THE INVASION OF LAOS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP73B00296R000300090047-9
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 20
• Document Creation Date: December 12, 2016
• Document Release Date: December 17, 2001
• Sequence Number: 47
• Publication Date: February 25, 1971
• Content Type: OPEN

Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090047-9
CONGRESSIONAL RECORD -SENATE Febma ?,, 2.5, 1971
Wendy displays the typical whimsicalness
of women. "I would say that my favorite color
is yellow, but my friends know that I wear
purple all the time, so I had better say that
my favorite color is purple. But my room is
yellow," she explained.
Although quite unsure of what she plans
to do in the future, the 5-feet-4, 105 poured
Miss South Carolina Teenager knows what
she likes to do with her free time. "I would
rather spend time reading than watching
television. Or go for walks. There is so much
going on that Is real that I'd rather not watch
something that's not even material," Wendy
said 'very seriously.
Other varied interests are watching foot-
ball games and reading and writing poetry.
"But the main activity I love is painting.
My favorite picture is a Japanese lady wear-
ing a kimono in a Japanese garden," she
added.
The active 17-year-old, whose favorite sub-
jects. In school are sociology, U.S. history and
English, belongs to the Drama Club, the
Spanish Club and the Junior Civinettes,
Pulling back her medium length blonde
hair, parted down the middle, flipped up on
the ends, Wendy said enthusiastically, "To
earn money to pay for pictures, the Junior
Civinettes are all going to wear T-shirts say-
ing "slave" and work for the other students
to make money one day soon."
Praising the new Spring Valley School,
Wendy said, "We have a great faculty and
great coaches. I hope we can really make a
name for ourself like Dentsville did." She at-
tended Dentsville last year.
The vivacious young teenager announced
that she is a Scorpion. "I really haven't met
that many Scorpions," she said with some
amazement, "I like to read my horoscope and
then if it comes true, I say, 'Ah, ha, maybe
there is something to it.' "
The conversation kept shifting to the many
things which interest Wendy Wingfield. "Did
you see 'Love Story?'.I think that was just
the best movie. I'm usually very emotional,
but I'm proud to say I just had one tear. Two
girls sitting next to us were sobbing so hard,
Randy and I just had to laugh at them,"
Wendy said.
"Randy," is Randy Jacobs, a Carolina fresh-
man. "We've been going steady for six months
exactly. He played football for A.C. Flora and
in the Shrine Bowl and the North-South All-
Star game last year. I think he's really spit-
cial and I like him a lot," she said with a
grin,
Suddenly remembering that she had not
taken the trip to Florida which she won
when she was chosen Miss South Carolina
Teenager 1971, Wendy contemplated whether
she should take it over Easter vacation or
during the summer.
"I haven't been anywhere by myself to
really see what it's like. But I like to travel
with my family," she admitted.
In line with her love of novelty and excite-
ment Wendy said, "I just love to be on a jet
because it goes so fast."
It seems that Wendy does not hesitate Ito
try anything once. "You know," she said,
"two things I. Just tasted that I really like
are squirrel stew and rutabagas. But my
favorite foods still are spaghetti and ham-
burgers.
"My mother said that the way your per-
sonality was projected to the judges was the
main thing in the Miss South Carolina Teen-
ager contest," Wendy explained as the rea-
son she thinks she won. It is certainly no
mystery how Wendy Wingfield stole the show
if personality had anything to do with it.
WHAT'S RIGHT ABOUT AMERICA?
(By Wendy Wingfield)
Many things! . For instance; pistachio
ice-cream, Bozo the Clown, sweatpea incense,
half-price Beattle albums; and the late, late,
late ,show!
But even more, what's Infinitely right
about America is that an American can have
a dream become a reality; because America's
middle name is opportunity. Now, more than
ever, there is the chance to achieve your
special dream-effort is the key word.
I believe. with all my heart, that "my"
generation will put forth such effort needed
to help respect our Flag support our Con-
stitution, obey our laws, and defend our
great country against all enemies.
The mere fact that one seventeen-year-old
girl can have this sincere faith binding her
to her country is what is truly right about
America.
THE INVASION 0
Mr. BAYH. Mr. President, by President
Nixon's conscious decision to support the
South Vietnamese invasion the southern
panhandle of Laos has now become the
testing ground of Vietnamization. And
the evidence to date seems to be proving
that Vietnamization will not end the war.
Vietnamization was supposed to buy
enough time to make the South Viet-
namese Army competent to cope with the
military situation in South Vietnam on
its own. We were led to hope that Viet-
namization would, thereby, permit the
withdrawal of American fighting men so
that in the foreseeable future none of
our forces would be left in Vietnam. Viet-
namization was going to end the war,
principally by demonstrating to the
enemy that they could never win and
ought therefore to compromise in Paris.
The reports already in from the Laos
operation contradict each of these as-
sumptions-In fairness, it does appear that the
ARVN are fighting more competently
than they did several years ago. But that
is not the real question. The real ques-
tion is whether, after nearly 2 years of
Vietnamization. the ARVN show signs of
improving enough to handle the military
situation by themselves. The Laotian in-
vasion raises serious questions about this.
So far it appears that the North Viet-
namese still have the ability to pick the
ground on which to fight, and when they
.do, to inflict serious defeats even on the
ARVN's crack units-despite the most
massive application of American air
power Indochina has yet seen.
The Laotian operation, like the Cam-
bodian one before it, was supposed to
buy time to make the ARVN callable of
defending South Vietnam. The Cambo-
dian operation expanded the area which
they must defend to include yet another
country. The current operation is not
only expanding the area of the conflict,
but also apparently exposing the South
Vietnamese to a decisive military re-
verse. The result could be a South Viet-
namese Army which must fight three
wars instead of one-after some of its
best fighting units have been destroyed.
And what of hopes for American dis-
engagement in the foreseeable future?
The President's statement on unlim-
ited use of American airpower and the
military's estimates of when the South
Vietnamese will be able to take over the
air war pose the real possibility of a
U.S. air umbrella over operations across
Indochina for the next 4 or 5 years. The
scope of that kind of involvement is sug-
gested by the fact that during, the cur
rent invasion of Laos n r airmen are
flying up to 1,000 sortii , it day.
And beyond that, what will a serious
reverse for the ARVN- -now or later-
do to the pace of wit_ d-awal of U.S.
ground troops? America i 3oys may well
be bogged down longer tn Vietnam be-
cause the South Vietr -irtese Army is
spread too thin and too xidly weakened
to defend its own county . .
The administration's ez planations of
the objectives and progri ,i of this opera-
tion have been marked ' dramatic in-
consistencies.
The President either deluded himself
or sought to delude othe s when he indi-
cated that the "lifeline" fl om North Vi-
etnam south could be ch _)ked off by such
a mission, thus convinc ig the Commu-
nists to give up the fight. First, the ca-
pacity of the ARVN to .-.ciiieve that ob-
jective, even temporarily, ii at this point
in serious doubt. Despite t:leir incursion
arld intense air raids, rel or Is persist that
heavy traffic along the Ho Chi Minh
Trail has continued during the last 2
weeks. Even if the So rt-a Vietnamese
were able to block all ;-lhv supply lines
in the eastern half of the Laos panhan-
dle the North Vietname ?e could reroute
their supplies further to i.he west, suf-
fering only a temporar;. delay and loss
of supplies. But in push?tig the Commu-
nist supply lines westw.erd we run the
risk of spreading the i iajor action of
the war to areas heretof err unaffected-
the heartland of Laos a: id even parts of
Thailand. On how man; r.aore innocent
bystanders do we have _o visit the hor-
rors of modern warfare 1.etore we realize
that expanding the war i. not the way
to end it?
Now we are being told tElat an opera-
tion that has stalled a,--id is in danger
of becoming a disastrous setback is on
schedule, that its objisctive is being
achieved and that its p votress is satis-
factory.
Last week we were tole' that the ARVN
were 22 miles into Laos `Vwo days ago
it was 171/2 miles. Yest:-rday it was 16
miles.
Both United States mace South Viet-
namese military authorities are giving
the impression that a battle in which a
crack ARVN Ranger be t.slion fled the
field after losing three-f( in-ths of its men
was at least a standoff it not a triumph.
The town of Tchepon- which was de-
scribed as the hub of t' e trail network
and a key objective when the operation
began has now become a nonobjective.
Furthermore, eyewitn 'sr reports con-
tradict the statistical i vidence Saigon
and the Pentagon are 'it ing. There is
apparently some conside -a)le divergence
between the official figure and the real-
ity of South Vietnamese tosses, of North
Vietnamese losses and A nerican heli-
copters shot down.
Again a fundamental testion is aris-
ing-the right of the American people to
know what has really ha;ypened.
Finally and most im;'otantly, there
is the question of the effect of this Laos
adventure on the chance, (of peace. Con-
trary to the President's laims, I see no
reasonable hope that the Laotian opera-
tion will convince Hanoi hat its chances
of winning are really dim ti--.shed and that
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February 25, 1971 CONGRESSIONAL RECORD -
its enforcement program. It should plead
for more funds if they are needed.
it should publicize food recalls. It should
make public the namesof the firms which do
not allow FDA to conduct inspections or
refuse to yield information on product qual-
ity. It should crack down on the big offend-
ers, and devote less time and energy to
minor offenders.
There is much to be done to make the
FDA an effective agency. Commissioner Ed-
wards should not wait until the criticism
cites down before getting on with the needed
reforms.
PROTECT THE FOOD SHOPPER
it is wrong to sell food containing additives
not proved to be safe.
It is wrong to sell food with ingredients
unspecified which could endanger consum-
ers' health.
There are too many gaps in food laws.
There is too much lag between application
and final test results, at the U.S. Food and
Drug Administration. Enforcement by the
FDA is soft instead of tough.
Consumers meanwhile are baffled by fine
print and technical terminology on packaged
foods. And the food laws let some foods be
sold without listing actual ingredients for
the shopper.
FDA agents ought to be like "the Untouch-
ables," a corps of airtight enforcers like In-
ternal Revenue or G-men. Instead, many
FDA men are doubtful about FDA standards
and practices.
On the FDA's list of substances "gener-
ally regarded as safe"-the so-called GRAS
fist-are some widely used additives which
FDA men themselves do not regard as safe.
Cyclamates were on that "safe" , list 20
years after they had been linked to cancer
in FDA's own laboratory experiments. They
were only banned last fall, as an additive in
food production.
Even then, there was no ban on sales of
foods containing cyclamate sweeteners. Even
now, behind the labels of catsup, mayonnaise
and ice cream may be hidden sweeteners
and colorings and other ingredients a con-
sumer may not want or may be forbidden
to eat.
The food code allows those and other
"standardized" products to be sold without
listing their ingredients. -
When ingredients are listed, their names
are technical and almost no consumer can
tell if they are good or bad. What consumer
knows If he oughtto eat or stay away from
hydrolized vegetable protein or hydrogenated
corn oil or a cola drink which-most likely-
contains caffeine?
Ingredients are listed by weight, heaviest
first. But the first ingredient may be 90%
of the weight in the package, and the second
could be 1%, for all the package tells.
Americans use more packaged and pre-
pared foods every year. Use of chemical food
additives has increased more than 50% in
10 years. Grocery buyers cannot test for hid-
den chemical dangers.
The FDA must be those citizens' agents.
The FDA should have power to block use of
any additive until it is proved safe. It should
have power to require that food packages in-
form purchasers fully, in understandable
language.
The customer has to pay good, genuine
money to the seller. The seller should be
equally honest, offering good, genuine prod-
ucts in which the customer can put his
trust.
MISS WENDY WINGFIELD, MISS
SOUTH CAROLINA TEENAGER
1971
Mr. THURMOND. Mr. President, it is
always a sincere pleasure to learn of
honors which come to South Carolinians.
It is especially pleasing when such hon-
ors are attributed to young people who
display a strong sense of patriotism.
I have never subscribed to the theory
that this generation of young people is
worse than other generations--that they
are more rebellious, less respectful to
their parents, or more inclined to be
violent.
On the contrary, the young people of
the present probably contain more tal-
ent, more ambition, and more maturity
than most in the past. They have, to a
large extent, been maligned by excessive
publicity given to isolated groups and
individuals who do not wish our country
well.
Mr. President, there is, in my State of
South Carolina, a young lady who has
demonstrated attributes which should
bring high esteem to her generation,
She is Miss Wendy Wingfield of Co-
lumbia, who holds the title of Miss South
Carolina Teenager 1971. This 17-year-old
high-school junior was asked. to write a
theme on "What's Right With America,"
as part of the competition.
In talking to reporters about this
paper, Miss Wingfield said that:
Having the freedom to sit and write about
America, or brag about America is what is
right with America.
This simple sentence explains in such
an eloquent way the freedoms that Amer-
icans enjoy. It is reassuring to know that
these values are prized and cherished by
those who will come after us.
Mr. President, a feature article about
Miss Wingfield appeared in the Janu-
ary 31 issue of the State, Columbia,
S.C. This feature, written so well by Mrs.
Linda Caughman, paints an excellent
portrait of the young lady who repre-
sents our State as Miss Teenager 1971.
I ask unanimous consent that the ar-
ticle and the text of Miss Wingfield's
theme be printed in the RECORD.
There being no objection, the items
were ordered tobe printed in the RECORD,
as follows:
"Miss TEENAGER" AN INDIVIDUAL' IN FASHION
AND LIFE STYLE
(By Linda Caughman)
"I used to be a terrible tomboy, playing
football and really getting Into it. About two
years ago when I started dating, I reformed
and now I'm very glad I'm a.girl," Wendy
Wingfield said.
Wendy has certainly outgrown all her torn-
boyishness. In September she won the title
of Miss South Carolina Teenager 1971 and
represented South Carolina in the Miss
American Teenager competition. In Palisades
Park, N.Y.
The blond, blue-eyed, 17-year-old Spring
Valley junior could be best described as a
well-rounded AII-American girl.
An Important part of the Miss; South Caro-
lina Teenager contest was writing and read-
ing a theme on "What's Right with America."
Wendy said, "I wrote that having the free-
dom to sit and write about America or brag
about America was what was right with
America. In Russia they can't do that."
Wendy has lived in Columbia with her 13-
year-old sister. Darcy, her white poodle
named Bebe, her goldfish, who doesn't have
a name, and her mother and step-father, Mr.
and Mrs. Randall E. Thornton, for the past
three years.
"I lived in Seattle, Washington, most of my
life and in California when I was real little,"
Wendy said. "People seem to be the salve
S2021
everywhere except for the way they talk. I
like the South because you feel like you're
somebody here."
Wendy lives in a brand new, very modern
house in the North Trenholm area. "Our
house on this same lot burned down last
March while we were at the beach, It was
terrible. Nothing was saved, except the brick
which were still intact. We rebuilt using al-
most the same house plan," she said.
"It was great fun decorating the new
house. My favorite thing about the house is
the slanted ceiling. It gives me the feeling of
being free.
"I decorated my own room," said Wendy,
who has inherited her mother's talent for
painting abstracts and love of modern de-
signs. "It is real modern and my favorite
piece Is my chair which is round and striped.
"I picked out the wallpaper in the bath-
room. It has big yellow flowers. When you
get to choose things, they mean a lot more
to you," Wendy continued.
Contagiously spreading: her pride in her
family's home, Wendy pointed out the red, -
black and white color scheme in the den and
the kitchen. The modern, basic furniture and
the cathedral ceiling fit her personality per-
fectly.
Attired in a purple, clingy blouse with a
draw string neckline and jeans sporting a
patch on the hip pocket (saying "Randy")
and tennis shoes, Wendy said, "My boyfriend
sewed his name on them and gave me the
jeans for a Christmas present. That's what
makes them special.
"I wear what I like and what looks good
on me. I'm kind of moody. Sometimes I
like to wear something, feminine and some-
times I like to wear a suit. I could just live
in pants.. though. I love jeans and tennis
shoes." Wendy gave her views of fashion.
"I have one midi because I fell in love
with it. I didn't care what length it was. It
could have been down to my toes and I
wouldn't have cared. I just liked the dress
itself." Wendy is one girl who is not going to
let fashion designers dictate to her, she said.
Wendy completed the professional model-
ing course at a local studio,: and has done
some department store television advertise-
ments. "I really modeled more before the
pageant than I have after- the pageant, she
said. "I'm on a junior fashion board."
Having: never seriously considered a career
in modeling, Wendy said that modeling is
just something she enjoys doing now. She
won a $900 scholarship to Bauder Fashion
Institute in Atlanta and plans to take the
fashion Course as soon as she graduates from
high school.
"I would never have gone out and entered
the Miss South Carolina Teenager 1971
Pageant, but since it was placed before me
I decided to try," Wendy admitted.
She was entered in the contest by her
modeling: instructor, who, Wendy said, "in-
stilled confidence in me."
Relating how her family reacted to her
winning the title, Wendy said, "My mother
was the most thrilled person there ever was.
I think my sister was pretty happy, but she
doesn't say much,"
Along with most other teenagers, Wendy
thinks about what she will do after high
school graduation. Ah:hough she wants to
squeeze in the course at Bauder, she is defi-
nitely interested in college. Still undecided
as to where she want3 to go, she has con-
sidered the University of South Carolina be-
cause it s so close to home.
"I would hope to live in a dorm so I could
be independent. I think that is every teen-
ager's dream. But I'd probably come run-
ning home to Mama," Wendy said.
"I told the judges in the contest that I
wanted to be a corporation lawyer, but I
don't anymore. A close friend of our family
Is one and I still think it is a cool thing to do.
I've thought about being a stewardess," she
said.
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 February 25, 19fi proved F~b %X19?Al/l&&DPgi R6R000300090047-9
it ought to sue for peace. In fact, if the
South Vietnamese reverses continue, Ha-
noi may well end up believing they are
much closer to a military victory than
they themselves had thought. In any
case, nothing about this operation would
seem to serve the cause of a negotiated
settlement and final peace.
Plainly we should now be on a very
different course. We should not be ex-
panding the war, but trying to find ways
to deescalate it. We should not be taking
actions in Indochina which seem to as-
sure our further and deeper entangle-
ment. We should, instead, be deciding on
a date on which to end our involvement.
We should not be seeking a military solu-
tion in southern Laos; we should be seek-
ing a political solution in Paris to end the
war in Vietnam.
ADOPTION OF RULES BY COMMIT-
TEE ON LABOR AND PUBLIC
WELFARE
Mr. WILLIAMS. Mr. President, at its
organizational meeting on February 18,
1971, the Committee on Labor and Public
Welfare readopted its existing rules gov-
erning the committee's procedures.
I send a copy of the committee's rules
to the desk and ask unanimous consent
that they be printed in the RECORD as re-
quired by section 133B` of the Legislative
Reorganization Act of 1946, as amended.
The committee will meet again shortly
to consider amendments to these rules
and any amendments then adopted will
also be submitted for publication in the
RECORD.
There being no objection, the rules
were ordered to be printed III the RECORD,
as follows:
RULES AND PROCEDURES OF THE SENATE
COMMITTEE ON LABOR AND PUBLIC WELFARE
Rule 1. Unless the Senate is meeting at
the time, or it is otherwise ordered, and
notice given, the Committee shall meet regu-
larly at 10:30 a.m. on the second and fourth
Thursday of each month. The Chairman may,
upon proper notice, call such additional
meetings as he may deem necessary.
Rule 2. The Chairman of the committee
(subcommittee), or if the Chairman is not
present, the ranking Majority member pres-
ent shall preside at all meetings.
Rule 3. All hearings conducted by the Com-
mittee (subcommittee) shall be open to the
public except:
1. Executive sessions for the consideration
of bills or resolutions, or
2. For voting, or
3. Where the Committee (subcommittee)
by majority vote of those present orders an
Executive session. -
Rule 4. For the purpose of conducting an
Executive session, a majority of the Commit-
tee (subcommittee) actually present shall
constitute a quorum. No measure or recom-
mendation shall be reported from the Com-
mittee (subcommittee) unless a quorum of
the Committee (subcommittee) is actually
present at the time such action is taken.
Votes by proxy shall be permitted.
Rule 5. For the purpose of conducting pub-
lic hearings (including the taking of sworn
testimony) a quorum shall be determined
as follows:
(a) For the full Committee--five members
actually present.
(b) For seven-member subcommittee-
three members actually present.
(c) For five-member subcommittee-two
members actually present.
Rule 6. There :mall be kept a complete
record of all Committee (subcommittee) ac-
t4on. Such records shall contain the vote
cast by each member of the Committee (sub-
committee) on any question which a "yea
and nay" vote is demanded.
The Clerk of the Committee, or his as-
sistant, shall act as recording secretary of
all proceedings before the Committee (sub-
committee).
Rule 7. The Committee (subcommittee)
shall so far as practicable. require all wit-
nesses heard before it, to file written state-
ments of their proposed testimony at least
seventy-two hours before a hearing and to
limit their oral presentation to brief sum-
maries of their arguments. The presiding
officer at any hearing- is. authorized to limit
the time of each witness appearing before
the Committee (subcommittee).
The Committee (subcommittee) shall, as
far as practicable. utilize testimony previous-
ly taken on bills and measures similar to
those before it for consideration.
Rule 8. Should a subcommittee fail to re-
port back to the full Committee on any meas-
ure within a reasonable time, the Chairman
may withdraw the measure from such sub-
committee and report that fact to the full
Committee for further disposition.
Rule 9. No subcommittee may schedule a
meeting or hearing at a time designated for
a hearing or meeting of the full Committee.
Rule 10. It shall be the duty of the Chair-
man to report or cause to be reported to the
Senate, any measure or recommendation ap-
proved by the Committee and to take or cause
to be taken, necessary steps to bring the mat-
ter to a vote.
Rule 11. No person other than members of
the Committee (subcommittee) and members
of the staff of the Committee, shall be per-
mitted to attend the Executive sessions of
the Committee (subcommittee), except by
special dispensation of the Committee (sub-
committee), or the Chairman thereof.
Rule 12. The Chairman of the Committee
(subcommittee) shall be empowered to ad-
journ any meeting of the Committee (sub-
committee) if a quorum is not present with-
in fifteen minutes of the time scheduled for
such meeting.
Rule 13. Whenever a bill or joint resolu-
tion repealing or amending any statute or
part thereof shall be before the Committee
(subcommittee) for final consideration, the
Clerk shall place before each member of the
Committee (subcommittee) a print of the
statute or the part or section thereof to be
amended or repealed showing by stricken-
through type, the part or parts to be omitted,
and in italics, the matter proposed to be
added.
Rule 14. Investigation Procedures
a. An investigating committee (subcom-
mittee) may be authorized only by the action
of a majority of the committee.
b. No investigating committee (subcom-
mittee) is authorized to hold a hearing to
hear subpoenaed witnesses or take sworn
testimony unless a majority of the Members
of the committee or subcommittee are pres-
ent: Provided, however, that the committee
may authorize the presence of a Majority
and a Minority Member to constitute a
quorum.
c. An investigating committee (subcom-
mittee) may not delegate its authority to
issue subpoenas except by a vote of the
committee (subcommittee).
d. No hearing shall he initiated unless the
investigating committee (subcommittee) has
specifically authorized such hearing.
e. No hearing of an investigating commit-
tee (subcommittee) shill be scheduled out-
side of the District of Columbia except by
the majority vote of the committee (sub-
committee).
f. No confidential testimony taken or con-
fidential material presented in an executive
2023
hearing of an investigating com ?uttee (sub-
committee) or any report of th proceedings
of such an executive hearing el all be made
public, either in whole or in pa t.. or by way
of summary, unless authorized ?v a major-
ity of the Members of the comuittee (sub-
committee).
g. Any witness summoned to a public or
executive hearing may be accc-nnanied by
counsel of his own choosing r. ii-, shall be
permitted while the witness is e.cifying to
advise him of his legal rights.
Rule 15. Subject to statutory : c uirements
imposed on the Committee wit respect to
procedure, the rules of the CorIn,ittee may
be changed, modified, amended arspended
at any time, provided, however, i1;it not less
than a majority of the entire m-mbership
so determine at a regular meet--:g with due
notice, or at a meeting specifically called for
that purpose.
PRESS REACTION TO 3-:NATOR
CASE'S RADIO FREE ELT U )PE OPE INI-
TIATIVE
Mr. JAVITS. Mr. Preside: recently
my close colleague, the sen-,r Senator
from New Jersey (Mr. CASs look an
important initiative in brie i.g before
the Senate and the Nation c: -ruin facts
concerning the funding and I tcration of
Radio Free Europe. Senator i 'A..,z's initi-
ative has attracted considerable atten-
tion in the press. I ask unar : Tr:ous con-
sent that a selection of press a--titles on
this subject be printed in t e RECORD.
There being no objection, 11l.! articles
were ordered to be printed in i ' RECORD,
as follows:
[From the Philadelphia Bullet n, Jan. 24,
19711
RADIO FREE EUROPE GETS SECAs un FROM
CIA, CASE SAYS; ASKS Co T ?OL
(By Linda J. Heffner
WASHINGTON.-Sen. Clifford P. a a::e (R-NJ),
charging that millions of dollar in Central
Intelligence Agency funds is usei t:o operate
Radio Free Europe and Radio= liberty, is
urging Congress to control the f 'ieing of the
two stations.
Case said he plans to introdu "egislation
tomorrow calling for the two propaganda
stations to be operated "under the authoriza-
tion and appropriation process : f longress. "
"During the last 20 years." Cr as said in a
statement yesterday, "several h i dred mil-
lion dollars in U.S. Governmen Lands have
been expended from secret CII. b adgets to
pay almost totally for the costs Cf these two
radio stations broadcasting .o Eastern
Europe.
"In the last fiscal year a] one, , -er $30 mil-
lion was provided by the CIA a.: a direct
government subsidy, yet at no tine was Con-
gress asked or permitted to earn cut its tra-
ditional constitutional role of a- i Having the
expenditure."
MOST COSTS LINE ED TO ra
Case said that although Radie _": ee Europe
and Radio Liberty both claim a be non-
governmental organizations s] ?=,sored by
private contributions, high sou. , w indicate
that direct CIA subsidies pay nc.:r t all their
costs.
According to Internal Fevenu l ervice re-
turns, he said, the combined o] an ating cost
of the two stations for fiscal 196 was almost
$34 million-21.1 million for 3ulio Free
Europe and $12.8 million for R To Liberty.
Although Radio Free Europe a inducts a
fund-raising campaign each yea Case said,
he has been Informed that on],_about $12
to $20 million in free advertisini; -race is do-
nated, less than $100,000 is co: ,ributed by
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 Approved For Release 2002/01/10 : CIA-RDP73B00296R0003000900,4 9
CONGRESSIONAL RECORD - SENATE ruttry 25, 1971
the public and gifts from corporations and
foundations are small.
The rest, or more than $30 million each
year, Case said, comes from the CIA.
Asked about Case's charges, a CIA spokes-
man said:
"The Central Intelligence Agency never re-
sponds to statements."
Other Washington sources report that de-
spite insistence by the two stations that they
are private organizations U.S. officials as-
signed to the American consulate general in
Munich, Germany, maintain extremely close
contact with them.
At least one of these officials, according
to the sources, maintains a full-time liaison
rote to the-, two stations with a mission of
assuring that their program content does
not differ from U.S. policy.
To keep the stations informed, the sources
said, the liaison man passes on a steady
stream of classified and unclassified U.S.
Government documents reporting on events
in Eastern Europe.
In addition, the sources said, U.S. Govern-
ment security officers regularly inspect the
headquarters of the two stations to make
sure the facilities for keeping the classified
material are secure.
The sources added that the Government's
official connection with the stations is fur-
ther heightened by a State Department pro-
gram which regularly brings American em-
bassy officials throughout Eastern Europe to
Munich for extensive briefing sessions.
Case's allegations bring to mind the 1967
disclosure that the CIA was funding the Na-
tional Student Association.
At that time, a presidential commission,
composed of John Gardner, then secretary of
Health, Education and Welfare; CIA Direc-
tor Richard Helms, and Nicholas Katzen-
bach, then under secretary of state, recom-
mended that "no federal agency shall pro-
vide covert financial assistance or support,
direct or indirect, to any of the nation's edu-
cational or voluntary organizations."
SECURITY INSPECTION
President Lyndon B. Johnson ordered the
recommendation implemented by all federal
agencies.
Case said the bill he will introduce tomor-
row would amend the U.S. Information and
Educational Exchange Act of 1948 to au-
thorize funds to the two radio stations in
fiscal 1972.
It also will provide, he said, that no other
federal funds could be made available to
either Radio-Free Europe or Radio Liberty,
except under the provisions of this Act.
[ From the Newark Sunday News,
Jan. 24, 1971 ]
CASE TIES CIA TO RADIO FREE EUROPE
(By John J. Farmer)
WASHINGTON.--Radio Free Europe and
Radio Liberty are supported almost entirely
by Central Intelligence Agency funds and
should be brought under direct congressional
financial control, Sen. Clifford P. Case, R-N.J.,
charged last night.
He will sponsor legislation this week, Case
said to bring both broadcast agencies under
the congressional appropriation process.
During the last 20 years, he said, several
hundred million dollars have been spent from
secret CIA budgets to pay almost the total
cost of these stations, which broadcast to
eastern Europe.
"In the last fiscal year alone, over $30
million was provided by CIA as a direct gov-
ernment subsidy; yet at no time was Congress
asked or permitted to carry out.its traditional
constitutional role of approving the ex-
penditure," Case charged.
The figures on reputed CIA spending for
She stations-which claim to be non-govern-
ment agencies supported by private con-
tributions--have been published before, but
never officially acknowledged; Case said his
own inquiry satisfies him that the charges
are true.
Between $12 million and $20 million in
free advertising space is donated annually
to raise private contributions for the sta-
tions, Case said, but the return from the
public is "apparently less than $100,000."
Case's proposal would amend the U.S. In-
formation and Educational Exchange Act to
authorize funds for both stations in. the
coming fiscal year and provide that no other
federal money could be diverted to either
station.
A spokesman for Case said the New Jersey
Republican hopes the legislation, if success-
ful, will begin to lift the curtain on various
federal secret spending, much of which, he
feels, is no longer warranted.
Emergency funding of Radio Free Europe
and Radio Liberty from secret accounts
might be understandable in an emergency
or for a year or two, Case said. But the justi-
fication has lessened as international ten-
sions have eased, he said.
[From the Trenton Sunday Times.
Jan. 24, 19711
CASE WOULD HALT CIA RADIO FUNDING
WASHINGTON.-If you thought that Radio
Free Europe depended on private contribu-
tions solicited through its extensive tele-
vision ad campaigns, you may be surprised
to know that it is funded largely by the
federal government's Central Intelligence
Agency (CIA).
So said Sen. Clifford P. Case (R-N.J.), in
announcing plans to introduce Monday'.egis-
lation that would for the first time put fed-
eral funding of RFE and Radio Liberty under
the control of Congress.
The New Jersey senator said that the two
radio stations, which claim to be non-gov-
ernmental organizations sponsored by pri-
vate contributions, receive about $30 million
per year from secret CIA budgets over which
Congress has no control.
CIA funding allegedly accounts for near-
ly all of the $34 million operating costs of
the two stations, with the remainder Com-
ing from corporate contributions and citi-
zen donations.
Under the auspices of the Advertising
Council, Case said, about $12-20 million in
free ad space is donated to RFE and RL by
television and radio stations, newspapers
and magazines, and billboard companies.
The reported $100,000 in citizen donations
that result from this campaign, however. are
a negligible portion of the! RFE and RL
budgets, Case said.
Radio Free Europe and Radio Liberty were
begun in 1950 and 1951, respectively. RFE
broadcasts to Czechoslovakia, Poland, 3un-
gary, Bulgaria and Rumania, while RL broad-
casts to the Soviet Union.
RFE and RL programming and editorial
policies Often parallel those of the Voice
of America, the U.S. federally funded offi-
cial international radio station.
[From the Washington (D.C.) Sunday Star,
Jan. 24, 19711
CASE To LIFT COVER ON CIA RADIO .'SID
(By George Sherman)
Sen. Clifford P. Case, R-N.J., will present
legislation tomorrow to end what he claims
are secret multimillion dollar subsidies given
by the Central Intelligence Agency to pri-
vate American radio stations broadcasting
to Communist Europe.
According to a statement issued yesterday,
Case charges that last fiscal year alone the
CIA gave "over $30 million!" to Radio Free
Europe and Radio Liberty "as direct govern-
ment subsidy." Both supposedly are non-
governmental anti-Communist stations. Both
are based in Munich, Germany.
"During the last 20 years several liurdred
million dollars in United States Government
funds have been expended from secret CIA
budgets to pay almost totally for the costs
of these two radio stations broadcasting to
Eastern Europe," Case charged.
SUBSTITUTE FUNDING SOUGHT
Case, a member of both the Senate For-
eign Relations and Appropriations commit-
tees, said he will present legislation to bring
the two stations under the authorization
and appropriation process of Congress. He
will call tenatively for a $30 million authoriz-
ation, he said, under the amended U.S. In-
forma.tion and Educational Exchange Act of
1948.
Rep. Ogden R. Reid, R-N.Y., will introduce
similar legislation in the House, Case said.
In developing his case, Case said that in-
come tax returns showed that the combined
operating costs of the two stations in fiscal
1969 were nearly $34 million ($21,109,935 for
Radio Free Europe ind $12,887,401 for Radio
Liberty).
Of that amount, he charged, $30 million
came from the CIA. Less than $100,000 came
from the public, through a free advertising
campaign by the Advertising Council of the
media in this country, and a "small part"
more came from private corporations and
foundations, Case said.
EASING OF TENSION NOTED
Case charged that any possible justifica-
tion for this "covert funding" has lessened
over the years with the easing of interna-
tional tensions.
The New Jersey Republican said he would
ask that administration officials be called to
testify before Congress on the needs of Radio
Free Europe and Radio Liberty.
He noted- that in 1967, after disclosures
that the CIA was providing funds for the Na-
tional Student Association, President John-
son accepted a recommendation that "no fed-
eral agency shall provide covert financial as-
sistance or support, direct or indirect, to
any of the nation's educational or voluntary
organizations."
That recommendation, which added that
"no programs currently would justify any
exception to this policy," was made by John
Gardner, then secretary of Health, Educa-
tion and Welfare, Richard Helms, director of
CIA, and Nicholas Katzenbach, then under-
secretary of State.
"The extraordinary circumstances that
might have been thought to justify circum-
vention of constitutional processes" in an
"emergency situation" years ago, said Case;
"no longer exist
EVIDENCE CITED
Sources close to Case say evidence exists
to prove that the two stations are really ad-
juncts of the U.S. government. They say
that Radio Free Europe and Radio Liberty
receive classified documents from the Amer-
ican consulate general in Munich for user in
their broadcasts.
Furthermore, the sources say, Radio Free
Europe sends messages to Washington--pre-
sumably to the CIA-using the secret coding
system of the consulate general.
Observers here said Case merely is bring-
ing out into the open a situation known in
official circles for years.
[From the Baltimore News-American,
Jan 24,1971]
SENATOR CASE ASKS OVERSEAS RADIO CIA FUND
CUTOFF
(By John P. Wallach)
WASHINGTON.-Sen. Clifford P. Case, R.-
N.J., announced Saturday he would introduce
legislation Monday to stop the Central In-
telligence Agency (CIA) from continuing to
bankroll Radio Free Europe (RFE) and
Radio Liberty (RL).
Case charged that the outlay from "secret"
CIA funds has already cost the U.S. taxpayer
"several hundred million dollars." The Re-
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 February 25, 19_`pproved VR000300090047-9 S2023
it ought to sue for peace. In fact, if the
South Vietnamese reverses continue, Ha-
noi may well end up believing they are
much closer to a military victory than
they themselves had thought. In any
case, nothing about this operation would
seem to serve the cause of a negotiated
settlement and final peace..
Plainly we should now be on a very
different course. We should not be ex-
panding the war, but trying to find ways
to deescalate. it. We should not be taking
actions in Indochina which seem to as-
sure our further and deeper entangle-
ment. We should, instead, be deciding on
a date on which to end our involvement.
We should not be seeking a military solu-
tion in southern Laos; we should be seek-
ing a political solution in Paris to end the
war in Vietnam.
ADOPTION OF RULES BY COMMIT-
TEE ON LABOR AND PUBLIC
WELFARE
Mr. WILLIAMS. Mr. President, at its
organizational meeting 'on February 18,
1971, the Committee on Labor and Public
Welfare readopted its existing rules gov-
erning the committee's procedures.
I send a copy of the committee's rules
to the desk and ask unanimous consent
that they be printed in the RECORD as re-
quired by section 133B of the Legislative
Reorganization Act of 1946, as amended.
The committee will meet again shortly
to - consider amendments to these rules
and any amendments then adopted will
also be submitted for publication in the
RECORD.
There being no objection, the rules
were ordered to be printed in the RECORD,
as follows:
RULES AND PROCEDURES OF THE SENATE
COMMITTEE ON LABOR AND PUBLIC WELFARE
Rule 1. Unless the Senate is meeting at
the time, or it is otherwise ordered, and
notice given, the Committee shall meet regu-
larly at 10:30 a.m. on the second and fourth
Thursday of each month. The Chairman may,
upon proper notice, call such additional
meetings as he may deem necessary.
Rule 2. The Chairman of the Committee
(subcommittee), or if the Chairman is not
present, the ranking Majority member pres-
ent shall preside at all meetings.
Rule 3. All hearings conducted by the Com-
mittee (subcommittee) shall be open to the
public except:
1. Executive sessions for the consideration
of bills or resolutions, or
2. For voting, or
3. Where the Committee (subcommittee)
by majority vote of those present orders an
Executive session.
Rule. 4. For. the purpose of conducting an
Executive session, a majority of the Commit-
tee (subcommittee) actually present shall
constitute a quorum. No measure or recom-
mendation shall be reported from the Com-
mittee (subcommittee) unless a quorum of
the Committee (subcommittee) is actually
present at the time such action is taken.
Votes by proxy shall be permitted.
Rule 5. For the purpose of conducting pub-
lic hearings (including the taking of sworn
testimony) a quorum shall be determined
as follows:
(a) For the full Committee--five members
actually present.
(b) For seven-member subcommittee
three members actually, present.
(c)- For five-member subcommittee-two
members actually present.
Rule 6. There shall be kept a complete
record of all Committee (subcommittee) ac-
tion. Such records shall contain the vote
cast by each member of the Committee (sub-
committee) on any question which a "yea
and nay" vote is demanded.
The Clerk of the Committee, or his as-
sistant, shall act as recording secretary of
all proceedings before the Committee (sub-
committee).
Rule 7. The Committee (subcommittee)
shall so far as practicable. require all wit-
riesses heard before it, to file written state-
ments of their proposed testimony at least
seventy-two hours before a hearing and to
limit their oral presentation to brief sum-
maries of their arguments. The presiding
officer at any hearing is authorized to limit
the time of each witness appearing before,
the Committee (subcommittee).
The Committee (subcommittee) shall, as
far as practicable, utilize testimony previous-
ly taken on bills and measures similar to
those before it for consideration.
Rule 8. Should a subcommittee fail to re-
port back to the full Committee on any meas-
ure within a reasonable time, the Chairman
may withdraw the measure from such sub-
committee and report that fact to the full
Committee for further disposition.
Rule 9. No subcommittee may schedule a
meeting or hearing at a time designated for
a. hearing or meeting of the full Committee.
Rule 10. It shall be the duty of the Chair-
raan to report or cause to be reported to the
Senate, any measure or recommendation ap-
proved by the Committee and to take or cause
to be taken, necessary steps to bring the mat-
ter to a vote.
Rule 11. No person other than members of
the Committee (subcommittee) and members
of the staff of the Committee, shall be per-
mitted to attend the Executive sessions of
the Committee (subcommittee), except by
special dispensation of the Committee (sub-
committee), or the Chairman thereof.
Rule 12. The Chairman of the Committee
(subcommittee) shall be empowered to ad-
journ any meeting of the Committee (sub-
committee) if a quorum is not present with-
in fifteen minutes of the time scheduled for
such meeting.
Rule 13. Whenever a bill or joint resolu-
tion repealing or amending any statute or
part thereof shall be before the Committee
(subcommittee) for final consideration, the
Clerk shall place before each member of the
Committee (Subcommittee) a print of the
statute or the part or section thereof to be
amended or repealed showing by stricken-
through type, the part or parts to be omitted,
and in italics, the matter proposed to be
added.
Rule 14. Investigation Procedures
a. An investigating committee (subcom-
mittee) may be authorized only by the action
of a majority of the committee.
b. No investigating committee (subcom-
mittee) is authorized to hold a hearing to
hear subpoenaed witnesses or take sworn
testimony unless a majority of the Members
of the committee or subcommittee are pres-
ent: Provided, however, that the committee
may authorize the presence of a Majority
and a Minority Member to constitute a
quorum.
c. An investigating committee (subcom-
naittee) may not delegate its authority to
issue subpoenas except by a vote of the
committee (subcommittee) _
d. No hearing shall be initiated Unless the
investigating committee (subcommittee) has
specifically authorized such hearing.
e. No hearing of an investigating commit-
tee (subcommittee) shall be scheduled out-
side of the District of Columbia except by
the majority vote of the committee (sub-
committee).
f. No confidential testimony taken or con-
fidential material presented in an executive
hearing of an investigating con,:n:ttee (sub-
committee) or any report of th proceedings
of such an executive hearing s , i be made
public, either In whole or in pt+-t or by way
of summary, unless authorized. b' a major-
ity of the Members of the corr. a) ctee (sub-
committee).
g. Any witness summoned tc a public or
executive hearing may he ace.--rnanied by
counsel of his own choosing , b .o shall be
permitted while the witness is *e tifying to
advise him of his legal rights.
Rule 15. Subject to statutory souirements
imposed on the Committee wi- h respect to
procedure, the rules of the Co. )r ittee may
be changed, modified, amended 'r suspended
at any time, provided, however, hat not less
than a majority of the entire 'r embership
so determine at a regular meet li"; with due
notice, or at a meeting specifics ly called for
that purpose,
Mr. JAVITS. Mr. President recently
my close colleague, the ser.n of Senator
from New Jersey (Mr. CAsr , took an
important initiative in brie.;big before
the Senate and the Nation c rain facts
concerning the funding and p'?ration of
Radio Free Europe. Senator -Ass's initi-
ative has. attracted consider i1 le atten-
tion in the press. I ask unar'r.,OUS con-
sent that a selection of pres. articles on
this subject be printed in 1-w RECORD.
There being no objection. he articles
were ordered to be printed in he RECORD,
as follows :
[From the Philadelphia Bully c). Jan. 24,
19711
RADIO FREE EUROPE GETS SEc1 O '5rD FRoar
CIA, CASE SAYS; ASKS C; `J') ROL
(By Linda J. Heffner ,
WASHINGTON.--Sen. Clifford P. 7ae (R-NJ),
charging that millions of dona- in Central
Intelligence Agency funds Is us d 1o operate
Radio Free Europe and Radi ,iberty, is
urging Congress to control, the f !r Ling of the
two stations.
Case said he plans to introdu -e 'legislation
tomorrow calling for the two propaganda
stations to be operated "under t =a authoriza-
tion and appropriation process :,v congress."
"During the last 20 years." C ,, said In a
statement yesterday, "several 1 ucdred mil-
lion dollars in U.S. Governmen funds have
been expended from secret CL' ::udgets to
pay almost totally for the costs -f these two
radio stations broadcasting tA Eastern
Europe.
"In the last fiscal year alone v=r $30 mil-
lion was provided by the CIA s:; a direct
government subsidy, yet at no t. s.+ was Con-
gress asked or permitted to carr c ut its tra-,
ditional constitutional role of s proving the
expenditure."
MOST COSTS LINKED TO :1.
Case said that although Radio; Free Europe
and Radio Liberty both claim t-, be non-
governmental organizations a o )cored by
private contributions, high sor a.; indicate
that direct CIA subsidies pay ne :r y all their
costs.
According to Internal Revenue Service re-
turns, he said, the combined o e-Sting cost
of the two stations for fiscal 19C I .as almost
$34 million-21.1 million for Radio Free
Europe and $12.8 mililon for p -d o Liberty.
Although Radio Free Europe c-)nducts a
fund-raising campaign each ye: r, (lase said,
he has been informed that on'-- about $12
to $20 million in free advertisini _-ace is do-
nated, less than $100,000 is co -t) ibuted by
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 Approved For Reftd 2 SSIONIAI. fl c PJ3B~,H?ffE00300090 e 9 ry,y 25, 1971
The public and gifts from corporations and
foundations are small.
The rest, or more than $30 million each
year, Case said, comes from the CIA.
Asked about Case's charges, a CIA spokes-
man said:
"The Central Intelligence Agency never re-
ponds to statements."
Other Washington sources report that de-
spite insistence by the two stations that they
are private organizations U.S. officials as-
signed to the American consulate general in
Munich, Germany, maintain extremely close
contact with them.
At least one of these officials, according
to the sources, maintains a full-time liaison
role to the two stations with a mission of
assuring that their program content does
not differ from U.S. policy.
To keep the stations informed, the sources
said, the liaison man passes on a steady
stream of classified and unclassified U.S.
Government documents reporting on events
in Eastern Europe.
In addition, the sources said, U.S. Govern-
ment security officers regularly inspect the
headquarters of the two stations to make
sure the facilities for keeping the classified
material are secure.
The sources added that the Government's
official connection with the stations Is fur-
ther heightened by a State Department pro-
gram which regularly brings American em-
bassy officials throughout Eastern Europe to
Munich for extensive briefing sessions,
Case's allegations bring to mind the 1967
disclosure thatsthe CIA was funding the Na-
tional Student Association.
At that time, a presidential commission,
composed of John Gardner, then secretary of
Health, Education and Welfare; CIA Direc-
tor Richard Helms, and Nicholas Katzen-
bach, then under secretary of state, recom-
mended that "no federal agency shall pro-
vide covert financial assistance or support,
direct or indirect, to any of the nation's edu-
cational or voluntary organizations."
SECURITY INSPECTION
President Lyndon B. Johnson ordered the
recommendation implemented by all federal
agencies.
Case said the bill he will introduce tomor-
row would amend the U.S. Information and
Educational Exchange Act of 1948 to au-
thorize funds to the two radio stations in
fiscal 1972.
It also will provide, he said, that no other
federal funds could be made available to
either Radio-Free Europe or Radio Liberty,
eleept under the provisions of this Act.
[From the Newark Sunday News,
Jan. 24,1971]
CASE TIES CIA TO RADIO FREE EUROPE
(By John J. Farmer)
WASHINGTON: Radio Free Europe and
Radio Liberty are supported almost entirely
by Central Intelligence Agency funds and
should be brought under direct congressional
financial control, Sen. Clifford P. Case, R-N.J.,
charged last night.
He will sponsor legislation this week, Case
said to bring both broadcast agencies under
the congressional appropriation process.
Duringthe last 20 years, he said, several
hundred million dollars have been spent from
secret CIA budgets to pay almost the total
cost of these stations, which broadcast to
eastern Europe. -
"In .the last fiscal year alone, over $30
million was provided by CIA as a direct gov-
ernment subsidy; yet at no time was Congress
asked or permitted tocarry out its traditional
constitutional role of approving the ex-
penditure," Case charged.
The figures on reputed CIA spending for
he stations-which claim to be non-govern-
ment agencies supported by private con-
tributions-have been published before, but
never officially acknowledged. Case said his
own inquiry satisfies him that the charges
are true.
Between $12 million and $20 million in
free advertising space is donated annually
to raise private contributions for the sta-
tions, Case said, but the return from. the
public is "apparently less than $100,000."
Case's proposal would amend the U.S. In-
formation and Educational Exchange Act to
authorize funds for both stations in the
coming fiscal year and provide that no other
federal money could be diverted to either
station.
A spokesman for Case said the New Jersey
Republican hopes the legislation, if success-
ful, will begin to lift the curtain on various
federal secret spending, much of which, he
feels, is no longer warranted. -
Emergency funding of Radio Free Europe
and Radio Liberty from secret accounts
might be understandable in an emergency
or for a year or two. Case said.. But the justi-
fication has lessened as international ten-
sions have eased, he said.
[From the Trenton Sunday Times
-
Jan. 24, 19711
CASE WOULD HALT CIA RADIO FUNDING
WASHINGTON.-If you thought that Radio
Free Europe depended on private contribu-
tions solicited through its extensive tele-
vision ad campaigns, you may be surprised
to know that it is funded largely by the
federal government's Central Intelligence
Agency (CIA).
So said Sen. Clifford P. Case (R-N.J.i, in
announcing plans to introduce Monday legis-
lation that would for the first time put fed-
`e`ral funding of RFE and Radio Liberty under
the control of Congress.
The New Jersey senator said that the two
radio stations, which claim to be non-gov-
ernmental organizations sponsored by pri-
vate contributions, receive about $30 million
per year from secret CIA budgets over which
Congress has no control.
FREE SPACE DONATED
CIA funding allegedly accounts for near-
ly all of the $34 million operating costs of
the two stations, with the remainder com-
ing from corporate contributions and citi-
zen donations.
Under the auspices of the Advertising
Council, Case said, about $12--20 million in
free ad space is donated to RFE and RI, by
television and radio stations, newspapers
and magazines, and billboard companies.
The reported $100,000 in citizen donations
that result from this campaign, however, are
a negligible portion of the RFE and RL
budgets, Case said.
Radio Free Europe and Radio Liberty were
begun in 1950 and 1961, respectively. RFE
broadcasts to Czechoslovakia, Poland, Hun-
gary, Bulgaria and Rumania, while RL broad-
casts to the Soviet Union.
RFE and RL programming and editorial
policies often parallel those of the Voice
of America, the U.S. federally funded offi-
cial international radio station.
[From the Washington (D.C.) Sunday Star,
Jan. 24, 19711
CASE TO LIFT COVE:A ON CIA RADIO AID
(By George Sherman)
Sen. Clifford P. Case, R-N.J., will present
legislation tomorrow to end what he claims
are secret multimillion dollar subsidies given
by the Central Intelligence Agency to pri-
vate American radio stations broadcasting
to Communist Europe.
According to a statement issued yesterday,
Case charges that last fiscal year alone the
CIA gave "over $30 million" to Radio Free
Europe and Radio Liberty "at; direct govern-
ment subsidy," Both supposedly are non-
governmental anti-Communist stations. Both
are based in Munich, Germany.
"During the last 20 years several hundred
million dollars in United States Government
funds have been expended from secret CIA
budgets to pay almost totally for the costs
of these two radio stations broadcasting to
Eastern Europe," Case charged.
SUBSTITUTE FUNDING SOUGHT
Case, a member of both the Senate For-
eign Relations and Appropriations commit-
tees, said he will present legislation to bring
the two stations under the 'authorization
and appropriation process of Congress. He
will call tenatively for a $30 million authoriz-
ation, he said, under the amended U.S. In-
formation and Educational Exchange Act of
1948.
Rep. Ogden R. Reid, R-N.Y., will introduce
similar legislation in the House, Case said.
In developing his case, Case said that in-
come tax returns showed that the combined
operating costs of the two stations in -fiscal
1969 were nearly $34 million ($21,109,935 for
Radio Free Europe and $12,887,401 for Radio
Liberty).
Of that amount, he charged, $30 million
came from the CIA. Less than $100,000 came
from the public, through a free advertising
campaign by the Advertising Council of the
media in this country, and a "small part"
more came from private corporations and
foundations, Case said.
EASING OF TENSION NOTED
Case charged that any possible justifica-
tion for this "covert funding" has lessened
over the years with the easing of interna-
tional tensions.
The New Jersey Republican said he would
ask that administration officials be called to
testify before Congress on the needs of Radio
Free Europe and Radio Liberty.
He noted that in 1967,- after disclosures
that the CIA was providing funds for the Na-
tional Student Association, President John-
son accepted a recommendation that "no fed-
eral agency shall provide covert financial as-
sistance or support, direct or indirect, to
any of the nation's educational or voluntary
organizations."
That recommendation, which added that
"no programs currently would justify any
exception to this policy," was made by John
Gardner, then secretary of Health, Educa-
tion and Welfare, Richard Helms, director of`
CIA, and Nicholas Katzenbach,. then under-
secretary of State. -
"The extraordinary circumstances that
might have been thought to justify circum-
vention of 'constitutional -processes" in an
"emergency situation" years ago, said Case,
"no longer exist."
EVIDENCE CITED -
Sources close to Case say evidence exists
to prove that the two stations are really ad-
juncts of the U.S. government, They say
that Radio Free Europe and Radio Liberty
receive classified documents from the Amer-
ican consulate general in Munich for use in
their broadcasts.
Furthermore, the sources say, Radio Free
Europe sends messages to Washington--pre-
sumably to the CIA--using the secret coding
system of the consulate general.
Observers here said Case merely is bring-
ing out into the open. a situation. known in
official. circles for years.
[From the Baltimore News-American,
Jan. 24, 1971 ]
SENATOR CASE ASKS OVERSEAS RADIO CIA FUND
CUTOFF -
(By John P. Wallach)
WASHINGTON.-Sen. Clifford P. Case, R.-
N.J., announced Saturday he would introduce
legislation Monday to stop the Central In-
telligence Agency (CL?,) from continuing to
bankroll Radio Free Europe (RFE) and
Radio Liberty (RL). -
Case charged that the outlay from "secret"
CIA funds has already cost the U.S. taxpayer
"several hundred million dollars. The Re-
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 roved For Release 200Q 1RECORDDP SENATE R000300090047-9
February 25, AT CONGRESSIONAL
publican senator called on the two organiza.
tions to quit the pretense of acting as pri-
vate organizations claiming to rely solely
on voluntary contributions.
As a replacement for covert government
funding, Case proposed that Congress ap-
propriate the. $30 million that is now needed
to meet the station's average annual budget.
Both RFE and Rh beam,, in several languages,
news to the nations of Eastern Europe and
the Soviet Union.
Both organizations are heavily staffed by
refugees from behind the Iron Curtain, but
are. distinct from the Voice of America,
which is an official arm of the U.S. govern-
ment and receives all its funding from Con-
gress.
Case's allegation that the CIA continues
to finance the two stations amounts to a
direct attack against CIA ]Director Richard
Helms, who was one of three members of a
presidential investigatory body formed after
the disclosure in 1967 of CIA funding of the
National Student Association.
The commission, which also included John
Gardner, the secretary of the Department
of Health, Education and Welfare (HEW)
and Nicholas Katzenbach, then secretary of
state, recommended "no federal assistance
or support, direct or indirect, to any of the
nation's educational or voluntary organiza-
tions."
On March 29, 1967, President Johnson ac-
cepted the commission's recommendations
and ordered that they be implemented by all
federal agencies.
Case announced that he would call leading
administration officials to testify on his bill,
charging that "during the last twenty years,
several hundred million dollars in United
States government funds have been expended
from secret CrA budgets to pay almost totally
for the cost of these two radio stations.
'In the last fiscal year alone, over $30
million was provided by CIA as a direct gov-
ernment subsidy;" yet at no time was Con-
gress asked or permitted to carryout its
traditional constitutional role of approving
the expenditure," Case said.
Congressional sources disclosed additional
evidence of the links between the stations
and the U.S. government-ties that Case be-
lieves violate at least the spirit of the or-
ganization's charters with enable them to
maintain tax privileges and other benefits as
private, non-governmental operations.
The evidence cited was:
At least one foreign service officer as-
signed to the American consulate general in
Munich is permanently assigned to helping
RFE and RL staffers in Munich prepare
broadcasts. The U.S. official's chief task is to
assure that the program content does not dif-
fer from U.S. foreign policy.
In order to keep RFE and RL personnel in-
formed on current U.S. policy, the broad-
casters are given access to classified and un-
classified U.S. government, including CIA,
documents reporting on events in Eastern
Europe.
U.S. government security personnel reg-
ularly inspect RFE and RL's headquarters in
Munich to make sure facilities for keeping
classified material are secure.,
The State Department runs a special pro-
gram which regularly beings American em-
bassy officials from Eastern Europe to Munich
to brief RFE and RL staffers. The station's ex-
ecutives also have the use of U.S. diplomatic
pouches to communicate with their offices in
Washington and New York.
The Voice of America maintains separate
studios in Munich. but its staffers freely ex-
change research, background information
and other documents with R. and RL per-
sonnel
Case also charged that Radio Free Europe
benefits from millions of dollars of free ad-
vertising under. the auspices of the Ad-
vertising Council, but realizes only a frac-
tion of this is private contributions.
"I have been advised that between $12
million and $20 million in free media space is
donated annually to this campaign while the
return from the public is apparently less than
$100,000,' Case said.
"Additionally," the New Jersey senator
said, "both Radio Free Europe and Radio
Liberty attempt to raise money from cor-
porations and foundations, but contributions
from these sources reportedly pay only a
small part of their total budgets."
[From the San Francisco Examiner,
Jan. 24, 19711
RADIO FREE EUROPE "FINANCED BY CIA"
WASHINGTON.- Sen. Clifford P. Case said
yesterday secret Central Intelligence Agency
subsidies have financed most operating costs
of Radio Free Europe and Radio Liberty
which beam broadcasts to Eastern Europe.
He called for an end to covert government
financing and said he will introduce legisla-
tion tomorrow to bring the two stations un-
der the congressional authorization and ap-
propriation process.
Case, a member of both the Senate For-
eign Relations and Appropriations Commit-
tees, said tax returns of the two stations show
combined operating costs of nearly $34 mil-
lion for fiscal 1989.
DIRECT SUBSIDIES
Although both claim to be nongovern-
mental organizations sponsored by private
contributions, Case (R-N.J.) said, "the bulk
of Radio Free Europe's and Radio Liberty's
budgets, or more than $30 million annually,
comes from direct CIA subsidies."
His legislation calls for an initial authori-
zation of $30 million for the two stations, but
Case said the figure could be revised as fur-
ther information becomes available.
He noted that, after disclosure in 1967 of
CIA funding of the National Student Associa-
tion, former President Johnson directed that
no covert financial assistance should be pro-
vided by federal agencies to education or
voluntary organizations.
EVIDENCE OF LINKS
Congressional source disclosed additional
evidence of the links between the stations
and the U.S. government-ties that Case be-
lieves violate at least the spirit of the organi-
zation's charters which enable them to main-
tain tax privileges and other benefits as pri-
vate, nongovernmental operations.
The evidence cited was that:
At least one Foreign Service Officer as-
signed to the American Consulate General
in Munich is permanently assigned to help-
ing RFE and RL staffers in Munich prepare
broadcasts. His chief task is to assure that
the program content does not differ from
U.S. foreign policy.
In order to keep RFE and RL personnel
informed on current U.S. policy, the broad-
casters are given access to classified and un-
classified U.S. government (including CIA)
documents reporting on events in East Eu-
rope. In addition, U.S. government security
personnel regularly inspect RFE and RL's
headquarters in Munich to make sure fa-
cilities for keeping classified material are
secure.
The State Department runs a special pro-
gram which regularly brings American Em-
bassy officials from Eastern Europe to Munich
to brief RFE and RL staffers. The station's
executives also have the use of U.S. diplo-
matic pouches to communicate with their
offices in Washington and New York.
The Voice of America maintains separate
studios in Munich, but its staffers freely ex-
change research, background information
and other documents with RFE and RL per-
sonnel.
CIA FUNDS
Case said from $12 million to $20 million
in free media space is donated annually to
the campaign to raise funds for the two sta-
S 2025
tions, but that "the return fr(m the public
is apparently less than $100,0G,;" while coal-
tributions from corporations an ?I I oundations
likewise account for only a sir 1; portion of
their budgets.
The 1969 tax returns for the two stations
show that Radio Free Europe -e(eived $21.8
million In contributions, gift and grants,
while Radio Liberty received $13 million,
Case said.
Breakdowns of the sources ace not re-
quired, but aides said Case ha:! learned vir-
tually all of the contributions; were in fact
from CIA funds.
THE NEEDS OF THE P,,OPLE
Mr. WILLIAMS. Mr. Pres dent, as the
new chairman of the Committee on La-
bor and Public Welfare, I want to set
forth for Senators and for t:ie public my
views regarding the role which the com-
mittee should undertake to ultill during
the coming years.
One hundred and two YE -,r ; ago, the
Committee on Labor and Piaoi3c Welfare
was established. Through .' years it
has been known by differen names. But
regardless of its name, it is h? commit-
tee's mandate which will a iw ays be of
first and foremost importance.
I am proud to say that (w mandate
today is the American p_oole, their
needs, their hopes, and their a ;pirations,
The committee sits charges4 v ith juris-
diction over the legislative raeas of edu-
cation, labor, public health, aid, indeed,
"the public welfare genera ly" This is
a heavy but welcome respor.aiiility, and
I know that no committee number re-
gards it lightly. I am hoi o-ed to be
their chairman.
It is my intention as cha (.Dian to in-
sure that this committee & tail respond
in the fullest possible me? a re to the
needs, hopes, and aspirations of the
American people in the 1970'
To do this, the committee roust play a
vital and major role in ev, lhating our
national needs and our st ''?a.iegies for
meeting those needs. It is uniquely con-
stituted to perform that role. Ii can do so
through the enactment of forward-look-
ing legislation. It can also Pilfill that
function through a major legislative re-
view effort to guarantee that 'fie promise
of programs already enact zd by Con-
gress is realized by effective ?e formance
from those charged with the .'xecution.
The constituency of this t rnumittee is
as broad as the Nation itsel: I t includes
America's 80 million workii"g men and
women as well as its 20 in hon senior
citizens. It comprises every irierican in
need of health care and eve. y American
who wants a decent educa .K'n for his
child. It includes America: "6 million
poverty stricken and its 5.4 million un-
employed. Included, too, are the millions
of Americans who have sui Bred disad-
vantages as members of min 'rity groups.
AMERICA'S YOUTH
Although the subcommit,ez s of our
committee have been organ; sed so as to
represent and act upon th, tweeds and
concerns of the various eler'aents of our
constituency, we have lea:: nt-d during
the past 2 or 3 years that on riajor por-
tion of our society has no -been ade-
quately represented in the councils of
government: Our country'- youth. I
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CONGRESSIONAL RECORD - S ! NATE February 25, 1971
have on a number of occasions called
for the creation of a Senate unit to deal
with the problems of youth, and I am
now announcing the formation within
the Committee on Labor and Public Wel-
fare of a subcommittee specifically de-
voted to the needs and concerns of our
young people-the Subcommittee on
Children and Youth.
The jurisdiction of our full committee
lends itself to many of the important
concerns about our youth; education,
health, manpower, poverty, and drug
abuse directly affect the course of all
young people. Yet we must also find
a way to talk directly with those most
Intimately involved-young Americans
themselves.
I intend that this new subcommittee
will be much more than a forum for
youthful criticism. We need intelligent,
thoughtful contributions from our young
people. We need answers to the disturb-
ing questions which plague us today. We
need a place where the best of our youth
can present the best of their ideas. We
need to talk together and to learn from
one another.
The young come from every segment
of society. And the vital issues within the
concern of the committee are different in
urban centers from what they are in
small towns and rural America. There-
fore, we must hear from young people
from every walk of life, from all parts
of America. This new subcommittee can
play an important role in meeting the
challenges and opportunities our young
people provide.
AMERICA'S WORKING PEOPLE
During the 92d Congress this commit-
tee's concerns in the labor area will in-
clude exploration of methods for coping
more satisfactorily with nationwide la-
bored disputes consistent with our tradi-
tion of free collective bargaining. We will
begin an evaluation of this country's
workmen's compensation system and we
will seek to make needed improvements
In the Longshoremen's and Harbor Work-
ers' Compensation Act. I also intend a
continuation of the United Mine Workers
election investigation undertaken during
the 91st Congress.
There are a number of additional issues
before the committee which directly bear
upon the opportunities and well-being
of our working men and women.
Millions of working people in this
country live in poverty because they are
working outside the protection of the
Federal minimum wage law. Even those
who fall within the provisions of the
minimum wage laws are assured an in-
come of only $64 a week. One of the more
effective tools to eradicate poverty and
to reform the welfare system, in my
judgment, is the enactment of respon-
sible minimum wage legislation which
guarantees to every working American
an income sufficient to raise his family
in pride and dignity.. We will strive to
achieve that goal in the 92d Congress.
Moreover, with unemployment now at
its highest level in 9 years, and with no
visible prospect of significant or sub-
stantial early improvement, one of the,
earliest subjects of committee action
must be public service employment leg-
islation, on which we have already be-
gun hearings. Such legislation would au-
thorize the Secretary of Labor to con-
tract with mayors, Governors, and other
public agencies to hire the unemployed'
and underemployed on jobs certified., to
be vital and necessary-jobs in educa-
tion, health programs, recreation, law
enforcement, environmental protecton,
sanitation, and other areas of urgent
public need.
A Public Service Employment Act -,kill
not only create jobs which will enhance
both the immediate and long-term em-
ployment prospects of up to 200,000
Americans, but will enable our State and
local governments to provide needed serv-
ices which they are presently unable to
support. Unfortunately, legislation au-
thorizing such a program was vetoed by
the President last year; but perhaps the
specter of continually rising unemploy-
ment will persuade the President not. to
reject such a program this year.
A new attempt to achieve comprehen-
sive reform of our manpower program
must also be undertaken during this Con-
gress, despite the President's veto of such
legislation last year.
In addition, an important priority will
be to seek approval by the Congress of
the Equal Employment Opportunities
Enforcement Act. This passed the Sen-
ate last year but died in the House Rules
Committee. Action to provide the Equal
Employment Opportunity Commission
with enforcement authority is essential if
we are to honor the commitment to
equal opportunity which was expressed
by the Congress in the Civil Rights Act
of 1964.
This committee must also continue and
expand its legislative concern for the
needs of the Nation's migrant workers
and provide new direction for national
action on behalf of those who live in
rural poverty. That in the America of the
1970's Americans can be subjected to
the indignities still found in migrant
camps and in pockets of rural poverty
is a national disgrace. It must be cor-
rected.
OLDER AMERICANS
We must also give the most serious at-
tention to our older Americans. For the
past 4 years as chairman of the Senate
Special Committee on Aging, I have wit-
nessed first hand the often amazing
ability of the Nation's older and retired
workers to perform invaluable public
service.
I have therefore strongly advocated
more effective enforcement of the Age
Discrimination in Employment Act and
intend the committee to perform its leg-
islative review role in order to help
achieve that goal.
There is no question that older Amer-
icans, retired or not, have many years
of able service to render to society and
to themselves. They can be effective in
many of our new environmental pro-
grains. They can be effective in schools,
in libraries, hospitals, nursing homes, and
elsewhere.
I hope to make enactment of the odd-
er Americans community service pro-
gram one of the achievements of this
Congress. Such a program, to enable low-
income elderly individuals to provide vit-
ally needed public services, has been tried
out on a pilot basis. And it works. We
must now broaden that program to at-
tract thousands of senior citizens to pub-
lic service. They are needed in virtually
every urban and rural area In the coun-
try.
Another issue related to the well-being
of aged and aging Americans is the role
and effectiveness of the U.S. Administra-
tion on Aging. That agency was estab-
lished in 196-5after hearings held before
the Special Subcommittee on Aging of
this committee. The Congress has since
approved legislation which has consider-
ably broadened the responsibilities of
AOA. And yet, within recent months,
leaders in the field of aging have become
concerned about the transfer of several
important programs from the direct jur-
isdiction of AOA. In addition, the admin-
instration is urging sizable cutbacks in
the AOA budget. When the Congress es-
tablished the AOA, it intended that
agency to be a high-level unit with di-
rect lines of communication to the Secre-
tary of Health, Education, and Welfare.
The time has come for a thorough evalu-
ation of the downgrading of the AOA and
the Older Americans Act.
PENSION AND WELFARE FUNDS
We shall also carry forward our inves-
tigation begun last year into the general
area of pension and welfare funds with
particular concern for the protections
needed. by American workers to insure
financial security when they retire or
are disabled. This will be a major under-
taking., but the need is great and the time
is now. All too many Americans reach
retirement age expecting to receive re-
tirement benefits but the expectation too
often is merely a cruel illusion. These ex-
pectations must be made a reality.
WORKERS' HEALTH AND SAFETY
During the 91st Congress one of the
committee's, indeed the Congress',
proudest moments was the President's
signing of the occupational health and
safety bill on December 29, 1970. The
signing; of this legislation-preceded by
enactment of the Construction Safety
Act and the coal mine health and safety
law-culminated decades of effort to fill
the wide gaps existing in Federal safety
legislation. However, it is not enough to
have enacted such legislation. We have
learned from bitter experience that leg-
islation, unless strongly and effectively
implemented; is meaningless. We know,
for example, that the Construction Safe-
ty Act has been on the books for 17
months, yet not one safety standard has
been issued under it.. We know all too
'well that the public's outrage over the
Bureau of Mines' inadequate enforce-
ment of the Coal Mine Health and Safety
Act is only surpassed by its outrage at
the fact that there were more deaths in
coal mining this year-after the enact-
ment of the law-than in the previous
year.
This experience reinforces the conclu-
sion that the vital role of Congress in
conducting continuing review of the ad-
ministration of existing Federal laws by
the executive branch is no less important
than its role in enacting new laws. The
Legislative Reorganization Act of 1970
recognizes this and gives particular em-
phasis to this obligation of Congress. We
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NEW YO.R.1ilvic:J#_
The loss of the base presum-
LAOTIANS DRIVEN -ably reduces the amount of in-a
+ 1 ++ telligence on trail traffic that[
FROG VITAL BASE has guided the United States
Air Force in its missions against]
the trail.
Lose Post Used for Actions
Against Foe's $uppty Trail
By HENRY KAMM
Sj,eolad to The New Tos Zme5
VIENTIANE. Laos, March 10
- The Laotian military com-
mand announced today the loss
oif a base that Is vital for
harassment and surveillance of
the Ho Chi Minh Trail network
In the southern panhandle.
Control of Plateau Threatened
Position 22 had been the
strongest Laotian base in the,
area, and its loss is a threat to
the Government's hold over the
plateau, which is the dominants
terrain feature in the southern
panhandle.
The base had been under
heavy pressure since last De-
cember, but a strong ground at-
tack then was beaten off.
American and Laotian nlanes
were reported in action during
the last battle.
Laotian troops were driven Iment tVosii?lrn in the south may
last night from a post known as, r be a result of a Nort
h Viet-
Position 22 and from three
smaller posts on the eastern
edge of the Boloven Plateau
after two da
s
f b
b
d
y
o
om
ar
ment 1. Laos aorseared to be morel
by rockets, mortars and recoil-
less rifles and ground attacks. stable. {
The plateau is 80 miles south ' Respite heavy enemy pre,-
of the Tcheponearea, where sure in the area of Long Tieng,
the principal base of the ir-
South Vietnamese troops are regular arm jr of mountain
operating. tribesmen commanded by Maj.
[Reports from Saigon said Gen. yang Pao, optimism is
heavy fog was hampering growing that the North Viet-
United States helicopter, sup- namese and Pathet Lao forces
can be held off there until the
port of the South Vietnamese monsoon rains starting in May
attack on the enemy supply- or June halt enemy offensive
trail complex and also was activities,
cutting down on ground fight- Thai Troops in Action
ing.]
Military sources reported
that the defenders of the Bolo-
ven Plateau positions -- three
battalions of so-called strate
i
g
c forces of Men and Lao Theun
guerrilla units - had retreated (M
B
i
ounta
n Lao) tribesmen.
in relatively good order, taking The Thai troops whose pies-+
The New York Times March 11,147}
Base on plateau (1) that
overlooked supply trail
was lost. Long Tleng (2)
in north was reinforced.
about 50 wounded with, them. ence in Laos is officially denied,l The soldiers are wearing
_ are occupying strong defensive their normal uniforms but with-
No a ports orLa veil lean positions around Long Tieng, out insignia or other identify-
the at Ran Na and Sain
__ ____,_
i
iroyea the base communlcatl
center before the withdrawn.
Strategic guerrilla units -
which normally, .have about 300
men to a battalion - are part
of the irregular army sponsored
by the United States. In addition,
the United States underwrites
the budget of the regular mili-
tary force, the Royal Laotian
Army.
The fall of Position 22 leaves
the Government without a base
on the eastern edge of the stra-
tegic plateau. From there, sur-
veillance, and raids could be
carried out by the guerrilla
units against Route 16, the prin-
cipal western branch of the Ho
Chi Minh Trail.
nsm,se reaction to South Viet-
nam 's ;operation in the Tehe-
raone rt elrin Meanwhile, P:nv
ernmetrt Mures in northern!
Tl>a.i troops, in addition to three
battalions from the northern
panhandle, have augumented
General Vang Pao's battle-weary
reported to be under the oper-
ational command of General
Vang Pao but are led by their
a
es A
r
own officers, reportedly includ I -Force. Their supplies reach the
ling two generals. Thais daily by planes operated
separately from the Laotian
units from the Thai Air Force
base at Udorn, which is oper-
ated by the United St
t
i
VIETNAM ' curet
7, -ruin
by Air America - nl Continen-
tal Air Services, ' ornpanies un-
der contract to v ,,e Central In-
telligence Agency for the trans-
port and supply , kt the United
States-sponsored L;iottian Irreg-
ulars. Thai suppi 1* are distrib
uted from a seperate supply
Facility at Long
It is bell- ed the United
States is flnan 'rg the Thai
6articipattnn in jar war in Laos'
as it does in 11;m th. Vietnam.
Thai artillery, nits have been
reported active ;n northern
Laos for some r_i ne. The in-
fantry battalion were said to
have been rust d in about a
year ago, after l eavy enemy
pressure brour it about the
evacuation of th , -ivilian popu-
lation center or 1rm Thong.
Long Tieng ; ni reared to be
most heavily r tnaced last
month, The be remains vul-
nerable to an ec'Yaated total of
12 North Vetxr, r " se battalion:
in the area,
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 March 25, 197f(ppro;0 GRE 2002/01/10 : -Extensions Remarks 0090047-9 E 2195
Freedom of the press is a constitutional guar- taking Saigon's figures at their dubious face
antee in the United States; how that freedom value, more than 12,000 North Vietnamese THE PRESIDENT'S LEGA L BRIEF ON
is exercised should remain a matter for the and 1,031 South Vietnamese have been killed; CROSS-FLORIDA BAILGE CANAL
professional standards of those who exercise in addition, 219 South Vietnamese are miss- TERMINATION REVEA "WA'; HE WAS
it." i
ng and 3,985 were wounded. When North MISLEAD ON THE LAv,
Freedom of the press is like freedom of Vietnamese wounded and missing are con-
competition. It doesn't guarantee perfection sidered, these figures suggest that perhaps [if there is such a thing], but it is the surest 25,000 Indochinese military casualties have HON. CHARLES E. EEiNETT
way man has found to guarantee the public been suffered. (At least 59 American hell- OF FLORIDA
the greatest variety of opinion and-the least copted crewmen have been killed, 68 wounded IN THE HOUSE OF REPRE 1,1, TATIVES
irresponsibility. In time, it tends to bring to and twenty are missing.)
heel those who abuse it? What were the civilian casualties produced Tuesday, March 23 1971
- True, it can be strengthened. Mr. Moyni- by this meatchopper of an operation? It is Mr. BENNETT. Mr. Spe:sl er, One of
han suggests more competence on the part of a safe bet that no one can say, because no the architects of our demo _racy, James
reporters, and this is being achieved. Today's one in Washington or Saigon
an
,
y more than Madison, wrote in the Federalist
reporters are vastly better and more broadly in Hanoi, bothers to ,,,nke such estimates
suggests a greeter readiness on the part of is only weeks or months later that the refu- The accumulation of all paw: rs, legislative
and on the part of newspapers to criticize gees and the wounded and the dead begin to executive, and judiciary, in tb :.me hands:
one another and themselves. This should go make their miserable marks. Thus, it was whether of one, few, or many and whether
.with a free press. Mr. Moynihan is certainly only last week that semi-official figures were hereditary, self-appointed, or cisctive, may
doing his part. We are trying to do ours. obtained from Senator Kennedy's subcom- justly be pronounced the ver definition of
did so much to bring on the present crisis casualties from military action by both sides The President, in halting construction
in journalism,
in journalism, ato cut down the enormous in South Vietnam in 1970, with 25,000 to of the Cross-Florida Barge Canal, one-
burocracy and
and the confusion and back 35,000 civilians killed, third complete, authorized for national
biting which it entails. In time, we are sure, These figures here or in Saigon. They not been
in thud defense reasons, and said by h ~ Congress
the activist press will do its part and get puted gon Y to be Justified economically and eco-
back to reporting the news inst d of trying civilian casualties in Cambodia or Laos.
to make It. A They are included in the estimated 1.1 mil- logically, acted in an unconstitutional
li
on civilian casualties, including 325,000 manner when he issued his : top edict on
deaths, in South Vietnam since 1965
when January 19
1971
,
,
.
< Americans entered the war in force; of the The President has .the constitutional
AN EPITAPH OF TAOTIAN total of those casualties, about a third are responsibility to take care t=tat the laws
INVASION" thought to have been children under thir-
teen. be faithfully executed. Stci.fon 3 of
HON, DONALD W. RIEGLE JR. Aside from the bloodshed, once more a article 2 of the Constitutiara.
military operation was heavily oversold in He was misled by his Ial^ yers in the
OF MICHIGAN advance as a decisive action, one that proved legality of stopping "permf nf?ntly" the
IN THE HOUSE OF REPRESENTATIVES ,he South Vietnamese "can give an even Cross-Florida Barge Canal and should
Tuesday, March 23, 1971 better account of themselves than the North he not amend this edict it viI break a
Vietnamese" (General Abrams via Mr. Nixon's contract between the U.S. i t'vernment
Mr. RIEGLE. Mr. Speaker, in this pews conference). and the State of Florida, -md without
morning's New York Times, there ap- No doubt this hardsell will cause Mr. authority repeal duly enacter liws of our
pears a poignant and provacative article Nixon domestic political problems. It is country.
written by Mr. Tom Wicker concerning more important that, once again, the Ameri- On March 23, 1971, I l,abmitted a
the consequences of the invasion into can command made the old familiar error of
assuming that when it made a move, the statement and brief to the Subcommittee
Laos. While ostensibly the purpose of Other side would have no answer; in this o..i Separation of Powers of the Senate
this invasion is to save American lives, case, the answer was at least partially a mass Judiciary Committee on the President's
the paradox, as aptly drawn by Mr. of heavy tanks. Moreover, since the Presi- action on this needed national and very
Wicker, is that these lives were. saved dent himself predicted that the North Viet- worthwhile project. The star erient as I
only at the expense of the dead Indo- namese would fight and fight hard, it is also prepared it follows herewith
Chi
nese the laying on the battlefields. clear that the fighting abilities of the South STATEMENT OF CONGRESSMAN 9111ARLES E.
chI Wicker also points out ehbt the Ares- Vietnamese Army were overrated. All of that BENNETT OF FLORIDA, BEFORE S' IS OMMITTEE Mr. Ent policy is only a ints out that a des- suggests a continuing underestimate of the
power and determination of Hanoi and the ON SEPARATION OF POWERS t-scij TE. 2JUDI-
ade of :destruction in Indochina , arid he people it commands, a repeated overestimate MARY COMMITTEE, TUESDAY, Mp e3, 1971
grimly concludes that there is no relief of Saigon's ability, with or without American Mr. Chairman, I deeply apl:re.,i2ate this
in sight for the people in Southeast Asia. help, to match the effort from the North, opportunity to appear before you Committee
I would like to draw Mr. Wicker's percep- and another mistaken effort at a quick, win- on "impoundment of funds." 'nsis is an
tive remarks to my colleagues' attention, ning blow in a war that will not permit such important subject because it is timely and
a copy of which follows: a blow, goes to the roots of our form of ; inernment;
It would probably be a mistake, neverthe- and I congratulate the Chairma and Com-
KICK THEM OFF THE SKIDS less, to think that the Laotian repulse will mAtle me lawyer, aa it.
(By Tom Wicker) lead Mr. Nixon to a significant change of A learned applying fc ? :;'miss9o3
WASHINGTON, March 22.-Some South Viet- policy. If he accedes to the request General w the New York bar in Dec.,n ,er, 1963
namese soldiers, in the retreat from Laos, Abrams probably will make for a slowdown in wrote:
have been clinging to the landing skids of American withdrawal, the President Will The principles underly
are the o ernment
American helicopters. Some have been fall- wreck domestic political stance; and he is of the Usepar of power are decelnaiztaion of p)wer, to their deaths from these precarious perches, more likely than ever to think that pulling in a balance b tw a am:; r id order,
in-
and in addition, "we just have to kick some out at a faster rate would open both Saigon in"u a all between freedom a.h order.
of them off," an American pilot has reported. and any remaining American forces to die- stitution were else, the framers ca ..he Con-
"We have to think about ourselves, too. You astrous attack. of power In either fearful the co 'n govern-
just cannot lift this bird with fifteen guys Nor is there any reason to believe that the ment The genius oftheir solui tore in this
clinging to it." expulsion of the South Vietnamese from
Let that stand as the epitaph of the Lao- Laos signals anything but even wider and respect e that they wca able l I c paint en
tian invasion, as it comes to an end so much more destructive aerial warfare "to protect the a very definite but delicate baler; ,e between
less
than glorious that even those who claim American lives." The heavy series of air federal government and eb.,e govern-
great things for it do not sound as if they attacks on North Vietnam at this time can executive, on the one hanand d, jud b. tueen the
have convinced themselves. It is an appro- be read in no other way than as Mr. Nixon's of the e f, federal legislative government, on t, on tare
priate epitaph, for if the invasion had any defiant message to Hanoi that he still has the re other
rational purpose at all it was, in the familiar will and the means to carry on the fight, if hand."
incantatory words of the Nixon Administra- only by air. Thia same learned lawyer, who, r ,tat of
tion, "to save American lives." was adYork mitted to the Ber of tine state of
This is not a purpose any American can drawing wlong, costly, h le propping up Saigon and ravag- the New United Statesl inr the 1196E reel ident
tions,
oppose, but how high a price must the rest ing Indochina probably will go on, without recently completely abrogated hi hesis in
of the world, particularly, the Indochinese, any new attempt to negotiate an end to, the the 1963 paper with an edict n(. inlike a
pay to rescue Americans from a decade of slaughter. It is a policy of kicking them off Catherine de Medici decision of i he 16th
blunders? In the Laotian operation alone, the skids so the American bird can fly. century.
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E 2196 CONGRESSIONAL RECORD - Extensions of Remarks arch 25, 1971
He destroyed the "delicate belance between the bill the $6,000,000 including carryo-.er they had been obligated by approval of e
the federal government and the state govern- funds, proposed in the budget to continue specific qualifying project. This impound-
ment" by cavalierly breaking a contract be- construction of the project . . - the commit- ment was not to end any project but only to
tween the United States government and the tee does not feel that it would be warranted, temporarily reduce the level of spending to
State of Florida, and he also dictatorially in the lightof the current facts available, in curb inflation. No contractual obligations of
repealed an authorized law of Congress by delaying construction of the project which the United States were involved in any way.
"permanently" halting the Cross-Florida was started in 1964 and is now about 30 per- Clearly that decision is not analogous in any
Barge Canal. He did not even give notice cent complete . . Considering, therefore, way to the President's order to terminate
to the public or to Congress that he was the status of the construction and the used completely a project duly and specifically
going to do it, much less allow any objective for the project, the committee recommends authorized and funded by legally enacted
presentation of views on the subject. that the construction work continue and :law. The Attorney General said:
The 18th century French writer Montes- that every effort continue to be made to "It is my conclusion that the Secretary
the wrote in The Spirit o the Laws any adverse sh and wildliferin rthe States of those funds a thor zedband ppor-
ithe Clive an and don executive of England: "When are united men 1, ecology, and fi boned for highway construction which have
in n the ye of area.-
e same person, , or or in the same body of It is not proposed to discuss here the mar- not, by the approval of a project, become the
magistrates, there can be no liberty; because its of the canal; but only the legality of a subject of a contractual obligation on the
apprehensions may arise, lest the same Presidential edict to terminate the project, part cf the Federal Government in favor of
monarch or senate should enact tyrannical The merits which amply justify the project, a State,.
laws, to execute them in a tyrannical will be discussed in another presentation. Moreover, since the purpose of action here
manner." However, the facts are that about $50 till- is not to reduce the total amount of the
Later, Justice Brandeis said the "doctrine lion have been spent on this canal (1) which funds to be devoted to the Federal-Aid
of separation of powers was adopted by the the Joint Chiefs of Staff supported to pro- Highway Program but merely to slow the
Convention of 1787, not to promote efficiency vide an additional and shorter line of corn- program for a limited period, hopefully it
but to preclude the exercise of arbitrary munication between the Gulf Coast and the will have no adverse effect on the comple-
East Coast" that would "reduce exposure of tion of the program 'as nearly as practicable'
P Inower the recent case of the Cross-Florida shipping to submarine attack" and (2) which by the end of the period envisaged in 23
Barge Canal, the President both promoted several independent studies found to be us- U.S.C. 101 (b)."
inefficiency in government by stopping a vital tified for econol*lc and job producing rea- The Attorney Genera;1 in the above opinion
and worthwhile national project, one-third sons, and (3) which many geologists and stated:
complete, and creating great uncertainty and ecologists, and all Congressional public hear- "The Courts have recognized that appro-
loss of taxpayers' funds and predictable ings, open to all points of view, gave a clean -- priation acts are of a fiscal and permissive
bill of health to on ecological grounds. nature and do not in -themselves impose upon
mage he ac ed into tun environment, but rb rary on January 19, 1971 the President issued the executive branch an affirmative duty to
manner. n an unconstitutional and arbitrary a press release in which he said, "I am to- expend the funds. Hukill V. United States,
m day ordering a halt to further construction 16 C. Cl. 562, 565 (1860); Campagna v. United
This brief the Oros -Fe President's edict of the Cross-Florida Barge Canal." States, 26 C. Cl. 316, :317 (1891); Lovett V. Canal a termnd the he was misled on t the law After repeated requests to the White United States, 104 C. Cl. 557, 583 (1945),
backing hows that he was misled on the law House, on February 25, 1971 the White House affirmed on other grounds, 328 U.S. 303
ycs environmental his decision, just advisors, he was misled staff furnished the following statement on (1946); McKay v. Central Electric Power detri- ment of the seven of the Florida rida the legal authority of the President to ter- Cooperative, 223 F. 2d 62'3, 625 (C.A.D.C.
and t of the seven n annual citizens t s our miuate the Cross-Florida Barge Canal with- 1955)."
and the 23 million annual visitors out Congressional approval, reciting that The Library of Congress Reference Service
state and the economy and national security this was the opinion of the Department of paper "Impoundment by the Executive of
of America. Justice. Funds which Congress Has Authorized It to
The canal case is a current classic in the "An appropriation of funds for a particu- Spend or Obligate" at page 15 observes of
"Impoundment of funds" field. lar project or activity is ordinarily regarded the above Attorney General's opinion that
The responsibility of the President of the as permissive in nature and not as egt.iva- the cited cases do not "sustain the broad
United States is as stated in Section 3 of
lent to a direction that such projects or proposition for which they were cited."
Article 2 of the Constitution to "take care activity be undertaken or that such funds In the Hukill case, above cited, the United
that the laws 'be faithfully executed." He be spent. See 42 Ops. A. G. No. 32, p. 4 (1967) ; States had enacted an appropriations law
has the power of veto in the process of enact- McKay v. Central Electric Power Coopera- which would pay postal employees for serv-
ment or repeal of a law (Section 7 of Article tine, 223 F.2d 823, 625 (C.A.D.C. 1955)." ices rendered in the South during the Civil
1.) ; but after a bill is signed into law and ap- The only court decision cited to uphold War, under certain circumstances; and then
propriations are made he cannot repeal the the quoted conclusion was McKay vs. Cen- provided that any urLexpended balance would
law himself without Congressional repealing; tral Electric Power Cooperative (an R.E.A. be turned over to the Treasury in two years.
and the President must execute or carry out Cooperative). This case does not in any way After the two years expired, Hukill attempted
the duly enacted law. He can, of course, support the President's action on the canal; to enforce the payment terms of the appro-
recommend that the law be repealed. No because, unlike the canal which was specifi- priations law. Although holding against
principle of American constitutional govern- early authorized and specifically appropriated Hukill. because he had not shown that he had
ment is more fundamental than this to our for, the R.E.A. contracts In the McKay case not theretofore been paid for the same serv-
heritage or more clearry stated in our Con- depended-solely for any specific perform- ices by the Confederacy, the Court also held
stitution. ance on such contracts-upon the language that If he had not been so previously paid
The keystone of our government is its of a general appropriations law for electrical he could have recovered under the above
division into the three separate branches: transmission facilities, while the law made statute. In deciding this, the Supreme Court
legislative, executive and judicial. One of our no reference whatsoever to particular proj- said.
founding fathers, President James Madison ects or particular contracts. In fact, the "An. appropriation by Congress of a given
expressed it well in the Federalist Papers legislative history of the law in the electrical sum of money, for a named purpose, is not
(No. 47) when he wrote: "The accumulation case indicated an intent to exclude the con- a designation of any particular pile of coin
of all powers, legislative, executive, and tracts sought to be performed; but this was or roll of notes to be set aside and held for
judiciary, in the same hands, whether of one, not relied upon in the appellate decision, but that purpose, and to be used for no other;
a few, or many, and whether hereditary, only the fact that the legislation was silent but simply a legal authority to apply so
self-appointed, or elective, may 'justly be on the specific project and thespecific con- much of any money in the Treasury to the
pronounced the very definition of tyranny." tracts involved. The court observed that the indicated object.
So in defining the powers of the new presi- claimants might, despite the court's ruling appropriation or tpayment of a
dent our forefathers wrote into our Constitu- on specific performance of the contracts, sue Every apclass the
ion: "He shall take care that the laws be the government for breach of contract in. an- particular necessarily demand, n and a includes of the recog demands, InvolVes -
YaThd." other suit. nition by Congress of the legality and. jus-
cally Cross-Florida Barge Canal was specifi- Clearly, the above cited case is not only no tics of each demand, and is equivalent to
cally authorized n 1942 by Puble Law 77-675. authority for the President's action on the Treasury officers
Although its value to the defense needs of canal matter; but it is in fact authority an a It. express T maandhaattor to to the is not affected by
n is not act
our country were recognized in its authoriza- against the President having such author pay
d b
ity any previous It. T adverse eogni action Congress;
lion, the shortage of manpower for its con- when the project involved, such as the canal, the last expression by that body super-
the during World War II postponed is both authorized and appropriated for by for such previous action."
the appropriations needed for its commence- specific provision of law. This would be true sedes
The all Hukill case i clcary not a case that
ment. But the appropriations have been whether a suit is for specific performance or
made continuously ever since 1964 and now for breach of contract. supports as legal the action of the President
total $60 million; and the project Is now The only other authority relied upon by the in the canal matter. To the extent that it Is
more than a third complete. Administration for its position was the 1967 in point, it would support the continuation
Last year in the House Report on the opinion of Attorney General Ramsey Clark of the canal under the duly enacted appro-
appropriations "The bill the following statement upholding of the President to im- horization laweHo every twere no he canalr
was made: as no
was made: "The committee tee has has included in Pound Federal-Aid Highway funds before
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March 25, 1971 CONGRESSIONAL RECORD - Extensions of Remarks E 2219
might well cause carping critics of the
administration to take a new look at its
accomplishments. In this instance Mr.
Riesel discusses, among other things,
what the administration has done for
blacks, and he concludes that the record
is worth looking at.
Says Riesel :
There has been no Nixon alchemy for in-
stant gold in every ghetto. But there is a
record. There is a gold flow in the hundreds
of millions of dollars; they are fewer hungry
children; lots more housing; far more in-
fighting to get black workers into high-pay-
ing skilled construction workers unions; more
black banks, more black businessmen, more
black building contractors, more black col-
lege students.
The text of the column. follows under
the title "White House Proud of Its Fight
for Blacks."
I include the article as follows:
WHITE HOUSE PROUD OF ITS FIGHT FOR
BLACKS
(By Victor R.iesel)
WASHINGTON.-At Camp David last week-
end President Nixon's thoughts were as much
on the bleak tobacco roads and asphalt
jungles of America as on the bloody trails
of jagged Laos. The poverty war at home
was as much with him as the conflict abroad.
And as every realist, every insider here
knows, there is a war within a war In the
war on poverty. There is a Black Caucus, led
by such articulate militant congressmen as
New York's Shirley Chisholm, Michigan's
John Conyers, Jr., Missouri's William Clay
and California's Ron Dellums. They're stalk-
ing the President, anxious to see him inside
the White House, eager to rip him politically
outside. There was a meeting set for the
week of March 21. But the-gathering has
been postponed.
The President and his special aides, facing
a possible overheated summer, take an Al
Smith posture and say, look at the record.
And, comes the summer, this could be a
burning question. It's worth looking at the
record.
There has been no Nixon alchemy for in-
stant gold in every ghetto. But there is a
record. There is a gold flow in the hundreds
of millions of dollars; there are far fewer
hungry children; lots more housing; far
more infighting to get black workers into
high-paying skilled construction workers
unions; more black banks, more black biisi-
nesamen, more black building contractors;
more black college students.
Attempts at profundity can be counter-
productive, especially among us amateurs.
Look for a moment at the untold story Of
the special White House task forces which
have hit this nation's tobacco roads.
These are small teams, organized by
Robert Brown, special assistant to the Presi-
dent. For almost two years now they have
gone into the backroad communities in the
South, in Appalachia, in Illinois, and West
Virginia-wherever there- are small towns,
heavily populated by the poor, almost out
of the money economy, missed by all the
programs and unnoted by the previous
poverty fighters.
In these "communities" exist anywhere
from 10,000 to 15,000 folk, often hungry, job-
less and almost always -hopeless. But some
20 of the towns have been visited by Bob
Brown's teams-made up of. specialists from
the Agriculture Dept.'s food section, from
Housing and Urban Development (HUD)
from the Dept. of Health, Education and
Welfare (HEW) and the Labor Dept.
HON. SAMUEL L. DEVINE
of OHIO
IN THE HOUSE OF REPRESENTATIVES
Tuesday, March 23, 1971
Mr. DEVINE. Mr. Speaker, for a num-
ber of reasons, we sometimes stand too
close to the trees to see the forest. This
was true for some of us when United
States and South Vietnamese troops
finally broke North Vietnam's strangle-
hold on Cambodia last May and June.
As the months have passed, proving
President Nixon's arguments to be cor-
rect, most of us now see the Cambodian
operation in clearer perspective. Never
again can the planners in Hanoi rely on
Cambodian sanctuaries. The North Viet-
namese can never be sure the stockpiles
they build up on territory seized from a
sovereign government will be available
for their efforts to seize control of South
Vietnam.
Operation Lamson 719 has now had
this same disruptive effect it southern
Laos, and I am pleased to say there are
far fewer of us who are missing the forest
for concentrating on the. trees. North
Vietnam's lifelines to its forces in South
Vietnam and Cambodia have been cut.
Not permanently, for there was never
any intent to occupy and control south-
ern Laos as the North Vietnamese have
done for years. Instead, as President
Thieu made clear when Lamson 719
began, the intent was to disrupt. In an
operation limited both in time and in
scope, the aim of the South Vietnamese
was to upset Hanoi's timetable for ag-
gression in the south, and to introduce
a factor of uncertainty with which North
Vietnamese planners have never had to
cope. Just as in Cambodia since last
June, the leaders in Hanoi can never
again be sure their stockpiles-in fact,
their entire supply system developed with
such painstaking care outside North
Vietnam-will be available to support
aggression against their neighbors in
Southeast Asia.
True enough, South Vietnam's success
in Laos has not been cheaply bought.
These were in fact lifelines that were be-
ing cut, and the North Vietnamese re-
acted strongly. On occasion, and espe-
cially at first, South Vietnamese casual-
ties were numerous and our own losses-
mainly in aircraft crews and their air-
craft-reflected the bitter fighting. But
the toll exacted from the North Viet-
namese was far, far higher, even though
that fact has not been always so well
publicized. I have no doubt that the final
results of Lamson 719 will be reflected
only in part in the widely disparate losses
for each side. Just as in Tet 1968, when
North Vietnamese losses among their
combat leaders were so staggering but
the crippling effect took time to become
evident, and in Cambodia last year, when
the disruption of enemy supply lines to
South Vietnam took time for us to be
sure of our success, the real impact of
Operation Lamson 719 will Ji ly become
clear as we approach next yi al --'s dry sea-
son. It will be then that we ( orifirm what
shows every sign of being rue today-
that the disruption caused =iv Operation
Lamson 719 has seriously upset Hanoi's
plans for aggression in the olith.
As the operation moves is w into its
final stages, we can only imagine the
frustration of the North V -ot.namese as
they face the oncoming we s-. anon with
their logistic system shredd-,d in key lo-
cations, knowing that the i(' has been
ripped off the last of their glacially im-
portant sanctuaries in the t_=rritory of
their neighbors.
Once again, the South \ ietnamese,
with our help, but this tin e only in a
supporting role, have -gatied time in
their fight to determine the r )wn future
without interference from , uzside. I ap-
plaud their bold stroke,- a d hope the
success of Operation Lamsi of 719 moves
us closer to the day when a negotiated
settlement brings peace to Indochina.
HON. SILVIO 0. (ONTE
OF MASSACHUSET73
IN THE HOUSE OF REPRE&;4P-TATIVES
Tuesday, March 23 1971
Mr. CONTE. Mr. Speaker. I would like
to call the attention of my -cclleagues to
an editorial on March 8,197 1, in the Bos-
ton Herald Traveler which : oi.es that the
President's recent proposals 1. o reorganize
the Federal Government have met a
rather cool response on Cal it')l Hill.
The editorial calls Mr. Nixon's pro-
gram long overdue, says it makes sense
and concludes that it should be getting
more serious attention and support from
Congress than it has rece.ved to date.
I insert in the RECORD the full text of
the editorial.
IT'S TIME TO REORGA -,rvE
President Nixon's recent proposals to reor-
ganize the federal governmer, including a
reduction in the number of C'binet depart-
ments from 12 to eight, hav, r;Iet a rather
cool response on Capitol Hill. al d sharp op-
position from several special i-7.t,?rest groups.
The proposed reorganizatio; . however, not
only makes sense; it is long o- endue. Despite
the fact that the federal go -ernment's re-
sponsibilities have changed nd expanded
rapidly in recent years. thee- has been no
major overhaul of its organi::tilonal struc-
ture in decades, and there h.s never really
been a good shake-up from .w. to bottom.
In less than 20 years, thrf = 7iew depart-
ments have been added to tb? -Jabinet, the
number of major independerr.Agencies has
increased from 27 to 41, don; _s is programs
have multiplied from barely nc-re than 100
to approximately 1,400 (no one :teems to know
the exact number any more . 600,000 em-
ployes have been added to ti-, "ivilian pay-
roll and the- federal budget gone from
$42 billion to over $200 billie
Any private business whit had experi-
enced such phenomenal grown without ex-
amining and reorganizing it; executive
structure from time to time --wild probably
have gone bankrupt long bef.re now.
It is simply asking too m teh to expect
departments and agencies-I, any of which
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E 2220 CONGRESSIONAL RECORD --- Extensions of Remarks March 25, 1971
were created over half a century ago to deal
with the problems and administer the pro-
grams of a simpler era-to cope efficiently
with problems and programs that exist today.
Under the existing set-up, for example, one
Cabinet department I. in charge of federal
parklands and another department handles
federal forest lands, though there Is often
no real distinction between the two. One de-
partment is in charge of wilderness areas, but
another handles recreational areas, though
the two functions might easily be combined.
Programs involving health and nutrition are
administered by separate agencies, and so
are educational and job training projects, to
cite a few of the many additional examples
which prove the same point.
If there were ever good reasons for Wash-
ington to operate in this fashion, we can't
think of a single one to justify continuing
the practice any longer.
Nor can we think of any good reason why
the President's proposed reorganization
should be opposed on an ideological-partisan
basis.
The President's proposals were whole-
heartedly endorsed recently by Joseph A.
Califano Jr., a Democrat who served as a
special assistant to President Johnson in
the last administration. Writing in the New
York Times, Mr. Califano said that the Nixon
reorganization plan "should make abundant
good sense to conservatives and liberals
alike." Conservatives should applaud it, he
noted, because it offers "opportunities to
eliminate overlapping programs and for more
efficient operation and cost reduction." For
liberals, he said, the reorganization could
mean "a long step forward in our ability to
convince the American taxpayer that we are
providing government machinery capable of
giving them something for the taxes they are
paying."
Surely a plan proposed by a Republican
president, endorsed by Mr. Califano and other
prominent Democrats which is appealing to
both conservatives and liberals should be
getting more serious attention and support
from Congress than it has received to date.
TOWARD A MORE RESPONSIVE
REGULATORY STRUCTURE
HON. TOM S. GETTYS
OF SOUTH CAROLINAF
IN THE HOUSE OF REPRESENTATIVES
Tuesday, March 23, 1971
Mr. GETTYS. Mr. Speaker, recently
the Conference of State Bank Super-
visors-CSBS-published the results of
a year-long study conducted by a special
committee of that organization. The'
study is entitled "Toward a More Re-
sponsive Regulatory Structure."
As the title suggests, this resource
document has as its objective a critical
examination of our present decentralized
banking and bank regulatory structure
and the presentation of recommenda-
tions designed to improve the efficacy of
the Federal and State bank supervisory
agencies as well as to provide better
banking in the public's interest. It is a
thought-provoking presentation and de-
serving of our careful consideration.
The sponsor of this study, the Confer-
ence of State Bank Supervisors, has as
its regular members of the public officials
in each State who are charged with the
responsibility for overseeing the more
than 9,000 State-chartered banks that
make up the State banking segment of
our dual banking system.
There were three general principles
followed by the CSBS special committee
in its recommendations concerning Fed-
eral regulation and law that affect State
banks and State banking departments..
These basic principles can be summarized.
as follows:
First. All supervisory authority over
banks presently vested in the Federal.
Reserve Board and unrelated to mone-
tary policy should be, to the extent that
this authority is continued at all, trans-
ferred to the Federal Deposit Insurance
Corporation. The Federal Reserve Board
should concentrate its attention on
monetary policy, and whatever addi-
tional authority it needs should be grant-
ed the Board in order that it might most
effectively implement mcnetary policy.
Second. The Federal Deposit Insurance
Corporation is the only Federal agency
which properly should have any super-
visory authority over State banks, and
that authority should be limited to the
management of its insurance risk. Ad-
ditionally, the FDIC should be authorized
to make a finding that a particular State
banking department has adequate super-
visory and examining capacities and to
exempt its State-chartered banks from
the supervision of the FDIC other than
reporting rquirements which would per-
mit the Corporation to assess its insur-
ance risk. Of course the FDIC would be
able to resume active supervisory au-
thority over any insured bank in the
event continued exemption raised serious
problems in connection with the manage-
ment of its insurance risk.
Third. Regulatory powers and activi-
ties of the Federal Reserve Board and
the Federal Deposit Insurance Corpora-
'tibn that are not related to monetary
control or insurance risk, respectively,
should, in most instances, be reassigned
to other agencies at the Federal and
State levels.
There are other recommendations pro-
posed in the CSBS study, which docu-
ment I understand has been transmitted
to the Federal Reserve Board, the Fed-
eral Deposit Insurance Corporation, oth-
er pertinent governmental agencies, and
also to the Presidential Commission on
Financial Structure and Regulation.
Naturally, some of the proposals are
controversial and will meet with opposi-
tion from various sources but this should
not deter careful consideration of changes
which could produce a banking and bank
regulatory system better able to serve us.
This study is the product of much re-
search and consideration by officials who
are daily confronted with the problems
of providing an innovative and efficient
regulatory climate that will permit the
banks under their supervision to provide
in a sound manner for the increasing
credit needs of our country. It is unique
in that it contains not only recommended
changes in the present regulatory struc-
ture but the procedures to accomplish
these changes.
Mr. Speaker, I would like to include in
the RECORD the introductory chapter of
the study to which I have referred. In-
asmuch as this chapter summarizes in a
clear manner- the objectives and recom-
mendations of the special committee ap-
pointed by the CSBS to report on our
bank regulatory structure. I commend all
chapters in this informative study to
your attention. A copy of the study may
be obtained free of charge by writing to
the Conference of State Bank Supervi-
sors, 1015 18th Street NW., Washington,
D.C., 20036.
The material follows:
TOWARD A MORE RESPONSIVE REGULATORY
STRUCTURE
BACKGROUND
Banking, to meet public needs and con-
venience most effectively, must not only have
skilled, ambitious and creative management,
but Must also have meaningful, efficient, and
flexible regulation. This is especially impor-
tant in the period ahead when it seems likely
that the nation faces a chronic shortage of
capital and the banking industry will face
demands requiring significant change. An
improved bank regulatory structure can ap-
preciably benefit the public during this
forthcoming period.
The Conference of State Bank Supervisors'
(CSBS) Special Committee on Restructuring
the Bank Regulatory System was formed in
December 1969, but its genesis goes back
much further. In 1965, the Conference (then
NASSB) decided to delay further recommen-
dations regarding the federal bank regulatory
structure until research had been carried out
to determine what constituted adequate
supervision at both the state and federal
level and a program launched to assist state
banking departments which currently might
not be meeting such standards of adequacy.
Initial research carried out in 1968 and 1969
resulted in the publication of a major re-
source document, The Supervision of State
Banks: Purposes, Standards, and Responsi-
bilities in June 1969. Immediately thereafter
the Conference began a self-evaluation pro-
gram in state banking departments designed
to identify weaknesses and to obtain data
needed for developing meaningful standards
of supervisory performance.
Progress with the above-mentioned prereq-
uisites as well as recurring talk of a Fed-
eral Banking Commission, the trend toward
increasing federal control over all banks with
a concomitant decreasing reliance upon
state law as the standard for both state and
national banks (e.g. Truth-in-Lending Act,
Bank Protection Act), and the prospect that
a Presidential Study Commission might be
appointed, led the Conference in December
1969 to appoint the Special Committee. The
Committee was charged with thoroughly ex-
amining the existing bank regulatory struc-
ture, assessing its strengths and weaknesses,
and recommending changes that would bene-
fit the public, produce supervisory parity, and
reduce unnecessary supervision duplication.
A. NATURE AND SCOPE OF THE STUDY
The Committee's concern was with the
ability of state-chartered banks and state
banking departments to serve the public.
While the following analysis and recommen-
dations are not without significance to bank-
ing as a whole, attention is focused on those
features of federal banking agency regula-
tion which apply to state-chartered banks.
The problems and issues of importance in
banking today are many-bank powers, non-
bank competitors, bank structure, credit
flows, the regulatory framework but this
study deals only with the last of these: prob-
lems and issues related to the bank regular
tory structure.
While such a study should not (and this
one does not) ignore state regulation, the
focus is on the federal regulatory structure.
This is perhaps necessary because state reg-
ulaticn must in part be a reflection of the
role played at the federal level. In addition,
this study builds not only upon a close fa-
miliarity with the nation's state banking de-
partments but also upon careful attention
to the comprehensive program currently be-
ing conducted by C513S to produce a stand-
Approved For Release 2002/01/10 : CIA-RDP73B00296R000300090047-9
 Approved For Release 2002/01/10: CIA-RDP73B00296 9.
Joseph; Kr ' t
The Returns From Laos
THE JURY on Laos mazy tion into Laos by advancing
not yet be in, as the Presi along Route 9. They first
dent put it in his latest news moved westward and then
conference. But out of the hooked north to Sepone.
fog of war and censorship, ut wmuch force of
hthe as ouch
some big chunks of evidence Vietnamese been
are emerging. withdrawn south of Route 9.
The most dramatic was the Indeed, the enemy seems to
fall of Fire Base Loin to have opened a powerful sali-
Communist troops early last ent on the other side of what
week News reports from the started out to be the axis of
t
namese pulled out in consid-
erable disarray. Some reports NO DOUBT this evidence pelt is more alive than ever.
from Saigon list heavy losses. is far too fragmentary to be a., In other words, the issue
In Washington, it IS thought. base for conclusive judg- required to stimulate the ne-
the enemy was able to cap-. ments. Certainly there is no gotiation is at hand. And it is
ture intact most of the 'big reason to talk of an Allied far better to' negotiate out,
guns brought in by the South. defeat-the less so as a very assuring the safe withdrawal
Vietnamese. heavy toll has been taken of of American troops and the
Then there is the matter of Communist troops by Ameri- release of American prison-
the truck traffic south along can and South Vietnamese ers, than
reverse ththat
e risk of would wer. news conference he Ho nChi feMinh of Trail. In March 4his, f1rBut it does seem clear that flush everything down the
drain.
Mr. Nixon, citing as authority the Communists are not, as ?in.i, Publishers-Hall 87ndlcsto
the American commander, so many in the Pentagon
Gen. Creighton Abrams, said: have been saying, at the end
"There's been a 55 per cent of their strength. They have
decrease in truck traffic put up a strong fight, and
south into South Vietnam, even taken the offensive.
which means that those The indications are that
trucks that do not go south the lack of Communist activ-
will not carry the arms and ity in the months before the
the men. that will be killing Laotian operation was less a
-Americans:' function of weakness than
But it now appears that the that of a deliberate decision
55 per cent figure covered to lie low. The returns now
only a brief period of ex- coming in from Laos demon-
tremely bad weather. Even as strate that any time they
Mr. Nixon was speaking, the want to take casualties the
electric sensors and other Communists can make life
measuring devices were re- very rough for the South Vi-
cording a rise In truck traffic etnamese forces.
south. The Central Intelli- What this means is that an-
gence Agency, though it has other question mark has to
done several reports on the be put after the policy of
subject, has apparently still Vietnamization. It always
not certified that the Laos strained credulity to believe
operation has caused any that South Vietnamese forces
diminution in the flow of could do, minus half a mil-
ommunist supplies, lion American troops, what
Then there is the matter of they were unable to do with
Route 92, a main north-south those troops. Now that rough
traffic artery in the Ibo Chi judgment, based on past ex-
Minh Trail. At the outset of perience, is reinforced by
the Laotian operation, a sen- present experience. It is
-ior- ;s iclal of the Joint more than ever doubtful that
Chiefs of Staff,. Lt. Geri. John the South Vietnamese can de-
Vogt, gave cgngression.al tes- fend themselves without sub-
tilriony that the operation stantial American help.
wou d enable South Vietnam- It makes little seise in
ese.rces to block Route 92 these circumstances to pro-
Within a couple of weeks. claim the opposite. Secretary
A month later only a cou- of Defense Melvin Lahd does
ple of South Vietnamese bat- a disservice to the President
talons have advanced as far when he asserts that all is
at h rdly a 1 well in Laos, and that
f c Rs1U 2 V1I> 'WBl,9- RDRT B00296R000300090047-9
JaAp~ "e. off a very heavily protected troops from South Vietnam
area. can continue at a constant
level. Indeed, it is thanks to
field suggest the South Vie
- the South Vietnamese drive.
having to wrestle with an
acute credibility problem.
The right tactic in the pres-
ent circumstance is to try to
give new impetus to the
negotiations for a political.
settlement which hate been
allowed to lie dormant so
long. The key 'to those negoti-
ations has always been the
prospect of change in the
Saigon regime. With presi-
dential elections due in South
Vietnam this fall, that pros-
 E 2114
Approve~~~192/~I~~~~R~9004-y ,3~, 22, 1971
so long as we are willing to distinguish
a good investment from a bad one, and
make public and private commitments
to effectively meet our needs.
I view my vote against funding the
SST as being fully consistent with my
concern for the health of the American
economy. I know that my position is in
full accord with the goals of my Con-
version Research and Education Act of
1971 and with my legislation to provide
for a conversion loan program for scien-
tists and engineers so they will not suffer
financially in their transition from de-
fense work to socially oriented efforts. I
believe that my vote is in the best inter-
ests of American aerospace and other
high-technology industries. Do not mis-
take my position as being detrimental to
the aerospace industry or as a flagging
of my interesting in high speed trans-
portation. To the contrary, interpret it
as a commitment to turning the efforts
of the Lockheeds, Boeings, and others
increasingly to new endeavors so that
they may once again flourish, expand,
and prosper. With a greater commit-
ment by Government and an increasing
interest and awareness of our problems
and the solutions available to us on the
part .of every individual, we can again
hope to see this accomplished.
THE VALUE OF THE VI MESE
OPERATIONS OS
HON. SAMUEL L. DEVINE
OF OHIO v
IN THE HOUSE OF REPRESENTATIVES
Monday, March 22, 1971
Mr. DEVINE., Mr. Speaker, I wish to
point out the value of the Vietnamese
operations in Laos, and our appropriate
support of these operations. The Repub-
lic of Vietnam armed forces have been
successful in a manner that is even more
important than the number of weapons
or the tons of supplies that have been
captured. I refer to the psychological
impact of the successes, making the
South Vietnamese more confident-and
the North Vietnamese less so.
The principal intent of the South Viet-
namese was to disrupt the enemy flow of
supplies and personnel from North Viet-
-am over the "Ho Chi Minh Trail," right-
fully reacting to that intrusion of the
sovereignty of Laos which is itself a long-
time communist violation of the Laotian
Accords. And the very knowledge of the
ARVN capability to attack them in their
own lairs had an immense impact on the
'intruders from the North. The resultant
loss of huge quantities of materiel and
.devastating numbers of men set the
North Vietnamese off balance. Knowledge
that those very Vietnamese whom they
once preyed upon in the Southern home-
land have risen from the ashes and can
now operate successfully beyond their
own borders, cannot help but be persua-
sive in pointing out to would-be intrud-
ers that negotiation and cease-fire could
be more sensible than invasion and
aggression.
Moreover, the successful ARVN air
force operations against the enemy in
itself gives the South Vietnamese air
force a combat initiative which cannot
be denied. And the initiative itself has
had an almost magical effect on raising
the spirits of the struggling new nation,
in a way that even their recent successes
in defending their own internal areas
from the aggressors could not give. Cur-
rent interpretations suggest that the re-
sults will, for example, allow more peace-
ful and considered balloting in this year's
elections.
Finally, the South Vietnamese are get-
ting at their tormentors on grounds and
at times of their own choosing, rather
than his. That they have viewed the re-
sults of our support of their own air force
in aeriel interdiction assistance, and that
they take comfort from our U.S. artillery
support, does give them assurance that
partners have not foresaken them. But,
we must also remember that they are
following their own plans-not allied
direction.
The true heart of "Vietnamization" Is
the Vietnamese belief in their own ca-
pabilities to succeed in being masters of
their own fate. The added confidence
built up as a result of the Laos activities
invigorates the will of the ARVN troopers
and their families and neighbors at home
to handle their own defense and develop-
ment.
that illusive thing called 'color" to the ma-
ture judgment of a Thomar Dewey.
There are accolades poi-ring out of type-
writers in the offices of si..tesmen and poli-
ticians. This is a deservi3ig tribute to the
memory of a truly great mr a.
But we are also migh li v impressed by
the earthy comments of those Owossoites
who knew -Thomas Dewey at those times
when he was a participant on the local
scene. Their observations show us an in-
sight into the character sf the young man
who was destined to rise to the top, pres-
dency or no presidency.
As we know, Dewey w;,s a gifted vocal-
ist and debater, an enterr-ri