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Senate Select Committee on Presidential Campaign Activities, June 12, 1973 (2/2)
[01.04.15--STANS testifying about campaign finances and payments to KALMBACH and others] Mr. STANS. I think you are referring to disbursements in cash, are you, Senator? Senator MONTOYA. Yes. Mr. STANS. From time to time but,, only a very few occasions, Mr. Sloan gave me reports as to how much cash he, had on hand. Occasionally, I asked him and he would give me the figure. And he also gave me reports as to the contributions received in cash. To the best of my recollection, Mr. Sloan did not ever give me a report of the individual disbursements that, he made in cash to anyone. Senator MONTOYA. Did he ever tell you verbally about any big disbursements which he made? Mr. STANS. Well, I heard about, some that he had made in the past, For example, there was $25,000 given In 1971, almost, a year before I joined the committee, to help in the campaign of Congressman 'Mills in Maryland, I did not know about that at, the time, but after I became chairman, I was told that--- Senator ERVIN. I think you are distracting the attention of the committee and the witness, so please desist from taking pictures, Mr. STANS. At the time I became chairman of the committee or shortly thereafter, I was told that there was a loan of $25,000 still due from Congressman Mills' campaign. I asked Lee Nunn, N-u-n-n, who is one of the members of our committee, to check it out, and see if we could get paid, and the report was that there was no money and we could not get it back. So in that sense, I did learn from Mr. Sloan about, some of the earlier transactions. But I do not recall any full accounting for Mr. Sloan until June 23 of last year. Senator MONTOYA. Well, did you know of any disbursements made to anyone in Maryland for the Agnew dinner? Mr. STANS. Yes; I was a party to that transaction. Senator MONTOYA. Tell us about it. Mr. STANS. In March, Mr. Alexander Lankler was; the chairman of the Maryland Committee for the Re-Election of the President--the campaign committee in Maryland, not the finance committee. And he wanted to be sure that he was going to have adequate financing for his Campaign. So on one occasion, he brought in checks from a contributor totaling $150,000 in March. He said that, in return, he wanted a promise that, on call, we would give him $50,000 of that, money to use in the Maryland campaign at any time. I made the promise. I considered it, a, pledge to him to do so. Sometime in May, before the 19th, Mr. Lankler came in and said he, would like to call the $50,000 that had been promised to him, he would like it as a loan to be used in a salute to Agnew party on May 19. It did not look as though the receipts of that at, affair were going to be of a creditable size and he wanted the receipts to be increased. I gave him the money, with the understanding that it, would be returned promptly after the affair was over. It was returned to the committee in July. That is the story of that transaction. Senator MONTOYA. Did you ever in inquire or was not your curiosity aroused by requests for the large sums which were being disbursed by Mr. Sloan? Mr. STANS. Senator, Mr. Sloan was the treasurer of the committee, MR. STANS. He had the cash fund long before I got there. He continued to handle the cash transactions. My only interest was really in knowing who had made contributions in cash, because I wanted to know who our contributors were. I wanted to know from time to time how much cash he had on hand, because occasionally, he and I would discuss that subject and I would suggest that he ought to put some of it in the bank, and he did from time to time. My recollection is that he banked about half of the money that came in cash in the course of time. So that was the nature of my interest and my curiosity. senator MONTOYA. Why would you attend these budget meetings, because they were meetings about disbursements, then, if you were just interested in contributions? Mr. STANS. I do not, understand your question, Senator. [01.09.23]
Senate Select Committee on Presidential Campaign Activities, June 12, 1973 (2/2)
[01.09.23] Senator MONTOYA. Well, you attended quite a few budget meetings with your budget committee to determine how the, money would be spent. This did not deal with contributions. Mr. STANS. No; it, did not; it dealt, with the spending of the campaign Senator MONTOYA. Now, did you discuss at these budget meetings the big expenditures that were being doled out to certain individuals such as Mr. Liddy? Mr. STANS. Senator, from the time I came, the expenditures so far as I know, were not big, were not large., except on the one occasion when Mr. Sloan came too me and said that, Liddy wanted a fairly I substantial amount, of money, and I went to John Mitchell and determined that Magruder had the authority to tell Sloan to make payments to Liddy. I was not aware of large amounts of payments. Senator MONTOYA. Did '.Mr. Mitchell at that meeting tell you what this money was going to be used for-, the money that, was going to be disbursed I to Mr. Liddy? Mr. STANS. No; Mr. Mitchell and I did not discuss an amount of money. We discussed only the principle of whether Mr. Magruder had the authority to direct Sloan to make payments. Mr. Magruder said he did not, know what it was about-- I mean, excuse me, Mr. Mitchell said he did not know what it was about, that it was 'Magruder's responsibility. Senator MONTOYA. Did you make any reports about the state of the finances and also the state of disbursements to anyone in the White, House while you were with the finance committee as chairman? .Mr. STANS. I made no reports of any kind on cash transactions, if that is the nature of your question. Senator MONTOYA. No disbursements--total disbursements--cash or otherwise. Mr. STANS. Total disbursements? I had several conferences with Mr. Haldeman on the subject because I was, as I said earlier, very Much concerned, almost irate, about the level of spending in this campaign. I thought originally that, in the President's position, he Could he be reelected for $25 or $30 million. And when they came to me -With budgets of $40 million which were incomplete and higher amounts I objected very strenuously I insisted that, there was overkill in the, budgets in the sense that they were spending money for massive amounts of direct, mail, massive amounts of telephoning, amounts of advertising that, just, were duplicating each other. And with that feeling of frustration, which was pretty constant every time we had a meeting, I went to Haldeman a couple of times and asked whether he couldn't get some help for me from the President in holding down the level of spending--not in term-, of any One Category, but just let's ran this campaign with less money. I don't know what Mr. Haldeman did. I didn't see any significant consequences as a result of those several meetings. Senator MONTOYA. Did he ever get, back to you? Mr. STANS, I don't recall any specific report. He would take it up and talk about it, but that was it. Senator MONTOYA. Did you ever discuss 'With Mr. Haldeman any expenditures with respect to any of the activities chargeable to the White House? Mr. STANS. NO, I don't recall any discussion with Mr. Haldeman about that. Senator MONTOYA. Were you aware that expenditures were being made for activities which were emanating from the White House? Mr. STANS. I was aware that the Republican National Finance Committee was reimbursing the White House for fairly substantial amounts of money for matters which were believed to be political, such as mailings and things like that. And when the President became the official candidate of the party, I was aware of those amounts in considerably greater detail, because I also became chairman of the Republican National Finance Committee, Yes, the two committees were paying substantial amounts of money for mailings by the White House, for traveling expenses of people 'in the White House, and for the President's political travel. Senator MONTOYA. And how was this money disbursed to the White House for these purposes? In cash or by check? Mr. STANS. Oh, it was all by check, I don't know of any case in which the money went by cash. Senator MONTOYA. SO, do I understand that the cash disbursements about which you are aware are as follows: $350,000 to Mr. Kalmbach' which eventually went to the White House to Mr. Strachan, and $75,000 to Mr. Kalmbach directly, comprised of $45,000 from your safe and $30,000 from the contribution by the Philippine National then $89,000 to Mr. LaRue on one occasion Mr. STANS. $81,000. [01.14.53]