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THE WHITE HOUSE
WASHINGTON

August 2, 1941

MEMORANDUM FOR

no;:, MARRINER SOCLES
I vent over the question of
the sixth member for F. R. B. Just
before leaving and find, it almost
impossible to replace either Evane
or j&; L. Wilson in the places they
no\: occupy. The other available
man le Appleby* He has been a
splendid Adrninistrr tor, he knowsthe agricultural situation and,
finally, I am very certain that
you vrlll like him when you cone to
know him*
Frankly, I think this is in
every way the best choice I can
make. Therefore, I am havlrtg
the papers prepared for his
nomination and hope thill is a
r^ble to you.




July 18,
PERSONAL ASS COBFIDBKTIAL
Dear Chester:
Would you let me have, in the strictest confidence of course, your opinion of and such information as
you have in regard to Rudolph M« Evans who, as you know,
is Administrator of the Agricultural Adjustment Administration? I would particularly like to get your slant on
his general outlook and qualifications in case he is put
forward as a representative of agriculture on the Board.
I have an acquaintance with him and a favorable
impression in regard to his personality. The only factual
information I have of his background is the enclosed data
from "ISho's lho?t« It is my understanding that Wallace
brought him here and that he is much closer to Wallace
than M. L. Wilson•
I would appreciate it if you would write ma as
fully and candidly as possible to give me your opinion of
Evans, and I will of course treat it as absolutely con*
fidential and for my own personal infonaation*
With kind personal regards,
Sincerely yours,

Mr. Chaster C* Davis, President,
Federal Reserve Bank of St. Louis,
St* Louis, Missouri*

enclosure

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BAR LAZY J RANCH
PARSHALL,COLO.

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REMARKS:

Mr* Evans1 correct title is;
Agricultural Adjustment and
Conservation Administrator.

CHAIRMAN'S OFFICE



BOARD DF GOVERNORS OF THE FEDERAL RESERVE SYSTEM

August 2, 1941.

Memorandum to Chairman Ecdes*
Paul H. Appleby was born in Green County, Missouri,
September 13, 1891* and graduated with an A.B* degree from Iowa
College in Grinnell in 1913* From then on to 1933 he appears
to have been engaged exclusively in newspaper work. He was a
publisher of weekly newspapers in Montana, Minnesota and Iowa
from 1914 to 1920; he was editor of the Iowa Magazine at Waterloo,
Iowa, from 1920 to 1924} he was an editorial writer for the Des
Moines Register and Tribune from 1924 to 1928j and he was a publisher of weekly newspapers in Virginia from 1928 to 1933 • He
then came to Washington as Executive Assistant to the Secretary
of Agriculture and has been in that Department ever since, being
now Under Secretary of Agriculture•
This being Saturday I have been unable to get in touch
with anyone with whom I could talk in confidence about him but
there is nothing in his record to identify him in any way with
agriculture as such except as it might have been gained through
his contacts as a newspaper man and since 1933 as an administrator
in the Department of Agriculture. His record from the standpoint
of identity with a knowledge of agriculture cannot be compared
with that of A. G* Black who appears to have spent all his life
since he graduated in work of an agricultural nature^being by
profession an agricultural economist*



When I succeed in getting in touch with someone who

-2-

can give me further information I will pass it on to you.




August 2,

Dear ;r. President:
In view of mj conversation math you & f«*
days ago and alao my conversation with Vice President
Wallace and Secretary' Wickard regarding the appointment of
the agricultural member of the FRB, your raeraorandusi just
received C*&6 SUB & shock to a*« 1 do not know very much
about Appleby, but «kat I have heard from Chester Davis
and others «ha know hia causes me to have great misgivings•
The job of working with & large board and
getting results is a very difficult one at best and to have
a member appointed. i*hotttgtitMl difficult to work ??ith
-would add greatly to lay probletts9 particularly it; the period which lies im-e'diktely ahead in which sr,ooth working
organisation is so essential. This appoint-nent i*s very important to me since I have to work so constantly with the
Board
In view of the foregoing, I would like to
request that you dmfmr final action on this appointment wx~
til you return from your trip and I can have an opportunity
to advise with you after checking further into the matter.
Very respectfully,

Um S, Eccl.es,
Chairman,
The President,
The "Shite House.




August 6, 1941My dear ir« President:
I greatly appreciate your deferring action on the appointment of Ur. Applebjr until I may have an opportunity to advise further
with you.
When I talked to Secretary Wickard about L!r. Evans or Hr« Wilson on the Wednesday before you left, he said that either one of the two
men would be a very good choice. He did not then mention, nor had he ever
before mentioned Mr, Appleby to me. He asked me, however, to defer doing
anything until he could think the matter over and talk to me the following
Monday. In the interim, he apparently suggested to you that lfr« Appleby
was the best choice and that neither Hr. l^vans nor Mr. Wilson were available. That was hardly cricket.
1 was interested in learning from Henry Morgenthau this morning that Secretary Wickard had asked him several months ago to recommend
to you the appointment of Mr. Appleby. From my conversation with Henry
as well as from other evidence, I have reason to feel that Secretary Wickard has for some time thought Mr. Appleby had outlived his usefulness in
the Department of Agriculture and has been, try in:; to find soir.e other place
for him.
It is my considered opinion from information I have that llr*
Appleby has been a discordant element in Agriculture and I, therefore, feel
that he might be a discordant element on the Board. I do not. see that he
would bring any strength to the Board with the agricultural groups and
Congress. Quite otherwise. He does not stand well, as the agricultural
member of the Board should, with the majority of the important farm organizations, or with many of the agricultural members of Congress*
Henry Morgenthau feels just as 1 do about Appleby1 a appointment
to the Board. We would both like to see Bill Myers appointed, if he can be
secured, if not, then .1 would like to see you reconsider Mr. Evans who,
next to Mr. Appleby, would be Secretary rdckard's choice, as he has said to

1 hope you will not feel that 1 am presumptious
SO frankly about this natter, but 1 am intensely interested
get the best possible man for this position and to avoid an
which is for more than twelve yeurs and which we both might
ture of the Federal Reserve System means too much to me not
to you with reference to this appointment.
Very respectfully,
The President,
The White House.



in writing you
in helping you
appointment
regret. The futo speak my mind

Prom a confidential, personal letter of Chester Davis which he wrote on
August h on hearing of the possibility of Applebyfs appointment:
fl

He would not be a satisfactory agricultural representative
on the Board either from the standpoint of the agricultural groups or
from that of the Board•
"Nothing in his history ever identified him in the slightest
degree with agriculture until Secretary Wallace brought him to Washington from Radford, Virginia, as Assistant to the Secretary in 1933*
Ordinarily a man who spent eight years in the Secretaryfs Office might
be expected to establish close relationship, based on mutual trust and
confidence, with the important organizations in the field of agriculture • This, with very minor exceptions, Paul has not done. I include among those who do not have confidence in him or his ability to
represent agriculture all of the national farm and cooperative organisations and the state agricultural colleges and Extension organizations*
An exception should be made in the case of some elements in the National
Farmers Union headed by Bill Thatcher, with whom Paul has worked fairly
closely. I believe that the Secretary of Agriculture and many of his
close associates have been wanting for some time to get Appleby out of
the Department. Early last March Henry Wallace told Harry Hopkins and
me that he had at last concluded that Paul had outlived his usefulness
in the Department of Agriculture and would have to be shifted to some
other job. He felt strongly that Paul's hard work and financial circumstances made it important that some good place be found for him. I
agree with this with only this reservation — I do not believe i t is
fair either to the Administration or to Agriculture that he be named
to an important position as agriculture's representative or spokesman.
w

From close observation in the Department of Agriculture and
outside it is my opinion that it is common knowledge that friction and
discord have attended his activities. I believe he promotes factions
and works through them so much that his being in an organization does
not promote harmony and coordinated action.n
"I feel certain that from any investigation you make you will
conclude (l) that the Department of Agriculture wants to move him out
because he has been and is a discordant element; and (2) that he would
bring weakness rather than strength to the Board in its relation with
agricultural groups•*




August 19*

PERSOSAL ASP COBFIDE1TIAL

My dear Mr* President:
As I expect to leave for the West at the end of
the week to be gone for several weeks, I would greatly
appreciate it ift before leaving, I could talk to you for
a moment or two in your office or over the telephone in
regard to the agricultural vacancy on the Board* If this
is not convenient, I hope the matter can be left open until such time as you may be able to see me on my return*
Since I took the liberty of writing to you a
second time about Appleby while you were on your recent
cruise, I have looked into the situation still further*
I have no personal feeling whatever about Appleby, but
I am now convinced that his selection would be unpopular
with the representative agricultural organizations, excepting the more radical factions of the Farmers* Union,
and with those agricultural representatives in Congress
with whom we have to work* Judging by his record, the
antagonisms he has stirred up, and the fact that Wickard
is anxious to get rid of him by unloading him on us, I
can only conclude that his appointment would be inadvisable from the standpoint of the Reserve Systom?s relationship with agriculture*
Respectfully yours,

The Honorable
The President of the United States,
The White House*

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