Business Plot
The Business Plot, also called the Wall Street Putsch[1] and The White House Putsch, was a political conspiracy in 1933, in the United States, to overthrow the government of President Franklin D. Roosevelt and install Smedley Butler as dictator.[2][3] Butler, a retired Marine Corps major general, testified under oath that wealthy businessmen were plotting to create a fascist veterans' organization with him as its leader and use it in a coup d'état to overthrow Roosevelt. In 1934, Butler testified under oath before the United States House of Representatives Special Committee on Un-American Activities (the "McCormack–Dickstein Committee") on these revelations.[4] Although no one was prosecuted, the congressional committee final report said, "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."
Early in the committee's gathering of testimony most major news media dismissed the plot, with a New York Times editorial characterizing it as a "gigantic hoax".[5] When the committee's final report was released, the Times said the committee "purported to report that a two-month investigation had convinced it that General Butler's story of a Fascist march on Washington was alarmingly true" and "... also alleged that definite proof had been found that the much publicized Fascist march on Washington, which was to have been led by Major Gen. Smedley D. Butler, retired, according to testimony at a hearing, was actually contemplated".[6] The individuals involved all denied the existence of a plot.
While historians have questioned whether a coup was actually close to execution, most agree that some sort of "wild scheme" was contemplated and discussed.[7][8][9][10]
Contemporary reaction[edit]
On November 21, 1934, one day into the committee gathering testimony, The New York Times ran an article with the headline, "Gen. Butler Bares 'Fascist Plot' To Seize Government by Force; Says Bond Salesman, as Representative of Wall St. Group, Asked Him to Lead Army of 500,000 in March on Capital – Those Named Make Angry Denials – Dickstein Gets Charge".[47]
The Philadelphia Record also reported on the story on November 21 and 22, 1934..
A November 22, 1934, New York Times editorial published just two days into committee testimony dismissed Butler's story as "a gigantic hoax" and a "bald and unconvincing narrative."[5][45]
Time magazine reported on December 3, 1934, that the committee "alleged that definite proof had been found that the much publicized Fascist march on Washington, which was to have been led by Maj. Gen. Smedley D. Butler, retired, according to testimony at a hearing, was actually contemplated".[6]
Thomas W. Lamont of J.P. Morgan & Co. called it "perfect moonshine."[45] Gen. Douglas MacArthur, alleged to be the back-up leader if Butler declined, referred to it as "the best laugh story of the year."[45]
By February 16, 1935, one day after the committee had released its final report, The New York Times had changed its tone, running on page one the headline: "Asks Laws To Curb Foreign Agitators; Committee In Report To House Attacks Nazis As The Chief Propagandists In Nation. State Department Acts Checks Activities Of An Italian Consul – Plan For March On Capital Is Held Proved." The article stated, "It also alleged that definite proof had been found that the much publicized Fascist march on Washington, which was to have been led by Major. Gen. Smedley D. Butler, retired, according to testimony at a hearing, was actually contemplated. The committee recalled testimony by General Butler, saying he had testified that Gerald C. MacGuire had tried to persuade him to accept the leadership of a Fascist army."[48]
Separately, VFW commander James E. Van Zandt stated to the press, "Less than two months" after Gen. Butler warned him, "he had been approached by 'agents of Wall Street' to lead a Fascist dictatorship in the United States under the guise of a 'Veterans Organization'."[49]