LETTER TO HONORABLE JOSEPH CAMPBELL FROM ALLEN W. DULLES
Document Type:
Collection:
Document Number (FOIA) /ESDN (CREST):
CIA-RDP80B01676R000700210002-2
Release Decision:
RIPPUB
Original Classification:
C
Document Page Count:
5
Document Creation Date:
December 14, 2016
Document Release Date:
January 14, 2003
Sequence Number:
2
Case Number:
Publication Date:
June 7, 1961
Content Type:
LETTER
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Attachment | Size |
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Body:
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orabio Joseph `'.:a pbeU,
er t 'ra o United :3tes
25, D. C.
Ji'a ~~bl
;:Messed to note in your letter of 23 `'ay 1961 that you
have. decided to continue your limited audit of CIA activities
r discussion. In this connection, the House Committee
4 Al Armed : rvic es has informed u that this matter will be the
)jest of future consideration by ',"r. Kfl y`c $ubco, ? dttee, the,
General ., ,.ccounting Office and the Central intelligence Agency.
;k forward to xtici tg with you in the discussions. U
j, u feel that it would be ;fro&ebtle for us to have preliminary
Bo ca 2:..rior to consideration by the Subco mnlttee, we srr:
at any time.
O/COMPT.-RHF.- ss
Rewritten.- DD/S: LKW.-laq
Distribution:
0 & 1 Add
1 - ER w/basic
1 ? DCI
1 - DDCI
1 - COMPT
4incerely,
Alien W. Ckdie.
Director
/cpy of basic
1 - C/AUD STAFF
2 - LEG COUN
1 DD/S Chrono
1 - DD/S subject w/cpy of basic
1-IG
L. K. White
Deputy Director
(Support)
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STAT
A
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COMPTROLLER GENERAL OF THE UNITEID STATES
B-133200
Honorable Allen Dulles, Director
Central Intelligence Agency
May 23, 1961
We acknowledge your letter dated May 17, 1961, responding to
our letter of May 16 to you relating to our reviews at the Central
Intelligence Agency.
We acknowledge also your appreciation in our joint attempt to
expand the General Accounting Office activities at the Central
Intelligence Agency and your comment that the reviews made by our
representatives have been helpful. As noted in our letter of
May 16, 1961, we do not believe that we have had sufficient access
to permit us to make reviews sufficient in scope to be helpful to
the Congress and for this reason we planned to discontinue the
audit at this time. Your letter notes that over the years the
work of the General Accounting Office has been most beneficial
to you.
We believe it is appropriate here to clarify the scope of our
work program preceding the reviews that were undertaken following
our exchange of letters in October 1959.
Following the enactment of the Central Intelligence Agency
Act in 1949, the then Director of the Agency requested that not-
withstanding the very broad and unusual powers granted to the
Central Intelligence Agency by the act an audit of expenditures
at the site as previously performed by the General Accounting
Office be continued. Accordingly the General Accounting Office
continued to make audits of vouchered expenditures under the same
arrangements that were in effect with the predecessor Central
Intelligence Group. In view of the provisions of Section 8 of
the Central Intelligence Agency Act no exceptions were taken to
any expenditures but questionable payments coining to our attenticn
were referred to the CIA Comptroller's Office for corrective action.
We did not make a substantive review of Agency policies nor of its
practices and procedures and we made no audit of expenditures of
unvouchered funds.
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However, at the time of the enactment of CIA legislation in
1949 we were in the process of applying the comprehensive audit
approach to the activities of most Government agencies. Under
this audit approach our basic purpose is to review and evaluate
the manner in which the agency or activity under audit carries
out its financial responsibilities. We construe financial re-
sponsibilities as including the expenditure of funds and the
utilization of property and personnel in furtherance only of
authorized programs or activities in an effective, efficient
and economical manner. In carrying out this type of audit we
examine the organization's structure and review the established
agency policies for conformity to legislative intent and applica-
bility to agency activities. We also examine agency practices
and procedures followed in carrying out the agency policies and
make a selective examination of actual transactions as a means
of appraising the application of agency practices and procedures.
It was this kind of a review that we proposed for the Central
Intelligence Agency in accordance with whatever agreement we
could reach with you as to access to the records. Our work dur-
ing the last 18 months has demonstrated to us that under existing
security restrictions we do not have sufficient access to make
comprehensive reviews of CIA activities on a continuing basis
that would be productive of evaluations helpful to the Congress.
We deeply appreciate your interest in the possibility of
continuing our work at the Central Intelligence Agency on some
scale and we are prepared to discuss this prospect at your con-
venience. For the present and pending discussions with you and
appropriate congressional interests, we will continue our limited
program.
Sincerely yours,
Comptroller General
of the United States
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MEMORANDUM FOR: Mr. Dulles
Attached hereto is a proposed reply to the
Comptroller General's letter of 23 May concerning
GAO audit of CIA activities.
Recommend signature.
L. K. White
Deputy Director
(Support)
1 .Tun 61
cc: DDCI (DATE)
BE 10-101
FORM GN 54 101 WHICH REPLACES
MAY FORM
1 AU
MEMORANDUM FOR: Mr. Dulles:
A copy of this letter has already been sent
to the DDS for information and necessary action.
Attached is a copy of your 17 May letter to Mr.
Campbell.
After you have noted, we will show this to
General Cabell.
May 61
(DATE)
FORM
Io.jOf
AUG 54 WHICH MAY BE USED.
STAT
STAT
STAT
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Chairman Vinson,s letter to Mr. Campbell
was dated 18 May and is attached at Tab A.
STAT
,awl)
ATE')
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