EX-U.S. ENVOY TELLS OF '70 OFFER TO CHILE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP09T00207R001000020076-0
• Release Decision: RIFPUB
• Original Classification: U
• Document Page Count: 1
• Document Creation Date: December 22, 2016
• Document Release Date: August 9, 2011
• Sequence Number: 76
• Content Type: OPEN SOURCE

Approved For Release 2011/08/09: CIA-RDP09TOO207ROO1000020076-0
/I
.1 eus
x-u. i. Envoy ' 11
of '70 Offer to Ciiiie,
By Adolfo G. Merino
Special to The Washinston Post
The Nixon administration ? He said Washington had
offered Chile "an incredibly I proposed to underwrite Chi-
cleat Salvador Allende to corl-
pensate. three nationali::cd
U.S.-based firms, it was
learned yesterday.
in 1970 to enable the former
government of Marxist Presi-
"To reach an accommoda-
tion," he said, "the U.S. of-
fered Allende a deal which
could only be described as the
most incredibly generous
package we have ever offered
#ny government in an eco-
nomic relationship."
any }t minion.
ity in Chile, has called top ,The U.S. government made
congressional leaders to cuss o contributions to any of the
Ivilite Mouse today to disease
whether such covert opera- candidates," he said. "This was
tions should be abolished. a. departure fromthe policy of
Korry indicated that Al- the Kennedy and Johnson ad-
lende, who died in a military ministrations which, during
coup last year, received the of- the campaign for the 1964 Chi-
fer from the Unitd States in lean election, provided consid-
early 1971 after his govern- enable support for thra election
went had nationalized the Chi- of President (Edurardo)
lean operatlol,s of three U.S.-~ Fredi."
based firms, International Tel-I Korry said the United
ephone and Telegraph Corp.1 States had infiltrated the lead-'
pnd two co;,per companies--Iership of Chile's Communist
Georgetown University. UP]
obtained a copy of the statc-
ment in the wake of a disc?lt,-
sure that the Central Intelli-
gence Agency secretly funded
efforts to "destabilize" the Al-
lende government.
President Ford, whom Mon-
lean bonds with "the full faith
and credit of the American
Treasury, if the Allende re-
g;ime would negotiate a settie-
mont with ITT and the two
cooper companies."
Iiorry said A11elidc rejected
The U.S. offer wad disclo?ed i the offer "for ideological ree
by Eri; rd Iiorry, former U ."N. sons," fearing that e svould
lc.e re)crtedit. KOTrv also I\1 irxist-Socialist ,:;ov(,nn,rn!
aiQ?T~it~'d' `tt itea refused b} acre} t p help iron n t!Ic
a request from Allende for it kited States.
$1 million contribution to hiss Allende felt, Korry said.
1970 presidential campaign. that if he accdpted thod deal-
Korry made the statement' ;nd tie told nit' this himscli--
at an Aug. 15 seminar a' there would he no `Chilean
revolution' ."
Korry said that during the
10'!!1 ('hiln?,rh nrncir{t..,ti.,l ('1('r- i
tions, the U.S. embassy was
apprached lot- contributions
by "high-level fund-raisers" of
all three candidates. lie said
Allende's fund-raiser asked for
knew exactly what their inten-
tions were toward U.S. invest-',
ments when they came to:
power . .. but we were pre-
pared to bend backwards to
try to reach some kind of
agreement with Allende," he
said.
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Approved For Release 2011/08/09: CIA-RDP09TOO207RO01000020076-0