OPINIONS OF THE OFFICE OF GENERAL COUNSEL CENTRAL INTELLIGENCE AGENCY - VOLUME 1 (1943-1947)

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• Collection: General CIA Records
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• Document Creation Date: December 16, 2016
• Document Release Date: February 22, 2005
• Sequence Number: 1
• Publication Date: January 1, 1947
• Content Type: RS

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OPINIONS
CENTRAL INTELLIGENCE AGENCY*
Volume I.
(1943-1947).
The volumes in this series contain in chronological order notes,
Memoranda, and opinions of law (published. and unpublished) of the
Office of Strategic Services, Strategic'Services Unit, Central Intelli-
gence Group, and the Central Intelligence Agency.. They have been ?
compiled for the use of the Office of General Counsel and are known
as the Opinions of the General Counsel. Citations should include the
designation "OGC" and volume and page numbers as in the following exaMpleif
1 OGC 24:
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Availability Cif Appropriations
1. 18 Comp. Gen. 363 (1938) - "It has'long
been the accepted general rule of the accounting
officers of the Government that a claim against an
annual appropriation when otherwise proper is chargea-
ble to the appropriation for the fiscal year in which
tne liability was incurred. The rule is applicable in ;
all cases in which there is a definite determination' ..,
'as to the time the public funds became obligated for
the payment of a given liability whether the amount is
or is not, certain at the time."
2. 4 Comp. Gen. 918 (1925) - States the
general rule that amounts appropriated ih annual
Appropriation 'Acts are not available for expendituye
until thebeginning of the fiscal year.
3. 16 Comp. Gen. 1007 (1936) - Contracts
obligating fiscal year funds may not be entered into
prior to appropriation made, but?there.is no objection
after appropriation is made to the execution of such
contracts prior to the -beginning of the, fiscal- year,. 4 -
notwithstanding the funds are not available for
penditure until the beginning of the fiscal year. See
also 20 ,Comp. Gen. 868 (1941) ana 21 COmp. Gen. 864
(1942) .
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Chief, Finance Branch:
Legal Division
Payment ,01. clmilso.for.e1terption-6
1. Please refer t6 your menortndum of 7 February 1944-
25X 1 A9A
relrItihg to this subject, sith tro attached claims.ofl
both of tibich ere returned heresith.:
-2. As memorandum -iainta-oututhare in no'epecifio.
previa,ion in the CAX. uppr-pri.tion,lsngunke for. repairs to or
' alterations in public bul'..dings occupied by although under
coos circumstances, d1;.abosed beloti, basis for such expenditures
eiLbt to t)und in the generAl language, '"For all expense:: niece*-
. skri to efhble the Office of 41trategio Services to carry out its
furictUmo foci activitiep * * * ". Further:, the statutes ruferred'-
to in iour memorandum vest ?Larga. of public.,bulldinge occupied
by J51, in yrA (4o U. .ti. .19), and prohibit tha eenditure
funAi fur rir gark,orao owttor tht.n'tho.enount .epeCiriottlly.
oppro;:rilted Ll U. . C 12
3. It d000'not'follo.. froWthe'foregoing, ho,everr, thqt
tide pidency it I.io-erleas to enirtgularly Aelxopriatud fun f
for titer.ti,nd imeroveaants t,;) "i;ublic tni;dinso ocou,:led.by
? it. Lyon th...u0 an c4rc;,,riett.zn forrepairand im,:rovenenids,
ney hrive.bgen iskde to the eLenoy civirk*, with the aupervlbln ur '
buildines,? the neeno*: occuAiing the bui:dinga tr.,4 prooir4 ,
..expend geuevally apdrhprintad fun4t for atfc re:Air01-41turoti!AfV.:
;?and lm:.rovemeotr, where tha lattura hot aecemi,ry to the ordinerr
use or aparatica or tha re to ecconnooute speCial '
1 functione or ttitiut f thu igenc i ,for Oich funds have been,
generall7 appro..;tisted. ..16 C. G. 316; see also 16 C. 0. 16J; . ?
? 18 C. G. 3B9. The datereilnativa,fe'ct9r.ii:the relationship borne,
by the expvnditures to proeer ifi:ency objectives; ff. g., generally
Approi:risted funds may not be use4 to Make &puce In public.buiAingS
suitable.ror occueoney-by a govornment,office fore, en though.
.the FrA appropriation May be4nadeqU4te Orinioh purico!ele.1?.
17.C. G.-105.0. The only luetifictien:for:shoh expettiiturea.le
,that the buliding repaira epd.inproVeninits:Sre.,necoasery.to,thiv
proper fuurtioning?of the agencY sin&ere-ittoidS4tAi
t? the co-
pliahent of edfee Activity 'orobjectiva Of thei:aonor regragnili.ed
direetly or thdireotl b theapproer1etiok.kot. . ?
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0.
. VI re- ro htt?1:rt.
k..,s.
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4. T. therefore reodmmend thnt, ehere-secinrity cotaideretiOns-
?
permit, payment for repiikrO .no elterstions folling'f:ithin .t.he AlaeM
..%, dercribed in the foregoing paregreph be oyido cAlt of .C1' funds.
(Ir the?firet inotence, ea your atmorendUm points out, LL re;wate
knd improvements should be pr)cnred:from ro, wherever possible to . .
: (JO co, via rsoourse any be hnd to any appropriated fund of thie Acenorf - T
share it In ineeiblo to csaa on PiA, or 'ober* F' Is for sty A',:.?
- reseon unkble or unwilling to effect the necesuery repoirs or alteia.
Lions.)
recognise thmt. the :rule eot forth above with reopect to
?OC',1 tondo will be difficult of apolichtifm in SftrAy cols**, sod the .
.Tinanoe Drench mny be reluctent to undertnke the advnnCe determink-
ttOli of the ,uostion ha:. a given expenditure 16 to be closoified wittC.
? refocenc* to the rules enuncinted by the Comptroller.Gencral in his
,decision cited Above. If eny-toubt exinto,ouch:charger any propetkr?
; be mode .4igninet .004 fuedop se thentstntes cited in'psregri.ph 4,
xuvra, eiko,hot be cuneidered to ;)rohibit the expenditure of ..02 fund*
for Ihnklut: repairs, elteretions rind improvements *here the services.
and facilities of YAA onnnot he utilized. 19 C.,0. 946?,93,J;
T. g. 7iltn, Inc., Za F. Sui.y. 01 (k. D. 14; T.'
' 6.- Unvoudimkred funds kr., of:couree, *limitable for anch expenditUree?
ahere, for oeo::cm!Ay ons, the' cost.conot-lut'chn.rged
or .t.'02,fun. Conerally nposking, the nos :of tinlonehered funtis for.
uonporl.ose* should be restricted 10 aituktions whole'sucurity.consider,.
tioun do not permit the uos of PIA personnel, onteriale And eql...ipment .
an thm project, nor mny Osoloeure oUthe exietence of :the -4-:roject. '
7. tith roforenos to thu sttschod cloth:), it APPearv from the
filo thnt plena and speoificutiont were .furnished by Public Building
1114, but that eeourity neceseitnted outside ch'w:troolltie,....
It does not wear, hooever, that?tecurity reItiiren'that the very
? existence of the vrojeot be kept secret; Or thatdidclosure of the
nature and extent of the repAirs And-elternticAs involved' mould be.: _
2 'prejudiolel tz? the boot intereeto,of thitiAkgeney.,'.Honce vedo:'not
be-
11ev. payment out Jf .00 fundu would be approricte. ,
, 4 ?
. A. -Nor do we believe, that .this ie e clearnsio where .001'fbildi
sky be used. Aesuming thOt.the,noceasitt;of the..wO* done to the-% ,
iToper functioning of the ageCci ogn be vhown, itiaight 40t be posibi
to pre3ent-mich proof' for seburity
, ?
9. It is thurefore.bUr'OAnithei os-eiitU,03:414.intAid
the ettkchtdivvoicsalgr,OrOpetly-:be ehirsgdmigiplit.002
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f4711011AITTitai
'21'..teoutivo .Officer
PRO'..it 'Officio of ori tounsoi
37.74LCTI Avoidance of Conflict* of intoreat
033 PoraontoI
.This memorandum la in reaponse to your roqueat for
alktataant on tha 7odora1 atatutes conorally prokiibitina
offIcorslind eroloyooa of tho :fnitod rtatea from?in any
wry intorofttin thamsolvea in claims acainattho United
atead In a broad aonat, those atatuton Impose a standard
of undivitle/d loyalti to tho.intoresta oC the covornmont .
to-which all officers n4 employe)** aro roquirod to adhorol
undor-penalty of severe criminal popiahmenti-
Thoro Is little difficulty lwapplying thee* atatutoa
to oases of actual conflict of intermit, which are legally
03 Well US nor:ally rw?rehonaiblo. POre Aifficulty arisoa,
hoT.overf in bordorlino caaoa, not Was in co, which .
althoun involving at moat a r,:moWpoisTrarity of conflict/
or no conflict mt all, mey yet be held to fall within thAv
prohibition or the statutes a :t:oy 4avo boon tonstrusd'
in rocent opinions of the Attornoy 3onoraL...
.5TATTITRSTVOLV7),
. .
- Tbo.principal atatutaa involvcid In thia fiold.are
sections 100 and 113-of.tho'.Crimina1 Code. ftoont opinions .
UI thwAttorney INnerala roforrod to. beflotivhavo indicatod
that theca coctiona aro aplicable,to practically' all -.
omployoos or tha Podoral v,ovnnonti as wall aa to orrioorA.
Or the armed'forcoae ?
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Ilection lo a,(11) U. n. C. 100), oriCinilWenctoted:
on ?obruary 1863, roads as' fOlowal , "
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"whoevor, boinC an officer oe the United '
ntatati, or a per4on1o1dim7 any place or truW.
or profit, or diecharc:Ina any. official functIon';
under. or In connection with, any,ozecutive?.--;
dnpartrimnt or.the,'.10vdrnmlnt of Lilo United
states. or undor the Cato or matue or
Aqprosontativna of Wu) natoa, shall
act as an a(Tent.or attorney for presecuring.,
any claim ucoinst to United 3tatoso or in
aT7 mannori or by any ilaancs.othervise than. ,
in .11.oeherge or hls proper ?Medal SutLaSiv.
01011 aid or aaelat in .the proseeution or.,
sup:tort or cny such claim, or mealy* any '
cratulty. or any shu:v of or,intorest In
any claim from any clainent against the
uiti.1tate39 vith intent to aid or aosiat,
or in consiration of havinr; aided or.a
a43istod1 in ti:e prosocution of ouch slain,
shall be fined not more than .',680:44 or
inlrisoned not more than ono year, or both.
-ombers or tnn Uatiorlol Uusr4 or tho District
or (.,olunbla Iv.)o rocniva con2ennation for
their servIcos aa such shall not be hold or
construed to be ()Moors of the United rtates,
or pornons 1n; co.ny placto or trust or'
? profit, or discharltIn4 any official funotion
under or in connection with any executivo
department or the advernment of the United
!3ates wit.lin the nrovision of thts soction."
,Tho fit.inrens Court hoe donned t"1iri cthntthe-Untted
P.tatas" as a richt to demand noney from the Untti4to.es
-r76Vtio v. 1:JaLocr.. 117 ;1. Z. 567).
The.eonpanlon statute itCaeotIon 113 (13.V. ti. C 003)
originally enacted 11 juho'.1.e64t
"Thoevero'being alocted or a?vointed 4 Uonator
4ombar or or aclaInte to Congrosso,or A
Pesidont conzisaionor, oball, aftor his
election or altliointlaent and either borore or
after he hns qualified, ond'dt.ring his con?
tinu?..nce in office, or beincthe bead .or a
departmont, or other orfioor or clerk in the,'..
ameloy of the Unitod 8tatos. shill, directly :
or indirectly, recoivo, or agree to race/vas
WI/ co=oonoation v.hotover for, any serviooS,
ronderod or to be rendered to any poreOP.
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nithor by himeolr pr another, in rolation .
to any proceeditv, contract0 claim, contro.07.
voray, charge, aocunatiOng. arrant. Or othor:
mattor or thin in vhtah the United ri.taton'.
in ft party or directly or indirectly
interested, bofore any department, court,*
martial, tumuli, ?Moor, or any civil,
military, or naval comalicalon whatovor, shall:
be :trod not norol.bca q0,000 ant imprinoned'?
not Moro than two years; and nball moreover, ,
theroarter be Inca:labia or holdlric any orrice.
or 1.)olr, tr_23t., or :lrofit.under the.(overn..
v.ont of tho ',7nited :tatos."
It in '.Andorstood that Che Attorney a-enteral intarpret*
'131forn cnj da-,)artmAnt", otos, to mean "with an/ departmont".
co tnot the statute cannat be conalzorad an applying Only
to quemi?julicial clAtrz and' -procoodinza. Thorn is Sundial
autority sesmingl/ to the contrary. T, f, v. .221041. 30 F.
p. 102(".).:L.J. 1140).
In addition to these !,:enciral +statutes, there are more,
Ontario statbtos which are concernod it particular ohascw,
or.the protaom'of nonflicts of intorest. leetion 41.of
to CrIminsI rode (Id 11. . C. 23), enacted 2 Larch 1003,
proailtri covornmont officora or nt,onts rroul transact:S.1m,,
lawinoon on ohalf of thA :tatos with any privats
organisatiOn In which thay aro interested
o orricor-or acont or any corporation,
jot-tock co.nrany, or. asnociation, and no?,
'member or az-,ent or any firmi.'or.peraon
directly or indirectly interested in talc
occuniarl profits pi' contraotn of nuoh -
corporation, joint..ntock compaZ1y. ascoola?-
tion, or fire, ahall oemployed or ahall.
act as an ?Moor OP &tont of tho "'jutted
rAatot for the transaction or businons
vith such cor..)oration, joint?stock Company.
associationsor firm.. Vavievier?shall Violate
the provision of this scotion ntaU be ?
? flnod not moro than -:2,00 and'imprisOhod
not moro than two yearn."
nection 112 of the Criminal CoMv(10.11.
enaoted 10 4Ttay 18020 forbids an offiodr Or *antito
roceive any compensation for procurin0,aGOVornment ofriaq
Q' ontraott . ,
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"5bo2ver, beinr, elected or topointed. a. .
Uombor of or ',AaNlate to Con4ro5a. or -
4,sident Co7:Intiketonore. S411, aftor his
Oloction or a22o1W.lomt an;i eitho4beforn_
or 40.4414 he has qualified, and drinq, tits
continuance In orfics, or being an ?Moor:
or-acylt of the ttod tatoe. ellen .
directly or imilreetly take, receive. or .
erre* to reeeivevfrom. any person, any mousy.
proporty, ,or other valuable consideration
whatever, for proporin. or aidicG to ..
promiro, c.rij contrticto appointive.offico.
or placlo'from tha.-nitol 'tato0 orTroM
any officer or do:)artnt teroof, for tny
porson whatever. or Cop giving any suoh
contract, sx)ointive. ofilea..or Olaco:to . .
any person v;',omeoeior; or wnoover, directly.
or indirectly, shall arnr, or scree to
61,6. or ahall ciV;# or bastor, any mon07,.
propert;# or 0140r. veuabie consideration
uLatover. for Oa erocurinr, or aiding .to
procures au true] Contract, ap'Aointive
office, or place, shell bo.fins4 not more
than c.10.03G and imprisoned not more than
too years; end ahtll. vr,oraeVer. 100 dis-
-quell:Lod from Loldine, ani ?aloe of honor,.
profit, or trunt un,ler the t;overnment.of
th4 1;n1ted itates. Any such contract or
arroamont mays at tha o7tion of Was Nvaident1
bo declared wad."
nallyi 'motion 1'O of tno 4,evised ttatutes (8 U
PV)? reads' as followat
?
"Xt ot.a1i not be lawful for any person st.ointed
aa an officer, clork. or taa,ployee in any
of tha a0pArtmont0, to uet.00 counsel.-
attorney. or ar,ent for prosecuting.anuolata
11:7;ainst the-United tataa trhioh was pending
.in either of es1:1 dopartmfinto while ha vaa
such officor.-clerk, or omployee. nor in any.
micannr, nor' by any mAlans.to aid linA.he prosemh--
outioo of any such tiara, two.years
next after he shell have tedia0d.to bis:suan
atqcor, 0.015?Ito or enOloysio,"y
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It is woll settlod that this statuto Ls aeplicable
only to employees or the ton otocutivs dopartmonts:Or the
rovornment (40 0o. Atty. Oon. n4* 74* 12 V000mbor;143)*
and not to indopondont establiehmenta amoh.ao '
AMICATICin OP t!,..rAram
Personnol
Two recant opinion: of tho Attornoy Constal Leso
foonood Luch public attontion unon this nroblum Onorally%
end ucfn sections 10 stl IIZ of tho Criminnl code in..
porticulur. In hlevoinion of 6 govomber 1D43 (Val. 40*
Attorney ijonoral Lth12M hall that t temncp,rary.
conaultant In the zar 'opartnont temployod slthout\com.
poneation on a temporary seoi:nment) was liable tO tho
p*naltios of toctions 109 and proWibly .11Z xhare ho or his
la 7artners prosecuted as attorneys any rlftims arlanst
the ',3111ted :itatee clurinn ay, poriod of his appolatVent.
In the opinion. of a neoombor 2D43 (Vol. 40, gO, 74),
tho Attorney Oonoral ruled that nombora of local stit. Price
ontr tourds wore officore or the Ulitod I',tates
ari nonce subject to section* 1W and 113* which /$741410804"
thom from actin r, az ettornm.ye and asents for the pk000cution.
or claim stainst the !jnited States. In othor worda*.this
opinion abvnloned the roquiremente o: adtval conflict whichH
won tt lonat Im7Aielt In esrlir opinions
Atty. ions no. 44* quoted bcIow).
The offset of theca opinions WMD twofoldt
la) ror the rirot time it was indicatod that
:Action 101) w48 anaicabio to employ00$ '
of covornuent acenclee wad establighments
outaide tho oxoeutivo departments'
(b) A largo number or govornmont omploycos* wh4
hul previously conAidered themselvos oblic d
only to avoid ac-tual cam:allots or interest .
tiero soddonly confronted with tho fact tha
' they wer4 in .teohnioal violation of tooral
Criminal statutoa.
A atom or protect 101101O4 the deoisions* and thorrie,
were throats or widomnroad resignations.rrom government ?
servico. ILLo. now torlLTIneo* OL:anuary1.044*. Congresalon
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aotIon followed with thc inclusion In the rovioodronaGotiation ?
statutos-(Titlo VIII or tho i:ovenus Aot of 1O4) or iaoctionj
limitina tho applicability Of,cections.1C0 and 113 to _
peroons:enployod in the principal war.procurcmant agenalea.ap.,:
Tho'sootion now reads (I!. L. 235*# 7i:th Cong.' coc.701(10-),A, -
"(4) Vothlag in acctions 1.Q0 ond 113 or tho -
Criminal Cods (V, 1..C.A# title 10# secs. 113
:and 2)3) or in section 1ZO or thaitovlied
'Intatutea (1341 C4o.tit10.6#?a(c. ?) shall '
1)0 doev.od to provent 4471:Jerson by mason of
sorvico in a ,:epartmant or tho luArd 4uring
tho-pariol (or a part tharoof) beninoinc
1uy27# 1040# -and endinz monthe aftor
termination or boatiliti4s in the prOnent
as proclaimed by the:Presidont# rrom toting
as counaol# -wOnts'or attornoj for prosecuting:.
any claim acainst tho Unittd ntats Provitd,
-That ouch person Isbell not prosocuto any ?lila
acOnst the '.:41ted:tatos (1) .involving any
subjact z;littor .directly connectod with which
such posaoh vas co employed, or (2) during tha
porlod auch.oroon is enza4:od in employnent in
a 'ivpartmant." ? .
It was recently cal,1 14 CopgrO33 that tho Comptroller
noral roared that 1.1..o quoted soOtion had aroutly weakened
the (afoot or sections 100 t;Itt.il 113# and that such sections--
vova lark:oly inopin.ative so to a &Toot ?many Podoral employees.
(Y;.; Cont. :ec. 3781). .It la dirricult to $4-voo with this
view. The now.dection dooc 4ot waive.aections 100 and 213
ci to er.plOyeea who prods:mute claims atlalnut tho.Vnited ?
Statos In thO courso of thqir employment.. Tho most it
doos'is to liboralice a.-.Istin,5 restrictions in.tho cave Of
certain intormitont, cmi irro6aur ozvloyoons Certainly:,
tha vitality o: coctIons 1 4 113 has twat boon Imoalrod
?e to.etylli4n ompltlyous or rsa agencift0 liuch as OSS...
In 'tubsoquont lceislation# ofantroas has- furthOr
ti10 . 0004 Or theati SOCt101113* -A typical 'ex:0.15)1e ie the
resolutidn ori t (rA rationing boards Om
237# 70th Cong. 21
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'Toth/Tv; acntairied In sioctions 100 F.nd 113 or.
the Criminal Coda (U. C.# title 20# cleco.
l)a arol P03)?aha3.3 b, do=od to 1i to
? parson bowman of any appointment Waulor
authority of thA nergoncyricorcontrol kat
or 1042 ('ublic Law Numbered 02,
sevonth Congross) or under. authority of titic
eassesasseilale
Tha ?cope or this :motion in not cloart ma/ a-OAT:to:,
all exocutivo drArtnfint*, or .only to ?aril 3aYt, nd
war &valetas. 4n any ?vont it d004,1110 APP,Y,t9 (Mg
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of tha rfacond r:ar Powers Act, 1242 (Publics
LaW'3umborod 307, f.oventp,sovonth Congress)...
as a member of a c.ar 't-1.ce and Aationina -,
Loard OP to cc/ other position In a regional,
district, or loca1 orris? or the Offico,of,
Tries Administration, If such'.perion is -
norvinj or hna sorvod in such capacity -
without compensation: 1'213046d, howovoro ,
:That MA, .provislonaofellis Act ralirlat.
a.1' to any re?rosontition before the. '
Orrice of 7'rIcs AJminiatration vilesuch
poraon is an officer.or employewor the Orrice'
or '.''.1.co Administration.",
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\ Similar resolutions have boon introduced to-exoplt
Ounbel to spocictron:trnbsional coMmitteas tr. L. 24,
O. With Comi;.# Ild 7on.).* And oven before tho Attorney:
notteralva tworsoont opintonoo '.:'opgrobs had osnrosaly
from the operation or the. sections members of
loofa draft boards (Pot of .112' ZO 10410 t5-gtat. 160)
antallon enwly hoarinl boards (Act of nocember 26, l'.)41.
55 !Ant. 061). .Lec,islation lb now pondtiv4 modeled on the
T':k 'metier., to oxon? aoc (withaut climpennation) anl VAR
(wen.cctually omployed) f'moloyees of 0317) -1.444G),
f.n. W. n. 44V), and tLo Yur .o.ptIrtl.lont (P. no. 4400).
In thn li;J:t of th,3 intor7retat1on.4von these, statutos,-
0/ the Attorney nonoralo tt ?ur o'inton that sootione 102,-
113.0rust bo deemed 0.711.,.!able to all alvillan employe.'
or 0s.'4'.inoluditle
1.' Civil service ozploYaosS
2. 1pccla2 !Almia omployeoitv
3. rOC.and 710F orTOIntoos.
Ito in your opinion, clreumatanOes verranto'Concress
miLt te roquoatea to ,4naet remeilal logialation exadptin6
those in "3" from the vplication of theca sectiondo:-alth044
relatively small number oftO(..4 and vAq,ohployees at
.tile problem loss acute for'thic *con,* trhano far :
exam;aeo.CM, 0:117:1 or rhn. ..to the amllopos Lb "1" and.
"2", it'ia our ,j1.&:7ent that-Owes:1 voUld not favorably .
roc,ar4 aty ettompt,to excludi full ti officers:and emplOyoes---
of tho qnited :ltstee from the Operation of-:, these
* A joint resolution eAcmptod] Ifrom,the
proviSiond or these sactions-Wore be undertook the
iniostigation in the Tespot'Llems Oases (43-4tat. 6).
?
Approved For Release 21t9#.01/15 : CIA7Rb767-0-1054600100:01q0-
.
?
B. Vi1iter7 !)ersonnol .
fAsotions 103 and 113 are prObably appliesble to
officore of the ercod forces as aoll_ss to civilian officer* ,
and employoes. Consoquontly, iiL11tar ?Moors are.sUbjeOt':
to tho 3=4 restrictions as civilian employoos, vith the
important ontoption thet?thoy may in soma cedes bo poratitted'
to r'oceive co:II:sensation from 7r1vsto courcos uhoro SoOh
would be rorbiden to civilian onployeess This?ripht le
derived fro; the 2rovis1ons of *ootion.3(fl of ths :olsotite
norvico and 7raininc Lot of 140 (54 nat. 005, B011e Se Ce%,:?'
tPoe :!03(r)):
?hothirs: Contained in this or any othor Act -
Shall be construed as forbidding the POvant
O : conlponsation 4y any OerSch, rim, or ? ,
oor:Aoration to 4007'4014.3 inauctod into the
land or nsvisl fortes.of tho Unitod '.tta.toa ?
for traininc, and service under this Acts Or
to Iabors of the romerve compononts or suoh
forces now or hereaftor on Aril type of'
actives doty, who, rrior to their induction
or co:Tale:tem-ant or active dut:hk 'sore re4.
co;,spl,.nastion trorx such person, fins,
or corporattors,"
The Attorrioy nonerls1 hes hold that the foregeing sootion
annals tho offoct or sections 109 end 113 so far as they
nicht pz.ovent an officer of ,th, armed forces from roceiving!
coll2oh3ation indirectly derived fron contracts with the
*2nIted :Anton or from tho prosecution or claim. age:Lost tho
vatted ritato;. After holdine. that the tomrits or :motion 1,
,s(r) arc f),?pltcnbim to officora oc.,miasionod diroctiy under
the itot o: r.optonlbor `42, 1041 (56 stat,. ?v/UO3 1C1.11,
404 no to), an von no to T'OZOIEVC1 Or:UW*6 # Attorney
Diddle held that the term rcomrensationre as Used In .
section 3(r), wee broad onouoz,Z:. to inolude a briar* of the ,:
not profits rosulting rro-r. ucrit ,ione. 24 others. ? The opinion
closes with this note of cautionf. -
rAn aotual or probable conflict between tho
Oovornmont's Intoroat_ond tho'privato intorost;
of one of its ?Maoris would, of course, be: ?,
intolerable, even in time of ear, and many,
apecific etatutos, end rules or la* cat be
invoked to pr:ovent or punish in such ceSoae;
nee o. tc,e soctioxu2103e 112, and 113 of,
.tho Crininal Code (seem, liMeIOge sod 203e
title, 18, I). C,) .L
ceetion of the itot,
. ' ?
Approved For Release 20051,115 : CIA-RDP67.-.01057A01:006014d1
Or !larch 5# 1D17# 30 stat. 1100 (coos dal
title 5# U. !!4. C.); lJnittd :.tat V.
217 Ti. S. 2C0#306. 4.,,igctiontrTrof
l'elootiva 7rSining and Zervios hot Or 1940
was:not inteudel# in my o:linion*. to-So?
sUspend thous statutea an] ruloa or law as'
to make lawful ouch tonfliot or interest.:
*.tibetiltr t!,lo etto:ney raforrod to. In your.'
letter will servo in violation of those
atatutoo Anl rulos of law will depend upon -
the mork.to whith'he la aualniari. while on'.
active duty.".
TA Indication In the quoted portion of the opinion that
atction 10.D is a.,,plicable to officer? of- t?os armed foroeS
is contrary to en indication In th a-Anion ,1Tion four daywy-
l:or (40 op. Atty. len.* No* 47# AprIl 27# 1V.42)# that
friction 10? do .,3 not nnrai to oriloars WhO do not hol4
noaitiona In tha i-ar or Navy ',.>aprtronts# which in turn_
n:lied on an otxlier olInion to the swat effect (31 OP.-.
Atty. .14n. 471). The wisdom or.r.alylni:.on trio atatement
in. t':1(1 27 Anr11 opinion Is doubtful, au it ix quite
thr.t ?Attormi Ooneral m.y later .!Ireotlyllold (as the
C5 4pril opinton indicatoa) that section 109 siTaietc to
011 ;,rm7 orator?. i'lapito the 27 .April opinion bolding'.
elation 103 cw?lIcablo only to tho.e$ecutive departments,
a year ani a heir later the. Attornoy Ooneral hold thO'smotion,L.
u^11ca:10 to ell emoloyons# whorever employed or s'pointade
(40'07.?Atty. len. 110.74# L000raber 0# 146)* 'A iloilar
aout..facto may be or4woted On the earlier ruling as.Ap
nIllturs a:Moore'
In adOltion to seotlona 1C .and 113scthere are ApedirlO.
StCtUt0A aplicablo to militatil orrloera whichitelate \to.
the ooaflicts or JAterent prohlovls
Aa) Sootion 11U4 of.the Veviaed A
(1'.4 3tat. A4.11 l0 U. C* 441)). torbi4ana:
an Army orator to:engav..in antextra
emplopaant interferlw, with the parfOraanoe
of his military outleu; -
?
tOotion 1133 of.thS. -?ieVised StatiAteit
(39 Stat. 1W: it:: V. -Z. C. 1310# rorbiddingH
officers of the'uartemiatar'Corpa tram
rocoiving:Hany 'gain seremolumetit" *Cori:
not ti any businessconnactedlgith-,
.the duties of.theIr orrio0V '
e
'
,-11, ? ^
?
??? ? Approved For Release 2005/03/15 :,CIA-RDP67-01057A0011 ISO is
?cf
114
(0)
The Act of Juno 10. InA, Oa amandedir
:;tato 41)02 10 I. Cr WS), cuttin
w a,
or mu) pay or any Ifavy or ILina Offir ceon.
the active liat sno.is omaoyed by any
contractor furnishityl pavsl suppliml'Or
war.natoriala.to tho govornmont.
? Thus, orricors or the ar:tod.forooa'are subject to th*
sane germ:gal rostriotione which ore alplicable to civilian
offiCo:.a ona om7loyesi and in 194,UtS,on to opectfic statuts*
a?plioable only: to thom. 7ho one inportant exception i*
t:ext. unliko civilian om7loymes. thoy may continuo to -
roceive componaatIon from Irivato souroas even tho?01 atich
cmcocnc,ation nay be.Indimetly derived in part from the
pro:locution or claims a;;alnat tho Unitod:3tatoa or from
contrieta or otZ'or mutters in which tho United ntato a la
interosted.
LW
1*.C.Tri
3uch scant' judicial Intorpretation.as theoe statutos
havo receivod.has 4v,ad littlo or no lii;ht on their Scope. ?
an re-orto,-; docialons involving thane statute* have boon
prosocutiona wnora a oluar conflict of intorost coasted.
!ier aL-0 tho o*inions tit AtterpeY .;onoral of any groat
value :or wlch nota tall within the prohibition
of
LO sta',.utos. for :watt (f. to rucent opinions are '
1nalatent uith earlier ono e 14 ap. Atty. 'Jon.,
403) without ovorrulinN or atteuTitIai: Lo distinguish the
earlior intoivretations. Co Car, th.tro la no ju.Ucial
withorityeithr for or rwainst ta 'oi'itiontaken Ly the '
ittorney io1uful t;Ict no actual conflict.otinteraat need :
exiot before tlx:stotutoao will apply. 3uclk was the holding
or the (*Inion or 0 :i,..)vembor 14:04 to .the effect that a ?
topointuo In tno .o-N1rtr?',6nt would be liable to The
Ponaltlas pr4vidod by ,ho statutes almoly.becauso he
a mt.ror of a lot partnership thopo.praotico includod taX:'
end admiralty olai:As a4fA1nat the Irlited tattles It le
manifestly absurd to day at any confilot of .interest
could urine in .41ch a situation. Itovorthelansi such con:
atruction ia Lindina upon:all agancies or.t44 governmont
and muat be -ta'.4en an aorroct in .any natter* involvina their
our officora an4 omployees.
* anCant17 f?onator Aaloney Conn.). paid 'On the flOor
Of the :i.onato. "The statutes in questiOn.cortainly:wora
not enacted on the basis or tho present ramtfleatiOn or
Podoral rev,ulation.". W Cong. kit. 1674 (21.00.11.1)44)'
..41000
Approved For Re ease
I 1 ? Ill III
Liability of Government EMployees for Neirilikence
? .
25x1A.9)2.,? At the request of I the
tions Concerning the liability of an employee of the 03S.,
fOr-damages resulting from an aUtomobileaccident caused
iby his own negligence .while acting in the scope of his
employment were checked: ?
. (a) whether any Congressional act exonerated
Federal employees from liability to third .parties.
under such circumstances; -
(b). whetherCongress had by'special.aot ,
relieved individual employees ,from suoh liability,
2. With regard to the first point, 4 general statute'
authorized heads of Federal departments to adjust claims.
for damages to private property not exceeding 4l000,,:! I
caused by the negligence of any officer or employee acting.
within the scope of his employment (31 U. S. C. 215) The.
Secretary of State has similar powers to settle claims
.arising from the "act or omission" of United States:officerv,
.or employees in territorieswhere the United States has
:extraterritorial jurisdiction (31 U. S. C. 224a). .The, ?
Postmaster GeneraLmay specifically settle even those
-claims (up to 0500 'in amount, arising from the negligenee'.
. of Post Office employees acting in the scope of their emploY4
:merit (31 U. S. C. 224c). The Attorney General can also
settle claims against FBI agents, who were-not acting
the scope of their employment (31 U.S. C. 224b). ,On thiV
'other hand, the Secretary of. War cannot settle claims... -
Arising from the negligence of War Department employees'.
-(31 U. S. C. 223b; see also,D. C. Code, See. 1-902,LE0:10
It will be noted that none of those statute h relieve the'
Aemployee of any personal liability.for.his nsgligenoto
a person injured. thereby.
? 3. A recent Supreme Court dedision reaffirms the:-.
principle that eVen public instrumentalities or public
...officers are individually Uable:as:agents.for:their
:own negligence. Brady vs. BooseirelV8S,Co.,'317
75, 87 Li Ed.471,-63.sup. Ct::425,:rev.-:128 0 .(24).'.
A.09 oertiortiri.tranted-317Vi-80$090NiSup4 cit,P4
87 Li Bd.', 495,:vertiorari'denied:Rops0018
? .
Approved For Re ease
I 'III lit? tie
? ? i ,,
Filet' . 2 . :11,Augusti9 v
.:. . . ,
.31911, 84 763, 63 Sup, Ct, 1320, 87 1.4.Rd.1714,:,
.rehearing denied, 310,V. S. 7991: 63 Sup. 0t...-659,
07 L. Ed. 1163 (1942). In that case the administratrii .
of the estate of a customs Official who wip killed 4e:.y,''
the result of the breaking or lidefeetive rung 112:4
ladder while boarding a vessel operated for the
United States 14aritime Co4iSsioner, its owner by kA..?
the Roosevelt S 0o.,'aiprivate agency, sued the
steamship coMpany fer4ameges under the Suits in ,.
..,
Admiralty Act, It was.originally hold that a maritIMO ?:
tort was involved; that under the act the remedy wasl
exclusively against the United States or the United ' 4.
States Maritime.Commission. The Supreme Court re-
versed this, holding that the.intentiou of. Aet
? was merely to prevent the United States shipping frorv ,
being tied up by a libel in rem, and not to deprive., ,
? (the liability)of private agents,for their.torts.
-jar.-Zustice Douglas said: ? ,_ .
"The liability of an agent for'his.own. negligent:0 %.1.x
has long been ?embedd3d in the law. Quinn v. GollW.:
ate Nelson Co., 121 F (2) 190, is a recent appli.,1
cation of taut principle to a Situation vory'cloge!
to the present one.: But the principle is an: ,.
anoient one and applies even to certain acts of
'public officers or publio instrumentalities. As
stated in 3loon h1pyards Corp.V. Emer encr Flo
Corp., 258 Ti. . b Vi 6 An nstrumenta y o
government he might be and for the greatest ends,
but the agent, because he is agent, does not cease
to be answerable for his eats."
4. The same principle is affirmed by implication la 1
W. 15 C. G. 927 (1936). In that case an employee of thsv.
Bureau of LatoMology and Plant Quarantine wrecked t GoverU4
meat automobile to such an extent that after repairs
sale the net loss to the Government was 458.50, which wae-
deeided to be ohargeable to the employee. The accident,'
however, occurred at a time when the -employee was not on.:..
official business. In 14 C. a.221 (1934),an indorser:
bank refused liability on a cheek cashed to an imposter
charging the Government with laciest but it was dessided:
that laehes might; not be charged against the -sovereign,
? and that the Government is not liable for the nonfeasante,
misfeasance or negligence of its officers, Citing 000X0.1, ,
U. 4., 91 U. G. 382, 390,;Gerpen Bank 9,, U. S., 146 U. 0,0$73.
w7579. In 16 O. G. 503 (194(), disausiingthe liability Of
the WPA for damage to .private property (mused by the
negligence of WPA workers acting in'the scope of their'',
employments ,it is.stated,..that-"in.the absenee.ef.
specific statutory Provision the Government. is,not''
? . liable for loss or damages resulting from.the negligent
'act of iteofficers,or.emplOyeesiting:the.Germenjian
. case, ouvralleacie;theneoeseity?4046.4!gerotthe.::.:-`)
?
Approved FM Release 2005/03/15 : CIA-RDR67- 57A000100CiltOlt
Filea ' - 3 - Ilk 5 Auguet,1944
Emergency Relief Appropriation:5 Act of 1939'and 800, 2
of the Act of 1938, allowingrViPA Commissioner. and New
York Administrator to adjust claims up to 000.:A17-77
would seem to tollaw that. in the absence: of oodtrary
legislation, government emiaoyeei.remain,liable
third persons injured by their torts.
25X1 A9A' 3. Vith regard to
Isebond4Ointther
appear to be no private congressional acts "
Federal eMployeea from liability in oases 'where the
Government had settled olaims arising from theiruegligeneit
or in oases where judgments had been obtained against
?.them personally* There are numerous private acts ooM4':
pensating private individuals for injuries:auffered'as
? the result of negligence of government employees*. See '
, for instance the Act of April 141'1937 (Ch* 83,: Sea. 420.
? Private 27), paying $5000 to onel for the
death of a child killed by an automob1le operatediwik,
.:CC0 employee, who is neither named nor rellevedElee,
also the Act of April15,-1.937-(O11..'96,-Seci 316.-Priyat0..,
39), awarding $2500 tol FtorAc
25X9A5 damages caused. by a CCC. truck by
is no act:rellaTingjiouse:whatover.:-.
ALD:jtt'-
19.221-211
It is well settled that in absence of a specific statutory provision
the Government is not liable for loss or damages resulting froms the negligent
acts of its officers and employees. German Bank v U. S., 148 MS. 573*
579.
Approved For Release 2005/03/15 : 61A7RDP67-01057A00010001000143
14 CM 221.
Laches may not be imputed to the 'Government in its character as
sovereign. Cooke v. U. S., 91 U.S. 389.
22.00 221, 11 September 1942
The Government itself is not responsible for the misfeances or wrong,
or negligences, or omissions of duty of the subordinate officers or agents
employed in the public service; for it does not undertake to guarantee to
any person the fidelity of any of its officers or agents whom it employs)
since that would involve it, in all its operations, in wadies* embarassments
and difficulties, andlosses, which would be subversive of the public. '
interests. Robertson v. Sechel, 127 U.S. 937.
25X1A1E
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Next 3 Page(s) In Document Exempt
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lj
h
ave'
r Releae .20f/.03/15 :,d)A-Ftt067
?. ?
TO: 1 r 25X1A9A
negt Jag .
3UBJ CT:
Restrictions:on.Construction of .Buildings for
Public Use 'in the.Distriet'of Columbia
bIS &moo.
15 114ireh:-194
1. Reference is m,,de to the attached memorandum to the
.i.drector from the Board of Review, dated 8 Larch 1945, con- "
corning additional buildings to: provide space for 033 activi- 4
ties. It is recommended therein that 065,000 be allocated. for
the purchase and erecting of three pre-fabricated buildings,-'
together with the around rent necessary to .be paldfor the land
at 2bth and :Areets, N. W.
2. Title 40 of the U.3.0. contains the provisions of.
relating to Public Buildings.
1, The Public Buildinga,Administration in the Federal
llorks gency shall have the absolute control of and.
the allotment of all apace in tLe eleveral public) *.
buildine,s owned or buildings leasodby the United
8tates in the District of COlumbia.4.?4.. ?
19 The Federal Works Administration shall-beim Charge
of the public buildinsS and grounds in'the District
of Columbia, .under such regulationS as may be pros.
cribed by the President .....e..
joc.24 In the selection of a site for any4ublic:bUilding,;,
reference' shall be hactAo the interest and conveniencei
of the public....ksand the Federal Works-Administrator
shall have power, and:it shall bellio-duty,Ao set
,aside any.selootiwwhieh in his.opinienhas net been
made solely with reference thereto..
267 No money shall be:expenddd upon
until after plans, eatimatesiretov.have been made: b
FBA.and approved,by.Federal,Works:AdminintraticAi'
i?
.',?
'
VA.* /140 ? ja0
Approved For Release 20054031156: CIA-RDP5 ,A,000100010001'70
o, 260 NO 'plan shall be approved until after%h=
there
for shall. have been finally se1eoted6-
From the foregoing it seems that any plans.fat
tion or erection of buildings for public -use should be It:d7
to Publie.buildings .e,dministratios in the Federal WOrke1Cgeney
3. :From the attachod files it appears that Public Buildings:,
5xiA9Administration'w111 not approve th,, erection of temporary
in the idlstrict of Columbia. (Memoranda of I, Ch104
zArvices, to the Director, dated 8 May 1044 and to!
dntod 12 May 1944). however, recentlyj hat, beeliTT:
informally advised by PBA trat, though perminsion will, not be 25XIA9A
granted for the erection of temporary buildinvi in the District
of Columbia, thin restriction does not apply in the ease of pre-
fabricated buildings.
4. The question of the use of .002 funds for the purchase
and erection of pre-fabricated buildings and payment of ground
rent should be considered. There appears to be no legal objection
to such aa expenditure in view of the language used in the 033
ePPropriation net. It should be noted that Leo. 267 of Title
40, U.3.0. relates to theaxpenditure of 0overnment funds whereas :
c)otions 1, 19, 254, 260 contain oti,er provisions of law concerniAtt'
.public build1k;zi and should be complied with. .Thus, it follows
that, although the buildings were to be paid for anCerected with
(JJ J funds, the FBA, under ;eetion 1 of Title 40 U.J.C. would have -
absolute control of and allotment of space therein with the power
to allot the buildings to an agency other than 0Z3.
25X1A9A
5. In the memorandum from the Chief, Serviees tol
dated 12 Lay 19444 it is stated that, in the opinion of tile bureau
of the budget,,Congress clearly did not intend that .002 funds
should be usod to construct a building. .The Board of Review makes
.no suggestion in its r000raondaion of.0 March 1945 that the pro-.
posed expenditure should be cleared with the Bureau of the Budget?H-
This, of course, is a policy matter which is not for the decision -
of this Office.
86 Before any funds are expended for the purchase and erection -
of pre-fabricated buildings or the payment of ground rent, the
entire proposal, including plans, and eetimates, Should be subs. .
milted to the Publio Buildings Administration in the. Federal Works
Agency for the approval of the Federal Works Administator..
25X1A9A
Approved For Release 200510y15 : CIA-RIDP67-1
25X1A9A
Accc9t=ca of ;,vords by Irereign .Governmints..
'The following-erovieione nre.taken from ArMY
1J1gu1et1on8 000-45 end Preeent the whole picture of the law,
iecluding the conetitUtionel prohibitions and the blenket stfit
utory Coneeni urinz.the preeent?wz: . I
"32. Xey not be eccepted vithout oonent of
Core;rees.?Uo person hotding-any office or-profit
or trunt unr them (the United-Otetes) ohall,
i_thout the conn,r1rt of the Co/lc:ems, accept of any ;
preaeht, e-.oluncelt, office, or titles.of any kind
? whetever, from any ir., Prince, or foreign Stet..
ree Conet. Art. I, Sec. 0, Cl. 8.7
"33. 4',ceeptonce of vaarde.?f-e. Viet officers
(nod. enlisted .man of the ?;rmed forces Of the United
'1,ates be, on: they rro horek, authorized during
to prozlent wcr and for n yuar thereafter to cc?
?opt fron the governrents of cobelligerent nct ions
or the other J%merieen republic's such lecorctions,
orilers, replale, tJid emblemn, ng my be tendered
them,' t10. which are confezored by such goVernmente
upon nembers'of their oxn militery forces, hereby
expresely -grenting the conoent of Congrese required
for this purpose by elcuee 8 of nection.0, article'
? I, of the Constitution: rProvideg, Tilsit any
such officer or enlioted-mn in hereby aAthorized
to accept end wear nny decoration, or6er, nodal,
or emblem heretofore beatowed upon euch person by
the government of la cobeligerent mition or of en
.4oricen republio. oo.I, uct 20, July 1042 (DO
tet. 'Or). This 'stutute conatitutes?congreesion?.
za conbent for the eAlration or the prerent war end..;
for a year thereafter for wceptance of the _decor--
otions covered by it, ee set forth above.;
"b. Offers by the governmenteof cobelligommt-'
ry.tIone or the other7.Amerieun republics to leraen?
? nel or the United Stilton :Irmy of decorations,
orens, models, Gnd emble:71s, as not forth in (0'
above , my be reoeivea, tioodpted,' bt vorn. by viers....
bers of the United :Metes Army provided the ewerd::
end preuentation he first been_e?proVed:by. any On.
?
;
? ?
Approved For Release 2005/03115 : I
e
of the appropriate ooramInders dosignotodYin
poraerriph (ib()). Suoh oosos not falling within.''
the cfore-morstionod oritoory twill rcqu.ire prior
oonourrenoe &f taco 7:.hr Deport.4pcnt? ?
gt34. Unauthori::od t;etirints of foreien deoorrp...
tionc..;.-a. That it shall be unitrarttl for ony
pitruon, ? ith intont to dooeivo or raielnad, within
tho Unitod t;tatots or Tarritorlos, ponce:salons,
waters or pl,ridou subjoct to the jurisdiction of
the United Stato, tovicar ttny *. decoratinns
or regalia of..any roteizn tcito.1 mtion, or,OoV-
ornmant vi.th rhioh the United Staton in tit peace, or
Anz. * decorction? or flagella r.o nearly xvsems.
bling tho sarze t...1 to be maculated to deeoive,
unless such v,-miring thonor be authorized by such
5toto, nIttion? or Govarnuent?
?;,ny parson t.ho violates the provisions of tb.ia
Lot choll upon conviction be punIshod by a fine
not exceeding ;::3C0 or iraprincemont for .not exooeds.'
in slx.r.onths, or by both cuoh fine or& imprison
:lents ,67co. I? act ti ;Ally 1013 (40 Stat.. 021; 22 .
noo.
Eotctionss Lind report on morels of forolert
1eoorations??.1.1. avtLrds of to; (siva deborations
tU bo Loted in service inti other iiUcr roos.
cirde, in pornonnol filon, in e.fficiertey .reoords, end
.in hictoricrl rocordrs of orgt.a?izotionn. Report .
or Suoh utv2rds oitotion n4 other spot:aria
1rJrmt4tion ;:htyi-ofor refere.nco to the i;fCtoio1 ?
forol4s.n :lootna,.,r.t upon 'whialt the r.trtard is. made .will
to foryordod to tho hoci!Vuttrtore of the field fors.
co oonodrned for recordiitg .ond transmission to The
. itdjutont Oenaral. .
?"CID (3) * 4* (a) The com:nonlir.g general of United
3tat0s: ,?.rr.qt rorces in 41 thocter of, operations* ? "
."(b) Tho c.c.r.orals of. any .of the folibws.
lug, whan,operating Airectly:tuteler tho Wnr DOpertmentV
1. 4',.n'crmy or?eiir-foroo.7i,
2. A .roup or Lriie8..
3. ?A dofore.eomiend in. 4ttka or.
.. outside the ? contiriont4 United..3tutes4..
? Approved For Release 2095/01t5 : GIA-131jP67-01
Atly- eapvrete force commanded
by a majorgenerelor:offieer'
?
or hioher area** - '
?(4) The Purple Hurt xy bo O=!:arded'iy coMmandere
namod in (3)above, and.,:tho,Oommander of
ioroc which in oommln4o0X4'orithw.oppropr ote
oommnd.of, A brigallortenor41-.or officer of
,higher grudei the commnder of n timed cuneral
hospitel.in.tha oontinentallItAted-Stateoi gad
the oommonlor of anrgeneral-er avaoueti,:n?
boapital ottteldo the oontinentelAlated.Gtratee.
,
/0) Contemplated awards to,persOnnolof the RaivIrVeta-
be aubmittod to thea sonior,ncvel corimbnAer prep.
cnt for coneurrenee.
.25X1A9A
? .
Approved For Release
0
II I
1..e4 ;-?
'I.
OJVILT l'1.11101INTI
,warde by foreign governments to civilian persenuel'or
still controlled by the aot of 31 ;armory 1081, Chapter 32,
Seetions 2 and 3, 21 Stat. 604, 5 U.S.C,.. 114, 115. Islets
thLt the cot of 20 guly 1942 effects only members of the anted*
forces end does not vitiate the effect of the cot of Si Zane'
uary 1081 uith respect to civilians. Theme provisions are all
follows:
"114. Foreign Decorations. :Exeept as otherwise
provided, in.chaptor 33 of Title 10, no de-
coration, or other thins, the acceptance
of which may be authorized by cionsent of
Congress, by any officer of the United ,
States, from any foreign government, choll?
bo publioly shown or cl:posed upon the per-
non of the officer no receiving the same.
(dna. 3), 1681, e. 32, pare 2, 21 Stat. 604,
'1115. Same; Delivery through State Department.
Any present, deeoretiOn, or other thing,.
which shll be conferred or presented by
any forei6n government to any officor of
the United states, civil, nava, or mil?
itary, shall be tendered throuch the De? :
partment of State, and not to the indi?
vidual in person, but such present, de4or?
ation, or other thing shall not be deliv?
ered by the Department of State unless
no authorized by eat of ConEreas.:(;a4lalv
1881, 4. 32vPera.3, Stat, 504.)r:
447.",
Approved For Release 2005/93/15 : CIA-RDP67-01057A000100010001=9
e
? OFFICE OF STRATEGIC spilvic.Es
FROM: J.s.w.
. SUBJECT: Lump-sum Payments under Public Law 525
1. Several questions have recently been presented
concerning the application of Public Law 525, apPrOved *.
21 December 1944.
a. Under what conditions may accrued annual.
leave of a Federal employee be transferred
to his credit when he is.transferred to
OSS and compensated from Special Funds?,
b. Where a person has. received a lump-sum '
payment under Public Law 525 and is im-
mediately placed on the Special Funds pay-
roll of OSS, will any refund of the lump-sum.
payment be required?
2. 'Section 1 of the subject Act provides in part
that whenever a civilian employee of the Federal Government.
is separated from the service he shall be paid compensation''
in a lump sum for all accumulated and current accrued annual
leave. Such lump-sum payment shall equal the compensation :.
that such employee would have received had he remained in
the service until the expiration of the period of such an-
nual leave. However, if such employee is reemployed in the.
Federal service under the sane leave system prior to the
expiration of the period covered by such leave payment,
he shall refund to the employing agency an amount equal
to the compensation covering the period between the date
of reemployment and the expiration of such leave period,
and the amount of leave represented by Such refund shall
be credited to him In the employing agency. .It is provided'
that. Such lump-sum payment shall not be regarded, except'
for purposes of taxation, as 'salary or ooMpensation::
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
3. Section 3 of the subject Act provides in part
that all accumulated and current accrued leave be liquidated
by a lump-sum payment to any, civilian employee of the
Federal Government in cases involving transfer to agencies
under different leave systems. Such lump-sum payment
-shall equal the compensation that such employee would have
received had he not been transferred until the expiration
of the period of such leave.. It is provided that such.
lump-sum payments shall not be regarded, except for pur-
poses of taxation, as salary or compensation.
?
4. It is Understood that it is the pOlicy of Special
Funds Branch where possible to credit and accrue leave .
in the same manner as required under Civil Service laws -
and regulations. Therefore, it would appear that a regular.
Civil Service employee, or an employee of a government
establishment having a substantially similar leave system,
may properly have his accumulated leave transferred to
his credit with OSS even though he. is to be compensated
from Special Funds. Where security considerations are such
that no transfer of accrued leave should be made, it ap-
pears that the employee would be entitled to receive a
lump-sum payment -for his accrued leave at the former employ-
ing agency. ?
5. Where a person has received a lump-sum payment
under Public Law 525 and is immediately placed on the
Special Funds -payroll of OSS, no refund will be required if
the leave systems Of the two.agencies concerned are different..
The dual, compensation statutes are not involved since such
lump-sum payments are not to .be regarded as salary or
compensation except for purposes of taxation. Comptroller '
General's decision B-46726, 13 January 191.7?DIf the leave
systems are substantially similar it woul -seem that a .
refund should be made of the lump-sum payment and credit ,
for leave therefor should be granted in accordance with the
provisions of Public Law 525.
39
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
4
. 25X1A9
TO?
DAaz Aug 1945
General Counsel Files
25X A9A
I spoke tol Ithis
orning about the proposed con-
ract with an auditing firm
wherein the firm or members there-
of would serve as the Comptroller.'
In view of the rules of law-
set.forth'in the attached' memo-
randum (prepared byI I ' -,125X1A9A.
( said that -no .
(further' work on this matter was 0/1'
. required. He stated that it woulk
be necessary for this office to '
provide him with .a formal memo?
randum on the questions involved.
glee'
V44441- Office of the General. Counsel -
. 40
,
Approc3or Release 2
22 Comp. Gen. 700
/03/15 : CIA-RI -010
III
IMO
II
OEM hired Tanitor Service from Maintenance companies on a
contractual basis. .
Held: The objection to contrheting with a firm-or a
third party for personal services (is based) xX-on the fact:
that such contracts delegate to the contractor the right to'.
select persons to render services for the Government which
would be contrary to (5USC .43.- employMent of employees
.to assist in executive departments). Also, the services
rendered by the contractors employees would not be subject
to direct supervision such as is generally exercised over .
Federal employees. 6 CO 474; 13 CO 351; 15 CO 951; 17 CO
-300; 21 CO 388..
21 CG 388,391 holds that where a contract to get statistics
from a firm was merely-ep an "incident or by product" of
the procurement of the information, and where the act
setting up the procedure for collecting an Auto stamp
tax" was very broad, such a contract Would be permissible
17 CO 300,301: The general rule is that purely personal
services may not be engaged by the Government on a non-
personal service contract' basis but are required to be
performed by Federal personnel, under Government super-
vision. The fees or amount of the contract price paid in
accordance with the terms of a nonpersonal service contraOt
on the result to be accomplished rather than on the time
actually.worked on the job, covering, not only the con-
tractor's time but also the use of his facilities x x
does not constitute salary.
,NO
41
D-4-4-41-4AKAA". CO!?2-)
1.5: 951,953 "The insufficiency of the present personnel
?
in a Government establishment x x does not authorize
contracting with a private agency for the performance
of duties with which the Government agency is otherwise
charged.
13:351-in allowing the employment of archictects by contract
the C. G. stated:
"The employment of outside professional servioes under
a contract such as is 'proposed In the present matter should
be resorted to only when, due to the highly technical features .
?
of the project or for other reasons, the use of.regular
employees of the Government would not be adequate to
accomplish the purpose authorized by law.'"
NB: (Tanitors, towel service) 6CG 474: l'xx.the work to
be performed was not to be done by the contractor personally,
but by employees selected by it.. In other words, the duty
of selecting employees qualified to perform personal ser-
vices for the United States was transferred to the Contractor ,
instead of being performed by proper administrative officers.
The delegation of administrative duties to others by oontrut
to-others-by-eentraet is not authorized. 6 PG 514 Under-
wood v-U.S. Court of Claims Tune 14, 1926:s" .
NB NB
6 CG .51: Contract with Dr. William. Campbell of Columbia
Ohio for Cervices as an advisory ietallurgisi at $200 per
month:
"The contracting with an individual Or firm' to perform
a duty or exercise An authority imposed or conferred by law
on a Government department is not, authorized. See in this
'4
connection Underwood V. U.S. Ct. of491. Tun114, 1924?TO:
I. .
42
?
NB: 6 C4, 140
142: Whether power to hire board of pro-
fessional tea inspectors: "xx The inspection. of tpais:
strictly a'personal service. Personal services neoessary,
in connection with Government activities are for per-
formance by regular employees of the Government Who are '
responsible to the Government, and such services should
not be performed by contractors who cannot be-held per-
sonally responsible for failure or misfeasance in the per-
formance of such duties. The board of tea inspectors as .
constituted in the case here under consideration presents
? the anomalous situation of two persons, not Government
employees and not under Government supervision, -being
. granted absolute and final authority to overrule the actions
of persons regularly appointed or employed by the Government
"x x any procedure by which the final determination
in-LIsuch matters could be controlled by the actions of two
persons who are not responsible to the Government is un-
authorized...
(Real estate broker)
3CG 720,721: "The matter of negotiating for the purchase
of land for the U. S. is an administrative duty *doh may.
not be delegated to anyone other than a responsible officer
- of the Government" accord 4CG 356 358.
6 CG 324: Services of draftsmen and consulting architects:
? "The services contemplated under the contract are personal
services x x and they may not be engaged by contract." ?
1./4'7
6 CG 820,821 The duty of making topographic .maps
posed
.by law on. the geographical, survey, and contracting wt
an outside agency or individual to perform theduty thus.:
imposed is not authorized."
15 CG 305,306 (desired to hire a firm.of.architects? no
expert Government personnel available - no personnel
available who could be hired by the Government and at
the same time who were qualified for the necessary work)
Held - in allowing a contract for such services:
"It is well established that in the absence of statute'
specifically providing otherwise; consultants or other 'ex-
pert personal services may be engaged by direct employ-
men, only, and not by contract with h firm, corporation,
or association to furnish the services of such persons
as it may select."
(The CG then goes on to say that an exception may be made
where:
a. No such persons available in Government employ.
b. Such services cannot be obtained in accordance
with civil service rules and regulations.
c. Consent for the contracting of such services
has been obtained from the Civil Service
Commission.
d. That the services will not be contracted for at
? rates which exceed those specified in the classifi-
cation Act.)
"The employment of outside professional services un-
der contract should be resorted to only when,,due to the
highly technical features of the roject or for other
,
*IS
reasons, the use of regular employees of the Government
mould not be adequate to accomplish the purpose authorized_
by law." 1.4.CG 909,911.
"If the services of particular architects are ad-
ministratively deterMined to be necessary to the success
of the contemplated project, the selection of the par-
ticular architects should be made by responsible officials
of your administration and the services of such architects
to the extent necessary should be secured either by em-
ployment.or by contracting directly with the individuals
? and not through an intermediate agency. id.
The section in the U.S. Code which prohibits the employment
of any employee in any executive bureau unless there is
authorization for such employment and the payment therefor.'
in the law granting the appropriations is 51J:S. Code 4..
This section also limits the rate of compensation for
any such employee to the rates established by SUBC Chapter
13 (Classification of Civilian Positions).-
21 CG 400: Allows the Dept. of Justice to contract with
a private agency for punching and sorting certain statistical
cards. 15 CG 951 (International Business Machine Case)
distinguished by reference to the respective appropriation
language of the two agencies. It was, held that the Justice
Dept. appro. language was less specific as to its own
obligations.
An analysip of the two oases, end the
respective appropriation's language shows the distinctiog
to be purely factitious.
Approved For Release 2005/03/15 : CIA-RDP6701057A000100010001-9-
16 CG 1055,1056cInspection of construction work for the
.Govetnment is a personal service and is hot to be regarded
so inherently a part of the construction as to render a
purely construction appropriation available for payment
of the inspectors salary,x x x The duties of the inspector
being presumed .to protect the interests of the Government
are for performance by the regular personnel of the particu-
lar department concerned x x under proper supervision, and .
the salary constitutes a proper charge against the appropria-
tion, available for salaries."
Miscellaneous:
Contracts for the employment of accountants expressly'
prohibited by 5 US Code 55:
"x x No part of any money appropriated in any act shall
be used for compensation or payment of expenses Of accountants
Or other eXpertsx x unless authority for employment of Such.
services or payment of such expenses is stated in specific
terms in the actmaking.provision therefor xx. See 1CG 93;
14 CG 617.
:614+611.120h012AR89.%13W10001-9
.tarlil ?
Neaf Vss4100
DelegatiSIP1451"iti4EAANVIPtiga5Via
6 OG 568, 569: "The matter of negotiating for the purchase
of lands or any interests in lands for the United Statea as.
a general rule, is an administrative duty that cannot be
delegated to anyone other than to responsible officers of
the Government." In accord. 3 OG.720,721. 6 CG 463,464:
The delegation to others, by contract, of duties for which
the administrative officers are responsible is ncyt authorized.
Accord 6 C.G. 51 6 C.G. 4741476.. (Persons hired to translate
foreign languages.)
There is no authority to delegate by contract to a non
work
Government agency/which should be performed by a Government
agency established by Congress. 12 CG 516,517 (Counting and
sorting statistical' cards). Accord 15.CG 951.
22 CG 1083, 1085, 1086:
"In.performing official acts the.Secretary of the
Navy acts nOt.as principal for himself but rather, as an
agent for the Government. The .Floyd Acceptances? Wall 666.
x x x an agent cannot without the-principalts,consent,
delegate powers which involve judgment or discretion."
(Citing cases)
Distinction between a contract for Services and a contract for,.
s.finished product:
3 CG 709:
Here the Department of the interior desired a specific
manuscript article upon psychological tests. . A contractual ?
agreement was entered into under a short form contract,.
"The party of the second part agrees to furnish a
manuscript on intelligence testing, in typewritten form
and acceptable to the Commissioner'of Education on or
The Secretary of the Interior contended that thiswas .
a contract for a finiShedf4roduct for which a specific
sum was to be paid, and that it was not intended as a con-
Held: "This contract, however, indicates that what it was.
really sought to produce was not material or a commodity
in existence, or to be produced according to sample or
specifications, and which is subject to sap, but rather
the services of a particular person having the necessary.
attainments to prepare a treaties upon a special subject.
The fact thqLt the service was engaged by contract instead
of by a special appointment'oand that compensation waw
fixed in Some other manner than on a basis of a stipulated
unit of time, does not operate to establish, the character'-,
of the transaction as a purchase(
underscoring supplied)
"WhitibprovpdxFsmrReeseeigifig5/03i15 a61,4scRWEgy0WASNAt -
contract, -ocil&e.eot, or otherwise to render a service
such as the making an investigation, the compiling of
data, the writing of articles, preparation of materia1000
for a report etc. the service rendered is and must-be;
regarded as a personal service." .
"Under whatever form the right to pay arises Whether 0
under formal appointment or by entering into a contract to
perform certain services lit is a right to pay for personal
services and the appropriation under which payment is
to be made must specifically be available for personal services.
19a 941: An applicable act provided that the agency involved,
could place orders with other agencies for services of any kind,
"provided however that if such work or services can be as con-
veniently or more cheaply performed by private agencies such
work" could be let to the private agencies. The agency involved
desired to let a contract for testing certain materials.
The CG drew the following distinction between contracts for.
"inspecting" and"testing," in distinguishing .a former opinion:
"The term 'inspeCtion''x x would seem to be confined to .
'the act of inspecting' x x for the purpose of determining x x
whether the supplies x purchased properly were prepared or
assembled in accordance with specifications x x.1 In that
sense it is a personal service and as such a governmental
function involving personal judgment, and properly is-for
performance by Government employees under tkOvernment supervision."'
(underscoring supplied)
The C G then went on to say that the above quoted act could
never be construed' (1 to authorize contracting with private
aCencies for the performance of governmental functions involving
Personal services such as "inspecting.",,.,
?N? 4 9
ct'
Approved For Release 2005/03/15 : CIA-RDP67-
I I Al I 111i;:;;.
However, the CO points out, "testing" may be said to be the
deter mination by sCientific means of the physical or chemical
.preperties or elements of a material"requiring not only the
services of persons possessing certain technical knowledge, but
also special appliances x x and involve not so much the element
of personal judgment as the apglication of established scientific
principles and procedures. In such cases the results to be
accomplished are not dependent upon personal judgment, would not
be effected by Government ..supervision, and the services generally
are not necessarily for performance by GoverArpent personnel,
unless specifically so provided by law."
17 CO 300,301:
-
"The general rule is that purely personal services may not
be engaged by the Government on a nonpersonal service contract
basis but are required to be performed by.Federal personnel
under Government supervision, x x The fees or amount of the
contract price paid in accordance with the terms of a non-
personal service contract based upon the results to be accomplished
rather than on time actually worked .on the job, covering net
only the contractors time but also, the use of his facilities,
office, staff, equipment, etc.--does not cOnstitute salary.
?
?
1. The above Oases indicate that, in general, the rule applies.
that it is permissible for the government to contract with an
independent agency for a given result provided that:
a. The result is one which is contemplated- bY the
law creating the agency or,
b. the result is one for which expenditures are
justified under the appropriation language of the particular
agency, and,
.e/9
? 0' O. 0
01
c. the result is not one which by the appropriation
.langliage or by the law establishing the agency, the agency
should itself accomplish, and,.
d. the contract for the result desired does not in-
volve personal services, that is to say that in carrying .
out the result ,the contractor does not in effect become
the agent or servant of the contracting agency in the
substantive law sense.
2. A Government agency 'cannot by contract delegate either:,
a. Administrative duties for carrying out its legal ,
purposes.
b. Responsibilities which are inherent.in its
functions as created by law.
0. The selection and or supervision.of personnel
to accomplish a or b above.
3. An agency may contract with an expert or individual for
services, without regard to the Civil Service laws where:
a. The contract is, made directly with the individual
or expert, and notwith an organization for the services
of such individual in contravention of 2. o above.
b. The law establishing the agency or appropraattm
funds for the agency either
.
U. Specifically provides for suoh services, and! makes
'it clear that such Services are the only means by which the
Purposes of the agency, as established by such law, can be
? ? ?
carried out.
97
Approved For Release 2005/03/15 : CIA-RDP67-01.057A000100010001-9
4. Though tO 9601 as extended to OSS by Ski 9241 allows OSS to
enter into contracts without regard to the provisions of law. '
relating to the making, performance or modification of contracts,
this does not abrogate the provisions of the Act of August 5, 1882,
22 Stat. 255 which prohibits the expenditure of Government funds
for the expenses of accountants or experts unless the pertinent
appropriation specifies otherwise.
"2.ven though .002 funds Would be 'specifically exempted from the
operation of the statute just referred :to, the decisions above
cited are sufficiently clear to establish that, in the opinion-
of the comptroller general, such experts can under no circumstances
be hired on other than a personal service basis unless what is
required .from thea come within the "contract for a Specific .
result" as defined in those cases. That is to say, a contract' .
which does not require the personal supervision of the contracting
agency, and which does not, require that the contractor perform
functions belohgin Ipti(mrlv
hellgiency or one which attempts to
delegate the responsibility of the agenoy.
5. To answer the question put specifically the following seems
clear:
a. A firm of accountants may under no circumstances be
employed with .001 funds.
b. 'A firm of accountants could be employed with .002 funds
provided that they were employed to give Us 00310 definite statistics'
and not to exercise administrative or discretionary powers of
this agen6r.
N?
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001
? c. Individual accountants could not be. employed with .001
funds for an purpose connected with the "inaugurating of new. .
or changing old methods of transacting the business of" this
asency. They could, it would seem, be employed :o11:4.civil service
basis for purely statistical purposes.
d: A firm of .accountants could be employed on .002 funds
.ould.
to render a specific accounting, but not by .contract whior,wgive
any member of the firm administrative or discretionary duties:
e. Individual accountants could be made regular employees.
of OSS On .002 funds for any purpose, .
?
?N? 53
lirNs ? .
%Bo
Approved For Release 2005/03/15 : CIA-RDP67.-01057A000100010001,9?
MORABDUlf
25X1A9A
TO:
FROM:
SUBTECT: R.S. 291, 31 lu.s.c.A. 107
1. (a) The subject act was first passed on the
9th of February 1793 (1. Stat. L. 300) at which time it -
. provided:
4.
"That in all cases, where any sum or sumo of
money, have been issued, or shall hereafter
issue, from the Treasury for the purposeof
intercourse, or Treaty, with foreign nations,
in pursuance of any law, the President shall be
and he is hereby authorized to cause the same.
settled with the accounting officers of the
Treasury, in manner following, that is to say,.
by causing the same to be duly accounted for,
specifically in all?instances wherein the
expenditure thereof may in his judgment be
made public, or by making a Certificate or
Certificates, or causing the Seeretary of
State to make a Certificate, or Certificates of '
the amount of suoh. expenditures as he may
think it advisable not to specify and every such
Certificate shall be deemed a sufficient voucher,
for the sum or sums therein expressed to have
been expended."
This section in substantially the same form, was
incorporated as Section 291 of the Revised Statutes and is:
to be found today in 31 U.S.C.41, Section 107 as follows:
"Settlement of _expenses of intercourse 'with'
foreicn nations. Whenever any sum of money
has been or shall be issued, from the Treasury,
. for the purposes of intercourse or treaty with-.
. foreign nations, in pursuance of. any:law, the
President is authorized .to cause the same to be.,
? duly settled annually with the General Accounting ?
Office, by eausing.the same to be aomplted tor.,
Approve
sPeeirieally, if the expenditure may, in hia,
judgment, be made public; and by making or
causing the Secretary of State to make a
certificate of the amount of suoh expenditures
as he may think it advisable not to.specifyl
and every such certificate shall be deemed a
sufficient voucher for the sum therein
expressed to have been expended. (unuoff000ringsupplied
(b) Compare our own apfiropriation.langutge
respect to confidential expenditures, as follows::.
P..1/4 372-- 78th Congress:
25X1A1A
1 maybe
expended for objects of a confidential nature,
such expenditure to be a000utted for solely
on the certificate of the Director of the
Office of Strategic Services and every such
certificate shall be deemed a sufficient.
voucher for tho amount therein oertifieW
2, (a) .This statute has not been subject to court7':
construction, and the only opinion of the Attorney General
which might refer to it is in 1 Op. Atty. Gen. 545 where tile...
President is advised that he Lay freely use funds appropriated..
to the extent of one year's salary, for the'purohase of an '
outfit for his foreign minister, Zohn Adams. The opinion doe*
not refer to any specific 1.aw or any specific appropriation
but is indexed in. the Tustice Department's card index as:
referring to R.S. 291.
. .
(b) In 1802 a committee was appointed in the libuso
of Representatives "to inquire and report whether moneys
drawn from the Treasury have been faithfully applied for the-,..
objects for which they were appropriated, and whether the
same .have been regularly accounted for; and to report, like? /
wise, whether any further arrangements are neoessary to promote'
economy, enforce adherence to legislative restrictions, and:
secure the eccountaLility.of persons entrusted with public
money." A report written by Mr. Zoseph Hio Nicholson of ,
Karyland was submitted on Apri1,29th, 1802.- This report
contained in American State Papers, Finance,-Vel..1, pp. 752*$7,
764, 816,17; and Annals of Oon7ress Vol. 12, 12594.75. The
report is reproduoed in Cbntroi of 'Federal Expenditures, a?,
book published by the Brookings Yiastitution and compiled by
Fred W. Powell. We have a copy of this bookAnoux,offi00.:I4
this report (P. 205-6, Control, supra ) tarttin expenditures- "
wereVInade under the aboye aet for secret service of
am. ()-ItAAil ? ?
. Nov
Nw00 %gaol ' ? taj
Approved For Release 2005103115 : CIA-RD1567-01057A00010001.00014
the War, Navy and State Departments, whioh were certified by
vouchers signed by the President. The committee heldlthis
an illegal exercise of the said aot as the expenditures'weri
not shown to be for "contingent expenses only of foreign
intercourse." 'Oliver Wolcott man Address to thel'eciple of
the United states in reply to the Nicholson Reporf (P. 271,
at seq. "ConErol. of Federal ExTmonditures", supra.) justified'
his action in general, and specifically, in his 9th point,
(Control, P. 325 et seq.), with regard to "the application
of money for purposes, of a confidential nature." His full
reply in this respect, which quotes the applicable portion
of the Nicholson report, is attached hereto as Attaohment4.
In this reply he states:
"If one of our Naval Commanders, now in the
Mediterranean, should expend a few hundred
dollars for intelligence, respecting the
force of his enemy, or the measures meditated
by him, ought the present administration to
disallow the charge, or publish the source
from which the intelligence was derived?" .
(0) The Comptroller General has zonttrued.the aublect
aot in two published decisions, and in a few unpublished lettera.s.;
(i) The first published Comptroller
deoision construing the subject aot is to
be found in 2 C.G. 121. Here there was a .
. voucher for 0596.40 which was submitted by
the Secretary of State to be paid out Of
funds appropriated for "emergencies arising.
in the diplomatic and consular service 1921"
and which showed that the money was to be. .
paid because of a deficiency in another
appropriation viz: Act of Tune 4, 1920,
41 Stat. 741 Making an appropriation "For
rent of quarters for student interpreters
attached to the Embassy to apap:' The
Secretary of State, by direction of the
President, certified the volloher under the
provisions of tho subjeot act, stating that
it was an'expenditure-"the nature and object of.
which* * * it is deemed inexpedient to make
known." : ? -- ? -
?
The voucher was disallowed by the,Comptroller.Gen
OA the ground that:
"The character of the exponie having been .
fully disolocod by the vouchers *, 0.* *
the letter nor the:purpoae of the statute and
appropriation extends them to after allowance
of payments in mess of regularly.made.,apeoific,
'
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0 0
? 4-I
appropriations which have been regularly aeoounts
for on vouchers specifying the exaot nature
amount of the expense. * * *-.* The letter of
--
the law is to the effect that the Secretary'
may make fa certificate of. the amount of suCh:'
expenditure as he may think it .advisable
to specify.' The certificate. in question
speaificie.with partidularity the exact expendi
tures which the certificate is designed to
cover, thus conclusively negativing any
assumption that the expenses were of the
confidential character contemplated by the
intent and .purpose of the law, which is to
protect expenditures which the policy of the ,
? State Department requires shall not be made
public.?
In another part of the opinion (P. 123) the
Comptroller General makes the statement:
',Speaking generally and *without reference
to the facts and certification 1.n the instant:
? oases.I may say that this office xedognizes
to its full extent the discretionary power
conferred upon the Secretary of State by
? Seetion 291 Revised Statutes, and In no case
will a certificate made by the eorotavy In
conformitywith the provisions of theI ection.Y4-.
and in support of a_pmment from the s'upportin4
.appropriation be cluaTtIFiled.by this off ce. 2
(Underscoring supi31ied.)
(ii) A more narrow construction of the
subject act was made by Comptroller General,
Z. R. MeCarl, in an unpublished letter to the
Secretary of State, dated September 15, 1932,
and filed with the General Accounting Office
in M.S. Vol. 133, page 1068. The Secretary of
State certified three vouchers under.tha:-
provisions of the subject act whioh showed on
their face that they were in paymbnt of passage'
on a foreign vessel for the Secretary of State::
and three other individuals in his department.
The Comptroller refused to allow the Yew:there
on the ground that travel on a foreign/easel
while on official Government budiness was in ,
violation of seotion 601 of the Merchant Marinsi:
Act of May22,1.9204 l5 Stat. 697.. -
The Secretary of State resulmittedthelrotelisia*V1:
a letter etatings.
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0 ?
"You are advised that in view of the
special circumstances In oonneotion with the
trip the account was paid from the appropriation.,
'emergencies arising in-the Diplomatic and:
Consular Servioes, 1932,' and that boeause of
such circumstances conneoted.therdwith'was
accounted for by certificate af'the Seoretary.?,.
of State under Section 291 of the ReviSed
Statutes * * *"
To this the Comptroller General replied:
" In View of the fadt that the voucher
submitted for pre-audit discloses that the return.:
passage of George A. Yorlock, Captain Eugene *A..:
Regnies, Allen.T. Ketz and yourself, wore, ,
upon the SS VULCANIA a vessel of foreign
registry, the certiiToato as under Section 291
Revised Statutes, that 'the nature and object
of which expenditure it is Ideated advisable
not to specify', is not understood. Certainly'
the Congress had-no intention that Section 2914:
Revised Statutes, and the appropriation for
emergencies arising in the diplomatic and
consular service, * * * should be used to
avoid or circumvent a statutory prohibition.
as in Section 601 of the Merchant Marine Act.
or to avoid the use of a specific appropriation!
for expenses if Properly chargeable thereto."
'"While Section 313 of the Budget and .
Accounting Act of nine 10, 1921,.42 Stat. 26,
exempts expenditures made under .the provisions
of Section 291 of the Revised Statutes from
the requirements of said Seotion 313 relative
to furnishing information to the Comptroller
-
General; it does not exempt such expenditures
from the direction in Section 31201 of said
Act that: .
'The Comptroller General shall opeoially,
report to Congress every expenditure or.
oontraot made by any department or establish.
ment in any year in violation of lew.".
"Accordingly, you ate requested to inform
this office of any reason you may wish to .
submit why the expenditures,fertransportation
and expenses upon the foreign vessel'ehould.:
not be reported to the Congress under Section:
312(o) Of the Budget and Aeoeunting Aet as en
ell ?
expenditurp.in.violation'of
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' 0 4 .0.
(iii)*.p miv
(iii) In answer to a request from the
Secretary of State as to whether, by virtue
' of R. S 291, an appropriation for,flEmergenciei-
arising in the Diplomatic and Consular Serviee,
.19224? could be used to.pay the defieiency
ln,another appropriation entitled nTransperia
tion of Diplomatic and Consular Officers,
.1921", the Secretary of State was advisekby.
letter from the Comptroller General, dated ?
September 14, 1921 that the requisition would' '
be approved in instance? but that 'This..
?action is not to be taken as sanctioning a
practice of. using the emergency appropriatioa.:
in'this way to meet deficiencies in other
appropriations."
(iv) In answer to a letter from the
Secretary of the Navy as to whether certain .
naval officers had to render specific accounts
in certain instances the Comptroller General,
stated (M.S. Vol. 74, page 68)1
?There are at present two Classes of
expenditures not required to be supported by
details, receipts, eta., and.in both classes -
the omission of such details, receipts, etc:.
is specifically provided for by Statute.. .
The first clans covers expenditures by the
Department of State which under the provisions
of Section 291, Revised Statutes, are settled
by this office upon the certificate of the -
Secretary of State. The other plass covers
expenditures from contingencies, Military
Intelligence Service, in which the act making -
the appropriation specifically provides for
certain payments to be made upon certification.
of the Secretary of War. See 44$ Stat. 1107,'
?
(v) In.a letter to the Secretary ofState
dated Tan. 3$ 1930, the Comptroller General
specified the form of voucher to be used -
under R.S. 291. After stating certain require',
menta as to numbering, stating the name or .
disbursing officer', etc. he said that it would
then be in proper form to oamplete?the
accounting records in connection with this
,form of expenditure wa at the same time.
would not disclose the na ure an
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(vi) Attention is directed to the?decision.:
of the Comptroller Coneral dnted Tanuary 20,
1945 (78-4.6566) Published in 24 C.a. 544 whioh
alco construon the subjeot not. In that once
it holds that the disbursing ?film. mny make
payment of vouchers under the subject act. '
without such payment having boon certified in
aceordanoe with the provisions of 33. U.3.04
Supp III, 82b and o. Tho decision is basod'
on the fact that the subjeot act was emoted
prior to 31 U.S.C. Supp III, 82b and e, and .
that the general provision of the latter should'
not be oonstrued as affecting the special '
provisions 'of R.8. 291 which requires that
novory suoh certificate shall be deemed a
suffioient voucher for the sum therein expressed
to have been expended." The Comptroller General
states:
? "The later act of December 29. 1944.:
contains no specific provision repealing ,
prior special statutes and its provisions
are not co inconsistent with the provision.s..
of section 291, Revised Stntutes, as to .
cause its repeal by implication. On the -
contrary, it well may be assumed that sons
expondituros nay be authorized by the Scoretari
of State under conditions so confidential
that even the certifying officer May.not
informed thereof and, of course, that officer
could not be required to accept final,:
responsibility by certifying a voucher as
representing a lawful payment when he is not
informed. of the object or purpose of the
expenditure. Accordingly, I have to. advise
.that the spec:dal statute as restated.in
31 U.S.C. 107 is not affected by the,subSequent'7.
general statute of December 29, 1941." '
. .
Thus, thero ins. question a$ to whether..
.disbursements of .003 funds aresubjeot to the:
provisions of either 31 U.S.C, Supplement III,
82b or 82e. (Sections 1 and 2 of the Act
Boo. 29, 1941, 55 Stat. Z75) since the latter,
act was in force prior to the OSS appropriation..
.31 U.S.C. Supplement III 82b
,
Disbursine officers.challt
a. disburse money4n.aoctordanoe with
vluchers certified by heads of departments
?
_? .?
Approved For Release' 2JOVQ3/15 :?C1A-RDP67.4490*0000.00(0
or their delegates,
b. determine that vouchers are oorreckt
and certified as above recorded. 's
-o. be held al:mountable atioordingly.
31 V.S.O. Supplement /I/ 82o provides:
? . ?
?
Officer certifying voucher shallt
.a, be held responsible for existenee
and correctness of facts recited in the
? oertifloate or on the voucher.
(with regard to OSS funds might be.
held for existence of true confidential purPoS0
:b, must give bond. ,
? .
.0. be held accountable for
improper or incorrect payments resu).ting.
from misleading certificate made by him,"
as well as for a payment notlegal obiigatjo
under the appropriation involved.,
ApproVed.RWROleaSe2005/03115;.C1A-RDP67-01057 o01o00l00)
oe of
12 OCtOei.4945
?
0
MEMORANDUM
TO: Director
FROM: Office of General Counsel
SUBJECT: Certification of Vouchers for the Expenditure.
Confidential Funds
?
? ,
1. On 20 September 1945 the President issued
ecutive Order No. 9621, effective 1 October 1945, in which.
he terminated the Office of Strategic Services and diaposed:
of its functions. V.
' 2. This order reads in part as folloWel
"By virtue of the authority vested in MA by the
Constitution and Statutes, including Title,I of the
First War rowers Act, 1941, And as Preaident of the
United States and Commander in Chief of the Army and
Navy, it is hereby ordered as follows;
* * *
"3. All functions of the'Office not transferred
by paragraph 1 of this order, together with all person-
nel, records, property, and funds of the Office not'ao
transferred, are transferred to the Department-ofWai;
and the Office, including the.office,of the Director of''!.
Strategic Services, is terminated. ,'The functions of the
Director of Strategic. Services and of the United States.?
Joint Chiefs of Staff, relating to the functions trans4..:
ferred by this paragraph, re transferred to the Seere--1
. . ,
tary of War. * * * *"
3. Public Law 156 of the 79th Congress 1Na lonal,
War Agencies Appropriation Act, 19461 in appropriating
$20,000,000 for'the-Office of Strategic SerVices-for the
fiscal year, 1946, specifies:
. "Provided, That :$).0,500006- of this appropriation
may be expended without-regard.to:the proviaiOns.:of law"'"
and regulations relating to the expenditue of Govern-;
. ? ?
1.
? f,d I
?;?

,
4
Apooved For Release R5/03/15 : CIA-RDP67701057/r001000100P4U-9,
?.1-'24-. 01
ment funds or the employment of persons in the Govern'
ment *service, and $10,000,000 of such $10,500,000 May
be expended for objects of.a confidential nature,, such-
-:expenditures to be accounted for solely on the certifi-
cate Of the Director of the Office of Strategic ServiceS
and every such certificate Shall be deemed a sufficient"
voucher for the amount therein Certified." .
Query ' ,May the President by Executive Order transfer,to the,:
Socretary of War or the person delegated by the-Secretary,of
War the authority granted by the National War Agencies Approp-
riation 'Act; 1946 to the Director of .the Office or Strategic,.'''.
Services to account for' objects of a confidential nature solely,:,?.
on the certificate of the Director;' and would such. certificate
be deemed a sufficient voucher for the amount therein certified?
l?
4: It is to be noted that the President dispose&bf
the functions of OSS by virtue or the power vested in him by
the First War Powers Act. 'The pertinent sections of that act.:.
read as follows;
. .
PrRST WAR POWERS ACT, 1941'
ACT DEMMER 18, 1941, C. 593, 55 STAT. 838
"S 601. Coordination of executive bureaus, offices,
etc.,' by President for national defense and to prosecute-, ?
the war; issuance of regulations
,
"For the national security and defense, for" the sUe-.-
cessful prosecution of the war, for the support and main-
tenance of the Army and Navy, for the better utilization,:
of resources and industries, and for the more. effective
exercise and more efficient administration by the:pres1.-
dent of his powers as Commander in chief.of the Arrny.and.H'
Navy, the President is hereby authorized to make such
redistributiori of functions amonc executive Ageneies as,
he may deem necessary, including any functions, dutie0,.
and powers hitherto by law conferred upon any executive
department, commission, bureau, agency, governmental
corporation, office, or officer, in such manner as in
his jud7ient-sha11 seem best -fitted to carry out the
purposes of this title' (sections 601-605 or this. Appendix)',..
and to this end is authorized to make such regulations anct'-
to issue such orders as: he may deem necessary, which regu
lations and 'orders shall 'be in writing and shallipe publj
shed in accordance with the Federal Register Act of 1935
Isections 301-310, 311-314 of Title 44):' .1provided,Tha
the termination-Of-this title (Sections601605,ofthis
Appendix)v ahall:not:affpctany-act done Or any right .or
obligation accruing Or a&crued pursuant to this title.
(sections 601-605 of this Appendixrand:during:the time
that this title; (ssotions 601.,006 of. thi'.Appendix)',.
.... skif ? "3.:7- V . %of; -
,-
isAfxrpgscgirRgeoavspairpj&CIAID067-01057A00010001000.14',..
r, That the authority by .'-'
this title (sections 601-60b of this Appendix), grante4
shall be exercised only. in matters relating to the con-
duct of the present war: Provided further,. That heore-
distribution of functions shall provide for the transfer,
consolidation, or abolition of the whole or any part of:::
the General Accounting Office or of all or any part of'
.its functions." (50 App. USCA 601)
"S 602. Same, consolidation of offices; transfer-
or duties, personne1,and records t'.
-.T.4.
-"In carrying out the purposes of this title.(seetiong%
601-605 of this appendix) the President is authorized to,. -
outilize, coordinate, or consolidate any executive or
administrative commissions, bureaus, agencies, governmen-
tal corporations, offices, or officers now existing by
law, to transfer any duties or. powers from one existing
department, commission, bureau, agency, governmental ?
corporation, office, or Officer to another, to transfer.
the personnel thereof or any part of it either by detail'
or assignment, together with the whole or any part of
the records and public property,belonging thereto."
(50 App. USCA 602)
"S 603. Expenditure of appropriations for' bureaus,
offices, etc.
"For the purpose of carrying out the provisions of
this title (sections 601-605 of this Appendix,)any moneys
heretofore and hereafter appropriated for the use of any
executive department, commission, bureau, agency, govern-
mental corporation, office, or officer shell be expended:
only for' the purposes for which it was Appropriated.under
the direction of such other agency. as may be directed by
the president hereunder to perform and execute said Pune-
tions, except to the extent hereafter authorized by, the ,
Congress in appropriation Aets or otherwiSe." .(50 App.
USCA 603)
,
"3 604. Presidential recommendation to.Oongrest'tor:
.elimination of certain tureausvofficest'ete.
"Should the President, in redistributing the functions:
among the executive agencies as proVided.ln-:this
(sections 601-605 of this Appendix), cenclude that any,,
bureau should be abolished and it or their duties and_
.functions conferred upon some other department or
or eliminated entirely, ha shall report .1116 conolusiont ,
to congress with such recommendations' agrhis.:*atr deem proper."
(50 App. USCA 604)'
A.64, -4,..4e cii . . . ,
Approved For Release 2005/03/15 ? LIA-RDP67L01057A0001000 ,- ,,, ,
' 10001'9 L'-:
? mS 605. Suspension or conflicting laws; litstoration
of duties and powers to bureaus, offices, etc," upon tor!
mination of sections ?
"All laws or parts of laws Ponflicting:withthe. PrO!!.,
visions of this title (sections 601-605 of this AppendiW
are to .the extent of suchlconflict:suspended while thist:?.
title (sections 601-605 of this Appendix) is in rorees
"Upon the termination of this title (sections
605 of this Appendix) all executive or administrative
agencies, s'overnmental corporations,' departments, tom-
missions, bureaus, offices, Or 'officers shall exercise
the tnme functions, duties, and powers an heretofore or,
as hereafter by law may be provided, any authorization ,
of the President-undor this title'(sections.601-605 of.
this Appendix) to the. Contrary notwithstanding."? (50.
App. USCA 505)
5. We must face therefore the historical position .
of OSS in relation to this statute in the followin manner;i
*1.) The office of the Coordinator af Information ,
'was established by Executive Order of 11 July 1941;
Then the President by order dated 13 June 1942 de-
clared that the. office of tho Coordinator of Infor-
mation.exclusive of the'Portion transferrodfto OWI H,
.should thereafter be known ns.tho Office of Strategic
Services. Therefore, the First War Powers Act is_
applicable to OSS as an agencywhose_predecessor
.WAS in existence on 10 December 1941. '
(b) By the provisions of the Pirst-War Powers Act.
as above quoted, the President does have tht.authority
to transfer a portion:Of,OSS to the War Department ?
and to transfer to the Secretary of. War.the functions
of the Director of the Office of StrategiaServices.
(c) The Secretary of War may exercise the powers
granted to the Director of OSS in thelqational.War
Agencies Appropriation Apt, 1946, provided. thatther.'
funds are expended only for the purposessfor which:
they were appropriated in :said act.
6. The exorcise of the, power to'cortify,voUChers for .
the expenditure of confidential funds calls for the highest dis
oration and Judgment. It is. certainly not a merely administra
tive function. It is a well reeognized principle 'or the law': .
applying to ?filter's of the Ooveramentthat where 'a .diacre.
tionary power is granted to.thC,hoad:of::a:departmentA.t must :
be exercised by: the head ol.:thedepartilientOr 040taasistarkt:or
,
a ? Approved For Release 2005/03/15: CIA-RDP67-01057A000100010001-9.
?
?
other official authorized to act in place of the head of
the department. Such a power cannot be delegated to a
subordinate official (20 C.G. 27, 20 C.G. 779, 22 C.G.-1070.'
In the case of the power thus transferred.by Executive.Order ;:
to the Secretary of War, the power can be exeroised only '
by the Secretary of War or Assistant Secretary or Under
Secretary. Since OSS is no longer an independent agency,
the person who occupies the office qf the head :.ond
of the Strategic Services Unit must be considered ror the
purposes of this principle of law to be a subordinate. official.,A
7. rt is the opinion of this office that Executive -
Order No. 9621 legally transfers to the Secretary of war the.
authority granted by the National War Agencies Appropriation;
Act to the Director of the Office .of Strategic Servioes to
account for objects of a confidential nature solely on the .
certificate of the Director and that such a certificate would
be a sufficient voucher for the amount therein ceptified. And
It is our further opinion that this power to 'certify may be-,-%
exercised only by the Secretary of War, an Assistantor Under.
Secretary of War and may not be exercised by the commanding
officer of the Strategic Services Unit even if the Secretary.
of War were to attempt to specifically delegate such power.".
,
..?
MEMORANDUM:
TO:
FROM: Office of General Counsel .
Approved For Release 2005103/15 : CIA-RDP67-01057A000100010001-9
26 December 1945
25X 1A9A
Room 227 Administration Building
3JBJECT 'Statutory Authority for Printing by the Reproduction Branch
GENERAL BACKGROUND .
Ordinary Government printing "Shall be done in the GovernMent Print?' -
ing Office, except such classes of work as shall be deemed by the Joint
Committee on Printing to be urgent or necessary to have done else*here.
than in the District of Columbia for the exclusive use of any field ser.'
vice outside of said District." (44 USCA Section 111).
Section 354 of the United States Code specifica14 exempts the Su?
preme Court from provisions quoted above and directs it to employ any'
printer which it sees fit. The Court of Claims has ruled that the Sec?
tion requires all executive officers of the Government to have all Gov?.
ernment Printing done at Government Printing Offices except in cases,
otherwise provided by law. (Davis vs. U.S.; 59 Court of C1aims1.9).
The Attorney General has held that this Section does notinclude
illustrations and engravings, maps or charts. (1891) 20 Op. Atty. Gen.
41.
Section 111 a, of Title 44, United States Code, permits the Public
Printer to contract for work he is not able to produce at the Government
Printing Office.
Section 111 b, authorizes the Veterans Administration to do print?
ing and binding of equipment owned by the hospitals it uses for occupa?...i
tional therapy purposes.
From the above, it is clear that Congress recognizes the necessity'
,
for exceptions to the blanket rule in certain cases. ? -
II. SPECIFIC AUTHORIZATION ?
The Appropriation Act d for the Office of Strategic Sqviceacon?
tained the following provisions:
"For ill expenses necessary to enable the Office of Strategic
Services to carry out its functions and activities, including
....; purchase of, rental.and.operation of photographic, repro?.1
Approved For Release 2005/03/15 : CIA-RDP67-01057A00010001001-9
,
duction, duplicating and printing machines, equipment and de-
vices...; printing and binding; ..." (quoted from the National
War Agencies Appropriation Act 1946).
The authority granted for the Office of Strategic Services to do '
any and all kinds of printing and reproduction is clear and unequivo-
cal.- It is stated in an Act of Congress and since Congress originally
imposed the restrictions, it may make exceptions thereto.
III. CONCLUSION ?
It is, therefore0.the opinion of this office that there.ia no-ques.-
tion of the authorization for the Office of Strategic Services to en-
gage in the printing it performed in the Reproduction Branch. Hower,
in order to comply with all possible regulations, printing equipment was
not purchased outright but was requisitioned from the Quartermaster Corps'.
In turn, the Quartermaster General cleared with the War Production Board.
At the same time, General Donovan, then Director of the Office of Stra-
tegic Services, wrote to Senator- Carl Hayden, Chairman of the Joint Conn....?
mittee on printings stating the need for printing equipment and request-
ing only that the cost involved be properly reported.
This office has also been informed that the'Senatorinformally
ephoned to inquire ofGeneral Donovan whether any union labor question
might be involved. The General assured him that as almost all the worle-
wms to be done by military personnel, no such question would arise.
Thus, the printing activities of the Reproduction Branch were'netr:'
only specifically authorized, but 'were performed with the prior_knowi-
ledge of all interested Government officials.
LRH/tah
cc made 23 November 1951 raw
Legal Decision
Vital Document
?.
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'1 COMFIDFHTIAL
Y."..:YORAIN.MUM
TO:
25X1A9A
bceautive for.P&A
FROM: General Counsel
SUBJECT: Use of hotor Vehicles
1. The purchase and use of Government automobiles must have specific
authority by statute or appropriation act.- Such specific authority i6-given.
for purchase of automobiles for the use of the President, his Secretaries-.
and the ten members of his- Official cabinet by Public Law 600, 79th Congress,
2 August 1946. The use thus authorized is for official purposes Only, which ,
the Act says shall not include transportation of officers and employees be-
tween their domiciles and places of employment, with certain minor exceptions,
2. The only exception which might be applied to:an officer of this or4
canization is the case of one engaged in field work, the character of whose ?
6.uties make such transportation (i.e. to home and back) necessary, but these?-:;
cases must be approved by the head of the department. -flField.Officr".would-
00 not apply to one working regularly in the Washington or other permanent
of-
lice. A proper assignment under this section might be for the use of an of-;
ficer whose work required him to make confidential contacts or.eXpeditions '
so that he might be assigned a cover car for official confidential business
rith the Director's approval. '
3. By virtue of authority contained in Dr Department appropriations
from which fund d were made available to the Central Working Fund, there is
authority to purchase, maintain, operate and repair vehicles exclusively for
official purposes., This is the authority for operation of the regular motor
pools. There is no authority for the assignment of. cars for the personal
use of the Director or any other officer of CIG.
L. As evidenced by the enactment, of Public Law 600, close scrutiny,has.
been maintained over the use of Government cars both by Congress and the::-.
General Accounting Office, and any violations of _the restriction to official' -
purposes would subject the official and agency involved to severe
An official involved in such a violation is to be suspended from duty Cor not
less than one month without compensation by the head of the department. This
is a drastic enforcement provision and emphasizes-the serious view taken of
the problem. . For yourinformation, Public Law 600 and prior acts require
that all motor vehicles aCqUired and used for offiCial-purpeses.shall.have .the%,
it'll name of the executiVe.department or branch conspicuously printed thereon?
Cover cars registered in the name,of,aajlidividual ortorpoistion would,2;(0f,:,.
Course, beexceptiolis, and further expeptionsunderBudgetpirculit.A .,407e.
c2kbeing investigated.:
25X1A9A
cc: Mr.
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
25X1C4D
Next 1 Page(s) In Document Exempt
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
For Release 2004/.0.3/1 ,..CfA-RDP614004-',A6011-66451006.7
yr.MORANDURTO:_ Chief., F517
31.610Cts.. Prit45CT o.
?1;:,:in...contie6ion.341(1116agTinanCillartangements:
propOeedforyOur:12roject No. 'op Wish:to.A)ringtheA?011owf
ing points to your attenticiavfor ditoUssion.*Iththe:indiiidual
concerned and for possible further conSideration by:theapproy,
lug authorities. The project proposes that there be no
paid, tn4 an 1.,q of. 0600.:4'In view .of the tact that L&S is
defined as .a 15pecial.alloWance ovar.and above salary Tor..
oUaitiona outside tho country it is, to say: the least, .uriUsUal'
to proOose L*41, without establishing a base pay.' ITi!.in'r.the
future inquiry were made into this arrangement Tram .the :income:,.
tax pclnt of view, in our .opinion, the proposal Would be red.':
sarded as a subterfuge. for cumouSlaging.the reportable compensa
tion as non-reportable allowances. In such:casis,.:hot only toUlfdk.:..
the individual be liable ror tax penalties, but also doubt.
would be oast upon tho proper administration .or confidential
funds by this. unit. If, as -suggested above, the Lkq arrange*
4 rant :were regarded as a subterfuce for hiding what was re?lli
compensation, the individual Might, also be:faced...With:the fact,?;
that he was receiving dual coMpensatiOn from the:Govermmant:.t&'
contravention of the provisions ,oA 5 USC 69 ( t ) and 62.
2.
' There are, in our opinion, two possiblevs78
of overcoming the 1.3E11 -difficulties Outlined -above. It than,
circumstances Warrant, the AD.S.g may :authorize representation
allowance*. ? It is our -understanding that thepolicy..haff,beOrk!
to restrict these to situations similar. to those for .which
representation allowance* are., glAcrx in 'other departments
usually contemplates someone in the ..position or a. chief:;of
ml.s ion. or ,one otherwise placcod.. in such :a ,positionthat5he
=la t tarry on a considerable .eatablishment and considerable
entertainment to . maintain that position. -re reel that
representation- allowance should :not be authorized upleii '
Circumetancesedthewhat aa indicated WOu1&? Justify . , , ? ?. . .? ? ? ? ? , ? . ? ? ? ? ? w ?
? j . - - it.141A2G- ,
3. The altern . would be to teXt the
maCtUnt: -payable: froii Pro.16..01 ITUllyatcOuntabli:.,OPerational
funds. There, :.isof-courae; n lager ;the emnuntori,
. ? ,.
,???? ?
ope'rat lanai :tondo. .,..that Can :bet autboriiitd.' tor, :pro,jeket 'BO-
long au the:' reaulta::.juatify. tiatitolto ;! Consequently. ?t th. .?
project la Cams idared , to be 'Worth' 44?300 par : 'year*. ,.cciuld, be
advanced entirely'? aa: aperationer4unda and ther.lndividual.-:!,,':
would be'-briefedi,'O'rr:tha: zatur and\content cir-' this ,.acaoulitinga,-:
tiOuld have to . n. :sUbatit .?a9'prO*a.l'i? Specialpa4ccordinee:lilt".
V`u41;0 , . ':?
?
"
3Approv For Release 2 0 /15 :?CIA-RDP67-01057A00010001001 -?
0
e
MEMORANDUM FOR: Exocutive for MA:,
125X1A5A1 ,
Subject:: '1
16 December 1946
VIAL tILICZ. ?
5A1/04A110u have noted4,the.Genoral Accounting
Office -will tZt permit u teinteir 4)14-^ 4u- larrangement ,
proposed ,by I On reading
the Comptrol___ we leei that all of hi:I.,-
objection's could bo.met ono way or anOther except the point:
concorning-,the dispOsitionof Government proporty. As the
comptroller notes, Government property cannot be disposed..
of without clear statutory authority. Wo were aware ,that
we had no specific authority, but. hoped he could read into
the Surplus Propert:, or other general acts, authority .
sufficient to cover this case. This, he states, he was un-.'
able to do, and consequently the defect is fatal to the
proposition. Therefore, we believe this office could no .
longer bargain with Mr.'" lon'any basis which .would
include passing of title to him. 25X1A5AT
2. In his last paragraph, the Comptroller
Genoral-strongly auggests that acquisition of title to the.-
entiro property by the Government Would be the proper solu-
tion to-this problem. It eppears most unlikely that Mr.
owler would be willing to sell, although in view of the
comptroller's attitude, we beliovcAin offer ahould at least
be discussed with the owner. ,We alsix.believe that oondemna?
tion is Unlikely of success, and possibly not advisable as a -
matter of policy. Jiowoveri-theposilibliitles Of condemnation.
should be explOred'and,-with-your approval, this office WIll
discuse:theJegal aspects or condemnation withtho..proper?
officials of the Department of justice and theEngineertW
-Tho'COmptroller'Wdecision ia-being retained
in the files of this Office.
25X1 1:.
LRH/M11
Approved
?
?
III ? ? ??? ??? 555
3 :Smarr 1047
?
In1iMATIDUI1 rcu DITUTY 11C7Curavr. von r:rtsornizt. ADAbrrtri3VIATION' '
,
Sub3ects Appointment of UaturaliSed Oitiaansand'Aliene
? 25X1ABA
1. iteforonoo ia node to tho attachod covmmication frau'
to tho Aaaintant,pirootor for Oporatione, dated
12 Poaenbor 1040, ooncorning,the abovo bubjoote It is, pointed
out in this no-wrench/11 that tt3. seocasuary for I Ito rely 25.W8A
largely on nnturtalcad attic-6;1i for.00rtain languagows and,
in a few instanooc, rooruitmont or alien? has bean.unavoidables
suet recruit:lent is basted on tho high requirementa on mar.
linguist ponitionn requiring not only native fIUM107 411 71161.25X1A8A
liah and ono or morn foreign languages but also familiarity '
?wIth political, 000nwic and coolaI baokgrounde of the countrieS
concernode 25X1A8A
2. Tho Chief, I I r000mondo that a waivar be obtainod
o: restriationts aijai,niat tho aypointment of foreignisborzt
(tante to ovorsnas pontos including aims1 with an undoretanding
that ulion oraplo,joen trill not have access to inforruttion OAS?,
sifiod abovo rostriatode 'This Matter was referred to this
offloo with a roqueet for an opinion as to the legality Of
such swpointmontee
3. The roctriotims againat omployrzmt of ialtons by the
rodnral Clovormont appear in numereua Appropriation Aotae The
Independent Offlooa Appropriation Act of 1047. approved 20
tqarah 1044. (Pub310 taw 7,34, 70th Connives) providaa in sub?, '
atenoa that, tutlose othorwiao speoified and until 3. July 1047.
no part or any approprintion in thin or an other Act shall be
uurd to pay the componeation or any officoror trtployee of the -
covertimint or tho United :Antos whoa() post of duty in in the .
oontinontel United, rAtotonip =lona ouch person (1) Xs s oitisso
or the United rtatne; (2) In ? person in tho aervioo of the
United Btatea on the date or enaotment or thin Act whoa being.
olis-iblo for citisonahipi had filod a doolaretion or Intontion
to bcmono.o citizen or the Vnited Statod prior to such date; .
or (3) Xa a poroon who mos allogianoo to tho Unitod Mitt's*
Th o above provisiona are in Sootion COO of tho Aoto and the .
3notion turthor providos that the reatriotion ahall not apply
to oitinona or the Ca-ctonwonith or tho Philippinea or to the
nationals or thou? ocuntrios fl13td Citth he United Statoe in ? . .
tho prosocution of tho *are UI'. I lhaa advised that 25MP\8A
n11 aliens whom he propoaea to oTp2.o7 will have posts of dutyoutaide the continentalAimita or the WIWI States. Thoroforoiv.
kt Mad ¬, that thoro Le no local ?Wootton to the ampler,
nont of those portions*
Approved F rRelease 2005/
1
4. In nil ?noon or e.mpl Int. or aliona there should
b* appropriate o (MUM. ty investigations. In2the,.oanen
ot
.noni-native?born Ant:rico:us. i.o.. -tiaturalined citizens. there.
appenra no local, obstacle to their, grOaDlopnent by the 00vorn.. ?
mint. Thor? would noon to be a clitoral= of poltoy involvod?
nsi to whether-o20 wI.11 aiploy either nonsmativs..born America:1S
or. Altana.
5. It is nuertested that all,,apPoS.ntreents in. the !above
catarj_ories be ?loured with the,Pornonnel Divinion.before any.,
nocotiations aro oonduoted with the ,prospeotiveploycoa. ?-?
It is bellovod that CIO hen the:meij000nry Rppointtna?authority
without prior tvproval by the Civil Ocirvios Corosinsioni in.
vtow or LW Cabodule A authority. ?0
oat
25X1A9A
Approved ForWeise,200550M-6-1 RDP67
0 11,( ? ? )0
122 Januo.ry 3.047
1067A00
100010001t9
01/ArTTAY.12.P011 1710.: ron PM.;011'117Z.. AIM All1XilIST3ATI0lt
Subjoott Vaypont of 7uition Canis
, .
1. .11eforonoo to mado to your IttorloranduM to this office, dated_
J ft rant"' 3.047, oonoernin?r, pay...lont trom?rtmda available to GIO:.-af*tha''
tuition costs of a GIG employe* at a 1engua6e achool? It la stated
011plorto .intendn to make a oareor in tho field of intolligonce ,
And desiree to be cent to a languago aohool for. the purpone of ob..
taLning instruotion in the spooking and writing of the Iluenian
You roquent an opinion tchothor GIG funds can bo usod for..
1..urpone (a) *then operational now:Salty oxists, and (b.) when
oi,:!rstional newweity (loot: nbt oxiot but vihoro tho ervloyoe L8 _
viliiri,c; to taku ouch instruotion during other than official. wor14n8.:'.
2. 'Lou auggest that the v:ar renart-tiont in authorised to pay
for certain tuition costa from the fttndn available to that dopart-.-
t. In the ourrent Appropriation Act tor the !itilitaxy
n.,nt (1)ublio Law 315, approved 1G July 104(), functs are appropriated
for croatinr,, naintainity; and operating at ectoblinhod aviation and
r:lr,ted achoola courseu of instruction for military porsonnol,
clu,Int; paricnt of tuition. This in ono ? oxamplo of spocifio atatum.i,
tur7 tulthoritY crantod to the War Doparthent to ?pay ouch oxponsos.
In cddition, riootion 7 or Public Law 615 provides, "Appropriation's;
for the Lt1ttary stabliahriont for., the flecul year 1047 ahall be
avaleble for all necoauary .exponses in connection with the ins.
atruetion and training, inoluding tuition, not otherwise) providod
For, of civilian ciriployoon in and under the rar Deparblont and the
i1iary14stabliahnonts"
?
3. questions of thin nature havo boon pronontod to the 0ertp?....-4
troller General for rulinre. In 23 Cciaptroller General G51, datod
3 :?tirch 1044, it to ctatod in effect ,that, while an a?.general rule
r?,,ropriated monoya nay not bo used to nond Oovornmont enployeen
to uctloola or to take spooinl couraen of training, in view of tho
specific etatutory authority granted by the Appropriation Act in
cuoation, there would bo no 'local objection in the case concerned:.
to the use of the appropriation referred to for all neoonaary .
oxponzes incident to the attendsmoo.of.thwigrutted ?tricorn' or ?
en:aoyees.in the sohoolo inoluding tuition. Othor rulings of tho
'.:omptrollor ?enema are consistent with the cited case and 'rely
Ill cinch instanoo upon the rpantiug of ?pacific:1 statutory authority
to pay nuoh expenses,
/
r -
,'- _J.'.
?
? ?
1110?,411.
4. In view of the wording of tho current War Department Ap.
.sumpriation Act, it is tho opinion of this offioe that funds-made
ble to CIO from tho War Dopatnent appropriation ray not be
avla a
wended for tho paynent of tuition of CIG enployeos upon the
fiftiOority contained in the Act to pay such oxpennos for civilian
?
'r.vloyoosi in and under the War Department and Ililitary Bstablishs,
zest, whero nuthority in granted in other provisions of tho
propriation Act to pay tuition expenses, ouch authority is likowise
lirAt9d to military personnel or olvilian enployoos in and under
tha war Department andlifilitary Establishment.
3, Thoreforoo this .office in of the opinion that tuition
crwnses and other related expenses incident to tho sending of
employee to a language school ray not be paid from the funds
mllable to CIG whore there is no oporntional neoossity. -If it
WInistrativoly is determined that it-is necessary to send a
particular employe? of CIG to a school to acquiro certain quali?.
fications or knowledgo essential in the performance or his duties
:or CI(.1 and which are not otherwise available, there 'would appear
Vlbso no local objection to the payment of tuition coats and other
drootly related expenses from tho unvoUcherod funds available to
01. The appropriate tine of funds for thin purpose would be based
man determination that such expenditures are necessary in the op?
cAtionn of GIG and ahould'be :supported by the facts in each parti?.
miler case, .*
6, It in the opinion of this office that the Approval for the
monditure or unvoudhored funds for -such a purpose n000saarily.mu0
wric from the Director, since current Dpecial Funds,Rogulatione do '
sot provide for tho payment 'of such oxpenson.
SO t ADO
ADSO
ni:zrabt
.JOHU 3. WAnNA1 ?
Assistant General Counsel'
01'
A roved For Release I vmmibliiciffillvcAirEd
Mr011A1Tritir, FOR !WrIITIV77. rat AMIDISThATION
? Subject: Dologation of Authority
1. Attachod haroto in Ir.oposed.Delogation of Authority
to tho various Assistant nirectors for the approsral of par. %.
nant of tuition oxponses from unveueherod tunda for 0/0 cm
? ployooa. This Delegation of Authority lino opared by this
offteo nt tlic roquoat or tho Assistant Dirootar forApooial--
.0porationo.
?
. ? 2. The prOpoaod Delegation of Authority is forwarded
to your affix() for oonnmnts? and numestions.-
27 :anuAry 1947
,fVOTATDULT Pon ASZISTAYT DIFnOTOR PoF OPIRATIONS.
A:13ISTAT DITZTO2 ro% srxIAL ?TY:RATIONS
M;SISTAI:T nywzron COL=TION & ISS:VINATION .
ASSISTANT DIRTZTOR FOR n7roraz & IZTLiAT1i3
"Albject: Authority to Approve Payment of Tuition Fecpenses
for CIO :Inployes fromUnvoucherd autls
4:1
I, Authority in.hereby delw7atod to the Assistant Direotar.
for the office concornod to anprove the advance or funds,
coultirl;a for ninr.s, end. rcin'iyurscrAent of exponazs for the pay.
rnnt of tuition costs and other directly related expensoo, in
cludin necessary travol expenses incurred, where it has boon
dotorninrld by the Assistant DIrrictor for the ?Moo conoorned.
that for reasons of operational necoasity intoh employee Should
reqeive prePoribod schooling.
2, Referenoe is made to the memorandum from the Officio of ?
'onoral Counsel .to the :xecuttve for Personnel and Administration,.
dated 22 January 1047, eeneorninc the payment of tuition costs. -
Tterminntions of operational necessity will bo guidod by the .
principlos pot forth in this memorandum. There shallbo propired -
in cacth caps a full rooital of the faets upon which the dotard.?
mination is based.
:SW:mbt
HOP S. VAI7D11M1210
Lieutenant General, U.S.A. .
Direetor or Central Intelligence
25X1 Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
Next 4 Page(s) In Document Exempt
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
MIORAIIDUlt FOR CralT, SPECIAL MUDS SEC1.11011.,-(*14
...
Subj eat * Traval it GovormOnt laperui
1. Reforonoe is made to your memorandass to this ...
officio* datod 4 February, 1047, raising certain?-questions.
?oncoming travel and transportation of family and hawse.
?
hold otroota at Goverment expense of an individual who. ?-.
IMO transferred from another Govermont agonay outside,
of Washington to this agency for duty in.17ashington.
.2. You are adviaod that Public Law 600, .70th Congress, ....,
2n4 nesston, approved P, Aurp3t 1946, containa the basic
authority for the Govornment to boar the expenaos of travel
-and tranaportation of the immediate family of an -emplo,:
including haunt:hold goods and personal effoets, whore the..
emplane? is trr-naforred from one official station to another*
including transfor from one department to .anothor, for penis
nanent duty. This provision of PUb3.io Law 600 became of
feotive 1 november 1041, This Act authorizes the Presidont:
to issue 'certain reguli tions governing the payinont of such..
travel and transportation expanses.- ,.*-teoutivo Order 9105,..
isanod 25 november 1.046, and effective 1 rovarabor 1946,
prescribns thooe rogulations. Scotian 4 of this Ce.,dcr -
denle with the payrtent of expo:Inca. This Section provides.
in effect that the travel and -tranaportation exponsas al.,
lernillo under the regulations* then authorized in the Order:,
directing travel by an authorized official, shall be paid
in the case of transfer from one official 3 tation to anothelis...'
including transfer from one departmont to another, Zr
rutnent duty* but in no oasa in which .the transfor is =do ?
primarily for the .convonienoo or benefit or the employe)?,
or at his request. Section 4 rurther prescribes that, in .
the case of t ranster . from one -departmont- to another, such.:
expenses *thall be paid from. the Ainda oC s the d apartment
to which the employee is trinsferrad.,-
3. Adcordingly* Special 7unds.is authorized to pay
oxpennea of thin nature in accordance withrbulation
proscribed in Tixecutilie Order. D(305. It would appear that
Jr.
%II) 71
r
`\?'
4011 ill Ali
Chief Spacial Funds Sectien
Vlore will be row' if any, canes involving the Office o
Special Operatione, inasmuch as employees of SO, on Inr.
vounhored funds normally will bo diapataltod ottoreefts?
Tic/sever, there may be a Cow oases arising in the Office
of Operations,. .Vo shall be glad to answer any questions
you ray have, or questions of .your Certifying Of:Leers '
concerning the propriety of paying suOlz expenses when
cases of this nature arise.
? Approved For.Release A05/03/15 CIA-RDP67151057A0 010Q0179
wwourpuivron:m1 alaTatt POR przsorum& iouramp4tral1
,
-
1. Returned Lerewith to A cpiry or the proPoSed Projoot.
dated 22rebruary.1247. ublet mm
v'ann aied in your.namOrandima:
to thin office &t1 13Vebruary 1047. :7au roquout an apluw
n .,.
io.ad to tho locality or oxpeZdituren nontetiplatod under:
thin proposed Proloot.
2. The unvouohorltd rands avatlable to thitftat tiny b,
expended only in ceoprdmloo tath Spcolal Pawls
'for nececnarv of?fieirti purpo Ts on (section .1.404,
I.. xi. It it determined adw
r11.111,.rewx017 ttat th rcpwed =pond/tures aro /12Wata
to carry out the oonfidoLtiai operatic= of =G.. there vt.
be no 1er,a1 objention on the ptrt ot.thin office to moll
pendituren. It 14 no ortnion or thin offioo that inIdor
reulttiona. az approval by the Prolvotn
conctLtutci uapproprlato dotormination that -the
turen are mammary ter the, conridoutiol.oporations-or
3. Perbrenoe in redo to raracraphITY of CIO idntmt;.-
atrativo Order Eo. 42, dated 4 December 1045,'Ohioh -,,
be ueed as a guide by Cpettal Punin Dootion in revicrqind
vouchers for.expenditurls undor the poo d Pro:oot..TW,
etfttonozt in the prOponed .rrojaat that roitiburnorant requontSA
will be itpproved by tho 7hief. PornannolDivtntouj ti in-
accordance tries Special INvOn Regulation Vo. Whinh. autharti.
nes the Chtor? PesiVanna DiViCiton, .to 6pprtnrci:vounhora
(Ixpenditurod within at anTdv04 Projaet.or alimattowot4',-4
runda4
25X1A-9A
cos
? r9ved,,Ecr. Release 2005/0311 ,
.710Opl,0061000,1-9
MEMORANDUM -FOR ADSO
Subject I ? TransportatiOn of
25X1A9A
1.. The attached memo from Acting Chief, .
gm, was referred to this office by at your,.25X1:A9A,
direction. We wish to qualify paragraph 3 thereof as to
reimbursement which may be authorized.
2. A recent Comptroller General's decision
has given complete rulings on the points involved. It.
may be administratively determined that ttavel by privately. ,
owned auto is advantageous to the Government (not merely
more economical as was formerly the easel. On such a 25xfA9A
determination by you, therefore, 3 orders may y:
authorize payment of mileage not in excess of V. per mile,
and per diem not in excess of te'6.00 within the continental
limits of the U.S. and $7.00 a day outside. The mileage
5xiA9Are00rded by 1 will be prima facie evidence of the
mileage to be paid, out this is aub jet?ITT) check by official
Government mileage tables and, in ease of substantial dies.- ?
orepancy, the latter will govern. Per diem may Inv paid for.,:
the full period or official. travel even though that period
may be substantially longer than would have been the *ask' ?
in travel by common carrier. Under no circumstances swilr,
the total amount allowed be 'more than would have boon. ,?
allowed for first-class plus pullman? (lower berth)., plus:.
per diem, if traVel were performed by common carrier. '
._Approved For Rel!ase,29,0/(i3/15:,?: clil-RDF67,01q57A00010QQ10001-9
. AOttl."1;
trYOTItairt:,.TO MTV- iarISX
Sub,leata Payraont of 257:- Differential::
. ,
1. Reforonoo t2s ,ado to your nenorandusi to this of.
rico* dated L7 robruary 1947i concerning the above sublect.
You question the Ier,alitzr of paying non?iAnericana 26
difforontial in addition to a basic salary* You alSo state
25mAhat the personnel concerned aro 1i:tented in the Vicinity of .
land are assigned to
25X1A8A '
2. Your attention is invited to 6tsportreintal riroulikr
?ro. 304, dated 3 Ucee.nber 19421 insuod by the United States
Civil Zorvico Cormlission. Throe Supplenants haw: been -
sued to. this Circular. The Circular rotors to an Opinion at
the Con#rollor Ooneral, dated 23 NoveYftber 1042, which WW1
published as 22 Conp. Con. 401. A summary or the Conptrollar_
Om:malls rulings is contained in the Oironlar. The u'in
points are tp follows:
(a) TLe heads of dopartments and independent:
? ostabliahmente arc' required to adjust compaation
of civilian positions in the field :Jervis? to the ?
? radon and corlponsation- schl!dules of the Classifi-*
cation Aot or 1023. es Amended, wovided such post-,? ,
tions aro not 0.1tcoptod by r)tatute frOn'the
? catiou Act, rrhope such positions are (1) in the terrtes,.
tortes and insular possessions. of the .United 13:xt.tessi
?
?
or .(2) in roroLgn countries* *???21-` ? -
(b) It in perrriseible tor the .heed .of .depart.,;i
Tient or independent nstablisizlent to fix adriinistrai-r:
tivoly sa1ax7 differgIntials upon a percentage bacis ?
for. ersployens servin7. at an7. ?location outside of tut'
States and the District or?fJoluribia? if it in detormr-
rtincd to be otlicraisct .irpractioable' to recruit
pernonnel for such positions provided the salary rato_.,?_
ftxod for such caiploye? doss not exoeod by rsore than
25X, the snIary'rato authorized to be .fixod for the :
some or striller position in the State e 'and the
or coluribin'4,-. -
??
(o) It la cdziniatrative diisaretion
fix a Salaisiy differential .at -.Use than' ,the
ollhorLzed,
3. The Supplements to the Circular indicate that a
policy agreement was drawn and signed by a number of Govern
ment agencies. Generally, the agreement provides that a -
uniform salary differential of 25 will be adopted where
employees are Occupying positions subject to the Classifif?-
cation Act of1023, as Amended. Certain special conditions
of application are listed. For example, (a) in Rawaii the
differential was to be applied to all employees regardless
of whore recruited; (b) in Alaska the differential was to -
be applied only to personnel recruited from the States; and
(e) in the Atlantic bases the differential Was to be applied
only to citizens of the'United States. It is to be noted
that this policy agrcement.is not binding on all Governmont
agencies, but only the signatory agencies.
4. The entire question of payment of salary differends
tial was discussed by this office vith various members of
the Civil Service Commission. It wan pointed out by the
Oorraission that, in the absence of specific statutes, the
above-cited Decision of the Comptroller General, reoognizing
the administrative authority for fixing salary differential "
rates, is the basid upon which Goiornroat agencies presently--
are paying such differontials. It appears that the provision/
of Title II of the Act of 26 November 1040, incorporated in,
the .U. S. Code, Annotated, as Section 661 of Title 5, and
-1:xecutivo Order 6955, dated 1 December 1941, are no longer
relied upon by the War and Navy Departments as the bailie for
salary differential since the Decision by the Comptroller
General of 23 November 1942. The ruling in 23 Comp, Gen.
319, 1 November 1943, is pertinent, stating that:
? i!The long existing administrative practice, .
recognized as proper by the deoisions of this -
office, of paying a differential in compensation
not to exceed 25 percent to employees with posts -
of duty outside continental limita of the United
States - * * * . is general in scope and
applicable regardless of the law pursuant to which
the basic compensation of the employees IS paid.".n.
? 5.. In view of the above, it is the. opinion of thli
office that the question of paying salary differential is
within the complete administrative discretion of therDireco,-
tor, CIO, provided the differential rate does not exceed
25%. .The fact that an employee was residing at the place
of employment autside.the.United States at the time he ww
hired, would not appear to affect legally the paymarit-or
non-payment of the differential t- In addition, tne.raft
that the fraplOpe ,my not be a nited States citizen:v=14-
not affect legally such payment :or non..palment..:
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. 0 ? 0
chiefs Finanaa Division
siZar
25 Fobruary 1047
0. In dlsousslons with tho civil Sorvico Conn/admit
flits oPfloo was advieed tbat a Tontative Draft of a ioports-
(Mod April 104G, was prcparod by the Civil Servico COMMI1340
sion and the Bureau of .the Iludeiet ontitlad "Pay Difforontiala
and Rolatod Conpensation.rroblens in the Foderal Service
outside tho.Statos". This Draft has boomaraulatod to
various agoneila for oanront. A copy of the draft roport
Is boing sent to this office and will be referred to your_
office for consideration wton reooived.
Cat
25X1 A9A
JSW:mbt
LVV117511 n. nousTox
General Comma
N?
92
Appr -d For Release 2
ctr*S
.l.
",.. '.., ')....
411
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67-01
, 4 I
March 1947
MEMORANDUM FOR CHIEF, PBX
Subjects Bequest for tdvance.of Salary
0100010001.9
?
1. The request from I for an advance of 25X1A9A
al a r , dated 26 February 1134/5 was referred to this office )425X1A9A
? for opinion on the propriety of such an advance under
Special Funds Regulations. The request had the reoommendation of
the Chief, special Operations.
2. It appears that the basic consideration is the estab?
lishment of a mission in a locality where no facilities exist
which can be purchased or rented, and consequently the incumbent
will have to take from this country complete equipment from food
to furniture. This will require the immediate outlay of a .
considerable sum of money, atated in this case to be 64,000.
it is our understanding that is unable to afford 25X1A9A
personal funds in this amount at this time. It is our further j l
understanding that[ wan
from his bank, but that such a was willing to take an ordinary' bank
loan on his own responsibility.
loan would have *required the furnishing of information considere2d5X1A9A
confidential by this office. Consequently, I was instructed
by this office not to enter into such a transaction. If it is' 25X1A9A
administratively determined that the Project involved is a proper
one for this office to undertake and it is further administratively
determined that the expenditure for equipment is necessary to the
project, there would be no legel objection to an operational ad4.
vanes in the amonnt requested. On the theory that security prei.
rtc..obtaining the money in any other fashion, such an advance
should be supported by the individual's personal note and an
accompanying letter acknowledging the whole circumstances of the
tranaaction and stating the manner in which re-payment would be
mstio. Since the advance would be made in the interests of the
official operations of this office, it should be considered an
"operational" rather than a "personal" advance. The administra?
tive determination, in this case in within the 'discretion of the
ADSO.
irtir LAWRENCE R. HOUSTON .
Oonoral counsel
LRH/m11
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5 Apri1.1947
SECRET' ?
ymonArmim TO CRI FP, 5P701AL FUNDS sranw. .
Attentions 1 25X1A9A
Subject' s Travel 1-xponsos
1. ,Queationn have been raised by mo=bora of yoUr
section concerning the proprioty of reiribursing employees
on travel eXpenne vouehere for the cost of. items for an ?
eil,ployee'and his depondmnts such as visa fees, passport*
photoraphs, inoculetione,,fecia in connection with the
issuance of passports, eost of birth cart/fiestas, and .
the premiums- on bonds reouired ori P5X1C4D
'25X1C4D.-
I Paracraph 75 of the 25X1C4D
:Jtaneerolzed Government Travel flogulations provides - '? -
for reirbummeent to -the enployee for all or the above.
'teen, exoept for bond promiuns, 'then authorized or
eeproved by the adminietrative official.
- 2. ..Public tow COO, approved 2 Auguet 1941, au.
therizes the paynunt or the expenses of.trairel of.an
oployeo. and the expensee of transportation of his
1.7-ted1ate.famtly when transferred from one official
ctetten to, mother for lerelanent duty. An prescribed
lublit Law COO, re77.11stone have been iesued by the
Ir-sident in '7xecutivo Crder 9005, crfective 1 Now/ether'
1g41. Section. 2 of this ,ceoutive Orderlrovides that
trevelsexpenses or the onpleyee shell be allowed in
a(-70-Er4ance iith the Subsistence Txpenee Act of 1021,
af attended, and to Stfoldardized Government Travellic-
uletiono. 8eotion 3 of "xeCetive Order 9005 .provides,
tlet tl-e3 trenenortetton expellees of the immediate-
raedly of an-ompleyol be .subjuet to those proe
v:.elona of the 3tundardized.C,ovornnent Travel Recula-
tions which relate to trnneportstion? It is to be noted
that iublie Law COO, authorize the payment of travel .
expeneee of civilian offiders Omployeoes btrITat3
Cie vayment 02. exI)onsen incurred by the, irmodiate fami.
to expeneee of t-^71nenort'iltien.-.The limitation is
further rceocnizad 17=inz7-771-?17577dor MOS in 5oction.3,
which provides that the previsionn of the travel regu.
intions uhieh 'relate 146 treneportation.aro to be applie,
cable to the trans ortntion expensee 9: the immediate .?
families or amp oyees.
Approved For Release 25103/15 : CIA-RDP67-01057A00010001000179
1:1
41/
Chief, Special Funds Section ..e.-.?tect4E111
' 3. A apecific cane involving the expenses of inocus
lation of the dependents of an employee wan considered .
by the Comptroller Cenoral in 26 Comp. Oen. 167, 6 Sept.. e
embor 1046. It was held that.nocoesary inoculation
chargoa conetitute a travel oxpenso for which an mTployes
in ontitlod to be reimbursed, provided tho ohargos for
inoculation be authorized by the propqr official; however,
such charges May not be cOnaidorod as coning within the
purview of the trrm "oxponaoc or transportation". The
Cpinion goon on to etste that the tern "transportation"
ordinerily connotos the allowance of common carrier faros
only, and there is no basis for construing it ee en to '
include inoculntion- ohargee; Sinoe roimbureomOnt for. .
foes in connoction with iumuenco of passports, visa fans,,
coot of photographe for peesporto, and cost of birth
certificatcs, is allornble only underParagraph 75 of
tho Stendardieed Government Trnvol Regulations, it is.
ths opinion of thin ?Moo that the reasoning applied
by the COmptrollor Ucnoeal to roieburseiont for inoeue
lation ohareos should extend to all or tho abovoementioned.
types of foos. Therefore, under the present Special Funds .
'eeeulytions, the-types of oxponsee lieted above arc properly
eeyablo es travel eXponcea in nocordanowwith raraeraph 75- ?
of the Standardized Govornment Travel Rogulations* whore
such expennos are incurred for the employoe but reimburses ?
ment.is not authorized wherfethn expensen are incurred for
the members of the employeels.lemediato family.
4. It is provided in 76 rtnt. 126, 5 Aucust 1909,
that ''Thol United :Antes shall not -pay nny part of tho
1)rort1,nri or other cost of furnishing a bond rnquirod by
Lay or othol;wine of uny officer or employee of thn United
:tates". The quoation or paymont with Governmont funds ?
ot' bond prordwia o.,4! Oovrnlinnt employees has bo en cone
sigered by the Comptroller ,eoneral a nuribetr of times.
It has bon 1:A.d consistently that such cont s nay not
be paid by the Govornment.
. 5. .It is stated in 15 .Cemp. On. 923, 21 April 195d.
tat tho. Statute quoted ebovo prohibits the payment of-
eraniumn of bonds of officors and eeployees of the Unitod
:tates from public funda* and ouch prohibition operatos
direetl upon the public reent uu woll as the public fundS,
en s pert cu r once, tie eovornment asencyAnvolved
was authorizod,to deter:eine its necessary expenditures ?
rithout record to tho provisions or any other icwrzoverns
ine the ? expenditure Of public funds. This Opinion points
out, nu ,had the previous Opinions, that th ivinc or i
bond in in tho nature of a qualitioation-for the particular'
position, and the expanse of furnishing such bond is
personal to the employee.
ero
SECRET .
?. ?
?
?
Chiefo.spoeial Funds Seotion
MYS,001,1
0. In view of the above, it is the opinion of this
officio that payment of bond premiums fres the funds avaiZ?
able to this oresnization in the typo of ease set forth
above is not authorised under existing regulations. Ac.
cordingly, no such request for reimbursement should be
recognized, and, in the oventreitibursement has been .
authorised previously, refunds Should be secured frost'.
those individuals who have received ouch reinburnements,'
00 1
25X1 A9A ?
J3171mbt
JOflU s. bAniat .
Assistant General Counsel.
Approved
10 April 1947 4?1
rTTORAVDUn TO ASSISTANT CE/7?, FISCAL S1XTION
Subleett. GAO Ixooptions ?
1. Reference is made to your nomoranduan to this of*
floe, dated 4 April 1947, transmitting Notioos of Exception
from the General Accounting Office applicable to the travel '
accounts of 4 I togother vith5k140A
related papers. You state that you are attompting to reply .
to the Rxceptions, and request assistance of this office
in drafting a suggested reply to GAO.
2. Rased on the tnlephone conversations between you
and the undersigned, it is our understanding that one of
v.ene oases involves an appointment Where the employed had.
rosigned'hor previous Government employment .and returned to
her home. She was appointfid by this organisation. and Travel
Vouchers were processed in an attempt to reimburse her travel
expensoa from home to Washington. In the other casco you
indicate that the employee in effect transferred from another'
Oovornmont agency to this organization. The travel involved,
vas from hor previous place of Government employment to Waldo.
inton for employment by OSS. You stato, in your opinion'
the facts are such that if proper administrativo notions
had boon processed, the travel expense .would be payable in
accordance with rar Nanporor Commission Dirootive No. 10,
Paragraph 6. and Civil Service Departmental CiroUlar 110o.
403. Supplement no. 2.
3. In the first ease, it would appear that the ctn!.
ployoo is not entitled to roimburcemant under any general
legialation orirgulation. As pointed out incur previous
memorandum of 11 October 1946, this office,concurs in the
stntanent of the General Accounting Office that the language
rnlating to .002 funds does not vest the administrative
ostablishmont with unlimited discretion in determining whether.
certain expenditures ordinarily required by law and rogulago
tion to be born by an employee should be allowed. Therefore9
it is felt that any payment to the employee, in this particular
case, would be in contravention of the general rule that an
employee is required to plaoo himself at his first duty
station at his own exponoo. Consequently, it would appear
to be the administrative responsibility of the organisation_
to request ropaymont of the amount from the individual..conw
earned, and not to press the mattorfurthor, with the Genera,
koaounting Offioo.
Chiefs rthstiorod_Epr Release 2005,m/003/15 : C14-RW7-01057A00010001011001-9'
?444i) %a
ow.on 10 April 1947
4. In the s000nd oases it would appoar appropriate to ?
explain in further detail to tho Gonoral Accounting Office
that the travel expenses involved yen, in connection With the
actual transfer of the omployoo from one Government agonoy
to another. Since it in your opinion that had thepropor
papore boon prepared at the time of appointment the travel
oxpennes would have boon properly payable under the Directive
-
and Circular eitod abovos the GAO should be advised that
.002 funds war? usod within the administrative discretion
of the agency to carry out the purpose for valioh the fundi,
wore appropriated, admittodly using such funds in lieu of '
complianoo with prescribed regulations. As pointed out by
GAO in the ease oil a detailed .statement 0f25X1A9A
facts was not furnishodi and it in suggested: that the comm.
plote facts be presented in your reply to the Exception ?
concorning the second oases '
C. When the neoossary.information has been collected.
upon which to base a reply to the notice or Exception, we
ahall cooperate in drafting such reply upon your request.
Your files, attached to the memorandum 'of 4 April 1947,1 aro -
returned herowitho
----rymrtz?aramr--7-7
Aseistant General Counwel
JSW:mbt
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0 0 Q
4:
(04,4
t General Counsel .4 April 194T
Assistant Chief, Fiscal Section
- Transmitted herewith for your consideration are 'otiose oflweiptiono'
:25)(11009pkepplicable to the travel amounts o4
25X1A91 together with related papers.
These eases were previously furnished your office for consideration
of the holding or the General Accounting Office and were returned
by you under date of 11 October 1946 with a statement indicating ,
that you concurred in general with the General Accounting Offioe.
We are now attempting to make reply to the exceptions and in our.
search for justification of the expenses we have examined various
regulations that apparently do not apply in these cases but mbidh
may be used to some extent in drafting replies. Attention is in-
vited to ler Manpower Commission Directive No. 10, Para. 6, of ehieh.
provides as follows:
"Any employee *hose transfer is to be directed pursuant to
this directive without the consent of such employee than be .
afforded, prior to such transfer, a fair opportunity to present
to the Civil Service Commission evidence that the proposed
transfer is inequitable or will impose upon him an undue
hardship. No employee shall, without his consent, be transferred
to a position at a lower salary than he received at the time -
such transfer is directed, nor shall any employee, without his
voesent be transferred to a position beyond reasonable commuting
distance from his home unless the department or agency concerned
shall reimburse the employee for the cost of transporting himself,
his immediate family, and his household goods, in accordance with
Government regulations." .
Attention is also invited to Civil Service Departmental Circular No,:
493, Supplement 2, which provides in parts "--,---The employee
therefore, be entitled to payrent of the transportation expenses
specified whenever the Commission authorizes his transfer to a position.
beyond a reasonable Commuting distance from his home under the pro-
visions of section 2 (a) of War Servile* Regulation U. Regulation IX
will not serve as authority for payment of transportation expenses in:
any other case.'
While it is true that neither of the employees falleithiltAbs tiiegoriss-
25X1A9A set out above, due to the fact that' lists not trfastorredtrolv
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Nor
? ,
General Counsel 4 April 1947
25X1A9A another position and was not transferred under anth- or?
isation of section 2 (a) of War Service Regulation IX, it is thought
that some explanation might be offered to allow payment in view at
the taut that OSS .002 funds ware charged.
'Tow aid in drafting a suggested reply to the General Accounting
Office will be greatly appreciated.
Please return the oompleto files to this office with your reply.
Appro
or Release 2005/03/15 : CIA-RD601057A000100010001-9
SECRET
ANDTA VOR CHI?, ?TAUS
Subject: ' Audit ofspeclal Funds
.1. 4s return heroelth memorandum of 10 Xerch 1047
from the rxeottivo (Cr MIA, and the drat memorandum of 19
arch 1447 from the Chief, 141wcial funds, with our comments.
7:le audit of 4.0'61 Tunda goes to tne heart of the whole un?
vouchered funds problem, and's,* ahnll attempt briefly to state
O1' analysii.
2.' 7.14 cannot state too strongly our opinion that
unvouchered funds have a unique status in our novornment. Ui
othlr funds of 'r.iceoutive AzInciat are subject to the completely
Independent tv:dit br the eneral Accounting Office. Concrete
hs.3 seen fit by law to relieve 1A0 of thla function and place
entim resDonsibility upon the head of the department coneorned.
Gowressional hearins, the Comptrollor.leneralia docisions and
our. own opinions have consiatontly held that this responsibility
cnnnot be delosted. The lirector may establish controls or
Abolish all .controls in hin discretion, but he nay not divest
"introit of his reepnsibility for the nroper disbursemont of
clal?Unds. This unique status, therefore, necessarily takes.
tho Funds problem out of normal commnnd and administra*
Live channels, nnd renders the iarectorts appointee for controt.
or poc1al eunda directly responsible to the Ureotor. This
special channel in turn noceetarily separates Oecial Funds
from all vouChered funda nhd their administration. In our
opinion, it Is proper that this separation be kept complete*
't:oth to avoid confusion as toHtho funds and the methods of
hnnoling*.and to preserve the security essential to Special
iqAnds operation. e feel that all control of the Nvireonnol
end ,dministration Branch over unvoucherad funds ceases and
should cease upon budget allocation from basic appropriations
to the Special tlitds branch, in aocordance with the decisions
of the 'tiojecte Review committee. This cessation-of control, ,
or course, in no way affects the routine edministretLon by P&A
of personnel within the SpecialTunds Branch.
3. There is no question as to the desirability of
an audit of Speoial Mode* It is necoesary to maintain the trust
?
/ezt,.
Approved For Release 2005/03/15: CIA-RD 67-01057A00010001000 -?
to
Chief, Plans
:tv
4 April 1.947
of ::onvross and 10 in the control of unvOuthered expenditureei
ss is protection for those disbursing officers who right incur
pe,sonal liability by improper expenditures and, most important,
for the protection of the Director. An Independent audit is -
estontly impossible, end, since the power to audit necesserily
involves the auditing office In Mis operations or the office .
audited. we believe that power should not be given to the P&A.
brcnch. In our opinion, it Is the logical 'conclusion that
the au1itors must be specifically made responsible to the
irector, must render their routine reports to his office,, and
must hAve authority to approach bin directly on any point they
believe requiren his attention. They should not be put under
IN'S control of any Assistant Director, or of the 4xecutive for
Personnel and Administration, all of whom Were given certain
authorities to commit special Pundit by CIO regulations. Ideally,
the auditors should be a part of the Director's Office, and act
in his name. It is our un4erstanding that it is desired not to:
atteoh additional personnel to that office. In view of this
desire, we believe -the same purpose Can be achieved by plaoing
the auditors in .special Funds for TO and normal administrative
pur;rosesi as members of the staff or the Chief of Imola Funds,
snc: with the above-mentioned written authority to have di:0.dt
access to the Director's Office. Fe acknowledge that this
proposal is an exception to normal edministrativo channels,
out we feel that this is neoessery in view or the unique sitUmm..
tion created by etatato, and that' it would fulfill ,the legal,' -
requirements insofar AS they con be metAiitbent.independent
outside audit:
L110111
eel Director's Office'
ADSO
rxee. ftr P&A
Chid, Special Funds
"7771=1,17:77T7Tr'
General Counsel
? 105
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enhoo-a4 ?
644,4*-ti ?
117"1?4xT ?
Contracts 00A."
Legal Dec.4".
24 April 1947 .0hrono
?
UEUORANTIVil TO 11017ARD. PIMSTOU.
Propose&Inclusion of Eight.Mour Law
Provision in General Contract Conditions.
- 1. ,Referonoe is rade .to your?merrorandum`to-this.-
office. dated 16 April 1047, concerning the above sub-
ject, .If your office &tens it adviaable to include
this provision in the 'General-Contract Conditions"
we seo no local objeetion to ouch an inclusion. -
, 2. The citation in the proposed provision. should
be changed to read as fellows! ?
Vight?ilour Lew,37:Stat. 137i138 as
by Act of 0 Sopt.-1940, 64
-Stat. 064. ? '
. ?
For Release 2 /03/15 : CIA-RDP67-01057A000100010001-0
ourono
Tavel Expenses
Legal Dee.t/
24 A ril 1947
UhVORANDUM TO CHIEF, man. FUNDS
Subjeot: Reimbursement of Trarel of Dependent
on
CONFIDENTIAL
.25X1A9A
1. Reference is made to your memorandum to this -
office, dated IS April 1047, concerning tho above Bub*
-.pct. Attached to your memorandum, and returned hero.'
with, is the claim submitted byl .1 dated 17 .Apri125XiA9A
-1047.
2. It appealm thatl marriage to a Foreign .25X12A9A
National was approved by the organization with the stipu? -
lation that his wife Was to depart for the United States
one month after hin marriage. In view of this ?able, it
would appear that the wifete return to the United 3tates,25X1A9A
prier to I I return was directed by the. organization.
Therefore, such travel by the wife could be con'aidered
incident to leventual return to the United States25MMA
and for the convenience of the Government, Conlequentlys
this office will have no objection to the payment of the
cost of travel oil P. wife to the United States,
provided it in otherwise in order for payment. .
ion sog pg,
Unpubliehed Decision of Comp.,.
25)(1 A6A
. ?
"In all probabilit7, her travel was performed :idth the 'expee-.
tation that I assigunent in ould be comi.; 6X1
pleted at an early date. Hence, her travel to the United States
although performed in advance of the employee's travel for Persofial,
reasons, rano may be considered as incident. to the return of the
employee." ? -
CONCLUSION*
Approved For R
yEMORANDUM TO MR.
. Subject; Travel. Lxpenses
25X1 A9A
12 May 1047
Co
1. 'Reference is made to your memorandum to the under...
signed. dated 7 Mei 1047, enelosing rough draft of memorandum
to Chief of Station concerning reimbursement of travel ex?
peruses for an emorgeney trip to the United States by an em-'
0.0760 duo to an illness in his family, The Chief of Station
requests that the organization give every consideration to ?
reimbursing the employee for the cost of transportation from
his post of duty to the United States and return,
2. As explained to you in our telephone conversation'
of 7 May, there is no authority for the Government to pay
travel expenses of this nature. The travel was not performed
at the request of the Government and was not for the convene. .
lune? of the Government, and, theroforeumust be conaiderad,
a personal expense to the employee.
34 A draft of proposed reply. to the Chief of Station'''
La enclosed, Your enclosures in your memorandum of '7 May are
returned herewith.
TOt
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?
DRAFT
SECRET
12 May. 1047
25X1 A9A (0'
SUNITT1 Reimbursement of Travel Expenses for
erercency Trip to the .Unit
u aT.azett 25X1A9A ?
1. Reference is rade to your remorandum of 23 April ? :
1247, concerninc tho raturnefl- ' Ito the United25X1A9A,
States because of hia !other's sorious illness. You request
the or anization to give every. consideration to reimbursing
for the cost of trensportntion from his post of dutz5xiA9A
otho TInited States and return. Your request was referred
to tho nppropriate office for decision.
2. Ve are advised tl:at there is no abthority for pay..
mnt of travel expens%s of this nature. In order for travel. .
expenses to be borne by the organization, the travel rust
be performed upon orders an4, for the convenience of the
organization. I I travel was mot for the Tioonr:d2 5X lA 9A
i....nce of the organization and, thorofore, rust be c:esi
personal.?? All exp-nses in connection with suck travel will
be considered personal and must be borne by i 1 It25X1A9A
follows that no per diem will be pavable for thIS period,
For your information, we huve boon informed that the period .. ?
from the date i 1 left his post of iluty until he re.25X1A9A
turns to his, post of duty must be charged to his annual leave. -
sine., he etninot be considered in,a normal duty status. -. -
. 25X1 A9A 1
34. [ lability and value to our work 'deserves
?
great consideration in general, and we should like to help '
him in whatever way possible in his present misfortune. Howe
ever, there is no alternative to the policy set -forth above, -
SECtiET
141'
,
25X1 Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
Next 2 Page(s) In Document Exempt
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Approved For, Release (:)1,?/0305,,: CIA-IRDP6
28 My 3.04/
I ill, III 1.1
InrOTIAMVU TO COITTITACT trtrrz ? , 25.*1 A6A: '
Subloot: Proposed Construction at
.1. ? Ileference in made to your nemOranduzi to this officeav
dated 26' Vay 1947* Concerning the above subiaat? .Y(RI Gnc3".,..;?4-......;
a eopy 'or the plans or the building* numbered 61941* Which' ? -
is returned herewith.
2.5)(1A, _A6 .. .
2. YCX.1 state that -you are nortot/hfitries rep a war sikilatta ., , .
building now. located at II Apparently*-; -
the building is or a teeiporary t e5.XS/Ain6to you proposo to ?
r th
ove e building and erfmt it at You roqu=t
clearance frcel this offlec for the purchase and erection .
of this buildinp, C111C0 it will be placed on leased. Isndo ... ..,, ......
dated 28 April 1947* in which various opinions of the - 4 25-)'C- - 1:'-'4.- :
I;eforetioo is riade to our natitorandup to r- -
Comptroller General wars discusaed conoerning erootion o
buildings an leased premises. .
4.t?
ma detrrre...nnt7,.on of ?that type4r_l_1421494. y Or pro'.
fabricated Intilding is to bk: orflotod st Ls a natter
for rul-dinistrative doterninntion. Also*LurTF-1) cl7proval of
the expreadlturos in connection with tho purohnao Srd areas&
tinn (52 such trv.po2.-tr11y- or prafabrtented building is a
ratter for tidn.thintrative deternination. if the purchtussi
rovinc,* and A:rooting of V.11 buildingrproposed in ;vow%
r1.71oranduts or VI r.ay 1917* is doter:lined by your offioe ?
in conjunction with thl using Tirsnch to be necessary end
desirable* thin office rill ttave no legal'objection to
..?
thl expenses involved* and* In encordr,non 'frith the opirtionli
of th, Cortptrollor Genera/I it valid not appear that sueh ,
exTicnses rould be within the purview or tit* proVisions of
the Econony tot (40 I!?:-.1.C.A. 2/3a). It is.cugr,ostod that
yovr orflee prepare Thr the recer,-d. .a ncmorandun nubztantiatingi:
the advdniatrativo detornination that such building is nocosf.:'..
vary to carry oat tho puzposca of authorized actities* . ?
kooping in mind the possibility of tieing quatuset huts or ,
other typos of bu5.1dinge which possibly could bio bectrrod
from Vial* Assets; Administration ..or other CsArrerrmictt ugenoles
at no oost or frith. reimbursement.. ..fi,?? ? .,? ' ,
?";-
?
'4 ".
,
d For Release 20'95/03./15:: .CIALRDP67-010,57A0901000109111.79:-.
. ? ..,
?
a
4. This nonorandun is not olassifiody sins* tho 'baits
for classification in our marlorandlum of 28 April 1047 is
not present,
5/0.3/15 CLA- 0001-9
Deputy Executive for Personnel and Administra
General Counsel
Private Telephone Charbes
. N ?
AttaCtiOd is Voucher No. 219628 and a copy of memorandum .01. ,
13 larch 19/47 from the Chiefs Finance DiviSion to .the Executive foi41`
personnel and Administration. " As noted in that memorandum payment'
of 'these o harges constitutes illegal payment as maintenance of. a
telephone in a private residence .can in no sense be considered. ft
goicrnment obligation.
You will note that on Page 9 of the billing' which supports tbs ?
enclosed voucher two charges are stated to be for residence of
Colonel right and residence of General Vandenberg. These entries
speak for themselves as improper charges to the government. This
and the previous -vouchers are dale for audit aceording.to present -
plans during the week of 23 June 19/47.
In vim of the fact that payment Of these itemal has been icade:'
against expected reimbursement by the persons concerned exception
on these items would reflect seriously on. the administration o,c. ?
Finance. Division . unless payment is- received priorr.to .
.. ? ? ? ?
App d For Release 2005/.03/15 : CIA- I 67-01057A000100010001-9
?
17 4Une 1947 ?
:A07iptlf pun .ety: cnrre tncIAL? ruspe ;1
aubiloett APlrovals loquirod for Disbursanonto.whigsh ?
aro not in tccordaneo with poeival Ponds -
*Eulations ?
3..;eferInee 13 node to yofir memorandum to thicarriee.
,j,te4 3 June 1q47. in ehlr.14-yo4 request olarifiestion'ot. tbo.
vannar in which et.penAlturees whieh aro 1)*yond tho coop* or
At appears that tee questions are involved*
.peclal runds lecalatins Inust b* api'roved..
(0) Tphai-e a ;...fco;;osed ozvandituro lv notin-
ascordaneo with exiatiGe ,3peciel runds ipEr,ulationsk
livat the airectorm ova;.,rove such diabursomontsT
(b) If the . 'rector's eqwoval Iv required,
mist it be In writing and eiGhod peroonally by the'
Arettor, or asl suoil approval be la the form or
'written meroreada troa other individual who stet*
that. the op:Arrival of the Dirootor has been granted
or whO stdn "For the N.rector*/
C. In order to presotnt clearly the eituations It is dfsemoti
eNsirablo to outilno tho rennet:In-which 3pecial Funds aro mad* '-
avallabla to C11 for expoeidituraf ? ty lotter 4ated $0 July 2946k.
slrAld by Vhes members or the Rational IntellIgenee tluthority0
ttgo ;,eeretery.or the Treasury and the i:maptroller.lenoral ter* -
ralueeted to astel;:ish a 'ork.ing rund available to the riireator.
or Central intelligence. /Atli:approval or the Treesury Dopirtft
rt 4&t1cowtrolier 'eneral, a .orlaino, Yual? r, onorale
L47, 0011ittitilltad thVil tazg.41.17,fuld nimbol no. 0.739c)0. on. 3 .
eptember 146, a letter was addrossol to Clio 'Z'oaptr011er ?
ontapal, in uhieh it waa etated4 ?
?
'3o OV ea beh4114 or the'nepartment* we ropresetto
and in our capacity ss members or the Xational Intelli?
pence Authority, authorize the ;IIroator, sttbjeCt to
.pol1.cloaeatit?liehefb7t14.liat4ona3.lAte1litance
Authority' to oentrol: supervise anti,administerthiS
Approved For Release 2005/03/15 : Cl
chiefs apealel NM*
)1 Juno 1947
7.oriln4 vith n11 powers La reepect thereto.
dd would othoruise have been exercised bus over
the fund* contributed to the Uorkinr Yuri& by our
respective :lepkrtments* Includine the powers sni
autberity 4ranted bj the:itilitary Approptietion Act*
-lii47# trAv Navt1 Appropriation 'ter* 1047# pproved
July 8# 1.946:47ublie Lew '02 ? '11thConareeirs pertain*
Ln to eerti Owtelio of e3Oond3tures sn4 the determine*
tions of pmpriety of expenditures**'
That letter* erantina such power* to the .*Ireeter or tentral
0.1160nee* W411 al41ed by the oeMbers or the Sational Intent*
lathority, including neon Acheson* Act1n4 ?creti!ry or
. .tetes Robert P* Patterson, leoretary of az i Jomee Forrestal,
!.3cretar1 or tr;o Navy* and :* Leahy,* Personal Represente
ti ve of the ?resident on N.I.A? No sueetion. hes been raised, by
erel'At:mounting office* or say other .lovernment Acency#
coneernimt the authorities thus granted to the Director of
:antral Intelligence*.
3* 'The unvouthere4 funds mad* available to C11 for the 1%47
aerial year vivihe taken fcc the sum approOriated.for the military
ostmaishnent by the =litany Appropriation Act or 1347* approved
11 July lam* A portiorl of the unvouchered funds ves-taken.froin
ti :eotLoE*Centinzenellse or the Allay*, the lancnato at
?"11140111$ ?
.' r* painenze from this Appropriation may* in
the dipertitIOU OrtN4 ccretary of 'ziardi be made on
Lis Certificate that ti:e szpendituree yore necessary
for confidential u1litary purposes*
U. remainder of the urivouchered funds 4Avas taken from the Atonie.
:ervice Section* v4ich.providea in pirtt
*That. the ()racial in charge mei exPand:sums.fron
this Appropriation * * for -objects ot. a'confidential
? nature end In any Ituclr ease bio certificate as to.tho
aatolint
of the expenditure and that it is deemed inade
viaable to epecliy'the nature thereof, ehtiO?be deem&
a sufficient voocher for the In= therein Oxpreased to
have been oxpended*I"
4* ln view of to authorisations granted to the 3reetar of
Central intelligence by the three Secreterlee and the acceptance_
!BRET
ed For Release 2065/03/15 : CIA-RDP67-01057A000100010001-9,
e sEm
ET.
Chief Special 1,"t3n1s
.ZAt ?
17 Juni 1047
Of such s.rent o: authority by, the 47oz:ptroller-lienerals it IS
the opinion of this office that the iiireotor pf Central
Intelltionos'is in effect coc.stituted a bead of an independent
a,,;e44ey or ea-4eutive departments ands with respect to the TundS
itranted un:ter the :motion "Cahtinvmeles of the ,nines nay .
oA#oute the certificate required or the ecretary of 'eardo.
' Vurthors it La the opinion of this office that with respect
to tne Luna mode available to CI3 from the Section "Atomic'
Aprvices the ;Arector or Central lAtellionce is eutborised ?
to ex,end Bums for%objects er itcontldential natures and
0.-.00ute the certificate specified therein and required of
"the official In charde".
b. In order to tdrAnister to funde iiranted to the
Director of central Intellip,once hitt* actions of the throe
4cretarles and the Xilitary !rproprietion Act of 1047s the
Irector of Control IntelIlence has prescribed reaulstions
ander whiCh unvouehered funds may be expended. UpenditUrea
rhien ore not in accordance with the prescribed reculstions
nay not be uodesend the regulations state specifically in ,
ifection 2?Gs ?
?
? "Onvouchered tumlo maglats expended only in
cote:donee %iitr i reruletiona for necessary
'official confidential pio:Noses."
I'horefares ant evonditure ef,unvoucbered funds which is not
In aecordance with the reguletion; prescribed by the Aviator
is IlloGal in. improper.
1.i
G. To determine ubether the':)irector or Centrel.intelli?
Gene*, Or An official actiR; for Ain, must approve expenditures
...Ach aro oat in socorde4nce with the reauletionss we have -
eAsAlined a nuniLer or deoielohe thich are pertinent. Theo Inion
of the Assistant C04ptrollar oenerels dated 21 Uuy 1041 4 'Comp.
:len. 70Vs conce he
rns t-ath
Jer 1m
it7 or l:ordinate aa s ri to
t.0
aporoye.clains by siznins tt;er document evidenoina a deternime?
tion *.oy Direction" or04 Order" ot the 1;ot:rotar7 of Var. la
this case a statute lime involved which specifically conferred
upon the Sacratar: or Tier the outhoriti to examine Into.
ascertains and determine the Telma or last: ax' damned preOettr.
Appr For Release 2005/65 : CIA-R'67-6 057A000100610001-9
?
CLisf. 4pecia1 Funds
SECRET
IT Juni 1141
and Provides that the deteminatIon Auld* bytheAocret
401lit shall bo anal and 'conclusive. The opinion goes XL
states
0,1410 lotion of the recrater: or Ur le re.'
gulped by the atatute to be taken on each slain
and to aeslExlment.to SOZA subordinate official
of tlJe duty of kl7rovini: or disapprovinc olaLms
or this ?nor/later mn,.t or aintn th* docunent
evidanoinz his determination itgy.',irectioniof
* 00, the :'riscrotary or t:iar. * * 0 la a delegation
or a juriadiction thus reposed in the secretary .
.of okr by the :Lot."
The mere recitation that such action-wee don* b/ a eubordinato
official 00y .1.1.0ctLon" of the aocretary of ',lir was nettle-UP .
sidered evidence thet the -ecretary or Kerr personally exerolied
the judi;ment or action required under the statute. And the.
Assistant cOnptroller conerel stet 04 such a eettIement.t:040
clan could not he accepted. In 10 Comp. nen, 645. 28 Janis:an'
1v37 the cenoral principle was autzmarlaed as follow:1i
*4herei as In this case. the law require* iri, .
? speoltio terns the certification Crthe head of
the department, the authority to eertitY nsy not
? be.doleaated. 'Me action mel be only the
:'eorotary of the Treesary or.an Index* zooretary
? Or Aseistent Socretary authorized by law tapers.
form Any duty the ecretary nay per:etyma"
In 21 Comp. Gen. 221, 10 April 1942i the CoNptroller Oeneral
states he is not authorised to waive statutory provlelons
specifically requirinr, authorizations or ap7rOva1s by heads
ordepartnents. Cot sequently. the approval .by the frdjutant
"r7 Direotion. at ttie ,eoretary or liar" nay -not be
accepted ea mooting tE30 statutory requirements. since it is
understood that such oiening would not be preceded by in
actual determination by the nearstary or Itar inellohinetengee
T. The propriety or o purported approval and rat/floe,'
tion by the head of a department of an motion dome bye sub.:'
Approved For Release 2005/03/15 : CIA:17P6S1fi0 001-9.
Cacti Igoe/ail runds
17 June.1247
ordinate official, w4lch j st4tUto wa4 required to. be done ,
14 tho dinorntion heAU or the department. Is discussed
In
22 :ttnpip Oen* 1V13, 10 JU4A 1943* 7hat decision guinea a -
provicus deelaion a4 :*onp, len* ?640. 18 ;Urals 19321
ItesLowhen a atatuto vests 11 a board or othor
federal *comely dlacrotion in the use or appropriate4.
fundes sudn discretion properly may'be exercise4.
onli in advance or the inourrinc, of the.obliga.
tioa* se a5vrovaI arta:, an expenditure has been
Ineurred does not constitute the exercise or dise'
cretion in the use but 4 condonim of whet hes
alread/ been do. This does not moat the require.
vont' or the law* u *??
It is pointed out in tha otAnion that the decisions have con.
slaty/31y held that, when 6 statute confora statutory authority
n ft given person, iLe authority must.he exercised by that' ?
peratal alone an4 In fwvtr.cia of tree incurrinz or the obligationa' -
The cameral rule Is stat.0A tthi9t. ratification or a particular
*et may be hade by an'one In whollet WAIL' such _net has been.
one ot1 r he co-.:12. have Ftvon ev.thority to do the act in the,
first inatanee and if he still ha polar to do so at the time-
or ratification. In othor words, one who looks authority to
dolfwete the pftrformanee or acts whirl& he hiftsulf has power
to perform nanot ratify evIell acts shan dont by sa4ther she
has no aush authority*
0. Th l authority of the 4eputy or, assiatant heed or
a Atm.:Anent or- indeparlilent oatalatai...vnit to scrim an the
41torozo 4114 to perform funttlens IC4ch erditArlly reAuirs.
to discretion of the head or tho department (and hence not -
deivai,Able to,oUbordAzAtos) b44 been considered by the Comp-
.
troller lensal at various tImoo '0 Comp* lion. 27s 18 duly' -
14401 20 Comp, 'cal4 ?Woo 14 nay 1 4 ? a point was promp.i
seated in teCollugs vs '4??? 17 C. Us. Q2:(1861) in which it.
Is statedt
**tile I do not.rIm1 any specific atatutory
authority- for Assicitant c'ereteries of ttate to
act In lieu or the head or the department in
matters of discretion vested in Such hoed, the
title and nature of the position have generally'.
been hold to eut).orite assistant secretaries or.
the various departments to assist the head of the
CRET
4;10
 1.?? S -? ? PO-. 11
?
Chi rip apoole2,gj
11 AJA* 104T
?
department in all flatter* re learit18
personal satontion or dieerotion Auld to aat
ift 110u or tt,ty rieemtary of Um. departzstnt
Vaen authorised by hiss so to dOisti
et,
? sO? tt it tho olilniola or .titis. Offing thst thei..esennei;,
rIn
. artsiob =vox:4110ml tunla shial.b*.epeut La' a reeponst.tilliti
vetted- in tho person or . the DIrootor .or tentral intellirontoo
ills' discretion rosy not b* doleg:ttcl, to is, .wv.bordizate? orrioisle ?
7;,,,lis toproyea, ot- ex,e'ndIturee which. are .beyoni the stop* of the--
proseribqd 'regulations is In -rr.viii- 'Arai. laying doers? cot, a now .
rerulation# consequently, sq.,,,,Ix's,r1tewrol mut col,.0 rroll-tioo: :::-
:..-4r,totor or toutria lutoll$ rtsnoo... end such expandltaire zalt,:bis ,
tr?Ithorited in advance. In othor words, 11.T eri,ertalturo. ttlicb.
) huts boars made, or art oblitlort ino-errol stioh le bog-0111 the '''?
?.iith 02* prtor 10.7.7rovel of t',.* ArActur'vZ Contra,. Intilillesp40**
; scope or'tbe ro6u1stiona, woula be a. proper aisblarsoaont only' -
I n* tp,rtsval ot 04 .1p-cetera lu 'slims 'or the above dsPoisiozsit.
be In writinF, a.r4 aned person-fall b7 tbe
learefore. Via* sintsetr.to fitiestuni (9) or ?per1'ePtk 1,, is
7.20 answer to .craostion (b) or pit_reelropti l it Mit- the authorize., ?
? tIon must bt in eritine tired ,,,,ust: bPs Biistiod personally b 3 VI* ?
troctors? or b$ th
_ A) l'Atinuti or AcsistAnt 4.rector AxItherlsek. %.
by . the Arettor. to 16-0 ri . for h141- in hIs .abitono* or incapacity*,
In ttit lett*? **ant ,the title "lititts Dirootor*, oboad, bo
ueed? .1 .,
. - ,, . ?.. _. ..,
101.. ,?Tiliii..0friatt It? evailable at all tfrov to tencter.. ,
"seal-stance' to you.. aalsl lova* .ataff it til9. odginietertni, of the
rtpnetel..: ?undo Kogulations.' ':::.'-P4o.trioailIe Ire el141,1 tarninhf ?:-.-.'' .
u?crri requetti- Opinion:* ?ooLeerning ? t,..:.:e propritt;c Or vartiotuta.1.
. d2iton4tuross? ilio? ? -et 2)4 tha tft .. Vat- I tete In:ques t 10 n ' la ? a:proper...Y.-7i',
4isburstattst in stgeorflantto "Pith' the prteoribod..itstuIetiona.
tot ,
X1A9A
zs ror
..?
,
? c. : ovors-1 oottroct-
?,?,.? ??? .',?1
. . ., ?
t
?41,.
poireed Fokritew2pt5/43/15 :?91A-051g6f-'6:11),-;-6,; st,A0
19' June 1947
USUORUDUN FOR MIL?, smcIAL FU1DS
rAlb.jeCt:
'25X1A9A
1.. ?Returned herewith it personnel action request
for promotion of tne above subject. Thin request (in three'.
copies) was ?forwarded by your memorandum to thin office.
dated 5 June 1247. You state that the Personnel Review
Committee dissperoved the request* but the minutes of the
Personnel Review Committee show the disapproval wee over-
ruled by the Attnistant Areetor, CIO. You inquire whether "
diebureements effected as a? result of Vela personnel action "
request would constitute lava payment. It is indicated.
from the papers attached that the action WaS eddreased to_
the Personnel teviere Cormittee as of 22 Zlay 1947# indicating
the effective date of the pro4otion as 1 Parch 1247. This
office on eoveral occesions hes advined eaembers bf the
P,.rsonhei eview ,C1oyznittce cencernin.,; the propriety of retrei.e
active personnel Ration requests, including promotions.
2. The comptroller -enerel has ruled consistently
that a salary. inereune may not?he retroactive end can only
be effeetive upon the date on which administrative action,
is taken OS Comp. Gen. 601, 21 Feb. 124137. That opinion
states t
1
"/t has been hold in humorous decisions of
this office that administrative changes in salary
.-
rates may not be nada retroactive17 effective in
? the absence of a statute 1:1pcific1ly so ;amyl-aims
eiTiv 'that tL1 siToOTriThto or so. ary cartes result.*
ing from administrative action exclusively is the
date on which the action is taken by the administram.
tive official vested with proper authority." (under..
scoring provided).
?
There are many deeisions of the Comptroller General to the
same effect Which i.e feel unnoceisery to cite or quote
$. /t in the opinion Of this office that in this '25.X;TA?9A
case the promotion of from P..4 to P..5, Offeetive*--
1 Ilareh 19470 at this time is not authorized wad any payments
effected as a result of such preMotion would be illegal andH.
N? 123
improper. In your ,nemorandun ag 8 *inns 1045 yieu Inquire.
furthor as to %whit action and/or approvals are noceasargto
catubliah the. proposed action ac. it legal one. In View of the
decisions, it appears there, lc no action or approval which ?
cold establiah a ra truactive 'promotion as-.cutharited or
could leoLliss the disbursements reaulting therefrom.
, ? ?.
4. Although the Director* Ciao may authorise
ot_..v.,andituree for obilects of a confidential nature tot, which
r705---i-tc-o-c?iunt-iiig La required, there.raut first be an obligation
in order for the Director to -approve, the expenditure. Eowft , ?
ever, in this type of case where the disbursement would be,
in effect,- a mere gratuity,- it is balloted that the approval
-
of the Director, CI,G, for such a 'disbursement would not be? ?
appropriato. ? ?
25X1 Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
Next 1 Page(s) In Document Exempt
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Approved !For Release 2005/ /15,:.CIA-RDP67-01057A00010001
0
Approval a Co:134min' 2rnvol r?r Captain
25X1A9A ?
1. itlfrirffyis.t3 I!) rtr,do to yvur tillenornrgtzr.: thta
:ice ;1'4? 1,247b, conef.rnin.7. ebove ?ntibjeat. ? Reply
;-.1anontz VC.fl -N2 ?a tIzoa lxvo that ..,?.7otI rottid
tzoiq to .-,teArcacp lAddf:t1:-.r.1 feats oottorrnin,5 CA* ottuAtictx?
CAL, n.111 fnetni Aro Dot forth tn yqur
? ?a.--.ot-ai:cltua Gr
2.:?wzaiitl 17-,Lnilz pith,llort.ltot; ttYvr trews" ta-perincts .
Z( tcoc;,:-rar.:10e, T:ttit rr:.-7rInttoiz, pteribed by the Diroos.;
to2:, ?=arrs1 ciai:?o:Ar ow or ;01,./zr por5,Iyania.ruly, ?
1-10t, '51 r-:41 11-1.1. Ikur:da. t pq0111.0 et.o,nn /Thor?
Of a Ly. lova" c/.1.31 rfe.-pat roa.
t1tr vt
cav,..011 providod hua rpo.,
re-21:1Luracil,11'; of trort Lpeclul 14Uada?,._?
La .sclvanaq.
n. It doini not n;;.1.-wr t!Ist ox:04ntos or el.werain"
vTero 11y 44.7%:40- on t.ho btai.5
uomu:.-1Z-y or op-Jr:IA.1;4v/ ry.ntpnnity? Irtarthnrs, the orb/A ?
trur..7103 bono,4rntnL: 7ratt,lr ivotkLea Mtn quonttiall of
uttoll itptsria-ari wan co?Itstd,Irrsq,, prowl" tor paynont
tli!.ti mu not (zre.r.L,A1. ronzo(luelntly? thio is no,
1A9A nuttior:ty Iskx- 44.;uira :1:106 to rolrIburte CalAain .25X4A9A
fel* ilxv:nace of 110 trrorn" Vih ammer0J-ims.
4. 7.he youchor anti dr.pliotte elp,nt..d by 2'5XIA9A'
tozat'...tar. rLth trtivel order eat. r i?pril,25X1A9A
trent-nitted rith your r.(15-aortrattna or co :Say 1.947. , . ?
1..ro rat:wood haretrith.
ZSritmht
ApprovLI For Release 2005/03/15 : CIA-RDP67-01057A050100010001-9 '
PA/z.
wjel
.;;.?
8 July 1047
YEMORANDUU FOR THE; 1=CUTIVE OFFICER, 050
aubjeots Telegram to
25X1A9A
? 1. Thin is in answer to your memorandum of 7 July
on the above subject. vki find that we are unable to
KT?e fully with your argumenta for charging thin expense
to the Govornment.- Particularly, in .paragraph 3, you
argue that it WW1 neceesary for us to serve as "cut-out"
from time to time. we maintain that where we merely act
as intermadiary for personal messages, whether for security
roasons or otherwise, the expenses should be borne by the
individual concerned.
2. In the absence of obvious subterfuge or misuse
this office will novo: question an administrative ruling
on security aapocts of operations. Consequently, we accept
your statement that the subject telegram was not part of
correspondence between the parsons involved, but was a.
separatc operational message, intermediato to^^?'---
pondence, which WWI required in order to have 25X1A9
ceaso her efforts to got in touch with her husband. On this
ground, and this ground only, there is no legal objection.
to transferring thin charge for payment by unvouoherod funds.
As noted above, this in no way seta a precedent for passing
of personal menages.
3. we wish to point out that an item of this sort
tondo to-east aoubt on the administration of our unvouchered
funds. The mesuago was, on its face, purely personal, and
even on the grounds given in paragraph 2 above, we consider
it a border line OW100 If & message is truly operational,
we believe it can normally be phraaed as such, in which case
it can be paid from vouchared funds when, as hero, the
message itself did not contain classified information.
LAWRLNCR, B. HOUaTON
General Counts1
Lnlitemj
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? 0
16 July 1947
IftrOTIANDIT11 FOR C1TL9F, PFASONNTIL DIVISION, OSO
Subjeott.
SECRET
C
25X1A9A
1. Reference is made to your memorandum dated 9 July
1947 concerning the above subjects. The memoranda from
Chief, FBT, dated 8.July 1947, aro returned herewith. You
request information whether per diem payments to the, subjects
pending departure to their overseas stations would be appropa
riots under existing regulations.
2. It appears that both subjects were scheduled to de?.
part for their overseas posts on 7 July 1947, aid, due to
circumstances beyond control of the individuals, it has been
necessary to assign them to duties here in Washington on a
be placed on per diem effective 8 July 1947 and tha
temporary basis. The Chief, FBT requests that I,
lbs placed on per diem effeetive 1 Jui725X1A9A
.1.1Plf# uurul per memo to be terminated upon departure from
Washington.
3. Although it does not appear from the attached memo.;
randa or your memorandum, we have been informed that both
subjects wore employed by CIG on 30 December 1946 by vouohered
funds on a departmental appointment. Subsequently, both
dividuala resigned on 3 May 1947, apparently to accept an
unvouchered position in CIG.. Therefore, from 30 December
1046 until'3.May 1947, the permanent official duty station
of both individuals was Washington, D.C. In View of this
fact, Washington, D. C. may not be designated as the tempor.,
ary duty station for the purpose of paying them per diem
where, as in this case, there has been no physical departure
from Washington.
4. Payment of por diem to the subjects under these ?ire;
cumstances is not authorized under existing regulations.
While it maybe true that both individuals have been subjected
to additional finanoial burdens due to the change of circum..
stances, speolftl funds may not be used where the payments
are not appropriate under the regulations.. .
cc:
JSW.mbt
Marrnrignr"."-1
Assistant General Counsel
;t.CREI
;r
25X1A5A1
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20.JUl 104
1. This offico has boon roquostod to give its
opinion on the legality of the provisions of Paragraph -
2 and 3 of the subject ramorandum. Paragraph, 2 provides:.
for distribution of rocommondationa by on IAB momber
and that a voto be taken thereon. Paragraph 3 providos
that recommendations, originating by any IAD' member in
which at loast one othor IAB mombor coneuro, will be
foraardod by the Diroctor of Central intolligenceto
tho National Intolligence Authority, with his comments
and those of other IABnonbor4.
2. On. Paragraph 2.alonoi'thero Is no queation, atv.
the IAD could not porrorm properly Its advisory functions
without the full opportunity to'considor recommendations'
of Its individual moMbors. 'raragraph 2 and 3 taken to+.-:,
gothor, ifTollowod litorally, would comnal the Diroctar'
to submit rocommondationo with. Which?ho Light din-al:mos
to tho N7A, ir two or noro nombors of the IAD concurred.
Proposal of such compulaionroquiroo a roviow or the-
rosponsibilities of the Directorp?and or the functions
of tho Advisory ncard. At prosont those are sot forth
in the Presidential. Directive. of January 22, 1046, a
document which does not havo?statUtory?.authority,.but....;.-
has, upon tho Exocutive Departments, the force and ?Mot-,
or law, and is thorofore, subject to the normal rules of:
statutory intorprotation. Without toing in detail, into
tho legal doctrines of such interprotation,'it may gonora141.,,
ly be said that ?a law, or aimilar directivos.is,taken to
moan exactly what it nays,: end only in the case of complote:
ambiguity, or of facts on which a distorted.construction.
in proposod, is there need to co behind the final docum.
mont in an attempt to dotermino?whother the intent of the
law givonwas other than appears'on:the-fact of tho ddou??
rent. ? ?
. .
?
3. It appears tolme'that the language of the .present
Presidential Directive is clear and now-controversial, and.
it is assumed that tho wording was well considered when
written. Thus, Paragraph 2, statoo that a Central Intelli?X
gonoo ()rot* shall* under the direction of a-Dirootor
Contra]. Intelligonoos assist , tho ETAp and that the _Direetoi,....
shall be responsible to the NIA.. , Paragraph' 3 Li aridT.177
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.. 2 Qb
providoa that aubjoct to the diroetion-and Control of
NIA, the Dirootor shall accomplish the correlation an&
?valuation of intolligonco relating to the national
security, ahall plan for the coordination of the activise, .
tics of the Dopartmonts rolating to national.aocurity and
ahall roconnond to the nationel. Intollipenco Authority' the-
oatab1Linnaut of po1iThT3 and -66,10-at vo to asaur* the.
MI-WI:Toot vo qoop1i rio.nt of the national intelligoneel -
mission. ?
4.: It coons cloar that thee* pararaphs place in the
Director, solo rosponsibility for correlation of
once, coordination of activities and rocommandations to
the NIA. It la obvious that dopartmontal rambers or NIA
act in a dual capacity, and in their capaoity of Departmont
Alonds, mnat givo hood to the rocommondations and wants .or
their roopootive dopartmonts. It aooma equally obvious
? howovor, that when thoy sit an the NIA, their attention
focuses on tho Director alone, for his recommondations on
central Intollii;onco mattors. Any other concept would
anoar to be incompatible with the theory of control intelli
gonoo dovolopcd in the lest tow years, and which Congress. .
has recently approvod. Tho heart of this thoory is placing
on one point the responsibility for foreign intolligonco
affocting the national socurity, in such 4 way that roppOnm.
sibility could not be ohiftod from that spot to .any othor.
agony or croup. To civo a Board authority to octipel re-.
cornondatIons over tho Dirootoris obSootion, would provide
a beat's for ahiftily, rorponcibility from tho Director to .
the :3clard. Uncap as Gomm,. Marshall pointod out recently,
action by a Loard la conorally the action of compromiae,
the responsibility for such action falls nowboro. ?
?
?
S. it appearo that this altuation was clearly roOognited
by the Prosidont in establishing and assigning functions to
the IAB. Paragraph 7, of the Prooldantial Directives_prOvideg
for the menberohip of the Board and states only that the ?
Director shall be advised by Ouch Board. re rind some logal
. interpretation of the word "advice." Blaok's Law Dictionaryi.:
Third Edition 1033, dofinition.of "advice", is "To give an
opinion or counsel, or rocommend.a plan or course of sotion.
It further oitea the following court interpretationsi .
"This term is not synonymous with "persuade" :
tilson v. Stott', 30 Ala, 4137or with.
direct"
direct" or "instruct." Whore a statute'
authorizoo tho trial court. to advise the
jury to acquit, the court has no power
to instruct the jury to aoquit. ? Tho court.
onlTcounl* guld ,the jury are not bound by
Approved For Relea02005/03/15 : CIA-RDP67-01057A0000010001-9
allt 3 ...
the advice. People v. Horn, 70 Cal. 17,
11 P..470. "Advise" imports that it is died.-
oretionary or optional with the person -As-
addressed whether he will act on such advice
or not. State v. Downing, 23 Idaho,
130 P. 461, 462; Brown v. .Brawn,,180 N.C. '
433, 104 S.E. 889, 890."
/t seems clear therefore, that the ,IAB was to have no
direct relationship, as a body, to the NIA, nor is the '
Director, in any way bound by their advice. He will,
however, of course give due consideration to tho merit of e!
its content. Our conclusion is that ostablishment or thel.
procedures in Paragraphs 2 and 3 of the IAB.procoduros,
dated 25 July 1947, would be an unauthorized assumption
by the /AB of responsibility vested in the Director by. -
law. Conversely, agreemont.by the Director to exercise
by the IAB of his recommending functions, would be an
unwarranted divesting of assigned responsibility and,
moreover, would not relieve him of accountability for
results. He might, in such case, be the channel for' '
policy recommendations with which he disagreed, but for
which he would be held responsible.
6. OUr opinion is not changed, and .on the contrary,
in confirmed by consideration of the Uergor Bill, known
as the National Security Act, of 1947. The sections per.;
taming to Central Intelligenco'provide(Sections 105 (d
that it shall be the duty of the agenoy o advise the N.
on intelligence activities of departments and agencied
relative to the national socurity, to make recommondationi.
? to the President through-the N.S.C., for coordination of---
intelligence activities relating to the national securitY-
and to correlate, evaluate, and provide dissemination of :
such intelligence. As emphasized by undorlining.Congress-
uses a mIre positive word than "responsibility" and states'
it shall be the "duty" of the Agency to porform.the functions
outlined. The Head of the Agency is-of course'selely
sponsible for the performance of the Agencytt duties.. This
is completely in accord v7ith the intent of Congress, eXf.,
pressed so often in hearings and, on the floor, that the
Executive Branch, the Legislature,:and:through them the
country, have one place to go for intelligence related.
to the National security, with no ohanoe for.evasion4m ,
excuse by the responsible officer., .
?
7, There is no provision forfthe.IAB in the Aot:an:
it is apparent that the protection -Of departmental in*,
telligence called for in the proviso of sub-paragraph 103
(d) (3) is the responsibility of, the -N.S.C.? By Paragrapb: --
105 (f),- the NIA and MG cease to existo.and In offect,thia
, .
'J'Approveboi: Release 2005/03/.0 :.6st7,1Vp -olo57A000l000loocti-
, ?
Presidential Directive of ..Tanuart 22, 124e, is superseded
and voided by the oxpression or the Will of Congress. '
This, too, was ropeatodly affirmed in hearings and debate
on .the iierger Bill, i.e. that funetions of the &et:tautly.
Branch should be vstablished by Congress, not by- txoeutiVe
ordor. It would appear that prost:intly the lAB hes no Ligol
Status, and if it le to continue to function, it should do:,
so only on direction fmtri the I.S.O.1 as a result or -
request frora, and recoraraandatiOns byi. the Director of
Central Intelligence*
Intelligence to the Intelligence Advisory Board in writing, accompanied "
, .
by copies of such papers or, statements with which the Director of
Central Intelligence mai contemplate accompanying the reeommiendations
upon presentation to the NU. These recommendatiosut will, have attached
'a voting slip providing opportunity fors
s.. concurrence or non-concurrence;
b. ?moment;
C. reqiiest for an IAB meeting to ewe"' oral advicory
Opinion.
Voting slips will be returned to the Secretary* NU,. within seven
working days after receipt. If any Intelligence Advisory Board member?
so requestsoan intelligence Advisory Board meeting Ishii be called ?
promptly by the Director of Central IntelligenCe. If the IAB proposes
to refer the recommendation to a special study groups or Othersiis to
delay the submission of the rcoaMmendation to the Nilo and if the Dir
ector of Central Intelligence considers such delay?ins.dvisableb he &on
give the 115 members seven winicing days for the submission of szq desired
statement of nom-concurrence. She basis of which mill accompany the
recommendation to the NIA. ?
slip providing opportunity fort
Approved For Release 2005/03/15: CIA-RDP67-01057A000100010001-9
concurrence or non?concurrencel
b. comment;
2. request for an IAD meeting.
3. Recommendations vrbich any IAD member may originate and ip *doh
at least one other IAD member concurs mill be forwarded by the Director
of Central Irktelligenos to the DIA. together .with the comments of the,
Director of Central Intelligence end the other IAD members. :.Opporturd.tii
for commentiliiill be in Accord vdth the procedures set forth in pare
above.
.4. An imPlementations envisaged by paragraph 3 a RA %%meth*
Ng. 1 iU be submitted by the Director of Central Intelligence to the
intelligenoe Advisory Board in rriting? accompanied by. e voting
? providing opportunity fors
a, conca.rrenos or non?oonourrence;
. ?
b. comment)
4:11. request for an IAB meeting to empress oral advisor,*
opinion:
Written co:anent by any IAD member* after oonsideration by the Directors
of Central Intelligence* will be filed by the Secretary* ILA mith
file copy of the related implementation. Oral comments mill be
spread on the minutes of the IAD meetings it held. Any irclementation
modifiet by the Director of Central. Intelligence a, the result of IAB.
,
advisory opinion win be distributed by the Secretary, 71ILA to tie IAD*
The deciwion to had mAbsequ.ent.1.0 meetings's, cr. otberdee to delay the
issuance of any proposed. implementation rests with the Director.ot
Central Intelligence.
5. Unless otherwise directed by the VIL, the S?cretar IL'
shall circulate to the IAD copies of all agenda* minnteti deci
and directives approved or issued Ws, or in the natee ot
For Release
Sul)plett Project no, sz:,
-
1. ' Attila-had horcto t2 nemorandun frdn Special :Punch, :$0otiOn
to :-Tv, dated 15 July 19474 through this office, cone nine
subjnct. Attachnd to that r.i.oli4randun- are pertinent vouohori
(1 TrIpors. Xi la pointed aut, that inibloet Projeot -was aotivated
dvring a .portod In ,wadh project :procedures were not Clearly
Ill. Concave:11;17'1A: . ia :not entirely olear_uhat the oonplot4
trr,a or tho -Projoot,wtro snd:what oblieationo were ausupOd ? ?
or4cnitation.:" :
_
. R. The questions involved are itemised by
his nomorandun or 15 July.* and vie ahall -oonment ,on nri in
that orders
(a) Zn vim/ 0: the letter of apPointriant laaned.
io-A1 A-9A
datld 20 Aufaxst 1V4(3, and aoce,ptcdb hirlo thare -
appears to be no question ocncernblfr ualary rate. :
thor, the letter of np pointnant providoa, for annual and,
sick leavo in accordance pith reguIntiona.
(b). - 12-4 is opeolfied in the exoerpta or pr,0040t4 :..,
Atranhod Vapooitil nincls an. 0,4=0.00 (yoarly....4. apprOxiai-
rataly)..' Poravor, thor-a 1 3 ft further notation that
LNI rma to be in accor4onco with regulmtians for' that
arena Alaos tho .1stt2r or cPpoint=nt:providoa for -.:.,
such =notary allow-aloes aa ara:Fronoribad bl' tho
rozulaticins or ara if .FIT-1 is stationed outside the:, .9.
!f 7
oontinantol littits of la United- Stutop.', Thorefore*:, ?,
it appmra thorn 1 5 ft o1cur 1) col obliration to pay
.11vInt and 'quarters ullovanoo in osaordnnee with pro,i, .
visions or Pudget Ciroulti.-. fv4.1.
. . .
_ ? . , . .
(0) Althoetth t1147ro , fp no mention or a tank .rtala
or operational lunil in tlia letter of appoininont _..
a the excl(.,14!:n of_4rojects appraVoa b7- C014,26 f.,
miaate 04000.00 vould be availablo for this-:..,,a*ti49
fist year or tho Proj oot andip.'apooirioally ,4)106.00:: c??]-.- ?
for the :first nix nonths and"4 04 per nonth. there.. ,-.. -? A
after. it appeara.oleor that 0
undorstoOd tholie -:!
rcatriotions.and the anounts a.,.lable, althour:h.... '
they aro not spolloa out in the lottor of appoint... ?20)
ronto indicates that on .a, atAot aoarual
basid. le malinui. available for Illixpondituro ,' '. '. ' '
.-
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?:61
.zizuli 3.04?
under ouch provisions muid bet :.;326.73. It ia pointod,'
out that there ta no specific mention *a whothor or
not tho tank rumls are to be acoounted Lop In accord..
? anon with S`...A1 ror::-.1.1r.tions.or thother a nit t nUocnce YraS
author/d. It iu obvious that any expendii:ure of Speoia
rundu rapt be in necordanco with Sponial ?undn
in ex:Intone? at the tines The amount or data/1 required
in a particular accounting in, .ot.' course, varied to fit
the Cirrezlntsuloon of oath individual cane. It 13 trithixt
tho province or tho 3pec1al rundo Section to accept a
certificate that rocolpts vero not obtalnablo and that
the 11.7201.111t boinr; acoounted lox' was exnonded by the in..
dividual sir:71147 the. cort.ifieate. Mich a certificate
would roquir,) the r_prfroval of the brtneb Thla
Ilrec,4dure in provided for in the .spreinl Amtin
Rocula-
tionn. It in appropriate Where art accountinl cannot
be furntahr.kd in corTleto detail that gonoral Iterai.. ?
cation be ruzdo and the notesnary oertitionto attached
to such en accountIrw, for approval by the branch abler.
Thor e would appear no reason why small a procedure could ,
not be follo1 in this ceso. In any event, there mustcorrplinnoo with the Special Rinds. Ttegulatione, nth
Vlore, ratut. bo an accounting furnished for operational
rondo e.xpondr:d* rhother it be a dotailed'accoUnting with -
rocolite, a gorxoral itenization with neon:nary ce_rtiricatoe.
or a certIficato alone an /rovidod for in tho Spoolal ? .
klinds i?o;;ulatione.
? (d) On the quoutiori of transportation the excerpt
or the rroject provido for t?,G00.00 from the Unitod :3tates
25X1 A6A to I 1 and, in ono copy the word "estimated" is added,
? There in no militia:1 or return czponnon from I to the 25X1A6
? United statea. The lott-r or appointment provides that
25X1A9N I111.11 reinburned for travel expennos in accord..
once with the Standardized Government Travel Regulations*.
Therefore, it is clear that thoro (mists a local alai..
gation to reiriburso p I for oxp !mons of transportati on25A1 A9
?in neeordanco w5.tlx such roulationo? There ? r mans the? '
quontion of approval a: tin increased budgot for this
Proloot to cover the additional expennos involved, ninoe
it appears it won not originally contomplated that
? would bo returned to the Ctatee in the first year. In
addition, there should be a ataterent in the filen that -
25X1A9P:k woo dirootcd to return to tho United Statot. in
o or to antablinh the fact that travel was at the con..
vonionoo or tho Governuent. Wo Boa no question oonoernint
25X1.A9
5.10i5.; dik.131)P67-01057A,000:100019009,-.
the payracnt of par diet% to While in traval. atattuti-VIA9A
since such aXp011803 aro in aceordance 1 th the Travel '
Itogula time ?
(0) The orinal'Proloat apparantl was amended ?' -??
to 1.1. ?vide for the cost shipnn pi personal :25X1APA
25X1A6A0ar to I lp ands thorqrorog such c7ponses are oak
propriate in accordance with, reaulationa,.
Upon camPLtanoe vital the above/ ire too no logalf.oblecticea
to approvttl by ADZ? of reitibursenent or the listed fixpensea.
It its austuted? of actIrse, that the accountings tor travel
expenses mut transportatibfl of autombile are in proper order*.
iTstImbt
25X1A9A
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0)
'1 A.uunt 3.047
r"..virittarat TO Atiurzwafte e71r.7 1111=11.
Subl o t t ?
(
:)mployriont of 25X1A9A
rto rotor to 'Jour nomorandun of 4 Aucust roqueating
n rulin3 25X1A9A
on ?via:me:It or'
eg Until recently* we onnolderwi the I canna 25X1A9A
? diem:deed in tho attached filo9 authority for perrattina
e?ploynont of a ro4Vtlr44 Foroim liorytoo 0rfino3' tntt oontin,
? uth): pavrtont or htn or:qu1t74F 10 aro now infonited that
r tho Oonlral Acoomv.Inc (.1.fZiett hnn nunpontivd the
nr nnntlttion unl-fr otitlaz oirotrIntanonnip sind in
0,11730 to .xwairien Iron the tate rophrtment hub reAmod
a000pt tale Iru3.tn3 an preandont for subsequent 25X1A9A
0G2413.
S. It will be noonnenry to intorn themes, 25X1A9A
rorissi that if ho noatrdt3 ntviovrtont by thin offloo to: nay
0:gpftnt to havo IAD annuity pay ounl.-wancloci no ).on 3 els he in -
ao ervicrjad =loan he in wil2.121/1,on ma to 25X1A9A
oarry woo to t7.* '.:ourt or claimn? suah mit would,
iro believe. have a fair ahanao of gunman. It would bo
enttroly a pert:ma matter for ( Ideoinione ?25X1A9A
***.-w-1711111t7.147717.1771r-*
amoral Counno3. ?
TETI txtbt
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15 August 194t
D IAL ,
oNooim Oppl -9
F(' E:
? Approtior Release 200 3/15 : CIA-R
MEMORA7iDIN FOR ASSISTANT DIRECTOR FOR SPECIAL OPERATIONS e?Or
Subject: Attached File
.1. The Attached file indicates that there is a mis*
understanding of an individual's right to recover from the
Government for injuries and damage, both among individuals
overeema and to some extent, in the administrative offices
in Washington. For a long period employees going overseas
have boon informed that they must get their belongings over'
themselves, and take out insurance on them and that there
is tliorefore, no recourse against the Government. This ts
a correct statement so far as it goes. However, until '
recently, some of the employees have been told that their
belongings would be picked up, packed and shipped by the '
Government warehouse. They wore also told that insurance .
could not be obtained as the Government warehouse could
not be identified to the insurer. It appears that muoh
of the belongings of these employees Was damaged prior to
arrival overseas, and it is claimed that the damage VGA
due to negligonce on the part of the warehouse. This
creates a circumstance outside of the general rule cited
above, since the Government has not permitted them to pro*
coed on their own, and has prevented insurance. Prior to
August 2, 1245, there was no general provision which- per*
mittod the Government to accept and settle Tort claims, i.e.
claims arising out of negligence or misconduct of Govern* -
mont employees. The Tort Claims Act of that date, however,
provides for administrative settlement of such claims against
any agency up to a,000, and for judicial settlement of
claims over that amount, in situations whore the Government,
were it an individual, would .be liable under local law.
Obviously, an individual, if he had been damaged by the act
of a CIG employee, could make claim against GIG under the Act.
In the specific oases herein involved, security would prevent
open consideration of the claims and the facts should not go
outside of OSO.
2. We suggest, as a solution to the problem, that we
prepare a short explanation of the Tort Claims Act, as it
is new and not widely known, and distribute it to all stations,
pointing out that it is obvious, for security reasons, that
any claims made under the Act, be addressed securely to OW .
for consideration.
c 0 F b v IML
/47-.1
Approve4Por Release 2006110/15 : ciA-RdWiosm000l000tilli-
2 so
coNnoarbiL
3. The law authorizes settlement of sudh claims by
the head of the department, or his designee, and we belieVO.
it will be appropriate to have you so designated. The Lot
is retroactive to 1 January 1945, but a time limitation rea
quires that -a elalsc be presented within one (1) year after
it accrues.
4. The above proposal, we believe, will serve to clear ?
up these:past warehouse cases and to establish a pro.permethod.
for handling future oases.
CONOWIRENCE;
25X1 A9A
25X1A6A
Appr lied For Release 2005/03/15 : CIA-RDP67-01057A0 0 oolopoi-9
0 410r.
' Os,
Chief Of Mission
?
J1/7,1'
15 August 194?
Office of General Counsel'
Administrative ss Termination Procedures.
-
Termination of I 25X1A9A
1. Reference is made to the exchance of cables.cOncernin .
Vao above subject r _
I in 25XIA:6C
structed you to have on 1 August and pay him on .25X1A9A
such date three months pay in lieu of estimated accrued leave.
You advised he left 1 August and would be paid ono month's pay
trom data of notice, which apparently was approximately 15 July,
plus accumulated leave of about ninety days. You further state -
that this was in accordance with recently executed employment
contracts. After 'discussing this case with those concerned
hore,it was decided that we should write you this memerandum to
make sure there was no misunderstanding of the proper procedure'
in normal case*.
2. To review a bit, you will recall that I I 25X-1 A9A
wrote you. on 9 May about Letters of Appointment and indicate(
that it would be proper for you to follow in detail the State
.Department procedure and forms for employment of local, personnel.
tO assume that the recently executed employment contracts referred
to above are similar to State's. We do not know the exact pros,.
visions of these contracts and would appreciate a blank form at
your convenience for future reference. The one point we want
to raise concerns the payment of any salary after notice of tare
tination in the ordinary case. If the contract provides for a
30-day bonus upon termination, but does not provide for notice,
the employee may, of course, be terminated at any time and the
30 days pay given to him.
3. if, however, the contract provides merely for 30
days notice, the ordinary interpretation would be that such
Provision is solely for the protection of the employee so that
homey look for another position while continuing to work to the
end of the period. If, for any reason, he stops work during the
30.4ay period, he should be put on leave status immediately:
25X1A6A
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ILO Alp
Page 2
Chief of Itission. . 15 August 1947
a 2 ?
vnder these conditions if notice were given on, say, the 15th
of July and the individual performed no work after 1 Auguati .
he would be paid salary only for the period 15 *July through 1
Augusto For the period 1 August to 15 August, ho would be in ?
leave status, thus reducing the aMonat or abarued loave payable
on termination. We have of course, been informed of the operatic*.
al factors involved in thal !case and acknowledge the need25X1A9A
for special handling. Wo have nowleh to alter your settloment'
of that camis but we should appreciate it if you would have the .
record in his case conform, as nearly As possible, to normal duty
status requirements.
4
As 1 pointed out, if you still have any 25X-1A9A 4
settlements to make with individuals on the baAia of old contracts
or written commitments, you may of courses -settle than in acoord?
anee with the promises made therein. However, we astume you
have now adapted your procedure to that of Stat*, and can 114.10r.
their example In all normal cases. It you have any questions or.
teat more informationg please let us know.
ltPla
Approd For Release 2
03/15 : CIA-RDP 7-01057AORT6001-9.
(4124,1410..42,.-4z,
18 August 1947
? CONFIDENTIAL
auggRANDUK TO CHIP PERSONNEL DIVISION OSO
subjects
6
papers pertaining to 25X1A9A ,
1. We are forwarding to you papers pertaining to 25X1A9A
r 1 a reoent,overseas returns?. Included
I and
are a letter dated. August 11, 1947, from' 25X1A9.A,
a report of physical examination also detect August 11.
2. The cirouMstances Of this case are known to your
office but pertinent points are revtowod horst
? 25X1A9A (a) 1 'went overaoas with a physical defect
. ? of which he know, but which ha did not call to the ? , ?
attention of the Government. Ho was assigned to II
25X 1.A6A
which is well known as one of the least healthful posta:.
? in the world, particularly in connection with digostive
25X1A9A ills. I I aoon reported sick and was ordered to-
5X1A6A e observed physical defeats in the di t
or examination. VI? doctor in I cl roospl)rtetract? 25X1A6A,
but nothing pathologioal which would affect normal
A functions. r---I was than given the choice of return.!.
25X1A9kkina to his, pba; , or of returning to the states at his
own expanse and was informed that in the case of return
here he would be roquirod by the provisions of Public)
Law 000 to rotund to the Oovernmont, the cost of his
transportation to hisoverseas Post. He was also told
that the question of his illness would be reviewed for '. .
possible reference to the Employees, COmpensation Bureau. .
Upon his return, ' 'accepted the charges for his '
UA ""returnas personal, but requested a review of his case
to relieve him of repayment for the costs tol 1 25X1.A6A
(b) Accordingly, he was directed to report for a
physical oxamination to the Hodical Section. You will
note that in - - linterprotation he states
5X1A9A the.cas0 should not be diamissed as being normal or as.
payohosomatio in origin. Ho then states that it Is
possible that the diarrhea could be psyohoaomatio, but
lhad boon stationed or aboutt
that this would remain to be proved. 25X1A9A
did not know whore'
5X1A9Athc living conditiono at his post. I discussed this with
5X1 A9k I and he agreed that it the living conditions
5X1A6A a are as difficult as reported, the chanoes:of
the orrhea being poych000natio in origin were reduced
? in proportion to hardship. All ciroumatatoes takon
togethor therefore, indicate that the illness at post
' was caused by living conditions imposed on a physical
defeat which would not normally impair the health of
the is4IvIdual,
/
Approved For Release 2006)3/15 : CIA-RDP6-01057A000100010001-9
?
25X1A9A 13 August 1947 ?
(e) The point thus raised id important in considering
the application under Public Lau 600, which provides
that in the event an employee violates the 12-months
agreement, his expenses both ways will be a debt due to
the United Otates. The agreement, as set forth in the
law, is to remain in the Government service for 12 mentbso
unless separated for reasons beyond his control. An
effort has been made to discover an authoritative inter*.
protation of the languase "separated for reasons beyond
his control." It is believed that no such interpretw. ?
tion has been made. We are unable, for security reasohei
to process this case to the officials who would normally
rule on such a matter and must handle it internally.
25X1A9A 3.1
was at fault in concealing his defect, which
if known, should have prevented his assignment to such a post
X1A6Aas It would note necessarily however, have prevented
his assignment to 80=4 other overseas post. Whon the condi.*
tion became critical, he was put on notice of alternatives
and made his choice to come home at his own expense. There
can, therefore, be no question of the return costs. In our.
opinion, however, this was not the typo of case contemplated
by congress in enacting Public Law COO.' That Act apparently
was designed to prevent individuals applying for .0ovornmont
employment to an overseas post at Government expense, and '
then leaving withina short time to undertake private interests
or otherwise requesting transportation or transfer for personal
roasonn. In view or the lack of clear authority on this points
we believe it will not be appropriate in this case to apply' "
the language of Public Law 600 to the extent that the expenses
to the overseas post must be considered a debt duo to the
Government. It would be in order therefore, for you to write
Iin answer to his letter of August 11, and inform25X1A9
Iii m that he will not be required to reimburse the Government
for the expanses paid on his travel to his post overseas.
Litlitenj
001
25X1A9A
UnITMOTWIRTNEN.
General Counsel
CONFIDENTIAL
/
Approv
.42.47101t-ii.1npQpit.11101E.00r.:
.20. Auzust 1047)
UEZORANDUU FOR THZ A331: VIE? DUD= ANDHPINANCX Liao
Bubjoat: Salary Parmonts and notiromont
Rofunda in Loyalty tacos
.1. Vo havo only minor conment to M41:0 On tho pro?
p000d lottor roquostinz tho Comptrollor conoral for a
ruling-on pa7r,ont or torminal.losvo and rotirtzlont ro?
.SUnds to amployoos torninatod on th4 ground or roason?
ablo doubt as_to loyalty,
(a) In p v'rr']i1, wo cumgost a chango in
.tho'third sontonco ai-The ground that tho scour..
'ity involvod is not our. normal concopt of 8?0=4..
ity, but is rather for tho protootion of tho
in-
dividual. Wo think it might bo wall also to . ?
. point. out that this case ralsos a gonoral questioa,
ubich wifl control a nuhor of prospective canon. .
on uhich tho Diroctor doniros guidanCo.' Uo suggoat,.
tho sontonso road somewhat as follows:
"Tho nano of the omployoo in onittod from this
letter and tho attschmento.not only for tho pro?
toction or the, individual, but also booms? tho
issuo boro ralsod is cxpoctod to be or conoral
and continuing intoreet Ln actual or contamplat..
'od aimilar ca4os."
?
(b). In th,1 first nenteneo_loftpartr:rth 3, uo
-boliovo fhot wol-a "pl-o-ccur....17177111 pro1:00-016 to
"pro-communistic." Also In that sontonco, unloss
?you uso tho uori "subvorsivon boost= of its 1:20 in,.
come law or roGulationi uo boliovo it is an inenact
-tormuhichmight-bo confusing in future ru1inza.
- A7o ouscest that tho contenco.road as follows:.
. .
wi7hilo it uould appoar that tho atbloot omployos
ms1.7 be pro-communist, and that bar loyalty is
joot to roasonablo doubt, lor viows and audh roanon?..
able doubt do not soom to'conatituto proof of any
? illocal act or or any act.in contravontion of tho?
-lauc and'roculationa eontrolling.paymont of salariOa.-
.and rotiroment-rarunds. -? '
?
- NINO %Oaf '
Approved For,Refeaie.20*(P/1? 00kLi4D
T2
lif
iff
(a) In the second sentence startinr, on e 2.
WO *ZOLA 0 aVO IrPo-oes.z.va.tala 3 pro or 'sa 0
npro.ocazatualstio," an4 in tho? noxt line wo surzoat
changind the wordinz; "within such catocory" to
"within tho catogory of a enspeat on17."
2. These a gastions are for Vino consideration
only and no objootion inmade ..to the lava iteue raised ?
In your proposed lettor?
? ; ?
Approisl For Release 200433/15 : ClATRDP67-019500010001000119
10 7

14 I discussed with' I yesterday the .25.41T*''
problem we rained concerning signatures on vouchers and
other papers pertaining to your office which. according
ons* aro to be signed by Branch Chiefs. Co14,25)(1,0.k
views are vary cleari this matter and are. -
we believe, accurately net forth bolows 4
(a) Whenever regulations require the aignature
or certification of a Vranch Chief* be will himself .
sign the document when he la present or available
within a reasonable time.
(b) If there in a regularly appointed Deputy
Chief in the Branch, he may act for the chief when
the latter in not reasonably available for the
actions required. rorally, only temporary duty .
away from Wnshinr,ten, out of torn leave for a eon,*
adorable period of time* or cover* illness* will
permit action by the Deputy on behalf of the Chief.'
At such time* the Deputy alma in as Acting Chief
and the U30 or this title will conetituto his cortio.
fication that the Chief is not reasonably available.
(o) If there la no Popularly appointed Deputy
Chief* action cermet be ta_on on behalf of the Cbiete
until the Chief of Operations appoints an Acting :
Chief for the Branch. Normally* when any Chia of
Branch leaves for ea extended period, be will =Ally
COP3 who will appoint an Acting Chief for the spool.,
tic period of absence. 'All ouch appointments will
be inevIting and individual appointed will sign .
all neconnary documents as Acting Chief. .
(d) In all cases whore the regulations require'
the signature or approval of the Branch Chief on
docunonte pertaining to fiscal matters* the Individual
signing as Branch Chief or Acting Chiof* will eigm his
name in full. ? clearance on above by initialling
not be acceptable.
Approved For Release 2005/03/15 : CIA-RDP6741057A00010000001-9, ?
o
on these points and we believe that'only such'
prov s one properly fulfill the legal requirementi for
the authorities delegated to Branch Chiefs. We disouss..0
ed withl lwhether a special.
OSO order vres needod and itwas agreed that if these: ?
provisions fitted themselveito the manual now being
pared by your .offices there would be no need for the
special order. .Unleas we hear from you to the ,contrary,
we shall leave these for inclusionin the manual
Approved For Release 2005/0 15 : CIPORDP67-0105*000100010001-9
.21 August .1947
1. Forwarded.herewith are two Copies or the unpUblish'
ad Decision of the Comptroller General, A11s004811 which I die,.
cussed with you on the telephone.
. 2. .This appears to be in direct Opposition toe ',tiling
in 2 C.O. 424, which involved an Army officer. Although no
distinction between the caeca is drawn in the opinion, it
appears that the determining factor nay be the Act of March-A,.
4, 1936, which made leave a legal right of an employe?,
rather than a privilege. This change it discuseed in 10
401, but in connection with a not of facts different from
those in the inatant cape. Thva, while 2. C.O. 424 is not
specifically overruled,in afoot, the same result is accost'
pliehed by this unpUblished decision.
3. The only published decision which has comp to our,
attention, that touches on this point, As 25 C.O. 347, which
applios 16 C.G. 461, to a different set of facts but mentionS...,
the unpublished Decision A...6.481 with approval. The current
rule therefore..scams clear that a person on leave, called.
back for temporary duty on proper authority, end returned to
leave at the and thereof, may be reimbursed for travelLair
expenses both ways.
Appro ed For Release 2005/03/15 : ClArRDP67-01057A000100010001-9
25X1A9A
=ORANDulf FOR
Subjeott Travel Lxponcoe of
25X1A9A
. .
_
1. From your telephone inquiry, 'we undorstand that ?-,--25XT ,
ilO [wee on proper ennual leave, he wee ordered
to return to Waehington, his official station, for tomporary ?
. ?
duty, and allowod to return to his Place of leave on tour
difforont cocas/one. A study of tho publiehod Decisions by
the Comptrollor Ooneral indicated that no rtimbursemont could:
be mado for the travel oxpenees involved. /n certain of the
later. cases, howevor, perticularly 16 C.O. 481, and 25 C.O. i?
347, sono aspocte of the earlier rulings woro qualified in
viow of the provisions of the Act of March 4, 1930, which
transfomled leave of Oovornment omployees from a privilege to
a local right.? Tho cited eases, however, involve temporary.
duty while on leave to placer) other than the official station..
and did not indioato that travel betwoen place of leave and-
tho official duty station would be paid for by the Oovornmente:
0
The unpublished Dceision of the Comptrollor Oonerail
A-30401 does howovor, cloarly overrule the earlier deolaiona
casco. since thia unpublished dociaion is mentioned with '--25X1A9A
concerning circUmstancos similar to thoee in
a?proval in 25 C.O. Z47# wo bolievo.it constitutes the current
ruling of the Comptroller (Ionoral on thin point. .Tho
as stated in the opinion, is '
? l'However, whore the leave is not terminated,
? .the omployoo Is only required to return to
' headquarters for temporary official business,..,....
and than permitted to mount) his loavo otatus?.--
at the place where tholoavo.was interrupted1.
he may be reimbursed for the expeneos of the
round-trip to and from headquarters, not in-
excoss of the loweat first clans fare by rail.
. 3. Wo believe, that whore proporly authorized in ,
advance for the convonionce of the Coavorment, air travel .
nicht now be included in the above ruling'. If those faots.2::5*-A9k
fit the cirelmstancoe of Ij travel, he may be res.
inbursed accordingly. Wo reel hoover, that it should be.
brow;ht to the attention of the adninistratiee officer cona,
cernod, that such rocalle, particularly when repeated, as
In I I case, put the Goveramont to considerable ?addi?25X1A.
oxpouse and should be full,' -justified by.shovinathat
the ronulta required could not be accomplished by telephone,.
?
or correspondoncevOr by dolaying..action until'tbo expiration,.
of leaves ?
cu- .
Approved For Release 2005/03/15 : CIA-RD
UEMORANDU FOR
8Ubjeot:
ip57Aivoloppj0001-9
AllgUO 41.1,411
2 5X1 A 9A
A
Acting Chief, Advisory Council
Protection of Communications Intelligence
cs.10192. :Q40
4.6W4
I. In the proposed version of the Bill tor the Protect..
tion of cryptograph systems'andoommunications intelligences
it is provided that "whoever having obtained or having. had
custody of, access to, or knowledge of (1) any classified
Information * * * old who divulgos it, etc. shall be
punishod.". We fool that this ;lakes the word "classifieds
a-critical point in tho proposed Bill. In defining the
term "aluatt12,4_1azuriampa",? the Bill proposes ephstru-
ing the phrano to mewl information cogre(Eated for purposes
of National security and marked to designate such segrega-
tion, .
2, we have tried to forcoe the attitude of the Courts.
towards language or this typo and believe that clear
cation has boon given by the Suprmle Ceurt in the CASO of
Gorin v. United 5tato3, 312 U.S. 713, 61.3.Ct. A29, at 433,
Tho Gorin case was a criminal prosecution under the Eaoloom-,
OZO ACtp which WAS the words "information respocting the
national defence" and "information relating to the national
defence." Tho defense attemptod to obtain a narrow ruling
of the statute which would specify-that relating to the
"national dofonse" meant just placoa and matoriala speolfled-
in the Act and contended that any extension of this moaning--
would rake the Act un-Constitutional as violative of due
process because of indefiniteness. This Court rejected this
contention and rulod that it was the intent of Congrest to
placo a broad restriction on the wording of the !Wt. The
Court wont on to rule as follows:
lear In each of those sections or the Act'the deourn
ment or othor thing protected In required tlao to be 'cow,
? nectod with' or vrolating to: the nations:I-defense. The
sections are not eimple prohibitions" against obtaining
or delivering to foreign powers information which a
jury may sonsidor relating to national dofense,- If .
this wore the language, it would mod to be tested bj
the inquiry as to whothor it had double maaning-or
? forted anyone, at his poril, to speculate as. to whether-.
certain actions violated the statute. This Court has.
Approved For Release 2005/03/15 : dIA-6P57-01057A00045010001-9
C.
24. Protection of Clumunications Intelligence 29 Aug 1947
frequently held criminal laws doomed to violate these ,
tosts invalid. United 3tates v. Cohen Crocor7 Company,
urged as a procedont by petitioner, points out that the
statute them under consideration forbade no.spocific ?
acts that it really punished actu fdetrimontal to_the
public interest whoa unjust and unroasonablo! in a jury's
view. In Lanzotta v. Now Jorsoy the statute was equally.:
vague. 'Any person not eni7c.cod in any lawful occupations ,
known to be a mombor of any an * * *$ who has boon con.-,
victod.at loaat throo timoS of being.a disordorly person or
who has been convicted of any crimo in this or in any other
states is declared to bo a gangeter * * *.1 We there said
that the statute foondorns,no act or omission'; that the
vagueness is such'as to violate due process.
" - g But wo find no .uncertainty in this statute
which aeprivea a person of the ability to prodotemtine
whether a contomplatod action is criminal under the pro..
visions. of thin law. Tho obvious dolimiting words in the.
statute are theta(' requiring 'intent or reason to beliove
that the information to bo obtained is to be used to the I .
injury of tho United 3tatoss or to the advantage of any
foreign nation.' This requires those prosecuted to have
acted in bad faith. Tho sanctions apply only when acienter.- '
is ontabliahod. Whero there is no occasion for tiocrocys
as with reports rolating to national defenses published by _
authority of Congrona or the military departments, there cans
of coursos in all lilxlihood be no reasonable intent to give .
an advantage to a foroign covernment. Finally, we are of .
the view that the use of the words 'national dofonsot has
given thorn, as here employods a roll understood connotation*
They wore used in the Defense Sccrets act of. 1911. Tho A
traditional concopt of war as a struggle between nations iS
not changed by the intensity. of support givon to the armed
forces by civilians or the extension of the combat area. -
National defenses the Government maintains, lis a generic
concopt of broad connotations, referring to the military
and naval establishmonts and the related activities of .
national preparednees.1 We agree that the words 'nation.- --
al defense' in the Espionago Act carry that moaning.
whether a document or report is covered by section 1 (b)
or 2 (a) dopends upon.their relation to the national defenses':
as so defined, not upon their connection with places apeoi_
fled in section I (a). ,Tho language employod appears eurfi,
ciently definite to apprise the public or prohibited activi
ties and is consonant with due proses/W.
r
Approved Fosoelease 2005/03/1 CIA7RDP67-010574000109010001-9
3. You will note that the Court appears to make the
essential element "scienter" or "intent or reason to -
believe that the information to be obtained is to be used
to the injury or the United States, or to the advantage
or any foreign nation." (Incidentally, the Court speciri.. ?
?illy points out that no distinction is made, between friend
or enony.) This loads us to suggest that you reconsider -
the wording of your proposed Eill'which now provides in
effect that "whoever shall communicate, furnish, transmits
or allow to be communicated to. a person not authorized"
shall be punished, etc. Perhaps language similar to that
in the Espionage Act concerning "intent or roason to '
believe" should be used. In anycase, we believe that tho-
us(' of "classified inrormatian might invalidate the whole
.Bill on the roasoning used in the Gorin case, that since
the classification was an administrative act it would fore* :
a person, at his peril, to speculate at to whether :certain:-
, .
actions violated the statute..
,
1. The above olati has boon, referred to this office for
consideration of the legality of payment. . We are requeStia
ing your commentx in view or the feat that two members of
your office are personally affected. I, an ,', -.25X-1,9k9A
officer of Special Funds-Diviniong.050, but legally respan4b.'
nible an a cortifying officer to the Dirootor# has boon :
preeented with an approved voucher in the amount of $670.700.
According to the written record before himp.there is no '-
legal basin for the major portion of this payment. If h?
made payment under these circumstances, he would be person4,:
ally liable for any portion not supported by the record.:
25X1 A9A1 1 an officer of FM, originated a memorandum of
4 3aptember, which is the turning point of the cane as
statod in the record. If I report is accurate, 25)(1A9A
thoro is no basin whatever ror payment of per diem. to: 25X1A9k. -
after July 3# 1947. .
2. Tho facts as prosentod by the records are briefly as.
P. 1
25X1A9A follows t was oronerly auth9rized to come to "-
Washincton from _ talifornia# by tele
25)(i1A9ACrarar from the Chief, Personnel Procurement Sections dated
13 June and 17 July 1947. He arrived in Washington on 29
Juno and was interviewed and given an introduction course
on 30 June and 1 July. On 3 July, Chief, Porso
sion, OSO# recommonded that rather than return
to California, he be allowecito.remain in washing on a
per diem banis. On that same days the Executive Officers-,
OSO, advised the Personnel Division to send him home to
California. FBZ now states in its momorandUm of 4 Septenia-.,.,,?,?,?
bar, that I was told by telephone from the Personne14,PA9-N.W'A
i25X
Division that the request for per diem had been disallowed.
11A9A1.
lthen telephonedi I and told him he could.2W/7W17\-
not remain in Washington at Government expense. This was
repeated in a personal interview oneither the .3rd or 7th25X1A9A,
5)41A9Aor :07. I Istates thatI 1 understood he
would not get any per diem and that proposed to 25.)(1,0A"
stay in Washington at his own expense.
I
Approved For Release 201)4/03715 : CIA-RDP.67-01057A000100010001-9
3. If the facts drawn from the record, and set forth above,. .?
aro accurate, any payment to for time spent in 25K1'A9k
Washington after 3 July, would be a more gratuity, and don*
sequently illegal, no matter what Government funde would be ?i%)
used. The voucher now presented to for cortifica- 410A9i.ok
tion, provides for 77 days per diem from 22 June to 6 Septem*-'
bor. This voucher, approved by the appropriate officer, is
therefore, in direct contravention or the record. It is Our
understanding that the voucher was approved in response to ,
oral direction from the Executive for A & M. It is reported,
to be based on an earlier commitment Made by an officer of-
FBZ in a personal letter to 1 I which commitmenti. the25X1A9A
Director wishes to honor.- We have not had any such comoit*
ment brought to our attention, nor are we aware that the.
individual purported to have made the commitment wae.author,p-
ited to do so. On the information now at hand, it appear,
that the later official notifications to I would 25)0A9A
supersede the alleged commitment. -
4. Unless, therefore, evidence not now appearing in the
record is produced, which clearly controverts the facts '
stated by MD the proposed paymentsfram4uly 4 to September
6, or per diem, are illegal and beyond the authority, oveni
of the Director, to approve.. Under the.present circumstances,
it is our. duty to bring our opinion in this matter to the
Director's attention.
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0 Approve or Release 2005e 5 : CIA-Rpft501057A000100010 01-9;
. . ?
I.
15 September 1947
4'1
ITMOHARDUM FOR EXECUTIVE FOR AMINISTRATION 4 gAMAGIMENT.
5ubjectt CIG Property Regulations
1. Reforomce is made to CIG Memorandum No. 4 dated
11 February 1947 and CIG Memoranduci No. 61 dated 4 Septem-
ber 1947. McnorandUm No. 4 in coneornod with socountabillty
and roiponsibility for proporty. and Memorandum No. Al cow..
corns the Property Zurvey Board.
21, At the time the abovo!-montionad memoranda were being
drafted, this offices dicousaol thoir provisions with.persont
concerned, namely. rrocedures Unit. :roporty Control Soction.. 7.
and the 1:xocutIve for PorSonnol and Adminintration. Wo then
pointtd out that in cztablisl'in a Property.3urvo7 roard ft
delocation of authority by tIle Director to the Board would be
neooesary to empower the roard to tale final action for the ,
detoluination of pecuniary liability, or roller tram reaPonst..:
bility, of individuala concerned with the loos, damaco, dark,.
trIction and theft or Goverment proparty.. Also, it was ?.
pointed out that it would bo necessary for the than Zxecutive-.:
for P&A to bo authorized by the Director. CIO to proscribe? '
rulas and rogulations concernirt proporty accountability and .
rosponsibility. Tho above is based in part on the provisions'
of 31 U.S.C.A. 09-92. Those sections proscribe, in generals
for property roturns..and cortificatee An to lost property. '
and specifically enpowar the hods of the several departments%
of the GoVernmont to make and enforce regulations concerning ;
Ouvernntynt property in order to carry out the provisions a 7
Zostions 69-92..
? 3. The matter of including such delesations in an mp
6
propriate Order was discuss pith ed pii then-25)(yyp
1-xeoutivo for ./41A, by thin offico. He concurred in such views: -
Accordingly, a draft of a proposed Order establishing the
Proporty Survoy Board Wan propured.by the .Procedures unity
and after concurroncetvworo obtained, including this ?trice',
it was forwarded to the ,f.xoeutivo for 1),!!A for publishing..
For some roason. the Order, as proparod. 'was nevor issued. .
4. It in the opinion or this office that the Property
nurvey Doard# as catablished by CIG remorindum No. 81, localr
does not have final authority to determine pecuniary liability*
or relief from rooponsibility, or cinployees of CITfor:lose,
dao, 4oatructionst or theft or Govormont property. It ia
felt, that if an eAployeo were-chargod with pecuniary
and contested ouch charges there would be no legal basis on
which such t ahem* (toad be onfOrced.:- Furthoroit is quite:
/73
h.
0 Approvedar Release 20051(05 : CIA-RDP6781057A000100010061-9
R?nxsoutive for A M 16 SepteMber 1947.
possible that if the lloard relieved en individual froM.re-
sponsibility, the Gonoral Accounting. Officer couldtako except.'
ion to such relief on the round that authority no to relieVe
rests with tho Director and until properly delegate4 by the
Dirootor rests only with him. The establishment of a Board
with the above-mentioned authorities over the signature of the
Executive for A & Li although signing For the Director of
Central intelligence does* not Censtituto a valid delegation:
of authority to the Board.
5. It in mew:mended that an appropriate Order be pre.'
pared for si&naturo by the Director* CIO delegating necesoarr
authorities to the Lxocutive for A & 1.1 and to the Property
Survey roard. There is enolosed, for your consideration, a
draft of a proposed rier.orandurt which we feel will satisfy the
legal requirements.
G. te fool that this office could better perform its
function of forootalling legal difficUlties of the typo here
involved by being given an opportunity to review final drafts
of dommonts profit:intim; possible legal questions, bofore pub-'
lication. We shall be plf3esed to help device a procedure for
obtaining the concurrence of this office on all publicatione
before oignature without unduo delay.
7. To clarify one other point* it is our understanding
that the Diroctor has authorized the AMA to excreta? complote .
control over all 030 operations overseas, including personnel,
property*.and financoo. 14o feel that underthis authorisation -
there is incorrect a doIcrAtion of authority to AD30 to estab3.1412..
property regulations to cover all 030 proporty overoeas. This
is in accordance with the specific) exceptions in CIO Uemo ro. 4,
and would relieve your staff of responsibility ands accountability.
for such property. Consequently, 030 need not report orover?.
seas inventories to the CIO property officer and may authoricO
its own survey procedures. After discussion with the ADSO, it
is suggested that OW issue an order establishing its Property
Survey Board to consist of 4 representative frms the office of.
the Executive for I it Sp the Assistant General Counsel, end the:
03.0 Property Officer. Sueh a Board would provide two disinterest?
ed member* without violating security. -
? By virtue of the authority vested in ail GUI Director of
Central Intelligente, it ie directed thatt
-A. The authority to prescribe rules end regu1aiu
tions governing, (1) control of Government property in posoi'
session of CIO employees. (2)property accountability, and
(3). property responeibillty, is hereby delegated to the'
Executive for Administration and Uanagement.
:b. The authority ia hereby delegated to the
Preporty Survey Board to take final action to
(1) Determine the pecuniary liability, or
relief from responsibility, of any employee of CIO
tar the lows, damage, destrUetion, or theft of ?
Government property for which CIO is responsiblW
(2) Direct disposition or destruction Of. uflim:.
serviceable and obaolete property in the custody.
of GIO; and ?
(3) Direct ultineti'disposition of property
worn out throuzh fair wear and tear or otherwise:
rendered unserviceable or-obsolete in the serviect
of the Government without fault or neglect on the.'"'
:part of any individual and relieve the individual.
. concerned of responsibility.andfor accountabilitr.?
? therefor, or where there is evidence that such_
property may have bon rendered unserviceable throigh'.
fault or neglect on the part otonY CIO omPloittoif.
.:dotermino pecuniary responsibility ef such omployetl.:;*
25X1 Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
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0 Approved ForRelease.2005/0
0
cnr=-P, 1ttHr1471.AND.PINAUO7 mAraa
Executive for Administration and
Sub3oott CIA
The Medical services of CIA an presently constituted eppear ?
to serve in a dual capacity. The .authority and nature Of duties
-
of each are discussed separately below*
(1) The clinic in staffed rith Army medic41
officers and enlisted nen assigned to CIA by the War
Department. t;uah acsirrrnalt appears to be authorized ? ? ;
by 10 U.3.c.A. 94, pernitting'assimment to "inteh duties
as the interests of the service nay demand". Seotion
90 or the same Titlo provides that medical officers
shall attend the families of officers and soldiers ?
fr-o of charo "vhenever practicable". It would appear
to he clearly vithin the administrative authority of.
this Ac:ency to determine that 'Army personnel and their
families be treated at the clinic. This* however* is:- ?
purely under ',lir :epartmont authorization* and the .
free service and attendance is an obligation imposed an.
the War Dopartnent by law, Consequently*. in. our opinion*
there should be no. obli-,ation on the part of CIA to '
furnish sorvices,-supplies. or equipment to treat
? 71t1l1=2: personnel and their.fanilies.
(2) Public Law 050* 79th Cont:ress* 2nd Session* .
approved 0 AurNst 1940, authorizes agencies to establish:.
health service prorans vhioh shall bo limited to the''
treatr:ent of on-the-job-iliness and dental conditions
rcquirinr, onerf;oney attention* physical -ezaminations*
referral to private practitioners* and preventive pro...-?
crams. Such health prorans are for the benefit of -
civilian enployees of the aceney concerned only and ?
must have the approval of the Public, Health Service., ?
On 23 July 1947, the :'ublic Health Sorvioe.npproved ?the
existing temporary energeney health pros m for the. -.
fiscal year 1940 for budr.atery pu. epos only. ? The two?
medical officers on dutyhavelbeon.dos ;noted as Public -
-Health Officers for cortain,purposes. .o.have*.therefore
a tentative and teporary approval for furnishing services*
equipment* and supplies for civilian enployeos rithih the:.
restrictions applied by Public Law 650..-Of,coUrse, vhers:
facilities and services available under the civilian 7.
, r
Approved For Release 2005/03/1 CI -RD.P07,--01057A09100010(i01
prouram can be used at no coat to CIA for the militar7
program, they nay be ea used, but equipment or supplies .
designed solely for the military program say not legally-
- be charged to the appropriationn for the oivilien program.
It is felt that administrative action ahould betaken to
ensure a !gear division of funetiona in the medioal services
to provide for proper procurement of stippliea the one from
the War Departnent and the other through purohane or other
acquisition by CIA. Of coursev there may be certain .supiaiest
or equipment of a medical nature ,required for the specialized
operations of CIA which may be properly chargeable to its?rtuida*"
These should be considered on an 3.ndopondont basis as. they aria*:
Approved FoRelease 40/0 olk-Rop67-O s57.A0001o7
r T01111170111 MY? T Dirrtim
Subjosti CIA Authority to rerforM Fropacanaa and
Gormand? Type runctioris
1. Attached is a detailed opinion which reaches the
conclusion that CIA?1 ac no utatutor authorit to . t
Tt.r). or f:;.0. work or to r)* end rands in support of- such Wait,
It is pointed out, however, that as part of its authorized
Amotions CIA necui Mil m rit-? e'reivrieb 4. 4 ? __
2. Under present authority, thoreforop the CIA. function,
woull be to supply such inrbmation to the WIC or other policre
making +7oup and to assist intolligtunce wise the implementation
of tho polio' or wIlatever polio/ ahou34 be established.
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Approved r 'Release 2005/0
TIEUORANDUM Pon' 7M':CUTIVT: FOR MS
Subject: Roloane or Disclosure of Classified or Uhd?
classified CIA Intelligenoe or Information
to the donryess of the United Staten
1. Concur as to legal aspecta bit have a couple of
suggestions -for possible consideration, even though it may
not be my plaoo to make then: . ?
(6) An attempt should be rade to have inquiries.
from Congress put in writing,-whero'possible. This
discouragos casual and unneoeasary inquiry, gives
time to consider tho information, and prevents Salads
vertent disclosure which often.occUrs in oral diaeus,.,.
aion.
? (b) Paragraph 3a provides for all roquests to
go to CCD. Paragraplitb providos for coordination ",
of requests for intelliTionce information with the
LW. I have no objoction but am merely somewhat
confused as to what is intended, but expect that.
OCD and the LLO can clIrtfy it.
(a) In paragraph 5a, / should prefer to nee
the addition of the
and "authorization". "authorization". There aro several reasons..
Oral clearance night be al/timed whoro.thore vas.
no intention to give iti.but the words wore misunder.:t.
stood. It might .be necessary to qualify an authori.
zation, and the precise qualification could be
down in writing to restrict the employe? or,-if
necessary, to aid him stall off pressureduring an
interrogation. Also, if the enployee.exceeded orY
varied the tomb of his authorization, the written
record would be available for administrative action.H
In MDO cases, it would be ?asp to submit a written!:
authorization along with the rim's recommendation',-
? '- %NI .
Approved For Release 2005/03/15 :,'CFA-RpFP.67-0.105.7A00010.0010001,9,-,"%
Executive for MS '
3. October 1947
to the Director. In ortergenolea* of course
could waive tilts requirement. ,
Nee
? ?. ? .,
Approved For Release 2005/0305 CIA:RDP67-01057.A
q,c4iVer9
Mid ORAN= FOR EXECUTIVE FOR AMIVISTRATION & MANAGEKENT
? Subject: rTIITIILIJ 25X1 A9A
1. We have gone over this case carefully' and find
there is' little discrepancy in the facts -stated by ',6)4/$91?
and the record obtained within the .office. It is clear ? .
that he was notified or the decision not to allow any
per diem 'after 3 July.
2. I attemptod to find justification in the facts .
for allowance of my payments after that tire. I was
unable to discover any circumstances which would support
the legality of further per diem payments, I brought
instructed to write that only those payments these conclusions to the Dire tor's attention and was ,,,,160;;A?
ariaing out of the commitment would be made.
therefore, drafted the attached letter, Which. I fee
sets forth the basis for final settlement with
? 3.. Unless you have further 'comment or auggestion,
would you please arrange for the preparation of an a
propriate voucher to accompany this letter to
If he. signs and returns its we can. arrange . for an imw
mediate payment and the travel :advance, if necessary.
It is quite possible, of courses that there will be ...-
further outside repercussions, and X. shall be pleased::
to accept any inquiries, you...may,,wish to refer to this,,-,
office. .
? Approved or Release _2005/Q
15 CIA-RIDP67-01057A01001200010001-9
25i9Pk6 ?
Since our discussion of your case on 13 September'
? 1947, we have investigated further the circumstances '
within the organization. The results are substantial*
- in accordance with the facts presented by you. Based
on such facts, we have reviewed the circumstances in
an effort to determine what may properly be allowed you -
for the cost of transportation and allowanoes.
We can find no provision of law or regulation
which would. permit the legal expenditure of Govern-
ment funds to pay allowances for any of the period
after 3 July, when you were notified that further per.:
diem was not authorized. You are, therefore, at present '
entitled to the cost of transportation from
California to Washington, P. C. and for per d1.em from -
1030 p.m. 22 June through the entire day of 3 July. '
The voucher has been prepared to cover this payment.
and if you will sign this voucher in the proper place
and return it to this office, you will be reimbursed
Immediately. If, on this termination of your relations
with CIG, you return to California, you will be-entitled
to the coat of transportation,and per diem .for such -
journey. If this is your intention, .you may at the '
time you return the enclosed voucher apply for a travel
advance to cover your expenses And the per diem for the ,
days of travel. It is our understanding, however, that
you are now employed In Washington', and if you intend '
to continue in such Occupation, you ,would thereby waive
any claim for reimbursement for the return' trip to yaw
home at the expense of this Ageney.- Please notify us
of your deoieion in this matter tt the time you return'.'
the reimbursement %vOuChers_ '
"4". tit' ? Nair '? ; ?
.Approved For R?a 24O5IO3I15 :::6.1A-ki3P0:11107A406,1*00100(.11,
?
? 3 October ,I947
The case of j in being eatistaotorill
settled, tuid final paymonts.tire being arranged..
? side problem has arisen frori the following factit,
While waiting far word ? from Cloy Mr? .
25X9k5,
applied tor uncmplertent ccrripontiation.
and actually roceived soro checks. tPon
the understanding that ho Would be paid per
- diem for the period ho was Waiting here, he
roturnod these checks to Ziociai. Security.
Ho vrill now apply for miaow) on the basis
of his mistaken understanding. ? " ;P.` -
He nay call this office for oiaistance.. If such.tt
'request comes to your attention, I fool we -should do
whatever wo can to assist him in obtaining reisistionoe.;?'
of the tirlelliplarlent compensation -checks.
?
UNHAND= or LEW
I. Congressionel immunity for itatectents made in Congress.:
Article 14 16 of the COStitutian states In regard to
Senators and Representatives. that:
"...for any Speech or D4bite in either Rouse, they
. shall not be questioned in .way. other Place." .
In the case of Cochran v. Couiens 42 7 (20 783 (Court
of Appeals* District of Coibia,13Oj oert..den. 282 U.S. 874)
it was held that this provision was groUnded on public policy
and should be liberally conetrue& In this case, the plaintiff..
charged Senator Cousens of Michigan with uttering defenatary swords
in a speech= the Senate floor. Ina:much as the speech vu made
on the Senate floor, awls hold to be absolutely privileged and .
not subject to "be questioned in any other place." The averment -
that the words were not spoken in the discharge of the Senator's
official duties was held to be entirely qualified Uf the averment
that they were uttered In the course of a speech on the Senate ?
floor. In this connotation, the court stated (Robb, J, it p. 784).
"It is manifest that the framers of the Constitution .
were of the view that it would best serve the inter-
ests of all the people if members of the Rouse and
Senate were permitted unlimited freedom in speeches
or debates. The provision to that end is, therefore,
grounded on public policy, and should be 1Voarilly
construed.'
005/03/
1H
I '1,--5.*?' ? 0,1 11:11
fi t
t`
;
1;
I "
f
7 Ostober 1947, '
?
The court in the Cousees case, ?.a, held that the ease.
of Kilbourn v. Thompson, 103 U.S. 2.68 ( ;1?)mas controlling.' ?
In Maiiirse, the question ati.osuemas whether aresolntion
offered by a Member of Congress is a speech or debate within the
mmening of Artie,* 1, 06, and Whether the report made to the Rouse
and the vote in favor Of a resolution are mithin its prot.ctios.-
In this connection, the Court (per*. JustioelMller) state& .
*It would be a narrow vire of the Constitutional
provision to limit it to words spoken in debate. .
The reason or the rule 1,4415 forcible in its opui
plioation to written reports presented in that
body by its oassittees,.to.resolutions offered,. -
which, though in writing, must be reproduced in
speech, and to the set of voting...In short, to
things generally done in a cession at the Rosso
by one of its members in zolatitze t ? the
sass betas it.0 (at p. 201).
?
4.
of: TA'
APriTiablectfteragNiarliagERNAh
Article 1, 06 of the :Constitution, it would appear incontrover-
'tibia that any Member may rake anr 'Lament he desires on the
floor of the Congress or in ohs of its comeittoes. Such state..
munitshail be absolutely privileged, notwithatanding that it 'was
based on information secured fro* classified Central Intelligent*
Agency materiel either furnished the Member in confidence or cow.
taining any restrictive notice as to use or dissemination. Ibis -
privilege would operate if the Amber were to :with* informer
tion verbatim into the record on the floor or into the record of
hearings before a Congressional Camaittee. It would still be
? privileged when it appeared, varbatis, in the Congressional
? "word or in the published hearings of a Congressional Committee.
, From the above, it is apparent that, while phrattes calling
attention to sections of the espionage laws might serve as a
warning to conscientious legislators, they have no force and
effect in the above connection.
eau-tr.eve eve vv.
? 41.
Scant comfort can be gained from diets in the CoUsens, ,
,
ease, supra, which statest
nresumably legislators will. be restrained in the ,
exercise of such a privilege by the rponsibiLities .
' of their office. Moreover, in the event of their ?
failure in that regard, they will be subject to.
discipline by their colleagues. Article 116.' -
(at p. 764).
I. Congressional immunity for statements made outside of Congress.
!bile the privileges and immunities outlined is Point Is,
above, extend to things generally done in a session of the HauseAt
by OW of its Members in relation to the business before it,'?
they do not appear to extend to the activities of the Malabar* ?
of both Hewes when not in session. Thus, it would not be proper,
for a Member to circulate CIA documents to his cematituents, to
the press, or by reading to a meeting or over& pro-
viding
the proposed notices or limitation* had been brought hese-,
to the Member by pristing on the copies. Failure to observe the,Y
limitation in this connection Mould tell take the limber liable
forprosecution under the espionage lens.
This point was touched upon in the celebrated ease of
Long w. Ansel", 60 7 (2d) 386 (Court of Appeali of the rdatriot
of Columbia, 1934) which was an action, by Senator Huey Long or. '
Louisiana, to quash a service of process upon him in a libel mitt.'
Senator Long uttered the libel in a 'speech on the floor. Followi,
jug this, however, he sent the defetatorymatter. to Louleismain
the form of reprints of the Congressional. Record. In dicta', ,
(which was not referred to by the Supreme Court in affirming.the-
decision, 293 U.S. 76.(l934)), Van Credal, J., stated!.
Mile the published articles Imre in pert .reproa
ductiOns of the 'speech, the offense .,consists not in.:
.bat was said in the Senate, but in the publication
and circularizing ,of the libelous deenneents. (at p. 3 ?
.4?10".19.
?
N.? 194
III. Immunity of rembers of Congress from arrest or service .
Of process,
' Article 1, 66 of the Conatitutim states in regard to
Senators end Representatives that*
"They shall in all Cases, except Treason, Felo4r
and Breach of the Peace, be privileged fromarrest.':
during their Attendance at the Session of their
respective Houses, and in going to and returning
from the same."
.? It is apparent that the expreeeion otreason,
'excepts from the operation of the privilege all criminal oftensesj,
the privilege applies only to arrests in civil suits. It does,'
not include immunitr from service of process in civil or
criminal Cans.
??
This is supported hy the cue of Long v. An:sell 293 U.3.
76 (1934), which was brought. by Senator Huey Long 0 quash ser-
vice of summons upon him in a libel action. Senator Long con-
tended that the Constitution confers upon every Member of .Con- ?
Cress, while in attendance within the District immunity' in civil.cases not only from arrest, but also from service of prowls..
Mr. Justice Brandeis stated thats
sHeither the Senate, nor the Rouse of BaPresentativue,
has ever asserted such a claim in behalf of its mem- ''?
bare. Clause 1 defines the extent of the Immunity.
Its language is exact and leaves no reaM.for.a con-
struction which would extend the privilege beyond thaterms
of the grant.... History confirms the conclusion that
the immunity is limited to arrest then the Constim
tution was adopted, arrests in civil suits were
common in America. It is only to such arreets that
the prbvision applies." (at p. 32).
. In support of this, the Court in the Long case cited ,
, Williamson v. United States, 207 U.S. 425 (l.9oJ. This case in..,
volved an objection taken bi altember of Congress that ha cannot
be sentenced during his term of office on the ground that it
would interfere with his Constitutional privilege from arrest
Mr. Justice White stated' I
"... It follows that the terms treason, felony and
breach of the peace, as used in the Constitutional'
privision relied upon, excepts from the operation
? of the privilege all criminal offenses,. the conclu-
sion results that the claim of privilege of exemp-
tion from arrest and sentence was without merit.
(at p. 446).
From this it wcald appear that should a Member commit
a crime under the conditions set forth in Point II above, he?
would be liable to service of process) arrest) sapresecuticiW
This 'AU strt4n17 make him liable under the espionage lass... ,
For this reason) therefore) it is felt that a -Member should'be
put on notice when in receipt of CIA material) that unsxrtborised
disclosure would sake him liable to prosecution under ths.?, '
espionage law.
e Approved Fodelease 2005/03/16CIA-RpP67701 57A0001opolopoi.9.,..
OotOber 1947
MlatOitANDDI na THE GENERAL COUNSEL
Subject: Congressional Privilege and Immunity.
1, The Executive for Inspection and Security (in draft,
memorandum, dated 30 September 1947, subject: Release or
closure of Classified or Unolassified CIA Intelligence or
I'ormation to the Congress of the United States) has suggested
, (par.:4(f) of reference memorandum) that all. classified mater..
. dal released to a Member of Congress carry appropriate caution."
.ary.aotices to preclude unauthorized dissemination. Phrases sug
gested in reference memorandum include:
(a) "This document is furnished for use of the
recipient only. Reproduction, quotation,
further
-
further dissemination is not authorized with-
out specific authority of the Director of
Central Intelligence."
(b) "This doeument contains information affecting
the national defense of the United States vidthin
the meaning of the Espionage /tot, 50 USC 31 and
' 32, as amended. Its transmission or the revels....
tion of its contents in auy manner to an unau-
thorized person is prohibited by law."
.The following conclusions are reached:
,, (a) Any' MeMber of Congress nay make any statement hs
? desires on the floor of the Congress or in one
.of its committees. This statement may be reprinted
in the Congressional Record or in committee hearing*
' ?
(b) Such a statementA.s absolutely privileged, regard..: .
less of whether the statement includes classified
CIA material or not, and regardless of any word*
of limitation .ehich may accompany the material.
:(0) Use of classified CIA material tor speeches or
writings outside of Congress (Press, radio publics
addressee, etc.) is not a privileged use, radio, publics.
en:Wm:A Member to prosecution under the espionage
(d) Constitutional immunity will not protect a MeMber.:
from prosecution for commission of s. felony., pro.":,
vided it does not comewithinthe terms of:para:
graph 2 (a), above.-, '
,
(e) That prosecution of alteMbei for tmeuthOrized
disclosure of classified CIA material is vera
'
.3.
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
The following recommendations are made:
(a) The proposed phraseology in paragraph 1 (b), in ? .
? preferable and should adcompamy all documnts cis.-
sified higher than RESTRICTED when transmitted to
the Congress.
(b) Whenever possible, i'rhen CIA intelligence materia
? of classification higher than =maw is trans-
, mitted to a libmberii it should be explained to the
Member that the material is classified and that
unauthorised disclosure would be, unfortunate in
;the interests of national security.
L. Pforshelmer
14
-
Appiroved or lelease 2005103/ p tiA,Rpp67.--olo7Aooploogio,oco-
,
!IFITORAVDUlt FOR TM. WMUTIV17. S'
:subject: .CongresSional Inquirtea
?
1. Wo refer to your memorandum. dated 30 September .4044.
' Release of Information to Congress. 'Paragraph 4(f) of that:'::
memorandum suggests that classified-Material-carry an
propriate precautionary notice to preclude further unauthori-
zed dissemination. the two phrases suggested were: .
(a) This document isfurnidhed for use of the-
recipient only. Reproduction,:ouotation, or further
dissemination is not authorized without spear/6 au?
thority of the Director of Central Intelligence.
(b) This document contains information affecting.
the national defense of the United States within the-7 '
meaning of the Uspionago Act, 50 usa 31 and 32, as
amended. .Ita transmission or the revelation of its
contents in any manner to an unauthorized person IS
prohibited by law.
The question has now arisen whether either of these warnings
would have any offoot in view of the Congressman's constitu..
tional innunity from responsibility for his. statements. .A
review or the law indicates that this 'Immunity Is absolUte,
when the statenents are nndo on the floor of the liouseor-
Senate and extends to publication of tha congressional Repord-s,
or the published hearings of the Congressional Committee.: _Under,
such circumstances, any warning would merely put the legislator
on notice with the nature or the information, but in no way
binding. In such oases, disciplinary action could be.talcon-
only by his fellow Congressmen. '
2. In the case of disclosureS made by Cangressnen-out
sid4sof Congress, the immunity would'not:apply.- )!embers of
Congress are subject to prosecution in the same manner as-
other private citizens. Consequently, 4 warning would be of'
real weight in precluding unauthorized disclosures outside ,
of Congress.
?-3. 'Under the dirctinstanoos.7it is :atm feeling that the.,
form. Bet forth in (b) abovels'prefornble,and.more ofrootProo,*
? Approved For Release 2005/03M : CIA-RDP67-01057A0901,0001000.19:
?
Pzcocutive for I & S.
In any case, we have in our experience in the pt round
eueh a statement printed or stampod.noticoably on doctmcnts
going outaide the Agency m? noticeably effective iWth*.scare
ful handling of information by the reed/Amt.:-
111,--
Ark Approved For Release 2005/03/15 : 40,4744.000100010001-9
gfr'
ubjeet Naturalization?of Aliens
alien wife of an American citizen. whom the
weddin4 7 or no.t.nrulizaticn of the huaband is after 1 .7anuary,
141, nut nOMLL115-, 001.1111(1t0 ..ztao yearn reside:Ica in the United'
Stat ,.)a bafore filink; a pctition :or naturalization. ? The
only ozocIptLon p.rcr,-idfid for by lux to shorten this period iS
in 3notion Z12 0: ti:E; i4-tIonality Lot of 1340, ttich in quoted
C3 followu
? ri.lion t_poune_______Iin the? orr)3.crt...
;1-mt L.;L:'"e77-T; dr:::74:iiiitTioTh'il
Ti777=o1r:?::(:,!,i`C:71p 011 010
=11 17.71C.:=7711r1=71.777.711 .1=M
c;11 L.n a- Vii t111011.0 Ci trial
770:71t7.=.EtT77:17.7.71:77=1: -L1;ez1tid:,tatgia
ovorf-
urit, or of t;-.n LLI,..r3.ean institution of research. recocnized
?. n.a? sochb?he Attorney Oeneral or in knorican firm or ,
c o.vporati on encaz:. d the davolopriont of the f orei en ? ? ?
trod? and cfo7.:ror.ea of the United. ;.:ftaten. and .whose -
citizen s-i-..cuao i rrly stationed abroad in such.
? eriploym.Int, nay be naturalized upon- AL11 compliance
?,;-ith all require;nta of tht) 'n4tul'aiizotion lawns, with .
thu followinG exce;tiorls: (1) no deelaration of in-.
-?1;-:1-ition shall bo required.; and- (2) no prior residoneO
VSttlItri thti liffl.todIltater rithin the jurisdiction of.
the naturalization court al:All be. reqUirod.' :.;och.an ?
alinn ahall declare in z:ood faith an intention to take-
man= I; ran id one c .within the tinited :3 tat irrrttldlAtellr:
uporn. tho torninntion or such'on.ploynent abroad of the
eitirfm spouse."
???'
. It 17111 he not od that tht husband or an alien wifr,. under that 2...
. Section nu; be an actnal? enployee and nunt.be rccularly eta.
? tioncid ribroad in such anployrIent. "Ilaru1arX7 Stationed - cb roitur.
moans that ho has been.s ervin,r; abroad at. the 'pant to which ho
13 no ansiznod or a similar ono and. .ts returning to .that ?
pout or a. sinilar one for an indefinite tour of duty., tib.tho'.
/11.10bant1 ? fulfilln tholio conditions* the wife rust be phYnically...,,
pros ont in thin country to file her petition. before :an .American....
-court.. If the husband fulfills. the conditions oirerseas by bas..-
corlint: an onployee of an ancrican firs or corporation. encacing
25X1 A9A
In the develop-tent of toreicx1 trade and 00=10=0 or the United
'States, the wife would have to rIturn to this country
naturalization. It should be noted that the alien wire ?
:=unt intlad in food faith to return to the United Staten for
p.rrmanant renidence upon the termination or the husband's .-
emplo7nent abroad, If the cOnditions of that Section are
not met, it should be point out that. absenoe of the alien '
wife for pGriods or lens than,rear will ?zot break tho mom ,,-
tinuity of her residence in the ,United States for naturalizes,:
tion 2!urpor1ga?
Approved For Release 20q5/0/15.: CIAR12.1P67-010571/4000100019001-A
,
?21 October
!,V21O!)./12:Dt= oi IC.f...1X:C17.171,1'S POP. A & 21
3ubjects Clain of I 25.9/5, 6
1. romardad horeAth 13 n.menoranduat for CIG dated
ZSO ?t;optor.ber 1947. ni..71ed by' I constituting 'a
olatnnr;ninst tbo rnitrsd Staten Govermont arlainf: out of
? an tcoident esioh ocenrred on Is oc-)tenbor 1047.
Dub todn Ilaport of L cc ie. rmt dated. 19 Septatiber 1047 and
attached three astirmtenfro triows Ifotoi% Cbrzpantits,
5X1 A9A ort is attachod; also, statm-v.mts Attnched frm
125X9A6
25X1A9A
25X1 A9A
5X
? C.fficer, and.h.t.'s rtrport attaehod. r .1 ote,tea - 1 ASA
t!,..at hts after inve-atir,ation, the dri7er or tho --
c.mrarririent veTlialq vals at fault In the acaldent. 55(!1./6.i9A
po.!..nts out, hwever, that after p,3rscna1 inal:>ection of .the
ovnact tilat the dame(' to the richt 254.A6
.front burtplr, lx.Ertper 7,uard, and lone' bar or thci.criU
do not rarrant rr.:21Ao trl cnt ?;ittlt Zuni porta and., conaoAtirsitin-
._ reoornonds the payr.t.-Int of?,*J21:;..00aD adlunt=cnt for a zeilaczars ? ?
Able arioupt in settlement of this clan. ? . ? -
t. It la the opinion of thlt .orcito tit thin claii.
is an appropriate ratter for .detornina.tion..b7-CIA undt.sr the
rreivisions of the, Federal -Toit, (antra Act, Intl* 28
Chapter 20. 2s../rthr4r, it. Ia. Mn opinion oC .this office .thot.
larinF,o..to the personal proporty.Of tho *slid:lent van muted
by the norlicent not of on orTIoyee of the- Covernn%lt.
nqtin_!,7 wIthin tho acopr; of hts onploynent unCer ciroUrtstanoes
who're the Coverryn-nt if A priv4to pr.:mon:Would ..be. liable to:
the clairatint for ? snob dertar,o in SICCO7danno tritti the le.ws'of
the L'Intriot of Colmtbin Ithero .tho.:necligent.-aot 00.0Urred..
5X1A9A
chlivor of tho CI oar involved In thl asoid,znt with
I I oar, togothor with a statcrlant by, -2tX:1,49A
I a Pnuntulg.Ir -In the C:ovorrIvInt vohlole,
van assigned an 17;ventilat
pprove or e
The natter to roferrek to your eerlae,ibr tuat cotton
no the desimea of the Director to dotemiine and aettle
elaipa or this nature agalzet the U. 346
25X1A9A
Aaproved,For Release 2005/03/M : CIA-R,QP67,701 57/W00100010001_9,
Pc"
tultonAttria raR 57.1t3 AI's?
. 1. Attached is a remorandum to AT/30 fran Spacial _
Ptulds concerninF; reirbursomont to r- - - - - . . I_16?r25 lA
. expenditures rade by I Ifor s
a first-class cap= z-or25xt
his wife and himself from r to the United States. '25)(1.6,
, It is pointed out that originally socondii-olass passage
was cocured for
first.claa vas available. Upon firat.clitsa becoming
1 l' aince no `k k.A
i,
ts
available, r I secured it with the expenditure 25' x/A9A
of personal Atnda amounting to 0467.00.: i ,. ? .. ,
- 2. ?The facts as prosent!xl Appear to satisfy- the
requirements of the Standardized Government Travel Rev.."
lotiona. consequently, there isho loAal obteetion
'payrtent of the amount of 4467.00 tel I if you
approve. ? ?
?
25X6A Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
Approved For Release .200011.- :,cimpP"67-o1 o57Aoo0 00.01 o
. ?
MELIORANDIN FOR TIM FILER
,
fraBJBOTI -EkVits-Agil4111444744441.1414-fitebtref'''
if I 1.41?
34 American Jhrisprudonce, Literary7ropertrand Copyright. -as
. *Por Protootion of Tnformmtion and News.. Belief is granted to ani:,7
, who has property in inl'ormition or nars on as prinoiple of unfair comp...,
,tition rather than on the principles of li*mary prepertir. 'Thus, where
rival news Agencies or rival tolegraphaompanies attempt to appropriate. . ,
news or information whieh one or the other has gathered before it has brs*,..
OGUM public property and in such a tanner as to interfere with the businessY
of the owner, protection will be granted against such intorforOnoe. Wows:
?
- gathered by a. press agency and distributed to newspapers for publication
is entitled to protection against its being pirated or appropriated ierbatisl
' by a radio station in broadcasting such news, even though this would
? necessarily be dons without charge. In the exorcise of its right to obtain
relief to prevent the bodily appropriation of its news matter by another',
agency, either in its original form or after rewriting and without Jude.. -
. pendant investigation and verification, the feats that the oomplaining
agency is itself in the praotice of taking themes of its rival us a *tip"'
to be investigated does not debar it from equit4ble relief, such practice ,
being a common one among flows agencies. Equitable relief is usually granted
? in the form of an injunction. Mhere a party has not only obtained knowledge
of the secret ?oda or system of another, but has wrongfully Made a copy of
such system, a court of equity, to prevent the former from fraudulent/7.
making a disclosure of the seoret, will pcommoctxthemEn=amx2 not 'only
enjoin him, but will also take into its possession, by means of a:reosiver.
suoh wrongfully made copy to' prevent fraudt and if, on, the trial.- the faCte.
alleged are established, the court will be justified in placing such copy,',-.
? in the hands of the plaintiff, or at least in seeing.thst the,plaintiffle "-
secret marks therein are erase(' or canceled. '
. broker's customer does not have 'such a peoparty'rightin'the
:.'broker's r000rds.cf his socount ss.will,pernit his to enjoin the trokeite'
compliance with a.subpoena,4mies teeua?reguiring the4toftetionot-suclh'.-
records." ?
?
?
?
? :'"
Approved F Release2005/
19.???
7
Novembep 194
? -,
tatordatnum vim Tim "7"0DTIT.Z :el:7i A, re
?
? ? ,
1A000.1000I00
Subject: Property conniab I lit 3r,
1. Xa addition to concurring generally -in the mestor??
, andum of .28 October from the Chief, .Servietos Branch on the t,
' above subject, I should like to aosteent on a's:tore:strictly
legal anpeot of the situation. ?
2. 5.'ho 1-..gency %rules setting the property contront are
pronulgated under a Section (51.11.3.0. on) authorizing the ,
heads of departraqnts to mike and enforce regulations to
carry out the previsions of, Sections Og-02 of Title 31.
This reforeruse to the earlier .Sactions forces such agency.
rogulations to.serve eertain purposes. The basic purpose
to to insure enforcrzient of pectadery liability for loss
accruing by fault of nr? employee. Thin liability wan former?
ly deter-alined by CAN Section t30 authorizes administrative
officers of the depart:lents to certify to RAO, for debiting
on the proper -account, charges determined, by the depart.,
tont,. By Section 90, such a certificate shall etate that
the charges were found upon fair hearing, and a,cortificate,..
then would be effective as if found by OAR in accounting.
Th,,se certificates in lieu of property returrus, do not affect:.
other property returns, such an those required by CAR Reg.
100 (31 U.S.C. 91). Finally, Section 93 of Title 31 provides...,
? that GAO shall supqn.inte_nd the recovery of all debts fina.1
certified by it to be due to the United States...
3. The Sections discussed above emphanize the basic .
fact that ultimate control over property in acquired only
,-
by the ability to inflict liability for negligent or' Isillfit1
? loss. They further eriphenize that alth.ouet the administraft.',,'-'
tive determinaticns? such an survegs, are performed by the ? -
? ar:encics, GAO has final review and makers. final certification
? Therefore, in effect, the administrative processes must
aatisfy qtto requirements. H These requirements appear'to.pet
based on a balancing or interest..
. ?
4. F"ror? a prapte rty Q ontrol point of view, .the
systcct wbuld be to have each individual aecctuttabla and ratio*
pennible:-for property under his control.', ..0b.viousIY,, ouch
.?
?.
,
? 4
!,A7i
?
Approved For Release 200510 5 : plA-RDP6701057,A00,010901000
system would be no cumbersome find expensive as to outweigh
any saving to the novernmnt. On the other hand* complete ?
centralization of accountability and the resulting separa..
tion of accounting from the physical control of -property'
lends to inevitable looseness of control and difficulty in
'proving the chain of reaponsibility.noceseary to impose ? , 7,
s pecuniary liability. The present system is in the nature
of a middle ground there the accountable records are rain...,
tamed closely enoutr,h in location and staff organization to
maintain a reasonably aocurate control and to flarnish a ready.
record for use as ovidenoe in cases of loss or damage. ?
? 6. As I believe you have been informod,..,GAO is cur....
. veying the different systcms nart used by Goverrnsent agencies
and in leaning towards a tightenind up or the controls.: Otr::
an informal review or the syatem now Used by thin Agency,
they express; ocl. their aprz. oval as the type of Byetem they. -
hope to have adopted by the GoVernment as O. whole. .
frni?gt or
25X1A6A
25X1A9A
Citizents.hip and.Nationali
raroign Bcani MI/24re=
,
1. o refer to your norturendm of no tAfptember um?* rhiabP&X1A6
forwardcAri a copy or 4 I tuul or an opinion nubutittod 1;7 the 25MA6
Vice Connul in
2. ;(I hnvo bad the situtztt= rev/et:Q(1 here and dineunned
the pro:1f./.1 &Toro rally Id th th I.r.r.d.grution and )iaturulizatiou satuT ,
thoritten. re feel it in ttrallm17 that tho position ta;zen by the'
Vico '-`,0nina and tho iou0.1*(:)=0.:Itt.; used to support it
be accor--.tnd b; the nepa,...-tr..cr:t of State or the I-21-11gration mad
naturalization 0,?.:thoritit.4; The Dopartment will* hovever. no,
doubt annwcr thn Vloo Consul, stating Its views. The 10011.,..?
poplin here rata that the statute involved in clear on itn ..?,
fano and not aibloet to .ro..interpretation. athavt;h they are
1),-n-fiutidix.1 trj the 'flee Canzul to think that the :that nay
bed draftanannhip rather than any intent or Ounr:reas to have:
an unfair Intl? apply to ouch canon no the .one prenentod?
3, '40 trt.ny.;Ine the Vice Ccranul has already ixtromed tho
parent involved, buto for your infcrnation, wo believe there
in a cetinfaetory solution ti'ra proVinion: cr law which trill
Uv e citizen fathur &flrftturn to, thin country to bring his ,
:riff, /Ind child in on a no:1-quota basins Ire =ay thon itrtodiato17
p,..titim for nr.turalization of the child, and no cloolaration or
Intention or period of rnsidoneo th tLe Unitoil :Staten in required?
7hin procedure rfould erfc.ot neturaltrAtion in'tshort ordar at any ,
tine rrier to the childfa 0101taanth birthday. Me Ofl3.alter:Iasi.
tive in tho mot uneertath hd-o of an tnetudraimit to. the Atirtstach:,'
would anvqr the tactn tdl ntatrOd in your correspondence*
25X1 Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
Next 1 Page(s) In Document Exempt
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
wurilimmulliirmL ? . ?1"171'4?."1ilul'
Approved.ForRelease 2005/03/15 : CIA-RDP67-01057A00010
MEMORANDUM FOR THE GENERAL COUNSEL
,Subject: Disposition of Captured Japanese Documents. .
The Joint Chiefs of Staff paper 950/15, dated 13
August 19k6, subject: "Distribution of Records of Combined
and Joint Operations," as approved 28 August 1946, deals with
Htheprolem of determining the groups of records Which do not
properly belong in the archives of the War or Navy Departments,
and recommends to the Joint Chiefs of Staff, on the basis of
major interest, the department which should be designated cus-
todian thereof.
JCS 950/15. provides for the disposition of cap-
tured German and Japanese documents as follows:
"e. Captured German records presently held by either the
War or Navy Department will be retained in the files of the
Department now having Custody of them, and any additional..
captured German records which may come Into the custody of
the United States will be filed in the archives of the De-
partment which has a major Interest in the records involved.
7f. Captured Japanese records will be filed in the archives
of the Department having a major interest in the records in-
volved. However, these records will not be filed In the ar.,
chives until after they have been. exploited for intelligence
purposes."
(Note should be made of the distinction made as to their handling
between German and Japanese documents.)
1n connectionwith the disposition of captured
Japanese records, the Director of Intelligence, War Department
General Staff, and the Chief of Naval Intelligence determined
that the Central Intelligence Group was best equipped to handle
the records Involved. In a memorandum, the Director of Intel-
ligence, W.D.G.S., and the Chief of Naval Intelligence requested
that the Director of Central Intelligence ?
"In accordance with paragraph 3. o. of the President's
letter of 22 January 1946, perform for the benefit of
all the Intelligence agencies tho.proceSsing, dissemina-
tion and housing of all captured Japanese documents, and
that he furnish a final repository for same."-
In a memorandum dated 2 November 1946, the Director of Central
Intelligence accepted
coNR,ENTIAt
OApproved FoeleastliNritbrierip67-01057A000100010001-9
L , 0
"in principle the proposal for the trandfer of the
Washington Document Center, in order to perform for
the benefit of all the intelligence agencies the pro-
cessing, dissemination and housing of all captured
Japanese documents . . ."
The approval of the War and. Navy Departments of this
action was implied in letters from the Secretaries of War and the
Navy. Under date of 26 November 1946, Mr. Forrestal, as Secretary
of the Navy, addressed a memorandum to the Director of Central In-
telligence, making naval personnel available "to permit continua-
tion of the Washington Document Center under the operational con-
trol of the Central Intelligence Group.'" -
Similarly, on 14 November 1946, Mr. Patterson .the
Secretary of War, in a memorandum to the Director of Central
telligence concerning the transfer of the Washington Document Center
to the control of Central Intelligence Group, in effect, gave ap-
proval to the transfer of the Document Center to the Central Intel- ?
ligence Group by approving certain personnel transfers to implement'
handling by CIG.
In view of the above commitments, it is apparent that
full operational control of the Washington Document Center, and of
the Japanese documents contained therein, has been transferred to
the Central Intelligence Agency for the purpose of processing, dis-
seminating and housing all captured Japanese documents and furnishing
a final repository for same. In furnishing such a final repository,
it is felt that the Central Intelligence Agency can select the
appropriate repository, and that it need not be within the confines
of the Central Intelligence Agency itself. It can properly be the
National Archives, the Library of Congress, or such other department
or agency as appropriate. This would also appear to be within the
intent of JCS .950/15 which provides that these records will be "filed
in the archives of the department having a major interest in the
records involved." Present procedures also come within the intent of
paragraph f. of JCS 950/15 which further provides that the Japanese
records will not be filed in the archives until exploitation for
intelligence purposes has been completed.
In view of the above, it is our opinion that, title to
the documents having passed to the Central Intelligence Agency, it is
within the jurisdiction of this Agency to make the final determination,
in accordance with appropriate provisions of law, as to the ultimate
disposition of these captured Japanese documents, and that this is in
accordance with Joint Chiefs of Staffs intent. Certain of these
Japanese documents will, in all probability, be deposited in the
National Archives as a permanent transfer. The intention of for-
warding these documents td National Archives should be expressed In'
a letter from the Director of Central Intelligence to the Archivist
of the United States, Honorable Solon J. Buck. It is the request of
the Office or the Archivist that this letter, a form for which has
been supplied to CIA, should include a specific statement transferring
coilppoTtAt
?,
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
C41: CONF NTIAL .? ?
?
title to such documents as are transferred to the National Archives.
In a Memorandum to the General Counsel, dated 19 August,
1947, Subject: Captured Documents, disposition of, the Assistant-
Director for Collection and Dissemination propounded certain ques7
tions which he desired to be answered for his guidance in this
matter. These questions, and the answers thereto, are considered
herewith.
1. Are captured documents and other material of a'
documentary nature considered as government records within the.
meaning or the Act governing the destruction 61- government records?
The law regarding disposition of records defines records.
(44 USCA 366) to Include
. . all books, papers, maps, photographs, or other documen-
tary materials, regardless of 'physical form or characteristics,.
made or received by any agency of the United States Government
In pursuance of Federal law or in connection with the' trans-
action of public business and preserved or appropriate for pre-
servation by that agency . . . because of the informational
value of data contained therein." ?
This dndicates that captured documents would be con-
sidered as records received by an agency of the United States Govern-
mu
ment "in connection with the transaction of public business" which
might be appropriate for preservation "'because of the informational
value of data contained therein." This opinion has been concurred in
by the Office of Archivist.
However, note should be taken of the additional clause
in the section.of the law cited above, which states that:
"Library and museum material made or acquired and preserved
solely for reference or exhibition purposes, extra copies of
documents preserved only for convenience of reference . . .
are not included within the definition of the word 'records'
? ? ?
Care should be exercised in that the material trans-
ferred to Archives should be record material - basically governmeat,
records. It is at that point that the line between Archives and the
Library of Congress appears to be drawn. If the material consists of
books, periodicals, or general printed material, it does not always
fall within the legal definition of "records" and, therefore is not.
within the provisions of the Federal Disposal Act; rather this ma-
terial would be considered "library and museum material" and would
be transferred to the Library of Congress. However, in the'last
analysis, it is not a question of physical form or characteristics
but rather Whether it is a record in the material sense. For-
- 3 -
CONFggnus
0proved For tase 2005/03/15 :914-RDP67-0105;4000100010001-90
COMIDENTIA1,1?
example, certain rules and regulations of a Japanese Ministry may:
be printed up In book form, but these would be considered records
pertaining to the Ministry and, therefore, would be transferred to
the Archives. Similarly, published maps of the Japanese War
Ministry are considered to be pertinent to the War Ministry Records,
and, therefore, would be transferred to the Archives.
2. 'Should any distinction be made In the disposition
of official records or the enemy government, smaller political-sup- '
division records, business records, or private recoras or inalviauals,
particularly. personal records or enemy?military personnert ?
. The answer to this question is in the negative.. The'
statute covering records, (cited in the answer to question 1, above),.
speaks Of records "regardless of physical form or Characteristics
? . received by any agency of the United States Government. in pur-
suance of Federal law or in connection with the transaction of public:
business ? ? ?" Certainly the prosecution of the war was "trans- ?
action of public business."
'While it is noted that some of these records are of
private individuals or business concerns, it is the feeling of the
office of the Archivist that no attempt should be made to distinguish
between them and Japanese Governmental records. It is felt that no
serious attempt to break them down should be*made,.and that the
majority of them should be considered as Governmental records, as
they are United States records by capture.- (This does not change the
thought expressed in the answer to question 1, as to the type of. -
material to be forwarded to the Library of Congress, but merely dis-
tinguishes between governmental records on the one hand, and private ??
and business records of the Japanese' on the other.)
It should be noted that the records, to fall within the
purview of the Statute, must be captured or seized officially by 'our
armed forces, and should not consist of personal loot.
Care should be taken, however, in connection with their
destruction, that documents which are of value to agencies other ,
than CIA should not be destroyed. They should be disposed of in
?accordance with principles discussed below. Special care should be
taken, in scheduling documents for final disposition or destruction,
that no record should be destroyed which would be of future value to
the United States either as a defense against possible future suits
for claims against this government,- or material which might be
figured In some final reparations bill, Particular care should be
exercised in connection with captured patents and Similar document's.
Itis for this reason, that the office of the Archivist feels that...:
CIA should not attempt to distinguish.between military, governmental
and business records, but rather should keep them all together in
Archives when intelligence exploitation has been completed.
- 4 -
CONFIDENTIAL
pi3roved Ftelease 2005/03/14,1c1A-RDP67-007A00010001000b
CONFMNTIAL!
.3.. The authority of CIA to destroy such captured
documents as are deemed to be or no intelligence value.
CIA has DO authority to destroy captured documents.
except under the terms of the Federal Disposal Act. It is necessary,
when CIA desires to destroy documents, to request permission of the
National Archives, which in turn, requests permission of Congress.
Congress then informs the Archives of its decision. The request
from CIA to the Archives is set forth in schedules for destruction of
documents and is a fixed form. These requests -- and the Whole prob-
lem of CIA relations with the Archivist.-- are handled by the Central',
Records Division, Services Branch, under the Executive for Adminis-:
tration and Management. When the Foreign Documents Branch has docu-
ments for disposal which they deem of no intelligence value, and of
no value for inter-agency transfer, they should make arrangements
for their scheduling. It should be noted that once it has been de-
termined that a certain class of documents may be destroyed, recur-
ring permission need not be obtained from the Archivist for the ?
destruction of this class of document.'
4. The authority or responsibility of CIA to transfer .
to other agencie&6i the Federal Government such or subject documents
as are no longer desired to be retained by this agency.
This authority for inter-agency transfer is provided ta-
Eecutive-Order 9784, dated 25 September 1946. This order. provides
that: .*
"No records shall be transferred by one agency to the custody
of another agency without the approval of the Director of th9
Bureau.of the Budget except for their retirement to the Na- '
tional Archives, as a-temporary loan for official use, or as
may be otherwise required by statute or Executive order."
The regulations governing inter-agency trahsf6r through the Bureau of
the Budget should be ascertained and placed in operation. Where it .
has been established that certain records should be the subject of
inter-agency transfer, CIA should request the Director of the Bureau
of the Budget for a recurring and continuing right to transfer this
particular type of record to the specific-agency..
5. The authority of CIA to release or distribute to
private interests auCh ar subject documents (or copies thereor)
VEITH=6766-longer desired' ror retention Dy U1K.
Such documents as CIA wishes to dispose of in this
manner must be scheduled for disposal to the Archivist Who in turn-
will request Congress for permission to dispose of them. Once per-...
mission for'their destruction has been secured, a further request
- 5 -
CONFIDENTIAU
pproved ForLplease 2005/03/15 Z1A-RDP67-01057A000100010001-9
CON NTIAL
should then be addressed to the Archivist requesting permission
for special disposal of the docuMents by. dissemination to '
private interests.
CONFRNTIAL
???1?.11.1011ANDULI PUR MIR CM.,
? ,
? ? Subject*. .Property Records OO Operatic
"
'the proposed direati attached hereto a drafted
,.;?
? in this office after discussions with CAS; MO. the Chief,-
nudget and Finance; and the?Chief.,Servicas. Xt had rrior
oral approval, in prinalple from the'Dl.rcator. the Deputy...,
Directo4 and the AD30. The Chief. Sorvicosi corartionts of
13 liovenber have been discussed with CAS. OO who atIreas
. with the state:lents made therein.. The approval 0i...the. ? ?
: hating AD30 to publication of this directive, as drafted1?
is expressed below. ?
? ?
2. In our opinion; partienlar/y.laCcrUse or, the
final. surveying authority rrittlt ed p' this directive trilII-e?k
quire the sinnature of the Diroctors In view of the TUVrjr,
?trio OS with a ,technical interest .in this problem .and the.
pocu.liar nature of sone or the problems presented. it Is
requested that you diSouun with thin Office any etuanges in
forn or content you zany wish to mike; ?',. ' '
?,-
, Acting AD30
A
Subjeets Coo2.1.nrt Systeat at Station
3.? To return herewith, your fi.le on the abovo qubjeet
and aonfirn our previous orai opinion that there in no ? --
lor,a1 objection to inatalintion of the propostx1 Orton. ?
? This in based on the understanding that the equiptiont to
be inetailed is temporary in nature and ranains the property,
of the Coverrrients vthieh can be renoved upon tortilla tion
of the loose. Its therefore, is not subSeet to the rostrie7 ,
tion on tho amount uhteh can be expended for pernanent
provenents on loaned property.
?
2. AS ITO?tad informally beforo. witi feel the
speetion provisions or the lease- on thia. property should.:
? be earriod out prior to the naking of any alterations* .
in order that restoration ritr,hts be ;oloarly derinedt
-
Approved For Release 2Q05/03/11VIAHRp1367-010 A001000100
NA!,
0
-UHYORAHDUM FOE TH13 CHIEF, SECUEITY muncH:. oso
Subject: Automobile Accident
1. Vle have reviewed yourfnamorandum,of 2? August 1047,
Aand have discussed inforMally-the_problems posed therein with
:the Ansa. It is our view that all contingencies' cannot be:,
specifically provided for, but certain rules ay be laid
down for the guidance of yourtIonand'autherities:obtained,
which will enable them to handle certain situations to pro
teat security.
2. There will be two general .situations -- Minor inoi-? 4
dents such as brushed fenders and bent bumpers; 'and major.
accidents. The distinction is a natter of degree; without
-
a clear-cut dividing lino, and the circumstances rill deter.*
mine each case. In major eccidents, it Is alnost certain.'
that a danand to see registration and license will be made;
and it would be oaf? to assume that the state police will be:
involved. Vihllo the other party to a major accident may have
a right to the information contained in registration, driving.
permits; and insurance papers, we do not believe he need ' :-
actually see the documents. Tinder no circumstances should'
your nan produce Treasury or other Government credentials
to identify themselves. If possible, they should try to
satisfy the other party with the information on their perizOnaV-i-?
driving licenses and await the arrival of the?polide. They
-
should then attempt to have the police officers examine the.
CIA registration separately; without revealing the ownership'
of the car to the other party. They could than inform the:,-
7 police that thoy wore acting inAi confidential capacity and
request that, if possible, the ownership of the car by
not be made a natter of record. In case the police doubt':
their story and wish oenfirmation; your man should be
structod then to call you collects'. TheYwould also explain
- to the police that being Government owned0.the car-carried-:
no insurance. Your man should, of course, obtain all?possi-
_ble.information pertaining to the accident, including, where
possible, statements of witnesses, copies of.police:reports,
and photographs for forwarding to this office at-the-earliest,
opportunity. Major aocidents
and any claims against your man Should bei.mmediatelY
warded to this office for aotion, Similarly, if there appear*
,
?
gipproved For Release 2005/93/15
A-RDP674:11057A00:0100010001L9
Tff.),1711)FT.VM11.::,
to be negligence an the part of tho other person or peraons
concerned which might give rise to tho claim on behalf of
the Government, a full report should be forwarded to this
office for consideration of the amount involved and Whether
, to refer the case to the proper claims officials._ In many
? cases,. it may be possible to handle claims by or against the
Government as personal claims by or against the enployee tq.:
the point of final settlement.
Minor accidents may or may not involve -a claim. -Again,
every effort should be made to have claims proodsaed through
this office. It may be that, in certain cases, where the..
.Government employee fools ho waS clearly at fault to the -
extent that the Government would be liable for damages,
circumstances may be such as to justify an immediate settle.; ,
ment for a small amount of cash. If this is done, the anpleyee
would have to demonstrate the circumstances its follows:-
(a) He would have to cite the facts establish.-
ing his negligence or fault;
- (b) Re would have to show that failure to make
immediate settlement would ?tend to disclose his CIA
employment, or tho CIA ownership of the car;
(o) He would have toestablish that damage. was
such as to require an expenditurefor.repair;
?
?
(d) He would have to demonstrate that the amount
of settlement was reasonable with reference to the "-
cost of the repairs to be made, ' ?
,
.?? ? ,,"1"
Tho important item in the above, of course, is the requirement',
that relationship with CIA be protected. If such protection' ::.:.
is not involved, no on the spot settlement could be reimbursed:
by the Government. We fell a limit should be set on the amount
of such settlements and boll. eve S25400 would be reasonable. 114
aug::est that your proper move would be to draw up a project.
providing for reimbursement not to exceed -125.00 for any one ,
accident to take care of cases Which meet the requirements
:-
sot forth above. We believe the'ADSO has the authority to ,
approve .such a project and to authorize the allocation of
funds to support it. If he agrees with our view that the,
security of your operations requires this protection and:-:.',.
approves the projecto'you should brief-your:Men carefully'. ...
so that they will not pay out money IrProperly:and.find, that.
..??:
they are denied reimbursement,. , ? ....
Nr1nr.:14ITIA1
? ,. ,--
4 ,
pproved For Release 2005/03/15
IA-RDP67-01057A000100010001-9
In connection with the specific case presented by 25X1A9A
you will note that all the requirements
outlined by Us above wore not Met, in that he stnted that,
in his opinion, the othor driver was at fault. If this
Were true, there was no obligation on the part of the
.Government, and I I paid through intimidation, rather 25:X:rA9A
than liability. . ere seams, hoWever, to be some doubt as
to the degree of negligence of the drivers involved, and, -
25X4A9A
possibly. merely wished to Justify himself by ?
throwing the bLame on the other driver. Of course, if the
Government driver is grossly or willfully at fault through
reckless driving, drunken.driving, etc.0 he would be personal.
ly liable and would not be reimbursed.
pproved For
? .
_
ase2005/03/1*IA-RDP67-0105
?
rtnt ti7rv cntr7, nrooicrio
. . .
S
2;iPubSects avloyees Uniforms *ma 5Nifqp-
1
T,re refer to your rtortoranduts of fl Deoomber 1041/ rem
qucetint; a legal opiniott concerning, the' pUrCha a 0 rrcel CIA %. 4 ?
rUn-1 aro ran or natiltc Chan rfalara and ilea a (sic era in 25X1k70.'
5X1 A6A th office or . .
?
? , ...?
.. ? .
? 2. You are aware of the general rule requiring spool:fie
authority for the pure no of uniforms/ and you are also aware?.',..,;,;,...
In certain oirourantsnces. the Couptroller General has
rrIttd the purobatie or uniform Ova ra caa WIthout p part .
authorl.t7. 'Those Peoisions or the Corrptrollor Coneral appear
to be bark,c1 on adr.laistrative.deterninotleits of the nal:penalty ???????
or the purchase in co :inaction rith the ofttctal 'cork of the ?
office concerned. .
3. -0 fool that As this Agertcy is organised the proper -
?facer to r.alzo an mintnintivt.ti.vo deterninatiort of this type
would be tile ).'_x 3 01.1ti va for bdttinintration astdVanagement. Ia
eaerib w.table the xcatitive for ;i: Mail ,
oubnitting his reepteato the edr..inistretiva Officer, hwi 25X1A71
pr rid no factshieh would. e
1
il ehould? ttiorerordi5X1A9
to nuke a considered determination.
submit lpforitation tondtni: to summit the fo owing pointat ?
(a) That for cood and sufficient reapon, uniforms '-
etuulot, ol, will not4 be supplied by the enployees conoerncdt. :
i 4
(b) That the tat-trams recall% the prOperty of the . ?
Iinitod States Oavernnent; ? - ? ,0
,
(c) That the nport of Mitt:4 States prentice
overseas, ant.1 conforraty rith, ostftbliahed prelatic.). '
requires the purahase or uniforms; or.x
(d) l'xhat the tuse or uniforms 1.8 neuedstary to
conduct official business of the Branch. .
4. It x rtay supply personal knotiledge for Tour irtforfnaM.;
tion and ina Litman, the following tlay be helpfc..1 in connection
-
with the above points: , ? .
???.,
?.'.?-,-???14.'',,???? ? ??
"?? ??:"
' e; ' ' r ,* ?
Approved For Release 2005/03/18CIA-RDP67-01057Ar0100019001,-
?
? Chief, Servicing Dranoh,
25X1A6A (a)
servants of a messenger and chauffeur
type are pa such low .wages, and Western clothing in_so
high in coot, that it would'be out of the question for
them to supply their own uniforms. This is common .know,.
.10dge and needs a little supporting. evidence. .
?
(b) There is, of course, no difficulty about owners*
ship remaining in the Government. ?
?
.0 December 1947',
25X1A6A
25X1A6A
25X1A6A
6A
(d) As to the necessity for uniforms in eonneetion
with official busineos, 1:think it con be safely said w-
that uniforms will asniet office business in two ways,
First, it will be an inducement to the beat native eM--
ployoea to Come to that office for work, and, secondly,
it will increase their ease of access to other officiai
offices and buildings. These are largely points of con*,
venienee, not necessity-, and we reel there Should be a
stronger showing to the effect that failure to get the
uniforms will measurably deoresbe the efficiency of
operations.
5. If the Branch con satisfy the li:xocutive for VW on
the above points, we feel that a considered. administrative.
determination that the expenditure is necessary would not be,
questioned. This would be on the understanding, of course,
that operations in the area. concerned, fox' Which :the expondier:
ture was justified, would be continued at that p1soo for a'
ease. 20.05j011
25X1 Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
Next 11 Page(s) In Document Exempt
Approved For Release 2005/03/15 : CIA-RDP67-01057A000100010001-9
pprove
or
I, I
.6?Dcocembelo ,1047'
? - KA61.-0'ee--)
UEMORANDUN PaF: T75 EX7CTJTIIN OPPICYR, =TACT .1311AECH ,
-Subject: Emp1o7meet or etired Officers
?
1. On 29 August 1947, you wrote a memorandum .to the
Chief, Per30nne1 2i-anch, requeetine infaraation ou the
effect or .Zection 303 of the National ::ecurity Act of 1947
on the hiring of retired 1:avy and Army offieers. - The Person'
nel branch referred the question to our office on 9 Zeptemfe
bor. Linc e thattimes.we have boon attemptin& to obtainok
satAsfectory aeswer to your question but without success. ?
?
2. aince the Office for the Liecretary of Defense ham
the sane pr9taemi We discuased it, with them, and they in
-
turn 1scusod it with ta exports in that field at tho
eenerel ixcount,ir orf10,3? nie final reault vas advice ,
from. t neral Aceountint-, Office that the :various statntest-e.-
rules andelecisions regardin the hiring of retired officers
were ee eonfused, and of tea contradictory, that no general
rules could be set forth (thia aepliee not to officere -
retired for combat injuries:Der illness'iniline of duty, r
but to those retired in the normal longevity laws). ,111.'
effect,.thie moans that each case would have to be trense
mittod for s?separate ruline in order to protect both the?
retired officer and the certifying officers of the agency.,
Such.a procedure is se curabersome that the Office or the e
Secretary of Defense has informally determined?not to COnA!
sider. retired efficers for employment, Legieletion has
been prepared to simplify and clarify the situation, but
the 0onera1 Accounting Office could not estimate when suah-:,
legislation might be presented, 'or in what_gormilt might
.?? -
be passed. "a
cc: Personnel
? Qoneral ?Coupsel
:
i?
'fer
No ?238,