THE BUDGETARY SYSTEM OF THE NORTH KOREAN ARMED FORCES AND RELATED MATTERS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80T00246A046200330001-2
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 26
• Document Creation Date: December 22, 2016
• Document Release Date: June 30, 2010
• Sequence Number: 1
• Publication Date: December 22, 1958
• Content Type: REPORT

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CENTRAL INTELLIGENCE AGENCY
This material contains information affecting the National Defense of the United States within the meaning of the Espionage Laws, Title
18, U.S.C. Secs. 793 and 794, the transmission or revelation of which in any manner to an unauthorized person is prohibited by law.
C-O-N-F-I-D-E-N-T-I-A-L
SUBJECT The Budgetary System of the North DATE DISTR. 4..2 December 1958
Korean Armed Forces and Related
Matters
NO. PAGES
REQUIREMENT
NO.
,Information on the budgeting system of the North.Korean Armed. Forces and
related subjects
STATE IX ARMY I X NAVY X AIR Ix BI AEC
ORR X
?? ? ??? ?? ? ???
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CONFItJENTIAL
1. According to it public announcement made by Ministry of Finance im the Laboa"
Prow (Nodong Sinum) sometime in late 57, the entire NK budget consisted
of 96 percent tax returns from various government operated e11terpriaes
and cooperatives and four (4) percent from civilian taro-payers. It was
further stated that the defense budget, i.e., the KYAF budget amounted to
only 5.4 percent of the entire budget, a figure which was widely regarded
to be a false statement. This might bo well illustrated in the fact that
when the t was made, there were disaussicnne about, the matter
am= officers of the Command De arts nt lot Division 3rd Corpol
all of whom then reached the oonclusion that the del'ewla[bud2e
miaht
I All
fiscal affairs concerning the i'aiuietry of National Defense (ri?ND) and the
KPAF were handled, in close coordination with the Ministry of Finance,
by the Financial Bureau, which was regarded to be a component of the X&ND
or to be placed under the Rear General. Bureau of the r:OND. The defense
budget was ar propariately distributed among various agencies under the
control of the Rear General Bureau of the N1OND, so that they night procure
and allocate m>mitions required by individual units in accordance with
their troop strength. Aotmver, salaries for military personnel were handled
by the Financial Bureau which appropriated required funds through the
Central Bank to individual units, in accordance with Choir team organize..
tion table by hype of position, for actual payment. Generally speaking,
the defense was executed in such manner that the Financial Bureau
exercised an overall control over it while the Rear General Bureau was
responsible for various financial departments which handled parts of the
budget. Furthermore, actual expenditures by individual officers were
possible when fund appropriations were affected for the unit roar depart..
ment and financial section. Because of those budget handling procedures,
it was almost impossible for general nd,lifiary personnel, except high
ranking officers and key financial and :tsar workers in military and
administrative organizationa, to acq.,ire any knowledge about the details
of the defonco budget.
2. Salaries for military personnel constituted a major component of the
defense budget and were paid by division., The financial section chief
of each division (or brigade) received roquired funds from the local
branch of the Central Bank located In the area where the division or
brigade was stationed for payment to individual receivers. however,
the actual payment for officers was effected through the financial officer
of each regiment or independent battalion or the financial auction chief
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of each division staff, whereas enlisted men roceivod their salaries
from the master sergeant of each conpanj who obtained the required fund
from the regitnent or indapondont battalion financial officer of tho
divisional financial section chief,
.4. Pay ,dine for 1icted Dian: As of Feb 58, enlisted morn received
salaries as follows, without arty alloi;mnce:
Private
100 WAn
Senior Private
1.35
Junior Sergeant
200
Sergeant
300 "
Sensor Sergeant
400 "
I4eeter Sergeant
500 "
However, those enlisted man who wore assigned to the civil defense unit
were entitled to the Mid 4llowarLop4n addition to their salaries, whi irh
amounted to a 100 percent of their salaarios. As a result, they received
twice as rmiah as other enlisted ton.
4. gay Schedulsin U&M=atad jggrq w no regiment or
other unite below had non,?ccomiessioned offioern viio had boon re.-anlistod.
Their aaeignment was limited to a division and.above. The let Division
of the 3rd Corps had only three (3) to four (4) such officers. In most
eases, they were charged with technical matters, The number of such
technicians assigned usually increased with. the level of the organization
eon0orned. According to rumors that circulated among officers of the lot
Division in Jan 58, re-enlisted rion, .obi i.ssioned officers were paid
monthly between 2,000 and 3,000 Win, lest than a Junior lieutenant but
as much as standard wages for general iaborersg plus the monthly living
a13,owence of 50 i46a for each dependent and the service allowance of
unknown amount. which was paid in accordance with their service longevity.
5. Far Si g CM OPf ie ,g= The monthly income of officers included their
basic salary, the military title all0 enea, the service allowance, and
the living allowance, the dotal .U of wL ioh wore as foll owe s
l) JQ=s Salaries for officers were not fixed by rank but by position
they held. For Instance,, a major would receive a salary for a senior
colonel when he was assigned to a position which was originally
designated for the rank of senior colonel. What was more, tuo (2)
officers of the saw rank might receive different pays if one of
their assigned units-was lover than the other, For instance, a major
working with a divisional coeunandg post received lass pay' than
another major assigned to a corps commanding post. Howevicer, the
diff+trenoe did not go beyond the Mmit of 500.*n.
2) Ni1i , , T All__,_r ee: .0.11 of: icora were also entitled to the
military title allowance which 'sacs paid in accordance with their actual
rank in disregard of their position. The ems nt of the rii1 itary title
CO O FIDJiINT UL
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CONFItE TTIAL
for each rank was oat to be a
ll
s fbllowa s (E:Emept
oWanoe
a
lieutenant and major
Junior Ibeutenant 100 W
pn
Lieutenant 200
"
Senior rAeuiterant 300
"
tain 400
Ca
rt
p
Major 600
lieutenant Colonel 700
Colonel 900
"
Senior colonel 1,100
"
rajor General 1,300
Aiiovancfl2 This type of allowance. w paid for all offioars
3) at -~ce - ~!~-
at the following percentages of their basic salaries in accordance
With their longevity of Service--
I - 5 70a
10%
6 - 10 years
100
(10)
on
th
an
t
evity was more
were paid for those whose servico long years.)
4) Lim pct This system w as created to replace the former
comnodity distribution system and was designed to pay in cash instead
of ' in kind. Those officers with Key dependent to support ranking
between the ranks of junior lieutenant and lieutenant colonel. Each
of their dependents was paid as much as 50 Wj4i a month. In contrast,
such officers, no matter what rank they actually had, as working in the
position designated for the rank of colonel and above were paid a
fixed amount of living allowance according to their position, regard.
less of r t Sometime
in ion 58, 25X1
the new living allowance system enabled se o eers, wno me"
in the position designated for eenior colonel, to receive slightly
more than 3,000 t n. However, it was unlcnotan whether the amount
was paid monthly or quarterly. An compared to the fact that junior
officers wore paid 50 Win monthly :or each do7:y,-nn.dent the 3,000
25X1
iviny allowance mi2ht be d rather uartarW
when the central suPply system 25X1
tram replaced by the living allowance system, its G*ado IV recipients,
i.e., responsible directors came to reooivo 700 tin a'month under the
now systems Grade III reoipients, i.e., departmen S, chiefs, 900 Wjdan,
Grad. II recipients (bureau cbioft) 3,800 Win, and chief engineers
(Grade #Y under the old system) 3x,600 "din. Judging from the above
amounts, ii senior officers such cue colonels and generals had been
entitled to Grade II or III under the old system, it might be possible
C01 FIMIII.t?TIA:l.:
(NMI It was unImown uaat percentage of their salaries 25X1
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CUIJNTIAL
to receive their living allowance as m 1oh as 3,000 Wylie month.
If not, it might be a quarterly allowznue. In abort, this problem would
remain in doubt until it was decided what grade a senior colorml wse
entitled to under the central supply system.
5) rield s Those officers who were assigned to civil do X'onse
eompeanies received an additional pay that amounted to 30 percent of their
basic ea2arie8.
AU told, it was impossible for genex-:'_ military personnel to Issial of how
much individual officers received in torn s of salary and other allowances,
large].y because of their disverse systems and procedures irmolved.
The following list
is based on onthly income which rasa paid for the position of a major.
Moreover, the living allowance for coloneia and above are excluded from the
list Since it is unknown. Monthly income for each rank was an follows:
Juniew Lieutenant
Lieutenant
Senior Lieutenant
Captain
V Jor
Lieutenant Colonel
Colonel
Senior Colonel
General
3,000 Wy3n
3,500 "
3,800 "
4,500 "
5,500 "
.6,200 "
7, 500
8, 500 st
10,000 "
gg: A divioiona, ao mndi poet and a1 o
6. ja . Cigi~l~ Era, icy
allowed to hire such civilian workers as ' :orc charged with Mm projectors,
libraries,, harbor shops, dining halls, an(,, kitchos. What was more, there
were some corps which oporated their own .'fishing grounds, for which they had
to employ a number of civilian workers. To take an example of the Coco nding
Post of the lot Division, it employed a total of more than 20 civilians,
including a projector opera" 'a, a libraria n, a barber, a tailor, and several
kitchen workers. As to their wages, it w -s said that they received eo e
between 3.0500 and 3,000 each month according to their jobs. Specifically,
the projector operator received as much nr 2,,400 Wyn a month, while the
librarian was paid about 1,800 Win, It = sa further ru rod that the
required funds for such wages wore financed with profits coming :Emma various
business activities by individual units. Therefore, such paayu .n'Ls had. nothing
to do with the defense t it was saic.
CON, tENTI LL
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OONFID.TIAL
7. cloth1Y o Vai] Cc itiees mother main factor of the defanac budget
was clothing and daily ocumodity oupply, which was effected tinew each
year, i,e., in summer and winter. The aumner supply was made in early
spring of the year, while the winter supply was done in early v%-ri.mn.
Clothing and daily ocm odities were supplied for all military Foroorinol,
including enlisted men, officers, aid non-commissioned of'fioerr who had
bean re-enlisted, much. in the saw manner as their salaries. To repeat,
officers received their supplies from the rear department of tlxoi.r respective
regiments or divisions, while enlisted man were issued by their comps
master sergeants. Typgp and quantities of clothing and daily co:mu-nod'uti es
that were supplied varied with service typos (army, navy, and air force).
In case of infantry ran,, supplies were issued under the three (3) catogoriec-
of enlisted men, Junior officers (junior lieutenant .. lieutenant colonel),
anO senior officers (colonel and abovo)r' in accordance with vhhioh they
varied in quality and quantity. In late 37 when PAK CI ng.-woo `fanal a ),
Vice-Chairman, Central Committee, I.LP delivered a speech on hcer visit to
the 3rd Corps, it vats learned that the KP'AF had received moth supply at
the rate of 48 meters per man, throo (3) time as much as now. .d.litar;7
personnel differed slightly with the yew.
S. In 57a the NK army received such clothing and other 25X1
supplies as follows:
1) 113eta t mss All enlisted men were supplied with clothing without
charge and were required to return their old clothes,, Re-(anlisted
con..c ommieeioned officers were supplied with clothing and daily
oomtiodities in such the same nanner as general enlisted mom. In 57,
clothing and daily comnodities supplied for enlisted men included
the following items:
der Stuefnxiae
Clothes, combat... cotton,. suit ;l
T-shirt, cotton, each 2
Shorts, cotton, pair 2
Foot..covor, cotton flannel,, pair 2
S neekers, NK make, pair 2
Towel, cotton, each I
Underweaar, cotton, quit: .2
Scarf,, cotton, each 1.
Cap, cotton, every two (2) years I
Shoulder-strap, pair I
Brush, tooth, wooden hardlo, each I
Powder, tooth, bad I
CoN7 N T IA-~L
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CONFIULI'TIAL
Water Sup )RI o
Clothes, combat, cotton lined, suit
Underwear, piled, cotton, suit
Underwear, cotton, suit
Shoes, arctic, cotton, pair
Foot..cover, pair
Scarf, cotton, each
Towel, each
Overcoat, cotton-lined, each
Shoulder-,trap, pair
Brush, tooth, wooden handle, each
Powder, tooth, bag
Insignia, every three (3) years
Sheet, cotton, every two (2) years
Cover, pillow, cotton, every tzro (2) years
''~ErJT: Raincoats were not issued individually but for each
company, which had three (3) co five (5) raincoats for common use.)
2) JWbor Officerat All officers had never been r?.quired to return their
old supplies until 57 when the regulation was so revised that their
cotton-lined winter clothes should be returned. However, in the case
of the 1st Diliaion, it was only ton (10) percent of its entire officers
who had returned their old winter clothes. In 57, junior cfficers were
sup. lied with the following types of clothing and daily commodities:
Summgr S es
Clothes, combat,. cotton, suit 1.
Shorts, cotton, pair 1?
Foot-cover, cotton, pair 1.
Socks, cotton, pair 2
T..shirt, cotton, each 1.
Underwear, cotton, (long alcove), suit 1.
Raincoat, Chinese or NK make,,. each Fear 3 years I.
Sneakers, pair 2
Towel, cotton, each 1.
Scarf, cotton, each 2
Cap, each per 2 years 1.
Shoulder-strap, pair 1.
Insignia, shoulder, set ].
w1ntcr Su l~q
Clothes,, combats cotton-lined, suit ?.
Underwear, cotton-piled, suit 2
Underwear, cotton, flannel, suit 1.
4
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Shoes, Arctic, pair I
Soeke, cotton, pair 2
Scarf, cotton, each ;2
Towel, cotton, each :L
Boot, Czech make, (major u Lt. colonel),, pair :i.
Belt, each per 5 years I
Insignia,, cap, each per 3 years :E.
Shoot, cotton, each per 2 d vows
Cover, pillow, cotton, each per 2 yearb 1
Shouldor-strap, pair 2
Insignia, shoulder, sot 2
As seen above,, junior officers were not issusd such tooth brushes
and powder as were given to onlistod men but those of higher quality.
Although it was regulated that all officers were entitled to foreign
made woolen overcoats, officers other than those with the rank of major
and above wore Issued cotton-linod overcoats like enlisted men in 57.
liowevor, it was said that, from 58, they would also receive the foreign
made overcoats, as well as woolen uniform which had been foreerly given
only to colonels and above.
3) Senior Officet All officers falling under this category wDr-e requested
to return their old supplies, particularly clothing, which, in 57,
included the following items s (s Items hinted below wort) =:nlied
for the ranks of colonel and Senior colonel. It was unknown
whether officers with the rank of major general and above were
with the same items as below.)
r Suva
Clothes, cotton, Chinese, suit l
Shorts, cotton, pair I
Socks, cotton, pair 2
T-shirt., cotton, oa0h 1
Underwear, cottons suit I
Shirt, long sleeves, cotton, each I
Raincoat, each per 3 years
Shoes,, NK4 pair 1
Boot, Czech, pair I
Sneakers, pair
Towel, cotton, each 1
Scarf, cotton, each 2
Cap, each per 2 years :l
Shoulder strap, pair 1
Insignia, shoulder, sot :I.
supplied
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CONFIDENTIAL
yuk Rugs
Uniform, wool, foremen ra&co, suit per 2 years 1
Socks, cotton, pair 2
Scarf, cotton, each 2
Towel, cotton, each I
Overcoat, wool, foreign make, each per 3 years 1
Shouldor-.strap, pair 2
Inssignia, shoulder, sot 2
Belt, each per 5 years 1
Insignia, cap, each per 3 ,roars 1
Sheet, cotton, each per 2 years 1
Sheet, cotton, each per 2 years 4
Cover, pillow, cotton, each 1
What was unique to senior officers was such items as woolen unifoxin
and leathe- shoes and boots.
9. Food ,Sur>2yj1o Mj: Food supply for the KPAl, though different not only
with service typo but also with ranks and type of work performed, were
roughly comprised of the following items: ( : Officers and non.
commissioned officers mere allowed to individually receive their food
supply for their living with family.)
1) C ss I P Bout i This category of food supply was chiefly designed
to give each infantry man, between the ranks of private and lieutenant
colonel, 3,300 calories per dry and included the following itemss
Rice, gram
Flour, wheats gram
I4eats gram
Fish, gram
Vegetables, gram
Oil, bean, gram
Paste, bear, gram
Sauce, bean, gram
Salt, gram
Pepper, hot, gram
Vinegar, gram
Cigarettes, each
Curd, bean, gram
800
100
75
200
20
40
Unknown
Unknown
1
Unknown
10
30
to cover the subsidiary food, i.e., all food sturr except
rice, a daily allowance of about 40 wee paid for each infantry mega
entitled to Class I food supply. The food supply, in spite of the above
list, was not effected as regulated, but, for instance, when. 'iea n oil.
C0NN3FIZE AL
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CoidFIL .NTIAL
ran out, bean or been curd was substituted for it. 5pocix2.m y, um
daily supply of 100 an flow per person was issued only when 100
grams of rice was deducted from each ration. with regard to cigarettes,
they were of the "Chgsan" or "Taodongmun" brand which cost 20 %i n per
pack on the market #
2) QM i o ?MM&t Senior infantry officers such as colonels and
senior colonels were entitled to t his class of food supply which was
regarded to be bettor than Class I for its more meat and fish, plus
sugar will fruits. Also, this class entitled its recipients to the daily
supply of 15 cigarettes. of the "P'yjingyang" brand, the price of which
was 60 W/#2 per pack.
3) Class III Food Supply; Al]. major generals and above of each service
received food supply of this class which it was easily prosx"nad was
the best food that was served for the KPAF. However, its details wore
unknown.
4) Class VI Focd Satt,tilvt This category of food was served for such specific
military personnel as automatic gun operators and tank crow. The food
was considered to be better than Class I but worse then Class III.
Howovor, its details more unknown.
5) aaeg Clans Food Sun vt This class was created foll
t
on 27 Jul 53 for the personnel of the civil police uni
the Armistice
it . bettor than Class I, with more meat bean oil, vogotables, fruits,,
and suer.
there wore scrim (7) types of food supply,,
i.e., Class I up to VI plus Special Class. It was said that jet pilots,
though unknown of their rood supply class, more served the beat food within
the KPAF.
10. motes v Tran tat on # Uoyom4n s It was presumed that all expenses
required for military transportation and movement, including the maintenance
and operation of various vehicles such as trains, automobiles, and planes
as veil as fuel oil and coal, accounted for a greater part of the defense
budgets
l} Jeeps were the only type of passenger cars that.was used by the KPAF.
Such jeeps were usually allocated only to the oommending post of a
division and above. As far as the armor was concerned, no regiments and
other units in lower echelon were found to have any jeep as of Fab 58.
All divisional coma-Ming posts under the 3rd Corps wore in uao of four
(4) jeeps which were allocated icr the division commander, the chief of
staffs the security department chiefs and the artillery d?p x y commander,
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2)
while the corps commanding post had eight (S) jeeps respectivc::i, t in use,
by such high rankln4 officers as the commander., the chief of ; En.ff, the
military coin issar (who usually had the collateral duty of j o1l.tical
department chief), the artillery deputy cosmandor, the secw-i,.,,d
department chief, the roar deputy comr, ender, and liA son. off'it?;:.: (2
jeeps). Although it was unknown how much was appropriated f`a t e
oporation and maintenance of each Joop, gasoline was issued an iauch ao
150 kilogram for division comz..enc7or' a jeep and 80 kilograms Jo-r- othora
At the commanding post of the lot Division, it was said the : e monthly
amount of gasoline distribution for each jeep used by a co-
officer averaged 100 kilograms, which was far short of what :?
normally consumed in a month. To m.eot this gasoline ahorta;.;u., JCor
instance, the commanding posts of who lot Division end the ;rrt i ~Oorps
had to lay one (1) or two (2) of their Jeeps idlo using the i,-r.f~athing
ones jointly and, when gasoline was still short, obtaining it .'rcmi
their transportation canqanies.
Post military supply and troop m?ovo, nts :aro done by trucks, rrnor3tly
of Soviet make. In the case of the lot Division, there t;as anLy one (1)
transportation company under the direct-. control of its corrmier ding post
and three (3) transportation platoons attached to its throe (3) regiments.
The above transportation oompw y' and platoons, in all, had e,o:r a than
60 trucks, which were observed to be in normal condition with an ample
supply of gasoline each day. h ou er,, their operating expenses Aero
unknown. Lastly, each division was presumed to have the am-*3 u3ucmber of
trucks as the Gast Division.
11, Combat `.'raj ni r-~,~F~ geo .s Variou expenses required for rani i;~a ~;;- trei ning
~
and education constituted a considerable part of the defence budgeL
1)
I1x81; 92M ba T1x~ pins T?lica typo of training was actually the individual
shooting practice which was done {.)nco each year under the guidance of
responsible commanding officers. It was conducted in such a ::tanner that
each one, with him rifle, pisto3., or rrachinermm an the case night, be..,
practiced shooting within the follow n ; limits of allocated viianinitiona a
R's 41,eamsn (Ge ra . Fr~~ec ! Apr
Type I Shooting Practice
(P +..;:od Target)
3 rounds
Type II Shooting 11cactice
(Sudden Target)
5 rounds
Type III Shooting Practice
(I`ftcuing Target)
5 rounds
?P3h) Neon f a~,,P'1a.8,,~ )
2 CztM
,
Type I Shooting Practice
9 rounds
Type II Shooting Frac ioe
22 a ounds
Type III Shooting Praettoo
2.2 rounds
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4 rounds
6 rounds
6 rounds
(g FNTz pistol shooting practice was conducted ta-ioc Odell dream
each time using the above amount of ammunitions. )
As far as machinegwnnera and others were concerned, their am nition
consumption 'for the first combat training was unknom. In the winter
Typo I Shooting Practice
Type II Shooting Practice
Type III Shooting Practice
of 57, it was learned
CONFIlIi ITIP:L
that each round of such aina mitiona
as
were used for pistols, rifles, aub.aachinogcns, and light r chinoguna
cost 96 Chin. The combat training also included such heavy firearms
shooting practices as artillery, the details of which, including the
required amount of ammunitions and other expenses for r vemeyl c, were
2) Scot ,minima; This type of combat training was done by
individual squads and platoons once each year, for which all.firoarms
on hand were mobilized, along with limited numbers of ammunitions.
during this training, each machinegun
was allocated 70 rounds of ammunitions for firing, while each rifle
was allowed to use 20 rounds.
3; Besides the above types of combat training, there were several typos
of combat maneuver, nawasly, company, battalion, and special combat
maneuvers, which wore conducted once each year for demonstration
respectively representing the concerned division, corps, andt :(PIF as
a whole. In such a oaso, it was common to mobilize move wazVons than
possessed by the company or battalion concerned and even tanks were
sometimes used. Such maneuvers were prestmad to required much expenses,
the details of which, houmver, were not revealed
12. Training expenses were said to incrude oven such expendituroe as were
required for educational purposes.
13
Ls Judging
from the appropriated fund for cultural and clerical expenses for the
Commanding Post of the let Division, the expenses might be said to account
for a rather smell portion of the entire KPAF budget, Their detr4ls were
as follows;
Stationery supplies were limited to such items as paper and ink which
more also furnished in extremely am&U quantities. For instance, until
Feb 58, the above Commanding Post had received stationery supplies
as follows:
C,0271=4 14TIAL
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CONFIDENTIA L
s) Po( I'rSia,~e ))
Divisional Operations Suction 150 shoots por month
Divisional Artillery Staff 70 shouts per month
Divisional Political Department 70 sheets per month
Each Officer 15 sheets per month
Other Functions ' Unknown
(N: Paper supplied for office ran short every month. To meet
this situation, all typos of papor more no controlled as to be
issued by the appropriate office chief each time when requested.
Even this proved not to be enough. Therefore, it was necessary
to substitute wall paper and other types of paper such as wore
supplied for cultural activities for the above purpose.
b) 3 : Each function of the Commending Pont was furnished with a
bottle of ink each month, which it was observed was suffic:iont
for monthly office use,
a) p Poi t: Each officer was supplied with one (1) pen-point each
month.
240
d) Pen- older (oo ): Each officer was issued with one (1) pen bolder
throughout hie assignment.
cti,~ _,,..,.g Et~Lsmxant & tfatwr{_&;,s Under this category cane all equipment
and materials which wore supplied for we on such occasions an propaganda
activities and anniversaries, In 57, the Commanding Post uaa
supplied as follows:
1) aggdU : The library attached to the Political Dopartauont
of the 1st vision had about 1,200 books chiefly concerning nrd.J.ite
scienee and political science, in addition to which such newspapers
as the Nodong Sineunn (Labor Peso)., the Ilia ju Choq* (Domooretic Korea),
and the !4in ju Ch f S . (Democratic Youth) were regularly avid.lablo
2) aterial s , for P~-opa . .da Ar rx ?'~.? .2 r tL.jt s These mixtori a +.s.
included the following items:
Paper, white, writing, 81" x l0", sheet per year 500
Paper, white, 1.3 m x /f0 cm roll. per year 1
Colons, powder to be dissolved in gasoline, kg 2
Picture board, vendor, 2 m x 1.3 m, sheet, per year 50
Cardboard, 1.5 m x 1 m, sheet per year 107
Cloth, white, for drawing plaoards'&. portraits,
1.2 m x 20 m.. roll per year
3) R~ atiQn Ecsuu3 S quint installed for recreation purposes
at the F Political Department included the following i, %u s
CoNF1Dr.IiTIJ4
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Radio, Hungarian, unit
1?
Chemggi (Cboso Board), Sot
20
Aoaordion, unnit
l
15. i i : Though it was prauumod that the largoat portion of the
national defense budget was spent on military oq IPMont and other battle
gears, their details wore unknown.
16.
1?.
JUJU= ; srrackw & Officers' Reaicence s It was unknown how roach money
was ann,p lly spent for the construction of barracks and officere' rc sidoncos.
All barracks and residences oboe-. ved along the frontline had roe,ualted from
the labor mobilization of the KPAF enlisted morn. In most oases, they were bui:tt
of stone with cement tile roofs. Among various materials used i'aor -;;ho
construction of such structures, the only item that had been paid c,att of the
budget was ca ent, including such that which was used for menufccttaring
roof tiles, while others were supplied by individual units. F 't3a^ wre,
the member and type of such structure also varied depending upon' t he financial
conditions of oath unit. Generally, all officers with family w ro allowed to
have official residences. In ouch cases, Junior officers had tch s are a
residence with several other officors,oach using a room and a kitchen, while
senior officers (colonel up to general) were allowed to use a residence
exclusively. Hovever,-o units lot its junior officers live exclusively
in a residence, conditions persdtting, which was rare. Such rot;idencoo as
these in exclusive use by senior officers consisted of two (2) rooms and a
kitchen each. In the case of the lot Division, senior officers wore housed
in residences of two (2) roomer a kitchen, and a drawing room. Jxception-
ally, some junior officers were permitted to live by renting civilian houses.
In P'yydaagyang..ei, military office. s usually resided at officersI apartment
houses, the details of which were unknown.
lje1s
might have boon comparatively small because fuel (chiefly as te)
expenses were usually appropriated for only those units which gore stationed
in big cities where it was impossible to sew supply fuel. .Accordingly,
such units as more located in local areas ware required to solve: fusel (fire
wood) problems by themselves. Specifically, all units under the command
of the 3rd Corps had to mobilize their enlisted man in order to stock fire
wood for use by individual units and officers' 2omi' i. 2e in winter, <
18. DUAI'Ats Fans The national defense budget included snoh funds as
were appropriated for business activities, nabely, political and intelligence
activities. larger portion of the funds were spent by the Reconclosanoe
Bureau of the VL}ND on propagandising against the ROM ash and demoralizing
its personnel, particularly along the front line. Judging from the fact
that expenses required for ono1 r operations along the frontline earl boon
apprcipriatod by the 1OND Political Bureau, all business funds nigh e, be oxpondod
44-
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19. F x F s A.l.l
i4iniet it of Finance were disseminated by the contra government da-a to the
level of division. It was also required that no unit other t'rsri =1viisicno anL6,
above yore allowed to loop fiscal dootzu nts, with the exception of rogU mts
and independent battalions which maintained such do= mts as were inmaod
by the related division. The same rule eiso applied to other acbniuietrativo
doamnaente. In fact, it was observed to be one of major military policies
to keep regiments and inde dent battalions from maintaining aM, document of
consideorable importance. all fie; cal documents
pertaining to a division and a divisional po , includng various
units under its control, were respectivoly handled and maintain.ocl by the
divisional financial section directly under the control of the division
eornander and the divisional staff financial section which wia also directly
under the above divisional financial section. As for as regiments and
independent battalions were co cernod, fiaoal documents were handled by
their cm fiEnenaial manaegmnaat officer who was in close contact w ). th the
above divisional financial section. Thee, all battalions and cotipaniea
had nothing to do with such documents. Fiscal doounonts were moreover
treated the sauna as in the vase of other classified ones. Therefc: re,
both fiscal regulations and records (ledgers) were actually mainUdried
by the confi:dontial documents section or the confidential documents office
(in case of a regum ant ),, from which the charged financial officer brought
necessary documents each morning. Particularly, those documents %Mioh were
issued by the central government wore abuses kept by the confidential documEaubn
fiscal documents including regulations and official letters eigwvd by
section or office, which allowed the concerned financial officer i,.o take a
]rock at them in accordance with strict procedures.
20.
ntta Ynvot nn Sala ; Pave: Those officers who belonged the
division commending post and other units directly under its conty l
received their salaries from the division staff financial eoet on,
whereas others were paid by the financial management officer of t : oir
respective rogim it or independent battalion, Procedures invo lv .a
Wary payment were as foll+owa t for instance, officer a of the cowmwiding
post first scent to the staff financial section whore a reaponsibl
officer or rarely the section chief tie necos,:ary entries, as rc;r.;uixed,
into each officer m a financial card and the pay roll.. Then, the p sy
receiver was requested to sign his name on the nag' ro'.l and Lilt p;:y
receipt? which was attached to his financial card so that it m:l iii; be
torn off on payment. Following this, the financial officer handed the
salary in exchange for the receipt which was usually out off with
scissors. It was principally required that each officer porsola:0,y
receive his salary' except ouch occasions when In was unable to do so undorr
Unavoidable 3ircumstancee, In such cases, he rase recpuiroda k put in
signature on can :receipt attached to his financial card and enfiru..at it
to someone else along urith a letter of procuration. Then, the en-truntod
man would go to the financial section and receive the salary for t ho
entrusting officer after si Ming on the pay roll his own ammo. 'o opito
C0NFIDENTlAL
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the above rulse, most officers bad their subordinate no, .ooeaxiasicrrd
officers reeaivo their salaries in oxchangro for their signed rec 4prt.s,
instoad of visiting the financial officer in person, a tendency Aioh
was more frequently observed with senior officers. For destai1ed
infaeynatian an the finatsai 1 card, rofor to that which, had been >>x .,'ueht
if . with regard to the pew roll,
it was usually referred to as the "Officers' fly Roll",
which was separately prepared for officers at the division commanding post
and for others. Fqy rolls ware filed into a record for each year and had
such entries on their mirnoograpbod farm as follows:
on the reverse side of the, ply roll., each rocoipt was attached in ze
same ardor as on the payroll. Howwror, no specific indications WI). 'P rise
an the reverse side for the above purpose.
21. The payroll of name-commissioned officers under the cosmnand of the regiment
and the independent battalions was dandled by the chief financial admini-
strator of the regiment end tho independent battalions, while that under
the ooammend of the Division Headquartcrs and each unit directly attached
thereto was diroetiy handled at the Division Staff Financial Section.
Therefore, the battalions or the dui anion never touched aqy financial
papers, except the master.-sergeants of each ecnpauo*, who received signatures
an the pepo21 and presented it to the chief financial administrator of
the regiment and the independent battalons, and judging fora n the fact
that all nan.acmmtiaaioned officers also si{;nod when they received their
pay, perhaps the payroll of non.-Co imzi asioned officers was hend1ad in the
same mgr as that of the commissioned officers. However,, tho n(zo- o: mieeioaed
officers received only their salaries, and tho form of their pay roll would be
very Simple o
22. The rear documents were handled in the canto v W as in t ho case of t-no fi.nanei+al
documents. In other words, all rear documents, which wore ieaueid Gy the
central headquarters, wore; doivercd to the subordinate organs sbo o the roar
CONFIL NTTAL
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departrnonto of the Di'ttiaian alssss and t ho, rear dept .. s:axts of t;'-i:
and the .thopenc1ent battalions could only hold the daot.aontc..
prepared and forwarded by the roar depart nt of the Diviaio-o ate rr; ,:,;::~:~ ,
The roar documents vwre also handled in top secret alon; Ultx 1.. ial
documents, and all books:, vAiinh were used during the ofiiee t
in the safe of the Gonfidontici. Docuzcnts Section (or
'> Yo
nonte Office at the regiment taxed the wade t t' for 3c :e (.7*
documents, handled by the Roar Dopart-m nt
wore as followst
1) At the Division Accounting Soocion, there wars clothing disi,;r?1; ::sx.s.cn
lists and clothing cards for all officora, attached to Vic! PIT ," ;ir a
Corm!and and ,I.trj dir. :P .i Bwsi:, those Lr.;. t.t? *~ r~>
called wont; oftica_?a 25X1
The cards were rye or each 1 t
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the clothing n distribution lists were classified in two (2)
one (1) for officers of the })ivision Consuand and ono (1) ~:'or ~_? :;.sera
of its directly controlling units* When olothingo were
each officer signed on his clothing card and the clothing d lrt i rl.buti.on
list, The distribution was made only twice a ;roar, and all or,4,lcora
appeared on the scene in order to get the best clothing f i.tti.ng thv -
selves. The clothing distribution list was made in the ac. ,.a f'oa'm as
the payroll, and the clothing rd included 02 the sa oo on the
clothing distribution L.st., with the colu-uvs of signntirc., ores':
n4: :ter i esaionccj
2) The clothing distribution lists and the clothing c -ds of
office, -s in the service. of ragi ants and : ndepen& nt batt;;al r orii ,re
kept at the Roar Department of the related regimen's and bat 1,a1 on
headquarters, and when commodities wore distributed, daub raceipiont
signed on the distribution list and t'no clothing card. The tvo
clothing cards and clothing distribution liate were also :x , at the
Division Confidential Dootz nta Seaton (or the Confidential Documenta
Office of the rag Lannt and the independent battalions) while t<
~j~ ,~ were not used or cleared a i y at the close of the officac
23 O ~~.~iRZRi. or Dii6A tl7.'S6i.Snl: ~'i%:7Q ,I.bAStETwa'~ ~ ' a ~" hen
a service men have lost any Army goods, Including weapons, wh`.ch he had
received on distribution, he is required to draft up an aceid.:)rt report
and submit the same to his higher authorities in order to co* perjsate the how
and to receive an appropriate punishment, unless the lost art cue is a
thorough consumer goods. The above report in to be s3ubmittec in the maws
of the responsible officer, who is the it diato supervisor to the de? inquernfi .
For example, if an officer has lost something, ho should pr?epaxe a report
by himself, but if a nor ssioned officer has lost aono?thirn ;: the .
report is submitted in the name of the responsible officer or hin dar9ct
commandant, who is s ubjec't to punishment for that account. This pro r
punish nt is inflicted on a platoon loaclor, a coupany oc andr;:a ;, a.
battalion comsriandor or a rogir;. n a cor-mander according tot ho rr:: r,a~atasa t3. c, i.aR~^7.tili.z>Z?;
the loss aril miaoppro i ati on and componeatiox+,, ot1c o, ;Ireu :az e
they knew the national prima of all Aa.i! r supplioax and i:..o NMI of
the Army personnel. In the F 'AF, infantry regi.m mts z; e attached
to two (2) Ariry grouper, and its directly a ontrolling Cow,
and two (2) Rocorve Divis3.c:nr:, Hine the infantry rogIa-ca to wore
orgacnimd all in the cam r ennor, those eon or anp ovh ax vdlli tae ry
o:c"fioeraa who hercllcxi the itrq- ,aur,pli.cs, cc,,' Id fi, are oat t be eamunt
of antpp? iQa3 tiia? :,: d to each 1_ it.
b) ~~n, dealing diatribut .on c i-.7 :'Xr,y G pp oz. who know t i~ "Gxwcic~ ~;a arc
of :.ha Aa'T T perso3?nne? and or ;;z dieb:u'csomsnt.aa.
Employees of Diviniona3 and Rogj,; r;.'a`? , who knew portioncf of f tacpg~~::#ap and
figured out the general budget u, the bes:ia of the list of lq perec m l,,
Master aergea i ,aa, who received r, 1_a .rips and roar o m od3 ttur., and
diatribu'cod the came to core: iccr rig P.n their cozrpaatiniee, boa they
biev the total am oust of eaaur-io a paid oc;t and the tartl qucrit? wy of am s
red ai unition oons-,amd in the x;.:ttt~.3ione to t7hicb they w z a*,tas>i ~.?ed.
Aluo top military officorn,, wi`.oa : rr~t the ineeriag and a ocirxunication i
riater?ais and artillery mma~?on , x: ml ammiauitimn, ataippl ace,,
cone d In their urd.ts a
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COITIDlfTIL
6) In order to obtain a oo ploto information, ono ohould have ti'',, roar
of fioera, the tinanoial offiooro, the engineering & arttU aryr aupply
offioers, and the com .cafiiona supply officere csamo togother to on*
(1) place and make reports on chat they 1mev about the gwa,atica,
7) tam in the service of Confidential Documento Sooti on above ? a srade
of Rogiasnt, who handled all Buancia1 accounts., including the combat
operaticnat doctmonta,. and orevnred the dne,imn- A svirlrnssa~a~ ~~. ~e?ti unit.
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