Bug Suspect Got Campaign Funds

A $25,000 cashier’s check, apparently earmarked for President Nixon’s re-election campaign, was deposited in April in a bank account of one of the five men arrested in the break-in at Democratic National Headquarters here June l7.

The check was made out by a Florida bank to Kenneth H. Dahlberg, the President’s campaign finance chairman for the Midwest. Dahlberg said last night that in early April he turned the check over to “the treasurer of the Committee (for the Re-election of the President) or to Maurice Stans himself.”

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Stans, formerly secretary of Commerce under Mr. Nixon, is now the finance chief of the President’s re-election effort.

Dahlberg said he didn’t have “the vaguest idea” how the check got into the bank account of the real estate firm owned by Bernard L. Barker, one of the break-in suspects. Stans could not be reached for comment.

Reached by telephone at his home in a Minneapolis suburb, Dahlberg explained the existence of the check this way: “In the process of fund-raising I had accumulated some cash...so I recall making a cash deposit while I was in Florida and getting a cashier’s check made out to myself. I didn’t want to carry all that cash into Washington.”

A photostatic copy of the front of the check was examined by a Washington Post reporter yesterday. It was made out by the First Bank and Trust Co. of Boca Raton, Fla., to Dahlberg.

Thomas Monohan, the assistant vice president of the Boca Raton bank, who signed the check authorization, said the FBI had questioned him about it three weeks ago.

According to court testimony by government prosecutors, Barker’s bank account in which the $25,000 was deposited was the same account from which Barker later withdrew a large number of hundred-dollar bills. About 53 of these $l00 bills were found on the five men after they were arrested at the Watergate.

Dahlberg has contributed $7,000 to the GOP since l968, records show, and in l970 he was finance chairman for Clark MacGregor when MacGregor ran unsuccessfully against Hubert H. Humphrey for a U.S. Senate seat in Minnesota.

MacGregor, who replaced John N. Mitchell as Mr. Nixon’s campaign chief on July l, could offer no explanation as to how the $25,000 got from the campaign finance committee to Barker’s account.

He told a Post reporter last night: “I know nothing about it...these events took place before I came aboard. Mitchell and Stans would presumably know.”

MacGregor said he would attempt this morning to determine what happened.

Powell Moore, director of press relations for the Committee for the Re-election of the President, told a reporter that Stans was unavailable for comment last night. Mitchell also could not be reached for comment.

In a related development, records made available to The Post yesterday show that another $89,000 in four separate checks was deposited during May in Barker’s Miami bank account by a well-known Mexican lawyer.

The deposits were made in the form of checks made out to the lawyer, Manual Ogarrio Daguerre, 68, by the Banco Internacional of Mexico City.

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