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HEARINGS

BEFORE A

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1.2.conariss. SUBCOMMITTEE OF THE

JOINT COMMITTEE ON ATOMIC ENERGY,
CONGRESS OF THE UNITED STATES

EIGHTY-FIRST CONGRESS

SECOND SESSION

ON

DEPARTMENT STORE LEASE AT

OAK RIDGE, TENN.

LEASACARA DIVISION

MARCH 13 AND 14, 1950

Printed for the use of the Joint Committee on Atomic Energy

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JOINT COMMITTEE ON ATOMIC ENERGY
(Created pursuant to Public Law 585, 79th Cong.)

BRIEN McMAHON, Connecticut, Chairman
CARL T. DURHAM, North Carolina, Vice Chairman

RICHARD B. RUSSELL, Georgia CHET HOLIFIELD, California
EDWIN C. JOHNSON, Colorado MELVIN PRICE, Illinois
TOM CONNALLY, Texas PAUL J. KILDAY, Texas
MILLARD E. TYDINGS, Maryland HENRY M. JACKSON, Washington
BOURKE B. HICKENLOOPER, Iowa W. STERLING COLE, New York
EUGENE D. MILLIKIN, Colorado CHARLES H. ELSTON, Ohio
WILLIAM F. KNOWLAND, California CARL HINSEIAW, California
JOHN W. BRICKER, Ohio JAMES E. WAN ZANDT, Pennsylvania

WILLIAM L. Borden, Erecutive Director
HAROLD BERGMAN, Deputy Director

SUBcom MITTEE of THE Joint CoMMITTEE on ATOMIC ENERGY To INQUIRE
INTo THE LEASING of CERTAIN DEPARTMENT STORE FACILITIES IN OAK
RIDGE, TENN.
CHET HOLIFIELD, California, Chairman
PAUL J. KILDAY, Texas CHARLES H. ELSTON, Ohio

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Testimony of— . - Page

Cook, Richard W., Manager, Oak Ridge Operations Office, Atomic

Energy Commission----------------------------------- 37, 48, 53, 57

Gluck, Max H., president, Darling Stores Corp--------------------- 18, 86.

Levitt, Stanley, representing the subconcessionaires of Taylor's Oak

Ridge Corp-------------------------------------------- 10, 20, 41, 85

Ould, J. Wallace, assistant general counsel, Oak Ridge--------------- 39

Roth, Eugene F., counsel to the Darling Stores Corp-------- 2, 11, 18, 39, 86

Roth, Stanley, executive vice president, Darling Stores Corp- - - - - - - - - 30

White, Harold B---------------------------------------------- 84

Williams, Walter J., Director of Production, Atomic Energy Com-

mission------------------------------------------------- 36, 49, 57

Wilson, Frank W., Oak Ridge, Tenn.------------------------------ 78

Winfrey, C. M., Manager, rental department, Roane-Anderson Co.,

Oak Ridge-------------------------------------------------- 43, 57

Additional data submitted for the record:

Advertisement for leasing of department store--------------------- 5

Concessionaires in Taylors, Inc.; letter of complaint to Col. Philip F.

Kromer, Jr.------------------------------------------------- 79

Cravens, Ira, affidavit of ---------------`------------------------- 35
Levitt, Hilda S., sworn statement regarding conversation with Mr.
Harold White----------------------------------------------- 29
Levitt, Stanley, letter to Representative Chet Holifield------------ 166
McKay, Don J., publisher, the Oak Ridger, telegram from, to Repre-
sentative Chet Holifield-------------------------------------- 76
o: idge businessmen, telegram from, to Representative Chet Holi- 7
©10------------------------------------------------------- 6

Telegram to David Lilienthal from Taylor's concessionaires--------- 86

White, Harold B., sworn statement regarding Levitt charges-------- 84

APPENDIX

Exhibit 1. Concession agreement between Taylor's Oak Ridge Corp. and

Roane-Anderson Co---------------------------------------------- 94

Exhibit 2. Court opinion in injunction suit by the United States against

Taylor's Oak Ridge Corp----------------------------------------- 106

Exhibit 3. Proposals and related letters for leasing of Oak Ridge Depart-

ment Store----------------------------------------------------- 109

Exhibit 4. Policy and procedure for selection of award of commercial leases

at Oak Ridge, Tenn. (except housing and manufacturing)------------ 119

Exhibit 5. Historical résumé of department store operation------------- - 126

Exhibit 6. Loveman's, Inc., lease------------------------------------ 134

Exhibit 7. Additional information regarding complaints against Taylor's

Oak Ridge Corp., submitted by Walter J. Williams, Director of Produc-

tion, AEC------------------------------------------------------ 146

Exhibit 8. Additional information furnished by Frank W. Wilson.-------- 160

DEPARTMENT STORE LEASE AT OAK RIDGE, TENN.

MONDAY, MARCH 13, 1960
CONGRESS OF THE UNITED STATES,

SUBCOMMITTEE OF THE JOINT
COMMITTEE ON ATOMIC ENERGY,

Washington, D. C. The subcommittee of the Joint Committee on Atomic Energy convened at 2 p. m., pursuant to call, in room 48–G, the Capitol, Hon. Chet Holifield (chairman of the subcommittee) presiding.

Present: Representatives Holifield, Kilday, and Elston.
Mr. HOLIFIELD. The subcommittee will come to order, please.

This special subcommittee has been appointed by Senator McMahon, the chairman of the whole committee, for the purpose of holding a hearing on the leasing of certain department store facilities in Oak Ridge, Tenn. We have had turned over to the subcommittee certain telegrams addressed to Senator Hickenlooper, Senator McMahon, and Senator Ives, and a letter addressed to Senator Lehman from parties interested at Oak Ridge, all of them asking for this hearing.

The departments of the Government concerned have been notified, and the people representing the Darling Stores and the concessionaires have been notified and, I presume, are present.

We will open the hearings by asking Mr. Stanley Levitt, whom I understand is the representative of the subconcessionaires in the Taylor Department Stores in Oak Ridge, and the complainant in this matter, to take the stand at this time.

I have just been informed by the committee staff that Mr. Roth is here representing the Darling Stores. Mr. Roth, do you have any preference as to when you should make your statement? Do you want to make your statement ahead of Mr. Levitt or after him?

Mr. Roth. I do not think it matters except that I may lay the general background of all of the basic facts in the matter.

Mr. HOLIFIELD. Under that circumstance, and not having been informed of it before, I will ask Mr. Roth to proceed. Mr. Levitt, you may remain seated there and we will ask Mr. Roth to proceed with the first statement. Will you please give your full name and your capacity as a representative here, to the clerk?

Mr. Roth. My name is Eugene F. Roth. I am counsel to the Darling Stores Corp., a New Jersey corporation, which is the parent corporation of Taylor's Oak Ridge Corp., and Taylor's Oak Ridge Corp. being a Tennessee corporation which is involved in this matter.

Mr. HOLIFIELD. Before you start, will you submit to an oath? Do you swear that the evidence that you are about to give and the testimony you are about to give will be the truth, the whole truth. and nothing but the truth, so help you God?

Mr. Roth. I do.

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