LEGISLATIVE PROHIBITIONS ON AID ASSISTANCE TO POLICE AND PRISONS IN SOUTH VIETNAM

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75B00380R000600170012-9
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 18
• Document Creation Date: December 12, 2016
• Document Release Date: March 22, 2002
• Sequence Number: 12
• Publication Date: February 2, 1974
• Content Type: CABLE

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ISSUING OFFICE IS PROHIBIT61
STATE MESSAGE
LIMITED OFFICIAL USE SECTION 1~14
F' 5 SAIGON 1434
EgOa 11652.1 N/A V
SUBJs LEGISLATIVE PROHIBITIONS ON AID ASSISTANCE TO POLICE AND
PRISONS IN SOUTH VIETNAM
REF Ao STATE 2731u 8, STATE 252t59(73I
AIDAC
1u USAID HAS GIVEN MOST THOROUGH REVIEW TO MATTERS POSED IN REF A
IN LIGHT OF POLICY OBJECTIVES THERIN AND IN FURTHERANCE OF
ASSURANCES AN' 0 OBJECTIVES SET OUT BY AMR MARTIN, PARTICULAR
CONSIDERATION HAS BEEN GIVEN TO SENATE APPROPR;AC'lONS COMITE
REPORTQ THE MISSION ACTIVITIES AND GROUPINGS RELA"ING "yO POLICE
AND PRISONS CONTAINED IN REF A PARAS 3 AND 4 ARE ANALYSED UNDER
HE FOLLOWING HEADINGS,
A, CONTRACT SERVICESJ
6o DIRECT HIRE AND PERSONAL SERVICE CONTRACT TECHNICIANS$
C, PARTICIPANT TRAINING$
Do COMMODITIES$
Eu CONVERSION FOR BUDGETARY SUPPORTS
Fu GVN BUDGET-AMERICAN AID CHAPTER-LOCAL CURRENCIES$
Ga CIP
Hu FUNDS-IN-TRUST PROCUREMENT FOR GVN,w
REF A REFERRED TA MATTERS WITHIN HEAD-~NGS A THROUGH Eo HEADINtS:.
C O N F I D R W T I A L
State Department r te( 69061W ease 2002/05/17 : CIA-RDP75B0038OR000600170012-9
 CABLE SEC DissA -nvPd Ecn ?q ' X1~70012-9
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MESSAGI
PAGE 02 NC 35650
TOR10223432 FEB 74
F THROUGH H ARE ADDED,
2, IN RESPONDING TO REF A PARA 5 MISSION WILL DEAL WITH EACH
HEADING SERIALLY IN PARA 3 BELOW, FURNISHING THE INFORMATION,AND
DATA WHICH SETS OUT THE STATUS! PLAN! RATIONALE, ETCoa NUMERICALLY
AS FOLLOWS!
t, ALL POLICE OR PRISON RELATED ACTIVITIES IN WHICH
AID IS CURRENTLY INVOLVED, INCLUDING SUMMARY OF STATUSJ,
29 PIPELINE ANALYSIS OF ALL ACTIVITIES FUNDED BY UNLIQUIDATED*DOLLAR
AND PIASTER OBLIGATIONS OR COMMITMENTSQ INDICATING EXTENT TO WHICH
EXPENDITURES THEREUNDER CAN BE HALTEDs
3, FY 74 OBLIGATIONS TO DATE BY ACTIVITY, PURPOSES AND CURRENT STATUS
OF IMPLEMENTATIONS
4, SCHEDULED PHASE-OUT OF THESE ACTIVITIES, INCLUDING THE AMOUNT
AND PURPOSES OF ANY NEW OBLIGATIONS REQUIRED FOR WINDING UP
PROGRAMS,
THE FOREGOING WILL SHOW AID AND DOD FUNDING SEPARATELY.
WHERE'APPLICABLE9 AND THE SUBPARA NUMBERS UNDER EACH HEADING
BELOW WILL KEY INTO THE FOREGOING LEGEND, FOLLOWING THE PLAN
DISCUSSION IN PARA 3 BELOW. A RECAP WILL BE PROVIDED AND OTHER
PORTIONS OF REF A DEALT WITH,
3, A, CONTRACT SERVICESB
1, ACTIVITIES AND STATUS
USAID HAS SIX OUTSTANDING CONTRACTS FOUR PROVIDING TECHNICAL
SERVICES TO PRIMINS COMPUTER CENTER SPM/CC) AND TWO PROVIDING
TECHINCAL SERVICES TO COMBINED TELECOMMUNICATIONS DIRECTORATE (CTD)I
CONTRACTS SERVING PM/CC ARE WITH
1
9
SEACA
COMPUTER TRAINING TEAM CONTRACT (AID 730-3618)1
.
29
SEACA FACILITIES MANAGEMENT TEAM AID 730-3519
3,
SEACA ADVISORY TEAM CONTRACT IAID 730-3486);
4,
COMPUTER SCIENCES CORP, (NAVCOSSACTv WASHDCa N00600-71-D-1090). A
DOD
CONTRACT ADMINISTERED BY USAID SINCE WITHDRAWAL OF US FORCES.
CONTRACTS SERVING CID ARE WITH'
C O N F I D E N T I A L
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STATE
 1 p 16
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C O N F I D E N T I A L
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ACTION #
STATE MESSAGE
T 855673 PAGE 03
TORa022343 FEB 74
NC 35650
J, QUINTON-BUDLONGQ INC- SAID 730?3241 8
2, FAR EAST TECHNICAL SERVICES (AID730-3491),
CONTRARY TO ASSUMPTIONS OF REF A PARA 3-A9 PM/CC COULD BE PURGED
OF NP SUBSYSTEMS SINCE NP USES COMPUTER TO EXTRACT DATA.. FROM NP
SUBSYSTEMS APPROXIMATELY 20 PERCENT OF TOTAL COMPUTER TIME AVAIL-
ABLE, CONTRACT AID 7303618 PROVIDES ELEVEN ADVISORS FOR DEVELOP-
ING INSTRUCTORS TO TRAIN PROGRAMMERS AND SYSTEMS ANALYSTS FOR GVN TO
HAVE ONGOING COMPETENCE, CALSS #2 FOR SYSTEMS ANALYSIS
WAS COMPLETED DURING NOV 73 AND WAS LAST CLASS WHICH CONTAINED
NP PARTICIPANTS FOR SYSTEMS ANALYSTS INSTRUCTIORS/TRAINERS, CLASS #6
FOR TRAINERS AS PROGRAM INSTRUCTORS ENDED JANUARY, THIS, WAS LAST
CLASS FOR PROGRAMMER INSTRUCTOR TO INCLUDE ANY NP PARTICIPANTSa
THESE CLASSES NOT COMPRISED SOLELY OF NP WHO CONS'~I+-UTE SMALLEST GVN
AGENCY PARTICIPATION- PLEASE NOTE NP HAVE OWN PROGRAMMING,
SYSTEMS ANALYSIS- PRODUCTION CONTROL AND DATA PREPARATION PERSONNEL
ENTIRELY DISTINCT FROM PM/CC AND RELY ON PM/CC ONLY FOR ACTUAL
COMPUTER PROCESSING OF NP APPLICATION PTO EXTENT 20 PERCENT NOTED)
AID 7303519 PROVIDES EIGHT TECHINCIANS TEACHING PM/CC
COMPUTER MANAGEMENT, NO NP ASSISTANCE INVOLVED,
AID 730?3486 PROVIDES SIX TECHNICIANS FOR TRANSFERRING
SYSTEMS TO PM/CC, THERE IS NO ASSISTANCE TO NP IN REMAINDER OF THIS
CONTRACT,
COMPUTER SCIENCES CORP, PROVIDES 48 TECHNICIANS, 37
US AND 11 VIETNAMESE, ONLY ONE TASK ORDERS #7A IN THIS CONTRACT9
INVOLVING 11 PERSONS9 ASSISTS NP IN DOCUMENTATION OF FIVE
OPERATIONAL SYSTEMS AND DEVELOPING TWO OTHER SYSTEMS, REMAINING
TASK ORDERS DEALING WITH MANAGEMENT OF CONTRACTS WAR VETERANS
SYSTEMS- CENTRAL RECONSTRUCTION DEVELOPMENT COUNCIL IN PRIMINS
OFFICER TECHWRITING ASSISTANCE AND PRODUCTION CONTROL DO NOT
RELATE TO POLICE AT ALL,
AID 7303618 TERMINATES NOV 8S 74~ AID 7303519 TERMINATES AUG 209
74 AID 730-3486 TERMINATES AUG 39 74~ AND COMPUTER SCIENCES CORP,
CONTRACT TERMINATES JUNE 139 74, NONE OF CONTRACTS WILL BE EXTENDED
EVEN THOUGH NO ASSISTANCE TO POLICE INVOLVED,
C O N F I D E N T I A L
Approved For Release 2002/05/17 : CIA-RDP75B0038OR000600170012-9
 CABLE SEC DISSahAPfGved ER
PERSON/UNIT NOTIFIED
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STATE MESSAGE
PAGE 04-06 NC 35650
TORs022343F FEB 74
RE CTDQ AID 7303241 PROVIDES FIVE US RADIO TECHNICIANS AND AID 7303
492
PROVIDES 20 TCNQS FURNISHING OPERATIONAL AND REPAIR SERVICE TO A
GOVT-WIDE SHARED TELECOM FACILITY WHICH IS ALSO, BUT NOT EXCLUSIVELY,
USED BY NP, BOTH THESE CONTRACTS TERMINATE 3/31/74 WITH NO PLANS
TO EXTEND,
2, PIPELINE,
COMPUTER SCIENCES CORP, HAS $1,460,000 DOD FUNDS TO CARRY IT TO
COMPLETION, AID 730-3519 HAS $1769000 OBLIGATED, AID 7303486 HAS
$204x000 OBLIGATED AND $28,000 UNCOMMITTED. AID 730-3618 HAS $1999000
OBLIGATED,
C O N F I D E N T I A L
Approved For Release 2002/05/17 : CIA-RDP75B0038OR000600170012-9
 CABLE SEC DISSEM Approved FRO
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TOR8022354~ FEB 74
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FM AMEMBASSY SAIGON
TO SECSTATE WASHDC 1344
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C O N F I D E N T I A L
M0170012-9
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ISSUING OFFICE IS PROHIBITED
STATE MESSAGE
LIMITED OFFICIAL USE SECTION 2 OF 5 SAIGON 1434
RID 730-3241 HAS $65000 OBLIGATED, AID 730-3492 HAS $669000
OBLIGATED AND $149000 UNCOMMITTED,
39 FY 74 OBLIGATIONS
AID 730-3241 HAS $569000 OBLIGATED
TO CARRY TO COMPLETION 3/31/74, OTHER FIVE CONTRACTSg REROo
4, PLANS,
RE CONTRACT SERVICES TO PM/CC USAID PROPOSES TO CARRY THESE FOUR
CONTRACTS TO COMPLETIONS WITH IMMEDIATE NOTICE OF PARTIAL,
TERMINATION Or ONE CONTRACT TO ELIMINATE ASSISTANCE TO POLICE
TRAINING, AID 730?3618 (COMPUTER INSTRUCTORS TRAINING TEAM)
REQUIRES ADDITIONAL $2075524 TO BRING THIS CONTRACT TO
TERMINATION IN NOV 74o WITH TERMINATION OF TASK ORDER #7
OF COMPUTE
BSCIENCESS CORPQ CONTRACTS ALL POLICE INVOLVEMENT
IS ENDED THIS MONTH SO THAT REMAINDER OF CONTRACT PROVIDES
TRAINING TO ASSIST GVN OFFICE OF PRIMIN TO OPERATE THE COMPUTER
CENTER, USAID-HAS INVESTED OVER $2 MILLION IN PM/CC PROJECT AND
THE GVN INPUT EXCEEDS THIS9 HAWING USED GVN FOREIGN EXCHANGE TO
PURCHASE THE COMPUTER, CANCE'LLA''"ON a' THE THREE SEACACONTRACTS9
WHICH INVOLVE NO FURTER POLICE A5SISTANCE9 COULD RESULT IN FAILURE
O'P T-HE PM/CCQ FURTHER WHILE IMPOS'IN% AN INCONVENIENCE USAID.WILL
INSIST THAT THE NP TRANSFER DATA EXTRACTION TO ANOTHER COMPUTER
C O N F I D E N T I A L
Approved For Release 2002/05/17 : CIA-RDP75B0038OR000600170012-9
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C O N F I D E N T I A L
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TOR60223549 FEB 74
b'170012-9 REPRODUCTION BY OTHER TH4
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STATE MESSAGE
jklo
NC 3560
LEAVING THE PM/CC WITHOUT ANY POLICE USED
COMPUTER SCIENCES CORP, CONTRACT IS THREE YEAR CONTRACT FULLY
FUNDED BY DOD TO ITS TERMINATION JUNE 13~ 74Q THE NP COMPONENT
OF THIS CONTRACT WORK ORDER #79 IS SEVERABLE AND HAS SOME
$1589000 OBLIGATED AS OF 12/31/73 TO CARRY IT TO COMPLETION,
NONETHELESS9 THIS TASK ORDER IS BEING CANCELLED ON TO DAYS NOTICE SO
THAT ALL DIRECT AND INDIRECT POLICE INVOLVEMENT IN THE PM/COMPUTER
CENTER IS ELIMINATED, THE SENATE COMITE REPORT MADE NO MENTION OF
THE PM/COMPUTER CENTER,
THE TWO CONTRACTS FOR CTD ARE FULLY FUNDED AND
EXPIRE
3/31/74,
IT
WOULD BE COSTLY TO TERMINATE FOR CONVENIENCE,
(WOULD
REQUIRE
30 DAYS TO BRING ABOUT TERMINATION WHICH WOULD
BRING
US OUT TO THE
END OF FEBRUARY) WHEREAS THESE CONTRACTS END A
MON'T.H
LATER ON
MARCH 31, 740
9o DIRECT HIRE AND PERSONAL SERVICE CONTRACT TECHNICIANSs
ACTIVITIES AND STATUS,
TWO DIRECT HIRE AND TWO PS TECHNICIANS ARE ASSIGNED TO THE PM/CC,
THEIR FUNCTIONS ARE RELATED LARGELY TO MONITORING THE CONTRACTS
DISCUSSED UNDER A, THEY ARE NOT INVOLVED IN ASSISTING THE NP, ONE
DH POSITION IS SCHEDULED FOR ELIMINATION IN JUNE 74 AND THE SECOND
IN SEPTEMBER 74, CAE PS CONTRACTORS ARE SCHEDULED FOR TERMINATIONS
ONE IN JUNE 74 AND THE SECOND IN NOVEMBER 74,
FIVE DH USAID ADVISORS ASSIST CTD CFORMERLY NINES FOUR DEPARTED
NO REPLACEMENT INTENDED), THESE DH SERVE AS TRAINING OFFICERSD
MONITOR CONTRACTS) AND ASSIST IN COMMODITY SUPPORT NO P5 TECHNICIANS
IN CTD, IT IS PLANNED TO PHASE OUT THE FIVE DH BY 3/31/74,
3, PIPELINE,
TWO DH ASSISTING PM/CC oo ZERO
FIVE DH ASSISTING CTD $6x000
TWO PSC ADVISING PM/CC HAVE $12,000 IN AID FUNDS AND $29400 IN DOD
FUNDS OBLIGATED FOR THOSE CON"TRACTSQ IN ADDITION, $91P000 OF
DOD FUNDS REMAINS UNCOMMITTED, THERE ALSO REMAINS IN THE PIPELINE
C O N F I D E N T I A L
Approved For Release 2002/05/17 : CIA-RDP75B0038OR000600170012-9
 CABLE SEC DISSEIApproy d F@'p fbft
Release flfl"/05/170'BWV-RIDP75BOO380RO%J'%7 00170012-9
ADVANCE COPY ISSUED/SLOTTED
ACTION UNIT
0 p~ REPRODUCTION BY OTHER THA
C'? 0 N F I D E N T I A L ISSUING OFFICE IS PROHIBITEI
STATE MESSAGE
T 855692 PAGE 0
TOR40223542 FEB 74
NC 3560'"
$2569000 THAT WAS OBLIGATED TO COVER COSTS OF PUBLIC SAFETY
ADVISORS WHO LEFT VIETNAM FOLLOWING CEASE FIRE IN JAN 73, THERE
MAY BE OUTSTANDING RESIDULA CHARGES AGAINST THIS AMOUNTQ
3o FY 74 OBLIGATIONS,
SOME $41PO00 OBLIGATED FOR TWO DH SPECIALISTS FOR PM/CCQ
PSC IN PM/CC ZERO
DH IN CTD w SOME $138,000
PSC IN CID ZERO
4o PLANSQ
THE DH AND PS TECHNICIANS ASSISTING THE PM/CC ARE NOT INVOLVED
IN ASSISTANCE TO POLICE AND PRISONS9 ARE NEEDED FOR CONTRACT
SUPERVISION AND MONITORING AND ARE SCHEDULED FOR PHASE-OUT WITH
THE CONTRACTS DISCUSSED IN 3-9 $18o00O MUST BE OBLIGATED FOR
RSC WHO IS SCHEDULED FOR TERMINATION IN NOV"
THE DH ASSISTING THE CTD WILL BE REDUCED ALONG WITH?THE WINDING
DOWN THROUGH CONTRACT COMPLETIONP SO THAT ALL THE DH ASSISTANCE
WILL END BY 3/31/740 ONE OR MORE WOULD DEPART EARLIER AS CLOSURE
APPROACHES, DH SERVICES ARE NEEDED IN CLOSE OUT,
Co PARTICIPANT TRAINIING,
1o ACTIVITIES AND STATUS,
POLICE TRAINING IS LIMITED TO TRAINING OF NP IN THE US IN TWO
BROAD CATEGORIES3 GENERAL POLICE TRAINING AT THE INTERNATIONAL
POLICE ACADEMY IPA) AND COMPUTER TRAINING (ADP) THERE IS NO
TRAINING OF POLICE IN THIRD COUNTRIIE .AND NO POLICE TRAINING IN
VIETNAM OTHER THAN THE CONCLUDING ACTIVITIES DISCUSSED UNDER
CONTRACT SERVICES IN A ABOVE AND THE PREPARATORY ENGLISH
LANGUAGE TRAINING DISCUSSED IN C4 2OLOWo ALL PARTICIPANT TRAINING
DISCUSSED HEREIN IS AID FINANCED,
REGULAR PROGRAM 3IPAD-
UNDER FY 73 FUNDING9 SEVEN COMPLETED TRAINING IN MAY AND DEC 730 ONE
C O N F I D E N T I A L
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 CABLE SEC DIS proved For e1ease 2002/05/17 -TOI -RE'75B00380R~ 1,70012-9
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T 855692
PAGE 0i
TOR6022354Z FEB 74
NP WILL COMPLETE TRAINING IN FEB 749
UNDER FY 74 FUNDINGP FIVE NP COMPLETED TRAINING IN OCT 73$ TWELVE
ARE STILL IN TRAINING IN THE US9 FOUR TO RETURN JAN 746 SIX TO
RETURN APRIL 746 AND TWO TO RETURN JUNE 74~ FOUR NP FOR WHOM FY 74
FUNDS ARE OBLIGATED HAVE NOT GONEs ONE MISSED PROGRAM AND FUNDING
WOULD BE CANCELLED IN ANY CASE AND THREE OTHERS DID NOT QUALIFY FOR
OTHER REASONS NECESSITATING FUNDING CANCELLATION
ADP - COMPUTER TRAINING UNDER FY 73 FUNDING. 37 NP PARTICIPANTS
COMPLETED TRAINING AND 18 ARE STILL IN TRAINING9 12 TO COMPLETE
COURSES IN FEB 74 AND 6 TO COMPLETE COURSES IN JULY 749 FIFTEEN
NP TRAINEES ARUASELECTEDQ PREPARED AND READY TO GO IN FEBRUARY. IT
IS INDICATED THEIR COURSES WOULD BE COMPLETED BEFORE SEPT 749
UNDER FY 74 OBLIGATIONS 9 NP PARTICIPANTS ARE IN THE STATES
COMPLETING TRAINING IN JAN 749 FIVE MORE NP PARTWCIPANTS ARE
SELECTEDD PREPARED AND READY TO GO FOR TRAINING THAT WOULD BE
COMPLETED BEFORE SEPT 749
29 PIPELINES
STATE
C O N F I D E N T I A L
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TORB0223552 FEB 74
00170012-9
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ISSUING OFFICE 19 PROHIBITEE
STATE MESSAGE
NC 3566.7-
RR RUEHC
DE RUMUIR #1434/3 0322000
iNY CCCCC FZH
R 0214151 FEB 74
FM AMEMBASSY SAIGON
TO SECSTATE WASHDC 1345
ET
C O N F I D E N T I A L
LIMITED OFFICIAL USE SECTION 3 OF 5 SAIGON 1434
REGULAR IPA PROGRAM TRAINING a?$30.000
ADP COMPUTER TRAINING 1729000
$2029000
39 FY 74 OBLIGATIONS
REGULAR IPA PROGRAM TRAINING - $1019000 FOR 22 NP
ADP COMPUTER TRAINING 629000 FOR 14 NP
$1639000 FOR 36 NP
44 PLANS9 USAID IS ADVISED AND FULLY AGREES THAT PARTICIPANTS
PRESENTLY IN TRAINING IN THE STATES SHOULD COMPLETE
THEIR TRAINING BEFORE RETURNING TO VIETNAM WITH RESPECT TO,
TWENTY PARTICIPANTS AWAITING CALL FORWARD FROM VIETNAMS USAID
IS CANCELLING THE PROGRAM FOR THESE PARTICIPANTS DESPITE THE HARDSHIP
IT. CAUSES THE INDIVIDUALS AND THE POSSIBLE MISUNDERSTANDING.BY THE
GVNM ALL OTHER NP TRAINING PLANS ARE CANCELLEDo RELATED TO THE
PARTICIPANT TRAINING PROGRAM BUT NO DIRECTLY A PART OF IT ARE THE
ENGLISH LANGUAGE CLASSES CONDUCTED FOR GV-N OFFICIALS IN THE STAFF
DEVELOPMENT CENTER (SDC)9
THERE ARE PRESENTLY 74 NATIONAL P0L',CE OFFICERS ATTENDING ENGLISH
CLASSES, THIS TERM ENDS FEB 89 74, THESE ARE SOME OF THE
ASPIRANTS FOR THE GENERAL POLICE TRAINING OF 64 PARTICIPANTS AT
.IPA AND 200 PARTICIPANTS IN COMPUTER MANAGEMENT PROGRAMMED FOR FY74
110 ARE ELIMINATED UNDER THE CURRENT REVIEWS AS `tO PROVIDING
C 0 N F I D E N T I A L
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TOR9022355e FEB 74
NC 3 65
ENGLISH TRAINING AS A MATTER OF GENERAL INTEREST THROUGH SDCO
MISSION DOES NOT SEE HOW CONTINUED LANGUAGE TRAINING WOULD
OFFEND PURPOSES OF NEW LEGISLATION BUT IF AID/W CONSIDERS THAT
ENGLISH LANGUAGE COURSES SHOULD ALSO BE DENIED TO NPP MISSION WILLL
BAR NP FROM FUTURE CLASSES,
Dq COMMODITIES,
1, ACTIVITIES AND STATUS, THE PREPONDERANCE OF COMMODITY
PROCUREMENTA BOTH AID AND DOD FUNDEDO IRRESPECTIVE OF PROJECT OR
ACTIVITY IS CHANNELED THROUGH THE USAID LOGISTICS OFFICE, FY 73
PIPELINE WAS ESTABLISHED BEFORE THE CLOSE OF THE PUBLIC, SAFETY
PROGRAM AS REFLECTED IN FOLLOWING SUMMARY OF AID AND DOD PIPELINE
FUNDS, THERE WERE NO AID FY 74 OBLIGATIONS FOR COMMOD!TI'ES~ ONLY
DOD FUNDS WERE OBLIGATED IN FY 74, THUS, THE AID PIPELINE FOR
COMMODITIES IS RECORDED AS $8180119,43 DERIVED AS FOLLOWS
(0009
(0299) PS TELECOM $313 - $53 FOR NARCOTICS
(#3539 NATIONAL POLICE $441 - ?$17 FOR NARCOTICS
3#3539 CORRECTION CENTERS $8
(*380) ENG, TECH SUPPORT $126
$888 LESS $70
-70
$818
DOD-FUNDED OBLIGATIONS FOR COMMODITIES ARES
FY 73 PIPELINE
I#299) PS TELECOM $496
(#252) NATIONAL POLICE 40340
$#380) ENG, TECH SUPPORT 135
$40971
DOD FY 74 OBLIGATIONS
(0009
(#380) ENG, TECH SUPPORT $527
Q0378! LOG, TECH SUPPORT 3,000
$3x527
IN ADDITION TO THE FOREGOINGO $800000 OF AID FUNDS WERE
OBLIGATED IN FY 73 FOR COMMODITIES FOR THE GVN COMPUTER CENTER AND
$150000 OF DOD FUNDS WERE OBLIGATED IN THE SAME PERIOD FOR A TOTAL
C O N F I D E N T I A L
Approved For Release 2002/05/17 : CIA-RDP75B0038OR000600170012-9
REPRODUCTION BY OTHER TH
ISSUING OFFICE IS PROHIBITI
STATE
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TORi0223559 FEB 74
i00170012R- PRODUCTION BY OTHER THAP
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STATE MESSAGE
NC 356P
OF $9550009 HENCEa THE TOTAL COMMODITY PIPELINE AND FY 74 OBLIGA-
TIONS AGGREGATESB
AID
DOD
GVN COMPUTER CENTER
80009
$818
8x498
95
$90419.
AGAINST THIS TOTALS USAID/LOG REPORTS AS OF 1/11/74) THAT
SCREENING 59000 LINE ITEMS IN 124 089r/C9S DISCLOSES THAT.4a569 LINE
ITEMS HAD BEEN R'ECIEVED9 SHIPPED OR CONTRACTED FOR, FURTHER REPORTED
THAT $192069285 REMAINED OBLIGATED9 WITH ORDERS PLACED WITH PROCURE.
MENT AGENCIES BUT IN ADVANCE MF CONTRACTS ISSUED9 OF THIS BALANCE
2859707 REPRESENTS FY 73 PIPELINE FUNDS AND $9205578 ARE FY 74
FUNDSS THE FY 73 PIPELINE IS MADE UP OF 51085338 OF AID FUNDED
OBLIGATIONS AND $1779349 OF DOD FUNDED OBLIGATIONS ALL OF THE FY 74
OBLIGATED FUNDS ORDERED AND AWAITING CONTRACTING ARE DOD FUNDS.
FROM $395279000 OF FY 74 OBLIGATIONSQ ON THE BASIS OF THE FOREGOING
IT IS UNCERTAIN HOW MUCH OF $1o206D285 OF THE OBLIGATIONS CAN BE
CANCELLED BUT IT IS POSSIBLE TO CANCEL ANOTHER $2,6069000 OF DOD
F.Y 74 OBLIGATIONS9
29 PIPELINE _? COVERED IN A ABOVE,
3.S FY 74 OBLIGATIONS COVERED IN 1 ABOVE.
49 PLAN9 OF THE 70TAL AMOUNT NOTED IN Q THAT MAY BE.
CANCELLED9 $1089358 REPRESENTS AID FUNDS OBLIGATED IN PRIOR YEARS9
THOSE FUNDS ARE OBLIGATED TO PROCURE TRANSISTOR$a CAMERA PARTS,
OFFICE SUPPLIIES9 TELETYPE SPARE PARTS9 TRANSCEIVERS AND PRINTING
MATERIALS THE BALANCE REPRESENTS DOD FUNDED PROCUREMENT FOR WHICH
AID SERVES AS PURCHASING AGENT9 THE DOD FUNDS ARE OBLIGATED TO
PROCURE HOSPITAL EQUIPMENTD CLOTHING. VEHICLE TOOLS9 CEMENTS
BATTERIES9 RADIO SPARES9 TRANSCEIVERS. RADIOS9 ROOFINGR TYPEWRITER 'oN
NEWSPRINT9 ETC. ALL OF THE FUNDS OBLIGATED IN FY 74 AND IN THE PIPE-
LINE ARE SUBJECT TO BILATERAL AGREEMENTS SIGNED WITH,THE GVNw SUB-
STANTIAL AMOUNT Off' PROCUREMENT FOR ITEMS LIKE BAFY TTERIESP,RADION
SETS9 SPARE PARTS9 ARE SHELF ITEMS FOR CLA9 EQUIVALENT OUR GSA9 SO
THAT IMPOSSIBLE DETERMINE WHETHER ITEM WILL WIND UP PURCHASED BY
POLICE OR BY ANOTHER AGENCY. COMMON USE ITEMS POSE DIFFICULTIES.
MISSION ISSUING CANCELLATION INSTRUCTIONS FOR ITEMS ORDERED THROUGH
C 0 N F I D E N T I A L
Approved For Release 2002/05/17 : CIA-RDP75B0038OR000600170012-9
 CABLE SEC DISSAp roved FoIrERelease 2002/05/17 rc@IA-RJR75B00380R0006GIO k70012-9
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4 s
a
NC 356
PROCUREMENT AGENCIES BUT UNABLE SAY HOW MUCH WILL BE EFFECTIVELY
CANCELLEDP SINCE FIRM ORDERS OR CONTRACTS WITH SUPPLIERS CANNOT BE
CANCELLEDo ALSO CANCELLING BALANCE OF FY 74 OBLIGATION (DOD) FOR
$2960690 USAID REQUESTS AID/W ASSURANCE FOR GVN THAT AID FUNDS
CANCELLED WILL BE REPROGRAMMED FOR GVN FOR AUTHORIZED USES,
C 0 N F I D E N T I A L
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TOR60223572 FEB 74
RR RUEAIIB
ENY CCCCC EOC STATE EEH
MJB592JIA568
RR RUEHC
DE RUMUIR #1434/4 0322000
RNY CCCCC ZJH
R 21415E FEB 74
FM AMEMBASSY SAIGON
TO SECSTATE WASHDC 1346
BT
C O N F I D E N T I A L
LIMITED OFFICIAL USE SECTION 4 OF 5 SAIGON 1434
EP CONVERSION FOR BUDGETARY SUPPORT,
REPRODUCTION BY OTHER THE
ISSUING OFFICE IS PROHIBITE
STATE
MESSAGE
NC 3563c-
1, ACTIVITIES AND STATUS, UMDER AID-DOD REALIGNMENT
PROGRAMS DOD HAS FUNDED PORTIONS OF AMERICAN AID CHAPTER OF NATIONAL
GVN BUDGET, THE ITEMS FUNDED APPEARED IN THE NATIONAL.BUDGET BY
LINE ITEM AND RECIPIENT AGENCY, USAID SERVED AS DOD AGENT IN APP-
ROVING, WITH CORDS/MACV PARTICIPATION AND CONCURRENCEq BILATERAL
AGREEMENT WITH GVN FOR CONVERSION DOD DOLLARS TO PIASTERS FOR GVN
BUDGET SUPPORT, USAID NEGOTIATED WITH GVN DETAILS OF AAC PORTION
OF GVN BUDGET WHICH WAS THEN ENACTED ALONG WITH GVN NATIONAL BUDGET
BY GVN LEGISLATURE, HENCE9 UNDER THIS PROCEDURE THERE REMAINS
UNLIQUIDATED BALANCE FROM Fy 739 FY 72 AND FY 70 rOTAZXING $2,026
MILLION AGAINST WHICH THERE REMAINS OUTSTANDING FOR REIMBURSEMENT
TO GVN PIASTER EQUIVALENT OF ABOUT $1,5 MILLION, UNDER GVN BUDGET
LAW, TO WHICH AID APPROVAL WAS GIVENS AUTHORITY EXISTS FOR TRANSFER
BETWEEN ACCOUNTS UP TO 20 PERCENT WITHOUT CLEARANCU AND SUCH
TRANSFER AUTHORITY ALSO INCLUDED IN USAID PROAG?S CONCLUDED WITH
GVNU FOREGOING BALANCE AND OUTSTANDING COMMITTMENT RESULTS FROM
TOTAL DOD FUNDING OF $592039000 TO PROVIDE VN$2909691009000 TO AAC
PORTIONS OF GN NATIONAL BUDGETS FOR 739 )?9 70, THERE ARE
NO FY 74 OBLIGATIONS OF THIS CHARACTER AND USAID HAS NOT YET
INFORMED.GVN OF PIASTER SUPPORTS SOURCBS9 ETC, USAID HAS PREPARED
NOTE.TO GVN ADVISING OF POSSIBLE NEED YO &1IIFT IN RESPECT OF
ACCOUNTS TO AVOID ATTRIBUTION TO US FUNDS I%OR PURPOSES. MEETING
POLICE AND PRISON RESTRICTIONS9 WHICH WILL ACCOMPANY SUPPLEMENT FOR
CY 74 TO LOCAL CURRENCY MEMORANDUM U UNDERSTANDING OF FEB 739
C O N F I D E N T I A L
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 T 855696
TOR1022357Z FEB 74
STATE
MESSAGE
Sm
NC 35671
THE SUPPORT FUNDS ARE GENERALLY FOR BUDGET USES Or DESIGNATED
AGENCY OR PROGRAM,
2u PIPELINE-- THIS IS COVERED IN 1,
3, FY 74 OBLIGATIONS a'? THIS IS COVERED IN
4, PLAN, USAID PROPOSES TO COMPLETE THE BUDGET SUPPORT
COMMITTED TO THE GVN UNDER THE AMERICAN,AID CHAPTERS, THESE INVOLVE
FUNCTIONS IN WHICH USAID SERVED AS AGENT FOR .DO D IN USE OF DOD FUNDS
OBLIGATED UNDER AGREEMENTS SUBSTANCE OF WHICH ALSO FORMS PART OF
ENACTMENT INTO LAW BY GVN LEGISLATURE, RENEGING ON THESE AGREE-
MENTS WOULD BE ESPECIALLY HARMFUL TO OUR RELATIONS WITH GVN WHO
OBIVOUSLY WOULD HAVE TO TAKE STRONGEST EXCEPTION TO OUR UNILATERAL
ACTION IN VIEW OF GVN LEGISLATIVE APPROVAL, THIS CERTAINLY WOULD
BECOME PUBLIC ISSUE IN WHICH OUR CREDIBILITY WOULD SUFFER SINCE
WOULD BE DIFFICULTQ IF NOT IMPOSSIBLE, TO JUSTIFY OUR ELIMINATING
DOD FUNDS UNDER AID LEGISLATION BEING GIVEN RETROACTIVE EFFECT,
USAID WILLS OF COURSE, SAFEGUARD AGAINST PROSPECTIVE BUDGET SUPPORT
BEING MCOMMITTED FOR POLICE AND PRISON RELATED USES. WHEN FULL
DETAILED REVIEW WITH GVN HAS BEEN COMPLETED TO DETERMINE THAT ALL
PRIOR US BUDGET SUPPORT UNDERTAKINGS WITH DOD FUNDING HAVE BEEN MET
USAID WILL DEOBLIGATE ANXFFUNDS NOT REQUIRED TO MEET PRIOR COMMITT-
MENTS,
F, GVN BUDGET - AMERICAN AID CHAPTER - LOCAL CURRENCIES,
19 ACTIVITIES AND STATUS, UDNER AID'S ASSISTANCE PROGRAM
VIP-GENERATED LOCAL CURRENCIES HAVE, OVER THE YEARS, BEEN USED
UNDER ANNUAL AGREEMENTS WITH THE GVN IN FINANCING THE AMERICAN AID
CHAPTER OF THE GVN BUDGET, THIS REPRESENTS AGREED US QF COUNTER-
PART AND IS DISTINCT FROM THE DOD SUPPORT DEALT WITH IN.E ABOVE,
HOWEVER, THE DISCUSSION IN E RELEVANT TO THE BUDGET PROCESS AND
THE USAID AGREEMENT AS PART OF BUDGET DEVELOPMENT ARE EQUALLY
APPLICABLE IN RESPECT OF THE LOCAL CURRENCIES DISCUSSED HERE, IN
ADDITION, OTHER AID-GENERATED COUNTERPART HAS BEEN APPROVED FOR
USE IN NATIONAL POLICE PROJECTS FUNDED THROUGH EXTRA-BUDGETARY
ACCOUNTS, SUCH AS THE LOCAL PROCUREMENT FUND, SPECIAL FUND IN THE
PRIMINS OFFICE, AND USAID TRUST FUND, ALL OF THESE USES
OF COUNTERPART HAVE BEEN THE SUBJECT OF AGREEMENTS WITH GVNQ THERE
C 0 N F I D E N T I A L
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TOR~0223572 FEB 74
S-n
NC 35671
REMAINS AN UNLIQUIDATED BALANCED AS Or DEC 31Q 73D Or
LITTLE OVE VN$50 MILLION APPROXIMATELY $903009 TO BE RELEASED
TO AGENCIES WHEN REQUESTS FOR REIMBURSEMENT OF AUTHORIZED
EXPENDITURES ARE RECEIVED
2, PIPELINE COVERED IN I
FY 74 OBLIGATIONS COVERED IN I
4Q PLAN, USAID PROPOSES TO TREAT THE USE OF THESE LOCAL
CURRENCIES IN THE SAME MANNER AS PROPOSED FOR DOD SUPPORT ASSISTANCE
IN E ABOVE FOR SUBSTANTIALLY THE SAME REASONS, ADDITIONALLY
COUNTERPART BELONGS TO THE GVN SO THAT ANY CONDITIONS APPLICABLE
TO ITS USE WOULD HAVE TO BE MADE AS A CONDITION TO ITS GENERATION
AND NOT RETROACTIVELYQ
G, CI'll P
1, ACTIVITIES AND STATUS, CIP FUNDS HAVE BEEN USED FOR
COMMODITY PROCUREMENT THROUGH CLA FOR THE NP SINCE LATE FY 72 WHEN
USE OF CIP WAS EXPANDED TO INCLUDE ALL GVN AGENCIES EXCEPT MINISTRY
OF NATIONAL DEFENSE,, NO CIP FUNDS WERE EVER USED TO PROCURE COMMODITI
ES
IN SUPPORT OF BUREAU OF CORRECTIONS AND DETENTIONS, WN FY 72
$32U430 WAS EXPANDED FOR TYPEWRITERS FY 73 - $3x489 FOR MULTILITH
SUPPLIESD AND FY 74 ~ $3tD620 FOR FLCURESCEN? TUBE X-RAY FOR POLICE
HOSPITALD AND 3GM COPY PAPER, ALL SUPPLIES ARRIVED OR FIMLY CON-
TRACTED FOR WITH SUPPLIER EXCEPT $14)473,50 FOR 3-M COPY PAPER FOR
WHICH AWARD WAS ANNOUNCED ON 1/9/73, THERE ARE TWO INVITATIONS
FOR BID OUTSTANDING FOR SEWING MACHINES 4$5,0009 AND RADIO TRANS-
MITTERS (S50D0009 FOR WHICH CLA HAS SEEN ADVISED THAT PROCUREMENT
HAS BEEN DEFERRED PENDING LEGISLATIVE REVIEW, REQUESTS TO ISSUE
IFB9S THROUGH CIP FOR $3;000 ? LITHOGRAPHIC SUPPLIES AND $150D000
TYPEWRITERS WERE SIMILARLY DEFERRED,
2, PIPELINE COVERED IN 1,
3p FY 74 OBLIGATIONS - COVERED IN 1,
4, PLAN, THE ANNOUNCED AWARD FOR 3-M COPY PAPER IS BEING
C O N F I D E N T I A L
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REPRODUCTION BY OTHER THE
ISSUING OFFICE IS PROHIBITE
STATE MESSAGE
 CABLE SEC DISSE
PERSON/UNIT NOTIFIED
ADVANCE COPY ISSUED/SLOTTED
T 855696
e6170012-9
REPRODUCTION BY OTHER THA
ISSUING OFFICE IS PROHIBITEL
STATE MESSAGE
PAGE 04 NC 356*t
TOR90223572 FEB 74
IMPLEMENTED, NO OTHER ACTION IS REQUIRED, CIP WILL NO LONGER BE
USED FOR NP PROCUREMENT,
H, FUNDS-IN-TRUST PROCUREMENT FOR GVNo
19 ACTIVITIES AND STATUS, USAID HAS $200a000 OF GVN
OWNED FUNDS-IN-TRUST FROM CLA FOR PROCUREMENT FROM OR THROUGH USG
AGENCIES, SOME OF THIS PROCUREMENT MAY BE FOR NP, MANY USG
AGENCIES LACK AUTHORITY TO PROCURE OR PROVIDE COMMODITIES OR
SERVICES FOR FRIENDLY COUNTRIES AND SEC, 607QA) FAA PROVIDES
BASIS ON WHICH AID MAY ENABLE SUCH PROCUREMENT ON ADVANCE OF FUNDS
C O N F I D E N T I A L
Approved For Release 2002/05/17 : CIA-RDP75B0038OR000600170012-9
 CABLE SEC DISSEApnrnvPd Fe Release 2002/05/17r9LAFAA 75RO0. 70012-9
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C N F I D E N T I A L ISSUING OFFICE 16 PROHIBITE
C 0
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TORi0223569 FEB 74
RR RUEAIIB
ZNY CCCCC ZOC STATE H
MJA254JIA569
RR RUEHC
DE RUMJIR #1434/5 0322000
RNY CCCCC ZZH
R 021415E FEB 74
FM AMEMBASSY SAIGON
TO SECSTATE WASHDC 1347
BT
C 0 N F I D E N T I A L
LIMITED OFFICIAL USE SECTION 5 OF 5 SAIGON 1434
STATE MESSAGE
NC 35670
OR REIMBURSEMENT BASIS, NO ORDERS HAVE YET BEEN RECEIVED. FOR USE
OF $2000000,
2, PIPELINE -- COVERED IN 1,
3, FY 74 OBLIGATIONS -- NONE,
4, PLAN, USAID PERCEIVES NO REASON TO RETURN FUNDS-IN-
TRUST OR REFUSE PROCUREMENT SERVICES WITH GVN FUNDS, SENATE
COMITE REPORT URGED GVN FUNDS BE USED FOR POLICE REQUIREMENTS
BUT DID NOT INDICATE USG PROCUREMENT ASSISTANCE SHOULD BE DENIED
GVN, UNLESS USAID RECEIVES EXPRESS INSTRUCTIONS To CONTRARYO WILL
CONTINUE HANDLE FUNDS-IN-TRUST PROCUREMENT,
4v FOLLOWING RECAPS PARA 3~
FY73 & PRIOR FY74 OBLIGATED NEED TO
YEAR PIPELINE OBLIGATED BUT OBLIGATE
AID 8 DOD AID 8 DOD UNCONTRACTED TO
UNLIQUIDATED COMPLETE
S ~000 I
$(000)
CONTRACT
SERVICES 20153
56 42
208
DH 8 PSC 394
179 347
15
PARTICIPANT
TRAINING 202
163
C 0 N F I D E N T I A L
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PAGE O?
TORa0223562 FEB 74
COMMODITIES 59884
CONVERSION
FOR BUDGET
SUPPORT 2p026
GVN BUDGET
AAC LOCAL
CURRENCY 90
3,,527 3p912
(INSTRUCTIONS TO
PURCHASE ISSUED
FOR 1p206)
59 RE REF A PARAS 6 AND 7p USAID WILL OBTAIN APPROPRIATE
ASSURANCES AND WRITTEN COMMUNICATION, DECON 2,1/760 MARTIN
C O N F I D E N T I A L
00170012-9
REPRODUCTION BY OTHER THA
ISSUING OFFICE IS PROHIBITEE
STATE MESSAGE
5
NC 3567
C O N F I D E N T I A L
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