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November 11, 2016
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October 26, 1998
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March 13, 1964
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v F elease : CIA-RDP75-00149R000300150039-4 250 WEST 57th STREET, NEW YORK 19, N. Y. ESTABLISHED 1947 FACTS TO COMBAT COMMUNISM AND THOSE WHO AID ITS CAUSE rj ,R 3 1964 CPYRGHT THE THIRD APPARATUS March 13, 1964 Vol. 18, No. 6 One after another, Communist espionage officials fleeing to sanctuary in the free world have brought out word of the existence of a spy ring so deeply embedded under official Washington as to defy exposure. The existence of two rings has been known.for some time.. But of the third there have been only fleeting glimpses, such as afforded by Hede Massing, an apparatchik (Russian for a member of a spy apparatus), in testimony before the Senate Internal Subcommittee in May 1952. A recruiter for the Soviet Intelligence network, Mrs. Massing was di- rected to Noel Field who was employed in the western section of the State Department. She found him a willing traitor and was bringing him.right along into the conspiracy when suddenly she found that Alger Hiss was after him for the Bvkov-Hiss apparatus. She and Hiss got into a polite hassle over this new talent and their Soviet superiors took , Field, and placed him in an apparatus. unknown to her. Later Field was kidnaped and taken to oblivion behind the iron curtain, with his whole family; and the logical excuse would have been to prevent him from purging his conscience by making disclosures about this third spy ring. Until recently, statements made by defecting spy masters have been suppressed as containing unsubstantiated accusations against key careerists in Washington. But now. has come an official of the Soviet Secret Police (KGB) named Michael Goleniewski with a story that has leaked through official efforts to dam it up behind a'dike of silence and secrecy. The apparatus exposed by Goleniewski has infiltrated every,federal agency except the FBI,. latest reports, His is a disclosure hard to suppress. 19 MAR 5G6A Counterattack has good reason to.believe that his revelations, as well as other revelations breaking through the barriers, have come to the personal attention of President Johnson. Mr. Johnson is President by grace of God, not by permission of the Lib- eral-Socialist-Communist. coalition which.has presumed.for more than thirty years, to have the.White House on the. block and there is.no_reason why he .. 05 kl by American -Aitor. Registered in the United States Patent Office CPYRGHT Counters ac - 42 shouldn't cleanse the Administration. He might even decide to let the nation's justice take its course; and to restore its independence and integrity. This would be a reversal, to be sure. Up to now, disloyal employes have been kept in positions of trust while security officers have been punished in the name of the nation for trying to protect it from them. Not only that. Two of the nation's great trusts -- The Rockefeller Foundation, once headed by Secretary Dean Rusk, and the Carnegie Endowment for International Peace, once headed by Alger Hiss -- have been used to further the conspiracy with donations to such fronts as the Institute of Pacific Relations, found by the Senate Internal Security Subcommittee to have been under the control of a hard core of officials and staff members who were either Communists or pro-Communists. Another of the nation's great trusts -- The Ford Foundation -- financed a hostile survey into the security programs through which the Federal govern- ment has tried half-heartedly to compel its employes to obey the laws against disloyalty and treachery. The survey was reported in 1955 in a volume called Case Studies in Per- sonnel Security by Adam Yarmolinsky, former law clerk for Associate Supreme Court Justice Stanley Reed, a character witness for Alger Hiss at his trial. Yarmolinsky went on to become Special Assistant to Robert McNamara and Deputy Secretary of Defense. Yarmolinsky has a direct telephone line to the White House. He is not a protege of McNamara. McNamara is a protege of his. Yarmolinsky had much to do with bringing McNamara to Washington to become Secretary of Defense. A man who could direct a survey which helped to undermine the internal security of the nation and then have a say in naming its Secretary of De- fense quite naturally would come in for some public and private speculation. In the course of inquiries Yarmolinsky was reported as having been on the editorial board of a pro-Communist student paper at Harvard and as hav- ing attended some meetings of the Young Communist League. In a statement appearing in the Washington Star of April 5, 1962, Yarmo- linsky admitted attending "a couple of meetings of the Young Communist League." He declared that he did this against the advice of his parents. By introducing the subject to his parents, Yarmolinsky opened the door for a look at them. His father is Avraham Yarmolinsky, who signed a statement carried in the Now York Times on May 19, 1930, protesting native fears of the communist conspiracy as constituting a "Red scare." The advertisement was sponsored by Sanitized - Approved For Release : CIA-RDP75-00149R000300150039-4 CPYRGHT Counterattack ' -43- the John Reed Clubs. March 13, 1964 Avraham was a member of the Board of Directors of the American Russian Institute, described by the Senate subcommittee as a Communist controlled auxiliary of the Institute of Pacific Relations. Adam Yarmolinsky's mother is Babette Deutsch, who writes poetry and with her husband, reportedly translates the works of Soviet authors from Russian to English for sale in the United States through International Pub- lishers, cited by the House committee as an official facility of the Com- munist conspiracy. Also with her husband, she was active in the John Reed clubs, units of the Communist revolution which came nearer than generally believed to taking over the United States in the early days of the Roosevelt Administration. Babette Deutsch also has been identified with these organizations all cited by the House Committee: Citizens Committee for Harry Bridges Writers and Artists Committee for Medical Aid to Spain Soviet Russia Today Less than her husband, Miss Deutsch, seems likely to have admonished her son against attending meetings of the Young Communist League. Secretary McNamara, once described by a senator in Fortune Magazine as being surrounded by a large question mark, insists that Yarmolinsky's record is "one of strong and active anti-Communism." The Yarmolinsky-Ford survey mentioned no names; to have done so would have defeated its purpose. It was made public through a front called The Bureau of National Affairs. Of the fifty cases reported upon twenty were discharged for cause. Yet Robert Hutchins, in his first report as President of the Foundation, was able on August'21, 1955, today: " ..the evidence offered to show that a man is a danger to American institutions has often been farcically remote ...continuous propaganda and social pressure...has ten- ded to suppress conscientious non-conformity." This pontifical appraisal by a man aspiring to be considered one of the great liberal minds of his day invites rebuttal by anyone who claims the right of non-conformity with it. Just how ruthlessly efficient have been the security measures taken by the Federal government to prevent its employes from serving a menacing enemy? In the so-called "Merger of 1945", about 1,300 employes of wartime agen- Sanitized - Approved For Release : CIA-RDP75-00149R000300150039-4 Count anitized - Approved For Release : CIA-RDP75-00149R000.3ob vd6391-~' ties were transferred enmasse to the State Department. The transfer was un- der the guise of an economy measure and the Bureau of the Budget was chosen to stand sponsor for it. The wartime agencies had been loaded with Communists and pro-Communists. An insight into how this was contrived came out in the Senate Internal Sub- committee hearing into the Institute of Pacific Relations. Owen Lattimore, personal representative of President Roosevelt, was re- vealed in the record,of.those.hearingsas having written a letter to Joseph Barnes, an official of the Office of War Information, urging that the agency hire personnel from the New China Daily News, identified as a Communist organ. Both Lattimore and Barnes were described in the testimony as Communists; both denied the charge.. Barnes, who. was with the Institute of Pacific Rela- tions from 1931 to 1934,. now is an editor at Simon and Schuster, New York City publishers. The letter is cited here as an indication of how wartime agencies used human contacts for the transmission of suspicious employes. The suspects in this mass transfer were made the beneficiaries of spe- cial procedures designed to protect them in their non-conformity. They gave each other as references. Edward Fitzgerald's testimony before the subcommittee in 1953 opened an obstructed view of this. Fitzgerald qualified himself by invoking the Fifth Amendment to avoid telling under oath whether he had been a Communist spy while enjoying a career of special preferment in the government he was dedicated to destroy. He used the same dodge to avoid saying whether he had given Irving Kaplan and George_Perazich, birds o_f the same feather, as references. William Ullmann, described as a member of the Silvermaster spy cell, used the leader of the group, Nathan. Gregory Silvermaster, as a reference in his application for officer's training in the army he was out to help under- mine. The use of the influence of Silvermaster,. who refused to discuss his espionage activities under oath, gave Ullmann advantage'over thousands of loyal candidates who thought there was no such thing as pull in the army. They covered up for each other. When Silvermaster was assigned to the Board of Economic Warfare in 1942, Naval Intelligence...ran a check on him and made a derogatory report to the Board urging that confidential information be withheld from,him. The report was passed along to Silvermaster by William T. Stone, assis- tant administrator of.the Board. Silvermaster went-to the White House and talked,Laughlin Currie, a Roosevelt aide, later identified as a member of the Silvermaster ring. .. Curie.called Secretary. of. War Robert P. Patterson and, in the name of President Roosevelt,. intervened.. Patterson had no alternative but to order Silvermaster cleared of all suspicion. Sanitized - Approved For Release : CIA-RDP75-00149R000300150039-4 CPYRGHT Counterattack - 45 - March 13, 1964 against him by Naval Intelligence and handed his self-exonerating report to Stone. Stone himself came under the scrutiny of the State Department's Banner- man Security Screening Board in 1946. The Board found that he had been a member of the editorial board of Amerasia, a Communist publication used as a cover for espionage against the United States. The Board also found that Stone recommended for a commission in the Military Service Frederick Vander- bilt Field, identified as a Communist agent operating inside the Institute for Pacific Relations. Stone was cleared the following year. He was cleared again in January 1952. But a month later, the Civil Service Loyalty Review Board took the case :out of State Department security channels and in an upsetting decision. held the case had been mishandled and announced that it was being reopened, this time on its merits. Thereupon Stone resigned. They struck back at security agents who tried to protect the nation against their confederates. The Bannerman Board soon was abolished. Senator McCarthy charged this was done in order to get rid of Robert Bannerman, its chairman. When Red agents were publicly exposed, their confederates publicly de- fended them by smearing the exposer. When Harry Dexter White, one of the most powerful of the Soviet agents, died in 1948 while under active investigation, Virginius Frank Coe issued a statement saying the nation had lost a great man. The statement went on: "Harry White did not die -- he was killed. He was killed slowly and cruelly by insidious slander, ceaseless in- vestigation, and finally, when his strength was gone, by public scandal." Coe had been associated with White in more ways than he cared to admit under oath. He invoked the Fifth amendment nine times when he appeared be- fore the Senate subcommittee in November 1952. He refused to say who had brought him into the employment of the United States, who promoted him past loyal Americans in Federal service and, finally, whether he had been a spy for the Soviet Union. Harry Dexter White was described by Attorney General Herbert Brownell in a statement on November 6, 1953, as a Russian spy who "smuggled secret documents to Russian agents for transmission to Moscow." A report prepared by the Federal Bureau of Investigation in 1945 de- scribed in some detail how White obtained a secretary, Sonia Gold, who was not a Fifth amendment case, incidentally. She denied all charges in 1948 under oath. The report stated: "Some time in the Summer or Fall of 1943, the Silver- Sanitized - Approved For Release : CIA-RDP75-00149R000300150039-4 CPYRGHT March 13, 1964 masters (Nathan Gregory and his wife, Helen) believed it desirable to have someone placed as secretary to Harry Dexter White in order to facilitate the obtaining of in- formation from his office for delivery to Soviet espion- age agents. As a result of these deliberations, Mrs. Silvermaster went to one of the Communist functionaries in Washington and from this source obtained the name of Sonia Gold. Eventually, Mrs. Gold, through arrangements with White, obtained a position in the Treasury Depart- ment. As a result of this employment, Mrs. Gold obtained documents from White's office which she copied and made her notes available to Mrs. Silvermaster." . White had become so busy acquiring personal power through inter-depart- mental committee membership that he had insufficient time to carry out es- pionage assignments. He was given this power in a memorandum, signed February 25, 1943, by Secretary Morgenthau, which stated: "Effective this date,-I would like you to take supervision over and assume full responsibility for Treasury's par- ticipation in all economic and financial matters... in con- nection with the operations of the Army and Navy and the civilian affairs in the foreign areas in which our Armed Forces are operating or are likely to operate. This will, of course, include, general liaison with the State Depart- ment, Army and Navy, and other departments or agencies and s representatives of foreign governments on these matters." Coe's defense of White was a forerunner of the defense of Alger Hiss, even after his conviction, by Secretary of State Dean Acheson. Presently employed by a New York City printing firm, Hiss is reported as having made several recent trips abroad. . It would hardly come as a surprise if it developed that these trips were made for the State Department. After all, Owen Lattimore made a semi-official trip to Outer Mongolia in 1961 just before that Soviet possession was brought into the United Na- tions with the support of the State Department. Lattimore visited White at the Treasury three times in 1942 and called even oftener on Lauchlin Currie at the administrative offices of the White House. The Senate subcommittee had this to say about Lattimore and his interest in Outer Mongolia: "A former counselor to the Soviet foreign office...testi- fied he was present at a meeting in the Soviet Foreign Office in 1936 or 1937 when a board of Commissars presi- ded over by Litvinov passed a formal resolution putting Re'ease : GI A RDP76 00140R000300150030 4 .,CPYRGHT Coun era ac -47- March 13, 1964 Lattimore in charge of a campaign to represent Outer Mon- golia to the democratic world as a country entitled to membership... in the League of Nations.... The report also says: "The record shows that Owen Lattimore contended many times that Outer Mongolia was a free and independent country... Yet the record shows conclusively that Lattimore knew in 1936 Outer Mongolia was Soviet-controlled, and that he repeatedly sought from Soviet authorities permission to visit it..." Lattimore wrote a book called "Ordeal by Slander" bewailing the treat- ment he received as an accused man and the liberals joined with his old confederates in trying to bring the nation weeping to its knees in con- trition. He may live yet to have some national honor bestowed upon him by the President of the United States. J. Robert Oppenheimer did. As one of his official acts, President Johnson bestowed the Fermi Award on Oppenheimer along with $50,000 in tax-free public funds ostensibly for Oppenheimer's services to the nation as a nuclear scientist. Accusations against Oppenhiemer were brought before the Personnel Secu- rity Board of Atomic Energy Commission which made these findings in a report handed down on May 27, 1954: "The Board finds that during the period 1942-45, Dr. Han- nah Peters, Bernadette Doyle, Steve Nelson, Jach Manley, and Katrina Sandow made statements indicating that Dr. Oppenheimer was then a member of the Communist Party; and that the. other statements attributed to officials of the Communist Party in this allegation were made by one or more of them. The Board does not find on the basis of in- formation available to it that such statements were made by David Adelson and Paul Pinsky." The Board also revealed that Oppenheimer was one of the first officials in Federal service to contend that former membership in the Communist Party was no reflection on an employees loyalty and trustworthiness. Presumably Oppenheimer referred only to those who left the party with- out breaking with its objectives. Certainly there is no ready place in official Washington for those who turned on the conspiracy in angry dis- illusionment. The solicitude of the far left for its own kind has become way of life in Washington. Just before Bernon Mitchell and William Martin left the National Secu- ani ize - Approvea or a ease :. CPYRGHT Sanitized - Approved For Release : CIA-RDP75-00149R000300150039-4 March 13, 1964 rity Agency and fled to Russia with whatever secrets they had not already transmitted, they called on an eccentric Ohio congressman to complain about the way the United States was spying on Soviet Russia with U-2 reconnais- sance planes. They thought the congressman might expose these unfriendly intrusions into the skies over the motherland. The congressman told them there wasn't anything he could do about it. But he didn't tell the National Security Agency that two of its em- ployes were security risks. He must have felt that this would be taking sides with the United States against some of his best friends. The Department of Defense at first tried to suppress pertinent informa- tion and the House committee had to resort to subpoenas duces tecum in order to obtain the application forms of the pair. When Sergeant Jack Dunlap committed suicide six months ago in the be- lief that the Army was investigating his espionage activities at NSA where he was stationed the Pentagon denied that he had stolen anything of value to the enemy. The Dunlap case proved once again that the security programs in Wash- ington have been rendered useless by ridicule and tampering.. It seems the chief law enforcement officer of the United States, Attorney Attorney General Robert Kennedy, may himself be soft on the subject of ex- posing Communism spies in government. If so he is following a directive of Walter Reuther of the Automobile Workers and Americans for Democratic Action. Reuther had the directive prepared for Kennedy early in 1961. In it Reuther, who claimed great influence with thenew Administration, cautioned the Attorney General against playing up subversion in the national capital. This, said Reuther, would give the right wing ammunition for use against the Liberal-Socialist-Communist coalition. For the purposes of diversion, Costa Nostra has been quite helpful. Faithfully yours, Sacbscrtptiox Rate: St4.00 per year, U.S.A. Community, Club, School and Bulk rates of 25 or more, upon request. Pieaaa note' o..,rcanisatio~n~a~l affillation when making request.. Permieae~d d AVdDUP~FL'titY1 5F~~t , 4P ~pr~'r ~+p~P ~S~~Qn149R000300150039-4 R000300150039-4 FOIAb3b Sanitized - Approved For Release : CIA-RDP75-00149R000300150039-4