Andrew Mellon
I’m trying to muster the energy to finish up a posting about Andrew Carnegie, but meanwhile it is probably worth relating a few facts about Andrew Mellon, also the subject of a recent biography. Mellon was a rich kid from Pittsburgh who got a lot richer running his dad’s bank. Mellon attempted to live entirely out of the public eye, but at the age of 46, he married a 22-year-old and the divorce 11 years later filled the tabloids of 1912. Mellon was one of our nation’s greatest art collectors, assembling the collection that filled the National Gallery building that he paid for. Mellon was an early advocate of Reaganomics. As Secretary of the Treasury, he cut tax rates for the wealthy in order to encourage investors to shift from tax-free bonds into more productive stocks in industrial companies. He also eliminated income tax for those with low incomes.
Mellon served under Republican presidents and when FDR came into office, he ordered the IRS to audit Mellon’s personal income tax returns. The IRS found nothing amiss and the Roosevelt administration turned to a criminal prosecution of Mellon. When a grand jury refused to indict Mellon, the Roosevelt administration filed a civil lawsuit before the federal Board of Tax Appeals. Mellon died a few months before being exonerated by the Board.
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