STATEMENT OF HON. GEORGE W. WICKERSHAM, ATTORNEY GENERAL.

The CHAIRMAN. I believe you assumed the office of Attorney General on the 4th of March, 1909?

Mr. WICKERSHAM. On the 5th of March.

The CHAIRMAN. Your predecessor was Mr. Bonaparte?

Mr. WICKERSHAM. Yes, sir.

The CHAIRMAN. I notice from the report that the expenditures in your department amount to something like $10,000,000 and over?

Mr. WICKERSHAM. A trifle over $10,000,000 which, of course, Mr. Chairman, you understand includes the expenses of United States courts which are paid through the Department of Justice.

The CHAIRMAN. In what way is this money disbursed? Is it disbursed through the disbursing officer of the department?

Mr. WICKERSHAM. It is all disbursed under the disbursing officers of the department.

The CHAIRMAN. I notice on pages 39 and 40 of your annual report that there is a summary of the expenditures of your department? Mr. WICKERSHAM. Yes, sir.

The CHAIRMAN. I have had some difficulty in locating in that summary the appropriations made for the enforcement of the antitrust laws.

Mr. WICKERSHAM. I do not wonder.

The CHAIRMAN. I notice that in the preceding report that that appeared as a separate item.

Mr. WICKERSHAM. That is here also, but it is under this head, if you will look, "Enforcement of acts to regulate commerce." That appropriation relates both to acts to regulate commerce and the antitrust law, $200,000. That appropriation is entitled, if you will notice in the act, "for the enforcement of acts to regulate commerce and the act to prevent any unlawful trusts and monopolies."

The CHAIRMAN. How much of that appropriation was expended by your department for the year 1909?

Mr. WICKERSHAM. I think it was $175,000, if I recollect. It may have been the full $200,000, but substantially that amount. It is shown in my report for the year 1909.

The CHAIRMAN. It is my recollection that there was a balance of about $135,000, that was supplemented by an appropriation of $100,000 in the sundry civil bill of last year?

Mr. WICKERSHAM. You are right, in this way: Several years ago there was an appropriation made of $500,000 for the enforcement of the antitrust laws and the acts to regulate commerce. That was made continuous, and from time to time in the appropriation acts the balance unexpended was made available for the succeeding year. That appropriation was therefore employed in my expenses under that head until it was substantially exhausted, when it was supplemented by an appropriation of $100,000, I think it was, in 1909, and then the appropriation was made which is recorded here of $200,000 for the year 1910. I am speaking from recollection, but I think that is substantially correct.

The CHAIRMAN. Is there likely to be any unexpended balance of the appropriation at the end of the present fiscal year?

Mr. WICKERSHAM. A very small amount, if any. I am endeavoring not to have a deficiency, but there will be very little balance.

The CHAIRMAN. I believe your department has jurisdiction over the different Federal penitentiaries?

Mr. WICKERSHAM. Yes, sir.

The CHAIRMAN. What supervision do you exercise over them, in what way do you superintend the expenditure of the money that is used for the penitentiaries, and what care is taken to see that there is a proper expenditure of the money appropriated?

Mr. WICKERSHAM. In the first place, there is a superintendent of prisons, who is an official of the Department of Justice, who has direct supervision of the penitentiaries. In the next place, all of the expenditures pass under the disbursing officer and the Auditor of the Treasury. In the third place, with respect to the construction which is going forward at the two principal penitentiaries, Atlanta and Leavenworth; there are the architects who, under the contract, pass upon the material and prices, and so on. Then, there is in each of the penitentiaries a clerk of the works; that is, a clerk who reports as to the actual receipt and delivery of material. Then, from time to time, I have an independent investigation made through the bureau of investigation of the department.

The CHAIRMAN. In this independent investigation do they look into any complaints that may be made as to the administration of the different Federal prisons?

Mr. WICKERSHAM. All complaints that are made, and espcially complaints on the part of prisoners or discharged prisoners.

The CHAIRMAN. You exercise superintendence and control over all those matters?

Mr. WICKERSHAM. I do.

The CHAIRMAN. Have you any suggestion to make, aside from what is contained in your different reports, as to any economies that might be practiced in your department?

Mr. WICKERSHAM. No; because that subject is, as you know, Mr. Chairman, under consideration by the President's committee on economy and efficiency, and they have been giving very careful study to the subject of economy, and I am awaiting reports and suggestions from them. I have made a number of minor changes myself from time to time; but I have in mind no special recommendation at the present moment.

The CHAIRMAN. On page 134 of the 1909 report and on page 203 of the 1910 report there is a statement showing the special assistants to United States attorneys and the amount of compensation paid to each of them.

Mr. WICKERSHAM. Yes, sir.

The CHAIRMAN. I notice that there is a frequent notation that the amount of the compensation is "to be determined by the Attorney General." I believe you have the 1910 report before you?

Mr. WICKERSHAM. Yes, sir; I have that report before me. The CHAIRMAN. Take the case of Walter F. Rogers, on page 203. I notice a note as to the compensation, "to be determined by the Attorney General on completion of service." Do you recall the amount that was actually paid to him?

Mr. WICKERSHAM. I do not.

The CHAIRMAN. That is, if the service has been completed?

Mr. WICKERSHAM. I do not know whether that service has been completed and I do not recall having passed on that, if I have. I will be glad to furnish you with that information, if you desire it.

The CHAIRMAN. In the middle of the page I notice Henry L. Landfried, from the eastern district of Louisiana. Do you know whether that service has been completed or not?

Mr. WICKERSHAM. No; I do not. My impression is that both of those gentlemen were employed in some minor way, probably to appear before the grand jury. Sometimes for the purpose of enabling minutes to be taken of the grand jury proceedings it becomes necessary to appoint someone as special assistant. It may be that was the occasion of that; I am not sure.

The CHAIRMAN. Could you give the committee any idea as to the ordinary range of fees paid to these special assistants? What is the largest fee paid since your connection with the office of Attorney General?

Mr. WICKERSHAM. I think the largest fee paid was paid to Mr. Stimson, in connection with the prosecution of the frauds on the revenue in New York.

The CHAIRMAN. What was that amount?

Mr. WICKERSHAM. There were different amounts paid. My recollection is that the total amount in the sugar cases, prosecutions growing out of the sugar frauds, was about $60,000.

The CHAIRMAN. Before that employment, had Mr. Stimson been connected with the Government in any way?

Mr. WICKERSHAM. Mr. Stimson had been the United States attorney for the southern district of New York. He resigned on the 1st of April, I think it was, 1909.

The CHAIRMAN. What salary had he been receiving?

Mr. WICKERSHAM. He had been receiving a salary of $10,000 a year. As soon as he resigned I retained him to continue, or rather to begin, the work of investigation and prosecution of frauds upon the revenues in New York, particularly those supposed to have been committed by the American Sugar Refining Co.

The CHAIRMAN. Had his jurisdiction as United States attorney, while in the employ of the Government, covered that character of work?

Mr. WICKERSHAM. Well, yes; it had covered that character of work. He had brought a case which had resulted in a judgment of one hundred and thirty-four odd thousand dollars against the American Sugar Refining Co., a verdict which was rendered either on the 4th or 5th of March, 1909. That was, you might say, the first break in the wall of frauds on the revenues in New York.

The CHAIRMAN. Before his resignation occurred, had there been any suggestion to him of his special employment in the event he resigned?

Mr. WICKERSHAM. There was. He came to me with his resignation and said that he was very anxious to go into private practice and was determined about it. I thought and I told him I thought he ought to undertake this special work for the Government. He was not very desirous of doing it, but finally consented to do so, and went to work and the results came more quickly than we had expected or hoped.

The CHAIRMAN. Was any suggestion made to him at that time as to the probable amount that might be paid him?

Mr. WICKERSHAM. None whatever.

The CHAIRMAN. For these special services?

Mr. WICKERSHAM. None whatever.

The CHAIRMAN. Aside from the case of Mr. Stimson, what is the next largest fee that has been paid to special assistants?

Mr. WICKERSHAM. My recollection would be that the next largest fees were the fees paid in connection with the condemnation of land for the three departments-the Department of Justice, the Department of State, and the Department of Commerce and Labor. I think those were the next largest fees. I thought I had a memorandum, but I have not. I can not tell you exactly, but my impression is that there was a fee of $12,000 or $14,000 paid to one counsel and $5,000 or $6,000 to another.

The CHAIRMAN. To whom was the $12,000 or $14,000 paid? Mr. WICKERSHAM. To Mr. Birney, of the District of Columbia. The CHAIRMAN. And the $5,000 or $6,000 fee?

Mr. WICKERSHAM. I can not recall his name.

The CHAIRMAN. You can supply it?

Mr. WICKERSHAM. Yes, sir; I shall be glad to do so.

The CHAIRMAN. Was that for services rendered here in the District of Columbia?

Mr. WICKERSHAM. Yes, sir; in the condemnation of a very large number of parcels; quite a large tract of land.

The CHAIRMAN. It was your judgment that it was necessary to employ these additional assistants in order to have the work done properly by the Government?

Mr. WICKERSHAM. They were employed when I came into office. It certainly was necessary to have some extra assistants there, and I assume it was necessary to have them.

The CHAIRMAN. You think the fees actually paid were reasonable fees and necessary for the protection of the Government?

Mr. WICKERSHAM. Yes, sir; I looked into the question very carefully and adjusted them at what I thought was a fair and reasonable compensation for the services rendered."

The CHAIRMAN. And you thought the fee paid Mr. Stimson was a reasonable fee for the services he performed?

Mr. WICKERSHAM. Yes, sir.

The CHAIRMAN. Could you supply the committee with a memorandum of the various fees paid to assistants since your connection with the department began?

Mr. WICKERSHAM. I shall be glad to do so.