CUBAN RANSOM FUND SMACKS OF BLACKMAIL

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75-00001R000100380046-6
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 1
• Document Creation Date: November 17, 2016
• Document Release Date: June 7, 2000
• Sequence Number: 46
• Publication Date: December 29, 1962
• Content Type: NSPR

U
CPYRGHT
Cuban Ransom Fund
WA..YSAND mea ' useu to raise e Man
ransom fund hay caus d a good deal of un-
easiness expresse in ne spaper comment.
The moag~rn n(y>rp lLtka> lipiIgly-lpr
not suffered
ates
ntur .
The diiinistration at Washington has
indemnity to Cuba tor tie 1 at 1 attempt of Gitbatr Teugees
to invade the island in A ril 96
The invasion was un e a en with American-sponsorship
according to American p an at were never fully carried out.
Not only did this, geveri-
ment itself provide n i
cover for the strike, it di n
even permit the refugees
carry out the final air a ac
that were explicitly a th r
ited before the attack
launched, and which th i
meager equipment of b. i,
lete U.S. planes would ha
permitted.
DESPITE THE Presi en
care to avoid technic lit
that would place the r s m
in the classification o
demnity, some flavor if i
lingers in the air.
At the least, the gover me ni
is contributing indirect
the tax concessions it h ,,s x
tended to the drug firm a
others that contributed t
allegedly private char to 1
effort. In form, the con ri u
tions were made to th R
Cross, a charitable org ni a
standing.
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DEC
Approved For Release
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feK would be a
as the United States
since the suppression
early in the 19th
vernment's indirect partid-
ation as such, and 1 would
of have been disturbed by
i s direct participation If it IaIrd
ccurred.
The President. commander,-
ii-chief of our armed' flireeq
? and constitutional director 4f
reign policy, was respoasi c;
r initiating the abortive Bty
f Pigs invasion, Hft wa.4
sponsible for failing, tp',
ursue the plans recommended
Y, our military leaders and
telligence service.
The attempt might have
iled in any case, unless fully
pported by a military effort
e United States was not
en prepared to make. It
robably should not have been
ndertaken at all when it was
ndertaken.
'ailure Was
National One
The failure was a national
ailure. and if Congress had
een willing (which it may not
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AS A. T. BURCH SEES IT
h Te neen), e ransom
p perly have been paid"out's
o the national Treasury.
ndemnity is a dirty world,
b perhaps we all owed it,
of us owed it, certainly, asp
ch as any particular.inch-'
v ual or any' particular* r-
p ation. .. :+
]'HE A1ANUFACTbhpoi ,
is drugs and the supplie{s of
dical and hospital equip-
nt did not spontaneously
a simultaneously think up
a by themselves the id a of,
b ling out the refugee?'.
hey were importuned 1y'
h h_ officials of the Treasury
a of the Department of
J tice.
in some instances. Atty.
n. Robert Kennedy, the
1 sident's brother, intervened
d ectly. In others, representa-
ti s of the solicited firms
re told they could talk to
bbv" if they wanted his
p sonal assurance that the tax
c cessions would be approved
h the Department of Justice.
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Smacks of B1a~kfflai
In the complexity of today's
x laws, the most scrupulous
innocent of 'corporations
y the Treasury. plus the. at-
-ney get tal.
court might finally at-
e eAtnplete virtue of
etaxpaying corporation, but.
penes to procure the testi-
onial frct,fte court of final
sort, after lengthy proceed-
ga in lower' jurisdictions.
x 'r,. *
GENERALLY speaking, the
ornev general of the United
atea a&d,tl commissioner of
ternal revenue are about the
st people in "the country who
n,' ith .prtipriety, head up
y charity drive whatever.
In' my' lifetime, I have
own some old - fashioned
4vspaper editors who, while
itorially supporting good
uses, refused personally to
licit money for any of them.
They did not want the
rospects" to fear reprisal If
le editorial treatment if they
f he chances are that an edi-
ough to consider this. ques-
n would not really deal out
y rewards or penalties what-
er. But the opportunities of
e least scrupulous to reward
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0380 -
FOIAb3b
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Approved For Release 2000/06/13 : CIA-RDP75-00001 R000100380046-6
ith the powers of the Internal
evenue Service and the Jus-
ll Arrangements
of Made Public
The public does not know
I the arrangements that were
nally made with respect to
ihutions. There have been
cturers that they could de-
uct from their taxable in-
ome not merely the wholesale
alue of the products, but the
tail value.
The normal corporation tax
rofits.
Depending on the special
rrangements. t h e contribu-
ons of the suppliers will cost
iem 48 per cent of the value.
r less than that.
If they can charge retail
rices, the final cost would de-
end on the markup. If it was
igh enough, they could break
igh, they might even come
ut ahead.
It is uncomfortable to find
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depending, not just on t
general rules, but on arrange
ments negotiated-or dictated
-in advance.
I PRESUME-and this is
only a presumption-that all
or most of the suppliers did
make some contribution not
wholly compensated by tax
deductions.
But if so, these selected in-
dividuals were being called on
to carry an obligation that was
really a public obligation, and
not the obligation of individ-
1 persons or firms selected
high government officials.
THE DRUG industry has
cn the subject of special
a tack by Sen. Estes Kefauver
( - Tenn.) and some others
ho have charged it with
rice fixing and -other viola-
tins of the anti-trust laws.
K.efauver's views do not
s cm to _have been very widel
s ared even among members
c Congress. and the admin-
i_tration has showed no great
i terest in pursuing his oh-
j dives.
Still, he created enough
rise to focus more than
dinary attention on this in.
stry.
Do the contributing sup-
iers imagine, truly or falsely,
t at they will enjoy some pro-
f etion they might not other-
N ise have got? If they do not
s It the protection. will they
f el cheated and betrayed?
Whatever the outcome, the
ocedure of the Internal
evenue Service and the De-
rtment of Justice in this
c se is not an example that
c 'I ght to he repeated often or
el er.