven and a half percent--Truman inflation.

Though out of the administration, Johnson is so potent and powerful that failure to retain him is a death warrant on some deals. He specializes in alien property work.

Once again, as during World War II, the lobbyists and five-percenters’ password is “Are You Protected?”

That goes for a lot of things. It means are you protected against the law, against competition? But, mainly, are you protected from your clients?

Too many fixers found themselves double-crossed. After they had delivered, they couldn’t collect.

Now the smart ones won’t unbutton a button until the cash is put up in escrow. Fancy deals are worked out on paper to cover up the shady nature of the real transaction.

One contact man whom it was a pleasure to have lobby you was Howard Hughes’ fat errand boy, Johnny Meyer. Johnny is a prodigal entertainer and check-picker-upper. During the Senatorial investigation into how come Hughes got some government contracts, it was testified that Johnny supplied gifts and gals lavishly. He introduced Brigadier General Elliott Roosevelt to his former wife, Faye Emerson, and picked up the tab for the wedding expenses.

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