ITT'S CHIEF CAN'T RECALL CHILE OFFER

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75B00380R000300090009-5
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 20
• Document Creation Date: December 19, 2016
• Document Release Date: December 20, 2005
• Sequence Number: 9
• Publication Date: April 2, 1973
• Content Type: NSPR

Approved For Release 2006/02/09 : CIA-RDP75BOO38OR000300090009-5
THE EVENING STAR DATE, 7 3 PAs3E J
ITT's Chief
Can't Recall
Chile Offer
By JEREMIAH O'LEARY
Star-News Staff writer
ITT Chairman Harold S. Geneen today told Senate
investigators he had no recollection of offering a financial
contribution to CIA agent William V. Broe for support ofa
democratic candidate before the 1970 Chilean election bu
"accepted" that he might have done so.
However, Geneen acknowledged directing that the
State Department and Dr. Henry A. Kissinger be informed
that ITT was willing to assist financially in any U.S. gov-
ernment plan to protect American investment in Chile aft-
er Marxist Salvador Allende's election seemed certain
lat3r that year.
Geneen's testimony today before the Senate Subcom-
mittee on Multi-national Corporations drew a sharp dis-
tinction between his July 1970 meeting with Broe in Wash-
ington and ITT's decision to "risk reasonable additional
funds" in September when Allende appeared assured of
the presidency.
The kind of U.S. government plan ITT was willing to
support financially, Geneen testified, "would offer Allende
a quid pro quo for priceeding with nationalization in a
manner that would privide for a long-term recovery of U.S.
investments. Of course, our thinking was very preliminary
and we had no specific plans but we did think that some
socially constructive joint private industry and govern-
ment projects could be part of the overall plan.
"SUCH A PLAN might well envision the willingness on
our part and others risking additional reasonable funds in
order to safeguard the very large amount which were at
risk."
"The amount of up to seven figures," Gennen said,
"was intended to show a serious intent and to gain serious
attention from the government."
Approved For Release 2006/02/09 : CIA-RDP75BOO38OR000300090009-5
 Approved For Release 2006/02/O%CIA-RDP750038OR000300090009-5
NEW YORK TIMES DATE Pr,R. PAGE
Geneen Gonc ides
I.T.T. Fund Offer
To Block Allende
By EILEEN SHANAHAN
Special to The New York Times
WASHINGTON, April 2-
Harold S. Geneen, chairman
0 TntPrnRfinnn1 Te ep one
and Telegraph Cnr= oration,
said today that he rlid not
recall having offered a "sub-
stantial" sum of money to
tli? central Int lligence Agen-
cy in 1970 to help or . ent the
elpctia_n of Salvador Allende
Gnccans ac precidento-fChile.
But Mr. Geneen told a Sen-
,jte subcommittee that since
lie had "no recollection to the
contrary." he would arc~nt
the testimony of William V.
Broe, a C.I.A. official w o
said he had b= affgreA the
money in 1970. At the time,
Mr. Broe was the head of the
intelligence agency s clan s.
tine aparation,s ii Latin
A,M ca.
Mr. Geneen testified about
the events of 1970 and 1971
before 'the subcommittee on
multinational corporations of
the Senate Foreign Relations
Committee. He was the final
witness in the first phase of
the subcommittee's inquiry into
the actions of thes:a lar7;e corn
panics, which operate, aU. oven
the world, and the extant to
which they may influence,
United States foreign joky.
Mr. Geneen said that, assum-
ing he did make the offer of
cash to Mr. Broe, it was prob-
ably an "emotional reaction" to
learning from their conversa-
tion that the United States was
planning no action to attempt
to defeat Dr. Allende, who is a
Marxist, and who had cam-
paigned on a platform of na-
tionalization of basic industries.
Mr. Geneen said that the
hands-off policy of the United l
States in 1970 represented al
reversal of a policy dating back 1
14 years-"the policy to main-I
tain a democratic government
in Chile," through large-scale i
1 He said he was particularly
upset because he, with other
American businessmen, had {
been encouraged to invest in
Chile as part of the United
Slates GeoernsneTi s program
of helping to develop the coun-
try and keep it democratic.
What he heard from Mr. Broe
when they met in July, 1970,
,was different from anything I
business had heard before," Mr.
Geneen said.
Action Defended
rSenpe defended his
4ct4n ing two months ago, but
that jl_e,__,probe ended when
withdrew a state i
WiL-4
rn
e made earlier to
th rabottt the matter.
,Wilkinson said yesterdayI
that he would not comment on
whether he had given any
statement to the FBI.'He ac-
knowledged having had busi-
ness dealings with Bailey, but;
would not comment on
whether Bailey was involved
in the alleged plot. Bailey
could not be reached for
comment.
alleged bugging- oc-
ed during a time when,
ar Committee visited i rs.
Beard to cues io'w tile,
the Committee was ci nsider-
jue the nomination of Richard;
Kleindienst to he Attorney
9su?ral. A key issue in the
hearing was the Justice De
partment's action in the ITT
settlement.
Approved For Release 2006/02/09 : CIA-RDP75B0038OR000300090009-5