The Business Plot

Major General Smedley Butler was no crack-pot. As the most decorated marine in the history of the US military during his lifetime, Butler did not have a reputation for frivolity or excitability. He was, in contrast, widely-known for his ability to stay cool under pressure, his forthrightness and personal integrity.

“Old Gimlet Eye” as he was called on account of his steely, unflinching gaze, commanded the respect of his troops, military veterans, and civilian political leaders alike.

Which is why it must have come as a shock to some when Butler testified before a select congressional committee on a subject so seemingly far-fetched that nowadays one wouldn't be blamed for imagining his testimony coming instead from a pale-skinned, tin-foil hat-bedecked misfit who'd never seen anything more closely resembling battleground action than an all-night session of World of Warcraft.

So what stunning claims did Butler make in his congressional testimony (since, despite their sensational nature, they were broadly ignored by the press and never penetrated the popular consciousness)?

Butler claimed he had been approached by representatives acting on behalf of a coalition of America’s most powerful business leaders and economic elites to lead a plot to overthrow the administration of President Franklin D. Roosevelt and install a de facto military dictatorship.

The co-conspirators he implicated in the plot included many of the wealthiest names in that period in American history, including Irenee Du Pont, Grayson Murphy, and even Prescott Bush (grandfather of America's scandal-plagued 43rd President), among many other notables. (It's noteworthy that many of these same captains of industry presided over companies that were later revealed to have maintained illicit business dealings with the Nazi party even after America's late entry into World War II.)

So were Butler's claims actually credible? Could it really happen here? Well, strange as it seems, that's what the McCormack-Dickstein congressional committee, which was tasked with investigating Butler's allegations, seemed to conclude. In part, the committee's final report on the incident finds in closing:

There is no question that these attempts were discussed, were planned, and might have been placed in execution when and if the financial backers deemed it expedient.

Nevertheless, no party to the controversy was ever formally charged with a crime. Little doubt remains over the material facts of Butler's testimony. And the pro-Fascist political sentiments held by many of the parties implicated in the conspiracy are well-documented and broadly acknowledged. Debate among historians, however, still continues about the actual scope, seriousness and feasibility of the plot.

(Submitted by Museum Curator)

Official Status: A congressional committee (the McCormack-Dickstein Committee) investigated Butler's allegations and concluded that they were credible, affirming that the material details of Butler's testimony had been confirmed by the evidence and corroborating testimony.

Curator's Remarks: Ultimately, it's not at all beyond the realm of likelihood that only two things kept America from succumbing wholesale to the iron-heel of military dictatorship at this particular point in our history: The integrity of one honest soldier and the cold calculus of political expediency.

In light of the less than overwhelming popular response to the accounts offered by the few news outlets who even dared to report on the plot, it might be reasonable to consider this particular favorable outcome for American democracy a fragile victory. But it's probably better not to dwell on that fact to the point of paranoia.

Links for Further Reading:

• "The Business Plot" via Wikipedia
• The Business Plot to Overthrow Roosevelt
• The Plot to Overthrow FDR (Documentary Video)
• "Oh, Smedley: Was there really a fascist plot to overthrow the United States government?" via The Straight Dope