PERSECUTION OF THE JEWS IN THE SOVIET UNION

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP66B00403R000200190005-3
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 2
• Document Creation Date: December 16, 2016
• Document Release Date: January 4, 2005
• Sequence Number: 5
• Publication Date: September 1, 1964
• Content Type: OPEN

1964
Approved For Rase 2005/01/27 : CIA-RDP66B00403Rbd'0200190005-3
CONGRESSIONAL RECORD - HOUSE 20549
These ratios are not published, as such,
in the trustees' reports but are computed
from actual figures in the reports.
Upon analysis, the most significant feature
of this array of ratios is that the succes-
sive projected figures steadily decrease.
For example, in 1959 the projected OASI ra-
tio for 1963 was 2.1 and the actual was, 1.3.
Also, in 1959 the projected OASI ratio for
1970 was 3.4 and the projected ratio cur-
rently (H.R. 11865) drops to 1.3. An extrap-
olation of the trend of the figures from
successive reports to future reports leads
one to the conclusion that future actual ex-
perience will be materially less than that
projected. In other words, one would be
justified in being very skeptical as to the
validity of all projections and would reason-
ably expect that the ratios will be less than
indicated at any given time. Has the actuary
done a poor job? Not necessarily at all. He
has taken the benefit and tax provisions as
they are at the time of projection with no
allowances for future changes. An actuary
cannot anticipate what future political ac-
tions will be. An excellent professional job
has been done. The real culprit is the
"pragmatic political process." As periodic
amendments are made, the taxes required
for added benefits are spread into the future
by the very nature of the financing method.
On such occasions, the value of additional
taxes payable as to present members is
usually only a modest fraction of the value
of benefits they will receive. In addition
to this feature, current benefits may be in-
creased with a deferred tax provision. For
example, in 1961, the retirement or work
test was liberalized with a resulting substan-
tial increase in current benefit outlays. But
the cost of this change was covered by shift-
ing the tax rate effective in 1969 to 1968.
Then, under, H.R. 11865, the tax rate for
the 5 years 1966 through 1970 is decreased
from 91/4 to 9 percent (although applicable
to a higher wage base) and the year for the
ultimate level is shifted from 1968 to 1971
with the rate changed from 91/4 to 9.6 percent.
Deferments of this kind, which are typical
of the political process, account in good part
for -the lower and lower projections of trust
fund growth.
It is evident from the trend of the figures
displayed that it is very unlikely that the
trust funds will ever become much more
than equal to 1 year's benefit payments.
Does this provide ample provision to serve
the second purpose cited above?
Projections of the dollar amount of the
OASI Trust Fund have some interesting
characteristics. Here are the figures for 1970
and 1980 taken from trustees' successive
reports:
ing, the next issue of the booklet OASI-36
(November 1962) omitted the $153 billion fig-
ure and its associated money bag but kept
the charted line, now dotted, extending to the
same $153 billion point. The latest issue of
the booklet for May 1964 omits the chart
entirely but with no explanation. Will the
Social Security Administration take positive
steps to correct the grossly erroneous 1962
booklets? Enactment of H.R. 11865 will re-
quire substantial downward adjustment of
the figures that appear in this paragraph
from the current booklet:
"Income to the program as a whole is ex-
pected to exceed outgo over the 5 fiscal years
1964 through 1968 and the combined assets
of the funds are estimated to increase by
about $5 billion by the end of June 1968.
There will be an estimated $6,2 billion in-
crease in the old-age and survivors insurance
trust fund and a $1.2 billion decrease in the
disability insurance trust fund."
The actual increase will be only about one-
half of that indicated. This assumes, of
course, no further amendments before 1968.
In summary, the pragmatic political proc-
ess has produced an essentially pay-as-you-
go financing method. The trust funds' in-
terest earning role is so minor that it hardly
deserves mention-its value has been greatly
exaggerated. The present and prospective
magnitude of about -1 year's benefit pay-
ments constitutes a modest provision to ab-
sorb temporary fluctuations and any sub-
stantial economic recession would melt it
the social security taxes lower than they
would have to be if the money in the trust
funds were, not invested; (2) they are assets
to draw on in temporary situations when
current income is less than current outgo."
The degree to which the trust funds are
able to fulfill these purposes is indicated by
the relation of the trust funds to the rate of
benefit payments.
As to the benefit of interest income, we
may first note that under a fully funded pri-
vate retirement plan, investment income pro-
vides from 40 percent to -50 percent of the
amount required to pay benefits. In the
report to the Committee on Ways and Means
for the proposed social security amendments
of 1964 (H.R. 11865), interest on the existing
trust fund is estimated to reduce the "level-
cost" (constant tax rate requirement) of
9.80 percent of payrolls by 0.19 percent or only
2 percent., This 0.19 percent is of the same
magnitude as the estimated actuarial defi-
cit under the bill of 0.20 percent which is
considered so insignificant that the actuarial
balance is "well within acceptable limits."
The capacity of the trust funds to meet
"temporary situations when current income
is less than current outgo" is indicated by the
following exhibit of actual and projected
ratios of the respective trust funds to yearly
rate of benefit payments:
Ratio of trust funds to benefit payments
of the year
OASI TRUST FUNII
Trustees
19th
20th
21st
22d
23d
24th IT. R.
report
(1959)
(1960)
(1061)
(1962)
(1963)
(1964) 11866
report
1958_____
2.6
2.6
2.6
2.6
2.6
,2.6
2.6
1959_____
2.2
21
2.1
2.1
2.1
2.1
2.1
1960_____
2.1
1.9
-99
1.9
1.9
1.9
1.9
1961_____
2.0
1.8
1.7
11.77
1.7
1.7
1.7
1962_____
2.0
1.7
1.6
1.4
14
1.4
1.4
1963_____
2.1
1.7
1.6
1.4
1.3
1.3
1.3
1964_____
1.8
1.7
1.4
1.2
1.2
1.2
1965_____
1.7
1.5
1.2
1.2
1.0
1966_____
1.7
1.2
1.2
1.0
1967_____
1.3
1.3
1.0
1968_____
1.4
1.1
1969_____
1.2
Long-term projections (intermediate cost
estimates)
1970_____
8.4
1.9
1980____.
4.7
3.0
4.9
3.3
5.5
4.1
1958______
4.7
7.0
7.0
7.0
7.0
7.0
7.0
1959_____
3.8
3.6
3.6
3.6
3.6
3.6
3.6
1960_.___
4.8
3.8
3.8
3.8
3.8
3.8
3.8
1961_____
5.8
4.7
2.8
2.7
2.7
2.7
2.7
1962_____
5.8
5.3
2.6
2.5
2.2
2.2
2.2
1963_____
6.7
5.3
2.5
2.3
1.8
1.8
1.8
1964_____
6.0
2.5
2.1
1.6
1.5
1.4
1965_____
2.3
2.1
1.5
1
3
1
3
1966_.___
2.1
1.3
.
1.1
.
1.3
1967_____
1.1
.8
1.3
1968_ ____
.6
1.2
1969_____
1.3
Long-term projections 1(intermediate cost
estimates)
1970_____
10.8
2.8
2
0.1
1980_____
16.9
115
(2)
1990_____
20.4
4
9
2000 _ _ ___
35.3
(8)
(_)
(2)
1 Benefits extended below age 50.
2 Exhausted in 1971.
1 Exhausted in 1993.
PERSECUTION OFFTHE JEWS IN THE
SOVIET UNION
(Mr, RUMSFELD asked and was
given permission to address the House
for 1 minute and to revise and extend
his remarks.)
Mr. RUMSFELD. Mr. Speaker, free
men throughout the world have been
deeply disturbed for some time over re-
ports of severe discrimination against
certain religious groups, especially the
Jewish citizens of the Soviet Union. As
duly elected representatives of the people
of the United States, the bastion of free-
dom in a troubled world, it is incumbent
upon us to carefully weigh these reports
and to seriously consider appropriate
action.
At the outset, it must be noted that
the information which is available about
the present subject is at best unsatisfac-
tory, whether the occasional news re-
leases from the Soviet press, secondary
studies done by Western writers who
sympathize with the plight of the Rus-
$50.3
45.5
41.3
40.1
44.8
36.0
27.6
$98.7
88.8
81.6
79.3
96.1
75.6
64.6
19th (1959) ----------------------------
20th (1960) ----------------------------
21st (1961)-----------------------------
22d (1962) -----------------------------
23d (1963)-----------------------------
II.R. ----------------------------
24th (1064)----------------------------
11865 -----------------------
In the 22d annual report, certain so-called
medium-term projections were included
based on the assumption that the benefit and
tax formulas remain unchanged but that
wages would rise. Although the report
warned that it was unlikely that the assump-
tions would be realized, the Social Security
Administration put out a booklet "Financing
Your Social Security Benefits" (OASI-36
March 1962) that included a chart (with
money bags) indicating that, using these
medium-term projections, the OASI trust
fund would amount to $53.7 billion in 1970
and $153 billion in 1980. After some criti-
cism of this publication as grossly mislead-
gled out of the Soviet Union. These
limitations are to be expected when we
are dealing with a totalitarian country
whose consistent practice has been to
publish only its own brand of the truth.
In view of past experience with Russia
and other dictatorships, the lack of in-
formation made available about the per-
secution of Jews in Russia would lead
this observer to believe that the actual
facts are probably worse than the in-
formation which is available and pre-
sented here might indicate.
Although it has been the policy of the
Soviet Union to discourage all religious
observances for the past 47 years, despite
the lip-service which- it has paid to con-
stitutional guarantees of freedom of reli-
gion, new evidence indicates a renewed
program designed to undermine the
Approved For Release 2005/01/27 : CIA-RDP66B00403R000200190005-3
 20550
Approved For Release 2005/01/27 : CIA-RDP66B00403R000200190005-3
CONGRESSIONAL RECORD - HOUSE September 1
spiritual faith of Russia. to encourage a
cult of "scientific atheism" subordinated
to the state and to the goals of Interna-
tional communism, and, more specific-
ally, to systematically eradicate the
vestiges of a once fiou: 1shing Jewish cul-
ture for its nearly 3 million adherents.
In subtle ways, the official policy of
the Soviet Government toward Its Jewish
minority appears to have reached new
depths of Inhumanity and prejudice. In
1962 the Soviets Instituted a ban on mat-
zoth, the unleavened bread indispensa-
ble for the celebration of the Passover.
Jews have been long forbidden to pro-
duce other articles required for worship,
such as prayer shawls and phylacteries.
The record indicates that only once in
the past 40 years have prayer books been
made available, and then only a token
edition of 3,000 copies in 1958.
In overt ways the Soviet regime has
restricted opportunities for religious wor-
ship, education, and burial. Whereas
there were, according to Soviet sources,
some 450 synagogues In Russia in 1956.
there are today, according to their own
admission, less than 100-and, shocking-
ly, only 3 in Moscow, and 1 apiece
in Leningrad and Kiev. Seminaries have
been closed throughout the country.
Only one Yeshiva, or school for rabbis, is
in operation today. Jewish cemeteries
A third area of secular persecution has Honorable Adlal Stevenson, must press
been developed through anti-Semitic for action within that body whose pur-
propaganda. A flood of cheap pamph- pose is to promote peace and freedom
lets and books, Including the notorious throughout the world.
"Judals:n Unadorned," have contributed In pursuit of this end, I add my pro-
to the Soviet Union`s plot to discredit and test by introducing this House resolution
discourage Jews from active public lives. in the h-3pe that the House will condemn
Mr. Speaker, I would suggest that this religious persecution in the Soviet Union
three-pronged attack against Jewish life and will call upon the leaders of that
in Russ.:a Is unsurpassed In its intensity, nation to demonstrate to the world that
save the horrible examples of Nazi the Soviet Constitution, which purports
Germany.. to guarantee religious freedom to its
Although the free exercise of religion citizens, is not a totally meaningless
presents difficulties for everyone in the p of paper.
i
li
f th
G
i
h
cy o
ov-
on, s
nce t
e po
e
Soviet Un
ernment is to eradicate religion, citizens
of the Jewish faith are uniquely perse-
cuted and discriminated against. Soviet
law makes anti-Semitism a crime, but
unofficially the citizen of Jewish faith is
branded and denied many of the rights
accorded other nationalities and cultural
groups. Officials of the Soviet Union
have denied that anti-Jewish activity is
prevalent in their land, yet there is an
abundance of evidence to refute their
denial.
Can :.t be denied that at least 100 of a
total of 190 people condemned for alleged
economic offenses have been Jews? Can
it be denied that numerous arrests,
trials, end executions have been patently
anti-Jewish? Can it be denied that
Kosher butcher shops are closed and that
Jews are Imprisoned for baking un-
leavened bread and selling it for the
Passover holidays? Can it be dented that.
the Jewish people in the Soviet Unior
have few Jewish books or periodicals anc .
that the Jew is featured in the controller.
Soviet press in such ways as to briny
upon him the contempt of his fellow
citizenr.? Can it be denied that the Jew-
ish People in the Soviet Union are isloatec
from the rest of the world and that they
cannot leave to find freedom elsewhere:
The reports of persecution are deeply
disturbing and the portents are frighten-
Ing. Have we, has the world, so quickly
forgotten the similar work of Adolf Hit-
ler? Such outrageous Injustice must be
condemned-the entire civilized world bi
offends d by such immoral and inhuman
conduct. How can we in good conscience
deal w.th officials of a government tha;
saneticns such offensive and calculated
deeds without voicing our protest? Hove
can we trust the word of the Communist
leader: of the Soviet Union who willfully
abrogate the religious freedom guaran-
teed by their constitution? How can we
justify assistance, such as the recent
wheat sales, to :a nation that deprives :t
group of its citizens of basic human
rights? How can many prominent
Americans accommodate the Russians in
so many areas of strategic importance,
such as trade, national defense, and tech -
nology, when their Hitler-like deeds den-
igrate the very values we seek to promot?
bu such exchange? How can our Gov-
ernment. which represents a people dedi-
cated to the principles of freedom and
human dignity for all, stand silent in the
face of such deeds?
The President, the Congress, and the
people of the United States, along wita
the free peoples of the world represented
at the United Nations, must join in a
chorus of protest against the denial cf
religious freedom In Russia. The U.11.
Ambassador to the United Nations, the
GUARANTEEING TAX EXEMPTION
OF ADVERTISING INCOME FOR
PUBLICATIONS OF CERTAIN OR-
GANIZATIONS
Mr. CURTIS. Mr. Speaker, the effec-
tive administration of our tax system
makes it necessary for the Internal
Revenue Code to be implemented by de-
tailed regulations which serve as a
vehicle for carrying out the legislative
objectives and intent of the Congress.
In general, the record of the Internal
Revenue Service in preparing and pro-
mulgating regulations within' the pur-
view of the revenue laws enacted by Con-
gress is commendable. However, be-
cause of the vast complexities of our tax
system and its adminstration and, from
time to time, an overzealous attitude on
the part of certain of its officials, the
Internal Revenue Service has sometimes
exceeeded legislative authority in its at-
tempts to exact revenue.
When an executive branch of Govern-
ment invades the exclusive power of Con-
gress in an effort to legislate by regula,
tion, redress may be had in the courts
through a long, tedious, and expensive
procedure which may result in irrepa-
rable damage even if the litigant is suc-
cessful; or Congress of its own initiative
may speak through the legislative pro-
cess to thwart the attempted invasion of
its prerogatives.
My remarks today are directed toward
statements made by officials of the in-
ternal Revenue Service that a regulation
will be proposed which will have the
effect of taxing the income of publica-
tions of tax-exempt organizations even
though such publications may be sub-
stantially related to the tax-exempt pur-
poses of such organizations.
The statute under which the Internal
Revenue Service intends to propose a
regulation Is the Revenue Act of 1950.
This law was enacted for the purpose of
curbing a growir.:.g abuse on the part of
certain tax-exempt educational institu-
tions that were acquiring regular com-
mercial businesses not substantially re-
lated to their tax-exempt purposes aside
from the need for income. The focal
point of attention at the legislative hear-
ings and in the congressional commit-
tee reports preceding passage of the
Revenue Act of 1950 was the acquisition
by New York University of a macaroni
factory.
In his testimony before the Senate
Committee on Finance, the then Secre-
tary of the Treasury Snyder said :
Our tax laws have long recognized the prin-
ciple that organizations operated for worthy
public purposes should be encouraged by tax
exemption.
have been first desecrated, then shut
down.
Unlike similarly constituted national
and religious minorities, Jewish congre-
gations are, to some extent, deprived of :
free contact with Jewish groups abroad
or even with fellow Russian groups, and
thus refused the miasmal rights granted.
to other faiths.
To complement its program of re-
ligious harassment, the Soviets appear to
have embarked on a new plan of anti-
Semitism which has carried into secular
life. This new area of persecution has
been based on the deprivation of educa-
tional and economic opportunities for its
Jewish population t:arough subtle laws:
and unabashed propcganda.
The high degree of urbanization of
Russian Jews-over 93 percent live in
cities and towns compared with the na-
tional average of 44 percent-seems to'
make them eminently qualified for edu-
cational opportunities and advancement:
in Russia, Yet, only 3.22 percent of the,
student population is Jewish, while in
1918 over 8.7 percen; were Jewish. Ac-
cording to a recent study by Prof. Nich-
olas DeWitt, of ;he University of
Indiana, there is evidence that a quota,
system is being maintained to limit the!
ambitions of Jewish : tudents.
One of the most recent additions t6
the history of Jewish persecution in Rus-
sia has been the so-called economic
crimes. Beginning In May 1961, the So-
viet Union enacted decrees extending the,
death penalty to economic offenses, like
pilfering public or state property, coun-
terfeiting, and cu.,rency speculation,
Since that time, 19( persons have been
victed, over 50 percent of whom were
Jewish. In the Soviet Ukraine 80 percent
of the victims of this law were Jews. They
discrepancy betweer. the percentage of
Jews convicted and the Jewish propor-
tion of the population, approximately 1.5.
percent, unveils the malicious intent of
the law.
Approved For Release 2005/01/27 : CIA-RDP66B00403R000200190005-3