PREPARATION OF MATERIAL FOR SENATE FLOOR ARGUMENTS AGAINST NEW SECTION 515 OF FOREIGN ASSISTANCE ACT

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Approved For Release 2001r,ACIA-RDP74B00415R000600080003-1 -LuitLa MEMORANDUM FOR ADDRESSEES SUBJECT: Preparation of Material for Senate Floor Arguments Against New Section 515 of Foreign Assistance Act It is recommended that we concentrate and cover the five topics listed below. Material relating to these topics which you might wish to draw upon is attached. 1. Importance of Laos to U. S. Interests Tab A (General talking paper against new section 515) Tab B (USG position on foreign forces in Laos dated 9 August 1971 and Godley and Alexis Johnson state- ments) 2. Importance of Thai Irregulars Specifically Tab C ( Talking paper) 3. Refutation of Moose/Lowenstein report concernin? Thai Irregulars Tab D (Excerpts of report contained in SFRC report on legislation) Tab E (Some background and refutations) 4. Committee Jurisdictional Argument Based on Defeat of Proposal to Transfer Military Assistance to Laos from MASF to MAP Tab F (Proposed statement) 5. Tying Hands of President, Constitutional Arguments and Security Risks Inherent in Requiring That Details Of Proposed Military Operations Be Submitted to the Congress for Approval See Tab A Ink:7 Approved For Release 2001/11/16 : CIA- 1.1,1.1.91114,410V.-..110,RTIMINIONIONIN filt? ' , I 461 4001naliC r ? P7.400415., 000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 S. 3390 Section 4: New Section 515 of the Foreign Assistance Act of 1961, as amended "Limitations on Availability of Funds for Military Operations" (page 7, line 17) New Section 515 New Section 515 would prohibit the use of funds "under any provision of law" for the purpose of financing any military operations by foreign forces in Laos, North Vietnam, or Thailand unless Congress has specifically authorized or specifically authorizes the use of funds for such purpose and designates the area where military operations financed by such funds may be undertaken. Executive Branch Position The Executive Branch strongly opposes the inclusion of section 515 in a foreign assistance act. This section is inconsistent with section 501(a)(1) of S.3108 and 1-I. R. 12604, the military procurement authorization bills, which are pending in the Armed Services Committees, and the understandings covering that section. Section 515, as worded, would affect on-going arrangements for U.S. assistance to Laos which also involve regional cooperation and sell-help and would have grave impact on our goals in Laos. These goals are and have been to aid in the orderly withdrawal of U.S. forces from South Vietnam and to preserve the precarious but important balance which exists in Laos. Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Further, the provision of subsection (b) of section 515 would impose impractical and undesirable requirements on executive actions without due regard for the President's responsibility in this field. Aside from raising constitutional questions that may impair the President's authority to conduct negotiations with the affected countries, section 515 might severely restrict the ability of the recipients to react quickly in emergency situations. For example, it could prevent the victim of aggression from engaging in hot pursuit of an enemy after his territory is invaded. Yet according to section 502 of the Foreign Assistance Act of 1961, as amended, a recipient nation may use .military training and equipment provided by us for its legitimate self-defense. In short, section 515 would require that the affected recipients of foreign security assistance allow the United States Congress to determine in advance what steps they can take in defending themselves from aggression. There is no question that the evolving cooperative relationships among the free nations of Southeast Asia are consistent with the Charter of the United Nations. There is also no question that these cooperative arrange- ments are crucial to the success of the Vietnamization program and to the whole thrust of the Nixon Doctrine. For the Nixon Doctrine in Southeast Asia means that as friendly nations assume more of the direct burden of the conflict the United States will increase its material assistance so as to help thern help each other in defending themselves against a common enemy. Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 A Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 U.S. support for these cooperative efforts is essential if they are to be successful. Finally, subsection (b) of section 515 might create serious security problems by requiring the Executive Branch to disclose to the Congress in advance detailed plans for proposed military operations to be undertaken by friendly foreign governments. Recommendations A. Strike new section 515 en toto; B. Failing that, strike the word "Laos" which appears on line 22 of page 7 of S. 3390, or C. If section 4(3) of S.3390 (transferring from MSAF to MAP military assistance for Laos and South Vietnam) is struck en toto, then substitute "under the provisions of this Act" for the phrase "under any provision of law" on line 19 of page 7 of S.3390. Previous Congressional Action A. A provision identical to new section 515 was included in the Senate version of the Foreign Assistance Act of 1971 (S.2819). During floor discussion, Senator Stennis obtained the removal of South Vietnam, Cambodia and Burma from the provision and argued for the removal of Laos. Senator Stennis made it clear that the only reason he was not fighting harder for the removal of Laos in the Senate was to avoid a secret session, implying that Laos should and would be removed in conference. 3 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 B. The conference committee deleted the entire section from the Foreign Assistance Act of 1971. 4 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 TAB! Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 [ 17 "Six. 5 1 5. 1,1,11 ITATIONS ON A r.1114.1 fit LITY 11117N1p; .18 Fon J///,,min).7 OPEMITIONS.?( ). No funds authorized or 19 appropriated under any provision of law shall be made available by any 111e0.118 by any officer, employee, or agency 21 of the United States Government for the purpose of financing 22 any military operations by foreign forces in Laos, North 9.) ,. --"? ieinam, or Thailand outside the borders of the country of the ,qovernment at' person receivi7ig such funds unless Conyress 25 h//8 VeciliCalta atiihOri;c(1 op ,.,7)eci(icolill authorizo tho maks- _ iny of funds available for such purpose and designates, the 2 area where military operations financed by such funds may 3 be undertaken outside such borders. 4 "(b) Upon requesting Congress to make any such au- thorization, the President shall provide to Congress a copy of 6 any agreement proposed to be entered into with any such yov- 7 ernment or person and Mc complete details of the proposed 8 military operation. ,Upon such authorization by Congress, the 9 President shall provide a copy of any such agreement and 1.0 thereafter of all plans and details of such operation." Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74B00415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 # ppro Tile result was alumni -nays 52, as follows :2) , ?, , . ? . ? - . ved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 1006---yeas 23, amendment affecting page 34 of the hill, Mr. fi'1-11.:NN.,:S. Mr.:1.'..reiteriaL, asn aivf which is at the desk. understood, now, the Senator proposes The Pl-tEii'd?DING OFFICEP.. The that hi section . 513 on page 34 of the amendment will be stated, bill, the words "South Vietnam, Cam- The legislative clerk proceeded to read bodia, and Burma" be stricken out of the amendment. lines 13 and 14, as they appear. Mr. CASE. Mr. President, I ask unani- Mr. CASE. That is right. mous consent that further reading of the 'Mr. STENNIS. Thal; would leave, o amendment be dispensed with, and that course, then, the words "Laos, Is:IA:tit the amendment be printed in the PtEcono. Vietnam, and Thailand," as they appear The PRESIDINCr OFFICER. Without now in tile bili. ' objection, it is so ordered. And, without - Mr. President, the Senator from New objection, even though the amendment Jersey has correctly stated - the undei?-- of the Senator from Idaho is the peal- standing that we have ? had about this . lug business, the Senate will proceed to legislation, and we have agreed, for the consider the amendment of the Senator purpose of this legislative step, that this jpm New Jersey. modification of section 513 will put the Mr. CASE'S amendment 18 as follows: section where ii may stay in the bill in On page 34, lines 13 and 14, strike Out that form, and we can move ferwarci with "South Vietnam, North Vietnam, Thailand, the bill without any further ail1eilallel7C6 ? Cambodia, or Burma" and insert in lieu being filed or brought up by 1,he Senator thereof "North Vietnam, or Thailand". from Mississippi. Mr. CASE. I thank the Senator from I do make the point, as the Senator has implied, that tins is done withomi. Idaho for his consideration, and, pursu- ant to my assurance, I shall cio:ay him Prejudice to a full consideration of the only slightly, I am sure there will be no .matter in conference, ba!sed on the facts .difficulty about this amendment, as they may exist at that time, Mr. President, on page 34 of the bill, Is that the Senator's understanding? the committee added a provision to the Mr. CASE. The Senator has stated correctly what his position is, and the effect that no funds authorized or appro- priated under any provision of law should basis on which ins agreement not to op- be made available by means of any offi- pose this amendment or to oiler another amendment to this section is based. cer, employee, or :agency of ? the United States to finance military operations by Mr. STENNIS. I thank the Senator,? ? 1 ? Allen A I lot t , ? iiaker :Bennett Bible BuciCiey Byrd, Va, Byrd, W. Va. Cannon Aiken Anderson Hayti ? Beall Bellmon Iicntaen Boggs Brooke Burdick - Case Chiles Church Cooper Cranston Fulbright Origin Harris Hart Cotton Curtis Eagleton Ellender Gambrell Goldwater Gravel [No. 22 Leg.] YEA ?28 ? Cook Dole Demln c Bastian Ervin Fannin Fong Gurney Hansen Hollings NAY 62 Hatfield Humphre Javits Kennedy Long IVEagnuso Mansfield 'Mathias McIntyre Metcalf Mondale Montoya Most Nelson Packwood Pastore Pearson Pell Jordan, N.C. Jordan, Idaho McClellan Smith Stennis Stevens Talmadge You D g Percy rroxinire Randolph ILibtCoil Roth Saxbe Schweiker ?Scott Sparkman SPong Stafford Stevenson Syinington Taft Welcker Wiilianx NOT VOTIN 20 Hartko I-Iruska Hughes Inouye Jackson McGee McGovern . Miller Mundt Muskie ? Thurmond. . Tower Tunney SO Mr. DOMINICK'S a endment was re"-, ice ted. Mr. FULDRIGHT. r. President, I move to reconsider the vote by which the amendment was rejec ed. Mr. PASTORE. I move to lay that mo- tion on the table. Tho motion to lay on the table Was agreed to. Mr. CHURCH. Mr. to the desk an amend its immediate considerE The PRSIDING amendment will be st, foreign forces in six countries?Laos, andI wish t o make tins fin t1ei explana- South Vietnam, North Vietnam, Thai- ton: I think leaving the word "Laos" land, Cambodia, or Burma? unless Con- in here gress specifically authorizes the use of Mr. CASE. That is another section. such funds for that purpose, and desig- - Mr. STENNIS. I beg the Senator's nates the area where they will be used. . pardon" ? I have received from. the chairman of Mr. CASE. I thought the Senator was. the Armed Services Committee an ex- talking about another section, pression of concern about the breadth Mr. STENNIS, No, I am 017411;1' about' of this amendment, and after discus- the same section. I think that leaving the. ? resident, I send .sions with him, we have arrived at the ? word "Laos" in the bill as now written is nent, and ask for '. understanding that?, ? tion. ? Mr. STENNIS. Mr. President, will the oFFIcErt. The ted. The legislative clerk6read as follows: On page 32, line 11, 4rilce out "$565,000,- 000" and insert in lieu. t4ereof "$452,000,000", Mr: BYRD of 'West -Virginia. Mr.. President, may we haye order? . The PRESIDING 0 ate will be in order. Mr. CASE. Mr. Pre ator yield? Mr. CHURCH. Mr. resident, in order ? to accommodate threeSene,tors, the Sen- ator from New Jers(Mr.ey kr. )the Senator from Arkans4 (Mr. FULIMICHT) , and the ,Senator fror Mississippi (Mr. STENNIS) , I have agr ,ed to yield briefly, with the consent of the Senate, provided I do not lose my righ to the floor. FDistuthance in th ,galleries.] ? ardenchnent to eliminate from the effect The PRESIDING FFICER. The Gal- of the bill three of the six countries, leries will be in oi'cic. The Sergeant at leaving in Laos, North Vietnam, and Arms will see that oi3ier in the galleries Thailand. That is the whole amendment. FICER, The Sen dent, will the Sen- Chair maintain order? I think this is an important matter, and the Senator ought to be heard, in view of a possible agree- ment 'on the floor. The PRESIDING OFFICER. The Sen- ate will be in order. The Senator will suspend his remarks until order has been restored. The Senator may proceed. ? Mr. CASE. Mr. President, the chair- Man of the Armed Services Committee, the distinguished Senator from Miss's-, sippi (Mr. STENNIS) and I have -cussed this matter. His concern about the number of countries affected by the amendment as reported by our commit tee. was one that I recognized with re- spect. Pursuant to an understanding that we have arrived at, I now offer this - is restored. The Senator from Mississippi has been The Chair recogni s the Senator from gracious enough to say that while 'he New Jersey. wants to consider this matter further at, Mr. FULERIGHT. *. President, may a later stage in the 'legislation; for the we have order? purposes of the consideration of the bill . The PRESIDING FFIGEm The Sen. in the Senate at this time, -such an ate \vill be inorder.' amendment is satisfactory. . The Senator frontNew. Jersey may Mr. STENNIS. Mr. President, will the prpcoid. , ' )14,1 CASE. Mr. 144. alatC011UPEATc".teVAI311'.11kh14 ?igIA:7Rppiy,B00415 perhaps a contradiction of a provision on the same subject in the military pro- curement bill we passed 21/2 weeks ago. 1 However, I thmk that to get all the real facts on this matter before the Senate now would require a closed session. There is hardly time for that now, and I do not think there is any mood for it, either. So, as an original proposition, and without prejudice, We agreed to let this matter go as has already been outlined, and then in conference there will be a chance to re'ally consider and discuss any facts that might be relevant; and I would rest on the decision that is made by the \conferees. Under those circumstances, I hope . that the modification will be acceptable to the Senate. I have talked with some Senators about supporting my position ill this matter, and I now withdraw the re- quest because I believe this meets the situation. Mr. CASE. Mr. President, I yield to the chairman, if he wishes to make com- ment. ? Mr. -FULDRIGHT. I am in full agree- ment with that. The PRESIDING OFFICER. Who yields time? . Mr. STENNIS. Mr. President, will the Senator yield me I minute? Mr. FULERIGHT. I yield. Mr. STENNIS. I want the recoal to 'WO oief this an important i net free toCmOW fit; 197/Approved up, as is the Senator from New Jersey, of colm,,e, or anyone else--the chairman of the COn11111.ace or anyone else--and get - the facts together and get it before the ("macre-nee, Mr. CASE. The situation is that the matter will be in conference, because the House bill does not contain any provi- sion on this. subject. Mr. FULBRIGHT. I yield back the re- mainder of my time. The PRESIDING OFFICER. All time on the amendment has been yielded back. The question is on agreeing to the amendment of the Senator from New Jersey. The amendment was agreed to. Mr. CHURCH ad ressed the Chair. The PRESIDING FFICER. The Sen- ator from Idaho, b unanimous consent, yielded to three Sk atom in order, the first of those Senat rs being the Senator Born New Jersey. 41 Mr. FULBRIGH' ? Mr: President, un- der the agreement I send an amend- ment to the desk. The PRESIDIN OFFICER. The amendment will be . fated _? ,t-The legislative el rk read as follows: On page 34, line 4 strike. out the words- ", Laos, or South Vietnam." The PRESIDING: OFFICER. Without objection, the am dment will be in order.. Who yields time? Mr. FULBRIGH minutes. Mr. President, till circumstance as ti agreement with the sissippi. We have di This involves the ret iris to the Commit- tee on Foreign Relations of jurisdiction over military assistamce to Laos, South I yield myself 2 is exactly the same previous one, by Senator from Mis- cussed this matter. Vietnam and Thailai We haVe agreed Vietnam and Laos d. o strike out South ut to retain Thai- land. The Senator from Mississippi does not disagree, I may s.itY, with the return ultimately of the juq.sdiction over Laos and South Vietnam, 4hut he thinks it is premature to put it in this bill at this time. Therefore, by rz:lutual agreement, I have agreed to this ? nodification. Mr. STENNIS. Mr. President, will the Senator yield? Mr. FULERIGHT. j yield to the Sena- tor from Mississippi. Mr. STENNIS. Mr. resident, the Sen- ator from Arkansas '41ELS correctly stated the matter. Thailancl is left in the bill; and military assistanpe hereafter, if this becomes law, will be handled by the Com- mittee on Foreign Reiations. I am willing that, in the future, jttrisdietion with re- spect to Southeast Asia be returned to the Committee on iFlpreign Relations. I think that while we are there and our men are there and the activities are go- ing on, we ought to I eep it where it is, because they have to be considered to- gether. I appreciat ? the Senator's position. With that, I am sati lied with the sec- tion as modified. The PRESIDING FFICER. Who yields time? Mr. FULBRIGHT, I yiei back the re- ? mainder of my time. The PRESIDING OTAPCURYVnfCif 1.64.04.4?)FIDP741300.415R000600080003-1 S intention of tile colimittee to usurp gay jurisdiction of the Armed Services Com- rnittee. amenctment clarifies the in- tention of the comMittee. I yield back the remainder of my time: Mr. STENNIS. hi yield back the re- mainder of my time. The PRESIDING OFFICER-. All time on the amendraentihas been yielded back. The question is on agreeing to the amendment of the Senator from Mis- sissippi. ..The amendmentl was agreed to. The PRESrDi4+ OFFICE:I?, In ac- cordance with thi previous order, the Chair recognizes the Senator from Utah (Mr. Moss). ESTABLISHMENT OF ARCHES NA- TIONAL 1h?-'113,K, UTAH Mr. MOSS. Mr. !President, I ask the Chair to lay before the Senate a message from the House, of Representatives on S. 30. The PRESIDING OFFICER (Mr. ALLEN) laid before ethe ? Senate the amendment of the House of Representa- tives to the bill (S; 30) to establish the, Arches National Park in the State of Utah, which was to strike out all after the enacting clause i and insert: That (a) subject tO valid existing rights, the lands, waters, andinterests therein with- in, the boundary generally depicted on the map entitled "Boundary Map, Proposed Arches National Park, Utah," numbered RPSSC-133-20, 001E arid. dated September 1969, are hereby established as the Arches National Park, hereinafter referred to as the "park"). Such map shall be on file and available for public inspection in the offices of the National Park Service, Department of the Interior. ? (le) The Arches National Monument is hereby abolished, and any funds available for purposes of the monument shall be avail- able for purposes of the park. Federal lands, waters, and interests therein excluded from the monument by thIS Act shall be admin- istered by the Secretary of the interior (here- inafter referred to aS the "Secretary") in accordance with the .laws applicable to the public lands- of the United States. SEC. 2. The Secretary is authorized to ac- quire by donation, purchase with donated or appropriated funds, transfer from any Fed- eral agency, exchange--or otherwise, the lands and interests in lands described in the first section of this Act, -except that lands or in- terests.therein owned by the State of Utah, or any political subdivision thereof, may be acquired only with the approval of such ' State or political subdivision. SEC. 3. Where any 7iPederal lands included within the park are legally occupied or Util- ized on the date of approval of this Act for grazing purposes, pursuant to a lease, per- mit, or license for c(fixed term of years is- sued or authorized by any department, es- tablishment, or agency of the United States, the Secretary of the Interior shall permit the persons holding 'such grazing privileges or their heirs to continuo in the exercise thereof during the term of the lease, permit, or license, and one period of renewal there- after. SEC. 4. Nothing in this Act shall be con- strued as affecting in any way any rights of owners and -operators Of cattle and sheep. herds, existing on the date immediately prior to the enactment of this Act, to trail their acting for the min rity leader? Does, the minority leader yieid back the remainder of his time on this 'e.menciment? Mr. GRIFFIN. I ;veld back the remain- der of the time. ? The PRESIDING OFFS C ER,. All time on the amendr4nt has been yielded back. The question Is on agreeing to the amendment of time Senator from Arkansas. The amendment was agreed to. Mr. FULBR,IGII'll. Mr. President, I have a technical ai4entlment that does not affect the bill all all, except to clear up a typographical eitiror. The PRESIDINO OFFICER. The amendment will be stated. -- The legislative elei,:k read as follows: On page 20, line 18,1af ter "1069,", insert the following: "g350,000,000 for the fiscal year 1970, and". The PRESIDING .FFICER. Without , objection, the amendment is in order. Who yields time? - .Mr. FULBR1GHT. !I yield myself I minute. Mr. President, this has no effect upon the bill at all. It is i mistake, a typo- graphical error, on the part of the staff in preparing the bill. They did not make many errors, but told is a hard bill to keep straight. This atnendment has no effect on anything subStantive in the bill. I yield back the remainder of my time. Mr. GRHYPIN. I yield back the time, The PRESIDING OFFICER. All time on the amendment haa been yielded back. The question is on agreeing to the amendmenc ef the Senator from Arkan- sas.. The amendment waS agreed to. A5.UINDSIIcNTINO. 54$ Mr. STENNIS. Mr. lresident, I send, to the desk an amendment on which we have agreed. I do not ithink it will take_ more than a minute or minute and a half. Mr. CHURCH. Mr. 'President, I have no objection, on the basis of the same qualification. The PRESIDING OIVICER. The clerk will state the amendnient. The legislative clerk read as follows: On page 57, line 7, after the word "respon- sibilities" insert the follqwing words: "with- in the jurisdiction of these committees", and on line 11, after the worc?, "Information" in- sert the following words: 4 "vilthin the juris- diction oh these conunittees". The PRESIDING OFFICER. Without objection, the amendment is in order. Who yields time? Mr. STENNIS. I yield myself 1 min- ute. 4 ? Mr. President, this is another amend- ment on which we worked out an agree- ment with the Senator ftoro Arkansas. It relates to reports being made by the De- partment of State to the Committee on Foreign Relations, and We are in favor of that. The language was so broad, how- ever, that we thought it would include some items over which the Committee on - Armed Services has primary jurisdiction. These words merely correct and clarify that point, and I hope t le amendment will be adopted, herds on traditional COUrSeS used by them Mr. VULBRIGHT. Mm President I Drifikaa-Lc9:402c,pAe..lent, and to wa- Releaie ZOO 411 1/01 6110CIAIRDP4BOGA. ismu, ihMarting the met that exactiy wriat we agreed. There was 110 the lands involving such trails and watering Approved For Release 2001/11/16 : CIA-RDP74B00415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 AMENDMENT Intended to be proposed by Mr. to S. 3390, a bill to amend the Foreign Assistance Act of 1961, and for other purposes, viz: 1 On page 7, line 15, strike out all of SEC. 4 (5). Approved For Release 2001/11/16 CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 AMENDMENT Intended to be proposed by Mr. to S. 3390, a bill to amend the Foreign Assistance Act of 1961, and for other 'purposes, viz: 1. On page 7, line 22, strike "Laos". Approved For Release 2001/11/16 CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 AMENDMENT Intended to be proposed by Mr. to S. 3390, a bill to amend the Foreign Assistance Act of 1961, and for other purposes, viz: 1. On page 7, lines 18 and 19, strike out "or appropriated under any provision of law' and substitute "under the provisions of this Act." Approved For Release 2001/11/162 CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 CIA-RD1741300415R000600080003-1 8 February 1972 1. Senate Armed Services Committee Hearing, 22 July 1971. Ambassador Godley stated " Also there are two enemy divisions at least tied down in the north, many truck ) anti-aircraft guns, and if there was no war in northern Laos those enemy assets could be used either in South Vietnam or Cambodia." 2. Senate Armed Services Committee Hearing 22 July 1971. Under Secretary of State Alexis Johnson stated " ... Similarly ? the small number of Thai nationals who have volunteered to serve as irregular forces under the command of the Lao government receive our Isupport as do other forces in Laos. The absence of such support would undoubtedly lead to a military and political collapse in Laos. Such a collapse would not only release North Vietnamese divisions now fighting in North Laos) but would also release the larger part of the North Vietnam- ese security forces guarding the western approaches to the Ho Chi Minh Trail. Thus, the effects on the pro Tam of Vietnamization could be very lignificant..." Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 SECRET Approyed' el.:ase 2001/11/16.: CIA-RDP74600415R000609,00403 1 , venC23 r Its AUGUST 9) 1971 NO. 171 STATEMENT OF UNITED STATES GOVERNMENT POSITION ON FOREIGN FORCES IN LAOS The US Government continues to support the 1962 Geneva Agreements on Laos and believes that their full implementation would lead to not only the solution of the Lao problem but also to a general reduction in the level of violence on the entire peninsula. Since it is generally held that these Agreements are now being violated, the President of the United States in 1970 wrote to the Heads of Government of all the signa- tories urging them to support the efforts of the Lao Prime Minister, Prince Souvanna Phouma, to promote consultations among the signatories as is provided for in Article IV of the Declaration on the Neutrality of Laos in cases of violation of the Agreements. The response was disappoint- ing: some governments did not even respond to this appeal. Subsequently in his October 7, 1970,peace proposal, the President urged an Indo-China conference which would address the problems of the conflict in Laos and Cambodia as well as in Viet-Nam. To date North Viet-Nam has refused to join us in this effort to bring peace to that troubled peninsula. The root cause of the current problems in Indo-China is the presence beyond the borders of North Viet-Nam of some 250,000 North Vietnamese troops. In the case of Laos, while the United States withdrew its entire military advisory group of 666 men following the signing of the Geneva Agreements in 1962, the North Vietnamese withdrew only 40 personnel through the ICC check points. Although some of the 10,000 North Vietnamese military then in Laos were apparently withdrawn, many stayed. Over the years the number has grown, and some 80,000 North Vietnamese forces are not only directed against the neutral government of Laos, but also use the territory of Laos, the Ho Chi Minh Trail, to intervene in the internal affairs of a neighboring state, the Republic of Viet-Nam. Such use of Lao territory is in itself also a violation of the 1962 Geneva Agreements. It was in response to this continuing threat that the Republic of Viet-Nam mounted an operation in Laos and northern South Viet-Nam in March and April of 1971 to disrupt the North Vietnamese use of the Trail. The Royal Lao Government, while expressing regret for the South Vietnamese action, noted that "... primary responsibility for this development rests on the Democratic Republic of Viet-Nam which has violated internacional law and the 1962 Geneva Agreements. The Democratic Republic of Viet-Nam has violated and is continuing to violate the neutrality and territorial integrity of the Kingdom of Laos." rr More recently there has been controversy over reports of what have been called "Thai troops" in Laos. Both the Lao and Thai Governments have denied that there are Thai Government troops in Laos. The Thai h?r I Government Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Ittkon4P stIouVkatiMON: Approved For Release 2001/11/16 :.CIA-RDP741300415R000600080003-1 ? -2- Government has stated that there are volunteers of Thai nationality in irregular forces in Laos. These volunteers, many of them from areas bordering on Laos and ethnically indistinguishable from the Lao, have enrolled in the Lao military services in response to appeals from the Royal Lao Go-4ernment. These volunteers and the military organizations to which they belong are part of the RLG armed forces and are under the command of the Royal Lao Government, through the Lao Military Region commanders. On June 7 the Department of State spokesman acknowledged that the U. S. Government provided support to these volunteers and to others forces, regular and irregular, in Laos. The Royal Thai Government has acknowledged that it has provided training for Lao forces, regular and irregular, on Thai soil, acting in response to a request from the Royal Lao Government. The Thai Government's willingness to provide this kind of assistance stems from the extreme importance of Laos to Thai security. The Royal Lao Government is sensitive to implications with respect to the Geneva Agreements created by the presence of volunteers of Thai nationality rim Laos. However, in the face of the massive North Vietnamese invasion, the RLG felt constrained to seek reinforcements for the severely depleted Lao forces. it considers that it is fully justified in seeking such assistance. The DRV 's violations constitute a material breach of the Agreements which out indeed impel?the RLG to take necessary measures to defend itself. Likewise the USG, itself a signatory of these Agreements, is entitled to withhold complete compliance in light of this failure by the DRV to honor its obligations, and it is justified in responding to requests for assistance from the RLG. The Lao Prime Minister, Prince Souvanna Phouma, has made it clear on many occasions that he is prepared to return to full implementation of the Geneva Agreements when- ever the DRV is prepared to do likewise, beginning by the withdrawal of all its 'military forces from Laos. The USG fully supports this position of the Lao Prime Minister, * * Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 MEMORANDUM SUBJECT: Effects of Section 515 of the Foreign Assistance Legislation as Proposed by the Senate Foreign Relations Committee 1. As presently constituted, Section 515 will require specific congressional authorization before funds from any U.S. Government agency could be used to finance any military operations by foreign forces in Laos, North Vietnam or Thailand outside the bounds of the country of the govern- ment or person receiving such funds. 2. Should specific authorization not be obtained--or even should issuance of such authorization be delayed in any budget-cycle year--this would mean that Thai irregulars could not be used in Laos. This would have an immediate impact on Laos, as an independent state, to serve as a buffer between Thailand and the North Vietnamese. Since 1970 Laos has on the assistance given to Lao and tribal forces by had to rely/ Thai irregulars to prevent the North Vietnamese from conquering Laos by military force, i. e., from achieving a position of military predominance sufficient to permit Hanoi to force the Royal Lao government to resign, capitulate or accede to Hanoi's dictates. The focal point of Laotian defense against North Vietnamese pressure--a defense made possible. by Thai irregulars--has been the defense line in the mountainous area just north of the Laos capital of Vientiane. During the past two years Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 ? Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 the Thai irregulars have provided the majority and the best of the defensive forces available to resist North Vietnamese attacks in north Laos. 3. Without this continued support by Thai irregulars, it is almost certain that the Laos will not be able to prevent virtual North Vietnamese control of their government and the remainder of their country. The result would be the free use of all of south Laos by the North Vietnamese to move men and supplies into South Vietnam and Cambodia. It would also place the North Vietnamese armies on the Thai border, greatly facilitating support to the Communist insurgents in Thailand. It would place the Thai government in direct confrontation with North Vietnamese military forces and undoubtedly result in the Thais calling upon the United States to come to their assistance under existing defense commitments by the United States, 4. Clearly this is a situation to be avoided if possible. The continued employment of Thai irregulars is important in maintaining Laos as a buffer between Thailand and North Vietnam at minimum expense to the United States and without United States involvement. The use of Thai irregulars also avoids direct confrontation between North Vietnamese and Regular Thai Army forces. The present method of U.S. support to Thai irregulars in Laos should continue in order to ensure the continued availability of Thai irregulars for immediate commitment to meet North Vietnamese attacks in Laos where and as they occur. 2 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP741300415R000600080003-1 Finally, the presence of the Thai irregular volunteers in northern Laos plays a vital role in tying down the equivalent of a North Vietnamese main force division. These North Vietnamese troops would otherwise be available for operations against South Vietnam, with resulting effect on the rate of withdrawal of U.S. personnel. 3 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 11 Subsection (4.)?Partial Payment in Foreign 0Orrency for Military Assistance Subsection (4) increases from 10% to 25% the partial payment in foreign currency that must be made by certain recipients of military aid in order to help offset the cost of,official United States expenses within the country and the costs of educational and cultural exchanges with that country. Section 514 of the Foreign Assistance Act, initiated in the Committee, last year, requires a foreign country which received military grant aid or excess defense articles to pay, in its own currency, 1(4 of the- amonnt of the grantaid or, in the case of excess ?articles, an amount ? equal to 10%:.of the fair market value.- The foreign currency obtained in payment is Available to meet U.S. obligations in the country and to finance educational and cultural' exchange programs. It does.-not apply to a country where military aid is given. in payment for base rig,h.t.s. And, if the President decides, the payment requirement can he. waivedif, without it, the United States does not need to make dollar purchases of the local currency. for financing U.S. operations in that, country. In practical effect, the .?payment requirement is not: applied. unless it actually'reSults in dollar savings. ? . ? ? ? There is no valid reason why.recipient of military .aid should net be revised to pay at least one-fourth- the value Of the materials we give them, especially if we have to buy their currency with dollars to pay for the cost. of U.S. operations in thecountry.- This will help to im- plement the Nixon Doctrine principle of requiring other nations to shoulder a greater share of the burden for their own defense needs. Having additional foreign currencies available will also lessen the drain on our dollar resources - and have, a favorable impact on, our escalating balance-of-payments deficit. As of May., 18,1.972, agreements for local currency payments had been signed, or agreed to in principle, with 26 countries. On the basis of the 10% requirement in existing law the Department of State estimates that for the five- months covered in FY 1972 there will be collections, and, thus, savings -to the taxpayers, of $6.6 million. The Department estimated that $11.8 million would be collected in FY 1973 at the 10% rate. The Committee's action to increase, payment to 25% effective July 1, 1.972, will increase that amount substantially. Subsection (5)?Limitation on Availability. .D.J.Lelatima Subsection (5), sponsored by Senator Case, adds a new section 515 to the Foreign Assistance Act which would require specific Congres- sional authorization before funds from any U.S. Government agency or official could be made available "for the -purpose of financing any military operations by foreign forces in Laos, North Vietnam, or Thailand, outside the borders of the country of the government or person receiving such funds. . ." In addition, the amendment would require the President to make available to the Congress copies of any agreements and other information bearing on such military operations. The amendment is not intended, however, to infringe or restrict mili- tary operations and exercises outside Southeast Asia which are re- quired for self-defense purposes or which are pursuant to regional de- fense arrangements, such as NATO, or other arrangements, such as U.N. peacekeeping operations. Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 12 This amendment is an outgrowth of the "crazy quilt" financing arrangements that have emerged from U.S. involvement in Indochina and the conduct of cross-border military operations in that part of the world. It is the same as a provision approved by the Senate in last year's foreign aid bill, a provision which was deleted in conference. The Committee still believes that this problem should be corrected. and the door closed to possible repeat in the future of the type of questionable activity that has occurred with the financing of Thai forces in Laos. Staff members of the Subcommittee on U.S. Security Agreements and Commitments Abroad were in Laos and Thailand earlier this year. Following are the sections of their report, severely censored by the State Department, describing their findings concerning the Thai ir- regulars in Laos, financed by the United States: B. THE THAI IRREGULARS The program of Thai irregulars in Laos (known as the SGU program for Special Guerrilla Units) provides for U.S. support of up to [deleted] battalions this fiscal year. That remains the goal, but because of difficulties in recruitment in this fiscal year only [deleted] battalions at the most will be raised. Each battalion is supposed to have a strength of 550 men, but the infantry battalions, when deployed, are run- ning at about [deleted] each and the artillery battalions at about [deleted]. "At the time of .our visit, there were [deleted] Thai ir- regular infantry battlaions in Laos and [d.eleted] on leave in Thailand. Of the [deleted] in Laos, [deleted] were in [deleted], [deleted] in the [deleted] and [deleted] at [deleted]. There were ? also [deleted] artillery battalions deployed. The total force level of Thai irregulars present for duty in Laos was [deleted]. A total of [deleted] other Thai were either on leave,, AWOL, wounded, missing in action or on temporary duty. When we ? were in Laos there were [deleted] additional Thai irregulars in. training in Thailand. The Thai Government continues to treat the program as a sensitive subject, insisting that the numbers involved be kept secret. The United States cites the Thai attitude as the reason it, too, refuses to permit disclosure of the details. of the program. The Royal. Lao Government, however, .has different approach. In a. Voice of America interview with Prime Minister Souvann.a Phouma on January .14, the fol- lowing exchange took place:. - The reporter: "Mr. Prime Minister, we know that there are roughly 6,000 Thai troops in direct support of the Moos, mainly artillery. Have you asked for .more Thai troops to come in and support these people?" Souvanna Phouma: "They are volunteers, not regular troops." The reporter: "1 understand that sir. . . . we understand that an estimated 6,000 additional Thai are preparing to come to Laos." i: 1. A' roved For Release 2001/11/16 : CIA-RDP741300415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP741300415R000600080003-1 13 Souvanna Phouma: "We have fixed a limit of 25 or .26 battalions of volunteers. Actually, I think we have only 15 or 16 battalions. Therefore, it is necessary to add more . . . that is to say in concurrence with the Americans we have planned for 25 to 26 battalions . . . up tothe present time we have only been able to form 15 or 16 battalions. It's the complement to this group that will be coming." The reporter: "Can you tell me how many volunteer Thai troops you expect to be operating in Laos by May 1?" Soztvanna, Phouma: "In addition to the 16 battalions, we Will have about 5 or 6 more . . they can't be called Thai battalions. We must call -them volunteer battalions."' The irregulars are recruited by the Royal Thai Army from all over Thailand. The Army is also supposed to recruit cadre of officers and noncommissioned officers on a volunteer basis. Each Thai irregular infantry battalion is supposed to have [deleted} cadre from the regular Thai Army, [deleted] officers and [deleted] noncommissioned officers, and each artillery battalion is supposed to have [deleted] cadre from the regular army. When we visited. one of the Thai irregular training camps with the Thai Army General from the Thai [deleted] Head- quarters at Udorn, we interviewed two Thai irregulars through an interpreter. One was a private, and he told us that he had volunteered because [deleted]. The other was a non- commissioned officer. He told us that [deleted].- At the camp, we asked whether the officer and NCO cadre in the program were volunteers. We were told that [deleted], that they served for a year, -that they were then rotated out of the program and [deleted], and that no special effort was made to recruit ethnic Lao as distinct from other Thai. We were told subsequently in Bangkok that [deleted]. U.S: Officials who work with the program are well aware of the im.'Oita:nee of the distinction between -volunteers and - nonvo unteers [delete-a because o t e egislative prohibition against U.S. support of third-country forces in Laos, They thus emphasize that the Thai pasonnel including cadre from the re ular Army serve in TADS Limier the overk command and control of the Royal. Lao Government. They also con- tend that the regular Army cadre resign from the Army when th?eT-Toir-flhe program, alfhough [deleted]. The Thai irregulars are paid in Thai baht. The payment. is made by the CIA in Udorn to officers of the Thai liaison unit on the basis of strength figures submitted by Thai S-4's at battalion level. In the case of the trainees in Thailand, the money is paidto them at the camp by the Thai liaison unit. After the trainees depart for Laos, there is a system whereby the Thai liaison office can send allotment checks to the families of soldiers or to personal accounts. Thai irregular privates are paid 1500 Baht a month ($75) -while regular Thai Army privates are paid 530 Baht ($26) a month. Lieutenants in the program are paid 2500 Baht ($125). In addition, irregulars receive a bonus of 2400 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 14 Baht ($120) at the end of their tours. If they reenlist, they are paid a bonus of 1200 Balt ($60) and are given 200 Baht $10) a month in additional pay during their second tours. The co_aLoLa_l_)attalion per year is estimated by CIA officials in Wasinn. ase on otivanna's estimate of 25 battalions, the cost of maintaining the present Thai irregular force for a year will be approximately $100 Like the Thai General, all Thai officers in irregular units are given Lao names and Lao identity cards during their service in Laos. They go to Laos in separate Thai units-- not individually?and serve in these units as long as they re- main in Laos. Because the enlisted men in the units are volunteers, they are not subject to the same military dis- cipline as those in the regular Thai army. Hence, there is nothing that can be done to force them to remain with their - units either in training or after they are sent to Laos. Many of them do leave, a total of [deleted} since the program began or about 30%. (Thailand, Laos and Cambodia January 1972, A Staff Report Prepared for the Use of the Subcommittee on U.S. Security Agreements and Commitments Abroad of the Committee , on Foreign Relations, United States Senate, pages 18-20.) . It is virtually impossible for the Congress to know how much of the taxpayers' money is being used to support these activities, as well as others where the U.S. may be footing the bill for military operations ostensibly initiated and controlled by another government. In this con- nection, it will be recalled that only long after the fact did the Congress discover that Philippine and Thai troops in Vietnam were being paid at considrably higher rates by the U.S. Government than were Ameri- ?c,an soldiers for comparable combat service. The carrying out of such clandestine activities by the Executive BraTi-witliout ? the knowledge, let alone e approval of the onglii?na c.es a mockery o our system of separation of powers - This amendment will serve to restore a more proper balance be- tween the Legislative and Executive Branches in such matters. Sec. 5. Authorization of Security Supporting Assistance This section amends section -532 of the Act to authorize the -appro- priation of $650,000,000 for security supporting assistance for fiscal year 1973, of which $50,000,000 is earmarked for -Israel. The United States provides security supporting assistance to selected countries or international organizations to promote or maintain economic or political stability. In general, recipient COil 11 tries face actual or threatened aggression which compels them to strengthen their capacity to meet the resultant challenge to their security. The use of Supporting Assistance funds in a given country depends on the degree of importance of that country to U.S. foreign policy objectives, particularly in terms of potential impact on U.S. national security interests. Supporting Assistance funds normally contribute to SOFRO degree to the economic, growth or to the developmental goals of the recipient .eountry, but the current U.S. motive in programminp? these funds is neither economic growth. nor development per se; rather, the specific Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 E?k Q111- It Approved For Release 20611/41YT6rCIA-RDP74B00415R000600080003-1 FULBRIGHT AMENDMENT (Thais in Laos) I. Prohibition The Fulbright Amendment prohibits financing of military operations of Thais designed to support the government of Laos. (See Attachment for Law.) II. Unaffected Military Activities A. The Fulbright Amendment does not prohibit financing military activities: (1) "required to insure the safe and orderly withdrawal or disengagement of U.S. Forces from Southeast Asia, or to aid in the release of Americans held as prisoners of war," or (2) maintained to keep the sanctuaries clear or counteract actions which would prevent Vietnamization, or (3) which existed in August 1970 when the amendment was approved on the Senate floor. B. The Fulbright Amendment does not affect the financing of "local forces" in Laos. III. Congressional Criticism A. Senator Case (1) 23 April 1971, Case wrote State concerning an agreement with Thailand to finance and support Thai troops fighting in Laos in violation of the Fulbright Amendment. (2) 19 May 1971, Abshire replied: "We believe that it has been made clear that this is not a question of U.S. support for regular Thai forces in Laos. The irregular forces involved, while raised and trained in Thailand, are all one-year volunteers who go to Laos to serve under the command of the Royal Lao government. These guerrilla forces are therefore considered to be local forces in Laos. (3) 20 May 1971, Case made reference to 4,000 to 6,000 Thai troops in Laos and the fact that the U.S. Government, through the CIA, is paying for them despite a Congressional ban. *but see Senate floor debate on acceptance of provision Approved For Release 2001/11/16 ? cja.TRDP74160041,5R00.0600080003-1 ERNAL IJU uNLy Approved For Release 2001/INVE3Flifikit:FRDE4MEN5R000600080003-1 B. Senator Fulbright Fulbright wrote letter to State similar to Case's letter and received a similar reply. C. Senator Kennedy 26 May 1971, in a letter to Kennedy, Abshire appeared to argue that operations in Northern Laos were necessary to U. S. troop withdrawal from South Vietnam. D. Secret Session of Senate (held 7 June; made public 3 August 1971) (1) Based upon classified report prepared in April of 1971 by Lowenstein and Moose, Symington charged that the Administration was violating the Fulbright Amendment. He charged the Laotian war was not directed through DOD where clearly understood Con- gressional controls apply, but rather through State and CIA, an agency which, through the National Security Council, reportepWRGAT to the President: ff - h is a fact, however, that the United- States is currently paying for foreign troops, for mercenaries if you will, de- spite legislatiOn which, by letter as Well as intent, was designed to prohibit any such practice. . . I The Thai forces in Laos are part of an irregular program. They are employed in conjunction with other, in effect, OA- directed irregulars in Laos. They areTe= cruited in Thailand. All costs are paid by the W....however, including both sal- aries and allowances. These Thai forces are flown into Laos , by Air America planes which in turn are) 'hired by the U.S. Government. If any of these Thai are wounded, at least some are thereupon evacuated by Air America to a 'U.S. Air Force field hos- pital at the Royal Thai Air Force Base at 'Odom, in northern Thailand. The facts with respect to T.J.S. sup- port for Thai forces presently fighting in northern Laos were provided to the staff' by U.S. Government officials. On their face they describe a situation which con- travenes not only the intent, but also the actual letter, of the Fulbright amend- ments to last year's Defense authoriza- tion and appropriation bills. These amendments were specifically designed to prohibit the hiring of foreign troops, such as Thais, to defend the Governments of ...eigny Laos or Cambodia. I I Approved For Release 2001/11/16 : CIA-RIF74B00415R000600080003-1 INTERNAL USE ONLY Approved For ReleampRIM6jTIPeRD111741300415R000600080003-1 (2) In rebuttal to Abshire's 19 May letter to Case, Symington said: "Common sense forces one to ask, how can these Thai irregulars in Laos be described as local forces? They are Thai, not Lao. They are recruited in Thailand, not Laos." IV. Support of Administration's Position A. Senator Griffinj_ in rebutting Symington's comments concerning Abshire's 19 May letter, argued: "But are we going to say that the Laos military command cannot recruit volunteers.., should limit the recruiting of troops in its own country?" B. 7 June, State spokesman described the Thai troops as volunteers from border areas of Thailand who were in Laos at the request of Premier Phouma and that U.S. support was consistent with relevant legislation. C. 9 August, The Washington Post reported at least some CIA-supported Thai irregulars fighting in Laos were recruited directly from ranks of Thai armed forces and asked to accept special assignments in all-Thai battalions fighting in Laos. In response, State spokesman said Thai soldiers in Laos fighting there in violation of the Geneva Accords of 1962, but only because some 80,000 North Vietnamese were moving against the neutralist country. He did not confirm or deny Post story and no mention was made of violation of U.S. statutes. V. Subsequent Legislation A. 21 October 1971, the Foreign Assistance Act of 1971 was reported out by the Senate Foreign Relations Committee with a provision requiring: specific Congressional authorization before funds from any U.S. Government agency or official could be made available 'for the purpose of financing any military operations by foreign forces in Laos... outside the borders of the country of the government or person receiving such funds... ' In addition, the amendment would require the President to make available to the Congress copies of any agreements and other information bearing on such military operations." 3 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 I L.. f\IAL. USE" ONLY Approved For Releas03M igIA-IVR741300415R000600080003-1 This amendment was reported out in light of "continuing reports about U.S. financing of Thais and Cambodian mercenaries in Laos, and even Thai mercenaries in Cambodia...." This provision obviously was directly aimed at the use of Thais as volunteers in Laos. It was deleted from the legislation in conference and did not become law. At a minimum this gives rise to an inference that, facing the issue squarely, the Congress did not see fit to overrule the Administration's contention that Thai volunteers qualify as local forces under the free-world forces provision of the Defense Authorization and Appropriations Acts. Approved For Release 2oo11itlpr;,91A- pE74B00415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Excerpt from Department of Defense Appropriation Act '72 (Underscored portion is the Fulbright Amendment) December 18, 1971 - 19 - Pub. Law 92-204 85 STAT. 734 Sac. 737. None of the funds appropriated in tins Act may be used contract pay to make payments under contracts for any program, project, monts in for- activity in a foreign country unless the Secretary of Defense, or Ids sign oounbrisS. designee, after consultation with the Secretary of the Treasury or his designee, certifies to the Congress that the use, by purchase from the Treasury, of currencies of such country acquired pursua'iht to law is not feasible for the purpose, stating the reason therefor. Sac. 738. (a) Not to exceed $2,500,000,000 of the appropriations Forces in Viet- available to the Department of Defense, driving the current fiscal year nam, Laos, and shall be available for their stated purposes to support: (1) Vietnamese Thailand,sup- port. and other free world forces in support of Vietnamese forces; (2) local forces in Laos and Thailand; and :for related costs, on such terms and conditions as the Secretary of Defense may determine Provided, That none of the funds appropriated by this Act may be used for the pur- pose of paying any overseas allowance, per diem allowance, or any other addition to tire regular base pay of any person serving with the free world forces in South Vietnam if the amount of such payment would be greater than the amount of special pa.y authorized to be paid, for an equivalent period of service, to members of the Armed Forces of ?tire IInited States under section 310 of title 37, United States Code, serving, in \rietnalli or in any other host ile fire area, except for 77 Stat. 216; continuation of payments of such additions to regular base pay pro- 79 Stat. 547? vided in agreements executed prior to July 1, 1970: Ppovided -urther, That nothing in clause (1) of the .first sentence of this sti )ser, ma stia c'oiin'ued iii ant loi'isnid'r1Tt i Sr7i-r7D cfrIVTIV17)--si namese or ot ler ice Ivor ?rrees in act ions ?).signe( provit e mi 1 a ry SIC Tort. and issit-,1 ;Imo I o the (rover nment of ( ni Willa or Laos: i'oi./ Cl, la no ling contamec in I us sec ion s ia re con- strued to prohibit support of rictions .required to insure the safe and orderly withdrawal or disengagement of 17.5. Forces from Southeast Asia, or to aid in the release of Americans held rts In'iS011ers of war. (b) Within thirty days after the end of each quarter, the Secretary of Defense shall render to Congress a report with respect to the esti- mated value by purpose, by country, of support furnished from such appropriations. Sac. 739. During the current fiscal year, cash balances in working capital funds of the Department of Defense established pursuant to section 2208 of title 10, United States Code, may be maintained in only such amounts as are necessary at any time :for cash disbursements to be made from such funds: Pro,,,qcled, That transfers may be made between such funds in such amounts as may be determined by the Sec- retary of Defense, with the approval of the Office of Management and 13rulget. Sac. 7-It). No part of the funds appropriated under tins Act shall be used to pay salaries -of any Federal employee who is convicted in any Federal, State, or local court of competent jurisdiction,- of inciting, promoting, or carrying on a riot, or any group activity resulting in material damage to property or injury to persons, found to be in viola- tion of Federal, State, or local laws designed to protect persons or property in the community concerned. 741. No part of the funds appropriated under this ,\c I. stnfl he tistmi toprovido n. loan, 42:iiimittioe of ti [ono o Hy :IN who hits been cone lel hy any yowl, of general jiivisdiei no ()I' any crime which involves the liSoccl or Ow iu-0.1:41sinco I() othyrE4 in liii'- ii ropo,,,IppHpip,, op (iii? or ppopppfy under vontroi of an institution of highot. eduom ion to provont It; m.4114114114;0-, such lin institution from engaging ill their duties Cu!' pursuing I heir studies. Report to Congress. Working capital funds. 76 Stat. 521. Payments to convicted rioters, prohibition. Lunns to onmpun alornwt, nrri? Si? 'LI on. Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Mr. President: This amendment which I offer to S. 3390, the bill which continues the Foreign Assistance Act of 1961, is simple and consistent with the action taken by the Senate the other day (13 June) on amendment No. 1221. In that case, it was recognized that once normal peacetime conditions prevail in Southeast Asia--which we all hope and pray will be soon--the military assistance program of the United States for Laos and South Vietnam would be returned to the jurisdiction of the Foreign Relations Committee for administration under the Foreign Assistance Act of 1961. But as long as the war is being fought in South Vietnam and Laos, the requirements for military assistance are so different from those which can be met under ordinary peace- time conditions that assistance to these countries should be continued under the defense procurement authorization bill and administered by the Department of Defense. Section 4 of S. 3390 adds a new section to the Foreign Assistance Act of 1961. This new section would be part of permanent law and would control ?the use of assistance funds for military operations outside the borders of the country of the government or person receiving the funds. This would apply to military operations in Laos, North Vietnam, or Thailand. My amendment, which is simple and short, would assure that these controls apply to military operations carried out with funds granted Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 and administered under the authority of the Foreign Assistance Act of 1961, which applies to peacetime situations. By substituting the language of my amendment "under the provision of this Act" for the present language "under any provision of law", which appears on line 19 of page 7, we' accomplish this purpose but at the same time do not hamper situations in the war zone of Southeast Asia such as occasional incursions into Laos by South Vietnamese forces. Any such operations, I believe, should continue to be governed by the provisions of the defense procurement authorization bill which we agreed just the other day should continue to serve as the authority for military assistance for this area as long as wartime conditions prevail. Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 :i 7 4,8go. him IT,17704v,45 02N, A /,,Ith,iffiLiTy pyle Ins 18 FOB Al I fdril 14!)! OPRie?ITIONS.?(a),.No funds authorized or-.. the provisions . of this Act 9 W9torkdefi- Tinder -aleft -tivo4si1Hn--of- -law- shall be made , , ? ?- 20 available by any means by any ?Iliac's, employee, or agency 2 II i)a) ado4 23 of the United .States Government for the purpose of financing any military operations by foreign forces in Laos, North. Vietnam, or Thailand outside the .borders of the country of the,. 24 government Or person receiving such funds unless C firC88 25 haN authothed or qiecificaily autharizo the mak- ing of funds available for such purpose and desiolated I the ? 2 . . area where military operations financed by such funds may 3 be, undertaken outside such borders. "(b)? Upon requestiny Congress to mak() any such au- thorization,, the President shall prooide to Congress a copy of any agreement proposed to be entomd into withany such goo- , ernment or person and the complete details of the proposed 8,,' military operation, Upon such authorization by Congress, the 9 Prosidlow shall provide a copy of any such agreement and 10, thereafter of all plans and details of such operation." , Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 JMM: FYI - this Silts Feliltsis!.1.voith '71? is what we are oi on t e Foreign Assistance legislation. Approved For Release 2001/11/16 : CIA-RDP74600415R000600080003-1 STATI NTL App A SENDER WILL %tfiTrAS. sM,?"iftfitiVa0044S-141511156800800 nveci i-cwastlease-, Acoirgihuf 7 ' CONFIDENTIAL SECRET OFFICIAL ROUTING SLIP TO NAME AND AppRess DATE 1 Mr. Meyer INITIALS. 2 3 4 5 6 ACTION DIRECT REPLY APPROVAL COMMENT DISPATCH CONCURRENCE Remarks: FILE INFORMATION PREPARE REPLY RECOMMENDATION RETURN SIGNATURE It is hoped that this will be of some help in coordinating our efforts to come up with un- classified statements for use on the Senate floor on the Foreign Asia tion. A copy has been sent to We have some extra copies in tfle event you feel we should call on others, such as CA Staff who probably could come up with a good contribution on the more general topics such as number 5. FOLD HERE TO RETURN TO SENDER FROM: NAME. ADDRESS AND PHONE NO. 0 C 7D35 CONFIDENTIAL 041 DATE 5+TOtrtf6MOE SECRET FORM NO. 1-67 237 Use previous editions (40) 3-1 0003-1 STATIN L