LEE SAYS U.S. OFFERED BRIBE TO SHIELD CIA

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP67B00446R000500010022-2
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 17
• Document Creation Date: December 15, 2016
• Document Release Date: April 1, 2004
• Sequence Number: 22
• Publication Date: September 1, 1965
• Content Type: NSPR

wAsnits:C;Tor4
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SEP 1 1965
:$33 million for economic de-
?
SirigapOr0 Premier velopment.
? Incident Described
Lee Says U.S.
ifered iribe
? To Shield CIA
?
From News Dispatches
SINGAPORE, Aug. 31?Sing
spore Prime Minister. Lee
Kuan Yew, in a vehement at
tack on the judgment and wis-
dom of the American Govern-
ment, today accused Walling-
ton of trying to bribe him in
1960 in an effort to cover up
an abortive CIA operation.
In a 'televised news confer
once with two British and
three Australian correspond
ems, Lee also said that if the
British abandon their Singa
'pore base he would be .pre-
pared to invite the Australians
and New Zealanders there, but
not the Americans.
This is fundamental," he
_added vehemently. "If the Brit-
ish base goes there will be no
American base in Singapore."
Lee, a 41-year-old Socialist
and anti-Communist, whose
country dropped out 'of the
Malaysian Federation last
month, claimed that in' 1960
the U.S. offered him $3 million
not to reveal that a CIA agent
had been caught trying to buy
information from a Singapore
intelligence officer.
U.S. Ambassador to Malay-
sia- James Bell said \in
Kuala Lumpur _that! "there is
no truth to it," and in Wash-
ington 'the State Department
issued a denial.
(Despite official denials,
however, there appeared to be
some truth to the Lee accusa-
tion, it was learned in Wash-
ington. At the time 'cited by
Lee, CIA agents were operat-
ing in a more freewheeling
manner than in subsequent
years after President Ken.
nedy's crackdown on CIA ac-
tivities following the 161 Bay
Of Pigs disaster.)
Lee described the alleged
bribe as "an insult" and said
he told the United States,
"You can keep It." But he
said he had offered' to keep
the incident ?quiet if the U.S.
government gave, Singapore
Lee said Singapore security
police had caught a CIA man
after laying a trap for him.
, "c,?r0 had microphones,
everything," he said.
The CIA agent, he said, was
turned in by the intelligence
agent he tried to bribe.
"The CIA Man was caught,
arrested, enough evidence to
- send him to jail for anything
up to 12 years," Lee said. "We
had got them by the throat.
The American, consul general
knew nothing about it because
the CIA man .flew in from
- Bangkok."
He said it was decided to re-
-
lease the CIA agent because
- "it would have damaged our
relations with Kuala Lumpur
[the federal capital of Malay-
sia] and we wanted merger
with them." Singapore became
part of the Federation in 1963.
"The Americans would have
'worked on Kuala Lumpur and
'we would have been so antago-
nistic that merger and Malay-
sia would have been broken."
Scathing Words
In his scathing attack on the
'United Staten, Lee said: "If
the Americans and not the
British had been in charge in
Singapore and Malaya before
independence I would have
been in jail, probably tortured
and died a Commie." He em-
phasized his friendship and
respect for Britain and his per-
sonal affection for Prime Min-
ister Wilson.
The attack carne after a
question concerning the future
of the large British air and
- ' - ?
naval base at the castern tip
of Singapore island. "Negoti-
ations are scheduled between
the British and Singapore gov-
ernments on revising their de-
fense pact.
Referring to the Americans,
Lee said: "I think they are a
highly intelligent, well-mean-
ing people and some of their
leaders, like Kennedy, have
had signs of growing greatness
and depth, but by and large
the American administration
lacks the depth and judgment
and,wisdom which comes out
of an accumulation of knowl-
edge over. a long_period.".
_ _ ?
Associated Press
PRIME MINISTER LEE
. . accuses United States
"The British in.their
learned' a lot. Britain has got
400 years of empire and my
ancestors have got 4000 years
of written history. The Ameri-
cans don't understand,. the
ioverseas Chinese. They don't
;understand the Vietnamese.
!That's why there is such a
Mass there."
2d Incident Mentioned
Lee mentioned another in-
cident concerning a request
he made recently to,the U.S.
Ambassador in Kuala Lumpur
far an American medical spe-
cialist t ocome to Singapore to
treat "someone very dear to
me". The specialist sent word
that he would be in Geneva
and if the patient was flown
to him he would look at him.
"The impudence!" said Lee.
"I don't think that would have
happened with a people with
a civilized or cultured back-
ground."
(In Washington, it was re-
ported that it was finally
arranged to send a doctor to"
Singapore, but that the physi-
cian was not available for the'
trip until some time later this
fall.) ?
Regarding the base, Lee said
he would not to stop any "ag-'
gression" from_it. "The base is
not to be used to blackmail '
Indonesia or destroy China,".-
..he said.
A
"This Is Not Guantanamo" !
1
. Lee said he would? paralyze.
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any such "aggression" by with- '
&awing the local workers or
serving 24.hour withdrawal no-;
tice on the British.
"This is not Guantanamo," .)
he said, referring to the U.S..
naval base on the island of
Cuba. "This is our territory,
not Britain's. If Cuba with an
American base with American
sovereignty is independent and
not a neo-colonialist stooge,
why should I be one? I want
the base there to protect.
[Ifeople." .
?
' Bribery's Reward
, Prime Minister Lee Kuan Yew of Singapore evi-
dently is under pressure to exhibit his nationalism. .!
That, along with perhaps some personal dissatis-
faction, is the most likely explanation of his sudden
outburst .against the United States. An 'unnamed
American Official, he charged, .,had offered him
$3 million?which he spurned?to keep quiet about
the fact that a Central Intelligence Agency repre- ?
sentative had been caught in 1960 trying to buy.
.information from a Singapore intelligence agent.
Despite initial ,denials . there seems- to be some ;
.truth to the. charge. Even when it is acknowledged
that bribery and the purchase of information are
'. not unique in intelligence operations, such prac-
tices are difficult to defend (especially when the
? perpetrators are caught)?though Mr. Lee's
closure that he asked for $33 million in economic.
aid in return for silence makes it look as if he
might have been merely haggling about the price.,
-In any event the Kennedy Administration subse-
quently cracked down on the CIA's free wheeling.
, Actually; Mr. Lee has been subjected to sub-
stantial strain since the Malaysian Federation .
booted out Singapore last month because of its .
large Chinese population. He may not particu-
larly admire the United States, but he is an ef-
fective leader of high intelligence whO, incidentally, '
! is a stanch foe of the Communists. In view of
, ,our own apparent complicity,, we can afford to
tolerate a little tugging on the eagle's feathers if
; Mr. Lee feels this necessary to prove! his inde-
pendence. In short, when he blows his top the
, best thing We can do is keep our shirt S on.
I
,
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A-18 THE EVENING STAR
Washington, D. C., Tuesday, August 31, 1965
,Spurned U.S. Spy Bribe,
Singapore Premier Says
SATGAPORE (AP)?Singapore's Prime Minister Lee Kuan
Lew claimed today the U.S. government once offered him a
$3 milkon "bribe" not to reveal that a U.S. Central Intelligence
agent had been caught trying to buy information from a
Singapore intelligence man. Lee said he rejected the alleged offer.
The charge drew a prompt denial from the United States.
b Kuala Lumpur, U.S. Ambas-
sador to Malaysia James D. would never allow the United
Bell said, "There is no truth States to move into Singapore
to it," if the British withdrew from
Lee claimed the bribe was
made through a presidential their bases here.
intermediary in 1960. Lee said it was decided to
He described the alleged bribe release the CIA agent because
as "an insult" and told a tele- "it would have damaged our
vised news conference made up relations with Kuala Lumpur
of four British and Australian and we wanted merger with
foreign correspondents he had them."
told President John F. Kennedy, "The Americans would have
"You Can keep it. worked on Kuala Lumpur and
we would have been so antag-
onistic that merger and Ma-
Re said he had offered to keep laysia would have been
the incident quiet if the U.S. broken," he said. "They prob-
government gave Singapore $33 ably never knew why we re.
million for economic develop-
leased the man."
ment.
Lee said Singapore security
pence had caught a Central In-
telligence Agency operative
after laying a trap for him.
, "We had microphones, every-
ng," Lee said.
He said the CIA operative
had offered a Singapore intelli-
gence officer large sums of
money for information but the
Singapore officer had reported
the offer to the government.
e CIA inn was caught,
arrested, enough evidence to
send him to jail for anything
up to 12 years," Lee told for-
eign correspondents.
"We had got them by the
throat The American consul
general knew nothing about it
because the CIA man flew in
from Bangkok.
Sets His Price
"Then, I told the American
government: 'We keep quiet,
you take this man away, 100
'pillion dollars ($33 million) to
;the Singapore government for
econernic development.'
"I never spoke to the Amer-
cans direct because they lack
"But through an intermedi-
ary they offered me and my
iiarty (Peoples Action Party)
ao million dollars ($3 million).
A tincillF81$749,1TetVAt1200
keep t .
Lee also told newsmen he
?
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September 2, 1965 CONGRESSIONAL RECORD ? HOUSE
pliances, and other steel consuming
products.
The steel industry and its investors
have also profited enorinously from Gov-
ernment tax policies in recent years. We
have revised depreciation guidelines for
tax purposes, provided tax credits for fn.-
vestment and made large-scale reduc-
tions in corporate taxes. These actions
will reduce the steel industry's taxes by
$320 million this year alone?equal to
more than $3 per ton of 'steel shipped.
The a,ccuniulated benefits to the steel in-
dustry from 1982 to the end of this year
would amount to more than $900 million.
Nothing now separating the demands
of the unions and the offer of manage-
inent can conceivahly be so great as to
risk destruction of all that we have built.
If, within the next 'i days, the negotiators
cannot compromise their differences and
a strike is called, nearly half a million
men will immediately become idle in the
steel industry. Hundreds of thousands
more will lose their jobs as other steel
users exhaust their inventories,
Our economists have estimated that a
steel strike will inunediately cut our in-
dustrial output by more than 4 percent,
which is equivalent to Wiping out the
entire gain scored by our expanding
economy during the first 7 months of this
year. A prolonged Strike?or, for that
matter, even a short one?will un-
doubtedly lead to increased importation
of foreign steel. This will be immedi-
ately harmful to our already delicate
balance-of-payments. problem. And ex-
perience has shown that sales lost to
foreign steel suppliers are never fully
regained.
Thus, whatever settlement might be
reached as a result of a strike will be
at the expense of us all. There will be
no winner of such a strike. Manage-
ment will lose. Labor will lose. And
every other American will also lose.
I urge, therefore, that the representa-
tives of both management and labor use
the hours remaining to them to achieve
a fair and honorable settlement of their
differences. And I urge them to do this
not merely because it is in the public in-
terest but because it is in the interest of
every steel worker, every manager, and
every investor in the industry.
FOREIGN 1. FROG USED AS A
MANS OF ATTa ED BLACK-
MAIL
(Mr.. HALL asked and was given per-
mission to address the House for 1 min-
ute; to revise and extend his remarks
and to include extraneous matter.)
Mr. HALL, Mr, Speaker, I believe
most Members of this House were aghast
and astonished by the news this morn-
ing, that our "foreign aid" giveaway pro-
gram has been used as a means of
attempted blackmail, rather than for the
humanitarian reasons advanced every
year as the basis for its conception.
I refer' to the ,ikewS that the 17,8. De-
partment of state was caught with its
"petticoat" showing in Singapore. Ac-
cording to the Associated Press report,
Singapore Prime Minister Lee demanded
No. 162-27
33 million in foreign aid in 1960, in re-
urn for his Government's silence and
the release of a CIA agent caught trying
to buy information.
The United States oountered with an
offer of $3 million, which Lee apparently
regarded as an insult. When Lee made
the charge this week, our State Depart-
ment hastily called it false, then had to
backtrack when Lee himself produced a
letter from Secretary of State Rusk.
I am pleased to note that the House
Foreign Affairs Subcommittee plans to
hold closed hearings to obtain an expla-
nation from responsible officials. I hope
they get more than pin-striped trouser
doubletalk.
? Perhaps one of these days the frequent
calls for congressional investigation of
the State Department will be heeded.
Certainly this latest incident is fur-
ther proof that such an investigation is
needed, and comes at a time just prior
to this body considering our annual give-
away appropriation in our recurrent ef-
fort to buy image instead of command-
ing respect.
THE RISING PRICES -OF FOOD
(Mrs. BOLTON asked and was given
permission to address the House for 1
minute, and to revise and extend her
remarks.)
Mrs. BOLTON. Mr. Speaker, I am
deeply interested in what the majority
leader has told us. ?With him we are all
hoping that the steel strike will not come
about, but that commonsense will pre-
vail and that an honest realization of
what such a strike would do to the men
and women who would be most af-
fected?the workers?bring a settlement.
The gentleman in the beginning of his
remarks spoke of the tremendous
amount of labor being employed, and of
the increase in the wealth of this coun-
try in the United States today. We are
told there is a lot of money everywhere.
But I am wondering why food prices
have to go up, and up, and up. Prac-
tically every bit of our food is at truly
exorbitant prices in the market.
The two things do not go together very
well. Our women are becoming angry
as well as deeply disheartened as it grows
more and more difficult to feed their
families. We have been informed that
this last increase is the fourth in a row.
If this rate continues for 12 months it
will have been the greatest increase, in
the cost of living in 15 years. ' Perhaps
I am slow in understanding how these
two situations can exist at the same time.
Continuing increase of prosperity with
poverty everywhere and prices rising like
a miasma all about us.
(Mr. GROSS addressed the House.
His remarks will appear hereafter in the
Appendix.]
SELLING TO THE REDS
? The SFEAKER' ? ?Under a previous
order of the House, the gentleman from
California [Mr. LipsComsl is recognized
for 30 minutes.
Mr. LIPSCOMB, Mr. Speaker, we are
22005
witnessing a deliberate weakening of the
export control program, which was
created to place needed controls on the
flow of equipment, goods, and technical
data to the Red bloc. In fact, a con-
certed- is underway to virtually
read the export control program out of
existence as an effective tool of dealing
with the Communist menace.
The administration, according to the
latest reports, has agreed to make large
sales of wheat to the Soviet Union and
other Red nations which would help the
Reds out of difficulties caused by crop
shortages.
Of even greater significance from a
long-range point of view are the many
other items being cleared for sale to
Communist nations, including a variety
of advanced technologies, specialized
machinery and equipment, industrial
plants and related items, and goods, and
data.
There seems little doubt that we have
cooperated extensively in helping them
shore up their economy and overall
strength in vital areas.
A very important study was under-
taken by the House Select Committee on
Export Control, 87th Congress, to review
our entire export control program and
make recommendations where it found
areas of concern and need for improve-
ment. I was privileged to serve on that
committee.
The select committee, which was com-
posed of three Democrats and two Re-
publicans, conducted the study and filed
a report with the House of Representa-
tives containing some highly significant
findings and recommendations.
With regard to the overall effort of
the Communist bloc to subvert the free
world, the committee said:
It makes no more sense to strengthen the
economic potential of our cold war Com-
munist enemies than to arm them; and yet
the select committee has found glaring
instances where we have economically
strengthened countries in the Soviet bloc.
It was found that major stress was
placed by the bloc countries on obtaining
technical data from the United States.
The select committee said about this:
Immediate steps should be taken to more
effectively control the exports of technical
data. The furnishing of plans, specifica-
tions, and production details of strategic
items to the Soviet bloc in many instances
has given as much or more advantage to
those countries as the shipment of the
commodities themselves.
To underscore the need for the free
nations as a whole to join in opposing
and maintaining needed controls on the
efforts of the bloc nations to engage in
selective buying from the West to fulfill
Its critical needs, the select committee
stated:
The select committee urges that our Gov-
ernment take a firm position with our allies
to extend and make more effective interna-
tional control-of export of strategic com-
modities to Com munist countries, including
Cuba.
The Communist bloc countries often
seek to obtain single copies or limited
quantities of items from the West which
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CON6R SSIONAL RECORD -- HOUE September 2, 1965
can be used as models or prototypes for
Its industry. The select committee
recommended:
Similarly, the select committee recom-
mends tight control over export of proto-
types of single units to Communist coun-
tries. An extraordinary number of single
Uni:ts or small numbers of items ln the sci-
entific and complex mechanical categories
which could serve as mbdels or:j)rototypes
bae been licensed for shipment to these
countries in the past.
These recommendations, whiCh em-
body only some of the committee's major
views, are as pertinent today as they were
at the time the report was filed, even
More so. Yet they have been largely
ignored.
The President said at a recent press
,?
conference on August 25:
Our economic strength is the keystone Of
free world peace.
I am in full accord with that observa-
tion. It is based on a recognition of the
fact that the economic strength Of a na-
tion is the key to its overall strength,
-militarily, politically, and otherwise.
HoWevert it is also true that the eco-
ndiinic strength of the TY.S.S.R. and its
satellites is the key to the overall strength
of the bloc. It stands to reason that this
Is why they are feverishly attempting to
build up their economic base. To do this
they are turning to the free world.
The Communist system, in essence,
depends on totalitarian economic plan-
ning. 'Vhe plan of the Comniunist bloc
Is to strengthen itself by centralizing the
various capabilities within the nation
best equipped to handle them. This not
only creates more efficient uses Of the
? resourCes available to the bloc but also
produces increased sufficiency of the bloc
to act -as a whole. Trade with the out-
side is used to augment tharneeds, pref-
- &ably on a temporafy or case-by-case
134sis, to help overcome shOrtaies'or build
up Critical areas of their industries.
at is not fully known or appreci-
ted, however, is the extent to which the
administration has gone toward comply-
ing with their wishes.
As Part of this, increasingly, you are
keeing campaigns being launched to at-
terapt to sell American industry' and the
public on the idea of trading with the
Cpnimunist bloc. We are subjected to
oriSlauglit of phrases about building
bridges th
dgee to the East, that it is in our inter-
es to sell to e Communist, that we
sIioulde gage in what is called peaceful
trade, and so forth. Bars on our con-
tras on trade with the Reds relating to
ars they are in need of buying from
the West are being steadily lowered.
aust consider some of the following ex-
aMple s of licenses that- have been issued
to sell tothe Communists. The decisions
Made on these proposed shipments are,
In my view, open to serious question.
An export license was issued on July 8,
0,65, authorizing the 'Shim-nein of chemi-
cal woodpulp to the Soviet Onion valued
at $3:375,600. The chemical Pulpwood
is for use in the manufacture of rayon
tire cord which, in turn, is used in the
production of tires-. The Department of
nunerce, which issued the export li-
te se, has no information concerning
the size of tires to be produced. How-
?
ever, the rayon cord is usable to produce
both Passenger car and truck tires. Ob-
viousl ' any tires produced would have
nt
an iortant use in the Soviet military
and economic buildup. The first ship-
ment Of this pulpwood was to have gone
late in August. Three subsequent ship-
ments are scheduled for September, Oc-
tober, and November.
On July 13, 1965, the Department
issued a license authorizing shipment to
the U.S.S.R. of grinding machines valued
at $2,436,800. These machines are used
in the grinding of automotive crank-
shafts and camshafts, which are two of
the most critical precision components of
a motor. The equipment was authorized
for shipment to Moscow for use in manu-
facturing passenger automobiles and
light trucks. Again, both of these have
various uses, economic and military.
In May of this year a license was issued
to authorize shipping of technical data to
the If.S.S.R. for use in the design and
construction of an ethylene plant. The
plant is to produce ethylene by cracking
of heavy petroleum oil. One million
metric tons of heavy oil annually would
be the capacity of the plant. The ethyl-
ene production would be 240,000 metric
tons per year. The plant would also
produce other gases such as hydrogen
propane, propylene, butane, butylenes
and sOme gasoline. The Department of
Comnierce does not know what the end
use of the products would be, though it
commented that some of the major end
products are plastic, petrochemicals and
synthetic fibers.
Earlier, in April, the Department of
Comnierce issued a license to authorize
shipment to the Soviet Union of technical
data for the design and erection of a
plant to manufacture 4,000 tons annually
of para-chloroaniline and 2,500 tons
annually of di-chloroaniline. Among the
uses of these chemicals is the production
of herbicides. or weed killers, though no
specific information as to their end use
was furnished by the Commerce Depart-
ment.
Several months ago the Department of
Commerce also issued a license to au-
thorize selling to the U.S.S.R. of technical
data for the production of what was
listed by the Department merely as
chemical products. It turned out that
the technical data licensed for export
was for the production of various items
used to produce polystyrene. In response
to my request for information on the end
use, I was informed not what the poly-
styrene would be used for, but merely
What some of its applications are such as
in the manufacture of refrigerators, air
conditioners, containers of many sorts,
packaging for dishes, records, electronic
coils, and others.
What the Department of Commerce did
not say, however, is that polystyrene has
a large variety of direct military and in-
dustrial uses. It is used, for example, as
a binder in explosives. According to the
Air Force it is used to insulate the ex-
terior walls of large buildings. Polysty-
rene is used by the Army as an adapter
for attachment of fuses to demolition
blocks. The Nazis used it as an ignitor
for the V-2 rockets and for nonmagnetic
mines during World War II.
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Polystyrene capacitors are used in the
Minuteman program. Containers made
out of this type of material have been
found by our Armed Forces to be capable
of safely holding comparatively large
loads of explosive materials. Polysty-
rene is used in the manufacture of cer-
tain land mines which are fired by remote
control. Polystyrene foam has been
found to be an economical and light-
weight material to replace wooden and
steel containers to hold submarine smoke
and illumination signals and marine lo-
cation markers. These are only some of
the many uses of this highly versatile and
useful product.
A license was recently issued authoriz-
ing selling technical data to the Soviet
zone of Germany to build a fertilizer
plant. The data was for a phosphoric
acid plant with a capacity of 20,000 tons
annually for use hi the production of
various phosphate fertilizers.
On the subject of fertilizer equipment,
in 1963 the Commerce Department issued
a license authorizing exportation to the
U.S.S.R. of $9.5 million of highly auto-
mated mining machinery for use in
mining potash for fertilizer purposes.
The Department admitted that the
equipment would make a significant con-
tribution to the economic potential of the
bloc. This license was granted after
Secretary of Agriculture Freeman toured
the U.S.S.R. in 1963 and on his return
stated that Soviet Leader Khrushchev
said strong emphasis would be placed on
agriculture during the upcoming 5 years.
It was also at about that time in 1963,
that the big United States-Soviet wheat
deal was announced.
Yugoslavia is a nation which has re-
ceived special treatment in the granting
of export licenses and, as a result, a large
amount of goods and materials have been
flowing to that nation.
Copper is a very vital product for both
domestic and military uses. In fact, it
was recently reported, on August 17, that
because of the escallation of the war in
Vietnam, the Commerce Department or-
dered manufacturers of basic copper
products to increase by 10 percent, on
the average, the proportion of their pro-
ductive facilities that is set aside to fill
military orders.
Yet, over the last 2 months, during
July and August, 12 licenses were granted
authorizing shipment of copper scrap to
Yugoslavia valued at $5,436,960. What
is more, although Yugoslavia claims it
has insufficient copper supplies to meet
domestic requirements, it is a net ex-
porter of semifinished and finished cop-
per products. About one-third of its
exports goes to Communist countries,
principally the Soviet Union. It is re-
ported that Yugoslavia plans to increase
its copper production.
It is stated in the Export Control re-
port for the second quarter of 1965, just
released, that an application for export
of copper scrap valued at $481,388 to
Hungary had been denied. But what
Is the good of such action if copper scrap
can flow into the Communist bloc
through Yugoslavia.
Last year, in the spring of 1964, the
administration picked out Rumania as a
country to which special treatment would
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SE
September 2, 1965 COICTORESSIONS 1,tECO OU
U.' CORM GAPOR.E
has already deteriorated into a shameful ex-
ample Of predatory political patronage for
the big city machines. '
?Mime ACCOMMODATIONS AND FACILITIES
Republican congressional leaders strongly
supported measures to end discrimination in
both public accommodation a and public
facilities. Here is an opportunity, for the
States to lead, for on public accommodations
the enforcenient of adequate State laws pre-
cludes the entrance of the Federal GOVe/11-
MCIA: this safeguard was inserted into the
1964 act at Republic,an initiative.
No aspect of the 1964 act received greater
attention than title pIt, public accommoda-
tions. Enforeenaerit QC this title' has _been
effectively applied to privately operated
.facilities serving the general public. En-
forcement 'of' title In, however, which applies
to publicly Owned and operated facilities
suah asparks and' libraries, has been no bet-
ter than spotty. Title fit. empowers the
Attorney General to bring about compliance
through appropriate enforcement proceed-
ings. Although a number of complaints
have been received by the Department of
Justice, onlY ,18 suits have been filed as of
the middle of August 1965.
It Is, imperative that the administration
.meet its responsibility to en:brae the pro-
visions of title III no less vigorously than
title IL
STATE, PRIVATE AND LOCAL azaroNpiaarrY
,
We invite comparison of accomplishments
in those States where Republican Governors
have led effective civil rights programs with
accomplishments in the Federal Govern-
ment where, during 30 of the past 32 years
Democrats have controlled the Pongress, the
White Rouse, or both. But as Republicans we
believe that while civil rights is a national
Problem and national responsibility, it is
also the responsibility of State and local
governments as well.
The Republican Party?the party devoted
to preserving the true principles of the
federal system?is dedicated to maximizing
local responsibility. At the State and local
levels of government, we urge enactment of
laws designed to protect Constitutional guar-
antees and a vigorous implementation of such
laws. We also urge private action at the
local level to insure equal opportunity for
- all in the fields of education,, housing, em-
ployment and public accommodations.
We deplore recent moves by administra-
tion leaders to weaken, and in some cases
to deny, the traditional role of State -Goy-
eamors in matters basic to the well-being of
the citizens of their States. In adininistra-
tion-SPonsored actions by Congress this year
the role of Governors in Federal housing and
poverty programs has been thrust aside. In-
deed, the whole trend of Federal le,gislation
Lu the present Congress has been at the ex-
pense Of State responsibility. Republicans
will not rest their efforts to counter this
trend.
? CONCLusiou
In a host of fields Republicans have in-
itiated and aggressively supported legisla-
tion to prohibit discrimination. But law
cannot achieve its goal unless it is impartially
and faithfully executed by the administra-
tion in power. On the other hand, in many
areas this administration has failed to en-
force the law of the land. Republicans con-
demn this failure and demand full enforce-
tient of the law?all of the law at every
level.
Every American citizen must be afforded
full opportunity to realize the goals he
,aharess W1,L11,41 Ine/4; to be treated honorably,
to live de )y and securely, to hold a
.good' Job and to enable, his children to do
better than he has done. Our ,goal is a
land of opportunity which provides oppor-
tunity and Justice to all.
CHARGE OF 1960 PLOT
The SPEAKER pro Wmpore. Under
'previous order of the House, the gentle-
man from New York [Mr. RYAN] is rec-
-ognized for 10 minutes.
: Mr. RYAN. Mr. Speaker, this morn-
ing's New York Times contains news
which will surely shock most Americans.
It confirms the tale of an attempted
bribe of $3.3 million to the Prime Min-
ister of Singapore, Mr. Lee Kuan Yew,
o cover up an unsuccessful CIA opera-
tion in 1960.
The story serves to reiterate the need
"for careful congressional oversight of the
Central Intelligence Agency, a need
wElch I have recognized by introducing
House Joint Resolution 649, to establish
a Joint Committee on Foreign Informa-
tion and Intelligence. This legislation is
similar to that which I introduced in
both the 87th and 88th Congresses.
I have consistently stated, ever since
I was elected to the House in 1960, that
it is inconsistent with the basic con-
cepts of our democratic government to
allow a large and extremely important
agency, such as the Central Intelligence
Agency, to avoid the scfftiny ort'ne peo-
ple and their representatives by hiding
behind a veil of secrecy. The Congress
and the people have a right to know and
right to regulate the intelligence serv-
ces of this Nation. This last sordid in-
ident merely underscores the necessity
of such regulation,
Mr. Speaker, I call upon the House
iRules Committee to conduct hearings in
the near future on my bill and speed the
enactment of ?CIA oversight that is long
.overdue.
The text of the story follows:
-U.S. Abs CONFIRM SINGAPORE CHARGE OF
1960 CIA PLC:el?DENIAL IS LABELED AN ER-
ROR AFTER PRIME MINISTER LEE DISPLAYS
RUSK APOLOGY
. (By Max Frankel)
WASHINGTON, Sept. 1.?The State Depart-
ment yielded to an accuser's evidence today
and withdrew a denial of attempted espion-
age and bribery by the Central Intelligence
Agency in Singapore 5 years ago.
In effect, the Department confirmed a
'charge by Singapore Prime Minister Lee
'Kuan Yew, that a CIA ateig_r_liad offered him
a $3.3 million bribe3"t? up an unsuccess-
ful CIA operation in 1960.
In the early months of the Kennedy ad-
ministration, the Department conceded, Sec-
retary of State Dean Rusk wrote a letter of
apology to Mr. Lee. the letter took "S; very
seribms view" of the activities of the previous
Administration and indicated plans to dis-
cipline the offending intelligence agents.
PENALTY TS UNDISCLOSED
22031
velopment aid for Singapore. U.S. aid to
all of Malaysia, the federation from. which
Singapore withdrew this summer, was $3.5
million in 1963 and $4 million in 1964.
IBITTIAL DENIAL WAS PROMPT
Mr. Lee's recollection of the incident drew
immediate denials from James D. Bell, the
U.S. Ambassador to Malaysia, and several
hours later frein the State Department.
Robert 'J. McCloskey, the Department's
spokesmen, said yesterday: "First, we are
surprised at these statements attributed to
Prime Minister Lee. With respect to alle-
gations of a CIA involvement we deny that
allegation."
After Mr. Lee produced the'letter from Sec-
retary Rusk, dated April 15, 1961, and threat-
ened to broadcast tape recordings to prove
his charge, an embarrassed Mr. McCloskey
corrected himself.
"Those who were consulted yesterday were
not fully aware of the background of the in-
cident, Which occurred 414 years ago," he
said. He acknowledged Mr. Rusk's letter
without describing the "unfortunate inci-
dent' for Which the Secretary has asked for-
giveness. It was the same incident that
Prime Minister Lee was talking about, Mr.
McCloskey added.
RUSK DISTRESSED
Mr. Rink's letter said:
"DEAR MR. PRIME MINISTER: I am deeply
distressed to learn that certain officials of the
U.S. Government have been found by your
Government to have been engaged in im-
proper activities in Singapore. I want you
to know I regret very much that this un-
fortunate incident -had occurred to mar the
friendly relations that exist between our two
Governments. ?
"The new administration takes a very seri-
ous view of this matter and in fact is review-
ing activities of these officials for disciplinary
action.
"Sincerely yours,
DEAN RUSK."
Apparently, Secretary Rusk was not con-
sulted yesterday before the denial was issued.
? Relatively new officials in the Far East Di-
vision of the Department were said to have
been unaware of the case, and apparently
then failed to consult the files. Tae CIA
apparently relayed the denial of wrongdoing
that it customarily issues to the rest of the
Government when confronted by such
charges.
Asked whether Ambassador Bell had been
similarly uninformed of the background, the
Department spokesman said he had. No fur-
ther approaches were made today to the
Singapore Government. The case was long
ago marked "closed" in the files here, Mr.
McCloskey added.
11-2 INCIDENT IS RECALLED
The affair reminiscent of the 1960 case in
which. the State Department denied that a
.11-2 MOrinalasance plane had ventured deep
into Soviet territory. Moscow denounced the
intrusion without immediately disclosing
that the plane and the pilot had been cap-
tured. Later the United States was forced to
admit a falsehood.
Prime Minister Lee's sudden public at-
tacks upon the United States are described
here as puzzling. In addition to the CIA
incident, he has complained about delays in
arranging for an American physician to at-
tend to a close friend?some suggest that the
friend was his wife?and about a general
\"insensitivity" of Americans in Asia.
Mr. Lee declared yesterday that he would
never let Americans replace the British in
maintaining a military base in Singapore,
but the severity of his attack seemed to go
beyond concern about the base.
Sonic officials suggested that he might have
'been appealing for African and Asian support
_
A spokesman refused today to say what ac-
tion, if any, had been taken.
It was Prime Minister Lee's disclosure of
the Rusk letter that prompted the State De-
partment to withdraw its denial.
Mr. Lee initially made his charge yester-
ay in listing several grievances against the
United States. He said that a, CIA man had
been caught trying to buy inforrnaeion rrom
Singapore intelligence officials and that the
'United States had then offered him 1133.3 mil-
lion for personal and political use if he would
conceal the affair.
The Prime Minister said he had asked in-
stead for $33 million in formal econ.omie-de-
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Approved For Release 2004/04/08 : CIA-RDP67600446R000500010022-2
September 2, 165
CONGRESSIONAL RECORD --- HOUSE
-
ingapore's independence outside the paratory to Moving their shrps and men
1410.aysiart federation, but officials termed this
Inadequate explanation.
LEE ANGERED BY DENIAL
SINGAPORE, Sept. 1?Washington's denial
.
tSingapore's charge against 11:IA aroused
Prime Minister Lee to anger to.Ftscorting reporters into his office, he
ily jerked out files stamped "top secret."
Trig the Rusk letter into an American
COrespondent's face, he said, "The Anierl-
- CAPS, stupidly deny the undeniable."
LIKE GOLDPINGER
- "If the Americans go on denying," he said,
"rwill have to diSclose furthet details, which
may sOuncl like James Bond and "OOldfinger"
dray not as good, but Putrid- aha-grbtegque
eridith. It Will do thern no:to-64 arid Our
future relations no good."
- 'Prime Minister Lee's press secretary, Li Vet
Chin; said the Americans* lit ninon
'offer was Made in January 16I, before Presi-
dent Itennedy took Office. salcrMi. Iten-
--hedy had Inherited the problem and "to his
littlit" ruled that no monef:winilci be 'Riven
"Under the counter." 'Compens'ation would
be giVen publicly- instead, as feel& afd; ac-
Cording to Mr. ti's account of the-Iterinedy
decision. - ? ?
Prime Minister Lee said he had full reports
arid documents- relatint to the incident, in-
cluding transcripts of tape recorlfhige, in-
terrogations and meetings.
they continue denying it, I will play
ilome--Of these tapes on Singapore radio," Mr.
tee added. - "If they continue to repeat the
,denial, I will have to -dischise 'Who the in-
lkinediary was, and very high circles would
be greatly embarrassed."
.:lie added: "The Americans should know
the character Of the then they are dealing
With in Singapore and not get themselves
'further dragged into calumny. TheY-ite not
dealing With Ngo linh Diem- or Sytignian-
R4ee. You do not buy and sell this-- GOvern-
esidep the tetter attribnied toVr. Pusk,
the Prime Minister displayed SI aFc6rapanY-
'tag note: skd to be tiorn V.-PrIciriddox, who
vicas the United State COUnaul General in
.1061. VicpIaining his disclosure Of thedocu-
Meats, Mr. Lee said they were "open letters,
.Oped apologies, so T released' them."
SEEK NATIONAL PARI STATUS FOR
SHtP ISLAND
OG G8 "( t e th ?-`y t
a eq es of Mr.
xx,rEs.) was granted permfgifon to ei-
tui his remarks at this point in the
'RECORD and to include extraneous mat-
ter.)
? Mr. BOGGS. Mr. Speaker, one of the
noted islands off the coast of this great
'cbuntry of ours?an island which is
closely identified with the earlier history
of our Nation and of my State of Louisi-
ana and its neighbor, the State of Mis-
'SisSippi?is Ship 'gland; or Isle aux
itaisseaux. This 2-square-mile island,
3f1eaturing some 8 miles long and from
)olle-fifth to four-fifths of a mile wide,
lies _less than a dozen miles off the
Coast near 't ffOxi, Miss.
"eln the year 1699, Pierre Le Mo e,
Sieur D'Iberville, landed at Ship Island,
Prior to sailing on to the mouth of the
Mississippi River. He and his men found
.temporary refuge there, and tberville
t1jed the island Isle aux Vaisseanx, or
ip Island, and its nearby companion
isle, Cat Island. tater, the 11ritish ex-
edition against New Orleans, my home
city, used the island as a way station pre-
up the Mississippi River.
The island figured briefly in the Civil
War when Confederate tomes occupied it
for a short time, then abandoned the
island under orders of General Twiggs.
In the fall of 1861, Federal forces oc-
cupied Ship Island, and Admiral Far-
rugut used it as a supply base and repair
station, before launching his attack on
New ?reaps, which fell in April 1862.
After the war, in 1872 a Federal fort?
Fort 4 Mas5acillisetts?was completed;
and m the 11389's tTie island served as a
U.S, quarantine station and a customs
post..
? Today, the National Government owns
two small parcels of land which are used
by the U.S. Coast Guard. The remainder
of the island is owned by the Joe Gra-
ham Post N. 119 of the American Le-
gion?three parcels?and the Mississippi
State Park Commission?one parcel.
The Joe Graham Post of the legion, Mr.
Speaker, owns the parcel where stands
old Fort Massachusetts. It was in 1933
that Congressman WILLIAM COLMER, of
Mississippi, along with the late Congress-
man Rankin, succeeded in transferring
to the Joe Graham American Legion
Post, by means of the enactment of Pub-
lic Law 73-60, three parcels of the then
? federally owned land on the island, with
the proviso that the legion post maintain
the land for use as a recreational park.
This the members of the Joe Graham
Post have done, and today, some 40,000
tourists visit Ship Island, in order to
walk on its sandy beaches and enjoy the
warm sunshine and the salt air out of
the Gulf of Mexico.
M. Speaker, I am a native of Missis-
sippi; I was born at Long Beach on the
gulf coast of Mississippi, and I spent
many happy boyhood days there. Long
Beach is not far from Biloxi, or from
Ship Island, and in my youth, I visited
the island many times, and enjoyed
Toartiing through Port Massachusetts
and arouna that beautiful island.
Mr. Speaker, Mr. COLMER is the spon-
? sor of a bill?H.R. 6326?which would
irialce Fort Massachusetts a national
historic site, to be administered and
maintained by the Secretary of the In-
teriqr for historical, educational, and
recrational purposes. Tt seems most
fitting that all or part of Ship Island
shoUld be designated a national historic
site; or, if deerned preferable, the island
shoUld be designated as a national rec-
reational area or a national seashore.
The' role of Ship Island in the history
of our country, and particularly the
States of Mississippi and Louisiana, as
well as it beauty and its attraction to
tourists, is such that I feel strongly that
It should be approved as a national his-
torie site, or a national recreational
area, or national seashore?whichever
designation seems most appropriate by
the Department of the Interior.
Ohe of the mosl distinguished report-
ers and columnists in my city of New
Orleans today, Mr. Charles L. "Pie" Du-
four of the New Orleans States-Item.
newspaper. Pie Dufour writes a daily
column entitled "Pie's a la Mode," in
which he touches on every subject from
Approved For Release 2
his boyhood remembrances 'of New Or-
leans in the earlier years-of this century
to the great moments in the history of
our State of Louisianaiiid-bronr--Coub-
try.
Mr. Dufour is the author of several
historical works, including "The Night
the War Was Lost," in which he relates
the fall of the city of New Orleans to the
Union forces in April 1962, which was
relatively early in the War Between the
States. He emphasizes thegreat im-
portance of the capture or the Port of
New Orleans to the Union Army; and the
significant loss to the Confederacy of
this great city and the lower reaches of
the Mississippi River. The fall of New
Orleans, coupled with the Union block-
ade of Confederate ports, combined to
spell doom for the Confederacy very
early in that terrible war, and Mr. Du-
-four is deserving of great tribute for his
insight and his contributions as a pro-
found historian in the life of our country.
At this point, Mr. Speaker, I should like
to call to the attention of my colleagues
a fine column by Mr. Dufour on the de-
sirability of designating Ship Island as a
national historical site, or a national
recreational park. He is most qualified
to write authoritatively about this sub-
ject, and I ask unanimous consent to in-
clude with my own remarks this fine
column by Mr. Dufour, which appeared
In the Sunday Times-Picayune States-
Item of August 29, 1965. The column fol-
lows:
SEEK NATIONAL PARK STATUS FOR SHIP ISLAND
(By Pie Dufour)
One of the most historic spots on the
Mississippi Gulf Coast lies a bit under a
dozen miles off the mainland at Biloxi.
It is Ship Island, which is historically
identified with Louisiana, especially New Or-
leans, perhaps even more than it is identi-
fied with Mississippi.
Accordingly, Orleanians should be very in-
terested in House bill 6320 which would cre-
ate the 1,400-acre sandbar into Ship Is-
land National Historic Seashore if Congress
passes the measure.
Civil leaders and groups on the Mississippi
gulf coast are plugging hard for congres-
sional action to make a national recreation
park of Ship Island and one of the most
enthusiastic pluggers is W. James Stevens,
Gulf Coast businessman.
Ship Island, Mr. Stevens points out, "is now
owned or controlled by the Federal Govern-
meat. * * * There is no acquisition cost in-
volved should the present Congress approved
H.R. 6320." And, Mr. Stevens adds: "There
are national seashore recreational areas at
Cape Hatteras, Mc.: Cape Cod, Mass.; Point
Reyes, Calif.; Padre Island, Tex.; and pending
cOnsideration at Fire Island, N.Y."
Why not one at Ship Island, which is as-
suredly identified with American history
more than any other offshore island?
It was at Ship Island that Pierre Le Moyne,
Sieur ellberville, found safe anchorage for
his two frigates, Bactine and Marin, as he
cruised in search of the mouth of the Missis-
sippi River in February 1699. Iberville found
deep water between two islands and anchored
his ships in the shelter of one of them.
He gave this island its name, Isle aux Vais-
seaux?island of the ships, hence Ship Is-
land. His men gave the name of Cat Island
to the other because the raccoons which
abounded there were mistaken by the sailors
for wild cats.
It was from Ship Island that Iberville set
out in his two smaller craft to discover the
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roved F9EMPSH8V
ArhEMDP9g19H6R000500010022-2
S'eptirtber 2, 19 22031
has already deteriorated intan4sharitefure-f-
ample of predatory political patronage for
the big city machines.'
vg-BLIC ACCOMMODATIONS AND$',2iOnfirizs
Republican congressional' leader's strongly
supported measures to end discrimination in
both public accommodations and public
facilities. Here is an oppOrtunity for the
States to lead, for on Public acoofnmodations
the enforcem? Of adequate State lawspre-
cludes the entrance of the Federal Govern-
Ment; this safeguard was inserted into the
1964 act at Republican initiative.'
No aspect of the 19M act received greater
attention than title IT, public accommoda-
tions, Enforcement of, this title h5 been
effectively applied -to priiiitely operated
facilities serving the general public. En-
forcement of title III, however, which applies
to publicly owned and opeinted facilities
such as parks and libraries, has been no bet-
ter than spotty. Title IIT empowers the
Attorney General to bring abbut compliance
through appropriate enforceinent proceed-
ings. Although a number of complaints
-have been received by the Department of
Justice, only 18 suits have been filed as of
the middle of August 1965. -
'It is Imperative that the administration
meet its responsibility to enforee the pro-
visions of title fT no less vigorously than
title II.
STATE, PRIVATE AND LOCAL?
REtPONETRILITY
We invite comparison of accomplishments
In those States where Republican Governors
have led effective civil rights programs with
accomplishments in the Vederal Govern-
ment where; during M) of the past 32 years
Democrats have controlled the Congress, the
White House, or both. But as Republicans we
believe that while civil rights is a national
problem and national responsibility, it is
also the responsibility of State and local
governments as well.
The Republican Party?the party devoted
to preserving the true principles of the
federal system?is dedicated to maximizing
local responsibility. At the State and local
levels of government, we urge enactment of
laws designed to protect Constitutional guar-
antees and a vigorous implementation of such
laws. We also urge private action at the
? local level to insure equal opportunity for
all in the fields of education, housing, em-
ployment and public accommodations.
We deplore recent moves by administra-
tion leaders to weaken, and in some cases
? to deny, the traditional role of State Gov-
ernors in matters basic to the well-being of
the citizens of their States. In administra-
tion-sponsored actions by Congress this year
the role of Governors in Federal housing and
poverty programs has been thrust aside. In-
deed, the whole trend of Federal legislation
in the present Congress has been at the ex-
pense of State responsibility. Republicans
will not rest their efforts to counter this
trend.
CONCLUSION
In a host of fields Republicans have in-
itiated and aggressively supported legisla-
tion to prohibit discrimination. But law
cannot achieve its goal unless it is impartially
and faithfully executed by the administra-
tion in power. On the other hand, in many
areas this Rdrpinistration has failed to en-
force the law of the land. Republicans can-
tle= this failure and demand full enforce-
ment of the law?all of the law at every
-level,
Every American citizen must be afforded
full opportunity to realize the goals he
? ,allare? with all men; to be treated honorably,
:AO jive decently and securely, to hold a
good job and to enable his children to do
better than he has done. Our goal is a
land of opportunity which provides oppor-
tunitk and justice to all. "
? tr:s.? ArDS CONFIRVI. SINGAPORE
CHARGE OF 1960 CIA PLOT
The SPEAKER pro tempore. Under
previous order of the House, the gentle-
man from New York [Mr. RYAN] is rec-
ognized for 10 minutes.
Mr. RYAN. Mr. Speaker, this morn-
ing's New York Times contains news
which will surely shock most Americans.
It confirms the tale of an attempted
bribe of $3.3 million to the Prime Min-
ister of Singapore, Mr. Lee Kuan Yew,
to coVer up an unsuccessful CIA opera-
tion in 1960.
The story serves to reiterate the need
for carelul congressional oversight of the
CehtFarTriteitigence Agency, a need
*fah I have recognized byint-fo-d-ilein-i
House Joint Resolution 649, to establigh
a JOIrit Committee on-1501;61er Trifainia,-
tion and Tntellimg-ence. Tfigle-giStation is
similar to that -iv-1i.1-oh I introduced in
both the 87th and 88th Congresses.
I have consistently stated, ever since
I was elected to the House in -1960, that
it is inconsistent with the basic con-
cepts of our democratic government to
allow a large and extremely important
agency, such as the Central Intelligence
Agency, to avoid the scrutiny of the peo-
? ple and their representatives by hiding
behind a veil of secrecy. The Congress
and the people have a right to know and
a right to regulate the intelligence serv-
ices of this Nation. This last Sordid in-
cident merely underscores the necessity
of such regulation.
Mr. Speaker, I call upon the House
Rules Committee to conduct hearings in
the near future on my bill and speed the
enactment of CIA oversight that is long
overdue.
The text of the story follows:
U.S. AIDS CONFIRM SINGAPORE CHARGE OF
1960 CIA PLOT?DENIAL IS LABELED AN ER-
ROR APT.E.R PRIME MINISTER LEE DISPLAYS
Ram APOLOGY
(By Max Frankel)
WASHINGTON, Sept. 1.?The State Depart-
ment yielded to an accuser's evidence today
and withdrew a denial of attempted espion-
age and bribery by the Central Intelligence
Agency in Singapore 5 years ago.
In effect, the Department confirmed a
charge by Singapore Prime Minister Lee
Kuan Yew, that a CIA agent had offered him
a $3.3 million bribe to cover up an unsuccess-
ful CIA operation in 1960.
In the early months of the Kennedy ad-
ministration, the Department conceded, Sec-
retary of State Dean Rusk wrote a letter of
apology to Mr. Lee. The letter took "a very
serious view" of the activities Of the previous
Administration and indicated plans to dis-
cipline the offending intelligence agents.
PENALTY LS UNDISCLOSED
A spokesman refused today to say what ac-
tion, if any, had been taken.
It was Prime Minister Lee's disclosure of
the Rusk letter that prompted the State De-
partment to Withdraw its denial.
Mr. Lee initially made his charge yester-
day in listing several grievances against the
United States. He said that a CIA man had
been caught trying to buy information from
Singapore intelligence officials and that the
United States had then offered him $3.3 mil-
lion for personal and political use if he would
conceal the affair.
The Prime Minister said he had asked in-
stead for $33 million in formal economic-de-
Velopment aid for Singapore. U.S. aid to
all of Malaysia, the federation front which
Singapore withdrew this summer, was $3.5
million in 1963 and $4 million in 1964.
INTTIAL DENIAL WAS PROMPT
Mr. Lee's reeollection of the incident drew
immediate denials from James D. Bell, the
U.S. Ambassador to Malaysia, and several
hours later from the State Department.
Robert J. McCloskey, the Department's
spokesmen, said yesterday: "First, we are
surprised at these statements attributed to
Prime Minister Lee. With respect to alle-
gations of a CIA involvement, we deny that
allegation."
After Mr. Lee produced the letter from Sec-
retary Rusk, dated April 15, 1961, and threat-
ened to broadcast tape recordings to prove
his charge, an embarrassed Mr. McCloskey
corrected himself.
"Those who were consulted yesterday were
not fully aware of the background of the in-
cident, which occurred 41/2 years ago," he
said. He acknowledged Mr. Rusk's letter
without describing the "unfortunate inci-
dent" for which the Secretary has asked for-
giveness. It was the same incident that
Prime Minister Lee was talking about, Mr.
McCloskey added.
RUSK DISTRESSED
Mr. Rusk's letter said:
"DEAR MR. PRIME MINISTER: I am deeply
distressed to learn that certain officials of the
U.S. Government have been found by your
Government to have been engaged in im-
proper activities in Singapore. I want you
to know I regret very much that this un-
fortunate incident had occurred to mar the
friendly relations that exist between our two
Governments.
"The new administration takes a very seri-
ous view of this matter and in fact is review-
ing activities of these officials for disciplinary
action.
"Sincerely yours,
DEAN RUSK."
Apparently, Secretary Rusk was not con-
sulted yesterday before the denial was issued.
Relatively new officials in the Far East Di-
vision of the Department were said to have
been unaware of the case, and apparently
then failed to consult the files. The CIA
apparently relayed the denial of wrongdoing
that it custOniarily issue's to the rest of the
Government when confronted by such
charges.
Asked whether AmbassadOr Bell had been
similarly uninformed of the background, the
Department spokesman said he had. No fur-
ther approaches were made today to the
Singapore Government. The case was long
ago marked "closed" in the files here, Mr.
McCloskey added.
II-2 INCIDENT IS RECALLED
The affair reminiscent of the 1960 case in
which the State Department denied that a
11-2 reconnaissance plane had ventured deep
into Soviet territory. Moscow denounced the
intrusion. without immediately disclosing
that the plane and the pilot had been cap-
tured. Later the United States was forced to
admit a falsehood.
Prime Minister Lee's sudden public at-
tacks upon the United States are described
here as puzzling. In addition to the CIA
Incident, he has complained about delays in
arranging for an American physician to at-
tend to a close friend?some suggest that the
friend was his wife?and about a general
"insensitivity" of Americans in Asia.
Mr. Lee declared yesterday that he would
never let Americans replace the British in
maintaining a military base in Singapore,
but the severity of his attack seemed to go
beyond concern about the base.
Some officials suggested that he might have
been appealing for African and Asian support
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Approved For Re
. . ,
Singapore's independence outside the,
aysian federation, but officials termed this
inadequate explanation. ,
LEE, ANGERED BY pENIAL
GaPORE, Sept. 1?Washington's denial'
iigapore's charge against the CIA aroused,.
me:lqinister Lee to anger today.
,orting reporters into his office, he
fly jerked out files stamped "top secret."
the Rusk letter into an. . American
t eSporident's face, he said, ".The,. Am.eri
-
ce'vw.,.tljs stupidly deny the undeniable.'
mitt "GoLDYINeER"
- "if the Americans go on denying," he said,
11s. which
"I will have to disclose further qt?ol-cifin:_er,,
may sound like 'James' Bond and an ., $
only not as good, but putrid.. daterque,,
eillingh. It will d6 them no goof and our
, future relations no good."
Prime Minister Lee's press secretary, Li t.7. ei
Chin, said the -Americans' $3 Million bribe
offer was made in January 1961, before Presi-
dent Kennedy took atlas. He said Mr. Iten-_,
nedy had inherited the probiem and "to his
, credit" ruled that no money .would: be given
"tinder the counter." Compensation would
be givenpublicly instead, as foreign aid, ac-
' eording to Mr. Li's account of the Kennedy
- deelsion.
prime Minister Lee said he bad. '1,4il reports
led documents relating to the incident, in-
eluding transcripts of tape recordings, in-
terrogations and meetings.
- l'It they continue denying it, I will play
.aonie of these tapes on 8ingapOre radi"O,'"Mr.
-Lee added. ''/f they continue to repeat the
.(rehial, I will have to .disclose who the in-
tetinediary Was, and very high 'circles would
'
be greatly embarrassed."
He added: "The Americans "Slieq.ld plow
the character of the men, they are dealing
With in Singapore and not get' themselves
thither dragged into calumny, They are not
'dekling with Ngo Dinh Diem Or Syngman
' Rhee. You do not buy and sell this Govern-
,
_,
' fiesides the letter attribtite.4 to? 14.,r. 4'454,
the'Prime........*,"nisterAlipplayed an accompany-
ing note, said to be from W.?.' gaddox, Who
:Was the 'United eq:
, Stat,.004n,akit "General in
Lm.,
1961. Explaining his disclosure of the docu-
ents, Mr. tee said they were "open letters,
- open apologies, so I released them."
.?
BEEK NATIONAL PARK STATUS POit
- SHIP ISLAND
Mfr. no6as (at the request of kr.
Erawga) Was granted permission to ex-
. e6d his remarlcs at. this Point in the
REcoan and to include extraneous mat-
ter.)
Mr. BOGGS. Mr. Speaker, one of the
noted islands off the coast of this great
eblIntry of ours?an island which is
closely identified with the earlier history
Of plIr Nation and of my State of Louisi-
anja' and its neighbor, the State of Mis-
sissippi?is Ship Island, or Isle aux
Vaisseaux. This 2-square-mile island,
measuring some 8 miles long and from
e-fifth to four-fifths of a mile wide,
ties less than a dozen miles off the Mis-
zissippi Gulf Coast near Biloxi, Miss.
;n the year 1699, Pierre Le Moyne,
Slur D'Iberville, landed at Ship Island,
Prior to sailing on to the mouth of, the
Mississippi River. He ,the
hisinen found
teraporary refuge there and Iberville
nalned the island Isle aux Vaisseaux, or
SIO Island, and its nearby companion
isle, Cat Island. Later, the British ex- ,
pedition against New Orleans, my home
city, used the island as a way station pre-
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ts41VNAL liTcQar).,,fiQusE September 2, 1965
paratory to moving their ships and men
up the Mississippi River.
The island figured briefly in the Civil
War when Confederate forces occupied it
for a short time, then abandoned the
island under orders of General Twiggs.
In the fall of 1861, Federal forces oc-
eupied Ship Island, and Admiral Far-
rugut used it as a supply base and repair
station, before launching his attack on
New Oreans, which fell in April 1862.
After the war, in 1872, a Federal fort?
Fort , Massaaw.Setts?waa completed;
and in the 1880's the island served as a
U.S. quarantine station and a customs
Post.
Today, the National Government owns
two =all parcels of land which are used
by the U.S. Coast Guard. The remainder
of the island is owned by the Joe Gra-
ham Post No. 119 of the American Le-
gion?three parcels?and the Mississippi
State Park Commission?one parcel.
The Joe Graham Post of the legion, Mr.
Speaker, owns the parcel where stands
old Port Massachusetts. It was in 1933
that Congressman WILLIAM COLMER, of
Mississippi, along with the late Congress-
man Rankin, succeeded in transferring
to the Joe Graham American Legion
Post, by means of the enactment of Pub-
lic Law 73-60, three parcels of the then
federally owned land on the island, with
the proviso thattlXe legion post maintain
the land for use as a recreational park.
This the members of the Joe Graham
Post have done, and today, some 40,000
-tourists visit Ship Island, in order to
walk on its sandy beaches and enjoy the
Warin sunshine and the salt air out of
the Ciulf of Mexico.
Mr. Speaker, I am a native of Missis-
sippi I was born at Long Beach on the
gulf coast of Mississippi, and I spent
many happy boyhood days there. Long
Beach is not far from Biloxi, or from
Ship Island, and in my youth, I visited
the island many times, and enjoyed
roaming through Fort Massachusetts
and around that beautiful island.
Mr. Speaker, Mr. COLMER is the spon-
sor of a bill?H.R. 6320?which would
make Fort Massachusetts a national
historic site, to be administered and
maintained by the Secretary of the In-
terior for historical, educational, and
recreational purposes. It seems most
fitting that all or part of Ship Island
should be designated a national historic
site; 4;3r, if deemed preferable, the island
should be designated as a national rec-
reational area or a national seashore.
The role of Ship Island in the history
of our country, and particularly the
States of Mississippi and Louisiana, as
well as its beauty and its attraction to
tourists, is such that I feel strongly that
It should be approved as a national his-
toric , site, of a national recreational
area or national seashore?whichever
designation seems most appropriate by
the Department of the Interior.
One of the most distinguished report-
ers and columnists in my city of New
Orleans today, Mr. Charles L. "Pie" Du-
four of the New _Orleans States-Item
newspaper. Pie Dufour writes a daily
column entitled "Pie's a la Mode," in
wh1cl he touches on every subject from
Approved For Rele
his boyhood remembrances of New Or-
leans in the earlier years of this century
to the great moments in the history of
our State of Louisiana and of our coun-
try.
Mr. Dufour is the author of several
historical works, including "The Night
the War Was Lost," in which he relates
the fall of the city of New Orleans to the
Union farces in April 1962, which was
relatively early in the War Between the
States. He emphasizes the great im-
portance of the capture of the Port of
New Orleans to the Union Army; and the
significant loss to the Confederacy of
this great city and the lower reaches of
the Mississippi River. The fall of New
_Orleans, coupled with the Union block-
ade of Confederate ports, combined to
spell doom for the Confederacy very
early in that terrible war, and Mr. Du-
four is deserving of great tribute for his
insight and his contributions as a pro-
found historian in the life of our country.
At this point, Mr. Speaker, I should like
to call to the attention of my colleagues
a fine column by Mr. Dufour on the de-
sirability of designating Ship Island as a
national historical site, or a national
recreational park. He is most qualified
to write authoritatively about this sub-
ject, and I ask unanimous consent to in-
clude with my own remarks this fine
column by Mr. Dufour, which appeared
in the Sunday Times-Picayune States-
Item of August 29, 1965. The column fol-
lows:
SEEK NATIONAL PARK STATUS FOR SHIP ISLAND
(By Pie Dufour)
One of the mast historic spots on the
Mississippi Gulf Coast lies a bit under a
dozen miles off the mainland at Biloxi.
It is Ship Island, which is historically
identified with Louisiana, especially New Or-
leans, perhaps even more than it is identi-
fied with Mississippi.
Accordingly, Orleanians should be very in-
terested in House bill 6320 which would cre-
ate the 1,400-acre sandbar into Ship Is-
land National Historic Seashore if Congress
passes the measure.
Civil leaders and groups on the Mississippi
gulf coast are plugging hard for congres-
sional action to make a national recreation
park of Ship Island and one of the most
enthusiastic pluggers is W. James Stevens,
Gulf Coast businessman,
Ship Island, Mr. Stevens points out,' "Is now
owned or controlled by the Federal Govern-
ment. * * * There is no acquisition cost in-
-volved should the present Congress approved
HR. 6320." And, Mr. Stevens adds: "There
are national seashore recreational areas at
Cape Hatteras, N.C.; Cape Cod, Mass.; Point
Reyes, Calif.; Padre Island, Tex.; and pending
consideration at Fire Island, N.Y."
Why not one at Ship Island, which is as-
suredly identified with American history
more than any other offshore island?
It was at Ship Island that Pierre Le Moyne,
Sieur d'Iberville, found safe anchorage for
his two frigates, Bacline and Marin, as he
cruised in search of the mouth of the Missis-
sippi River in February 1699. Iberville found
deep water between two islands and anchored
his ships in the shelter of one of them.
Ile gave this island its name, Isle aux Vats-
seaux?island of the ships, hence Ship Is-
land. His men gave the name of Cat Island
to the other because the raccoons which
abounded there were mistaken by the sailors
for wild cats.
It Was from Ship Island that Iberville set
out in his two smaller craft to discover the
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? September 17, 1965 CONGRESSIONAL RECORD ? HOUSE
H.R. 10238: Service Contract Act of
1965.
H.R. 9830: Amending Federal Prop-
erty and Administrative Services Act to
permit reimbursement to a State ,or po-
litical subdivision for sidewalk repair
and replacement.
Mr. Speaker, these suspensions may
not necessarily be called up in this order.
Also on Monday there will be H.R.
9247, HemisFair 1968, to be considered
under an open rule with 1 hour of de-
bate; and H.R. 30, Inter-American Cul-
tural and Trade Center, to be considered
under an open rule with 1 hour of
debate.
Tuesday is Private Calendar Day.
For Tuesday and the balance of the
week:
S. 2300, river and harbor, beach ero-
sion, flood control projects, and water
supply, to be considered under an open
rule, waiving points of order, with 3
hours of debate. That is the omnibus
rivers and harbors and flood control bill.
H.R. 7371, to amend the Bank Holding
Company Act of 1956, to be considered
under an open rule with 4 hours of de-
bate.
H.R. 10232, rural water and sanitation
facilities, to be considered under an open
rule waiving points of order, with 2
hours of debate.
S. 2294, Extension of Wheat Agree-
ment Act, to be considered under an
open rule with 1 hour of debate.
S. 306, Clean Air and Solid Waste Dis-
posal Acts, to be considered under an
open rule with 2 hours of debate.
? KR. 3140, Heart Disease, Cancer, and
Stroke Amendments of 1965, to be con-
sidered under an open rule with 3 hours
of debate.
This announcement, of course, is made
subject to the usual reservation that con-
ference reports may be brought up at any
time and that any further program may
be announced later.
I must advise Members that there will
be conference reports, and some very im-
portant ones, next week.
- ADJOURNMENT TO MONDAY,
SEPTEMBER 20, 1965
Mr. ALBERT. Mr. Speaker, I ask
unanimous consent that when the House
adjourns today it adjourn to meet on
Monday next.
The SPEAKER. Is there objection to
the request of the gentleman from
Oklahoma?
There was no objection.
CALENDAR WEDNESDAY BUSINESS
DISPENSED WITH
Mr. ALBERT. Mr. Speaker, I ask
unanimous consent to dispense with
business in order on Calendar Wednes-
day of next week.
The SPEAKER. Is there objection
to the request of the gentleman from
Oklahoma?
There was no objection.
BEN P. JENSEN?CORRECTION OF
THE RECORD
(Mr. GROSS asked and was given
permission to address the House for 1
minute and to revise and extend his
remarks.)
Mr. GROSS. Mr. Speaker, in the
CONGRESSIONAL RECORD of this morning
I find reference to "the late Ben F.
Jensen, of Iowa."
I am sure this was an inadvertent or
typographical error. I am pleased to
announce to the House that our former
colleague, Ben Jensen, is hale and
hearty, and as active in politics as ever.
RESTORE POSTAL SERVICE TO
AMERICA
(Mr. LANGEN (at the request of Mr.
HUTCHINSON) was granted permission to
extend his remarks at this point in the
RECORD and to include extraneous mat-
ter.)
Mr. LANGEN. Mr. Speaker, now that
the Post Office Department has shame-
fully confessed its political spoils system
in hiring summer youths, and has agreed
to reveal their names, perhaps the
Washington planners can find a little
time to provide a bit of mail service to
the Nation. After all, service should be
the prime concern of these people, and
it is time they were reminded that pres-
ent policies are providing little of that
important commodity.
It was just 21/2 months' ago that the
Department planners implemented their
grand scheme for America, and the re-
sulting confusion and mounting exam-
ples of deteriorating service is almost
unbelievable. I said at that time that
mail service would suffer, especially in
rural America, and the mountain of mail
that has accumulated since indicates
that service, indeed, has suffered.
I have a long list of examples of the
complaints I continue to get. For in-
stance, a superintendent in one of our
schools needed an application blank for
the National Defense Education Act.
He finally got it 9 days after it was post-
marked from a city just 150 miles away.
The delay could have cost his school
thousands of dollars, and would have if
other Government people had not rec-
ognized the problems being faced by
users of the mails and given him an ex-
tension of time. The same superinten-
dent experienced a similar delay in the
mails this past August when he at-
tempted to communicate with a pros-
pective teacher. He lost the teacher in
the process and did not obtain a replace-
ment until a week after school opened.
I hear regularly from our local news-
paper editors who are justifiably con-
cerned over the decreased service they
get these days. They now have the
added expense of sacking their own mail,
waiting needless extra days to receive
mats and pictures through the mail, and
then are rewarded with complaints from
their subscribers who fail to receive their
papers within a reasonable time. Ex-
amples along 'this line even include de-
livery of a paper through the mail to a
man a block away from the newspaper
office. The mail, sacked by the newspa-
per, goes to a neighboring town first and
then this man's paper is trucked back to
the local post office. As one editor put
it:
23419
A newspaper that isn't delivered to a read-
er is about as useless as anything we can
think of.
About the only things more useless are
the Washington planners who keep tell-
ing us that our mail service is better
than ever.
I note, Mr. Speaker, that the Post Of-
fice Department wants a supplemental
appropriation with which to hire an ad-
ditional 13,200 career employees to
handle what they call the increased vol-
ume of mail. If they are to be hired on
the same basis as the summer employees,
I would say to forget it. They would be
too busy politicking to be of much help
to the harassed postal workers of the Na-
tion who are forced to suffer under a sys-
tem they did not create.
What we need most in the country is
a change in policy that will restore the
postal service to its former efficiency
when neither hail, wind, dark of night of
the ZIP code number could keep your
mail from reaching its destination on
time.
As one of my constituents put it re-
cently:
We spend money like mad to get to the
moon or unite capsules in space, but we can-
not devise a reliable plan to send a small
piece of mail just 26 miles clown the road.
I suggest we not only can, but must,
devise such a system, and it is time for
the Department to forget politics and get
with it.
? (Mr. LANGEN (at the request of Mr.
HuranwsoN) was granted permission to
extend his remarks at this point in the
RECORD and to include extraneous
matter.)
[Mr. LANGEN'S remarks will appear
hereafter in the Appendix.]
AR UP TO IT?
(Mr. EDWARDS of Alabama (at the
request of Mr. HurcumrsorT) was granted
permission to extend his remarks at this
point in the RECORD and to include ex-
traneous matter.)
Mr. EDWARDS of Alabama. Mr.
Speaker, the recent incident in which our
State Department was acutely embar-
rassed in firkt.denying and then admit-
ting a charge made against us by the
Singapore Prime Minister suggests once
again that perhaps the United States is
simply not meeting the tests of world
leadership, particularly in Asia.
Furthermore, it appears likely that
other nations have understood this for
some time, and we as Americans have not
grasped it yet. There must be a strong
feeling in halls of governments around
the world that the Johnson administra-
tion, like the Kennedy administration
before it, lacks a basic understanding of
how to handle U.S. relations with Asian
nations.
Two days ago Pakistan's Government
issued a sharp challenge to us to use our
influence to stop the Pakistan-India con-
flict. There may be several meanings at-
tached to that challenge. But whatever
else it may be, it is an indication of the
low respect with which Asian nations
view our ability to adequately deal with
Asian affairs.
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23420
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CONGRESSIONAL RECORD ? HOUSE september 17, 1955
'The Singapore affair is further dis-
cussed in the following editorial from
the Birmingham Post Herald of Septem-
ber 9:
FOOT IN UNCLE'S MOUTH
ery once in a while, somebody opens his
?Ith and puts his foot, not in it, but in
pele Sarres. That hurts us all.
0, don't know the exact ins and outs of
the charge by Singapore Prime Minister -Lee
Ilan. Yew that back in 1960 a bribe of $3
Million was offered by a CIA agent and that
later a letter of apology arrived from. in-
coming Secretary of State Dean Rusk, along
with a statement that the new Kennedy
administration would not countehance such
,
goings on.
We do know that both at the State De-
partment and in Malaysia on 'Tuesday, '17.S.
spokesmen denied flatly that the incident
ever occurred. And that on Wednesday, the
State Department discovered the Rusk let-
ter after Lee revealed he had not only a
copy of it but a tape recording Of conversa-
tions with the CIA agent.
The point at issue is not to criticize Mr.
Lee, who apparently brought up the matter
tor domestic political reasons. Nor is it to
castigate the CIA, since details of the original
affair are obscure.
Whet bothers us?and considerably?is
that the State Department could be SO posi-
tive on one day that nothing of the sort
ever happenect and so positive on the next
day that it did.
In the famous II-2 incident which also
ocpurred in 1960, misrepresentation by U.S.
officials made this country look ridiculous in
the eyes of the world. Handling of this
latest affair gives us reason to wonder if
our official spokesmen really have learned
anything since then. '
continued survival and well-being. Doesn't
eve- yone?
(Mr. MOORE (at the request of Mr.
HyrcTIThsow) was granted permission to
extend his remarks at this point in the
RECORD and to include extraneous
matter.)
[Mr. MOORE'S remarks will appear
hereafter in the Appendix.]
(Mr. MOORE (at the request of Mr.
HUTCHINSON) was granted permission to
extend his remarks at this point in the
REcogn and to include extraneous
matter.)
[Mr. MOORE'S remarks will appear
hereafter in the Appendix.]
/ want also to include in my remarks
an editorial on the same subject which
Was broadcast' over stations WBRC and
WBRC-TV in Birmingham oh Septem-
ber 8:
No ESPIONAGE EXPERTSTFIE UNITED STATES
Once again the United States has jumped
Into a situation Involving -foreign relations
With both left feet. Why do We always have
to get caught in a lie, and then turn around
and admit it, branding ourselves as liars be-
fcire, the whole world?
What if we did want information available
In Singapore in 1960 bad enough to pay $3
million for it? We are engaged in the in-
telligence business, and we'd better stay in it
as effectively as possible.
"We don't know what prompted Singapore's
Prime Minister, Lee Khan Yew to bring up
the matter of a State Department apology
dated April 15, 1961, at 'this late date, but
he Minced no words over the State Depart-
Ment's denial of his charges that the TI.S.
Government offered 'him a $3 million bribe to
keep quiet about the arrest of a Central
Intelligence Agency operative who allegedly
tried to buy state secrets. Lee said the
U,S. Government was stupidly denying the
'Undeniable" and threatened documentation.
At, this point the State Department ad-
Yhitted the whole incident. ?
- If our State Department does not yet know
that to the oriental iriind honor and face
some before even life itself, it's time they
learned. Prime Minister Lee `could not have
done other than he did, throwing the mat-
ter full in the face of the TES. Government.
This is getting to be too much of a habit
with our country : President Eisenhower and
the 1:1,-2 flights over Russia? first denied,
then admitted; President Kennedy and the
Missiles in Cuba, first denied, then admitted.
. , ,
It would be much better if we announced to
that we intend to use any means at hand
to gain the information necessail for our
ARMED FORCES INSIGHT TO THE
RESERVES DISPUTE
(Mr. HOSMER (at the request of Mr.
HUTCHINSON) was granted permission
to extend his remarks at this point in
the RECORD and to include extraneous
matter.)
Mr. HOSMER. Mr. Speaker, now that
Secretary McNamara has announced he
will continue to seek the merger of the
Armed Forces Reserves and National
Guard, the following series of three fine
articles on the problem are again per-
tinent. Mr. Everett W. Hosking, author
of the series has for many years been
regarded as one of the Nation's out-
standing experts concerning the subject
about which he has written.
The three-part series follows:
serve services will seal the fate of the Navy
and Marine Reservists.
The transfer to the National Guard of the
Army Reserves would directly affect 3,519
officers and 22,508 enlisted men in Los An-
geles and Orange counties who are now af-
filiated with the Army Reserve.
Basically, Secretary McNamara's proposal
regarding the Army Reserve would reduce
their strength by 150,000 men who would
be transferred to the National Guard and
cl'inn-te 21 Army Rcs'?rve combat diyis'o-r.
Those who did not transfer would be retained
in a pool monitored by a central headquar-
ters but would receive no training other
than correspondence courses.
Secretary McNamara claims that the
changes would significantly improve the
early deployment capability and the combat
readiness of the Reserve, that the plan brings
the Reserve structure in line with the con-
tingency war plans and the related equip-
ment program; the plan would produce In-
creased readiness of units in the Reserve
and the National Guard and primarily that
the plan would streamline the management
structure of the Army Reserve Forces and
would result in a cost savings of $150 million
a year.
One of the chief complaints about Mc-
Namara's proposal was that it was con-
ceived in secrecy and "broken" to newsmen
on December 12, 1964 when Congress was not
in session and that it bypassed the Reserve
Policy Committee which is set up by law to
supervise the Reserve structure.
The Reserve Officers Association has
pointed out that only the Congress of the
United States can make major changes in the
statutory structure and policy of the mili-
tary?yet this decision was made before the
national election and the decision was an-
nounced after the election and while Con-
gress was not in session.
They charge that "historically it has been
proven that control and command of all
military forces committed' to the defense of
the Nation must rest with the Armed Serv-
ices. To propose the fragmentation of this
authority among 52 National Guard jurisdic-
tions will result in organization chaos, de-
terioration of combat readiness, and the ero-
sion of every purpose of these men and
weapons."
Chairman HEBERT of the congressional sub-
committee hearing testimony on the merger
says this:
"The Government of the United 'States
belongs to the people who must stake their
property and their lives in its defense. They
have a right to know?within the limits of
security?about all the behind-the-scenes
maneuvers which affect their national secu-
rity and pose dangers to it. I am determined
that this knowledge shall be theirs.
"The question at issue is not the merit nor
lack of merit of this newly and secretly con-
cocted plan, but the stealthy manner in
which it was conceived and prepared and
then fed to those who should have been
consulted when the plan was in its embry-
onic stage.
"The statement by Secretary McNamara
that this plan will save $150 million is like
too many other statements which he makes
about savings but which are, in reality, as
phony as a three dollar bill. If he is correct
in his allegations, he should be anxious to
have the opportunity to put his cards on the
table face up so that all might see. There
must be a reason why he consistently fails to
take the Congress and other responsible
groups and individuals into his confidence.
"Two years ago the House Armed Services
Committee, in its report on the Reserve re-
organization, observed that Secretary Mc-
Namara was not draped with the cloak of in-
fallibility nor did he enjoy the wisdom of the
Deity. That observation becomes mare valid
- with the passing of each da
THE "QUIET" WAR OVER OUR RESERVES?PART 1
(By Everett W. Hosking)
While crises grow and manpower shrinks,
what some say is one of the most important
battles in history is going on?almost with-
out notice?in Washington.
The. battle is over Secretary of Defense
Robert McNamara's plan to realine the re-
serve structure of the Armed Forces of the
United States.
Secretary McNamara's opponents, pointing
out that the citizen soldier has historically
been the backbone of the Nation's defense,
say that the strong-willed Defense Secre-
tary is out to scuttle the Nation's reserve
forces.
Regardless of the motive, ultimate out-
come of the proposed realinement will di-
rectly affect nearly 70,000 men and women
? in the greater Long Beach-Orange County
area.
This figure includes men of the Army,
Navy, Air Force, and Marine Corps Reserve
and members of the California National
Guard.
Of immediate importance to all branches
of the Reserve are hearings being conducted
in Washington by a subcommittee of the
House Military Affairs Committee headed by
Congressman F. EDWARD HEBERT on a pro-
posal to transfer men of the Army Reserve
Into the National Guard of the various States.
Outcome of this hearing will unquestionably
-affect the other branches of the Reserve
forces.
A, similar proposal to transfer the Air
Force Reserve into the Air National Guard
scheduled to be announced in January has
been held in abeyance--presumably to see
how the proposed Army-National Guard mer-
ger fares.
While the Navy and Marine Corps Reserv-
ists have not been mentioned, many reserv-
ists feel that the doom of the other two Re
9."
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Septemler 4-5, 1965 COD?TGRESSIONAL RECORD -- SENATE
Mr. ROBERTSON. With that under-
standing I shall not object, but I hope
after that we may proceed with the bill,
because it is not a minor bill.
Mr. RANDOLPH. I agree with the
Senator from Virginia, and for that rea-
son, very frankly, I hope Senators will
not discuss this nongerrna,ne subject.
I ask unanimous consent that the Sen-
ator from Delaware be permitted to
speak.
The PRESIDING OFFICER. Does
the request of the Senator from West
Virginia include any time limitation?
The Chair is asking for information.
Mr. WILLIAMS of Delaware. No.
The PRESIDING OleieiCER. Does
the Senator make any request as to re-
tention of the floor?
Mr. WILLIAMS of Delaware. No; I
do not do that.
The PRESIDING OFFICER. Is there
objection to the request? None is heard,
and it is so ordered.
Mr. WILLIAMS of Delaware. Before
I proceed, I understand that there is no
time limitation; is that correct?
The PRESIDING OFFICER. The
Senator is correct.
Mr. WMI,IAMS of Delaware. I shall
be brief. As I told the Senator from
West Virginia I would not want a time
limitation. I appreciate the fact that
there is an important bill before the
Senate, and I appreciate the fact that
he wishes to proceed to discuss it.
I point out, however, that there is
nothing world shaking in the bill. I
tried to obtain a copy of it this morning
as late as 10 o'clock, and it had not even
come back from the printer, which shoWs
how fast we are moving. It is about a
$320 million bill which is before the
Senate for consideration. It had not
even been printed until about an hour
ago, and certainly the Texas steam
roller, even under the Great Society, can
slow down that long.
I am correct, then, in my understand-
ing that there is no time limitation as
far as I am concerned; however, I assure
the Senators that I shall take no longer
than -necessary.
NOMINATION OF DAVID BRESS TO
BE DISTRICT ATTORNEY FOR DIS-
TRICT OF WASHINGTON, D.C.
Mr. WILLIAMS of Delaware. Ur.
President, the nomination of Mr. David
Bress to fill the vacancy as district at-
torney for the District of Washington,
Dc., has been submitted to the Senate.
I do not know Mr. Bress. He may be
a very able man. He may be a man of
the greatest integrity; however, in the
light of the past position which Mr. Bress
had as one of the attorney for Bobby
Baker's vending company, it is not
proper that he be appointed at this time
as the 'U.S. attorney in Washington; D.C.
It is common knowledge that a Fed-
eralsr.,and jury is at work in the District
of CCOMMbla on the a#airs of Mr. Robert
0. 'Baker. Although Mr. Bress might
disassociate himself from the work of
the Baker grand jury, I do not believe
this is enough. There must be an in-
veStigation that is thorough and aggres-
We And ene that appears to be thorough
and aggressive in every respect.
?
It is not only important that the in-
vestigation be honest; it is equally im-
portant that the investigation gives the
appearance of being honest.
The public must be shown that Bobby
Baker and his kind will be investigated
and prosecuted in the same manner as
any other influence peddlers. The ap-
pearances are -Particularly important in
the Baker case because of his former
influential position as Secretary to the
Democratic majority in the Senate and
because of his past associations with
some of the highest public figures in this
Nation.
The public must be shown that there
is no double standard of justice by which
the Bobby Bakers are shielded by friends
in the Senate, investigated by friendly
U.S. attorneys, or brought before courts
stacked with his political cronies.
The attempted whitewash of the Baker
case by the Democratic majority of the
Rules Committee has disillusioned many
citizens. This Nation needs assurance
that the whitewashing is ended in this
Baker matter. The nomination of Mr.
Bress does little to restore confidence in
the Johnson administration. Instead it
can only be interpreted as a continua-
tion of the efforts to protect Bobby Baker
and keep a tight lid on the whole Baker
operation.
If the administration did not know
that Mr. Bress represented Serv-U in
the civil suit that launched the Baker
matter, then the administration was lax
in its preliminary study in making this
nomination.
If the facts were known by the Pres-
ident and others then the nomination
can be regarded as an arrogant disregard
for normal ethical sensitivity and for
public opinion.
If a lawyer for the Teamsters Union
were named as U.S. attorney or judge
in an area where Mr. Hoffa was under
investigation it would be regarded as
shocking. I consider it no less shocking
when an influence peddler, such as Mr.
Baker has been proven to be, ends up
with so many friends in court. I hope
it is carelessness. I hope there are no
callous efforts to stack the deck.
This nomination should be withdrawn
by the administration.
If it is not the Senate should hold it
up until after the whole Baker investiga-
tion and prosecution is disposed of.
Mr. President, yesterday, in response
to a suggestion concerning the advis-
ability of having his nomination either
withdrawn or held up until after the
Baker case had been disposed of, Mr.
Bress is quoted as having said that while
he admitted he was the attorney for the
Serv-U Corp. he was not aware that Mr.
Baker was a stockholder. Such an ex-
cuse is ridiculous.
As evidence that Mr. Bress did know
or at least that he should have known
that Mr. Baker was connected with this
company I ask unanimous consent to
have printed in the RECORD a copy of a
document filed in the district court by
Mr. David G. Bress in his capacity as the
attorney for the Serv-U Corp. Under
date of October 22, 1963.
There being no objection, the docu-
ment was ordered to be printed in the
RECORD, as follows:
U.S. DISTMCT COURT FOR THE DISTRICT
OP COLUMBIA?CAPITOL VENDING CO., INC.,
WASHINGTON, D.C., PLAINTIFF V. ROBERT G.
BAKER, U.S. CAPITOL; FRED BLACK, JR?:
ERNEST C. TUCKER, SERV-U CORP., WASH-
INGTON, D.C., DEFENDANTS?CIVIL ACTION
No. 2249-63
(Piled October 22, 1963, Harry M. Hull,
clerk.)
ANSWER OF DEFENDANT SERV-U CORP.
The defendant, Serv-U Corp., by its attor-
ney, for its answer to the complaint says as
follows:
First defense
The complaint fails to state a valid claim
upon which relief can be granted.
_ Second defense
1. Defendant admits the jurisdiction of
this court.
2. Defendant does not have sufficient in-
formation or knowledge to either admit or
deny the averments of paragraph 2.
8.-5. Defendant admits the averments of
paragraphs 3, 4, and 5.
6. Defendant denies that it is a corpora-
tion organized under the laws of California.
but avers that it is a corporation organized
under the laws of Delaware and has an office
in the District of Columbia at 2000 P Street
NW., Washington, D.C.
7-9. Defendant does not have sufficient in-
formation or knowledge to either admit or
deny the averments of paragraphs 7, 8, and 9.
10. Defendant admits that it is engaged
in the coin operated vending machine busi-
ness in California and that it has contracts
relating to the installation and operation of
such machines in va:lous plants in Califor-
nia, including certain plants of North Amer-
ican Aviation Corp. but this defendant denies
that Robert G. Baker is a stockholder of
record and is without sufficient information
or knowledge to admit or deny any equitable
interest.
11. Defendant denies the averments relat-
ing to this defendant but has not sufficient
information or knowledge to admit or deny
the remaining averments of paragraph 11.
12. Defendant admits that Ernest C. Tuck-
er is a stockholder of record in defendant
and that he is its chairman of the board.
13-14. Defendant does not have sufficient
knowledge or information to either admit or
deny the averments of paragraphs 13 and 14.
15-19. Defendant denies the averments of
paragraphs 15, 16, 17, 18, and 19.
Wherefore, defendant, Serv-U Corp., prays
that a judgment be entered herein in its
favor and that the complaint herein be dis-
missed with costs and that this defendant
be awarded attorneys fees incurred by it
herein.
DAVID G. BRESS,
Attorney for defendant,
Serv-U Corp.
WASHINGTON, D.C.
Mr. WILLIAMS of Delaware. Mr.
President, this document relates -to the
suit which the Capitol Vending Co. had
filed against Robert G. Baker, Fred
Black, Jr., Ernest C. Tucker, and the
Serv-U Corp. under Civil Action No.
2249-63.
While in this document they did not
admit specific knowledge that Mr. Baker
was a stockholder in the Serv-U Corp.,
nevertheless, as an attorney for Serv-U
certainly Mr. Bress was aware of the
facts of life, and as specific proof that
at the time this document was filed Mr.
Baker was actually a stockholder of the
corporation I ask unanimous consent to
have Mr. Baker's financial statement of
February 1, 1963, printed in the RECORD.
. ,
There being no objection, the docu-
ment was ordered to be printed in the
RECORD, as follows:
,
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CONGRESSIONAL RECORD --'SEN4TE September 15, 1965
ober t G. BakeT, Washington, D.C., statement of condition, Feb. 1, .1963
Assets
,
Market
value of
assets
Feb. 1,1963
Liabilities and net worth
Amount
c
t:
ash on and and in banks
mounts receivable
?tee receivable
. vla der,value of life insuranee-,--.
' B.S. Qoenment retirement reserve
- Stocks (sciedule 1)
Total current assets
Fixed assets:
7, Real estate owned (schedule 2)
Furniture'and equipment
Total assets
-
$51, 000
68,000
287,000
2, 000
10,000
1, 682, 630
Current liabilities:
Accounts payable
Mortgages payable (installments due within 1 year (schedule 2))
Notes payable (banks secured by stocks (schedule 3))
Total current liabilities
Fixed liabilities:
Mortgages payable (schedule 2)
Less installment due within 1 year
Total, fixed liabilities
Total liabties
Net worth
Total liabilities and net worth
843, 000
31,800
290,000
2, 158, 630
456,666
5,000
v4,800
120,500
31,890
2,620, 296
88,610
453,410
2, 166, 886
2, 620, 296
al eSta,f1 ow et! and mortgages
?
payable Robert G. Baker, Washington, D.C., Feb. 1, 1963
,
:Mail:Won
Title in name of--
Market value, Feb. 1,
1963
Mortgages payable
Share
owned,
(percent)
Amount
Amount
Annual
payment
Residence: 3324 NorthamptOM St. NWOrasliingtOn, D.0
S /14t1843 8ald 2 apartments: Blue Bide Dr. Pickens, S.0
En?? tire b1991$ OCeap ?,?froll.t.L 411b,St4,t2. frt.,..$9t,t ()Pan City
gett,
AU acres: uoiesvilie Ku. nxtenueu,s4 Vtir _piing, Md
ei2-unit moteI:_noward AlMsOn. unarlott? I" -
total market value, Feb. 1, i*
Total mortgages payable (Robert Baker's share), Feb. 1, g63
Total annual payment on mortgages
,
Md-- - _ - ___
-
Bobby G. and Dorothy C. Baker
Robert G Baker and D. A. Holder
Robert G. Baker, Gertrude and Don Novak._
Don Novak and Robert G. Baker
Mecklenberg Enterprises
100
50
33
50
50
$35, 000
10,000
41,606
120,000
230,000
$13, OM
2, BOO
15,000
15,000
73,000
$1, 530
360
5,000
10, 000
15, 000
456, 666
120,500
31,890
tocks 9 tuned, _Robert G. Baker, Washington, D.C.;
eb. 1, 1963
eaeription
,
Shares
owned
,-
Market
value
Feb. 1, 1963
Pledged as collateral
,
ortgage Guaranty Insurance Co
'
T
SerV-U Corp. (5 times earnings)
Winn Dille
District of Columbia National Bank_ ., _?.
Carolina Pipeline Co
First Virginia Corp
Blue Ridge Development Corp
_Oreezwill9 (S.C.) Memorial Gardens
Maikiki Savings & Loan Association_
Don Reynolds Insurance Co
ltZaslsSld.IncLusisles ,
ck Insurance Exchange--
eke= Bank
ITational Bank of Maryland
Total market value of stock Feb. 1, 1963
,
,
16, 130
2,860
100
1,500
2,500
2,000
50
180
2,500
10
200
50
48
75
$453, 900
/
1,000,000
2,800
45,000
20,000
15,000
15, 000
10,000
8,000
3,000
1,800
2,400
1,680
2,250
8,835 shares with Fidelity National Bank & Trust Co., Oklahoma City
Okla.
5,995 shares with First National Bank of Dallas, Dallas, Tex.
2,850 shares with Fidelity National Bank & Trust Co., Oklahoma City,
Okla.
100 shares with Suburban Trust Co., Silver Spring, Md.
1,500 shares with American Security & Trust Co., Washington, D.C.
2.500 shares with South Carolina National Bank, Greenville, S.C.
3,000 shares with American Security & Trust Co., Washington, D.C.
180 shares with Pickens Bank, Pickens, S.C.
48 shares with Suburban Trust Co., Silver Spring, Md.
75 shares with Suburban Trust Co.
1, 582, 630
Mr. WILTIA1VIS of Delaware. Mr.
President, in this financial statement
,
Mr. taker lists his ,ownership cg 2,850
shares of Serv-t stock with niirket,
Valuation of $1 million. These 25850
shares of Serv-T.,/ Oock ,oWned,-iii
Baker were at that 'time being held by
the Fidelity National Bank & Trust, Co.
In Oklahoma City, Okla., ap collateraffor
a loan which he had obta;nied from that
? _
bank.
Thus, Bobby Baker's owners ip of
Serv-13 was a matter, of;PC9giii4 P W. 4-
ary 196, 8 months, prior he time
that Mv, Bres,s was acting as the at-
torney forthe Serv-tt Corp.
It is Utterly ridieulous for ithn now to
claim that he atcipt lopw.:004'
*ker was the prime factor 'anct-prifici:
pal stockholder in the Seiv-L7`Corp. If,
as the attOrney for this corporation, he
did pot know then he is too naive for the
position to hich he has 'een nomi-
nated.
iv.
"FOOT I MO `4, ? SE OF
OUR STATE DEPARTMENT
-1V1r: WYLLIAMS of Delaware. Mr.
President, after spending millions of
dollars the Agriculture Department was
able to eradicate the foot-and-mouth
disease that had been so prevalent among
" -Perhaps we should launch a research
program now to eradicate the "foot in
Mouth" disease of our State Department.
ask .?inan,:irrious consent to have
Prhited in -the RECORD 411 editorial pub-
lished in the Oeptember 2 issue of the
Washington Daily News entitled "Foot
in 'Uncle's Month."
There being no objection, the editorial
was ordered to be printed in the RECORD,
as follows:
[From the Washington Daily News,
Sept. 2, 19651
FOOT IN UNCLE'S MOITTH
Every once in a while, somebody opens his
mouth and puts his foot, not in it, but in
Uncle Sam's. That hurts us all.
We don't know the exacts ins and outs
of the charge by Singapore Prime Minister
Lee Kuan Yew that back in 1960 a bribe of
$3 million was offered by a CIA agent and
that later a letter of apology arrived from
incoming Secretary of State Dean Rusk,
along with a statement that the new Ken-
nedy administration would not countenance
such goings on.
We do know that both at the State De-
partment and in Malaysia on Tuesday, U.S.
spokesmen denied flatly that the incident
ever occurred. And that On WeCiAesday, the
State Department discovered the Rusk letter
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S ember 15, 1965 CONGRESSIONAL RECORD ? SENATE
after Mr. Le9 rev,9410 11 13,0 nOt PAIY a cony
of it kiRt,e. Aepe recording of conversations
With the alkagent. .
The point at issue is not to criticize Mr.
Leg, wha apparently brought up the matter
for domestic political reasons. Nor is it to
cattigate the CIA, since details of the origi-
nal affair are ohaPilre* ?
What bet/lora IP?and considerably?Is
that the State Department could be so posi-
tive on one day that nothing of the sort
ever happened and so positive on the next
day that it did.
In the famous U-2 incident which also
occurred in 1960, misrepresentation by U.S.
Officials inede this cmintry look ridiculous in
the eyes of the world. Handling of this
latest affair gives us reason to wonder if our
official spokesman really have learned any-
thing since then.
SINK OR SWIM FOR U.S. SHIPS
Mr. WILLIAMS of Delaware. Mr.
President, the Nation was, of course, re-
lieved and pleased at the end to the
strike which has tied up the U.S. mer-
chant fleet for the past 21/2 months.
It would be pleasant to suppose that
the end of the strike meant the end of
the difileulties facing the merchant fleet,
but unhaPpily it does net. Whether we
like to think about it or not, the United
States, a nation whose strength at sea
should certainly be equal to its strength
in other vital areas Of commerce and de-
fense, stands perilously close to becom-
ing a third-rate maritime nation,
On July 30,1965, Life magazine briefly
reviewed the plight of the Merchant fleet
in its lead editorial entitled "Sink or
Swim for U.S.Stdps." The editors of
Life have clearly outlined the challenge
Which faces the Maritime industry, and
their editorial is one which, should be
read quite carefuLlY by ?facials in in-
dustry, labor, and government,
I ask urianimoua conSerit to have the
editorial printed in the RECORD.
There being no objeetiorx, the editorial
was ordered to be printed in the RECORD,
as follows:
Buns. os SwIN FOR U.S. Sousa
The U.S. Government pays out some $350
million a year to subsidize a U.S.-flag, 17.S.-
built merchant Marine. But when the De-
fense Department needed to expand its mili-
tary shipments to Vietnam, it had to hire
British and Danish vessels for some ship-
ments and then to rnobolize some 30 U.S.
ships. The reason for this costly humilia-
tion of a traditionally great maritime nation
was that most Of our best cargo vessels have
been tied up for nearly 6 weeks in one of the
Industry's perennial strikes.
This one, kept going by the Marine En-
gineers' Beneficial Association, has been
termed "intolerable" and "against the public
interest" by the Secretary of Commerce.
Since U.S. taxpayers already get up 72 cents
of everY maritime wage dollar, and would
normally pay 100 percent of any increase, he
can say that "public interest" again.
AcznA represents 16,000 seagoing engineers
who already average $1,500 a month. It is
known as the "head-kicking union" because
at one session its president, Jesse Calboon,
was charged with jumping on the negotiating
table apd, kicking a shipper in the jaw.
Negotiations have _singe, brOken, down, the
tough issues ,14eing retirement income and
automation. The owners have also lost con-
fidence in the aria/ trator but are willing to
arbitrate almost anything under a new one,
including any appointee of George Meany's.
IVIEBA says no.
No.,170
Joe Curran of the National Maritime Un-
ion, a third of whose sailors have been
beached by it, calls this a political strike
and a threat to all other workers in the
meriting industry. Curran is gored be-
cause the strike plays into the hands and
treasury of the Seafarer's International Un-
ion, which mans unsubsidized tramps and
liners and whose chief, Paul Hall, ha e been
Curran's bitter rival for many years. The
fact that only parl.of the maritime industry
Is shut down also prevents the Government
from invoking a Taft-Hartley emergency and
sending the engineers back to work.
Chronic interunion feuding, extravagant
demands, and ruthless tactics have cost the
maritime industry 10 million man-hours
since World War II. The subsidy formula,
which offsets the fact that U.S. wage costs
are 3 or 4 thnes foreign costs, has hitherto
floated off the exorhiba.nt settlements. But
not this time. This strike coincides with a
more general crisis in the U.S. merchant
marine.
President Johnson promised last January
to introduce a whole new maritime policy to
replace the 1936 system. His lively young
(30) Maritime Administrator, Nicholas John-
son, has not only been scaring the unions
and owners alike with boyish speeches but
has threatened to keep new wage increases
out of the subsidy formula and even dis-
allow increases of several years past. U.S.
shipowners, both struck and unstruck, are
therefore fighting for their lives against ris-
ing costs, foreign competitibn and uncertain
Government policy. By tonnage, U.S. ship-
ping's share of U.S. foreign trade has fallen
from 50 to 9 percent since 1945. Large parts
of the fleet have been scuttling to Liberian
and Panamanian registry or counting their
last days as eldering tramps carrying give-
away food-for-peace at subsidized rates. The
U.S. maritime picture is gloomy indeed?ex-
cept in one respect.
The authors of our 1936 subsidy policy,
chiefly F.D.R. and Joseph P. Kennedy, knew
what they were about. They wanted a first-
class, liner-type cargo fleet sailing established
routes?and that we have. It is second only
to the British in size; in quality, second to
none. The 15 leading U.S. lines (Grace,
Lykes, Moore-McCormack, United States
Lines, etc.) run their 300 vessels on a sub-
sidy contract which requires them to keep
their fieetamodern; as a result, 80 percent of
all cargo vessels in the world capable of more
than 2() knots fly the U.S. flag. If U.S. for-
eign trade is measured by value instead of by
tonnage, U.S. ships carry 37 percent of it.
Nicholas Johnson would like to see the
Government out of the shipping business
eventually. He sees no future in passenger
subsidies and would cut cargo subsidies by
relying on improved productivity through
technological change, including such futu-
ristic carriers* as undersea pipelines and
hydrofoils.
Undoubtedly great technological improve-
ments lie ahead of ocean shipping, the most
realistic being specialized bulk cargo ships.
The industry itself has ordered 35 new au-
tomated freighters. But much of their au-
tomation is in the engineroom, and MEBA
refuses to agree to any fixed manning sched-
ules in advance. This puts all savings from
automation in doubt?the more so since any
maritime labor settlement is subject to later
interunion whipsawing.
Some owners have suggested a "czar" to
save their industry from further strife and
stalemate. Czars seldom solve anything, but
this one might provide what U.S. shipping
desperately needs, a period of labor peace
while it adjusts to the throes of technological
change. No new maritime policy will make
sense until Washington solves this problem.
The jobs at risk from automation will either
expand with an expanding industry or sink
with a dead one.
23,011
MESSAGE FROM THE HOUSE
A message from the House of Repre-
sentatives, by Mr. Hackney, one of its
reading clerks, announced that the House
had agreed to the report of the commit-
tee of conference on the disagreeing
votes of the two Houses on the amend-
ments of the House to the bill (S. 618)
for the relief of Nora Isabella Samuelli.
The message also announced that the
House had passed the bill (S. 1903) to
amend the United Nations Participation
Act, as amended (63 Stat. 734-736), with
amendments, in which it requested the
concurrence of the Senate.
The message further announced that
the House had disagreed to the amend-
ment of the Senate to the bill (H.R. 9567)
to strengthen the educational resources
of our colleges and universities and to
provide financial assistance for students
in postsecondary and higher education;
agreed to the conference asked by the
Senate on the disagreeing votes of the
two Houses thereon, and that Mr.
POWELL, Mr. PERKINS, Mrs. GREEN Of
Oregon, Mr. ROOSEVELT, Mr. BRADEmAS,
Mr. CAREY, Mr. DENT, Mr. GIBBONS, Mr.
AYRES, Mr. GRIFFIN, Mr. Q1IIE, and Mr.
REID of New York were appointed man-
agers on the part of the House at the
conference.
The message also announced that the
House had passed the folowing bills, in
which it requested the concurrence of
the Senate:
H.R. 2091. An act relating to the establish-
ment of concession policies in the areas ad-
ministered by National Park Service, and for
other purposes; and
H.R. 10874. An act to amend the Railroad
Retirement Act of 1937 to eliminate the pro-
visions which reduce spouses' annuities by
the amount of certain monthly benefits, to
increase the base on which railroad retire-
ment benefits and taxes are computed, and to
change the rates of tax under the Railroad
Retirement Tax Act.
. ENROLLED RILLS AND JOINT
RESOLUTION ? SIGNED
The message further announced that
the Speaker had affixed his signature to
the following enrolled bills and joint
resolution, and they were signed by the
Vice President:
S. 7. An act to provide for the establish-
ment of the Spruce Knob-Seneca Rocks Na-
tional Recreation Area, in the State of West
Virginia, and for other purposes;
S. 1317. An act to authorize the Commis-
sioners of the District of Columbia to pre-
scribe penalties for the handling and collec-
tion of dishonored checks; and
S.J. Res. 5. Joint resolution designating
the bridge crossing the Washington Channel
near the intersection of the extension of
13th and G Streets Southwest the "Francis
Case Memorial Bridge".
HOUSE BILL RIffo.ERRED
The bill (H.R. 2091) relating to the
establishment of concession policies in
the areas administered by National Park
Service and for other purposes, was read
twice by its title and referred to the
Committee on Interior and Insular
Affairs.
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Approved
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For Release 2004/04108 : CIA-RDP671300446R0005000.10022-g
September 15, 1N6
CONGRESSIONAL RECORD -- SENATE
:SCENIC DEVELOPMENT AND ROAD ' No IVIember of this body or of the
. BEAUTIFICATION OF THE .P.E.11- -P/OuSe ot Representatives is more dedi-
, EItAL-AID HIGHWAY SYSTRig"St -eated to the preservation and deVelop-
r '
M
on erit of natural beauty than is the senior
'The' Senate esUmed the considerati
- Senator from West Virginia. But I am
of the bill (s. M)84) to provide for scenic
also dedicated to the protection of in-
- development and road beautification Or dividual property rights. It is my firm
' he rederal-aid highway systeins. -
. RAN.DaLpil. Mr. President, me- conviction that S. 2084 as amended and
reported unanimously by the committee
pending bill is S. 2084, the High -
- serves.both these goals.
l ,way' Beautification and Scenic Develop- Mr. President, the proposal submitted
merit Act of 1965. As chairina,n 'Oh f The by President Johnson to the Congress
Subcommittee on Public Roads, I intro- 'came not as a spur of the moment
duced this measure at the reineat of -the'
thought,
on June 3, 1965. T stated ought, but after weeks and months of
administration study in the executive branch and on
, that the Committee on Public' Works' consideration of the experience our Na-
would give prompt and 'deliberate con-- tion has had for the past decade or more
sidpration to the bill, and would- give with the problem of a growing clutter on
Attention to all points of view. "- the American scene.
- , This the committee has done. The President stated the purpose of
I stated Elise in introducing the bill, this '
. s legislation in his message of trans-
that the measure as, proposed "bY "the" mittal when he declared that the na-
administration presented certain prob- - tional economy "and the roads that serve
lems of equity in relation to the -Gov- it are not ends in themselves. They are
ernMent's treatment of private property; meant to serve the real needs of the peo-
certain questions regarding Federal--. pie of this country. And those needs in-
State relationships, and certain Fob- dude the opportunity to touch nature
lems Al financing. It is My opinion that' and see beauty."
the Committee on Pablk: Works 'effec:- - As originally introduced, S. 2084 has
tivelY resolved these problems in the bill four titles dealing with:
which was reported unanimouSTY 'fi'Oin First. Control of outdoor advertising
the committee on Friday, SePtebei: 10. on the interstate and primary highway
Mr. President, at the Conclusion a My
systems'
remarks I shall offer certain other
Second. Control of junkyards on the
arneridments for the adniinistratiOn, of
w:t-.-sdoi, interstate and primary highway systems.
hich the chisop-ctn, he a-by - er
.se440....from .ilichigan a1/4,4r.146miii,AR.ici, , Third. Allocation of 3 percent of a
1
State's apportioned Federal-aid high-
'-and,nlY fellow,emnrinttee lnern6ers.ha:84 way funds to highway and scenic en-
, been apprised I shall exPlain' the P-' hancement.
-,:pose of those amendinenta whenthey are
, offeied. - . Fourth. Diversion of one-third of the
annual apportionment of Federal-aid
?' I Commend the able chairman of the secondary road funds to the construction
%- full committee, the Senator fiorii MiC111-- of scenic highways and roads to scenic
- egbaotiperrartiolVIneitAhiviaAhRatillinfgorohdiisitectiuprtfioarthal and recreation areas.
oveitfai theashre: , The committee had dropped title IV on
, Many respects, a contr scenic roads from the reported bill. This
commend also die distinguished action does not mean a lack of corn-
'?ng minority member' of the Sub- mittee interest in such a measure. How-
coniMitee on Public Roads and of the full ever, the proponents from the States and
, committee, my good friend the diligent the counties indicated that the method
, senior Senator from Xentucky [Mr. of financing proposed by the administra-
, Cooke], for his conscientious and 'un- tion would create severe hardships for
!tangly courteous actions In -attention many local government bodies in that
to this,propoied-legislation. The chair- effort to sustain their construction pro-
man and the ranking Minority member-, gram for secondary roads. The commit-
as Well as the Senator f aim WestVirghila tee, therefore, plans early consideration
-arid others on the PublieVorkS Commit--
tee; have had to divide their attention of a scenic road program next year after
the Congress has received the report on
with other important legislation In the the scenic road study now being con-
-fields of education, labor, i,nd airicul= ducted by the Department of Commerce,
? tire,. 'Therefore, 'it has 'been- only and the President's recommendations
threugh the cooperation of all the Mem- with reference to this study.
1;)er,itilat we ilitv been -able 'tO ITIO've'the The committee made several sub-
bill ,hat
the' cOmrriittee with reason- stantive changes to the administration's
able speed and effectiveness, "
, draft legislation in addition to the one I
,Mr. tlyesident, at this time, I desire the just mentioned:
Rzeose to show thaj the committee's First, the committee has recommended
consideration has been other than as ' funding the entire measure from appro-
.-portrayed by some of the more magma- oriations from the general funds under
tive-reporting in somene*sPailierg. ' ' -- '
the Treasury rather than from highway
The committee has not crumbled be- trust fels as originally proPosed. In
' fore the might of the lobbyists. - light of the'impening d fi-t in the
The ,standard outdoor aciyertising in- highway' &net-fund, Which was reported
duStry as a Whole has suppOrted the to the Oangreis by the Secretary of Com-
principle of the proposedlegialatiOn and, merce 'earlier this year, and on which
tn, 'Most instances:the-Substance -of the the Committee on Public Works con-
proposed legislation aa SiTen. So have ducted' hearings, the committee has de-
the,,,roAdbuilsling industry and the lead- dared that no highway trust funds shall
ers pl mot,pther business groups which be used for 'the purposes set forward in
woUld e affected by this measure S 2084 .._
Second, the committee has rejected
the administration proposal that would
allow the States to use their police pow-
er in eliminating nonconforming outdoor
advertising structures and junkyards.
The committee provision in the reported
bill requires that just compensation be
paid to all those whose property rights
are adversely affected by this legislation.
The principle of just compensation has
been a guiding axiom in the committee's
consideration of this legislation, and this
principle was effectively expressed by our
distinguished colleague on the commit-
tee, Senator EDMUND S. MUSKIE, of
Maine, when he stated at the hearing:
When an individual suffers loss because of
some broad public benefit or broad public
interest * * * the public interest also re-
quires that the loss by compensated for. If
we cannot sustain that kind of concept in
the public interest, then the public interest
ought to be reviewed.
The committee unanimously supports
that position.
Third, the committee established the
controlled distance for outdoor advertis-
ing to 660 feet from the nearest edge of
the right-of-way rather than 1,000 feet
from nearest edge of the pavement as
proposed by the administration. Our ac-
tion in this instance was guided by the
fact that 25 of the States, those States
which signed agreements with the De-
partment of Commerce under Public Law
85-767, have established this as the con-
trolled distance under requirements of
the U.S. Department of Commerce.
Therefore, the original proposal of the
administration in S. 2084 would have re-
glared those States to amend their stat-
utes and to acquire additional rights im-
mediately adjacent to the rights previ-
ously acquired under the provisions of
Public Law 85-767. The committee de-
cided that the difference between these
two distances is not significant enough to
warrant this burden on the States.
Before summarizing the bill as a
whole, I would comment on the commit-
tee's consideration of the proposal for a
program to dispose of junked automo-
biles, which was submitted by the distin-
guished Senator from Illinois [Mr. DOUG-
LAS] as an amendment to S. 2084. The
committee conducted hearings on this
proposal and gave careful consideration
to the subject matter. It is a thought-
ful and constructive suggestion which
has been made by the senior Senator
from Illinois. However, the pending
measure, S. 2084, is limited in its
application of junkyard controls to junk-
yards adjacent to the interstate and pri-
mary highway systems. Because the
Douglas amendment was addressed to a
disposal system for all junked automo-
biles, the committee withheld action on
the measure.
However, as I stated in committee, and
as I have counseled with the Senator
from Illinois [Mr. DOUGLAS] , I shall
work with our friend from Illinois to en-
act this amendment as a part of the Solid
Waste Disposal Act, which falls within
the jurisdiction of the Committee on
Public Works.
In summary, section 101 would provide
control of outdoor advertising within 660
feet of the right of way of interstate and
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$eptember 28, 1965 CONGRESSIONAL RECORD ? HOUSE
through in less than 9 months than the late
President Kennedy could wrangle through
Congress in 3 years. Johnson, may, in fact,
as some of the Kennedy cult charges, be
short on "style"; he may lack the "charm"
Which F.D.R.'s devotees talked so much
about; but when it comes to getting new
laws on the books, President Johnson has
had noPeer in American history.
How he acliieyed this position of complete
domination of the -Congress need not be re-
viewed here at this time, save to say that
the Goldwater debacle provided him with ?a
majority in both Houses Of Congress so large
that he had votes to spare even when there
was some rumbling of discontent among his
own partisans.
_
?
SOME CONSOLATION
The thing that disturbs many Americans
is the question as to whether or not the
political events which have made Johnson a
virtual dictator have, in fact, permanently
altered the character of our Govenunent as
envisioned by the Founding Fathers and have
destroyed the constitutionalism which has
been the toast of this country for almost 200
years.
We believe that the answer is no, though
we will confess that we are comforted by the
existence of the 22d amendment to the Con-
stitution which became effective on Feb-
Mary 26, 1951. This was the one which re-
stricted the tenure of any citizen to two full
terms as President of the United States.
Even had this amendment not been
adopted, however, so great is our confidence
in the fundamental strength of our con-
stitutional system that we are not too greatly
concerned about the obliteration of our con-
stitutional processes in the years ahead, or
the seizure of complete power by a strong
man to serve as dictator in name as well as
in fact.
INTRUSIONS oF SOCIALISM
The fides of political change and the moods
? of tpc country have historically had a way
of keeping the pendulum of power moving
Within the limitations of the Constitution.
We are confident that these same forces will
again be operative in the years to come. _
It is true and may well be recognized by
any student of our governmental system that
future changes of leaderhip at the Federal
level or futUre shifts of power will not roll
heels, for example, the intrusions of social-
IRM Qr the adoption of certain features of
the welfare state, These, once on the statute
books, become permanent facts of life, if for
,n0 other reason because Socialist programs
take the form of irrevocable contracts be-
tween the citizen and the Federal dovern-
ment.
, out cON,VICTZONS
What all this adds up to is an expression
of confidence that, despite the concern many
of us have felt about the abdication by the
' Majority in Congress of its constitutional
role as a branch of the Government coequal
with the executive, we do not believe that
the country is going to hell in a basket.
Nor do we believe that the constitutional
fabric of our Government has been stretched
to a point which will not permit correction
of the excesses?spending is one example?
Of the. Johnson administration,
These are our Convictions even though Mr.
Johnson has come nearer to attaining the
status of a dictator than any President in
our history,
INTERNATIOisTAL 1VIONETARY
L."1*-17 4t,c5a1S1.1, -
WoRTH (at the request of
Mr. HosrpN) was granted permission to
extend his remarks at thin point in the
No. 179 22
RECORD and to include extraneous
matter.)
Mr. ELLSWORTH. Mr. Speaker, the
communique issued this morning by the
Ministers and Governors of the Gimp
of 10, meeting here in Washington, rep-
resents a solid achievement by our dis-
tinguished Secretary of the Treasury,
Henry H. Fowler, and his associates, es-
pecially Under Secretary for Monetary
Affairs Frederick L. Deming. The key
language of the communique from the
point of view of significant development
in the field of international monetary
reform is paragraph 9 of the commu-
nique: ,
The Ministers and Governors recognize
that, as soon as a basis for agreement on
essential points has been reached, it will be
necessary to proceed from this first phase
to a broader consideration of the questions
that affect the world economy as a whole.
They have agreed that it would be very use-
ful to seek ways by which the efforts of the
Executive Board of the Fund and those of
the deputies of the Group of 10 can be di-
rected toward a consensus as to desirable
lines of action, and they have instructed
their deputies to work out during the com-
ing year, in close consultation with the Man-
aging Director of the Fund, procedures to
achieve this aim, with a view to preparing
for the final enactment of any new arrange-
ments at an appropriate forum for inter-
national discussions.
I insert here the full text of the corn-
MUniqUe for the benefit of my colleagues
in the Congress:
COMMUNIQUE OF THE MINISTERS AND GOVER-
NORS OF THE GROUP OF 10 ISSUED ON SEP-
TEMBER 28, 1965
1. In the course of the annual meeting of
the International Monetary Fund in Wash-
ington, the Ministers and Central Bank Gov-
ernors of the 10 countries (Belgium, Canada,
France, Germany, Italy, Japan, the Nether-
lands, Sweden, the United Kingdom, and the
United States) participating in the general
arrangements to borrow met under the
chairmanship of Mr. Emilio Colombo, Min-
ister of the Treasury of Italy. Mr. Pierre-
Paul Schweitzer, Managing Director of the
International Monetary Fund, took part in
the meeting, which was also attended by the
secretary general of the Organization for
Economic Cooperation and Development, the
general manager of the Bank for Interna-
tional Settlements, and the president of the
Swiss National Bank. ,
2, They noted that, since their meeting in
Paris in December 1964, the members of the
Group had been called upon, in May 1965,
to provide additional supplementary re-
sources to the Fund in the amount of $525
million. This brings the cumulative use of
the general arrangements to borrow to the
amount of $930 million. The use made of
the general arrangements to borrow has dem-
onstrated once again the important contri-
bution which those arrangements provide to
? the smooth functioning of the International
monetary system.
? 8. The general arrangements to borrow
Were originally made effective from October
1962 to October 1966. It was stipulated that
a decision should be taken on renewal of the
arrangements before October 24, 1965. The
Managing Director of the Fund has indicated
his continuing need of these supplementary
resources. '
The' Ministers and Governors agreed that
the arrangements should be renewed for a
second period of 4 years. However, they
would suggest, in the light of increasing
24489
experience with these credit facilities, that a
review be undertaken in due time for the
purpose of considering whether some adapta-
tion would be desirable in October 1968, or
later.
4. The Ministers and Governors reviewed
developments in international payments dur-
ing the past 9 months and reaffirmed the in-
creasingly vital role of close cooperation of
the group in the light of the inevitable
tendency of any major financial stresses and
imbalances in payments to have consequences
of importance to all members of the group.
They also noted with approval the putting
into effect of the program of multilateral
surveillance recommended by Ministers in
August 1964; this program has contributed
to a better understanding of the ways in
Which deficits and surpluses were being fi-
nanced, as well as their repercussions on
other countries and on the evolution of
international liquidity.
5. The Ministers and Governors noted in
particular that the deficit in the U.S. balance
of payments which had for years been the
major source of additional reserves for the
rest of the world is being corrected and that
the United States has expressed its determi-
nation to maintain equilibrium in its balance
of payments. They welcomed this develop-
ment in the U.S. international payments
position which in itself contributes to the
smooth functioning of the international
monetary system. At the same time, they
concluded that it is important to undertake,
as soon as possible, contingency planning so
as to insure that the future reserve needs
of the world are adequately met.
6. The Ministers and Governors recalled
the mandate given to their Deputies in Oc-
tober 1963 to "undertake a thorough exami-
nation of the Outlook for the functioning of
the international monetary system and of its
probable future needs for liquidity." They
noted that their Deputies had submitted to
them an interim report on these problems in
July 1964 and had arranged for a detailed
examination of various proposals for the
creation of reserve assets by a special study
group. The report of this group, which has
now been published, will facilitate, through
its exposition of the elements necessary for
the evaluation of various proposals for re-
serve creation, the acceleration of the work
of contingency planning.
7. Therefore, as the first phase of contin-
gency planning, the Ministers and Gover-
nors gave instructions to their Deputies to
resume on an intensified basis the discus-
sions which were the subject of the Annex
to the Ministerial Statement of August 1964.
The Deputies should determine and report to
Ministers what basis of agreement can be
readhed on improvements needed in the in-
ternational monetary system, including
arrangements for the future creation of re-
serve assets, as and when needed, so as to
permit adequate provision for the reserve
needs of the world economy. The Deputies
should report to the Ministers in the spring
of 1966 on the progress of their deliberations
and the scope of agreement that they have
found. During the course of their discus-
sions, it would be desirable for the Deputies
to continue to have the active participation
of representatives of the Managing Director
of the International Monetary Fund, and
also of the Organization for Economic Coop-
eration and Development, and the Bank for
International Settlements. The Swiss Na-
tional Bank will also be invited to continue
to send its representative to the meetings of
the group.
8. The Ministers and Governors recognized
that the functioning of the international
monetary system would be improved if major
and persistent international imbalances
would be avoided. They recalled that, in
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4490
Or statement of August 1964 the Ministers
tf Governors had invited Working Party
of the Organization for Economic Co-
ration and Development to make a thor-
Awe"). study of the measures and instruments
et suited for achieving this purpose corn-
ibly with the pursuit of essential internal
opjectives. They expressed the h-ope that
r'
Working Party No. 3 would be in a position
to make their views known at about the same
time as the Deputies Of the droup Of 10 re-
port to the Ministers and Governors.
9. The Ministers and 'COVe4ncl's jecognize
:that, as soon as a basis for agreement on
"eseential points has been reached, it will be
Jaecessary to,proceed from this iliSt:phase to
a broader consideration of the qUestioris that
affect the World ecorionny as a Whole. They
have agreed that it would be very useful to
,seek ways by which the efforts of the Execu-
tive Board of the Pund and thoSe Orgie.
pep-
utles of the Group of 10 can be directed
toward a consensus as to depirable lines of
action, and they have instructed their Dep-
lities to, work out during the coming year, in
Close consultation with the: ginaging Di-
reCtor of the Fund, procedures to achieve this
aim, with a view to preparing for the final
ettlictinent of any new arrangements at an
. _ _
,appropriate forum for international discus-
Approved For Release 2
tONG
AN AMERICAN HMG 5PEAKS
"(Ivir. mAwrrnr of Alabaina (at
:fattest Of Mr. floarow)waS granted
per-
mission to extend his remayki at this
pant in the RECORD and to Include ex-
.trneous Matter.)
'Mr. 1VIARI'IN of Alakarna., Mr.
-Speaker, in spite of the heat* dernon-
?Orators, the parades of co-Wards, the
UnAineri_canaetivitteS,pftajng up draft
cards And _urging Americans Lo refuse to
.support their country in time of Vett
there are still American "heroes. More
than 1,000 of thorn have already ,given
their Ayes inclefen,Se Of:14644in yiet-
"am, Many more have been. Wounded
the fight against-Connrinnist 'ag_gres-
'sion and, yes, to protect the ireedom of
those here, at home, who publicly aide
with Communist murders against their
own country and their own people.
. <
Mr, Speaker, this week, , received a
'letter from Pile of these American heroes
,and I would like to quote from it as
part of these remarks. Perfia-ps the,
?words of Lt, John B. Givhani, of Safford,
7Ala., will be an inspiration to true Amer-
?_ _
-leans and may cause some to feera semi' e
, ? _
shame. Whatever the reaelOn, am
,proud to know a man like' I'Aeuteriant
ivhan, a typical American, the -kind
v/ho has always been willing to Make
:Whatever sacrifice needed, the kind of
-American to whom the words; love of
Country and duty, are ,full of mearifrii.
-nere are Some eicerPts from ?Lieutenant
,Givhan's letter: ,
- '
DEAR CoNaRESSKAN / have seenat
-Mentioned several times ,14. the newspaper
that you plan to visit the ltepublic of South
.Vietnam intlzke near future.. I write this let-
'ter with regard to your intended 4ourney to
'thutheast Asia.
'Z spent from September 21, 1962, 'until April
^12, 1964, in the land of yietnarxi flying trana-
'pbrt heliediitet '4"4"1:" '1Vieletterience? wds
e Mitstanding era-of-My life solar. t'ven
though i was Unfortunate as'ionie gay, to
loss of limb as a result of Vietcong .50-caliber
machi.negtha fire, I still look upon my stay in
Vietnam with gratitude.
04104/0 CIA-RDP67B00446R000500010022-2 ?
SSIONAL RECORD ? HOUSE September 28, 1965
would like to ask several favors of you
when You arrive in Vietnam. Visit the 197th
Armed Helicopter Company. To see trans-
port helicopters in action go with the 120th
Aviation Company. There you will be able
to talk with professional aviators who get
shot at so much they take it in stride as
part of a day's work. There you will
see men?not twaddle merchants?face
to face. Go with them to their work-
ing area which Is the deadly rice paddy
of the Mekong River Delta in Kien Hoa Pro-
vinco,'Which is the rotting jungle around Ben
Cat and its deadly Iron Triangle which is the
towering mountain north of Ban Me Thout
or around Da Nang. And there you will find
the man in the field, members of the 173d
Special Forces, or the U.S. Marines. When
you see these men think of those in the
United States who would burn their draft
cards. These men in the field are the salt of
the earth as far as I am concerned, for they
are U.S. fighting men who know what free-
dom means to them and to their Vietnamese
friends. Stay there for a time and you will
remember for a long time what it is like to
enter an arena where the very freedom that
many take so lightly is being threatened by
the cowardly, murdering, Vietcong.
Your U.S. marines will tell you that the
Vietcong is not a soldier; he is a Communist
ragrstprer 511ed with a hate for our way of
life that is pc; strong it is difficult for us with
our Christian background to comprehend.
The ri you will know for certain that this is
not an enemy that can be negotiated away,
for they know nothing of honor when it
comes to words or treaties.
Congressional MARTIN, 1 day over there at
Due Hue which is several miles west of Hien
Hoa near the Cambodian border we helicop-
ter Men %MN whha little Vietnamese lieu-
tenant who had a small force of men there
to defend the hamlet which was overrun
several days later, and the lieutenant and
his men were killed. I asked this lieutenant
if he would be leaving soon because of re-
ports of large Vietcong concentrations just
over the border in neutral Cambodia. He
,said that he hs, was taking his stand, and
that here he would die to be free because he
had seen communism in North' Vietnam be-
fore 1954. This man died there several days
Ieter, but he stood his ground. His people,
however, looked to the great United States
for backing, and we gave it to them. We
must continue to stand with them forever
_
if necessary. This attitude is deep-rooted in
me partially because of that man's willing-
ness 'to fight communism to the death and
not to give one bit. However, can't we put
freedom on the offensive and tyranny on the
defensive in Vietnam; the very soul of the
free Vietnamese would leap out for joy. They
have, Imown, nOt4ing but gradual defeat for
s9
Please go to the end of the line in Vietnam
and talk tri the U.S. soldier who bathes in a
canal, who sleeps in a pup tent?if lucky,
who chances to be overrun by the Vietcong
every night, who gets mail once a week?if
lucky, who doesn't know what a beatnik
looks like. .Talls. to this man whose closest
friend is an AR-15.
Mr,. MARTIN, the 120th Aviation Company
J, s just off the road from Tan Son Nhut down
con 4 Ly to To Do- Street and the center of
Saigon. As a life long honorary member of
that unit I ask you to stop by and, if appro-
priate for a Congressman, say hi. I would
appikiate it, and they would too. I wish
I were going with you; I really do.
SINGAPOR
? (Mr. E (at the re est of
Mr. HORTON) was granted permission to
to extend his remarks at this point in
the RECORD and to include extraneous
Matter.) -
Mr. PTISWORTH. Mr. Speaker, this
morning I had an enlightening conver-
sation with Lim Kim San, Minister of
Finance of Singapore, the world's news-
est nation. The Government Mr. Lim
represents is one of the strongest anti-
Communist, pro-national independence
governments in all of southeast Asia.
Mr. Lim outlined for me this morning
the main points of his Government's pol-
cies, and I am delighted to be able to
report those points to my colleagues in
the Congress:
First. The Government of Singapore is
anti-Communist, and pro-Singapore.
Second. In order to survive, Singa-
pore needs trade opportunities, not aid
handouts or even loans. For example,
access for Singapore to one-tenth of 1
percent of the U.S. textile market would
mean more to Singapore, to freedom,
and to independence in southeast Asia,
than $100 million in U.S. loans.
Third. The key to successful U.S.
and free world policy throughout south-
east Asia is national independence.
The Communists are bent on domina-
tion; the people want freedom and in-
dependence.
Mr. Speaker, I commend Mr. Lim's
views, as I have reported them, to the
favorable consideration of our own Gov-
ernment.
WALTER REED HOSPITAL
The SPEAKER pro tempore. Under
a previous order of the House, the gentle-
man from Missouri CMr. HALL] is recog-
nized for 15 minutes.
Mr. HALL. Mr. Speaker, on Tuesday
of last week there was an article in one
of the local papers by a substitute col-
umnist referring to alleged shortcomings
of the administration of the Walter Reed
Hospital of the Army Medical Center in
this city. Many of our colleagues have
seen that article. Many have recognized
it for what it is?an attempt to sell copy,
promote reader interest, or the typical
yellow-journalism engaged in by this
group.'
The matter, of course, has interested
Members of Congress because there is no
question but what this is the responsi-
bility of the Congress, and particularly
the Legislative Committee on Armed
Services and the proper Appropriations
Committees of both Houses. We all re-
call that article 1, section 7 of the Con-
stitution, provide the Congress the sole
power to raise armies, support the Navy,
determine policy, and generally provide
for the defense of our Nation.
On the other hand, one does not wish
to be whipping boys for such as those
who write for slick-backed magazines or
for readership, rather than for the ob-
jectivity of true journalism. They
should not be the ones that promote,
undue, hasty, or ill-considered action.
Therefore, having served as a physician
the Armed Services Committee now
for three Congresses and certainly as a
doctor in this House, I was perhaps more
concerned than many about some of the
loose facts, the statements out of context,
the charges and countercharges, be-
cause, indeed, this Nation expects, and
rightfully demands that those who serve