President Roosevelt's Airline Scandal
Following the Democratic landslide in the election of 1932, some of the smaller airlines began complaining to news reporters and politicians that they had been unfairly denied airmail contracts by Brown. One reporter discovered that a major contract had been awarded to an airline whose bid was three times higher than a rival bid from a smaller airline. Congressional hearings followed, chaired by Sen. Hugo Black of Alabama, and by 1934 the scandal had reached such proportions as to prompt President Franklin Roosevelt to cancel all mail contracts and turn mail deliveries over to the Army.
The decision was a mistake. The Army pilots were unfamiliar with the mail routes, and the weather at the time they took over the deliveries, February 1934,