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appeared before the committee and stated the fact that commissions 

were  paid  on  these 

 

 

transactions, they were in turn paid over to the 

brokers, selected by the managing director, who executed the orders 

issued by his brokerage house, and immediately after this disclosure to 

the committee, the managing director employed Ernst and Ernst, 

certified public accountants, to audit the books of the War Finance 

Corporation, who did, upon completion of the examination of these 

books, report to the committee that all moneys received by the 

brokerage house of the managing director had been accounted for. 

While simultaneously with the examination being made by the 

committee, the certified public accountants, heretofore referred to, 

were nightly carrying on their examination, it was discovered by your 

committee that alterations and changes were being made in the 

books of record covering these transactions, and when the same was 

called to the attention of the treasurer of the War Finance 

Corporation, he admitted to the committee that changes were being 

made. To what extent these books have been altered during the 

process the committee have not been able to determine. After June, 

1921, about $10 billions worth of securities were destroyed."

It was Eugene Meyer’s Washington Post, (under the direction of his 

daughter, Katherine Graham) which was later to drive a President of 

the United States from the White House on the grounds that he had 

knowledge of a burglary. What are we to think of the revelations of 

duplications of hundreds of millions of dollars worth of bonds during

97