Yep, that was one of the creepiest things in the pulps. Doc would operate on captured criminals, remove their adult memories (not a lobotomy exactly) and re-educate them to be hardworking, law-abiding citizens.
Graduates of his College worked for Doc. Think about that for a second. A ruthless gangster makes several attempts to murder you. A year or so later, the same man is working on your car or delivering your meals, and he doesn't remember attempting to kill you.. but YOU do.
Phew. Doc Savage was a humanitarian and a philanthropist, but his policy had a dark, dark side.