Senator MCKELLAR. Well, your statement will show for itself, so we need not discuss that. What I want to ask you is this: From whom did you get your instructions as an engineer? Mr. SCHLEMMER. From the chief engineer. Senator MCKELLAR. The chief engineer? Mr. SCHLEMMER. Yes, sir.

Senator MCKELLAR. Who was the chief engineer?

Mr. SCHLEMMER. At the time of the institution of the Tennessee Valley Authority, Dr. Arthur E. Morgan was the chief engineer. He acted through Mr. Karl A. Bock, who was the assistant or acting chief engineer. Subsequently, Mr. Theodore B. Parker, Colonel Parker, later professor at Massachusetts Institute of Technology, and now deceased, was the chief engineer; and at the present time, Mr. Clarence E. Blee is the chief engineer.

Senator MCKELLAR. Yes, sir. And when did you leave, and why did you leave?

Mr. SCHLEMMER. I left the Authority upon the substantial completion of the construction of Fontana Dam.

Senator MCKELLAR. When was that?

Mr. SCHLEMMER. In July 1946, upon the invitation of one of the very largest woolen textile mills in the United States and the largest woolen textile mill in the South, to enter its organization in an execu tive capacity.

Senator MCKELLAR. And do you do business with the Tennessee Valley Authority now?

Mr. SCHLEMMER. We do not, sir.

Senator MCKELLAR. And you do not get any power from them? Mr. SCHLEMMER. We receive power from the Chattanooga Electric Power Board.

Senator MCKELLAR. Well, does that board get its power from the TVA?

Mr. SCHLEMMER. It does, sir.

Senator MCKELLAR. That is what I thought. So you are receiving TVA power; are you not?

Mr. SCHLEMMER. Indeed, we are, as is every other industry within the entire Tennessee Valley Authority; as is every residence within the Tennessee Valley Authority.

Senator MCKELLAR. I will ask you again: Who planned these dams! Was it not Dr. Morgan? Was it not under the general overhead direc tion of Dr. A. E. Morgan? All of these dams were planned by him from beginning to end; were they not?

Mr. SCHLEMMER. As I endeavored to explain in my statement, Senator, the Authority's organization was a practical, rational, sensible, efficient entity. Consequently, it was made up of divisions, and various divisions had various responsibilities. They all contributed in some way toward the development of these plans, and ultimately it became one final composite plan.

Senator MCKELLAR. Under the general direction, though, of Dr. A. E. Morgan. All these engineering plans which had been so beautifully carried out, so splendidly carried out, were the result of the overhead working of Dr. A. E. Morgan, who was an engineer; is that not true!

Mr. SCHLEMMER. That is true, Senator, but with limitations; only during the period of Dr. Morgan's association with the Authority. Senator MCKELLAR. Only during that time, but all the dams had been planned before he left?

Mr. SCHLEMMER. I think not, sir.

Senator MCKELLAR. Which one had not?

Mr. SCHLEMMER. Well, I believe, sir, that Watts Bar Dam had not been; Fort Lowden Dam had not been; Cherokee Dam had not been; Douglas Dam had not been; Fontana Dam had not been.

Senator MCKELLAR. They had not been finished, but they had been planned?

Mr. SCHLEMMER. I believe not, sir. I may be incorrect in my state

ment.

Senator MCKELLAR. Will you get the dates and furnish the committee with the facts?

Mr. SCHLEMMER. I have no access to information from the Tennessee Valley Authority.

Senator MCKELLAR. Well, you can get it when you go back.

Mr. SCHLEMMER. I only have the rights of a private citizen, and I am sure the Authority would furnish me those facts like any other private citizen.

Senator MCKELLAR. Oh, you were formerly employed by them, and I am just as certain as I am of anything in the world that you could get the facts if you wished to.

Mr. SCHLEMMER. I will be glad to do it, sir. Would you state what information you desire, Senator?

Senator MCKELLAR. I want to know if all the dams were not planned before Dr. A. E. Morgan was let out.

Mr. SCHLEMMER. And if not, those which were not?

Senator MCKELLAR. That is right.

That is all, Mr. Chairman.

The CHAIRMAN. Are there any other questions?

Is Mr. Joe H. Wright, of Sweetwater, here?

I may say now, Senator McKellar, at the conclusion of this session, that ever since your request for the subpena of Muriel Williams, our committee staff has been very zealous. Repeated telephone calls and repeated inquiries at various places have been made. I am sure the committee staff has been extremely zealous night and day trying to locate her, and we have not as yet been able to locate an address for her.

Senator MCKELLAR. I will undertake to help the committee. I will say that the people under you have been exceedingly nice and attentive to detail.

The CHAIRMAN. The staff has repeatedly called your office for the last 2 days to get some aid, so if you have any knowledge or can get it, as to where we can locate her, it would help materially. Senator MCKELLAR. I certainly will.

The CHAIRMAN. The committee will meet this afternoon at 2:30 in room 301, the Banking and Currency room. The committee will now adjourn until 2:30 this afternoon.

9807847-41

(Whereupon, at 12: 30 p. m., a recess was taken until 2:30 p.m. of the same day.)

AFTERNOON SESSION

The committee reconvened at 2: 30 p. m., upon the expiration of the recess, in room 301, Senate Office Building.

The CHAIRMAN. The committee will be in order.

Is Mr. L. J. Wilhoite here?

Senator MCKELLAR. Mr. Chairman, will you let me interrupt just

a moment.

The CHAIRMAN. Yes.

Senator MCKELLAR. I want to put two biographies from Who's Who in the record, one from volume 24, 1946-47 edition and the other one from volume 23, 1944-45 edition of Who's Who, and several telegrams in the record concerning service of Mr. Lilienthal in Wisconsin and Chicago at the same time.

Is there objection to it?

The CHAIRMAN. No objection.
Senator MCKELLAR. All right.

The CHAIRMAN. Will you identify the pages?

Senator MCKELLAR. Yes, sir. I have got one of them transcribed. and I will identify the other one.

The CHAIRMAN. I mean at this point in the record, can you identify the pages of Who's Who?

Senator MCKELLAR. Yes, sir.
The CHAIRMAN. 1945 edition
Senator MCKELLAR. Yes, sir.

to put that in.

The CHAIRMAN. All right.

The first one is 1945. of Who's Who?

I do not have the page. I will have

Senator MCKELLAR. The other one is 1946 and 1947, on page 1,407. The CHAIRMAN. All right, sir; and if you will give the reporter the telegrams you want to put in at the same time they will go in together.

Senator MCKELLAR. All right, sir. Thank you.

(The biographies and telegrams referred to are as follows:)

1944-45 EDITION WHO'S WHO-VOLUME 23

David Eli Lilienthal: Chairman Tennessee Valley Authority, lawyer, born in Morton, Illinois, July 8, 1899; son of Leo and Minna (Rosenak) L.; A. B.; DePauw Univ.; 1920: Greencastle, Ind., LL.D.; 1945; LL.B.; Harvard, 1923; m. Helen Marian Lamb, Sept. 4, 1923; children-Nancy, Alice, David Eli. Admitted to Ill. bar, 1923; Tenn. bar, 1934; in practice of law, Chicago, 1923-31; Chicago, 1923-26; alone, 1926-31; mem. Wisconsin Public Service Commission, 1931; dir. Tenn. Valley Authority since 1933, apptd. chmn., 1941. Mem. Am. Bar Assn.; Delta Upsilon, Delta Sigma Rho, Sigma Delta Chi, Phi Betta Kappa, Contbr. to legal mags; editor Public Utilities and Carriers Service, 1926-31. Author: T. V. A.; Democracy on the March, 1944; Home: 81 Pine Rd., Norris, Tenn. Office: New Sprankle Bldg., Knoxville, Tenn.

1946-47 EDITION WHO'S WHO-VOLUME 24

The same with the exception that lines that are italicized have been deleted.

[Telegram]

FEBRUARY 20, 1947.

Hon. FRED ZIMMERMAN,

Secretary of State, Madison, Wis.:

Please wire me immediately Government collect date of appointment of Mr. Lilienthal to Public Service Commission.

KENNETH MCKELLAR.

[Telegram]

MADISON, WIS., February 20, 1947.

Senator KENNETH MCKELLAR:

David Lilienthal appointed to Wisconsin Railroad Commission (now Public Service Commission) on February 12, 1931.

FRED R. ZIMMERMAN, Secretary of State.

[Telegram]

FEBRUARY 19, 1947.

The COMMERCE CLEARING HOUSE,

Chicago, Ill.:

Please wire me Government collect the date that Mr. David E. Lilienthal received his last check from you as editor of the publication Utilities and Carriers Service or in any other capacity. Give the dates of his going with you and the date of his last month with you.

[Telegram]

KENNETH MCKELLAR.

Hon. KENNETH MCKELLAR,

CHICAGO, ILL., February 19, 1947.

United States Senate, Washington, D. C.: Answering your telegram of even date our record show that the first payment to David E. Lilienthal for his authorship of Public Utilities and Carriers Law Reporting Service was made September 18, 1926, and that the last check from us was dated August 27, 1932. During the entire period his personal services were rendered from his own law office and our records do not disclose requested dates with us except as indicated by foregoing dates of payment.

COMMERCE CLEARING HOUSE, INC.

The CHAIRMAN. Do you solemnly swear that the testimony you are about to give is the truth, the whole truth, and nothing but the truth? Mr. WILHOITE. Yes, sir.

TESTIMONY OF L. J. WILHOITE, SOUTHERN DAIRIES, INC., CHATTANOOGA, TENN.

The CHAIRMAN. Will you give your name, business, and residence please?

Mr. WILHOITE. L. J. Wilhoite. I am connected with Southern Dairies, Inc., responsible for their Chattanooga, Tenn., and Knoxville, Tenn., properties and a director of Southern Dairies, Inc. My

home is Chattanooga, Tenn., where I was born 59 years ago and where I have since lived except when I was away in school.

opera

The CHAIRMAN. Have you been interested in observing the tions of the Tennessee Valley Authority in the Tennessee Valley in years past, since its establishment?

Mr. WILHOITE. Yes, sir. As a native of Tennessee and Chattanooga I have been keenly interested in the TVA, so-called, prior to and dur ing the time it was being established and since its establishment. The CHAIRMAN. I was just going to ask you whether or not you are acquainted with Mr. Lilienthal?

Mr. WILHOITE. Yes, sir; I am.

The CHAIRMAN. About how long have you known him? Mr. WILHOITE. I think about 14 years, ever since he came to the valley.

The CHAIRMAN. You are here as I understand it to give some testimony in connection with Mr. Lilienthal's appointment as Chairman of the Atomic Energy Commission?

Mr. WILHOITE. Yes, sir.

The CHAIRMAN. Do you have a prepared statement?

Mr. WILHOITE. No, sir; I do not have, but with your indulgency I have a few notes here which I would like to very briefly state.

The CHAIRMAN. Then you may proceed in your own way to give us your observations and your testimony.

Mr. WILHOITE. To begin with, I would like to say that I regard this as the greatest privilege that has ever been accorded me as a citizen of my country, to appear here today. In discussing this with my neighbors for the past weeks we have all been much concerned. I was both surprised and at the same time deeply grateful for this oppor tunity to be here.

I recognize fully, as you men soon will, my incapacity to live up to what a man should be able to do in a circumstance like this.

I am grateful because I regard it as the greatest opportunity ever given me to do justice to an individual and to render my country a genuine service. My only regret is that I cannot state it as I would love to.

I regard David Lilienthal highly as a result of 14 years association with him and his associates, and the work of the Tennessee Valley. During these 14 years I have represented my company, Southern Dairies, Inc., in Chattanooga and Knoxville, and indirectly throughout the southeast.

I have seen the development of the program, and that has thrown me in constant association more or less with Mr. Lilienthal and the other members of the TVA and administrative staff.

For some years I have served as a member of the Electric Power Board of Chattanooga and for the last few years have served as its chairman, in addition to my duties as a businessman, and as a businessman and as chairman of the Electric Power Board of Chattanooga, my duties have brought me in pretty constant relationship with Mr. Lilienthal.

I regard him as a man of great vision coupled with a strictly downto-earth, practical, every-day, realistic approach to the problems that have to be solved to attain an ideal.