Heinl radio business letter (July-Dec 1935)

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7/16/35 W.U. PROTESTS INTERLOCKING DIRECTORATE RULING Newcomb Carlton, Chairman of the Board of Directors of the Western Union Telegraph Company and President of the Mexican Telegraph Company, and E. Y. Gallaher, Vice-President of the Western Union and Director and Vice-President of the Mexican Telegraph Company, petitioned the Federal Communica¬ tions Commission last week to modify its decision prohibiting them from serving on the Boards of both companies. In a recent ruling the Commission held that these two officers, together with eight others, could not serve adequately two different companies within the meaning of the Communications Act. Roy B. White, President of Western Union, supported the petition and said that Western Union owned 60 per cent of Mexican Telegraph Company stock, International Telephone and Telegraph Company holding the remaining 40 per cent. He also said that the Mexican company would have to employ a President and Vice-President at extra cost, as the incumbents are serving with only nominal Director’s fees. XXXXXXXX WAS IT A TYPOGRAPHICAL ERROR? Considerable interest was occasioned when a Washington newspaper printed a list of guests at the party given to Presi¬ dent Roosevelt at the Jefferson Island Club last Sunday, which paper said was attended by ’’Cabinet members, Senators, Govern¬ ment officials and just Democrats. ” But the name of George H. Payne, Republican member of the Federal Communications Com¬ mission was listed. Even though Mr. Payne is kno?/n to be an excellent politician, a Bull Mooser under Theodore Roosevelt, and appointed to his present office by the Democratic President, Franklin D, Roosevelt, much surprise was created by the fact that Mr. Payne should be invited to this Democratic party to the apparent seclusion of the numerous deserving Democrats on the Commission. Exactly what the answer is, deponent sayeth not. Incidentally, Mr. Payne was listed as a member of the "Federal Trade Commission" which may have been another typographi¬ cal error. XXXXXXXX 10