Senate Aide Claimed $2,100,000 Gains

Press, Volume CIII, Issue 30348, 25 January 1964, Page 12

Senate Aide Claimed $2,100,000 Gains

(N.Z. Press Association—Copyright) WASHINGTON, January 23. Senate investigators found today that in nine years as Senate Democratic secretary, Robert G. Baker claimed to have made 2,100,000 dollars in outside dealings. Baker resigned from the post on October 7, 1963.

The estimate was contained in a statement filed by Baker on February 1, 1963, with the Fraternity Savings and Loan Association of Baltimore. It listed the net worth of the former aide to then Senate majority leader, Mr Lyndon Johnson as 2,166,886 dollars.

The statement was introduced at a Senate Rules Committee inquiry into Baker’s outside interests while holding the key Senate job. A general accounting office investigator, Lorin Drennan, said there were marked inconsistencies in the financial report.

Drennan claimed that Baker overstated his assets and understated his liabilities. Taking this into account. Baker’s net worth should have been listed as 1,791,186 dollars. The net worth of Baker, aged 35, a former Senate page boy, was 11,025 dollars in 1954, His new money came from real estate and stock assets. Defence By Johnson President Johnson today defended his action in having accepted an expensive stereo record player paid for by an insurance salesman who sold a costly policy on his life. Mr Johnson, addressing an impromptu press' conference, referred to a stereo set given to him by Baker in 1959.

The President said the Johnsons and the Bakers had exchanged gifts before and that, in offering the set, Baker ‘‘expected nothing in return” any more than he had for gifts to Baker. Mr Johnson said that Baker, now being investigated by the Senate for his multiple financial dealings, was a public official at the time. Baker had no reason to claim favours from him in return for the 580-dollar set. Baker was paid 19,000 dollars a year as secretary to the Senate Democratic majority. Don B. Reynolds, the in-

surance man who paid for the stereo set, told Senate investigators earlier that he sent it to Mr Johnson at Baker’s suggestion. He said the manufacturer’s invoice on the set showed that he (Reynolds) was paying for it. Mr Johnson, in his talk with reporters, himself mentioned the gift in responding to an inquiry for an assessment of how things were going in Congress. Republican Criticism

Republicans have been critical of the President for having received what they described as a “kickback.” Senator John Williams said yesterday: “I see no difference in the acceptance of an expensive stereo than in the acceptance of a mink or vicuna coat, a deep freeze or oriental rug. I condemned the deep freezes and the vicuna coats of the preceding administrations, and will not defend the stereo now.” Senator Williams said he believed anyone giving gifts to public officials expected something in return, and “any public official who accepts such gifts is not so naive as to be unable to recognise that point. “Under preceding administrations,” Senator Williams said, “the acceptance of lavish entertainment and large gifts by officials of the Government was strongly condemned, and it cannot be condoned now any more than it was then.” After issuing his statement to reporters, Senator Williams read it in the Senate.

Bigger Demand.—Expenditure on Maori education awards this year could exceed last year’s £35,000, judging by the rate applications for assistance were coming to hand, said the secretary of the Maori Education Foundation, Mr J. S. Jolliff. (P.A.)