LETTERS TO THE EDITOR THE C.I.A. RESPONDS
Document Type:
Collection:
Document Number (FOIA) /ESDN (CREST):
CIA-RDP74B00415R000300230080-2
Release Decision:
RIFPUB
Original Classification:
K
Document Page Count:
31
Document Creation Date:
December 16, 2016
Document Release Date:
January 4, 2005
Sequence Number:
80
Case Number:
Publication Date:
July 5, 1972
Content Type:
NSPR
File:
Attachment | Size |
---|---|
CIA-RDP74B00415R000300230080-2.pdf | 4.74 MB |
Body:
Approved For Release 2005/01/27 ; CIA-RDP7 00300230080-2
THE EVENING STAR DATE -~ PAGE
lette 'the Editor
-1r5-to .
SIR: As you are aware, the Central Intelligence
Agency seldom responds to criticism of any sort. It
cannot remain silent, however, when a newspaper with
The Star's a that on prints an article alleging that this
aggencytlppos the heroin traffic in Southeast Asia. I
re 6r to the column by Judith Randal in The Star of 29
June.
So serious a charge should be made only on the
basis of the most convincing evidence. Miss Randal
states only that "reporters have been hearing for more
than ,a year" and then refers to an article in Harper's
magazine by a graduate student, Alfred W. McCoy.
Charges of this nature have been made previously
and each time have been most carefully investigated
and found to be unsubstantiated. The public record on
this sub'ect is clear. There is, for instance, a report by
Roland Pauli investigator for the Senate Foreign Rela-
tions _ Committee, in the April 1971 issue of Foreign
Affai-s, which states: ". due to the long association
with the CIA, the'Meo tribesmen in Laos'were shifting
from opium to rice and other crops.
The Congressional Record of June 2, 1971, printed a
letter from John E. Ingersoll, director of the Bureau of
Narcotics and Dangerous Drugs, to Representative
Charles S. Gubser of California, which states: "Actual-
ly, CIA has for some time been this bureau's strongest
partner in identifying foreign sources and routes of
Illegal trade in narcotics. Their help has included both
direct support in intelligence collection, as well as in
intelligence analysis and production. Liaison between
our two agencies is close and constant in matters of
mutual interest.Much of the progress we are now
making in identifying overseas narcotics traffic can, in
fact, be attributed to CIA cooperation."
Miss Randal's article is also in contrast to the two
articles by your staff writer, Miriam Ottenberg, on
June I
8 and 19, 1972, in which she pointed out: "U.S.
narcotics agents are making a sizable dent in the
Southeast Asian dope traffic and-despite reports to
the contrary - America's Asian allies and the CIA are
helping them do it" And she quoted John Warner of the
Bureau of Narcotics and Dangerous Drugs as saying,
"he had seen nothing of an evidentiary nature from Mr.
McCoy `other than gossip, conjecture and old history'."
Narcotics addiction is one of this country's most
serious social problems. The Central Intelligence Agen-
cy is dedicated to eradicating this menace and, specifi-
cally, to interdicting the flow of narcotics entering this
country.
It is difficult to understand why a writer would
publish material tending to undermine confidence in this
effort withqut the most convincing proof. More than one
year ago, in an address before the American Society of
Newspaper Editors, Richard Helms, director of Central
Intelligence, stated: "There is the arrant nonsense, for
example, that the Central Intelligence Agency is some-
how involved in the world drug traffic. We are not. As
fathers, we are as concerned about the lives of our
children and grandchildren as are all of you. As an
agency, in fact, we are heavily engaged in tracing the
foreign roots of the drug traffic for the Bureau of
Narcotics ans J?p erous Dru s. We hope we are help-
ollution; w a we are not contributing to
ing with a s
the problem
."
This statement reu n4 valid today.
W. E.,Colby,
Executive Director
Approved For Release 20p5/01ttaCt&7c4"5R000300230080-2
H 6192
Approved For RCUic~RSSIONAk C& MZ4B$'f000300230080-2June 27, 1972
In our own country, we stand in greater
need of what we call conscience. Order is
Heaven's first law; the Universe, with the
infinity of celestial bodies, is regulated by
law and maintained in order. The human
creature on our own planet-as well as those
which may inhabit any like orbs-is en-
dowed with the faculty of reason; with faith,
that is to say, reasoned hope; with the belief
of the pure in heart that the soul shall have
immortal being.
"Hats off to the past, and coats off to the
future," must yet be the homely slogan.
I believe that mirth and music are mate-
rial gifts from Heaven to Man, in compensa-
tion for the tragedies of life. Good thought
and conduct constitute good morals. Evil is
the exact opposite. If we transgress, we are
punished, in one way or another.
All the qualities of humanity that are pos-
sessed of hope, faith, courage, diligence, rea-
son, love of home and country, vision and
noble ideals, must be exercised as indispen-
sable labors in humanity's forward march.
Apropos, the spirit of reverence and the
Church must perform their necessary roles.
These observations are indeed trite. The
multiplication table is trite, but reliance on
the mathematics of Newton took the Astro-
nauts Richard Helms to thoroughly investigate
to the moon, and thru the voids of
space. Mr. McCoy's allegations. Since Mr. Me-
Our Baronial Order-whose members are Coy obtained his information late last
decendants of sureties of A.D. 1215, has great summer it is imperative to determine
opportunity for noble and patriotic service. whether this kind of drug trafficking is
It has also great responsibility, and, I be- still going on. A principal, unanswered
lieve, is meeting its obligations with fine question which the CIA must resolve is
dispatch. "At what level in the CIA were officials
The Magna Charts is a lengthy rostra- aware of this illicit drug traffic?"
a c, a~uel, a d it was It is also becoming increasingly clear,
asnentdopted of to 61 hold in n articles.
restraint, June
espotic ?
King John of England. Twenty-five sureties Mr. Speaker, that the Nixon administra-
were named from the roster of Barons, to tion is covering up and contradicting
require the arbitrary Ring to pay allegiance itself about the importance of heroin
to the Great Charter, which relates to bane- traffic in Southeast Asia. After Mr. Mc-
fits and property and other rights to the Coy testified before a Senate committee
Barons, as well as the people in general. last month the State Department termed
Under the benefits conferred by Magna : about the involvement of
Charts, England, and the course of civil and his charges
religious liberty made lasting progress. - Government officials in Southeast Asia
1' 4-1,- TT 0
The next great document of liberty was
the Mayflower Compact, adopted in Novem-
ber 1620 by the Pilgrims in Cape Cod Harbor.
It was brief, but of essential character. It
provided, in simple words, a comprehensive,
organic and formal insrtument enabling the
establishment of Plimoth Plantation-on the
Plymouth Rack site, binding equally on all;
and a uririg total equality, and to make an
needed laws. Under it, the Pilgrims lived and
thor of a forthcoming book on heroin
traffic in Southeast Asia, which details
the allegation of United States and CIA
complicity in drug traffic. If these allega-
I tions are true, then the CIA is implicated
in fostering the drug traffic that ruins the
lives of tens of thousands of Americans.
According to the information Mr.
McCoy has given me, a Laotian district
chief and other officials have told him
that American helicopters flew Meo of -
you thoroughly investigate Mr. McCoy's alle-
gations. Since Mr. McCoy obtained his in-
formation last summer, it is imperative to
determine whether this kind of drug traffick-
ing is still going on. A principal unanswered
question which the CIA must resolve is: "At
what level in the CIA were officials aware of
this illicit drug traffic?".
I hope that you will report to me in full
the results of your investigation.
Thank you for your cooperation.
Sincerely,
Las ASPIN,
Member of Congress.
facers into Laotian villages where they
purchased opium. The opium was also
transported out by American pilots and
planes to Long Tieng, the CIA headquar-
ters in Northern Laos where it was al-
legedly refined into morphine and even-
tually heroin.
The Meo tribesmen, as many of my
colleagues know, had been recruited by
the CIA and form a mercenary army
which fights the Pathet Lao Communist
guerrillas. For the Meo, opium is consid-
ered an important cash crop.
Army Provost Marshal reported in 1971
that high ranking members of the South
Vietnamese Government were in the top
"zone" of the four-tiered heroin traffic
pyramid.
Mr. McCoy, quite rightly, also disputes
the State Department's claim that
"Southeast Asia is not a major source of
prospered, with complete civil and religious heroin on our market." This statement
liberty. by the State Department directly con-
This modest compact proved to be the tradicts a General Accounting Office re-
aoorn which rooted and grew to the great oak port which states that:
of our Constitutional government, which we
must uphold and sustain. The Far East is the second principal source
In conclusion, let me say, as did Tiny Tim of heroin entering the U.B.
In the immortal Christmas Story oil Dickens, Mr. Speaker, it is imperative to deter-
mine bless us all, each and everyone I" mine whether the CIA is still involved in
opium traffic and who was responsible for
CIA SMUGGLES OPIUM the alleged involvement of the CIA with
The SPEAKER pro tempore. Under a the opium growers of Laos.
previous order of the House, the gentle- My letter to Mr. Helms follows:
HOUSE of REPRESENTATIVES,
man from Wisconsin (Mr. ASPIN) is rec- Washington, D.C., June 27, 1972.
ognized for 5 minutes. Mr. RICHARD HELMS,
Mr. ASPIN. Mr. Speaker, I am releas- Director, Central Intelligence Agency,
ing today substantial new evidence that Washington, D.C.
indicates U.S. pilots flying CIA operated .! DEAa Mn. HELMS: I am publicly releasing
helicopters have been smuggling opium 1 today substantial new evidence that indi-
inside Laos. cates that U.S. pilots flying CIA-operated
i
i
What this new evidence indicates is
that V.S. pilots using U.S.-awned planes
are illegally smuggling opium in Laos,
some of which has almost certainly been
sold to U.S. GI's in Southeast Asia and
n-
um
helicopters have been smuggling op
side Laos. These allegations are contained in
a letter and additional information that I
have received from Mr. Alfred McCoy, author
of a forthcoming book on heroin traffic in
Southeast Asia. If these allegations are true,
then the CIA is implicated in fostering the
smuggled into illicit U.S. drug markets. ` drug traffic that ruins the lives of tens of
I am releasing today a letter which I thousands of Americans.
have received from Alfred McCoy, au- I am writing to you today to request that
ROONEY REQUESTS HALF BILLION
FOR RELIEF OF FLOOD RAVAGED
STATES
The SPEAKER pro tempore. Under a
previous order of the House, the gentle-
man from Pennsylvania (Mr. ROONEY) is
recognized for 5 minutes.
Mr. ROONEY of Pennsylvania. Mr.
Speaker, in the wake of probably the
most destructive flood in America's his-
tory I have today announced that I will
request an additional half billion dollars
in Federal funds for relief in the five
States which have been declared disaster
areas by President Nixon.
The $92.5 million now available to the
States in the President's disaster relief
fund will not begin to compensate the
losses suffered by the five States. If
Pennsylvania were to receive the entire
$92.5 million it would cover only about 10
percent of the cost of putting the State
back together.
I have introduced legislation to provide
relief funds in the amount of one-half
billion dollars to the States which have
been declared disaster areas by the Presi-
dent. This money would be disbursed by
the Office of Emergency Preparedness
whose primary function is the adminis-
tration of the President's disaster relief
fund. In past crises involving disaster
areas in several States OEP has appor-
tioned financial aid to the States accord-
ing to the amount of damage sustained
in the respective States. This is the only
fair and realistic method of tackling the
massive cleanup job ahead.
Pennsylvania, hardest hit by the flood-
ing by a wide margin, would receive the
lion's share of the supplemental appro-
priation, and Florida, having the least
amount of damage of the five States,
would receive the smallest portion. The
remaining money would be distributed by
OEP to Virginia, Maryland, and New
York.
Other Members and I of the Pennsyl-
vania delegation will meet with Governor
Shapp today to discuss the crippling ef-
fects of the flood.
I hope to explore all avenues of Federal
assistance with the Governor and arrive
at some concrete goals with regard to
the needs of the stricken Pennsylvania
communities.
BEEF PRODUCERS GET SHORT END
OF STICK
The SPEAKER pro tempore. Under a
previous order of the House, the gentle-
man from Kansas (Mr. SKUBITZ) is rec-
ognized for 10 minutes.
Mr. SKUBITZ. Mr. Speaker, in my
opinion the action the President took on
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
June 27, 1972 CONGRES$IONAL RECORD -HOUSE
though the first Congress of the United
States met in New York in 1789, in 1790
it chose Philadelphia as the temporary
seat of the new Government when Wash-
ington was President.
As students of history know, the Con-
stitution was not a suddenly devised
framework of government but the cul-
mination of experience dating back to
the Magna Carta of 1215 when 25 bar-
ons of England united to force King
John to sign and observe it.
The Baronial Order of Magna Carta,
composed of men who are lineal de-
scendants of these 25 barons of England,
and of which William Hannis Perot of
Philadelphia is Marshal, customarily
commemorates the signing of the Magna
Carta on the Sunday nearest June 15
of each year at historic Christ Church in
Philadelphia, the church attended by
Washington. Most of the members of the
order live in the Philadelphia region;
some in the Washington, D.C. area. This
order through the years has been a
highly effective patriotic group in keep-
ing alive the memories of the Magna
Carta as a vital landmark in the de-
velopment of constitutional liberty.
On June 11, 1972, at this church, the
Barons celebrated the 757th anniversary
of the ensealing of the Magna Carta
in an impressive program led by the rec-
tor, the Reverend Ernest A. Harding,
D.D., in which a member of the order,
the Honorable Maurice H. Thatcher, dis-
tinguished former Member of the Con-
gress from Kentucky, and the sole sur-
viving member of the Isthmian Canal
Commission that supervised the con-
struction of the Panama Canal, made
the address for the occasion and received
the Annual Award of the Order, which
reads as follows:
The Baronial Order of Magna Carta pre-
sents its Magna Carta Day Award to Gov-
ernor Maurice Hudson Thatcher in recogni-
tion of his service to humanity:
Particularly is this made for his champion-
ing the Freedom of the Individual, further-
ing the significant tradition begun in 1215
by the Barons of England.
(Panama Canal Seal.)
(Kentucky Seal.)
(Picture-,ship in Panama Canal.)
Christ Church in Philadelphia.
Magna Carta Sunday, June 11, 1972.
WILLIAM HAreNIS PEROT,
Marshal.
HENRY PICIION KROGSTAD,
Keeper of the Signet.
(NOTE.-Framed with White House Tim-
ber.) and prevention of tropical diseases, both
human -anew, veterinary.
During the program, Governor The Laboratory, starting with an annual
Thatcher, together with Marshal Perot, authorization of $50,000, now has an annual
former Marshal Charles Edgar Hires, budget of a million dollars; and Congress
Capt. Miles P. DuVal, Jr., also a member also has authorized and appropriated sev-
of the order, and Gilbert H. Dehriel of eral millions for expansion of the Laboratory
Washington, D.C., sat in the Geor ac`ivities, made necessary by the great func-
ga lions it has been called upon to serve.
Washington pew. Indeed, Its achievements have been of
So that the indicated address may be such character as to make of it the out-
suitably recorded in the annals of the standing institution of its kind in all the
Congress for the benefit of present and world. Panama is an ideal spot for such
H 6191
under appointment of President Taft, In
April 1910. I served until August 1913-all
during the construction era.
My identification with the great enter-
prise throughout my tenure was also that
of Civil Governor of the Canal Zone. Colonel
William C. Gorgas of Yellow Fever fame, was
also a Member of the Commission; and we
had our official headquarters in the same
building.
I was charged with certain duties which
supported him in his important health and
sanitary work; and it has given me great
pleasure, in and out of Congress, in the
years that followed, to have the opportunity
to further provide for expansion of tropical
research:
The Republic of Panama ceded to our In-
stitute, for the purposes OT a laboratory, im-
portant lands and buildings in the City of
Panama, and we have erected additional
structures with Congressional funds.
On an occasion of this character, it Is ex-
pected, I believe, that the Awardee should
submit some remarks dealing with mat-
ters of current concern.
This is the Age of Violence. Never in hu-
man history has there been such brutal con-
duct by people in the world, as is now tak-
ing place.
Under science the miracle of today be-
comes the commonplace of tomorrow.
The great achievements of science have
been, in large measure, utilized by evilminded
individuals for the most wicked deeds which
mankind has ever conceived.
Communism-the deadliest of evils, is busy
as never before. We must wisely deal with
these conditions, else they will destroy us.
For this reason I speak of them.
Assassinations, murders, thefts, robberies,
holding for ransom, hi-jacking, guerrilla
monstrosities; slaying by wholesale of the
innocent and defenseless, and degeneracies,
have become the order of the day. No de-
praved or cruel act is missing.
The news media, in every category, in
large measure, are being prostituted; and
the old Commandments, containing the es-
sence of life experience; and the noble in-
structions of the Sermon on the Mount, are
being discarded in the world-at-large, and
held in contempt.
We canonize our criminals. They get the
publicity, the sympathy, and the eulogies,
and the acquittals. Our virtues are kept un-
der the bushel, and fail in inspirational
value. The red-carpet treatment has all too
often been accorded by naive courts, juries,
and others charged with the responsibilities
affecting the social structure. Shrewd, bold,
conscienceless members of my own profes-
sion, often go beyond all decent bounds, and
defy the courts, and enable the worst crimi-
nals to escape the whips of justice, and re-
peat their offenses.
The TV and radio, and other media with
certain exceptions, which so often have in-
structed and inspired, and with so much
potential for good, have all too oft become
sewers of filth and degeneracy. In large
measure, the children are neglected, and left
to establish their own associations and con-
siderations-with the inevitable results.
No further enumeration is required. How-
ever, we cannot ignore what Is so patent;
such things bring disaster. I am a firm be-
liever in the divine mission of Man; but I
can have, of course, no conception as to the
time he must live and struggle before he
scales the peaks of lasting good. He has come
and most grateful appreciation for their
presence do this occasion,
I also wish to thank with like appreciation,
Baron and Mrs. Ross Porter Skillern for the
gracious courtesies accorded myself and my
traveling companion, Mr. Gilbert Dehnel of
Washington, D.C. as guests in their charming
home. Also, my thanks to others.
Then, I wish to give assurance of my most
grateful acknowledgement for the outstand-
ing honor that was voted to me by the Baro-
nial Order last fall, and now awarded.
When I recall that men of such eminence
as Generals MacArthur and Bradley; Chief
Justice Bell, and certain outstanding mem-
bers of the Baronial Order have been recipi-
ents of this Award, I am indeed, humbly
grateful that I am now thus honored.
I know of no region more historic than
that of Philadelphia, and its environs. In-
dependence Hall and the Liberty Bell have
their significance and memories.
Great appreciation is due the Welsh and
Swedes, as well as the English, Scotch and
others. William Penn and his Quakers struc-
tured a lasting monument. Here Benjamin
Franklin grew into the vast proportions of
a practical idealist, statesman, scientist, and
successful civic and Revolutionary leader.
This Commonwealth itself is a beautiful
domain. Its great rivers, its mountains and
valleys-together with its farming areas-
present an unexcelled panorama of beauty.
Valley Fore and Gettysburg-and the Get-
tysburg Address-speak for themselves.
Its historic worth is beyond all measure-
ment.
Besides the Commonwealth of Pennsyl-
vania there are three other Commonwealths
in our American Union, namely, Massachu-
setts, Virginia and Kentucky.
My own:, Commonwealth of Kentucky-
with the aid of Daniel Boone, himself a na-
tive of Pennsylvania, led the effort for the
early settl$ment of Kentucky; and in time's
course, there were born in Kentucky, the
r?spective leaders of the North and South in
the Civil War era, Lincoln and Davis.
During my service in the Congress as Rep-
resentative of the Louisville and Jefferson
County, Kentucky District (1923-33), I had
pleasant relationships, on both sides of the
aisle, with Pennsylvania members of the
House. I make special reference to Doctor
Henry W. Temple of the Washington Dis-
trict, J. Banks Kurtz, of the Altoona District,
and Thomas Butler of West Chester.
Dr. Temple, as a member of the House
Foreign Affairs Committee, and on special
National Park assignments, occupied posts
where he was able to serve my efforts--and
did serve them-to obtain enactment of
Bills I sponsored. They were important meas-
ures, and became laws-such as the Acts
creating the National Cave Mammoth Park in
Kentucky, and the Gorges Memorial Labora-
tory in the City of Panama, an institution
- -,c vpuumscs, raaner man pessi-
Magna Carta and their families; friends orary Life President of the Institute. All mists. They are moved by the consideration
and neighbors from Washington, D.C., Phil- these services, I may say, have been rendered that the glass is half-full, rather than half
adelphia, and other points; Rev. Doctor without collapensation. empty. Only virtue makes for lasting peace
Harding and the membership of this historic Some of you will recall that I was a Mem- and happiness. War is monstrous, yet, it has
Church, I must extend my deepest thanks ber of the Isthmian . Canal Commission always obtained. Thus, the race muddles on.
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27: CIA-RDP7 p8
jqa~~ _-l~ ~i0023cGE
THE WASHINGTON POST AT
Qlted pr* International
Rep. Charles B. Rangel (D.-
N.Y.) said yesterday "paranoid
quest for secrecy" in the Cen-
tral Intelligence Agency is
keeping Information about
drug traffic in Southeast Asia
from the American public.
R.angel, a member of the 1
! Crime, Bald the CIA has con-
sistently refused his requests
for reports on opium and her- 1
1, oin traffick.1ng, although some I
are already public knowledge
a
or oed available from other
- kc1i citizen has the funda-
-att the ex-
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
T)PJ655
Approved For Release 2005/01/27: CIA-RDP7q~pQ4,1 00300230080-2 1
THE EVENING STAR. DATE PAGE
CIA `Paranoid`
On Drug Traffic,
Rangel Charges
Utted Press International
gipp, Charles B. Rangel,
said a "paranoid
quest for secrecy" in the Cen-
tral Intelligence Agency is
keeping information about
drug traffic in Southeast Asia
from the American public.
Rangel, a member of the
House Select Committee on
Crime, said yesterday the CIA
re-
has consistently resus oe d is um
quests for repo e
and heroin trafficking in the
or are
area, aubl c knowledge p
available from other agencies.
"This bureaucratic bungling
and paranoid quest for secrecy
on the part of the Central In-
telligence Agency has prevent-
ed Conggress from effectively
determining which of our so-
called `allies' are profiteering
in heroin," he said in a state-
ment. he
Rangel said nine reports .has unsuccessfully sought
from the - CIA name individu-
als, tribes,nrrnent offi-
cers and places involved in
heroin trafficking in Southeast
Asia.
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
THE EVENING STAR
DATE V
PL77 2, PAGE.
Air America clans m iggling
SIR: Judi#hak8, in'her column of June 29 made
'certain charges that I as managing director of Air
America must take violent exception to. Her allegation
. that this opium byproduct has been one
of the more important cargoes carried by Air America
is completely false. Needless to say, Miss Ran-
dal. failed to provide any proof for this allegation and it
is my opinion that a charge as damning as the one made
by Miss Randal should be supported by more than just
rumors.
Air America is acutely aware of the Individual
opportunities for smuggling that inherently exist with
out type of operation. We realized that these opportuni-
ties are made even more attractive by the fact that we
operate in areas of the world where extremely high
value, low bulk items such as gold and narcotics are
easy to obtain and can be readily disposed of at tremen-
dous profit.
The company continually works to impress upon its
employees the seriousness with which any and all smug-
gling is viewed and evidence of such activity is cause for
immediate termination! Also as a means for combating
this situation we'have for years assigned highest priori-
ty to the regular inspection of company aircraft, crews
and cargoes by our own security force.
The establishment of a separate Security Inspection
Service under a USAID-Air America contract constitutes
a major advance in preventing illegal transportation of
drugs aboard U.S. government-chartered aircraft in
Laos. Through the continued and expanded efforts of
programs such as these, more effective means will be
developed for greatly reducing and eventually eliminat-
ing the opportunities for smuggling that still exist.
Air America, in denying similar charges made by
Alfred McCoy to the Senate Foreign Relations Opera-
tions Subcommittee on June 2, 1972, stated that "if Mr.
McCoy or any. other individual can provide proof that
any Air America employee 'has been connected in any
manner with the drug traffic, appropriate disciplinary
action will be taken and the matter referred to the
proper authorities."
To date, no such proof has been forthcoming and we
now extend the same inoftation to Miss Randal and The
Star.
Paul C. Velte, Jr.
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
1131y
July 20, 1972 CONGRESSIONAL RECORD -SENATE
and other articles and no proceeding or de- (c) Subsection 401(a) of the Act of June from 40 witnesses, including representa-
termination under this Act shall preclude any 15, 1935 (49 Stat. 383), as amended (16 U.S.C. tives of the medical community; experts
proceeding or be considered determinative of 715s(a)), is further amended by inserting in the dynamics and emerging patterns
any issue of fact or law in any proceeding "or likely within the foreseeable future to of drug abuse; Federal, State, and local
under any Act administered by the Secretary become threatened with" between the words of tatives
of Agriculture. "with" and "extinction" in the last sentence a enforcmajor emenement t barbiturate officials; als; re represenresen a and
(c) Whenever the Secretary determines thereof. of manufacturers
pursuant to this Act or any other authority (d) Subsection 6(a) (1) of the Land and wholesalers; as well as individuals who
vested in him, that a species of fish or Water Conservation Fund Act of 1965 (78 have experienced the horrors of barbitu-
4601 9
(a)
wildlife is an endangered species, and pub- Stat. 903), as amended (16 U.S.C.
lishes regulations pertaining to the protec- (1)), is further amended by inserting "or
tion, control, management or enhancement likely within the foreseeable future to be-
of such endangered species, the Secretary of come threatened with" between the words
Agriculture may use all authorities available "with" and "extinction".
to him with respect to research, investiga- REPEALS
tions, conservation, development, protection, 3 of the
management, and enhancement of fish and SECAct. of 1 122. . ( (aa) ) Sections ( 1 1 through h 927), as ber wildlife, including, but not limited to, the amended oe U.S.C. 66 (80 Stat. ,926, are 27), as hereby
conservation operation program, watershed a in their entirety.
protection and flood prevention programs, repealed
Sections 1 through 6 of the Act of De-
Great Environmental Assistance Program, ons (83 through 27 of the 16 U.S.C.
Great Plains Conservation Program, Resource cember ber through 5, , 1969 (t83 Stat.
are hereby 79; repealed
Conservation and Development Program, for- 66 their entirety.
estry programs, and Water Bank Program,
in the protection, control, management, or
enhancement of such endangered species. f By Mr. BAYH:
Recognizing the national and international / S. 3819. A bill to amend the Controlled
interest in the protection and enhancement Substances Act to establish effective con-
of such endangered species, the Secretary of trols against diversion of particular con-
Agriculture is authorized, notwithstanding trolled substances and to assist law en-
the provisions of any other law, to bear the forcement agencies in the investigation
full cost or any lesser amount that he, in
consultation with the Secretary may deter- of the diversion of controlled substances
mine desirable to accomplish the objectives into other than legitimate medical,
of the Act, of the cost of installing any prat- scientific, and industrial channels, by re-
tice, measure, work of improvement, facility, quiring manufacturers to incorporate
or other developmental, protective, or man- inert, innocuous tracer elements in all
agement,systems on private land, the pri- Schedule II and III depressant and
mart' purpose of which is for the purpose stimulant substances, and for other pur-
the regulations, o or r other her recommendations poses. enabling the landowner co comply with oses. Referred to the Committee on the
egula,
of the Secretary pertaining to the protection, Judiciary.
control, management, or enhancement of DANGEROUS DRUG CONTROL ACT OF 1972
such endangered species. The Secretary of Mr. BAYH. Mr. President, the Sub-
Agriculture, in carrying out the purposes of
this section, shall utilize his authorities to committee to Investigate Juvenile Delin-
conduct research and investigations into quency, of which I am chairman, has
vegetative and structural methods and other been conducting an intensive investiga-
methods and practices, measures, works of tion into the abuse of psychotropic
improvement, and facilities most appropri-
ate or effective in the protection, control, cerned by the increasing abuse of am-
danangere ect species. enhancement If determined desirable, bnesirable, - phetamines and barbiturates which
the Secretary and the Secretary of Agricul- many medical experts believe has
ture shall be authorized to jointly carry out reached crisis proportions. Last summer,
research, surveys, and investigations. The we conducted hearings on amphetamine
Secretary is authorized to transfer to the abuse in which we heard the tragic ex-
Secretary of Agriculture such funds as may periences of many young people who had
be necessary to carry out the purposes of been hooked on "speed" or "uppers," as
this subsection.
(d) Nothing in this Act, or any amend-
ment made by this Act, shall be construed
as superseding or limiting in any manner the
functions and responsibilities of the Secre-
tary of the Treasury under the Tariff Act of
1930, as amended, including, without
limitation, section 527 of such Act relating
to the importation of wildlife taken, killed,
possessed, or exported to the United States
in violation of the laws or regulations of a
foreign country.
CONFORMING AMENDMENTS
SEC. 11. (a) Subsection 4(c) of the Act of
October 15, 1966 (80 Stat. 928), as amended
(16 U.S.C. 668dd(c)), is further amended by
revising the second sentence thereof to read
as follows: "With the exception of endanger-
ed species listed by the Secretary pursuant
to section 4 of the Endangered Species Con-
servation Act of 1972, nothing in this Act
shall be construed to authorize the Secretary
to control or regulate hunting or fishing of
resident fish and wildlife on lands not with-
in the system."
(b) Subsection 10(a) of the Migratory
Bird Conservation Act (45 Stat. 1224), as
amended (16 U.S.C. 715i(a)), is further
amended by inserting "or likely within the
foreseeable future to become threatened
with" between the words "with" and "ex-
tinction",
The investigation and hearings con-
ducted by the subcommittee have re-
vealed barbiturate abuse to be both a sig-
nificant public health problem and an
ever increasing concern of law enforce-
ment agencies. Barbiturate dependency
and addiction have been described as
more dangerous than amphetamine de-
pendency and more widespread and
physically destructive than heroin ad-
diction. Barbiturate abuse is not a phe-
nomenon restricted to the street culture
of multiple drug abusers. It reaches into
many areas of American life, affecting
such diverse groups as grammar school,
high school and college students, indus-
trial workers, middle-class party goers
and residents of our ghettos and barrios.
Barbiturates are the best known of the
drugs which are used medically to relax
the central nervous system. On the street
these sedatives are known as "downers"
or "goofballs." They are also known as
reds, red devils, yellow jackets, blue an-
gels, rainbows, and Christmas trees. All
are synthetically derived from barbituric
acid. They vary, however, in the onset
and duration of their action.
Barbiturates are highly dangerous
when taken without proper medical su-
pervision. Increasing use of these pills
quickly produces tolerance. Once toler-
ance is achieved, the user experiences a
euphoric effect from taking "downers."
Rather than feeling merely drowsy and
sluggish, he actually feels high and com-
pletely insulated from reality. A regular
abuser will suffer severe withdrawal
symptoms when the drug is suddenly ter-
minated. Severe withdrawal may be
brought on even by a moderate reduc-
tion of the accustomed dose. After 12
hours off the drug, the abuser experiences
these drugs are known in the street cul- nervousness, headache, tremors, insom-
ture. We also heard from leading doctors nia, fever, and nausea. After 3 days, he
and criminologists that amphetamines may go into convulsions and delirium.
were widely abused at all levels of. our Visual hallucinations, usually of a per-
society. Shortly after the conclusion of secutory nature, are common. Barbitu-
these hearings, the Bureau of Narcotics rate withdrawal is a serious medical
and Dangerous Drugs announced. the emergency and requires hospitalization.
administrative rescheduling of two am- It is more dangerous than heroin with-
phetamine-like substances, with which drawal and can be deadly. Indeed, cer-
we had been particularly concerned- tain kinds of barbiturate addiction are
phenmetrazine-"Preludin"-and meth- regarded by many medical authorities as
ylphenidate-"Ritalin"-from schedule more difficult to cure than narcotic ad-
III to schedule II of the Controlled Sub- diction.
stances Act of 1970. Under schedule II Barbiturates are used by millions of
these drugs are subject to stricter pro- Americans in every stratum of society.
duction and distribution controls, in- Unfortunately, in many homes some de-
eluding the establishment of annual pro- gree of psychotropic drug abuse is com-
duction quotas. Although industry re- mon, and usually unrecognized. Most
quested production quotas of more than Americans simply do not realize the ter-
twice the 1971 production, the ampheta- rible consequences of abusing, these
mine quotas established for 1972 amount drugs. Barbiturates and amphetamines
tc, an 80 percent reduction from 1971 are not viewed with the alarm that we
production levels. view heroin and morphine, although we
The subcommittee has pursued its in- know that when used improperly, the ef-
vestigation of the abuse of psychotropic fects of these drugs may be even more
drugs with particular emphasis on the devastating. Children grow up watch-
problem of barbiturate abuse. During the ing their parents take these pills, and
past 6 months, we have heard testimony they develop an acceptance of drug tak-
Approved For Release 2005/01/27.: CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
S 11320 CONGRESSIONAL RECORD -SENATE July 20, 1972
ing. Thus, casual attitudes toward these
potentially destructive drugs, coupled
with a readily available supply in the
family medicine. cabinet, appear inti-
mately connected with the current trend
in youthful barbiturate abuse.
Last December, the subcommittee con-
ducted hearings on the nature and extent
of barbiturate abuse. We heard repre-
sentatives of the medical community de-
scribe the enormous abuse potential of
these drugs. Dr. Sidney Cohen, former
Director, Division of Narcotic Addiction
and Drug Abuse, National Institute of
Mental Health, characterized 1972 as
"the year of the downer." We heard
young people who had experienced the
horrors of barbiturate dependency relate
how easy it is to obtain these dangerous
drugs. In fact, many of the young wit-
nesses had started down the terrible road
to barbiturate addiction with pills taken
from the family medicine cabinet. We
learned from criminologists and sociolo-
gists the dynamics of abuse and emerging
nationwide patterns of barbiturate de-
pendency and addiction.
The subcommittee hearings on May 2,
3, and 17 focused on the problem of il-
licit barbiturate traffic. We heard testi-
mony from a New York reporter who ob-
tained barbiturates with prescription
blanks he had printed at a nominal cost,
bearing the name of "Dr. D. M. Sugob"
which, spelled backwards, reads "Bogus,
M. D." These prescriptions showed no
BNDD number as required by law. The
senior officer of the Norfolk, Va., Nar-
cotics Squad told the subcommittee that
his city is experiencing a steady increase
in the illegal use and distribution of
barbiturates. In fact, he predicted no
less than a 100-percent increase in ar-
rests for possession and distribution of
barbiturates during the coming year.
Mr. Joseph P. Busch, district attor-
ney of Los Angeles County, told the sub-
committee that-
Barbiturates have always played a maor
role In the illegal drug traffic in Los Angeles
and In recent years they have become the
growth drug.
He cited a recent survey of Los Angeles
city schools showing barbiturates to be
the No. 1 school drug problem. Mr.
Busch described some of the typical bar-
biturate cases encountered by juvenile
officers in Los Angeles County:
An eight year-old child. Dropped a red
every day after school. His parents eventual-
ly brought him to police. He said he enjoyed
the feeling that the pills gave him.
A sixteen year-old juvenile. Habit of eight
or nine capsules a day. Booked under the
influence. Began to convulse. Taken to Gen-
eral Hospital. Released the next day. Picked
up the same night, overdosed on street. Not
arrested. Taken to Daniel Freeman Hospital,
Released.
Picked up on the next day under the in-
fluence in a public park. Booked again.
A fourteen year-old juvenile. Selling hash
and pills in jars of 1,000. Using pills. Con-
vulsed in juvenile hall going through with-
drawal
A seventeen year-old juvenile. 30 cap a day
habit. He was taking eight caps a day before
bed. Underwent medical withdrawal.
Mr. Bryan Finkle, forensic toxicolo-
gist, department of district attorney,
County of Santa Clara, San Jose, Calif.,
reported that his county was experienc-
Ing a secobarbital epidemic. He pre-
ser}ted alarming data indicating that
during the year July 1, 1969 to June 30,
1970, 45 percent of the 2,295 drug cases
analyzed, or 75 percent of the 1,377 cases
yielding positive results, involving the
drug secobarbital; that 80 percent of
these individuals were less than 26 years
old; that 50 percent of the individuals
involved in vehicle code offenses over a
2-year period resulting in accidents in-
volved the drug secobarbital; and that
the average blood concentration of seco-
barbital of those involved in these acci-
dents was three times the maximum con-
centration found in persons taking seco-
barbital therapeutically under medical
supervision.
A special assistant attorney general
from New Mexico testified that every
few weeks, 40,000 illegal barbiturates ar-
rive in Santa Fe, a city with a popula-
tion of 40,000, These dangerous drugs
are sold on the streets, in school corri-
dors, and even on playgrounds adjoining
elementary schools. We learned that
Santa Fe is averaging close to one bar-
bitlirate death every 3 days. The
youngest fatality, a 30-day-old infant,
born a secobarbital addict, failed to sur-
vive the violent convulsive consequences
of its tragic entry into the world.
lyfany witnesses, including former
barbiturate addicts and law enforce-
ment officials, have told the subcommit-
tee that barbiturates are obtained il-
licitly from friends, street dealers, physi-
cians, pharmacies, or by pilfering abun-
dantly supplied family medicine cabinets.
Others have suggested that a significant
percentage of the persons abusing bar-
biturates obtain them originally through
legitimate channels and then resort to
self-medication, nonmedical, use, or illicit
traffic. One youngster, age 16, remarked
that it is less of a "hassle" to obtain
"dgwners" than it is to purchase
cigarettes.
T have learned how readily available
and inexpensive these drugs are from
personal experience. Several months ago
I visited a number of barbiturate treat-
ment programs in California. During the
course of a "rap session" with several
barbiturate addicts, one young counselor
at the Haight-Ashbury Free Clinic in
San Francisco, himself a former bar-
biturate addict, slipped out of the session
unnoticed. In a matter of minutes he re-
turned with the fruits of several minutes
efforts: A handful of legitimately pro-
duced "yellow jackets," purchased for
25 cents a capsule from a local street
dealer.
Although the specific numerical esti-
mates differ, there is a consensus among
those testifying to date, except for repre-
sentatives of the drug industry, that a
significant proportion of legitimately
produced barbiturates find their way into
the illicit market. Mr. John Ingersoll, the
Director of the Bureau of Narcotics and
Dangerous Drugs, recently told the sub-
committee that "unlike the case of all
other, major drugs of abuse, it appears
that barbiturates are supplied exclusively
from what begins as legitimate produc-
tion."
In order to bring a clearer focus on
the issues of barbiturate abuse and illicit
barbiturate traffic, I recently introduced
two pieces of legislation relating to the
production, distribution, and control of
barbiturates. S. 3539 would provide for
the rescheduling of several commonly
abused shorter acting barbiturates from
schedule III to schedule II of the Con-
trolled Substances Act. This change
would subject these particular barbitu-
rates to stricter production and distri-
bution controls. S. 3538 would require all
manufacturers of solid oral form sched-
ule II barbiturates to place identifying
marks or symbols on their, products. This
bill would facilitate law enforcement ef-
forts to determine the sources of diverted
barbiturates. I appreciate the support of
my 26 colleagues who have cosponsored
these two measures.
Today, I am introducing the "Danger-
ous Drug Control Act of 1972" which will
further assist law enforcement agencies
in their investigations of the diversion
of controlled substances. This measure
also provides for the Attorney General to
conduct a comprehensive study and
analysis of the diversion of controlled
substances.
My bill will require manufacturers to
incoroprate an inert tracer ingredient
in all schedule II and schedule III stimu-
lants and depressants, including the
widely abused amphetamines and bar-
biturates. The presence of these tracers
will assist law enforcement agencies in
the identification of diverted controlled
substances, whether seized in bulk form
or in the form of illicitly manufactured
or illicitly capsulized pills.
Such a tracer system has been recom-
mended by numerous witnesses who
have appeared before the subcommittee.
Mr. Joseph P. Busch, district attorney of
Los Angeles County, recommended that
tracer materials be placed in all do-
mestically produced barbiturate sub-
stances. Mr. Busch illustrated the use-
fulness of tracers in a recent heroin in-
vestigation, in which his office placed a
tracer in chemicals being shipped to a
Mexican laboratory believed to be pro-
ducing heroin. When the tracer appeared
in heroin sold in California, Mr. Busch
was able to verify the origin of the
heroin.
Tracers in stimulant and depressant
substances would provide similar assist-
ance in source identification. Consider-
able evidence supports the hypothesis
that legitimately produced domestic
drugs, in bulk and dosage unit form, are
shipped to Mexico and eventually im-
ported to illicit markets in this country.
The Bureau of Narcotics and Dangerous
Drugs and the Customs Bureau have
seized 7,600,000 unmarked red secobar-
bital units in the past 24 months. In one
case, an individual was arrested in pos-
session of 2 million unmarked red seco-
barbital units and large quantities of
amphetamines. The presence of a tracer
would assist law enforcement officers in
identifying the source of these drugs,
even if the substances have been repack-
aged or recapsulized for illegal trade.
Tracers would in no way impair the qual-
ity or the therapeutic value of these
drugs.
Although "California reds"-also
known as "`Mexican reds"-have been
found in Denver, New Orleans, and New
York City, it is important to emphasize
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
July 20, 1972 CONGRESSIONAL RECORD -SENATE
that this is a special situation super-
imposed on a broader barbiturate abuse
pattern affecting the entire Nation. The
barbiturates seized in nearly all com-
munities are legitimately produced do-
mestic barbiturates in dosage unit form.
My bill authorizes the Attorney Gen-
eral to require the incorporation of trac-
er, ingredients in other controlled sub-
stances as may be necessary to control
the diversion and abuse of these sub-
stances.
My bill requires the Attorney General,
after consultation with the Secretary of
Health, Education, and Welfare and oth-
ers knowledgeable in the manufacture,
distriution, and monitoring of controlled
substances, to determine appropriate
methods for incorporating tracer ingre-
dients in depressants and stimulants.
The Attorney General is required to con-
duct research and educational programs
to implement the tracer program; to de-
velop rapid field and laboratory identi-
fication tecniques; to train local, State,
and Federal law enforcement personnel
regarding the identification of tracer
elements and investigation of diversion;
and to establish standards to evaluate
diversion and tracer control of other
controlled substances.
There is an urgent need for a compre-
hensive information system for use in
detecting and preventing drug diversion
and in measuring the impact of enforce-
ment and regulatory efforts. The Comp-
troller General in the April 17, 1972 re-
port of the General Accounting Office
entitled "Efforts to Prevent Dangerous
Drugs from Illicitly Reaching The Pub-
lic", made the following conclusions rela-
tive to reporting and identification of
seized drugs by law enforcement agen-
cies:
DRUGS SEIZED BY STATE AND LOCAL ENFORCE-
MENT GROUPS NOT EXAMINED
BNDD, the Bureau of Customs, and State
and local enforcement agencies seize large
quantities of drugs. BNDD strives to identify
the manufacturer of drugs seized by its
agents and the Bureau of Customs, since the
manufacturers' identity can be valuable in
BNDD's investigation to determine the
source and significance of the diversion. We
found however that, although it had made
some efforts to identify manufacturers of
drugs seized by State and local enforcement
agencies, BNDD had no formal procedures for
obtaining such information and that infor-
mal requests for samples of seized drugs had
produced few results.
Manufacturers of legally produced amphet-
amines and barbiturates can be identified
by marking, such as trade names and trade-
marks, or by pillistics. Pillistics, a procedure
similar to ballistics, identifies pills with the
machines which produced them. BNDD has
obtained samples (authentics) of pills from
manufacturers which have been identified to
specific machines. When the origin of seized
pills is unknown, the pills can be compared
with the authentics in an attempt to identi-
fy the manufacturers that produced them.
BNDD officials expressed the view that
more complete information on the origin of
drugs seized by State and local groups would
be a valuable aid in their investigation. The
value of this information is illustrated in a
case involving amphetamine pills seized in
California. Through its examination BNDD
identified pills smuggled in from Mexico as
being manufactured by a drug firm in the
Midwest. Subsequent investigations at this
firm revealed that large quantities of am-
phetamines were en route to a fictitious ad-
dress in Mexico. This shipment was seized.
In our visit to 13 State and local enforce-
ment groups in California, New Jersey, and
New York, we learned that a number of large
seizures had been made in the past year but
that little attempt had been made to deter-
mine the origin of the drugs. Most officials
were not aware of BNDD's efforts to identify
manufacturers but were willing to cooperate
with BNDD In establishing such a system.
In one large metropolitan police depart-
ment, we found that over 1,358,000 pills were
seized during 1970. Three of the seizures con-
sisted of about 270,000, 96,000, and 68,000
pills and accounted for over 30 percent of
the total seized. No attempt has been made
by the police department to determine the
origin of these drugs nor had BNDD obtained
samples for this purpose.
In other enforcement agencies, we found
also that no attempt had been made to deter-
mine the origin of many drug seizures rang-
ing from 5,000 to over 100,000 pills. In ad-
dition, we found that none of the enforce-
ment agencies had uniform procedures for
recording statistics on drug seizures and in
several cases, no data was maintained.
We believe that BNDD should establish a
procedure to obtain information on drugs
seized by State and local enforcement groups.
BNDD also should obtain samples of large
drug seizures for its examination when the
origin of the drugs is unknown. In addition,
a uniform reporting format should be sug-
gested to State and local enforcement groups
so that data could be gathered systematically
and uniformly and could be reported to
BNDD.
The GAO report concludes that-
Much more needs to be done by the Bu-
reau of Narcotics and Dangerous Drugs, the
States, local agencies, and the industry to
reduce the diversion of legitimately manu-
factured drugs into illicit channels where
they become easily available to young people
and adults.
My bill provides for the systematic
collection of data relevant to drug diver-
sion and requires a thorough assessment
of law enforcement efforts in this area.
It requires the Attorney General to ob-
tain comprehensive data from State and
local agencies; to assess law enforcement
efforts to control diversion; and to in-
sure that State and local information
systems are compatible with the Attor-
ney General's diversion program.
Manufacturers, wholesalers and retail-
ers registered under the Controlled Sub-
stances Act of 1970 have expressed con-
cern that reports they have made to
BNDD regarding possible diversion have
not been systematically investigated and
that when investigations are conducted
they are infrequently informed of the
outcome. My bill requires the Attorney
General to establish uniform procedures
to monitor and investigate all reports of
dangerous drug purchases and orders of
an unusual or suspicious nature and to
systematically inform the reporting par-
ties regarding the results of BNDD in-
vestigations.
To date there has been no systematic
gathering of available data on the nature
and extent of diversion. My bill requires
the Attorney General to obtain from
State and local law enforcement agen-
cies all available information, including
reports of thefts, seizures, and arrests in-
volving controlled substances.
The military services purchase sub-
stantial amounts of dangerous drugs
S 11321
each year. The Defense Personnel Sup-
port Center in Philadelphia, Pa., pur-
chased about 131 million pills and cap-
sules of dangerous drugs during fiscal
years 1970 and 1971. The possibility of
diversion within the military supply sys-
tem is considerable. Many witnesses tes-
tifying before the subcommittee have
indicated that military bases, depots, and
hospitals are common points of diver-
sion for amphetamines, barbitarurates,
and other dangerous drugs. The GAO
report found that procedures for the
military services to provide information
to BNDD on thefts and other shortages
of dangerous drugs are not adequate.
My bill requires the Attorney General
to obtain information on thefts and
shortages within the military supply sys-
tem and to establish procedures for reg-
ular meetings with appropriate military
officials on mutual problems concerning
the diversion of controlled substances.
To assure that information regarding
the diversion of controlled substances
receives appropriate attention, my bill
provides that the Attorney General shall
submit a comprehensive annual report
to the Congress on the diversion of con-
trolled substances. The report will in-
clude an assessment of the nature and
extent of diversion; an appraisal of the
effectiveness of law enforcement efforts
to curb diversion; and an evaluation of
the tracer system provided in my bill in
the investigation and prevention of di-
version.
The Controlled Substances Act of 1970
requires that persons manufacturing,
distributing, and dispensing controlled
substances register with the Attorney
General. In determining whether to reg-
ister an applicant, the Attorney General
is required to determine whether a reg-
istrant has failed to maintain effective
controls against the diversion of any
controlled substance, and whether he
has failed to provide a standard of con-
trol consistent with public health and,
safety. Yet, under the 1970 act, the At-
torney General is not authorized to re-
voke or suspend the registration of per-
sons who abandon controlled substances.
My bill authorizes the Attorney Gen-
eral to revoke or suspend the registration
of manufacturers, wholesalers, retailers,
and others who abandon controlled sub-
stances, such as amphetamines and bar-
biturates, or who fail to provide controls
consistent with public health and safety.
Criminal penalties are provided for reg-
istrants who abandon controlled sub-
stances. Thus, the Attorney General can
insure not only that prospective regis-
trants meet standards necessary to curb
the diversion of controlled substances
into illicit channels, but also that those
currently registered to manufacture, dis-
tribute, or dispense controlled substances
continue to meet these same standards.
The abuse and diversion of legitimately
produced dangerous drugs into channels
other than legitimate medical, scientific,
and industrial channels should be a pri-
mary concern for all citizens. The sub-
committee, the Congress, and the public
at large are all too familiar with the hor-
rors of drug dependency and addiction
and their attendant destructiveness and
tragedy. While the current focus of con-
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2 -
S 11322 CONGRESSIONAL RECORD - SENATE July 20, 19 i 22
tern today is on heroin addiction, it would
be folly to overlook the present and pros-
pective role of legitimately produced dan-
gerous drugs.
My bills S. 3539, S. 3538, and the Dan-
gerous Drug Control Act of 1972 which I
am introducing today, provide the assist-
ance necessary to aid the law enforce-
ment agencies of this country in their
efforts to deal more effectively with the
diversion of controlled dangerous drugs.
We have learned from the experience
of major urban areas, especially those on
the west coast, that barbiturate abuse
and addiction is a natural outgrowth of
the abuse of psychedelic drugs and am-
phetamines and that many heroin ad-
dicts and methadone users are abusing
or are addicted to barbiturates. Patterns
of abuse experienced in California are
emerging in cities and towns throughout
our country. This "ripple effect" should
clearly alert us to the need to control
and monitor more adequately the pro-
duction and distribution of dangerous
drugs. I urge my colleagues to support the
Dangerous Drug Control Act of 1972.
Mr. President, I ask unanimous con-
sent that a section-by-section analysis
of the bill, together with the bill itself,
be printed at this point in my remarks.
There being no objection, the bill and
analysis were ordered to be printed in
the RECORD, as follows:
S. 3819
Be it enacted by the Senate and House
of Representatives of the United States of
America in Congress assembled, That this
Act may be cited as the "Dangerous Drug
Control Act of 1972."
SEC. 2. Section 305 of the Controlled Sub-
stances Act (Public Law 91-513, 84 Stat.
1250) Is amended by adding at the end there-
of the following new paragraph:
"(e) (1) It shall be unlawful to manu-
facture or distribute Schedule II or Schedule
III depressant and stimulant controlled sub-
stances, including immediate precursors, un-
less such substances contain an inert, in-
nocuous tracer ingredient identifying the
manufacturer or manufacturers, as required
by regulation of the Attorney General. (2)
The Attorney General is authorized to re-
quire the Incorporation of tracer ingredients
in any controlled substance as necessary to
maintain effective control against diversion
into other than legitimate medical, scientific,
and industrial channels."
SEC. 3. Section 602 of the Controlled Sub-
stances Act is amended by redesignating
paragraphs (b), (c) and (d) as paragraphs
(c), (d) and (e), respectively, and by adding
after (a) the following new paragraph:
"(b) The Attorney General, after consulta-
tion with the Secretary of Health, Education,
and Welfare and with national organizations
representative of persons with knowledge and
experience in the manufacture, distribution
and monitoring of controlled substances,
shall determine appropriate methods for in-
corporating tracer ingredients in Schedule
II and III depressant and stimulant sub-
stances in a manner that will facilitate the
Investigation of the illegal diversion of these
substances. To carry out the purposes of sec-
tion 305(e) and of this section the Attorney
General shall conduct research and educa-
tional programs. Such programs shall in-
elude-
"(1) studies or special research projects
designed to develop and implement a net-
work of tracer elements to be Incorporated in
Schedule II and III depressant and stimulant
substances so as to facilitate law enforce-
ment efforts to identify the channels of il-
legal diversion of these substances.
"(2) studies or special research projects to
develop rapid field and laboratory methods
for identification of the tracer elements and
manufacturers of Schedule II and III depres-
sant and stimulant substances.
"(3) training programs for local, State, and
Federal law enforcement personnel on the
identification of tracer elements and the in-
vestigation of diversion of Schedule II and
III depressant and stimulant substances.
designed to establish standards to evaluate
diversion of controlled substances other than
depressants and stimulants in schedule II
or schedule III and the necessity for incor-
porating tracer ingredients in such sub-
stances pursuant to section 305(e) (2)."
SEC. 4. (a) Part E of the Controlled Sub-
stances Act is amended by adding imme-
diately after section 503 thereof the following
new sections:
"INFORMATION ON DIVERSION OF DEPRESSANTS
AND STIMULANTS
"SEC. 504. In order to meet the need for
comprehensive information required to
measure the extent of controlled substance
diversion and the impact of efforts to curb
such diversion the Attorney General shall-
"(1) Establish regulations to obtain from
State and local law enforcement agencies
information necessary to evaluate the diver-
sion of controlled substances; to assess law
enforcement efforts to control such diver-
sion; and to insure that new State and local
information systems are consistent with the
Attorney General's diversion control efforts.
"(2) Establish a uniform information
system for each region that will provide
control over all reports of dangerous drug
purchases and orders of an unusual or sus-
picious nature received from registrants and
over the disposition of such reports.
"(3) Direct regional offices to obtain from
State and local law enforcement agencies
available information on the diversion of
controlled substances, including reports of
thefts, seizures, and arrests involving such
substances.
"(4) Obtain information on thefts and
shortages of controlled substances within the
military supply system and establish a pro-
cedure: for meeting with appropriate military
officials on a regular basis to exchange in-
formation on mutual problems concerning
the diversion of controlled substances.
"REPORT TO CONGRESS
"SEC. 505. Within one year after the effec-
tive date of section 305(e), and annually
thereafter, the Attorney General shall sub-
mit to the Congress a comprehensive report
on the diversion of controlled substances in-
cluding, but not limited to, the following:
"(1) The nature and extent of controlled
substances diversion;
"(2) The effectiveness of law enforcement
efforts to curb diversion;
"(3) The operation of the tracer system
provided for in this Act, and its effectiveness
in the investigation and prevention of diver-
sion of controlled substances into Illegal
channels.
(b) Sections 504 through 516 of Part E of
such ACt are hereby redesignated as sections
506 through 618, respectively."
SEC. 5. (a) Section 102 of the Controlled
Substances Act is amended by adding imme-
diately after clause (1) thereof the follow-
ing new clause:
"(12) The term 'abandon' means to relin-
quish voluntarily possession or control of a
controlled substance without vesting posses-
sion or control in another person authorized
under this Act to have such possession or
control."
(b) Clauses (12) through (26) of section
102 of such Act are hereby redesignated as
clauses (13) through (27) respectively.
(c) Section 304(a) of the Controlled Sub-
stances, Act is amended (1) by striking out
"or" after the semicolon in clause (2); (2)
by striking out the period at the end of
clause (3) and inserting in lieu thereof a
semicolon and the word "or"; and (3) by
adding after clause (3) the following new
clauses:
"(4) has abandoned or otherwise failed to
maintain effective controls against the di-
version of any controlled substance into other
than legitimate medical, scientific, research,
or industrial channels; or
"(5) has failed to provide a standard of
control consistent with the public health or
safety."
(d) That part of section 401(b) of the
Controlled Substances Act which precedes
paragraph (1) (A) thereof is amended by in-
serting immediately before the word "shall",
a comma and the following: "or any person
subject to the requirements of part C who
violates subsection (d) of this section,".
(e) Section 401 is amended by adding at
the end thereof the following:
"(d) It shall be unlawful for any person
who Is subject to the requirements of part
C of this title to abandon a controlled sub-
stance.".
SEC. 6. (a) Except as otherwise provided in
this section, all sections in this Act including
this section shall become effective upon en-
actment.
(b) Section 305(e) shall become effective
on the first day of the twelfth calendar
month that begins after the day immedi-
ately preceding the date of enactment.
SEC. 7. There are authorized to be appro-
priated for the fiscal year ending June 30,
1973, and for each of the next five years,
such sums as may be necessary for carrying
out this Act.
SECTION-BY-SECTION ANALYSIS
SECTION 1
This section contains a short title to reflect
the amending of the Controlled Substances
Act of 1970.
SECTION 2
This section amends section 305 of the Act
making it unlawful to manufacture or dis-
tribute Schedule II or Schedule III depres-
sant and stimulant substances unless they
contain tracer ingredients. It also author-
iezs the Attorney General to require tracers
in other substances as may be necessary.
SECTION 3
This section amends sections 502 of the
Act by requiring the Attorney General, after
consultation with the Secretary of Health,
Education and Welfare and others knowl-
edgeable in the manufacture, distribution
and monitoring of controlled substances, to
determine appropriate methods for incor-
porating tracers in depressants and stimulant
controlled substances. This amendment of
section 502 requires the Attorney General
to conduct programs to implement the tracer
program; to develop rapid field and labora-
tory tracer identification techniques; to train
local, State and Federal law enforcement
personnel regarding the identification of
tracer elements and investiagtion of diver-
sion; and to establish standards to evaluate
diversion and tracer control of other con-
trolled substances.
SECTION 4 (A)
This subsection amends Part E of the Act
by adding two new sections. The new sec-
tion 504 requires the Attorney General to
establish regulations to otbain comprehensive
information from State and local law en-
forcement agencies in order to assess the
nature and extent of diversion and the im-
pact of efforts to curb diversion; to estab-
lish a uniform system for investigating and
reporting the disposition of inevstigations
regarding dangerous drug purchases and
orders of an unusual or suspicious nature
reported by registrants under the Act; to
obtain from State and local law enforcement
agencies all currently available information
on the diversion of controlled substances, in-
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
July 20, 1 972 CONGRESSIONAL RECORD -SENATE
eluding reports of thefts, seizures and arrests
involving such substances; and to obtain'
information on thefts and shortages of con-
trolled substances within the military supply
system and establish regular meetings with
the military services regarding diversion of
such substances.
The new section 505 requires the Attorney
General to submit an annual report to the
Congress on the nature and extent of con-
trolled substances diversion; the effective-
ness of law enforcement efforts to curb di-
version of controlled substances; and the ef-
fectiveness of the tracer system.
SECTION 4 (B)
This subsection redesignates sections 504
through 516 of the Act.
SECTION 5 (A)
This subsection defines "abandon" as a
voluntary relinquishment of possession, or
control of a controlled substance without
vesting possession or control in another au-
thorized person.
SECTION 5 (B)
This subsection redesignates clauses 12
through 26 of section 102 of the Act.
SECTION 5 (C)
This subsection amends section 304(a) of
the Act by providing that abandonment or
failure to maintain effective controls against
diversion or failure to provide a standard
of control consistent with the public health
or safety are grounds for suspension or revo-
cation of the registration required to manu-
facture, distribute or dispense controlled
substances under the Act.
SECTION 5 (D)
This subsection amends section 401(b) of
the Act by providing criminal penalties for
registrants who abandon controlled sub-
stances.
SECTION 6 (A)
This subsection provides that all sections
except section 305(e) shall become effective
upon enactment.
SECTION 6 (B)
This subsection provides that section 305
(e) of this Act, requiring the incorporation
of tracer ingredients In certain controlled
substances, shall become effective one year
after the date of enactment.
SECTION 7
This section authorizes such sums as may
be necessary to carry out the purposes of this
Act for fiscal year 1973 ano for each of the
By Mr. McGOVERN:
S. 3820. A bill to provide for payment
of costs of pending litigation out of funds
appropriated to pay a judgment in favor
of the Yankton Sioux Tribe in Indian
Claims Commission docket No. 332-A.
Referred to the Committee on Interior
and Insular Affairs.
Mr. McGOVERN. Mr. President, the
Yankton Sioux Tribe of South Dakota is
one of the smaller, poorer tribes of the
United States. Pursuant to the Indian
Claims Commission Act, the tribe filed
claims against the United States-a land
claim for lands once owned by the tribe
in. Iowa, generally described as the Royce
151 claim, a claim for lands ceded by an
1858 treaty, generally described as the
Royce 410 and Sioux Fort Lramie
claims, and a suit for an accounting of
funds and properties of the tribe by the
United States. The Royce 151 claim was
litigated as docket No. 332-A in the
Indian Claims Commission. It resulted in
a judgment for the Yankton Sioux Tribe
In the amount of $1,250,000. Funds to
satisfy the judgment were appropriated
by the Congress by the act of July 22,
1969 (83 Stat. 49). Those funds, less
attorney fees, expenses, and planning
funds have been invested but are not
available for use by the tribe until Con-
gress approves their distribution.
Funds were borrowed by the Yankton
Sioux Tribe from the "Expert Assistance
Loan Fund" established by the act of
November 4, 1963 (77 Stat. 301) with
which to retain expert anthropologists to
aid them in establishing their claim to
aboriginal title of the Royce 410 area and
to recognized title along with the Teton
Sioux in the Sioux Fort Laramie lands.
Those funds were repaid to the loan fund
out of the award in docket No. 332-A.
In the land case still pending, which is
Indian Claims Commission docket num-
bered 332-C, the Yankton Tribe alleged
that it was paid an unconscionably low
compensation for the lands which they
gave up pursuant to treaty in 1858, rati-
fled in 1859. To prove this, the tribe must
establish the market value of those lands
as of 1859 and further prove that the con-
sideration which the Government actual-
ly paid for the lands was considerably
less than the true value of the lands at
that time. The experts will also have to
study whether the consideration moneys
appropriated by Congress actually were
used for the benefit of the Yankton Tribe.
The area involved covers at least 72 mil-
lion acres, most of it in the Sioux-Fort
Laramie area. Although the Commission
determined that the Yankton Tribe
owned only a 17-percent interest in the
vast Sioux-Fort Laramie area, the en-
tire tract must be appraised in order to
determine the worth of a 17-percent in-
terest therein.
This proof requires the assistance of
expert appraisers experienced in the field
of historical appraisal, a mineral ap-
praiser to determine the value as of 1859
of then-known minerals in the area, and
historians to receive the times. In the
accounting phase of the case which is
Indian Claims Commission docket No.
332-B, the tribe will need the aid of his-
torians, anthropologists and accountants.
When the claims have been determined,
the tribe will need the aid of historians
and accountants to defend against the
Government's claim of offsets.
The valuation phase of the Yankton
land claim has been set for hearing in
November of this year and the Yankton
Tribe's attorneys are making every effort
to be prepared for trial on that date. As
early as March 3, 1971, the General
Council of. the Yankton Tribe passed a
resolution earmarking $150,000 of the
funds due the tribe from their docket No.
332-A award to cover these necessary
litigation expenses. No attorney fees will
be paid from this litigation fund. The at-
torneys work on a contingent fee basis
and will be paid if the pending claims are
successfully concluded. The attorneys
had earlier advised the tribe to file an
application for additional funds from.
the expert witness loan fund. The appli-
cation was granted-subject to avail-
ability of funds. To date, no additional
funds are available for the Yankton
Tribe's use. Appraisers, historians, and
accountants undertook to do the work
S 11323
expecting funds to be available long be-
fore today either from the loan fund or
from the tribe's own funds to pay their
fees and expenses. The loan fund is ex-
hausted and the tribe's funds are held
up here in Congress because of a dis-
agreement over how much of the funds
may be distributed per capita.
The bill introduced today would release
the $150,000 of Yankton funds, or as
much as shall be necessary to pay fees
and expenses of expert witnesses to avoid
further delay in the litigation of claims
before the Indian Claims Commission.
Use of the balance of the award arising
from docket 332-A can then be deter-
mined at a later time.
There is no disagreement concerning
the establishment of this litigation fund
to finance the tribe's remaining claims.
If these funds are not made available for
use in the litigation now, the Novem-
ber 16, 1972, trial date for docket No.
332-C-which is the Yankton's largest
claim-will have to be postponed. No in-
terest is generally paid to the tribe on
judgment awards for lands taken where
unconscionable consideration was paid.
Therefore. if the Yankton Tribe is de-
prived of the use of its money at this
time to prosecute its pending claims,
there will be several hundreds of thou-
sands of dollars lost to the tribe solely
because of the delay in obtaining its
judgment.
In addition, the necessary experts have
been retained and have commenced their
work with the trial date of November 16,
1972, scheduled in their workload. If the
litigation fund from docket No. 332-A
is not made available, these experts will
be forced to discontinue their work. Re-
sumption of activity by these experts at
a later date will only result in more re-
quired work, more compensation to be
paid by the tribe and a rescheduling of a
trial date in the future which must be
mutually acceptable to the Indian Claims
Commission and the experts-for both
the tribe and the Government.
Therefore, denial of the use of this
litigation fund at this time will result
in delayed justice to the Yankton Tribe
for claims now over 100 years old and,
more important, definite loss of sub-
stantial moneys to the tribe.
Mr. President, I ask unanimous con-
sent that the full text of he bill I am now
introducing be printed at this point in
the RECORD.
There being no objection, the bill was
ordered to be printed in the RECORD, as
follows :
S. 3820
Be it enacted by the Senate and Souse of
Representatives of the United States of
America in Congress assembled, That the
Yankton Sioux Tribal Business and Claims
Committee is hereby authorized and directed,
pursuant to a resolution adopted by the
Yankton Genera. Indian Tribal Council at
a meeting held March 3, 1971, to use not to
exceed $150,000 of the tribal funds appropri-
ated by the Act of July 22, 1969 (83 Stat. 49),
and standing to the credit of the Yankton
Sioux Tribe of Indians in the State of South
Dakota arising from the judgment award on
docket numbered 332-A, known as the Royce
151 claim and that this fund or so much
thereof as may be needed shall be used to
pay the expenses and compensation of the
competent experts whose services are neces-
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
S 11324
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2 '- S
CONGRESSIONAL RECORD - SENATE July 20, 10723
sary in the completition of their litigation In
the Indian Claims Commission, dockets
numbered 332-B and 332-C.
By Mr. MILLER (for himself and
Mr. HUGHES) :
S. 3822. A bill authorizing the City of
Clinton Bridge Commission to convey
its bridge structures and other assets to
the State of Iowa and to provide for the
completion of a partially constructed
bridge across the Mississippi River at
or near Clinton, Iowa, by the State High-
way Commission of the State of Iowa.
Referred to the Committee on Public
Works.
Mr. MILLER. Mr. President, I intro-
duce, for myself and my colleague from
Iowa, a bill to authorize the City of Clin-
ton Bridge Commission to convey its
bridge structures and other assets to the
State of Iowa and to provide for the
completion of a partially constructed
bridge across the Mississippi River at
Clinton, Iowa, by the Iowa State High-
way Commission.
The Clinton Bridge Commission was
originally created under Federal law in
1944 to construct and operate bridges
across the Mississippi River at Clinton,
Iowa. The commission presently owns
and operates two bridges, and in recent
years has undertaken the construction
of another bridge to replace one of the
existing. bridges which is inadequate. As
a result of a limitation in the enabling
legislation on allowable interest that
could be charged on bonds to finance
construction of bridges, and because of
an unfavorable ruling on the tax exempt
status of any bonds, the commission has
been unable to raise funds to complete
the new bridge.
Recently the Iowa State Highway
Commission and the bridge commission
agreed that construction of the bridge
could best be completed by turning over
the project to the highway commission.
In order to facilitate this transfer and
to insure the tax exempt status of the
bonds, the highway commission has re-
quested that Federal legislation be
passed. Therefore, I am introducing this
bill to authorize the transfer of the cur-
rent bridges and assets of the Clinton
Bridge Commission to the highway com-
mission and to authorize the latter to
complete construction of the new bridge.
It is my understanding that the Iowa and
Illinois Highway Commissions, and the
Clinton Bridge Commission are all in
favor of this legislation.
It is hoped that the Public Works
Committee will act expeditiously on this
matter and, if necessary to facilitate
passage, will add the provisions of the
bill to the Highway Act of 1972 or other
legislation which will be acted upon this
year.
A similar bill has been introduced in
the House.
I ask unanimous consent that a copy
of the bill and a background memoran-
dum prepared by the attorneys for the
Iowa State Highway Commission be
printed in the RECORD at this point.
There being no objection, the bill and
memorandum were ordered to be printed
In the RECORD, as follows:
S. 3822
Be it enacted by the Senate and House
of Representatives of the United States of
America in Congress assembled, That in or-
der to facilitate interstate commerce by ex-
pediting the completion of interstate bridge
facilities across the Mississippi River in the
vicinity of the City of Clinton, Iowa, the
City of Clinton Bridge Commission (here-
after referred to as the "Commission"), cre-
ated and operating under the Act approved
December 21, 1944, as revived, amended and
re-enacted, is hereby authorized to sell, con-
vey and transfer to the State of Iowa all of
its real and personal property, books, rec-
ords, money and other assets, including all
existing bridges for vehicular traffic crossing
the Mississippi River at or near the City of
Clinton, Iowa, and the substructure consti-
tuting the partially constructed new bridge
which has been designed to replace the older
of the two existing vehicular bridges, to-
gether with all easements, approaches and
approach highways appurtenant to said
bridge structures, and to enter into such
agreements with the State Highway Commis-
sion of the State of Iowa (hereafter referred
to as the "Highway Commission"), and The
Department of Transportation of the State of
Illinois as may be necessary to accomplish
the foregoing: Provided, however, That at or
before the time of delivery of the deeds and
other instruments of conveyance, all out-
standing indebtedness or other liabilities of
said Commission must either have been paid
in full as to both principal and interest or
sufficient funds must have been set aside in a
special fund pledged to retire said outstand-
ing indebtedness or other liabilities and in-
terest thereon at or prior to maturity, to-
gether with any premium which may be re-
quired to be paid in the event of payment
of the Indebtedness prior to maturity. The
cost to the Highway Commission of acquir-
Ing the existing bridge structures by the
State of Iowa shall Include all engineering,
legal, financing, architectural, traffic survey-
ing and other expenses as may be necessary
to accomplish the conveyance and transfer
of the properties, together with such amount
as may be necessary to provide for the pay-
ment of the outstanding indebtedness or
other liabilities of the Commission as here-
inbefore referred to, and permit the dissolu-
tion of the Commission as hereinafter pro-
vided, less the amount of cash on hand which
is turned over to the Highway Commission
by the Commission.
SEc. 2. The Highway Commission is hereby
authorized to accept the conveyance and
transfer of the abovementioned bridge struc-
tures, property and assets of the City of
Clinton Bridge Commission on behalf of the
State of Iowa, to complete the construction
of the new replacement bridge, to repair,
reconstruct, maintain and operate as toll
bridges the existing bridges so acquired until
the new replacement bridge has been com-
pleted, to dismantle the older of the two
existing bridges upon completion of the new
replacement bridge, and to thereafter repair,
reconstruct, maintain and operate the two
remaining bridges as toll bridges. There is
hereby conferred upon the Highway Com-
mission the right and power to enter upon
such lands and to acquire, condemn, occupy,
possess, and use such privately owned real
estate and other property in the State of
Iowa and the State of Illinois as may be
needed for the location, construction, recon-
struction or completion of any such bridges
and for the operation and maintenance of
any bridge and the approaches, upon making
just compensation therefor to be ascertained
and paid according to the laws of the State
in which such real estate or other property
is situated, and the proceedings therefor
shall be the same as in the condemnation
of private property for public purposes by
said State. The Highway Commission is fur-
ther authorized to enter into agreements with
the State of Illinois and any agency or sub-,
division thereof, and with any agency or sub-
division of the State of Iowa, for the acquisi-
tion, lease, or use of any lands or property
owned by such state or political subdivision.
The cost of acquiring the existing bridge
structures, of completing the replacement
bridge and of dismantling the bridge to be
replaced and paying expenses incidental
thereto as referred to in Section 1 of this
General Assembly of the State of Iowa, or
through the use of any other funds available
for the purpose, or both. The above described
toll bridge structures shall be repaired, re-
constructed, maintained and operated by the
Highway Commission In accordance with the
provisions of the General Bridge Act of 1946,
approved August 2, 1946, and the location
and plans for the replacement bridge shall
be approved by the Secretary of Transporta-
tion in accordance with the provisions of said
Act, as well as by The Department of Trans-
portation of the State of Illinois. The rates
and schedule of tolls for said bridges shall
be charged and collected in accordance with
said General Bridge Act of 1946 and applica-
ble Iowa legislation and shall be continuously
adjusted and maintained so as to provide
a fund sufficient to pay for the reasonable
cost of maintaining, repairing and operating
the bridges and approaches under economical
management, to provide a fund sufficient to
pay the principal of and interest on such
bonds as may be issued by the Highway Com-
mission as the same shall fall due and the
redemption or repurchase price of all or any
thereof redeemed or repurchased before ma-
turity, and to repay any money borrowed by
any other means in connection with the ac-
quisition, construction, reconstruction, com-
pletion, repair, operation or maintenance of
any of said bridge structures. All tolls and
other revenues from said bridges are hereby
pledged to such uses. No obligation created
pursuant to any provision of this Act shall
constitute an indebtedness of the United
States.
SEc. 3. After all bonds or other obligations
issued or indebtedness incurred by the High-
way Commission or loans of funds for the
account of said bridges and interest and
premium, if any, have been paid, or after
a sinking fund sufficient for such payment
shall have been provided and shall be held
solely for that purpose, the State of Iowa
shall deliver deeds or other suitable in-
struments of conveyance of the interest of
the State of Iowa in and to those parts ly-
ing within Illinois of said bridges to the
State of Illinois or any municipality or
agency thereof as may be authorized by or
pursuant to law to accept the same, and
thereafter the bridges shall be properly re-
paired, reconstructed, maintained and oper-
ated, free of tolls by the State of Iowa and
by the State of Illinois, or any municipality
or agency thereof, as may be agreed upon.
SEC. 4. The interstate bridge or bridges
purchased, constructed or completed under
the authority of this Act and the Income
derived therefrom shall, on and after the ef-
fective date of this Act, be exempt from all
Federal, State, municipal, and local property
and income taxation.
SEc. 5. After all of the property, books, rec-
ords, money and other assets of the City of
Clinton Bridge Commission have been con-
veyed and transferred to the State of Iowa
as contemplated by this Act, such Commis-
sion shall cease to exist, without the ne-
cessity for any hearing, order or other of-
ficial action.
SEc. 6. The right to alter, amend, or repeal
this Act is hereby expressly reserved.
MEMORANDUM MARCH 15, 1972
1. The City of Clinton Bridge Commission
(the "Bridge Commission") was created un-
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
H 7064
Approved For ReI M(gRW? Ada 80300230080-24ugust 1, 1-972
nuclear power than they do with fossil fuels.
In the long run, the extensive public debates
about nuclear power will seem secondary.
There is no alternative to substantial use of
nuclear power.
Q. But right now there is a lively debate
about the future availability of uranium with
some people suggesting we won't have enough
cheap uranium to fuel the nuclear plants
we'll be building in the next 10 years.
A. It's hard to anticipate just how long
low-cost uranium reserves will last. The es-
timates of uranium reserves in the United
States are made on a quite conservative basis.
Much of the world has not been explored,
and even in the United States there are areas
that have not been explored. There was a
find recently along the Santa Fe Railway in
New Mexico. I think we can count on having
plenty of uranium to meet our needs.
Eventually the price of uranium would be-
gin to rise and then the economics of light
water reactors would start to suffer. We would
begin to run out of low-cost uranium, but
that is where the fast breeder reactor would
prove its merits, because the price of electric
power in the breeder is essentially Insensi-
tive to the price of uranium. The breeder will
exploit about 70 per cent of the energy con-
tent in uranium, whereas the light water
reactors built today exploit only 1 per cent of
the energy content. In fact, the breeder will
permit us to use what is a major potential
asset in the United States and that is the
vast amounts of depleted uranium left over
from our weapons program, which could fuel
breeders for almost a century.
Q. The United States has spent more than
20 years and about $800 million on breeder
research. The AEC is about to enter into a
contract for the first breeder demonstration
plant, which is to be located in the Tennessee
Valley. When can the country expect to see
commercial electricity from the breeder?
A. President Nixon has indicated that we
should have an operating "demo" plant by
1980, and that continues to be our objec-
tive. We will be very close to that and I hope
we beat it. We've ironed out all the outstand-
ing problems except for the site, which we're
now looking at. There are four or five sites
under consideration. There will be a second
demo plant located outside the Tennessee
Valley. Our best judgment is that the first
commercial breeders would be coming in after
1985.
Q. Few Americans understand the concept
of the fast breeder. Can you describe how it
would work and can you discuss its safety
aspects?
A. The fast breeder is just what the name
suggest. Fast or highly energetic neutrons
are produced in the fission process, and are
absorbed by the fertile uranium-238. The
absorption of neutrons converts the urani-
um-238 into plutonium-239, which can be
used as fuel. We anticipate that in 10 years'
time a fast breeder would produce twice as
much fuel as was consumed.
On the safety aspects, a better understand-
ing seems to be developing. For example, the
power densities will be about six times higher
in the breeder than they are in the light water
reactor. That means that if all of the coolant
were lost from around the fuel, it is more
difficult to dissipate the leftover heat to avoid
melting the fuel. But in the breeder there is
far less likelihood of losing the coolant even
in the case of an instantaneous double-ended
major pipe rupture. The reason is that liquid
sodium is used to cool the hot reactor core
instead of water. One of the most important
things to remember about sodium as a reac-
tor coolant is that its boiling point is about
1,600 degrees F., and consequently it does not
have to be pressurized like water. Because it
won't be pressurized, one avoids any chance
of a major loss-of-coolant accident through
blow-doyen, when loss of pressure turns very
hot cooling water instantaneously into steam.
That can't happen with a liquid metal cool-
ant, because the coolant won't be under
significant pressure.
It has been pointed out that hot sodium is
tricky to handle, that it reacts rapidly on
contact with air or moisture. The design calls
for the steel coolant system to be surrounded
by nitrogen, so that if there are leaks of
sodium there won't be any serious reaction
of the hot liquid metal with oxygen. I should
also point out that liquid sodium is not a new
coolant. We and others throughout the world
have used it in reactor plants safely for over
20 years. More than a dozen sodium-cooled
reactors have operated over this period of
time. Sodium has been used in the 1 BR-II
fan experimental breeder reactor in Arco,
Idaho] for over eight years, and it was used
for three years as the coolant in the world's
second nuclear submarine, the Seawolf
Q. Once nuclear power becomes really big
business the question of the disposal of
radioactive wastes comes up. How does the
AEC plan to store its wastes once the nuclear
garbage begins to pile up?
A. Since the quantities of accumulated
wastes are small, we do not have to begin
storming high-level wastes from the com-
mercial power reactors in a separate reposi-
tory until about 1960. What we plan to do is
to develop surface storage facilities at the
same time that we continue to investigate
geologic storage in a variety of configura-
tions. We have put off any decision to move
into underground geologic storage because
the decision seemed to be an irreversible one.
There has been concern about the effects of
the long-term dissipation of heat from the
solid wastes on salt formations. There is also
concern that once placed underground, the
wastes could become Irretrievable. I think
further experimentation will resolve these
uncertainties, but until such time as these
uncertainties are resolved we plan to have an
acceptable alternative-the capability for
storing such high-level solid wastes safely
above ground.
One of the problems in salt storage is that
you must dissipate heat by natural means in
a relatively confined area, with the salt close-
ly packed around the cylinders, where one
would want to watch what the dissipated
heat might do to the salt and to the other
geologic structures adjoining the salt. At the
surface we can use methods by which the
heat is readily dissipated, we're able to cool
the cylinders and we're able to watch them
for leaks. We're also able to move these
wastes from one storage vault to another or
re-can them if a leak should occur. Don't
forget, these wastes will be solifled. There
will be no liquids to worry about.
The amount of wastes will be very small
when the waste storage program begins, no
matter where we're putting it. A 1 million
kilowatt plant will produce about a cubic
meter of high-level waste per year. All of the
high-level wastes that will be generated by
the year 2000 will require no more than 30
acres of total storage area, even if we store
the wastes above ground.
1DRUG TRAFFIC
The SPEAKER pro tempore. Under a
previous order of the House, the gentle-
man from New York (Mr. WOLFF), is
recognized for 5 minutes.
Mr. WOLFF. Mr. Speaker, this morn-
ing the Bureau of Narcotics and Dan-
gerous Drugs held a press conference to
refute charges made in a syndicated col-
umn yesterday that some 26 tons of
opium destroyed by the Thai Govern-
ment on March 7, 1972, may not have
been entirely opium.
At this press conference, it was ad-
mitted for the first time that about
$1 million of U.S. funds were spent for
resettlement of certain KMT irregular
forces in Thailand in connection with the
so-called seizure of the 26 tons.
I must strenuously protest the outright
deception involved in the buying of this
quantity of opium. No American or Thai
official statement or any press dispatch
ever mentioned that U.S. funds were in-
volved in this so-called seizure which has
been cited again and again by admin-
istration spokesmen as evidence of Thai
cooperation to halt the drug traffic.
If the United States did buy up opium
and see to it that it was destroyed, then
the action might be defended. But, ac-
cording to the BNDD, all we did was pay
and inspect part of it before it was
burned. Meanwhile, it was the Thais who
collected it, tested it at the time of col-
lection, and ultimately destroyed it.
I had hoped that the BNDD might
clear this matter up. However, all that
has happened is that the new question of
U.S. involvement in this case has sur-
faced and the BNDD spokesman ad-
mitted that he had not even read the
official interagency report upon which
the Anderson column had been based.
Therefore, I renew my request for this
additional documentation in this mat-
ter so that we in the Foreign Affairs
Committee may have the information
available to s for our study and
consideration.
SPECIAL ORDERS GRANTED
By unanimous consent, permission to
address the House, following the legis-
lative program and any special orders
heretofore entered, was granted to:
(The following Members (at the re-
quest of Mr. TERRY) to revise and ex-
tend their remarks and include extrane-
ous matter:)
Mr. KEMP, for 15 minutes, today.
Mr. McDADE, for 5 minutes,, today.
Mr. FRENZEL, for 15 minutes. today.
Mr. WILLIAMS, for 5 minutes. today.
(The following Members (at the re-
quest of Mr. DENHOLM) to revise and ex-
tend their remarks and include extrane-
ous matter:)
Mr. GONZALEZ, for 5 minutes, today.
Mr. RONCALIO, for 15 minutes, today.
Mr. WOLFF, for 5 minutes, today.
Mr. HESERT, for 60 minutes, August 3.
EXTENSION OF REMARKS
By unanimous consent, permission to
revise and extend remarks was granted
to:
(The following Members (at the re-
quest of Mr. TERRY) and to include ex-
traneous matter:)
Mr. MCCOLLISTER in three instances.
Mr. BROYHILL of Virginia.
Mr. KEATING in two instances.
Mr. MCCLOSKEY.
Mr. CARLSON.
Mr. CONTE.
Mr. GUBSER.
Mr. WYMAN in two instances.
Mr. GROVER.
Mr, MIZELL in 10 instances.
Mr. ZWACH.
Mr. BRAY in four instances.
Mr. STEIGER Of Wisconsin.
Mr. STEELE in two instances.
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
August 1, 1972 Approved Feb"gS?UNW/xELVftD-DPWSf15R000300230080-2 I-17063
openly dislikes. The limousine broke down
once and he happily walked the half mile
back to his home, got into his beat-up car
and drove his chauffeur and himself to the
office.
Q. The whole country talks as if the United
States is in the midst of an energy crisis.
The White House says it, the Congress says it
and the press says it. What do you think?
A. I would prefer to avoid the general term
"crisis." Clearly we have a problem with re-
gard to fuels. We have topped out, in terms
of oil production in the lower 48 states, at
about 10 million barrels a day. Assuming
Alaska comes on, that will provide an addi-
tional 2 million barrels a day. If you can-
Bider prospective demands for 1980, it lies
somewhere between 22 million and 28 million
barrels a day. If one took the immediately
prospective oil prices for 1972, and we're
talking about importing as many as 16 mil-
lion barrels a day in 1980, the cost of that
would be in excess of $15 billion a year.
The U.S. balance of payments is in a rather
parlous condition, and it's not clear that
additional outpayment of $15 billion a year
for foreign oil is something we can support.
And that is only assuming a static situation.
The trend in oil prices is up, and one can
anticipate they will continue upward. So
that the burden on U.S. balance of pay-
ments, unless we're able to substitute other
fuels for oil, could be on the order of $30
billion a year.
Beyond the question of fuel supply, there
is a seemingly chronic problem with respect
to electric service reliability. In the near term,
there has been concern regarding regional
shortages of electric power supply with the
resultant possibilities of brownouts and even
blackouts.
Q. Can we substitute gas and coal for oil?
A. The further development of gas in siz-
able amounts seems out of the question-at
least until we have gas from Coal. The an-
aual demand for gas could be greater than
85 trillion cubic feet by 1980, but the supply
we anticipate will be little if any in excess
of the 22 trillion cubic feet we produce to-
day. There can be some supplement from im-
parted liquefied natural gas, but it will be
limited. We have enough coal to go for a
century or, more, but utilities have tended
to shift away from coal because of its sulfur
oxides and other pollutants. We have not
developed a way of readily and economically
getting rid of the sulfur in coal. There Is a
fair amount of low-sulfur coal In the West,
but it's fairly expensive to transport. We will
require an extensive national effort either to
achieve coal gasification or otherwise to con-
vert the coal to a form where it can be used
in abundance within environmental con-
straints.
Q. The country wants power, but it wants
clean, cheap power. How can it go on getting
clean, cheap power in view of the fuels crisis
you've just described?
A. The trend in power costs is upward. One
reason it's upward Is the introduction of en-
vironmental regulations. Another reason is
the rising cost of fuel. As we clean up our
fuels, as we prevent noxious combustion
products from getting into the air, or as we
limit the discharge of heat into the water,
this will post money. Consequently, the price
of power will rise but it will be cleaner
power.
Q. How much more expensive will it be?
A. The cost per kilowatt probably will be
something like 40 per cent higher in 1980
than it is today, largely reflecting the higher
cost of construction, the rising cost of fuels
and environmental requirements. Through
greater efficiencies we hope to limit the rate
of increase in power costs. How? The con-
struction of a nuclear plant now requires on
the order of eight years-in other countries
half that time. If we can cut the time for
construction, we can do much to limit the
increase in the cost of power.
Q. What happened to put this country in
the fix it's in today with regard to energy?
A. The driving force behind the problem
has been the enormous increase in energy
demand, so that we have outstripped our
own oil production at the same time that en-
vironmental considerations put limits on the
strip mining of coal and the burning of coal.
It all reflects the higher aspirations of Ameri-
ca and it has all come together at the same
time.
Q. Do you think there was a lack of fore-
sight in government and industry as far as
anticipating the demand for power, anticipat.
ing the environmental revolution and even
in anticipating what could have been done
in technology to offset the problems we have
today?
A. There is something in that, though, it's
very difficult to anticipate a relatively sud-
den development like the thrust toward .. .
higher environmental standards. There have
been new findings with regard to the physical
and health impact of combustion products
that have, I think, reinforced the esthetic or
quality-of-life aspect of the environmental
movement.
Most of the technology you've referred to
has primarily been the responsibility of in-
dustry. The one exception was nuclear en-
ergy. As a result of the government mo-
nopoly in nuclear energy, the total energy
research an development budget for civil
application ended to be funded in a lop-
sided manner: most of the money into
nuclear, relatively little into other energy
sources. We can see this in retrospect.
One of the things you have to keep in
mind is that the utility industry is a regu-
lated industry, and even though it receives
Impressive revenues, nearly $25 billion a year,
it has rarely put significant money directly
into research and development. This is
partly because it's a regulated industry,
partly because It's fragmented and partly
because of reasons of its own historical per-
spectives and its role relative to the manu-
facturers. The utility industry should have
been a major source of funding for tech-
nology development but it has not been.
However, we now see clear signs of change.
Q. Congress has criticized the executive
branch for scattering energy policy through-
out as many as 61 federal agencies, which
suggests that if the United States has an
you would call a coherent energy policy?
A. We need a far more coherent energy
policy than we have at present. President
Nixon's proposal for a Department of Nat-
ural Resources would help solve these prob-
lems, but I believe we should have review
of our fuel policies in one place. At present,
the Interior ;Department has responsibility
for coal and oil, the AEC has responsibility
for uranium, the Federal Power Commission
licenses hydropower facilities and regulates
the price of gas. I believe all these fuel poli-
cies should be under one roof, so there can
be a more consistent treatment of fuels. As
a member of the executive branch, I would
say that one of the problems there is, not
only the fragmentation of responsibilities
within the Executive but the fragmentation
of assignments on Capitol Hill. In some sense,
that may be a more difficult problem to deal
with than reorganization with the executive.
Q. One aspect of our energy dilemma is the
environmental movement, a movement that
has forced considerable change on energy
policy. What kind of impact do you think
this movement has had-mostly positive or
largely negative?
A. In some respects it has aggravated the
dilemma because environmental regulations
limit the use of fuels and technologies, but
I think that in the large It has focused at-
tention on the energy problem and in the
long run that focusing of attention may be
more valuable than the short-run impedi-
ments. Is it necessary for total energy de-
mand to grow at a rate of 4-5 per cent a
year? This is the fundamental issue that the
environmental movement has raised, and it
is a good issue. Of course, it can be said that
a fair number of environmentalists have
been rather contentious, but this should not
distract attention from the movement's fun-
damental contribution, which is to focus on
what we can do about ever-growing energy
use.
Q. How much good or ill effect has the en-
vironmental movement had on the atomic
energy program in the United States?
A. Well, a minority in the environmental
movement just do not like nuclear energy.
The primary reason may be a fear of the un-
known-neophobia. But all in all, the en-
vironmental movement has made a major
contribution to nuclear energy. The reason
is quite clear-the chief advantage of nu-
clear energy from an environmental stand-
point is that there are no combustion prod-
ucts and therefore essentially no air pollu-
tion. There has been a push in the direction
of nuclear power because of the low availabil-
ity of fossil fuels that meet our environ-
mental standards. I'm not sure that was the
objective of the environmentalists, but that's
the way it has worked out.
Q. How can you say the environmentalists
have helped nuclear power that much?
They've held up licensing permits on count-
less nuclear plant projects, which doesn't
seem like much help.
A. Hearings by licensing boards have been
far more extensive than necessary. Delaying
tactics have been deliberately employed in
some cases, and I don't believe that's in the
public interest. However, we should all be
careful not to blame environmentalists.
Many plants, both fossil and nuclear, were
behind schedule even before the upsurge of
interest in environmental matters. The
schedule slippage of most nuclear plants is
due to inadequate planning, the slow pace
of construction, labor disputes, the late de-
livery of equipment, and prolonged test pro-
grams. There are a fair number of plants
which have elicited no protests from environ-
mentalists that are two or more years be-
hind schedule. The United States has turned
out to be a country of relatively low effi-
ciency in the construction of nuclear power
plants. Until we've improved our efficiency,
per cent of all the electricity produced in
the U.S. today, but is a growing fraction of
the total. Could you tell us what your latest
projections are for nuclear power?
A. We're still projecting 25 per cent of
total capacity in 1980 in nuclear plants. That
would be approximately 150 million kilo-
watts. Construction lags might slow it down.
By 1990, our estimate rises to almost 50 per
cent of total power, something on the order
of 600 million kilowatts. Changes in national
energy and fuel policy could speed that up.
It is useful to reflect on those numbers.
When the United States entered the Second
World War, the generating capacity in the
country was 42 million kilowatts. So the nu-
clear power estimate for 1980 is almost four
times the total generating capacity of the
U.S. at the start of the Second World War.
For the next few years, the annual additions
to nuclear capacity will represent about 50
per cent of all the power we had prior to
World War II. Roughly 50 per cent of all the
capacity being ordered today is nuclear and
In the years ahead it will probably be closer
to 65 per cent.
One reason for hesitancy in ordering, nu-
clear plants is the congestion in the regula-
tory process, delays in hearings, delays in
licensing. But despite these delays, I think
utilities recognize that nuclear plants meet
environmental standards and provide a ready
source of fuel. They look to the future and
they probably see fewer uncertainties with
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
E 7340
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
CONGRESSIONAL RECORD - Extensions of Remarks August 7, 1972
TRAINS STILL RUN ON TIME
Even the trains that used to run on time
In Mussolini's Fascist Italy. are now running
on time in Peking with the now familiar
sophistries that its dictators are in charge
and representative of the ever abused "peo-
ple." Such moral garbage that comes from
the Left today used to come from the Right.
Which proves, at least, that human rights
carries no other label, but an Ideological one.
A potential freedom fighter in Athens or
Havana waits hopelessly for someone di-
vorced from the ideological struggles that
forge new chains as they break the old ones
to say no to unfolding history and yes to
Thomas Jefferson's "eternal hostility to all
tyrannies over the minds of man." The above
Is a true liberal banner that now lies crushed
and silent as the boot-loving current banner
waivers shriek their adrriiFation for diverse
dictators.
We Americans will not say yet, and yet we
can. What we have become 's a tragedy of
retreat and default.
Whoever wins the Presidential,, election, at
least with McGovern and Nixon running, it
is definitely not a beauty contest. What did
he say? Who's listening [sigh] ?
The roster of some of the names around
the McGovern in the background reads like
a Quixotic platoon of the New Frontier Xvar-
riors who were fractured on the shores of
Viet Nam. Some who were mesmerized by fits
charisma would have crossed the River Styx
for J.F.K., but not L.B.J. And others saw
blood dripping from the robes of Camelot.
It is difficult to guess just who thought
that Harvard [with a Boston accent] could
do no wrong and "My fellow Americans"
[L.B.J.] could do no right.
HARVARD AND L. B.J.
One hates to even imagine that the destiny
of America might have-and still could-
hinged on a slipped syntax or a Hollywood
profile.
And there McGovern gets a plus. The man
is plain looking to the horror of the Beautiful
People who never tire of running a John
Barrymore for President. "When McGovern
crossed his legs, a vast expanse of white shin
was exposed to the cameras. Gloria Steinem
solved that problem and set McGovern on
the road to recovery by dashing to a local
mens' store and bringing back a pair of over-
the-calf socks." From "McGovern."
Gloria, please get your cosmetician hands
off our Populist, he's got enough problems
With "friends" trying to help him.
I As
HON. PHILIP M. CRANE
OF ILLINOIS
IN THE HOUSE OF REPRESENTATIVES
Monday, August 7, 1972
Mr. CRANE. Mr. Speaker, recently the
New York Times printed an article un-
der the headline, "Asian Drug Inflow
Found 'Greater Than Realized'." In the
course of the article, which was a lengthy
one-about 42 inches of copy-it devel-
oped that the Bureau of Narcotics had
concluded that the amount of high-
quality heroin. being smuggled into this
country from Southeast Asia is "greater
than previously realized."
I must say, Mr. Speaker, this an-
nouncement comes as no revelation to a
thinking person, except, perhaps, to the
Bureau of Narcotics. I, for one, have al-
Ways maintained that the drug flow from
Red China, euphemistically referred to
nowadays as "mainland China," was
greater than publicly acknowledged.
I also have a very brief, one-paragraph
news note from the Washington Post of
August 2, mentioning a $1 million haul
of heroin in New York. Origin of the
heroin? "Mainland China." The investi-
gation leading to these arrests had been
in progress for 3 months; no doubt there
are similar ones still going on. I will not
be surprized to hear in the next few
months of similar drug traffic exposes,
with a similar point of origin for the
contraband.
It is unrealistic to place most of the
blame on Turkey and France for the tre-
mendous influx of drugs into our coun-
try. After all, what interest has Turkey
in undermining the character of Amer-
ica's citizens? Surely not the same in-
terest that Red China, given her ideolog-
ical convictions, has in weakening
America. Red China is trying very hard,
and so far, with great success, to utilize
this most recent weapon in the "con-
tinuous revolution" between the Com-
munist world and the non-Communist
world.
It is no accident that the young men
who go at their country's calling to fight
a war in Southeast Asia are the ones
frost vulnerable to the drug-plague and
the ones hardest hit by it. It is no ac-
cident, either, that our Government
policy has low-keyed the Chinese role in
the drug traffic-political and diplo-
matic expediencies play their parts in
the attempt to cast the blame on France
and Turkey.
I am encouraged that my first point
has been acknowledged; how long will
it be until the second one is recognized?
Mr. Speaker, I insert two newspaper
articles in the RECORD at this point:
[From the New York Times, July 28, 1972]
ASIAN DRUG INFLOW FOUND "GREATER THAN
REALIZED"
(By Seymour M. Hersh)
WASHINGTON, July 27.-A secret analysis by
the Government's top narcotics enforcement
agency has concluded that the amount of
high-quality heroin being smuggled into the
United Stq$es from Southeast Asia "is greater
than previously realized."
The new Government report, compiled last
month by the Strategic Intelligence Office of
the Bureau of Narcotics and Dangerous
Drygs, further showed that narcotics-control
personnel was beginning to accumulate evi-
dence linking organized crime to the South-
east Asian drug market.
Another Government study, reported on
in The New York Times on Monday, con-
cluded that there was "no prospect" of halt-
ing the drug flow from Southeast Asia into
the United States. This Cabinet-level study
was later discounted by the man who com-
missioned it-Egil M. Krogh Jr., a special
White House aide for narcotics matters.
Mr. Krogh said "there has been substan-
tial progress" in reducing the influx of drugs
from Southeast Asia.
The Narcotics Bureau report stated that
"the traffic at present relatively unorganized,
but has definite potential for expansion as
a replacement for Turkish-French heroin."
Officials from the Central Intelligence
Agency, State Department, Narcotics Bureau
and Defense Department "are presently re-
viewing the international trade," the report
added, "with particular focus on Southeast
Asia as an alternate to the Middle East as a
source of supply."
WHITE HOUSE THINKS OTHERWISE
Nixon Administration spokesmen have re-
peatedly maintained publicly, in opposition
to statements of critics, that heroin smuggled
from Southeast Asia makes up only a small
fraction of the total United States annual
supply.
Last month Nelson G. Gross, the State De-
partment's senior adviser for international
narcotics matters, told a Congressional hear-
ing that t'the overwhelming majority of the
heroin coming to the United States orig-
inates in the Middle East and is processed in
European laboratoriees before being smug-
gled into our country. We estimate that
probably 5 per cent and certainly no more
than 10 per cent of the heroin presently
flowing into the United States originates in
Southeast Asia."
The Cabinet-level study, while completed
last February, was at odds with Administra-
tion thinking in its conclusions that there
was "no prospect under any conditions that
can realistically be projected, of stopping the
drug' flow from Southeast Asia. It was im-
mediately assailed by Mr. Krogh.
Asked in an interview today about the
Narcotics Bureau's analysis, Mr. Krogh ac-
knowledged that "from what I've learned
so far, -there has to be a strong likelihood"
that organized crime is involved In the flow
of heroin from Southeast Asia, but he added
that the evidence was not yet conclusive.
"STATISTICS ARE FLUID"
He emphasized that the Administration
set up its international narcotics program
only 18 months ago. Because of this, he said,
it would be "impossible" to estimate ac-
curately which area in the world was re-
sponsible for which percentage of the heroin
reaching the United States. "Statistics at
this time are so fluid," he said.
Other officials said that content of the
bureau's analysis had been approved by that
agency's over-all intelligence board before
its dissemination inside the Government.
The Narcotics Bureau, a Justice Depart-
ment agency, Indicated in its study, made
available today, that much of the growing
amount of heroin from Southeast Asia was
being smuggled into the United States by
"essentially political Chinese entrepreneurs
operating out of Laos, Thailand and Hong
Kong. The heroin is sold to ethnic Chinese
seamen, many of whom may be organized,
who jump ship once their vessels dock in the
United States.
Further intelligence may "reveal more pre-
cisely the role of Far East heroin in the
United States," the document said, "and may
reveal the substance of long-standing hither-
to unverifiable reports of a 'Chinese-Corsi-
can' connection between morphine base from
the Orient and the chemical expertise of the
Marseille area. Perhaps this preliminary re-
port will stimulate interest in acquiring more
data on the 'Chinese connection'." Morphine
is another product of opium, which is ex-
tracted from poppy seeds.
Intelligence reports "over the past year
indicate an increase in the number of ethnic
Chinese who illegally enter the United States
and Canada," the document said, adding that
the volume and the pattern of techniques
used in the delivery of narcotics were not
sufficiently known.
"However," the report said, the bureau
"views the amount as a serious and increas-
ing threat."
EIGHT CHINESE ARRESTED
Government intelligence agencies recently
set up a joint effort, known as Project Sea
Wall, to stem the growing smuggling through
United States and Canadian dock areas.
Within a month of the program's initiation
on April 7, the report said, eight ethnic Chi-
nese were arrested, most of them carrying
one to four pounds of high-quality heroin
strapped to their bodies.
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
August 7, 1972 CONGRESSIONAL RECORD - Extensions of Remarks
to control a runaway program, but to insure
that the monies are distrib' ted equitably
among states and that real and needed pub-
lic services are produced in the process.
Surely some more rational b s must exist
for distributing several billion liars of tax-
payer money than one depends g upon the
relative ambition and ingenuit of a few
HON. WILLIAM L. SPRING
IN THE HOUSE OF REPRESENTATIVE
Monday, August 7, 1972
workers in the country are thinking
about the coming campaign. An article
in the Chicago Tribune of Sunday,
August 6, 1972, titled "The `New
Politics' Is Out of Step" by Mike La?Velle
of Cicero, Ill., covers this aspect of the
coming campaign very clearly. Mike
LaVelle is a laborer in a pipebending
shop and a free lance writer. What does
labor's rank and file think about these
labor leaders and their decisions-mean-
ing George Meany, president of the AFL-
CIO and I. W. Abel, head of the United
Steelworkers-when they said they would
not endorse GEORGE MCGOVERN? How
does the blue-collar man view GEORGE
MCGOVERN and his proposals? This is an
interesting and well-written article by a
blue-collar worker who seems to under-
stand what the issues of his time are. I
know my colleagues will enjoy reading
it:
THE "NEW POLITICS" IS OUT OF STEP
(By Mike LaVelle)
They drove out Johnson, defeated Hum-
phrey, booted Daley, and now the "kids"
have their very own candidate for the Presi-
dency of these United States of America. We
thought they had their noses buried in an
underground newspaper and all the time it
was a delegate tally sheet. The kids are work-
ing within the system-"whoople" and "ba-
loney."
They have never been out of the system,
they are of it and in it, in the quality and
quantity of their lives, up to their eyebrows,
and always have been.
When a contemporary liberal affection-
ately, always, affectionately uses the word
"kids," I know who and what he means-
the affluent and pampered children of the
white-collar Left. The blue-collar Hells An-
gels are hoodlums; the upper class Weather-
men et al are idealistic "kids," who are never
idealistic enough to demonstrate on campus
for mine safet after the live burials of their
y
five teachers, four business people, four law-
yers, three writers, two bureaucrats, two edi-
tors, two politicians, two homemakers, one
social worker, one newspaper indexer, one
retired Army officer, and one secretary. The
delegation included the correct amount of
women, blacks, and youth which all sounds
very democratic on the surface but which
deceptively is not so.
McGovern claims a blue-collar electoral
response to his primaries. Yet not a one of
the Oregon delegates, black or white, sweats
on a production line. So how could they ef-
fectively represent me or my peers who do,
even if they wanted to. My gut feeling is that
they do not want to represent me.
Of all the delegates at Miami, 39 per cent
had postgraduate degrees, 31 per cent had
family incomes over $25,000 a year, and the
average income was $20,000 a year. I do not
know the national average, but mine with
a nonworking wife and two children is
roughly $7,800 a year.
So much for the much ballyhooed "New
Politics" McGovern convention.
\ Whatever Meany, Woodcock, Abel, et al do
fro rank and file. The primary votes of
Mic igan for George Wallace prove how
gran ose the myth and pittance of the pow-
er ofabor leaders to deliver the so-called
labor v te.
E 7339
said. "I need my job, but I need my country
more. I'm for you. In California military
spending was an important issue, and I was
heartened, that a worker would put love of
country above his own job." From George
McGovern's "How I won the Nomination" in
Newsday.
That is twisting "love it or leave it" to "love
it and leave your job." Or defense spending
one has to give McGovern an "A-plus for
honesty" as was given to Barry Goldwater
on other issues. Unfortunately for politicians
the kin of candor is too often defeat, It is
plex-"F.D.R.'s
remember?-is
eth telling him, A
agery, George, but
an annointment."
a wife, two children,
In th past, the deliverance was merely a !! EMERGING ELITE SCORN
pro form statement on de facto votes -e The anti-Polish jokes of Henry Kimelman
sentially en Republicans were the rea ,as reported by Nicholas von Hoffman], an-
tionary be uys and there was nowhere a other McGovern fat cat, lends credence to
for a worke to go except to the Democ ts. suspicions of an emerging elite liberal scorn
Those days a over. for the nonblack, nonbrown, non-Jewish, and
Now the R ublicans are the moocce~rates non-WASP ethnic groups in America who
and the Democ is seem to be embraging the make up a large part of blue-collar voters
Left crazies or llowing themselves to be that gives another reason to retaliate in No-
embraced. Pragm ism seems to have become vember.
a dirty word to th moral purist who have Unless McGovern disavows some of his
taken over the De critic Par As a con- snobbish friends, they may, in tandem with
sequence they have given Pr ident Nixon frentic Yippies, rupture whatever liaisons
a bigger ball park, a d he iy Mister Prag- McGovern might have to middle America.
matism himself. / erns who stray from the vast, if safe
One suspects that Gq erns "Kamikaze middle are generally ambushed not by ad-
economic advisers" hav unconsciously al- versaries, but by zealous advocates who at-
ready structured their topia and tipped tempt to move them farther Left or Right
their game-plan preen iu ly by abolishing than they wish to go. I'm sure that the S.D.S.
money-if not as a medium f exchange than and the giggle Left will do to George Mc-
as sensible campaiQfi orat , barring the Govern what the John Birch Society and the
other and more pr bable ex eme that they Ku Klux Klan did for Barry Goldwater.
are printing their 6wn. The Klan took Goldwater's sincere ques-
How else can you explain p posals, such tioning of civil rights legislation as a com-
as a $30-billigfl cut in defen a spending mandment for its repeal, the Birchers took
mad mono for each citizen-a cyni
be temp Ad to say each voter."
THE ENEMY OF FANCY
his,/vision-assuming that the McGovernite
ec?nomists fault on the side of the angels
or the purities of some bizarre ideology. Or is
It possible that the under-30 rhetoric and
mystique have dropped to under 10? And if
one were to interrupt the cream of the cere-
lesser peers in cave-ins. bral McGovernites in a planning conference
fl th i i f h
e
n
ld h
d
NO CAREFREE SUMMERTIME
There are no formal sabbaticals or carefree
summertimes for blue-collar youth to flood
the streets of America working for this or
that political candidate or cause. Instead
they are in factories, steel mills, mines, or
Viet Nam in the noncampus, nonelite system
as it is. They were definitely not in evidence
among the McGovern delegates at Miami.
Life magazine called the Oregon delegation
to the Democratic convention "nearly per-
fect" according to the McGovern reform
rules. Using Oregon as representative of all
the McGovern delegates at Miami, let's look
at its 34 delegates. There were six students,
e n
em, n ser ous me
, ov
r-
wou
ing and jabbering over Monopoly, play money
and all?
If there is a sweetish odor in the air then
one can safely assume that Harvard's eco-
nomists are drafting another zinger for Mc-
Govern. I'd strongly suggest that McGovern
give these people a mythical candidate to
play with and leave the real one alone.
"In San Diego, I was campaigning at an
aerospace plant, walking alongside a wire
fence and shaking hands with some of the
workers, and the reception I was getting
wasn't very enthusiastic. And I wasn't feel-
ing very good about what was happening
either. Then a man stuck out his hand and
a leftist crazy pinning a Mao Tse-tung but-
ton on him, a gay lib transvestite embracing
him on national television, or being pre-
we will be well into the school year, and bus-
ing will bs a hotter issue for the Democrats
than the Republicans, providing that the Re-
publican platform is against it or vague
enough not to be blatantly for it as the Mc-
Govern position appears to be.
The Left-Right, war-peace zeitgeist has so
completely swung around in the last 35 years
that the isolationist America Firsters from
the 1930s must be spinning in their graves.
And those still living feel a bittersweet nos-
talgia at seeing the interventionist and global
warriors of yesterday rallying around the
slogan "Come Home America."
Has anyone ever asked ex-bomber piloti
George McGovern [ "Jan. 31, 1945: Hit Moose-
bierbaum, Austria-bombed thru overcast-
very light flak." From "McGovern" by Robert
Sam Anson.] how many women and children
he killed in his bombing runs during World
War II?
Give us a rough estimate, George.
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27: CIA-_RDP74B0045Y000 ~p230080-2
NGREccrnNAT. RRCORD-Extensions 0) enaa
X
,.
7
97
^
One seizure, on April 11, resulted in the
arrest of seven Chinese seamen carrying a
total of 11 pounds of heroin, the bureau's
report said. it added that "further informa-
tion developed that this 11 pounds was part
of a 100-pound shipment which originated
in Bangkok and was evidently delivered by
a European diplomat assigned to Thailand.
Sensitive sources have revealed that more
shipments, sponsored by other groups, are
on the way; arrests are anticipated In the
near future."
Significantly, the report noted that "the
smuggling activities of Chinese seamen
imply a loose but rather extensive arrange-
ment between the seamen and their United
States contacts to carry out the movement
of narcotics from Southeast Asia on a con-
tinuing basis. These arrangements appear
to involve some degree of organization at
the receiving end and possibly at the send-
ing end."
The report listed docks in San Francisco,
New York, Miami and Vancouver as areas
with some degree of organized smuggling,
but also said that high-quality Southeast
Asian heroin had entered the United States
through other ports-among them Seattle,
Portland, New Orleans, Baltimore and Phila-
delphia.
The report contained a number of clues
indicating that the amount of organized
smuggling could be far higher than even
now suspected.
It cited the arrest of a Philippine diplomat
late last year in New York City with about
37 pounds of a brand of highly refined heroin
known as "double uoglobe." It was the
diplomat's third trip to the United States, the
report said. "At least one previous time
he was accompanied by a known Chinese
heroin dealer in Bangkok."
The "double uoglobe" heroin, manufac-
tured in Laos, was widely sold to United
States servicemen in South Vietnam in 1970
and 1971.
Administration's inability to interfere with
the known large-scale smuggling of opium
via trawler from northern Thailand to
refineries to Hong Kong and Malaysia.
During testimony June 2 before a Senate
subcommittee, Mr. McCoy, a Ph. D. candidate
in Southeast Asian history, testified that
beginning in 1965 "members of the Florida-
based Trafficante family of American orga-
nized crime began appearing in Southeast
Asia."
Mr. McCoy specifically named Santo
Trafficante Jr., whom he described as the
heir to the international criminal syndicate
established by Lucky Luciano and Meyer
Lansky, as having traveled to Hong Kong
and Saigon in 1968.
"In 1967-68 there was evidence of increased
activity on the part of Indochina's Corsican
gangsters," he also stated. "United States
agents observed Corsican hero' 'in traffickers
commuting betwen Saigon and Marseilles,
where the Corsicans control the clandestine
heroin laboratories."
Mr. McCoy then told the subcommittee
that a former high-ranking C.I.A. agent in
Saigon-subsequently identified as retired
Lieut. Col. Lucien Conein, who played a ma-
jor role in South Vietnam for more than 10
years-"told me in an interview that in 1969
there was a summit meeting of Corsican crim-
inals from Marseilles, Vientiane, and Phom-
penh at Saigon's Continental hotel.
Intelligence sources acknowledged in sub-
sequent interviews that the Government be-
gan studying the Southeast Asian narcotics
trade less than two years ago, primarily in
response to the rapid increase of G.I. ad-
diction. In early 1971, the White House re-
portedly ordered the C.I.A. to coordinate in-
telligence efforts in the area.
[From the Washington Post, Aug. 2, 19721
HEROIN SEIZURE
E 7341
the occasion of the 48th anniversary of
the founding of the Good Neighbor Foun-
dation expresses best the spirit and the
purpose of the organization and I am
pleased to place it in the RECORD and
commend it to the attention of our col-
(By Marquerite Timper Wilcox)
We are to celebrate here
Our wonderful-48th year
Of The Good Neighbor Foundation
With members throughout the nation.
Founded-August 7, 1920
When Marquerite thought she was ready
Even though she v. ';s very ill
Through complete-Faith and Will
She prayed, prayed and prayed
When over 2 years in bed she laid
And only 69 pounds she weighed
In 24 hours the Dr's to her parents said
Marquerite Timper would be dead
Completely unconscious-she was they
thought
But every single word she caught
Doctor told the Mother to
Prepare a bit of chicken stew
But that very night
Marquerite-ate not a-bite
But had her nurse-Ruth Ward
Send the first shut-in-card
To lovely Irving Berlins wife
Who also was fighting for her life
Later many phone calls she made
As more-strength she gained
Then to add to peoples fun
Various parties she did run
For the lonely, Handicapped, and Aged
Into volunteer services she waded
All this time our member-Nelle
Helped-Marquerite-to get well
When Helen Puschnig--.again came
She added her wisdom to the game
Of bringing various joy to all
For entertainment in-the-hall
Some other old members are here
And of course are very dear
But I lova you-all, so don't you fear
You are marvelous to one another
Treating each as a dear Sister or Brother
NEW Yoa,C.-Three Chinese pleaded inno-
cent in federal court yesterday to charges
arising from the seizure of nearly $1 million
worth of heroin from mainland China.
Judge Marvin E. Frankel continued bail
at $50,000 for Mrs. Tam Chun, 41; $5,000
for her husband, Henry Chan Chun, and $20,-
000 for yes-Tom Choy.
The case was assigned to Judge Constance
Baker Motley, with no date set for trial. The
three were arrested July 21 after a three-
month investigation. I
MARKETING BUILDtW SIFTED
At another point, the bureau's analysis
said that "sensitive sources also reveal fre-
quent communications between Chinese
heroin traffickers in New York, Seattle, San
Francisco, Portland and Vancouver, suggest-
ing that an extensive wholesale marketing
mechanism exists or is being established."
In recent years, United States narcotics
officials have repeatedly said that 80 per cent
of all heroin known to be consumed in the
United States comes via Marseilles refineries
from Turkey's opium-growing areas. Ten to
15 per cent was said to come from Mexico.
The bureau's report tended to support the
position of the opium-growing in Turkey and
other areas a prime goal of its antinarcotics
drive. Officials now expect the opium produc-
tion in Turkey to end this year.
The Nixon Administration's leading critics
of the Administration's narcotics drive-
Representative Robert H. Steele, Republican
of Connecticut, and Alvin W. McCoy, a Yale
graduate student who has written an expose
of the heroin traffic in Southeast Asia.
When told of the bureau's report, Mr. Steele
commented: "Vietnam is truly coming home
to haunt us. No matter what they say, this
means that the first wave of this material is
already on its way to our children in high
school."
Mr. Steele, a first-term Representative who
last year helped reveal the extent of heroin
addiction among G.I: s in Vietnam, asserted
that Narcotics Bureau attempts to stop
smugglers from jumping ship or otherwise
getting into the United States were mis-
guided.
"Instead of trying to put up this barrier,"
Mr. Steele said, "it would be much more eco-
nomical if we just went to our allies in
Southeast Asia-to Thailand, where most of
this stuff comes from-and stopped the
traffic there."
GOOD NEIGHBOR FOUNDATION
HON. CLEMENT J. ZABLOCKI
OF WISCONSIN
IN THE HOUSE OF REPRESENTATIVES
Monday, August 7, 1972
With your-Christian attitude
Bringing out one anothers good.
Dr. Wilkinson, Nurse Ward and
Meiner
They could not have been finer.
Many in this world no longer roam
For they have been called home
some wonderful marriages we have had
And to that we can add
Many marvelous romances
Who still enjoy their companions dances
Al, Bess and Tillie and Gus
Delores. Charles, Ida and Camilus
Marie, Otto, Leta and Bill
Say life without one another
Would be nill
Oh, yes of elopments we know this
They too are enjoying married bliss
Thousands of letters Marquerite does write
At her desk-day and night
All these-and many more
Love to you-she does pour
Yes, and talents she scouts of all ages
All this for 48 years-without wages
And since 1920 many serious illnesses she has
had
But it has not left her sad
For life to her means to make you glad
And hopes to show you visions of love
By, belief in God and blessings from above.
Yes, I am glad that I am handicapped for
thereby I found God, I found myself, and I
found you.
And I hereby now rededicate myself again
for another year.
Thank you-and may The Lord richly Bless
You
Mr. ZABLOCKI. Mr. Speaker, in com-
memoration of National Friendship Day,
August 7, I wish to call attention to the
existence and accomplishments of the
Good Neighbor Foundation. The foun-
dation was founded by Mrs. Marguerite
Timper Wilcox on August 7, 1920. Its
members are senior citizens dedicated
to service to handicapped veterans and
civilians. Mrs. Wilcox, a resident of my
congressional district, is handicapped
herself and since the founding of the
organization has been active in service
to the community and an inspiration to
other handicapped persons in the Mil-
waukee area and through her worldwide
correspondence.
The poem written by Mrs. Wilcox on
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
E 7342
Approved For Release 2005/01/27: CIA-RDP74B00415R000300230080-2
CONGRESSIONAL RECORD - Extensions of Remarks August 7 1972
CAN WE AFFORD TO BE The Russians now have 50% more first line tary and industrial worlds-is over. The gov-
SECOND BEST? aircraft than the U.S. And more than half of
HON. MARIO BIAGGI
OF NEW YORK
IN THE HOUSE OF REPRESENTATIVES
Monday, August 7, 1972
Mr. BIAGGI. Mr. Speaker, the debate
continues to rage in this Congress and on
the public platform, in an attempt to
defii a and project America's defense
priorities for the immediate future. Many
observers have termed the coming Presi-
dential election a crucial one, in terms of
a decision by the American people be-
tween widely diverse views of this Na-
tion's role in the spectrum of world
events.
For the further general edification of
my colleagues, I would like at this time
to include in the RECORD the text of a
recent statement on the subject by Mr.
Geoffrey R. Simmonds, president of
Simmonds Precision:
CAN WE AFFORD To BE SECOND BEST?
(By Geoffrey R. Simmonds)
Since the end of the Korean War, the Unit-
ed States has followed a "balance of power"
strategy in an effort to-maintain world peace.
The philosophy behind this strategy is that
we can avoid a confrontation of world powers
only if we maintain a constant military pos-
ture equal to, or stronger than our potential
enemies. This strategy is expensive. It is sup-
ported by heavy expenditures in research and
development and a strong financial commit-
ment to advance military technology.
The War in Southeast Asia has had an ef-
fect on this balance of power that has gone
largely unobserved by the American public.
We have spent more than $150 billion of our
national wealth in the day-to-day costs of
maintaining the Vietnam War. As a result
our financial resources have been strained
and we have curtailed during this period, our
research and development of new weapon sys-
tems and advanced military hardware.
In contrast, the Russians, since the Viet-
nam War have taken advantage of our slow-
down to embark on an airport technological
development program aimed at global mili-
tary supremacy. We can no longer rely on the
"sour grapes" rationalization that our tech-
nological quality is better than the Russians'
quantity. The bare assumption of U.S. tech-
nical superiority is no longer valid. Let me
give you an example from the aircraft indus-
try. The U.S. Air Force is developing an ad-
vanced variable -geometry strategic bomber,
the B-1, which is scheduled to fly three years
from now. The Russian equivalent of the B-1
is the "Backfire" strategic bomber. Three of
them are flying now ... and there are more
on the way.
Another example is the new Russian MIG-
23 "Foxbat" twin-jet, all weather fighter. This
is a Mach 3 aircraft that out-performs in
speed and altitude anything we now have in
service or on the drawing boards. The Grum-
man F-14 Navy variable wing fighter aircraft
is scheduled to be operational with the fleet
in 1973, and the McDonnell Douglas F-15
is Scheduled for service with the Air Force in
the mid-70s. Both are rated at Mach 2+.
our air fleet is over 10 years old. ties, not nlytof a slot al nature butlaso of
The same problem exists on the high seas. a scientific and technological nature. We
The U.S. and Russia have roughly the same must decide which industries can compete in
number of naval vessels In commission. Less world markets over the next 25 years, de-
than 10% of the Russian ships are more than spite our high wage costs. These industries
25 years old. In contrast, 75% of our fleet is should be nurtured, encouraged, and sup-
that age. ported when necessary.
It is clear that Russia is making a deter- We must modify our tax system so that
mined effort to be the No. 1 military power over the next five to ten years our plant
in the world in order to expand its interna- and equipment is once again the most mod-
tional political and economic influence. ern and efficient in the world. Labor and
Theree can be little doubt that the ball is management are both going to have to work
in our court. We are under enormous pres- harder. Interdependence, rather than inde-
sures at home to pour more of our national pendence, will have to be developed to a much
wealth into the resolution of social and en- greater degree. Featherbedding and make-
vironmental problems. Simultaneously, we work projects will have to go because our
must decide whether world peace and U.S. economic system can no longer support
political and economic interests across the them.
globe can be served by our becoming the sec- We are about to live through one of the
and best military power in the world. Ulti- most challenging periods of our history.
mately, the decision rests with the American The question is whether or not we shall
people. The debate will probably be side- rise to the challenge and energy and pur-
stepped in the 1972 elections, but it is likely pose if we do, we shall retain and strengthen
to be a major issue in 1974 and 1976. our world position, our self-respect and the
As we reconsider our technical-military respect of others, if we do not, we shall be-
role, we would do well to take a long, hard come a second rate power.
look at our ind t
i
'
us v
al posture in today
s
changing world. At the end of World War II,
the U.S. had the most modern and efficient
industrial complex in the world. A large in-
vestment in plant and equipment permitted
high wages, provided high productivity, and
gave us the assurance that we could sell our
HON. RICHARD G. SHOUP
products competitively anywhere in the
world.
Now, times have changed. Both our friends
and our former enemies-partly with Ameri-
can taxpayers' money-have completely re-
built their war-torn industries. They control
industrial plants that are, relatively speak-
ing, more modern and productive than ours.
It is interesting to compare the produc-
tivity of $100 in 1970 wages in a few selected
countries. A Japanese company gets more
than 100 hours of work for each $100 of wages.
Compared with that, a French, German or
British company will get about 50 hours of
work. For the same wages, an American com-
pany gets only 25 hours of work. It is obvious
that we must be four times as efficient to
compete with the Japanese. And we have seen
the results: imported products at prices well
below domestic levels.
In one of our main markets, aerospace, the
European governments together have com-
mitted $4 billion in taxpayers' money to the
development by private companies of com-
mercial aircraft. In this way, four different
commercial aircraft will be developed. The
governments and the companies intend to
capture the lion's share of a $30 billion mar-
ket.
It is against the traditions of the U.S. free
enterprise system to use public money for
commercial development. European govern-
ments, on the other hand, have already come
to grips with the fact that private industry
simply cannot finance the sky-rocketing costs
of advanced technology. They consider the
"national interest" to include healthy tech-
nological development of industries such as
aerospace computers, atomic energy and elec-
tronics, and they have decided to use public
money for these purposes. Over the next few
years, we in the U.S. will be faced with the
same decision.
The 25-year honeymoon-when we were
supreme in both the competitive mili-
OF MONTANA
IN THE HOUSE OF REPRESENTATIVES
Monday, August 7, 1972
Mr. SHOUP. Mr. Speaker, a number of
my constituents have expressed their
concern for the attitude in Congress to-
ward young adults. I have assured them
that I, along with a great number of my
colleagues, believe that young adults
must be represented as individuals and
must share equally as citizens the privi-
leges and responsibilities of our society.
The future of our country lies in creating
job opportunities for our youth, and that
all youth should have the chance to bet-
ter themselves through vo-tech or college
training.
I feel the following list of bills is of the
type we have and should continue to act
on:
H.R. 6531. Provided incentives for building
a volunteer Army thereby eliminating need
for draft.
H.R. Res. 223. Amended U.S. Constitution
to lower voting age to 18 years.
H.R. 12596. Coordinates all of the Federal
agencies connected with the drug abuse prob-
lem into a Special Office for Prevention of
Drug Abuse.
H. Res. 739. Expanded Federal Student In-
tern Program to interns for employment dur-
ing the summer months.
H.R.7352. Establishes an Institute for col-
lecting information on and training officials
for the treatment and control of juvenile
offenders.
H.R. 11112. Provides individual income tax
deductions for Vo-Tech and other higher
education cost.
H.R. 14552. Allows single individuals same
tax benefits as married persons.
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
2 30080-2 ( .
NEW YOR pfd g, or Release 2$0,5/27' _1)"f7 9O415ROQ0A300
G
the 1o6k is scheduled for
Harper Proceeding release on Aug. 17.
OnDrug- Trade BooR
Despite C.I.A. View
C.I.A. Plans No Further Action
Special to The New York Times
WASHINGTON, Aug. 8-The
A plans no f?r her attempts
uPfP::]71Lx to h,,,_" ,,41e'd
vision of Hager & Row to
.I is on
jg ~ti an
' sent them a letter a
d ?
,i1?-
T h
e''t h
ear
it
av
Harper & Row submitted I
galleys of the book,' . "The
gblitics of Heroin in Southeast
Asia" by Alfred W. McCoy, to
the C.I.A. after the agency's
general counsel, Lawrence R.
Houston, wrote the publishing
house on July 5, asking "to see
the text." ,
Brooks Thomas, vice' pre's-
nthe book. Mr. AcCIoy
states: "American diploipats
and secret agents have been
involved in the, narcotics traf-
fic at three levels: (1) coinci-
dental complicity by allying!
with groups actively engaged
in the drug traffic; (2) abetting
the traffic by covering up for I
known heroin traffickers and
condoning their involvement;
(3) and active 'engagement in
the tr nsport of opium and
heroin."
In a covering letter to the
eight-page, 1,500-word critique,
Mr. Houston stated that "it is
plain that Mr. McCloy has lim-
ited his citations to those sup-
porting his thesis, and he ap-
pearg to have ignored avail-
-able information which might
contradict it."
"The truth is that, the C.I.A.
has never been involved in the
dug traffic and is actively en-
gaged in fighting against it,"
the letter added.
P. y,, ww
oven.
fr~j ~ Pw Haven, Mr. Mc Cloy
of nifiai'C,`.'t:~
Tie`' `rook~t e
r t e,r_-wY1 was very,
11 1
tq h publiga
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27: CIA-RDP74B00415RO
August 17, 1972 CONGRESSIONAL RECORD -HOUSE
inafter referred to as the 'Council'), which
shall consist of twelve members to be ap-
pointed by the Attorney General. It is the
sense of the Congress that each member of
the Council shall be from a different public
interest group, and that the Council shall
have representatives from at least eight of
the following groups:
"(1) the United States Conference of
Mayors.
"(2) the National League of Cities;
"(3) the Urban Coalition;
"(4) Urban America, Incorporated;
"(5) the National Association of Counties;
"(8) the National Governors' Conference;
"(7) the American Bar Association;
(8) the International Association of
Chiefs of Police;
"(9) the Police Foundation;
" (10) Common Cause;
"(11) the National Association for the Ad-
vancement of Colored People; and
"(12) the Brookings Institution.
"(b) Each member shall serve for a term
of four years, and shall receive no compensa-
tion for his services as such member except
for that provided for persons intermittently
employed in the Government service in sec-
tion 5703 of title 5 of the United States
Code.
"(c) The Council shall hold such meetings
and adopt such rules as are necesesary to
the transaction of its business and the per-
formance of its duties under this title. The
Council is authorized to hire such staff, and
at such salaries, as it shall find necessary.
"(d) The Council shall have authority-
"(1) to certify or revoke certification of
any person, whether such person is an em-
ployee of the Administration or an outside
consultant to it, who is to perform any study
required under section 473(a) of this title,
and no such study shall be valid for the
purposes of this title unless performed by a
person with respect to whom a Council cer-
tification under this subsection is In force,
and
"(2) to exercise general and specific over-
sight concerning the administration of this
part, including the review and resolution of
disputes between the Administration and
any unit of general local government with
respect to the propriety or interpretation of
any conditions and terms of any grant made
under this part, and this authority may be
exercised in the implementation and opera-
tive stages of programs and projects assisted
undkr this part as well as at the application,
pia n g and eh pr ms
fi,
THE`-PEK G CONNECTION: COM-
MUNIST CHINA AND THE NAR-
COTICS TRADE
(Mr. WAGGONNER asked and was
given permission to extend his remarks
at this point in the RECORD and to include
extraneous matter.)
Mr. WAGGONNER. Mr. Speaker,
many of us here in the Congress are
worried by the amount of drugs that
make their way into our country from
many nations abroad. We all know and
have read of the dangerous drugs that
make their way here from Turkey, Mex-
ico and other nations, but little is being
said by this administration about the
drugs that are being produced and clan-
destinely brought into the United States
from Communist China.
Recently I came upon an extensive
study which calls on our government to
make a "fair, thorough and objective
examination" of the amount of danger-
ous drugs making their way on the Amer-
ican market from mainland China.
This 36-page study, commissioned by
The Committee For A Free China and
written by Allan C. Brownfeld, colum-
nist, author, lecturer and winner of a
a Wall Street Journal Foundation
Award, cites authoritative United States,
Soviet, Dutch, Argentinian, Republic of
China, Egyptian, British, Japanese,
Hong Kong, Filipino and German sources
for its conclusions.
The study titled, "The Peking Connec-
tion: Communist China and the Nar-
cotics Trade," concludes:
If our society is serious about putting an
end to the flow of narcotics into our cities
and into our military installations abroad,
we must, initially, determine precisely who
it is that is producing and marketing the
drugs involved. The evidence, as we have
seen, indicates that the government of Com-
munist China bears a large portion of the
responsibility.
"The Peking Connection" states that
in the face of such far-reaching substan-
tive evidence, the U.S. Government "re-
fuses to name Communist China a sus-
pect, if not an active participant, in the
narcotics traffic." It asserts:
What is most exasperating is the burden
of proof now falls on those who have ac-
cepted at face value years of official assertion
by the Executive Branch of Government that
Red China was in fact engaged in the drug
traffic.
The study asks:
Should it not be the obligation and re-
sponsibility of the government of the United
States-faced with a mountain of incriminat-
ing evidence-to prove or disprove the valid-
ity of Red China's involvement in narcotics
trafficking?
Among the many citations are:
Chou En-lai's statement to Egyptian
President Nasser. that-
We are planting the best kinds of opium
especially for Americans.
Prof. Stefan Possony of the Hoover
Institution asserting:
Between two-thirds and four-fifths of the
high grade heroin sold on the international
market is and can only be supplied by main-
land China.
Representative SEYMOUR HALPERN, Of
New York, saying:
There is reason to believe that opium
produced in Communist China, particularly
in the Yunnan Province does enter the
Golden Triangle-Burma, Thailand, Laos-
drug conduit in Southeast Asia.
Consistent testimony by Harry J.
Anslinger throughout the 1950's when
he was U.S. Commissioner for Narcotics
that Red China was heavily engaged in
illicit drug trade.
A charge by U.S. Narcotics Commis-
sioner Henry Giordano in 1963 that-
The Red Chinese are extensively engaged in
drug traffic.
A 1970 Fact Sheet of the Bureau of
Narcotics and Dangerous Drugs which
states:
In the Far East, opium is cultivated in vast
quantities in the Yunnan Province of China
and the Shan and Kachin States in Burma.
Although much is consumed by opium smok-
ers in the region, considerable amounts of
the drug find their way to the United States.
H 7903 -C
A report by Prof. James Turnbull of
the Royal Military College of Science
which states:
The Chinese Communist government ex-
port illicitly 2,000 tons of opium a year to
the non-Communist world.
A British narcotics expert, A. H. Stan-
ton Candlin, who says that:
When President Nixon visited Chou-En-lai
he saw the biggest drug pusher in the world,
with 800,000 acres under cultivation.
A Pravda article by a Soviet corre-
spondent based in Tokyo who charged
that Communist China was the biggest
opium, morphine and heroin producer in
the world.
An Argentinian English-language pa-
per which reported:
The Chinese Communists were exporting
large quantities of the cheapest but highest
quality heroin to Vietnam in a plot to para-
lyze the American troops.
A Filipino Senate chairman saying
that the value of narcotics smuggled into
his country from the Chinese mainland
via Singapore and Hong Kong had
reached over $1,000,000.
The eyewitness testimony of a Chi-
nese refugee before a House Foreign Af-
fairs Subcommittee that she had seen
the Chinese Communist army growing
opium in Yunnan Province.
Yet, says the study:
The evidence amassed by the Bureau of
Narcotics and Dangerous Drugs, the evidence
presented by Harry J. Anslinger, the material
put together by Professor Turnbull, the
statements of President Nasser, the Japanese
narcotics experts, Pravda and others, seems
to have made little impression upon the rest
of official Washington at the executive level.
Good relations cannot be developed be-
tween the United States and its Asian allies,
an assault with narcotics which is as real
and dangerous as an assault with tanks, guns
and planes.
Mr. Speaker, I include the entire study
in the CONGRESSIONAL RECORD SO that my
colleagues and the American people may
learn the extent to which the Red Chi-
nese are attempting to infiltrate their
dangerous drugs upon the youth of our
Nation.
THE PEKING CONNECTION: COMMUNIST CHINA
AND THE NARCOTICS TRADE
(By Allan C. Brownfield)
FOREWORD
It has been said in recent days that the
fight against narcotics addiction is the
nation's number one domestic priority.
Thousands of servicemen are returning
from Vietnam with drug problems, and these
newly returned addicts are fueling an already
serious situation in our cities.
There is significant evidence leading to the
conclusion that Communist China is one of
the primary sources of the opium which is
then refined into heroin to which Americans
in Southeast Asia have been subjected.
In 1965, for example, the Egyptian pub-
lisher and longtime confidant of the late
President Nasser, Mohammed Heikal, quoted
Communist China's Premier, Chou En-lai, as
stating that, "The more troops the U.S. sends
to Vietnam, the happier we shall be, for we
feel we shall have them in our power, we can
have their blood ... Some of the American
soldiers are trying opium, and we are helping
them. We are planting the best kinds of
opium especially for Americans."
After an extensive study of the drugs
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
H 7904 CONGRESSIONAL RECORD - HOUSE August 17, 1972
coming into the American and world mar-
kets, Professor Stefan T. Possony of the
Hoover Institution at Stanford University,
declared in November, 1971 that, "Between
two-thirds and four-fifths of the high grade
heroin sold on the international market is
and can only be supplied by mainland
China . The heroin offensive appears to
have accelerated in 1965."
Although few Americans are aware of the
fact, our own government placed a formal
complaint before the United Nations in 1955
concerning the opium being produced in
Yunnan Province by the Communist Chinese
government. Since 1955 it appears that Com-
munist Chinese efforts in this field have in-
creased dramatically.
Yet today, at a time when the United
States Government repeatedly declares its
commitment to end the illegal traffic in
narcotics, it refuses to seriously consider the
role being played in the drug traffic by the
government of Communist China.
In fact, one is led to the conclusion that
the Administration places the entire burden
of proof regarding Red China's involvement
in the dope trade on the shoulders of Ameri-
can citizens who are deeply concerned about
this narcotics traffic.
The Committee For A Free China takes
on this task only because we anxiously seek
the truth, and we do not wish to see the
realities of something as horrifying as nar-
cotics proliferation swept under the pro-
verbial rug.
Discussing the effort by White House
spokesmen to end all consideration of the
role of Communist China in the drug mar-
ket, columnist Jack Anderson wrote in the
Washington Post of May 26, 1972:
"In an unusually conciliatory move to-
ward Peking, the White House is vigorously
mobilizing the administration to fight what
it calls 'arrant nonsense' about Red China's
role in world dope trafficking.
"The White House gesture toward Mao
Tse-tung comes even as President Nixon is
wooing Mao's arch-rival in the Communist
world, Soviet Party head Leonid Brezhnev.
"A White House memo contains evidence
that Richard Nixon, once the implacable foe
of Communist China, is now defending
China. The memo was circulated quietly to
the Departments of State, Defense and
Treasury, and the U.S. Information Agency.
"The memo urges them to fight 'propa-
ganda' against Red China. Included with
the memo is a two-page briefing paper pre-
pared by the federal intelligence agencies
on. Red China and opium."
The two-page briefing paper, according to
columinst Anderson, contends that a "per-
sistent propaganda campaign . . . is being
promoted in this country by a number of
groups who have consistently opposed nor-
malization of relations between the U.S. and
the PRC . no evidence has yet been pro-
duced to indicate any attempt on the part
of Peking to introduce opium or heroin into
Vietnam."
The White House also maintains, without
providing any evidence of its own, that China
strictly controls opium production. Ander-
son states that "Even in the old opium belts
of Yunnan Providence, states the briefing
paper, there is no 'significant illicit cross-
border movements' to the outside world."
The White House approach to this ques-
tion is not only "unusually conciliatory," as
columnist Anderson noted; it also overlooks
the real evidence which is available, both
with regard to Communist China's acknowl-
edged past history in narcotics production
as well as its current role.
The Committee For A Free China com-
missioned Allan C. Brownfeld, columnist,
author, lecturer and recipient of a Wall
Street Journal Foundation award, to review
all of the available literature in this field,
as well as to talk with experts in this country
and in the Far East, including Hong Kong,
long known as a major port of entry for nar-
cotics. The conclusions drawn in Mr. Brown-
feld's study are at variance with the con-
clusions drawn by the White House, whose
conclusions appear to be political and un-
related to the real story of the production
of and traffic in narcotics engaged in by the
government of Communist China.
It is clear that in any instance where the
machinations of a totalitarian government
are at work, it is not possible to know in
detail all of the internal and external prac-
tices engaged in by that government. To
say that we do not know all there is to know
about this subject is obvious. But what we
do know certainly merits an investigation.
The evidence which is available leads not to
the exoneration of Communist China, but
to its conviction.
The facts, however, must speak for them-
selves. They, and not political rhetoric, will
lead to a solution of the drug problem which
all of us say we want to solve, but which
some seem to be aiding and abetting by per-
mitting other goals to stand in the way of a
thorough exploration of the world as it
really is.-The Committee For A Free China,
June, 1972.
On March 20, 1972, President Nixon called
drug abuse the nation's "Number One domes-
tic problem" and said that despite the need
to save money "this is one area where we can-
not have budget cuts."
The Washington Post declared that the
President's statement concerning narcotics
included "some of the strongest language he
has used about drug abuse." The President
said that the heroin pusher is worse than a
murderer or burglar because what he does
"strikes at the very heart of the society in
which we live."
In our efforts to prevent narcotics from
entering the country we have taken action
in Turkey, in France and elsewhere in the
world to see that narcotics traffic is stopped at
its source.
Yet, despite our efforts, narcotics addiction
increases, both within our own country and
among American servicemen in Vietnam and
elsewhere in Southeast Asia. In addition, the
flow of narcotics is heavier than ever before
despite the fact that new restrictions have
been imposed on the previously identified
main sources of raw opium from which
heroin is produced, namely Turkey and Iran.
In recent days there has been much dis-
cussion about the possible role played in the
production and distribution of narcotics by
the Communist Chinese government.
.Many and diverse spokesmen-journalists,
political leaders, academicans-have declared
that Communist China is deeply involved in
the drug traffic, and is using this traffic for
the twofold purpose cf gaining foreign ex-
change and subverting both American
servicemen and non-Communist Asian socie-
ties.
Let us consider some of the statements
which have been made on this subject.
Speaking on the C.B.S. radio network on
February 23, 1972, commentator Jeffrey St.
John declared that "Ever since the establish-
ment of the Reds on the China mainland
they have been actively involved in drugs.
However, it has only been in recent years
that narcotics have served a specific ideo-
logical end, coinciding with the mushroom-
ing of the drug problem in Western nations
like the United States."
Testifying before a Congressional commit-
tee in July, 1971, Dr. Robert Baird, a New
York drug expert with 24 years in the field
of drug addiction, contended that the Chi-
nese Communists are now preparing to use
drugs to demoralize the American popula-
tion, especially young people, and for ideo-
logical purposes. Dr. Baird declared that we
are being misled into thinking that Turkey
is the primary source of narcotics, and he
estimated that Communist China produces
55 to 60 percent of the world's hard drugs.
In a report in October 1971, to the House
Foreign Affairs Committee entitled, "The
International Narcotics Trade and Its Rela-
tion to the United States," Rep. Seymour
Halpern (R-New York) stated that "... there
is reason to believe that opium produced in
Communist China, particularly in the Yun-
nan Province, does enter the Golden Tri-
angle-Burma, Thailand, Laos-drug conduit
in Southeast Asia."
Rep. Halpern noted that "It has been dif-
ficult, because of China's great wall of isola-
tion, to document the extent of her opium
production in relation to her own consump-
tion and to her medicinal requirements. Sev-
eral experts have estimated, however, that
the minimal medical need for her huge popu-
lation would require about 100 tons of opium
production per year. It is known that the
People's Republic of China has the capacity
for large cultivation, particularly in the
Southern provinces. . There have been
numerous rumors that a good portion of
China's vast crop finds its way into illicit
channels."
The Washington Report of the American
Security Council for January 13, 1972 re-
ported that Hong Kong police have stated
that illegal drugs smuggled out of Commu-
nist China and bound for the Free World in-
creased nearly 1,000 percent in 1971, most of
it in opium, the raw material from which
heroin is made. Police in Hong Kong seized
12,600 pounds of opium last year, as com-
pared with only 877 pounds in 1970.
Rep. Philip M. Crane (R-Illinois) stated
on April 12 that "At a time when there is a
euphoric feeling that peace may be at hand
with the Communist Chinese, a feeling not
borne out by the fact that the Peking gov-
ernment continues to sponsor subversion and
terror throughout Asia, one important ques-
tion remains unanswered and, to a large
measure, unasked. That question is this: how
involved is Communist China in the flow of
narcotics in Southeast Asia, and elsewhere
in the world?"
Citing the available evidence, Rep. Crane
concluded that, "At a time when thousands
of young Americans, particularly servicemen
in Vietnam, are becoming addicted to heroin
and other dangerous drugs, it is incumbent
upon our government, if it is sincere in its
desire to stem the tide of such drugs, to in-
vestigate the possible involvement of Com-
munist China in their production and dis-
tribution."
A report published in England in April,
1972 declared that "The Chinese Communist
government exports illicitly 2,000 tons of
opium a year to the non-Communist world."
Prepared by James Turnbull, Professor of
Applied Science at Britain's Royal Military
College of Science, the report states that "The
annual sales are estimated to be worth $600
million to Peking."
Professor Turnbull writes that "The covert
dissemination of opium narcotics, in particu-
lar the addictive drug heroin, for commercial
and subversive purposes represents one of the
gravest threats to the armed services and
societies of the free world."
Published by the Foreign Affairs Publish-
ing Company, Ltd., this report includes a
foreword by a Conservative member of Par-
liament, Geoffrey Stewart-Smith, who writes:
"James Turnbull has produced a devastating
exposure of the way in which the allegedly
'trustworthy' Chinese People's Republic is
carrying out a massive secret chemical war-
fare strategy by exporting opium and heroin
to the non-Communist world. In view of the
growth of drug taking in Eastern Europe, it
Is possible that the Chinese Communists are
doing the same thing to their 'fraternal'
Communist states there too."
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
August 17, 1972 CONGRESSIONAL RECORD -HOUSE H 7905
Speaking to the 43rd Annual Conference of "The hub of the traffic on the Yunnan side branches throughout the country with spe-
the Copley Newspapers at Borrego Springs, of the border is Tengyueh. Along the border cial counters to handle loans, extend credit,
California, on February 14, 1972, Lt. General are found trucks, military vehicles, carts, and handle mortgages for opium. The trans-
V. H. Krulak (U.S. Marine Corps, Ret.), stated mules and pack trains used for the transpor- portation of opium is guarded by the armed
that "The Chinese Reds do want hard money tation of opium ..." forces. These agencies along with the Tobacco
and opium is probably China's greatest export Several months before his retirement in Monopoly are also the organs for handling
staple. They are doing everything they can to 1962, Commissioner Anslinger further illus- the transactions in opium. The responsible
improve and expand opium culture, and it Is trated the extent to which Yunnan contrib- persons of the Tobacco Monopoly in the
estimated that they earn almost a billion uted to the Communist Chinese narcotics various districts have close connections with
clandestine dollars a year from their dope traffic. The following is from the Report of the big opium dealers. They employ the
sales." the Seventeenth Session (1962) of the U.N.'s names of recognized firms for their export
That there is a widespread feeling that Commission on Narcotic Drugs: business and conduct narcotic transactions
Communist China is deeply involved in the "92. With reference to the question of under the protection and cover of various
narcotics traffic is clear. Concern, however, is the origin of opium in the Burma-mainland subterfuges."
far from being conclusive In determining China-Laos-Thailand border area, informa- When Mr. Anslinger made these charges
what role the Communist Chinese do, in fact, tion was reported by the representative of at the United Nations, the Soviet Union re-
play in narcotics production and traffic. Let the United States concerning investigations sponded that there was no truth in the
us turn to the available evidence and to the carried out in recent months in cooperation charge that Communist China was engaged
very real -history of Communist Chinese in- with control authorities in the Far East. in illicit production and traffic in narcotics,
volvement in narcotics. Three witnesses, former inhabitants of After the Sino-Soviet split, however, the
,speaking to a group of Congressional aides Yu}'nnan province in mainland China, had Soviet Union altered its estimate of Chinese
this past February, A. H. Stanton C'andlin, a made detailed statements to United States Communist innocence in this field.
British narcotics expert who has spent many Treasury Department officials on the cul- An article in Pravda of September 13,
years in the Fax East, declared that "When tivation of opium in Yunnan and its export 1964, written by a Soviet correspondent in
President Nixon visited Chou En-lai he saw from there to the Shan states in Burma. Tokyo, based on first-hand observations in
the biggest drug pusher in the world, with One witness had himself been a cultivator, Peking and supported by statements of the
800,000 acres under cultivation." and in 1953 and 1956 he had also, with his Japanese National Narcotics Committee,
This idea was confirmed by Mohammed mules, joined caravans transporting opium to charged that Communist China was the big-
Hassanein Heikal, editor of Carlo's semi- the Shan frontier, where he assisted in its gest opium, morphine and heroin producer
official Al Ahram newspaper and a confidant transshipping into trucks for transport to in the world. Total proceeds from the illicit
to the late Egyptian President Nasser, who a trading company at Kentung, Burma. Two narcotics traffic were alleged to yield some
reported that Premier Chou En-lai told caravans, of 108 and 82 mules, had trans- 500 million dollars annual revenue for the
Nasser in 1965 that Communist China ported over 4 and 3 tons respectively, two Chinese Communist Party. Independent re-
planted opium in Vietnam, hoping to de- sealed tins of 20 kilograms being carried ports from other agencies in Tokyo, West
moralize U.S. troops there with drugs. The by each mule. The cultivator estimated that Berlin, and London confirmed the magnitude
London Sunday Telegraph of October 24, some 6 tons of opium had been produced of this illicit export traffic to the outside
1971 quotes President Nasser as stating that annually in the area where he lived, and world. Soviet sources, basing their assertions
"One of the most remarkable things Chou that the total production of the region in on Japanese reports, indicating that some
En??lal said that night when talking about 1981 had been of the order of 1,000 tons." 8,000 tons of opium were produced in China
the demoralisation of the American soldiers Speaking before the U.N. Commission on in 1958. This staggering figure represents
(in Vietnam) was that 'some of them are Narcotic Drugs on April 15, 1953, Mr. An- about ten times the total world require-
trying opium, and we are helping, them. We slinger set forth the proposition that the ment for legitimate use.
are planting the best kinds of opium espe- Communist Chinese government did, in fact, In a speech on September 21, 1961, Rep.
cially for the American soldiers in Vietnam.' " engage in and sanction the illicit export of Francis E. Walter (D-Pennsylvania) referred
According to Mr. Candlin, the Chinese opium and its derivatives. He said: to Communist Chinese "dope warfare"
Communists are now using a policy of "When the Communists occupied the against American and United Nations troops
"psycho-chemical warfare" first used by the whole of China, opium-smoking was pro- during the Korean War. He added that many
Japanese on the Chinese themselves in the hibited in the land by order of the Com- of the narcotics were peddled "at bargain
1920s and 1930s. The Japanese established munist Administrative Department, but it prices by young women pushers near all
brothels and spread morphine. It was done soon became known that traffic in narcotics military installations in Korea." He stressed
by Intelligence services of the army and the would be permitted if it was contrived be- that the products were of high quality and
Chinese method being used today "can be hind the scenes so those who wished to reported that during 1952 the Japanese po-
traced to the Japanese. They saw it done to export opium applied to the government lice arrested over 2,000 pushers near Ameri-
themselves and they are improving on it." organization controlling special items and can installations in Japan. He stated that
Corraboration is set forth in the volume, received licenses to export opium which opiates were coming into Hong Kong, Burma
"Traffic In Narcotics," published in 1953, by amounted to a license to buy and sell opium and Thailand from the North and he quoted
Harry J. Anslinger, the United States Com- and heroin. Tientsin and Canton are the the U.N. Commission on Narcotic Drugs as
missioner for, Narcotics for many years. chief opium and heroin export centers in the source of his information. During the
In 1950, after the Chinese Communists China. Korean War, U.S. troops found an opium
established control of the Mainland, Mao "Within the Communist government there processing plant in Pyongyang which was
Tse-tung forbade opium smoking in China is the Opium Prohibition Bureau of the Peo- producing prepared opium and morphine.
and a few opium growers were executed with ples' Government. Within this Bureau the In his study, Professor James Turnbull
great publicity. Yet shortly thereafter, Com- responsible persons are: Po I Po, Chief of notes that after World War II ended ". . .
missioner Anslinger placed an American the Finance Division; Yih Chih Chuang, drug-taking in Japan rose rapidly. By 1949,
complaint before the United Nations to the Chief of the Trade Division; and Wang heroin addiction in the country had
effect that the Communist Chinese were Feng Chi, who as Chief of the Hwapei reached alarming proportions. Reports from
smuggling narcotics into Japan. His evidence Opium Prohibition Bureau is theactual per- the GHQ of the Supreme Commander of
was overwhelming and proved that during son in charge. Allied Power in Tokyo, based on arrests and
the early 1950s China was heavily engaged "The Opium Prohibition Bureau amounts seizures in the intervening period till 1951,
in the illicit drug trade. to a government monopoly, which in the revealed that large amounts of Chinese opi-
As the U.S. Representative to the United Tientsin district, is known as the Yuta Con- um and heroin were reaching Japan from
Nations Commission on Narcotic Drugs, Mr. cern which is located at 5 Aomen-lu, 10 North Korea and Hong Kong through the
Anslinger had many occasions to warn the Ward, Tientsin. Wang Tsu Chen is the head ports of Yokohama, Kobe, Kure and Sasebo.
free nations of Communist China's illicit nar- of this concern, .Li Tsu Feng is the managing In 1960 considerable amounts of Chinese
cotics trade. Here are several excerpts from director, and Sung Han Chen is an active heroin of Hopei origin were seized in Japan."
his remarks before the U.N. Commission, in partner . The opium business in the A Japanese National Committee to combat
April, 1955, concerning the opium being pro- Canton district is monopolized by the South the narcotics traffic was established under
duced in Yunnan Province: China Trade Bureau under the name of 'Lin the chairmanship of Mr. Tsusai Sugahara.
""At the end of 1953 a group of smugglers, Chi Hang.' Wang Jul Feng, a senior Com- Reports of this Committee were quoted by
including an official of the Bank of Canton, munist leader, is in charge." the Pravda correspondent in Tokyo to the
effect that Peking was netting annually from
(smuggled) 23 pounds of heroin and mor- After providing additional details of opium Japan some $170 million for drugs. annually from
from Yunnan to Chiengmai to Bang- production in other areas of China, Mr. mately 25% of this sum was estimated as
kok and thence to another transshipment Anslinger outlined the coordination of the going to the support of the Japanese Comr
point . . . narcotics personnel and agencies with other munist Party. The total narcotics traffic in
"Despite the efforts of the Burmese Gov- governmental departments: Japan is currently valued at approximately
ernment to control the illicit traffic in nar- "The traffic in narcotics is closely related $500 million, two thirds of which represented
cotics, hundreds of tons of cleaned and pack- to other organs of the Communist govern- transshipments to the United States through
aged opium in 1-kilogram units are brought ment. For example, there is a close relation the port of San Francisco. The estimated
into Surma each year from Yunnan Prov- with the People's Bank of China and the wholesale price of Chinese heroin in Japan
ince ... Bank of China, both of which have local was some $4,000 per pound in 1960.
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
H 7906
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
CONGRESSIONAL RECORD - HOUSE August 17, 1972
Increasingly in recent years United States Republic of China in Illicit Drug Traffic." on Crime and bluntly de-magicized the
spokesmen up to the highest level have as- This memo declared that "The government magic figure: "That was the figure used by
serted that 80% of the heroin brought into of the People's Republic of Chinas has for the old Bureau of Narcotics. . When I
the United States is manufactured from years officially forbidden the private produc- became Director of the new Bureau.... I
Turkish opium. When asked whether or not tion, consumption, and distribution of opium asked for data to support that precise figure
Communist China was Involved In the nar- and its derivatives. There is no reliable evi- and when- it was not forthcoming, I
cotics traffic, the response has consistently dence that the PRC has either engaged in dropped the use of the 80% figure which has
been negative. or sanctioned the illicit export of opium or been used traditionally for sometime. The
At a news conference held on December 28, its derivatives to the Free World nor are best I can say now is that still the over-
1971, Nelson Gross, senior adviser to the See- there any indications of PRC control over whelming majority comes from that source
retary of State and Coordinator for Interna- the opium trade of Southeast Asia and ad- (Turkey) but whether it is 80% or whether
tional Narcotics Matters, was asked, "Do you jacent markets." it is 70%, I just cannot tell you."
have any evidence pro or con that any of The memo came from the White House but Mr. Ingersoll also declared that the 80%
the opium comes from China?" His response was. on blank paper. Discussing this mate- figure "represents the percentage of opium
was the following: rial, Rep. John Ashbrook (R-Ohio) declared (opiates) discovered in illicit traffic in the
"We have no evidence that any opium is that "The memo, which was confirmed as a United States which is of Turkish origin."
coming from China at all. In fact, we have White House memo by my colleague was, in- That is, 80% of the heroin seized has come
even had reports that some has moved up terestingly enough, on plain white paper with from Turkey. It does not follow that 80%
from Burma across the border Into China. no heading, no agency identification, no at- of the total American import of heroin is
I might say here that the Chinese and our tribution-a real 'backgrounder.' It was real derived from Turkish opium nor that 80%
own government have had virtually an iden- propaganda, too . The claim that the of the imported heroin was processed in
tity of interest and an identity of policy for Chinese people are forbidden to produce French refineries. Professor Pozsony points
a century. We have consistently been with opium for their own consumption is of course out that "The figure may actually mean only
the Chinese Government over the years in true ... but the production of opium by the that the nets peddling the Turkish-French
trying to eradicate not only production but Red Chinese for. Illicit export is a long es- product are far less secure than other dis-
obviously trafficking and use of opium and tablished policy which, of course, they deny." tribution channels."
derivatives." Mr. Ashbrook notes that "The memo does Mr. Ingersoll added: "Once opium is proc-
Mr. Gross was then asked, "How would indicate that there is evidence that there has essed into heroin and is seized in the form
you know if it were coming from China or been 'cross-border movement of opiates be- of heroin in the United States, it is beyond
not?" His response: tween China and Southeast Asia.' This, of our technical capacity to trace it scientifi-
"Well our intelligence sources indicate that course, confirms to some extent the BNDD cally to its origin." The evidence provided
it is coming from those areas (indicating claims that illicit opiate shipments have come by the Bureau of Narcotics and Dangerous
"golden triangle" area on map). There is from Yunnan Province. However, the White Drugs is, as a result, In the nature of "intel-
more than enough supply in those areas to House memo puts the responsibility for such ligence" and "common knowledge of traffic
account for all of the material which comes shipments on Individual Chinese efforts patterns," to use Mr. Ingersoll's words. There
either into Southeast Asia, into victim which, they infer, violate Red Chinese gov- is no scientific method through which the
areas-South Vietnam or the United States. ernment regulations. Information . shows Turkish-French origin could be proved in the
We have no reports-and we would tell from that such individual efforts would violate laboratory.
those who might be arrested as to where they Government regulations only if such traffic Professor Possony states that "The 80%
were acquiring the materiall-we have no re- were for domestic consumption in China, figure originally referred to Turkey and Iran.
port of any coming from China." whereas illicit export is approved and encour- Turkey significally reduced poppy acreage
Mr. Gross declares that there is "no aged by the Government of Red China." and also cut down opium production. Mean-
evidence." Yet the Bureau of Narcotics and When the Bureau of Narcotics and Danger- while, heroin consumption was increasing
Dangerous Drugs on March 10, 1970 in a ous Drugs initially stated that 80% of the sharply in the United States and Europe. Yet
statement before the House Appropriations heroin brought into the United States was in spite of these variations, which neces-
Subcommittee headed by Rep. John Rooney manufactured from opium grown in Turkey, sarily must have altered the arithmetic dras-
(D-New York) on Departments of State, this figure included not just Turkish opium tically, the magic figure remained immutable.
Justice and Commerce, the Judiciary and but Middle Eastern and especially Iranian Whenever a question was raised, the BNDD
Related Agencies, discussed the BNDD's over- opium. Iran remained a major opium pro- simply increased its 'estimate' of the illicit
seas operations which are divided into three ducer and purveyor long after 1955, when it opium output in Turkey."
regions: officially prohibited the planting of poppy In continuing to maintain that Turkey Is
"The third Region is in Asia with a Re- seed. Cultivation was again authorized in primarily responsible for the increase in the
gional Office in Bangkok and District offices 1969. narcotics traffic without having any real evi-
in Seoul, Hong Kong and Singapore. The Turkish authorities have been restricting dence to substantiate this assessment, the
countries of Burma, Thailand, Laos and poppy cultivation from 21 to 9 provinces, with Bureau of Narcotics and Dangerous rugs
China (Yunnan Province) are sources of most of the planting restricted to four. As of and other government spokesmen are, in ef-
opium which move to Bangkok, Macao, and June, 1971, all cultivation was prohibited. feet, turning their backs upon the significant
Hong Kong to be made into heroin which Production itself was curtailed before 1971. body of evidence which exists and which
enters the West Coast of the United States." During this same period, heroin consumption points to the involvement of Communist
The Bureau of Narcotics and Dangerous in the U.S. and elsewhere went up dramati- China in the narcotics traffic.
Drugs refutes Mr. Gross' no evidence" state- Bally With a dynamic growth of consumption In an article which appeared in the CoN-
ment even further in its 1970 Fact Sheet 2, in the U.S. and elsewhere, and a concurrent GRESSIONAL RECORD of October 13, 1971, De-
entitled, "Illegal Traffic in Narcotics and reduction in the output of Turkish opium, Witt S. Copp writes, "A shocking British
Dangerous Drugs." In this paper it states the the contribution of Turkey to the American government document has come into this
following: heroon market cannot possibly have remained reporter's hands; it is Great Britain's 1969
"There are two main currents of illicit static at the 80% level, estimates of the contribution Communist
traffic in opium and the opiates. One begins Discussing this 80% figure, Professor- Ste- China makes to the world's illicit production
In the Middle East and ends in North Amer- fan T. Possony of the Hoover Institution, of opium. According to the British, as of two
ica. The other pattern is from Southeast notes that, "U.S. experts watching the inter- years ago the illegal world production of the
Asia directed to Hong Kong, Japan, China national narcotics trade have been assert- drug from which heroin is derived was '5.000
(Taiwan), and the west coast of America ... ing for years that 80% of the heroin con- tons, 1,000 tons coming from the Middle East
In the Far East, opium is cultivated in vast sumed in the United States originates in and minor producers,' the remaining '4,000
quantities in the Yunnan Province of China Turkish opium. After being transformed tons' emanating from 'Southeast Asia (in-
and the Shan and Kachin States in Burma. Into morphine somewhere in the eastern cluding Burma, Thailand and Laos)' and the
Although much is consumed by opium smok- Mediterranean area, the morphine is 'Chinese People's Republic.' Of this amount,
ers in the region, considerable amounts of the shipped to France, converted into heroin, and the official British estimate is '3,500 tons'
drug find their way to the United States." smuggled to America. This 80% figure ap- coming from Red China."
The evidence amassed by the Bureau of - pears, for example, in the writings of Ram- Mr. Copp continues: "The confidential
Narcotics and Dangerous Drugs, the evidence sey Clark, former Attorney General, and it document goes on to point out . that the
presented by Harry Anslinger, the material was prominently used in 1971 when the then average yield of opium per hectare of poppy
put together by Professor Turnbull, the Postmaster General Winton Blount sug- field Is seven kilos and that the total area
statements of President Nasser, the Japanese gested the United States take economic sane- under cultivation is estimated at a half-
narcotics experts, Pravda, and others, seems tions against France. Evidently, magic num- million hectares or 200,000 acres. The poppy-
to have made little impression upon the rest bers can have rather explosive consequences." growing provinces are listed as Yunnan-
of official Washington at the Executive level. The 80% figure used by Mr. Clark, Mr. where production is figured at 1,000 tons,
A memo dated February 15, 1972, was sent Blount and many others has finally Szechwan, Kwangsl, Kwangtung, Hopei and
by a Member of Congress to his colleagues on been declared by the Bureau of Narcotics and Honan. The annual revenue to Peking is
the Task Force on Drug Abuse of the House Dangerous Drugs to be inaccurate. On placed at a half-billion U.S. dollars."
Republican Research Committee. It was en- June 2, 1971, B1' DD Director John E. Inger- There is some undisputed history with re-
titled, "Alleged Involvement of the People's soll testified to the House Select Committee gard to the past involvement of the Coan.-
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
August Y 7, 1972 CONGRESSIONAL RECORD - HOUSE H 7907
inunist Chinese in opium and heroin pro- dangerous drugs in the international drug U linquency, ent subcommittee
discovered that heroin which De-
duction. In the course of the long march market." 1950, lu pure was being sold for as fiche as
from southern China to the Yenan caves in Mr. Chin reports, "on February
Shensi, some 400,000 Communists were forced when the Communist troops led by Ch'en $1.00 a vial. Heroin which was only 10%
cld for that
into a mountainous region which lacked Provfficd they c entered ti es of pleast ure, $10.00 ointedvialout,
It was, t,
agricultural and other income-producing Y brought large q
resources. The Communists turned to the drugs to Kunming for sale. Since very little the increase in narcotics was by no means
cultivation of opium as the most expeditious profit was gained, opium was transported only a money making venture, but had other did
incre
after means of survival and of financing the "pro- was tran and ported toanimals RangoonBurma. via Mandalay From Cambodia The ev dence points clearlyrin the
traotey struggle."
They began to market. their product by and then to northern Thailand for sale. This direction of Communist Chinese involvement
1938-39, and they were helped In their efforts marked the beginning of Communist dump- for the political purposes of subverting by
by the Japanese who rescinded the prohibi- ing of drugs in Southeast Asia by way of weakening its intended victims. the English
tion on opium smoking that had been dm- Yunnan Province." T fact was in
posed by the Chinese Nationalist Govern- According to the Issues and Studies article, language daily Vanguard published in Argen-
ment. The Japanese were anxious to stimu- beginning in 1951, Loping, Kwangnan, tina. On October 31, 1970 It reported that
late opium consumption among the Chinese. Funning, Yensan, Chiupei and Lubsi in "The Chinese Communists were exporting
The Communists were eager to trade opium northern Yunnan were designated as a large quantities of the cheapest but highest
for metals, Including gold, and they report- "special zone" for opium cultivation. Prod- quality heroin to Vietnam in a plot to
edly also used opium as a bank reserve. ucts were procured at official prices by the paralyze the American troops. The local price
Recounting some of this past history, Pro- "Special Products Management Committee" was only US $20 per ounce compared with
fessor Turnbull recalls that "The Japanese of the "people's government" in each US $4,000 per ounce in the United States
invasion of China in 1937 provides an ex- county. These products were then exported while the quality of heroin was 99 to 100 per
ample of the exploitation of narcotics for by the "Yunnan Provincial morphine T aandg Coed- cent r fine American deaths in Vietnam re-
subversive purposes. During their occupa- pany." addition, Lion of the country, the Japanese made deter- processing factories, including ten big phar- suiting from drug addiction averaged two
mined attempts to spread opium addiction maceutical factories, have, according to the persons a month. The figure rose, however, to
Oc s bb er. 1970.
in China. A significant development in this author, been built in Yunnan Province. two per day from not o thJanIa the
technique was the setting up of laboratories The estimate presented by Mr. Chin, a Vanguard months
in Manchuria for the conversion of opium specialist in Chinese Communist military the percentage of drug addicts among Amer-
into morphine and heroin." affairs, is that "the Chinese Communists scan troops In Vietnam had risen from 30 to
When the Communists came to power in process about 10,000 tons of narcotics a year. 50 percent. In some military units 70 to 80
1949, reports Professor Turnbull, "their first From 1952 to 1957 the annual production and percent were reported. On October 31 (1,970)
drive was against the drug addicts. A series sale totaled about 2,000 tons, but it increased a group of GIs was even trying morphine
of decrees were promulgated forbidding im- to 8,000 tons a year between 1958 and 1964. publicly before personnel of the CBS tele-
ports of narcotics, and curtailing the domes- From 1965 to the present the annual export vision network."
tic drug traffic. Significantly, no mention was has been 10,000 tons, earning a net profit of The chairman of the Labor and Immigra-
made of actual opium in China, or tion Committee of the Philippine Senate said
growing over million U dollars per year."
on Aril 30, 1966 that the value of narcotics
of any prohibition regarding its export from There e is a great deal of independent evi- P
the country . The drug traffic was, in dence available which points to the validity smuggled into his country from the Chinese
effect nationalised under the Central Finance of the conclusions drawn by Mr Chin. Mainland via Singapore and Hong Kong had
and Economic Committee in Peking which On October 15, 1970, the chief of the reached $1,161,290. He said that the Hong
became the central authority for all com- Kong-based Communist drug traffic was in-
mercial dealings in opium narcotics expressly narcotic division of the Hong Kong Police tended to narcotize both the bodies and
for distribution and sale outside China." revealed that large quantities of narcotics minds of the Filipinos and to damage eco-
It is well known that heroin addiction were seized in 1969 by Hong Kong police, nomic construction in the Philippines In
among American troops in Vietnam steadily including 10,500 lbs. of opium, 310 lbs. of order to create dissatisfaction and incite re-
heroin and 250 lbs. of morphine. All persons bellion among the Filipinos.
also ions beginning that involved were punished according to reg- The Communist Chinese production of
toward rase December, record 9. t proportions
a heavy h 1969.
an influx nu followed been stated orte shortly after ulations. The police official, however, said o ium was confirmed in teseimo presented
t heavy invasion in the spring that to avoid "political issues," all Chinese p
1970. Cambodian was estimated from service sere Communists arrested had been released. May 17, 1972 by Miss Yuan Moun-ru before
deaths resulting This influx was drg bAccording to an article entitled, "The In- the Subcommittee of Asian and Pacific Af-
A silt District Attorney John from drug overdoses by g fairs of the House Foreign Affairs Committee
de-
Philadelphia, who f ate Steinberg side Story written Chinese Communists' former hh Sale of In Washington, D.C. The witness was de-
fall ll o of d the 1970 as Viet- a Narcotics," Chinese wby a former high ranking scribed in these terms: "Miss Yuan was born
nam Communist Party cadre and pub- in Szechuan Province of China. Both her
nom drug scene in the e investigate
special consultant to the Senate Subcommit- lished in the Hong Kong Times on Decem- parents were medical doctors ...MYuan
engineer with a degree Miss i in Yuan
tee to Investigate Juvenile Delinquency. ber 12, 1950, there were three major financial herself is were
Shortly after the Cambodian operation "large resources in Communist China for export. he elf engineering ee i e-
quantities of heroin began arriving in Viet- These were "white goods," referring to rice, chanical wChungith university Uni-
nam . uniform packaging and refining wheat, and cotton; "yellow goods," referring versity. Besecause iMiss differences Yuan fromi was c ith u i as a assified indicated a single highly organized source." to gold, silver, U.S. dollars and bonds; and ri host' and was assigned as la Communist by th
Reviewing the available information, Pro- "black goods," referring to opium. The article Party to work as a signedr in the mines and
fessor Possony stated that, "I am satisfied noted that the "white goods" were used to in factories for some ten years. I mines 1969,
that while much detail remains hidden and pay the salaries of military personnel, gov- Miss factories escaped some to the People's R 1969,
statistical accuracy is not attainable, the ernment employees and teachers; the "yel-
overall story has emerged rather clearly. low goods" to finance construction and lie Miss
in her way a testimony, " she declared, "My route
The various sources have-on the whole- military projects; and the "black goods" to of escape from Cshe Burma "My Ynne
been mutually confirmatory. The sources do pay for part of military expenditures and non capeifro to river Yun
reveal a cleavage of opinion on the role of secret service costs and to eliminate the nan too dice. I rode China in of through Bur a Kaonign Mountains valley I
Maoist China, but I believe this difference deficit. and then my own eyes the GMoune ComI
Tsusai Sugawara, Chairman of Japan's munist liberation army growing opium in
of f Chinese Iese also want Communist t record Involvement that
denials onresolved.
National Commission for Control of Nar- that area. So were the Burmese Communists
assertions which I have and seen were were in never the accompanied flay by cotics, has disclosed that the Chinese Com- and their mountain army under Chinese
analysis" munists make a profit of 60 billion yen (ap- Communist influence. It did not surprise
Professor Possony notes that "In terms of proximately $170 million U.S. dollars) from me, because the Chinese Communists in
production, the Chinese Communists have the sale of narcotics to Japan each year; order to defeat 'American Imperialism,' have
the capacity for replacing suppliers like however, the amount is less than one third never hesitated to employ whatever means
Turkey who may go out of business. They of the total export. available to them. They would be glad to see
are also able to satisfy a larger market In an article entitled, "How the Maoists their enemy degenerated, and collapsed
and/or growing market demands." Smuggle Opium," published in No. 30 issue of without their firing even a single shot."
According to Ch'in Yung-fa, writing in the the semi-monthly, Intelligentsia, B. Bulatov, Mr. Lawrence Sullivan, Coordinator of In-
March 1972 Issues and Studies, published a correspondent for the Soviet Literaturnaya formation for the U.S. House of Represents-
by the Institute of International Relations Gazeta, estimated that the annual prcduc- tives, said on December 13, 1961: "For the
on Taiwan, "Since the establishment of the tics of opium on the Chinese mainland is first time in human history, the systematic
Peiping regime, exportation of dangerous about 8,000 tons of heroin. production and distribution of narcotic
drugs on a global scale has become one of the Investigating the increase in narcotic con- drugs has become an organized government
most important national policies of the Chi- sumption among American servicemen in monopoly in Red China. In ten years, Mao
nese Communists. Today, mainland China Vietnam at the time of the Cambodian inva- Tse-tung has built up a virtual monopoly in
i f elan John Steinberg, an investigator for the opium, heroin and morphine."
o
l
err
has become one of the, major supp
Approved For Release 2005/01/27 : CIA-RDP74B00.415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
H 7908 CONGRESSIONAL RECORD -HOUSE August 17, 1 ,9
The 1986 edition of the Encyclopedia Red bandits to stop this illicit contribution China if those relations are based on a failure
Americana stated: "It is to be assumed that to world misery . It now appears that Mr. to confront the very real assault which Peking
even if the production of opium is forbidden, Nixon never even broached the subject is making upon the United States and its
that country (mainland China) is still by to Mao or Chou. Henry Kissinger vetoed Asian allies, an assault with narcotics which
far the most important producer." bringing up the issue because it would have is as real and as dangerous as an assault with
Writing in Human Events on October 16, been too explosive at the initial meeting ... tanks, guns, and planes.
1971, DeWitt Copp reported of the existence The Communists won once more and Ameri- The evidence that Communist China Is a
of a British government document which can interests were subordinated "
estimated that as of 1969, the total illegal is major ovparticipant erwhelming. P e in she Turnbul trwri s,
world production of the drug from which Congressisr that the burden t of Members
proof now "The covert rt dissemination uf pil writes,
heroin is derived was 5,000 tons. Of this falls on those who have accepted at face "The c particular the etad of opium nar-
heroin the official British estimate is 3,500 value years of official assertion by the Execu- in, fo,r in commercial subversi drug poses ve purpose
tons coming from Red China. Mr. Copp re- tive branch of government that Red China represents one of the and gravest threats t s to th the
ported that, "No doubt the authenticity of was, in fact, engaged in the drug traffic. armed and societies
the British ocument will be challenged ... As a practical matter of deep World. concern to eThe subversive ve operioper of operation the Free
However, supportive evidence is offered from The sbve must be
minions
of nmreicans
should it not be the
,
ranking officialf th Dth N
oeucarcotics obligation and responsibility of the Govern-
Bureau and Jacques Kiere of the French ment of the United States-faced with a
Bureau of Narcotics and Dangerous Drugs" mountain of 'incriminating evidence-4o
The Dutch official declared that "Smug- prove or disprove the validity of Red China's
glin'g of Red Chinese narcotics is on the involvement in narcotics trafiticking?
increase in Holland. The main port of entry Syndicated columnist Paul Scott explained
is Rotterdam and Amsterdam in that order. our government's refusal to discuss the real
Most of the drug seized is heroin. Ninety culprits in the International narcotics traf-
percent of the crew members apprehended fie this way: "Discussion of the heroin issue
have been Chinese. Several of the ships In- with the Chinese Communists also would
volved have been Red Chinese. Our labora- contradict the official Nixon Administration
tories have verified that the drugs originate position that 'there is no hard traffic from
in Communist China." ' the Asian mainland.' This 'fig leaf policy, as
The French official declared that: "The it is referred to within the American Intel-
Bureau has always stated that Communist ligence community, was adopted by the White
China is involved in poppy cultivation and House as part of the new Nixon policy toward
illicit drug trade. We have much evidence accommodating Red China as a part of a new
on that." global balance of power strategy.
In a recent publication, Interdoc reviewed "Under this preconceived polic writes
a book by a German author, Dr. F. W. Schol- columnist Scott, mann, entitled: "The Maoists, Pekin'gs Ef- not reveal , "government
anon of heroin s must
' any information traffic
forts in Western Europe." The reviewer says from China or the direct involvement of the
in part:
"Scholmann's account of the role of Peking government.. . . Since the President's Allan C. Brownfeld received his A.B. from
Peking's embassies in the West is absorbin major foreign policy objective is to improve the College of William and Mary, his J.D.
as is that of trade missions, press agencies and relations with Communist China, it is very from the Marshall-Wythe School of Law of
the lih. In fact, missions,
i the first bek to m doubtful that he will make any decision that the College of William and Mary, and his
knowledge t give this outline the i of boo of might cause public embarrassment to -the M.A. from the University of Maryland.
an the garm Peking government at this time." The recipient of a Wall Street Journal
nation and pattern on Communist China's
silent approach and pat to the West Attention Ch It is interesting to compare this Adminis- Foundation Award, he has written for such
d to r political-not o the West tration attitude of accommodation and re- newspapers as the Houston Press, the Wash-
is paid the Chinese restaurants or- fusal to even discuss the role played by Com- ington Evening Star, the Richmond Times
ro
ganiza
le o lion' in which the Communist rev- munist China in the narcotics traffic with the Dispatch and the Cincinnati'Enquirer. His
tauranteurs are often the leading men. Nor harsh words President Nixon has directed at articles have appeared in such journals as
has the writer avoided the embarrassing sub- drug pushers. On March 20, 1972, the Presi- the Yale Review, the Texas Quarterly, Orbis,
ject of the export of narcotics from China. dent made a trip to New York to inspect the Modern Age, the Michigan Quarterly, World-
It is said to reveal that Chinese Communist first of nine planned regional offices of the view, University Bookman, Commonweal and
propaganda in the West seems to be financed Justice-,Department's new offices of Drug the Christian Century.
largely from the proceeds of opium and Abuse Law Enforcement. A UPI dispatch of Mr. Brownfeld is the author of two books,
In narcotic sales."
other narcotic sales." that date, reporting on the President's visit, "Dossier On Douglas," published in 1970 and
..n _a ~._ _ .. stated in na.rt.?
r
cular
d
t
b
'pa
ti
ly
is
ur
ing to note that the
United States Government, on the one hand,
declares its interest in fighting narcotics ad-
diction, both at home and among our serv-
icemen ire Vietnam, yet, on the other hand,
refuses to name Communist China as a sus-
pect, if not an active participant, in the
narcotics traffic.
The hesitancy is something new. In 1963,
for example, U.S. Narcotics Commissioner
Henry Giordano charged that "The Red Chi-
nese are extensively engaged in drug traffic."
Others in Asia have made the same charge.
The Chairman of the Japanese National Com-
mittee for Struggle Against Drug Addiction
stated in 1964 that "Peking has become the
world's principal producer of opium poppies
which yield opium., morphine, and heroin."
The Prime Minister of Thailand accused
Peking of flooding that nation,with narcotics.
In Hong Kong, a doctor at the anti-narcotic
center stated, "There are upwards of a half
million addicts in the British Colony sup-
plied with narcotics flowing out of Commu-
nist China."
==?e =r- syiupatny wnatever' for the newspaper columns, published in 1972. His
drug pusher, President Nixon called today for essays appear in several college textbooks in
tougher law enforcement and harsher court the field of Political Science. Mr. Brownfeld
penalties to help sweep narcotics from the serves as Washington editor of Private Prac-
Nation's streets. tice magazine, and his column appears each
"There isn't a penalty that is too great for week in Roll Call, the newspaper of Congress.
drug traffickers who prey upon youth, the He is the recipient of the George Wash-
President declared. That is 'the most repre- ington Medal of Freedoms Foundation, Val-
hensive of all crimes. It is worse than a crime ley Forge, Pennsylvania, where he is a regular
like murder, a crime like robbery, a crime like lecturer. He also lectures regularly at the
burglary.' Air Force Special Operations School, Eglin
"The President declared that 'For those Air Force Base, Florida.
who traffic in drugs, those who make hun-
dreds of thousands of dollars ... and thereby
destroy the lives of young people throughout
this country, there should be no sympathy
whatsoever and no limit insofar as the crim-
inal penalties are concerned.'"
chemical warfare, in which the victim vol-
untarily exposes himself to chemical attack."
end to the flow of narcotics into our cities
and into our military installations abroad,
we must, initially, determine precisely who
it is that is producing and marketing the
drugs involved. The evidence, as we have
seen, indicates that the government of Com-
munist China bears a large portion of the
responsibility. Those who argue that it does
not have the real burden of proof upon their
own shoulders. The American people are
entitled, at the very least, to a fair, thorough,
and objective examination of this question.
They will not be satisfied until all the facts
are laid out for their examination. When this
is done, the real role of Communist China
in the narcotics traffic will be clear for all
ISSUES & STUDIES-VCL. VIII, MARCH 1972, NO.6, INSTITUTE
OF INTERNATIONAL RELATIONS, REPUBLIC OF CHINA
APPENDIX I
LOCATIONS AND AREAS OF ORDI NARY OPIUM PLANTATIONS
Is the Administration willing to apply this
China Who as an intrinsic part of government
policy support the narcotics traffic which has
engulfed our servicemen in Vietnam and aims
at the destruction of our very will to resist
aggression and to defend ourselves? Is the
only target the street pusher in New York
??????~??,~~+rrrie~e participation in the nar- or Chicago or Los Angeles? Must there not
cotics traffic, Rep. Ashbrook stated that also be major concern with the source of the
"When the President journeyed to Red China narcotics which has ruined so many lives,
many of us who had observed the Red Chi- and threatens to ruin so many more?
nese participation in the opium traffic hoped Good relations cannot be developed be-
that at least Mr. Nixon would pressure the tween the United States and Communist
Northeast China: Counties on Sino-Korean border
such as. Yenchi, Hunch'un, Holung Changpei,
Fusung, Linkiang,Yian, Kuantien and Chingyu-___-
Northwest China: Shensi-Luehyang, Changwu;
Kansu-Liangtang, Chingchuan, Hoshui, Ching-
ning, Chingyuan, Wuwei, Changyeh; Ninghsia-
Chungwei; Sinkiang-Yiwu, Nanhu, Suilai,
Chinghua, Changchi; Tsinghai-Tungjen, Yushu;
and Shensi-Kansuborderdistricts--------------
Inner Mongolia: Jehol-Chaoyang, Chengteh,
Chihfeng-----------------------------------
ABOUT THE AUTHOR ALLAN C. BROWNFELD
Total
area
(mu)
250,000
100, 000
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
August 17, 1972 CONGRESSIONAL RECORD - HOUSE
APPENDIX I-Continued -
LOCATIONS AND AREAS OF ORDINARY OPIUM PLANTATIONS
Total
area
Location and districts of plantation (mu)
East China: Kiangsu-Tunghai, Kuanyun, Lienshui,
Liuho;Chekiang-Yuhang,Wukang,Anchi------- 700,000
Central China: Honan-Nanyang, Neihsiang,
Chech'uan, Fangcheng; Hupeh-Anshih, Laifeng,
Hofeng, Tungshan, Huangpeh; Kiangsi-Juichin,
`Huich an g, Yuntu, Hsinfeng; Anhwei-Hsuan-
cheng, Taiping, Hsiuning, Nanning; Hunan-
Paoc ing, Sangchih, Yungshun, Chinyang,
Ifuit'ung, Wukang, Hsinning, Ch'angteh------ -_-_ 1,700,000
Szechwan Basin: Szechwan-T'ungkiang, Nan-
kiang,Pachung,Chiangching,Weiyuan---------- 30,000
Southwest: Kwangsi-Silung,Silin, Poise, Chenpien,
Makuan, Wenshan, Yenshan, Chiupei, Lusi,
Ningerh, Szemao, Chenyueh, Mengla, Lantsang,
Tsanpuan, Shuangchiang, Kungshan, Lichiang,
Hoch ing, Tali, Chingtung, Kengma, Chenkang,
Lungling,Juili, Lungch'uan; Kweichow-Pichieh,
Chinglung, Hsingyi------------------------ ____ 2, 000, 000
Sikand and Tibet: Sikanf-Yaan, Sich'ang, Hiuli;
Tibet-Langma. Teb-ch ing___________________-______
KwantungMountain Area: Kwangtung-Ch'ingyuan,
Tungwan, Yingteh, Juyuan, Yangshan, Lienhsien,
Kwangnung, Szehui, Yunfu, Uangkiang, Wuhua,
Hsingning, Tzechin, Loch'ang, Yangchun, Feng-
ch'uan, Kaoyao, Loting, Lufeng, Huahsien; and
Hainan Island________________________________ 330,000
Remarks: The Chinese Communists bought marihuana
seeds from India and Brazil in 1968, and planted them in
Hainan Island; however, the production is unknown.
APPENDIX li
Water and Soil Conservancy Bureau, Ministry of
Agriculture:
Third Experimenta Farm____________________ 20,000
Fifth Experimental Farm ----- ___ -16,000
Central Bureau of State Farms, Ministry of Agri-
culture:
Model Farm directly under central authority____ 12, 000
Chinchow Farm, Liaoning____________________ 7,000
Frog Pool Farm, Liaoning ________________________________
Hsungyu Farm Liaoning__________________________
Princess Ridge Farm, Kirin___________________ 3,000
Chiuchan Farm, Kirin______________________
Lingwu Farm, Ninghsia__________________________________
Tarim Farm, Sinkiang ----- _------------- _------------- --
Kupeikou Farm, Hopei___________________________________
Chihung Farm, Hopei -------------------- __-__-___--_--
Huanghua Farm, Hopei -------- _------ ___________________
Yungnien Farm, Hopei ------------------- _____________
Kooli Farm, Hopei- ______________________________-.____
Panting Farm, Hopei ___------------ -------- .___
Yellow River Valley Farm, Honan------ ________________?_
Halan Farm Chekiang
Nanhsung Farm, Kwangtung____________________________
Agricultural Products Bureau Ministry of Agri-
culture:
Special Farm directly under central authority_ - Unknown
Chaoyang Farm directly under central authority- Unknown
Northwest Agricultural and Forest Bureau,
Ministry of Agriculture: Second Farm--------- 2,000
Chinese Academy of Sciences:
Special Products Farm, Institute of Sciences--- 800
Experimental Farm for Narcotic Plant Seeds---------------
Botany Institute --------- __________________________
Sinkiang Military Region: August First Farm_____ 1,000
Tibet Military egion: Chiangtze Farm___________ 700
Inner Mongolia Military Region:
Koerhsin Farm --------------------------- 1,500
Taolin Farm------------------------------- ----- --
Northeast China:
Dairen Pharmaceutical Works ---- _-__ opium, morphine
-Dairen: Dashuang Pharmaceutical heroin
Works.
Shenyang (Mukden) Pharmaceutical morphine
Works.
Mukden: China Company Nicotine nicotine
Refinery.
Liaoning: Peipiao Pharmaceutical opium
Works.
Liaoning: Chinchow Chemical and morphine, opium
Pharmaceutical Works.
Fusung, Kirin: Northeast Chemical morphine, ether
Pharmaceutical Works.
Yanchi, Kirin: Special Product Refinery opium
of Northeast Korean Nationality
Autonomous District.
North China:
Peiping: Narcotic Laboratory affiliated morphine
with Medical Institute of Academy of
Science (with four branches).
Peiping: Narcotics Works under direct opium
control of Pharmaceutical Bureau,
Ministry of Health.
Peiping: Raw Materials Works, Nar- opium
cotics Control Bureau, Ministry of
Health.
Peiping: Narcotics Works of China opium, morphine
Pharmaceutical Company (with
three branches).
Peiping: Special Products Refinery-.opium, heroin
Tientsin: Special Products Manu- heroin
factory.
Tientsin: Chinese Products Export opium
Company Refinery, Ministry of
Foreign Trade (with five branches).
Tientsin: Refinery under direct control opium
of Monopoly Enterpise of Ministry
of Commerce (with nine broaches).
Chingwan, Hopei: Special Products opium
Experimental Refinery, Ministry of
Agriculture.
Kupeikou, Hopei: Native Products Re- opium, morphine
finery.
Taiyuan, Shansi: Chemical and morphine
Pharmaceutical Works.
East China:
Hangchow, Chekiang: Chekiang Phar- opium, morphine
maceutical Works
Shanghai Pharmaceutical Works______ opium, morphine
South China:
Paoan, Kwangtung: Paoan Pharmaceu- morphine, heroin
tical Works Canton: Kwangtung morphine
Chemical and Pharmaceutical Works
Central China:
Hankow: Special Products Refinery, opium
Agricultural Products Purchase Bu-
reau
Southwest China:
Kunming, Yunnan: China Chemical morphine, ether
Materials Company, Special Ma-
terials Refinery (with four branches)
Tali, Yunnan: Yunnan Provinical Ma- opium
terials Works under direct control of
China Pharmaceutical Company
Northwest China:
Chengtu, Szechwan: Szechwan Phar- morphine
maceutical Works, the Third Branch
ChungkingOpium Laboratory --------- morphine
Kangting, Sikang: Sikang Pharmaceu-
tical Works
Chiang tze ,Tibet: Tibet Refinery, the
Second Branch
BRANDS OF NARCOTICS PRODUCED BY THE CHINESE
COMMUNISTS
Heilungkiang People's Government: Chiamuszu
POW Farm ---------------------------------
Liaoning People's Government: Peipiao Herb
Farm------------------------------------
Hopei People's Government: Huachuan Water
1,000
8,000
. Conservancy Farm-------------------------- Unknown
Kiangsu People's Court: Huapei Hsinjen Village
Reclamation District_________________________ 2,000
Opium:
138----------------------------------------- B
139 ------------------------------------------ A
Ginseng ------------------------------------ C
Shun-feng----------------------------------- C
Lao- pei-kou-------------------------------- A
Ta-then------------------- A
Heng-tiao ----------------------------------- C
Kang-fu------------------- ------------- ----- A
Sung-ppan------------------------------------ B
Hung-hsin (Red Star)________________ __ A
Chin-feng ((Golden Phoenix)____________________ A
Fen-chuan (Sail Boat)_________________________ B
H 7909
APPENDIX IV-Continued
BRANDS OF NARCOTICS PRODUCED BY THE CHINESE
Morphine:
Tsai-feng (Variegated Phoenix)_________B
Yin-lung (Silver Dragon)______________________ B
Lung-tze(Dragon Son)------------------------ A
Chin-ying(Gold-Siver)_______________ B
.Hei-chi (Black Chicken)_______________________ A
Lo-to (Camel)-------------------------------- B
Huang-Shang-huang(King of Kings)_____________ C
Hsung-chi(Cock) ---------------------------- B
Hung-shih (Red Lion)_________________________ A
Heroin:
Pei-chi (North Pole)___________----------------
Hung-chin( ad Gold)_________________________ A
Yin-ting(Silver Tripod)____________ __ A
Shih-chiu (Lion-Balp---- _--------------- _ A
Hsiang-pin (Champion)________________________ A
Chin-yu (Gold Fish)__________________ B
Hsiang-nan----------------------- --- ---' B
THE NEED FOR BETTER REGTJLA-
TION OF "PRIVATE CLUBS" IN
NEW YORK CITY
(Mr. KOCH asked and was given per-
mission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
Mr. KOCH. Mr. Speaker, I would like
to bring to the attention of my colleagues
a situation in my congressional district
which illustrates how necessary it is,
that in our zeal to protect the civil
rights of the individual, we remember
that the public also has civil rights
which must be guarded.
On Manhattan's east side and in
Greenwich Village there has been a re-,
cent proliferation of bars and so-called
private-after-hours clubs which operate
as centers for drug trafficking. The Tam-
bourine bar on-East 81st Street is an
alleged example of this type of bar. But
whether chartered as private clubs or
not, these places are taking advantage
of a laxity in our laws and are creat-
ing, with virtual impunity, not only a
public nuisance but a public danger.
Constituents of mine living near these
bars are rightfully angered and
frightened. Their streets are crowded
with people who are obviously "stoned,"
and assaults, stabbings, and shootings
take place in and around some of these
places.
These clubs are cancers spreading
crime and infecting otherwise decent
neighborhoods. The police have re-
sponded as best they can to all com-
plaints but they cannot close these
places down. They and other local au-
thorities are forced to resort to the in-
effectual issuance of summonses for
petty violations; but business is woefully
good, and the owners simply remove vio-
lations, pay the fines and continue
operations.
Because some of these places are in-
volved in illegal drug dealings and prob-
ably linked to organized crime, I have
asked the Federal Joint Task Force to
investigate several of them. But clearly
there needs to be a method of continual
local law enforcement supervision. The
State liquor authority has the legal power
Approved ForRelease 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
H 7910 CONGRESS
I
to close down any establishment where
liquor is served if it is found to be a public
nuisance, but has failed to exercise suffi-
cient initiative to protect the public from
the menance these bars have become.
The State liquor authority must do
more than check occasionally to see if
the gin is watered. It must actively and
continually monitor the social impact
that any bar has on the community, so
that it can move quickly to revoke the
bar's license if it is proven at a hearing
to be a source of public disorder. If State
legislation is needed to accelerate the
administrative and court appeal pro-
cedures during which one of these bars
might be able to stay open, then we must
have that legislation. At the present it
is only after long delay, after the situa-
tion becomes intolerable, that the SLA
begins to act.
In the case of privately chartered clubs
where no liquor is served-and many of
those are not private at all but profit-
making businesses-legislation placing
them under the city's department of
consumer affairs for licensing is needed,
thus allowing the department's inspec-
tors to enter the premises for periodic
inspection.
Obviously the right of any individual
to assemble in private with others hav-
ing a common interest must not be
abridged. But we must also recognize the
right of the public to live in a decent
safe community, and when the bars and
so-called private clubs threaten that
right, then there must be adequate con-
trols to protect the public.
(Mr. KOCH asked and was given per-
mission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
[Mr. KOCH's remarks will appear
hereafter in the Extension of Remarks.]
(Mr. KOCH asked and was given per-
mission to extend his remarks at this
point in the RECORD and to include
extraneous matter.)
[Mr. KOCH's remarks will appear
hereafter in the Extensions of Remarks.]
DISCLOSURE OF PERSONAL
FINANCIAL ASSETS
(Mr. VAN DEERLIN asked and was
given permission to extend his remarks
at this point in the RECORD.)
Mr. VAN DEERLIN. Mr. Speaker, I
have made it a policy, before each gen-
eral election campaign, to submit for
the RECORD a full public disclosure ofmy
personal financial assets.
I intend this as no reflection on Mem-
bers who do not choose to make such dis-
closure. The law requires only the finan-
cial statements which all of us file with
the House Committee on Ethics.
However, those statements are limited
in scope, and portions are sealed from
public scrutiny except under exceptional
circumstances. I continue to feel that the
people of my district are entitled to know
whether I, as my party's nominee for a
2-year term in Congress, am free of fi-
nancial ties which might influence my
actions as their representative.
Under California's community proner-
, w
Appropriations S
ONAL RECORD -HOUSE August 17, 1972
erty of about 21/2 acres in Poway, Calif.
We acquired this in 1951, at a price of
$12,500. We have equity of $28,500 in our
present residence at 3930 Argyle Terrace,
NW., Washington, D.C. We own one com-
mercial and one residential lot with total
value of about $7,000 in Imperial County,
Calif.; 21,2 unimproved acres worth $750
in Mojave County, Ariz., and 10 unde-
veloped acres, value undetermined, near
Hilo, Hawaii.
We own no corporate stocks and no
bonds of any nature. My salary as a
Member of Congress constitutes virtually
our entire gross income. For the year
1971 we paid $5,838 Federal income tax
and $1,181 California State tax on an ad-
justed gross income of $39,287.07.
My Internal Revenue Service forms
and/or State tax forms are available for
inspection by news media.
CHERNOFF TO THE RESCUE
(Mr. VAN DEERLIN asked and was
i
g
ven permission to extend his remarks
at this point in the RECORD.)
Mr. VAN DEERLIN. Mr. Speaker, we
have been hearing much this week about
the troubles of the American Revolution
Bicentennial Commission. In the wake of
disclosures published by the Washington
Post,. a bill continuing the Commission's
funding authorization was removed
rather suddenly from the House calen-
dar, with the implicit hope that new pro-
visions can be inserted to pull this agency
out of its tailspin..
As ;one who would like to see the com-
mission succeed, in putting on a 200th
birthday party which will reflect the
values and aspirations of the widest pos-
sible cross section of our populace, I
would like to offer one suggestion.
MY proposal is prompted by a letter
sent last January by Jack LeVant, then
the Commission's executive director, to
David G. Mahoney, its chairman.
In this letter, text of which is found
on page S13681-513682 of yesterday's
RECORD, Mr. LeVant states that the
Commission would succeed if it were a
"
one-man show," free of undue, inter-
ference from outsiders and with a co-
llesive staff.
Mr. LeVant goes on to say that a
Perfect example of one-man control is that
of Osaka and our friend Howard Chernoff.
Now as it happens, Mr. Chernoff, a fel-
low resident of San Diego, is also an old
friend of mine. He has rendered dis-
tinguished service under two administra-
tions-first as a top aide to the USIA di-
rector in the Johnson administration and
more recently, under President Nixon
as
,
the ambassadorial-rank official in (Mrs. MINK asked and was given per-
charge of the U.S. exhibit at the Osaka mission to extend her remarks at this
international trade fair. point in the RECORD and to include ex-
As Mr. LeVant says of Mr. Chernoff's traneous matter.)
performance in the latter job: Mrs. MINK. Mr. Speaker, on March 16,
He placed before the President on a "take 1971, I introduced H.R. 6168 which
it or leave it" basis what all would be in-
volved in the way of money, help, authority, amended the International Education
and endorsement. Osaka was an outstanding Act of 1966 to provide for the establish-
success., ment of an Institute of Asian Studies at
I should point out that Mr. Chernoff the University of Hawaii. The bill is
also earned the praise of no less a judge pending in the Select Education Subcom-
of character than our distinguished col- mittee of the House Committee on Edu-
league, the Honorable JOHN J. ROONEY cation and Labor. Hearings will be held
of New York
hose
ub- August 24 in Hawaii.
All of which leads to a rather obvious
conclusion.
Why not follow through on Mr. Le-
Vant's warm endorsement, by naming
Mr. Chernoff as the top man in the
American Revolution Bicentennial Com-
mission?
I am convinced Howard would be just
as efficient in handling the bicentennial
bureaucracy as he was in shaking up the
international trade paper shuftlers and
earlier, a bloated USIA staff.
(Mr. PEPPER asked and was given
permission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
[Mr. PEPPER's remarks will appear
hereafter in the Extensions of Remarks.]
(Mr. PEPPER asked and was given
permission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
[Mr. PEPPER's remarks will appear
hereafter in the Extensions of Remarks.]
(Mr. PATMAN asked and was given
permission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
[Mr. PATMAN's remarks will appear
hereafter in the Extensions of Remarks.]
(Mr. PATMAN asked and was given
permission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
[Mr. PATMAN's remarks will appear
hereafter in the Extensions of Remarks.]
(Mr. PATMAN asked and was given
permission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
[Mr. PATMAN's remarks will appear
hereafter in the Extensions of Remarks. I
(Mr. VANIK asked and was given per-
mission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
[Mr. VANIK's remarks will appear
hereafter in the Extensions of Remarks.]
av.l.uly wicurutizee exercised jurisdictfo v 1 e at arL n Studies Insti-
own a mortgaged reANdNE tF1~}r le ate2005/01 /27 : CIA- RD0714~ 414i ~dd to help fulfill
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230 80-2
THE WASHINGTON POST DATE 17" PAGE
treat is, on ror vPium
BANQKOK Aft)-A mys-
terious iinese who, oper-
ates in the mountains of
porthern Burma,. in a wild
area called the "Golden Tri-
angle, is known as the opium
.king of Asia.
this man, Lo Hsin Han, as
the first link in the drug
chain that ' ends with sales,
pn U.S. street corners.
In recent weeks, from his
sanctuary at Tachilek, a
smal Burmese,. town just, ,
over the border from Thai-
land, he has seen Thai and
U,S:. narcotics agents strik-
ing At the heart of the Asian
drug traffic,
I June and July, agents
raw opium, 212 of morphine sod the drugs to dealers
base, 353 of prepared 'smok who were caught before
ihg opium and seven of No. they could make their runs
4 pure heroin. 'A kilogram to Saigon, Bangkok and
is 2.1 pounds. Hong Kong for further sales.
In two days in June, the But the message must 'have
Thais seize .Qpium and been clear: the heat is on
opiates whic wound make and that may be bad for
half a 'ton of heroin. It was business.
their biggest haul ever. There are no photographs
Judging the value 'of these of Lo, no physical descrip-
hauls is difficult, ' agents tion. Thai authorities do not
shy, because the prices rise even know his age, although
sharply the farther down the they have heard. he is a su-
pipeline the opium moves. perb organizer and a charis-
However, if that amount of matic leader.
heroin were to get to the He is thought to have been
United States, it could be born in Yunnan, China's
worth $250 million in street southern province, but that
sales. is wncertain,_
The raids did -not hurt- Lo Intelligence that trickles
seiz 3,853 kilograms of Hsing Han, He had already
market created by the
Burmese government's na-
tionalization program.
The Burmese government Intelligence reports say
gave its tacit approval to Lo buys opium from the
'his, organization of this hill farmers and transports
army, the most powerful In it to his own refineries by
the area, because it wanted pack horse and mule Cara-
him to help fight Burmese vans. His troops provide
the armed escort to prevent
Communist guerrillas. In- hijacking by rival groups.
.stead, informants say, he Some of these caravans may
has established an accom- comprise 400 guards, 200
modation with the guerril- porters and 200 mules.
las, so his opium trading Refinery Complex
can be conducted undis- Drug-suppression officers
euphemistically called a
self-defense force.
Lo has orgafiized arivate _gines to bolts of cloth into
army of at least 1,000 men- Burma to f e e d a black-
KI
ng
ple who cross frequently to
trade or smuggle goods into
Tackilek, is sketchy.
But it is known that he
operates in that northeast
corner of Burma which bor-
ders China, Thailand and
Laos. The whole area, in-
cluding parts of Thailand
and Laos, is a no man's land
called the Golden Triangle
because of the estimated
1,000 tons of opium pro-
duced there annually. Some
800 tons of opium come from
Burma alone, much of it
from territory which the
opium king rules as a feudal
warlord.
Intelligence reports say
See OPIUM, E6, Col. 3
OPIUiJ Prom `E1 tive border trade, smuggling
turbed. In Thailand would like Lo s
His army Is composed of scalp, but see little chance
Dacoits, hill tribesmen, of that. The Thais won't
Shans, Yunnanese, Haws cross the border for fear of
and deserters from the 93rd creating an incident with
Kuondintang Division which Burma. The Burmese gov-
was thrown out of China in ernment cannot act because
the Communist takeover in Its writ does not extend
1949. fully to the territory where
His troops have mod- Lo operates.
ern weapons,. including Officials say they plan to
American-made M16 rifles, keep choking off big ship-
grenade launchers and mor- ments when they cross the
tars originally supplied to Thai border. This is diffi-
the Lao army but sold into cult because of the hun-
a black market in Thailand. dreds of trails and rugged
Lo,'s army is regarded as mountainous countryside.
the best equipped and most "If he can't sell it be-
cohesive fighting force in cause the dealers think they
the mountains. The Bur- run too heavy a risk of get-
mese ar confined 'to the ting picked up on the Thai
main towwnnS, will not -tackle side, we'll have done him a
lot of damage," said one of-
f
Approved For F e
-1 S19,'2 '/ 1'LR ABO0415R000300230p80-2
Approved For Release 2005/01/27 : CIA-RDP74B00415g 000300230080-2
THE WASHINGTON POST DATE PAGE
"Burmese customs and mili-
y officials-are _orted in
collusion with smugglers-"
On Thurs ay, a cabinet com-
mittee on international narcot
ids Control reporfed that only
a shall fraction of the world's'
illicit 'heroin' i,? being confis
cated, "despite the rising pace
I izures,"
. f e
itled "'World opium Sur-
vey 1972," the extensive report
estimated that from 990 to
1,21(i metric Ions, of lit, t
opium products were
du ed, last dear world-wi e."
Q' li.6 tons were seized.
ti,Onal herofn~
ni"a ^ e aost certainly con-
times to ave adequate sub
pfies to meek the demand in
consuming countries,' the
study said.
re ort wa"s"cot fled by
e al
fi- e enc a us-
"ureau, a reasu u e-
91 an the `lthe ureau of
pent
I
:lil h ?
M over the
niques `could include the hir-
ing of thugs to destroy" heroin
refining factories, flooding the
market with harmless opium
substitutes to destroy the traf-
fickers' credibility, or even de-
foliation.
Over half the illicit opium
in the world is produced in
the so-called Golden Triangle
area 6f Southeast Asia -
Thailand, Laos and Burma.
Burma, alone, accounts for at
least a third of the illegal
opium grown annually.
But the secret summaries
say that in Laos, "priorities re-
lating to requirements of the
Vietnam war may limit pres-
sures that can be applied" to
the Laotian government.
The. same problem, but for
different reasons, exists in
Burma, the largest opium
producer in the world. Ac-
cording to a little publicized
report that the White House
circulated among congressmen
last month, "the Burmese gov-
ernment's policy of non-align-
ment and sensitivity to foreign
influence is a limiting factor
the l in its involvement with the
are- ae R )111
r
ba
~r wa
~c de
sus
en
40
rge n 146 Q
;'d.
vement
cos in
sed the narcotics field."
' Thg_ A and n &J s
ing.i .
~ that has ben mad
FrnmipnfTy by car eri icc
not mention enforcement prob-
lems in Laos. Instead, it said
"intelligence indicates that the
flow of opium and heroin
through Laos has been seri-
ously curtailed."
The cabinet committee's un-
classified report minimized
the impact of the opium pro-
duction in Southeast Asia, say-
ing that "Perhaps 600 of the
700 tons" produced in the
r
y. The adminis-
.ration, t ough its State De-
pArtment narcotics chief Nel-
son Gross has repeatedly re-
bttitted eG~oy's charges.
The ks Vet intelligence sum-
maries, also note that Turkey's
agreement to, stop opium
poppy ?'p aductiori - a deci-
sipn laded by U.S. officials -
does ;0t guarantee that 'illicit
odium r production w111 stop.
'Turkeys estimated illel_
odium output is 35 to1 001on
a year.
epr
v Tim O*Brien ` roe summaries sal'd that
a
e _ of secret and un [z g riarco c s mugg ing
in South Asia, "by the
Mlls tribes emselves."
Un
mai
inte
off, heroin supplies,
"use' of e drug is on the in-
crease in Western Europe," as
well.
Reflecting in acid words the
problem of interesting other
nations In the drug fight, the
report said efforts to develop
international narcotics polic-
ing organizations have been
hampered "largely because of
widely varying national atti-
tudes toward the drug prob-
lem."
These differences, it said,
"are regularly and skillfully.
exploited by the illicit interna-
tional traffickers."
The cabinet study detailed a
number of international smug-
gling routes. The "direct Eu-
rope-United States route is the
oldest" French smuggling
route and remains the most
active." This pathway is at-
tractive, the study said, partly
because it avoids the nerd for
a foreign middleman and
partly because opium is more
readily concealed in the large
volume of trans-Atlantic com-
merce, involving only one cus-
toms inspection.
A second route starts in Eu-
rope, usually France, then
moves into Latin America-
Buenos Aires and Montevideo
are frequent depots-and then
through Panama or Mexico
into Southwestern U.S.
die opium flowing through
these conduits originates
i gDAr Sal , . p iihr
"iii the tArae source tie
Law material for the heroin
s e Amerteah market
Turkish opium is preferred by
heroin traffickers because the
morphine content is one of the
highest in the world, ranging,
from 9 to 14 per cent." ;more personnel used heroin."
About 80 per cent of the
heroin used by U.S. addicts
originates in Turkish poppy
fields.
In another study released
Aug. 11, the General Account-
ing Office analyzed drug
;
abuse by U.S. military person-
nel in Vietnam, Okinawa, the
Philippines, Europe and the
Continental United States.
Of Vietnam, it said: "Until
the fourth quarter of calendar
year 1970, drug abuse among
military personnel in Vietnam
was primarily limited to mari- i
juana. At that time, the use of
heroin began to rise and has
now become the military's
most serious drug problem in
Vietnam ... Drugs were rela-
tively cheap; a .25 gram-vial of
heroin 94 to 97 per cent pure
could be purchased for $2.50
to $10 a vial. This compares to
a stateside price of about $20
for a similar quantity that is
only 4 to 12 per cent pure her-
oin."
"Reliable estimates of the
incidence of drug use among
military personnel in Vietnam
were not available; however,
some unit commanders esti-
mated that 30 per cent or
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
THE WASHINGTON POST DATE i-4AUdP ""' PAGE
an Operation on a ook
way to his author oa- Bye Roger Wilk lri5 history in this Putnam to court ooin In recent Hors;`tho agency has flid from Random ndom House to
Alfred W, McCoy on on the happened
tion date. He and his publisher, Harper & McCoy's facts were wrong. After reviewing ms and to Harper & Row
Row almost got spooked by the CIA in a the book, the agency attempted, in an 11- trying to influence what the rest of us do or
h
C
A
'
e
.
I
gambit that does little credit to our secret page critique, to demonstrate that the au- dont read about t
"But the agency cannot have it both ways.
ov_erse s =_ ---Wves- - seems __ that m_ his thor s evidence did not support his asses- It cannot hide away in the woods when it
bo iThe Politics-01, er In i n . ins. apparently, after reviewing the CIA`
.__. ~.. pleases and then tell the mirrors of the
Asia," Mr. McCoy argues that,Americandip---- e~itique, Harper & Row decided the agency world what to show when it becomes edgy.
'
signifi-
lomats and secret agents have been
cantly involved in the narcotics traffic in
Burma, The CIA, upon learning something
`of the. content of thew bpok, apparently de-
cided that it had cause for the expression of
some concern. As a result, the author al-
leges, the agency resorted to "extralegal
meaPies"such as' CIA visits, to, the nub- calls and letters in an at-
Eeapt "to harass and intimidate me and my
publisher."
I arty not conceriigst with the accuyacy
of Mr. McCoy's text or his methods of schol-
arship. I do, however, wonder about the way
in, which the government expressed its inter-
e'st in his work. Whether. there were visits
to the publisher or ..phone calls, as Mr.
McCoy alleges, is not the point. It is clear
that the general counsel of the CIA,wrote
a d ' asked !to see the, book prior to publi-
catlon.. While he dgned that the agency's
interest affected in any way the publisher's
right to publish, the general counsel went
oii to apply some heavy pressure, saying
"it is our belief that no reputable publish-
jug house would wish to publish such alle-
gations without being assured that the sup-
porting evidence was valid."
had not proved its case. "They just didn't do
1IAtPER & ROW, for its part, told the it," the source reports. So, the book will see
agency that it desirecj to publish the book the light of day.
but also to "live up to the traditions and re- Unfortunately, this is neither the govern-
Sponsibilities of a great publishing house as meat's. nor the CIA's first venture into the
we ' see them." Overriding the. author's pro- murky business of attempting to impose
tests, the publisher decided to submit the . pre-publication restraints on the words and
bob for an unusual pre-publication review idea8-the rIt ipnc ni this c imtry are to read
by the CIA. A source at Harper_& Row re- and consider.. Xbg--Jusliga -Department's
ports that the agency wrote the firm saying thrust against the Pentagon Papers is still
that it could "prove beyond doubt" that fresh, 1 - * . the CIA has a rich
pernicious. While disclaiming any intention
to inhibit publication, the agency suggested
more than once that no reputable or respon-
sible publisher would want to publish a book
without first validating the facts. And then
the agency offered itself as chief validator. I
am not sure whether the publisher needed
to go as far as submitting the galley proofs
of the book to the CIA for pre-publication
review in order to ascertain the agency's
views or whether, indeed, that decision was
entirely wise. But to its credit, Harper &
Row resisted the pressures and retained the
ultimate publishing judgment.
THAT IS all to the good, for the CIA, in
offering its services as ultimate validator of
the author's source material, was dangling
a lure that leads down the path to acquies-
cence in censorship. If Clifford Irving's caper
taught us anything, it was that the pub-
lisher has ultimate responsibility for check-
ing the validity of the material he proposes
to publish. It is clear that the publisher,
upon learning that serious questions have
been raised about the reliability of material
it has on hand, should at least talk the ques-
tions over with any responsible doubter.
But finally, the responsibility rests with
the publisher, it cannot and should not be
shifted to any other party, particularly not
to a secret agency of the government. Any ,
other course would lead, to the erosion of a
publisher's most precious right, the first
amendment right of free speech, which is
his only guarantee of his ability to promote
the free flow of information and ideas
throughout society, and our only guarantee
as well.
Approved For Release 2005/01/27 : CIA-RDP74B00415R000300230080-2
Approved For Release 2005/0.1/27 : CIA RDP74B00415R000300230080-
NE W YORK TIMES DATE -- PAGE
Books of The Times
Bonanza In lden Triangle'
By THOMAS ASK
THE POLITICS OF HEROIN IN SOUTHEAST heroin users among G.L's. "By mid 1971
ASIA. By Alfred W. McCoy with Cathleen the author writes, "Army medical officers
B. Reed and Leonard P. Adams 2d. 464 were estimating that about 10 to 15 per
ALe
cen
pages. Harper & Row. $10.95. cent ... of the lower ranking enlisted men
1fs
plexity, its c ar es of tnat 1s -WhAt
conc usions are are-simglg enough to be
T
_ Asia" is packed solid wt m r-
Southeast-
ation some o it m-
"
Ziiangle.
ve tc es
and
n
other
a
ro" in, the
es,
es. e o m the
into e lyotms of
`rienas in soutneast
being carried on wit
ferenc if not the closed eye c pli-
eing sTn"MWf in
.
bL-roin o Tnted Sfates' a1hesin
~ Asia ter rea mgfie ga a s,
antral Inte ieence A enc Ior what'-it
~yd,,,wPrP. 1~ Ohs la Mlle
rtew~ut CllSa fail~eo ee
~
These conclusions have been drawn by
a young Ph.D. scholar from Yale who
studied the subject for 18 months and who
has already been embroiled with the Cen-
tral Intelligence Agency over, them. Before
a ilab1a, . atid: se 'din off ar critique -to
a er's the C.A. too Lurther -ac' an.
Shuns the Headline Approach
yy V V s-o suppo ing Ri)tes refer-
,r to a large Rumber of personal
:
7 tn'ass cg-Tbe AccnraY Qf Mr,.. l.&C"
yc riiffir_ult _for anyone,nnt.clasa_ the
he rinaa Government re and Un
obis
~Na~ ~tions, doc ents. Tr1djg in-
a. that will .tlt,, Areat eai
(pr ,attian
11hfbooks. Congressional committee
inilliqu jn-the Lexington Hotel in this city Southeast Asia as long as somewhere
p
LSD] rF eV 9 TO 1(PT4 7 : -I I g f . 04 4RT
SF "~d1mg~0-2
$2.25-million by police estimates was taken on their own activities o rug pe
is ddition, Arias me cal offi- gold smuggling and prostitution. It is just
ale' se -1n mm~"Tier 'of - a mater of-ftealpolitik on both sides.
date e , sat a "there
no ros o' s mmtnge smuggling
~Uy air . n, sea n What PAIg
~one reason the fact t iat" 'e
governments in ffie asregion are u a e or
~eS, Ll wi._i o 3ilak~
affartiya effort _~ur ,tte__= traf ic?
- That drug smuggling is not a -problem
remote i:rgm us can be seen from the fact
that a sipment of the Double U-O Globe
brand, _ a' bulk heroinn manufactured in the
ro np1e2 was `seized In an amount
q4, the police`to be worth $3.5-
serving in Vietnam were heroin users."
The politics of heroin-and in this book
the emphasis is on the politics-is an art-
ful one. Mr. McCoy cites the case of Ngo
Dinh Nhu, brother of President Ngo Dinh
Diem of South Vietnam, later murdered by
his colleagues. During his brother's regime
Nhu was head of the secret police and
had set up a close apparatus of spies, in-
formers and agents. He was so successful
in harassing the National Liberation Front,
the political arm of the Vietcong, that
after he and Diem were killed, Nguyen
Huu Tho, chairman of the N.L.F., told an
Australian journalist that Nhu's demise
was "a gift from heaven."
Closed and Open Opium Dens
The point the author makes, though, is
that to keep the members of this network
loyal took a great deal of money and that
the only way Nhu could get it was from
the drug trade. Diem had entered on his
presidency determined to close down the
opium shops, the author says, but the
profit from the drug trade was so great
that his brother restored it and used the
money to harass the Communists.
Gen. Tuan Shi-wen, commander of the
Chinese Nationalist Fifth Army, based in
the Golden Triangle, put the matter suc-
cinctly. He is quoted in the book as having
said, "We have to continue to fight the
evil of Communism, and to fight you must
have an army, and an army must have
guns, and to buy guns you must have
money. In these mountains the only money
is opium."
For the most part, Mr. McCoy demon-
strates, an illicit drug traffic is carried on
for the personal benefit and dollar profit of
individuals, including some of the highest
ranking officials with whom we do busi-
ness in Southeast Asia. The picture of cor-
ruption that he draws, of cruel and naked
jockeying for power, of bloodletting and
cynical maneuvering with underworld ped-
dlers, is so strongly documented that it
might make even the stanchest defender
of the war in Southeast Asia wonder if
it is worth it.
The attitude of too many American offi-
cials, he says, is one of "embarrassment
and apathy." They argue that their job is
to fight the North Vietnamese and kill
Communists and nothing else concerns
them. is moral neutralit is so wide-.
e" n erworld in Southeast Asia, the
book makes clear, as in the Middle East,
in Western Europe, in America, has always
been an essential part of the trade. Its
members have the advantage of being free
of ideology. They worked with Socialists
in Marseilles, with the Gestapo under
Vichy, with the American liberating forces