GURNEY OPPOSES U.S. AID RESUMPTION TO JORDAN, CITES KING HUSSEIN'S MOSCOW VISIT AND CAIRO PACT

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP69B00369R000200290071-5
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 12
• Document Creation Date: December 12, 2016
• Document Release Date: October 7, 2001
• Sequence Number: 71
• Publication Date: October 10, 1967
• Content Type: OPEN

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October 10, 1967 CONGRESSIONAL RECORD' HOUSE
But the deeper cause of the gold drain in-
volves the growth rate of the U.S. economy.
If the economy hadn't grown so fast in re-
cent years, there probably would have been
less price inflation, and the U.S. trade sur-
plus-the excess of exports over imports-
would no doubt have held up better, thereby
curbing the outflow of dollars and gold. The
U.S. trade surplus actually has declined
about 5% since 1961. Without a trade sur-
plus to bring some dollars into the country,
the flow of U.S. funds abroad to support
foreign-aid projects, troops overseas and
other foreign programs would reach intol-
erable proportions, most economists believe.
Perhaps the most lamentable blemish in
the boom. is the high unemployment rate for
teen-age Negroes-25% in .1961 and 25% in
boom time 19b7. Another dismal statistic:
Some 7.8 million Americans are on relief at
present, about 600,000 more than in 1961.
THE LONG BOOM PROMPTS ANALYSTS TO ALTER
VIEWS
The long business boom has caused some
economists to alter their ideas about busi-
ness growth.
A recent survey of more than 1300 mem-
bers of the National Association of Business
Economists found that the group generally
believed the country's gross national prod-
uct would grow at a yearly rate of more than
4% between now and 1975-even after allow-
ing for "growth" due to rising. prices. In a
similar survey in 1962, the prevailing view
was that "real" GNP would grow only about
8% annually over roughly the same period.
Another change: In the 1962 poll, six of
every seven economists favored a tax cut to
spur business, while now three of four want
a tax increase to cool business off a bit.
FEDERAL GRAND JURY INQUIRY
INTO THE POLITICAL SPENDING
OF LAWRENCE CALLANAN'S
STEAMFITTER UNION
(Mr. HALL asked and was given per-
mission to extend his remarks at this
point in the RECORD and to include perti-
riellt material.)
Mr. HALL. Mr. Speaker, according to
an article in the St. Louis, Mo., Globe-
Democrat, the Justice Department has
sent two of its criminal division attor-
neys to St. Louis to conduct a Federal
grand jury inquiry into the political
spending of Lawrence Callanan's Steam-
fitter Union. This action follows my
earlier effort to secure a Federal investi-
gation into alleged violations, by this
union, of the Federal Corrupt Practices
Act. I trust this investigation will be
vigorously pursued and under unanimous
consent I insert this article, at this point,
in the RECORD :
POLITICAL SPENDING UNDER FIRE Two FEDERAL
ATTORNEYS HERE FOR STEAAIFITTER FUND
INQUIRY J
The U.S. Justice Department has sent two
of Its criminal division attorneys to St. Louis
to conduct a'federal grand jury inquiry Into
the coast-to-coast political spending of Law-
rence Callanan's Steamfitter Union.
This was revealed Tuesday When the two
lawyers filed letters of authority with the
U.S. District Court clerk here.
T-4e, C~ lobe-Democrat disclosed July 21 that
the "voluntary olitical fund" of Steamfitter
Local 56- a aired to report to the U.S. on
political campaign spending, although it dis-
bursed,at least $80,000 in out-of-state races
in the 1964 campaign alone.
Letters of authority of the two special at-
torneys stated the Justice Department has
been informed of violations of "laws relative
to political campaign contributions, viola-
tions of the Internal Revenue Code and per-
jury statutes and other criminal laws .
The violations, according to the letters,
are attributed to "persons, companies, firms,
associations and organizations to the depart-
ment unknown."
SPECIFIC TARGET
It was learned that the steamfitter fund,
which has been known to spend hundreds of
thousands of dollars during a single cam-
paign year, is a specific target of the grand
jury inquiry.
As reported last month, the Justice Depart-
ment Informed Rep. Durward G. Hall (Rep.)
of Springfield, Mo., that it was Investigating
"allegations of possible violations" of the
federal corrupt practices act by Local 562.
The two special attorneys, who will work
with U.S. Attorney Veryl L. Riddle of the
Eastern District of Missouri, are Edgar N.
Brown and Robert J. Rosthal,
NO INDICTMENTS
On Sept. 14 a St. Louis circuit court grand
jury concluded an investigation of the steam-
fitter political fund and returned no indict-
ments. It recommended legislation to tighten
the present requirements on reporting of po-
litical receipts and expenditures.
The federal law on such reporting applies
to any political committee which takes in or
spends money in two or more states for po-
litical purposes. Maximum penalty for wilful
violation is two years imprisonment and
GURNEY- I)PPOTSES U.S. AID RE-
SUMPTION TO JORDAN, CITES
KING HUSSEIN'S MOSCOW VISIT
AND CAIRO PACT
(Mr. GURNEY asked and was given
permission to address the House for 1
minute and to revise and extend his
remarks.)
Mr. GURNEY. Mr. Speaker, I am
deeply troubled by the resumption of
American aid to the Kingdom of Jordan.
Indeed, I understand that the King will
visit Washington shortly to seek addi-
tional aid.
Despite King Hussein's trip last week
to Moscow, his new agreements with the
Kremlin, and his discussion of buying
Soviet arms, the American taxpayers are
now again subsidizing the Jordanian
economy to the tune of at least $1 million
every fortnight. The Washington Post
reported on October 8 from Amman,
Jordan, that the King, on returning from
Moscow, said he would equip his army
with arms "from any source."
Hussein has refused to enter peace
talks with Israel or to comport himself
in conformity with President Johnson's
five points on which our Middle Eastern
policy rests. Nevertheless, the United
States has just presented Jordan with
about $6 million in cash and announced
that over $27 million will be given in the
course of this year.
The communique issued in Moscow
pertaining to the Hussein visit, Mr.
Speaker, spoke of the willingness of the
Soviet Union to give the Arabs all sup-
port needed to "strengthen their de-
fensive capacity." Hussein made over-
tures to Moscow that were calculated, at
the very minimum, to blackmail the
United States into giving Jordan addi-
tional aid in the form of arms.
I notice, Mr. Speaker, that Hussein
was accompanied to Moscow by his army
chief of staff, Maj. Gen. Amer Hammash,
H 13159
and the commander of the Jordanian Air
Force, Col, Salah Kurdi. They met with
Soviet Defense Minister Grechko. They
visited a Soviet Air Force base and a
Russian armored unit.
Agreements covering various forms of
cooperation were signed in Moscow.
Mr. Speaker, are we to subsidize the
Jordanian economy so that Hussein can
make dollar payments to the Soviet arms
industry? Do we encourage Jordan to
sign a peace treaty with Israel by ignor-
ing Jordanian intransigence, flirtations
with Moscow, and resumption of terror-
ism against Israel?
King Hussein has not yet abrogated his
military pact with Egypt. Since this
agreement remains in force, there is
really no difference between aid to
Jordan or to Egypt. Hussein should sever
all military ties with Egypt to qualify for
our aid.
King Hussein could have stayed out of
the war in June. The Israelis begged him
not to join with Egypt and Syria. But
he smelled blood, attacked Israel, and
now refuses to face the consequences of
his aggression. He wrecked his nation
and now is acting the role of an inno-
cent victim.
Mr. Speaker, I have written the Secre-
tary of State to say that I oppose all aid
in any form to Jordan unless Hussein
meets certain preconditions. One pre-
requisite would be a peace treaty with
Israel. Another would be to refrain from
entering military supply arrangements
with Russia.
Hussein has turned out to be a sort of
Moslem Mussolini who is collaborating
with Moscow instead of with Hitler as the
Italian dictator did.
I have asked the Secretary of State
to report on how much we have given or
earmarked for Jordan since the end of
the war in June. I also asked how this
aid was authorized or funded. I feel that
the Congress and the American public
have a right to know.
INTEGRITY OF CONFIDENTIAL
PRESIDENTIAL MEETINGS SHOULD
BE PRESERVED
(Mr. CAREY asked and was given
permission to address the House for 1
minute and to revise and extend his
remarks.)
Mr. CAREY. Mr. Speaker, from the
time of my entry into this great body,
I have always thought that one of the
essences which we must observe in our
contacts with officials of the executive
branch has been a sense of courtesy and
the preservation of dignity. Certainly,
this applies to she Presidency of the
United States, whethe- the President be
Republican or Democrat.
The now circulated Republican Con-
gressional Campaign Committee leaflet,
ar four-page pamphlet, contains what is
supposed to be sort of a humorous refer-
ence to the President of the United
States.
It seems that at one of the recent
briefings when the President was bring-
ing in both parties to discuss the serious
questions which face us on a fiscal basis,
as great men are given to, he made some
personal notations on the pad on his
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H13 . 160 CONGRESSIONAL RECORD - HOUSE
October 10, 1967
desk. Upon the conclusion of the brief- Taipei when the news went out that the ENDURING "SUPPORT OF THIS DEC-
ing, one of the minority Members, ac- United Nations released Association a of the United LARATION": WALTER KNOTT'S
cording to the congressional campaign report by a "panel of
committee leaflet, removed this piece of American businessmen and scholars" urging INDEPENDENCE HALL
Paper from the desk of the Pr the recognition of Red China. (Mr. ASHBROOK asked and was
not only removed it, but gave r eireuta- Judd was understandably chagrined. He given permission to extend his remarks
tion among his removed edlitabuts as owho`, la- thought, as most people would, that this at this point in the RECORD and to in
on this One Member even sa-. fit, year above all years the lobby to recognize dude extraneous matter.)
paper. Red China would take a sabbatical.
because his name was inscribed thereon, After all, v Thant himself, who sometimes Mr. ASHBROOK. Mr. Speaker, all
to place some meaning, especially with talked about the recognition of Red China Americans are aware of the Nation's
regard to him, as to what the President the way some people talk about achieving birthplace in Philadelphia's perhaps, Jndepend-
had written on this piece of paper. the Heavenly Kingdom, is on record as con- ence Hall. Fewer people, perhaps, are
Mr. Speaker, I hope that from now sidering the season inappropriate for that aware that there is, on the west coast,
on the Members of this congressional kind of action, and for perhaps the first time an exact replica-exact to the most min-
body when invited to the home es office in a half-dozen years it is generally accepted ute detail-of the historic Independence
of the Chief Exeeutive, will reserve the that the conventional agitation to recognize Hall. This building stands on the
preserve China will be confined to the fever-
integrity of his personal paper and not swamps of the United Nations left, a force grounds of Knott's Berry Farm in Buena
give them out for partisan purposes. about as potent as the movement to impeach Park, Calif, It was built by Walter
However, I do believe we can draw this Earl Warren. Knott,
meaning from what is being done here, Judd wondered, as might we all, how come Personally, Walter Knott's Independ-
as, we attempt to achieve some sort of the movement to recognize Red China should ence Hall, and the tour which guides
a bipartisan approach to the obvious have arisen this particular moment. The re- Americans and persons from other na-
fhcultieS we face in the fiscal area. The port of the United Nation Association re- tions through it, is even more inspiring,
difficulties tie is making the fiscal with his marked that this is precisely the right his- even more likely to well-up the pride of
drei en is m king om o paper than the torical moment to recognize Red China, i.e., Americans, than the original. For here
tecause
turm
Stu Republicans are with their needling and he apol gets shfor ecogniti nowill notice the American,
Walter Knott, an outstanding diddling, I hope that when they take strangely consistent inconsistencies of the has re-created a part of outstanding
these pieces of paper from the President's Red China lobby. America, just as it stands in the original,
.desk they will take them home and think Back a few years ago when unquestionably and added a 14-track stereotape which
about them, because he is trying to in control of all of China, the argument was re-creates the debates of the men who
achieve something without this kind of that we should recognize the Mao govern- made the choice between liberty and
foolish peculation and publication which ment as the de facto ruler of China with death. The visitor is thus treated to the
cannot be a$stion dwith good politics, w
for generations hich, like it or not, we would have to deal words which were spoken by men two
Mr. Speaker, I suggest we extend to better to introduce come, representative intoe and the centuries ago. Lights dim in the
ns seem chamber
the President of the United States, no polite society at the United Nations and at- and thwords the reat Americans cans seem to come matter whether it is the present incum- tempt there to deflect him from his militant sat, debate rom thchairs in which they
befit or any future President, all the stances? sat, debshifting from one part of the
dignity and courtesy which is due to No sooner did this argument become ac- room to another as 56 men embarked on
that office, and that does not include cepted as the staple of the recognition forces the future of all of us.
sniping and picking up pieces of paper than Mao Tee-tung's power over Red China When asked why he built Inde-
snip ng and picking p p. began suddenly to slip, so much so that we pendence Hall. Walter Knot replied:
the had reports from Radio Moscow last week I was asked that same question 25 years
that in the course of attempting to maintain ago when we started "Ghost Town." Mrs.
RED CHINA LOBBY TRIES ANEW his control, Mao has "suppressed"-a word Knott and I were 50 years old then; our res-
TACK that is widely regarded by students of Com- taurant business was just getting started and
munist euphemism as equivalent to "liqui- there were so many places on the Farm that
(Mr. ASHBROOK asked and was given dated"-5-million members of the Commu- needed improvement, yet we felt stirred
permission to .extend his remarks at the nist party. If the figures are anywhere near by the historical past that Ghost Town was
perm sin the RECORD his to arks at his correct, one can get some idea of the scope to portray, so we let other things wait while ex- of the horror going on in Red China. we proceeded to build Ghost Town.
traneous matter.) To suggest at this moment in world history Mr. ASHBROOK. Mr. Speaker, on the advisability of throwing the diplomatic Mrs.
c Knott and I are 75 and we feel this
numerous occasions I have brought to weight of the United Nations and, deriva- might can be put off no longer, or it
the attention pf Members of this body tively, of the United States, toward the sta- might never Declaration done.
the workings of what is termed "the Red bilization of Mao's regime is, to put it gently, Our ation of Independence was
China lobby," or, those persons or groups crooked. worked out and signed there by 56 brave men
with these famous wwith
dedicated to gaining admission of Red But the whole episode was symbolic of the "And in who in closed it ,
fetichistic attitude of some Americans a reliance on e pof this declaration, with
China to the United Nations-at any towards the United Nations. Membership in dente, we mut ally p edge to each other our
In 1966, on several occasions, I at- the United Nations is, as far as some of them lives, our fortunes and our sacred honor."
are concerned, a baptismal experience-grace
tempted to counter the spurious "admis- instantly follows, and wonderful things lope e of wyIr great when men. Then llyec nearly ten years
sion" arguments with facts. Two occa- in over the horizon. victory finally came, other great,
lions come to mind, namely, my remarks It is this that characterizes the liberals' and I believe niinely guided, men again met
on April 5, 1966, "Red China Lobby of at faith that the United Nations is somehow a of Independence nce Hall should d decide They what kind
government have. Ttoo pro-
Work Again," and thoseof June 28, "The civilizing experience. And at this point in duced one of the world's greatest docu-
Red China Lobby." history, as Judd unquestionably reasoned, al- ments--our Constitution. These two docu-
Thus it is not without some knows- though he had the tact not to reason out ments are among the greatest ever con-
edge of the problem that tI recom- loud in Taipei-do we really desire such a delved by man; they have changed thecourse
mend of the
article pby William roblem that today
F. Buckley, tranquilization of Mao's control? of liberty.
me from article
Washington Evening Buckley, one were guaranteed that by giving Mao Independence Hall is a beautiful and state-
or, from ober the Was, entitled "Red China Star a re assus ressured control a of China, one might spare ly building and one all of us at the Farm
Lobby Tries New Tack." great many people, one might will be very proud of. Like the original in
acknowledge the temptation to hand China Philadelphia, ours too will house a great Lib-
Evidently we are to be asked, again, over to him. But second thoughts would erty Bell, perhaps America's greatest symbol
to involve ourselves in "a devil's bar- surely get in the way of such a devil's of freedom.
gain." But as Buckley states, it is time bargain. Over the years millions of Americans will
for second thought about the ultimate The World Anti-Communist League is a visit our Independence Hall and be re-
gains of the bargain, new organization, whose principal officials- minded of our great American heritage. Each
veterans of the anti-Communist struggle in year thousands of school children will come
I submit the article for inclusion in and touch the Liberty Bell and see where our
the RECORD: China, Korea, Vietnam, Japan, the Philip- great documents were signed, and will view
pines-have much less to learn about how to a short motion picture depicting exciting
RED CHINA LOBBY TBlzs NEW TACK fight the Communists than they do about
(By William F. Buckley, Jr.) y bits of our history.
Y. ) how to understand the thinking of the puta- I think, like starting Ghost Town 25 years
Dr. Walter Judd (is there, by the way, any- tive anti-Communists who exercise so con- ago, building Independence Hall will be a
Where a more impressive American?) was in siderable an influence on Western thought. milestone in the history o the Farm and one
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October 10, 1967 1 CONGRESSIONAL RECORD - HOUSE
appropriate, proper education, with a good How can we use, too, the latest methods RECORD and
it th i of communications and microfilming to pro- matter.)
d e r
b
1113203
u
mind and a good body they could
own steel mills. vide those who are doing scholarship .and Mr. MULTER. Mr. Speaker, a mission
We have been trying to concentr.:te our research everywhere the best library facil- Of American Jewish Congress leaders
energies in that direction-in the direction ities that are anywhere? visited Israel this summer to study at
of educating the .mind, improving the body We seem to need more facts. We seem to hinted the new ppllme oOCial, and
and providing food for their sustenance. need to put a program together.
When other forms of United States assist- I was quite impressed with a statement in economic problems facing the country
ance are added to America's program for for- your conference document which said: "If following its lightning military victory
eign aid to agriculture, education, and the world's financial systems were forced to over the Arab nations that sought to
health, namely, our food program, that ex- function with no better facts than those destroy the Jewish state. The mission
ceeds some $3 billion this year. But when it which educational systems live by, a finan- met with Government te1S, military
comes to education, every nation-including cial panic would swiftly seize all capitals of leaders, with refugee spokesmen, and Jews and
veloping this one, I country. thing-is still very much a de- the We e could uhave that in the offing anyway. Arabs from many walks of life. The
We have so much to learn from others. That is one of the reasons I though it American Jewish Congress group trav-
That is one of the primary reasons you are would be very desirable that we have this eled extensively along the west bank of
here-to help us sort what there is to do and conference this year. It gives me a great deal the Jordan, visited Gaza and El Arish in
to make an agenda for it. We firmly believe of satisfaction, as Dr. Perkins observed, to Sinai, and traveled from Jericho over-
that the knowledge of our citizens is one know that you have come here upon our looking the Dead Sea as far north as
treasure which grows only when that treasure invitation, and that you have comd here to looking and the Syrian heights.
is shared. So we must find ways to extend chart an education strategy for the future. Kuneitra the treasure to lands where learning is still I should not be presumptious enough to Their report from Israel follows:
the luxury of the few. try to outline that strategy. I content my- Both the government and the people of
One lLsson of our experience in economic self with observing a contribution here and that the
traditional
and social development is quite clear: Ed- there. Israel whole seeeem uEretz nable a fully ully to o its believe
sea and from
ucation is the greatest single bottleneck. De- If I may suggest another idea, you might borders from the Jordan to
velopment means that men and women can consider calling on the United Nations to set the Gaza strip to the Golan heights is now
e
et time for reviewing our goals and The first component of th the
a tar
i
d
g
s.
r
in the
put to use in their own societies, in Jewish han
what modern planning new progress, and make an inter- in Jew- ruaa, the general mood that 11
wn time
i
th
e
r o
own lives, in
, science and technology can provide to help national education year for the world. second, relief. For
first was time in ondear; years the he their lives are not 19
them. But that requires education. Don't limit your efforts. Here, and you sensedshe sensed,
At the level of basic education the truth leave this place, I hope that you will take being threatened by Arab marauders and
of the matter is that we may be falling far these plans and really face up to the tough Arab guns. Israel's farms and cities are now
behind. It takes so long these days to train questions: out of range of Arab artillery.
a teacher, and yet it is r ~ relatively easy The real tough question of all is how can The third component is sobriety. There is
their primary lobjective no air of triumph or arrogance. Israel's citi-
to we persuade the of holding produce
our a own in student basic that we literacy. are not even nations to make itgovernments
At higher levels year there are mail- to give every boy and girl born the world- zens are solemnly determined to shoulder the
can obligations imposed by their military victory.
lion lion these will one mil- anywhere-all the education he e or she he can They are cognizant of the overwhelming
can we et the world's leaders to con- problems that must be solved; they are
colt young American country boys, and will girls in the take?
collages of this country who wiit we there get determined to build a morally respon-
because of the legislation that we have verb man's tragic will to destroy into a de- sible plan which willr deal with those prob-pass loansdproviding lfor ast few ayearl3s, grants and teHow ation
can we shape a world in which men lems, and they will not be rushed into pre-
loans d's. mature decisions of a long-range nature as
But w we ing havve last few y
we have only just begun to exploit employ their minds in projects of peace- they supply the immediate hum an needs.
fully the possibilities that modern technol- instead of sacrificing their all, their bodies, Their sobriety is deepened than losses.
ogy opKns to us. their lives, on a field of battle? In absolute numbers the casualties ualirs were
I can see no reason in the world why mod- Can we train a young man's eyes to absorb small, proportion h the ualt is were
ern technology cannot, for example, permit learning-as eagerly as we train his finger to State the casualties wore heavy-egon of
lent to some 65ual es were h dead in less
the best professor in the world to teach stu- pull a trigger? the
a week of fighting. The impact of the
dents all over the world in a field where the No gathering that has ever assembled has than to
vocabulary and the concepts and the stand- a subject that I think is more urgent than war was brought home to The m the of the
ards are uniform; and this is true of many yours-more compelling, more necessary, and war was bt and oho oto uss we met ma
fields, I think-science, natural and social. more productive. had lost sons in the brief campaign.
Moreover, our capacity to produce micro- Here tonight you leaders of educational
film and distribute information should make thought from more than 50 nations-almost Everyone we spoke to was deeply sensitive the
tion the
you nations
it possible for a young scholar researcher half all e that the
are o dealing h the dyna- displaced Arabs both tin Gaza ituaand in the
at any brary, in the world to have the same eaiz g West Bank area. We even met a few high
the library, facilities that are available in mite of our times,
the British/Museum, the Library of Con- Thomas Jefferson said that we should placed officials convinced that Israel should
gress, or at one of the great university spread the disease of liberty around the absorb these areas and give their residents
libraries. world when this Nation was very young. The full citizenship-even in the face of the
Therefore, I would like to suggest to you men of Jefferson's day associated this place strong possibility that the character of the
this evening some consideration be given to where you are meeting tonight with liberty, country might be transformed from that of
and also with learning. a Jewish state to a bi-national state, with a use what w
some we these
already know challenges: about How can we educational al Tonight in Williamsburg, I am pleased to rapidly-growing Arab population threatening television to accelerate the pace of basic observe that you apparently have the same to become the majority within a generation,
"education for all the children of the world? concern. I hope our commitment will be as and with the huge social problems which the
How can we use modern technology to econ- great as theirs-and I hope that your achieve- introduction of so large a depressed prole-
omize on that most essential and that most ments will be as worthy of remembering. tariat would entail.
needed educational resource: The good One more word, if I may be personal. The idea of minority status is unthinkable
teacher? A President must call upon many per- to most Israelis. All the pain and labor that
How can we make the good teacher avail- sons-some to man the ramparts and to went into the building of the Jewish state
able to the maximum number of students watch' the far away, distant posts; others to were borne for the purpose of providing some
in the world through television? lead us in science, medicine, education and place in the world where Jews would consti-
How can we make the best scholars and (social progress here at home. tute the majority culture group-so that
teachers in the world available to all uni- I especially want to comment this great Jewish life, Jewish culture, the Hebrew lan-
versities-wherever they may be-through educational leader-Dr. Perkins-for having guage, and Judaism itself could flourish. This
satellite communications? answered every call that his country has is the heart of the dilemma. No citizen of
So often have I thought of the wonders made, and having apparently done it quite Israel wishes to give up what has been pain-
that could have been brought to those young, well here. fully achieved; hardly anyone is immune to
struggling minds with warped bodies that Thank you. the influence of Jewish values or free of some
degree of commitment to the idea that hu-
that little rural
I taught back when I was in s0Aool on the United States-Mexican Border man beings are of supreme importance.
if,we had had`satelIite communications, and R ORT EL This does not mean that the army of Israel
the best scholars and best teachers had been is made up of angels. It is composed of the
able to invade those classrooms, to expose (Mr. MULTER ((thee request of Mr. entire kibbutz galuyot, an ingathering of
those Mexican children to the English lan- MATSUNAGA) was granted permission to exiles which includes large numbers who
?? ? -- ?~?, ,A
th
e
d his remarks at this point in
guage? exten
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CONGRESSIONAL RECORD - HOUSE a October 10, 1967
foie, that there were occasional lapses. Arabs their education was not confined to artistic mosque-even where there had been bitter
in the Gaza strip told us that some Israeli representation. We also saw the rifle range fighting-preserved and clean and obviously
paratroopers had bullied them and , "appro- on which girl students had practised for the the objects of public protection. The de-
pr1ated" watches and the like. Such incidents invasion of Israel. mands of equity cannot be entirely dis-
are riot beyond the realm of possibility, but Contrast this training with the fact that regarded by mankind.
they are certainly atypical if they occurred, never since the founding of Israel nearly The people of Israel are confident of
More typical were the acts of kindness, and, twenty years ago have Jews been taught to America's friendship, and grateful for the
concern which Israeli soldiers performed, and hate Arabs or to covet additional territory. support they have received in the UN from
concerning which we heard unimpeachable The closest Israel Jews come to irredentism our government. Yet they know-more pro-
testimony. In Hebron,- synonym of Arab was an abiding love.for Jerusalem-a love en- foundly than they have ever known-that
Cruelty since the massacre of the.. Jews in shrined is the Psalms, in the poems and in the final test they can rely only on them-
1929, not one Arab civilian was killed. In the songs of ancient and modern Israel, and now selves and on the ties that bind them to the
entire occupied area, there was not one re- in Israel's most popular song: "Jerusalem of Jewish people. They are certain, they tell
corded case of rape. gold . . . let me be the harp to sound your you, that if the Arabs had done what the
Particularly striking are the natural and songs!" y
'friendly relations between Arabs and Jews in Compared with the camps in the Gaza had planned to do and had knocked out
the markets, on the streets and in the cafes strip, the West Bank refugee centers we vis-haveIsrael's air Porch the United States wouln
,as they explore each other't sites and.. cities.. ited were as day to night. We walked infor- done something. But it would have been
We saw Arab families rubbgrneckin in the mall too Iate.
g y into a camp on the road to Nablus and They have little doubt what their fate
New City of Jerusalem and Israelis from Dan were received with genuine friendliness, cu- would have been had the Arab states been
to Beersheba taking snapshots and shopping ri
whose osity and hopefulness. These were people able to bomb Tel Aviv and Haifa and send
for souvenirs in Arab to nearly a cities eratiere whom the eravages was of pdise nt e and neglect their columns advancing into Israel territory.
no Jew had walked for ear Friends of mine told me that their -women-
The fact that sightseeing began so soon after touched us deeply; a child with a suppurat-
the fighting stopped is an indication of, the Ing ear infested with flies, adults whose sight folk were preparing to take poison should it
genuine good will which Israelis bear toward had, been impaired or destroyed by trachoma, become necessary. They were, literally, ready
-their Arab neighbors .. , and of the readiness beggar children looking for coins or bread. to die to the last man, woman and child.
of so many Arabs to resume the normal ways These are human needs which demand at- It is understandable that they feel an equally
of peace. I snapped a picture of a sign on tention-and everything we were told by profound satisfaction in the removal of the
one Arab restaurant the Old?City that read members of the Israel government leads us note threat of by the seemingly miraculous effective-tary in Hebrew:'m'sadat hashalom biyerushalayim to believe this attention will be quickly not r their own mhey now power. And it is
hash'lema: Peace Restaurant in Reunited given. Arab surprising that they ndirectly that the
Jerusalem. It, is a task which demands the assistance Arab nations deal with them drectly at the
It quickly became evident that Israel's of all men of good will. It demands resettle- peace table.
Arab problem is really three different prob- merit as well as rehabilitation; economic pro- We must stand where we are, have strong
n
?"lems. First there are the, approximately 500,- grams as well as medical aid, far beyond the w
ith and wait for they," opportunity of deal
006 Jordanians, who remain in the Old .City minimal and grudging sustenance that has with the Arabs directly," we were told. In
,of Jerusalem ,and ir} the towns and?villages been given during the last nineteen years. this they recognize the great problem of
along the West Bank of Jerusalem. Here_the And it requires some form of international Arab shame and handin a.tion. I believe there
1"n'ain poncern is economic:. lsQw toraise what support to supplement the programs that is greater than any pl g of Aea pthe non-
has always been a depressed area into some Israel is prepared to undertake. We left the in Israel than any place else i n the non-
has of self-sufficiency. camps with the strong impression that the Arab world. After all, almost half the pop-
hen, there are an estimated 15o,000 who stagnation of 19 years has been ended; that ulation of the State as it was before June 6
left their homes and fledinto Jordan. Some Israel is determined to deal equitably-and is b co posed of untriesJews who were refugees from
of us in the AJCongress mission saw these effectively-with people who have been used Arab co Perhaps this offers hope for
people crossing over the Allenby Bridge into as political pawns for nearly two decades. the future.
Jericho carrying their pots and pans, beds "The sword comes into the world," says the Meanwhile, Israel is prepared to restore the
and sofas, clothing and chickens,into Jor- Talmud, "when justice is delayed, when jus- dignity of those Arabs who have become
danlan. territory. Many thousands have, al- tice Is perverted and when those responsible their wards. Already Arab workers in the Old
ready returned. for maintaining justice make wrong deci- City are being invited to become members
Finally, there are those who were dislo- sions." Israeli leaders understand how deli- ofHistadrut, Israel's labor union movement,
cated by the way in 1948-an estimated 400,- cately the peace of the world hangs on peace where they will earn equal pay for equal work
000 persons who remain without permanent in the Middle East; they recognize that this with their Israeli fellow union-members.
homes because the Arab countries In which peace will not be sustained by injustice to Already, Israel has reconnected water pipes
they found themselves were content to let the Arabs now living under the Israel flag. severed by the Jordanians so that the rest-
them remain as "refugees" rather than help The Israelis ask only that the world be pa- dents of the Old City of Jerusalem, for ex-
them begin life anew as citizens. tient. Egypt, Jordan and Syria sat on the ample, can enjoy running water seven days
By far the most serious aspect of the Arab problem for nearly 20 years and never felt a week; before the fighting in June there was
problem facing Israel is is tGaza strip, the pressure of civilized opinion for a solu- water only twice a week. In the Gaza strip,
where some 3, is in the h , Arab men, tion; it hardly seems fair that the world Israel. is drawing plans to build up the fish-eless wh en om children have been fed a dim n, should expect Israel to solve the problem ing industry, improve agricultural produc-
'wolfl d and vengeance against fed a since of overnight. tivity, provide new jobs with new light in-
1943? The cry over the holy places has the same dustry and engage in a dynamic program of
ring of insincerity. No one complained dur- rehabilitation.
In the beach camp for displaced Arabs in ing the last two decades that the Church of The most pointed and intense appeal of
Gaza, the coffee we were served and the sur- the Nativity in Bethlehem and the Church Israelis to Western Jews is for an immediate
face hosiptality accorded us did not hide the of the Holy Sepulcher (among others) were and substantial immigration from the Amer-
resentment simmering beneath. Indeed, the under Moslem control, The commercialize- icas. This sounds like the old, old song, but
twenty-year-old Arab who acted as my in- tion and filth that su)rounded many of these it has new and vigorous tones. The larger
terpreter took leave of me after warm, hand- sites sacred to Christians, and to which we the number of young, educated and com-
shakes and expressions of friendship with were eyewitnesses, did not testify to a sig- mitted Jews Israel receives from the West,
the words, "I hope to see you in Palestine nificant measure of Jordanian concern for the more readily Israel can absorb as full
with Ahmed Shukairy!" these places. citizens the hundreds of thousands of Arabs
Shukairy, demogogic leader of the Pales- As for the sanctity of Jewish holy sites, it has acquired along with the new territory.
tine Liberation Army, has sworn the destruc- the Jordanian authorities were completely "Give us 250,000 to 500,000 young Jews from
tion of Israel. He has been in complete charge indifferent. The tomb of Rachel was allowed the United States over the next 10 years,"
of the training of the former Palestinian to decline into a disgraceful condition. Jew- we were told, "and we could integrate all
Arabs in Gaza since 1948; at Khan Yunis in ish cemeteries on the Mount of Olives were the Arabs in the occupied areas, for such an
the lower Gaza strip we saw visual evidence desecrated; the very tombstones were used to aliyah would assure the Jewish character of
of what that training has been. In a girl's build Arab military barracks. In the Old City our country and preserve a Jewish majority
secondary school the walls were covered by an of Jerusalem we saw pious Jews searching in for the foreseeable future as the state's ex-
exhibit of paintings by both the instructor vain for the locations they remembered as istence is made secure."
and her charges-the bloodiest pictures I the burial places of their parents and grand- The Israelis and we agreed above all that
have ever seen, not excluding the so-called parents; we saw synagogues that had been this is a time in which Jewish fraternity and
art of the Nazis. In one, a boot carrying the either destroyed or used for secular purposes. solidarity are more necessary than ever. If
colors of the Palestine Liberation Army was Against the Western Wall-the only remain- the vaunted Jewish capacity for creativity
crushing the chest of an Israeli soldier as gore der of the ancient Temple and thus theplace and imagination in human relationships
poured from his prostrate body. In another most sacred to Jewish memory-the Arabs really exists, this is when it must be called
painting,, Arab soldiers were shooting down had permitted the building of a public into action. The situation is not frozen; the
a large group of opposing soldiers, each of lavatory. main must not be . Plan after
whom wore a huge Star of David. This was Yet In our travels throughout Israel and plan, bo drn new idea of eribold new idea must
"the "art-Work" of children in a school. But the occupied areas we saw mosque after be put forward, until the Arabs tire of saying
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 Approved For Release 2001/11/01 CIA-RDP69B00369R000200290071-5
October 10, 1967
CONGRESSIONAL RECORD HOUSE H 13205 its "No" and the world unites redeeming the
d -
fina cial but anee s, the or the
announce T that the Subcommittee on salons activity
Middle East for r the sake ake o of the redemption of
mankind. Foundations, select committee on small nary business and professional man
Business, will start hearings on October should be allowed to do the same thing
~~ ^^ a smaller scale
n
M LAND ADJUSTMENT PROGRAM
(Mr. ANDERSON of Tennessee (at the
request of Mr." MATSUNAGA) was this
point s in the to RECORD and to include ex-
traneous matter.)
Mr. ANDERSON of Tennessee. Mr.
Speaker, the cropland adjustment pro-
gram established under the Food and
Agriculture Act of 1965 provides many
benefits to both farm and nonfarm peo-
ple. And an indication of the farmer in-
terest in the program is the fact that
nearly 75,000 farmers offered about 6
million acres of their land to the pro-
gram this year. Available funds per-
mitted acceptance of only 2,012,556 acres
from 30,810 farmers.
Among those offering land to the pro-
gram were many older farmers wishing
o
It is an argument that is hard to
answer. If the rich can minimize their
taxes with the foundation gimmick,
everyone else should have the same priv-
ilege. Obviously, there must be a re-
form of the tax-dodging foundation
device from top to bottom.
For 5 years, the Subcommittee on
Foundations has been compiling data on
foundation activities. The subcommittee
was the first to uncover the use of pri-
vate, tax-exempt foundations by the
Central Intelligence Agency. The sub-
committee's investigations have also
uncovered the widespread use of self-
dealing foundations, whereby highly
profitalSle businesses are operating under
the guise of charity. Seven of the 600
foundations under study have been as-
sessed about $28 million in taxes by the
Treasury. In all, the subcommittee has
issued five studies totaling more than
ing to reduce their farming operations, to admit they are attempting to mass 2,500 pages.
lities that we have focused attention, not only
h-
i
i
s
a
produce the tax-dodging spec
and still others with new interests, w
n the abuse of
ing to shift from farming to other en- were once associated only with million- o tax laws by individual
wires. It looks like this group has set up foundations but also on the lax attitude
program, In the administration of the
program, the Department of Agriculture a mammoth assembly line for turning of the Treasury, whose officials have
testified at previous subcommittee hear-
gave preference to these groups, making out foundations. ings that they have no idea how many
it possible for some to retire from farm- If ABC continues to operate, and, if in the country.
ing and remain on the land, and for its success is what I think it could be, foundations there have are also admitted that
others to take part-time or full-time off- other groups will undoubtedly go into the Treasury dations t audit only a small frac admitted the
farm jobs. same business. Tax-exempt foundations they foundations each year.
These, new aplsortunities for farm peo-
p will be as commonplace in this country We shall also take testimony from Sec-
ie through the cropland adjustment as bath-tub distilleries were during the of the Treasury Henry Fowler
program point up the important social prohibition era. rectorandy y Sheldon S. of th Treasury Henry H.
e
and economic implications of this sig- This could be the beginning of com- anteldal Revenue Commissioner s ioner the of
nificant activity. plete chaos for the Nation's tax strut- the hearings. After ice ea in the up-
But not only are farmers benefited by ture. coming our subcommittee, repeated goad-
CAP, city people as well share in the ABC's tuition for instruction in tax- ings from proposed February
advantages it provides. Of the 2 million avoiding techniques comes high, possibly 1965 the Treasury finally tthe taxwriting
acres -accepted into the program this as high as $14,000 for tutoring In the o n d ion Treasury mm t ion Butms
even though those
year, about a fourth are open to public mechanics of how to set up a founda- co. represent only a
effort to reforms curb abuses of tax-
access, bringing the total acres under tion. watered-down
acres. CAP now open to the public to 984,000 If ABC's claim of 800 members is cor- minimum foundations, the Departmof t aThis land is open to city folks free rect, then it is entirely possible that the exempt
pushed for action on them. Indeed,
of charge for hunting, fishing, trapping, organization had gross receipts of at least not us ed years have elapsed, and no le Indeed,
is-
and hiking. $3 million and perhaps as much as $8 mil- ration21/2 , in ehave of those and no proposals,
The basic objective of CAP, of course, lion in the past year, its first year of la yet been submitted h by the Treasury.
is to maintain farm income, while shift- operation. The record speaks for itself. The
ing land out of crops in plentiful supply In my opinion, this will be one of our must bear full responsibility
self. Thand into such conservation uses as open most important studies of tax-exempt Treasury of full and
space, recreation, beautification, wildlife foundations because it gets right into the f their the use a mus proliferation vehicle bea for abuse foundations an ant
habitat, and abatement of air and water possibility of massive and popular tax- for or trust and tax evasion. Unfortunately, is
pollution. dodging. When millionaires set up tax- has no more knowledge today a what
However, despite the economic and dodging foundations, that is bad enough, has no m the world d foundations than
social benefits of this "program to both but when foundations become as common it go on In, of
had at the time of our hearings in
.rural and urban people, in the face of a as the model T once was, then the Gov- 1964.
tight budgetary situation, this important ernment's income faces a real and grave This continued erosion of our tax base
activity may be temporarily suspended. peril. far-
ing But as soon as the situation eases, this America's political dream used to be a has, of ocourse, f taxpaying achil gueff a is on
program should resumed to continue chicken If we ever reachthe point where who are forced to carry a still heavier
improving the quality of f our r environ- tax burden while other Americans enjoy
merit while maintaining in reserve the, there is a tax-exempt foundation in every opportunities to reduce taxes. If the
productivity capacity for meeting addi- home and assets, such as a home and a Treasury continues to ignore meaninhe
tional food and fiber needs at home and car, are transferred to that foundation- fur asreforms, we ury will o faced with a re-
abroad as these arise. that will be the beginning of a nightmare those will be of taxpayers
for Federal, State, and local governments volt
who are among unable to taon advantage rs
tax collectors.
MASS PRODUCTION OF TAX-DODG- and -their I must admit that the logic of the ABC such contrivances.
ING FOUNDATIONS TO BE INVES- system is difficult to dispute. The pro- Perhaps this investigation will propel
TIGATBD moters of ABC take the position that the the Treasury into action-for, they may
(Mr. PATMAN (at the request of Mr, benefits of tax-dodging-via the founda- now, see the light. They may now see that
MATSUNAGA) was granted permission to tion gimmick-should not accrue solely the tax gimmicks available to the rich
extend his remarks at this point in the to the Rockefellers, the Fords, the Mel- can soak down to the grassroots of the
RECORD and to include extraneous mat- aIons, ires. the Carnegies, and other million-
believe that, even though base. For years, wee have been trying to
ter.) Approved For Release 2001/11/01 : CIA-RDP69B00369R000200290071-5
could of foundations,
that production
con conceivably wreck activity
the
Treasury
.
The first witnesses will be trustees and
members of a recently discovered orga-
nization known as Americans Building
Constitutionally-ABC-Barrington, Ill.,
which allegedly instructs its members in
how to avoid taxes by establishing their
personal, tax exempt foundations.
Witnesses from Illinois and New York
will be heard first, but before we are
through, we may have to hear witnesses
from many other States. We are not sure
how widespread these operations are
now, btlt we do know they could reach
epidemic proportions.
Americans Building Constitutionally,
for example, pitches its appeal to the
upper-middle income group-doctors,
lawyers, and other professionals. r _,-
 Approved For Release 2001/11/01 : CIA-RDP69B00369R000200290071-5
H 13206 CONGRESSIONAL RECORD - HOUSE October 10. 1967
Ycibuttuv iiie iTeasury that the corrup-
tive influences of the multimillion dol-
lar, tax-exempt foundations would even-
tually destroy the entire tax system. This
present situation shows that our warn-
ing was no exaggeration.
I am hopeful that the upcoming hear-
ings will prompt Congress to take swift
and effective reform action. For, unless
the Congress moves in that direction,
the spread of foundations and their in-
herent accommodation to planned de-
ception will create undreamed-of prob-
lems that Federal State and 1o 1
e
I a Federal Reserve bank, two actuaries-one
Mr. Stevenson begins his article by saying from a private insurance company and one
our "social security insurance is in trouble." from a university-and representatives of
This is not so. business, labor and professional groups.
The subtitle of Mr. Stevenson's article The most recent Advisory Council on So-
says that "Recent disclosures are raising bail Security, again made up of outstanding
grave doubts as to how much-if anything- experts in the field, examined thoroughly all
today's taxpayer will getback when his time of the issues connected with the "security"
for retirement comes." Use of the words of social security. Like the preceding council
"disclosures," "grave doubts" and "if any- they concluded, in their report of January
thing" can only result in worry to millions 1965, that the social security program is
of people who are now drawing social security soundly financed and that its income-out
benefits or expect to draw them in the future. into the long range future-will be sufli-
This worry is wholly without factual basis. cient to meet its obligations.
. - .. -
'r'ye articl
e seeks
r D
Mills and th
bu
.
e ranking minority mem-
governments will find impossible to cope ber, Representative John W. Byrnes, of the
with. House Committee on Ways and Means as
The following are among the witnesses profoundly alarmed about the basic design
Who have, thus far, been asked to testify: and fiscal integrity of the social security
Mr. Robert D. Hayes trustee, Ameri- program and about the course that the pro-
'Cans Building Constitutionally, Post Of- gram is taking. The facts, however, are that
flee Box 05, Barrington, 111.
Mr. James R. Walsh, member; Ameri-
can :Building Constitutionally, Post Of-
fice Box 575, Barrington, Ill,
Dr. Michael It. Saxon, medical direc-
tor, the Saxon Foundation, 143 South
Lincoln Avenue, Aurora, Ill.
Mr. George Schuyler, president, Phi-
lippa _Schuyler Memorial Foundation, 11
West 42d Street, New York, N.Y.
before Congress and is contradicted by his
remarks on the floor of the House of Rep-
resentatives during the debate on the bill.
At that time he stated:
"I personally do not feel that the burdens
imposed by this bill are greater than the
taxpayers will be willing to pay. After all,
today's taxpayer is tomorrow's beneficiary.
I was very glad to join the chairman of our
committee in sponsoring the social security
supported legislation in-the House of Rep-
resentatives, the Social Security Amendments
of 1967 (H.R. 12080), which builds upon the
present social security program and, with
careful attention to actuarial soundness,
makes needed improvements in the benefits
of the program.
The implication that Representative
Byrnes, the ranking minority member of the
Committee on Ways and Means, agrees with
the charges made by Mr. Stevenson flies in
the face of the fact that Mr. Byrnes was a
66-sponsor of the social security bill n
SOCIAL SECURITY
(Mr. COHELAN (at the request of Mr.
MATSUNAGA) was granted permission to
extend his remarks at this point in the
RECORD . and to include extraneous
matter.)
Mr. COHELN. Mr. Speaker, the
Reader'sDigest has published in its Oc-
toberyissue an article by Charles Steven-
vicious attack on the ocial security pro- the needs of our elderly citizens as well as
gram, those who are called upon to pay the taxes."
I Join with Chairman WILBUR MILLS in "EveRepresentative went on say :
ryone paying taxes today canto do sothat
with
saying that the half truths and misrep- the knowledge that he is participating in a
resentations in the article are a disserv- sound program of social insurance which
ice to the millions of social security bene- will provide commensurate benefits In the
flelaries who depend upon the social event of his death or disability."
security program, The House Committee report on H.R.
I urge that every Member read Chair- 12080, which was signed by 24 out of 25 of the
members of the Committee on ays and
man MILL'S splendid statement and the M
eans, bears ample witness to the care and
forceful point-by-point rebuttal of Mr. thoroughness which the Committee has de-
Stevenson's distorted presentation by the voted to assuring the continued soundness
able Undersecretary of Health, Educa- of the social security program.
tion, and Welfare, Wilbur J. Cohen. The proposals contained In H.R. 12080
Under Secretary Cohen has answered Mr. were considered during 18 days of public
Stevenson's false charges, hearings over a period of 6 weeks, and dur-
64 of
Those who receive social security bene- weeks. ing weeks. executive Following debate, over a period o is
fits and those who pay social security , the House approved
taxes should not fear for the soundness vote of 415y to 3. The bill reaiffirrms the sound-
or integrity of the social security pro- ness of the contributory, wage-related social
gram. The benefits accruing to benefi- security program.
ciaries are secure and will continue to be The soundness of the social security sys-
SO? tem has been examined a number of times
For the information of our colleagues by groups of independent, nongovernmental
and those who read this RECORD, I would representatives of business, insurance, labor,
like to insert Under Secretary Cohen's and the public.
remarks in the RECORD at this point: tration, n
1957, , a Adder dvisory the Co uncil on Social Secu-
STATEMENT BYWILBUR J: COHEN, UNDER SEC- rity Fi an Aappointed Social etary
RETARY OF HEALTH, EDUCATION, AND WELFARE Flemming, It reported as f ows: Secretary
r
"
Mr. Charles Stevenson'
H
ticle on
s a
Secure
Social Security?" in the Oc-
tober issue of the Reader's Digest is mislead-
ing, and, in my opinion, creates anxiety and
fear about the financing of our social security
system that are groundless.
I state categorically that:
The social security system is soundly
financed,
Present and potential future beneficiaries
of social security will get the benefits pro-
vided
and disability insurance program is sound, related to the employee's own contribution
practical, and appropriate for this r ra On the contrary the employer contribution,
It is our judgment, based on the best avail' as in the case of social security, is what makes
able cost estimate, based the contribution avail- it possible to pay larger benefits to workers that co enacted into law the the last ses- and their survivors who axe in the upper age
schedule Congress makes adequate brackets when the group insurance plan
for goes
sio fiof Con the provision into effect than could be paid only on the
g program on a sound Sc- basis of the worker's own contributions.
fi tuarial basis." t
charges as those made in the article to the
effect that social security taxes are used for
purposes other than social security, that the
trust funds contain only IOU's, and that the
system is "in the red" by hundreds of billions
of dollars. Both Councils found these
charges to be without foundation.
II
The article says that the social security
program puts a :'squeeze on the young."
This is not so. The fact is that even without
taking into account that social security
benefits have been and will continue to be
Increased from time to time as changes oc-
cur in wage levels and cost of living, young
workers as a group will get social security
protection worth 20 to 26 percent more than
they will pay in social security contributions.
This is the case under present law and
would be the case under the House-passed
bill and under the Administration's pro-
posal.
Young workers could not only buy com-
parable insurance protection from private
insurance companies at anywhere near the
amount they pay for their social security
protection.
The article takes no account of the fact
that the benefits provided by the present
social security law are very much lower than
the benefits that will actually be paid when
today's young workers reach retirement age.
As wages rise-as they have throughout the
histroy of the country-benefits can be In-
creased without increasing the contribution
rates. This is because the contributions are
a percentage of covered payroll and because,
as wages go up, income to the system in-
crases more than the corresponding liabili-
ties.
As a matter of fact, if benefits were not
increased as wage levels rise over the years,
the contribution rates scheduled in present
law would be too high, and they could be
reduced. Whether benefits are increased or
contribution rates are reduced the result
would be the same, namely, more protection
in relation to contributions than is shown
by analyses that assume no change in wage
levels and in benefits.
The calculations referred to in the article
assume that the covered employee would
have within his control an amount of con-
tributions paid by his employers equal to
the amount of his own social security con-
tribution. This assumption- rests on a mis-
conception of the nature of the social insur-
ance program and indeed the nature of pri-
vate group insurance. If such an assumption
were used, the whole fabric of private group
life insurance, annuity insurance, and other
forms of group insurance in this country
would have to be regarded as inequitable.
As a general rule, under private group in-
surance plans the employer contribution is
Approved For Release 2001/11/01:'CIA DP6'9B`00369ROM200290&'A1 sfuture years, even
 - - - - - - - - - - - -- - - - - - - - - - - - -
October 10, 1967 CONGRESSIONAL RECORD -APPENDIX A 4995
greatly expanded job opportunities and the uneducated, unemployed, cast-off, disen- most of us, the depth of the darkness
status the highly educated and highly gaged sufferers whose only basic fault is that has engulfed Greece.
their lack of precise natural talent to fit the
At the same time, it has steadily reduced narrow, selfish, highly stylized, single-pur- [From the New York Times, Oct. 8, 19671
the number of unskilled and semi-skilled pose social and economic system we now PUBLISHER: "DON'T STOP"
jobs, and thus puts the administration in seem bent upon creating. LONDON, October 8.-Mrs. Helen Vlachos,
the frustrating position of seemingly with- The limitation of our future success will the defiant Greek newspaper publisher
holding the fruits of the great society from not be lack of knowledge, or lack of mate- placed under house arrest, was reported here
the very groups it is intending to benefit rial resources, nor even lack of professional today to be continuing to speak out against
most. - and managerial talents to enable us, through the military-dominated regime in Athens.
More technology or instrumentation or instrumentation and the other elements of The Observer published a letter that it said
automation means the number of less-skilled automation, to raise the level of our econ- had been smuggled out yesterday by Mrs.
jobs steadily shrinks and )he number of omy, of our education; our health, our arts, Vlachos calling on the world's press to keep
complex, high-skill, wide-variety, discretion- and our reference.
ary jobs increases. attacking the Government. The letter was
We must find a way to make more of our What will limit us-possibly even stop said to b addressed to the International
people self-sufficient, producing utilize to the fullest extent of his capability, of newspaper editors.
our society. every responsible citizen of this great
The poor in the slums, the minority groups nation According to The Observer, her letter said
projects, or "shipping them all back to the House Arrest "By it I wish to express my thanks for the
land &f-their forebears" are not practical warm support and interest the international
solutions. The history of Greece and Rome is EXTENSION OF REMARKS press of the free world has given to the
Lr
all. HON. DON EDWARDS leagues. But the principal reason for it is
+-b- .,,,,, ._ ___?--- - - _
1. First is employment. We must find ways IN THE HOUSE OF REPRESENTATIVES Don't stop writing about Greece, don't stop
to so organize our needs and our work that asking why the Greek Government is not
the time and effort of our best people is most Tuesday, October 10, 1967 keeping its promises. Officially
publicly, dec
re-peated effectively matched to what truly requires Mr. EDWARDS of California. Mr. kind of they have all l decla ared that at some
their attention. Every other part must be Speaker, the recent report that former kind of press freedom would be restored of a pseudo-
assigned down the line. At every level, ex- Premier George Papandreou was about fore free the eedom end l
d the year. And even meat by
cept the very lowest, we already face short- weree help. An arrangement
hear all by
ages.
to be released from house arrest after which the Greek people will not hear all the
2. Second is the way we regard work. If we S months of confinement should not de- truth, but at least will not be poisoned and
are to enjoy further gains of an advancing Iude wishful thinkers here that there has duped by massive daily doses of lies and
automation without rioting and looting and been a major change in the political propaganda."
sniping in the streets, we have to "sell" jobs. Philosophy of the military junta in con-
To try to "give" jobs is economically haz- trol in Greece. The announcement, as [From the New, York 'T'imes, Oct. 8, 19671
ardous and socially unacceptable. Work is yet to be confirmed by Mr. Papandreou's ATHENS RELEASES PAPANDREOU, 79-EX-PRE-
given" to prisoners, to slaves or -the other- actual freedom to come and MIER AND EIGHT OTHER POLITICAL FIGURES
wise disenfranchised ... the rebels in our so- and to speak go at will , FREED-SON Is STILL IN JAIL
ciety today cannot be satisfied, and cannot freely, appears to be an world
be wholesomely integrated into our way of tempt to quiet the growing swell of world (By Richard Eder)
life by being "given" work any more than by opinion against the dictatorship. ATHENS, October 7.-The Greek military
being "given" welfare, At the same time this announcement government released from detention today
An employment applicant "buys" or de- was made, the Greek Minister of Edu- former Premier George Papandreou and eight
clines to "buy" our job, which is pay, ben- cation issued a statement about how other political figmes.
efits, working conditions and most of all, education was to be conducted, and that prepared the stamp o,ut tt an ny attempts it is-
the work itself. The challenge to us is to news item gives turb "th peace aan out c un
see that we have work to "sell" to all, not one cold chills. It reminds try. "the and tranquillity of the oun-
just to the specialists in great demand. one inevitably of the mind-shaping, try."
We must apply all the imagination, in- pattern-molding, educational goals com- An announcement by Pavlos Totomis, Min-
genuity, and sensitivity to our job, meeting moll to Hitlerism and Stalinism, ister of Public Order, said that the 79-year-
the employe's needs and preferences as we Andreas Papandreou is still in ail uldnder er strict rice house house arrest, has b i others,
have proven ourselves so capable of doing charged with treason _ under and eigh ghiothers,
for our product customers. on an elaborately who have been detained either in their homes
It is absolutely not a matter of lowering constructed web of hearsay. Two of the or in prison, were no longer under restraint.
employment standards. It is, a matter of witnesses against him have already con- TWENTY-TWO STILL UNDER DETENTION
designing into our "line" of jobs some that fasted, in this country, that they gave Despite the announcement, visitors to Mr.
are truly saleable to the dropout, the perjured testimony under fear for their Papandreou's residence tonight were told by
beatnik, the what-have-you. lives. Thousands of other citizens are the police guard that they had not yet re-
The challenge is not that we help him, still under arrest in deplorable condi- ceived authorization to allow them to see
but that we not deny him the tough, slow, tions and others are arrested every day, the former premier, who has been under de-
self-disciplining opportunity to help himself. If you criticize the dictators in any way, tention, since the April 21 military coup.
3. Attitude towards education. Here may you are denounced as a Communist and The announcement said that "the cases of
be our greatest fault, Those of us in auto- the remainin 22
mation certainly ought to know better, yet arrested. be g reconsidered by a politicians now dotained
would we, along with most ether Americans, are Mr. Speaker, Mrs. Vlachos, who with sion." security commis-
seriously mistaking schooling for education. great courage has thumbed her nose at These presumably included the other non-
The social status symbol of "college" has the colonels by refusing to publish her Communist deputies under arrest, but it was
actually cast a stigma on many needed, newspaper, anticipated her arrest and not clear whether the reconsideration would
important, and worthwhile occupations. smuggled out a letter to a European also apply to former Premier Panayotis Can-
Thousands of needed, honest, paying jobs ellopoulos, who was ousted by the coup lead-
go unfilled; countless thousands more go newspaper institute, but addressed to the ers. Mr. Canelio oulos was recently
slackly, slovenly, disgracefully, poorly done press of the world. She asks us not to der p put un
because we have downgraded them in our stop attacking the present ruling clique tack d on oute the regime. g arafter Andreas making a public Papandrreou, eo, soon
n own and everyone's estimation. in Greece.
are straining brain and muscle to create events, as carried in recent newspapers, "GOVERNMENT IS DETERMINED"
Will come crashing down around our ears in the CONGRESSIONAL RECORD. I also in- - The official announcement of the release of
if we fail to see it in its proper relationship elude a recent letter received by Mem- the nine men was followed by a statement by
to our entire s ciety, bers, of the House from Victor Reuther Mr Totomis saying:
We are no going to be allowed to have on behalf of the members of the UAW, The Government has exhausted every means of motion and more and better professional people His letter expresses the conviction of proceeded oda, reasse smenl of the position
at the expense of a growing body of many of Us, and more eloquently than of political risoner erU
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 Approved For Release 2001/11/01: CIA-RDP69B00369R000200290071-5
CONGRESSIONAL RECORD - APPENDI'.
a Service to the nation, and looking forward
to the cooperation of all Greeks with the
,
tect throng a a u p
h
tranquility of the country, and any attempts teachers to remove from children "alien Government spokesman said, not long ago.
to disturb order by anyone will be stamped habits and Ideas and inculcate In their hearts "It has no leader, no party and no theory."
out, The Government has the power and the the fervent desire to emulate the great fig- This is precisely the point. After six
will to do this." ures of our nation." months, the junta remains almost as un-
The wording of the announcement, as He said: "The first and chief objective of known in its intentions, its capacities and
well as recent comments in the Government- the school is to stimulate the national con- its structure as on the first day. Greeks have
Inspired press, indicated' that, with the re- science. To achieve this you need high spirit no measure by which to judge it. There are
leases today, the Greek political community, and exaltation, that will make the school three questions that any group that seizes
from Mr. Papandreou, is on a strict form atmosphere vibrate and give that particu- power by force of arms is expected to answer:
of parole. larly Greek color, which is the foundation Who are you? What do you intend to do? And
There was Immediate speculation here as of the survival and great deeds of our race." finally, how long are you staying?
to the timing and the reasons for the action. OBLIGATION TO CHURCH The answer to the first is unclear. Col.
One line was that the Government was George Papadopoulos is obviously the lead-
The message drew attention to the ob-
manifesto to against t forestt the the gregime by y a of a group public of ligation of all teachers and children to attend Ing member of the 381 officer revolutionary
anife
political figures. These included y in of where church on they should Sundays (pray on except in Saturday larger to avoid cities council that underpins the junta. He is a
strong-minded but colorless figure, however,
the Center Union, the main party in Greece, who rarely gives interviews, makes few
of which Mr. Papandreou is the leader. crowding the churches), and go to confession
and Holy Communion regularly. and utterly fails to project an
.
Despite the isolation in which Mr. The established religion in Greece is that image.
Papandreou has been kept, it was known The junta's hold on the public imagination
that he had serious reservations about such of the Eastern Orthodox Church. is all the weaker in that the one figure who
a move. His release at this time, therefore, Teachers were urged to dress and behave does show himself, Brig. Stylianos Patakos,
could go 'a a long way to discourage the pro- with "vigilance . dignity to set a good example, while is an alternately good-humored and irascible
their and surveillance" of pupils
portents u lic to appealMr. eccentric, whose frequent and wide-ranging,
The public attack ti nal Radical Union, , "It should also would be extend Ideal," Mr. beyond the schoolKalambokias. went pronouncements obviously have little to do
party ded t of the mounting sure nioon, "if pupils could remain under the in- with the more serious purpose-whatever
reg i added to the n a members erssar on the fluence of the school all day, by organizing that may be-of the powerful figures in the
to bee and the junta
prevent are lopopmmeent council.
of b determined to them inside the school after class." This
co the development would involve the creation Of libraries, read- The second question is also unanswered.
of awek of protest in n a country that, e. ing rooms and sports grounds which are There have been some constructive meas-
two weeks ago, was held in strict silence. lacking. ures-elimination of a wheat subsidy, re-
The release of the politicians is believed He said teachers should also give, individ- form of the church-but mostly the program
at e also to be aimed particularly fremoing We off pressure prom uaily or through lectures, guidance to par- remains vague, apart from continual talk of
abroad, partiweeks the European stern Economic ents for the better upbringing of their chil- putting down Communists and purifying
Ili-ninety voted financial "emphasizing the value of developing Greece.
credits the Council to before their religious, national and moral convic- if the answer to the third question were
a credits complaint r Europe has er Gov- i tions." that the junta Intended to remain briefly,
eTfornrnmalents c asking for the m four expulsion of member Greece The minister's message concluded: "The the first two questions would not matter
ed to for human rights are restored, the Inter- influence of educators cannot possibly be mpearuch. The soon jasunta conditions has has p p areromised or who- as ripe
decided' to Confederation on of Free relations Trade with Unions Greek Parents, to pupils and, to some extent, their
their activity must extend to their they term a "true" democracy in Greece.
labor, and the British hater party urged the extrascholar occupations, thus contributing They people wi have ll be gone so far allowed as to to vote promise on a that the
con-
Treaty of Greece from the North Atlantic to the promotion of the community in which people wil b year.
Treaty Organization. -they live. For this season they cannot be stitution
CRACKDOWN IS FEARED absent from their posts, barring exceptional LONG-TERM GOAL
circumstances, and only following authori- But most observers here are beginning to
.Some observers, however, expressed fears zation from their'superior authority." conclude that talk of a constitution, or in-
that the release of the detainees might be deed of any meaningful democratization,
something more than a defensive move. They [From the New York Tames, Oct. 8, 19671 may be only empty talk, despite the military
feel that a crackdown on all expressions of GREECE: JUNTA IN SEARCH OF A CAUSE Government's announcement yesterday that
political opposition may be in the offing. it had released former Premier Georges
Race tly, a second special military court (By Richard Eder) Papandreou and eight other members of the
for violations of martial law has been set up ATHENS: Last Monday night, former suspended Center Union party from house
in Athens,' presumably to accommodate an Prime Minister Panayotis Kanellopoulos was arrest. The observers believe, instead, that
expected rush of business. Sentences for of- chatting with a visitor in his apartment the hard core of the revolutionary council,
fenders against the`rliartial restrictions have when the doorbell rang and two men,entered, led by Colonel Papadopoulos, intends to set
been increased as well. They identified themselves as agents from up a long-term Government of national purl-
October 10, 1967
teachers whose loyalty was questioned have portant thing about the new leaders is that
been dismissed. Seventy dismissals were an- they have established no real links with the
u~vcaiaa
'The Government is determined to pro- pounced today. community they are to reform.
the minister urged the "How can you call this a dictatorship?" a
Il 1 wf 1 means the ease and - In his message
GREEK JUNTA EXHORTS EACHERS To AROUSE
"NATIONAL QONSCIENCE"
ATHENS,- October 7. Teachers were urged
by the Government this week to give priority
to the stimulation of a "national conscience"
'among Greek schoolchildren in the new
school year.'
Education Minister Constantine Kalambo-
kias, in a message yesterday hailing the re-
opening of schools, admonished all teachers
to `become the guardians of the sacred de-
pository of our i atlonal traditions, and guide
youth toward the eternal values of our
Ilelenic-Christian civilization.
The minister's message came as the five-
month-old military regime abolished educa-
tional reforms introduced' in recent years
that had shifted that emphasis from the
humantiies to.the sciences.
MORE ELABORATE LANGUAGE
The new educational legislation, which
reverted to a large measure to the old sys-
tem, also abolished "Demotic" (the spoken
Greek), from all but the first three grades of
the Kath revou
hi
l
anguage
ng
ncial I eaV
s- or the more e o a " r p e . c othesmen holdin a dead instrument. After scant.
ipprov c orKeiease 2b01/11/01 : CFA-RDP69B00369R000200290071-5
-stinging attack upon the military junta, that King Constantine accepted the junta in
he was under house arrest. Nobody could the first place on the understanding that it
,enter or leave except his wife and the maid. would provide a quick transition back to
The visitor broke In to say that he would parliamentary life. With Colonel Papadopou-
like togo home. The policeman replied that los giving every sign that this is not his in-
orders were orders, but finally they agreed to tention, a confrontation has been created
telephone their superiors. Mr. Kanellopoulos in which the King must openly resist or" let
offered them his telephone. his remaining power be sapped.
"I'm afraid we can't use it, sir," the police- SOME SUPPORT
u
or
th
h
., of many army
pp
e s
as
nevertheless did release the visitor. The King
Finally, a telephone was located in a near- officers and their units. But only the most
carefully planned and quickly executed kind
by store and permission was secured for the of royal counter-coup could have any chance,
visitor to leave. and the King is relatively isolated and has
It is nearly six months since a group of no real staff to allow him to organize such
officers led part of the Greek Army in a coup a venture.
against the quarrelling and Ineffective poli-
tical parties that were governing the country. the weaker his position becomes. The junta
They intended, they said, to quell the Com- has given him a list of 400 officers for retire-
munist, prune the bureaucracy, reshape the ment, most of whom have strong royalist
parties and, in short, mobilize the ccnstruc- loyalties. He has refused to sign it so far,
tive forces of Greece so that when democracy and the junta is believed to be modifying it.
was restored It would work. The point is that the junta, by maneuver
'
s power
DEAD INSTRUMENT and patience, can whittle the King
Having cut the wires, so to speak, the junta down to the point where the last real obstacle
leaders find themselves, like the plain- to a long-term dictatorship is made insignif-
 .4
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October 10, 1967 CONGRESSIONAL RECORD -APPENDIX A 4997
[From the New York Times, Oct. 6, 1967] Anthony M. Solomon, and that there had of utterance, reduced Greek labor unions to
MOVES BY GREECE DELAY'U.S. ARMS-PLAN To been no change in the administration's em- creatures of a Nazi-like labor front, and rules
RESUME SHIPMENTS UNDERCUT BY ARRESTS bargo of large military shipments. through unrelieved terror and oppression.
Grose) Continued association by our country with
(By Peter .[From the New York Times, Oct. 6, 19671 such a regime-to say nothing of outright
WA'$HINGTON, October 5.-New arrests of GREEK JUNTA DEFENDED economic or military assistance to it-can
opposition figures by the Greek military re- ATHENS, October 5.-A prominent member only compromise, grievously, our country's
gime are having the effect of undercutting own integrity.
efforts by the Johnson Administration to of the National Radical Union party took I write not alone in behalf of the 1,500,000
resume shipments of large-scale military aid public issue today with the recent attack members of the UAW, an organization which
to Greece. made on the Greek military junta by the has for many years worked closely with once-
The Administration wants to resume aid party's leader, Former Premier Panayotis Ca- free Greek unions in support of the demo-
emo-
shipments because President Johnson's top nellopoulos. erotic modernization of that nation. dEvery
shipments judge that Greece's role in the North In an article published today in the Gov- element of Greek life, including the most
ernment-controlled Athens newspaper Vra-
Aty Organization requires con- dyni, Panayotis Pipinelis said that the April conservative of its traditional democratic
ti Atlantic ic ed supppoporrt. coup was "necessary and unavoidable." He participants, has had violent hands laid
Nevertheless, the State Department ex- called on Greeks to support the junta, upon it by the military junta. The depth of
pressed annoyance today that the outspoken though he expressed reservations about some world reaction to the dictatorship's assault
Athens newspaper publisher, Mrs. Helen upon the very fundaments of a free national
April yes- of its The acts.
terda . was placed under house arrest
article was distributed in English by community may be judged from the deci-
terday Since the military coup of April 21, sion of the Common Market's Executive
the United States has publicly chided the the junta's press officials. Commission terminate Common Market
The extent to which Mr. Piptnelis's state-
ruY t jni to abe20 officials alss. that ment would split his party could not be de- assistance to (1