LETTER TO MR. MORTIMER M. CAPLIN, PRESIDENT FROM RICHARD HELMS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP84-00313R000300010032-3
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 9
• Document Creation Date: December 12, 2016
• Document Release Date: May 28, 2002
• Sequence Number: 32
• Publication Date: November 28, 1969
• Content Type: LETTER

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28 November 1969
Mr. Mortimer M. Caplan, President
National Civil Service League
1028 Connecticut Avenue, N. W.
Washington, D. C. 20036
Thank you for your letter inviting me to submit nominations for the
16th Annual Career Service Awards of the National Civil Service League.
It is with extreme pleasure that I nominate Mr. Lawrence R.
Houston, our General Counsel. The enclosed papers reflect the great
responsibilities which Mr. Houston has carried throughout his Federal
career and the truly outstanding manner in which he has met the repeated
challenges. His contribution to me and my predecessors has been invaluable.
I recommend Mr. Houston without reservation as an individual who
personifies every attribute associated with distinguished service.
Sincerely,
Richard Helms
Director
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NAPE, TITLE AND GRADE Lawrence R. Houston, General Counsel, EP V
STATOTHR
ORGANIZATIONAL LOCATION : Central Intelligence Agency, Washington, D. C. 20505
EDUCATION 1931-35 Harvard University, B.A. History
1936-39 University of Virginia, LL.B.
1953 Advanced Management Program, Harvard University
1951E Human Resources Program
LENGTH OF SERVICE 22 years
MARITAL STATUS Married, two children
DATE AND PLACE OF BIRTH 1+ January 1913, St. Louis, Missouri
Sverdlovsk, a Berlin bridge, and the committee rooms of Congress, all these
disparate places have a common factor in the calm, effective presence of Lawrence R.
Houston, General Counsel for CIA. That has been his career; Larry Houston was our
first and continues as our only General Counsel. Most significantly, Mr. Houston
was the legal architect of CIA.
Mr. Houston's exemplary service and unique contributions to our national security
began even before CIA became a functioning reality. His performance with the Agency
and with its predecessors will be engraved in the annals of CIA as a superlative
record of devotion, dedication and ability.
Prior to World War II, Mr. Houston was well established in a private legal career.
With the war he entered military service and was commissioned in the Army JAG. He
was assigned to OSS and served abroad as Theater Counsel, rapidly assuming executive
responsibilities. At war's end, he returned to OSS Headquarters and was at once in-
volved in the preparatory planning for a centralized intelligence organization.
As Mr. Houston examined the basic concepts he also appraised new threats to the
national security then barely apparent. Convinced that a centralized intelligence
organization was essential as the first line of defense, he did not return to his
promising career -- he stayed to become the legal architect of the Central Intelligence
Agency.
Demonstrating the highest degree of professional skills and, even more importantly,
exercising almost prophetic foresight, Mr. Houston in the next year created the legis-
lative design for the Agency that was incorporated in the National Security Act of
1917. His brilliant vision met the challenge of the unknown -- no changes have been
required or made in the statute that established the mission of the Agency. An equally
remarkable achievement was the creation of the Central Intelligence Agency Act of 1949.
Mr. Houston designed the legal tools that would enable an intelligence organization
to function effectively. Within the framework of our democratic society this was no
facile task, but again an unprecedented job was done. Applying his skill, imagination
and, again above all, foresight, he formulated the unique authority required. The
artisanship of these legal instruments for a new Agency without precedent in American
history j sAp~r8 * 'RVR&s TM. /Kfl#':,CYW-F43PMeg0,4f3RO X)0040032-3
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Throughout his career, Mr. Houston has exercised a broad range of responsibilities
involving legislation. Normally, this included responding to the requirements of
Congress but the sensitive nature of our work inevitably complicated compliance with
these requests. Of even greater importance is Mr. Houston's responsibility for review-
ing pending legislation to ensure that it would have no adverse impact upon the Agency's
unique authorities. On many occasions legislation drafted for government-wide appli-
cation could have seriously impaired the functioning of the Agency, and in consequence
the national security. Thus, it was Mr. Houston's task to demonstrate that the needs
of the Agency were unique, and to convince the framers of the legislation that Agency
authorities should be exempt. He displayed great skill in drafting substitute pro-
visions that safeguarded,the Agency's interests and, in turn, the national interest.
The legal executive behind the U-2 story and the Francis Gary Powers saga again
was Lawrence Houston. Beginning with the unique aircraft procurement contract, he
applied his legal skills and ingenuity to the program. The contract itself was a
prime factor in achieving the first U-2 flight six months after contract signature.
The incentive concepts underlying this contract have since been widely adopted by the
Department of Defense. Particularly notable was the thwarting of the aviation indus-
trial espionage network; the aviation industry learned of the U-2 only after it had
been built, tested and become operational. The U-2 program over Russia ended on
1 May 1960 when Powers was captured near Sverdlovsk. Behind the scenes Mr. Houston
was fully engaged in the unique aspects of international law which were involved.
After Powers' trial and imprisonment, Mr. Houston oversaw negotiations which brought
about the exchange of Powers for Rudolf Abel, a convicted Russian spy. Even while
awaiting word that the two men had been exchanged on a bridge in Berlin, Mr. Houston
was devising the means to resolve the many questions concerning the crash of the U-2
and the conduct of Powers during his mission and trial. The Agency urgently needed
unambiguous answers, and the public and Congress were clamoring for them. It was
Mr. Houston who both conceived a board of inquiry and served as its counsel. During
this turbulent series of events, Mr. Houston's legal skills and incisive counsel made
exceptional contributions to the board's findings and high national interest was
served.
During recent years the Agency has become increasingly involved in the judicial
process. In every litigation the protection of our national security complicates
enormously the often complex legal issues, and the courts themselves have defined a
sharply limited area within which national security is paramount. By so doing, the
courts safeguard the constitutional rights of American citizens. In every court case
to which the Agency was party it has been Mr. Houston's responsibility to present to
the courts, in camera where necessary, the reasons for asserting considerations of
national security. These presentations have involved not judges alone but the De-
partment of Justice, U. S. attorneys, and actions in State courts. In balancing the
often conflicting requirements of national security with the rights of citizens,
Mr. Houston's performance has been superlative.
Mr. Houston is both creator and principal practician of "intelligence law".
This new body of law has derived from the continuing flow of Agency activities, in
particular the conduct of clandestine operations. Here there were no antecedents,
no precedents attorneys could consult. Consequently, Mr. Houston was called upon
to create new legal concepts and instruments to resolve a congeries of problems unique
to the profession of intelligence and to the needs of our national security. His
solutions have become precedents in this growing and -highly specialized legal field,
and his pre-eminence is recognized by senior officials throughout government who
frequently seek his advice and guidance.
Mr. Ho F l~ gi {Q r1$ F F s3c1 ( 3L 1 2c?, in this
Agency, are unique in government. Congress intended the Agency to exercise complete
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freedom from the normal requirements of government expenditures, but this freedom
places a weighty responsibility on the Director of CIA. Accordingly, all of the
Directors have sought Mr. Houston's counsel on discretionary expenditures. Indeed,
he has played a leading role in developing implementing mechanisms.
One of many legal innovations created by Mr. Houston has withstood testing by
the courts on three occasions. This is the provision which authorizes the Director
to terminate any employee whenever deemed "necessary or advisable in the interests
of the United States." This authority was conferred on the Director by Congress in
recognition of potential dangers to national security were CIA required to follow
normal procedures relating to the discharge of government employees. Mr. Houston's
notable contribution lies not alone in his conception of this security instrument,
but equally in his counselling on its humane and judicious use.
Among the commendations given to Mr. Houston is the Agency's Intelligence Medal
of Merit, awarded for outstanding service in a particularly sensitive matter. Over
a period of three years he persevered in a series of intricate negotiations in be-
half of another government agency and succeeded in recouping government funds in
excess of $1,000,000.
As this Agency's first and only General Counsel, Mr. Houston has practiced two
professions simultaneously: intelligence and the law. Through the quality of his
performance in each, the Agency has gained immeasurably while the government as a
whole has been a beneficiary.
During more than two decades of service, Mr. Houston has compiled a record of
achievement so extraordinary that, joined with his devotion and thorough dedication,
he has become a key adviser to me as to all other Directors of Central Intelligence.
Unquestionably the effects of his panoramic contributions to the Agency and to our
country will endure. They will remain as witness to his expertise, to his character,
and to his superlative capacity in responding to the challenges of our national
security and the dramatic times in which we live.
Director of Central Intelligence
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MR. LAWRENCE R. HOUSTON
Professional Organizations:
Federal Bar Association
New York Bar Association
United States Supreme Court
Social and Civic Organizations:
Lawyers Club, Washington, D. C.
Waltz Group of Washington, D. C.
Georgetown Citizens Association, Washington, D. C.
Media:
Boston, Massachusetts (The Boston Globe)
Charlottesville, Virginia (Charlottesville Progress)
New York, New York (The New York Times)
Washington, D. C. (The Evening Star
The Washington Post
Federal Bar News)
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NOMINATION STATEMENT OF MR. LAWRENCE R. HOUSTON
FOR THE CAREER SERVICE AWARD
After thorough preparation for the legal profession, Lawrence R. Houston was
admitted to the Bar and joined the New York firm of White and Case in 1939. Within
a few years, Mr. Houston entered military service. After Arrraj Judge Advocate General
Officers' Candidate School, he was commissioned in July 19+1+ and assigned to the
Office of General Counn:el, Office of Strategic Services. Soon Mr. Houston was trans-
ferred to MEDTO as Theater Counsel for the OSS Mission where conspicuous performance
won him assignment to the OSS Mission in Cairo. There he served both as Theater
Counsel and Deputy Chief. After the war, Mr. Houston returned to OSS Headquarters
at Washington, D. C., where he began developing studies and plans relating to a
permanent centralized intelligence organization.
By late 1944, General William J. Donovan, head of OSS, had presented to President
Roosevelt concept papers designed to prevent the disaster of another Pearl Harbor.
The means proposed was a permanent peace-time central intelligence organization
reporting directly to the President.
Meanwhile, liquidation of OSS wartime activities was under way. The Strategic
Services Unit was established in the War Department to continue orderly termination
and to serve as holding mechanism for essential OSS personnel who were to become the
nucleus of the Central Intelligence Agency. Mr. Houston's demonstrated professional
skills and executive ability were recognized by his appointment in February 1946 as
General Counsel for SSU. At that time he was deeply involved in the legislative
aspects of the planned central intelligence organization, and it was during this
period that Mr. Houston had the opportunity to probe and appraise the nature of
potential threats to our national security. Convinced that a centralized intelligence
organization was essential to counter threats already discernible, he put what were
almost prophetic assumptions to practical test. Instead of returning to his promising
law practice in New York, he stayed to become the legal architect of the Central
Intelligence Agency.
So it is that many of Mr. Houston's major contributions to our national security
were made before CIA was created. For a year his proposals for functions and duties
were scrutinized at high-level interdepartmental conferences, and challenged in
congressional committee hearings. His objective was without precedent in our his-
tory: to build the statutory foundation for a permanent national intelligence agency.
These efforts culminated in the creation of CIA through a key provision in the
National Security Act of 1947. That Mr. Houston's remarkable vision more than met
the challenge is clear -- after more than two decades the mission and responsibility
of the Agency under that early law remain unchanged. Unquestionably this achievement
is an enduring tribute both to his foresight and his pioneering applications of legal
skill.
Having established the legal framework of the Agency and its mission, Mr. Houston
next began to forge the special legal tools required tp construct a successful and
permanent intelligence organization. Many unorthodox departures were essential if
an intelligence organization were to function effectively within a democratic society;
a portion of the Agency's activities must be conducted in secret and the greatest
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precautions exercised to safeguard both raw and finished intelligence. Above all,
Agency sources and methods must be protected from compromise. Painstakingly, Mr.
Houston defined the many specialized legal areas where unprecedented statutory
enablements would be required. These included procurement, appropriations and
expenditures, personnel, statistical and other reporting requirements, and haven in
the United States for selected aliens. His studies became the blueprints for an
assembly of legal instruments which Congress enacted in 1949 as PL 81-110. Again,
the precision of Mr. Houston's studies and the accuracy of his judgments are attested
by the fact that in the following 20 years no changes have been made in those unique
authorities so fundamental to the effective and secure functioning of the Central
Intelligence Agency.
Throughout most of his long service with the Agency, Mr. Houston has had super-
visory or direct responsibility for congressional matters. This responsibility
includes not only the extremely important "liaison" areas but, even more signifi-
cantly, specialized legislative aspects. His superb contributions to the National
Security Act of 1947 and PL 81-110 have already been discussed. His next major
legal landmark was the establishment of a new retirement system for certain personnel
in CIA. As the Agency began to mature a need was discerned to retire certain groups
engaged in duties unique to the Agency at an earlier age than provided for under
existing Civil Service Retirement laws. Here again Mr. Houston conducted legal re-
search in depth and applied to it his creative imagination. The results were ap-
proved by Congress as the "Central Intelligence Agency Retirement Act of 1964 for
Certain Employees". That innovation and persuasiveness are among Mr. Houston's
many qualities is exemplified by this legislation which authorized the only new
major U. S. Government retirement system in the last 40 years. Once more his
professional foresight was validated by the test of application: the Retirement
Act has served and continues to serve the needs of CIA and its employees.
But beyond these remarkable achievements remains the continuing responsibility
of CIA's General Counsel to review all pending legislation and determine its pos-
sible effect on Agency activities. In fulfilling this responsibility, as in many
others, Mr. Houston clearly has shown sustained superior performance and meritorious
enduring accomplishment.
On countless occasions Mr. Houston successfully demonstrated to congressional
committees the unintended impact on the Agency of proposed general legislation.
Not only did his reasoned presentations avoid prejudicial effects on the Agency
and in turn the national security but, drawing upon his comprehensive experience,
Mr. Houston was able to advocate substantial improvements which benefitted not only
the Agency but other departments of our government as well. Specific examples of
the latter would include assistance rendered to the Department of Justice in con-
nection with Title III of the Omnibus Crime Control and Safe Streets Act of 1968.
The congressional committees concerned requested the Agency to negotiate directly
with the Department of Justice and accepted the resulting language which, for the
first time, gave explicit statutory authorization for electronic surveillance "to
obtain foreign intelligence information deemed essential to the security of the United
States." Another such instance was the proposed amendment to the Federal Employees'
Compensation Act Amendments of 1966. Here Mr. Houston's thorough and detailed
knowledge of the Federal Employees' Compensation Act brought about major improvements
in proposed amendments which, throughout the entire government service, will perr..a-
nently ease the financial burdens of employees injured in the performance of duty,
or the dependents of employees killed in the performance of duty.
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Mr. Houston was the legal executive behind the U-2 saga and the story of Francis
Gary Powers. Six months after Mr. Houston negotiated the contract for building
the U-2 aircraft, the first U-2 was airborne. But this is not the sole precedent-
shattering aspect; the contract itself was a distinct departure from normal con-
tractual formulas in the aircraft industry. Its incentive provisions served as a
model for the Department of Defense in later contract negotiations. While these
accomplishments are certainly remarkable.,, a particularly noteworthy aspect relates
to the security of the program. The U-2 was built, tested and made operational
before the aircraft industry as a whole learned of its existence, despite the in-
dustry's well-developed industrial espionage network. The display of imagination
and resourcefulness by Mr. Houston in guiding this program to a secure and successful
conclusion must rank as unique in our industrial history. Although the U-2 program
over Russia came to an end on 1 May 1960 when Gary Powers was brought down and
captured near Sverdlovsk, the legal aspects of Powers' detention and subsequent
trial raised new questions of international law to which Mr. Houston quickly addressed
himself. Behind the scenes Mr. Houston oversaw negotiations that brought about the
exchange of Powers for Rudolf Abel, the Russian spy who was then serving an espionage
sentence in a Federal Penitentiary. Even while the exchange was taking place on a
Berlin bridge, Mr. Houston was at work on the vital and unprecedented challenge of
resolving the many questions then surrounding Gary Powers' mission and his conduct
during the trial and while in prison. Not only did the Agency need unambiguous
answers, the American public and Congress were demanding them. Out of these dis-
ordered circumstances Mr. Houston conceived the board of inquiry which he then served
as counsel. He recommended that a Federal Judge preside, and former Judge E. Barrett
Prettyman of the United States Circuit Court of Appeals for the District of Columbia,
was named. The board announced to the world its findings that Powers had "lived up
to terms of his employment and instructions ... and in his obligations as an
American." During subsequent congressional hearings Agency officials and Mr. Powers
were witnesses, with A'Lr. Houston present as their counsel. That so much of benefit
to our government was preserved in a uniquely difficult situation is due largely to
Mr. Houston's clear insight, incisive skills and cogent counsel -- all of which
merited the highest praise.
Increasingly over the years the Agency has become involved in court cases.
Invariably these situations present intricate legal problems further complicated
by security considerations. The Agency has been both defendant and witness, and in
other ways peripherally concerned. The mere involvement of CIA in any judicial
process creates a dilemma: on one hand the courts must protect and grant to our
citizens the full rights to which they are entitled under the constitution and the
law, while the Agency is charged by law with the responsibility of safeguarding; the
interests of national security. Inevitably these obligations conflict in greater
or lesser degree. Here, the equitable balancing of critical interests is as delicate
as it is essential, but with profound discernment and. judgment, tempered by his back-
ground, experience and skills, Mr. Houston has analyzed complex legal issues and
appeared personally in court on numerous occasions. He has discussed national
security implications with judges in camera, and he has worked cooperatively with the
Department of Justice and U. S. attorneys throughout the country. These activities
are not limited to the Federal courts; they have included actions in State courts
and negotiation with district attorneys in many States. Mr. Houston's legal acumen
combined with his high competence as a professional intelligence officer have enabled
him to present his views so effectively as to establish a magnificent record of
protecting the interests of national security while safeguarding fully the rights
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An early and major area of Mr. Houston's responsibility concerned expenditure of
government funds. By statute the Director is given unique authority to expend funds
free from normal government restraints and accounting requirements. This authority
carries with it unique responsibility. It is a heavy trust. Utilizing his profes-
sional skills, wisdom and profound integrity, Mr. Houston took a leading role in de-
veloping the concepts, policies and procedures under which Agency funds are expended.
Concerning the propriety of Agency expenditures, every Director of Central Intelligence
has sought Mr. Houston's guidance and professional counsel in order to maintain the
critical balance between the needs of the Agency and the established requirements of
our government. In this area, as in so many others, Mr. Houston has made significant
contributions to the national interest.
With the establishment of CIA, a new field of law came into existence and Mr.
Houston has been the principal author and practician of what has come to be known
as "intelligence law". This new body of law has derived from the continuing flow of
Agency activities, in particular the conduct of clandestine operations. Here there
were no antecedents, no lawbooks attorneys could consult. Consequently, Mr. Houston
was called upon to pioneer new legal concepts and instruments to resolve a congeries
of problems unique to the profession of intelligence and to the needs of our national
security. Mr. Houston's solutions have become precedents in this growing and highly
specialized legal field, and his pre-eminence is recognized by senior officials
throughout the government who frequently seek his advice and guidance.
One of the many legal implements designed by Mr. Houston is that provision of law
which authorizes the Director of Central Intelligence to terminate the employment of
any officer of the Agency whenever deemed "necessary or advisable in the interests
of the United States." This authority may be invoked by the Director "notwithstanding
... the provisions of any other law ...." On three occasions this authority has been
tested in the courts and the courts have uniformly upheld it as a plenary power.
Congress conferred this authority on the Director in recognition of dangers to the
national security that could arise were the Director handicapped by normal laws re-
lating to discharge of government employees. Mr. Houston's contribution lies not alone
in having conceived this legal authority, but in his counselling of all Directors of
the Agency on its humane and judicious application. Arbitrary exercise of this pro-
vision could quickly destroy the morale of valued employees; however, the attrition
rate of employees in CIA is by far the lowest in our government. Unquestionably,
Mr. Houston's judgment and uncommon sense in this delicate area are significantly
responsible for so remarkable a record.
Noteworthy among Mr. Houston's many commendations is the award to him of the
Intelligence Medal of Merit. The episode involved the apparent loss to another
government agency of more than $1,000,000. Because security considerations precluded
resort to the courts, Mr. Houston undertook over a period of three years a series of
the most intricate and sensitive negotiations, persevering until the debt to the
government was entirely satisfied. Mr. Houston's initiatives and his creative legal
thinking were directly responsible for recovering this very large debt.
After 22 years and six Directors of Central Intelligence, Mr. Houston continues
to be the first and only General Counsel of this Agency. His dedication to public
service has been complete. In him, deep devotion to duty has been the companion of
modesty, imagination and flexibility. His enormous contributions to the Agency and
to our country will endure as testimony of his unique capacity to meet the high
challenge of serving the national interest. Throughout his career, Mr. Houston's
every act has reflected the most laudable credit upon himself and on his dual pro-
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