STATEMENT W.E. COLBY DIRECTOR OF CENTRAL INTELLIGENCE BEFORE DEFENSE SUBCOMMITTEE OF THE HOUSE APPROPRIATIONS COMMITTEE

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CIA-RDP83-01042R000300010001-8
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RIPPUB
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K
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95
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December 19, 2016
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September 20, 2005
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1
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Publication Date: 
February 20, 1975
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STATEMENT
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Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 TAB Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For elease 2005/12/23 : CIA-RDP83-Q1042 00300010001-8 Statement W.E. Colby Director of Central Intelligence Before Defense Subcommittee of the House Appropriations Committee February 20, 1975 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Remise 2005/12/23 : CIA-RDP83-01042RO 300010001-8 Mr. Chairman: Our national intelligence agency, the CIA, is the object of great attention and concern. A series of serious allegations have been made by the press and other critics about our operations and activities. At the same time, a number of responsible Americans are concerned that a degree of hysteria can develop that will result in serious damage to our country's essential intelligence work by throwing the baby out with the bath water. There is equally serious concern within the CIA itself as to whether its personnel can continue to make their important contribution to our country or will be the target of ex post facto sensationalism and recrimination for actions taken at earlier times under a different atmosphere than today's. I welcome this opportunity to describe the im- portance of our intelligence, how it works and what it does, and the small extent to which its activities may in past years have come close to or even over- stepped proper bounds. We certainly make no claim that nothing improper occurred, but we do think it important that such incidents be given only their proper proportion. Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved I`or'Release 2005/12/23 : CIA-RDP83-01R000300010001-8 It would perhaps be useful, Mr. Chairman, to start by reviewing some of the allegations made recently about the CIA. The leading charge was that, in direct violation of its charter, CIA conducted a "massive illegal domestic intelligence operation" against the ariti- Vietnam war and other dissident elements in recent years. In my testimony to the Senate Appropria :ions and Armed Services Committees, on 15 and 16 January, I flatly denied this allegation. I pointed out that CIA instead had conducted a counterintelligence operation directed at possible foreign links to American dissidents, under the authority of the National Security Act and the National Security Council Intelligence Directives which govern its activities and in response to Presidential concern over this possibility. Thus this operation was neither massive, illegal, nor domestic, as alleged. The same allegations stated that "dozens of' other illegal activities," including break-ins, wire tapping, and surreptitious inspection of mail, were undertaken by members of the CIA in the United States beginning in the 1950's. Again I Approved For Release 2005/12P23 : CIA-RDP83-01042R000300010001-8 Approved For Rase 2005/12/23: CIA-RDP83-01042ROW300010001-8 reported to the Senate Appropriations and Armed Services Committees a few such activities that in fact occurred. I pointed out that most such actions were taken under the general charge of the National Security Act on the Director of Central Intelligence to protect intelligence sources and methods against unauthorized dis- closure. Whether or not they were appropriate, there are very few institutions in or out of Government which in a 27-year history do not on occasion make a misstep, but in CIA's case such instances were few and far between and quite exceptional to the main thrust of its efforts. Another allegation given prominence was apparently based on the statements of an anonymous source who claimed that, while employed by the CIA in New York in the late 60s and early 70s, "he and other CIA agents had also participated in telephone wiretaps and break-ins" in the New York area. As I told the journalist involved before the story was printed, it does not bear any relation to CIA's actual activities in that area. Nor can we identify any former employee who answers to the journalist's description of Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved *Release 2005/12/23: CIA-RDP83-018000300010001-8 his source. I fear that the journalist has been the victim of what we in the intelligence trade call a fabricator. Another published allegation was that CIA, through Agency-owned corporate structures organized to provide apparent sponsorship for its overseas operations, manages a "$200--million-a-year top- secret corporate empire" which could circumvent the will of Congress. This allegation is also false. CIA does maintain certain corporate support structures that are essential to conducting its operations and concealing CIA's role overseas. These activities are managed, however, in the most meticulous manner by CIA to ensure the safekeeping of the Government's investment, and to audit these activities to ensure that they stay within proper bounds. One individual continues to give national promi- nence to an allegation that CIA was somehow more in- volved in Watergate and its cover-up than has been demonstrated publicly. His lack of credibility Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Rehwte 2005/12/23: CIA-RDP83-01042R00W0010001-8 should cause the charge to fall of its own weight, but in addition I believe the extensive investiga- tions made into this subject, and in particular the tapes most. recently released, indicate that CIA's limited assistance in 1971 certainly had nothing to do with the Watergate in 1972, and that CIA was the institution that said "No" to the cover-up rather than be involved in it. There are also a number of allegations of im- proper CIA relationships with domestic police forces. The facts are that CIA maintained friendly liaison relationships with a number of police forces for assistance in CIA's mission of investigating its applicants, contractors, and similar contacts. These relationships from time to time included various mutual courtesies which have been warped into allegations of improper CIA manipulation of these police forces for domestic purposes. These allegations are false. Since the 1973 legislation barring any CIA assistance to the Law Enforcement Assistance Administration, CIA has terminated any assistance to the LEAA and in compliance with the spirit as well as the letter of that particular law has terminated any assistance to local police forces as well. 5 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Release 2005/12/23: CIA-RDP83-010428000300010001-8 Aft One charge stems from a dangerous misunder- standing of the true nature of the modern intel- ligence process. CIA invited several U.S. industrial firms to bid on a contract to study new foreign developments in transportation technology. This has been alleged to constitute a program to spy on our closest allies. In truth, of course, it is nothing of the kind. The prospective contractor was only expected to conduct open research and analyze information made available to him. Intel- ligence work today includes analysis as one of its major elements. It is no longer synonymous with spying. Mr. Chairman, these exaggerations and misrepre- sentations of CIA's activities can do irreparable harm to our national intelligence apparatus and if carried to the extreme could blindfold our country as it looks abroad. To this Committee I of course need not stress the importance of our intelligence work to our defense. May I only remind you that our intelligence must not only tell us what threats we face today but also what threats are on the drawing boards or in the research laboratories of potential enemies that might threaten us some years hence. Approved For Release 200/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Relew~e 2005/12/23 : CIA-RDP83-01042R0@000010001-8 This Committee is well aware of the contribution intelligence makes to decisions about defense levels. I would also like to remind you of its contribution to the Strategic Arms Limitation and similar treaties. Such agreements help reduce the need for. the heavy expense of arms. I would like to stress another aspect of intelligence today -- its contribution to peace- keeping. Aside from its assistance to our ability to make treaties to reduce tensions between us and other nations, it has on occasion provided our Government information with which it has been able to convince other nations not to initiate hostilities against their neighbors. This peace- keening role can grow in importance as our intelli- gence coverage improves. Correspondingly, it can decline if our intelligence machinery is made ineffectual through irresponsible exposure or ill-founded exaggeration. Mr. Chairman, CIA does carry out some of its activities within the United States. About three- fourths of its employees live and work in this country. Most are in the Washington Metropolitan Area, performing analysis, staff direction, Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved`For Release 2005/12/23 : CIA-RDP83-01O%R000300010001-8 administrative support and Headquarters activities. About ten percent of CIA's employees work in the United States outside the Headquarters area. They perform support functions that must be done in the United States, such as personnel recruitment and screening or contracting for technical intel- ligence devices. They also collect foreign intelligence here. Much information on the world is available from private American citizens and from foreigners within the United States, and it would be foolish indeed to spend large sums and take great risks abroad to obtain what can be- acquired cheaply and safely here. CIA's Domestic Collection Division has repre- sentatives in 36 American cities. These represen- tatives contact residents of the United States who are willing to share with their Government information they possess on foreign areas and developments. They provide this information voluntarily, in full awareness that they are contributing information to the Government. They are assured that their relation- ship will be kept confidential and that proprietary interests, say on the part of a businessman, will not be compromised. This program focuses exclusively Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Rel se 2005/12/23 : CIA-RDP83-01042R0(`1bd00010001-8 on the collection of information about foreign areas and developments. The Foreign Resources Division of CIA was I known until 19,72 as the Domestic Operations Division. Its principal mission is to develop relationships with foreigners in the United States who might be of assistance in the collection of intelligence abroad. In this process it also collects foreign intelligence from foreigners in the United States. It has offices in 8 United States cities, and its work is closely coordinated with the FBI, which has the responsibility for identifying and countering foreign intelligence officers working within the United States against our internal security. The Agency's Office of Security has 8 field offices in the United States, engaged in conducting security investigations of individuals with whom CIA anticipates some relationship -- employment, contractual, informational, or operational. In order not to reveal during the investigation pro- cess the fact of CIA's connection with the individual, which might destroy the basis of the relationship, such investigators normally do not identify them- selves as working for CIA. Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Another responsibility.of the office of Security is the investigation of unauthorized disclosures of classified intelligence. This function stems from my responsibility under the National Security Act to protect intelligence sources and methods against unauthorized disclosure. Thus the Office of Security would prepare a damage assessment and endeavor to determine the source of a leak so that we could take corrective action. Mr. Chairman, CIA conducts a broad program of research and development, largely through contracts with U.S. industrial firms and, research institutes. In many such contracts, CIA sponsorship of the project must be hidden from many of the individuals working on the program itself. This was the case in the development of the U-2 aircraft, for example, so that the ultimate purpose of the aircraft, to fly over hostile territory for photographic purposed, would not be known beyond the necessary small circle rather than by the entire work force. Operations of this sort require complicated cover and funding arrangements.. It is for this purpose that the CIA does maintain a variety of arrangements Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Rise 2005/12/23 : CIA-RDP83-01042R0W6300010001-8 within the private sector to provide cover and support in the field of funding, insurance, security, and auditing. The Agency's Cover and Commercial Staff arranges this cooperation with U.S. business firms and operates the proprietary activities maintained by CIA, to provide essential cover for CIA's foreign intelligence work. The Agency's Office of Personnel has a Recruit- ment Division to hire Americans with the required skills and expertise for Agency employment. It maintains 12 domestic field offices from which such Agency recruiters operate. In addition to these recruitment efforts, of course, we have confidential arrangements with some Americans who agree to assist us in the conduct of our foreign intelligence work. The Agency's Office of Training also must do a large amount of its work within the United States. We maintain a number of training installations in which the various disciplines required for CIA's missions are taught. These cover everything from language and communications training to clandestine operations and intelligence analysis. Occasionally Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 some of this training is conducted by sending a student on a mock exercise into a large U.S. city environment to expose him to some of the problems of operating in a clandestine manner. In such cases, however, the subject of the action would be another Agency employee participating in the exercise. In addition to these direct activities, the Agency has cooperated and collaborated with a number of governmental elements in the United States. This begins with the extensive collaboration and coordination with the other elements of the Intelligence Coitununity, such as the Department of Defense and the Federal Bureau of Investigation. These joint activities are ones in which it is proper for one Government agency to assist another within the principles established by the Economy Act. As I noted at the outset, an example of this was the counterintelligence program conducted during recent years, in which CIA focused on the question of whether foreign manipulation or support was going to American dissident elements from abroad. The research and development of some of the complex technical equipment required.for intelligence is in Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Relse 2005/12/23: CIA-RDP83-01042R0OfiiV00010001-8 many cases conducted jointly by the Department of Defense and CIA, as the resulting flow of information will be of value to both. Similarly, there is an exchange of trainees with various Government agencies, both to improve the breadth of knowledge of the CIA trainees and to orient trainees from other agencies on the role of intelligence in American foreign policy. As I noted earlier, in the course of these various activities, there have been occasions when CIA may have exceeded its proper bounds. I have outlined a number of these in my report to the Senate Appropriations Committee, a copy of which I submit herewith for your record, along with some changes in detail which have come out of our con- tinuing investigation. I think it important to make three points with respect to any such events: 1. They were undertaken in the belief that they fell within the Agency's charter to collect foreign intelligence or to pro- tect intelligence sources and methods. 2. The Agency has held and adhered to the principle that its responsibilities lie in the field of foreign intelligence and not domestic intelligence, and any of the above activities were believed to have been related to foreign intelligence. 13 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved"For Release 2005/12/23 : CIA-RDP83-012R000300010001-8 3. Any missteps by CIA were few and far between, have been corrected, and in no way justify the outcry which has been raised against CIA. Mr. Chairman, in May 1973 Director Schlesinger issued a notice to all CIA employees instructing and inviting them to report to him or to the Inspector General any matter in CIA's history which they deemed questionable under CIA's charter. This instruction has been made a matter of regulation within CIA and is brought to the attention of each employee once a year. As a result of the May 1973 memorandum, various incidents were collected and brought to the attention of the Chairman of the House and the Acting Chairman of the Senate Armed Services Committees. They were then used as the basis of a very specific series of internal instructions issued in August 1973 directing the termination, modification, or other appropriate action with respect to such incidents in order to ensure that CIA remains within its proper charter. These instructions have been carried out and are periodically reviewed to ensure continued compliance. It appears that some version of these matters came to the attention of the New York Times reporter Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Ruse 2005/12/23 : CIA-RDP83-01042ROW300010001-8 who wrote the article of December 22, 1974. A day or two before the article appeared, he con- tacted me stating he had obtained information of great importance indicating that CIA had engaged in a massive domestic intelligence activity, including wiretaps, break-ins, and a variety of other actions. In response to his request, I met with him and explained to him that he had mixed and magnified two separate subjects, i.e., the foreign counterintelligence effort properly con- ducted by CIA and those few activities that the Agency's own investigation had revealed and termi- nated in 1973. He obviously did not accept my ex- planation and, instead, alleged that CIA had con- ducted a "massive illegal domestic intelligence operation." I am confident that the investigations of the President's Commission and the Select Com- mittees will verify the accuracy of my version of these events. I also believe that any serious re- view of my report to the Senate Appropriations Com- mittee will show that I essentially denied his version rather than confirmed it as some have alleged. The sensational atmosphere surrounding intelligence, however; encourages oversimplication and disproportionate stress on a few missteps rather than on the high quality of CIA's basic work. Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Release 2005/12/23: CIA-RDP83-010428000300010001-8 Mr. Chairman, these last two months have placed American intelligence. in danger. The almost hysterical excitement that surrounds any news story mentioning CIA, or referring even to a perfectly legitimate activity of CIA, has raised the question whether secret intelligence operations can be conducted by the United States. A number of the intelligence services abroad with which CIA works have expressed concern over its situation and over the fate of the sensitive information they provide to us. A number of our individual agents abroad are deeply worried that their names might be revealed with resultant danger to their lives as well as their livelihoods. A number of Americans who have collaborated with CIA as a patriotic contribution to their country are deeply concerned that their reputations will be besmirched and their businesses ruined by sensational misrepresentation of this association. And our own employees are torn between the sensational allegations of CIA misdeeds and their own knowledge that they served their nation during critical times in the best way they knew how. I believe it a time for a review of what this nation needs and wants in the field of intelligence and the determination therefrom of how, and con- sequently-whether, American intelligence will 16 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Rei a 2005/12/23 CIA-RDP83-01042R08 00010001-8 operate. In this process, I believe four things are necessary. First, it is essential that asober and res- ponsible review of our intelligence apparatus take place. By reason of the sensitivity of some of these matters, it is essential that it be conducted without a sequence of sensational allegations and exposures. I am sure that the responsible members of the President's Commission and of the Select Committees will take this approach. Second, the inquiries must be conducted in a manner that protects the secrecy of these sensitive matters after as well as during the investigations. For this reason, I am recommending to the investigating bodies, and the President's Commission has already accepted, arrangements for the physical security of the material to be developed, secrecy agreements for the staffs similar to those utilized by the Intelligence Community and recently ratified by the Fourth Circuit Court of Appeals, and arrange- ments for compartmentation of the different levels of sensitivity of the information to be provided. There must not only be no exposure of our most sensitive material, such as the names of our agents and collaborators and the specifics of our sensitive technical machinery, there must not even be a risk that this occur. 17 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved'Fbr Release 2005/12/23 : CIA-RDP83-0104'1R000300010001-8 Third, I look forward to clarification from these inquiries of the proper authority and limitations of American intelligence. For example, in my confirmation hearing I suggested the addition of the word "foreign" before the word "intelligence" whenever it appears in the National Security Act referring to CIA, to make crystal clear its function. I also expect that the arrangements for authorization and oversight of the operations of CIA and the Intelligence Community will be reviewed and clarified wherever necessary. But in the establishment of these new rules, it will be essential to include arrangements for their modification, as the rules of 1975 may be no better fitted for the pfoblems our nation will face in 1990 than those of 1947 may be considered by some for 1975. Fourth, I believe it essential to improve our tools to protect those secrets necessary to the suc- cess of American intelligence and even the conduct of foreign policy. I am charged by the National Security Act with the protection of intelligence sources and methods from unauthorized disclosure. If there is to be no gray area in this charge, I believe it essential that the tools to carry it out be plainly identified and adequate. Today they include our screening and orientation 18 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Rete 2005/12/23 : CIA-RDP83-01042R000e?00010001-8 process, our physical arrangements to protect our material, and the secrecy agreement we require of our employees. But intelligence sources and methods do not have the kind of protection provided by the criminal penalties that apply to the unauthorized revelation of income tax returns, census returns, and cotton statistics. One of our ex-employees has recently published a book abroad, where he is out of range of our injunction process, in which he claims to reveal the name of every individual, American and foreign, that he could remember working with, acknowledging the "important encouragement" of the Communist Party of Cuba in writing the book. I believe it absurd for anyone to be immune from criminal prosecution for such an act. Mr. Chairman, I thank you for this opportunity to speak publicly about the serious situation of American intelligence today. This is a matter that concerns not only us in the Intelligence Community, and our critics, but our entire nation. American intelligence today, thanks to the dedicated work of thousands of professionals, and in particular my predecessors in this post, has improved in quality to a degree undreamed of a few decades ago. Thanks to it, our Government's policymakers can draw on Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approvedror Release 2005/12/23: CIA-RDP83-01R000300010001-8 factual information and reasoned analysis in cases where until recently they had to rely only on hunches, circumstantial evidence, and cautious hopes. It is not only helping our Government to be better informed about the complex world in which we live, it is also serving the Congress and the people to help them play their full role in American decisionmaking. During 1974, for example, CIA alone appeared before 17 Congressional com- mittees or subcommittees on 48 occasions and had substantive discussions on foreign developments with journalists on some 600 occasions. As public understanding of the real nature of modern intelligence grows, I am confident that there will be an equal growth in public support of its necessities, including the fact that its details cannot be exposed to the bright glare of publicity or irresponsible exaggeration. With this, I believe 1975 can mark the year in which America reaffirmed the need for intelligence to protect itself and to maintain world peace, and replaced the sensa- tional, romantic, but outdated intelligence image of the mystery writers with a mature understanding of the modern intelligence process. Intelligence:: is still an exciting profession, but in the intellectual and technological sense, not just the physical. Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 TAB Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Approved Fbw2elease 200$%12/23: CIA-RDP83-0 0 0 OO@ DM01-8 2 January 1975 MEMORANDUM FOR:. Deputy Director, for .Intelligence. Deputy. Director. for Operations Deputy: Direc.to:r for Science 'and. Technology Dep.uty to __the 'DCI. 'for Nati.onal. Inte.l'ligence ;Officers Deputy to. the. DCI. for .the Intelligerice:Community General - Counsel' Legislative 'Counse-l Insp-cctor General SUBJECT DCI. Briefing Concerning Domestic Activities. - Attache'a for.. your information and re.tenti.on is a copy of ,the transcript :of the DCI presentation in the auditorium on 30 December 19.74,. concerning .the allegations that the Agency has been. involved. in domestic activities.- Although the report is stamped .'?Administrative Internal Use- Onlys",. you may wish to . exercise some reasonable 'precaution in, the handling of this material until.-and unless- :the Director auth razes::further dissemination. STAT Executive Officer Deputy. Director for Administration Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 Attachment Transcript Approved list Release 2005/12/23: CIA-RDP83-01''Q2RD00300010001-8 DCI SPEECH - 30 December 1974 DCI: Well I'm sorry, for a variety of reasons, to disrupt your morning. Mostly I'm sorry for the amount of hullabaloo that we're in for again I see. The Agency has had this kind of problem before, as many of you will remember, from the Bay of Pigs to the Ramparts case and, most recently, Chile and now another. .What I thought I would do today is give you a rough outline of where we. stand, of where I think we're going to go and answer various specific questions that I know you have in your minds, and then be prepared to answer Where we stand. We obviously were accused in the New York Times of conducting a massive domestic intelli- gence operation. That's not so. And I indicated that that's an inaccurate characterization of what this Agency has been doing. What the Agency has done pursuant to its law, which says that it shall not have any law. enforcement, police, subpoena powers or internal security functions, has been to work on foreign intelligence and foreign counterintelligence. Now, in the course of that, there were a few things where we probably. stepped a little over the edge. For example, in following a foreign intelligence or foreign counterintelligence case, we quite naturally Approyed for Release 2005/12/23 :,CIA-RDP83-01042R000300010001-8 Approved% or Release-2005/12/23: CIA-RDP83- 42R000300010001-8 run across the names of Americans sometimes. and defend the Constitution of the United States against Charter. All of us.have taken an oath ,to support and If those deal with internal security we pass those to the FBI. Now there's nothing wrong with that.. It fits within our foreign-and domestic. We are obliged under- to.conduct foreign counterintelligence activities, and we are entitled to help.our country ;to defend itself, against foreign and Now where we may,have slipped over the edge, in a few cases, is in setting up an operation. We sometimes would .put somebody into a radical movement here as a way of developing their credentials for work abroad...-Again,." no problems. That's.just part. of the foreign intelligence operation. But in the course: of working into that group domestic enemies. and . developing those credentials sometimes they reported material while they were in that operation. Now that,.:: if it were substantial we would pass it onto the. FBI. We would probably make a record of it, and in that way we built up a file of names of Americans and some know- ledge of American activities. But the.activity was not aimed at the domestic groups. The activity was aimed at preparing somebody to go abroad to work in the.things that 2 Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 . Approved For lease 2005/12/23 CIA-RDP83-01042000300010001-8 ~; A___R A 4?--RT are quite proper,in our Charter. There is another area, hacjever If you look into both the article and the history of this Agency, you will all remember last year when Director Schlesinger sent out a memorandum which said that he knew that there were some questionable activities in the Agency's past history, and he wanted reports- of those accumulated. We did accumulate anything that people thought were questionable, and in the course of that we built up a little collection.- I went and briefed the Chairmen of the House and the Senate Armed Services Committees on those activities. And you'll also recall that in the succee ding-__mAnthsy_we sent out a memorandum.to the different Deputy Directorates and specifi-- cally referred to each of those cases that was brought up in that exercise. And, we made it very clear as to the proper limits of that activity and the things that we would not do that would be improper. Now, I think that, in other words, that exercise, both of briefing the Chairmen and of sending-out the Directives, has essentially put the Agency in a position where I can say with good conscience that I don't know of any improper activity going on now, and I don't think there is any improper activity going on now. Approved For Release 2005/12/23 CIA-RDP83-01042R000300010001-8 Approved Forease 2005/12%23 : CIA-RDP83-01'0420300010001-8 As to the past. As to the past, -there were. things running back as far as 1950,,the early '50s, and you have to realize, and.I think most Americans, sensible Americans, realize that we're talking about a different. atmosphere and a different political climate and a -different feeling of what this Agency was for.and what it was about, and that at that time, in those succeeding years between then and this post-Vietnam, post-Watergate atmosphere, there have been a lot of changes in basic attitudes and climate. And some of the things that really looked reasonable at that time don't look reasonable now. We've found a few of those, we found a few things where if you take the statute which says that the Director is. responsible for the, protection of intelligence sources and methods, some of our security activities, some of our protection of our sources and methods and protection -of the Agency, certainly went over the edge of what we. should have been doing. There are a few cases of that, and I have reported those to the President and they were reported to the Chairmen of the two Committees a year or so ago. So these I have referred to in various situations as skeletons in the family closet which, hopefully, should. remain there. Obviously they didn't. Approved For Release 2005/12/23 CIA-RDP83-01042R000300010001-8 Approved Fow.Release 2005/12/23 CIA-RDP83-010 0a0300010001-8 What happened, I think, was that Mr. Hersh talked to various ex-employees, and he got an edge on.the first program, the counterintelligence program, and. then he got a few hints of some of the other activities that had been brought together last year. It's my estimate'that he probably got those hints from people who contributed to that collection rather than from having seen the collection itself or gotten it from anyone who had access to the collection itself. And this is a normal journalistic practice. It's obviously part of. the muckraking or exposure school of journalism.' But once, with a little hint or two, any reasonably intelligent-reporter can get enormous additional amounts of information by going to people who in perfectly good faith are horrified by the allegation and then proceed to try to clarify .the-real facts and the real justification for that reporter: And if you do that to enough people, you can collect the whole story without too much trouble. And in this case what Mr. Hersh did, I am convinced-- and, frankly, I told him so -- he put two or three totally disconnected elements together to make his story. He put the fact of the counterintelligence program and the fact 5 Approved For Release 2005/12/23: CIA-RDP83-01042R000300010001-8 Approved For Release 2005/1;2123.; CIA-RDP83-pta42 that it was aimed at foreign links. to American dissidents . and he took some of the individual wrong things that CIA did in the past, added them together and.created,a massive domestic,intelligernce activity. I'm reminded a little bit of Macy's parade where you take a thin film of fact, create an illusion that population. think in and, as you know, we similar problems.. Now those are essentially the facts,o - .~_ _ to go-in-ta-z e-Lai1 T ~: "I 'd1d I'm into detail with the President. And, I want to leave with President, as I think is proper, the decision as to what to do for the next step. Ithink he will be back here, as you've seen in the papers, this week and will probably have a session, and then he'll announce just exactly what he's going to do with this report and what he's going to do as further steps. But I think that I want to reassure those of you who may have suspected that our counterintelligence activity was indeed a massive domestic intelligence activity, that Approved For Release 2005/12/23 : 9A-RDP83-01042R000300010001-8 fill it with_h t air, and captures the gaze of the entire a way we"are facing that problem have in the past faced somewhat Approved Fo Release 2005/12(23 CIA-.RDP83-01p4 Q00300010001-8 it wasn't, that it was within the proper Charter of the Agency, that there were some individual errors made in it and wrong things done in it, that separately the Agency in the last 25 years has done a few wrong things but they weren't connected with that domestic intelligence activity, and that they were very exceptional to the basic thrust of the Agency's activity. And they were, I think, the kind of thing that can be expected if you run.a large institution for 25 years, be that institution a Government agency, a corporation, an academic institution or maybe even a publication affair. You will have some things that are done wrong in that size an operation over that many years. Now, unfortunately, we are in this post-Vietnam and post-V/atergate mentality and with the strong stress on morality and a little bit of revisionist history and all this, and so we are going to take a few brickbats and a few pies in the face over things that were done at previous times. This we are a little bit used to, as we have done it before and I wouldn't be surprised in the future if certain things change, certain atmospheres change, that some of the things that we do now will either be thought of as too much or too little in later years. Approved For Release 2005/12/23 : CIA-RDP83-01042R000300010001-8 'Approved For l"e ease. 20ti51fZ/23 `.tTA RDP_8 O1 O42 PQE 10001-8 So that is part of the post audit way in which we run, a lot of our democratic : surveillance of our Government in this society and I think that we have to expect it. Now, let, me go to a .couple of # the other things... . The first is the question of are we purging the CI Staff, are we going throughwa massive clean-up campaign, and -so forth. The answer. , is no. As I think I've indicated, I'm reasonably confident that with some small edges of the problem that their functions were proper .and that there is no question of any massive illegal activity in that. Mr. Angleton-- I did.meet Mr. Angleton before this article appeared --.I havenot,seen him since then -- and at.that time I did inform him that Ithought it was time for some successor leadership to take over those functions. I did not ask him to retire or resign, but,I pointed out the very substantial. financial benefits that you're all aware of for people who do retire. But.I assured him that if he elected not to,.,that I would find another job for him, and I outlined what Ithought it was, so that I left the option up to him to stay in the Agency and do something different, not do what he's been doing, but to go ahead and either to retire or not to retire as he chose. Approved For Release 2005/12/23 CIA-RDP83-01042R000300010001-8 Approved For Release 2005/12/23 - CIA-RDP.83-O1~42R000300010001-8 On the other three gentlemen mentioned in this morning's paper, they were not asked to resign or retire.. They were told. that they would not succeed as the Chief of the CI Staff, and I think that led them to make the same decision to retire under the benefits of the Retire- ment Legislation that they face. So I don't think they were pushed out. They were not given the succession that was going to go somewhere else -- but they were told that the leadership of the CI Staff was going to change and if they remained after the change, why that was a matter of their choice. But I stress -- and I do want to stress this for their benefit -- they were not being purged for any wrongdoing; this is not any clean-up campaign aimed at them. It's-been my feeling for a number of months -- and I have discussed this with various people over the past number of months -- that some change in the organizational structure and the management of CI Staff was appropriate, and, unfortunately, it all came to a head here at the same time. But I won't say that it's totally disconnected with all this, because I don't think anybody would believe me if I did, whether it was true or not. But the fact is that this has coincided, certainly, with Approved For Release 2005/12/23 t) CIA-RDP83-01042R000300010001-8 Approved FoIease'005/12/23: CIA-RDP83-010428000300010001-8 this development but that it doses not represent any indication of illegal activity, improper activity, or any effort to cleanup some terrible place in the Agency. Now I' d 'like of illegal activities. I indicated that to mention the question some of the things that we found by dredging through the Agency's-skeletons-were technically illegal. There are some things within the Charter of Now there are two levels of this. that are proper, but they're not this Agency-to do, and in that sense they're actions which we are not authorized to do but they are not things that are a crime. Those_ things I think we've cleaned up." There are really a very few things which technically, ,.. in a technical sense, might be carried.as an, actual violation of some criminal statute of the United States. Now I do not propose, I do not believe that Cher,.,,- are any of these which are the subject of real prosecutioal and of conviction of the people involved, because there w