CONGRESSIONAL RECORD - SENATE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP75-00149R000100830012-0
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 2
• Document Creation Date: November 11, 2016
• Document Release Date: November 2, 1998
• Sequence Number: 12
• Publication Date: February 21, 1967
• Content Type: OPEN

FOIAb3b
d For Release : CIA-RD
S 2436
CONGRESSIONAL RECORD -SENATE
message to Congress,"urged the passage
of S. 5, the truth-in-lending bill. This
bill was originally introduced by our
great former colleague, Senator Paul
Douglas of Illinois. Twenty-two other
Senators have joined Senator PROXMIRE
in introducing this bill.
Senator Douglas saw the need for the
,full disclosure of consumer-credit charges
long before many of us. He educated
us, and the American public, not only
in truth in lending but also in a great
variety of legislation designed to protect
the American consumer. Our President,
in his excellent message presented to
Congress last week, has recognized the
necessity of additional legislation to pro-
tect the American consumer-all Ameri-
cans in all walks of life and in all eco-
nomic brackets. For this reason, the
President's consumer message is an his-
torical document. No message is more
directly related to the best interest of
the entire American public than the 1967.
consumer message.
The concept of truth-in-lending, as set
forth in the President's message and as
implemented in S. 5, is not one of Gov-
ernment regulation or control but rather
one of having the Government remove
the obstacles to free, open competition.
The truth-in-lending bill with the ap-
proximate annual rate gives both buyer
and seller the necessary information to
engage in open and free competition. In
Other words, with truth in lending, the
consumer who knows what the cost of
borrowing money will be for him, will go
.to the least expensive source of financing.
This is the essence of the free enterprise
system.
The President's message does not sug-
gest that interest charges should be
regulated by the Federal Government.
It does suggest, however, as does S. 5,
that full disclosure of the cost of credit
should be made to enable the consumer
to make an intelligent choice in the
marketplace. No ceiling on interest rates
would be set, as this is an area which
has been traditionally regulated by the
States. It is also recognized that it is
often difficult to project a precise annual
rate, and Senator PROXMIRE's bill recog-
nizes this problem and makes the re-
quirement of an annual rate much less
burdensome on the lender; the lender
need only state an approximate annual
rate and will not be held to absolute ac-
curacy down to the last decimal point.
Historically, the cost- of borrowing
money has been stated as an annual
rate of interest or financial charge ap-
plied to the unpaid balance of the debt.
Without any knowledge of the price of
credit, the consumer cannot shop for the
best buy. S. 5, with its approximate an-
nual rate, will provide a uniform
method of determining the cost of bor-
rowing money and will enable the con-
sumer to exercise an intelligent choice.
Furthermore, it will convey the direct
cost of credit. For example, a 6-percent
loan which requires an additional charge
is not really 6 percent but is a higher
rate. And S. 5 requires that these addi-
tional charges be included in the calcula
not be arbitrarily set by the Federal Gov
ernment but should be determined by the
forces of free and open competition..
This is what S. 5 will do: disclosure of,
the actual cost of credit to insure compe-
tition and to give the individual more
choices in the marketplace.
Moreover, the concept of truth in
lending, once enacted into law, will pro-
tect the ethical .businessman who ex-
tends credit on a fair and equitable
basis against the few unscrupulous lend-
ers in our country who benefit by deceiv-
ing the consumer.
Mr. President, I urge every Member.
of this body to read and reread the Pres-
ident's consumer message and to con-
sider and support the truth-in-lending
bill, as set forth In S. 5, so that all ele-
mdnts of the economy, both consumer
and businesman, will extend and receive.
credit with full knowledge of its actual
cost.
Mr. CLARK. Mr. President, one of
the . great problems confronting the
country, and a problem that we have
been very slow, indeed, to recognize, is
the need for clean air, not only in our
great, urban centers, but, as I have had
occasion. to point out on the floor of the,
Senate on other occasions, in many. rural
areas of our country where noxious
fumes, black smoke, and cement dust
are being poured on the unprotected pub-
lic where there is no sufficient air pollu-
tion control.
Mr. President, an excellent editorial
entitled "Top Priority: Cleaner Air" was
printed in the Philadelphia Inquirer on
January 31, 1967. I commend the edi-
torial writer and I ask unanimous con-
sent that the editorial may be printed at
this point in my remarks.
There being no objection, the editorial
was ordered to be printed in the RECORD,
as follows:
Top PRIoarrv CLEANER Ant
There Is good reason for President Johnson
to put the problem of air pollution at the
head of the list in calling upon Congress for
new and decisive attention to what must be
done to protect the Nation's environmental
heritage from despoliation, over-use and
exhaustion.
While the President's message covered a
wide range of problems from highway safety
to reducing the cost of placing utility trans-
mission underground, the main emphasis was
on taking constructive action to reduce the
poisons in the air everyone must breathe.
It is an Irony, but true fact, nevertheless,
that it is the very booming prosperity of the
country that has brought this long-standing
problem suddenly to a crisis stage.
? Thriving industry and an explosion of
motor vehicles have, together, cast off Im-
mense clouds of waste fumes in recent years
with a cumulative effect that could mean
incalculable disaster if not checked by wise
precautions before it is too late. It is not
merely that the atmosphere is already so
befouled as to be harmful to health, but that
it is becoming more sulphurously unwhole-
some, every minute of every day at a com-
pounding rate. This is a major health prob-
lem.
The President deserves credit and en-
couragement for the emphasis he placed on
February 21, 1967
sense of urgency at the local level is over-
powering. The Federal Government can't
do it all, though its role in encouraging re-
gional measure and. providing standards
and enforcement programs for foot-dragging
areas should not be underrated.
cent revelation about the Central Intelli-
gence Agency has thrust bureaucratic
Washington as well as the American
public into a good deal of uproar. The
revelations are, indeed, shocking. The
proper remedy, however, is a difficult one
to think through.
? Mr. President, a' substantial contri-
bution to a proper solution of this diffi-
cult problem is contained In a column
written by Walter Lippmann which ap-
peared in the Washington Post and many
other papers throughout the country
this morning, entitled, "The CIA Affair."
Mr. President, I ask unanimous con-
sent that the article by Mr. Lippmann be
printed at this point In my remarks,
and I urge that Senators read It.
There being no objection, the article
was ordered to be printed in the RECORD,
as follows:
['From the Washington Post, Feb. 21, 19671
Tao CIA.AYwAIR
The noises your hear around the CIA an-
nounce the Big Thaw, which has been under
way In Europe for several years, and has now
retched America. The ice of the cold war
is breaking up, and, as the climate Is chang-
Ing, the landscape is changing too. The
older and more permanent features of the
Amercian scene are reappearing.
Thus, only a year ago in April 1966, the
New York Times published a series of articles
o:I the CIA. They exposed more systemat-
ically than Ramparts magazine has today
the elaborate infiltration of American in-
stitutions by the CIA. Yet there was no
general outcry. Now there is a tremendous
outcry and the CIA operation has begun to
smell like a backed up cesspool. This proves
that it isn't the activities of the CIA which
have changed. What has changed is the
public attitude about it.
? A year ago the preponderant mass of
Americans still felt that they were at war-
a cold war if possible, but a nuclear war
quite possibly. This is no longer the pre-
vailing American opinion. The same revo-
lution of opinion which has changed the
policy of European governments in the early
Sixties is now taking place here. The gap
which has existed for some years between
European and American thinking, the gap
which has caused so much misunderstanding
and dislike, Is closing. In Europe this
phenomenon has manifested Itself in an al-
most total loss of Interest in NATO and the
other institutions of the cold war. Here the
change first manifested itself in our accept-
ance of the changes in Europe, it manifests
Itself today in a revulsion against the enor-
mity of the corruption which has resulted
from the cold war.
The enormity of the corruption stems from
the secret use of Government funds to de-
ceive the world-to deceive the Communists,
to deceive our friends and allies, and to de-
ceive ourselves. It is said that the Soviet
Union had paid propagandists masquerading
as students, scholars, journalists, trade un-
ionists. and that therefore, we had to give
subsidies so that our students could con-
- +""`""?6` the responsibility of "the States, the cities, with fire. We must remember today that
The Presiden ,s flee I C d `' s, &o p ,7,5a 11"rW4R0 0f00 813 0 01 2'0
wise view that sa'ATMINdit e
 Sanitized; A r~ov d For Release : I,ADP-001 49R00010083001
February 21, 1967 CONGRESSIONAL
This is plausible enough. But the event
shows that something is wrong with the argu-
ment. The event shows that, while a free
country like the United States can, if it is
sufficiently frightened, imitate the methods
of a totalitarian state, once the fear is re-
laxed, the more enduring tradition and
spirit cannot be. kept down In the last
analysis a free system like ours can be
manipulated only if there is enough panic
and fear. The old and real character of the
people will not stay suppressed. This is one
of the characteristics of a people who have
been, habituated to freedom so long that it is
part of their very nature.
What has happened in this affair is dif-
ferent from the business of spying which is
an indispensable part of the rivalry of armed
powers. The payments to students, scholars,
journalists, has had very little if anything
to do with true intelligence work, with
penetrating the military secrets of rival
powers, of calculating their capabilities and
estimating their'intentions.
For the present outcry is about the fact
that the United States Government has com-
promised professions and institutions on
whose purity the hopes of American freedom
depend. Why did the CIA, with the full
responsibility of the Presidents above it, do
this? Why did the Government not sub-
sidize openly the students and professors
who were to go abroad to argue the Ameri-
can case against the Communists?
They did not do it because they believed
that deception was a practical necessity. If
the students and professors went openly
on Government expense accounts neutral
opinion abroad would no longer have treated
them as free men and as essentially different
from the paid agents of tyranny. That, how-
ever, was not the whole reason for the de-
ception. It was deemed necessary to deceive
the Congress of the United States and the
American people. For, the chosen instru-
ment for exposing the Communists was the
non-Communist American left, and it would
have been virtually impossible to induce the
anti-Communist right, the McCarthys,
Mundte and the like, to appropriate public
money for American leftists. Therefore,
everybody had to be deceived.
As we are recovering our senses, no
longer entirely blinded by our fears we need
to examine our consciences and search our
souls. We have seen the enormous decep-
tion crumble, and the true lesson ? is the
sovereign rule for a people: To yourselves be
true. It is not easy to do this when fear
and panic are in the air; men are irrational
and beside themselves where they are part of
a frightened herd.
As we are ourselves again it becomes self-
evident that we cannot play international
games as if we were a totalitarian society.
For the men who carried out the operation-
as good men as we have-were not capable
of enough deviousness to deceive everyone
and enough terrorism to suppress all doubt,
The American way of life has plenty of
faults. But it does not prepare our whole
people for continuing deception, and we had
better make up our minds to play the game
from the American strength and not from
American weakness, and to stamp out lying
as a public policy.
RECORD - SENATE S 2437
The motion was agreed to; and (at 4
o'clock and 12 minutes p.m.) the Senate
adjourned until tomorrow, Wednesday,
February 22, 1967, at 12 o'clock meridian.
NOMINATIONS
Executive nominations received by the
Senate February 21, 1967:
DEPARTMENT OF STATE
William B. Macomber, Jr., of New York,
to be an Assistant Secretary of State.
U.S. DISTRICT JUDGES
Robert C. Belloni, of Oregon, to be U.S.
district judge for the district of Oregon vice
William G. East, retiring.
Frank J. Murray, of Massachusetts, to be
U.S. district judge for the district of Massa-
chusetts vice George C. Sweeney, retired.
POSTMASTERS
The following-named persons to be post-
masters:
ALABAMA
Clarence N. Bryant, Jr., Hollywood, Ala., in
place of V. B. Harris, retired.
Donald E. Driskell, Loxley, Ala., in place of
R. J. Ellison, retired.
Rudolph Harrison, Marion, Ala., in place of
N. J. Davis, retired.
James R. Morrow, Mulga, Ala., in place of
H. E. Carroll, removed.
Charles W. Thomas, Tuskegee Institute,
Ala., in place of V. H. Phillips, retired.
ARKANSAS
Berty A. Williams, Beech Grove, Ark., in
place of B. B. Hammond, retired.
Ellie L. Chaney, Coy, Ark., in place of L. K.
Woolsey, retired.
CALIFORNIA
Josephine D. Dahlstrom, Ballico, Calif., in
place of N. L. Passadori, retired.
Veda M. Davis, Campo, Calif., in place of
J, M. Davis, retired,'
George R. Saunders, Carlsbad, Calif., in
place of D. C. Clark, retired.
Patricia A. Shields, Del Mar, Calif., in place
of L. D. King, transferred.
Clayton W. Fountain, El Granada, Calif.,
in place of M. I. Higgins, deceased.
Wesley G. Barnes, Loomis, Calif., in place
of K, L. Coe, transferred.
Ida J. Kettle, Austin, Colo., in place of
L. M. Drysdale, retired,
Walter B. Lovelace, Boulder, Colo., in place
of J. D. White, retried.
Vernamae C. George, Breckenridge, Colo.,
in place of I. M. Moore, retired.
FLORIDA
Audrey B. Golden, Alva, Fla., in place of
W. I. MacCanon, retired.
. J. Willard Marcom, Brandon, Fla., in place
of R. T. Arnold, deceased.
Joseph M. Webb, Fort George Island, Fla.,
in place of R. V. Chattin, retired.
William O. Neal, Mango, Fla., in place of
George H. Gunby, Tennville, Ga., in place
of L. R. Warren, retired.
ILLINOIS
Harold F. Johnson, Belvidere, Ill., in place
of P. I. O'Brien; retired,
William F. Cooley, Eldorado, Ili., in place of
G. R. Gampher, retired.
K. Neil Thurmond, Johnston City, Ill., in
place of Hugh Fleming, retired.
William F. Clinton, Madison, Ill., in place
of H. R. Johnson, retired.
INDIANA
Eugene J. Gabriel, Fort Wayne, Ind., in
place of A. N. Smith, retired.
Daniel A. Markley, Montpelier, Ind., in
place of Grat Millard, retired.
Irvin Edward Almonrode, Saratoga, Ind.,
in Place of Joseph Almonrode, retired.
IOWA
Donald E. Klumpp, Albert iCty, Iowa, in
place of W. C. Hussey, retired.
Ward Foster, Jr., Altoona, Iowa, in place of
C. W. Stuart, retired.
Ralph N. Wilson, Anthon, Iowa, in place of
J. P. Carr, retired.
John C. Halvorson, Clermont, Iowa, in place
of H. G. Martin, retired.
Frank P. Simon, Lake View, Iowa, in place
of R. E. Ferguson, retired.
Naomi A. Galbraith, Newell, Iowa, in.place
of C. R. Kremenak, retired.
Dorothy M. Petersen, Pierson, Iowa, in
place of R. M. Pedersen, retired.
Rupert R. Thorpe, Salix, Iowa, in place of
W. If. Lamoureux, retired.
Lowell D. Morehead, Westifleld, Iowa, in
place of L. F. Faust, transferred.
KANSAS
Ernest H. Barton, Geuda Springs, Kans., in
place of E. H. Swanson, retired.
Victor A. Wasinger, Hays, Kans., in place of
H. H. Chittenden, deceased.
Virgil W. Green, Mount Hope, Kans., in
place of A. M. Howe, retired.
KENTUCKY
Carol W. Graves, Adolphus, Ky., in place of
K. C. Jones, transferred.
Alta D. Morrison, Big Clifty, Ky,, in place of
B. C. Tully, retired,
Lark K. Box, Cynthiana, Ky., in place of
R. S. Reed, retired.
G. Evelene Myers, Salt Lick, Ky., in place
of Christine Alexander, retired,
Nina M. Williams, West Van Lear, Ky, in
place of R. M. McCloud, retired.
LOUISIANA
Marie D. Johnson, Hackberry, La., in place
of E. C. Ducote, retired.
MAINE -
Dwight L. Simonds, Friendship, Maine, in
place of C. A. Simmons, retired.
MARYLAND
Nada L. Joines, Highland, Md., in place of
A. M. Disney, retired.
W. Sherman Mellott, Williamsport, Md.,
in place of W. H. Fridinger, retired.
Harry Beckner, Jr., resigned. MASSACHUSETTS
Bruce W. Lloyd, Oklawaha, Fla., in place Donald C. Morris, Southboro, Mass., in
of W. A. Willis, retired, place of E. B. Waite, Jr., deceased.
Walter G. Edwards, Sneads, Fla., in place Donald H. Langley, South Easton, Mass.,
of W. P. McKeown, retired, In place of B. K. Fuller, deceased.
Thomas A. Williams, South Bay, Fla., in Thomas F. McDonough, Sudbury, Mass., in
place of E. D. Hartline, resigned. place of J. H. Malonson, Jr., resigned.
John L. McLee, West Palm Beach
Fla
In
Richard G
Smith
West U
ton
Mass
in
,
?
.
,
,
p
,
.,
ADJOURNMENT place of O. W. Hartwell, retired. place of J. D. Colbert, retired.
Mr. CLARK. Mr. President, I move, GEORGIA MICHIGAN
in accordance with the order previously Byron F. Hilliard, Bowersville, Ga., in place. 'Roy P. Leonardi, Alpha, Mich., in place of
of J
A
J
h
.
.
o
nson, retired. M. L. Mottes, retired.
entered, that the Senate stand in ad-
iournment until 12 o'clock noon tomor- _ J. M. Peacock,rebbedDublin, Ga., in place of place of S E. Walsworth, retired.
row, in order that we may hear the Runette B: Cronic, Hull, Ga., in place of Charles I; Heavilin, Fennvine,
historic Farewell Address of the first G. A. Patten retired
l
ace of G. C. DuVall, deceased.
President of this p
great Nation, George - William W. Ware, Ringgold, Ga., in place ' Mamee L. Davis, Hickory Corners, Mich.,
Washington. of J. P. Emberson, retired. ` . . in place of R. B. Davis,. retired.
Sanitized -Approved- For Release :CIA-RDP75-00149R000100830012-0