LETTER TO THE HONORABLE JOSEPH CAMPBELL FROM ALLEN W. DULLES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80B01676R000700210009-5
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 6
• Document Creation Date: December 14, 2016
• Document Release Date: January 27, 2003
• Sequence Number: 9
• Publication Date: October 13, 1959
• Content Type: LETTER

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h Campbell
ptroller enema of
United .:fates
ashington 25, 4_;?. t'; .
. Campbell
ince we had the 'pleasure of briefing you on 30 July, we have discussed
other with 114r, Samuelson how the General Accounting Office's audit of this
Agency might be improved. I believe that the mineral Accounting office can
t-oar a its current audit activities in a considerable portion of the Agency,
anti in moving forward in this direction I feel that we should reach a reernent
:_=a certain fu damental aspects.
na the .;antral Intelligence Agency Act of 1949, the Congress, recognLPing
,:) i of the unique problems involved in the conduct of intelligence activities,
-)rovided broad authorities over the expenditure of and accounting for Agency
funds. In particular, =,ection 3 of that Act (formerly Section IG) provides that
?cs ni ltu res for objects of a confidential, extraordinary, or emergency nature
are to be accounted for solely on the certificate of tea erector and every
such certificate shall be deemed a sufficient voucher f'or the amount therein
:: rtified." This wording does not contemplate the review of expenditures which
rector certified were made for confidential, extraordinary, or a zergens: y
hiie all funds a. ropriated to the Agency are technically on an "unvouch-
it has been my policy and that of my predecessors to limit the ei-
so of this special authority to those activities which in the national interest
:cold have the maximum security protection. To the extent possibble A -.y
funds are expended under the other provisions of the Central Intelligence Agenc~~
.ct and the vouchers for these expenditures are available to the General
cccucstins; Office. This policy has been exercised to such a degree that ce rtai n
activities, not i> themselves sensitive but conducted solely in support of hi;,, y
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operations, are funded under general authorities without invoking
pecial authority to make final accounting therefor. A comprehensive audit
ow conducted by the General Accounting office in other agencie:t, if
so-called vouchered expenditures, would necessarily reach Into
operations which they support and which are protected by my
city under +ec don 8 of the Act. In these Instances, therefore, ti
we audit would have to be limited so as to remain outside the area
itive security o ?eradc .
n view of the statutory background, I trust that you will agree with the
sition set forth above. If you have any question I . ld be delighted to di cuss
t with you at your convenience. if we are in agreement on these funda-
priinciples, I suggest that your representatives continue to explore with
y staff the r snn r in which the scope of the rieral Accounting '-1fice's audit
Agency may be broadened, consistent with the security requirements
cerely,
Alert .. i illes
irector
DD/S: L KW:laq
CONCUR:
Distribution:
O&1-Add
t,1 N ER
I - DCI
L. K. White
1 - DDci
Deputy Director
I - GC
(Support)
I - COMPT
I - C/AS
1 ., DD/S chrono
I - DD/S subject
I -. DD/S reading
STAT
_2_
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'I IA
r Goner
M A. UftIt. t9Et i.
Z81 .C.
emvor*ation of tho a r day, I kad
audit q .Una which
repv** rmI tt r and
smisfa t r r' to yGu.
jib "so tb*r* r- arty
tr letter I=1
arth& & I would be
tta3ly your*,
s= W. L~UII*d
d/c
Orig & 1 - Addressee
1- I
1 _T,
i -
I - con troUear
X - C/A 41t StAff
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CENTRAL INTELLIGENCE AGENCY
WASHINGTON 25, D. C.
OFFICE OF THE DIRECTOR
DRAFT
bell:
had the pleas m of briefing you on 30
ys, we have discussed der
s how the Omenexal unting Offtce's audit of this ASency nig ft
. I believe that the Cameral Accounting Office can e3qmd its currant
activities in a c ldera age portion of the may, and in moving forward in this
I feel that we should reach agree wan on certain ftm4 emental aspects,
Agency 194
__,.,.- , I&AW r s,, oft ; some
r problems involved in the conduct of Intelligence activities, provided
as over the eV tune of and acing for Agency funds. In p art,c-
on $ of that Act (formerly Section 10) provides that e q enditures for objects
? w; w-M s car vxv UI _w DO aCCOUnWd for solely
the certificate of the Director and every such certificate shall be deemed a :mm-
client voucher for the amount therein certified." This wording does not contemplate
w of erp itures Which the Director certified were made for confidential,
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'0f .
'r:cy purposes.
buds, it bas been my Jody and that of my pr+ede a oraa 10 limit the exercise a
et
pratecivn. To the extent poa be P4pncy f tft are
flenda sppro!priad
slam of d w Ceaft*1 Intelligence Agmy Act sod the
for
t1w
the
M4 not themselves sensi-
solely in $ wort of highly a Operates;
my special
or, A comprehensive "ft of sort now cC &wwd by the
r a ioe, if applied to our so-
twAsuces, tberafore, the compreb mat
sw port
:Section a of the Act.
d have to be limited so as s to
reri of de the area of sensitive security operations.
T*GW of the SMUtory Wre d, I try that yet
. If you have may gwsdon I m odd be d ighted
onve Bence. If we are in agreement on Oew l princip ,
to ezpiore my Staff the
Of Agency
gip,
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dential rations which
en W a LIMMs
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MEMORANDUM FOR: Mr. Dulles
I received a telephone call from Mr. Samuelson
today indicating that GAO would agree to the fundamental
principles outlined in the attached letter to the Comp-
troller General. When the letter is received they will
respond by saying that it is an agreeable basis upon which
to start the expanded audit activities. They will add,
however, that if after a reasonable trial period they find
that this is not a profitable exercise they will request
that the matter be reconsidered.
I see no objection, and recommend your signature.
13 59
K. White (DATE)
FORM
NO -
54 101 WHICH RELACES
BEM US10-101
ED.
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