As Deputy Director, Felt saw everything compiled on
Watergate before it was given to Gray. The Agent in Charge,
Charles Nuzum, sent his findings to Investigative Division Head Robert Gebhardt, who passed the information on to Felt. From the day of the burglary, June 17, 1972, until the FBI investigation was mostly completed in June 1973, Felt was the key control point for FBI information. He had been among the first to learn of the investigation, being informed the morning of June 17.
Code for contacting Woodward in 1972 Woodward explained that when he wanted to meet Deep Throat, he would move a flowerpot with a red flag on his apartment balcony; he lived at number 617, Webster House, 1718 P Street, Northwest. On occasions when Deep Throat wanted a meeting, he would circle the page number on page twenty of Woodward's copy of
The New York Times (delivered to his building) and draw clock hands to signal the hour. But in a taped conversation on October 19, 1972, Haldeman told the president that sources had said that Felt was speaking to the press. You can't say anything about this because it will screw up our source and there's a real concern.
Mitchell is the only one who knows about this and he feels strongly that we better not do anything because ... if we move on him, he'll go out and unload everything. He knows everything that's to be known in the FBI. He has access to absolutely everything. Haldeman also said that he had spoken to White House counsel
John W. Dean about punishing Felt, but Dean said Felt had committed no crime and could not be prosecuted. When Acting FBI Director Gray returned from his sick leave in January 1973, he confronted Felt about being the source for Woodward and Bernstein. Gray said he had defended Felt to
Attorney General Richard G. Kleindienst: "You know, Mark, Dick Kleindienst told me I ought to get rid of you. He says White House staff members are concerned that you are the FBI source of leaks to Woodward and Bernstein". Felt replied, "Pat, I haven't leaked anything to anybody." Gray told Felt: I told Kleindienst that you've worked with me in a very competent manner and I'm convinced that you are completely loyal. I told him I was not going to move you out. Kleindienst told me, "Pat, I love you for that."
Nixon passes over Felt again On February 17, 1973, Nixon nominated Gray as Hoover's permanent replacement as Director. Until then, Gray had been in limbo as Acting Director. In another taped conversation on February 28, Nixon spoke to Dean about Felt's acting as an informant and mentioned that he had never met Felt. Gray was forced to resign on April 27 after it was revealed that he had destroyed a file that had been in the White House safe of E. Howard Hunt. Gray recommended Felt as his successor. The day Gray resigned, Kleindienst spoke to Nixon, urging him to appoint Felt as Director of the FBI. Nixon instead appointed
William Ruckelshaus as Acting Director. Stanley Kutler reported that Nixon said, "I don't want him. I can't have him. I just talked to Bill Ruckelshaus and Bill is a Mr. Clean and I want a fellow in there who is not part of the old guard and who is not part of that infighting in there." On another White House tape, from May 11, 1973, Nixon and White House Chief of Staff
Alexander Haig spoke of Felt leaking material to
The New York Times. Nixon said, "he's a bad guy, you see." He said that William Sullivan had told him of Felt's ambition to be Director of the Bureau. ==Clashes with Ruckelshaus and resignation==