MCCONE MADE BIG WW II PROFITS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP64B00346R000400030105-3
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 1
• Document Creation Date: December 15, 2016
• Document Release Date: April 15, 2004
• Sequence Number: 105
• Publication Date: January 11, 1962
• Content Type: NSPR

' The Washl>d>~~-'urOerry-o-.onnfiu5iu5 !
one Made
Drew Pearson confirmation As chairman r of
r
Commi
i
E
the At
gy
ne
om
s-
c
ith eight high officials Sion on July ; 1958, he let slip
fired from the 1 isenhower Ad. !one intereattlig fact which
}ministration for conflicts of; puts him-in a position of hav,
interest, It would seem manda-lIng a possible conflict of in-
tory that both s ,'- terest? Answering a question
Democrats and from Sen. Clinton Anderson
close look at ,relationships with Kaiser, 1naa
the conflict-of? much as. a jointly owned coal
before appoint- owned by H e n d y (Joshtf ar
'firming new owns all the stock) .and 50 peg
men. ,
Mo'
John A
.
Pearson
Cone, picked
to replace Allen 'Dulles as
head of the vitally important
Central Intelligence Agency,
has a record which is Interest-
hig on three counts:
. 1. He has made more money
oyt of Uncle Sam on war con-
tradts than perhaps any other
man now working for the Gov-
ernment.
2. He has had a continuing
close financial connection with
the Henry J.- Kaiser interests
to which, as Under Secretary
for Air, he gave a 'very inter-
esting quickie contract. for
making-Flying Boxcars (C-119)
in the record time o>yy 10 days,
at a price three times greater
than that of Kaiser's competi-
tor, Fairchild. .
3. He is shrewd and able,
which accounts not only for
his capacity for. making money
but for his agility in keeping
high Government positions
sunder both Republicans and
Democrats.
When McCone Dame up for
cent is -owned , as as p Iby Ks of tthe`California Shipbuilding
nge; -?. organized about one year
Aluminum, hx
contract-to transport t Kaiser' Kaises e before Pearl Harbor, when
bauxite from Jamaica to Baton` Todd Shipbuilding put. up
Rouge -, ~,000, with another $50,000
Yet when McCone was be; coming from the Betchel?Mc?
Ing investigated by the late Caine-Parsons Company, Henry
Sen. Styles Bridges (R.-N. H:) Kaiser, and other companies
and the Senate Armed,,Serv4 asetoclated 'with Kaiser and
lees subcommittee regardiag Bettchel?MeCon a in ? building
his quickie C-119 -contract, tat 1
Kaiser, he claimed:- '.'1 navel
henomenal War Profits
had no business relationship''
with Kaiser for yeafa.,, lulaw combine mode a kill.
*" willing to pay any price
__ v~.___ and the Todd-mo'
The statement therefore:,t'h;f for tCnem,
C
combine
4001C
'All
to, ... 1044
Qut.f
contsl
b
I 1dnahin be'i tat a0
l ras`possible for Kaiser planation;'
e 'in? on McC
r"Awlih him. one, have He 'web~moa to testily "The
and walk
a muitimUWon-doilarjCalitornl s tpbuildIng. Corp.
aonaenaL war profits ?7
Y7 a00 shares of
ds =s
o
.
e an
Y both McCo
set*hen they were ship capital at fiat value of
$100 _coflafsted ..of $ 0,000 in-
th
dt
e
n&
a investment of $1000000 into and .$0I b06 Inves'ted by 10
a profit. qt $",4M,000. companies' lia with Hen
J' Keiis(! '
.
t
%M one was then presiden
"About ,,year ter, n Feb.
. 19, 1048, a;m ti
ben wa: called
o
went to
Fes
out :arid -left the West Coast
field to Kaiser and McCohl1
Nonetheless, Senator,,Bo
showed that McCone vet
amazing lengths to ewlteh
?Aii ordi.ng to the sworn
of a C-119 Flying Boxcar e'nn of the General Accounting Of-
tract away from Fatrchii 'in fice before the House Mer-
Hagerstown, Md., to $ 'gat chant Marine Committee In
Willow Run, Mich., ate 'lh: .~4.
figure which turned.outtt' be "It would seem when profits
$1,339,140 per plane #s; a
This, concluded GAO execu-
tive Casey, was, a profit of
$1,000,000' on the,,, investment
of $100,000 within one year-all
at the expense of Uncle Sam`s
..The blerpaiteterahip ~~ ?
bgtw Kaiser slid'McC4rie
cetatiatie}d i ; dlfbd lip .-a
war profit of ,+f7E,000 and, .
according to ' McCbnes own
testimony, the association is
continuing -in, the form of a
Joint shipping.line today. In
between MoCone, as. Under
Secretary' of the Air - Force,
helped awing one" of of 'the
juiciest airplane coefrstets 'in
history to Henry' Kaiser.
CoPYHOt,'iNNS,.sell Vu to.t., fne.?
Approved For Release 2004/05/05 : CIA-RDP64B00346R000400030105-3
hour efor-
satLfactocJ- ex-