SECRET SUBSIDIZING OF NATIONAL STUDENT ASSOCIATION BY CENTRAL INTELLIGENCE AGENCY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75-00149R000700150009-3
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 2
• Document Creation Date: December 16, 2016
• Document Release Date: December 27, 2004
• Sequence Number: 9
• Publication Date: February 15, 1967
• Content Type: OPEN

g-f P7 1btTR000700150009-3 H 1305
February 15, hop roved FoEz3"N~1UlYff5 iLC
the lives and affairs of the people and their
local governments.
For this he was reviled and scorned and
threatened. He was a target for defeat in
election after election, But it is a credit to
a sort of sixth sense of the people of his
-district that they realized, consciously or
subconsciously, that they were being repre-
sented by a greatness of spirit in the Con-
gress, So they kept him there until 1960
when the infirmities of the passage of time
commanded that he retire.
So he came home to his pleasant abode
on the banks of the Trent, near New Bern.
On Sunday morning, he slipped away into
an eternity which is bound to be enlivened
by his good humor and his stout spirit.
His departure emphasizes an even more
startling contrast between Hap Barden's
sound principles and the frustrations of the
men who now control the Congress where
for so long he so wisely exercised his con-
siderable powers. Adam Clayton Powell, who
succeeded Mr. Barden in the chairmanship of
the Education and Labor Committee, has fi-
nally fallen victim to his own arrogance and.
improprieties. The greed and corruption,
about which Hap Barden so often warned,
have left both the Congress and the country
in sad disarray. The nation needs to face up
to the truth that guided Hap Barden's ca-
reer.
But he is gone. 'Maybe his taking leave of
us will serve as a reminder to the rest of us
that honest men need never fear the truth.
It is not always easy, of course, to turn one's
back on expedience and compromise. But
there is' no other way to fashion a life of
honor. The legacy that Hap Barden has left
to us is the hope that there may be some
to follow him who, will seek, as he, did, to
rekindle the principles of truth and the
courage of convictions from which America
was fashioned in the first ' place. Without
them, the very survival of the -nation is in
peril.
PROPOSAL FOR.TAX'CREDIT FOR-
EXPENSES INCURRED IN PRO-
VIDING HIGHER EDUCATION
(Mr. MACHEN asked and was given
permission to address the House for-1.
minute and to revise and extend his
remarks.)
Mr. MACHEN. Mr. Speaker, I have
introduced today a bill to provide a tax
credit to individuals for certain expenses
incurred in providing higher education.
This legislation is aimed at the relief
of the middle-income family. That is,
the households made up of the average,
hard-working men and women whose
sole Income is In fully taxable salary.
These families make up 62'percent of
our population and for the vast majority
of them no means of financial assistance
for education is readily available.
Furthermore, today there are thou-
sands of students who are working part-
tinle or sometimes full-time jobs to put
themselves through school. Yet there
is no tax relief for their highest expenses.
Since this tax credit would be granted to
,
any taxpayer who carries the expenses .pay the entire bill and then file a medi-
of higher education, the student or his care claim for reimbursement for that
spouse would also be entitled to its portion of the expense covered by medi-
benefit. care. Often the patient does not have
We have attempted in previous years the financial means to pay the entire bill.
to pass this legislation, but it has met In these circumstances, the patient
with significant opposition from certain should not be made the victim in the
areas. We have argued that this credit ideological dispute between the doctor
is analogous to the deduction that is per- and the Government. If the patient can - Mr. Speaker, the time has come for
muted for medical expenses.- The re- file for his entitlement with an unpaid Congress effectively to oversee the, CIA.
buttal has been that medical expenses bill, he'can pay the entire amount when _Congress has the clear responsibility to
are sudden and unexpected while the' he receives the medicare portion. The oversee the CIA as it does other agencies.
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cost of a college education can be pro-
gramed over a. period of years. This
may be true, but the expense of higher
education is also very probably the sec-
ond highest expenditure for w family,
following only the purchase of their
home. Nevertheless, a substantial por-
tion of the cost of this home is deduct-
ible and the deduction is applicable
throughout the life of the mortgage.
Surely we can use the same logic to per-
suade our critics of this bill.
There is no question that scholarships,
workshops, and loan programs must still
'be available for needy students. This
bill is not intended as. a substitute for
these resources. It makes available a
resource to a sector-that previously had
none.
Businessmen and farmers who choose
to invest in their future production are
able to do so with the benefit of a tax
break, What better investment is there
than the increased education of our
citizens? This returns a profit not only
to the individual but the entire Nation.
-The educational assistance provisions of
the GI bills have proved that such
Investment provides abundant returns.
This Is practical and needed legisla-
tion. I hope that we will see no more
delays in Its enactment.
PROPOSED AMENDMENT TO TITLE
XVIII OF SOCIAL SECURITY ACT
TO PERMIT PAYMENT TO INDIVID-
UAL BENEFICIARIES OF CHARGES
BY PHYSICIANS AND OTHERS UN-
DER SUPPLEMENTARY MEDICAL
INSURANCE PROGRAM
(Mr. VANIK asked and was given per-
mission to address the House for 1
minute.)
Mr. VANIK. Mr. Speaker, I am today
introducing legislation to amend title
XVIII of the Social Security Act to per-
mit payment to the individual beneficiary
of the charges made by physicians and
other persons providing services covered
by the supplementary medical insurance
program prior to payment by the bene-
ficiary for the services Involved. This
legislation is vitally important to medi-
care beneficiaries who do not have the
funds required to advance payments for
medical services to those doctors who
decline medicare assignments.
At present where payment under title
XVIII, part B, is on a charge basis, pay-
ment will be made "on the basis of a
receipt of bill, or the basis of an
assignment."
The medicare patient does not under-
stand the problem which occurs when
his doctor refuses to accept a medicare
assignment. He does not understand
that
under these circumstances he must
dignity of the doctor-patient relationship
will be preserved for the benefit of both.
This proposed change in the law will
permit medicare patients to receive
medical services from the doctor of their
choice without prepayment of that por-
tion of the bill represented by the medi-
care entitlement.
SECRET SUBSIDIZING OF NATIONAL
STUDENT ASSOCIATION BY CEN-
-TRAL INTELLIGENCE AGENCY
(Mr. RYAN asked and was given per-
mission to address the House for 1 min-
ute, to revise and extend his remarks,
and to include extraneous matter.)
-Mr. RYAN. Mr. Speaker, the news
that the Central Intelligence Agency has
been secretly subsidizing the National
Student Association once more proves
the great need for thorough congres-
sional oversight of this Agency. The CIA
has done a disservice to a generation of
American students.
At this very moment students of the
National Student Association are fran-
tically writing letters to student leaders
all over the world trying to explain the
CIA subsidy.. What can they say to their
colleagues in Asia, Africa, and Latin
America? Most of these students did
not know of the CIA participation in
their affairs and no doubt would not
have been Involved in the National Stu-
dent Association if they had. But will
the plea of Innocence be enough?
One can only imagine the disillusion-
ment that students abroad will suffer
from this exposure. What about our awn
students? At a time when more and
more young people are becoming alien-'
ated from' American politics, the Idea of
the CIA covertly paying bills for the
country's largest student organization
can only accelerate this unhappy
,process. And what about us-the Repre-
sentatives of the American people? We,
too, have been uninformed. We, too,
must plead innocence, for the CIA is an
Agency of Government over which we
as a body do not have control. We are
not presented with the CIA budget; we
cannot inquire into Its policies. In fact,
the CIA at times operates as a secret
government.
Today we know about its incursion into
the National Student Association; to-
morrow we may find that the hidden
hand of the CIA has reached into other
private organizations. We already know
that the CIA channeled funds to NSA
through an organization called the Inde-
pendence Foundation of Boston. What
other organizations have received or are
receiving CIA funds? James Reston in
today's New York Times states that the
NSA disclosure "places in jeopardy CIA
programs to anti-Communist publica-
tions, radio and television stations, and
labor unions:" Under what authority is
the CIA providing funds to domestic or-
ganizations such as these? The Na-
tional Security Act of 1947 certainly does
not give the CIA a clear mandate for
 AIL A"VkF
effectively, a Joint Committee on Foreign
Information and Intelligence must be es-
tablished as soon as possible.
Today I have again introduced a bill
to establish such a committee. ? Since
1961 I have urged this action. At that
time the public was aroused by the CIA's
involvement in the Bay of Pigs fiasco.
The Committee on Rules held hearings
on this issue on May 25, 1961, and again
on April 8 and 9, 1964. Each time I
testified in support of bills I had intro-
duced, as did other Members of the
House. Unfortunately, on neither oc-
casion was a rule reported. Now I hope
that the latest revelation of the CIA's
secret activity will convince the House
that a watchdog committee is essential.
The committee would be composed of
seven Members of the Senate and seven
Members of the House. The committee
would study-
First, the activities of each informa-
tion and intelligence, agency of the
United States;
Second, the problems relating to the
foreign information and intelligence pro-
grams; and
Third, the problems relating to the
gathering of information and intelli-
gence affecting the national security and
its coordination and utilization by the
various departments, agencies, and, in-
strumentalities of the United States.
The secret arrangement between the
CIA and the National Student Associa-
tion should make us all aware of the need
for quick passage. of this bill. Yesterday
eight Congressmen. wrote a letter to the
President concerning this matter and
raised several questions. The answers
to these questions, under our democratic
system, should have been known to the
Congress through the traditional legisla-
tive process. I will include the letter at
the end of my remarks. The answers to
these and other questions concerning the
CIA are not known. It is time to set
up the Joint Committee on Foreign In-
formation and Intelligence and end this
ignorance. -
Mr. Speaker, our letter to the Presi-
dent follows:
The question also arises whether the CIA
is implicated in other supposedly Independ-
ent domestic organizations. And what effec-
tive limits are placed on CIA subsidy of any
domestic institution?
The Central Intelligence Agency, then, has
compromised and corrupted the largest stu-
dent organization in the largest democracy
in the world. It has willfully involved in-
experienced young men and women in that
action, and thus has surely alienated further
the best elements of American youth.
In allowing this to happen, the American
government owes an apology to the Amer-.
lean people, and, more important, to an
American generation.
Respectfully yours,
GEORGE E. BROWN, Jr. (Calif.).
PHILLIP BURTON (Calif.).
JOHN CONYERS, Jr.'(Mich.).
JOHN G. Dow (N.Y.).
DON EDWARDS (Calif.).
ROBERT W. KASTENMEIER (Wis.).
BENJAMIN S. ROSENTHAL (N.Y.).
CIVIL RIGHTS PROGRAM FOR
1967
(Mr. JOELSON asked and was given
permission to extend his remarks at this
point in the RECORD.)
Mr. JOELSON. Mr. Speaker, I want
to state my support again for the Presi-
dent's proposals to end discrimination on
account of race, color, religion, or na-
tional origin in housing. The President
believed that such legislation was called
for last year, and he proposed it. A
majority of this House agreed, and passed
a bill including a title on fair housing.
The 1966 bill died in the Senate, but-the
President considers the issue too im-
portant, and too. pressing, to accept de-
feat. I ask this House to lend its sup-
port, too, in a second major. effort to
bring justice to all Americans.
I am sure that every man here has
heard it said that "we are going too fast
in civil rights"-that Negroes "have been
,given enough for awhile"-that "the.
country deserves a rest from agitation."
But words such as "too fast," "enough,"
or "a rest" imply that we are far enough
ahead in the race to run easier for awhile,
or even to stop. The truth is to the con-
trary.
More Negro children are in segregated
schools today than at any other time
in our history and, unless we take new
steps to counteract the trend, more will
be in segregated schools next year than
are today. The reason is that housing
segregation patterns in large cities are
becoming so hardened and widespread
that neighborhood schools, whether le-
gally segregated or not, are in fact be-
coining as uniformly of one color as their
neighborhoods.
Thus, our failure to move ahead to
fight inequality in housing is aggravat-
inE, the inequality in our schools. And
segregation in housing also contributes
cratic ideals upon which it was founded.
I urge us all to join the President in
attacking the last major bulwark of big.
otry-housing. Let us give his civil
rights proposals our earliest considera.
APPALACHIAN REGIONAL DEVELOP.
(Mr. PFRKINS asked and was given
permission to extend his remarks at this
point in the RECORD).
Mr. ' PERKINS. Mr. Speaker, one of
the most worthwhile undertakings to
-which Congress committed itself is the
program to bring economic self-suffi-
ciency to the Appalachian region. What
has been done toward that end thus far
has been a good beginning.
But, Mr. Speaker, I am fearful we have
been trying to solve a large problem with
small means. Unless we act on a scale
large enough to meet a huge task, we will
be wasting what money we already have
spent on this area.
We need to build roads-four-lane and
six-lane roads-to open this area not
only to the tourist trade but to make it
accessible for industry. We. need sewer
systems and water systems so that the
communities of Appalachia can build col-
lege dormitories, resort hotels, and
factories.
We need to provide hospitals and
health centers.
To that end, Mr. Speaker, I am today
introducing a bill which would provide
sums much larger than those contained
in the measure introduced by the gentle-
man from Maryland [Mr. FALLON],
-chairman of the Public Works Commit-
'tee. I am going on the assumption that
Mr. FALLON'S measure represents the
thinking of the administration on
Appalachia.
The Fallon bill and my bill agree on
the number of miles of road that should
be built in Appalachia-2,700 miles-
which is 350 more than was authorized in
the 1965 act. Both bills call for 1,000
miles of access' roads.
But whereas the Fallon bill would have
the Appalachian Commission spend
$1,015 million on highways over a 4-year
period, my measure calls for $942 million
more than that in the same period, a
total of $1,957 million. The additional
money in my bill would go principally to
four-laning or six-laning up to 2,000
miles of highways.
My thought is that, unless we go beyond
two-lane roads, we will be building, not
for the present, not for the future, but
for the past.
For projects other than highways, my
measure calls for expenditures over a
2-year period that would be $762,350,000
larger than provided in the administra-
tion bill. Mr. FALLON asks for $263,150,-
To what extent did this policy constitute an importantly to inequality of employment. 000 in 2 years. I ask for $1,025,500,000.
internal security function for the CIA in Negro workers frequently cannot find do- / As an example of how my bill differs
contradiction of the National Security Act cent homes, or any homes at all, near from Mr. FALLON's, I cite the provision
of 1947? What conditions were laid down to places of employment where they for sewage systems and water systems,
for the subsidy? Have officials of the NSA might work. The 1965 law called for $6 million in 2
been granted special treatment, eatment, to-all -alluding other
draft deferments, not t available Until all Americans have an equal op- years. Mr. FALLON's bill asks the same
student organizations? Are there any other pOrtunity to acquire a decent home, and amount for the next 2 years. My bill
student organizations with-similar relations to raise their children there, our Nation would have the Appalachian Commission
FEBRUARY 14, 1967.
DEAR MR. PRESIDENT: We were appalled to
learn today that the Central Intelligence
Agency has been subsidizing the National
Student Association for more than a decade.
That policy has undercut the independence
and freedom of those in a democracy who
deserve particularly to be. independent and
free. It represents an unconscionable exten-
sion of power by an agency of government
over institutions outside' its jurisdiction. It
involves the complicity of so-called inde-
pendent foundations. It raises again basic
questions concerning the adequacy of over-
sight of the CIA.
This disclosure leads us and many others
here and abroad to believe that the CIA can
be as much a threat to American as to for-
eign democratic institutions.
We believe that the. program requires im-
mediate investigation at the highest level.
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