15 MARCH 1973 DISCUSSION WITH SENATOR CHURCH AND HIS STAFF ASSISTANTS FROM THE SENATE FOREIGN RELATIONS SUBCOMMITTEE ON MULTINATIONAL CORPORATIONS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75B00380R000300090047-3
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 13
• Document Creation Date: December 19, 2016
• Document Release Date: December 6, 2006
• Sequence Number: 47
• Publication Date: March 16, 1973
• Content Type: MFR

r _ v ~ c ( U Y
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16 March 1~#73
THIS DOCUMENT WAS SUBJECT TO ITT/CHILE JUSTICE INVESTIGATION
MEMORANDUM FOR THE RECORD
SUBJECT: 15 March 1973 Discussion with Senator Church and his
Staff Assistants from the Senate Foreign Relations Sub-
committee on Multinational Corporations
1. Introduction. On 15 March 1973, Messrs: Broe, Houston,
Maury and met briefly with Senator Church in his office.
After exchanging views with Senator Church on the rules of engage-
ment which would apply to the subsequent interviewing of Mr. Broe,
the CIA contingent spent approximately one hour and fifty minutes
with Messrs. Levinson and Blum of the Senate Foreign Relation.;
Subcommittee on Multinational Corporations. The items that were
covered. in this discussion are outlined in the following paragraphs.
2. Frame of Reference. In the conversation with Senator Church
the following points were agreed upon:
a. Mr. Broe's comments to the Subcommittee staff
assistants would be limited to the narrow topic of CIA's
relations with ITT during the 1970 election period in Chile.
It was stated
this position was based on the Director of Central. In-
telligence's statutory responsibility to protect sources and
methods.
c. At the completion of Mr. Broe's review of the
nature and scope of CIA's relationship with ITT in 1970,
Messrs. Levinson and Blum would formulate' a series of
written questions. These would subsequently be forwarded
to CIA for study and a written response where possible. It
was understood that the written response would be in the
form of an interrogatory which would eventually become
part of the classified record of Senator Church's Subcom-
mittee's findings.
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d. Senator Church said that if the interrogatory
approach was satisfactory to both sides it would not be
necessary for Mr. Broe to testify in person before the
Committee. Senator Church attached a caveat to this
understanding, however, by saying that he personally
found no objections to such an arrangement. The impli-
cation being that Senator Church would have to obtain the
concurrence of his Committee members to this agree-
ment before it could be considered a firm commitment.
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3. Ground Rules. After Senator Church left, the. CIA contingent
repeated to Messrs. Levinson and Blum that the 15 March session was
off-the-record, informal and could not be used as a basis for attributing
any public statement to Mr. Broe. Messrs. Levinson and Blurn reaf-
firmed that they understood and would abide by these ground rules.
Additionally, they indicated that they knew the session was designed
solely to provide them with the background needed to formulate inter-
rogatories which would be passed to CIA for study and answering as
appropriate.
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5? Staff Questions. After Mr. Broe made the remarks outlined
in paragraph 4, Messrs. Levinson and 131um raised a number of ques-
tions. These questions and their answers are as follows-
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10. General Questions and Answers. Messrs. Levinson artd Blum
asked the following general questions and were given the indicated an-
swers:
a. Question: After. Allende obtained a plurality in
the 4 September 1970 election, did CIA have a plan for-
dealing with this situation'?
Answer: This question is outside the scope of
the agreed upon frame of reference for the discussion.
b. Question: Did Mr. McCone talk to Messrs. Helms
and Kissinger about the Chilean political scene of 1970?
Answer: Mr. Broe had no information on this
topic.
11. Gerrity to Geneen Cable dated 29 September 1970. Mr. Levinson
read excerpts from the 29 September 1970 cable from Mr. Gerrity to Mr.
Geneen in Brussels which was released in the Anderson Papers. Messrs.
Levinson and Blum then.asked the following questions and received the
indicated answers.
a. Question: What companies were involved in the
discussion with CIA about Chilean developments in 1970
other than ITT?
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Answer: Mr. Broe said he had no idea
companies Mr. Gerrity was referring t
Question: Had ITT been told that only their
b
.
company was responsive to the problems inherent in the
political situation in Chile in 1970?
Answer: Mr. Broe recalls telling ITT that they
were the only company that had come to the U. S. Govern-
ment with a proposal that a political program be carried
out in Chile during 1970. Additionally, Mr. Broe said ITT
was the only company which had suggested that funds might
be passed to a presidential candidate in the 1970 Chilean
elections i.e. , Ales sandri.
12. Berrellez to Hendrix Memorandum dated 29 September 1970. Mr.
Levinson read from the Anderson Papers the Berrellez to Hencl-ix memo-
randum of 29 September 1970. The following question was then asked by
Mr. Levinson and he received the indicated answer.
Answer: Yes.
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Question: Was the Berrellez to Hendrix memo of
29 September 1970 ty ical of the situation capsuls which
were being discuss
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b. Mr. Broe states that throughout the 1970 period
his estimate indicated that the Chilean military would not
pull a coup, therefore, he does not believe he could have
told that the military might do something.
14. Questions and Answers o_nl kylemorandum. Messrs. Levinson
and Blum asked the following questions and. received the indicated answers
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a. Question: Did the concept of economic pressure
originate with Ambassador Korry?
Answer: Mr. Broe indicated it was well known
to all students of the Chilean scene of 1970 that the eco-
nomic situation was deteriorating. As a result Chilean
politicians, ITT employees and Washington officials were
talking about the economic situation in Chile. In. view of
this reality Mr. Broe could not identify the formulation
of this economic pressure concept with Ambassador Korry.
b. Question: Was the economic issue discussed with
ITT after the Alessandri formula had been abandoned?
Answer: Yes.
15. Merriam to Gerrity Memo. Mr. Levinson referred to a 7 October
1970 memorandum from Merriam to Gerrity. This memorandum appears in
the Anderson Papers. After reading this memorandum Messrs. Levinson
and Blum-posed the following questions and received the indicated_ replies.
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c. Question: Did Mr. Broe say that the Nixon
Administration would take a very hard line when and if
Allende was elected?
Answer: Mr. Broe recalls expressing his per-
sonal opinion that the Nixon Administration would take a
hard line on the Chilean situation if Allende were elected.
Answer: No. Mr. Broe stated that he had no
personal knowledge of President Nixon's actions and was
thus in no position to comment on the President's plans
and intentions.
17, Hendrix to Gerrity Memorandum. Mr. Levinson read a 16 October
1970 memorandum from Mr. Hendrix to Mr. Gerrity. Be then asked the
following questions and received the below listed answers. This memorandum
is contained in the Anderson Papers.
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18. Comment. The session ended with the understanding that CIA
would receive the interrogatory questions from Messrs. Levinson and
}alum on 19 March. Messrs. Levinson and Blum were polite throughout
the session, although they did press on a number of points. They were
not hostile, however, when their inquiries were turned aside by C'A.
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19. Opinion. If the results of this session allow us to handle Mr.
Broe's testimony via an exchange of interrogatories rather than an
appearance before the Church Subcommittee, this will have been a good
day's work.
Chief
Western Hemisphere Di-vision
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