Full text · 30 September 1954
The Doolittle Report (1954)
Machine-read (OCR) from the released scan, page by page. Typewriter faces, stamps, handwriting and poor copies produce misread words; where this text and the scan disagree, the scan is the record. Black redaction bars are marked [REDACTED] where we could detect them; whited-out passages simply leave gaps. FOIA exemption codes such as (b)(3) mark withheld text.
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TOP SECRET
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Ekuraf 15.
TO BE RELEASED ONLY BY:
DCI
DDCI
Executive Director
per Lyman B. Kirkpatrick
Executive Director
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Copy provided to OLC for Senate Select
Committee on Intelligence User
6 August 1976
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THE WHITE HOUSE
WASHINGTON
26 July 1954
Lt. Gen. James H, Doolittle, USAFR
Washington, D. C.
Re: Panel of Consultants on Covert Activities
of the Central Intelligence Agency
Dear General Doolittle:
I have requested you, and you have agreed, to act as Chairman
of a panel of consultants to conduct a study of the covert activities of
the Central Intelligence Agency. With your concurrence I have invited
Messrs, William B, Franke, Morris Hadley, ‘and William Pawley to
act with you as members of the panel, Mr. S. Paul Johnston has kind-
ly agreed to serve as Executive Director of the panel.
It is my desire that the Panel of Consultants should undertake a
comprehensive study of the covert activities of the Central Intelligence
Agency, in particular those carried out under the terms of NSCID #5
of August 28, 1951, and NSC 5412 of March 15, 1954. You will consider
the personnel factors, the security, the adequacy, the efficacy and the
relative coste of these operations and, as far as possible, equate the
cost of the over-all efforts to the results achieved. You will make any
recommendations calculated to improve the conduct of these operations.
To the extent that agencies of the Government, other than the Central
Intelligence Agency, are engaged in covert operations which may
parallel, duplicate, or supplement the operations of C1A, you may
investigate such other operations conducted by any other department
or agency of the Government in order to insure, insofar as practicable,
that the field of foreign clandestine operations is adequately covered
and that there is no unnecessary duplication of effort or expense.
In view of the particularly sensitive nature of these covert operations,
their relation to the conduct of our foreign policy, and the fact that these
sensitive operations are carried on pursuant to National Security Council
action approved by me, I desire that your report be made to me personally
and classified TOP SECRET, I will determine whether or not the report
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or any part thereof should have any further dissemination, I should
appreciate it if your report could be available to me prior to October 1,
1954,
Aa you know, the Commission on Organization of the Executive
Branch of the Government, generally known as the Hoover Commission,
is constituting a Task Force to study and make recommendations ‘with
respect to the organization and methods of operations of the CIA, General
Mark Clark has been designated by Mr. Hoover to head this Task
Force which, l understand, will probably be organized and start its work
sometime in September next. Under the law constituting the Hoover
Commission, the Task Force shall study and investigate the present
organization and methods of operation of the Agency to determine what
changes therein are necessary to accomplish the policy of Congress to
promote economy, efficiency, and improved service by:
& recommending methods and procedures for reducing
expenditures to the lowest amount consistent with the efficient
performance of easential services, activities and functions;
b, eliminating duplication and overlapping of services,
activities, and functions;
¢, consolidating services, activities, and functions of e
similar nature;
d. abolishing services, activities, and functions not
necessary to the efficient conduct of Government;
e, eliminating nonessential services, functions, and
activities which are competitive with private enterprise;
defining responsibilities of officials; and
g. relocating agencies now responsible directly to
the President in departments or other agencies.
As the work of the Hoover Task Force will get under way shortly,
I suggest that you and General Clark confer in order to avoid any un-
necessary duplication of work as between you. The distinction between
the work of your Study Group and of the Hoover Task Force is this;
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You will deal with the covert activities of the CIA
as indicated in paragraph (2) above, and your
report will be submitted to me. General Clark's
Task Force will deal largely with the organization
and methods of operation of the CIA and other
related agencies within the limits prescribed in
the law as outlined in paragraph (4) above. Reports
of the Hoover Commission are made to the Congress,
The purpose of these studies, both that of the Hoover Task Force
and that of your Group, is to insure that the United States Government
develops an appropriate mechaniem for carrying out its over-all
intelligence responsibilities and the related covert operations. I
consider these operations are essential to our natioual security in
these days when international Communism is aggressively pressing
its world-wide subversive program.
Sincerely,
Dwight D. Eisenhower
w3e
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NOTED BY GENERAL MARK CLARK
ON 10 August 1954
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THE WHITE HOUSE
WASHINGTON
26 July 1954
Allen W. Dulles, Esquire
Director of Central Intelligence
Washington, D,.
Dear Mr, Dulles:
Lam sending you herewith a copy of my letter of today's
date to Lt, Gen. James H, Doolittle, USAFR, requesting him to
act as Chairman of a panel of consultants to review the covert
activities of the Central Intelligence Agency under the conditions
and for the purposes set forth in that letter, You will kindly
extend to General Doolittle the facilities necessary to enable
him and his associates to carry out this study including access
to any and all information relating to the covert activities of
CIA,
Sincerely,
Incl,
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SPECIAL STUDY GROUP
Washington, D.C.
30 Septenber 195)
The President
The White House
Dear Mr. President:
In compliance with your verbal directive, confirmed by
your letter of 26 July 195) (Appendix A), the undersigned
have made a comprehensive study of the covert activities of
the Central Intelligence Agency. We have carefully
examined its operations in this area. We have also given
due consideration in our study to the Agency's overt
activities and to its relationship with the intelligence
community as a whole.
Our findings are embodied in the attached report. for
your convenience, conclusions and recommendations are
summarized on pages]0 to 18. With these we are in unanimous
agreement.
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We cannot speak too highly of the assistance and
cooperation that has been given to us by the Central
Intelligence Agency at all levels, and by the other
agencies of Goverment and individuals contacted.
We are particularly indebted to our Executive
Director, Mr. S. Paul Johnston, and to Mr. J. Patrick
Coyne of the National Security Council, both of whom
have worked with us throughout and whose assistance
has been invaluable.
Respectfully yours,
see Cv
“3. Hf Doolittle, Chairman
Matha) Qreukey
William 8. Franke
Morris Hadle
rfl da,
William D. Pawley
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I.
II.
Tit.
IV.
TOP SECRET
CONTENTS
INTRODUCTION
CONCLUSIONS AND RECOMMENDATIONS
GC.
E.
With Respect to Personnel
With Respect to Security
With Respect to Coordination
and Operations
With Respect to Organization
and Administration
With Respect to Cost Factors
DISCUSSION
A.
C.
E.
The Pergonnel Factors
The Security Factors
Coordination and Operations
Organisation and Administration —
Cost Factors
APPENDICES
A.
B.
C.
D.
Presidential Directive
Programs and Procedures
Chart Present Organization
Chart Possible Organization
TOP SECRET
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TOP SECRET
REPORT
ON THE
COVERT ACTIVITIES
OF THE
I. INTRODUCT.
The acquisition and proper evaluation of adequate
and reliable intelligence on the capabilities and
intentions of Soviet Russia is today's most important
military and politioal requirement. Several agencies
of Government and many thousands of capable and
dedicated people are engaged in the accomplishment of
this task. Because the United States is relatively
new at the game, and becawe we are opposed by a police
state enemy whose social discipline and whose security
measures have been built up and maintained at a high
level for many years, the usable information we are
obtaining is still far short of our needs.
TOPQEERET
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TOP SSGRET —-—«-«Eatttuctann —~ 2
As long as it remains national policy, another
important requirement is an aggressive covert psycho-
logical, political and paremilitary organization more
effective, nore unique and, if necessary, more ruthless
than that employed by the enemy. No one should be
permitted to stand in the way of the prompt, efficient
and secure accomplishment of this mission.
In the carrying out of this policy and in order to
reach minimal standards for national safety under present
world conditions, two things must be done. First, the
agencies charged by law with the collection, evaluation
and distribution of intelligence must be strengthened
and coordinated to the greatest practicable degree.
This is a primary concern of the National Security
Council and must be accomplished at the national policy
Level. Those elements of the problem that fall within
the scope of our directive are dealt with in the report
which follows. The second consideration is less tangible
but equally important. It is now clear that we are
facing an implacable enemy whose avowed objective is
world domination by whatever means and at whatever cost.
There are no rules in such a game. Hitherto acceptable
norms of human conduct do not apply. If the United States
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TOSECRET “Introduction 3
is to survive, long-standing American concepts of "fair
play" must be reconsidered. We must develop effective
espionage and counterespionage services and must learn
to subvert, sabotage and destroy our enemies by more clever,
more sophiaticated and more effective methods than those
used against us. It may become necessary that the American
people be nade acquainted with, understand and support this
fundamentally repugnant philosophy.
Because of the tight security controls that have
been established by the U.S.3.R. and its satellites,
the problem of infiltration by human agents is extremely
difficult. Most borders are made physically secure by
elaborate systems of fencing, lights, mines, etc.,
backed up by constant surveillance. Once across
borders by parachute, or by any other means escape
from detection is extremely difficult because of constant
checks on personnel activities and personal documentation.
The information we have obtained by this method of
acquisition has been negligible and the cost in effort,
dollars and human lives prohibitive.
The defection of Soviet and satellite personnel
offers a wore profitable field for exploitation. The
Agency is properly focusing a great deal of its effort
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Introduction
in this direction, alone and in collaboration with the
Armed Services abroad. The information obtained fron
this source has been of value but is sporadic and
incomplete.
A still greater potential lies in communications
intelligence, This leads to the conviction that much
more effort should be expended in exploring every
possible scientific and technical avenue of approach
to the intelligence problem. The study group has
been extensively briefed by C.I.A. personnel and by
the Armed Services in the methods and equipment that
are presently in use and under development in this
area. We have also had the benefit of advice from
certain civilian consultants who are working on such
special projects. We are impressed by what has been
done, but feel that there is an immense potential yet
to be explored. We believe that every known technique
should be intensively applied and new ones should be
developed to inorease our intelligence acquisition by
communications and electronic surveillance, high alti-
tude visual, photographic and radar reconnaissance with
manned or unmanned vehicles, upper atmosphere and oceano-
graphic studies, physical and chemical research, eto.
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TOP SHCRET iatntuetien —~ 5
From such sources may come early warning of impending attack.
No price is too high to pay for this knowledge.
In the short tine that has been available to us we have
been intensively briefed by the Director and staff of the
Central Intelligence Agency, by the rest of the intelligence
‘community, and by the principal users of the intelligence
product. We have conferred with representatives of other
4nterested Government agencies and with certain knowledgable
individuals whose past experience and present thinking have
made their views of value. The procedures which have been
followed, and the list of witnesses who have been heard are
detailed in Appendix B, attached. Our findings and recom
mendations follow.
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TOP SEDRET
CONCLUSIONS AND RECOMMENDATIONS
With respect to the Central Intelligence Agency in
general we conclude: (a) that its placement in the over-
all organisation of the Goverment is proper; (b) that the
laws under which it operates are adequates (c) that the
established provisions for. ite financial support are suf~
ficiently flexible to mest its current operetional needs;
(ad) that in spite of the limitations imposed by its relatively
short life and rapid expansion it is doing a creditable job;
(a) that it ds graduelly improving its capabilities, and
(£) that 1t is exercising care to insure the loyalty of its
personnel.
There are, however, important areas in which the C.I.A.
covert organisation, administration and operations can and
should be improved. The Agency is aware of these deficiencies
and in many cases steps are being taken toward their solution.
While we believe our study to have been as comprehensive
as possible in the time available to us, we realise that it
is not complete. We are well aware of the tremendous problems
facing the Director and staff of an organization such as C.I.A.
and appreciate the sincere efforts being nade to solve then.
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TOP SEGRET conctusions and Recommendations — 2
In an attempt to be constructive and in the hope that we may
be helpful, we make the following recommendations:
A. With Respect to Personnel
That the Agency persomel competence level be raised.
The Agency should continually strive to achieve this and if
necessary reduce ite present work load to expedite its
realization. Necessary steps are:
1. Elimination of personnel who can never achieve
a sufficiently high degree of competence to meet the
C.I.A. standard. This will entail a substantial reduc-
tion in present personnel. There is no place in C.I.A.
for mediocrity.
2. Review and improvement of recruitment plans
and procedures in order to obtain higher quality appli-
cants for Agency jobs. The time required to process
them should be reduced.
3. Continual improvement of the present excellent
training facilities and capabilities in all covert
activities to keep step with future requirenents.
hk. An intensified training program to include
those key personnel in the covert services who require
additional training, by rotetion through C.I.A. train-
ing facilities. At present at least 10 percent of
total covert personnel should be in training.
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TOP SEGRET conctustons and Recommendations 3
S. Assigmaent to field stations and to country
areas of only those people who are fully qualified to
handle the highly specialized problems involved.
6. Maintaining the position of Director above
political considerations in order to assure tenure
and continuity as in the F.B.I.
B. With Respect to Security
That greater security be developed at all levels of the
Agency to the end that the good name of the United States
and the fulfilment of C.I.A.'s important mission may not be
jeopardised. The following steps should be taken to
accomplish these objectives:
1. Elimination, to the maximm extent practicable,
of provisional and prelinvinary clearances in the security
processing of prospective Agency personnel.
2. Improved and more standardised security process-
ing of alien operational personnel prior to their use by
the covert services overseas.
3- # Immediate completion of full field investiga-~
tions and polygraph examinations of the several hundred
Agenoy personnel who have not yet been fully processed.
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TOP CRET Conclusions and Recommendations )
he Establishing of uniform and tighter security
procedures at headquarters and suitable safeguards in
the field the better to insure the security of the Agency's
facilities, operations, sources and methods.
5S. Insurance of the closest possible coordination
of the counterespionage activities of the covert
services with the over-all counterintelligence activities
of the Office of Security to prevent, or detect and
eliminate, any penetrations of C.I.A.
6. Augmentation of the present sound policy of
polygraphing all new employees and all personnel return-
ing from overseas assignments to include periodic rechecks
of all personnel, on a more comprehensive basis, whenever
effective counterintelligence practices indicate.
7e Creation of greater security consciousness on
the part of all personnel by improving initial indoctrina-
tion courses and by conducting regular "security
awareness" programs.
Imposition of severe penalties upon employees
at any and all levels who advertently or inadvertently
Violate security.
Establishment of a uniform system for the
submission by all overseas missions of regular reports
on the status of personnel, physical, documentary and
TOP SEGRET
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TOP SECRET onctustone and Recomendstions — 5
related elements of security. Such reports should be
submitted to the Office of Security with copies to the
Inspector General and to the appropriate division of
the Deputy Director of Plans.
10. Periodic security inspections by the Security
Office of overseas missions and of DD/P's divisions,
staffs and facilities in the United States.
ll. Rigid adherence to the "need-to-know" require-
ment as the basis for dissemination of classified intel-
ligence developed by the covert services and for intra~
Agency dissemination of classified data.
12. Continuous indoctrination and guidance to
correct the natural tendency to overclassify documents
originating in the Agency.
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TO SE [RET comsasnone snd Becomnensessene 6
16. Formulation for immediate 4upleentetion of
emergency plans and preparations, geared to the specific
needs of each overseas mission and station, to insure,
as far as possible, adequate safeguarding of personnel
and safeguarding or destruction of material, in the event
of emergency:
17. Concentration of C.I.4.'s headquarters operations
in fewer buildings with jnoreased emphasis in the interin
on improvement of the physical security of many
buildings and the classified data and materials contained
therein.
0, With Respect to Coordination and Operations
That one agency be charged with the coordination of all
covert operations in peacetine, subject to the provision that
necessary flexibility be echievable in time of war. The
covert operating capabilities of C.Ied. must be continually
4mproved. Steps toward these ends ares
1. Inplenentation of NSC 5412 which now makes
CeI.Ae the coordinating agency pending netionel energency.
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TOP GRE Tconcausions and Recommendations 7
2. Preparation and test of a readily implementable
plan for the immediate and effective availability of local
covert assete to theater commanders at the outbreak of
war in their areas.
3. Immediate resolution, by the National Security
Council, of the misunderstandings that still exist
between C.I.A. and some of the Armed Services with
respect to "agreed activities."
h. Development of better understanding between
other agencies and C.I.A. relative to exploitation of
Soviet and satellite defectors.
S. <A greater interchange of information, at all
working levels, between C.I.A. and the military services
regarding their intelligence programs and policies.
6. Inprovement at all levels of coordination of
covert activities with the State Department.
7. Establishment of definite world-wide objectives
for the future, and formulation of a comprehensive long-
range plan for their achievement.
8 Use, in all areas, of governmental cover by
C.I.A. personnel only when other cover is not suitable
or cannot be made available.
9. Active development of non-govermental cover.
TOP S&QRET
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TOP GRET Conclusions and Recommendations 6
10. The planting of agents under very deep cover
in all areas including those that may not be of immediate
interest, and the careful preservation of such assets.
11. More effective use of "proprietary project"
cover through better planning and by using personnel
having adequate business and area experience.
De With Respect to Organization and Administration
That an intensive organizational study be made to the end
of streamlining functions, clarifying lines of reaponsibility
and authority, reducing overhead and increasing efficiency
and effectiveness. From our relatively brief examination
of organization it is obvious that:
1, The present elaborate staff structure of the
Deputy Director for Plans should be simplified.
2, The covert organization should be so located,
organized and administered as to maintain max-Lrum
security with reference to personnel and activities.
3. The Inspector General should operate on an
Agency-wide basis with authority and responsibility
tw Investigate and report on all activities of the
Agency.
he The activities of the Operations Coordination
Board under the N.S.C. should be broadened to provide
the D.C.I. with adequate support on the more important
covert projects.
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Top Seger stn tm
S. Despite the recommended reduction in present
personnel and budgetary economies that the C.I.A. must
continue to grow in capacity until it is able to meet,
entirely, its national commitments.
6. Centralised accommodations, hand-tailored to
its needs, should be provided to house the Agency.
E. With Respect to Cost Factors
That although the activities of C.I.A. should be expanded,
coats of present operations should be reduced. This can be
in part, accomplished through;
1. The exercise of better control over expendi-
tures for all covert projects, and specifically that
(except for those of an extremely sensitive nature)
they be made subject to review and approval by the
Agency's Project Review Committee.
2. Furnishing the Comptroller (under proper
security provisions) with sufficient information on
all covert projeots to enable him to exercise proper
accounting control on a fiscal year basis.
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TOP SEGRET
III. DISCUSSION
Introduction History and Growth of
The Central Intelligence Agency is an organisation
of mixed origina and recent growth,
The overt side of C.1.d4., well described by the Agency's
title, took over in 1947 from the former Central Intelligence
Group. It receives the intelligence collected by all
government agencies, processes it, disseminates and files it.
This phase of the work is well adwinistered under the Deputy
Director of Intelligence and serves the whole intelligence
community. Since 19,7 it has grown to its present size of
svprocineteiy{
The covert side of 0.1.A. started with 0.8.0. (Office
of Special Operations) which was a remnant of the forner 0.8.8.
Next came 0.P.C. (Office of Policy Coordination) which was the
"Cold War Shop," an offshoot of the State Department. The
two operated under C.I.A. in virtual independence of each
other mtil they underwent a shot-gun marriage in 1952, and
ware put under a Deputy Director for Plans. ‘This covert side
now numbers approximately bo the regular table of
organisation, and approximately as many more engaged in
special projects, or about in all.
TOP SECRET
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TOP SECRET “essesuen
Supporting and serving Intelligence and Plans are about
jere persons, of whom about two-thirds are grouped
under a Deputy Director for Administration, and about one-
third are under Directors or Assistant Directors reporting
directly to the Direotor of Central Intelligence himself,
as in the case of Personnel, Training, and Communications.
The work of these 4s largely in support of covert
operations, as the requirements of the overt intelligence
side are relatively simpler, whether for training or for
support.
Additional personnel on special projects bring the
current total to approximately In 19,7 the
total was less than This represents &
inoreage in seven years.
(Note: Throughout this report we have considered as ‘tovert"
all activities that are not "overt." Specifically, we have
included under "covert" the operations assigned to the
Agency by NSC 512 as well as its clandestine espionage and
counterespionage operations. )
TOP SECRET
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TOP SHGRET Biscvasion —~ 3
4. The Personnel Factors
The most important elements in the successful conduct
of covert intelligence operations are the people who run
thea, from top management down to the agent under deepest
cover. Firat consideration, therefore, wust be given to
the recruituent, selection, training and eveluation of the
moat highly competent people available. They must then be
assigned to jobs where they can be used most effectively and
be given whatever support they require to enable then to
carry out their miasions.
In the past this Agency has not been entirely successful
in achieving this result. ‘In its short history it has
guffered from lack of continuity in policy direction and
managenent. At its inception it suffered from an inheritance
of mixed and sometimes mutually antagonistic elements from
0.8.S. and other predecessor agencies. Then, at a stage
when still groping toward a stabilized peacetime program, it
was suddenly called won to meet the requirements of the
Korean War.
Under this pressure it "ballooned" out into a vast and
eprewling organization manned by a large number of people
gone of whom were of doubtful competence. Of necessity,
sensitive positions were sometimes filled with people having
TOP SAGRET
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TOP SEGRET —Dieouseion
having little or no training for their jobs.
Fortunately, the Agency did possees an invaluable asset
in the form of a hard core of capable and devoted men as a
part of its World War II inheritance, and did succeed in
attracting to this cadre an appreciable number of capable
people. In some areas they have done, and are doing, an
excellent job, but it appears from a personnel standpoint, that
C.I.A. tends to accept more commitments than are warrented
by its human assets. This leads us to the belief that an
immediate re-evaluation of all programs should be undertaken
by the Project Review Committee to eliminate those of lesser
importance and to cut back the activity rates of all but the
most essential to bring the over-all program into a nore
realistic coincidence with current Agenoy capabilities.
When improved recruitment, adequate training and over-all
experience level justify, Agency activity may again be
accelerated.
We have made a study of the educational and experience
background of the people in the Agency's chain of
command. From this the following composite figures emerge:
all are natural born U.S. oitisenss they range in age from
38 to 66 yrs., averaging 7.9 yre3 32 are married; 17 have
i or more dependent children; 21 are wholly dependent on
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70P Sener ntscueston — 5
goverment salary; all but 2 are college graduates; 15 have
advanced degrees. Twelve have had 1 or more years business
experience; all but 6 have served in the U.S. Armed Forces;
15 have had intelligence experience (0.5.S., Armed Forces,
eto.) prior to 1973 and 10 have had specialized C.I.A.
training. Of thie group 32 have had 3 years or more service
with 20 have had 5 years or more, and 15 have been
with the Agency for the full 7 years since it was established
in its present form in 1947.
The Office of Personnel supplied an excellent statistical
study covering ptare employees and agents on the roster
as of 30 June 195 from which the following data were taken:
males make up 58 percent of total, females, 12 percents average
age is 3.2 years and two-thirds are in the 25-39 year age
bracket. As for education, approxinately 68 percent of the
total are high school graduates, some 17 percent have B.A.
(or equivalent) degrees, and about 2) percent have done post-
graduate work or possess advanced degrees. Forty-five percent
have served 3 years or more with the C.I.A. Looking at prior
intelligence experience, which includes service with the Armed
Forces or with the Agenoy's predecessor organisations and
yealising that all Agency personnel do not require such training,
71 percent had none, but 29 percent have had 1 year or more and 11
percent 2 or more years. Of the Agency total, 73 percent have had
TOPREGRET
tUr OCURTL!
Page 33
some foreign language training or experience, and nearly
half have. had some prior foreign area knowledge. Slightly
over 50 percent are Armed Service veterans.
From the above we feel that the present personnel
potential of the Agency is reasonably good. There is con-
vincing evidence, however, that "dead wood" exists at
virtually all levels. We have heard critics remark to
the effect that there are too many ex-military people.
We have been advised that some people coming back to head-
quarters from overseas assignments are sometimes not assigned
to new jobs for long periods. Uncertainties in policy,
frequent internal reorganizations, together with competition
from industry frequently cause good people to seek employment
outeide. As in other governmental agencies, there is a
tendency through inertia or because of a desire for financial
security, for the mediocre to stay. As a result, despite
the continual and necessary acquisition of additional good
people, the competence level of the Agency is not rising as
rapidly as is desirable. Prompt and drastic action to
increase the rate of improvement is indicated. We are of
the opinion that a planned reduction of at least 10 percent
in present personnel can and should be achieved without
reducing the amount and quality of Agency output.
TOP SRQRET
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TOP § RET Discussion 7
We have been briefed on the Career Service Plan by
means of which the Agency hopes to increase personnel
stability. Whether the plan will achieve this result is
as yet unknown, but it will not in itself solve the Agency's
personnel problems. Nevertheless we believe that a sound
Career Service Plan is desirable and should be implemented
as promptly as possible.
The C.I.A. has a recruitment program operating in
colleges and universities throughout the United States.
This program has not been entirely successful in producing
either the quantity or the quality of applicants needed
for Agency requirements.
In part, this is due to the general shortage of
technically trained people vis-a-vis heavy current demands
by industry in practically all fields. On the other hand
we have heard criticism from scholastic sources that the
approach, both t@ the school and to the individual,
is not what it should be, and furthermore, that many
potentially good people are lost because of the very
great length of time that now elapses between initial
contact and entry into the job.
[REDACTED]
Page 35
Clearance of new personnel at present averages 90 days.
The takes only 30 days maximm for clearing its own
personnel, Although we appreciate fully the special problems
‘involved in C.I.4., we believe it is both practical and
essential to reduce the present 90 day period as much as
possible,
Many applicants find the necessary clearance procedures
unpalatable and annoying. Some are repelled by misunder-
standing of the purpose of polygraphic examination and the
techniques employed. Some (particularly in scientific fields
where future professional reputation may depend upon publica-
tion of papers, ets.) are unwilling to accept the implications
of a lifetime of anonymity, or of life under a pseudonym.
We do not suggest that these requirements be abandoned or
Telaxed in any degree. We are certain that they are neces-
sary for maximum security and success of covert operations.
But some better means of approach should be developed to
assure the prospective employee that he is necessary, and
to persuade hin that in this Agency he can find 4 desirable
career and at the same time perform e@ vital service to his
country.
We have been tupressed by the excellence of the Agency's
training facilities ani the competence of its instructor
personnel. Our coment is that insufficient use is made of
To Seg
[REDACTED]
Page 36
TOP GRET Discussion 9
these facilities. It is obvious that the language, communi-
cation and clandestine agent training centers which we
inspected are being operated far under capacity levels.
‘This, of course, is a reflection of the slacking off in
recruiting programs, but it suggests also that adequate
use of the facilities is not now being made to improve the
over-all quality of Agency covert activities by new train-
ing or refresher training of personnel already in the Agency.
We are aware that the present tendency of the Agency to
take on more work than it can handle satisfactorily has
limited optimum use of the training facilities, but it cannot
be repeated too frequently that in C.I.A. covert operations
quality is more important than quantity. A small number of
competent people in a sensitive agency can be more useful than
a@ large number of incompetents. In the long run it will pay
to stop some of the less essential operations now to permit
10-15 percent of Agency covert personnel to go into training.
As the backlog of inadequately trained personnel is reduced
and the competence level of Agency personnel increased, this
percentage may be lowered.
TOP SKGRET
Page 37
Te ALA Discussion 10
B. The Security Factors
Nothing is more important in the planning and execution
of CeleA.'s covert activities than continuing recognition at
all levels throughout the Agency of the importance of security
in all of ite aspects. Although many sound and important
security steps have already been put into effect by the Agency,
in view of the outstanding importance of C.I.A.'s mission to
the national security, constant effort must be made to improve
security wherever possible.
We have been thoroughly briefed by the Security Office
of the Deputy Director of Administration (DD/A), and by appro-
priate offices of the Deputy Director of Plans (DD/P) on
personnel, physical, documentary, operational and cover security.
We have examined the Agency's methods of screening out undesir-
able applicants or present employees by interrogation, field
investigation and polygraph techniques. We have also examined
DD/P's methods of processing alien operational personnel prior
to their use by the covert services overseas,
We believe that C.I.A.'s security clearance criteria for
prospective Agency personnel are sound. Without exception,
they should be fully adhered to in practice. The granting
of provisional or other interim clearances should be minimized.
Full background investigations and polygraph examinations
Page 38
TOPQECRET
Tdscussion 12
should continue to be prerequisite to hiring for all positions.
Individuals now on the rolls who have not had the benefit
of these full security clearance procedures should be so
processed at the earliest possible date. (At the time
of our study. there were headquarters and| field
personne] who had not been polygraphed because they had
entered on duty prior to the institution of the polygraph
program in 19,8.)
We are impressed with the competent manner in which
the polygraph program is handled in the Agency and with the
results obtained therefrom. Polygraph examination has
proved extremely useful in identifying
endorse the Agency's continuation of the polygraph program
as an aid to investigation and interrogation as long as the
present high standards govern the use of this device.
There is considerable room for improvement in existing
security processing procedures for alien operational personnel.
Because some personnel must be used for immediate short term
operations, 4t may sometimes be difficult to apply full
security clearance procedures to then.
TOPQECRET
Page 39
[REDACTED]
TOPSEGRET ‘Blasuesien 22
A uniform requirement should be established
for the submission by all overseas missions of regular
[REDACTED]
Page 40
[REDACTED]
TEPSEERET aipovsston 13
reports on the status of personnel, physical, documentary
and related elements of security. Such reports should be
submitted to the Office of Security with copies to the
Inspector General and the appropriate division of DD/P.
We recommend that periodic security inspections should
be made by the Office of Security of all overseas missions
and of DD/P's headquarters and other facilities in the
United States. Tighter security procedures at headquarters
and particularly in the field will better insure the security
of the Agency's facilities, operations, sources and methods.
Implementation of these recommendations [REDACTED] should aid in rais-
ing the level of security throughout the entire Agency,
particularly throughout the covert services.
If such a system of reporting and inspecting is adopted,
the Director can, for the first time, look to one office
for the security of the entire Agenoy. He will then have
‘@ more precise and timely picture of security-related
developments throughout the Agency.
We cannot emphasise too strongly the importance of
the continuation and intensification of C.I.A.'s counter-
intelligence efforts to prevent, or detect and eliminate
penetrations of C.I.A. We endorse fully the present counter-
intelligence practices of the Agency which include
[REDACTED]
Page 41
[REDACTED]
Te? RET Discussion
polygraphing all personnel returning from overseas assign-
ments, automatic security checks and file reviews of personnel
being considered for transfer in the field or reassignment at
headquarters, security checks of personnel nominated for
special types of clearance, etc. We do not think that
periodic re-investigation of ail personnel is now necessary,
but we believe that comprehensive rechecks of personnel
should be made on a selective basis whenever sound counter-
intelligence practices dictate. Questionable cases should
be intensively investigated and expeditiously resolved.
The counterespionage activities of the clandestine
services can be one of the most fertile sources of informa-
tion concerning attempted penetrations of Appropriate
steps should be taken to insure the closest possible coordina-
tion of DD/P's counterespionage activities in this field with
the over-all counterintelligence activities of the Office of
Security, Any penetration attempt made against C.I.A.,
whether it involves Agency personnel and/or clandestine
intelligence operations, can never be. fully controlled and
exploited until all information concerning such attempts
whether made in the United States or overseas is channeled
through one focal point, preferably the Security Office.
[REDACTED]
Page 42
[REDACTED]
TOP SEGRET Dincussion 25
"Security consciousness" is an obvious "must" for all
C.I.A. personnel. Constant efforts should be made to
improve the Agency's security indoctrination courses.
Regular "security awareness" programs should be inaugurated
in order that all personnel may be reminded of the continu~
ing need for "security consciousness" in the conduct of
their day-to-day affairs.
Most breaches of security committed by C.I.A. personnel
appear to be inadvertent rather than intentional. The net
effect of such breaches on the national security is the sane
regardless of intent. Without exception, an inflexible
attitude must be adopted with respect to security breaches
and severe penalties meted out to employees at all levels
who advertently or inadvertently violate security.
Too easy access to much of C.1.A.'s classified data is
@ potential source of trouble. Except for the tight restric-
tions drawn around super-sensitive material, large segments
of C.I.A.'s files are open to inspection and use by Agency
personnel without qualification as to "need-to-know."
Improvement is needed in carrying out the "need-to-know"
rule as a basis for intra~Agenoy, as well as interdepartmental,
distribution of classified data. This situation
TOP SCGRET
[REDACTED]
Page 43
[REDACTED]
Discussion 16
is aggravated considerably by the fact that there are too
many duplicate records. The security of data is
further jeopardized by a tendency to over-classify documen-
tary data originating in the Agency, a condition which
operates in derogation of the seourity classification system
as a whole.
Considering unduly dispersed headquarters (13
buildings in the Washington area), its physical security
program is reasonably good. The potential security risks
inherent in such wide~spread dispersal make it essential that
the Agency continue its efforts to consolidate the headquarters
facilities into fewer, more adequate buildings.
The physical security measures in effect at C.I.A. installa-
tions which were visited in the general vicinity of Washington
are excellent. The physical security of overseas installations
visited by representatives of our study group appeared to vary
with local clrownstances and conditions. The limited number
of inspections made was not sufficient to allow of definitive
conclusions as to the general. security of all overseas missions.
There appear to be, however, no basic, minimum physical
seourlty requirements governing these missions or stations,
except for the safeguarding of classified documents. We
believe that acceptable minimum standards should be promulgated
[REDACTED]
Page 44
[REDACTED]
Te v CRET Discussion 17
immediately and that regular inspections by qualified Security
Office personnel should be made to enforce then.
Detailed plans and preparations should be made for
immediate implementation of war-emergency measures by all
overseas missions and stations, tailored to the local con-
ditions. They should provide for maximum safeguarding of
Agenoy personnel and operations, and for adequate safeguarding
or destruction of classified data and material in the custody
of the installations in question.
Secure cover is an inherent part of all clandestine
operations. The security of some of the Agency's cover
devices is excellent, security of others is inadequate.
Cover security is a problem that requires continuous and
exhaustive study. Detailed standards and procedures,
policies and regulations, should be issued for the guidance
of the personnel concerned. There is need for more adequate
briefing of personnel departing for overseas assignments
concerning the cover of their missions and their personal
cover problems.
[REDACTED]
Page 45
[REDACTED]
ro Bae Discussion 18
poy the organization without first obtaining
a complete clearance from the Agency.
[REDACTED]
Page 46
TOP SESRET ection 2
Page 47
[REDACTED]
TOP SKGERET sion —- 20
C. Coordination and Operations
The success of the covert operations of C.I.A. depends
upon how efficiently they are conducted and how well they
are coordinated with other agencies of the Government.
These criteria prevail both in peace and in war, but both
coordination and operations are necessarily somewhat differ-
ent during each of these periods. Peace in any ordinarily
accepted sense of the word, appears to be impossible of
achievement in the foreseeable future. The covert operations
of the Agency must therefore be planned and coordinated in
order to meet the requirements of a continuing cold war
situation as well as the requirements of possible hot war.
C.I.A. has this obligation under NSCD 5412 (March 15, 1954).
Looking toward the possible outbreak of actual hostilities
in any theater of operations, a detailed plan should be
developed now delineating the wartime headquarters responsi-~-
bilities of C.I.A. to insure that appropriate policy guidance,
Antegrated with N.S.C. and J.C.S. plans, be furnished to C.I.A.
representatives in the field. In an emergency situation time
obviously will not permit referral of all critical covert
operational questions to Washington. Furthermore, the needs
of commanders in the field may require the immediate transfer
of many local C.I.A. covert operational assets to their
[REDACTED]
Page 48
[REDACTED]
TOP SECRET eee
commands. It is absolutely essential, therefore, that
well-considered, well-implemented and pre-tested plans be
prepared in advance to insure smooth transfer of such
assets and to deal with any other local covert operational
problens.
In the case of espionage and counterespionage operations
there is disagreement between C.I.A. and sone of the military
services which hag yet to be resolved. This relates to the
ares of "agreed activities" (NSCID 5, August 28, 1951) as to
which a dispute has dragged on for years. Some of the
services feel that certain foreign espionage and counter-
espionage operations must be run directly by them. The
Director of Central Intelligence has been desirous of securing
the voluntary agreement of the Armed Services, and has sub-
mitted various proposals to them as to the delimitation of
these areas of “agreed activities." To date the attexpts
to resolve the differences have been unavailing. We believe
that the prime responsibility for the failure doas not lie
with C.I.A., but with these services. In fact, we believe
that the Director of Central Intelligence, in his desire to
reach an amicable solution, has gone further than was intended
by the N.S.C. directives. Since agreement has not been
reached on a voluntary basis, the dispute should be resolved
[REDACTED]
Page 49
TOP SECRET
by the In the settlement of this dispute, in
addition to recognizing the right of the Armed Services to
perform counterintelligence activities for the security
of their own installations and persomel, the Armed Services
should be allowed to engage in espionage and counteresplonage
operations (provided they are coordinated by the Director of
Central Intelligence) until such time as C.I.A. has the capability
to perform all espionage and counterespionage operations out-
side the United States.
In order to avold undue delay in the resolution of such
problems in the future, the Director of Central Intelligence
(as coordinator of all foreign intelligence) should report
regularly to the N.S.C. on the status of efforts to inplement
directives, with particular emphasis on major
wnresolved questions.
Inasmuch as the exploitation of Soviet and satellite
defectors outside the United States has been a source of
ammoyance (and even hostility) on the part of some of the
military services and other agencies toward C.I.4. and vice
versa, wo believe that steps should be taken immediately to
insure full implementation of the defector program in accord-
ance with the spirit end letter of NSCID 13 (Jan. 19, 1950).
The misunderstanitings which exist between C.I.A. and
the Armed Services stem largely from insufficient exchange
Page 50
[REDACTED]
TOP SSQHET Discussion <= 23
of information and coordination with respect to espionage,
‘counterespionage, and covert operations, We have been
advised, for example, that in certain inatances C.I.A.
operators appear to have been too secretive with respect
to information which is of direct interest to the military
services and vice versa. We have been told of incidents
where important covert operations have been "blow" because
C.I.A. and military intelligence units were operating against
each other, without knowledge of each other's interest or
activity. The relationship that exists in various countries
between covert C.I.A. personnel and the military attaches
is not always satisfactory. Attaches and MAAG's are
playing important roles in the collection of foreign intel-
ligence and in the defector program, and it is, therefore,
essential that closer coordination and greater exchange of
information be established between C.I.A.'s representatives
and the military at every foreign station.
Misunderatandings between some of the services and the
Agency are not confined to overseas operations. A lack
of knowledge of plans, facilities, and operetions seens to
[REDACTED]
exist in some areas between the Pentagon and C.I.A.
Compartmentation oan be carried too far. ‘Improvement in
collaboration at the working levels is particularly essential.
TOP SECRET
Page 51
[REDACTED]
Discussion 2)
Relations with other principal customer, the
Department of State, also are not entirely satisfactory.
In Washington, coordination seemgy to be reasonably good
with well-established liaison channels,
As a result, people have worked at cross purposes,
with unfortunate results. It is realized that there are
situations in which disclosure of plan and purpose should
be held to a minimun number of people, but in all cases the
Senior U. S. Representative should be sufficiently advised
to insure proper coordination in accordance with approved
N.S.C. intelligence directives.
[REDACTED]
Page 52
[REDACTED]
TOP ET Discussion 25
D. Organization and Administration
In the course of investigating the covert operations of
the Agency, we were briefed on the organization of the
individual components of the DD/P complex. We also had
the benefit of the thinking of a number of key Agency people
with respect to the DD/P organization as a whole. As a
result certain general observations with respect to DD/P
organisation have emerged which are germane to the problem
of the efficiency and economy of its operations.
From the remarks that have been made on the subject of
Agency history and personnel problems, it is clear that the
organization is still in an evolutionary stage. It has
suffered from a mixed inheritance, a lack of policy continuity,
tremendous pressures to accept commitments beyond its capacity
to perform, and a mushroom expansion. 4s a result there has
been an absence of long-range planning with consequent
organizational difficulties. We are strongly of the opinion
that further streamlining of organization, clarification of
functions, and straightening of lines of authority will result
in more and better work with fewer people at lower costs.
The covert activities of C.I.A. fall under the direction
of the Deputy Director for Plans (DD/P). They are presently
conducted by a complicated organization of a mixed straight~line
[REDACTED]
Page 53
TOP SSGRET —«=«benesian— %
and finotionad type in which staff hae bee superiaposed 08
staff to such an extent that duplication of effort, conflict-
ing command authority, and division of responsibility beve
inevitably resw.ted in dilution of the toted effort.
there are #ix principal staffe in the DO/P complex
ranging in sise from[__—| people, totaling
These are superimposed over seven area divisions renging in
size tron Five of the atafis
have subordinate divisions, and two of the staffs have
subordinate statis. ‘In addition, each of the divisions haa
ite own set of staffe. Altogether, the DYP complex totals
over )0 major units.
We are strongly of the opinion, based upon our Jinited
review of the DD/P element, that consideration of a complete
peorganication of the elenent Je needed. As an indication
of the type organisation that might be more effective and
Lees costly, we have 4noluded in this report for considers
tion purposes only, a revised organisation chart as Appendix
D, A chart of the present DO/P organisation 4s leo included,
for purposes of comparison, as Appendix C. The persomel
contemplated under the revised DIP organisation would nunber
Page 54
TOP SEGRET Diacuspion 27
approximately [pee than are presently employed by this
element.
In considering any reorganisation, we cannot emphasize
too strongly our feelings with respect to the need for greater
seourlty in all D0/P operations. As the covert side of C.I.A.,
it should operate with a maximum of anonynity. Knowledge of
dite physical location, operation and the identity of ite
personnel should be kept on an absolutely need-to-lmow basis.
We feel that continuous inspection and closer control
(both fiscal and operational) over covert activities are
necessary. We realise that certein security riske are
involved but we believe thay can be handled properly.
The subject of fiscal control, and the relationship of
the Comptroller to the organisation are discussed under
Section E following.
The concept of an Inspector General for the Agency is
sound. He should report only to the Director. He should
be given the greatest possible latitude and authority to
Anepect all aspects of the Agency at any time, including the
Director's own office and the DD/P complex. We believe that
any limitations that have been placed on this function in the
past should be comiletely renoved.
Page 55
TOP SEGRET Digcuasion 28
Because of the rapid expansion-of the Agency, its
operations are conducted in some 3 buildings in the Washington
area. Some of these buildings are of temporary wartine
construction and constitute a fire hazard. This forced de-
centralization of operations results in great loss of tine
of personnel whose duties require them frequently to visit
various buildings of the Agency; it increases security problems; and
4t results in a great reduction in over-all efficiency, We
recomend that sympathetic consideration be given to the Agency's
effort to obtain funds with which to provide centralized accomno~
dations for its activities, and we suggest that these accommo-
dations would best serve the peculiar requirements of the
Agency if they were hand-tailored to its needs. We are of
the opinion that in a relatively short time the expenditure
required would be self-liquidating.
Although in the present organizational plan of the
Government C.I.A. seems to be well integrated into the Intel-
ligence Commmmity at the National Security Council level,
events have occurred recently (for example Guatemala)
which indicate that gaps exist in high level planning and
coordination of important covert operations which may expose
the U. S. Government to unnecessary risks of compromise.
Over-all policy guidance comes from N.S.C., and is satisfactory,
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[REDACTED]
——TOPSSEGRET Bassin
but better coordination is needed for the more important covert
adtivities of C.I.A. at the national level. This is the
function: of the Operations Coordination Board, but at the
present time it does not appear to be giving the Agency
adequate guidance and advice on the more important covert
projects. The activities of the Board should be broadened»
in order to provide the D.0.I. with the support he needs on
such projects.
[REDACTED]
Page 60
Discussion 30
TOP SECRET
The Cost Factors
The budgetary procedures of the Agency were reviewed
th the Agency Comptroller and representatives of the Bureau
f the Budget and appear to be satisfactory. Between the
cal years ended June 30, 1947 and 1955 the total budget
8 incteased from approximately [to
e latter figure inoluding a reserve fund of
e 1958 fiscal year budget exclusive of the reserve fund is
vided approximately as follows:
Dir ect costes:
Covert operations
Overt operations
Indirect or support costs:
Bince indirect or support costs are relatively pro-
rtionate to direct costs, the total budget may be considered
be approximately for covert and for overt operations.
The number of civilian employees of the Agency under
Hlereonnél ceilings has increased from [at June 30, 19h7,
an estimated ter the fiscal year ending June 30, 1955,
and military personnel. has increased during the same period
from to The aggregate of the fiscal
TOP SERRET
Page 61
TOP SECRET Discussion —- 32
year enditig June 30, 1955 will be allocated as follows:
Covert operations:
Foreign Intelligence
Political & Psychological
Paramilitary
‘Overt operations
Indirect or support elements
are not regular employees of the Agency, individuals under
de cover and those engaged in proprietary enterprises, and
le total. does not include individuals under contract, who
dnt genous personnel. The aggregate of persons in these
categories is estimated at most of whom are engaged
in covert operations.
The actual number of individuals to be engaged on Agency
a witids for the fiscal year 1955 will, therefore, b
sprints]
The loovert operations of the Agency are budgeted and
accounted for on a project basis except for headquarters and
overseas ‘support costs. Political and psychological and
P ranilitary projects exceeding a specified minimum dollar
tal. are in general reviewed and approved by a Project
ow Cénmittes. Foreign Intelligence projects are not
subject to review by this conmittee but are authorized by
Page 62
TOP CR E cussion 32
th Director of the Agency, the Deputy Director of the Agency,
the Deputy Director of Plans, or certain other individuals
upon the estimated dollar coste of individual
projects.. We believe that for purposes of control and
as an aid in auditing, Foreign Intelligence projects (except
of an extremely sensitive nature) should be made sub-
to review and approval by the Project Review Committee.
Due to DD/P's ‘present secrecy policies with respect to
Intelligence projects, the Comptroller of the Agency
unable to maintain meaningful records showing the expendi-
nade for individual projects in this category. The
Thtelligence Staff keeps certain records of such
tures but on the basis of a calendar rather than e
cal year. We believe that the Comptroller should be
furnished with information which will enable him to record,
control ahd account for the costs of the individual projects
of| this ellenent of the Agency. Adequate protection for
seourity purposes can and should be provided within the
Office of the Comptroller.
Certain other projects in the political and psychologi-
oad and paramilitary areas, of a sensitive nature are
oopasionallly developed and processed without full information
with respect thereto being given to the Deputy Director for
TOP SEGRET
Page 63
TOP GRET Discussion 33
inistration and the Comptroller. Since, of necessity,
th funda must be made available by the Comptroller, it is
inpviteblle that he will have knowledge that operations of
thie nature are being conducted and it is unlikely that more
specific ‘information relating to the projects can long be
kept secret from him. In one particular instance where
tantdal suns were expended, the Comptroller was called
n to make the expenditures with no supporting data being
hed to him at the time or at any future date. When
requested breakdowns of coste of the operation we found
t they were available only in the area division involved
that ‘they were incomplete and unsatisfactory. We are
off the opinion that this deviation from the normal procedure
placing upon the Comptroller the responsibility of account-
for ¢xpenditures is unsound, and 1s not justified by the
that the security of the operation is improved by this
a.
vistion.
We are of the opinion that the administrative plans for
aividual covert projects are not in all instances as
ete: in detail as is desirable and that if they were
14 fied the Comptroller and the Auditor-in-Chief would be
Eee
in a much better position to carry out their respective
duties and responsibilities.
TOP SRGRET
poy
Page 64
IV. APPENDICES
Page 65
THE WHITE HOUSE
‘Washington
26 July 1954
Lt. Gens James H. Doolittle, USAFR
Washington, D. C.
Re: Panel of Consultants on Covert Activities
of the Central Intelligence Agency
Dear Generel Doolittle:
J) have uested you, and you have agreed, to act as
of @ panel of consultants to conduct a-study of the
covert! activities of the Central Intelligence Agency. With
your concurrence I have invited Mesers. William B. Franke,
Morris} Hadley, and William Pawley to act with you as members
of the panel Mr. S. Paul Johnston has kindly agreed to serve
as Executive Director of the panel.
is my desire that the Panel of Consultants should under-
take a comprehensive study of the covert activities of the
Central Intelligence Agency, in particular those carried out
under the t of NSCID #5 of August 28, 1951, and NSC 512
of March 15, (1954. You will consider the personnel factors,
the security, the adequacy, the efficacy and the relative costs
of these operations and, as far ae possible, equate the cost of
the over~all|efforta to the results achieved. You will make
eny reco tions calculated to improve the conduct of these
operations. To the extent that agencies of the Government,
other than the Central Intelligence Agency, are engaged in
cov operations which may parallel, duplicate, or supplement
the operations of CLA, you may investigate such other operations
condudted by|any other department or agency of the Government
in order to ure, insofar as practicable, that the field of
for lestine operations is adequately covered and that
there |is no unnecessary duplication of effort or expense.
SESRET
Page 66
7 SECRET Appendix A 2
view lof the particularly sensitive nature of these covert
operations, relation to the conduct of our foreign policy,
to National Security Council action approved by me, I desire that
xt te made to me personally and classified TOP SECRET. I
will det whether or not the report or any part thereof should
her dissemination. I should appreciate it if your report
Gen Mark Clark has been designated by Mr. Hoover to head this
Task Force which, I understand, will probably be organized and start
its work sometime in September next. Under the law constituting
Commmieeion, the Task Force shall study and investigate
the present organisation and methods of operation of the Agency to
dete what changes therein are necessary to acoomplish the policy
of Congress to promote economy, efficiency, and improved service by:
recosmending methods and procedures for reducing
tures to the lowest amount consistent with the efficient
performance of essential services, activities and functions;
b. eliminating duplication and overlapping of services,
activities, and functions;
Ce consolidating services, activities, and functions
ofa sinlar nature;
d. abolishing services, activities, and functions not
necessary to the efficient conduct of Governnent;
@e eliminating nonessential services, functions, and
activities which are competitive with private enterprise;
f. defining responsibilities of officials; and
go relocating agencies now responsible directly to
the President in departments or other agencies.
the work of the Hoover Task Force will get under way shortly,
I suggest that you and General Clark confer in order to avoid any
unnecessary ication of work as between you. The distinction
ee the work of your Study Group and of the Hoover Task Force
SEQ
Page 67
You deal with the covert activities of the CIA
as cated in paragraph (2) above, and your report
will be submitted to me. General Clark's Task
Force will deal largely with the organization and
noth of operation of the CIA and other related
agen
es within the limite prescribed in the law
as outlined in paragraph above. Reports of
the ver Commission are made to the Congress.
purpose of these studies, both that of the Hooyer Task
Force and t of your Group, is to ineure that the United States
e@lops an appropriate mechanism for carrying out its
intelligence responsibilities and the related covert
ons. I consider these operations are essential to our
security in these days when international Communism is
ively pressing its world-wide subversive progran.
Sincerely,
/8/ Dwight D. Eisenhower
Page 68
PROGRAMS AND PROCEDURES
In early July, 195k, President Eisenhower verbally
directed James H. Doolittle to form a Special Study Group
to conduct an investigation and to report to him on the
covert activities of the Central Intelligence Agency.
The other menbera of the Group included William B. Franke,
William D. Pawley, and Morris Hadley. Mr. J. Patrick
Coyne, of the National Seourity Council Staff, was
designated as consultant te the Group. Mr. S. Paul
Johnston, Director of the Institute of the Aeronautical
Solences> was appointed Executive Director. The terms
of reference for the project were spelled out in the
Presidential directive of 26 July 1954 (Appendix A).
The first meeting of the Study Group (excepting
Mr. Hadley and the Executive Director, neither of whon
had been appointed by that date) took place in C.I.A.
headquarters on 1) July. On that oceasion the Director
of Central Intelligence and key members of his staff
[REDACTED]
Page 69
TOP SECRET Appendix 2
presented the over-all problem from the viewpoint of
the Agency.
The Group as a whole met for the first time in its
assigned space in C.I.A. headquarters on 29 July. The
Chairman outlined his views as to the job to be done and
the procedures to be followed. A program of briefings
which had been prepared by Agency personnel in the interin
was discussed and accepted. The non-C.J.A. agencies to
be heard were agreed upon and the program outlined below
was initiated. The schedule of the hearings and a list
of all witnesses heard by the Group is attached.
At the request of the Group extensive briefings were
arranged by the Office of the Secretary of Defense, the
three Armed Services, the Department of State, the Federal
Bureau of Investigation and the Bureau of the Budget.
In most cases the documentation from which briefings were
conducted was made available for Group study.
A number of individuals whose knowledge and background
seemed pertinent to the study were invited to present their
views. Others were consulted informally by various members
of the Group. The Chairman discussed intelligence matters
of interest to the Atomic nergy Commission with its Chairman,
Mr. Lewis L. Strauss. He also discussed matters of
Page 70
TOP SEGRET sopenaix 3
cooperation between the two committees with Ex-President
Herbert C. Hoover and General Mark W. Clark, U.S.A. (Ret.)
Several field trips were taken during the course of
the study. The entire Group visited land later
the Office of Communications Staff Training installation.
During the week of 13 September the Chairman, accompanied
by Mr. Coyne, made an inspection of representative C.I.A.
stations in Western Burope,
Because of the extremely sensitive nature of most of
the paper work made available to the Group, special pre-
cautions were taken with respect to its handling and security.
No such papers were taken out of the immediate office area
except under suitable precautionary measures, and all working
papers, files, or other records have either been destroyed
or returned to their source. This Group has developed no
archives.
The fact that the Group was able to cover so much
ground in such a limited time stems from the assistance
and cooperation that was received from the Agency at all
levels. The Director took personal and continuing interest
in seeing that the Group had all needed facilities and
TOP SEGRET
[REDACTED]
Page 71
TMD CKency
information. Particular credit
Brig. Gen. J. D. Balmer, U.S.A. (Ret.), who was assigned
as Ideison Officer for the Group, and his two aids,
Lt. Cmdr. E. I. Carson, (USNR), and Mr. John Leader.
They laid on briefing schedules, set up conferences,
came up with needed information promptly and arranged
for local transportation. Witbout their help the job
accomplished would have been vastly more difficult.
Mention must be made also of the assistance rendered in
connection with the "general housekeeping" needs of the
Group. Everything needed, including numerous require-
ments for complicated air and rail travel arrangenents,
was promptly and efficiently handled by the Agency aduinis-
tration people.
Particular thanks are due to Miss
the sole secretarial assistant of the Group, for her
efficient and effective handling of all paper work and
other day-to-day office requirements.
Page 72
Date
‘14 July
29 July
30 July
3 August
August
5 Auguat
6 August
7 August
1O August
21 August
SPECIAL STUDY GROUP DATLY 10G
Subject
C.I.A. Covert Activities
Planning "Cold" War
Plaming "Hot" War
Foreign Intelligence
Communications Intelligence
Psychological & Paramilitery
Collection & Dissemination
Technical Services
Functions, Dep. Dir./Intelligence
State Department
Security Services
Southeast Europe Division
Training
Near East & Africa Division
Field Trip
Coordination OCB and Defense
Clandestine Records
Western Hemisphere Division
State Department
Soviet Russia Division
Technical Services
Eastern Europe Division
Presented by
Allen W. Dulles
Frank G. Wisner
Richard Helms
George E. Aurell
J. D. Balmer
Thomas Betis
Thomas Braden
Winston Scott
J. D. Balmer
Col. C.W. McCarthy
Gordon M. Stewart
Gordon M. Stewart
John E. Baker
Dr. J.M. Andrews & Staff
Dr. W.A. Gibbons
Robert Amory
Henry F. Holland
Sheffield Edwards
John H. Richardson
Matthew Baird
Roger Goiran
Matthew Baird & Staff
Wayne Jackson
J. D. Balmer
John Soott
J. C. King
W. Bedell Smith
Dane Durand & Staff
luis deFlores
& Staff
Page 73
[REDACTED]
Daily Log 2
Date Subject Exesented by
12 August British & other Ffor.Intel.Services Winston Scott
Western Europe Division Paul Birdsall & Staff
13 August Director's Staff Meeting Allen W. Dulles & Staff
Admin. Proprietary Projects lyle T. Shannon
17 August Operation Guatemala Frank G. Wisner
Inspection & Review Winston Scott
Inspector General Lyman Kirkpatrick
18 August Special Operations James Angleton
Clandestine Planning Comittee Col. Clinton 0. Morton
Research & Development Lois deFlores
19 August Field Trip COM H.M. McClelland & Staff
2h August U.S. Air Force Intelligence Maj.Gen. J.A. Samford & Staff
25 August Federal Bureau of Investigation A. H. Belmont
Samuel Papich
Czechoslovakia Charles Katek
Egypt Arthur Callahan
Germany Jobn M. Whitten
26 August Intelligence Acquisition Dr. James Baker
27 August Office of Naval Intelligence Rear Adm. C.F. Espe & Staff
31. August Operations of Soviet Russia Division Dana Durand & Staff
PP Activities of SR Division Malia G. Natirbov
Defections Richard E. Kovich
David E. Murphy
Coordination of GW Activities with
Defense Department
Operation Iran Kerait Roosevelt
1 September Army, G2. Maj.Gen, A.G. Trudeau & Staff
National Security Agency It.Gen. RJ. Canine & Staff
2 September State Department W. Park Armstrong & Staff
[REDACTED]
Page 74
Daily Log 3
Date Subject
3 Septexber Special Operations
General Conments
September Personnel Management
tional Security
Special Briefings
13«18 Sept. Field Trip Frenkfurt, Vienna,
Athens, Rome (Doolittle & Coyne)
1, September Bureau of the Budget
Functions, Inspector General
15 September Operation Iren
Aduinistration
16 September Defense Dept., Intel. Operations
Security
17 Septenber National Security Council
22 Septenber Agreed Activities
28 September Special Briefing Guatemala
Appendix B 7
Presented by
James Angleton
soraon-n-sveralt
Winston Scott
Richard Helms
Gen. L.K. Truscott & Staff
Col. Scott Petty
Bronson Tweedy
Alfred C. Ulmer
Glen Fields
William Hood
Gerald E. Miller & Staff
Claire Boothe Luce
Robert M. Macy
C. Hamilton
Gyman Kirkpatrick
Brig.Gen. R.A. McClure
Lawrence K. White
William H. Godel
Sheffield Edwards
Brig.Gen. Robert Cutler
James S, lay, Jr.
It.Gen. C.P. Cadell
J.C, King
Howard Preston
Page 75
LIST OF INDIVIDUALS WHO WERE CONSULTED
1, Central Intelligence Agency
Appendix B 8
Page 76
Appendix Be-- 9
rn Sener
TOP SECRET
[REDACTED]
Page 77
eet Appendix B 10
TOP SRGRET
Page 78
APPENDICES
C and D