(UNTITLED)

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP75-00149R000300430008-7
Release Decision: 
RIPPUB
Original Classification: 
K
Document Page Count: 
1
Document Creation Date: 
November 17, 2016
Document Release Date: 
December 21, 1998
Sequence Number: 
8
Case Number: 
Publication Date: 
August 31, 1964
Content Type: 
PREL
File: 
AttachmentSize
PDF icon CIA-RDP75-00149R000300430008-7.pdf92.18 KB
Body: 
Approved for Release 2000/ ROP75 A714WX (210) FOUNDATIONS AUGUST 31, 19614. ., . V CPYRGHT FOIAb3b - WASHINGTON, AUGUST 31, (AP)--THE J. M. KAPLAN FUND OF NEW YORK, A TAX-EXEMPT FOUNDATION, HAS BEEN USED AS A SECRET CONDUIT FOR FUNDED EXPENDED BY THE CENTRAL INTELLIGENCE AGENCY, REVENUE OFFICIALS TESTI- FIED TODAY. THE DISCLOSURE CAME AT A HEARING BY A HOUSE SMALL BUSINESS SUB_.:. COMMITTEE INVESTIGATING TAX EXEMPTIONS FOR FOUNDATIONS. THE KAPLAN FUND IS BEING AUDITED BY THE NEW YORK OFFICE OF THE INTERNAL REVENUE. SERVICE. ITS TAX ZM4PTION WAS ORDERED REVOKED BY NEW'YORK DISTRIC'T' OFFICIALS IN 1957 AND 1958, $UT THE NATIONAL OFFICE REVERSED THIS FINDING.: IN 1960 AND CONTINUED THE EXEMPTTION.. MITCHELL ROGOVIN, ASSISTANT TO TEE INTERNAL REVENUE COMMISSION1 , TESTIFIED THE REVENUE SERVICE FIRST:"BECAME AWARE OF THEIR (CIA'S) INTEREST IN THE FUND" LATE IN 1961 WHEN THE SUPERSECRET INTELLIGENCES', AGENCY BROUGHT THE MATTER UP WITH THE TAX COLLECTORS. "THEY HAD LEARNED THAT AN AUDIT OF THE FUND WAS BEING CONDUCTED) AND THEY WERE CONCERNED WHETHER THEIR INTEREST WOULD BE MADE PUBLIC . IN RESPONSE TO INQUIRIES FROM NEWSMEN,-THE CIA SAID IT HAD NO COMMENT ON THE TESTIMONY. WHETHER THE FUND WOULD BE JEOPARDIZED BY THE AUDIT," ROGOVIN TESTIFI ) ROGOVIN AND HIS SUPERIOR, ACTING COMMISSIONER.BERTRAND M. HARD:% SAID THAT EVEN THE NEW YORK OFFICE WHICH WAS CONDUCTING THE AUDIT DX NOT KNOW OF-THE CIA CONNECTION WITH THE FUND. THERE .WAS NO TESTIMONY AS TO HOW MUCH CIA MONEY PASSED THROUGH 3