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1942

COMMITTEE ON INTERSTATE COMMERCE

BURTON K. WHEELER, Montana, Chairman ELLISON D. SMITH, South Carolina

WALLACE H, WHITE, JR., Maine ROBERT F. WAGNER, New York

WARREN R. AUSTIN, Vermont ALBEN W. BARKLEY, Kentucky

HENRIK SHIPSTEAD, Minnesota HOMER T. BONE, Washington

CHARLES W. TOBEY, New Hampshire HARRY S. TRUMAN, Missouri

CLYDE M. REED, Kansas CHARLES O. ANDREWS, Florida

CHAN GURNEY, South Dakota
EDWIN C. JOHNSON, Colorado

C. WAYLAND BROOKS, Illinois
HARRY H. SCHWARTZ, Wyoming
LISTER HILL, Alabama
TOM STEWART, Tennessee
D. WORTH CLARK, Idaho
JAMES M. TUNNELL, Delaware
ERNEST W. MCFARLAND, Arizona

M. W. MITCHELL, Clerk
R. BAILEY STORTZ, Assistant Clerk

SUBCOMMITTEE ON SENATE RESOLUTION 152

D. WORTH CLARK, Idaho, Chairman HOMER T, BONE, Washington

CHARLES W. TOBEY, New Hampshire ERNEST W. MCFARLAND, Arizona

C. WAYLAND BROOKS, Illinois

II

JUL 20'...

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Statement of-

Page

Adams, Mrs. Penny Cobb, employee of Boyd's Employment Service,

Washington, D. C.

437-439

Balaban, Barney, president Paramount Pictures Corporation, Wash-

ington, D. C.----

427-431

Clark, United States Senator Bennett Champ, of Missouri--

65-87
Dietz, Howard, director of advertising and publicity, Metro-Goldwyn-
Mayer, Pictures, New York City-

292-322
Downey, United States Senator Sheridan, of California.

207-213

Fidler, James M., columnist of the McNaught Syndicate and radio

commentator, Hollywood, Calif..--

---138–172, 185–196

Fisher, George, news reporter and radio announcer, Hollywood, Calif. 196–203

Flynn, John T., journalist, newspaper, and magazine writer, New

York City

90–134

Harrison Reports_-

172-185

L'Heureux, Robert D., secretarial staff of Senator Charles W. Tobey,

Washington, D. C.-

434-437

Nye, United States Senator Gerald P., of North Dakota --- 6-64, 134

Oehman, Mrs. Charlotte Paero, Boyd School of Secretaries, Wash-

ington, D. C-----

439–445

Schenck, Nicholas M., president, Loew's Inc., Los Angeles, Calif.- 213-266,

268-289, 322–336

Stahlman, James G., president, Nashville Banner, Nashville, Tenn-- 395–408

Tobey, Charles W., Jr., secretary to Senator Charles Tobey of New

Hampshire, Washington, D. C-----

447-448

Warner, Harry M., president of Warner Brothers Pictures, Inc., Wash-

ington, D. C---

337-392

Zanuck, Darryl F., vice president in charge of production, Twentieth
Century-Fox Film Corporation, Hollywood, Calif..

410-427V

Communications from

Willkie, Wendell L., counsel for motion-picture industry-

18

Cook, Fulton, Bungalow Theater, St. Maries, Idaho----- 135, 136, 137

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III

MOVING-PICTURE SCREEN AND RADIO PROPAGANDA

TUESDAY, SEPTEMBER 9, 1941

UNITED STATES SENATE, SUBCOMMITTEE OF THE COMMITTEE ON INTERSTATE COMMERCE,

Washington, D. C. The subcommittee met, pursuant to call, at 10:15 a. m., in the caucus room, Senate Office Building, Senator D. Worth Clark presiding.

Present: Senators Clark of Idaho (chairman of the subcommittee), McFarland, Tobey, and Brooks. Senator Bone as a member was not present.

Present also: Senators Smith, Clark of Missouri, and Nye.

Senator CLARK of Idaho (chairman of the subcommittee). The subcommittee will please come to order, and also the members of the audience.

These hearings, which are about to begin, before a subcommittee of the Senate Committee on Interstate Commerce, come on by virtue of Senate Resolution 152.

In view of the fact that there has been considerable comment in the press concerning this committee; and further, in view of the fact that there seems to be some misapprehension as to what these hearings are all about, both as to their legality and other characteristics, I think it proper that the chairman of the subcommittee make a brief preliminary statement.

On the 1st day of August 1941 Senator Nye and Senator Clark of Missouri introduced in the Senate of the United States, Senate Resolution 152. I will ask that that resolution be placed in the record of our hearings, but, first, it is short and I desire to read it:

RESOLUTION

Whereas the motion-picture screen and the radio are the most potent instruments of communication of ideas; and

Whereas numerous charges have been made that the motion picture and the radio have been extensively used for propaganda purposes designed to influence the public mind in the direction of participation iħ the European war; and

Whereas all of this propaganda has been directed to one side of the important debate now being held, not only in Congress, but throughout the country; and

Whereas this propaganda reaches weekly the eyes and ears of one hundred million people and is in the hands of groups interested in involving the United States in war: Therefore be it

Resolved, That the Committee on Interstate Commerce, or any duly authorized subcommittee thereof, is authorized and directed to make, and to report to the Senate the results of, a thorough and complete investigation of any propaganda disseminated by motion pictures and radio or any other activity of the motion-picture industry to influence public sentiment in the direction of participation by the United States in the present European war.

1

The Committee on Interstate Commerce, or any duly authorized subcommittee thereof, is authorized and directed to obtain such facts as other Gov. ernment agencies may have, and to secure the assistance of other Government agencies in the investigation hereby authorized.

For the purposes of this resolution the committee, or any duly authorized subcommittee thereof, is authorized to hold such hearings, to sit and act at such times and places, either in the District of Columbia or elsewhere, during the sessions, recesses, and adjourned periods of the Senate in the Seventyseventh and subsequent Congresses, to employ such experts, and clerical, stenographic, and other assistants, to require by subpena or otherwise the attendance of such witnesses and the production and impounding of such books, papers, and documents, to administer such oaths, and to take such testimony and to make such expenditures as it deems advisable. The cost of stenographic services to report such hearings shall not be in excess of 25 cents per hundred words.

(S. Res. 152] AMENDMENT Intended to be proposed by Mr. Nye (for himself and Mr.

Clark of Missouri) to the resolution (S. Res. 152) authorizing an investigation of propaganda disseminated by the motion-picture and radio industries tending to influence participation of the United States in the present European war, viz: At the end of the resolution add the following:

"Be it further resolved, That the Committee on Interstate Commerce, or any duly authorized subcommittee thereof, is authorized and directed to make, and to report to the Senate the results of, a thorough and complete investigation of any monopoly, real or potential, partial or whole, in the production, distribution, and exhibition of motion pictures; any powers exercised by reason of any such monopoly upon or by any individual in any field--economic, political, or social; and any trade practices, organizations of motion-picture producers, distributors, or exhibitors; and all matters relevant, pertinent, or incidental to the production, distribution, or exhibition of motion pictures."

That is the end of the resolution. Immediately after the introduction of the resolution one of its sponsors asked the Senate to refer it to the Committee on Interstate Commerce. The presiding officer of the Senate, without objection on the part of any Senator, so referred it. It was, therefore, referred to the Committee on Interstate Commerce by the Senate itself by unanimous consent for consideration.

Now, it is perfectly obvious that an intelligent consideration of this, or any other resolution or bill coming before the Congress, could not be achieved without hearings; indeed, it has been the invariable practice, not only of the Senate but also of the House, to hold hearings on all important resolutions and measures coming before it. So this very consideration of this and other resolutions was contemplated, because at the beginning of the Seventy-seventh Congress another resolution was introduced, which was passed by the Senate. That resolution is Senate Resolution 9, which I will read, as follows:

RESOLUTION

Resolved, That the Committee on Interstate Commerce, or any subcommittee thereof, is authorized, during the Seventy-seventh Congress, to send for persons, books, and papers, to administer oaths, and to employ a stenographer at a cost not exceeding 25 cents per hundred words, to report such hearings as may be had on any subject before said committee, the expense thereof to be paid out of the contingent fund of the Senate; and that the committee, or any subcommittee thereof, may sit during any session or recess of the Senate.

Let me emphasize that that resolution, Senate Resolution 9, was voted and approved by the Senate. That resolution was to enable the Interstate Commerce Committee to have sufficient power, and indeed it

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