STATEMENT OF INFORMATION
HEARINGS
BEFORE THE
COMMITTEE ON THE JUDICIARY
HOUSE OF REPRESENTATIVES
NINETY-THIRD CONGRESS
SECOND SESSION
PURSUANT TO
H. Res. 803
A RESOLUTION AUTHORIZING AND DIRECTING THE COMMITTEE
ON THE JUDICIARY TO INVESTIGATE WHETHER SUFFICIENT
GROUNDS EXIST FOR THE HOUSE OF REPRESENTATIVES TO
EXERCISE ITS CONSTITUTIONAL POWER TO IMPEACH
RICHARD M. NIXON
PRESIDENT OF THE UNITED STATES OF AMERICA
Book VIII
INTERNAL REVENUE SERVICE
. :y< ^// ' ^^ 7
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MAY-JUNE 1974
NGirrrlEASTErvii UiiiVLKSilY SulOOl of UW LSR^RY
U.S. GOVERNMENT PRINTING OFFICE
36-928—0 WASHINGTON : 1974
For sale by the Superintendent of Documents, U.S. Government Printing OfBce
Washington, D.C. 20402 - Price $4.20
COMMITTEE ON THE JUDICIARY
PETER W. RODINO, JE.,
HAROLD D. DONOHUE, Massacbusetts
JACK BROOKS. Texas
ROBERT W. KASTENMEIER, Wlaconsin
DON EDWARDS, California
WILLIAM L. BUNQATE, Missouri
JOHN CONYERS, JR., Michigan
JOSHUA EILBERG, PenDsylTanla
JEROME R. WALDIE, California
WALTER FLOWERS. Alabama
JAMES R. MANN. Soutb Carolina
PAUL S. SARBANES. Maryland
JOHN F. SEIBERLING. Oblo
GEORGE E. DANIELSON, California
ROBERT F. DRINAN, Massachusetts
CHARLES B. RANGEL. New York
BARBARA JORDAN, Texas
RAY THORNTON, Arkansas
ELIZABETH HOLTZMAN, New York
WAYNE OWENS, Utah
EDWARD MEZVINSKY, Iowa
New Jersey, Chairman
EDWARD HUTCHINSON, Michigan
ROBERT McCLORY, Illinois
HENRY P. SMITH III, New York
CHARLES W. SANDMAN, jE., New Jersey
TOM RAILSBACK, Illinois
CHARLES E. WIGGINS, California
DAVID W. DENNIS, Indiana
HAMILTON FISH, jE.. New York
WILEY MAYNE, Iowa
LAWRENCE J. HOOAN, Maryland
M. CALDWELL BUTLER. Virginia
WILLIAM S. COHEN, Maine
TRENT LOTT, Mississippi
HAROLD V. FROEHLICH. Wisconsin
CARLOS J. MOORHEAD. CaUfornla
JOSEPH J. MARAZITI, New Jersey
DELBERT L. LATTA, Ohio
John Doab, Special Countel
Albert B. Jenneb, Jr., Special Countel to the Minority
Joseph A. Woods. Jr., Senior Attooiate Special Counsel
RiCHAKD Cates, Senior Attociate Special Countel
Bbbnabd W. NiJSSBAUM. Senior A»$ociate Special Counsel
ROBBBT D. Sack, Senior Attociate Special Counsel
ROBEBT A. Shelton. Associate Special Counsel
Samcel Garbison III, Deputy Minority Counsel
Feed H. Altsrdleb, Coun«eI
Thomas Bell. Counsel
W. Pacl Bishop. Counsel
Robert L. Bbown, Counael
Michael M. Conwat, Counael
Rorcs Cobmieb, Special Assistant
E. Lee Dale. Counsel
John B. Davidson, Counael
Evan A. Davis, Counsel
CONSTANTINE J. Oekas. Counset
Richard H. Gill, Counsel
Daohab Hamilton. Counael
David Hanes, Special Assistant
John E. Kennahan, Counael
Tbbby R. Kibepatbick, Counael
John R. Labovitz. Counsel
Ladbance Lucchino. Counaei
R. L. Smith McKeitben. Counael
Alan Mabeb, Counaet
Robebt P. Mcbpht. Counsel
James B. F. Oliphant. Counael
Richard H. Porter. Counael
Georoe Rayborn. Counsel
James Reum. Counael
Hillary D. Rodham. Counael
Stephen A. Sharp. Counael
Jared Stamell, Counsel
RoscoE B. Starek III, Counael
Gaby W. Sdtton, Counael
Edward S. Szdkelewicz, Counsel
Robert J. Trainob. Counael
J, Stephen Walker. CounaeJ
Ben a. Wallis. Jb.. Counael
William Weld. Counsel
William A. White, Counael
(H)
FOREWORD
By Hon. Peter W. Rodino, Jr., Chairman,
Committee on the Judiciary
On February 6, 1974, the House of Representatives adopted by a
vote of 410-4 the following House Resolution 803:
RESOLVED, That the Committee on the Judiciary acting as
a whole or by any subcommittee thereof appointed by the
Chairman for the purposes hereof and in accordance with
the Rules of the Committee, is authorized and directed
to investigate fully and completely whether sufficient
grounds exist for the House of Representatives to exer-
cise its constitutional power to impeach Richard M.
Nixon, President of the United States of America. The
committee shall report to the House of Representatives
such resolutions, articles of impeachment, or other
recommendations as it deems proper.
Beginning in November 1973, acting under resolutions referred to
the Committee by the Speaker of the House and with a special appropria-
tion, I had begun to organize a special staff to investigate serious
charges against the President of the United States.
On May 9, 1974, as Chairman of the Committee on the Judiciary,
I convened the Committee for hearings to review the results of the
Impeachment Inquiry staff's Investigation. The staff began its initial
presentation the same day, in executive session, pursuant to the Com-
mittee's Impeachment Inquiry Procedures adopted on May 2, 1974.
By June 21, the Inquiry staff had concluded its initial presen-
tation.
On June 25, the Committee voted to make public the initial pre-
sentation including substantially all of the supporting material
(III)
presented at the hearings. The Committee also voted to make public the
President's response, which was presented to the Committee on June 27
and June 28 in the same form and manner as the Inquiry staff's initial
presentation.
Statements of information and supporting evidentiary material
were compiled by the Inquiry staff in 36 notebooks and furnished in
this form to each Member of the Committee. The notebooks presented
material on several subjects of the Inquiry: the Watergate break-in
and its aftermath, ITT, dairy price supports, domestic surveillance,
the relationship between the President and his staff and the IRS, and
the activities of the Special Prosecutors. In each notebook a state-
ment of information relating to a particular phase of the investigation
was immediately followed by supporting evidentiary material, which in-
cluded copies of documents and testimony (much already on public record) ,
transcripts of Presidential conversations and affidavits.
The staff also presented to the Committee written reports on
President Nixon's income taxes. Presidential impoundment of funds
appropriated by Congress, and the bombing of Cambodia.
Book VIII, presented to the Committee in two volumes, dealt with
alleged efforts by White House officials from 1970 through 1973 to use
the Internal Revenue Service for political purposes, to acquire confi-
dential information from the IRS and to direct certain IRS activities.
Evidence was presented regarding White House requests that the IRS
investigate the financial affairs of certain Taxpayers and provide
White House officials with confidential information about certain
taxpayers. Evidence was also presented regarding the creation of
White House lists of political opponents and "enemies."
(IV)
In a few instances. Ranking Minority Member Mr. Hutchinson and
I determined, pursxaant to authority granted us by the Committee, to
defer the release of evidentiary material or to delete it for one of
the following reasons :
1) Because the public interest in making the material public was
outweighed by the potential prejudice to the rights of defendants under
indictment and awaiting trial,
2) Because the information was classified or otherwise required
confidential treatment,
3) Because the material was only marginally pertinent and was
considered to be defamatory, degrading or embarrassing, or,
4) Because the material was not pertinent to Presidential
responsibility within the outer limits of an impeachable offense within
the meaning of the Constitution.
The Committee on the Judiciary is working to follow faithfully
its mandate "to investigate fully and completely" whether or not suf-
ficient grounds exist to recommend that the House exercise its constitu-
tional power of Impeachment.
I believe that the readers of these volumes will see that the
Committee's primary effort in carrying out its mandate has been to ob-
tain an objective, impartial presentation which will enable each Member
of the Committee to make an Informed judgment in fulfilling his or her
constitutional responsibility.
(V)
Every effort was made to preclude inferences in the presentation
of this material. A deliberate and scrupxilous abstention from conclu-
sions, by implication, was observed.
With respect to the Presidential recorded conversations, the
Committee determined to hear the recorded conversations in their
entirety. The Presidential recorded conversations were neither para-
phrased nor summarized by the Inquiry staff. Thus, no inferences, or
conclusions were drawn for the Committee. During the course of the
hearings, Members of the Committee heard each recording and simultane-
ously followed transcripts prepared by the Inquiry staff. Each of
these transcripts is reprinted under the appropriate statement of
information.
During the course of the hearings , the Committee found it
necessary to issue a subpoena to President Nixon requiring him to
furnish to the Committee a tape recording of a portion of a
Presidential conversation held on September 15, 1972 relating to
the Internal Revenue Service, and to furnish memoranda, notes,
and other writings and things relating to this conversation. The
President has not yet responded to this subpoena.
(VI)
I also believe that the publication of the record of these hear-
ings will provide readers with a clear idea of the particulars of the
investigation and that the proximity of the evidence will assure them
that no statement of information is offered without supporting eviden-
tiary material.
^^/^^
July 1974
(VII)
CONTENTS
Page
Foreword ill
Introductory Note xl
Statement of Information 1
Statement of Information and Supporting Evidence 33
(IX)
INTRODUCTORY NOTE
The material contained in this volume is presented in two sec-
tions. Section 1 contains a statement of information footnoted with
citations to evidentiary material. Section 2 contains the same state-
ment of information followed by the supporting material.
Supporting material consists of information obtained at hearings
before the Senate Select Committee on Presidential Campaign Activities;
information developed in executive session by other Congressional com-
mittees; information furnished to the Committee by the Grand Jury of
the District of Columbia and by other grand juries; information fur-
nished to the Committee by government agencies; transcripts of tape
recordings of conversations among President Nixon and his key associates
prepared by the Committee staff; information furnished to the Committee
by the President, the Executive Departments of the Government, the
Special Prosecutor, and other information obtained by the Committee,
much of which was already on the public record.
Each page of supporting evidence is labeled with the footnote
number and a description of the document or the name of the witness
testifying. Copies of entire pages of documents and testimony are
included, with brackets around the portions pertaining to the state-
ment of information. Markings on the documents include item numbers
and receipt stamps of the House Judiciary Committee and other agencies
from which the Consnittee received material.
(XI)
-2-
In a few Instances, names of persons In sensitive positions
have been deleted from documents at the request of the CIA, FBI and
other investigative agencies. Some documents contained deletions when
the Committee received them.
In the citation of sources, the following abbreviations are
used: "SSC" for Senate Select Committee on Presidential Campaign
Activities; "SJC" for Senate Judiciary Committee; and "HJC" for House
Judiciary Committee.
(XII)
STATEMENT OF INFORMATION
INTERNAL REVENUE SERVICE
(1)
1. On or about March 21, 1970 Special Counsel to the President Clark
Mollenhoff sent a memorandum to H. R. Haldeman transmitting material on
the taxes of Governor George Wallace's brother, Gerald Wallace. Mollenhoff
has stated that he had been instructed by Haldeman to obtain a report from
IRS on investigations relating to Governor George Wallace and Gerald Wallace;
that he had been assured by Haldeman that the report was to be obtained at
the request of the President; that he obtained the report from the IRS;
and that Mollenhoff did not give a copy of the report to anyone other than
Haldeman or discuss the substance of it with anyone else until after the ap-
pearance of an article on April 13, 1970 regarding confidential field re-
I
ports, and IRS investigation of charges of corruption in the Wallace Ad-
ministration and the activities of Gerald Wallace. Former Commissioner
of Internal Revenue Randolph Thrower has stated that an IRS investigation
concluded that the material had not been leaked by the IRS or the Treasury
Department. Thrower has stated that thereafter he and the IRS Chief
Counsel met with Haldeman and Ehrlichman at the White House and discussed
with them the seriousness of the leak and the fact that unauthorized dis-
closure of IRS information constituted a criminal act.
Page
1.1 Memorandum from Clark Mollenhoff to H. R. Haldeman,
March 21, 1970 (received from Watergate Special
Prosecution Force) 36
1.2 Washington Post . April 13, 1970, Bll 37
1.3 Clark Mollenhoff affidavit submitted to House
Judiciary Committee, June A, 1974 38
1.4 Randolph Thrower affidavit submitted to House
Judiciary Coranittee, May 24, 1974 40
(3)
2. On Sep tenter 21, 1970 White House aide Tom Charles Huston sent
a memorandum to Haldeman transmitting a report on an investigation by
the IRS Special Service Group of political activities of tax-exempt
organizations. Huston discussed administrative action against the
organizations and stated that valuable intelligence-type information
could be turned up by IRS as a result of their field audits.
Page
2.1 MeiBorandum from Tom Charles Huston to H. R.
Haldenan, September 21, 1970, with attachments,
SSC Exhibit No. 42, 3 SSC 1338-45 44
(4)
3. Former Commissioner of Internal Revenue Thrower has stated that
during the summer of 1970 he was advised by Under Secretary of the Treasury
Charls Walker that John Caulfleld, head of security for the President's
office, was interested in the position of Director of the IRS Alcohol,
Tobacco and Firearms Division (ATF) and had the President's blessing and
the support of top people at the White House. Thrower concluded that
Caulfleld was not qualified for the position. Thrower has stated that
in November 1970 he was told by Walker that the White House wanted
Caulfleld to be considered for the position of Chief of the Enforcement
Branch of ATF and that the White House wanted to take the Enforcement
Branch out of ATF and have it report directly to Thrower rather than
through the chain of command. Thrower has stated that he told Walker
that Thrower would resign if Caulfleld were appointed and the organizational
changes were required. Thrower has stated that shortly thereafter he was
advised that the White House would drop the matter.
Page
3.1 Randolph Thrower affidavit submitted to House
Judiciary Committee, May 24, 1974 54
(5)
4. Thrower has stated that in January 1971, having decided to submit
his resignation as Cotnmlssloner of Internal Revenue, he attempted unsuc-
cessfully through Treasury Secretary Kennedy and Attorney General Mitchell
to arrange a meeting with the President to express his concern that any
suggestion of the Introduction of political influence Into the IRS would
be very damaging to the President and his administration as well as to the
revenue system and the general public Interest. Thrower has stated that he
was told by the President's Appointment Secretary Dwlght Chapln that the
President had received Thrower's views from the Attorney General and did
not feel a conference was necessary. Thrower thereupon submitted his
resignation.
Page
A.l Randolph Thrower affidavit submitted to House
Judiciary Conmiittee, May 24, 1974.
60
(6)
5. From June 2A, 1971 through June 1972, members of Colson's staff
circulated to various White House staff members names for and deletions from
a list of political opponents. Dean has testified that the list was con-
tinually being updated, and the file was several inches thick. Colson
has stated that the list maintained by George Bell of his office was
primarily intended for the use of the social office and the personnel
office in considering White House invitations and appointments.
Page
5.1 John Dean testimony, 4 SSC 1350, 1386-87, 1409-11 66
5.2 Memorandum from George Bell to John Dean, Jerry
Warren, Van Shumway, June 24, 1971, SSC Exhibit
No. 49, 4 SSC 1693-96 72
5.3 Letter from Charles Colson to Fred Thompson and
Samuel Dash, June 28, 1973 (received from SSC) 76
(7)
6. On July 20, 1971 John Dean wrote a memorandum to Ehrlichman's
aide Egll Krogh attaching Information compiled by John Caulfleld regarding
the Brookings Institution's tax returns and noting that Brookings re-
ceived a number of large government contracts. Caulfleld has testified
that it was his Impression that this was public information. On
July 27, 1971 Dean sent a memorandum to Krogh to which was attached
a carbon copy of Dean's July 20, 1971 memorandum on which the words
"receives a number of large government contracts" were underscored and
a marginal note by Haldeman stated that these should be turned off.
Dean's July 27, 1971 memorandum stated that he assumed that Krogh was
turning off the spigot.
Page
6.1 Memorandum from John Dean to Egll Krogh, July 20,
1971, with attachment (received from White House) 80
6.2 Memorandum from John Dean to Egll Krogh, July 27,
1971, with attachment (received from White House) 91
6.3 John Caulfleld testimony, SSC Executive Session,
March 23, 197A, 34-35 93
(8)
7* Dean has testified that on August 16, 1971 he prepared a memorandum
entitled. Dealing with our Political Enemies, which addressed the matter
of how the Administration could use the available federal machinery
against its political enemies. Among Dean's suggestions was that key
members of the staff should determine who was giving the Administration
a hard time, and that they develop a list of names — not more than ten —
as targets for concentration. Dean has testified that to the best of his
recollection the memorandum was sent forward to Haldeman and Ehrlichman
for approval, disapproval or comment. Ehrlichman testified that he
could not recall receiving any memorandum with respect to the enemies
list from Dean or any other person in the White House.
! Page
7.1 John Dean testimony, 4 SSC 1349-50, 1411 96
7.2 Memorandxra (unsigned and unaddressed) , August 16,
1971, SSC Exhibit No. 48, 4 SSC 1689-90 99
7 . 3 John Ehrlichman testimony, 7 SSC 2683-84 101
(9)
8. On September 9, 1971 Colson sent Dean a memorandum stating that
he had checked in blue those to whom he would give top priority. Dean
testified that attached to Colson' s memorandum was an opponents list
memorandum from Bell dated Jime 24, 1971 and a document entitled
"Opponent Priority Activity" containing the names and brief descriptions
of 20 political opponents with check marks beside eleven of the names.
Page
8.1 John Dean testimony, 4 SSC 1350 104
8.2 Memorandum from Charles Colson to John Dean,
September 9, 1971, SSC Exhibit No. 49, 4 SSC
1692-96 105
(10)
9. On or about September 14, 1971 Dean sent to Haldeman's aide,
Lawrence Higby, a list of names Higby requested. Most of the names were
the same as those checked by Colson on the list attached to the
September 9, 1971 memorandum discussed in the preceding paragraph.
Dean testified that upon a request from Haldeman that he wanted to
nail this doira as to the 20, or the minimum number with whom they could
do something Dean sent the list to Higby for Haldeman's final review.
On several occasions thereafter Dean received names for the enemies
project from Higby and Strachan, also an aide of Haldeman. Dean
testified that he also received a list of McGovem campaign staff
prepared at Ehrlichman's direction by CRP Director of Ballot Security
Murray Chotiner. Dean has testified that the lists were principally
used by Colson and Haldeman and that he did not know what they did with
them. Haldeman has testified that enemies lists or opponents lists
were used for withholding White Hoiise courtesies and invitations from
those who had expressed opposition to Administration policies.
Page
9.1 John Dean testimony, A SSC 1350, 1408-10, 1529 113
9.2 Memorandtm from John Dean to Lawrence Higby,
September 14, 1971, SSC Exhibit No. 50, 4 SSC
1697-98 118
9.3 Memorandum from Gordon Strachan to John Dean,
September 17, 1971, SSC Exhibit No. 52, 4 SSC
1700 120
9.4 Memorandum from Gordon Strachan to John Dean,
October 26, 1971, SSC Exhibit No. 53, 4 SSC
1701-02 121
9.5 Memorandum from Gordon Strachan to John Dean,
November 5, 1971, SSC Exhibit No. 54, 4 SSC
1703-04 123
(11)
Page
9.6 Note from Lawrence Hlgby to John Dean, undated,
SSC Exhibit No. 51, A SSC 1699 126
9.7 H. R. Haldeman testimony, 8 SSC 3154-56 127
(12)
10. On September 22, 1971 John Caulfleld wrote a memorandum regarding
plans for scheduling Lawrence Goldberg to function in the Jewish area at
the Conmiittee for the Re-election of the President. Caulfield stated that
Goldberg was actively engaged in Anti-Defamation League activities and that
consideration should be given to a potential question of loyalty. On
October 6, 1971 Caulfield sent a memorandum to Dean attaching lists of
charitable contributions from Goldberg's tax returns and stating that
it postured an extremely heavy involvement in Jewish organizational
activity. Caulfield also stated that Attorney General Mitchell should
be discreetly made aware in this regard. Caulfield has testified that he
obtained information on Goldberg's financial status from IRS Assistant
Commissioner (Inspection) Vernon Acree and that the purpose of obtaining
the information was to determine whether Goldberg was financially solvent
and therefore able to assume a campaign position at CRP.
Page
10.1 Memorandum by John Caulfield, September 22, 1971
(received from SSC) 132
10.2 Memorandum from John Caulfield to John Dean,
with attachments, October 6, 1971 (received
from SSC) 133
10.3 John Caulfield testimony, SSC Executive Session,
March 23, 197A, 56-62 138
(13)
11. On or about September 30, 1971 Caulfleld sent a memorandum to
Dean reporting on IRS tax audit information about Rev. Billy Graham.
Caulfield testified that he obtained the information from Assistant
Commissioner Acree. On October 1, 1971 Higby sent a copy of Caulfield 's
memorandum to Haldeman with a transmittal slip bearing the hand-written
notation, "Can we do anything to help," below which is Haldeman's hand-
written notation, "No, it's already covered." Dean has testified that
the President had asked that the IRS be turned off on friends of his.
Page
11.1 Memorandum from John Caulfield to John Dean,
September 30, 1971 with attached routing slip
(received from SSC) 146
11.2 John Caulfield testimony, SSC Executive Session,
March 23, 1974, 46-50 148
11.3 John Dean testimony, SSC Executive Session,
June 16, 1973, 95-96 153
(14)
12. On or about October 6, 1971 Caul field sent a memorandum to Dean
transmitting information about tax audits of John Wayne and eight other
entertainers and former entertainers which Caulfield had instructed the
IRS to furnish. Caulfield has testified that he obtained the information
from Acree.
Page
12.1 Memorandimi from John Caulfield to John Dean,
October 6, 1971 (received from SSC) 156
12.2 John Caulfield testimony, SSC Executive Session,
March 23, 197A, 54-56 161
(15)
13. From October 6 through October 13, 1971 News day published install-
ments of an article on C. G. Rebozo. Dean has testified that after the
article was published he was instructed by Haldeman that one of the
authors of the article should have some problems. Dean and Caulfield
discussed procedures to institute an audit of Robert Greene, a News day
reporter who had written the article. Caulfield has testified that he
discussed the request with Acree who told Caulfield that an audit could
be instigated by use of an anonymous letter. Caulfield has testified
that Acree later informed him that the procedure was followed. The staff
of the Joint Committee on Internal Revenue Taxation has stated that
Greene was not audited by the IRS but was subsequently audited by New
York State tax authorities on the basis of information supplied under
the Federal/State exchange program, but that the staff believes that the
audit was unrelated to Greene's being classified as a White House enemy.
Page
13.1 John Dean testimony, 3 SSC 1072 166
13.2 John Dean testimony, 4 SSC 1480 167
13.3 John Caulfield testimony, SSC Executive Session,
March 23, 1974, 62-64 168
13.4 Newsday , October 6-13, 1971, 3R. 171
13.5 Memorandum from John Caulfield to John Dean,
September 10, 1971 (received from SSC) 173
13.6 Report of the staff of the Joint Committee on
Internal Revenue Taxation, "Investigation into
Certain Charges of the Use of the Internal Revenue
Service for Political Purposes," December 20,
1973, 12 174
(16)
14. Dean has testified that he received requests from Haldeman to
have audits commenced on certain Individuals. Haldeman has testified
that he could recall no specific requests but that Information that had
come to the attention of the White House or Information that appeared
to Indicate a reason for an audit may have been referred by the White
House to the IRS. Caulfleld has testified that some time after Dean's
request for an audit of Greene, Dean met with Caulfleld and Acree and
directed that full audits be conducted of three or four other Indivi-
duals. Caulfleld has testified that he and Acree decided not to conduct
the audits and that so far as he knew no audits were conducted of any
Individuals .
Page
14.1 John Dean testimony, 4 SSC 1479-80 176
14.2 H. R. Haldeman testimony, 8 SSC 3137 ] 78
14.3 John Caulfleld testimony, SSC Executive Session,
March 23, 1974, 64-65, 113-14 179
(ir)
15. On October 15, 1971 Caul field wrote a memorandum to Dean recom-
mending that background information obtained from the FBI about the
producer of a motion picture derogatory to the President be released to
the media and that discreet IRS audits be instituted on the producer,
the distributor of the film and a related corporation. Caulfield testi-
fied that Dean requested he run an FBI name-check and that, at Caulfield 's
direction, Anthony Ulasewicz conducted a "pretext inquiry" at the offices
of the film's distributor. On October 20, 1971 Caulfield sent a memo-
randum to Dean reporting on a pretext interview of the film's distributor
and recommending that because the financial handling and distribution of
the film was in the hands of amateurs, any actions against the producer.
Including background information and IRS capability, be carefully weighed
and well hidden.
Page
15.1 Memoranda from John Caulfield to John Dean, June
25, 1971, October 13, 1971; October 15, 1971;
October 20, 1971, with attached undated memorandum
from Fred Fielding to John Dean; Exhibit 3, Hearing
held before Subcommittee on Administrative Practice
and Procedure and Subcommittee on Constitutional
Rights of the Cotmnittee on the Judiciary, and Sub-
committee on Surveillance of the Committee on
Foreign Relations , April 8, 197A 184
15.2 John Caulfield testimony, SSC Executive Session,
March 23, 1974, 88, 102-03 192
(18)
X6. Prior to November 7, 1971 a talking paper and memorandum were
prepared with respect to making the IRS politically responsive. Dean
has testified that he and Caulfield prepared the documents for Haldeman's
use during a meeting with either the Secretary of the Treasury or the
Commissioner of Internal Revenue. Haldeman has testified that he could
not recall either seeing the briefing memorandum or having any specific
conversation with the Secretary of the Treasury.
Page
16.1 Briefing Memorandum (undated and unsigned) ,
SSC Exhibit No. 44, 4 SSC 1682-85 196
16.2 John Dean testimony, 4 SSC 1349, 1410-11 200
16.3 H. R. Haldeman testimony, 8 SSC 3136-37 203
(19)
17. In a Political Matters Memorandum dated December 2, 1971 Strachan
reported to Haldeman that Mitchell and Dean had discussed the need to
develop a political intelligence capability. Strachan stated that
Sandwedge had been scrapped and that instead Gordon Liddy would become
general counsel to CRP effective December 6, 1971. Strachan stated that
Liddy would handle political intelligence as well as legal matters and
would also work with Dean on the political enemies project.
Page
17.1 Memorandum from Gordon Strachan to H. R. Haldeman,
December 2, 1971 (received from White House) , 206
(20)
18. In early 1972 John Dean sent a memorandum to Haldeman, Ehrlichman,
Klein, Colson and Zlegler, with a carbon copy to Mitchell, stating that
an article by a journalist about a campaign fundraiser was scheduled for
publication the following day. At this time an unsigned memorandum was
prepared containing personal information about the lournalist and de-
scribing his financial affairs. It stated that during recent years the
journalist had not reported any personal income derived from the opera-
tion of a corporation in which he had an interest. It also stated that
certain facts suggested to IRS professionals that an audit might result-
ingly be in order. The memorandum also stated that because of the sensi-
tivities of the ongoing inquiry, no audit should be initiated unless
directed.
Page
18.1 Memorandum from John Dean to H. R. Haldeman and
others, with attachments (received from SSC) 212
18.2 Memorandum, unsigned and unaddressed, re back-
groxmd information on newspaper journalist
(received from SSC) 212
(21)
19. On June 12, 1972 Colson sent a memorandum to Dean stating
that Colson had received a well informed tip that there were
discrepancies in the tax returns of Harold Gibbons, a vice
president of the Teamsters Union. Colson stated that Gibbons
was an all out enemy and asked that Dean please see if this one
could be started on at once. Dean has testified that he put
the memorandum in his file and that it remained there.
Page"
19 . 1 John Dean testimony , A SSC 1349 , 1480 214
19.2 Memorandum from Charles Colson to John Dean,
June 12, 1972, SSC Exhibit No. 45, 4 SSC 1686 216
(22)
20. Former Commissioner of Internal Revenue Walters has
stated that during the summer of 1972 he was asked by Treasury
Secretary Shultz to check on a report by John Ehrlichman that
Democratic National Committee Chairman Lawrence O'Brien had received
large amounts of Income which might not have been reported properly.
Walters has stated that he reported to Shultz on the IRS's examination
of O'Brien's returns for 1970 and 1971. Walters has stated that Ehrlich-
man was not satisfied with the report on the status of O'Brien's returns
and that because of Ehrlichman' s inquiries O'Brien was interviewed during
the summer of 1972. Walters has stated that Ehrlichman was not satisfied
with the interview and that he told Shultz he needed further information
about the matter. Ehrlichman has testified that he had learned from
a sensitive case report that the IRS was investigating O'Brien and that
he called Shultz to complain that the IRS was delaying the audit until
after the election.
Page
20.1 Johnnie Walters affidavit submitted to the House
Judiciary Committee, June 10, 1974 218
20.2 John Ehrlichman testimony, SSC Executive Session.
February 8, 197A, 110-12 223
(23)
21. On or about August 29, 1972 Shultz, Walters and Assistant to the
IRS Commissioner Roger Barth telephoned Ehrlichman to report on the IRS
investigation of Lawrence O'Brien. Shultz informed Ehrlichman that the
IRS had closed the investigation. Ehrlichman complained to Walters that
the IRS had been stalling the audit and he told Walters what a bad Job
he had done.
Page
21.1 John Ehrlichman testimony, SSC Executive Session,
February 8, 1974, 111-13 228
21.2 Johnnie Walters affidavit submitted to the House
Judiciary Committee, June 10, 1974 231
(24)
22. Walters stated that on September 11, 1972 he went to Dean's office.
Dean gave Walters a list of McGovern staff members and campaign contribu-
tors and requested that the IRS begin investigations or examinations of
the people named on the list. Walters' notes of the meeting state that
J. E. [John Ehrlichman] asked to make up the list to see what information
could be developed and that Dean had not been asked by the President to
have this done and did not know whether the President had asked directly
that any of this be done. Walters has stated that he advised Dean that
compliance with the request would be disastrous for the IRS and for the
Administration and that he would discuss the matter with Secretary Shultz
and would recommend to Shultz that the IRS do nothing with respect to
the request.
Page
22.1 Johnnie Walters affidavit submitted to House
Judiciary Committee, May 6, 1974 238
22.2 Johnnie Walters handwritten notes, September 11,
1972 (received from Joint Committee on Internal
Revenue Taxation) 242
22.3 List of McGovem staff members and campaign
contributors (received from Joint Committee on
Internal Revenue Taxation) 244
(25)
23^ Walters has stated that on September 13, 1972 he discussed with
Secretary Shultz the list given him by Dean, showed Shultz the list and
advised Shultz that he believed they should not con^ly with Dean's
request to commence examination or Investigation of the people named
on the list. Shultz told Walters to do nothing with respect to the
list and Walters put it in his office safe. On July 11, 1973 Walters
turned the list over to the Joint Committee on Internal Revenue Taxation.
On December 20, 1973 the staff of the Joint Committee issued a report
stating that it found no evidence that the returns of any persons on the
list were screened as a result of White House pressure.
Page
23.1 Johnnie Walters affidavit siibmitted to House
Judiciary Committee, May 6, 1974 274
23.2 Johnnie Walters handwritten notes, September 11, 1972
(received from Joint Conmittee on Internal Revenue
Taxation) 278
23.3 Report of the staff of the Joint Committee on
Internal Revenue Taxation, "Investigation into Certain
Charges of the Use of the Internal Revenue Service
for Political Purposes," December 20, 1973, 7-12 280
(26)
24. On September 15, 1972 from about 5:23 until about 5:27 p.m. the
President met with Haldeman and discussed, among other things. Dean's
working through IRS. At about 5:27 p.m. Dean joined the meeting £Uid
from about 5:27 to about 6:00 p.m. the President, Haldeman and Dean had
a discussion which did not refer specifically to the IRS. The Committee
has received tape recordings of these conversations.
Page
24.1 Tape recording of a meeting between the President
and H. R. Haldeman, September 15, 1972, 5:23 -
5:27 p.m., and House Judiciary Committee trans-
cript thereof 288
(27)
25. From approximately 6:00 p.m. to approximately 6:17 p.m. on
September 15, 1972 the President, Haldeman and Dean continued their
meeting. The Committee has not received a tape recording of this portion
of the conversation. Haldeman and Dean have testified that the
September 15, 1972 meeting there was a discussion of taking steps to
overcome the unwillingness of the IRS to follow up on complaints .
According to a memorandum by SSC Minority Counsel Fred Thompson, Special
Counsel to the President, J. Fred Buzhardt has stated that during the
September 15, 1972 meeting Dean reported on the IRS Investigation of
Lawrence O'Brien. On May 28, 1974 the Watergate Special Prosecutor moved
that the recording of this portion of the conversation be turned over
to the appropriate grand juries on the basis that the recording was
relevant to alleged White House attempts to abuse and politicize the
IRS, including unlawfully attempting in August and September 1972 to
have the IRS investigate Lawrence O'Brien. On June 12, 1974 Judge
Sirica granted the motion and ordered that the recording of the con-
versation from 6:00 to approximately 6:13 p.m. be made available to
the Special Prosecutor.
Page
25.1 H. R. Haldeman testimony, 7 SSC 2889 333
25.2 John Dean testimony, 3 SSC 957-58 334
25.3 John Dean testimony, 4 SSC 1535 336
25.4 Memorandum of Dean's calls and meetings with the
President, September 15, 1972 (received from SSC) with
accompanying Fred Thompson affidavit, SSC Exhibit No.
70A, 4 SSC 1794-95 337
25.5 Motion for reconsideration and affidavit of Leon
Jaworski, May 28, 1974, In re Grand Jury , Misc.
47-73 340
(28)
Page
25.6 Transcript of proceedings, June 7, 1974,
In re Grand Jury , Misc. 47-73, 12 347
25.7 Order, June 12, 1974, In re Grand Jury , Misc.
Misc. 47-73 348
(29)
26. Walters has stated that on or about September 25, 1972 Dean
telephoned him and Inquired as to what progress had been made with respect
to the list of McGovem campaign workers and contributors which he had
given to Walters on September 11, 1972. Walters has stated that I
he Informed Dean that no progress had been made; that Dean asked
If It might be possible to develop Information on fifty, sixty
or seventy of the names; and that Walters responded that, although he
would reconsider the matter with Secretary Shultz, any activity of this
type would be Inviting disaster. Walters has stated that on or about
September 29, 1972 he discussed Dean's request with Shultz and that he I
and Shultz agreed that nothing be done with respect to the list. Walters
has stated that he did not furnish any name or names from the list nor
request any IRS employee or official to take any action with respect to
the list.
Page
26.1 Johnnie Walters affidavit submitted to House
Judiciary Committee, May 6, 1974 352
26.2 Johnnie Walters handwritten notes, September 25, 1973
(received from Joint Committee on Internal Revenue
Taxation) 356
(30)
27. On March 13, 1973 the President met with Haldeman and Dean.
During the conversation the President and Dean discussed, among other
things, obtaining information from the IRS.
Page
27.1 Tape recording of a conversation among the Presi-
dent, H. R. Haldeman and John Dean, March 13, 1973,
and House Judiciary Committee transcript thereof
(received from White House) 360
(31)
28. On May 2, 1973 the Center on Corporate Responsibility, Inc. filed
suit claiming that it had been unlawfully denied tax-exempt status
because of selective treatment for political, ideological and other
Improper reasons having no basis in the statute and regulations. On
December 11, 1973 the United States District Court held that the tax
exemption had been unlawfully denied. The Court stated that its ruling
was based in part on the failure of the V/hlte House to comply fully with
discovery orders. The Court found that the inference of political
Intervention had been unmistakenly raised.
Page
28.1 Opinion, Center on Corporate Responsibility
V. Shultz, 368 F. Supp. 863, 871-72 438
(32)
STATEMENT OF INFORMATION
AND
SUPPORTING EVIDENCE
INTERNAL REVENUE SERVICE
(33)
1. On or about March 21, 1970 Special Counsel to the President Clark
Mollenhoff sent a memorandum to H. R. Ualdeman transmitting material on
the taxes of Governor George Wallace's brother, Gerald Wallace. Mollenhoff
has stated that he had been instructed by Haldeman to obtain a report from
IRS on investigations relating to Governor George Wallace and Gerald Wallace;
that he had been assured by Haldeman that the report was to be obtained at
the request of the President; that he obtained the report from the IRS;
and that Mollenhoff did not give a copy of the report to anyone other than
Haldeman or discuss the substance of it with anyone else until after the ap-
pearance of an article on April 13, 1970 regarding confidential field re-
ports, and IRS investigation of charges of corruption in the Wallace Ad-
ministration and the activities of Gerald Wallace. Former Commissioner
of Internal Revenue Randolph Thrower has stated that an IRS investigation
concluded that the material had not been leaked by the IRS or the Treasury
Department. Thrower has stated that thereafter he and the IRS Chief
Counsel met with Haldeman and Ehrlichman at the White House and discussed
with them the seriousness of the leak and the fact that unauthorized dis-
closure of IRS information constituted a criminal act.
Page
1.1 Memorandum from Clark Mollenhoff to H. R. Haldeman,
March 21, 1970 (received from Watergate Special
Prosecution Force) 36
1.2 Washington Post , April 13, 1970, Bll 37
1.3 Clark Mollenhoff affidavit submitted to House
Judiciary Committee, June A, 19 74 38
1.4 Randolph Thrower affidavit submitted to House
Judiciary Comraittee, May 24, 1974 40
(35)
1.1 CLARK MOLLENHOFF MEMORANDUM, MARCH 21, 1970
MEMORANDUM
THE WHITE HOUSE
WASHINGTOH
March 21,' 1970
MEMORANDUM FOR B OB/HA LDEMA^t
V»«-w«»«''*-""^*' ' ^ Jj ff ,7'*'"
FROM: Clark Mollenhoff
SUBJECT: Gerald Wallace and IRS
Attached is a copy of the material on the Gerald V7allic e tax
matter. As you will see, it's a large case..
The summary makes it apparent the investigation is not con-
clusive at th)s state, although it would appaar that there is a
possibility of a rather large criminal case.
It would seem advisable to let this matter mature a bit, although
there might be some advantage in having the Commissioner ask^ •
for one or more of the tax returns. This request, which could be
complied with through Xerox copies, would not interfere with the
investigation and might tend to males the investigators more dilige^
(36)
1.2
WASHINGTON POST, APRIL 13,
1970, B 11
Thf Washhi^toa 1ll«rry-€o-R»uid
THE WASHINGTON POST
Monday, April 13. 1970
. . . Bi
Bll
IRS Probes Wallace^ Lurleen Reigns
By Jmek Ander$on
A tpccUl lasK <orc« of In-
tcnwl Rerenuc «««at* >>•*
mered Into AUbama to in-
vcftlfaU charge* of eorrup-
tien In Ui« adminiitratioM of
former G«v. George Wallace
and his lato wife, LMrleen.
The to« probe, which began
an a mall acale daring the
Johnaon admlniatration, haa
foeuaed on the backdoor activ-
Itie* of Gerald Wallace, the
former gov«mor'i brother,
law partner and political eos-
(idaat
Gerald Wallace, a ali^t,
bespectacled man of 90, haa
fallen into awdden wiralth
iiBcc his' famous brother be-
came governor in 1062. Al-
though Gerald was only three
year< out of law school and
seldom appeared in court, he
has funneied enou^ money
through his law office to move
from a mode).t apartment to a
lush, SlVacre cattle farm.
Alleged Kickbacks
The government Is invest!-
sating charges that Gerald
Wallace and Rankin File, the
mighty Speaker of .Mabama'.";
House of Deleeales, collected
kickbacks on .slate and federal
highway contracts. Part of the
Imonry is alleged to have been
{ turned over t« George Wallace
to fuel hU IBM presidential
campaign, in which he prom-
ised to restore "law and
order" to the nation.
Fito allegedly turned the
kickbacks over to Gerald Wal-
lace. Both men vigorously de-
nied any wrong doing.
The task force is also look-
ing into a possible link be-
tween Gerald Wallace and Al-
abama's notorious liquor agent
system, under which political
cronies of the reigning gover-
nor collect fat fees on the sale
•f liquor to the atato.
Confidential field, reports,
made available to this column
quote Alabama informants as
saying that Gerald Wallace
has boasted of receiving
(400,000 in commissions on
state liquor sales. In Alabama,
all liquor is sold in state-
owned stores.
The Internal Revenue Serv-
ice's audit division, in its con-
fidential findings, has alleged
that Gerald Wallace omitted
legal-free income from his tax
returns in 1967 and 1988 After
deducting large losses from
his cattle farm, he reported a
total taxable income of
|100,M4 in 1907 and $65,960 in I
196a.
Probe Expanded
Last Jan. 20, the case was
referred to Internal Revenue's
crack intelligence division,
which handles criminal inves-
tigations. A group of agents
from various southern offices
was Immediately assembled in
Alabama.
They have expanded the
probe until it now includes al-
leged kickback schemes in-
volving state highway paving
contracts, toxtbook sales, engi-
neering contracts and misuse
of funds at the state docks in
Mobile.
The federal agents are also
asking questions about the fol-
lowing state political figures:
Attorney General MacDonald
Gallion, State Treasurer
Agnes Raggett, former State
Finance Director Seymore
Trammell, State Docks Direc-
tor Houston Feaster and his
assistant, Jim Scott, and State
Senators Roland Cooper and
Alton Turner.
It should be emphasized, of
course, that the investigation
is still in its preliminary
stages, and no formal charges
have been brought against
anyone.
My associate, Britton Rume,
flew to Montgomery, Ala., to
discuss the investigation with
Gerald Wallace. He acknowl-
edged that be was under tax
investigation.
'They have got 47 aients on
me right how," fae aaid bit-
terly. "You all are trjrlBg to
beat George Wallace. You're
not interested in my tax re-
turns."
Wallace's Story
He swore he had never coV
lected a k|ckback and, al-
though his law practice waa
his main source of income,
had never represented any
state highway contractors or
liquor companies. He angrily
rejected the suggestion that
the Wallace law firm was used
in any kickback scheme. He
also denied that his brother
was still practicing law with
him and declared that George
Wallace no longer had spa^e
in the firm's office.
However, Hume visited the
Wallace law office, which is lo-
cated in a rickety second-story
walkup a few blocks from the
state capitol. He found the
dingy suite still contains an of-
fice with George Wallace's
name on the door and a desk
inside piled with papers.
© 1970. Brll-McCiure Syndlyi^jjat.
(37)
1. 3 CLABK MOLLEMOFF AFFIDAVIT, JUNE 4. 1974
HOUSE OF REPRESENTATIVES
OF THE UNITED STATES
COMMITTEE ON THE JUDICIARY
AFFI^DAVIT
District of Columbia) ss :
CLARK R. MOLLENHOFF, being first duly sworn, deposes and says:
1. I was appointed Special Counsel to the President in July
1969. I remained in that position until June 1970, at which time I
resigned from the White House staff.
2. Because my responsibilities at the White House included
investigation of allegations of corruption or mismanagement in govern-
ment, I had authority from the President to periodically obtain certain
tax returns from the IRS.
3. Early in 1970 I was instructed by H. R. Haldeman to obtain
a report from the IRS on its investigation of alleged illegal campaign
contributions relating to the 1968 presidential campaign of Governor
George Wallace and unreported income received by his brother, Gerald
Wallace.
4. I initially questioned Mr. Haldeman's instruction, but
upon his assurance that the report was to be obtained at the request of
the President, I requested the report of IRS Commissioner Randolph Thrower.
5. On March 20, 1970 I received a report on the IRS investigation
from Assistant IRS Commissioner Donald Bacon.
6. On March 21, 1970, I delivered the report to Mr. Haldeman,
on his assurance that it was for the President. I did not give a copy of
"t1u.Su.h-J^ante jl^ itTA
the report to anyone else nor did I discuss it with anyone. iM\^<X •"X^'^
(38)
1. 3 CLARK MOLLEMOFF AFFIDAVIT, JUNE 4, 1974
-2-
7. On April 13, 1970 a report appeared in Jack Anderson's
column about the IRS investigation. Shortly thereafter, I was requested
to meet with Messrs. Haldeman, Ehrlichman and Ziegler. At that meeting
they accused me of having leaked the IRS report to the press. I denied
having done so and told them that the only copy of the report had gone
to Mr. Haldeman.
8. Thereafter Conimissioner Thrower questioned me about the
leak. I informed him that I had delivered the only copy of the report
to Mr. Haldeman and had not leaked the information, that Mr. Haldeman
had attempted to blame me for the leak, and that I believed that the
leak had occurred at the highest White House level.
jU^f\^M !J
CLARK R. MOLLEraOFF
DATED :
Subscribed and sworn to before me this / d ay o£cii«y , 1974.
'Cad/
Wy. Cor-.raissiQa E/piras Fei. H, 197J
Notary /Roblic ,^)^
(39)
1.4 RANDOLPH THROWER AFFIDAVIT. MAY 24. 1974
AFFIDAVIT
STATE OF GEORGIA
COUNTY OF FULTOK
Personally appeared before me, the undersigned attesting
officer, Randolph VL Thrower, who, being duly sworn, deposes and says
as follovs .
This statement is made upon the basis of my best recollection
of the facts and the sequence in which they occurred, without my having
had the benefit of reference to files and other materials in the pos-
session of the Internal Revenue Service which would permit a more pre-
cise statement.
In the summer of 1970. Clark Mollenhoff, Special Assistant to
the President, telephoned ne to inquire about an extensive field examina-
tion which the IRS was conducting into the possible diversion of political
contributions for the benefit of private individuals in the 1968 campaign
of George Wallace of Alabama. A brief statement as to the current status
of the investigation had been included in our most recent "Sensitive Case
Report." For many years reports on the status of sensitive cases within
the IRS had been given a very limited and controlled distribution within
the Commissioner's staff and a copy had custonsLrily been sent by special
courier to the Secretary of the Treasury. I understand that customarily
the Secretary of the Treasury would advxse the President of any matters
in the sensitive case report about which the President, by reason of his
official duties and responsibilities, should be advised.
As I recall, Vx . Kollenhoff advised me that the report on the
Wallace campaign was desired by or on behalf of the President and in
connection with his official responsibilities. In earlier discussions
over the disclosure of confidential information in the possession of the
IRS , t'Ir. Mollenhoff and I had reached an understanding that this would con-
stitute a legal justification for the disclosui-e.
(40)
1.4 RASDOLPH THROWER AFFIDAVIT, MAY 24, 1974
Pursuant to tAr. Mollenhoff's request, I asked the office of
the Assistant Cocaissioner-Corapliance to prepare for the Vrnite House
a summarization of the Vfallace investigation in the form of a memo-
randum from me. A memorandum was prepared which I reviewed and, after
a few modifications, sent to Mr. Nbllenhoff at the Vftaite House.
A few days later a column by Jack Anderson described the IRS
investigation of charges of diversion of contributions in the I968
Wallace campaign. It appeared to me that the Jack Anderson report came
directly out of my memorandum. I called in the Assistant Conmissioner-
Inspection, Vernca D. Acree, and asked him to investigate the possibility
of an imlawful disclosure of confidential tax information. I asked him,
in particular, to study carefully my memorandum, in relation to other factuaL
summaries in the ISS files, in order to determine •whether we coixld identify
any possible source for the Jack Anderson report other than my own memo-
randiim such -as other reports in the hands of the IRS or taxpayers' counsel.
I also asked him to investigate the possibility of a leak in the movement
of my memorandum within the IRS or the Treasury Department . At the time
I was leaving the city on official business and asked that he attempt to
have a report available on my retxirn.
On my return Mr. Acree advised that my memDrandun was clearly the
soixrce of the Jack Anderson column. He advised further that he had traced
the movement of ny memorand'jm within the Service and the Treasury Department
and found nothing to suggest that the leak had occurred in these offices .
Thereupon I called Mr. Mollenhoff who, before I coxild state my complaint,
announced that he knew what I was caJ-ling about and wanted to assure me
that he had not breached the operating procedures which he and I had devel-
oped and that he was in no way responsible for the leak. I told him that
while it was a very serious breach of the laws against disclosure, I had
felt confident that he was not responsible. I stated, nevertheless, that
I v;a3 greatly dlaturbed by it and wanted to know how it possibly could have
occurred. Kir. Ibllenhoff replied that the responsibility was at a higher
(41)
1.4 RANDOLPH THBOWER AFFIDAVIT, MAY 24. 1974
level. I asked, "Hovr high?" His response was to the effect that it occurred
at the highest level or at the very top. VThile I do not recall the
precise language used, I received the impression that he vras referring to
Mr. Haldeman or possibly Messrs. Haldeman and Erlich.ian .
Thereafter I telephoned John Erlichman to discuss the disclo-
sure and arranged for a meeting at the White House with hin and ilr.
Haldeman which was attended hy the Chief Counsel of the IRS, K. Martin Worthy,
and myself. In the conference M-r. Worthy and I discussed the seriousness of
the leak and the fact that an unauthorized disclosure constituted a criminal
act. I did not cake any accusations as I-ir. Mollenhoff had asked ne to hold
in confidence what he had told me as to the apparent source of the leak.
Messrs. Haldeman and Erlichnan did not indicate to Mr. Worthy and me the
source of the leak but did take our complaint seriously and assured us that
they would cooperate in undertaking to prevent such incidents in the future
and would call the gravity of the situation to the attention of those in the
White House who might from time to time have access to such information.
ijThi4 (o^//
Thrower
Sworn to and subsc
thisc?*^— day o^
ed before me
;y Co.x.-no;.-J!i L>r,,r£5 June 11. 1974
(42)
2. On Septeniber 21, 1970 White House aide Tom Charles Huston sent
a memorandum to Haldeman transmitting a report on an investigation by
the IRS Special Service Group of political activities of tax-exempt
organizations. Huston discussed administrative action against the
organizations and stated that valuable intelligence-type information
could be turned up by IRS as a result of their field audits.
Page
2.1 Memorandum from Tom Charles Huston to H. R.
Haldeman, September 21, 1970, with attachments,
SSC Exhibit No. 42, 3 SSC 1338-45 44
(43)
2.1 TOM CHARLES HUSTON MEMORANDUM^ SEPTEMBER 21, 1970,
SSC EXHIBIT NO. 42, S SSC 1238-1245 WITH ATTACHMENTS
1338
Exhibit Na 42
MEMORANDUM ^Xyt^"
/{y^
THE WHITE HOUSE
WAIHIMOTON
Septemb«r 21. 1970
MEMORANDUM FOR: H. R. HALDEMAN
SUBJECT; CtS b Ideological Organization*
I am attaching a copy of a report from the IRS on the activities of It*
"Special Service Croup" which is supposed to monitor the activities of
Ideological organizations [e.g. , Jerry Rubin Fund, Black Panthers, etc. ]
and take appropriate action when violations of IRS regulations turn up.
You will note that the report Is long on words and short on substance.
Nearly 18 months ago, the President indicated a desire for IRS to move
against leftist organizations taking advantage of tax shelters. Thave been
pressing IRS since that time to no avail.
What we cannot do in a courtroom via criminal prosecutions to curtail
the activities of some of these groups, IRS could do by administrative action.
Moreover, valuable intelligence-type Information could be turned up by IRS
as a reaalt of their field audits.
TOM CHARLES HUSTOK
Attachment
(44)
2.1 THOMAS CHARLES HUSTON MEMORANDUM^ AUGUST 14. 1970
1339
/.n-ur-t I'l, 1970
CoUi yoa f;l-.'o a prcy-roco rcoovt on t'-.z activities of tl'.a '
nplU-nco Divisions ia rcvlevvii-.a t'^c o.osiCtior.a of i<:solor.lcal
^c.niy.sllo-is?
.cc JiiW I. 196'), wh9Jlv70 <ii-«t «;<p?oas3d o«v la£cr«3t lataU
clnec Jiil/
DiattwX'
TfxaaU you.
H
TOM CKAJRLISS HUSTON
(45)
2.1 RANDOLPH THBOWER MEMORANDUM. SEPTEMBER 19. 1970
1340
MEMORANDUM FOR:
Honorable Tom Charles Huston
.The White ?!ouse
FROM: Coinroiss loner of. Internal Revenue
In response 6o your roemorandum dated August lA,
1970, we have prepared the attached status report
on the Special Service Group. I would stress that
knowledge of the exis^tcnce and operations of this
GrQup should be carefully limited.
jfdolph W. Thrower
Ra»idolph
Attachment
(46)
2.1 7-ff.? fJTATII^ RFP HR^T ON THE SP KCTAT. f^F.RVTCK GROUP
1341
Status Keport On
Special Scrvi.ce Grou p
In August 1969 the Senate Conmittee on Government
Operations held open hearings on several controversial
organizations, including the Black Panther Party, Student
National Coordinating Committee, Republic of New Africa,
end Students for Democratic Society. Information de-
veloped during these hearings established that various
organizations, categorized as extremists on the right or
left, presented problems to the Internal Revenue Service
in that the organizations and individuals involved in the
organizations were not in compliance vith Internal Revenue
lavs. Information developed in these hearings indicated
that extremist organizations were receiving f inancl. "
support from various sources. Some of the individuals
involved in the forefront of these organizations filed ^
tax returns reflecting very nominal income, or did not
file at all, although they. ware obviously expending sub-
stantial amounts ot tunds.
■ • Recognizing the responsibilities of the Internal
Revenue Service, to administer taxing statutes without
regard to. the social or political objectives of indivi-
duals or organizations, a decision v;as made tto establish
(47)
2. 1 7-fi? .'^TA'^cf -f^ fiPORT 6n the special service group
1342
a method of accuntulating and disseminating inforraation on
all activist groups to insure that the organizations and
the leaders of the orgcinizations are complying with
Internal Revenue laws.
In the National Office of the Internal Revenue Service,
functioning under the Assistant Commissioner (Compliance),
a special compliance group was established to receive and
analyze all available information on organizations and
Individuals 'promoting extremist views and philosophies.
The identification of organizations and individuals included
in the' program is without regard to the philosophy of poli-
tical posture involved; rather, it is directed to the
notoriety of the individual or organization and the proba-
bility of publicity that might result from their activities
and the likelihood that this notoriety would lead to inquiries
regarding their tax status . Another important consideration
was the decree of probability that the individuals misht
be deliberately avoiding their tax responsibilities.
The staff responsible for this activity was first
designated as the Activist Organizations Group, but it
recently was changed to "Special Service Group" to avoid any
erroneous impression of its objectives. The function of tlic
(48)
2. 1 IRS STATUS REPORT ON THE SPECIAL SERVi r.K GROUP
1343
Special Service Group is to obtain, consolidate and dis-
seminate any information on, individuals or organizations
(including major financial sponsors of the individuals or
organizations) that vrauld have tax implications under the
Inte^mal Revenue lavrs. Liaison has been established vriLth
all investigative and law enforcement agencies and with
Senate and House Investigating Committees. The Group also
subscribes to various underground publications as a source
of information on matters involving' taxable income of
individuals, activities of organizations having or seeking
tax exempt status, and identity of individuals or exempt
organizations providing financial support, to activist groups.
In the case of "financial- sOpport" our interest is to be
able to determine that donors do pot receive tax benefit
from the financial assistance where such benefit is not
clearly allowable by lav/.
.As information is accumulated on the activities or.
financial support of particular organizations or taxable
income of individuals it is referred to the appropriate
field office of the Internal Revenue Service for enforce-
mant action. Field offices may be asUcd to investigate
the activities of organizatipns v;hich have been held. to be
(49)
2. 2 IRS STATUS REPORT ON THE SPECIAL SERVICE GROUP
1344
exempt as charitable organizations; they may be ashed to
investigate the income tax liability of individuals x/ho
have openly expended substantial sums of money without
obvious means of support or they may be asked to investi-
gate alleged violations of the firearms statutes falling
within the jurisdiction of the Alcohol, lobacco and Fire-
arms Division.
It Is important to note that altliough various types
of information about -organizations or. individuals is
obtained by the Service from cooperating agencies, only
that information" relating to tax status is recorded and
disseminated to field offices. The sole objective of the-
Spccial Service Group is to provide a greater degree of
assurance of maximum compliance \ri.th the Internal Revenue
laws 'by those involved in extremist activities and those
providing financial support to these activities.
To date the efforts of the Special Service Group has
been confined to manual compilation and consolidation of
information on approximately 1,025 organizations and 4,300
individuals. Data on 26 organizations and A3 individuals
has been referred to the field for enforcement action.
(50)
p.. 1 TPp fJTATIIR RKPDRT ON THE RPF.CTAL SERVTCE GROUP
1345 '
While it is still too early to have completed many of the
field investigations, criminal investigations are under
way on 4 individuals- and 1 organization. Delinquent tax
returns have been obtained from 2 organizations with com-
bined tax liability of $29,559. On the basis of informa-
tion furnished by this "group" application for exempt
status has been denied to 8 organizations, it is the
view of officials of the Internal Revenue Service that
this "intelligence" activity and field ejiforcement is
necessary to avoid allegation that extremist organizations
Ignore taxing statutes with immunity.
(51)
3. Former Commissioner of Internal Revenue Thrower has stated that
during the summer of 1970 he was advised by Under Secretary of the Treasury
Charls Walker that John Caulfield, head of security for the President's
office, was Interested in the position of Director of the IRS Alcohol,
Tobacco and Firearms Division (ATF) and had the President's blessing and
the support of top people at the \Vhite House. Thrower concluded that
Caulfield was not qualified for the position. Thrower has stated that
in November 1970 he was told by Walker that the White House wanted
Caulfield to be considered for the position of Chief of the Enforcement
Branch of ATF and that the White House wanted to take the Enforcement
Branch out of ATF and have it report directly to Thrower rather than
through the chain of command. Thrower has stated that he told Walker
that Thrower would resign if Caulfield were appointed and the organizational
changes were required. Thrower has stated that shortly thereafter he was
advised that the White House would drop the matter.
Page
3.1 Randolph Thrower affidavit submitted to House
Judiciary Committee, May 2A, 1974 ^^
(53)
3.1 RANDOLPH THROWEU AFFIDAVIT , MAY 24. 1974
AFFIDAVIT
STATE OF GEORGIA.
COUIWY OF FULTON
r
Personally appeared before me, the undersigned attesting
officer, Randolph V;. Thrower, who, being duly sworn, deposes and says
as follows .
This statenent is made upon the basis of ny best recollectioa
of the facts and the sequence in which they occurred, without my having
had the benefit of reference to files and other materials in the pos-
session of the Internal Revenue Service which woxU-d permit a more pre-
cise statement.
In the sunzier of 1970 a vacancy occurred in the position of
Director of the Alcohol, Tobacco and Firearms Divisioa of the IBS. The
IRS Executive Selection Board was at that time interviewing and. review-
ing candidates for the position preparatory to making a recomnendation
on it to me as the Commissioner. I was then advised that John Caulfleld,
head of security for the President's office, was interested in the posi-
tion and had the President's blessing and the support of top people at
the White House. Substantially all of my contacts with the White House
on this matter, at that time and subsequently, were through Dr. Charls
Walker, Under Secretary of the Treasury.
I secirred biographical information on Mr. Caulfield and had
a personal interview with him. Also, through members of my staff, I
made some linited inquiries about him. After careful consideration of
the matter, I advised Dr. Walker that I did not consider Mr. Caulfield
qualified for the office and had serious question as to whether he could
secure approval for the position from the Civil Service Cormission.
Over the next few weeks Dr. Walker and I had several conversations about
this matter resulting fron his presentation of my views to the ^ftite House
and their request for further consideration.
(54)
3.2 RANDOLPH THROWER AFFIDAVIT, MAY 24, 1974
At the sane tine I pointed out to Dr. Walker that we vould
expect to have a vacancy in the position of Chief of the Enforcer.ent
Branch of ATF. The occupant of that office was acting as Director of
ATF and his appointment to that position had been sent by ne to the
Treasury Department for approvail. The Enforcement Branch in niy opinion
was an extremely able, well experienced unit which was lor-g experienced
in the suppression of illegal manufacture of whiskey and illegal traffic
in whiskey and tobaccos, as well as in its newer responsibilities of
enforcement of the federal gion and explsive laws. On inquiry. Dr. Walker
learned that the Ifliite House was not interested in this position for
Mr. Caulfield.
Finally, at Dr. Walker's request, X prepared a detailed speci-
fication of the diities and responsibilites of the office. It covered
regulatory functions in the three areas of alcohol, tobacco and firearms,
as well as the extensive tax collection functions encompassing about $7"
billion a year, the supervision of an important laboratory, and the
administrative responsibility, as I recall, of more than 1,000 employees.
Shortly thereafter t)r. Walker advised me that the White House had dropped
the matter.
R short time later Dr. Walker called to advise me that Mr.
Gordon Llddy, then in the office of the Assistant Secretary of the
Treasury for Enforcement and Operations, was interested in the position
as Director of ATF. I suggested to Dr. Vfalker that Mr. Liddy was in
his department and that he should handle this one. I told Dr. Walker
that Mr. Liddy 's experiences with the Service with respect to the devel-
opment of policy respecting gun laws had so affected the confidence in
him on the part of the personnel of ATF that the appointment would be out
of the question. He did not take issue with this. I suggested that he
point out to Mr. Liddy that the ejrtiensive administrative responsibilities
would be over-burdening and that the position would provide little oppor-
tunity for working directly in enforcement or developing policy. Dr.
Walker suggested that I could more effectively tell this to !!r. Liddy
(55)
3.1 RAflDOLPH THROWER AFFIDAVIT. MAY 24. 1974
and I agreed to confer with Mr. Liddy on it. The conference did take
place as planned and Mr. Liddy was very gentlenanly in listening to
and seemingly taking into account what I had to say regarding the posi-
tion. I also pointed out to him the possible difficulties of quaLlifying
before the Civil Service Comnission. At sons later time, his req.uest
for consideration was withdrawn.
In the meantime my recomnendation for the appointment of a new
Director of ATF was still pending in the Treasury Department without approval.
At a later time, probably in November, 1970, Dr. Walker adTised
me that the White House had reconsidered my earlier offer to consider Mr.
Caulfield for the position of Chief of the Enforcement Branch of ATF and
that he was now interested in the position. I was told, however, that
they wanted to take the Enforcement Branch out of ATF and have it report
directly to me rather than through the chain of command. The cha.i n of
command would have followed this order: Chief Enforcement Branch, Director
of ATF Division, Assistant Commissioner Compliance (or his Deputy) and
Commissioner (or his Deputy). Discussions of this possibility continued
over the next several weeks. Among my objections to the proposal were
the following:
1. The Enforcement Branch was fully integrated into the
operations of ATF, which division itself was integrated into the operations
of Compliance, and it would be very disruptive to operations of ATF and
confusing to its administration for this to occur;
2. Mr. Caulfield, as an inexperienced branch chief, would
need the executive direction available from the chain of command;
3. The activities of the Enforcement Branch were frequently
coordinated with the police functions of the Intelligence Division of
Compliance and the Internal Security Division of Inspection, which re-
quired coordinated leadership;
k. I, as Commissioner, could not give it the attention which
it would require;
5. t-lr. Caulfield' 3 entry into the Service would be greatly-
prejudiced by the fact that nany would view the move as a political
(56)
uac
I mat
3.1 RANDOLPH THROWER AFFIDAVIT, MAY 24, 1974
one vfhich vould be greatly resented within an orgajiization which, had
prided itself for so long on hsing wholly apolitical.
In the course of the ensuing discussions I pointed out that
In order to get greater coordination in our law enforcenent activities
I was planning to set up a special law enforcement conmittee, on '.liich
the head of the enforcement branch would serve, with which I would
expect to meet frequently. I also gave assurance that the chief of the
branch would have access to me directly in accordance with the practices
I had generally followed in the Service.
Despite the continued exchange and explanation of views on
this subject, the positions of the two sides seemed to be hardening. I
may have had direct telephone calls from the White House with respect
to it but I have no specific recollection of any. Throughout the con-
tinued discussions I had been unable to find any reasonable Justification
for the propossd and my opposition grew in the face of the continued
insistence. I was in fact very much concerned about the potential for
a personal police force which would not have the protection and insulation
of the career staff. Finally, Dr. Walker advised that he had been asked
by the White House to tell me that all of my views had been taken into
account but that I was to be directed to proceed as they had been requested.
I advised Dr. Walker that he could tell the people at the White House that
if they did insist upon the measure I would consider that my usefulness
as Commissioner had been terminated. A day or two later Dr. Walker called
back to advise that the White House had stated that they would drop the
matter.
Dr. Walker was helpful throughout in advising and consulting
with me on these problems.
In January, 1971 I advised Secretary of the Treasury Kennedy
that I would subnit ny resignation to the President. I told him that I
first would like to discuss with the President my concern about White House
attitudes toward the IRS, a problem which he recognized. He told ne that
as a presidential appointee I had that privilege and said he would arrange
(57)
■ S.l RANDOLPH THROWER AFFIDAVIT. MAY 24, 1974
the conference. Ke later advised that he had been unable to arrange the
conference and said that Mr. Haldeman had told him that the President did
not like such conferences. After other means to arrange the conference
failed, I visited the Attorney General and told him of the concerns vhich
I wished to express to the President, namely, that any suggestion of the
introduction of political influence into the IRS would be very damaging
to him and his administration, as well as to the revenue system and the
general public interest . The Attorney General told me that he had not been
aware of the problems of recent months which I described to him and stated
that he would convey the message. Sometime later the President's Appointment
Secretary, Dwight Chapin, told me that the President haul received my views
from the Attorney General and did not feel that a conference was neces-
sary. Thereupon, I submitted my resignation wtiich I had been withholding
until I had the opportunity to confer with the President.
JjiamMj/
Sworn to
thi
ed before me
19Tl*.
^ Commissioa ^xpres June 11, 1974
(58)
4. Thrower has stated that in January 1971, having decided to submit
his resignation as Commissioner of Internal Revenue, he attempted unsuc-
cessfully through Treasury Secretary Kennedy and Attorney General Mitchell
to arrange c meeting with the President to express his concern that any
suggestion of the introduction of political influence into the IRS would
be very damaging to the President and his administration as well as to the
revenue system and the general public interest. Thrower has stated that he
was told by the President's Appointment Secretary Dwight Chap in that the
President had received Thrower's views from the Attorney General and did
not feel a conference was necessary. Thrower thereupon submitted his
resignation.
Page
A.l Randolph Thrower affidavit submitted to House
Judiciary Committee, May 24, 1974.
60
(59)
4.1 RANDOLPH THROWER AFFIDAVIT. MAY 24. 1974
AFFIDAVIT
STATE OF GEORGIA .
COUNTY OF FULTON
Personally appeared before me, the undersigned attesting
officer, Randolph W. Thrower, vho, being duly sworn, deposes and says
as follows .
This statement is made upon the basis of my best recollection
of the facts and the sequence in which they occurred, without my having
had the benefit of reference to files and other materials in the pos-
session of the Internal Revenue Service which woiiLd permit a more pre-
cise statement.
In the summer of 1970 a vacancy occurred in the position of
Director of the Alcohol, Tobacco and Firearms Division of the IRS. The
IRS Executive Selection Board was at that time interviewing and review-
ing candidates for the position preparatory to making a recommendation
on it to me as the Commissioner. I was then advised that John Caulfield,
head of security for the President's office, was interested in the posi-
tion and had the President's blessing and the support of top people at
the White House. Substantially all of my contacts with the White House
on this matter, at that time and subsequently, were through Dr. Charls
Walker, Under Secretary of the Treasury.
I secured biographical information on Mr. Caulfield and had
a personal interview with him. Also, through members of my staff, I
made some limited inquiries about him. After careful consideration of
the matter, I advised Dr. Walker that I did not consider Mr. Caulfield
qualified for the office and had serious question as to whether he could
secure approval for the position from the Civil Service Commission.
Over the next few weeks Dr. Walker and I had several conversations about
this matter resulting from his presentation of my views to the White House
and their request for further consideration.
(60)
4.1 RANDOLPH THROWER AFFIDAVIT, MAY 24, 1974
At the same time I pointed out to Dr. Wetlker that we would
expect to have a vacancy in the position of Chief of the Enforcement
Branch of ATF. The occupant of that office was acting as Director of
ATF and his appointment to that position had been sent by me to the
Treasury Department for approval. The Enforcement Branch in my opinion
was an extremely able, well experienced unit which was long experienced
in the suppression of illegal manufacture of whiskey and illegal traffic
in whiskey and tobaccos, as well as in its newer responsibilities of
enforcement of the federal gun and explsive laws. On inquiry. Dr. Walker
learned that the \'fhite House was not interested in this position for
Mr. Caulfield.
Finally, at Dr. Walker's request, I prepared a detailed speci-
fication of the duties and responsibilites of the office. It covered
regulatory functions in the three areas of alcohol, tobacco and firearms,
as well as the extensive tax collection functions encompassing about $7
billion a year, the supervision of an important laboratory, ajid the
administrative responsibility, as I recall, of more than 1,000 employees.
Shortly thereafter Dr. Walker advised me that the White House had dropped
the matter.
R short time later Dr. Walker called to advise me that Mr.
Gordon Liddy, then in the office of the Assistsmt Secretary of the
Treasury for Enforcement and Operations, was i^iterested in the position
as Director of ATF. I suggested to Dr. Walker that Mr. Liddy was in
his department and that he should handle this one. I told Dr. Walker
that Mr. Liddy 's experiences with the Service with respect to the devel-
opment of policy respecting gun laws had so affected the confidence in
him on the part of the personnel of ATF that the appointment would be out
of the question. He did not take issue with this. I suggested that he
point out to Mr. Liddy that the extensive administrative responsibilities
would be over-burdening and that the position would provide little oppor-
tunity for working directly in enforcement or developing policy. Dr.
Walker suggested that I could more effectively tell this to Mr. Liddy
(61)
4.1 RANDOLPH THROWEB AFFIDAVIT, MAY 24, 1974
and I agreed to confer vlth Vir. Liddy on it. The conference did take
place as planned and Mr. Liddy was very gentlemanly in listening to
and seemingly taking into account wiiat I had to say regarding the posi-
tion. I also pointed out to him the possible difficulties of qualifying
before the Civil Service Commission. At some later time, his req.uest
for consideration was withdrawn.
In the meantime my recommendation for the appointment of a new
Director of ATF was still pending in the Treasury Department without approval.
At a later time, probably in November, 1970j Dr. Walker advised
me that the White House had reconsidered my earlier offer to consider Mr.
Caulfield for the position of Chief of the Enforcement Branch of ATF and
that he was now interested in the position. I was told, however, that
they wanted to take the Enforcement Branch out of ATF and have it report
directly to me rather than through the chain of command. The cha.in of
command would have followed this order: Chief Enforcement Brsuich, Director
of ATF Division, Assistant Commissioner Compliance (or his Deputy) and
Commissioner (or his Deputy). Discussions of this possibility continued
over the next several weeks. Among my objections to the proposal were
the following:
1. The Enforcement Branch was fully integrated into the
operations of ATF, which division itself was integrated into the operations
of Compliance, and it would be very disruptive to operations of ATF and
confusing to its administration for this to occur;
2. f-Ir. Caulfield, as an inexperienced bramch chief, would
need the executive direction available from the chain of command;
3- The activities of the Enforcement Branch were frequently
coordinated with the police functions of the Intelligence Division of
Compliance and the Internal Security Division of Inspection, which re-
quired coordinated leadership;
It. I, as Commissioner, could not give it the attention which
it would require;
5. Mr. Caulfield' s entry into the Service would be greatly
prejudiced by the fact that many would view the move as a political
(62)
4. 1 RANDOLPB THROWER APPIDAVIT, MAI 24, 1974
one which would be greatly resented within an organization which had
prided itself for so long on being wholly apolitical.
In the course of the ensuing discussions I pointed out that
in order to get greater coordination in our law enforcement activities
I was planning to set up a special law enforcement committee, on which
the head of the enforcement branch would serve , with which I would
expect to meet frequently. I also gave assurance that the chief of the
branch would have access to me directly in accordance with the practices
I had generally followed in the Service.
Despite the continued exchange and explanation of views on
this subject, the positions of the two sides seemed to be hardening. I
may have had direct telephone calls from the White House with respect
to it but I have no specific recollection of any. Throughout the con-
tinued discussions I had been linable to find any reasonable justification
for the proposal and my opposition grew in the face of the continued
insistence. I was in fact very much concerned about the potential for
a personal police force which would not have the protection and insulation
of the career staff. Finally, Dr. Walker advised that he had been asked
by the White House to tell me that all of my views had been taken into
account but that I was to be directed to proceed as they had been requested.
I advised Dr. Walker that he could tell the people at the White House that
if they did insist upon the measure I would consider that my usefulness
as Commissioner had been terminated. A day or two later Dr. Walker called
back to advise that the White House had stated that they would drop the
matter.
Dr. Walker was helpful throughout in advising and consulting
with me on these problems.
In January, 1971 I advised Secretary of the Treasury Kennedy
that I would submit my resignation to the President. I told him that I
first would like to discuss with the President my concern about White House
attitudes toward the IRS, a problem which he recognized. He told me that
as a presidential appointee I had that privilege and said he would arrange
I that
(63)
4.1 RANDOLPB THROWER AFFIDAVIT. MAI 24, 1974
the conference. He later advised that he had been unable to arrange the
conference and said that Mr. Haldeman had told him that the President did
not like such conferences. After other means to, arrange the conference
failed, I visited the Attorney General and told him of the concerns which
I wished to express to the President, namely, that any suggestion of the
introduction of political influence into the IRS would be very damaging
to him and his administration, as well as to the revenue system and the
general public interest. The Attorney General told me that he had not been
aware of the problems of recent months which I described to him and stated
that he would convey the message. Sometime later the President's Appointment
Secretary, Dwight Chapin, told me that the President had received my views
from the Attorney General and did not feel that a conference was neces-
E Thereupon, I submitted my resignation which I had been withholding
I had the opportunity to confer with the President.
' Randolph J^. Thrower
Sworn to
thi
ed before me
1971*.
', Uy Commission Expires Juna 11, 1974
(64)
5. From June 2A, 1971 through June 1972, members of Colson's staff
circulated to various White House staff members names for and deletions from
a list of political opponents. Dean has testified that the list was con-
tinually being updated, and the file was several inches thick. Colson
has stated that the list maintained by George Bell of his office was
primarily intended for the use of the social office and the personnel
office in considering White House invitations and appointments.
Page
5.1 John Dean testimony, A SSC 1350, 1386-87, 1A09-11 66
5.2 Memorandum from George Bell to John Dean, Jerry
Warren, Van Shuraway, June 2A, 1971, SSC Exhibit
No. A9, A SSC 1693-96 72
5.3 Letter from Charles Colson to Fred Thompson and
Samuel Dash, June 28, 1973 (received from SSC) 76
(65)
S.l JOHN DEAN TESTIMONY^ JUNE 27, 1972, 4 SSC 2250, 1286-87,
1409-11
1350
lem of dealing with political enemies and a strategy which would
involve a number of members of the AVliite House staff in various
phases of that project to deal with political enemies.
[The document referred to was marked exhibit No. 48.^]
Mr. Deax. The next is a document dated September 9, 1971. It is
from Charles Colson to John Dean, in which Mr. Colson has checked
in blue those that he would give top priority on the enemies' list, and
an attached series of lists that were prepared b}' Mr. Colson's office of
what were deemed opponents or political enemies.
[The document referred to was marked exhibit Xo. 49.-]
Mr. De-vx. The next is a memorandum dated September 14, 1971,
which is a memorandum from myself to Larry Higby which attached
the names that he had requested in connection with the political ene-
mies' project and a limiting of that list to some 20 names. These were
names which were based on the suggestion of INIr. Colson.
[The dociunent referred to was marked exhibit No. 50.^]
Mr. Dean. The next is a section of the news summary, of what date
I don't know. It is from Mr. Higby to me, indicating that DNC Treas-
urer Kobert Strauss should be on the list.
[The document referred to was marked exhibit No. 51."*]
Mr. Dean. The next is a document dated September 17 from Gordon
Strachan to me indicating that the attached list should be included in
the political enemies' project. And there is attached a list.
[The document referred to was marked exhibit No. 52.'']
Mr. Deax. The next is a memorandum from Gordon Strachan dated
October 26, 1971, to me, indicating that Mr. Nofziger sent the attached
information on Chet Huntley to Mr. Haldeman and that since I have
the action on the political enemies project I should make a determina-
tion of what should happen and advise Mr. Nofziger of what should
happen.
[The document referred to was marked exhibit No. 53.*]
Mr. Dean. The next is a memo from Gordon Strachan of November
5, 1971, subject J. Irwin Miller which indicates that he fits into the
enemies project.
i^[The document referred to was marked exhibit No. 54.']
Mr. Dean. The next is a memorandiun from a member of Mr. Col-
son's staff that is part of one of many memorandums that came in, this
one is dated June 28, where there was a continual updating of the
opponents list.
[The document referred to was marked exhibt No. 55.^1
Mr. Dean. And the last document is one relating to the McGovern
campaign staff with asterisks beside certain key names that were to be
included in the opponents project also.
[The document referred to was marked exhibit No. .o6.^]
Mr. Deax. And that is the sum and substance of the request that I
have available that Mr. Weicker asked me for vesterdav.
Mr. Dash. Mr. Dean, can we have those? Thev will be marked, and
we will make copies of them for members of the committee and cir-
culate them to members of the committee.
Senator Er\tx. Let the reporter mark them with the appropriate
numbers.
'See p. IRSn. «Spp p. 1701.
'Spe p. 1602. - .'iee p. 17ns.
' i^pp p. Ifid". » Spp p. 1705.
* Sep p. 16.nn. " .=;ee p. 1707.
= See p. 1700.
(66)
S.l JOHN DEAN TESTIMONY JUNE 27, 197 Z, 4 SSC 2350, 1386-87,
1409-11
1386
and he put tlic papers on notice that there was a libel suit in this
matter.
At tliat time, I also told him that I wanted to talk to him further
about this, and we had furtlier convei'sations while I was up there
about the general situation. So the counsel was retained at that time.
Senator Gukxev. What date was that ?
Mr. Dean. That was on the 2.5th, as I recall.
Senator GrmxET. And that was Mr. McCandless, and Mr.
Mr. Dean. No, that was Mr. Hogan.
Senator Gukney. Mr. Hogan?
]Mr. Dean. That is correct.
Senator GtntNET. When did you employ Mr. McCandless and Mr.
Shaffer?
Mr, Dean. Mr. Shaffer was employed on the 30th.
■Senator Gukney. Of March?
Mr. Dean. Of March.
Senator Guhxey. And Mr. McCandless?
Mr. Dean. I don't know precisely. It was after Mr. Hogan with-
drew. >It was sometime in April, mid or late April, to the best of my
recollection.
Senator Gubney. Then my understanding of the testimony is that
on April 2, your attorneys or Mr. Shaffer went to see the Federal
prosecutors, is that correct?
^Ir. Dean. That is correct.
Senator Gurney. "WTiat was the purpose of that?
Mr. Dean. To tell them that I was prepared and ready to come
forward.
Senator Gurnty. And when did you go and talk to them ?
Mr. Dean. Well, I believe that j\Ir. Shaffer and Mr. Hogan had a
number of meetings where they outlined the scope of my testimony.
I had spent several hours with both of them outlining my involvement
with myself and the involvement of others. I had deferi-ed from getting
into any Presidential areas.
Senator Ervin. The committee will stand in
h
Senator Weicker. jNIr. Chairman, I have a request up there.
']Mr. Dash. Yes.
Mr. Dean, just before we recess, there has been a little confusion
n the exhibits that you have submitted, and we want to make sure
we have them properly identified. There is a list which is entitled
"Opponent Priority Activity." That is captioned so that we know who
prepared that list. There happens also to be a document which is on
White House stationery which is for eyes only, dated June 24, 1971,
memorandum for John Dean, Gerry Warren, De Van Shumway, sub-
ject, opponents list, and the statement is "Attached is the list of oppo-
nents which we have compiled. I thought it would be useful to you
from time to time," and it is signed, George T. Bell.
Is this the list that goes with that memo?
Mr. Dean. ]Mr. Dash, I would like a look at those first if I could
before I
Mr. Dasti. Do you have them?
Mi-. Dean. I don't know which one you are referring to.
Mr. Dash. Would someone give this list and give this memoran-
dum — do you have the memorandum of June 24, 1971, also? Memo-
randum for John Dean, Gerry Warren, Van Shumway.
(67)
5.1 JOHN DEAN TESTIMONY^ JUNE 27^ 1973^ 4 SSC 1350^ 1386-87,
1409-11
1387
Mr. Dean. Is there .a list that accompanies the June 25 one, also,
that you have attached?
Mr. Dash. June 25 ?
Mr. Dean. It would either have to be from the
Mr. Dash. No, there is no list attached to the June 25 one.
Mr. Dean. All right. It would either be the June 24 or June 25 that
would be attached there.
Mr. Dash. No, the June 25 says, "Please add. the attached list of
Muskie contributors."
That list I have just given you is not a list of Muskie contributors.
Mr. Dean. This would go with the list on June 24, to the- best of
my knowledge.
Mr. Dash. And that is your understanding in submitting that to
the committee, that to the best of your knowledge, that list is covered
by the memorandum of June 24, 1971 ?
Mr. Dean. I know the source of this would be from Mr. Colson's
office, this list, yes.
Mr. Dash. Who is Mr. George T. Bell ?
Mr. Dean. He was a member of Mr. Colson's staff at the time.
Mr. Dash. And it is your understanding that the list was prepared
in Mr. Colson's office ?
Mr. Dean. These lists were prepared by Mr. Bell and Miss Gordon,
and kept continuously updated. This does not represent the totality
of the list. This represents what I have in my possession.
Mr. Dash. For our record now, that list did come from Mr. Bell and
is related to the June 24 memorandum ?
Mr. Dean. That is my imderstanding. This is my best recollection
from the way I extracted the documents from my records.
Mr. Dash. The list does not have any identification on it. That is wh}'
1 am asking you that question.
Mr. Dean. Yes, sir.
Senator Ervix. Senator "VVcicker.
Senator Wetcker. Thank you.
Senator Euvrx. The committee will stand in recess until 2 o'clock.
[Whereupon, at 12 :25 p.m., the committee recessed, to reconvene at
2 p.m., the same day.]
AFTEnxooN Session, Wednesday, Juxe 27, 1973
Senator ER^^N. The committee will come to order. Senator Gurney.
you may resume your examination.
Senator GrrnxF.Y. Tliank you, Mr. Chairman.
Mr. Dean. Senator Gurney, I wonder before we proceed, co\msel
has a couple of exhibits that were in my folder this morning that we
did not got to, to insert ;u\d tliere was a request made by the committoe
yesterday and at this time lie would like to insert them into the record.
Senator Gttrney. Yes, pursuant to request.
Mr. McCandi,ess. Excuse me, Mr. Chairman and Senator Gurney.
I think it was Senator Weirker who renuested yesterday the Sullivan
memorandum. I have that. There is anotlier memorandum liere marked
confidential we would like to turn over to the committee without de-
scription, imless the chairman or counsel would like Mr. Dean to read
it, Imt at tliis time we would lilcc to tni'n these over.
I also understand that there may be some con fusion about some part
of a list that has been loft out of the opposition list. All we can say is
ir
L
(68)
r
S.2 JOHN DEAN TESTIMONY, JUNE 27, 197S, 4 SSC 1350, 1286-87,
1409-11 "
1409
Attached to that is a memorandum from Nofziger to Haldeman re
Chet Huntley. I think that the notations on there, which are mine, are
self-evident.
The next document I have is a list of the McGovem campaign stnff.'
This list was prepared by Mr. Murray Chotiner and sent to nie. Mr.
Chotiner had some discussions with IVIr. Ehrlichman about this, and
he was to prepare a list and send it over to me pursuant to some instruc-
tions and directions he had from ^Slr. Ehrlichman.
Mr. Dash. Now, do you characterize that list as a so-called enemies
list or a campaign contributors' list?
Mr. Deax. This was to go into the general enemies project, which I
miffht add at this point generally went into the file, where it remained.
The next document, dated November 5. 1971, is a memorandum from
Gordon Strachan to me regarding J. Irwin Miller.* It notes that "You
will probably notice in this morning's news summan' that J. Irwin
Miller, who is still giving money to Democrat John Lindsay, though
he states he will support R. N., is also a backer of Lugar. I trust that
you will use this information as you see fit in the enemies project."
Attached is the news summary of that day.
The next document I have starts "Politicos continued." This is a
document that came out of Mr. Colson's office to me.
Mr. Dash. What is that ? Have you identified that document ?
Mr. Dean. Yes, I have.
Mr. Dash. Is that also an enemies document ?
Mr. Dean. That is correct. That was a part — this is one of the
updates. I am sure there was a cover memorandum or probably it is in
my files somewhere in the "VVTiite House that this was related to.
[The document referred to was marked exhibit No. 60.^]
The next document is dated November 11. It is a memorandum from
a member of Mr. Colson's staff. The subject is "Opponents' List," and
it has, it is directed to Marge Acker, Pat Buchanan, John Dean. Dan
Kingsley, Larry Higby, Gordon Strachan, Van Shumway, Gerry War-
ren, and Lucy Winchester. Connected to that is a similar list with more
additional names, these all coming from Mr. Colson's office. And there
is a third document, dated June 2, of the same nature.
Mr. Dash. The same origin ?
Mr. Dean. That is correct. There is a duplicate document of the same
nature.
[The document referred to was maTked exhibit No. 61.'']
Another one dated May 16, tlie same origin. As I say, this list was
continually being updated, and the file was sevej-al inches thick.
[The document referred to was marked exhibit No. 62.^]
The next document is a memorandum of September 14, 1971, from
me to Mr. Higby. indicating a list of names that he had requested, as
well as additional materials containing other names. I might as well
read the memorandum : °
' Previously entered Into the record as exhibit 58.
' Prfviouslv enteretl into the record as exhibit 54.
' .See p. 1713.
* Sm- p. 1723.
= .«;ee p. 172S.
• Previously entered into the record as exhibit 50.
I CC
(69)
S.l JOHN DEAN TESTIMONY^ JUNE 27, 1972, 4 SSC 1350, 1386-87,
1409-11 __^
1410
The list I have prepared is merely suggestive; it Is based on conversations I
had with others regarding persons who have both the desire and caiiability of
harming us. The list is limited to less than 20 persons, as it would be mo.st diffi-
cult to proceed with more at this time. I would hope we would continue to feed
additional names into the process every few months, but we must keep this proj-
ect within reasonable bounds. I will await the review of these names as I feel
certain there will probably be additions and deletions from the list. Before I take
any action, please keep the list at at least 20 or less.
Attached is a list that was prepared based on a document that Mr.
Colson had gone through and picked out some 20 key names.
The next document is a page of a news summary.* I don't know the
date of the news summary. It has a notation on the top, "Dean/L."
Mr. Dash. When you say news summary
Mr. Dean. This is the daily news summary that is prepared for the
President and distributed to various members of the "VVhite House
staff.
The "Dean/L" indicates that it was to me from Mr. Higby and he
has encircled DXC Treasurer Robert Strauss, with a note, "Is he on our
list? Or should he be?"
Mr. Dash. Did you respond to that?
Mr. Dean. No, sir ; I did not. As I say, most of these merely went
^jflto a file in my office, where I just gathered them.
I The next document I have is a document entitled "Corporate Execu-
I tives Committee for Peace, Trip to "Washington, June 25, 1970," with
' a list of names. This was another document that was sent as a part of
one of the continuing updates.
[The document referred to was marked exhibit No. 63.^]
Mr. Dash. What is the source of that document ?
Mr. Dean. That would have been from Mr. Colson's office. The next
document is entitled "Democratic Contributors of $25,000 or ]More in
the 1968 Campaigns" —from June 20, 1971, New York Times story—
with certain names checked on the list. This is a document that came,
again, from Mr. Colson's staff.
[The document referred to was marked exhibit No. 64.^]
LNext is a series of documents that relate to Muskie contributors.
Part of it is cut off on the top here in the xerography process and this
document was iorwarded to me from Mr. Colson's office also.
[The document referred to was marked exhibit No. 65.^]
The next document * begins — it is a blank sheet of paper, which is a
briefing paper that I was requested to prepare for ilr. Haldeman so
that he could deal with the Secretary of the Treasury with regard to
making the Internal Revenue Service politically responsive to the
White House.
This document was prepared — the top document was prepared by
myself; the attached document was prepared by Mr. Caulfield based
on conversations he had had with individuals in the Treasury Depart-
ment, as well as the last document was prepared by ^Ir. Caulfield as a
result of conversations he had with people in the Treasury Depart-
ment and in the Internal Revenue Service.
Mr. Dash. That was prepared by you with Mr. Caulfield's assistance
to be delivered to Mr. Haldeman?
Mr. Dean. That is correct.
' Previously entered Into the record as exhibit 51.
' See p. 1730.
' See p. 1733.
♦ See p. 1734.
• Previously entered Into the record as e.xhlblt 44.
(70)
r"
5.1 JOHN DEAN TESTIMONY, JUNE 27, 1973, 4 SSC 1350, 1386-87,
1409-11
1411
"Mr. Dash. Was it delivered to Mr. Haldeman ?
Mr. Dean. Yes, it -was.
The last document for identification is a memorandum dated Au-
• gust 16, 1971.' It was a draft in my files in which I was asked to prepare
a strategy for dealing with political enemies that involved the entire
A^Hiite House staff, and it was sent forw-ard, to the best of my recollec-
tion, to Mr. Haldeman and Mr. Ehrlichman for approval, disapproval,
or comment.
Now, without going to my files in the TVhite House, I can't tell you
the disposition of this document.
Mr. Dash. But can you tell us whether or not that document was in
fact sent forward ?
Mr. Deax. Either in this form or in some form where the names
were typed on it.
Mr. Dash. Thank yoUj Mr. Dean.
Mr. Deax. I just noticed there were two other documents attached
o that.
On July 16, 1971, there is another update on the opponents list, add-
ing a name. This again is from Mr. Colson's office.
Senator Ervix. With Senator Inouye's indulgence, I am going to
ask you one question about a paper that you identified in this connec-
tion called "Subject : Opponent Priority xVctivity," - a three-page docu-
ment, and see if you can give me the date of the origin of that.
Mr. Deax. Senator, I am not sure which document you are referring
to.
Senator Ervix. It is one called, "Subject : Opponent Priority Activ-
ity," on the heading. It is three pages. You had it this morning.
Mr. Dash. I have that, Mr. Dean. I didn't forward that to you here.
I can forward that to you now. The one I think you identified at the
end of the morning session — one that had a memorandum of June 21:
f '•om Mr. Bell.
Mr. Deax. Yes. I was forwarding that
Senator Ervix. I want to find out, on page 2, the name of Sterling
Munro, Jr., Senator Jackson's AA. Do you have anything that indi-
cates whether Mr. Munro was added on the list of opponents?
Mr. Deax. No. I don't. This is one of the — I can only assume that
this was around June 21 when the document was prepared by a mem-
ber of Mr. Colson's staff and forwarded to my office as a part of this
general list.
Senator Er\tx. That would be June 24, what year ?
Mr. Deax. That is 1971.
Senator ER\^x. Thank you.
Mr. Dash. Could I have the documents back, Mr. Dean ?
Senator ER^^^•. I can't forbear observing when I consider the list of
opponents why the Democratic vote was so light in the general election.
Senator Baker. ^Ir. Chairman.
Senator EK\^x. Yes, sir.
Senator Baker. I really even in my wildest dreams would not think
of trying to improve or embellish on your story but you told it better
the first time when you leaned over to me and you said "I think I am
1 Prprloii-ily entered Into the record as exhibit 4S.
= Attachment to exhibit 49.
L'
(71)
5 2 GEORGE BELL MEMORANDUM, JUNE 24, 1971, SSC EXHIBIT NO. 49,
4 SSC 1692-96, WITH ATTACHMENTS
1693
MEMORANDUM
THE WHITE HOUSE
WASHINGTON
June 24. 1971
EYES ONLY
MEMORANDUM FOR:
*^HN DEAN
JERRY WARREN
VAN SHUMWAY
SUBJECT:
OPPONENTS LIST
Attach'ed is the list of opponents which we have compiled.
I thought it would be useful to you from tune to time. , ^
George T\ Bell
(72)
5.2 GEORGE BELL'S OPPONENTS LIST
1694
SUBJECT: OPPOtrSMT PRIORITY ACTIVITY
Having et-jdled i.hf pttachoct iv.terial nnd evaluitfd the
reco;.T!oendatioii3 ff^.- Uie dljcussed action, I believe you
will find ry lirt Aiortlr.'hlle i'ov go ctatus. It Is In
priority order.
1. PicKcr,, Ai;[;oi,D m. y
United Artit.(j Corporation tX
929 7th Avenue
Kew York. II. Y.
Top Huskle fundraiser. Success here could be both
debilitating and vei-y euiborrasr.ln^ to the Jluskte machine.
If effort l03l;s p.'Oi..ioi;:._:, both Ruth and Da'/id ?xcl;er should
be proGra.-med and then a foUoif- throuGh with United Artists.
2. BARKAN, ALEX-'^HDER i:.
National Director of AFL-CIO's Comraittee on Political
Education
V/ashincton, P.C,
Without a doubt the mo.=^t po-.ferfiil political force
progra.Tjr.cd- QGcln:,t us in lS'o'>. ('lO million dollars, h.6 million
votes, 115 millioa pjraphletr., I'f5,000 vorl-.ers - all pix)|-^raDmed
by Bii-kin'3 C.O.P. ?:. - To cnyr- Tciiy \.'hitc ir. The Tjliing of
the President '68). Vte can t-xpe.-t the cams effort this time.
3. CUnH-IAll, ED
ManacinG Editor L. A. Times
Cuthman, forraer Kenned,'/ aide, vao a hichly sophi.sticated
hatchetscan acainot us in '68. It is obvious he is the prime
mover behind the current Key Biscayne effort. It is time to
give him tl>e nctccc'-'-
k. D,\I1E, WOC'TF.V..
Doyle, Pane and Dernbach
Kew York
I'he top Democratic advcrtisinG fim - They destroyed
Coldv'atcr iy 'GU. They sliould be hit hard starting with Dane.
5. CHARLES DYSON
Dyson-i;issner Corporation '^
Kew York
Dyson and liirry O'Brien wore close business associates
after '68. Dyson has hupo business holdincs and is prasently
deeply involved in the Eiisiner.siren's Educational Fund which
bankrolls a national radio net\;ork of 5 minute prograjns - Anti-
Nixon in character.
V
V
1/
(73)
5. 2 GEORGE BELL 'S OPPONENTS LIST
1695
6. STiMH, }lO\I/\J.n
Dreylua Corponition
Ncv; Yorl:
\/
Hcaviect contributor to !Jc Carthy in '60. If Mc Carthy
goes, viH do ths car.'.e in '72. If not, Lindsay or Kc Corern
viH receive t)io funds.
7. L07EIGTEII.', fJZARD
Long Island, New York
Cuidina force behind the IR year old "dump Nixon"
yot« drive.
6.
9.
10.
IIALPERDI, MORTOri
Leading exec\;tlve at Como'i Cause
A scandal \.'ould be most helpful here.
WOODCOCK, I£OI!ARD
UAVf
Det^-oit, Kichisan
Ho coaiments necessary
s. STERi^mc iiUinio, jr.
Senator Jackson's AA
711 Lanberton Drive, Silver SprlnG, Hd.
We should plve hjra a try. Positive results vould stick
a pin in Jackson's vhitc hat.
1/
1/
11. FELD, HERIIARD T.
President
Council for a Livable Vtorld
l/
Jleavy' far left funding. Thoy will program an "all court
press" against us in '72.
12. DAVIDOFF, SIDIIEY
Mew York City
Lindsay's top personal aide.
-y
A first class S.O.B., vheeler-dealcr and suspected bagman.
Positive results would really shake the Lindsay co-iip and
Lindsay's plans to capture youth vote. Davidoff in cliarge.
13- COIfYERS, JOHN
Congressman, Detroit
Coming on fast. Qnercing as a leading black ontl-Nlxon
Bpokesman. lias known weakness for white females.
(74)
5.2 GEORGE BELL'S OPPONENTS LIST
1696
Ik. LAiMBERf, SAi'-TJEL M.
President
National Education Association
Has taken us on vis n vis federal aid to parochial
schools - a ''(2 issue.
15. ^50TT, ST?<.'ART RAV/LUJGS
Mott Associates
New York
Nothing but big money for radic-lib candidates
16. DELLUMS, RONALD
Congressff.ari, California
Had extensive n>IK-T.jnney support in his election bid.
Success might help in Califoinia next year.
17. SCHORR, r.wma
Columbia Broadcasting System
Uaehington
A real media enemy.
18. S. HARRISOn DOGOLE
2011 Walnut Street
Philadelphia, Pa.
President of Globe Security Systems - Fourth largest private
detective agency in U. S. Heavy Hmnphrey contributor. Could
program his agency against us.
19. PAITL NBJMAN
California
■Radic-.Lib causes. Heavy Mc Carthy involvtnent '60. Used
effectively in nationwide T.V. commercials. '72 Involvinent
certain.
20. MC ORORY, mRY
2710 'Macomb Street, Washington
■ Columnist
Daily hate llixon articles.
(75)
S. 3 CHABLES COLSON LETTER, JUNE 28, 1973
COLSON Ov: ShaPIKO /Zs^.
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BOSTON. MASS. osioa
June 28, 1973
Gentlemen:
The way in which Mr. Dean introduced a series of exhibits
into yesterday's Committee hearing has unfortunately created considerable
confusion in the press and I suspect has misled the members of the Senate
Select Committee on Presidential Campaign Activities. A terribly
significant distinction in the various so-called "opponents lists" has
been obscured.
I hope that you will take the occasion in questioning Mr.
Dean today to insist that hs nske clssr '..'hat the facts are vrith
respect to these lists.
There was a broad general list maintained by Mr. George Bell
(now deceased) of critics and supporters of the President. This list was
primarily intended for the use of the social office and the personnel
office in considering White House invitations and appointments. There
is nothing particularly novel or sinister about the idea of maintaining
such records. Frankly, I think it is quite appropriate for the President's
staff not to want at a White House dinner, for example, someone who had
signed an advertisement calling for the impeachment of the President or
someone who had made a large contribution to help defeat the President
in a political campaign.
Ee that as it may, Mr. Dean has lumped together this rather
simple cataloging of names with a project apparently conceived by him
to "use the available federal machinery to screw our political enemies"
(memo of August 16, 1971, Committee Exhibit No. 48). Mr. Dean has
included in a mass of documents a list of 20 people identified as
"opponents priority activity" (I believe it is Exhibit No. 49, although
it is not entirely clear from the transcript. Based on the exchange
between Mr. Dash and Mr. Dean, apparently the Committee was confused
as to this document. See TR 2701).
(76)
I
5.3
CHARLES COLSOlf LETTER, JUNE 28. 1973
2.
Mr. Dean suggests and most press accounts attribute the
"opponents priority activity" list to me or my office. I do not know
who prepared that document. I do know that I did not nor did anyone
on my staff. I have checked with Mr. Bell's secretary and have
determined it was not prepared by him.
By confusing the list of 20 names vnLth Mr. Bell's overall
list, Mr. Dean has very unfairly implicated Mr. Bell in something I
suspect Mr. Bell was totally unaware of — and, of course, Mr. Bell cannot
defend himself, a fact Mr. Dean well knows.
Once again, by cleverly rearranging the facts to suit his own
purpose Mr. Dean has deceived the Committee and the public; he has
tried to shift the responsibility for his own conduct onto others. This
has been a very consistent pattern over the past three days. However,'
the Committee has an opportunity today, at least with respect to this one
issue, to help the public understand the truth. I, therefore, request that
you ask Mr. Dean to make a more complete identification of these documents
so as to make clear the distinction between Mr. Dean's project to "screw
political enemies" and Mr. Bell's assignment of merely keeping track of
friends and opponents. At the very least, I request that this letter be
read into the record of the Committee proceedings at the earliest
opportunity.
Charles W. Colson
Messrs. Fred Thompson, Esq.
and Samuel Dash, Esq.
Select Committee on Presidential
Cairpaign Activities
United States Senate
Washington, DC 20510
/hh
Honorable Sara J. Ervin
Honorable Howard H. Baker
Honorable Herr.an E. Talnadge
Honorable Daniel K.. Inouye
Honorable Joseph M. Montoya
Honorable Edward J. Gurr.ey
Honorable Lowell P. Weicker
John U. Dean, III
(77)
6. On July 20, 1971 John Dean vnrote a memorandum to Ehrlichman's
aide Egil Krogh attaching information compiled by John Caulfield regarding
the Brookings Institution's tax returns and noting that Brookings re-
ceived a n'jnber of large government contracts. Caulfield has testified
that it was his Impression that this was public information. On
July 27, 1971 Dean sent a memorandum to Krogh to which was attached
a carbon copy of Dean's July 20, 1971 memorandum on which the words
"receives a number of large government contracts" were underscored and
a marginal note by Haldemah stated that these should be turned off.
Dean's July 27, 1971 memorandum stated that he assumed that Krogh was
turning off the spigot.
Page
6.1 Memorandum from John Dean to Egil Krogh, July 20,
1971, with attachment (received from White House) 80
6.2 Memorandum from John Dean to Egil Krogh, July 27,
1971, with attachment (received from White House) 91
6.3 John Caulfield testimony, SSC Executive Session,
March 23, 1974, 34-35 93
(79)
6. 1 JOHN DEAN MEMORANDUM^ JUL! 20, 1971, WITH ATTACHMENTS
Iht. VV H rr £ HOUSE
W A 3 r-n n: G T O M
Jvily 20, 1971
MEMORANDUM FOR: BUD KROGH ,
i ^
FROM- JOHN DEAN'v^
In your work on the Pentagon Papers and related issues you ^
v/ill become aware of the fact that there is a publication out 002727
of the Brookings Institute indicating that they are planning
for the fall of this year a study of Vietnam based on documents
of a current nature. Chuck Colson has made some efforts to
determine what Brookings is up to but I don't think he has
produced any solid evidence of the nature of this publication.
I requested that Caxilfield obtain the tax returns of the
Brookings Institute to determine if there is anything that
v/e might do by way of turning off money or dealing with
principals of the Brookings Institute to determine what
they are doing and deal with anything that might be adverse
to the Administration.
Attached are copies of these tax returns and you Vvdll note
that Brookings receives a number of large government con-
tracts. You will also note that on the Board of Trustees
there are several people vmo might be of assistance to us
in dealings v/ith the Brookings Institute, e.g. , Peter
Peterson and H. Chapman Rose.
When v/e discuss this issue I vf\\\ also give you some
additional background inform.ation on the Brookings problem.
(80)
n
6. 1 ATTACHMENT "A" TO JOHN DEAN MEMORANDUM
THE WHITE HOUSE
WASHINGTON
(81)
6.2 ATTACHMENT "A" TO JOHN DEAN MEMORASDUM
Indicated below is an examination of the power, influence and
activities of the Ford Foundation and Brookings Institution along
vlth recommendations as to how the Administration can deal with them ia
1972. . '
FORD FOTOIDATION ■
••■ ■ 'The colossus of foundations - and apex of the academic foundation
complex is the Ford Foundation. It's annual report for I969, released
Mirch 8, '19T0> showed assets at market value of 2.5 billion dollars,
and a principal fund balance of 3*9 billion. .•'•"•""i
:.- ,.,; Established in 193o^ it became a national organization in 1950. '_
Since its inception, it is reported to have disbursed more than '^.S ^^j.^':
.-•--5
- - -J- * . • _ ■
•billion dollars, including grants to 5^880 institutions in the U.S. axtd. '
82 foreign countries. Expenditures in 19^9 were listed at 237.5 million:
dollars . ';'.'-; \i
■ ,'■<■-'"' , ' _ ■ ' j^'.i
'•;. The foundation has provided money for the Brookings Institution, V'~
- \ -_ -i»-- .■ *" . — -
the' Kennedy Memorial at Harvard, the Princeton Institute, and many ""^-4w-l
other centers of academic -political actionism. ' ■..'-•-
:^~ President of the foundation is McGeorge Bundy. Indicated below
are the trustees of the organization who, in the words of Bundy "hold
responsibility for oxir affairs and who set the policies and programs of
the Ford Foundation : "
(82)
6.1 ATTACHMENT "A" TO 'JOHN DEAN MEMORANDUM
Chainnan - Julius Strattoa
(former President of M.I.T.)
Stephen D. Becktel
(senior Director of the Becktel Corp.)
Eugene R. Black
John Cowles
(former Chainnan Minneapolis Standard
Tribune Corp. )
Benson Ford
(Vice-President of Ford Motor Co. )
Henry Ford II
(Chainnan of the Boaxd, Ford Motor Co.)
Kermet Gordon ■ '-" "
(President of Brookings Inst.) . ."•
Alexander Heard ':'"
(Chancellor, Vanderbilt University)
Edwin H. Ford
(Chairman and President - Polaroid Corp.) •
Roy E. Larsen - ■"■• V-\
(Chairman, executive committee of Time Inc^X
John H. Loudon ■. ■'
(Chairman of the board Rogue Dutch Petroleun^
Co.) ■ •- ^
Robert S. McNamara . . ■ .— ...'..'.
(World Bank) ' '' / ' " - ■;'V'^_
J. Irwin Miller
(Chairman of the Board, Cummins Eugene Co. )
Bethuld M. Webster"
(partner, Webster, Sheffield, Heischmann,
Hitshcock and Broolcfield of New York)
Charles E. ivyzanski, Jr.
(Chief Judge, U.S. District Court, Boston.)
(83)
6.1 ATTACHMENT "A" TO JOHN DEAN MEMORANDUM ' — ■ ''-
Ford has financed such activities as a school decentralization pro.'ect
in New York City that stirred up racial strife and led to three stri'-ea tv
a teacher's union; a Kegro voter registration drive in I96T that vas
credited with helping to elect Carl Stokes as the first black Mayor of
Cleveland, Ohio; and efforts to organize Mexican-Americans in California
and Texas.
The foundation has invested in many community action programs across
the country, and helped fund such Negro organizations as the N.A.A.C.P.,
C.O.R.E., and the S.C.L.C.
•■':'■• In July I968 the foundation provided "travel and study" awards to eig
■former aides of the late Senator Robert F. Kennedy. The total amounted to
.$131,069.50 and wsLS subsequently the subject of much hill criticism. . : -<
Additionally, the foundation gave $12,717 in 19^9 to Joseph A". Colefa
for a travel study in connection with a book called "The Student Revolutie
A Global Confrontation." ' '■ , '- - ;.;'
In the 1969 Ford Foundation annual report, Bundy stated "The nations^
social ill^ were still a major focus of our activity in I969. • .we- hope, i
do much more in the Seventies." ;/'-■••"'.!
BROOKINGS H-ISTITUTIOH ;■ ' - • ''-''x ; - -^
In November 1970 Brookings reported to IRS total assets of $1+8,960,000. '
Headquartered in Washington, the organization has emerged as the leading
Democratic "think tank" in the Nation. Indeed, the large influx of forme
Democratic office-holders to the Institution in I969 (See ATTACH "A") ?rc
one official to descri'^e it as "a governnent-in-exile."
(84)
6.1 ATTACHMENT "A" TO JOHN DEAN MEMORANDUM
Brookings was a scall organiza^^:-'. until the 1960'3. During the
Kennedy and Johnson Administrations _, -Z turned into a bigtime operatior„
^Thile functioning as a kind of holdir.:: station for Democrats and of
power, it attempts to influence publi: opinion and government policy.
Access to huge sources of tax free mc-ey, such as the Ford Foundation
makes the task immeasurably easier.
.''■ In recent years, the Institution has obtained more than l4 million
dollars in Ford subsidies, including £175,000 to produce a book called
"Agenda for the Nation" immediately =f-er the I968 Presidential election.
•"."i. . The Wall Street Joixrnal called i" a collection of policy papers
by- 18 writers who "comprise an honor roll of academicians of the New ■ •"-'
Rrontier and Great Society."
.■. ■■'•'■': Shortly after the Nixon Administration took office in 19^9, the
'institution announced a "new program cf foreign policy studies." It
is alleged that the Ford Foundation =xreed to fund 75 per cent of the
■project, estimated to cost 7 million iollars over a three-year period.
These studies were to cover suc'r. controversial issues as: the
strategic balance between the U.S. a.-i the Soviet Union; arms control ..':
and disarmament; the U.S. role in Asi=. after Vietnam, relations with
Communist China; the U.S. role in defense of Western Europe; foreign aid,
trade, investment and development policy, new social and technological
forces in the world, the size of the V.S. defense budget, kinds of '
weapons, and military assistance to fcreign countries; a permanent peace-
keeping force for the United ITatio".£ serial change and doaestic zjroblems
in the U.S.
(85)
6.1 ATTACHMENT "A" TO JOHN DEAN MEMORANDUM wM''-:*^^
It is clear from this cursory analysis that the financial v^i.v •»*£-!
influence of the Ford Foundation and Brookings Institution when usc-» ♦- t'-'
engage in either direct or indirect political activity represeni-s -q-^.
' "~" s
dable opposition to the best interests of this Adaiinistration. . ->■ J--
■ "' ■ pi \
It would appear that an expeditious political response to this c^^*^;f '
vould be the simple expedient of applying pressures to have the Intercut
Revenue Service strictly enforce existing statutes and promulgated "re^'l*^.,
tions designed to threaten the tax exempt status enjoyed by these or ^at »^-
tions. ■i.-l^
In examining this potential with Administration loyalists at.IESp^^*^ i
a disappointing picture emerges. For example, as a result of congressiocai
pressure in 1969 an audit of the Ford Foundation was undertaken. ^ ^' it'^l'sr- '
still ongoing with no tangible results or progress seen to date. ■PuLrpose^i
delay appears to be the chosen bureaucratic tact. " T . !.^:'-^r',^.
. . Commissioner Walters, according to these same IRS powers, has not yet
exercised the firm leadership expected at the time of his appointment. ">;
Additionally, there appears to be a reluctance on his part to make discree
politically oriented decisions and to effect major appointments based -upon
Administration loyalty considerations. ?-'■*' ""-i
In this regard, career democrat William Loeb has been named as Waltei
deputy, a key policy position. Also, Williaim Connett, another democrat,
continues to function as Walters' Special Assistant for tax-exempt organi
tions. By vrritten direction of Walters all tax exenpt matters of substan-
must flow through Connett. Roger Earth is currently being eased out of li
by Walters.
(86)
6. 1 ATTACHMENT "A" TO JOHN DEAN MEMORANDUM
I ■
It is not believed^ therefore,, that this personnel alignment vouig. I
allow a successful pro foma request for IRS action against BrockiQtrs
Ford. Indeed, under the abo'/e circumstances^ such approach would appear
to be politically inadvisable. Certainly charges of political xnterferesce
would be raised in the media and elsewhere by representatives of the Ford.
and Brookings organizations and their many supporters. ,"- '■
In view of the above circumstances, the following recommendations -v
are made with a view towards an effective and credible attack against ■■■'"^? '
Brookings and Ford designed to minimize the political impact these orgaaiza-
.~-° -^-^ .
tions will attempt to bring to bear during the coming election year: .• :^
^■';%
a) The President direct Secretary Connally to give a major address"^ '
forcefully dealing with the concern of both the executive and legislative:';
branches (PATMAIl) over political abuses aaid other apparent illegal activitie
,of foundations and other tax-exempt organizations. '• . - " ■■'i-
: . • .■■-.' ;vi'-g
rv.,- (If the Secretary were not inclined to specifically attack Brookings -
and Ford in that speech, the Vice President could effectively follow wlthca
hard hitting specific effort in that regard. Pat Buchanan has such a speejri
- - - . - . ■ -v:^^
prepared. ) -•:-.•■ --r?^:
The Secretary's speech could include the announcement of the cr'eatibni
■ -■-::*
of a new position in Treasurj^, such as Deputy Undersecretary for Ta^xationi
to oversee, on behalf of the Administration both tax administration (iRS) a:
policy. Such appointee vould be the medium through -which the Adninistratio
could force, following the Connally warning , stepped up IRS action and
coEDliance in the tax exer.;-. cr-nni-ation area during 1972. Understandable-"
this appointee v/oald hava to be outstanding in cualif ication and loyalt;-".
(87)
-O
' X
6.1 ATTACHMENT "A" TO JOHN DEAN MEMORANDUM
B) Clark MacGregor to be directed by ttie Presideat to vor'r. vith
Congress and Treasury to obtain more restructive legislation on the
political abuses of tax exempt organizations. We should shoot for
public heairings on Brookings activities.
C) Senator Dole to be directed by the President to b^ve the PlIC '
develop this entire area as a key issue for the '72 campaign. The
piirpose vould be twofold: r,.;^'; ■
1 ) Focus to be brought upon the li b rr ires FORD Foundation :?ditetr*tr>.
■financed voter registration drives. '^:.:.
■';■.'. 2) Take this issue away from George Wallace vhere it now lies.z^"-:*]
: •'•.•■- '- . D) The President to direct George Schultz to see to it that the- ^ "■-■~!^
.-'$500,000 in federal grants (HEW, OEO, etc.) presently received by Brookingsj
Vv/be cut. . •• ■ -.■''■'r-^
.V;.--..-; ■ While a loud public protest could be anticipated, it would. _;' j
•'•■be welcome for the implication would be clear partisan political ■'-":;:, I
. involvement of Brookings, Ford and other anti-Administration foundations _.
•in 1972 would be fraught with peril. •"•.-pi
" NOTE:- It should be recalled that Kermet Gordon, President of Brookings
and a trustee of the Ford Fo'ondation has been appointed to the Ph3.se II
Pay Board.
(88)
6.1 ATTACHMENT "A" TO JOHN DEAN MEMORANDUM T^E BRGOrCUc- t
ATTACHJ.?:ilT«0. 8 53-01^^:^77 "}
SaVidulo A. Line (a)
ChftircEaa, Jlaard of Trotitees
Vico Cljaircun, Board of tnuite^ui
and rrrtmber oV Finuuoe Coimiiit, tee
Chairtaan, ^'.cecutl're Ccimiuittec
and Fiiuuvcf; Cawr.u.ttee
Truateo
Truateo
Trustee
Tyuatee - . : ■ "" ■
Troatcfl '^:--; ■ ■
Trustee aiid Prsaidcut, The Braoking:!;
Inatitution - .
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Conimitt<!R axvd Finance CommU'iton
Truatee
Tru3t,r;c axvX cieiTibor of CLceciiti'/'o
Cc wait too
Tru,"3te'j njid Ettn'o';')?' of Executive
Cownitte'^:
Tt'uatne arnl r^^'sifaer of KL':<!i;'.ut,.i,vh!
CoGjaiittC'^ aci'.l ^'iniuico Coioautttie
: ari;>: and Cade Pf;2'
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Vincent X[. Daa,-net,t, Jr. 1 day >♦■ '■:..■'->,- *- &
Icuii) Yf. Catjot (e) "' 'i"" «• ---^"^
Robert D. Cailcina («)
SdTrard V/. Caoi'ter (e)
John Pise'rtcr (e)
iCevciit Qordon (e)
Goi'don Cray (e ) .
Himtina'toa Karris; (e)
Luther G. Holbrook («) I day «■ ' "^^"^^ Srt
•Talm E, LocUrrood (e) 2 do^/tj > V'i-,-'M Sss
V/illiaiu }/iiQ, 7/artlu,Jr, EU^cted iiay'^O-Csa
tJo'bert G. iJ.cUamxnx (« ) 1 day *
10 daya *
1 day 5<- -
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2 duya *
:.- :-S':R»
ay Miller (c) 1 day ^''' "."
bort P. Pattaruorv (e ) 2 dayu ^
i-yr 0, Pet«r3ou (c.) 1 day ^
J. VTciodv/at'd Redrrririd (e) 10 doya '*
H. Chyawa.-m P.cae (e) 2 daya <f ",
Fjohcrt yrooLcLngi^ i3!uith(«) 7 dai/Ti ^
*, HaiM/i^-i I'mVb-Joa^Jf.C^O 1 dA.r '*
'iMHuld LI. V.Vtcvlviv.rd (a) .9 daya
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(89)
g. J ATTACHMENT "A" TO JOHN DEAN MEMORANDUM
1.775 ^fa;;^ac(-..r;"-^^:Js^-^
FZ3
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CCTi[t'p::!otVi'ii>\M oy ()r-'f'i(M':f/;; . oT.fii'CTOn:;
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mt\U)l W, Oell (e) Hons
Eugene f. , Blaoit (o) Jtoiie
Leouard G;)j:'nLi.clT9>.!l (e ) 2 aa,vy
Colgate Yr. Dardeu, Jr.(e) Mome
JAir'J.aa fi. f'"otooiU (e) \Hoae
Rn.'/iRocul n. i'Qcidi.cli; (e) ^Mo«e
Hi.uvi:,l.>;i,v;hotiL Gilcl;u'i.at(e) 1 day
Vice Prea IrJeah for Adtninia-
trfttioui . ; .
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Secret.aiy and jVsst, I'reainu'Gr
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£/ rigoi-oci r«prR3entijig cortip^:i!>'=;atioa of ofCioera InclucU-j tho coat to the Broo!<icC3fg-"?.>:
iTuatitutiou of tho folloT/Iriic iViii^e bent^fit;; ; Coniuributioa to the retlrecrrent-vjli; |
ayateiu (which include hhc tiaiployeecf ' '/olnntajt^y reditctioriii in baaic "p-ajr far purpi3«li. ,'
of ttit) r«tlrca.Q£it contralto ), aooial sjf.:ourity Uiico;:; paid liy :i'AC f^raployar under? «»': •>
Fednrai. Ifiaiu-aiics Cofvtrib\it.loi:wr Act, {;roup Xifr- inrutrtuico, (ti.:>.joz- ffiedioal, diaal>tUJ.:'
inauratuie <ind (^j^oup hoJipitali'^«iv.f.fjn.
T!^V3■Vv,^■'.n ffi»y 'oti x«.^lro\iu.X'3f:d far tuitual e':q;«:;jv!e3 of atteiKlina r;i-'s-!tiw;fi, but thAy <J^
iinb rc'cjtji.'/f! e'.cprionfl "allo'.raricnr,;" .
(90)
6.2 JOHN DEAN MEMORANDUM, JULY 27, 1971, WITH ATTACHMENT
THE WHITE HOUSEI
VIA S H I hi ^ T 3 ^^'
July 27, 19 71
MEMORANDUM FOR:
FROM:
BUD KROGH
JOHN DEAN
SUBJECT:
Brookings Institution f'^'^'lOi^
^ V ■ ' J *j i *^\J
A few days ago I forwarded to you copies of the Brookings
Institution's tax returns. Please note the attached memorandum
on what should be done about the large nunmber of government
contracts now held by the Brookings Institution. If you want
me to "turn the spigot off" please let me know; otherv/ise, I
will assume that you are proceeding on this matter.
Thank you. Bud.
(91)
ij_JULI_20^_1971
/'■
/
K&2^
'A^
l^^V/ 20, 1971
LE.MGRAIn'DUM FOR;
T5 7 T T-> v tj r^ i"" T»
LOM:
JOHN BSAN
In your work on the Pentagon Papers and related iaaixea you
vvill become a-,vara ol tha facfc that there is a p-ublicaricn out
of the Brookinga Inatitute indicacixtg thai they ara plaiicixrg
for the fall of this year a study oi Vietnam based on documenta
oi a current nature. Chuck Colson has rr.ada soma efforts to
datermina what Srookings \a up to but I don't think he haa r\r\r ^^oo
produced any solid evidence of the nature of this publication* UUfc. t t-aO
I requesfcad that Caulfield obtain the tax returns of th*
Brookings Institute to datarmina if thars is anything that
wa might do by Wc»y of turning off money or dealing with
principals of the Brookings Institute to determine what
they are doing and deal v/ith anything that might be adverse
+o the Administration.
•^
Attached are copies of these tax returns and you will note
that Brookings receives a number of lar pe gov ernmen t_g^>g-
tracts. You '>vill aT5o note that on the Board of Trust«!e3
there are savaral people who might be of assistance to us
in ddaliP-53 v/ith tlie Brookings Institute, e.g.
Pet::r3on and H. Chapman Rose.
Peter
Vv'hen v/3 discuss this issue I v/ill also giv-3 you soma
additional background information on the Brookings problem.
(92)
1
2
4
. 5
6
7
8
9
10
11
12
13
14
• 15
16
17
18
19 ^^
I 20
' 21
22
23
24
6.3 JOHN CAULFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSION 34-35
34
Mr, Caulfield. That doesn't ring a bell with me.'
Mr. Lenzner. So the answer is no ?
Mr. Caulfield. No, the answer is no.
(Pause)
Mr. Lackritz. Mr. Caulfield, could you turn to tab 6 of
Exhibit A from last week, and the first document there is a
memorandum from Bud Krogh from John Dean, dated July 20th, 1971,
In the middle paragraph of that memo. Dean's memo states,
"attached are copies of these tax returns and you will note that
Brookings received s a number of large government contracts."
Do you recaJ.1 getting copies of these tax return forsis from
Mr. Dean's of the Brookings Institute?
Mr. Sears. Could we go off the record just a second?
(Discussion off the record.)
Mr. Sears. V7e can go back on the record. ■ .
Could we have the question again, please?
Mr. Caulfield. To simplify this matter here I think I will
short-circuit —
Mr. Sears. Could we have the question again, please?
Mr. Lackritz. The question initially was did you recall
obtaining copies of the Brookings Institute's tax returns?
Mr. Caulfield. Wall, I want to respond in this way to that
apparently there was an interest in the tax-sxempt foundations
at the Vfnite House and there v/are a number of people doing some
25 |j work in this area. Now John Dean turned ovar to me a series
(93)
gsh 35
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
g_ 3 .rriww CAULFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSION 34-35
I L^
24
25
35
papers, much of v/hich had. appeared in public print, and amongst
those papers was tax information. My impression now is that v/oujLd
have been obtainable from the public records.
Mr. Sears. Your thought at the time was that that WDuld have
been obtainable through public records.
Mr. Caulfield. Yes. And this information was part of a
large batch of papers having to do with the whole subject of
foundations. Now 1 think, if I am not mistaken, the memoraxidxim
here from Mr. Dean to Mr.Ki;ogh:is ai little;. bit of .-^.t literary license,
if. you will, when he indicates, "I requested that Caulfield^ obtaiLn
the tax returns of the Brookings Institute to determine if there
is anything we might do by vra.y of ^i .\ ■_.} turning off money."
I think all that amounts to is me bringing to Mr. Dean's
attention the public record information regarding Brookings that
was contained in the batch of papers.
Mr. Lackritz. Are you stating today that you did not obtai
tax information from, the Brookings Institute?
Mr. Caulfield. I" have no recollection of obtaining tax
information regarding Brookings Institute. I do state here that
there was information contained in a series of papers regarding
Brookings Institute and their tax status. My impression was tha
this was public information and I think attachment 8 under this
tab is what I am referring to.
Mr. Sears. Do you mean attachment number 8 which says
schedule A, line A?
1
(94)
7. Dean has testified that on August 16, 1971 he prepared a memorandum
entitled. Dealing with our Political Enemies, which addressed the matter
of how the Administration could use the available federal machinery
against its political enemies. Among Dean's suggestions was that key
members of the staff should determine who was giving the Administration
a hard time, and that they develop a list of names — not more than ten —
as targets for concentration. Dean has testified that to the best of his
recollection the memorandum was sent forward to Haldeman and Ehrllchman
for approval, disapproval or comment. Ehrllchman testified that he
could not recall receiving any memorandum with respect to the enemies
list from Dean or any other person in the White House.
Page
7.1 John Dean testimony, 4 SSC 1349-50, 1411 96
7.2 Memorandum (unsigned and unaddressed) , August 16,
1971, SSC Exhibit No. 48, 4 SSC 1689-90 99
7.3 John Ehrllchman testimony, 7 SSC 2683-84 101
(95)
7.1 JOHN DEAN TESTIMONY, JUNE 27, 1973, 4 SSC 1Z49-S0, 1411
1349
tion, but I did take at that time, in representing the Department of
Justice, a far different position that the Attorney General should have
the ability to nullify any request of any committee to grant immunity
to any witness, which is far different from the one Congress accepted
ultimately.
Mr. Dash. Now, Mr. Dean, did you bring with you this morning the
exhibits that you indicated you had and the committee requested you
to bring?
Mr. Dean. Yes, I did, Mr. Dash.
Mr. Dash. Could you just submit them and perhaps identify them as
you submit them to the committee?
Mr. Dean. These are from a file that is entitled "Opponents List and
Political Enemies Project." The first document in the file, and these
are not in any chronological order, is a briefing paper that was pre-
pared for Mr. Haldeman for a meeting with the head of Internal
Revenue Service. The goal of the briefing paper which was based on
material that was provided to me by Mr. Caulfield who, in turn, got
information from friends of his within the Internal Revenue Service,
was to make the IRS politically responsive to the White House, and
1 think that the document is self-explanatory. It is not marked other
than the heading which says "To Accomplish Make IRS Politically
Responsive."
I will mark these as I
Mr. Dash. Well, you can mark them foDowing your last exhibit
number.
Mr. Dean. For the sake of the record, right now I will call it exhibit
A.
FThe document referred to was marked exhibit No. 44.^]
Mr. Dean. The next ex'hibit, which I will call B, is a memorandum
from Charles Colson to me, dated June 12, 1972, regarding tax discrep-
ancies in the income tax return of Mr. Harold J. Gibbons, vice presi-
dent oi the Teamsters Union, in which Colson indicates that he is an
all-out enemy, a McGovemite and an anti-Nixon person, and he
believes that there should be an audit started at once, and if there is an
informer's fee, he would like to know because he believes there is a
good cause in which that informer's fee can be dtmated to. [Laughter.]
[The document referred to was marked exhibit No. 45.^]
Mr. DeiVn. The next document is a memorandum from Charles Col-
son, dated November 17, 1972, regarding the fact that he has received
information from an informal, some information regarding Mr. Jack
Anderson referring to the fact that Mr. Anderson was found in a room
with certain wiretap in private — wiretap equipment in connection with
the Dodd investigation.
[The document referred to was marked exhibit No. 46.^]
Mr. Dean. The next memorandum is a document from Mr. Caulfield
to me, dated August 12, 1971, in which Mr. Caulfield briefly indicates
that he has talked with Mr. Nofziger to come up with a candidate to
assist in the enemy's project.
[The document referred to was marked exhibit No. 47.*]
Mr. Dean. The next is a copy of a memorandum of August 16, 1971,
that was prepared for Mr. Haldeman, Mr. Ehrlichman, and others at
the Wliite House by myself, which addresses itself to the general prob-
I th
I th
» See. p. 1682.
= See p. 1686.
'See p. 1687.
•See p. 1688.
(96)
7.1 JOHN DEAN TESTIMONY, JUNE 27, 197S, 4 SSC 1349-50, 1411
1350
le
LI
lem of dealing with political enemies and a strategy which would
involve a number of members of the "Wliite House staff in various
phases of that project to deal with political enemies.
[The document referred to was marked exhibit No. 48.']
Mr. Dean. The next is a document dated September 9, 1971. It is
from Charles Colson to John Dean, in which Mr. Colson has checked
in blue those that he would give top priority on the enemies' list, and
an attached series of lists that were prepared by Mr. Colson's office of
what were deemed opponents or political enemies.
[The document referred to was marked exhibit No. 49.-]
Mr. Deax. The next is a memorandum dated September 14, 1971,
which is a memorandum from myself to Larry Higby which attached
the names that he had requested in connection with the political ene-
mies' project and a limiting of that list to some 20 names. These were
names which were based on the suggestion of jSIr. Colson.
[The document referred to was marked exhibit No. 50.^]
Mr. Deajt. The next is a section of the news summary, of what date
I don't know. It is from Mr. Higby to me, indicating that DNC Treas-
urer Robert Strauss should be on the list.
[The document referred to was marked exhibit No. 51."]
Mr. DEA>r. The next is a document dated September 17 from Gordon
Strachan to me indicating that the attached list should be included in
the political enemies' project. And there is attached a list.
[The document referred to was marked exhibit No. 52.^]
Mr. Dean. The next is a memorandum from Gordon Strachan dated
October 26, 1971, to me, indicating that Mr. Nofziger sent the attached
information on Chet Huntley to Mr. Haldeman and that since I have
the action on the political enemies project I should make a determina-
tion of what should happen and advise Mr. Nofziger of what should
happen.
[The document referred to was marked exhibit No. 53.*]
Mr. Dean. The next is a memo from Gordon Strachan of November
5, 1971, subject J. Irwin Miller which indicates that he fits into the
enemies project.
[The document referred to was marked exhibit No. 54.']
Mr. Dean. The next is a memorandum from a member of Mr. Col-
son's staff that is part of one of many memorandums that came in, this
one is dated June 28, where there was a continual updating of the
opponents list.
[The document referred to was marked exhibt No. 55.*1
Mr. Dean. And the last document is one relating to the McGovem
campaign staff with asterisks beside certain key names that were to be
included in the opponents project also.
[The document referred to was marked exhibit No. 56.*]
Mr. Dean. And that is the sum and substance of the request that I
have available that ^Iv. Weicker asked me for vesterdav.
Mr. Dash. Mr. Dean, can we have those ? Thev will be marked, and
we will make copies of them for members of the committee and cir-
culate them to members of the committee.
Senator Er\tx. Let the reporter mark them with the appropriate
numbers.
» Pee p. IRSn. "See p. 1701.
= See p. 16f>2. ■ Spe p. 1703.
=> Sp? p. 1697. » See p. 1705.
'."'pep 16?"!). "See p. 1707.
'See p. 1700.
(97)
7.7 JOHN nP.AN TK^TTMONY^ JUNE P.7 ^ 19?:^, 4 SSC 1S49 -S0, 1411
1411
Mr. Dash. Was it delivered to Mr. Haldeman ?
M r. Dean. Yes, it -was.
ihe last document for identification is a memorandum dated Au-
gust 16, 1971.^ It was a draft in my files in which I was asked to prepare
a strategy for dealing with political enemies that involved the entire
AVliite House staff, and it was sent forward, to the best of my recollec-
tion, to Mr. Haldeman and Mr. Ehrlichman for approval, disapproval,
or, comment.
Now, without going to my files in the White House, I can't tell yon
the disposition of this document.
Mr. Dash. But can you tell us whether or not that document was in
fact sent forward ?
Mr. Deax. Either in this form or in some form where the names
were typed on it.
Mr. Dash. Thank you, Mr. Dean.
Mr. Dean. I just noticed there were two other documents attached
to that.
On July 16, 1971, there is another update on the opponents list, add-
ing a name. This again is from Mr. Colson's office.
Senator Ekvin. With Senator Inouye's indulgence, I am going to
ask you one question about a paper that you identified in this connec-
tion called "Subject : Opponent Priority Activity," ^ a three-page docu-
ment, and see if you can give me the date of the origin of that.
Mr. Dean. Senator, I am not sure which document you are referring
to.
Senator Ervin. It is one called, "Subject : Opix)nent Priority Activ-
ity," on the heading. It is three pages. You had it this morning.
Mr. Dash. I have that, Mr. Dean. I didn't forward that to you here.
I can forward that to you now. The one I think you identified at the
end of the morning session — one that had a memorandum of June 24
from Mr. Bell.
Mr. Dean. Yes. I was forwarding that
Senator Ervin. I want to find out, on page 2, the name of Sterling
Munro, Jr., Senator Jackson's AA. Do you have anything that indi-
cates whether Mr. Munro was added on the list of opponents?
Mr. Dean. No, I don't. This is one of the — I can only assume that
this was around June 24 when the document was prepared by a mem-
ber of Mr. Colson's staff and forwarded to my office as a part of this
general list.
Senator Ervtn. That would be June 24, what year ?
Mr. Dean. That is 1971.
Senator Ervin. Thank you.
Mr. Dash. Could I have the documents back, Mr. Dean ?
Senator Ervin. I can't forbear observing when I consider the list of
opponents why the Democratic vote was so light in the general election.
Senator Baker. Mr. Chairman.
Senator Ervtn. Yes, sir.
Senator Baker. I really even in my wildest dreams would not think
of trying to improve or embellish on your story but you told it better
the first time when you leaned over to me and you said "I think I am
' Previously entered Into the record as exhibit 48.
' Attachment to exhibit 49.
(98)
7.2 MEMORANDUM, AUGUST 16, 1971, SSC EXHIBIT NO. 48, 4 SSC 1689-90
1689
Exhibit No. 48
Augaet 16, 1971
CONTIPEJ^TIAL
MEMORANDUM
SDBlECTi Daallna with our PoHtleal EnointaA
TMs memorasthun «4dp«as«* tha mattar of how we can rmydmlso
tha fact of our Incambency in daaliog with p«rsoae kxtoxt^'a to bo
•ctivA In their opposition to our Admlniotration. Stated a bU
toore biiutly -- bow oro can uaa tha available Inderal machloary
to screw our political enemies.
Aftor revlavTlss this matter with a number of persona poaocoscd
of ezportlso In the field, I have concluded that we do cot need elk
elaborate tnechanlsnn or game plan, rather we need a good project
coordinator and full support for the project. In brief, the oyBt4un
vould work aa follows t
— Key tnembere of the staff {e. g. , Colson, Deot Flanlgan*
Buchanan) should be requested to inform as as to who
they feel we should be giving a hard time.
-• The project coordinator should then determine what
sorts of dealings these individuals have with tho
'federal government and how we con best screw them
(e>S<> grant availability, federal contracts, litigation*
prosecution, etc. ).
•- The project coordinator than should have accesa to
and the full support of the top officials of the agency
or department in proceeding to deal with the individual)
(99)
7.2 MEMORANDUM, AUGUST 16, 1971,. SSC EXHIBIT NO. 48, 4 SSC 1689-90
1690
X have leamad that thera have been man/ elforto In the p^al to
tatcQ Buch acttoiia, but thay bavo ultimately failed •- In xnoofc
cases -- bocanse of lack of support at tho top. Of all thoo«
I hsvo dlocuaaed tbU matter with, Lyn Nofi^laor uppeiru tbu
cnout kcowledQeablo and most Intorcstod. li Lya had ouppovt
ho would esjoy undortaklnc thlo activity ao tho project coordinator.
You &ro anare of some of Lya'o ouccesooo in the field, but h3
SghXo that ho can only employ limited efforto bocauee thero ia
a lack of support.
/^a a sext step. I would recommend that wa develop a small
list of narooo •- not more than tea -- ae our targets for
epncontratioo. Requost that Lyn "do a Job" on thorn and U
ho finds ho la flottina cut off by a departmeait or oconcy, that
ho infonn as and wa evaluate what ia neceocary to proceed.
Z teoX It io Important that wa keep our targoto- limited for
covoral reaoonsi (1) a low violblllty ol the project is Impora-
tlvoi <2) it \viU be easier to accompUsti something real U w»
don't over'wzpand our effortsi and (3) w« can learn moro about
ho9 to operatp such an activity if we start small and build.
Approve
Disapprove
Cozmnsat
(100)
7,Z JOHN EHRLICHMAN TESTIMONY, JULY 26, 1973, 7 SSC 2682-84
2683
Senator Montoya. And so the FBI — would you say that they con-
ducted very complete and concise checks on these possible appointees?
Mr. Ehrlichmax. Tiiey were not very good, Senator, in my opinion.
Senator Montoya. In what respect?
Mr. Ehrlichman. Very superhcial. They would go around and they
would talk to a lot of people and get a lot of hearsay about them and
there would be very little followup. I was consistently critical of the
quality of that work.
Senator Montoya. Well, did you provide some input into these
checks yourself or through your employees?
Mr. Ehrlichman. Very seldom. Occasionally when there was an
appointee that I had known, an FBI man would come around as they
would to you or to any citizen, but that was only two or three times,
probably.
Senator Montoya. But the White House did not have a setup for
checkups?
Mr. Ehhuchman. Oh, yes, there was a special oflSce and it was in
the office of the counsel where these things were routinely done and
they had also a personnel office, and the two worked together generally,
in Mr. Haldeman's area of responsibility, to perfect these files of Presi-
dential appointees.
Senator Montoya. What kind of checkups would the FBI conduct?
What was their sphere in doing their investigation ?
Mr. Ehrlichman. Well, you know, you fill out one of these long
forms and you have to put down where you lived for the last 30 years
and where you have worked for the last '30 years, and as I gather it,
and I am no expert on this, but I gather they go around and talk to
people in these different places and they ask about the candidate.
Senator Montoya. Now, you were Assistant to the President for
Domestic Affairs?
Mr. Ehrlichman. Yes, sir.
Senator Montoya. And have been for quite some time — and were for
quite some time until your resignation.
Mr. Ehrlichman. 1970.
Senator Montoya. Yes. Now, in this capacity, you had to evaluate
the possible appointments made by the President and provide input
by way of recommendation after reading reports, would you not?
Mr. Ehrlichman. Only occasionally, where they -were referred to me
for my special consideration.
Senator Montoya. What departments did you deal with as Assistant
to the President for Domestic Affairs?
Mr. Ehrlichman. Any department that had a domestic aspect to it.
Senator Montoya. All right. Then, those who worked under you
necessarily informed you as to what they undertook with respect to
communication or relations with the different departments under your
jurisdiction? Would that be a correct statement?
Mr. Ehrlichman. Not on any regular basis. Senator.
Senator Montoya. But on important policy matters, would they?
Mr. Eitrlichman. Well, I relied on them to conduct their responsi-
bilities, bringing to me only problems that they felt they could not
.handle themselves.
Senator Montoya. Well, would you be able to throw some light
lx>fr>re this committee as to the genesis of the enemies list about which
testimony has been adduced ?
(101)
7.Z JOHN EHRLICHMAN TESTIMONY, JULY 26, 1972, 7 SSC 2683-84
2684
Mr. EiiRUCHMAN. No, sir.
Senator Montoya. Did you receive any memorandum with respect
to tlie enemies list from John Dean or any other person in the White
House?
Mr. Ehrlichman. No. sir, not that I can recall.
Senator Moxtoya. Did you recall the enemies list with Mr.
Haldeman?
Mr. EiiRUCiTMAX. No. I did after the testimony here about it be-
cause I do not lecall ever hearing of it before.
Senator Moxtoya. Did you discuss the enemies list with Mr. Colson ?
Mr. Ehri.ichmax. No.
Senator Moxtoya. Now, in your capacity as Assistant to the Presi-
dent for Domestic Affairs dealing with the different depai+ments.
were you aware of the effort that was being made to place Mr. Colson
and Mr. Liddy in the Internal Revenue Service?
Mr. Ehruchmax. No, sir.
Senator Moxtoya. You have heard about it since then?
Mr. Ehrlichman. I am not sure that I have.
Senator Montoya. Well, Dean's memorandum reflects something to
effect,
[r. Ehrlichman. I missed that, I am sorry,
enator Moxtoya. All right.
Now, you do know that the Wliite House made quite a few requests
for the income ta.x returns of individuals, do you not ?
Mr. Ehrlichmax. I would doubt that seriously. Senator.
Senator ^Iontoya. You would doubt that there were no requests?
Mr. Ehrlichman. I would doubt that the White House had made
requests for the income tax returns of individual citizens.
Senator ^Ioxtoya. All right.
Now, I will introduce for tlie record the statistical data furnished
by the Internal Revenue Service in a book entitled "Statistics, Requests
for Inspection of Income Tax Returns or Data From Returns by Fed-
eral Agencies for tlie 6-Month Period, January 1, 1972, to June 30,
1972," artd then another volume with the same title for the period
July 1, 1972, to December 31, 1972.
Senator Ervix. The reporter will mark them as exhibits.
[The documents referred to were marked exhibits Nos. 95 and 96.*]
Senator Moxtoya. I will turn to the first page of the document in
each instance and read for your benefit "Tax Checks Requested by
Federal Agencies. January 1, 1972, to June 30, 1972. Agency: White
House, No. 477." And then on the second document "Tax Checks
Requested by Federal Agencies, July 1, 1972, to December 31, 1972.
Agency : White House, No. 438." ^Vhat comment do you have on that?
Mr. Ehrlichmax. Well, your question was whether or not the White
House had requested anybody's tax returns and I said I would doubt
that. Now, I don't know what a tax check is in those statistics. Perhaps
there is a definition in there, but a tax check, as I understand it, is to
find out if an individual has tax problems before he is appointed to
Federal office, beca\ise obviously you don't want to appoint an as-
sistant secretary who is going to be indicted for tax fraud the next
day. So it is a routine jirooeduio for this pei-sonnel office that I men-
tioned or for the counsel's office to find out from the IRS if these indi-
•See pp. 2909 and 2911.
(102)
8. On September 9, 1971 Colson sent Dean a memorandum stating that
he had checked in blue those to whom he would give top priority. Dean
testified that attached to Colson' s meroorandim was an opponents list
memorandum from Bell dated June 2A, 1971 and a document entitled
"Opponent Priority Activity" containing the names and brief descriptions
of 20 political opponents with check marks beside eleven of the names.
Page
8.1 John Dean testimony, A SSC 1350 104
8.2 Memorandum from Charles Colson to John Dean,
September 9, 1971, SSC Exhibit No. 49, A SSC
1692-96 105
(103)
8.1 JOHN DEAN TESTIMONY, JUNE 27, 197Z, 4 SSC 1250
1350
lem of dealing with political enemies and a strategy' which would
involve a number of members of the "WHiite House staff in various
phases of that project to deal with political enemies.
r^ [The document referred to was marked exhibit No. 48.^]
Mr. Deax. The next is a document dated September 9, 1971. It is
from Charles Colson to John Dean, in which Mr. Colson has checked
in blue those that he would give top priority on the enemies' list, and
an attached series of lists that were prepared by Mr. Colson's office of
Lwhat were deemed opponents or political enemies.
^ [The document referred to was marked exhibit No. 49.-]
Mr. De.\x. The next is a memorandum dated September 14, 1971,
which is a memorandimi from myself to Larry Higby which attached
the names that he had requested in connection with the political ene-
mies' project and a limiting of that list to some 20 names. These were
names which were based on the suggestion of Mr. Colson.
[The document referred to was marked exhibit No. 50.^]
Mr. De.\x. The next is a section of the news summary, of what date
I don't know. It is from Mr. Higby to me, indicating that DNC Treas-
urer Robert Strauss should be on the list.
[The document referred to was marked exhibit No. 51.*]
Mr. Deax. The next is a document dated September 17 from Gordon
Strachan to me indicating that the attached list should be included in
the political enemies' project. And there is attached a list.
[The document referred to was marked exhibit No. 52.^]
Mr. Dean. The next is a memorandum from Gordon Strachan dated
October 26, 1971, to me, indicating that Mr. Nofziger sent the attached
information on Chet Huntley to Mr.' Haldeman and that since I have
the action on the political enemies project I should make a determina-
tion of what should happen and advise IVIr. Nofziger of what should
happen.
I The document referred to was marked exhibit No. 53.']
IVfr. Dean. The next is a memo from Gordon Strachan of November
5, 1971, "subject J. Irwin Miller which indicates that he fits into the
enemies project.
[The document referred to was marked exhibit No. 54.'^]
Mr. Dean. The next is a memorandum from a member of Mr. Col-
son's staff that is part of one of many memorandums that came in. this
one is dated June 28, where there was a continual updating of the
opponents list.
[The document referred to was marked exhiht No. 55.^1
Mr. Dean. And the last document is one relating to the McGovem
campaign staff with asterisks beside certain key names that were to be
included in the opponents project also.
[The document referred to was marked exhibit No. 56.']
Mr. Dean. And that is the sum and substance of the request that I
have available that 'Sir. "Weicker asked me for vesterdav.
]Mr. Dash. Mr. Dean, can we have those? Thev will be marked, and
we will make copies of them for members of the committee and cir-
culate them to members of the committee.
ScTiator Ervix. Let the reporter mark them with the appropriate
numbere.
'Soe p. ins!>. .Spp p 1701.
^Sop p. lfi'>2. rsoo p. ITO.-i.
"Sop p. 1607. » Sop p. 1705.
♦See p. IBfin. oSpc p 1707.
' Spe p. 1700.
(104)
8.2 CHARLES COLSON MEMORANDUM, SEPTEMBER 9, 1971, SSC EXHIBIT NO. 49,
4 SSC 1692-96, WITH ATTACHMENT
1692
ExHrarr No. 49
THE WHITE HOUSE
WASH I NGTON
EYES ONLY
MEMORANDUM FOR:
FROM:
September 9, 1971
JOHN DEAN
CHARLES C OLSON IAW^ —
I have checked in blue those to whom I would give top-
priority. You might want to check someone else al-
though I think you will find this is a pretty good list.
Right on!
(105)
8.2 GEORGE BELL MEMORANDUM, JUNE- 24, 1971, WITH - ATTACHMENT
1693
MEMORANDUM
THE WHITE HOUSE
WASHINGTON
June 24. 1971
EYES ONLY
MEMORANDUM FOR:
MOHN DEAN
JERRY WARREN
VAN SHUMWAY
SUBJECT:
OPPONENTS LIST
Attached is the list of opponents which we have compiled.
I thought it would be useful to you from time to time. .
George TA Bell
(106)
8.3 GEORGE BELL'S OPPONENTS LIST
1694
SUBJECT: OPP0^!EWT PRIORITY ACTIVITY
Havinf; ctudled l.hv nttachrtt rrKt.crial nnd evaluated the
reco:.Tiaendatioiii TfC Liie dljcussod action, I btlicve you
vlll find ry lirt i/orthvhlle :"or go ctatue. It is In
priority order.
1. PiCKcr,, Ai;r;oi.D m. >
United ArLiiitj Corporation ^^
929 7th Avenue
Hew York. II. Y.
Top Muskie fundraiser. Success here could be both
debilitating and veiy einbarj-asnins to the lluskie nachine.
If effort 10D);s proi..i3ii:.:;, both Ruth and David Piclx-r should
be proGra.-naed and tlien a follow- throuch with United Artists.
2. BARKAN, ALEX.AKOER E.
National Director of AFL-CIO's Comraittce on Political
Education
V/ashincton, P.C.
Without a doubt tlie most powerful political force
progra.TjKcd- accin-t us in IS'6'1. (-'lO million dollars, h.6 million
votes, 115 Biillio:i pamphlets, 175,000 vorl'.trs - all procrainiEed
by Barhiin'3 C.O.P.K. - Co cuyr. Tcdd;,- V.Tiltc in The Ib!arig of
the President '68). We can expect the came effort this time.
3. CUTI!t^AlJ, ED
Managing Editor L. A. Tines
Cuthman, forcer Kcnned^v aide, vas o highly sophisticated
hatchetzan acninot us in '68. It is obvious he is the prime
mover behind the current Key Biscayne effort. It Is time to
give him the mcECccc--.
•l. D,\HE, MAX-VKLI.
Doyle, Pane and Dernbach
New York
The top Democratic advertising flm - They destroyed
Goldvator in '61*. They sliould be hit hard starting with Dane.
5. CHARLES DYSON
Dyson-Klssner Corporation
New York
Dyson and Larry O'Brien were close business associates
after '68. Dycon has huce business holdings and is presently
deeply involved in the Buslncnsmen's Educational Fund which
bankrolls a national radio netv;ork of 5 minute programs - Anti-
Nixon In character.
/
x/
(107)
8.3 GEORGE BELL'S OPPONENTS LIST
1695
6« STi'inj, KOJ.V.D
Dreyl'uii Corpiirtition
Now York
Heaviect cont.rjbi.tor to Mc Carthy In '60. If He Carthv
goeo, will do tl.c car,.3 in "r^. If not. Undsay or Mc Govern
vin receive the- funds. »~»=i^n
7. L07DiCTni;, fj.um>
Long Island, New York
Culdinc force behind the ifl year old "dump Nixon"
vote drive.
1/
1/
10.
lIALPERm, KOTfrOll
Leadltis executive at Como'j Cause
A scandal v-nuld be most helpful here.
WOODCOCK, IJ!»I.'ARD
UAV/
Detroit, lUchigaii
No comments necessary
s. STEru-n.'G trjiflio, jr.
Sfen&tor Jackson's AA
711 Laabertoa Drive, Silver Sprlne, Md.
We should give him a try. Positive results vould stick
a pin In Jackson's vhtte hat.
11. FELD, IlKnrf.ARD T.
President
Council for a Livable V/orld
Heavy far left funding. They uiU proeram an "^1 court
press" against us in "72.
12. DAVIDOFF, SIDIrtTY
Hew. York City
Lindsay's top personal aide.
A first class S.O.D., vJieeler-dealor and suspected bagman.
Ptositlve results would really shake the Lindsay co-iip and
Lindsay s plans to capture youth vote. Davldoff in cliai'ge.
13- COirfERS, JOHN
Concressraan, Detroit
Coming on fast. Emercing as a leading black ontl-NIxon
apokesman. Has known weakness for white females.
1/
-^
(108)
'8.3 GEORGE BELL'S OPPONENTS LIST
1696
ll*. LAi-lBERP, S.'UDEL M.
Pi-esident
National Education Acsociation
Has taken us on vis n vis federal aid to parochial
schools - a ''(2 issue.
15. MOTT, SVKflMiT: RAV/LUIGS
Mott Associates
New York
Notnlng but big money for radic-lib candidates
16. DELLUMS, RONALD
Congresstuan, California
Had extensive OtK-Tunney support in his election bid.
Success might help in Califoi-nia next year.
17. SCHORR, DA^riEL
Columbia Broadcasting System
Washington
A real media enemy.
18. S. HARRISON DOGOLE
2011 Walnut Street
Philadelphia, Pa.
President of Globe Security Systems - Fourth largest private
detective agency in U. S. Heavy Humphrey contributor. Could
program his agency against us.
19. PAUL NEVMAN
California
"Radic-.Lib causes. Heavy Mc Carthy involvment '60. Used
effectively in nationuide T.V. commercials. '72 involvment
certfiin.
20. n: GRORY, MARY
2710 Macomb Street, V/ashington
Columnist
Daily hate Hixon articles.
(109)
9. On or about September 14, 1971 Dean sent to Haldeman's aide,
Lavrence Higby, a list of names Higby requested. Most of the names were
the same as those checked by Colson on the list attached to the
September 9, 1971 memorandum discussed in the preceding paragraph.
Dean testified that upon a request from Haldeman that he wanted to
nail this down as to the 20, or the minimum number with whom they could
do something Dean sent the list to Higby for Haldeman's final review.
On several occasions thereafter Dean received names for the enemies
project from Higby and Strachan, also an aide of Haldeman. Dean
testified that he also received a list of McGovem campaign staff
prepared at Ehrlichman's direction by CRP Director of Ballot Security
Murray Chotiner. Dean has testified that the lists were principally
used by Colson and Haldeman and that he did not know what they did with
them. Haldeman has testified that enemies lists or opponents lists
were used for withholding White House courtesies and invitations from
those who had expressed opposition to Administration policies.
Page
9.1 John Dean testimony, A SSC 1350, 1408-10, 1529 113
9.2 Memorandum from John Dean to Lawrence Higby,
September 14, 1971, SSC Exhibit No. 50, 4 SSC
1697-98 118
9.3 Memorandum from Gordon Strachan to John Dean,
September 17, 1971, SSC Exhibit No. 52, 4 SSC
1700 120
9.4 Memorandum from Gordon Strachan to John Dean,
October 26, 1971, SSC Exhibit No. 53, 4 SSC
1701-02 121
9.5 Memorandum from Gordon Strachan to John Dean,
MoveTuber 5, 1971, SSC Exliibit No. 54, 4 SSC
1703-04 123
(111)
I
Page
9.6 Note from Lav/rence Hi^by to John Dean, undated, '
SSC Exhibit No. 51, A SSC 1699 126 1
9.7 H. R. Haldeoan testdLnony, 8 SSC 3154-56. 12"7
I
I!
(112) I
J
r
9.1 JOHN DEAN TESTIMONY, JUNE 27, 29, 1973, 4 SSC 1250, 1408-10, 1529
- ■■ ■ 1350
lem of dealing with political enemies and a strategy- which would
J involve a number of members of the Wliite House staff in various
phases of that project to deal with political enemies.
[The document referred to was marked exhibit No. 48.']
Mr. Dean. The next is a document dated September 9, 1971. It is
from Charles Colson to John Dean, in which Mr. Colson has checked
in blue those that he would give top priority on the enemies' list, and
an attached series of lists that were prepared by Mr. Golson's office of
what were deemed opponents or political enemies.
[The document referred to was marked exhibit Xo. 49.']
Mr. Dean. The next is a memorandum dated September 14, 1971,
which is a memorandum from myself to Larry Higby which attached
the names that he had requested in connection with the political ene-
mies' project and a limiting of that list to some 20 names. These were
names which were based on the suggestion of Mr. Colson.
[The document referred to was marked exhibit No. 50.']
Mr. Deax. The next is a section of the news summary, of what date
I don't know. It is from Mr. Higby to me, indicating that DNC Treas-
urer Robert Strauss shoidd be on the list.
[The document referred to was marked exhibit No. 51.'']
Mr. Deax. The next is a document dated September 17 from Gordon
Strachan to me indicating that the attached list should be included in
the political enemies' project. And there is attached a list.
[The document referred to was marked exhibit No. 52.^]
Mr. Deax. The next is a memorandum from Gordon Strachan dated
October 26, 1971, to me, indicating that Mr. Nofziger sent the attached
information on Chet Huntley to Mr. Haldeman and that since I have
the action on the political enemies project I should make a determina-
tion of what should happen and advise Mr. Nofziger of what should
happen.
[The document referred to was marked exhibit No. 53.*]
" Mr. Deax. The next is a memo from Gordon Strachan of November
5, 1971, snbiect J. Irwin Miller which indicates that he fits into the
enemies project.
[The document referred to was marked exhibit No. 54.']
Mr. Deax. The next is a memorandum from a member of Mr. Col-
son's staff that is part of one of many memorandums that came in. this
one is dated June 28, where there was a continual updating of the
opponents list.
^^^ [The document referred to was marked exhibt No. 55.*1
I Mr. Deax. And the last docimient is one relating to the McGovern
I campaign staff with asterisks beside certain key names that were to be
I included in the opponents project also.
I [The document referred to was marked exhibit No. 56.']
^™"irr. Deax. And that is the sum and substance of the request that I
have a\"ailable that ^fr. Weicker asked me forvesterdav.
Mr. Dash. Mr. Dean, can we have those? Thev will be marked, and
we will make copies of them for members of the committee and cir-
culate them to members of the committee.
Senator Envix. Let the reporter mark them with the appropriate
numbers.
I em
1 See p. IKSO. "Spe p. 17M.
= Spe p. 1R02. 'See p. 170.9.
' See p. IfiOT. ' .See p. 1705.
"See p. 1600. ".See p. 1707.
'See p. 1700.
(113)
9,1 JOHN DEAN TESTIMONY^ JUNE 27, 29, 1973, 4 SSC 1350, 1408-10, 1629
1408
Thank you for your patience, and, Mr. Chairman, especially I
thank you for your patience and the rest of the members of the com-
mittee. I am sorry I have taken so long.
Mr. Dean. I thank the Senator for his questions. I think they were
very good.
Senator Er\t[n. I want to thank the Senator for his examination of
the witness.
We will take a recess for a vote and come back after the vote.
[Recess.]
Senator Ervin. The committee will come to order.
Mr. Dash. Mr. Chairman, Senator Inouye, prior to asking his ques-
tions, has asked me to have cleared up by Mr. Dean some more identi-
fication of the materials which he has submitted to us which we have
just received back from the Xerox machine. This is the second batch.
What I would like to do, Mr. Dean, if I could give 3'ou this batch
of questions which are in approximately the order you gave them, and
if you could go through them to the extent you can, identify the source
of each one if you can. Some of them, for instance, are a list of names
without any letterhead or any indication. Who drew up the list of
names ? There is no indication as to whether or not the memorandiun
Avas attached. The way they presently appear, the identification of
each of these documents is obscure, and I think for our purposes, if we
use them for the committee's work, it would be important if you
looked at them and to the best of your recollection, tell us what each
list is and who drew it up and who received it, to the best of your
recollection.
Mr. Dean. Are we working from the same stack, the same order I
have ?
Mr. Dash. If vou could identify for the record from what you are
^reading, not read the entire record.
. ^fr. Dean. I liave the first document from Gordon Strachan to John
Dean, dated September 17.^ And the source of this list is Mr. Strachan
and sent to me. I do not know where he got the list.
The next document I have is a memorandiuri dated October 26 from
Mr. Strachan to me. subject, "Political Enemies."^
Mr. Dash. Mr. Dean, is the prior list also supposed to be included in
political enemies?
Mr. Df.an. Yes, sir, it was.
^Ir. Dash. Could you identifv it ? If you already have, all rip-ht. But
when you speak of the list, if it is a contributors' list, identifv it as
such: and if it is supposed to be an opponents list, an enemy's list,
would you please characterize it ?
^fr. Dean. The list I have — the first list I was referring to has a
reference on the cover note that came to me: "The attached should be
of interest to you and the political enemies project." Attached to it is a
partial list of fat cats attending a Muskie fundraiser.
The next document, the memorandum of October 26 from ^Ir.
Strachan to me. subject "Political Enemies," indicates that Mr. Xof-
ziger sent the attached information on Chct Huntley to ^[r. Haklo-
man. "Since you have the action on the political enemies project,
would you make your determination of what sliould hapjien, advise
Nofziger and mention your decision to me."
' Previously enterpd into the rpconl ns exhibit ii2.
' Prevlonsir entered into the record as exhibit 5,'?.
(114)
1
r
9.1 JOHN DEAN TESTIMONY, JUNE 27, 29, 1972, 4 SSC 1350, 1408-10, 1529
1409
Attached to that is a memorandum from Nofj^iger to Haldeman re
Chet Huntley. I think that the notations on tlicre, whicli are mine, are
self-evident.
The next document I have is a list of the McGovern campaign staff.'
This list was prepared by Mr. Murray Chotiner and sent to me. Mr.
Chotiner had some discussions with Mr. Ehrlichman about this, and
he was to prepare a list and send it over to me pursuant to some instruc-
tions and directions he had from Mr. Ehrlichman.
Mr. Dash. Now, do you characterize that list as a so-called enemies
list or a campaign contributors' list?
Mr. Dean. This was to go into the general enemies project, which I
might add at this point generally went into the file, where it remained.
The next document, dated November 5, 1971, is a memorandum from
Gordon Strachan to me regarding J. Irwin Miller.^ It notes that "You
will probably notice in this morning's news summary that J. Irwin
^Miller, who is still giving money to Democrat John Lindsay, though
he states he will support K. N., is also a backer of Lugar. I trust that
you will use this information as you see fit in the enemies project."
Attached is the news summary of that day.
The next document I have starts "Politicos continued." This is a
document that came out of Mr. Colson's office to me.
Mr. Dash. What is that? Have you identified that document?
Mr. Dean. Yes, I have.
Mr. Dash. Is that also an enemies document ?
Mr. Dean. That is correct. That was a part — this is one of the
updates. I am sure there was a cover memorandum or probably it is in
my files somewhere in the WTiite House that this was related to.
[The document referred to was marked exhibit No. 60.^]
The next document is dated November 11. It is a memorandum from
a member of Mr. Colson's staff. The subject is "Opponents' List," and
it has, it is directed to Marge Acker, Pat Buchanan, John Dean. Dan
Kingsley, Larry Higby, Gordon Strachan, Van Shumway, Gerry War-
ren, and Lucy Winchester. Connected to that is a similar list with more
additional names, these all coming from Mr. Colson's office. And there
is a third document, dated June 2, of the same nature.
Mr. Dash. The same origin ?
Mr. Dean. That is correct. There is a duplicate document of the same
natiire.
[The document referred to was marked exhibit No. 61.*]
Another one dated May 16, the same origin. As I say, this list was
continually being updated, and the file was several inches thick.
[The document referred to was marked exhibit No. 62.^*]
The next document is a memorandum 'of September 14, 1971, from
me to Mr. Higby, indicating a list of names that he had requested, as
well as additional materials containing other names. I might as ■^■ell
lead the memorandum : ®
n
^ Previously entered Into the record as exhibit 56.
- Previously entered into the record as exhibit 54.
' See p. 1T13.
• St>e p. 1723.
"^ See p. 172S.
• Previously entered into the record as exhibit 50.
(115)
9.1 JOHN DEAN TESTIMONY^ JUNE 27, 29, 1973, 4 SSC 1350, 1408-10. 2529
1410
The list I have prepared is merely suggestive; it is. based on conversations I
had with others regarding persons who have both the desire and capability of
harming us The list is limited to less than 20 persons, as it would be most diffi-
cult to proceed with more at this time. I would hope we would continue to feed
additional names into the process every few months, but we must keep this proj-
ect within reasonable bounds. I will await the review of these names as 1 feel
certain there will probably be additions and deletions from the list. Before I take
any action, please keep the list at at least 20 or less.
Attached is a list that ^vas prepared based on a document that Mr.
Colson had gone through and picked out some 20 key names.
The next document is a page of a news summary.' I don t know^the
date of the news summary. It has a notation on the top, "Dean/L."
Mr. Dash. When you say news summary _ j , .,
Mr. Dean. This is the daily news summary that is prepared for the
President and distributed to various members of the White House
staff.
The "Dean/L" indicates that it was to me from Mr. Higby and he
has encircled DNC Treasurer Robert Strauss, with a note, "Is he on our
list? Or should he be?"
LMr. Dash. Did you respond to that ?
Mr. Dean. No, sir; I did not. As I say, most of these merely went
into a file in my office, where I just gathered them.
The next document I have is a document entitled "Corporate i^-^ecu-
tives Committee for Peace, Trip to Washington, June 25, 19*0, with
a list of names. This was another document that was sent as a part of
one of the continuing updates. ., . ^. ^o ?i
[The document referred to was marked exhibit ^o. 63. J
Mr. Dash. What is the source of that document?
Mr Dean. That would have been from ^Ir. Colson's oflfic^. The next
document is entitled "Democratic Contributors of $25,000 or More in
the 1968 Campaigns" —from June 20, 1971, New York Times story—
with certain names checked on the list. This is a document that came,
again, from Mr. Colson's staff.
[The document referred to was marked exhibit No. 6-l.^J
Next is a series of documents that relate to Muskie contributors.
Part of it is cut off on the top here in the xerography process and this
document was 'forwarded to me from Mr. Colson's office also.
[The document referred to was marked exhibit No. 65." J , . , .
The next document =^ begins— it is a blank sheet of paper, which is a
briefing paper that I was requested to prepare for Mr. Haldeman so
that he could deal with the Secretary of the Treasury with regard to
making the Internal Revenue Service politically responsive to the
White House. , . .
This document was prepared— the top document was prepared by
myself: the attached document was prepared by Mr. Caulfield based
on conversations he had had with individuals in the Treasury Depart-
ment, as well as the last document was prepared by Mr. Caulfield as a
result of convereations he had with people in the Treasury Depart-
ment and in the Internal Revenue Service. ,™ , ,,
Mr. Dash. That was prepared by you with :Mr. Caulheld s assistance
to be delivered to Mr. Haldeman?
]Mr. Dean. That is correct.
1 Prevlonslv entered Into the record as exhibit 51.
= See p. 17'30.
' See p. 1733.
*Sce p. 1734. , . ,. ,, , .
5 Prpvinuslv entered Into tlie record as exhibit 44.
(116)
9.1 JOHN DEAN TESTIMONY, JUNE 27, 29, 1972, 4 SSC 1360, 1408-10, 1529
1529
Senator Ixottye. I believe this line of questioning is very important,
because your exhibits have listed, I would say, a couple of hundred
' names of very distinguished Americans, most of them, and other
exhibits have suggested that extra-legal activities had been carried out
in connection with these names.
Now, there are Members of the Senate and Members of the House
whose names have appeared, but to date, you have been able to tell us
of the possibility of a man from CBS, and Chet Huntley.
Are there any other concrete examples? I am asking you this be-
cause Mr. Colson has gone on the air suggesting that the lists you sub-
mitted were a social list, that this was a list used by the White House
so that they would not invite the names listed there for the Wliite
House dinners.
Mr. Dean. I think you will note in there at some point — first of all,
that 3Ir. Colson, there is a memorandum to him in one of the exhibits
where he was to cull out the 20 worst enemies and submit them. This
was again because I was receiving through Mr. Higby and Mr.
Strachan a direct request from Mr. Haldeman that he wanted to nail
this down as to the 20, or the minimum number that we could do some-
thing with.
So, we went through this big thing of taking all the lists Mr. Colson
had, and Mr. Colson went through and checked off through his lists
what he thought were his candidates. He was the only one that I knew
that dealt in these areas. I certainly — none of these people were my
enemies. In fact, most of these names were unfamiliar to me.
As a result of that, I sent a memorandum to Mr. High)' indicating,
here are the lists, don't let it go over 20, and this was sent to Mr. Higby
for Mr. Haldeman's final review. It was sent back to me and went back
in the file again.
Senator Inottte. Did you know if anything ever happened to these
20 on the top — hit parade ?
Mr. Deax. I cannot answer that, because I think it was realized that
my office had less than enthusiasm for dealing with things like this.
Senator Inottye. Are you suggesting that this listing of names was
just an exercise?
Mr. Deax. As far as I was concerned, it was an exercise that I had
no intention to implement ; that is correct. Senator.
Senator Ixouye. Are you aware of any person or any agency or any
official using these lists to do harm or injury or to assist ?
Mr. Deax. They were principally used by Air. Colson and Mr. Halde-
man and I don't know what they did with them. I know on one oc-
casion. I had a call regarding the fact that some of the President's
friends — and these are in exhibits and I just think it would be in-
appropriate right now to mention the individuals' names — were having
tax problems, and I was to look into those. I had Mr. Caulfield, who
had — who was the person on my stafT, who was the only one T knew —
who had a relationship with the Internal Eevenue Service — because I
could onlv deal with the Director.
I did deal with one of his assistants from time to time on sensitive
cases, where thev were just brought to our attention if somebodv in
the administration was having a normal audit, just to alert the A^Tiite
House to the fact that such an audit was occurring.
L
(117)
9.2 JOHN DEAN MEMORANDUM, SEPTEMBER 14, 1971, SSC EXHIBIT NO SO
4SSC 1697-98
1697
Exhibit No. 50
the white house
WASHINGTOfJ
September 14. 1971
EYES ONLY
MEMORANDUM FOR: LARRY HIGBY
FROM: JOHN DEAN
Attached is the list of names you requested, as well as
additional mate^-als containing other names.
The list I have prepared is merely suggestive; it is based
on. conversations I have had \vith others regax-ding persons
who have both the desire and capability of harming us.
The list is limited to less than twenty persons, as it would
be most difficult to proceed with more at this time. I
would hope that we would continue to feed additional names
into the process every few months, but wu must keep this
project within reasonable bounds.
I will await the review of these names -- as I feel certain
there will probably be additions and deletions from the
list --before I take any action. Please keep the list at
rw^enty.cr less.
(118) '
J
9.2 JOHN DEAN MEMORANDUM, SEPTEMBER 14, 1971, SSC EXHIBIT NO. SO
4 SSC 1697-98
1698
Eugene Carson Blake
Leonard Bernstein
Arnold Picker
Ed Guthman
Maxwell Dane
Charles Dyson
Howard Stein
Allard Lowenstein
Morton Halperin
Leonard Woodcock
Dan Schorr
Mary McGrory
Lloyd Cutler
Thomas Watson
Tom Wicker
CUrk Clifford
(per request)
(per request)
(United Artists Cor^. - Top
Muslcie fund raiser)
(Managing Editor, L. A, Times)
(Doyle, Dane t Bernbach)
(Associate of Larry O'Brien
bankrolls anti-RN radio programs)
(Dreyfus Corp. - Big Demo contributoc)
(Pushing the Dunnp RN move with
young people)
(Top Executive - Common Causel
(UAW)
(CBS)
(Principal force behind Common CausA
law suit against RNC, DNC. ef al)
(Muskie backer • IBM)
(N. Y. TIMES)
(119)
9.3 GORDON STRACHAN MEMORANDUM, SEPTEMBER 17, 1971, SSC EXHIBIT NO, 52,
4 SSC 1700 .
1700
Exhibit No. 52
The White House
Date:
FROM:
^t>8.^,^ (Xe-oL-*^
^/£L
GORDON STRACHAN
jl/AA-rTUJa^
purje>^
Partial list of "fat cats" attending Muskie weekend in Kennebunkport,
Maine, Sept. 11-12, 1971:
Edward Atkins'
Bert Berinsky
Paul Brountas
Bill Brown
Joe Chapman
Sherrill Corwan
Norman Cousins
Gal Dal ton
Sen. Tom Eagleton, Ho.
Joe Filner
Harold Grant
Sen. Mike Gravel, Alaska
Stan Goldstein
Bill Goldberg
Jim Goodbody
Or. Sanford Greenberg
John Guzey
Malcolm Hecht
Alex Hixon
Ralph Hoagland
Harold Jacobs'
John Levi neon
Sen. Gale McGee, Wyoming
Bob Nelson
Arnold Picker
Ralph Pomerance
Hike Rea
Eliot Robinson
Joe Si nay
Claude Spink
Bob Squier
Al Steinberg.
Martin Stone
Bunny Solomon
Peter Taroff
Dave Tillinghast
Lawrence Tisch
Jack Valenti
'Stanley Wasie
Mort Zuckorman
(120)
9.4 GORDON STRACHAN MEMORANDUM, OCTOBER 26, 1971^ SSC EXHIBIT NO. 53,
4 SSC 1701-02, WITH ATTACHMENT
1701
Exhibit No. 53
THE WHITE HOUSE
WA S H 1 N G T O N
October 26, 1971
ADMINISTRATIVELY CONFIDENTIAL
MEMORANDUM FOR:
FROM:
SUBJECT :
JOHN DEAN
GORDON STRACHAN
Political Enemies
Lyn Nofziger sent the attached information on Chet Huntley
to Bob Haldeman. Since you have the action on the political
enemies project would you make a determination of what should
happen, advise Nofziger, and mention your decision to me?
Thank you.
(121)
9.4 LYN NOFZIGER MEMORANDUM, OCTOBER 19, 1971
1702
ComjT^iuee
October 19. 1971
EYES ONLY
■>
.^■'
KiKORANDLM fO.^ ECS HALDECAN
FROM LYN NOFZIGER ^ U^
RE: Diet Hunfl ev
1. The State Cr.ainnan of ."''lOntana tells me Huntley claims to
be a Repuolicar. and will suoport and work for whatever
Republican runs acainsi Senator f'etcalf next 'jar.
2. John Whitaker has ordered the [^p'rtlUBnt (if flirtrnltiirn tn
quit draggir.g its heels on "Big Sky", probably without any
knowledge of the above or of my own project.
I believe we should (check one):
Give Mr. Huntley all the help we can with the clear under-
standing that he reciprocate with help to us in Montana.
Continue along the course we have been following since
Mr. Huntley's intemperate remarks.
Same as if2 until we see how Mr. Huntley perforins
'''Out I
(122)
9.5 GORDON STRACHAN MEMORANDUM^ NOVEMBER 5^ 1971, SSC EXHIBIT NO 54,
4 SSC, 1703-04, WITH ATTACHMENT
1703
EXHIBIT No. 54
THE WHITE HOUSE
WASHINGTON
Administratively Confidential
November 5, 1971
MEMORANDUM FOR:
FROM:
SUBJECT:
JOHN DEAN
GORDON STRACHAN i
J. Irwin Miller
You probably noticed in this morning's news summary
that J. Irwin Miller, "who is still giving money to
Democrat John Lindsay though he states he will support
RN and is also a backer of Lugar,". I trust you will
use this information as you see fit in the "^enemies
project.
(123)
9.5 ATTACHMENT TO GORDON STRACHAN MEMORANDUM
Indistinct document retyped by
Hnnse Judiciary Cnnmittee staff
1704
when he himself suggested for the Federal bench a
man "patently unqualified." All the Dems aren't
amused by EMK's escalated activity, concludes Lasky
as he quotes one who said: "I wouldn't want to buy a
used car from RN, but if I did buy one, I sure as hell
wouldn't want EMK to drive it."
New York notes that Lindsay has been a regular visitor
to Indiana and to J. Irwin Miller, who is still giving
money to Dem JVL tho he states he will support RN
and is also a backer of Lugar. This may explain why
JVL refused to campaign for Lugar 's Dem opponent
but along with fact that the Dem candidate was running
an anti-busing campaign. .. . New York's cover story
is about 32 year old Ed Hamilton who came to NYC
from Iowa 13 months ago and may be running it by
Jan. '73. The scenario is that JVL will begin his
campaign, Aurelio will resign to manage JVL and #3
Hamilton (budget director) will become Acting Mayor.
Hamilton calls himself a Kennedy liberal and he is
regarded as "about the smartest man I've ever met"
by LBJ, McNamara, Nelson Rockefeller and Frank
Mankiewicz. New York says he is_ a virtuoso.
org's Michael Rappeport writes in Washington Monthly
that US political history can be seen as marked by
"critical elections" (the last in '32) and '72 may well
be the next one. As in the other epochal elections,
there is widespread dissatisfaction with the major parties
and a substantial drop in voter turnout. Rappeport sees
the increasingly large number of young, educated whites
going Dem and the young, blue-collar whites turning
to the GOP. The increased educational level among
the young gives the Dems a much larger "educated mass "
than the GOP ever possessed and correspondingly the
working-class youth are a declining pro£ortion of the
white population. "If the econ£my -- /_the only major
issue on which the groups agre£/ has substantially
recovered, the shape of the new alignment should be-
come clear."
Indistinct document retyped by
House Judiciary Committee staff
(124)
9.5 ATTACHMENT TO GORDON STRACEAN MEMORANDUM
1704
I
^
wluM. Ill- lili-n.sulf piigt^i-stod for the Federal bench a.
vnan "p.Utnlly xinqiialilLc d. " A)l tlic Dcins aren't
anicsi.d )>> DA-IK's cscul.-it cd artivity, tonclndcs Lasky
a^ li( (jMoli's ODC \vl)o said: "I wouldn't want to buy a
ii'ifd i:ar from UN, lint if I did buy one, I sure as hell
woiddn'l want EM!C lo drive it. "
]^'l'>'_Y.t'i;V_"*^-^^ ^^''''' I^indsay has been a r<:gular visitor
to in(h'ai)a and to . J. Irwi n Atiller. wl.n 4 ■. .. fJH ^jyp p
monov tc. n^-in TVT. I>,r. l,r> .t-.fr.^ >„■ will ^..n poft: PN^
4ii^ ii'i ri^-fi |-| lirirln-r rif [ \\{; i it<. This may explain why-
jvr.. r<f' sed to camp- if n for Lufjar's Dem opponent
but alcpj' Willi fart (hal the Dem candidatft was running
an ?iiiti -h\i5;inp; rPinpaip.n. . . . New York's covcj^ story
is ab>,nl 32 yoor old j;d liamilton who came toTfYC
lioiii 1(-. ■:: 13 viion!li.<; .\go and may be running'it by
Jan. '7?. Tile s'-i-naiio if; Ihat JVL will begin his
canipfi-Ip;),, A'lrelio will resip.n to manage JVL. and jf3
lI.'iu>iion (InidQct uii. otor) vill become Acting' Mayor,
Tl.tiT'ii'on <•;,']«. hioiriK;: iCfnncdy liberal ;incl he is-
jr(;avd.-d r.;, ",d.o>t il.o rtmarfist man I've evermct"
l>j T-r.,r, Mf,?^:;.)na;•a, Nv:l;-:oit no^.ltcrellev and Frank,
M;.}kn V. Ic;-.. .y:-vv^Xd''.l ''•V>'^ he is_a virtuoso.
OKCs Isiicha.ol R.-.ppej.ort writes in ya.Mi;nf; ton MuiUTJy j
th.-«l lis political history can be seen as marked by
"<.iitiea1 election.;" (tho last in '3?,) and "72 may well
br n.e JK>:1 f>ne. As in ilic etlier epochal elections,.
tlu-.-e is \vide:;proad dii saf i-.facticn with tlio npajor pK^nli-v
and a subnlantlal drop in voter turno\:t. Rappeport sCQt:
the: iri'.rri-asin'^ly laro,. innnber of yoimg, educated whllJc.^
{.oiiif; r>cin and Ihc younij, blue-collar v/hite.s turning
io ihr COP. The increased educational level among
the youi-,;; {.ivi's (hi- Di ms a much larger "educated'maatp!
(Iion ihe COP ever po- ser^ved and correspondingly the.
v.orkjng- class youth are a di^clinlitg proportion of t^.s
v/Iiife populr'tjc.n. "ff t)ie economy -- [the only niajor
issue oil whi( h ;he group.-- a^ree] has substantially
reco. eri d, the shape of (lie new alignmvnt should be-
<:ovue ileal . "
(125)
9.6 PORTION OF WHITE HOUSE NEWS SUMMARY, SSC EXHIBIT NO. 51,
1699
4 SSC 1699
Exhibit No. 51
27
W?
MISCELLANY
v*ith the other Dcins growing V It was ''bitter and
piocativc, " in RFK's style, not JFK's. Wanuinki srya
the RN-EMK appearances at the POW relatU-ci'
■'conclave may Iiave been the first "Nixou-I-C^i'uiCvi/.
debate" of '7?.. RN was received much bc»«.j_*. i.,
Gerry Wills in Life and a New Republic rc-.ijw;;*- C3'
the Navasky book on RFK both reflect disiUuc^Ion
over the ex-AG's civil liberties record, ococcially
as it relates to \vire taps. And we learn RFK did
much buddy-buddy work with the FBI in Oi'dcr .
to get power of his own. The book, says the- ticvf
R epublic , "pulls up short of saying that RFK drove
us far down the road to repressiozi. " '*
National Observer's James Perry finds the chaxiccs -
for "the Oklahoma Hay BaiIer"lesB than they v/cre iox
the early Populists whom Fred Harris seeks to
emulate largely thru gimmickry and in a fashion,
more reminiscent of RFK's "New Politics" effort to
build a constituency to elect him rather than really
develop a meaningful 3rd party coalition. ..'. Kcws'rceh'
reports the big Calif. Dem primary may not be
so big after all if top Dems. there are successful in
setting up a "unity" slate with Tunney aa favorite son.
DNC Treasurer Robert Stra uss is^ jipposeuly andci.^
TllUii^ piu!>bUiL' tu run ^{^ainsi ben. Tower and he
confirmed he is giving it serious thought, L^rry O'Bri
however expressed confidence he wasn't going (o lo^e
Strauss. . . . McClosi^ey compiled a perfect voting' '(t
record last year on issues "central to the tradition n{
the GOP" according to Ripon. Coughlin, Cudc and
Riegle also scored 100. Highest on the Senate list
were Copdcll (96), Case (92), Hatfield (91) and'
Ribiroff (91). Rep. John McMillan was the only MC
to receive a zero.
Earlier reports that the prayer amcndmeni iu.k(-'ui
sail thru Congress may have been incorrect, xeporta-
US News , as soine MCs are concerned about the ,.
constitutional problems^ ."•;■»._,._
there's a new causb
bill's "vagueness" and
According to National Observer
(126)
9.7 H.R. HALDEMAN TESTIMONY^ AUGUST 1, 1972^ 8 SSC 3154-56
3154
Mr. Haldeman. Yes, sir. .
Senator Montota. And that Mr. Alex Butterfield was a staff assist-
ant workino; under you and under Mr. Higby. , . • ^ ^ ^ .,
Mr Haldemak. No, sir. Mr. Butterfield was Deputy Assistant to the
President and was a deputy to me and would have been considered
senior to Mr. Higby.
Senator Montota. All right.
Now, did both report to you ?
Mr. Haldeman. Yes. . f*„^oii
Senator Montoya. Did they report to you on important matters'
Did thev report every time on important matters?
Mr HALDE5LAN. I cannot verify that they reported every time. They
had areas of responsibility, Senator, that they carried out without the
necessity of reporting to me. . ._*+„n,^;^
Senator Montoya. Well, was it the requirement with resp^t to their
duties that if anything unusual was going on in the White House and
they were involved in it that they had to report to you ' .
Mr Haldeman. No, sir, not if they 'were able to deal with it on their
own. Instructions had been just the opposite. As was our policy and
our standard procedure, any man in the staff was— had the clear under-
standincr he should deal with all matters that came under his respon-
sibility as best he could and should not refer them upward unless there
was a necessity for it. . ,..„^ ^„
Senator Montota. Did you have staff conferences with them on
occasion ?
Mr. Haldeman. Yes. • , j j • i\. r^^a
Senator Montoya. Was Mr. Strachan also included m the staff
*^°Mn^HA^DEMAN. Yes. There were several different procedures at
different times and I am not able to establish which procedure was
in effect at which time. There was a period at which, during which
I attempted to hold a twice-weekly meeting of a group that included
Mr. Butterfield, Mr. Higbv, Mr. Strachan, also Mr. Kehrli, Ray Price,
John Dean, and several others, who for the purpose of coordinating
their work in somewhat the same sense that we held the senior staff
meeting each morning. But this procedure, because of the time of day
that we tried to do it, did not work out very well because I was not able
to attend many of those meetings and, therefore, we dropped it.
Senator IMontoya. I notice Mr. Strachan would present you with
memorandums on different occasions with respect to activities going
on in the White House and also at the CRP. Was he the one who would
transmit what was going on in the offices of Mr. Higby and Mr Butter-
field or did you obtain independent information from them?
Mr. Haldeman. I obtained-I worked directly with Mr Butterfield
on mattere that he felt he needed to bring to me and directly with Mr.
Higby on a much more frequent basis on matters he felt he needed to
r'^Senato^MoNTOYA. Are you acquainted with the project which was
launched in the White House to develop an enemies list?
Mr. Haldeman. I am aware of the existence of enemy lists or oppo-
nents lists, ves, sir.
Senator INIontota. What do you know about it ?
(127)
9.7 H.R. HALDEMAN TESTIMONY, AUGUST 1, 197Z, 8 SSC 3154-56
3155
Mr. Haldeman. I know that from time to time we received from
within the White House and from outside the White House, from
supporters of the administration, both in the Congress and from the
general public, complaints that people in and out of Government were
being treated by the White House in ways that people that were op-
posed to administration policies, and specifically who were vocally
expressing public opposition to administration policies, and this would
most frequently relate to the position on the war in Vietnam because
that was the policy most thoroughly under discussion.
People who were expressing vocal opposition were at the same time
being extended extraordinary courtesies by the White House in the
form of invitations to social events and other functions at the White
House, appointments to honorary boards and commissions, inclusion
on delegations to events, and that sort of thing.
Senator Montota. I am talking about enemies, not friends.
Mr. Haldeman. No, sir; that is what I am talking about — people.
I am talking about complaints by friends that people who were oppo-
nents and were vocally expressing their opposition were being, in the
view of our friends, treated like friends in the sense of receiving these
special courtesies from the White House.
Senator Montota. And you were compiling a list of these people ?
Mr. Haldeman. And as a result of the concern by our friends that
we were in their view unwisely extending these courtesies to the people
who were opposing administration policies, and on some occasions
people who, after receiving an invitation to the White House and being
at the "White House used that as a platform for getting extraordinary
publicity for their expression of opposition, that as a result of these
complaints there was a program of drawing up a list of those who, in
prominent public positions, were believed to be expressing opposition
to administration policies, and who, therefore, should not be recei\'ing
these courtesies. TL o was in the same context as a list of those who
were supporting such policies and who should be extended such cour-
tesies and who many times were not.
Senator Montota. Have you seen exhibit 50, which has been intro-
duced bv Mr. Dean in evidence here ?
Mr. Haldeman. I am not sure that I have. I would like to see it.
Senator Montota. Or exhibit 10, and I will read you some names.
"V^^lat did these people have to do with the Vietnam war?
Mr. Haldeman. Excuse me, sir, but could I have copies of those?
Senator Montota. Yes, sir; let me just read them and then you can
comment on them : Mr. Eugene Carson Blake, Mr. I^eonard Bernstein,
Arnold Picker, Ed Guthman, Maxwell Dane, Charles Dyson, Howard
Stein, Allard Lowenstein, Morton Halperin, Leonard Woodcock, Dan
Schorr, Mary McGrory, Lloyd Cutler, Thomas Watson, Tom Wicker,
Clark Clifford. That is the list. Do you want to sec
Mr. Haldeman. No, sir; I do not need to see it. I would think that
the public record of the time would indicate that a number of those
people were, in fact, quite vocally and publicly opposing administra-
tion positions on the war.
Senator Montota. Why did jou label them as enemies, then? Did
they not have a light to comment on the war ?
Mr. Haldeman. Why, certainly they did; but they did not have a
(128)
Li
9.7 H.R. HALDEMAN TESTIMONY, AUGUST I., 1972, 8 SSC 3254-56
3156
right to be extended the courtesy of the President's hospitality in order
to express their opposition.
Senator Montoya. AVell, are you in effect telling me that this enemies
list was compiled so that it would serve as an exclusion list for the
White House?
Mr. Haldeman. In effect, yes.
Senator Montoya. Why was so much time wasted in the White
House with memos and communications between stall members in try-
ing to compile this list, then i
Mr. Haldeman. First of all, I don't believe a great deal of time was
wasted in doing so. The time that was expended m doing it was for the
purpose that iTiave indicated, and was a part of carrying out the effort
of the White House to extend our policies to carry out the policies of
the administration rather than to provide a forum for the expression
of opix)sition.
Senator Montoya. Well, if your objective was, as j'ou have stated
it, why was it an effort to involve IRS in auditing some of these people
and why were there orders from the White House to the FBI to check
on some of these people ?
Mr. Haldeman. I would like to know what those orders were and
perhaps I can respond to them.
Senator Montoya. All right.
Mr. Higby, who was your administrative assistant, has given in-
formation to this commitcee that while he was in the Grand Tetons
with the President and you, he was asked by you to call Mr. Hoover
and get a complete background on Daniel Schorr; and Mr. Higby
did this, and he has submitted testimony to this committee in secret
to that effect.
Now, would you deny that?
Mr. Haldeman. No, sir.
Senator Montoya. Did you do that ?
Mr. Haldeman. I requested a background report on Mr. Schorr, or
asked Mr. Higby to request one, not in connection with the enemies
list and I am not sure in what connection it was, but I am sure there
was something that arose at the time that this request was made and
I don't know in what context, but there had been, as has been indicated
here in earlier testimony, concern from time to time about statements .
that were made and the reasons for them in terms of national security
questions and I don't know that this was in such a context because I
simply don't recall what the reason was for it.
Senator Montoya. Wliy would you order a check in that context ?
Was Mr. Scliorr being considered for an api>ointment?
Mr. HALDEjtAN. No, sir ; he was not.
Senator Montoya. Why would you check on him, then ?
Mr. Haldeman. The check was made — I don't know why, but the
check was made.
Senator Montoya. You ordered it ?
Mr. Haldeman. The request for the check was in connection with
something apparently — I assume that arose at that time that generated
a request for the background report on ^Ir. Schorr. Tlie request I
would like to emphasize. Senator, was not a request for an investication
of Mr. Schorr and at the time that the request was made it was for the
(129)
10. On September 22, 1971 John Caulfleld wrote a memorandum regarding
plans for scheduling Lawrence Goldberg to function in the Jewish area at
the Committee for the Re-election of the President. Caulfleld stated that
Goldberg was actively engaged in Anti-Defamation League activities and that
consideration should be given to a potential question of loyalty. On
October 6, 1971 Caulfleld sent a memorandum to Dean attaching lists of
charitable contributions from Goldberg's tax returns and stating that
it postured an extremely heavy involvement in Jewish organizational
activity. Caulfleld also stated that Attorney General Mitchell should
be discreetly made aware in this regard. Caulfleld has testified that he
obtained information on Goldberg's financial status from IRS Assistant
Commissioner (Inspection) Vernon Acree and that the purpose of obtaining
the information was to determine whether Goldberg was financially solvent
and therefore able to assume a campaign position at CRP.
Page
10.1 Memorandum by John Caulfleld, September 22, 1971
(received from SSC) 132
10.2 Memorandum from John Caulfleld to John Dean,
with attachments, October 6, 1971 (received
from SSC) 133
10.3 John Caulfleld testimony, SSC Executive Session,
March 23, 197A, 56-62 138
(131)
10.1 JOHN CAULFJELD MEMORANDUM, SEPTEMBER 22, 1971
suE-JECT: coLD3H:r;:;, uir^sicE yal3
I have conferred vH;h John Mc Laughlia and he has referred rae
to Donald V.'yatt the United States ilarshal in Rhode Island.
Wyatt provided the follouing input:
a) Goldberg is wealthy, having been a principal ov-ner
in the An.erican V.Tioles-ile Toy Corapany in Rhode Island.
Assertedly, his father currently ovms the business.
. I am v-aiting for results of an I.R.S. check on
■^Goldberg's financial status.
B) Goldberg has a long time (12 years) history of
"involvment in Republican politics in the State of Rhode Island.
For example, during the period I969-I960, he worked for R.N.C.
in Vfashington, D.C. In 'Gk he worked for the unsuccessful
Bruce Selya campaign for the position of Attorney General in
Rhode Island.
Assertedly, for the past two years he has been the
finance chairman of the Rliode Island State Central Comraittee.
Selya, I am told, recommends Goldberc highly.
In addDti,on, Goldberg has practiced la'..' with former
Republican Governor Del Sesto of Rhode Island.
C) On the derogatory side, it is asserted that Goldberg
vent through a messy divorce which vras corjnon knowledge amongst
his R. I. friends, but apparently did not appear in the media.
' D) It has been determined that Goldberg is actively engaged
in Rhode Island B'nai Erith - Anti Defamation League activities.
in January of this year, Goldberg and tvro other members of A.D,E.
appeared backstage at a Boston theatre where a travelling Russian
entertainment group was performing. Their purpose was to express
dissatisfaction with the Soviet repression of Jevrish civil rights
in the Soviet Union.
E) V/yatt advises that at a summer '69 meeting of R.I.
Republican officials, Goldberg made strong coniments-'vis a vis U.S.
policy toward'Israel in the Mid-East. He attempted at this meeting
to commit the assembled group towards the position of having the ,
State Departinent modify it;; Mjd-'^ast policy.
Inasmuch as Goldber;; iz schcoulcd to fui'ction at I7OI in the
Jewish area, consideratioa should be given to a potential question
of loyalty with respect to the airr, and purposes of that opsration.^
Ss~^ x-/i<^ \li
(132)
10,2 JOHN CAVLFIELD MEMORANDUM „ OCTOBER 6, 1971, WITH ATTACHMENTS
THE WHITE HOUSE
WASHINGTON
October 6, 1971
IffiT'lORMIXJI"! FOR JOHN W. DEAII, IlV
FROM: JACK CAULFIELD |\1|
SUBJECT: LAV/REI^ICE YALE GOLDBcTiG
Tlie attached history of financial contributions is for
your information. As you can see, it postures an extremely
heavy involvTnent in Jewish organizational activity.
I don't wish to raise this issue again. Hov;ever, in my
judgment^ the Attorney General should be discreetly made
aware in this regard. I regard this note as a memorandum
for ray files. I suggest you do the same, John-
(133)
10.2 ATTACHMENT TO JOHN CAULFIELD MEMORANDUM
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(134)
10.2 ATTACHMENT TO JOHN CAULFIELD MEMORANDUM
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(135)
10.2 ATTACHMENT TO JOHN CAULFIELD MEMORANDUM
nurses,
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Co7u7ibutlons;— C.,Th--inclo'/in3 Checks, money or
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(136)
10.2 ATTACHMENT TO JOHN CAULFIELD MEMORANDUM
\d^j^±z^-dl2:m~oz^
//^.Ka/ a /^/^ u /o/>h-yJ i//y/^y?s
(137)
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10.3 JOHN CAULFIELD TESTIMONY, MARCH 22, 1974, SSC EXECUTIVE SESSION, 56-62
56
Mr. Caulfisld. I guess so.
rtr. Lac^-'.ritz, Did you suggest t;hess individuals yourself
to make the sampling or were these suggested for you by Mr.
Acree?
Mr. Caulfield. These were selected by Mr. Acree as I
recall. ■
Mr. Lackritz. Pursuant to your request?
Mr. Caulfield. Pursuant to my request to see whether or
TXJt supportive of^ the request of making a determination as to
whether or not Mr. John Wayne v;as being harassed.
Mr. Lackritz. VJas this information corainunicated back to
Mr. Wayne to your laiov/ledge?
Mr. Caulfield. I have no knowledge of that.
Mr. Lackritz. All right. Off the record for a second. -
(Discussion off the record.)
Mr. Lackritz. Mr. Caulfield, did you ever obtain in forma tiin
from the tax returns of Mr. Lawrence Goldberg?
Mr. Caulfield. Yes, I believe that I did.
Mr. Lackritz. Do you recall ho;/ the request was initiated?
Mr. Caulfield. I knov/ there is a eemorandum, and I believe
it is in your possession. It v/ould be helpful for me in recallidg
just hov; that came about.
Mr. Lchritz. If it v;ill refresh your recollection, why do vJa
hot turn to tab 12; the first page of that attachment is a nots
from John J. Caulfield to John W. Daan, dated September 22nd,197lL
(138)
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,0.s jom^m,m^lISTimi.J^mL11^2m ^ ^^C EXECUTIVE SESSION, 56-62
56-62
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Can you identify that?
x^Ir. Caul field. Yes.
fir. Lackritz. 2^j-id tha next paga is a menorandam about
Lawrenca Goldberg.
Do you recogniza that as being your nenorcindum?
rir. Caulfield. Yes.
Mr. Lackritz. V/ould you like to take a moment to read that
to refresh your recollection?
(Pause.)
Mr. Caulfield. Yes, I have read it.
rir. Lackritz. All right.
Could you — do you recall that fir. Dean requested you
to obtain this information on Mir.' Goldberg? - . .
Mr. Caulfield. Yes. He v/anted, as I recall, he v;anted
background infonr^ation on Mr. Goldberg.
Mr. Lackritz. I see.
Now, in the memorandum, in the one, two, three, fourth
short paragraph there, you say, I am waiting for results of
an IRS check on Goldberg's financial status.
Mr. Caulfield. Yes.
Mr. Lackritz. Vfhat do you mean by that?
Mr. Caulfield. I asked Mr. Acree to provida information
on i!r. Goldberg's financial status.
r:r. Lackritz. VJhat do you mean by financial status?
Mr. Caulfield. There was some, as I recall, in conr.acticn
(139)
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10.2 JOHN CAULFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSION, 56-62
58
1 V/'ith. the raquast thare v/as sone question as to v/hether or not
2 '!r. Goldberg v/as financially sound.
Mr. Lackritz. For the purposes of establishing his reliab:
4 for working in the canpaign?
5 is tha-t- correct?
5 Mr. Caulfield. That's corract.
7 Mr. Lackritz. The campaign of 1972?
3 Mr. Caulfield. That's correct. As I recall, he was about
g to go over to the Committee to Reelect and there was, if I
2_Q am not mistaken, there was an allegation that he may not have
2_T_ been financially sound, and that was one of the aims of the
•j^g inquiry.
Mr. Lackritz. V/heri you say financially sound, do you mean
solvent?
Mr. Caulfield, Solvent, yes.
Mr. Lackritz. So, did you then obtain information from Mr
Goldberg's tax returns to insure that he was financially
solvent?
(Pause.)
Mr. Lackritz. Mr. Caulfield, I would just like to draw yo
attention to the last paragraph of your memorandum on that one
page there. It says, inasmuch as Goldberg is scheduled to
function in 17 01 in the Jev/ish area, consideration should be
given to a potential question of loyalty with respect to the
aims and purposes of that operation.
ai
„l
(140)
10
7. .mm CAUT.VTKT.n testimony, march 23. 1974. SSC EXECUTIVE SESSION. 56-62
59
Does that not indicate that the purpose of this menorandun
was more to check on Mr. Goldberg's political loyalty than his
financial solvency, and in fact, is that not the thrust of that
whole — . • ■ -
Mr. Caulfield. No, I wouldn't put it that way, just the
v/ay it's v/ritten. I think that tlie focus in the early part of
the nemorandun regarding the request for financial inforraation
was the thrust and focus of it, and I refer you to the first
sentence of the memo which indicates that I had . conferred with
John tlcLaughlin.
Mr. Lackritz . Who is John McLaughlin?
Mr. Caulfield. He 'v/as then on the Vfnite House Staff and
came from that area, if I am not mistaken. , -.
Mr. Lackritz. Is that Father McLaughlin?
Mr. Caulfield. Yes.
And he referred me to Donald Wyatt, the U.S. Marshal in
Rhode Island, and I believe I had a conversation with him as well
as a conversation with McLaughlin. I am fairly certain that
John McLaughlin knew La\7rence Goldberg.
Now, the information regarding his active participation
in Jev/ish groups emanated from the inquiry. It v/as not the
purpose of the inquiry, as I recall, and some of the comments,
if I am not mistaken, that I received, both from McLaughlin and
V/yatt led me to make the co:?.ment that I did in the last
paragraph.
(141)
sr.n 7
in .^ JOHN r AriLPTKLD TE STmnNY. MARCH 23. 1974. SSC EXECUTIVE SESSION, 56-62
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So my ansv/ar to your question is that tha aim and purpose
of the inquiry v;as to establish v/hether or not Mr. Goldberg
was financially solvent, and I follov/ed through on that by
speaking v/ith Mr. Acrse, and he provided the information that
is contained on the last three pages.
Mr, Lackritz, I see, and that information cones directly
from the tax return of Mr. Goldberg, is that correct?
Mr. Caulfield. Does it?
Itr. Sears. Did you ever see Mr. Goldberg's tax return?
Mr. Caulfield. No, I never saw it.
Mr. Lackritz. But you were given this information?
Mr, Caulfield. By Mr. Acree.
And in all likelihood, I indicated to Mr. Acree- that Mr.
Goldberg was going over to the Committee to Reelect and working
in the Jev;i3h area.
Mr. Lackritz. Mr. Caulfield, drawing your attention —
actually there are four pages that are tax information, as
I understand it.
Mr. Caulfield. Yes.
Mr. Lackritz. And the second page of that tax information,
does that item not appear to be a Xerox of a tax return?
Mr. Caulfield. Uhich?
Mr. Lackritz. The second page.
Mr. Caulfield. Yes.
Mr. Lackritz. That is a Xerox of a tax return?
(142)
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7/7. ■? JOm CAULFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSION, S6-62
61
Mr. Caulfield. Yes.
Mr. Lackritz. ?-jid that v;as provided to you by Mr. Acrae,
is that corr2ct?
Mr. Caulfield. That is correct.
Mr. Lackritz. Just turning back to your merao which encloses
this material, you said in your raemorandun to Mr. Dean that
''the infomation postures an extremely heavy involvement in
Jev/ish organizational activity.
" I do not wish to raise this issue again. However, In my
discretion-., the Attorney General should be made discretely
aware of this.
What did you mean by that?
Mr. Caulfield. I mean exactly what it says.
Mr. Lackritz. VJhy did you want to have the Attorney
General discretely inform.ed of this?
Mr. Caulfield. Because the Attorney General, October 6,
'71, was going to be the head of the campaign, and I did not
feel that this v/as necessarily a problem in any area, but other
than the fact that the information given to me by Mr. Acree
indicated a heavy involvement with Jewish organizations. In
retrospect, . it probably v/as a very good selection for Mr.
Lawrence Goldberg to be involved in the Jewish area with this
type of background and involvement v/ith Jewish organizations.
Mr. Lackritz. Was there some question of Mr. Goldberg ' s
loyalty because of this heavy involvement in Jev;ish organization^
(143)
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JO. 3 JOHN CAULFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSION, 56-62
62
Mr. . Caul field. Or.ly insofar as it- should be — --ti-a people
who were at the Connittee should be made aware of it. It does
r.ot in any way posture the possibility that Ilr. Goldberg would
have been disloyal, but that it was a piece of intelligence
information that they should be made av;are of, and it came about
as the result of the inquiry and. the coinments by ric McLaughlin,
and Ilr. Donald. Wy a tt^
Mr. Lacdcritr, AUL right..
Mr. Lackritz'. Back on the record.
All rights Mr. Caulfield. Did you ever make any requests
to the Internal Revenue Service on behalf o£ any other indivi-
dual in the White House that a specific individual should be .
audited?
Mr. Caulfield. Mr. Dean — and again, I don't have the
dates tor you — indicated that he wanted to see if an audit
could be instituted on an individual by the name of Greene,
who was a reporter for the Long Island newspaper I can't
think of the name.
ij Mr. Lackritz. Newsday?
ii
(144)
11. On or about September 30, 1971 Caulfield sent a memorandum to
Dean reporting on IRS tax audit information about Rev. Billy Graham.
Caulfield testified that he obtained the information from Assistant
Commissioner Acree. On October 1, 1971 Higby sent a copy of Caulfield 's
memorandum to Haldeman with a transmittal slip bearing the hand-written
notation, "Can we do anything to help," below which is Haldeman 's hand-
written notation, "No, it's already covered," Dean has testified that
the President had asked that the IRS be turned off on friends of his.
~ ~ Tage
11.1 Memorandxm from John Caulfield to John Dean,
September 30, 1971 with attached routing slip
(received from SSC) 146
11.2 John Caulfield testimony, SSC Executive Session,
March 23, 1974, 46-50 148
11.3 John Dean testimony, SSC Executive Session,
June 16, 1973, 95-96 153
(145)
11.1 ROUTING SLIP ATTACHED TO JOHN CAULFIEL D MEMOEANDUM
THE WHITE HOUSE ""i f] -^/
WASHINGTON
(Date) '
TO:
FROM: JOHN DEAN
ACTION: DUE DATE:
Prepare Reply For John
Dean's Signature
Comments /Recommendations
Please handle
Information
File
REMARKS:
(146)
11.1 JOHN CAULFIELD MEMORANDUM, SEPTEMBER 30, 1971
THE WHITE HOUSE
WASH I NGTON
•" ■ ■- September 30, 1971
Ma-IORANDUM FOR JOHN W. DEAN, IIB / J /
\ \ t' _ ■*'
FROM: JACK CAULFIELD , ,
\ \ .
SUBJECT: BILLY GRAHAM, JOffl^^AYNE IRS ACTIVITY
Graham'is currently under IRS iaiidit (Atlanta region 7. His
1965, 1966, 1969 and 1970 returns are being scrutinized with
'a view towards determining whether gifts made to Graham are _
in fact taxable income.
A discreet check indicates that an "anonymous" telephone call
may have initiated the audit. A "back door" copy of the sensitive '
case report out of Atlanta has been viewed and contains a reference
to'this fact. However, the copy on hand at the Vfeshington office'
indicates that r^cnncl IRS cudit procedures c:iv.sed the ir*i\->^Ty
Some of the areas to be looked into are:
Construction work performed free of charge
Decorator work performed "
Clothing received as gifts from Charlotte & A.shville,
North Carolina stores
Tuition involved in sending Graham's children to foreign schools
The contacting of a number of Grahxam donors by IRS investigators
suggests that the inquiry might possibly surface in the media.
Judgments should be made accordingly.
The material requested regarding John Wayne is not yet in.
Will advise.
(147)
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11.2 JOHN CAULFIELD TESTIMONY^ MARCH 23, 1974, SSC EXECUTIVE SESSION, 46-50
46
vour inclusion of the words, "from the tax returns", because
I do not kno'.v.
Mr. Lackritz. I can rephrase that, John. Do you ever
recall requesting any tax inforraation about specific individuals
or organizations from any individual in the IRS?
Mr. Caulfield. Off the record.
(Discussion off the record.)
Mr. Sears. Could we have the question again^,, please?
Mr. Lackritz; Mr. Caulfield, do you recall ever reques-
ting tax information about any specific individuals or organi-
zations from anyone :• in the IRS?
"Mr. Caulfield. " I recall transmitting a request for tax
inforriation from Mr. Dean, period.
Mr. Lackritz. Do you recall any of the specific request;
that Hr. Dean asked you to obtain?
Mr. Caulfield. Yes, I do. I recall the requests for tax
information as to the tax status of Mr. John Wayne and Mr. Bii:.y
Graham.
Mr. Lackritz. Could you turn to tab 15 of Exhibit A froiji
last week? Can you identify that first menorandma from your-
self to John Dean, dated September 30, 1971?
Mr. Caulfield. Yes, that is mine, yes.
Mr. Lackritz. Those are your initials? They are^. some-
what faded.
Mr. Caulfield. Yes.
(148)
11.2 JOHN CAULFIELD TESTIMONY. MARCH 25, 1974, SSC EXECUTIVE SESSION, 46-60
47
Mr. Lachritz. I t^ke it this is your r'sport back ^o Mr.
Dean on his request for inforrracion on rhe status of Billy Grah-sm ard John
Wavne's tax returns? You st^ts in the second paragraph that a
^ ■ "discreet check indicates that an anonynous telephone call nlay
^ have initiated the audit." VThat do you mean by '. ""discrete check"?,
6 Mr. Caulfield. It simply means 1 called Mr. Acree, and
7 - ■; a.av^d him to :discr-etely determine as requested.- [
8 , Mr.:.Lackritz._ Detamination of what? How the audits-are
^ requested? -
10 Mr. Caulfield. I think, if I recall' correctly, the request
11 was to msike a determination as to whether or not I-Ir. Billy
12 Graham was being harassed by the IRS .
13 Mr. Lackritz. Did Mr. Dean say where that request had
14 come from?
15 Mr. Caulfield. No, and again, I want to repeat, so I makjs
16 it more understandable to you; very often Mr. Dean, in practi-
17 cally all the cases, Mr. Dean did not indicate where his assigr-
13 ments were coming from.
19 Mr. Lackritz. I understand that. I just wanted to know
20 specifically, in this case.
21 He didn't indicate to you that the President v/as interestied
22 in this case?
23 1 ^^r. Caulfield. No, he did not.
I
24 1 ?-!r . Lackritz.— vrnen you say, 'ii back-door copy of -che san-
25 I sitive case report out of Atlanta has been reviev/ecT", how did
(149)
11.2 JOHN CAVLFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSION, 46-50
i
■'• you get a copy of that sensi-ive casa report?
2 :'r. Caulfield. Mr. Acree showed it to na .
^ Mr. Lackritz. Is that normal procedure?
* Mr. Caulfield. I dor. ' t know what you night characterize
^ as normal. The V^hite House ir.aking a request in this fashio.i
6 would probably be considered abnomal, but —
7 r-lr. Lackritz. Did you personally, Itr. Caulfield, view
8 any other sensitive case reports?
9 Mr. Caulfield. No, not that I can recall.
10 Mr. Lackritz. But Mr. Acree did show you a copy of this
11 particular case report?
12 ':4r. Caulfield. Yes. I don't recall specifically, but it
13 is indicated here, and I will say yes.
.14 Mr* Sears. Let's be clear on this. Do you -recall or not
15 Did you see this report, or did he tell you about it?
16 Mr. Lackritz. Doesn't it say, r-lr , Caulfield, "has been
IV viewed? "
18 Mr. Caulfield. I knov: v;hat it says. I just can." t — '■-
19 Mr. Sears. Recall specifically what it is.
20 - r-lr. Caulfield. Vliethsr he's isditcHrializing "here — I can't say
21 for a fact v;hether or not there v;as literary license in that
22 sentence, or v/hether or not I actually viewed it. I don't re-
23 call.
24 Mr. Lackritz. Wait a ninute, Mr. Caulfield. I want you
25 I to think back. Do you recall •.•;riting this r.enorandun?
(150)
4
6
11.2 JOHN CAULFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSION, 48-50
49
Mr. Caul field. Yes
Mr. Lac/.ritz. 'Jould you v/rite a neraorandun saying;' a
back-door coov of a sensitive case report out of Atlanta has
bean viev;ed)' if you had not viewed it?
^ Mr. Caulfield. No. It's very possible that the back-coqr
copy had been viev/ed by Mr. Acree , and described to me over the
''' phone, and that's the way I'm reporting it there. I don't say
S that I saw it
^ lAr . Lackritz. In any case, information from a sensitive
•^^ case report vas brought to your attention by Mr. Acree. That's
11 correct, isn't it?
12 j^_r.. Caulfield. If Mr. Acree did, in fact —
13 Mr. Lackritz. Mr. Caulfield, the answer to the question
14 is yes, isn't it?
15 Mr. Sears. Yes.
16 Mr. Caulfield. VJell, I don't know for a fact. Off the
17 record for a second, please.
18 (Discussion off the record.)
19 Mr. Lenzner. Let's go back on the record.
20 .^^Hiat does "'a back-door copy"naan, Mr. Caulfield?
21 Mr. Caulfield. I would interpret that to mean —
22 Mr. Lenzner. V.'ell, you v/rote it. VThat did you .mean whe
23 you v/rote it?
24 I Mr. Caulfield. Yes, that's what I'm saying.
25 11 Mr. Lenzner. Go ahead and tell us what you meant v/hen
(151)
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JJ.2 J-QM CAULFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSIOtJ, 46-50
50
you wrote it.
Mr. Ca'alfield • My innression v;as that soneone had viewec!
tha sensitive case report, ar.d reported v/hat v/as contained on
it. That's v/hat I really mean by a "back-door copy\" without an
official, internal IRS request.
Mr. Lenzner. vrnat was Mr. Acree's position at the IRS?
Mr. Caulfield. He was assistant commissioner for inspec-
tion.
Mr. Lenzner. And in that position, did he not have re
gular access to sensitive case reports?
Mr. Caulfield. I aiti not familiar with the IRS procedures
whether or not he would have, officially or unofficially. I air
not familiar v?iti. how that v/crks .
Mr. Lenzner. Were you aware of whether Mr.' Barth had ac-
cess to sensitive case reports?
Mr. Caulfield. Yes, I was. But I hasten to add that
sensitive case report , in all likelihood, is probably a very
general procedure. I do knov; for a fact that part of Mr. Barthj's
duties v/ere to keep the Secretary of the Treasury advised of
sensitive case reports, vniether or not the same procedure dox^n
at the bureaucratic level is the same, I do not know.
Mr. Lenzner. .Ml I am asking, Mr. Caulfield, is you were
aware that Earth had access to sensitive case reports or? a re
gular basis, right?
Mr. Caulfield. Now, I prefer that you would be more
(152)
11.3 JOHN DEAN TESTIMONY. JUNE 16. 1973. SSC EXECUTIVE SESSION. 95-96
Indistinct document retyped by
House Judici a ry Commi ttee staff -
95
and he asked me, you know, why we hadn't been more effective
in using the Internal Revenue Service in dealing with some of
our enemies ,
Mr. Thompson. Checking people's tax returns?
Mr. Dean. Starting to audit some people. I told them that
we had not used that because the White House didn't seem to
have any clout at the IRS, and that was a highly dangerous
procedure , in fact , I had been in the past requested on a number
of occasions to get audits instituted, and I had not done it.
On one occasion they were running the story on Rebozzo, [sic] in News
Day, I can't remember the reporter's name, and they wanted an
audit started on him, to get that man through the Internal
Revenue Service. I didn't have the guts to call Johnny Walters
and tell him to do that, so I told —
Mr. Dash. Who is that?
Mr. Thompson. The head of IRS. >
Mr. Dean. I told Caulfield about it and he said that's
not the way to get that done. I don't know how he did it. He
later reported he thought he got it started; apparently he went
to somebody down in the ranks of the IRS to get the audit started.
Mr. Thompson. Do you know of any other use of IRS before
you came on board the White House, your understanding that the
IRS had been used previously.
Mr. Dean. I have some documents that are very sensitive
because of the people Involved, where the President had asked
Indistinct document retyped by
House Judiciary Comnlttee staff
(153)
11. 3 JOHN DEAN TESTIMONY. JUNE 16. 197Z. SSC EXECUTIVE SESSION. 9f.-afi
Indistinct document retyped by
House .J udiciary Committee staff gg
it be turned off on friends of his. He asked me, and I was
sitting around; and in the meantime I got a little bit of
information, and I sent it to Higby who sent it to Haldeman,
and I asked Haldeman what he wanted me to do. I got a note
back in Haldeman 's handwriting that it had already been taken
care of.
Mr. Thompson. Any other areas in this meeting?
Mr. Dean. Yes. He then talked about the fact that after
the election we were going to get rid of a lot of people that
were not helpful. Haldeman began taking notes, and Haldeman
interjected at one point and said to the President, "We are
preparing a government-wide analysis of who our friends and
our enemies are out there", and that it would be ready after
the election.
I was aware of that be cause they came to me and asked me
about the Department of Justice, and I said, "Don't touch it,
leave it alone". I might have made one exception to that,
Roger Cranton had been raising hell with everything the White
House wanted done. What happened there, though, we had been
spoiled by Bill Runquist , who had a fine legal mind and thought
just the way the White House did; and Cranton didn't think the
way the White House did, and we had a lot of discussions over
legal issues.
Mr. Thompson. Did the President make a phone call to
McGreeor?
Indistinct document retyped by
House Judiciary Committee staff
(154)
12. On or about October 6, 1971 Caulfleld sent a memorandum to Dean
transmitting information about tax audits of John Wayne and eight other
entertainers and former entertainers which Caulfield had instructed the
IRS to furnish. Caulfield has testified that he obtained the information
from Acree.
Page
12.1 Memorandum from John Caulfield to John Dean,
October 6, 1971 (received from SSC) 156
12.2 John Caulfield testimony, SSC Executive Session,
March 23, 1974, 54-56 161
(155)
\
The White House
WASHINGTON
Date '^0/6/n
TO:
JOHN w. jmm, III
FROM:
JOHN J. CAULFIELD
ACTION:
__J\pproval/Signature
_jCommonts/RecorTST«ndat1ons
__Jor Your Information
Flic
REMARKS
«
The V/ayne complaint vhen
viewed in the attached context
does not appear to be strong
enough to pursue.
(156)
22. 1 JOHN CAULFIELD MEMORANDUM, OCTOBER 6, 1971 ■
Audit Exaninations of Individuals in the Entertainment Industry
V/ho are Politically Active.
Per your instructions of September 28, 1971> "'''e have selected
some .individuals in the entertaia-aent industry v/ho vera politically
active during prior elections and detei-inined their audit history.
V/e attempted to select those individuals whose economic condition
is similar to that of JOIIK WAYIIE. Our revievf showed the follo^dLng:
RICHARD BOOi'IE - S3N ^6^-14-6^03
Results of Examination
Period
Action
Deficiency or (Overassessment)
7012
Open in Audit
6912
Open in Audit
6812
Exac'iinsd
$ 363
6712
Examined
l,OlU
6612
Siorveyed Before
■ ■ . Assigni.:ent
Kone
6512
Examined
Ho Change
SAii-ii DAVIS, JR. - 551; 362-2^-9919
■ ■-"■.- '•
Results of Examinatioi-
Period
Action
Deficiency or (Overassessment)
6912
Open in Audit
6812
Open in Audit
6612
Exan-iined
$ 5,531
6312
Exarai ned
8,683
6212
Examined
6,674
6112
Examined
15,795
(157)
r-
* ."L.
5-~
12
2 JOHN CAULFIELD MEMORANDUM, OCTOBER 6, 1971
JiilHRY L^./IS -
SSN ll(J;-12-6399
•
Results
of Exandnation
Period
Action
Deficiency
or (Overassessment)
7012
Open in Audit
6912
Open in Audit
6812
Exaitiined
$11,266
6612
Examined
30,099
6512
Exar.ined
9^,272
62^12'
Excurdned
28,131
6312
Exavainsd
11^2,718
6212
Examined
28A71
6112
E:<aniined
22,096
6012
Exandned
26>37 -
5912
Examined
^7,983 •
5812
Examned
30,839
PhTKK LA'.TFORD
- SSN 55U-i6-l;5^6*
- Kesuits
of liicaitdnation
Period
Action
Deficiency
or (Overassessment)
^912
Examined
$12,1|6> :/
6812
Exandned
10, 3»^ '
6712
E>:arjincd
7,iY2
6612
Kxamined
2,735
* Prior year
returns appear to have
been filed in New York.' '
FRED IL^CirjRRY
- ssi^ 56^-09-2532
Results
of Examination
.Period
Action
Deficiency
or (Overassessment)
6912
Exandned
• $ 693
6712
Examined
No Cnange
6612
Exandned
n,628
6512
Exandned
607
6U12
Exandned
(1,371)
6312
Exandned
6,788
6212
Exa:idned
{h,ZhQ)
(158)
12.1 JOHN CAULFIELD MEMORANDUM, OCTOBER 6, 1971
Gf-RY I';orto:j & lucille ball - ssN 091-18-501^
Period
6912
6812
6612
6512
Action
Open in Audit
Open in Audit
Swrveycd After
Assign.T.ent
Examined
Results of Examination
Deficiency or (Overassessnent)
RONALD W.REAGAIT - SSN hQO-OJ-'jk^G
Period
Action
$7,010
Results of Examination -
Deficiency or (Overassessment )
7012
Open in Audit
6912 .-
Open in Audit
6812
Open in Audit
6712 :
Open in Audit
6612
Examined
'6512
Exa.Tiined
6kl2
Examined
$312
Exandned
6212
E:>ai3ined
FRAITK SUMATRA -
SSN 929-29-0367^
Period
Action
6812
Open in Audit
6512
Surveyed Claim
61^12
Examined
6312 •
Examined
621a
Examined
6012 ■
E:ca,mned
No Change
$ 1, 122 .
3,660
1^,778
Results of Examination •.•■■
Defici ency or (O'^- era ssessment)
$ 5.708
■5,732
. . .• . 7,271 ■
■ ' 12,086
* Intelligence control card records show an open full-scale investi-
gation oh SINATRA covering the years I962 through 1965* It is not
kno'./n if this investigation involves subsequent years.
(159)
12.1 JOHN CAULFIELD MEMORANDUM, OCTOBER 6, 1971
.-Mr. JOHN VJAYI-IS's audit history, per the Form 121^7 cards^: is shown
dgIow: ' .....
.^...>,...:;^.-- - .. Results of Examination,.'".;-...
Period Actio n Deficiency or (Overass ess raent)
,6912
Open in Audit
.6812
Open in Audit
6712
Open in Audit
6612*
Open in Audit
6612*
Examined
6512
Examined
6ki?
Examined
$237,331
7,396
6,389
* The 6612 year \/as re-opened due to an investment credit carryback.
The Revenue Agent currently assigned the JOHN WAYUE returns ad-' "
vised. that the I962 and I963 tax years had also been examined, how-
ever_, the Form 12^+7 record cards showing those years as being
were not in the closed file at the date of o'or review.
(160)
12.2 JOHN CAULFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSION. 54-56
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fir. Ler.zner. Mr. Caulfi£;ld, •.■:ere you ever av.-ara of ar.yor.3
in the Ifnits House recaiving copies of sensitive case recorcs
at any tine?
Mr. Caulfield. No.
Mr. Lenzr.er. And your testin'.ony today is that at no tinie
did you ever see, observe or copy a sensitive case report your-
f-lr. Caulfield. That is correct. .
Mr. Lenzner. I could not hear your.
Mr. Caulfield. That is correct.
Mr. Lackritz. All right, Mr. Caulfield, in tab 15 I
would like for you to turn back to the note on White House
notepaper to Johji V;. Dean, III, from John J. Caulfield, date
10/6/71, a remark saying, "the VJayne complaint when viev;ed in
the attached context, does not appear to be strong enough to be
pursued. "
Mr. Caulfield. Yes.
fir. Lac'critz. Can you identify that as coming from your
office?
Mr. Caulfield. Yes.
fir. Lackritz. Turning the page , the following four pages
appear to be information from audit e;-:aminations of individuals
in the entertainment industrv.
Did you obtain that information for Mr, Dean?.
Mr. Caulfield. Yes, I did.
(161)
12.2 JOHN CAVLFIELD TESTIMONY, MARCH 23, 1974, SSC EXECUTIVE SESSION, 54-56
55
1 Mr. Lackritz . And whare did you obtain that information?
2 Mr. Ca'^lfield. From Mr. Acree.
Mr. Lacicritz. And how did Mr. Acree provide you with this
information?
5 1 Mr. Caulfield. Ha turned it over to me at my office.
6 Mr. Lackritz. From what kinds of material? Ti-'d he turn
7 over official documents to you or did he turn over this
8 particular memorandum to you?
9 Did you. write this memorandum after receiving information?
]_0 Mr. Caulfield. I don't knov/ whether I copied it or it
21 was written in longhand, in the form that appears here.
Mr. Lackritz. I ses.
And v/as this did you obtain this kind of information frob
Mr. Acree on a regular basis?
Mr. Caulfield. No. This was the only occasion that I
know of that information of this type v/as ever received.
I'Ir. Lackritz. And you say this information is from audit
examinations of taxes of years past.
Is that correct?
Mr. Caulfield. Yes.
Mar. Lackritz. Turning to the third page of that attachment,
there is a reauast for tax infomatio'n in the middle on i:r.
12
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17
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20
21
22
23 Ronald Reagan
c;4
I take it at that time Mr. Raagan \;a3 Governor of Californi
g- ! still, v;as ha
(162)
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12.2 JOHN CAULFIELD TESTIMONY, MARCH 22, 1974, SSC EXECUTIVE SESSION, 54-56
56
Mr. Caulfield. T guess so.
rir. Lackritn, Did you suggest t;hese individuals yourself
to make the saniplir.g or ware these suggested for you by Tir.
Acree?
Mr. Caulfield. These were selected by Mr. Acree as I
recall.
Mr. Lackritz. Pursuant to your request?
Mr. Caulfield. Pursuant to my request to see whether or
not — ^su^roortive of the request of laaking a determination as to
v/hether or not Mr. John Wayne vias being harassed
Mr. Lackritz. Was this information communicated back to
Mr. Wayne to your knov/ledge?
Mr. Caulfield. I have no knowledge of that.
Mr. Lackritz. All right. Off the record for a second.
(Discussion off the record.)
Mr. Lackritz. Mr. Caulfield, did you ever obtain information
from the tax returns of Mj:. Lawrence Goldberg?
Mr. Caulfield. Yes, I believe that I did,
Mr. Lackritz, Do you recall hov/ the request was initiated?
Mr. Caulfield. I kjiov/ there is a memorandum, and I believe
it is in your possession. It v/ould be helpful for me in recallirlg
just hov7 that came about.
Mr. Lckritz. If it will refresh your recollection, v.'hy do vJe
not turn to tab 12; the first page of that attachment is a note
■from John J. Caulfiald to John \1 . Dean, dated September 22nd, 1971
(163)
13. From October 6 through October 13, 1971 News day published install-
ments of an article on C. G. Rebozo. Dean has testified that after the
article was published he was Instructed by Haldeman that one of the
authors of the article should have some problems. Dean and Caulfield
discussed procedures to institute an audit of Robert Greene, a Newsday
reporter who had written the article. Caulfield has testified that he
discussed the request with Acree who told Caulfield that an audit could
be instigated by use of an anonymous letter. Caulfield has testified
that Acree later informed him that the procedure was followed. The staff
of the Joint Committee on Internal Revenue Taxation has stated that
Greene was not audited by the IRS but was subsequently audited by New
York State tax authorities on the basis of information supplied under
the Federal/State exchange program, but that the staff believes that the
audit was unrelated to Greene's being classified as a White House enemy.
Page
13.1 John Dean testimony, 3 SSC 1072 166
13.2 John Dean testimony, A SSC 1480 167
13.3 John Caulfield testimony, SSC Executive Session,
March 23, 1974, 62-64 168
13.4 Newsday, October 6-13, 1971, 3R. 171
13.5 Memorandum from John Caulfield to John Dean,
September 10, 1971 (received from SSC) 173
13.6 Report of the staff of the Joint Coininlttee on
Internal Revenue Taxation, "Investir.ntion into
Certain Chare.es of the Use of the Internal Revenue
Service for Political Purposes," December 20,
1973, 12 174
(165)
u:
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13.1 JOHN DEM TESTIMONY, JUNE 26, 1972^ 3 SSC 1072
1072
It had to do with Mr. — with Senator McGovern attending a fund-
raising function, I believe in Philadelphia, and apparently there were
some references in the intelligence statement to the fact that either
Communist, former Communist supporters were going to attend the
fund raiser.
I took the document to Mr. Colson and I said, "Are you interested
in this? I assume it was given to me not to bury in my files," but I
said, "I do not think you can reveal the source of the information."
He said, "I am very interested in it." He took it and later told me
he had made arrangements to have it published.
Now, with regard to the ATF, Mr. Caulfield was at ATF after he
left the White House and going by way of the reelection committee,
and from time to time I would send over tidbits of information regard-
ing individuals. Some of this might be reflected in my files because I
cannot recall ever doing anything with this information other than
filing it.
The CIA, I do not recall myself receiving anything that we mieht
call politically embarrassing information from the CIA about any in-
dividual. The memoranda I received from the CIA were straight
classified documents regarding activities of some antiwar demon-
strators or people travelmg to Hanoi and things of this nature. Also,
foreign funding of domestic radical groups and things of this nature
which I would forward generally to Dr. Kissinger or General Haig.
With regard to the FBI, I mentioned that — IRS, I think that you
will find in either exhibit 34-5 or possibly maybe 34-6 reference to some
use of the Internal Revenue Service and requesting information or
ealing with situations in regard to the Internal Revenue Service.
r am also aware of the fact that after an at-ticle was published on
Mr. Rebozo I got instructions that one of the authors ol that article
should have some problems. I did not know how to deal directly with
the situation. I discussed it with Mr. Caulfield. I was reluctant to call
Mr. Walters, who was the head of the Internal Revenue Service and
suggest that he do anything about this. Mr. Caulfield apparently had
friends in Internal Revenue Service and I believe he told me he was
able to accomplish an audit on the individual. What the consequence
of the audit was I do not know.
Senator Weicker. Who is the individual ?
Mr. Dean. I do not recall for certain. It was one of the, I think it
was one of the Newsday persons who worked on a rather extensive
article on Mr. Rebozo.
Senator Weicker. All right.
Are there any other instances of which you have firsthand knowl-
edge in this
Mr. Deax. As I say, if I were to spend a week or so in my files, I
could probably on chapter and verse everything that had come to my
office in this regard.
But I am trying to come off the top and tell you what I can recall off .
the top.
Senator Weicker. I would hope, IMr. Dean, and Mr. Chairman, that
Mr. Dean would do just that and refresh his recollections as to whether
there is anything further that he has been imable to come forth with
at this time.
(166)
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13.2 JOHN DEAN TESTIMONY, JUNE 28, 1973, 4 SSC 1480
1480
Senator Baker. What else was said by him or by Mr. Halderaan or
by you in that context ?
Mr. Dean. Well, this evolved into a, immediately into a conversa-
tion about the Internal Revenue Ser\ice and using the Internal Reve-
nue Service to audit returns of people.
I had — again, we were on, you know, I knew the wavelength we had
had been talking about, because I had had similar requests in the past
to audit returns of people, and I told the President that the Internal
Revenue Ser\-ice had been
Senator Bakxr. Wait, wait, wait. You knew the wavelength because
^ou knew from your previous use of the Internal Revenue Service?
Mr. Deax. That is correct. I had requests from Mr. Haldeman in the
past that certain individuals have audits commenced on them.
Senator Baker. What did you do with that ?
Mr. Dean. Well, I can — the one time I recall getting one I did not
know exactly what I was going to do with it because I was always
reluctant to call Mr. Walters at that time, who was the head of the
Internal Revenue Service, so I went to ^Ir. Caulfield, who had friends
in the Internal Revenue Service and he said, "I think I know a way
this can be done."
Apparently there is some system where the appropriate anonymous
letter comes into a je^onal office and if it is — those who know how to
do this can write the right letter and suflacient information will prompt
an audit on that individual.
Senator Baker. Is that known as the informer statute ?
Mr. Dean. No; I do not believe it is an informer statute. It is just
something that will be of sufficient attention to that regional office,
that branch of the, audit branch of that regional office, that will insti-
tute an audit.
I went on to tell the President that we did not seem to have the clout
at the White House to get this done. I had talked to Walters about it in
the past, and told him that T had had instructions from Mr. Haldeman
on one occasion, and he said that, he brought to my attention the mak-
ing of the IRS political, and said that.
You will recall what happened back in 1948 with Truman and that administra-
tion and the cleaning iiouse and the changing of the Internal Revenue Service.
And these were all new facts to me, and what he was telling me was
'"Don't call me with this sort of thing."
Senator B.vker. Tell me, if you do not mind, what you did. Did you
in fact set up an audit ? Your counsel is trying to reach you and I think
he may have something to say.
Mr. Dean Tconferrin? with counsel]. He just said, which was quite
accurate, I do not mind telling you any fact that is true. FLaiichter.!
Senator Baker. I would say that was a very law\-er-like piece of
advice. [Laughter.]
Mr. Dean. So in this instance there was, the one I was referring to
in the past, there was an audit commenced. Xow I, for example, read
a memorandum into the record this morning per request of some mate-
rial requested bv the committee that had to do with an audit of ~SIt.
Gibbons of the Teamsters I'nion. I merely put that in my file, and that
is where it has remained to this day.
(167)
13.3 JOHN CAULFIELD TESTIMONY, MABCH 23, 1574, SSC EXECUTIVE SESSION, 62-64
62
Mr. Caulfield. Only insofar as it. should be — -the people
v7ho vvere at the Conir.ittee should be made aware of it. It does
not in any way posture the possibility that ILr. Goldberg would
have been disloyal, but that it was a piece of intelligence
information that they should be made av7are of, and it came aboui
as the result of the inquiry and the comments by Mr > McLaughlin
and tlx. Donald Wyatt.
Mr. Lackritz-i All right..
Mr. Lackritz. Back on the record.
All right,^ Mr. Caulfield. Did you ever- make any requests
to the Internal Revenue Service on behalf of any other indivi-
dual in the White House that a specific individual should be
audited?
Mr. Caulfield. Mr. Dean — and again, I don't have the
dates for you — indicated that he wanted to see if an audit
could be instituted on an individual by the name of Greene,
who was a reporter for the Long Island newspaper — I can't
think of the name.
^ i] Mr. Lackritz. Newsday?
1
2
5
4
5
6
7
8
9
IT
1 11 tc
12
13
14
15
16
17
20
21 !
22
23
24
25
(168)
IZ. Z JOHN CAULFIELD TESTIMONY, MAECH 23, 1974, SSC EXECUTIVE SESSION, 62-64
Mr. Caulfield. Mewsday. Kr . Dean a.-id I had a question
regarding that raq-jest, and I indicated I would speak to Mr.
Acree , with the view tov/ards determining whether or not an or-
dered procedure might be instituted which would not be improper.
Mr. Lackritz . Do you mean, would not be illegal?
Mr. Caulfield. Yes, and I spoke to Mr. Acree on that mat-
ter, and he indicated that a means of accomplishing an audit
sometimes was undertaken through the -- what is known as an ano
nymous letter being written. I discussed it with Mr. Dean, and
he indicated that I was to go ahead and ask Mr. Acree to follow
through on that procedure. Mr. Acree siibsequently told me that
he did, and I reported that back to Mr. Dean.
Mr. Lackritz. Mr. Acree subsequently told you that he,
in fact, sent an anonymous letter himself?
Mr. Caulfield. No, he did not. He led ne to believe that
an anonymous letter did go out in a fashion where it would not
be considered illegal.
Mr. Lackritz. And that Mr. Graiie was under audit by the
IRS?
M_r. Caulfield. No, I don't know that for a fact. All he
indicated is that an anonymous letter v;as being sent in a fashicjn
v/hich would not be improper or illegal.
Mr. Sears. Do you have any knov/ledge of exactly what Mr.
Acree did, or did not do, about all of that?
Mr. Caulfield. I hav2 no specific knov/ledge about v/hat hej
(169)
12. 3 JOHN CAULFIELD TESTIMONY. MARCH 23, 1974. SSC EXECUTIVE SESSION, 62-64
64
1 did.
2 Mr. Lackritz. Did Mr. Dear, ever ask you for the results
of any tax audit of Mr. Greens, if one occurred?
• Mr. Caulfield. V/ould you repeat that, please?
5 Mr. Lackritz. Did .Mr. Dean ever ask you to obtain results
6 of any tax audit on Mr. Robert Greene, if one occurred?
7 Mr. Caulfield. The results?
8 Mr. Lackritz. Yes. Did he ask you to follow up on that
9 any further?
10 Mr. Caulfield. No. I passed on to him what Mr. Acree to]
11 itie .
12 I Mr . Lackritz , And Mr . Dean was —
13 I !4r. Caulfield. ."Ir. Dean v/as satisfied v/ith that.
14 Mr. Lackritz. Did Mr. Dean nake any other requests for
15 tax audits of any other individuals to you?
16 I'Ir. Caulfield. On one occasion, he asked that I bring Mr
17 Acree into his office, v/ith the view that he wanted to see if Mr
18 Acree could initiate audits on four individuals, three or four
19 individuals. I an not sure of the number. I brought Mr. Acree
20 into his office. Mr. Dean provided him with the names of four
21 individuals, as I recall, I do not recall their names. Mr.
22 Acres indicated that he would give it his attention. Mr. Acree
23 and I had a conversation subsequent to that, and there was no
24 action taken regarding the individuals requested.
25 i'tr. Sears. That you kncv; of.
(170)
13.4 NEWSDAY, SPECIAL REPORT
■f
upi pi.»*iu 4ho-> a*o* p.
Newwlay'a P*ulit2*r Prii*-winning in\'e9tigab*ve team spent six monthj thb year probing
tnatUrt ol public pojicy And private concern in cor.oectton with inveatmenta and «c-
tiTJtie* of Cba/Ies G. (Bebo) Rebozo and formef Sen. C«orge A. Smathers ^D-FIa.) and
their relationship witb President Nixon, who maintjuni a Florida White Hou*> in Key
Biscayne. The story thai emergeii is enotDer report in Newsday'a continuing effort to nive
il« readen an Insight into th« biuiness of bow government sometimes works. In lh« cuurAe
of Reporting this series the team ejiamined more than 20.000 recordj and conducted more
than -lOO interviews. The team was headed by Senior Editor (Investigations) Robert W.
Greene, and included reporters Kenneth C. Crowe. John Hild«fbrand and Anthony Marro.
and editorial a«&istant Gerri ShanaharL Martui Schraoi of Newsday's Washington Bureau
•1m participated in parts of the investigation. The team was directed by Asaoctate Editor
Arthur G. PerfalL
The Story of Bebe Eebozo:
Making of a Blillionaire
Key Biscayne is a small, quiet and pretty place in the Florida sun. It lias one banU, one
yacht club, several hotels and a multitude ot palm trees. Many of its residents know each
other, and nod greetings on the street.
If Key Biscajme were to have an unofficial mayor or unofficial leading citizen, that mai.
might very well be a local millionaire of Cuban descent, who has worked his way up from
the status of poor boy to tlie level of world celebrity.
That one local bank is his. That yacht club is in his debt (since he rescued it from finan-
cial disaster), and his is the smallest— but the most relebraled— boat at its dock.
He makes liis first appearance in tlie Key Bi-cayne suiiililne n\ the early Iiours of most
mornings, emerging vigorously irom one ot liie iK);:.-i.-i in ila; •.vril-i'.edged and clu^-ely guarticd
(171)
13.4
NEWSDAY, OCTOBER 6, 1971, 3R
S if-
Robert W. Greene Kenn«th C. Crow* Anthony Mdrro John Hildebrand Gerri SSeneban Martin Schram
^PECni^L S^SF^MT
Special Reprint of a Sis-Pas^ Series
PubUshed Oct. €-13, 1971
For 6} diyi from Apnl through Juoc, Room
321 of iho Roys! Bifcayiw Hot#l on Key Bis-
csyne, FU.. wa* th« hom* o/ Robert W. Cf«*ne
and a black steamer trunk.
By the rod of the 65 days, Greene had
gained 30 pounds, and the Irurk, which served
a* a filinf cabinet Tor the N«ar?day invesugatjve
u^m, had been wett;hled down with thoisanda
of documenla, inriuding 6.000 under a smile
ctaMiHcation. "Sfnalhen," ra the team looked
into the invewtmenu and aciivitie* of Charles C
(Bebe) Rebozo. forrrer Sen, George Ssiaihera
(O-FIa.) and ibeir relalionship wiih Presii>nt
Nil on.
In adjacent looma overlooking the putting
freeo, the pool and the wide expanse ol the
Atlantic Ocean were the other members of the
learn: Kenneth C. Cfo*e. Anihony Mano, Cerri
Shanahan. and John Hildebrand. Because they
rarely used their luxurioua surroundinga, the
reporter* came to call their hotel "the velvet
priaon."*
Crowe haa been a Ne«»day reporter eince
1963. He and M>s«) Shanahan have been vith
Greene since 1967. A graduate of Fordhatn Un-
veraity. Crowe lives m Nteiville, haa (our chil-
dren, and rT^a^aged to &queet« in time ertoush to
(.oach two Hununsio.i Boya Club lillJe l^a^ue
football teams to urtl-'reated sea&ona arwi oourtty
championships in l!>vl and 19o9.
Nlarro, «So conges from Vermont, still owns
a tuirune/ home in hn home aiata and had
rruide plana to r^pend Memorial Day weekend
there. But aa uSe invest igpuon dragged on,
Marro four%d himaelf in th^ ■\elwet prison" And
hla wi/e, Jacki*. alon- in their New Vofk C.'ty
aparljnent, wrote NeMsday'a Fditor, Ddvid
Lavenihol. asking >fchji kind ot a company k<ftpe
a hushand away from hon>« for weeki on eno?
(The Marrcw hav* njw movi^ lo a r.pw nom»*,
WiJimgton, v.h**re Tonv — at N«*o«ii/ s-iice
1563 — ha* bi*come a rrw nber ol the Waaiiingtun
Bureau as an invr-tivijUve rrporlt-rj
Hildebrand dtioorcerted Lne other memben
of the leatD in t1 imJa bv u^t^ Tbai (a
language h« picked up as a US. Fi>reijtn Service
information offKvr) v.heftevef he telephoned lua
girl triend in Wa5hinfton. DC. A former Associ-
ated Press reporter, be joined Ne»9day in 1?70.
Ml=< Shdruhan »aa declared the "World's
Only PuhUer Priie-Wmning ClTk" by fellow
reporters in 1970 They presented her wilh sta-
tionery beari^i? that imprmL She is 26 and a
graduate o( Na.'^iau Community College.
Martin Schram, Newsday'a Wh;te House
correfipooJent srd a nauve of Flonda, joirved
the t^ani Irom Lme to time to help out with l/>e
investigation. Dunng the Epan of the sit-month
probe, he also spent a month in Cuba and wrote
a fieries on C-ast/o'd island.
The, k-iicer ol the lam is C^e«ne. a S-X)-
pound, ebuili«:nt ^^-year-old senior editor who
traco* his iVt-plicism about the private u->es of
pol^tic&i power back to his t£eiu;;e days, when
he worKpd for the Hajue Ttvi'::hine in Jersey
City. Greene became a reporter for the Jersey
Journal in 1^49. an InveBUgator with the New
York City afilicrime ajfrL-njlree in 10-"y), ■
New^sday reporter in 19o6 (wiib ■ year out to
serve at the re<iueat ol the la> Sen. Robert F.
Kennedy on the slaif of the U.S. Senate Lnhor
Rackpu (.'ommiliee). and, in 1C67. LSe k^tJer
of Newsday*.* permafient invetlJijalive team,
under the overall dtrev'tjon of A.^ioaate Editor
Arthur G Tcrfdlt.
Si.tce Idf)?, the team hjw been awarded 17
major joum.i!iim aw.irds. induai.ng the PxiliLier
Prite. In 1970. the team produced serit^ desluig
wiih land BpeojLj'Jon around a propo*^ j'tport,
the poliLcai furd-riising Lactjcs of the Nassau
Dfcnocralic Parlv. the c;ufctitionab'e ai.:ivitio3 of
Stale Supreme Court Ja<tic* Michael D'Auria
<^nca re&iKned) arid a hospiml contmct which
was found to be inHated by a million dollars.
The Bwird* won by the t^-affl. all (i.-^t prizes
for public service or local recxir^inx, indude:
1071— the New York St.»Le Publi-hers' Associa-
tion ;two): National Hc3(J'.inera Club; New
York Citv Newjpaoer Rrp^rlers .^:„«ri^[ii5n aiid
national S;Rnij l>;iLi Cr.i: I'jTO — P'.U'jer Prize.
Cold M^dil; New York Sji'.b Pi;hl^her<' A«w>-
oaLon; Society ol the S.I jiana, New Yorit City
Newspaper R*'porter« Acxar^ation; New York
Ci:y Chjp'er. }Yt-!ic KfU'Jons S<xtety of
America; I'CroJ — New York Stale Plibl.-Uiers'
AsbOciaLoo; DesiJlinc Club; Kat>onal Headlirten
Club; 1968— New York Sute PublL-heri* A<-ioc>-
ation (lu-o); Lon.? I:,l^nd Umser^ity's Ceorce
Polk Merr^orial Award, national Si^ma FVIta
Cbi, and So^irty of the Silurians
'ITie rr.Ofc* frustrating part of the inve^tifra-
tion waa the refusal of j^ovemment offiajli to
permit reporters accei* to p'jhiic recnrd*. For
example, l/ie Florida S*.ate Division of Banking
agreed to provide Ncwsday with bonk records,
until It li'jrned that the bank involved w3«
Reboio'H. In Wnshmiton. the Army, dt-spiie lK«?
Freedom of InforriMthon Act, retused lo opt-n
any of its (urt lo Newstlay, ThfOfem-ally. ihf
act bars r''porlrr« only (-oro [o^-ords o£ tutionnl
security or private fin.incial nMlt«;r^
Returi.mg to Gjrden Cif/ in June, the team
continued to enroun'.er r-^stjnee to i's effarla lo
complete 'tis invest I dut.on. Of alt the govern-
ment ajenciM c«ntacled. oniv the Depjr'.ment
of the InlcricT and the Army Corps ol E.igineeni
allowed reporters even limited direct accesii lo
their working file^
The President. Reboro and Sniaihers de-
clined to grant inters lewa, d-c.-pile repealed
rcquesta.
On Oct 12. With moftt of the Ki-d work oul
of the way. Editor Luventhol auxnmed up his
v;e'i^3 of the series:
"It's Ion/, but that's the nature of what the
report is all e'MUt. It js not so much an eip^"*.
aa a bfaat<-btLsed investigative eiammat'on of a
segment of American life: Tlie *ide-open rtia-
tionuiip of fxiiilics and t>asineS9 in Florida, a
typical A.mer;can boom sute, and how that
relates to (he businesa of government in VVa.<h-
ing'on. D.C,
■This i". ■*hv it rraitws to the people of Long
JiUand, as it should to all AmericcLns.
"Thw invesiu-Tlion was a lo;i<.al one fi»r iioh
Greene and his team to undertake. Their report-
ing on public policy and private mllurnca here
on Long I..Oand. arid how *ome people p:of;ted
ftom poIiLi^jI ao.l fcUvefniii<yTJl .i^^>ij'.ioi'».
won lh"in tJie PiiiiLrrr Prize for ,iu3lic service in
I'JTO. Thu Ypsr trwy've t-een cunuai-ig the
.«.atne kind of Uiing on a rutiorjl level: ihe
rcbtJis shcuid ^ive f.ng ItLmders a h*fj;r
in.Mght intii how lS* Airerican puJibcal system
eomeumes ojvraie'i.'*
V_
(172)
UiS J'QSN CAVLFI^W MEM)RANDVMf SEPTmBER 10, 1971
THE WHITE HOUSE
WASHINGTON
September 10, 197I
MSMORAKDUM FOR JOHN V/. Vi'Zm,
FROM: JACK CAULFIEID
SUBJKT: ' N B-/SDAY ARTICLE
New York sources advise the following scattered pieces of
' information:
a) a discreet look at the newspaper's publication calendar
nas been accomplished. There is no indication at this time that
the subject series of articles will appear during the month of
. September. However, this could be subject to change because of
the high prisrity being given to the article.
. B) Uwi-sual aai highly secretive steps have been taken to
prevent 1die substance of the article from becoming known to other
employees .
C) A trusted member of the newspaper's staff has stated
that heavy, outside pressure is being exerted to uncover the
details of the story before publication. This pressure is
Independeat of the efforts being programmed from my office.
B) A firm consensus has been reached that Ed Guthman of'
the L. A. Times is close to this matter. It is alleged that
he was la Ifew York at "the time of the plsmning stages of the
inquiry.
E) Reb«rt Greene, leader of the investigative ^luup,' has
been., la both Washington and Florida within the past two weeks.
Will continue to push and follow through on this matter.
(173)
IS. 6 JOINT COMMITTEE ON INTERNAL REVENUE TAXATION STAFF REPORT,
DECEMBER 20, 197 Z, "INVESTIGATION INTO CERTAIN CHARGES OF THE
■ USE OF THE INTERNAL REVENUE SERVICE FOR POLITICAL PURPOSES, "12
12
The staff has also rcrio^-ed the collection activities of the IRS
concerning people on the lists. It lias found no evidence that the IRS
has been more vigorous in its attempts to collect unpaid taxes from
political opponents of the White House than nonnal. Indeed, if any-
thing, the opposite is true. Several individuals on the lists appear to
pose collection problems for the IRS. The Service has been quite
lenient in grantuig extensions to file in many cases, and has not yet
attempted to collect taxes from, several political opponents who have
failed to file returns or even to ascertam the reasons for the failure
to file.
The staff has also found no indication that the IRS \ras more
^•igorous than normal in recommending prosecution for tax violations
in the cases of political opponents of the Wliite House.
Cases of Alleged IRS Bias
The staff's investigation paid particular attention to the cases of
those individuals mentioned in the press as victims of politically
motivated audits. The Joint Committee staff has difficulty m discuss-
ing these cases specifically because of the problem this would present
in violating the individuals' rights of confidentiality. However, in
none of these cases has the staff found any evidence that the taxpayer
was unfairly treated by the Internal Revenue Service because of
lK)litical views or activities. If the staff were freed from restraint as to
disclosure of information, it believes the information it has would
indicate that these taxpaj'ers were treated in the same manner as
^axpayers generally.
In -one case, it is possible to make some conmients since the infor-
mation involved does not come from Internal Revenue Service files.
This was the case involving Robert ^'V. Greene, a reporter ior Newsdny
who hail authored an article on C. G. Rebozo. In this case. Dean stated
that John Caulfield had initiated an audit with an informant's letter.
According to statements made by Greene, however, his return was
not audited bv the Internal Revenue Service but rather by New York
State under the Federal/State exchange program. The staff has talked
with ^[r. Greene, the Xcw York revenue agent who audited Greene's
State teturn, and other people in the Xew York State Department
of Taxation and, as a result, believes thnt his audit by New York State
was unrelated to his being classified as a AVhite House enemy.
V. INVESTIGATION OF INTERNAL REVENUE SERVICE
FILES ON "FRIENDS" OF THE WHITE HOUSE
Seven individuals have been reported in the media or in testimony
before the Senate Select Committee on Presidential Campaign Activi-
ties to be friends of people in the White House who allegedly received
some favorable tax treatment because of actions taken by i>ersons in
the AVIiite House. I?t all of the 7 c.Tses called to the staff's attention,
audits were undertaken by the Inteinal Revenue Service. It is
believed that all 7 of these were, at one time or another, listed as
''sensitive case reports.'' Such reports are maintained on a current
basis "within the Internal Revenue Service for cases involving
l>roiniiieut persons. A listing of this type apparently has beeu used
II
i T
(174)
14. Dean has testified that he received requests from Haldeman to
have audits commenced on certain individuals. Haldeman has testified
that he could recall no specific requests but that information that had
cone to the attention of the White House or information that appeared
to indicate a reason for an audit may have been referred by the White
House to the IRS. Caulfield has testified that some time after Dean's
request for an audit of Greene, Dean met with Caulfield and Acree and
directed that full audits be conducted of three or four other indivi-
duals. Caulfield has testified that he and Acree decided not to conduct
the audits and that so far as he knew no audits were conducted of any
individuals.
Page
14.1 John Dean testimony, 4 SSC 1479-80 176
14.2 H. R. Haldeman testimony, 8 SSC 3137 ] 78
14.3 John Caulfield testimony, SSC Executive Session,
March 23, 1974, 64-65, 113-14 179
(175)
I m(
14.1 JOHN DEM TESTIMONY, JUNE 28, 197 Z, 4 SSC 1479-80
1479
Mr. Dean. Well, yes, the matter of the Patman hearing did come
up, because the President was aware of that, I assumei, from his news
sununaries or the newspapers, that there was likeh' to be congressional
inquiry on the House side. He aslied me who was handling that. I told
him that Kichard Cook, a member of the congressional relations staff,
who had worked with the Patman committee at one point in time,
was doing the principal work on it. He then told me that Mr. Timmons
should be spending his time and get on top of it, something of that —
that would be very close to the language he used.
Senator Baker. Mr. Dean, excuse me. I see we have a vote signal
from the Senate. The committee will stand in recess until we return.
[Recess.]
Senator Baker. The committee will come to order.
The chairman was necessarily called away for the rest of the after-
noon. For the information of the committee, I might indicate that
he requested that we run as long as practical, and that we continue
with present rotation arrangements, so as soon as I can conclude my
queries I will yield then to Senator Montoya and after that to Senator
Weicker.
Mr. Dean, do you have any objection if we try to go, say, until a
few minutes before 6 tonight ?
Mr. Deax. I will hold up as long as I can, Senator.
Senator Baker. If you need a break or would like to break in the
course of things, if you would let me know I would be happy to do that.
~ Mr. Dean, have we finished with the delineation of the September 15
meeting?
Mr. Dean. No, I do not believe we have.
Senator Baker. We were discussing the fact that we were talking
about how to deal with the Patman committee because this was another
threat, a dual threat, I might add. First was the fact that it would
mean adverse publicity as a result of the hearings and, second, there
was always the potential they might stumble into something there.
Were those words used ?
Mr. Dean. I believe, when we talked about adverse publicity and
there is no telling where this thing may go.
Senator Baker. Do you remember who said that?
Mr. Dean. I said that.
Senator Baker. Do you remember what the President's reaction
was?
Mr. Dean. Well, he asked me who was covering the hearings and
I told him that Dick Cook was covering the hearings.
Senator Baker. Covering, meaning what person on the White House
staff had responsibility for that ?
Mr. Dean. Yes, that is correct. Because I explained to him that Mr.
Cook had formerly worked for the House Banking and Currency Com-
mittee, and at that point he said that Mr. Timmons should get on top
of those hearings.
We then,,the conversation turned to the press coverage that had been
following the Watergate incident, and during this discussion he told
me that I should keep a good list of people who were giving us trouble
in the press because we would give them trouble after the election.
Senator Baker. This was stated by the President ?
(176)
r
■ t(
24.1 JOHN DEAN TESTIMONY, JUNE 28, 1973, 4 SSC 1479-80
1480
Senator Baker. What else was said by him or by Mr. Haldeman or
by you in that context ?
Mr. Dean. Well, this evolved into a, immediately into a conversa-
tion about the Internal Revenue Service and using the Internal Reve-
ue Service to audit returns of people.
I had — again, we were on, you know, I knew the wavelength we had
had been talking about, because I had had similar requests in the past
to audit returns of people, and I told the President that the Internal
Revenue Service had been
Senator Baker. Wait, wait, wait. You knew the wavelength because
you knew from your previous use of the Internal Revenue Service?
Mr. Dean. That is correct. I had requests from Mr. Haldeman in the
ast that certain individuals have audits commenced on them.
Senator Baker. What did you do with that ?
Mr. Dean. Well, I can — the one time I recall getting one I did not
know exactly what I was going to do with it because I was always
reluctant to call Mr. Walters at that time, who was the head of the
Internal Revenue Service, so I went to Mr. Caulfield, who had friends
in the Internal Revenue Service and he said, "I think I know a way
this can be done."
Apparently there is some system where the appropriate anonymous
letter comes into a regional office and if it is — those who know how to
do this can write the right letter and sufficient information will prompt
an audit on that individual.
Senator Baker. Is that known as the informer statute ?
Mr. Dean. No; I do not believe it is an informer statute. It is just
something that will be of sufficient attention to that regional office,
that branch of the, audit branch of that regional office, that will insti-
tute an audit.
I went on to tell the President that we did not seem to have the clout
at the White House to get this done. I had talked to Walters about it in
the past, and told him that I had had instructions from Mr. Haldeman
on one occasion, and he said that, he brought to my attention the mak-
ing of the IRS political, and said that,
You will recall what happened back In 1948 with Truman and that administra-
tion and the cleaning house and the changing of the Internal Reveniie Service.
And these were all new facts to me, and what he was telling me was
"Don't call me with this sort of thing."
Senator Baker. Tell me, if you do not mind, what you did. Did you
in fact set up an audit ? Your counsel is trying to reach you and I think
he may have something to say.
Mr. Dean Fconferrins: with counsel]. He just said, which was quite
accurate, I do not mind telling you any fact that is true. FLausrhter.!
Senator Baker. I would say that was a very lawyer-like piece of
advice. [Laughter.]
Mr. Dean. So in this instance there was, the one I was referring to
in the past, there was an audit commenced. Now I. for example, read
a memorandum into the record this morning per request of some mate-
rial requested bv the committee that had to do with an audit of Mr.
Gibbons of the Teamsters Union. I merely put that in m}- file, and that
is where it has remained to this day.
(177)
14.2 H.R. HALDEMAN TESTIMONY^ AUGUST 1^ 1973, 8 SSC 3137
3137
view of our committee if it relates to that. I would certainly think that
if you liave a paper relating to trying to make the Internal Kcvenue
Service more politically responsive tliat it certainly would be within
the purview of this resolution that created tliis committee.
'Mr. Wilson. I was concerned about the date of it. If it had been back
in 1969 or 1970 I would doubt it.
Senator T.\r,^rADOE. AVhen was Waltei-s revcnu.' commissioner, do we
have the dates here before the committee somewhere, some n\ember of
the staff? Perhaps Mr. Haldeman would know.
Mr. Haldeman. I haven't any idea.
Mr. Dash. It was after 1970 beca\ise Mr. Thrower was before him
and there were some documents relating to Mr. Thrower in 1970 and
Mr. Walters came in after Mr. Thrower.
Senator Talmadge. One of the pwrtions of that document does relate
to Mr. Thrower, I believe.
Did you ever have any conversations at any time with the Secretary
of the Treasury or anyone else about making the Internal Revenue
Service more politically responsive?
Mr. Haldeman. Only in this — I don't recall any specific conversa-
tions with the Secretary of the Treasury. If I had any or I was a
participant in any such conversations, they would have been in the
context that I referred to earlier. Senator, which was the question of —
well, as Mr. Dean indicated that the IRS bureaucracy at the lower
levels was ver>- strongly staffed with people or at least it was the feel-
ing that it was — I don't know anythmg about it because firsthand I
have made no investigation into this, this was the allegation — with
people whose positions were due to previous administiations and
whose interests were in the policies and philosophy of previous admin-
istrations, and that the diligence with which they pursued cases that
had been referred to them relating to potential misdoings by opi>onents
of this administration were not pui-sued with the diligence that they
were pursuing matters relating to supporters of this administration.
Tliis had been the case when we were out of office and continued to be
the case even after we had been in office for several yeai-s, and there
was discussion of that question, and that, in that context. I may have
had — I know I have been in discussions where that kind of feeling was
under — was a topic xmder discussion.
I have not, I don't believe, ever met any Commissioner of the IRS
other than Mr. Cohen who was Commissioner before we came in and
who is now the attorney for the Democratic National Committee for
lieir lawsuit and took a deposition from me somo. weeks ago.
Senator TAL^rAooE. Did you or anyone, to your knowledge, within
the "WTiite House ever request the White House to make a political —
an audit of any taxpayer?
Mr. Haloeman. In the sense of referring information that had come
to our attention or information that appeared to indicate a reason for
an audit, it is quite possible that that was done. I ix-call no specific such
request.
Senator Talmadge. Now. would they be foes of tiie administration
or friends of the administration?
Mr. Haldeman. Tlicse would be inquiries or information that would
come in from friends of the administration regarding foes of the
administration. Or those who vrtfic considered to be.
(178)
14. 3 JOHN CAULFIELD TESTIWNY, MARCH 22, 1974,
SSC EXECUTIVE SESSION, 64-65, 112-114
64
did.
Mr. Lackritz. Did Mr. Dean ever ask you for the results
of any tax audit of rir . Greene, if one occurred?
Mr. Caulf ield . V/ould you repeat that, please?
Mr. Lackritz. Did Mr. Dean ever ask you to obtciin results
of any tax audit on Mr. Robert Greene, if one occurred?
Mr. Caulf ield. The results?
Mr. Lackritz. Yes. Did he ask you to follow up on that
any further?
Mr. Caulf ield. No. I passed on to hin what Mr. Acree to
me.
Mr. Lackritz. And Mr. Dean was —
f^r. Caulf ield. Jlr. Dean v?as satisfied with that.
Mr. Lackritz. Did Mr. Dean make any otlier requests for
tax audits of any other individuals to you?
Mr. Caulfield. On one occasion, he asked that I bringi-lr
Acree into his office, witli the view that he wanted to see if Mr,
Acres could initiate audits on four individuals, three or foiir
individuals. I am not sure of the nimber . I brought Mr. Acree
into his office. Mr. Dean provided him with the names of four
individuals, as I recall, I do not recall their names. Mr.
Acree indicated that he would give it his attention. Mr. Acrse
and I had a conversation subsequent to that, and there was no
action taken regarding the individuals requested.
Mr. Sears. That vou knov; of.
(179)
dh IS
14. Z JOHN CAULFIELD TESTIMONY, MABCH 23, 1974,
SSC EXECUTIVE SESSION, 64-65, 113-114
65
1 Mr. Caulfiald. That 1 am aware of.
2 . Mr. Lackritz. VTho v/ere those individuals? Do you have
5 any knowledge?
4 Mr. Caulfield. I do not recall.
5 Mr. Lackritz. Was this about the sarae time frame as the
6 request on Mr. Greene?
7 iVtr., Caulfield. I think it was subsequent to the request
8 for Mr. Greene, but X could not give you an exact time.
9 Mr. Lackritz. All riaht.
10 I would like for you to turn to tab 10, please, of Exhibii
11 A. All right.
12 The first meraorandion there is a memorandum from you to i^r
13 John W. Dean, dated September 10. Can you identify that memoraiji-
14 dum, Mr. Caulfield?
15 Mr. Caulfield. Yes, that is my memo.
16 Mr. Lackritz. All right-
17 I-Jhy did you inquire into this information? Did Mr. Dean
18 ask you to look into this?
19 Mr. Caulfield. Yes.
20 Mr. Lackritz. Could you just briefly read the memo to
21 refresh your recollection on what occurred at that time?
22 (Pause)
23 Mr. Caulfield. Yes.
24 Mr. Lackritz. Do you recall who initiated this request in
25 the vrnite House? Did Mr. Dean tell you who asked him to look
(180)
snui 13
14.3 JOHN CAULFIELD TESTIMONY, MARCH 23, 1974
SSC EXECUTIVE SESSION, 64-65, 113-114
ii:
conduit felt that you could pass on to Mr. Acras that request
for Mr. Acrea to rsspond to in terns of conducting a specific
tax audit on a specific individual.
Is that an accurate statement?
Mr.. Caulfield. Yes.
Ilr, Lenzner. And then the memoranda are suggesting that
is one option to be considered in the inquiry that you were
pursuing on behalf of Mr. Dean and/or Ilr. Ehrlichaian.,
I'lr. Caulfield. If I can respond in ray own way, what you
have just stated is correct. However, I am fully aware of the
improprieties of initiating audits against individuals and I
think the record shov/s conclusively and will not show other\'7ise
that the only time that an audit, an attempt at an audit in the
leaal fashion v.'as accomplished was in connection with the Greens
incident, and when Mr. Dean sat myself and Mr. Acree down on
that one occasion where he directed that full audits-_ba conduct^
of individuals, myself and Mr. Acree both agreed that wa v;ould
not do so, and there v/ere no audits conducted of individuals,
either those four or any others.
fir. Sears. To your kno'./ledge .
Mr. Lenzner. Off the record.
(Discussion off the record.)
Mr. Lenzner. Is it an accurate statement to say that your
perception v/as , upon request of Mr. Dean and/or M^r. Ehrlichman,
to obtain information for an investigation of a particular
(181)
14. 2 JOHN CAULFIELD TESTIMONY, MARCH 2Z, 1974
SSC EXECUTIVE SESSION. 64-65. 113-114 '
1
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114
individual, that vou could, as an option, suggest to thsm that
tha 1.RS conduct a tax audit on specific individuals that they
had designated to you?
Mr. Sears. In a lav/ful fashion. That was your understandijng
of it.
Idr. Caulfield. In a lawful fashion. That was my under-
standing of it.
Mr- Lenzner. And that the person you would, if they so
directed you, contact to pursue a possible IRS audit, was Mr..
Acree .
Mr. Caulfield. Yes.
Mr. Lenzner. Now, would you turn to tab 17 please.
Can you identify the first memorandum, dated October 8th,
1971, from yourself to Mr. Dean, subject Stev;art L. Udall.
Mr. Caulfield.. I just noticed something-. Those are notr
my initials.
Mr. Lackritz. Are you saying that is not your hand^vriting
in the upper right hand corner by your name?
Mr. Caulfield. Those aren't my initials.
Mr. Sears. Is it your memo?
Mr. Caulfield. I will admit that it is my memo, nut those
are not my initials .
Mr. Lenzner. Do you have any idea whose handwriting that
is?
Mr. Caulfield. (Nods in the negative.) It's not mine.
(182)
15. On October 15, 1971 Caul field wrote a memorandum to Dean recom-
mending that background Information obtained from the FBI about the
producer of a motion picture derogatory to the President be released to
the media and that discreet IRS audits be instituted on the producer,
the distributor of the film and a related corporation. Caulfield testi-
fied that Dean requested he run an FBI name-check and that, at Caulfield 's
direction, Anthony Ulasewicz conducted a "pretext Inquiry" at the offices
of the film's distributor. On October 20, 1971 Caulfield sent a memo-
randum to Dean reporting on a pretext interview of the film's distributor
and recommending that because the financial handling and distribution of
the film was in the hands of amateurs, any actions against the producer.
Including background information and IRS capability, be carefully weighed
and well hidden.
Page
15.1 Memoranda from John Caulfield to John Dean, June
25, 1971, October 13, 1971; October 15, 1971;
October 20, 1971, with attached undated memorandum
from Fred Fielding to John Dean; Exhibit 3, Hearing
held before Subcommittee on Administrative Practice
and Procedure and Subcommittee on Constitutional
Rights of the Committee on the Judiciary, and Sub-
committee on Surveillance of the Committee on
Foreign Relations, April 8, 1974 184
15.2 John Caulfield testimony, SSC Executive Session,
March 23, 1974, 88, 102-03 192
(183)
15.1 JOHN CAULFIELD MEMDMNDUM ^ JUNE 25. 1971
•.the: WHIT£ Houss:^
WASHINGTON
June 25, 1971 •
FROM:
SUBJECOJ:
r.
^m
JACK CAULFIEIZ) /)n\
EMIL3' DS ANTON^l PMDUCSR 0? TK3 FIL4M "MILLHOUSS:
•A WHITS COMEDY". ^^ ■ '•
^^^%
Your attention is directed to the attached article froni the
Washington Post and the FBI report on, De Antonio.
Inquiry by cay secretai-y was- made at the American Film Institute-
Theatre at L' Enfant Flaza and it vas detenained that the film
played only one night. However, De Antonio, according to the
article, is attempting to sell it to a distributor.
I recommend we watch the progress of the film, taking particular
note to determine if Larry O'Brien is stupid enough to get behind
it.- If so, Ve can, armed with the Bureau's informatioa, do a
Kofziger Job on-'De Antonio aniCBrien, thereby losing the battle
but.vinains the iVjar*--' Advise.'
Attachaeat
(184)
15.1 JOHN CAULFIELD MEMORANDUM, OCTOBER 13, 1971
. THE WHITE HOUSE
WASH I NGTON
October 13, 1971
I.'tE'IORMDUM F03'j0ffl\r W. DEAN, ilT\) /;?
PROM; JACK CAULFJS LD ■■'^
SUBJECT: -MILLirOUSE FILt-I
This iTiatter seens to be building. You are reminded
that a signii'icaat derogatory dossier is in the
possession of the bureau vis a vis de Antonio.
l-ly view is. that ve should use such inforraation at a
propitious aoment - ideally when interest or support
for :the fila is evidenced by Larry O'Brien and company.
Attachnent;
(185)
15.1 JOHN CAULFIELD MEMORANDUM, OCTOBER IS. 1971
•THE W.MI i'c house:
W A S H I N G T O N
October 1^, 1971
MK'WRANDUM'.FORJOIK W. DSAK, \Al:^
FROA: JACK CAULFIELD t :
SUBJECT: 2'IILE DS'AiTi'ONIclj PRODUCER OF' -"MILLHOUSE"/
■ ' ' mr^ YORKER FIL.KS/ IKC; AliD.DAtllSL TALBOT,
FILM DISTRIBUTOR
Attached is a copy of a Variety article indicating the
expacted intex-est of the D.N.C. in "Millhouse". I
reconrr.end that it is tice to wove on the above firm
and individuals, as follows: .
A^ Release of de Antonio's F.B.I, derogatory
background to friendly media.
B) Discreet IRS audits of New ::torker Films, Inc.,
de Antonio and Talbot
KOTE: Talbot advised our source ' today that massive
distribution of- thp "f-ilj^ is nlanned f or colleges after . I/I5/72.
ATTACPZ^ENTP
(186)
25. 1 JOHN CAULFIELD MEMORANDUM^ OCTOBER 20, 1971
Indistinct document retyped by
House Judiciary Committee staff
THE WHITE HOUSE
WASHINGTON
October 20, 1971
MEMORANDUM FOR JOHN W. DEAN, III
FROM: JACK CAULFIELD
SUBJECT: DANIEL TALBOT, "MILLHOUSE" FILM DISTRIBUTOR
Talbot has been identified as follows:
Male, white, 42 years of age
Resides at 180 Riverside Drive, Manhattan #362-1243
Occupation - Film Distributor
No criminal record - F.B.I.
Member of Stop the Draft
Movement-N.Y.C. in 1967 - N.Y.C.P.D.
Talbot was pretext interviewed during a visit to his office
located at 250 West 89th St., Manhattan on 10/18/71. Such
office is adjacent to the New Yorker Theatre located at
Broadway and 88th Street, Manhattan. Such theatre is currently
showing MILLHOUSE.
Talbot's office was observed as being a sloppy one room operation
with one secretary. Rent was determined to be $85 per month.
It was ascertained that the film is also being shown in
Philadelphia and San Francisco.
Talbot advised that his future plans for the film include
distribution to college groups on a lease basis. He also described
plans to distribute the film to other cities, but careful
questioning determined a market only In third and fourth rate
theatres.
Talbot referred questions about possible Democratic pressures to
acquire the film to the producer, Emile D'Antonio.
COMMENTS
Even though the financial handling and distribution of this film
appears to be in the hands of amateurs, it must be remembered that
it is getting considerable play in the liberal press. Additionally,
D'Antonio was interviewed by Agronsky on TV this past week. Further,
Variety reported the DNC has approached D'Antonio with a view towards
acquiring the film.
I feel that there is potential here for this film to take fire and
become a cause celebre. At the moment only the radical left is
patronizing it. We must be quite careful not to be identified with any
Indistinct document retyped by
House Judiciary Committee staff
(187)
15. 1 JOm CAULFTELD MEMORANDUM, OCTOBER 20^ 1971
Indistinct document retyped by
House Judiciary Committee staff
Memorandum for John W. Dean, III 10/20/71
From: Jack Caulfield
Subject: "Millhouse" Film
Page two
act or actions which would incite the interest of the general
public. Resultingly, any action taken vis a vis D'Antonio
or Talbot should be weighed carefully and well hidden.
This includes my previous comments re D'Antonio' s background
and our capability at I.R.S.
Indistinct document retyped by
House Judiciary Conmlttee staff
(188)
15.2 JOHN CAULFIELD MEMORANDUM^ OCTOBER 20, 1971
THE WHlTt; MOUS?:
. V.'A i= " I f .■ ~ T c ^■■
Oc toboi- 20, 1971 •
r'ROM: JACIC CAUU-'IELD "^'.'/'V.-'
SU73JBGT: DAI'I.TnL TA rj^OT, "i'/fL'^liOUSE " FILM DIGTRmUTOR '
Talbot lias been identified as follows;
Male, v.'hite, i*2 ye?.rs of a^o;
Resides 'at l30 Rivcroido Dfive, iranhattan, ■f3C2-i2,U3
Occupation - Filin P;.r, t■r.ib^^l;or
No criminal record - F.B.I.
Mo.-nber of Stop tl;?. Draft
Movo:.-.£nt-i;.Y.C. in 19-57 - I'l.Y.C.P.D.
Ta.lbot vas pretext intcrvievred during a visit to his office
located at 250 Vfest 09i-.h Si,., Ivdnhatt3in on lO/.lc'./Tl. Such
office is adjacent to the ilev; Yorlter Thsatrc loc5.tod at
Broad'./iiy t^x^o. cotli Street, Manhattan. Such tlicijitre is currently
6ho-.-;in5 MJLIJiOUSE.
Talbot's office '.;as o^.-erved as bsir.c; a sloL'py one room operation
vith one secrctaty. ' P.ent vas detorninpu to ue .C65 per nonth.
It was ascertained that t!ie fiJxi is also beinf.; chova.in
Philadelphia and San Francisco. • •
Talbot advised that his future plans for the fiL-n incli'de
distribution to .CDlle.-a gi'o-jps on a lease bc'.r>i£;. Ks al.^.o described
plans to distribute tho fiLr. to othc-r cities, but careful
cuestionins deitcrained n. .niarltet only in third and fourth rate .
theatres. ■ ■
Talbot rexerred cuefitiono about possible Dir.ocratic pressures to
aocuirs tiie film to the producor, L';fiil'3 D'Antonio. ■ ' '
co:"iS 'rj'3 ■ ' ' ,
Zven thoach tlie finan-.ial handling ond distribution of this fiLr.
appears to bs in the hcind:-; of a;r.atours, it r.ust be rcmo:;>bc-red that
it is yettinc considorahlo play in the liberbl prcs.s. Additionally,
t) 'Antonio v/ao interviev^d by A^ironr/i-rj' on TV thit; past >;v:ick. Fuvfner,
Variety reportsd tlic LilO )ia5 nrproaohod IVAnt:^nio vitli a view to'.;ards
acquiring tlie fi]jr..
I feel that there is p?tc>ntial hoi-e for this filw to take fire and
bocOiT.e a caurc celebre. At the KOMcnt only the radical left is
patronizing it. ■ V/o must bo quite careful :v.-l. to be identified with any
(189)
IS.l JOHN CAULFIELD MEMORANDUM, OCTOBER 20. 1971
i;ci:iorariduni '.Cor Joli.i V.'. Drr,n, III IO/20/7I
Froi,i: 'J ;;.c;; Caii3.fi oT'd
Subjc-ct: "MilHioUoa" Film
act or actions vhich vould incite; the interest of. tlia ^sn'^ral
public. K3oUlbinr,'ly, any r.ction ta!:c-n vie a vis D'Antonio
or Talbot shoul'l be vraij.iiCid carefully and veil hidusn.
Thio inc3.udes, ir.1' prcviouG •f;o-..';r.ents i'e D'Antonio's baciiground.
end our capability -at I.R.S.
(190)
IS.l ATTACHMENT TO JOHN CAULFIELD MEMORAIIDUM OF OCTOBEF 20. 1971
THE WHITS HOUSE
WASliiNCVON
Date
.TO:
^<^([ X
FROM: Tred F. Fielding
ACTION:
Approval /Signature
Corr.ments/ Recommendations
Prepare Response
Please Handle
_For Vour IafoiTna,tion
File
Vt. 6^^ a. ^.^j::;>- ^-^ --^ Jrfr^
"n.-i::?,
n.vb!]J IVf::;^
ir'jr.U^iii'.d .'rom p.ijo 1)
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'Al urc;s co.Tfcivrtc Oirrc'a
'J..-C1-3- - ' •
Co.-nnr.y cor.ic November.
m for rcu-r>ai:ons and i.i r.:f,l -,' slro
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i.-i:n \v,\F.:c ;:> .\cvvi -;,'n:.-,:rl".":.""^ ■'"^^'' •"'■\" := •'•■■■•■1 i:. n.-
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,^\^ n,,^^^ J^''^-''<*. "> '^- i:'^-i>.o^. il:c I>r,..,c:.nt wA never .;. Al>«.■■.^ 4 ,m' '■ v '"/r^ir'^V "•= -^i V^' ^^
.Vr'! v.'i?...' J-',, '^."'■■'^'t:n lit-'r:iu:c.l^--»rrcd, he s.i.d. \f-„- v." '„: ,? .\<--'J-.-;.iy ;l,.;.^-..r M L.-ii V.
.-."■' ! v.'i". , ,, ' ^ "' .■' 2 1 »: n lit.>r:iu:c.l >'--»rrcd, he s.nd
• !-';'V^ ''■"" "'I'll'liii nl.-n:-;;"
^C
(191)
15.2 JOHN CAULFIELD TESTIf^Ny, MARCH 23, 1974,
SSC EXECUTIVE SESSION, 88, 102-03
88
4
5
6
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8 It
9 I
10
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la
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tha VJashington Post-"- . : : ■• - ■- <
Do you recall v/hat the FBI report on DeAntonio v/as?
That's capital D-e capital A-n-t-o-n-i-o. .
Mr. Sears. Can we go off the record for just a rao.'-.ent?
(Discussion off the record)
Ilr. Caulfield. I would like' to go on the record.
All right?
Mr, Lacxritz. Yes..
-Mr.' Caulfield- ZThis filEUwas receiving significant coverage
in the press, and, as I recall, Mr. Dean asked me-to-xun a nSne
check on Mr. DeAntonio, v;ho is the producer of the filui.
I-tr. Lackritz-. . A name-check with —
Mr. .Caulfield. " A name-check with the FBI, and also to
stay on top of the progress of the film as it v/as covered in
the newspapei^stories. _ -
Now, jthe firsts sentence is merslvfor^AardiTig^.'on-the ^ ..,.;'"-
resultrP^f jthe"_rBf~ h^e-caev_-c"'^d" an ' arti ci.e" thatr^ppearea^-in- t^
jie~^VJas.hington Post'lreg'arding^the^film. " " _. I '
Mr. Lackritz. All right.
I'Jhat was the information contained in the FBI nama-check?
Mr. Caulfield. This would be the normal type nama-chack
v/hich the FBI ran, I mean the ivhite House ran, on many occasions.
Mr. Lac!<:ritz. And, ger.erally, v/hy v;ould the VJhits' liouse
run a name-check v/ith the FBI?
I7as it to clear political appointees of some kind?
(192)
IS. 2 JOHN CAULFIELD TESTIMONY, MARCH 23, 1974,
SSC EXECUTIVE SESSION, 88, 102-03
102
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5
6
7
8
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12
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lfi_
17
18
19
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21
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23
£4
25
IRS audit of Mew Yorker Filns, Incorporated, DeAntonio and
Talbot."
Did rir. Dean agree with your suggestions?
Mr. Caulfield. . No, he did not.
Mr. Lackritz. Do you recall hin specifically turning thoss
down?
Mr. Caulfield. I recall sending a subsequent memoranduia
on the.ZOth. of October which again dealt with the same
siibject.whic.1 emanated fronv Mr. Ulasewics conducting . a pre-
text inquiry in New York and following that, I made coirments
_in the final three paragraphs.'
I'ir. Lackritz.- Before v/e get to the October 20th memoranduni,
Mr. Caulfield, and the October 15th, you have coma, to the
conclusion that it is the time to release the derogatory infor-
mation that you have gathered from the FBI .
=_^_^ l3-^thf.t..ru3t_ correct?; ; ..: •.--..
Mr. Caulfield. I made the r-ecommendation, yes_.
Mr. Lackritz. You also made the recommendation that
discrete IRS audits be done of those three taxpayers. New
Yorker Films, DeAntonio and Talbot.
Is that correct?
Mr. Caulfield. Yes.
Mr. Lackritz. Hov; were you going to do those audits?
Mr. Caulfield. Well, if the recommendation were agreed to,
I would have approached Mr. Acree about them.
(193)
15.2 JOHN CAULFIELD TESTIMONY, MARCH 23, 1974,
SSC EXECUTIVE SESSION. 88, 102-03
103
1 Mr. Lackritz. Off ths racord.
2 (Discussion off the record.)
Mr. Lackritz. Back on the record-
Do you have anything to add to that last response?
5 Mr. Caulfield. No. I want to corvinent on the 20th.
6 Mr. Sears, off the record a minute.
7 (Discussion off the record.)
8 Mr, Caulfield. Yes, back on the record, I v;ould like to
9 add the conment with respect to the October 15th memorandum
10 that about this ti-tie I did receive information from I4r. Ulasewxcj
11 who v/as conducting a discrete inquiry, and it V7as at that time
12 that I began to move off the position as recommended in the
13 October 15th memorandum, and the memorandum of October the 20th
14 further indicates that I './as moving away from that position^ -
15 I Mr. Lackritz. V'hen did you ask Mr. uiasewicz- to conduct
15 these inquiries.' .
17 Was it about the time of your October 15th memorandum?
13 ■ Mr. Caulfield. Just prior to it, apparently.
]_g Mr. Lackritz. Prior to?
20 Mr. Caulfield. Yes,
21 Mr. Lackritz. Did you ask him to interview DeAntonio and
22
23
24
25
Talbot? »
Mr. Caulfield. No. 1 asked him to conduct a discrete
inquiry at the offices of the distribuzcr of the film, Mr. Talbot
in Hew York.
(194)
16. Prior to November 7, 1971 a talking pap6r and memorandum were
prepared with respect to making the IRS politically responsive. Dean
has testified that he and Caulfleld prepared the documents for Haldeman's
use during a meeting with either the Secretary of the Treasury or the
Commissioner of Internal Revenue. Haldeman has testified that he could
not recall either seeing the briefing memorandum or having any specific
conversation with the Secretary of the Treasury.
Page
16.1 Briefing Memorandum (undated and unsigned),
SSC Exhibit No. 4A, 4 SSC 1682-85 196
16.2 John Dean testimony, 4 SSC 1349, 1410-11 200
16.3 H. R. Haldeman testimony, 8 SSC 3136-37 203
(195)
i 16. 1 SSC EXHIBIT NO. 44, 4 SSC 1682-85
1682
EXHIBITS SUBMITTED FOR THE RECORD
Exhibit No. 44
(A) To accomplish : Make IRS politically responsive. Democrat
Administrations have discreetly used IRS most effectively. ;
We have been unable.
(B) The Problem : Lack of guts and effort. The Republican
appointees appear afraid and unwilling to do anything with
IRS that could be politically helpful. For example:
-- We have been unable to crack down on the
multitude of tax exempt foundations that
feed left wing political causes.
'. -- We havA been unable to obtain information
in the possession of IRS regarding our
political enemies.
-- We have been unable to stimulate audits of
persons who should be auditO(^.
'■-- We have been unsuccessful in placing RN
. supporters in the IRS bureaucracy.
(C) HRH should tell the Soc .
Walters must be more responsive, in two key areas:
personnel and political actions.
First , Waltijrs should make personnel changes tp maCe^RS
responsive to the President. Walters should- woTk with Fl-ed MaleK
immediately to accomplish this goal. (NOTE: There will be an '
opening for a General Counsel of IRS in the near future -- this
should be a first test of Walters' cooperation).
Second , Walters should be told that discreet political action
and investigations are a firm requirement and responsibility on'
his part. John Dean should have direct access to Walters,
without Treasury clearance, for purposes of the White House.
Walters should understand that when a request coines to him,
it is his responsibility to accomplish it -- without the White House -
having to tell him how to do it! ■ "
(196)
16.1 SSC EXHIBIT NO. 44. 4 SSC 2682-85
1683
I.R.S. TALKDIG PAPER
BACKGROUrrP
A) THE BUREWCRACY
I.R.S. is a monstrous bureaucracy, which is dominated and
controlled by Democrats. The I.R.S. bureaucracy has been
unresponsive and insensitive to both the White House and
Treasury In many areas.
In brief, the lack of key Republican bureaucrats at high levels
precludes the Initiation of policies which would be proper
and politically advantageous. Practically 'every effort to
proceed in sensitive areas is met with resistance, delay and
the threat of derogatory exposure.
B) AIMDIISTRATION APPOINTEES
Randolph Thrower became a total captive of the democratic
assistant commissioners. In the end, he was actively fighting
both Treasury and the White House.
JohnAie Walters has not yet exercised leadership. Unevaluated
reports assert he has been either reluctant or unwilling to do
so.
Walters has appointed as his deputy, William Loeb, career democrat
from Georgia.. Loeb has asserted his democratic credentials In
staff meetings according to reliable sources.
(197)
16. 1 SSC EXHIBIT NO. 44^ 4 SSC 1682-85
1684
I.R.S. Talking Paper
Page .two
Walters appears oversensitive in his concern that I.R.S.
might be labelled "political" if he moves in sensitive areas
(e.g. audits, tax exemptions).
During the Democrat Administrations, I.R.S. was used discreetly
for political purposes, but this has been unavailable during
this Administration .
SUGGESTIONS
Walters should be told to make the changes in personnel and
policy which will give the Administration semblance of
control over the hostile bureaucracy of I.R.S. Malek
should supply recommendations.
Walters must be made to know that discreet political actions
and investigations on behalf of the Administration are a firm
requirement and responsibility on his part.
We should have direct access to Walters for action in the sensitive
areas and should not have to clear them with Treasury.
Dean should have access and assurance that Walters will get
the Job done - properly.'
(198)
16. 1 SSC EXHIBIT NO. 44, 4 SSC 1682-85
1685
A knowledgeable Eource at IRS was contacted and given a hypo-
thetical situation in which the I'/hite House made a request
for an IRS audit of a group of specific individuals having
the same occupation. This source advised that IRS procedures
would require that such request be handled by Assistant
Commissioner Donald Bacon .
It Is known that Bacon is a liberal Democrat holdover who
has been continually identified with anti-Nixon intrigues
at IRS within the past two years.
The source suggested that a priority target be established
within the group with preference given to one residing in
the New York area. He further stated such target could dis-
creetly be made subject to IRS audit without tlie clear hazard
for a leaJc traceable to the V/liite House as postured above.
(199)
16.2 JOHN DEAN TESTIMONY^ JUNE 27^ 197Z, 4 SSC 1249, 1410-11
1349
tion, but I did take at that time, in representrng the Department of
Justice, a far different position that the Attorney General should have
the ability to nullify any request of any committee to grant immunity
to any witness, which is far different from the one Congress accepted
ultimately.
Mr. Dash. Now, Mr. Dean, did you bring with you this morning the
exhibits that you indicated you had and the committee requested you
to bring?
Mr. Dean. Yes, I did, Mr. Dash.
Mr. Dash. Could you just submit them and perhaps identify them as
you submit them to the committee ?
Mr. Dean. These are from a file that is entitled "Opponents List and
Political Enemies Project." The first document in the file, and these
are not in any chronological order, is a briefing paper that was pre-
pared for Mr. Haldeman for a meeting with the head of Internal
Revenue Service. The goal of the briefing paper which was based on
material that was provided to me by Mr. Caulfield who, in turn, got
information from friends of his within the Internal Revenue Service,
was to make the IRS politically responsive to the White House, and
I think that the document is self-explanatory. It is not marked other
than the heading which says "To Accomplish Make IRS Politically
Responsive."
I will mark these as I-
r
1
Mr. Dash. Well, you can mark them following your last exhibit
number.
Mr. Dean. For the sake of the record, right now I will call it exhibit
A.
[The document referred to was marked exhibit No. 44.^]
Mr. Dean. The next exhibit, which I will call B, is a memorandum
from Charles Colson to me, dated June 12, 1972, regarding tax discrep-
ancies in the income tax return of Mr. Harold J. Gibbons, vice presi-
dent of the Teamsters Union, in which Colson indicates that he is an
all-out enemy, a McGovemite and an anti-Nixon person, and he
believes that there should be an audit started at once, and if there is an
informer's fee, he would like to know because he believes there is a
good cause in which that informer's fee can be donated to. [Laughter.]
[The document referred to was marked exhibit No. 45.^]
Mr. Dean. The next document is a memorandum from Charles Col-
son, dated November 17, 1972, regarding the fact that he has received
information from an informal, some information regarding Mr. Jack
Anderson reierring to the fact that Mr. Anderson was found in a room
with certain wiretap in private — wiretap equipment in connection with
the Dodd investigation.
[The document referred to was marked exhibit No. 46.']
Mr. Dean. The next memorandum is a document from Mr. Caulfield
to me, dated August 12, 1971, in which Mr. Caulfield briefly indicates
that he has talked with Mr. Nofziger to come up with a candidate to
assist in the enemy's project
[The document referred to was marked exhibit No. 47.'']
Mr. Dean. The next is a copy of a memorandum of August 16, 1971,
that was prepared for Mr. Haldeman, Mr. Ehrlichman, and others at
the T^liite House by myself, which addresses itself to the general prob-
» See. p. 1682.
= See p. 1686.
'See p. 16.87.
* See p. 1688.
(200)
16,2 JOHN DEAN TESTIMONY,, JUNE 27, 1973, 4 SSC 1349, 1410-11
1410
The list I liave prepared is merely sugcestive; it is Imsed on conversations I
had with others regarding persons wlio liave botli tlie desire and capfil)ility of
harming us. Tlie list is limited to loss than 20 persons, as it would lie most diffi-
cult to proceed with more at tliis time. I would hope we would continue to feed
additional names into the process every few months, l)ut we must l<eep this proj-
ect within reasonable hounds. I will nwait the review of these names as I feel
certain tliere will probably be additions and deletions from the list. Before I take
any action, please keep the list at at least 20 or less.
Attaclied is a list that was prepared based on a document that Mr.
Colson had gone tlirough and picked out some 20 key names.
The next document is a page of a news simimary.' I don't know the
date of the news summary. It has a notation on the top, "Dean/L."
Mr. Dash. "W'Tien you say news summary
Mr. Dean. This is the daily news summary that is prepared for the
President and distributed to various members of the IVhite House
staff.
The "Dean/L" indicates that it was to me from Mr. Higby and he
has encircled DXC Treasurer Robert Strauss, with a note, "Is he on our
list? Or should he be?"
Mr. Dash. Did you respond to that?
Mr. Dean. No, sir; I did not. As I say, most of these merely went
into a file in my office, where I just gathered them.
The next document I have is a document entitled "Corporate Execu-
tives Committee for Peace. Trip to Washington, June 25, 1970," with
a list of names. This was another document that was sent as a part of
one of the continuing updates.
[The document referred to was marked exhibit No. 63.-]
Mr. Dash. What is the source of that document ?
Mr. Dean. That would have been from Mr. Colson's office. The next
document is entitled "Democratic Contributors of $25,000 or More in
the 1968 Campaigns" — from June 20, 1971, New York Times story —
with certain names checked on the list. This is a document that came,
again, from Mr. Colson's staff.
[The document referred to was marked e.vhibit No. 64.^]
Next is a series of documents that relate to Muskie contributors.
Part of it is cut off on the top here in the xerographj' process and this
document was forwarded to me from Mr. Colson's office also.
[The document referred to was marked exhibit No. 65.^]
The next document ^ begins — it is a blank sheet of paper, which is a
briefing paper that I was requested to prepare for Mr. Haldeman so
that he could deal with the Secretary of the Treasur}' with regard to
making the Internal Revenue Service politically responsive to the
"WTiite House.
This document was prepared — the top document was prepared by
myself; the attached document was prepared by JNIr. Caulfield based
on conversations he had had with individuals in the Treasury Depart-
ment, as well as the last document was prepared by Mr. Caulfield as a
result of conversations he had with people in the Treasury Depart-
ment and in the Internal Revenue Service.
Mr. Dash. That was prepared by you Avith Mr. Caulfield's assistance
to be delivered to Mr. Haldeman ?
Mr. Dean. That is correct.
r-
br:
th!
^ Prcvionslv entered Into the record as exhibit 51.
= .Sop p. IT.SO.
'.See p. 1733.
« Sec p. 1734.
' Previously entered Into the record as exhibit 44.
(201)
16.2
L
JOHN DEAN TE STIMONY. JUNE 27, 1973. 4 SSC 1349. 1410-11
1411
Mr. Dash. Was it delivered to Mr. Haldeman ?
Mr. Dean. Yes, it Tvas.
The last document for identification is a memorandum dated Au-
gust 16, 1971.' It was a draft in my files in which I was asked to prepare
a strategy for dealing with political enemies that involved the entire
White House staff, and it was sent forward, to the best of my recollec-
tion, to Mr. Haldeman and Mr. Ehrlichman for approval, disapproval,
or conunent.
Now, without going to my files in the White House, I can't teU you
the disposition of this document.
Mr. Dash. But can you tell us whether or not that document was in
fact sent forward ?
Mr. De.\x. Either in this form or in some form where the names
were typed on it.
Mr. Dash. Thank yoUj Mr. Dean.
Mr. Deax. I just noticed there were two other documents attached
to that.
On July 16, 1971, there is another update on the opponents list, add-
ing a name. This again is from Mr. Colson's office.
Senator ER\^N. With Senator Inouye's indulgence, I am going to
ask you one question about a paper that you identified in this connec-
tion called "Subject : Opponent Priority Activity," ^ a three-page docu-
ment, and see if you can give me the date of the origin of that.
Mr. Dean. Senator, I am not sure which document you are referring
to. . . -.
Senator Ervin. It is one called, "Subject : Opponent Priority Activ-
ity," on the heading. It is three pages. You had it this morning.
Mr. Dash. I have that, Mr. Dean. I didn't forward that to you here.
I can forward that to you now. The one I think you identified at the
end of the morning session — one that had a memorandum of June 24
from Mr. Bell.
Mr. Dean. Yes. I was forwarding that
Senator Ervin. I want to find out, on page 2, the name of Sterling
Munro, Jr., Senator Jackson's AA. Do you have anything that indi-
cates whether Mr. Munro was added on the list of opponents?
Mr. Dean. No, I don't. This is one of the^-I can only assume that
this was around June 24 when the document was prepared by a mem-
ber of Mr. Colson's staff and forwarded to my office as a part of this
general list.
Senator Ervin. That would be June 24, what year?
Mr. Dean. That is 1971.
Senator Ervin. Thank you.
Mr. Dash. Could I have the documents back, Mr. Dean ?
Senator Ervin. I can't forbear observing when I consider the list of
opponents why the Democratic vote was so light in the general election.
Senator Baker. Mr. Chairman.
Senator Ervin. Yes, sir.
Senator Baker. I really even in my wildest dreams would not think
of trying to improve or embellish on your story but you told it better
the first time when you leaned over to me and you said "I think I am
' Previously entered into the record as exhibit 48.
> Attachment to exhibit 49.
(202)
r
16.3 E.R. HALDEMAN TESTIMONY, AUGUST 1, 1973, 8 SSC 3136-3?
3136
TESTIMONY OF HARRY ROBINS HALDEMAN— Resumed
Mr. H.vLDEirAN". I can only comment to the extent. Senator, that
there have been, over the time that I was in the "Wliite House, a number
of inquiries made or pieces of information bcouirht to tlie attention of
various people "within the "Wliite House, from time to time, that there
^vere potential questions that should be investigated regaiding business
or financial activities of individuals, and there was a concern or a feel-
inp; that the IRS had been — during the time of our administration
being out of office and subsequently even during the time that this
administration came into office — there had been considerably more
zeal shown by the IRS in looking into potential questions of those who
were supporters of this administration than zeal shown in looking into
inquiries that were directed or raised regarding those who were knav\"n
and vocal opponents of the administration, and these factors would be
brought to the attention of various people at the "Wliite House from
time to time with a query as to why there wasn't some kind of investi-
gation into the dealings of some particular person with regard to some
matter and those would be referred to the IRS. That would be the
context in which I recall the question being raised.
Senator T-\lmadge. Here, I believe, is a talking paper prepared for
you to use with Secretary Walters, who was then Secretary of the — or
Director of the IRS, and here is paragraph (c), "H. R. Haldeman" or
"H.R.H.," I assiune that means you, "should tell the Secretary,
Walters, that he must be more responsive in two key areas, personnel
and political actions. First, Walters should make personnel changes to
make IRS responsive to the President, Walters should work with Fred
Malek immediately to accomplish this goal. (Note: there will be an
opening for General Counsel IRS in the near future. This should be
the first test of Walters' cooperation.)"
Did you use this talking paper?
Mr. H.ALDEMAN. Could I see it, please. Senator?
, Senator Talmadge. Certainly. Do we have another copy of this? I
will show it to you and then ask you to return it to me.
Mr. HALDEirAX. This doesn't indicate to whom, by whom it was
prepared, or to whom it was directed. I agree with you it does refer
to '"H.R.H. should tell the Secretary." I don't recall seeing it.
Some of the items in discussion or referred to in here — it doesn't
seem to be dated either. Is there any further identification of this
paper?
Senator Talmadge. That was one of the exhibits that Mr. Dean
placed in the record when he testified here, and I think that was
reported to be a talking paper for you to use in discussions with the
Secretary of the Treasury to try to make the Bureau of Internal Reve-
nue Service more responsive politically and more responsive to the
requests from the "White House about audits of foes of the T\1iite
House tax returns.
Mr. WiLsox. Senator Talmadere. I am sure you would not ask any
question which isn't relevant. Would you mind indicating the time
factor here, the relevancy of this within your n.>5olution, if the Chair-
man will permit it?
Senator TAr.MAnoF. It all has relevance, I think, to the 1972 election.
Apparently that is uhat it was geared up for and it is within the pur-
(203)
L
16.3 H.R. HALDEMAN TESTIMONY, AUGUST 1, 197Z, 8 SSC 2136-37
3137
view of our committee if it relates to that. I would certainly think that
if you have a paper relating to trying to make the Internal Kovenue
Service more politically responsive that it certainly would be within
the purview of this resolution that cieated thiscoiiMuittee.
Mr. WiLsox. I was concerned about the date of it. If it had been back
in 1969 or 1970 I would doubt it.
Senator T.\i,ir.vix;E. AVhen was AValtere revenue commissioner, do we
have the dates here before the committee somewhere, some member of
the staff? Perhaps Mr. Haldeman \voiild know.
Mr. Haldem.vx. I haven't any idea.
Jlr. Dash. It was after 1970 because Mr. Thrower was before him
and there were some documents relating to Mr. Thrower in 1970 and
Mr. Walters came in after Mr. Thrower.
Senator Talmadge. One of the portions of that document does relate
to Mr. Thrower, I believe.
Did you ever have any conversations at any time with the Secretary
of the Treasury or anyone else about making the Internal Revenue
Service more politically responsive?
Mr. Haldemax. Only in this — I don't recall any specific conversa-
tions with the Secretary of the Treasury. If I had any or I was a
participant in any such conversations, they would have been in the
context that I referred to earlier. Senator, which was the question of —
well, as Mr. Dean indicated that the IRS bureaucracy- at the lower
levels was very- strongly staffed with people or at least it was the feel-
ing that it was — I don't know anything about it because fii-sthand I
have made no investigation into this, this was the allegation — with
people whose positions were due to previous administrations and
whose interests were in the policies and philosophy of previous admin-
istrations, and that the diligence with which they pursued cases that
had been referred to them relating to potential misdoings by opponents
of this administration were not pursued with the diligence that they
were pursuing matters relating to supportei-s of this administration.
This had been the case when we were out of office and continued to be
the case even after we had been in office for several yeai^. and there
was discussion of that question, and that, in that context. I may have
had — I know I have been in discussions where that kind of feeling was
under — was a to[)ic under discussion.
I have not, I don't believe, ever met any Commissioner of the IRS
other than Mr. Cohen who was Commissioner l)efore we came in and
who is now the attorney for the Democratic Xational Committee for
their lawsuit and took a deposition from me some weeks ago.
Senator TAr->tAt>GE. Did you oi- anyone, to your knowledge, within
the "White House ever request the "White House to make a political—
an audit of any taxpayer?
Mr. Haldemax. In the sense of referring information that had come
to our attention or information that appeared to indicate a reason for
an audit, it is quite possible that tliat was done. I recall no specific such
request.
Senator Talmadce. Xow, would they be foes of the administration
or friends of the administration?
Mr. Hauiemax. These would be inquiries or information that would
come in from friends of the administration regarding foes of the
administration. Or those who were considered to be.
(204)
17. In a Political Matters MeTnorandum dated December 2, 1971 Strachan
reported to Haldeman that Mitchell and Dean had discussed the need to
develop a political intelligence capability. Strachan stated that
Sandwedge had been scrapped and that instead Gordon Liddy would become
general counsel to CRP effective December 6, 1971. Strachan stated that
Liddy would handle political intelligence as well as legal matters and
would also work with Dean on the political enemies project.
Page
17.1 Memorandum from Gordon Strachan to H. R. Haldeman,
December 2, 1971 (received from White House) 206
(205)
17. 1 GORDON STRACHAN MEMORANDUM, DECEMBER Z, 1971
THE W H I T E H O U 5 S
WAS H 1 M GTO M
Adriiin i s tr^ c ively Conf iden t ia 1
December 2^ 1971
ME?:ORJ\_\'DUM FOR:
FROM:
SUBJECT :
H . R . HALDSi'-iaN
GORDOM STRACHAN fZ.
Political Matters
The Nixon Finance Conmittee of Lee Munn and Hugh Sloan
has received 1,700 and disbursed 630, leaving a balance
of 1,070. The receipts are low because fundraising was
curtailed before the November 9 RNC dinner and Secretary
Stans does not return from Russia until December 6, On
his return the Attorney General is prepared to discuss
with him the position of Financial Chairman fcr 1972.
Herb Kalnbach now has pledges of 11,600 but "in the barn"
receipts are only 1,000. Hov/ever , he believes there will
be a 95% delivery on the pledges.
The RNC financial situation v/ill be reviewed by the Attorney
General on December 4. Magruder will meet with Tom Evans
on December 2 and 3 to get detailed budget and receipt
figures from the RNC with particular focus on the November
9 dinners.
Concerning ambassadorships, Kalmbach will get a case by
case determination from the Attorney General as he did in
the case of John Safer. Kalmbach has tried to approach
Flanigan but continues to have the same problems of having
telephone calls returned and reaching an understanding.
The Committee for the Re-Election of the President has a
December budget of 100,000, of which 50,000 is salary,
16,000 travel and entertainment, and 35,000 operating
expenses. The budget submitted to the Attorney General
does not list the 40 employees and their individual salaries.
Cliff Miller — He m.et with the Attorney General on December
2 for one hour to review the Campaign. The Attorney General
asked Miller to know the details and to supply independent
advice on polling and research, advertising, the PR - press
area, and telephone - direct mail. Miller expressed his view,
that the v/eakest part of the Campaign was Karrv Fle.oning's
000 15')
NOTE: THE COMMITTEE ON THE JUDICIARY RECEIVED FROM THE WHITE HOUSE
21 POLITICAL MATTERS MEMORANDA PREPARED BY GORDON STRACHAN
BETWEEN AUGUST 1971 AND SEPTEMBER 1972. THESE MEMORANDA
ARE REPRINTED IN A SEPERATE VOLUME AS AN APPENDIX TO THE
STATEMENT OF INFORMATION. SEVEN POLITICAL MATTERS MEMORANDA
ARE INCLUDED IN BOOKS I-IX AS SUPPORTING EVIDENCE FOR THE
STATEMENT OF INFORMATION. THESE MEMORANDA ARE REPRINTED AT
BOOK I, PARAGRAPHS 1.1, 2.1, 5.1, AND S.2s BOOK II, PARAGRAPHS
33.8 AND 33.9; BOOK VI, PARAGRAPHS 39.1, 42.1, 42.2, AND 42.3;
BOOK VII, PARAGRAPHS 75. S, 75.6, 75.10, AND 80.1; AND BOOK
VIII, PARAGRAPH 17.1.
(206)
17. 1 CVRDOU STMCHAN MEHORANDUM, DECEMBER 2. 1971
-2-
field ooa^ation. Th3 Attornay General £xir^lttoa th^t -r.^re va^
a probleir,, -.■;-aicr. tha Attorney General planp-ec. to alleviat- by
bringing in "fello-.vs with a little i?.ore stacurs", sue- as
M.ardian. Also, the Attorney General has kept Flernr.ing -under
"very close reins" so far.
Tbe Attorney General agreed that it raight be a good idea to
have Miller or so.T.eone else go to Hew Hampshire to take an
independent loo:< at the Nev? Ha.T.pshire cajn.paign operation.
The Attorney General is concerned that the Shu.mw-ay move did
not proceed auicker and with more careful checking by
Miller ililfer assured him that all parties were now in
agreement and that he will work directly with Fred Malek.
Without any hard evidence. Miller believes that the Attorney
General is pleased with Magruder's performance.
Harry Dent — The Attorney General is being urged to talk
to Governor Holton about a Byrd Coalition candidate ror
Senator Spong ' s seat so that Virginia will be an easy victory
for the President.
Ebrlichman received a political briefing from Dent on North
Carolina in connection with his trip to Duke University. Tne
memorandum emphasizes the impending party primary right ^
between Jim Holshouser and Jim Gardner for the govemorsnip
and the oroblens getting Jim Broyhill to run for Senator
Jordan's' senate seat. However, "the President see.ms to be in
good shape in North Carolina".
After you questioned whether Wallace would forfeit delegates
or electors if he runs in the Democratic primary in Floriaa
and then as an independent in another state. Dent double
checked The Florida Democratic Executive Co.Tjaittee passed
and then rescinded a provision that would have denied Wallace
his delegates. The Secretary of State did not follow the
Democratic party's example and rule that he would also lose
his electors.
D°nt talks with Kevin Phillips periodically. Last week the
Attorney GeAeral "hit Phillips hard" on some of his recennly
published remarks. Dent has the highest regard for Pnillips-
"poiitical brain" and says that althougn Phillips nates Colsor.
Eh-lichman, Fle.-tning and Kleindienst, he is only Deginning to
turn sour en th2 Administration. Dent, at the Attorney
General's direction, will continue to stay in touca wi-th
Phillips, but Dent believes you should see Pnillips orieily
to convince him that the President still looks to Kevin Phillips
for oolitical aiTvice ,
(207)
17.1 GORD ON STRACmi MEMORANDVM, DECEMBER 2. 1971
Arr?_ag3 Haldeman naeting with Pnillipfi
^ n.. ._r" / •■'' '^ Receive Phillips political advice thro'^gh the
i^ ■^.'■^„' ' Attorney General and Dent
r^i'.O
Other
Dent attended the Republican Governors Conference on
Movmeber 20-21 in Indiana and reports that "thair public
statements and actions were very good". Ths Governors
v/ant to be more political and help the President. They
also feel that more information should be made available
to the Vice President.
Martha Mitchell v/as a "sm.ash hit" at a GOP fund raising
appearance in South Carolina, November 19.
Dent is urging the Attorney General to contact the Vice
President to have him reconsider his change of plans
cancelling his appearance before the Southern GOP Confersnca
on December the 4th.
V7allace Henley is tracking George Wallace and reports that
he has resigned himself to running as an independent in
Alabama because of his problems v/ith the Legislature. The
new AIP platform is like a reprint of the Burchers Blue Book.
The AIP National Convention will be held in Toledo. The
date has not been set.
Murray Chotiner — Because of Governor Peterson's unpopularity
in New Hampshire, Chotiner advised you and the .Attorney
General that he believes Peterson would "make an excellent
appointee somewhere in the Administration".
Cliff UTiite is still meeting with Conservatives and blaming
the President for the U.N. result.
n
John Dean — The Attorney General discussed vjith John Dean
the need to develop a political intelligence capability.
Sandwedge has been scrapped. Instead, Gordon Liddy, who has
been working with Bud Krogh, will become general counsel
to the Committee for the Re-Election of the President, effective
December 6, 1971. He will handle political intelligence as
well as legal m.atters. Liddy will also work v;ith Dean on the
"political enemies" project.
(208)
17.1 GORDON STRACHAN MEMORANDUM, DECEMBER 2. 1971
J-cl- i"au"i ^i°lcl v/Lll go over to the Cor^ni tta-3 •.-.■hen Lha
IttO'ney'C-eneral n..oves . Caulfield will hancllo tha oa.T.a
orojects ha currently does. In aadition he '.;^.l asour^.a
responsibility for the personal protection of -.ae A.-.orna/
Ganaral.
Tainoa^an Rel ated Action MeiP.o - A Sigr.^ Delta Chi Convention
idantlfied tna Ca--..paxgn ■ s principle issues as .ne econony
(107 of 122 votes) , international afxairs (9) , and la^^ and
o-der (3) While reading the nsvjs surnjaary report ox ^nxs
t^e President "strongly stated that the Deinocrats 3usc
not be allowed to get away with this . . - international
affairs is our issue and the economy is thexrs -- regardless
of what happens to it because the liberals can always
proKiise nore". You, Ehrlichjfiin , and Colson receivaa the
memorandum .
YOU, Ehrlichman, and Colson were also advised that "our
political ti-oes working the precinct in the gharos and
Lvaho Reservations for Republican converts would do well
to focus their attention upon the Holy Name Society, the
women's Sodality, and the Polish-American Union .
Maarude-'s Projects — The weekly report submitted to the
ItES^H^ / General o n December 1 is briefer and better chan
oravious reports. It is attached at Tab A for your review
instead of being summarized bacause you had asked about
thfyouth registration drives, which are covered m soma
detail.
Maaruder reports that the Attorney General met with Lyn
Nofz"qer on December 1. On November 4 you and the Attorney
G°n'ral talked about the importance of getting a Nofziger
Interpretation of the Dole-Evans split. Unfortunately,
MagruLr believes this subject was not covered because the
meeting focused on the California situation.
Magruder will meet with Tom Evans of the RNC on December
2 and 3 to get his views o-f the role of the RNC m .he
Ca^pa^an Magruder and Flamming meet with the Attorney General
on Eeclmbe. 4 to decide on the role and budget of the RNC vis
a vis the Committee. On December 6 the Attorney Genera.1,
Magruder and Flemming will tell Tom Evans of their decisions.
Tom Evans will e.xplain the decisions to the RNC at the
me-ting in Washington on December 9-12. Besides tha Budget,
I4aaru^°r considers the voter registration and get out the
,^?e functions as the only important areas that have not
been resolved.
(209)
18. In early 1972 John Dean sent a memorandum to Haldeman, Ehrlichman,
Klein, Colson and Ziegler, with a carbon copy to Mitchell, stating that
an article by a journalist about a campaign fundraiser was scheduled for
publication the following day. At this time an unsigned memorandum wa?
prepared containing personal information about the lournalist and de-
scribing his financial affairs. It stated that during recent years the
journalist had not reported any personal income derived from the opera-
tion of a corporation in which he had an interest. It also stated that
certain facts suggested to IRS professionals that an audit might result-
ingly be in order. The memorandum also stated that because of the sensi-
tivities of the ongoing inquiry, no audit should be initiated unless
directed.
Page
18.1 Memorandum from John Dean to H. R. Haldeman and
others, with attachments (received from SSC) 212
18.2 Memorandum, unsigned and unaddressed, re back-
ground information on newspaper journalist
(received from SSC) ". 212
(211)
18.1 NOTE
NOTE: EXHIBITS 18.1 AND 18.2 CONTAIN UNPUBLISHED
PERSONAL AND FINANCIAL INFORMATION ABOUT
THE JOURNALIST REFERRED TO IN PARAGRAPH
18 AND ARE THEREFORE NOT INCLUDED IN THIS
VOLUME.
(212)
19. On June 12, 1972 Colson sent a memorandum to Dean stating
that Colson had received a well informed tip that there were
discrepancies in the tax returns of Harold Gibbons, a vice
president of the Teamsters Union. Colson stated that Gibbons
was an all out enemy and asked that Dean please see if this one
could be started on at once. Dean has testified that he put
the memorandum in his file and that it remained there.
Page
19.1 John Dean testimony, 4 SSC 13A9, 1480 214
19.2 Memorandum from Charles Colson to John Dean,
June 12, 1972, SSC Exhibit No. 45, 4 SSC 1686 216
(213)
29.1 JOHN DEM TESTIMONY, JUNE 27, 28, 1973, 4 SSC 1349, 1480
1349
tion, but I did take at that time, in representing the Department of
Justice, a far different position that the Attorney General should have
the ability to nullify any request of any conunittee to grant immimity
to any witness, which is far different from the one Congress accepted
ultimately.
Mr. Dash. Now, Mr. Dean, did you bring with you this morning the
exhibits that you indicated you had and the committee requested you
to bring?
Mr. Dean. Yes, I did, Mr. Dash.
Mr. Dash. Could you just submit them and perhaps identify them as
you submit them to the committee ?
Mr. Dean. These are from a file that is entitled "Opponents List and
Political Enemies Project." The first document in the file, and these
are not in any chronological order, is a briefing paper that was pre-
pared for Mr. Haldeman for a meeting with the head of Internal
Revenue Service. The goal of the briefing paper -which was based on
material that was provided to me by Mr. Caulfield who, in turn, got
information from friends of his within the Internal Revenue Service,
was to make the IRS politically responsive to the White House, and
I think that the document is self-explanatory. It is not marked other
than the heading which says "To Accomplish Make IRS Politically
Responsive."
I will mark these as I
Mr. Dash. Well, you can mark them following your last exhibit
number.
Mr. Dean. For the sake of the record, right now I will call it exhibit
A.
, [The document referred to was marked exhibit No. 44.^]
Mr. Dean. The next exhibit, which I will call B, is a memorandum
from Charles Colson to me, dated June 12, 1972, regarding tax discrep-
ancies in the income tax return of Mr. Harold J. Gibbons, vice presi-
dent of the Teamsters Union, in which Colson indicates that he is an
all-out enemy, a McGovemite and an anti-Nixon person, and he
believes that there should be an audit started at once, and if there is an
informer's fee, he would like to know because he believes there is a
good cause in which that informer's fee can be donated to. [Laughter.]
[The document referred to was marked exhibit No. 45.^]
*Mr. Dean. The next document is a memorandum from Charles Col-
son, dated November 17, 1972, regarding the fact that he has received
information from an informal, some information regarding Mr. Jack
Anderson referring to the fact that Mr. Anderson was found in a room
with certain wiretap in private — wiretap equipment in connection with
the Dodd investigation.
[The document referred to was marked exhibit No. 46.^]
Mr. Dean. The next memorandum is a document from Mr. Caulfield
to me, dated August 12, 19T1. in which Mr. Caulfield briefly indicates
that he has talked with Mr. Nofziger to come up with a candidate to
assist in the enemy's project.
[The dociimont referred to was marked exhibit No. 47.*]
Mr. Dean. The next is a copy of a memorandum of August 16, 1971,
that was prepared for Mr. Haldeman. Mr. Elu-Iichman, and others at
the Wliite House by myself, which addresses itself to the general prob-
(214)
19.1 JOHN DEAN TESTIMONY, JUNE 27, 28, 1973, 4 SSC 1349, 1480
1480
Senator Baker. WHiat else was said by him or by Mr. Haldeman or
by you in that context ?
j\Ir. De.\n. Well, this evolved into a, immediately into a conversa-
tion about the Internal Revenue Service and using the Internal Reve-
nue Service to audit returns of people.
I had — again, we were on, you know, I knew the wavelength we had
had been talking about, because I had had similar requests in the past
to audit returns of people, and I told the President that the Internal
Revenue Service had been
Senator Baker. Wait, wait, wait. You knew the wavelength because
you knew from your previous use of the Internal Revenue Service?
i\Ir. Deax. That is correct. I had requests from Mr. Haldeman in the
past that certain individuals have audits commenced on them.
Senator Baker. What did you do with that ?
Mr. Dean. Well, I can — the one time I recall getting one I did not
Icnow exactly what I was going to do with it because I was always
reluctant to call Mr. Walters at that time, who was the head of the
Internal Revenue Service, so I went to Mr. Caulfield, who had friends
in the Internal Revenue Service and he said, "I think I know a way
this can be done."
Apparently there is some system where the appropriate anonymous
letter comes into a regional office and if it is — those who know how to
do this can write the right letter and sufficient information will prompt
an audit on that individual.
Senator Baker. Is that known as the informer statute ?
Mr. Dean. No; I do not believe it is an informer statute. It is just
something that will be of sufficient attention to that regional office,
that branch of the, audit branch of that regional office, that will insti-
tute an audit.
I went on to tell the President that we did not seem to have the clout
at the "V^Tiite House to get this done. I had talked to Walters about it in
the past, and told him that I had had instnictions from ilr. Haldeman
on one occasion, and he said that, he brought to my attention the mak-
ing of the IRS political, and said that,
You will recall what happened back in 1948 with Truman and that administra-
tion and the cleaning house and the changing of the Internal Revenue .Service.
And these were all new facts to me, and what he was telling me was
"Don't call me with this sort of thing."
Senator Baker. Tell me, if you do not mind, what you did. Did you
in fact set up an audit? Your counsel is trying to reach j'ou and I think
he may have something to say.
Mr. Deax fconfei-rinff with counsel]. He just said, which was quite
accurate, T do not mind telling you any fact that is true. fLaucrhter.l
Senator Baker. I would say that was a very lawyer-like piece of
advice. [Laughter.]
Mr. Deax. So in this instance there was, the one I was referring to
in the past, there was an audit commenced. Now I, for example, read
a memorandum into the record this morning per request of some mate-
rial requested bv the committee that had to do with an audit of Mr.
nibbons of the Teamsters Union. I merely put that in my file, and that
,is where it has remained to this day.
r
(215)
19.2 CHARLES COLSON MEMORANDUM, JUNE 12, 1972, SSC EXHIBIT
NO. 45, 4 SSC 1686
1686
Exhibit No. 45
the white house
WASHINGTON ^^ f^^TXX
EYES ONLY June 12, 1972
MEMORANDUM FOR: JOHN DEAN
FROM: CHARLES COLSON
^
I have received a well informed tip that there are income
tax discrepancies involving the returns of I^Iarold J. Gibbons;
a Vice President of the Teamsters Union in St.. Loujs.-. This
has come to me on very, very good authority.
Gibbons, you should know, is an all out eneiyiy, aMcGovernite,
ardently anti-Nixon. He is one of the 3 labor leaders who
were recently invited to Hanoi.
Please see if this one can be started on at once and if there-.-
is an informer's fee, let me know. There is a good-.cause
at which it can be donated.-
(216)
20. Former Commissioner of Internal Revenue Walters has
stated that during the summer of 1972 he was asked by Treasury
Secretary Shultz to check on a report by John Ehrlichman that
Democratic National Committee Chairman Lawrence O'Brien had received
large amounts of Income which might not have been reported properly.
Walters has stated that he reported to Shultz on the IRS's examination
of O'Brien's returns for 1970 and 1971. Walters has stated that Ehrlich-
man was not satisfied with the report on the status of O'Brien's returns
and that because of Ehrlichman' s inquiries O'Brien was interviewed during
the summer of 1972. Walters has stated that Ehrlichman was not satisfied
with the interview and that he told Shultz he needed further information
about the matter. Ehrlichman has testified that he had learned from
a sensitive case report that the IRS was investigating O'Brien and that
he called Shultz to complain that the IRS was delaying the audit until
after the election.
Page
20.1 Johnnie Walters affidavit submitted to the House
Judiciary Committee, June 10, 197A 218
20.2 John Ehrlichman testimony, SSC Executive Session.
Februarys, 197A, 110-12 223
(217)
20.1 JOHNNIE WALTERS AFFIDAVIT, JUNE 10, 1974
HOUSE OF REPRESENTATIVES
OF THE UNITED STATES
COMMITTEE ON THE JUDICIARY
DISTRICT OF COLUMBIA) ss:
AFFIDAVIT
JOHNNIE M. WALTERS, being duly sworn, deposes
and says:
1. This statement is made upon my best recol-
lection of the facts as they occurred, without my having
had the benefit of reference to" files and other materials
in the possession of the Internal Revenue Service (IRS)
which might permit a more precise statement.
2. I served as Commissioner of Internal Revenue
from August 6, 1971 through April 30, 1973.
3. Beginning late in 1971 or early in 1972 the
IRS began an intensive investigation of the Howard Hughes
organizations and operations. During the course of that
investigation, IRS learned that some fairly substantial
amounts of money had been paid by the Hughes organization
to Lawrence O'Brien and his associates. Sensitive case
reports with respect to the Hughes investigation reflected
the O'Brien payments. (Sensitive case reports are sent to
(218)
20.1 JOHNNIE WALTERS AFFIDAVIT, JUNE 10, 1974
2
the Commissioner from the field each month to keep him
and the Secretary of the Treasury advised of IRS investi-
gations or proceedings relating to prominent persons or
sensitive matters.) A Special Assistant to the Commissioner
(during my tenure as Commissioner, Roger Barth) regularly
delivered to the Secretary of the Treasury the monthly
.sensitive case reports.
4. During the summer of 1972, Secretary Shultz
informed me that someone in the White House (subsequently
identified as John Ehrlichman) had information that Mr. O'Brien
had received large amounts of income which might not have
been reported properly. The Secretary asked whether IRS
could check on the matter, and I advised that IRS could.
5. I thereupon requested Assistant Commissioner
Hanlon (Compliance) to determine whether Mr. O'Brien had
filed returns which reflected substantial amounts of income.
After a few days, he reported orally that Mr. O'Brien had
filed returns which reported large amounts of income during
the preceding years , that IRS had examined the returns for
1970 and 1971, that Mr. O'Brien had paid a small deficiency
for one year, and that the examinations were closed. I
reported this to Secretary Shultz.
(219)
r
I Be
20.1 JOHNNIE WALTERS AFFIDAVIT^ JUNE 10, 1974
3
6. Thereafter, from Secretary Shultz I learned
that Mr. Ehrlichman was not satisfied with the report on
the status of Mr. O'Brien's returns. I informed Secretary
Shultz that Mr. O'Brien would be interviewed in connection
with the Hughes investigation. I do not recall specifically
whether scheduling of the interview of Mr. O'Brien originated
in the Field investigation independently of Secretary Shultz 's
inquiries or as a result of Secretary Shultz 's inquiries,
but, in any case, IRS needed the interview and would have
scheduled it. During 1972, however, it was IRS policy to
postpone investigations involving sensitive cases, to the
extent possible without loss of position or revenue, until
after the election. In line with that policy, IRS probably
would not have interviewed Mr. O'Brien prior to the election;
however, because of the indicated inquiries, IRS did inter-
view Mr. O'Brien during the summer of 1972.
7. To the best of my recollection, the IRS field
personnel had some difficulty in scheduling an interview
with Mr. O'Brien and at one point they agreed to interview
his son instead (who had informed the IRS agents that he
had information about his father's financial matters).
Before that interview took place, however, I was informed
I ho^N
I vie
(220)
Li:
n
tl-
wa
20.1 JOHNNIE WALTERS AFFIDAVIT, JUNE 10, 1974
4
by Secretary Shultz Chat Mr. Ehrlichman thought IRS should
interview Mr. O'Brien, not his son. I agreed with that
and directed that IRS interview Mr. O'Brien rather than
his son. I do not know how Mr. Ehrlichman learned of some
of the details of which he had knowledge.
8. IRS interviewed Mr. O'Brien on or about
August 17, 1972. Mr. O'Brien was cooperative although the
interview was limited timewise, and Mr. O'Brien suggested
that any further interview be postponed until after the
election. My recollection is that IRS furnished a copy of
the Conference Report to Secretary Shultz. A short time
thereafter. Secretary Shultz informed me that Mr. Ehrlichman
was not satisfied and that he needed further information about
the matter. I advised the Secretary that IRS had checked
the filing of returns and the examination status of those
returns (closed) and that there was nothing else IRS could
do.
9. On or about August 29, 1972, at the request
of Secretary Shultz, I went to his office with Roger Barth
so that we could conclude review of the O'Brien matter and
dispose of it. Secretary Shultz, Mr. Barth and I discussed
the matter and agreed that IRS could do no more. We then
jointly telephoned Mr. Ehrlichman. Secretary Shultz
(221)
20.1 JOHNNIE WALTERS AFFIDAVIT, JUNE 10, 1974
5
informed Mr. Ehrlichman of that; I stated that IRS had
verified that Mr. O'Brien had filed returns, that those
returns reflected large amounts of income, that IRS already-
had examined and closed the returns, and that we (Shultz,
Walters and Barth) all agreed that there was nothing further
for IRS to do. Mr. Ehrlichman indicated disappointment,
and said to me "I'm goddamn tired of your foot dragging
tactics." I was offended and very upset but decided to
make no response to that statement. Following the telephone
conversation, I told Secretary Shultz that he could have
my job any time he wanted it.
10. The meeting with the Secretary and telephone
conversation with Mr. Ehrlichman stand out in my recollections
as the final incidents in the O'Brien matter, however, in
concluding the matter, I may have furnished some data with
respect to Mr. O'Brien's returns to Secretary Shultz shortly
after (5 or 6 days) that encounter (some questions posed
seem to indicate this) .
-Z/ Johnnie M. Walters
Sworn to before me this 10th day of June, 1974.
Notary Public
My Commission expires //l/Z^ J V t // /
(222)
20.2 JOHN EHRLICHMAN TESTIMONY, FEBRUARY 8 1974
SSC EXECUTIVE SESSION. 110-12 ' ^^^
Indistinct document retyped by
House Judiciary Committee staff
Mr. Lackritz. But he never pinned it down?
Mr. Ehrlichman. I have no knowledge.
Mr. Lackritz. Do you have any knowledge if any of these
instances were connected with any of the organized crime
families? What do you use for colloquial terms?
Mr. Ehrlichman. I don't think so, not that I was
aware of.
Mr. Lackritz. Did the name Sam Giacomo come into it at
all, do you recall?
Mr. Ehrlichman. No. It was a name that I never heard
before.
Mr. Lackritz. And any other context of O'Brien with
organized crime contacts come up on any other occasions with
Colson?
Mr. Ehrlichman. No, not that I recall.
Mr. Lackritz. How about by any other?
Mr. Ehrlichman. No. As I say, that would have been the
only reference of O'Brien contacts like that.
Mr. Armstrong. Two short.
CAt about the time that Secretary Shultz became the
;tary of the Treasury, do you recall a conversation with
the Secretary regarding ongoing tax investigation against
Hughes Tool Company which involved Mr. O'Brien?
Mr. Ehrlichman. Yes.
Mr. Armstrong. Can you recall what information you had
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(223)
20.2 JOHN EHBLICHMAN TESTIMONY, FEBRUARY 8,1974
SSC EXECUTIVE SESSION, 110-12
Indistinct document retyped by
House Judiciary Connnlttee staff
111
available to you and from what source about the nature of that
investigation?
UMr. Ehrlichman. I had a sensor case report from the
ibout that.
Mr. Armstrong. Now at the conclusion of that investigation
did you have a conversation of that investigation did you
have a conversation with Secretary Shultz, Commissioner Walters
and Mr. Barth; a conference call from the Secretary's office —
Mr. Ehrlichman. Not a conference called. I talked to
them all on the phone and the Commissioner was there in his
office at the time.
Mr. Armstrong. Can you recall for us the nature of that
conversation?
Mr. Ehrlichman. Yes. He was reporting to me that the
audit had been completed and that it had disclosed no improprieties
or delinquencies and as far as they were concerned the matter
was closed.
Mr. Armstrong. And what was your response to that?
I Mr. Ehrlichman. Okay. You know, there it is. My concern
was throughout that the IRS down in the woodwork, was delaying
the audit until after the election and that seemed to be the
case, that there was a stall on because when the sensitive
case report came in, I said, aha, when are you going to audit
him? Well, they had 75 well selected reasons why they should
not audit him and they weren't having any of the same reasons
Indistinct document retyped by
House Judiciary Conmlttee staff
(224)
20.2 JOHN EHRLICHMAN TESTIMONY, FEBRUARY 8, 1974
SSC EXECUTIVE SESSION, 110-12
Indistinct document retyped by
House Judiciary Connnlttee staff
112
with regard to Republicans at that time and I thought there
was a little unevenhandedness and I am talking to the Secretary
now, "George, your guys are being lopsided. Here is a probable
cause for auditing O'Brien and it's apparently not going
forward and we can read in the paper everyday about audits of
Republicans. Now how come?" And he said, "Well, I will check
in to /si£/ it and he checked into it and he came back and he said,
he had a whole list of why he shouldn't be audited right now.
His son is sick, he's out of town. They can't find the books.
And I said, "Are you satisfied with that?" And he said, "No."
And I said, "Well, neither am I." And I wanted them to turn
> up something and send him to jail before the election and
I unfortunately it didn't materialize.
Mr. Armstrong. On the occasion when Commissioner Walters
was done with the audit and there were no improprieties, do
you recall discussing with Commissioner Walters that either
they had been stalling the audit --
Mr. Ehrlichman. Sure.
Mr. Amstrong. You had a discussion with him too?
Mr. Ehrlichman. You are darn right. It was my first
crack at him. George wouldn't let me at him. George wanted
to stand between him and his Commissioner and this was the
first time it -- I had a chance to tell the Commissioner what
a crappy job he had done.
Mr. Armstrong. And did you suggest that they reopen the
Indistinct document retyped by
House Judiciary Committee staff
(225)
21. On or about August 29, 1972 Shultz, Walters and Assistant to the
IRS Commissioner Roger Barth telephoned Ehrlichman to report on the IRS
Investigation of Lawrence O'Brien. Shultz informed Ehrlichman that the
IRS had closed the investigation. Ehrlichman complained to Walters that
the IRS had been stalling the audit and he told Walters what a bad job
he had done.
Page
21.1 John Ehrlichman testimony, SSC Executive Session,
February 8, 1974, 111-13 228
21.2 Johnnie Walters affidavit submitted to the House
Judiciary Committee, June 10, 197A 231
(227)
r
21 . 1 JOHN EHRLICHMAN TESTIMONY, FEBRUARY 8, 1974
SSC EXECUTIVE SESSION, 111-12
111
Indistinct document retyped by
House Judiciary Committee staff
available to you and from what source about the nature of that
Investigation?
Mr. Ehrlichman. I had a sensor case report from the
IRS about that .
Mr. Armstrong. Now at the conclusion of that investigation
did you have a conversation of that Investigation did you
have a conversation with Secretary Shultz, Commissioner Walters
and Mr. Barth; a conference call from the Secretary's office ~
Mr. Ehrlichman. Not a conference called. I talked to
them all on the phone and the Commissioner was there in his
office at the time.
Mr. Armstrong. Can you recall for us the nature of that
conversation?
Mr. Ehrlichman. Yes. He was reporting to me that the
audit had been completed and that it had disclosed no improprieties
or delinquencies and as far as they were concerned the matter
was closed.
Mr. Armstrong. And what was your response to that?
Mr. Ehrlichman. Okay. You know, there it is. My concern
was throughout that the IRS down in the woodwork was delaying
the audit until after the election and that seemed to be the
case, that there was a stall on because when the sensitive
case report came in, I said, aha, when are you going to audit
him? Well, they had 75 well selected reasons why they should
not audit him and they weren't having any of the same reasons
L
Indistinct document retyped by
House Judiciary Committee staff
(228)
21.1 JOHN EHBLICHMAN TESTIMONY, FEBRUARY 8, 1974
SSC EXECUTIVE SESSION, 111-13
112
Indistinct document retyped by
House Judiciary Committee staff
with regard to Republicans at that time and I thought there
was a little unevenhandedness and I am talking to the Secretary
now, "Geroge, your guys are being lopsided. Here is a probable
cause for auditing O'Brien and it's apparently not going
forward and we can read in the paper everyday about audits of
Republicans. Now how come?" And he said, "Well, I will check
in to it" and he checked into it and he came back and he said,—
he had a whole list of why he shouldn't be audited right now.
His son is sick, he's out of town. They can't find the books.
And I said, "Are you satisfied with that?" And he said, "No."
And I said, "Well, neither am I." And I wanted them to turn
up something and send him to jail before the election and
unfortunately it didn't materialize.
^^ Mr. Armstrong. On the occasion when Commissioner Walters
was done with the audit and there were no improprieties, do
you recall discussing with Commissioner Walters that either
they had been stalling the audit —
Mr. Ehrlichman. Sure.
Mr. Armstrong. You had a discussion with him too?
Mr. Ehrlichman. You are darn right. It was my first
crack at him. George wouldn't let me at him. George wanted
to stand between him and his Commissioner and this was the
first time it — I had a chance to tell the Commissioner what
a crappy job he had done.
Mr. Armstrong. And did you suggest that they reopen the
Indistinct document retyped by
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(229)
21.1 JOHN EHRLICHMAN TESTIMONY, FEBRUARY 8, 1974
SSC EXECUTIVE SESSION, 111-13
113
Indistinct doctnnent retyped by
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audit at that time?
Mr. Ehrlichman. No. They told me it was closed, so there
wasn't any.
u
Mr. Armstrong. So you accept it as a fate of happening?
Mr. Ehrlichman. Sure.
Mr. Armstrong. Other than the O'Brien was there any other
information you had about the Hughes IRS investigation going on in
Nevada at that time?
Mr. Ehrlichman. Well, it was a very long report and in-
volved a lot of other people.
Mr. Armstrong. Did it make any mention of Mr. Rebozo?
Mr. Ehrlichman. Yes.
Mr. Armstrong. And do you recall if you discussed that
information with Mr. Rebozo at anytime prior to the time when
Barth indicated they wanted to?
Mr. Ehrlichman. No. You see, when it came over, it came
over with a note from Barth saying that I need to talk to you
about this and so I immediately called him and he said at that
time I need to have a green light on interviews of Rebozo and
Don Nixon. And so I said, you know, okay, I think it is from
my standpoint it is indicated I will give you the green light
if you are notified with that.
Mr. Armstrong. And that was — go ahead, I'm sorry.
Mr. Ehrlichman. And he said, well, this is a little
touchy. I am a little concerned about how we make these
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(230)
21.2- JOHNNIE WALTERS AFFIDAVIT. JUNE 10, 1974
HOUSE OF REPRESENTATIVES
OF THE UNITED STATES
COMMITTEE ON THE JUDICIARY
DISTRICT OF COLUMBIA) ss
AFFIDAVIT
JOHNNIE M. WALTERS, being duly sworn, deposes
and says :
1. This statement is made upon my best recol-
lection of the facts as they occurred, without my having
had the benefit of reference to files and other materials
in the possession of the Internal Revenue Service (IRS)
which might permit a more precise statement.
2. I served as Commissioner of Internal Revenue
from August 6, 1971 through April 30, 1973.
3. Beginning late in 1971 or early in 1972 the
IRS began an intensive investigation of the Howard Hughes
organizations and operations. During the course of that
investigation, IRS learned that some fairly substantial
amounts of money had been paid by the Hughes organization
to Lawrence O'Brien and his associates. Sensitive case
reports with respect to the Hughes investigation reflected
the O'Brien payments. (Sensitive case reports are sent to
(231)
21.2 JOHNNIE WALTERS AFFIDAVIT, JVM 10^ 1974
2
the Commissioner from the field each month to keep him
and the Secretary of the Treasury advised of IRS investi-
gations or proceedings relating to prominent persons or
sensitive matters.) A Special Assistant to the Commissioner
(during my tenure as Commissioner, Roger Earth) regularly
delivered to the Secretary of the Treasury the monthly
sensitive case reports.
4. During the summer of 1972, Secretary Shultz
informed me that someone in the White House (subsequently
identified as John Ehrlichman) had information that Mr. O'Brien
had received large amounts of income which might not have
been reported properly. The Secretary asked whether IRS
could check on the matter, and I advised that IRS could.
5. I thereupon requested Assistant Commissioner
Hanlon (Compliance) to determine whether Mr. O'Brien had
filed returns which reflected substantial amounts of income.
After a few days, he reported orally that Mr. O'Brien had
filed returns which reported large amounts of income during
the preceding years, that IRS had examined the returns for
1970 and 1971, that Mr. O'Brien had paid a small deficiency
for one year, and that the examinations were closed. I
reported this to Secretary Shultz.
(232)
J
21.2 JOHNNIE WALTERS AFFIDAVIT, JUNE 10, 1974
3
6. Thereafter, from Secretary Shuitz I learned
that Mr. Ehrlichman was not satisfied with' the report on
the status of Mr. O'Brien's returns. I informed Secretary
Shuitz that Mr. O'Brien would be interviewed in connection
with the Hughes investigation. I do not recall specifically
whether scheduling of the interview of Mr. O'Brien originated
in the Field investigation independently of Secretary Shuitz 's
inquiries or as a result of Secretary Shuitz 's inquiries,
but, in any case, IRS needed the interview and would have
scheduled it. During 1972, however, it was IRS policy to
postpone investigations involving sensitive cases, to the
extent possible without loss of position or revenue, until
after the election. In line with that policy, IRS probably
would not have interviewed Mr. O'Brien prior to the election;
however, because of the indicated inquiries, IRS did inter-
view Mr. O'Brien during the summer of 1972.
7. To the best of my recollection, the IRS field
personnel had some difficulty in scheduling an interview
with Mr. O'Brien and at one point they agreed to interview
his son instead (who had informed the IRS agents that he
had information about his father's financial matters).
Before that interview took place, however, I was informed
(233)
r
21.2 JOHNNIE WALTERS AFFIDAVIT, JUNE 10, 1974
4
by Secretary Shultz that Mr. Ehrlichman thought IRS should
interview Mr. O'Brien, not his son. I agreed with that
and directed that IRS interview Mr. O'Brien rather than
his son. I do not know how Mr. Ehrlichman learned of some
of the details of which he had knowledge.
8. IRS interviewed Mr. O'Brien on or about
August 17, 1972. Mr. O'Brien was cooperative although the
interview was limited timewise, and Mr. O'Brien suggested
that any further interview be postponed until after the
election. My recollection is that IRS furnished a copy of
the Conference Report to Secretary Shultz. A short time
thereafter, Secretary Shultz informed me that Mr. Ehrlichman
was not satisfied and that he needed further information about
the matter. I advised the Secretary that IRS had checked
the filing of returns and the examination status of those
returns (closed) and that there was nothing else IRS could
do.
9. On or about August 29, 1972, at the request
of Secretary Shultz, I went to his office with Roger Barth
so that we could conclude review of the O'Brien matter and
dispose of it. Secretary Shultz, Mr. Barth and I discussed
the matter and agreed that IRS could do no more. We then
jointly telephoned Mr. Ehrlichman. Secretary Shultz
(234)
J
21.2 JOHNNIE WALTERS AFFIDAVIT^ JUNE 10, 1974
5
informed Mr. Ehrlichman of that; I stated that IRS had
verified that Mr. O'Brien had filed returns, that those
returns reflected large amounts of income, that IRS already
had examined and closed the returns, and that we (Shultz,
Walters and Barth) all agreed that there was nothing further
for IRS to do. Mr. Ehrlichman indicated disappointment,
and said to me "I'm goddamn tired of your foot dragging
tactics." I was offended and very upset but decided to
make no response to that statement. Following the telephone
conversation, I told Secretary Shultz that he could have
my job any time he wanted it.
10. The meeting with the Secretary and telephone
conversation with Mr. Ehrlichman stand out in my recollections
as the final incidents in the O'Brien matter, however, in
concluding the matter, I may have furnished some data with
respect to Mr. O'Brien's returns to Secretary Shultz shortly
after (5 or 6 days) that encounter (some questions posed
seem to indicate this) .
-~^ Johnnie M. Walters
Sworn to before me this 10th day of June, 1974.
Notary Public
My Commission expires yv/y;?:^ Jy // '/^ /
(235)
22. Walters stated that on September 11, 1972 he went to Dean's office.
Dean gave Walters a list of McGovern staff members and campaign contribu-
tors and requested that the IRS begin investigations or examinations of
the people named on the list. Walters' notes of the meeting state that
J. E. [John Ehrlichman] asked to make up the list to see what information
could be developed and that Dean had not been asked by the President to
have this done and did not know whether the President had asked directly
that any of this be done. Walters has stated that he advised Dean that
compliance with the request would be disastrous for the IRS and for the
Administration and that he would discuss the matter with Secretary Shultz
and would recommend to Shultz that the IRS do nothing with respect to
the request.
Page
22.1 Johnnie Walters affidavit submitted to House
Judiciary Committee, May 6, 1974 238
22.2 Johnnie Walters handwritten notes , September 11,
1972 (received from Joint Committee on Internal
Revenue Taxation) 242
22.3 List of McGovern staff members and campaign
contributors (received from Joint Committee on
Internal Revenue Taxation) 244
(237)
22.1 JOHNNIE WALTERS AFFIDAVIT, MAY g, 1974
HOUSE OF REPRESENTATIVES
OF THE UNITED STATES
COMMITTEE ON THE JUDICIARY
AFFIDAVIT
DISTRICT OF COLUMBIA) ss:
JOHNNIE M. WALTERS, being first duly sworn,
deposes and says:
1. I served as Connnissioner of Internal Revenue
from August 6, 1971, through April 30, 1973.
2. On September 11, 1972, I met with John W.
Dean, III, pursuant to his request, in his office at the
Old Executive Office Building. At that meeting he gave
me a list of names, and requested that IRS undertake
examinations or/ investigations of the people named on the
list. The list appeared to contain names of persons on
the 1972 Presidential campaign staff of Senator George
McGovern and of contributors to that campaign.
3. Mr. Dean stated that he had been directed
to give the list to me. It was my impression at the
time of the September 11, 1972 meeting that John D.
Ehrlichman was the one who had given Mr. Dean his directions,
but I do not recollect on what my impression was based.
(238)
22. 1 JOHNNIE WALTERS AFFIDAVIT, MAY 6, 1974
2
Mr. Dean stated that he had not been asked by the
President to have this done and that he did not know
whether the President had asked that any of this
activity be undertaken. Mr. Dean expressed the hope
that the IRS could do this in such a manner that would
"not cause ripples." He indicated that he was not yet
under pressure with respect to this matter.
4. I advised Mr. Dean that compliance with
the request would be disastrous for the IRS and for the
Administration and would make the Watergate affair look
like a "Sunday school picnic." I asked whether he had
discussed the matter with Secretary Shultz, and he said
no. I advised him that I would discuss the matter with
Secretary Shultz, and that I would recommend to Secretary
Shultz that we do nothing on the request.
5. On September 13, 1972, at the earliest
opportunity, I discussed the matter with Secretary Shultz,
showed him the list, and advised him that I believed that
we should not comply with Mr. Dean's request. Mr. Shultz
looked briefly at the list, and said do nothing with
respect to it. I placed the list in a sealed envelope
and placed it in my office safe. I believe I may have
(239)
22.1 JOHNNIE WALTERS AFFIDAVIT, MAY 6, 1974
3
informed Mr„ Dean of the decision, but do not specifically
recall doing so.
6„ On or about September 25, 1972, I received
a telephone call from Mr„ Dean, He inquired as to what
progress I had made with respect to the list. I told
him that no progress had been made. He asked if it
might be possible to develop information on fifty-sixty-
seventy of the names o I again told him that, although
I would reconsider the matter with Secretary Shultz,
any activity of this type would be inviting disaster,
7. Thereafter, on or about September 29, 1972
and again at the earliest opportunity, I discussed the
matter again with Secretary Shultz, We again agreed
that nothing would be done with respect to the list,
I have no recollection of any further discussions about
the matter during my tenure as IRS Commissioner, except
the possibility of mentioning (without showing) it to
the present Commissioner, Donald C. Alexander, as he
was in the process of being named Commissioner.
8, At no time did I furnish any name or names from
the list to anyone, nor did I request any IRS employee or
official to take any action with respect to the list.
(240)
22.1 JOHNNIE WALTERS AFFIDAVIT, MAY 6, 1974
9. I removed the list from the safe when I
left IRS and thereafter personally kept it in the sealed
envelope and locked in my present office,
10. On July 11, 1973, upon written request,
I submitted the list, along with my handwritten notes
of the September 11, 1972 meeting, to the Joint Committee
on Internal Revenue Taxation in connection with that
Committee's investigation of allegations that the IRS
took enforcement actions for political purposes.
.Jdhnnie M. Walters
Dated: V^ /7^
Subscribed and sworn to before me this <^ day
of May, 1974.
-^ \, ^ --^
NotaryPubTI
My Commission expires
M; :;--;:3;cn Expires Fab. U, 1973
(241)
22.2 JOHNNIE WALTERS NOTES. SEPTEMBER 11^ 1972
ComnrtiMionmr
of
Johnnie ?J3
M. *■=*''
Waiten
Date /—/ /" ~y ^
/^ /dC; ^^'-'^ ""^^jp-
^.^ 7^^ ^ 1^ r_
f^O.Q&i-t^ /^«^^ /^'-^ /l-a:,.^
(242)
22.2 JOHNNIE WALTERS NOTES, SEPTEMBER, 1 1 , 1972
pec ^ '"-^^'Tti
(243)
• 22.5 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
7^bzug, Rep. Bella
Armstrong, Robert
I'V
Brown, Willie L.
Caddell, Patrick
Caplin, Mortimer
Chayes-, Dr. Abram
Clifford, Clark
Cohen, Dick
Cunningham, George
Daniels, Harley
Davis, Lon
DeVJind., Adrian
Dougherty, Richard
Duffey. Rev, Joe
Dutton, Frederick G.
Farenthold. Frances (Sissy)
(244)
22.3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
Gavin Lt. Gen. James M.
(Retired)
Guggenlieim, Charles
Ha Is ted, Tom
Hart, Gary
Heller, Walter
Himmelman, Harold
Holum, John D.
James, William S.
0;.
HAv
Jones, Kirby
Kimelraan, Henry
r^^ U^
Kuh, Edwin
LaRocque, Rear Adm. Gene
(Retired)
Levett, Michael
Lobell, Martin
MapLaine, Shirley
(245)
22. Z LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
Mankiev/icz, Franlc
Martindell, Anne
McPherson, Mike
Meyers, Henry
O'Brien, Lawrence
Okun, Arthur M.
Patterson, Basil
Pechman, Joseph A.
Pokorny, Gene
Proxmire, Senator William
Rapp, Stan
Rubin, Miles
Salinger, Pierre
Schultze, Charles L.
Scoville, Herbert Jr,
(246)
22.3 LIST OF MoGOVERN STAFF MEMBERS AND CAf^IPAIGN CONTRIBUTORS
Smith, Floyd
Stearnes, Rick
Surrey, Stanley S.
Sylvester, Edward S., Jr.
Tobin, James
Van Dyck, Ted
Warnke, Paul C.
Weil, Gordon
Westwood, Jean
Waxier, Anne
c ■■■'
m
white. Cissy
Willens, HaroJd
York, Herbert F.
(247)
22. 3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
M/M Richard Abrons
10 Rigene Road
Harrison, N. Y. 10528
Thomas Boylston Adams
Concord Road
Lincoln, Mass. 01773
Joseph Antonow
111 East Wacker Drive
Chicago, 111.
Paul S. Annington
3031 Macomb St.
Washington, D. C. 20008
Isadore Adelman
1035 Summit Drive
Beverly Hills, Calif.
Mrs. Elaine Attias
605 N. Bedford Drive
Beverly Hills, Calif.
Julius Ochs Adler
50 E. 77th St.
New York, N. Y. 10021
Milton S. Axelrad
687 Driftwood Lane
Northbrook, 111.
Dr. Sheldon Adler
474 Duquesne Dr.
Pittsburgh, Pa. 15243
M/M John Axtell
10 Lincoln Road
Scarsdale, N. Y.
Archilbald Alexander
744 Broad St.
Newark, N. J. 07102
Mildred E. Barad
(No Address)
Henry Alker
512 Wyckoff Rd.
Ithaca, N.Y.
Irving Barr
ll-5th Ave.
New York, N. Y. 10003
Bruce Allen
5411 S. Harper Ave.
Chicago, 111. 60615
Jim Barrett
7621 N. W. 34th
Oklahoma City, Okla . 73008
Herb Alpert
1416 North LaBrea Ave.
Hollywood, Calif.
Robert Batinovich
100 Flying Cloud Island
Foster City, Calif. 94406
Judith H. Alpert
Box 452
Princeton, N. J.
Doris Z. Bate
Cognewaugh Road
Cos Cob, Conn. 06807
Frank Altschul
730 Fifth Ave.
New York, N. Y.
10019
Dr. /Mrs. Bernard Batt
31 Livingston Road
Sharon, Mass.
William R. Anixter
2 79 Moraine Road
Highland Park, 111.
Dr. /Mrs. Theodore B.
94 Summer St.
Weston, Mass. 02193
Bayles
(248)
gR..? LIST OF MaGOVEm STAFF MEMBERS AND CAMPAIGN CONTRTBUTORS
- 2 -
Mrs. J. (Helen) Beardsley
7336 Monte Vista
La Jolla, Calif. 92037
Eugene C. Blake
256 Country Club Road
New Canaan, Conn.
John M. Behr
10820 Vicenza Way
Los Angeles, Calif.
Charles Benton
585 Ingleside Place
Evanston, 111.
Marjorie Benton
585 Ingleside Place
Evanston, 111. 60201
Polly Bergen
Los Angeles, Calif.
Jerome Berger
3 5 Ridgemoor Drive
Clayton, Mo. 63105
Louise Berman
6 West 77th St.
New York, N. Y.
Nahum A. Bernstein
295 Madison h\fe .
New York, N.Y. 10017
■Peter L. Bernstein
767 Fifth Ave-.
New York, N.Y. 10022
Harold Berry
19330 Stratford
Detroit, Mich.
Harold & Vivian Berry
16300 N. Park Dr.
Apt. 1517
Southfield, Mich. 48075
Mrs. Carly Billings
P.O. Box 1014
Sag Harbor, N. Y. 11963
Louis C. Blau
9777 Wilshire Blvd.
Beverly Hills, Calif.
90212
Leonard Block
257 Cornelison Ave.
Jersey City, N. J. 07302
Elizabeth Blossom
56 Linnaean St.
Cambridge, Mass.
Mrs. Frances Boehm
1 Willow Lane
Hewlett Harbor, N. Y. 11557
M/M Robert Boehm
I Willow Lane
Hewlett Harbor, N. Y. 11557
Edward G. Boettiger
Dunham Pond Road
Storrs, Conn. 06268
Alva T. Bonda
II Bratenahl Place
Suite 14E
Bratenahl, Ohio
and
1700 Investment Plaza
Cleveland, Ohio 44114
Joel Bonda
Investment Plaza
Cleveland, Ohio 44114
Lou Bonda
Investment Plaza
Cleveland, Ohio 44114
Richard Bo row
1800 Ave. of the Stars
Los Angeles, Calif. 90067
(249)
22.3 LIST OF Ma GOVEEN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 3 -
M/M Constantine & Elizabeth Boukas
P.O. Box 115
Dunnigan, Calif. 97102
Michael Brande
1360 N. Sandburg
Chicago, 111.
M/M Irwin H. Braun
546 N. Cliffwood Ave.
Los Angeles, Calif.
Gerald Breslauer
3306 Barbydell Drive
Los Angeles, Calif.
John Briscoe
Silent Meadow Farm
Lakeville, Conn. 06039
Robert L. Brock
1153 Stratford Road
Topeka, Kan.
Earl Brockelsby
Box 2063
Rapid City, S. Dakota
George Brockway
63 Brevoot Rd ,
Chappaqua, N.Y.
Edward R. Broida
5222 Corinth Ave.
Los Angeles, Calif. 90064
John Brown
5811 Orton Road
Louisville, Ky.
M/M Lester R. Brown
8716 Preston Place
Chevy Chase, Md. 20015
Robert W. Brown
371 Noco Lane
Menlo Park, Calif.
M/M Roger Brown
3249 O Street, N.W.
Washington, D.C. 20007
M/M Thomas Buckner
445 Boynton
Berkeley, Calif. 94707
Stimson Bullitt
1125 Harvard E.
Seattle, Washington 98102
Carter Burden
305 E. 79th'st.
New York, N.Y.
Walter Burke
Winding Lane
Greenwich, Conn.
Michael Butler
Los Angeles, California
Michael Butler
Oak Brook, 111.
Alexander and Luis a Calder
Roxbury, Conn. 06783
William D. Carleboch
1112 Hardscrabble Rd .
Chappaqua, N.Y. 10514
M/M Robert Carlson
495 Prospect Blvd.
Pasadena, Calif.
William H. Carter
2222 Ave. of the Stars
Los Angeles, Calif. 90067
Jerome Cassidy
3515 Wilshire Blvd.
Los Angeles, Calif.
Raymond Cerf
1000 Sunset Drive
Lawrence, Kan.
Mrs. David (Joan R.) Challinor
3117 Hawthorne St., N.W.
Washington, D.C. 20008
(250)
22. 3 LIST OF McGOVEEN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 4 -
Tertius Chandler
272 Elmwood Ave.
Berkeley, Calif.
Isadore M. Cohen
1290 Ave. of the Americas
New York, N.Y.
R.B. Chaote
3 508 Macomb St., N.W.
Washington, D.C. 20016
Lionel Cohen
P.O. Box 884
Gary, Indiana 46401
Ann Chapman
1026 Maxine
Flint, Mich.
M/M Ronald B. Cohen
3509 Severn Road
Cleveland Heights, Ohio 44118
Edwin Child
73 W. Cedar St.
Boston, Mass. 02114
Saul and Amy Cohen
203 Hommocks Rd .
Larchmont, N.Y.
John C. Chi Ids
1020 Cromwell Bridge Rd.
Baltimore, Md . 21204
A. Cohn
1440 North Lake Shore Drive
Chicago, 111.
Ellis Chingos
7707 North Federal Highway
Boca Raton, Fla. 33432
Catherine W. Coleman
101 West Monument St.
Baltimore, Md. 21201
Jane Ann Choate
Hudson House
Ardsley-on-Hudson, N.Y.
Louis L. Colen
2727 Krim Drive
Los Angeles, Calif.
Willard Chotiner
10501 Wyton Dr.
Los Angeles, Calif.
Ms. Lucinda C. Collins
19 W. 12th St.
New York, N.Y. 10011
Blair Clark
229 E. 48th St.
N.Y., N.Y.
M/M Randolph P. Compton
53 Brookby Rd .
Scarsdale, N.Y. 10583
Mrs. Alice Erdman Cleveland
Bonnytop
Tamworth, N.H. 03886
Edward T. Cone
18 College Road West
Princeton, N.J. 08540
Michael Coburn
26 Witherspoon Lane
Princeton, N.J. 08540
(251)
•■ 22.3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 5 -
P. F. Conrad
29328 North Bay Road
Pales Verdes, Calif.
Alan S. Davis
37 West 12th St.
New York, N. Y.
M/M Andrew D. Cook
48 Academy Rd . , Apt. 6
Westmount, P.Q., Canada
Ed G. Davis
319 Harden Burg
Demarest, N. J. 07627
Tim Cooney
201 East 21 St.
New York, N. Y.
Irving Davis
1300 Midvale
Los Angeles, Calif. 90024
Edward T. Cor re
18 College Road West
Princeton, N. J.
Stewart W. Davis
Innstrasse 16
8 Munich 80, Germany
Phyllis Cox
88 Garden St.
Cambridge, Mass.
William H. Crocker
3333 P Street, N.W.
Washington, D. C.
Mark B. Dayton
900 Old Long Lake Rd.
Wayzata, Minn.
Lucy F. DeAngulo
2845 Buena Vista Way
Berkeley, Calif. 94708
P. McEvoy Cromwell
710 Circle Road
Ruxton, Md.
Ruth Cromwell
710 Circle Road
Ruxton, Md.
Priscilla Cunningham
160 East 72nd St.
New York, N. Y. 10021
Dorothy V. Dal ton
1130 Short Rd.
Ka lams zoo, Mich.
Morris Dees
Rolling Hills Ranch
Matthews, Ala. 36052
or
P. O. Box 2087
Montgomery, Alabama
Mrs. June Oppen Degnan
Ames Ave. & Shady Lane
P. O. Box 1036
Ross, Calif. 94957
Lawrence Deutsch
1800 W. Magnolia Blvd.
Burbank, Calif.
Eugene S. Daniell, Jr.
Franklin National Bank Bldg.
Franklin, N. H.
Adrian W. DeWind
345 Park Ave.
New York, N. Y. 10021
Joan K. Davidson
(No Address)
Carl Djerassi
127 Cresta Vista
Portola Valley, Calif.
(252)
22.3 LIST OF MaGOVERN STAFF MEMBERS AW CAMPAIGN CONTRIBUTORS
- 6
Henri G. Doll
18 East 78th St.
New York, N. Y.
Inez W. Dries
61 Superior Drive
Campbell, Calif.
Martha Ward Dudley
2942 Macomb St., N.W.
Washington, D. C. 20008
Angier Biddle Duke
47 Chester Square
London, SW 1, United Kingdom
Abe Dunn
3100 West Alabama
Suite 203
Houston, Tex. 77520
Cornelius Dutcher
7712 Moonridge Place
La Jolla, Calif. 92037
Cornelius & Barbara Dutcher
7617 Convoy
San Diego, Calif.
M/M Oscar Dystel
666 Fifth Ave.
New York, N. Y. 10019
Norman Eisner
16 Shady Brook Rd.
Great Neck, N. Y.
Richard A. Eisner
280 Park Ave.
New York, N. Y. 10016
Donald F. Eldridge
167 Isabella Ave.
Atherton, Calif. 94025
Lawrence Ellman
1 W. 72nd St.
New York, N. Y.
Helen W. Ellsworth
Salisbury, Conn. 06068
Victor Elmaleh
860 United Nations Plaza
New York, N. Y. 10017
James S. Ely
170 Gregory Hill Rd .
Rochester, N. Y.
Richard Emerson
Wells Hill
Lakeville, Conn. 06039
George G. Emert
9512 Singleton Drive
Bethesda, Md. 20034
Beatrice Blair Epstein
292 Ambassador Dr.
Rochester, N. Y. 14610
Michael C. Erlanger
Redding, Conn. 06875
Dominck Etcheverry
41 E. 10th St.
New York, N. Y. 10011
Ralph Ettlinger, Jr.
1370 Lincoln Ave., So.
Highland Park, 111. 60035
S. Sanford Ezralow
9556 Sherwood Forest
Beverly Hills, Calif. 90210
Max Factor
336 S. Hudson
Los Angeles, Calif.
(253)
22.3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 7 -
^
in
M/M Gary & E. Familian
1011 Cove Way
Beverly Hills, Calif.
or
9134 Sunset Blvd.
Los Angeles, Calif.
Mary Dupont Faulkner
c/o State Street & Trust
Boston, Mass.
and
255 Goddard Ave.
Brookline, Mass.
S. Ferry
1572 Massachusetts Ave.
Cambridge, Mass. 02138
Stanley Feuer
23140 Mariposa De Oro
Malibu, Calif.
Martin D. Fife
180 Madison Avenue
New York, N. Y.
John Fisher
123 Part St.
Buffalo, N. Y.
Mark H. Fleischman
36 East 38th St.
New York, N.Y. 10016
Moe Foner
Drug Hospital Union
M/M J. Malcomb Forbes
133 Coolidge Hill
Cambridge, Mass.
Orville Forte, Jr.
40 Nobscott Rd.
Weston, Mass.
M/M Stanley A. Frankel
161 E. 42nd St.
New York, N. Y.
John French
100 Wall Street
New York, N. Y. 10005
Michel Fribourg
Two Broadway
New York, N. Y.
Jules L. Furth
2450 Lakeview Ave.
Chicago, 111.
Mrs. Helen Fuson
325 College Ave.
Richmond, Indiana 47374
Andrew Gagarin
Gallos Lane
Litchfield, Conn. 06758
John B. Gage
683 Santa Barbara Rd.
Berkeley, Calif.
Margaret Gage
11769 Sunset Blvd.
Los Angeles, Calif.
Mrs. Elizabeth Galande
Dickson Mill
Greene Village, N. J.
John Kenneth Galbraith
Harvard University
207 Littaner
Cambridge, Mass.
Florence Gardner
Chicken Valley Rd .
Locust Valley, N. Y.
Samuel Gary
1776 Lincoln St.
Denver, Colo.
Jerome Ginzberg
2 5 Hutchinson Pk\\ry
Lynbrook, N. Y.
(254)
22.3 LIST OF MoGOVERN STAFF mWERS AND CAMPAIGN CONTRIBUTORS
J. W. Gitt (Gritt{?) )
Hanover, Pa.
M/M.' J. W. Gitt
Pinehurst, North Carolina 28374
Ralph Gleason
10th and Parker
Berkeley, Calif.
M/M Martin L. Gleich
2210 - 4th Ave.
San Diego, Calif. 92101
Alan Glen
5454 Wisconsin Ave., N.W,
Chevy Chase, Md. 20015
Seth M. Glickenhaus
30 Broad St.
New York, N. Y. 10004
Robert & Susan Glickman
29 Oxford Rd.
Scarsdale, N. Y. 10503
Michael J. Goldberg
15366 Longbow Drive
gherman Oak, Calif.
Margaret S. Goheen
Princeton University
Princeton, N. J.
Dr. Orville J. Golub
359 Veteran Ave.
Los Angeles, Calif.
Elinor Goodspeed
1230 - 13th St., N.W.
Washington, D. C.
Howard Gottlieb
1000 Lake Shore Blvd.
Evanston, 111. 60202
Isabella Grandin
301 Berkley St.
Boston, Mass. 02116
Edith B. Greenberg
10591 Rocca Way
Los Angeles, Calif.
Kenneth L. Greif
4000 N. Charles St.
Baltimore, Md.
I. A. Grodzins
5737 S. Blackstone
Chicago, 111.
George Gund
Gund Ranches
Lee, Nevada 89801
Richard S. Gunther
707 North Bedford Drive
Beverly Hills, Calif.
John H. Gutfreund
Salomon Bros. & Hutzler
(Address unknown)
Richard Tod Gutknecht
19890 Lures Lane
Huntington Beach, Calif. 92646
Gene Hackman
9171 Wilshire Blvd.
Los Angeles, Calif.
Hugh Kami 11
384 Milne St.
Philadelphia, Pa. 19144
(255)
22. 3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 9 -
Victor G. Hanson
15929 W. Seven Mile Rd.
Detroit, Mich. 48235
Irving B. Harris
First National Plaza
Chicago, 111. 60670
Anne B. Harrison
3556 Macomb St., N.W.
Washington, D. C. 20016
Carmen Harschaw
417 S. Hill St., #434
Los Angeles, Calif. 90013
Nan A. Harvie
3317 Paty Drive
Honolulu, Hawaii 96822
Henry Waldron Havemeyer
350 Fifth Ave.
New York, N.Y. 10001
Mr. Heckler
201 East 42nd St.
New York, N. Y.
Hugh M. Hefner
919 North Michigan Ave.
Chicago, 111.
William Hegarty
448 North St.
Greenwich, Conn.
Fred Heim
2973 Passmore Drive
Los Angeles, Calif.
Frank Heineman
120 East 34th St.
New York, N. Y.
Alfred E. Heller
121 Woodland
Kentfield, Calif. 94904
Clarence S. Heller
244 California St.
San Francisco, Calif.
Ruth B. Heller
121 Woodland
Kentfield, Calif. 94904
M/M Paul & Ruth Henning
4250 Navajo St.
North Hollywood, Calif.
R. Allen Hermes
R.D. #2
West Redding, Conn. 06896
M/M Alexander P. Hixon, Jr.
5443 Palisade Ave.
Bronx, N. Y. 10471
Harrison Hoblitzelle
16 Gray Gardens West
Cambridge, Mass. 02138
Harold Hochschild
Blue Mt. Lake, N. Y. 12812
John P. Hodgkin
515 Madison Ave.
New York, N. Y. 10021
LeRoy E. Hoffberger
900 Garrett Bldg.
Baltimore, Md. 21209
Janet Hoffheimer
198 Green Hills Rd.
Cincinnati, Ohio
Joseph Hofheimer
2 Great Jones St.
New York, N, Y. 10012
(256)
22.3 T.TST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 10 -
Alice A. Hoge
63 East Bellevue
Chicago, 111.
David L. Hollander
2518 Talbot Rd .
Baltimore, Md. 21216
Edwin Janss, Jr.
104 Thousand Oaks Blvd.
Thousand Oaks, Calif. 91360
Christopher Jencks
C/O Cambridge Trust Co.
Cambridge, Ma'ss.
Louis Honig
3555 Pacific Ave.
San Francisco, Calif.
Tim Horan
Wunderman, Ricotta & Kline
575 Madison Ave.
New York, N. Y. 10022
Raymond Home
725 Bryson St.
Youngstown, Ohio 44502
Alice A. Howe
63 East Bellevue
Chicago, 111.
Rudolph Hurwich
Box 1030
Berkeley, Calif.
Peter Hutchinson
221 D. Halsey
Princeton, N. J. 08540
Raymond lekes
111 Alvarado
Berkeley, Calif. 94705
James H. Inglis
8811 Colvesville Rd . , #803
Silver Spring, Md .
Jennifer L. Jacobs
577 West Ferry, Apt. 3
Buffalo, N.Y.
Esther Johnson
R.D. Oldrick, N.J.
M/M Walter Johnson
19641 Coral Gables
Southfield, Mich. 48075
Alfred. W. Jones
435 E. 52nd St.
New York, N. Y. 10022
Catherine S. Jones
2728 32nd St., N.W.
Washington, D. C. 20008
Larry Kagan
1900 Ave. of the Stars
Los Angeles, Calif.
Albert J. Kallis
528 N. Palm Drive
Beverly Hills, Calif.
Sheila Kamerman
1125 Park Place
New York, N. Y.
Louis Kane
10 Chestnut St.
Boston, Mass.
Jack Kaplan
760 Park Ave.
New York, N. Y.
Frank Karelsen
600 Park Ave.
New York, N.Y.
(257)
22.3 r.TST OF McGOVERN STAFF MEMBERS AND CAMPAIGN CONTRTBUTORS
- 11
David Karr
47 Rue Faubourg St. Honors
Paris, France
Henry L. Kimelman
P. 0. Box 250
St. Thomas, Virgin Islands 00801
Samuel Katzin
5530 S. Southshore
Chicago, 111.
Anita Katzman
100 Sands Point Rd.
Longboat Key
Sarasota, Fla. 33577
Don Kaufman
3100 Mandeville Canyon Rd.
Los Angeles, Calif.
M/M Elwood P. Kaufman
148 Library Place
Princeton, N. J.
Gloria Kaufman
3100 Mandeville Canyon Rd.
Los Angeles, Calif.
Harold Keith
93 Malibu Colony
Malibu, Calif. 90265
Dorothy Kent
San Juan
Pueblo, New Mex. 87566
James R. Kerr
1275 King St.
Greenwich, Conn.
Jim Kerr
10850 Wilshire Blvd.
Los Angeles, Calif.
Peter Kessner
112 W. 34th St.
New York, N.Y. 10001
Dr. &. Mrs. J.. J. King
7121 W. Manchester Ave.
Los Angeles, Calif.
David B. Kinney
3636 N. 38th St.
Arlington, Va . 22207
Travis Kleefeld
8929 Wilshire Blvd., #212
Beverly Hills, Calif. 90211
Mrs. S. B. Knight
Box 174
Gates Mills, Ohio 44040
Arthur J. Kobacker
3172 Homewood Ave.
Steubenville, Ohio 43952
Harvey L. Kbizim
145 Main St.
Westport, Conn. 06880
Oilman ICraft
401 St. Cloud Rd.
Los Angeles, Calif.
Herbert Kronish
1345 - 6th Ave.
New York, N.Y.
Violet Krum
43 N. Housac Rd .
Williams town , Ma s s .
Norman Kunin
600 Old Country Road
Garden City, N.Y. 11530
(258)
22.3 LIST OF McGOVERN STAFF MEmEHS AND CAMPAIGN CONTRIBUTORS
- 12 -
Mrs. Joseph Lachowicz
1042 N. 5th Ave.
Tucson, Ariz. 85705
Lou Lamberty
301 South 51st Ave.
Omaha, Nebr.
M/M Corliss Lamont
315 W. 106 St.
New York, N.Y. 10025
Mrs. Helen Lamont
315 W. 106th St.
New York, N. Y. 10025
Roy Lamson
68 Francis Ave.
Cambridge, Mass. 02138
Burt Lancaster
(No Address)
Peter Lake
10005 Reevesbury Dr.
Beverly Hills, Calif.
Bert Lane
224 South June St.
Los Angeles, Calif. 90004
Theodore V. Lane
1330 De Soto
Canoga Park, Calif.
Frank E. Laplin
Princeton, N. J.
H. Irgens Larsen
10 Frog Rock Rd.
Armonk, N. Y. 10504
Frank Lautenberg
405 Route 3
Clifton, N.J.
or
36 Stonebridge Rd.
Montclair, N. J.
Norman Lear
132 S. Rodeo Drive
Beverly Hills, Calif.
Mrs. Lucy B. Lemann
52 5 Park Ave.'
New York, N. Y.
Timothy Leonard
1027 City Park
Columbus, Ohio
George Leppert
20 Leroy St.
Potsman, N. Y. 13676
M/M Albert W. Lerch
1511 Amalfi Dr.
Pacific Palisades, Calif.
Mrs. Beatrice Lerner
300 Lillore Road
South Orange, N. J.
Alvin Levin
Old Winter St.
Lincoln, Mass. 01773
Robert A. & Kay Levin
1411 Judson Ave.
Evanston, 111.
Abner Levine
2 Amberly Road
Lawrence, N.Y.
Joseph E. Levine
1301 Ave. of the Americas
New York, N. Y.
M/M Bernard Levy
91 Chatham Road
Kensington, Conn. 0&037
Diana B. Lewis
778 Park Ave.
New York, N.Y.
(259)
22.3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 13 -
M/M Peter B. Lewis
18930 South Woodland Rd .
Shaker Heights, Ohio 44122
Joan E . Mack
111 Beverly Road
Chestnut Hill, Mass.
Robert K. Li f ton
201 E. 42nd Street
New York, N. Y.
Timothy Light
104 Eastern Heights Dr,
Itahca, N. Y.
Elizabeth Mackie
98 Bayard Lane
Princeton, N. J.
Milton Maidenberg
1100 Euclid Ave.
Marion, Ind.
William E. Little, Jr.
220 Fifth Avenue
New York, N. Y. 10001
William Louis-Dreyfus
One State Street Plaza
New York, N.Y. 10004
Dr. A. A. Lumsdaine
University of Washington
Seattle, Washington 98105
Lewis Manilow
105 W. Adams St.
Chicago, 111. 60603
Stanley Marsh
115 W. 7th Ave.
Amarillo, Texas
Anne Martindell
1 Battle Road
Princeton, N. J.
08450
Mrs. Frances B.
P. O. Box 1874
Flagstaff, Ariz.
McAllister
86001
Fred McConnaughey
2230 S. Patterson Blvd.
Dayton, Ohio 45409
F. R, McConnaughey
4385 Tam-o-Shanter Way
Kettering, Ohio 45429
Priscilla Mason
2817 N Street, N.W.
Washington, D. C. 20007
Stephanie May
Duncaster Rd.
Bloomfield, Conn. 06002
Kenneth Pray Maytag
21 East Canon Perdido
Santa Barbara Calif.
Alan McGowan
16785 Bayview Drive
Sunset Beach, Calif.
Priscilla McMillan
12 Hilliard St.
Cambridge, Mass.
C. W. V. Meares
307 East 44th St.
New York, N. Y. 10017
J. J. Meeker
4511 Ridgehaven Rd.
Fort Worth, Tex.
(260)
22.3 LIST
OF M^mir^ m STAFF MEMBERS. Am C AMPAIGN CONTRIBUTORS
14
Daniel Melcher
228 Grove St.
Montclair, N. J.
M/M Charles Merrill
23 Convmonwealth Ave.
Boston, Mass. 02115
Robert Mertens
P. O. Box 245
Woodstock, Vermont 05091
Mrs. LuEsther T. Mertz
850 United Nations Plaza
Apt. 30E
New York, N. Y. 10017
Howard M. Metzenbaum
1700 Investment Plaza
Cleveland, Ohio 44114
Ruth Meyer
252 Huntington St.
New Haven, Conn. 06511
Harry C. Meyerhoff
6301 Reistertown Rd.
Baltimore, Md. 21215
Jack Meyerhoff
5550 Collins Avenue
Miami Beach, Fla.
Robert Meyerhoff
3209 Fallstaff Road
Baltimore, Md.
Jean Milgram
5 Longford St.
Philadelphia, Pa.
Gerlad J. Miller
1220 Blair Mill Rd .
Silver Spring, Md . 20910
Joseph Miller'
1913 Delancey Place
Philadelphia, Pa.
M/M Marshall Miller
Gateway Towers, Apt. 20K
Pittsburgh, Pa.
M/M Richard G. Miller
Box 621, R-R. #1 .
Carson City, Nev. 89701
Leon R. Miral, M.D.
4821 E. McNichols
Detroit, Mich. 48212
Ralph Mishkin
7130 LaPresa Drive
Los Angeles, Calif.
Robert L. Misrack
901 S. Hill St.
Los Angeles, Calif. 90015
Stuart Moldaw
49 Faxon Road
Atherton, Calif.
Kenneth Monfort
1902 25th Ave.
Greeley, Colo.
Jenny McKean Moore
5519 Newark St., N.W.
Washington, D. C.
(261)
22.3
LIST OF MoGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 15 -
Carol S. Moss
335 S. Rimpau
Los Angeles, Calif.
M/M Jerome S . Moss
1416 N. LaBrea Ave.
Hollywood, Calif.
Stewart Mott
515 Madison Avenue
New York, N. Y. 10022
M/M Stuart Mudd
734 Millbrook Lane
Haver ford. Pa. 19041
William' W. Mullins
509 S . Linden
Pittsburgh, Pa.
Eleanor E . Murdock
301 Berkeley St.
Boston, Mass. 02115
David C. Nash
305 E. 40th St., Apt. 5F
New York, N. t. 10016
Mrs. Margaret Ete. Neufvi lie
Thomas Road
Mendham, New Jersey 07945
C. M. Newman
9820 Spring
Omaha, Nebr.
Murray Newman
8405 Indian Hills Dr.
Omaha, Nebr. 68124
Nick Newman
9820 Spring
Omaha, Nebr.
Paul &. Joanne Newman
Westport, Conn. 06880
Frederick M. Nichols
9454 Wilshire Blvd.
Beverly Hills, Calif.
Georgia O'Keefe
Albuquerque, New Mexico
Wilfred A. Openhyra
230 Park Ave.
New York, N. Y. 10017
M/M Harold Oram
77 Park Ave.
New York, N. Y. 10016
Albert Ornstein
210 E. 86th Street
New York, N. Y. 10028
and
Apt. M-11, Bldg. 2
Washington Square Village
New York, N. Y.
Moe Ostin
Warner Brothers
Burbank, Calif.
Mrs. Louise Ottinger
150 Central Park South
New York, N. Y. 10019
Mrs. Joan B. Overton
(No Address)
Janet F . Page
1007 Paseo de la Cuma
Santa Fe, New Mex. 87501
Joan Palevsky
623 S. Beverly Glen Blvd.
Los Angeles, Calif. 90024
(262)
9.9..:^ LIST nF MoGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 16 -
Max Palevsky
755 Stradella
Los Angeles, Calif. 90024
Victor PaLmieri
107 Malibu Colony
Malibu, Calif.
Esther Parker
177 Lake St.
Sherborn, Mass.
Mrs. Grace Parr
Box 463
Taos, New Mex. 87571
J. R. Parten
1603 Bank of the Southwest
Building
Houston, Texas
Isaac Patch
185 Maple St.
Englewood, N. J. 07631
Henry Pearlman
630 Third Ave .
New York, N. Y. 10017
Edward R. Peckerman, Jr.
23 Park Ave.
New York, N.Y. 10017
Martin Peretz
Assistant Professor
Harvard University
(No Address)
Harry J. Perry
PNB Building
Philadelphia, Pa.
Robert . Peterson
530 B St.
San Diego, Calif. 92101
Donald A. Petrie
2500 Virginia Ave., N.W.
Washington, D. C.
Gifford Phillips
825 S. Barrington Ave.
Los Angeles, Calif.
M. Platov
Tannersville, N.Y. 12485
Gene Pokorny
Rte. #2
Howells, Nebr.
A. Polland
716 W. Arbor Drive
San Diego, Calif.
Jerry E. Poncher
7400 Caldwell Avenue
Chicago, 111. 60648
Sidney L. Port
2961 Gregory St.
Chicago, 111.
Bibb Porter
78 E. 56th St.
New York, N.Y.
Rubin Potoff
574 E. Main St.
Waterbury, Conn.
Diane S . Poucher
303 N. Deere Park Dr.
Highland Park, 111. 60035
(263)
22.3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 17
M/M Charles Pratt
242 E. 68th St.
New York, N.Y. 10021
George Pratt (George D., Jr.
Bridgewater, Conn. 06752
Mrs. Jean Wood Preston
Weston Road
Lincoln, Mass. 01773
Julian Price II
1776 Butler Creek Rd.
Ashland, Oregon
and
Box 5786
Greensboro, N. C.
Bernard Rabinowitz
2 Laurel Lane
Clifton, N. J.
Reuben Rabinowitz
2 Laurel Lane
Clifton, N. J.
Bernard Rapoport
Box 208
Waco, Tex.
Joan Rea
510 Park Ave.
New York, N. Y.
Charles R. Reed
402 A Deuereux
Princeton, N. J.
08540
Walter T. Ridder
1325 E St. , N.W.
Washington, D. C.
20004
Ellis Ring
11400 Rochester Ave.
Los Angeles, Calif.
M/M Joseph Robbie
1301 N.E. 100th St.
Miami, Fla, 33138
James Robbin
740 Cordova Ave.
San Diego, Calif.
Edward Hutchinson Robbins
53 03 Boxwood Court
Washington, D. C- 20016
Bernard M. Rodin
919 Third Ave.
New York, N. Y.
M/m Richard Rogers
2 East 61 St.
New York, N. Y. 10021
M/M Frank Roosevelt
404 Riverside Drive
New York, N. Y. 10025
Carl Rosen
Essex, N. Y.
Jaclyn B. Rosenberg
1155 Shadow Hill Way
Beverly Hills, Calif.
Richard S . Rosenzweig
1519 Euclid Ave.
Marion, Indiana
Mike Roshkind
6464 Sunset Blvd.
Los Angeles, Calif.
(264)
22.3 LIST OF MoGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
18
Stanley Rothenfeld
19100 South Park Blvd.
Shaker Heights, Ohio
Arvin K. Rothschild
Universal Marion Bldg.
Jacksonville, Fla.
M/H Eli Sag an
153 Dwight Place
Englewood, N. J. 07531
Eli J. Sagan
520 8th Ave.
New York, N. Y.
Walter Rothschild, Jr.
521 Fifth Ave.
New York, N. Y. 10017
Alan Sagner
301 So. Livingston Ave.
Livingston, N. J. 07039
James W. Rouse
10354 Windstorm Drive
Coli:mibia, Md .
Alan Saks
3840 West Fullerton Ave.
Chicago, 111.
Miles Rubin
77 Malibu Colony
Malibu, Calif. 90265
Elizabeth M. Salett
6 Kensington Ave .
Trenton, N. J. 08618
Mrs . Vera Rubin
1080 Fifth Ave.
New York, N. Y.
*Dr. Vera Rubin
1028 Fifth Ave
New York, N. Y.
Madeline Russell
3778 Washington St.
San Francisco, Calif.
Edward L. Ryerson, Jr.
71 Washington Ave.
Cambridge, Mass.
John D . Ryan
Northville, N. Y. 11234
Richard Salomon
870 United Nations Plaza
New York, N.Y.
and
Riverbank Road
Stamford, Conn. ,
Maxwell H. Salter ( and Mrs. Janet)
804 N. Linden Drive
Beverly Hills, Calif.
Edward and Rose Sanders
509 Tuallitan Road
Los Angeles, Calif. 90049
Stanley Sands
2601 V7oodcrest
Lincoln, Nebr .
* Dr. Vera Rubin may be
same as Mrs. Vera Rubin
listed at address above.
David Sanford
614 Pearson
Flint, Mich.
(265)
9.9. ?, T.Tf^T OF MnGOVEHN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 19 -
William K. Scheide
133 Library Road
Princeton, N. J.
Fred Schiener
18 Beverly Drive
Great Neck, N. Y. 11021
Marvin Shapiro
1800 Ave. of the Stars
Los Angeles, Calif.
Betty Warner Sheinbaum
819 San Ysidro Lane
Santa Barbara, Calif. 93103
J. L. Schiffman
15 Exchange Place
Jersey City, N. J.
Stanley K. Sheinbaum
819 San Ysidro Lane
Santa Barbara, Calif.
Robert Schlossberg
3846 Virginia St.
Lynwood, Calif.
Lei and Schubert
2 Bratenahl Place
Bratenahl, Ohio
Leonard Schulman
444 Park Ave . , S .
New York, N.Y.
Mrs. Milton Schulman
737 Park Ave.
New York, N. Y.
Edward L. Schuman
4201 Cathedral N.W.
Washington, D. C. 20016
Kenneth L. Schwartz
4280 North Hills Drive
Hollywood, Fla. 33021
Burnell Scott
276 N. Pleasan£
Oberlin, Ohio
Peter J. Scott
P. O. Box 388
Lyndhurst, N. J. 07071
Ralph Shekes
16 W. 77th St.
New York, N. Y.
10024
Malcolm Sherman
10450 Waterfowl Terrace
Columbia, Md. 21044
Richard Sherwood
9606 Feather Road
Beverly Hills, Calif. 90210
Mrs. Richard T. Shield."
812 Fifth Ave.
New York. N. Y. 10021
Emilie Helene Siebert
310 Riverside Dr.
New York. N.Y. 10024
Jerome A. Siegel
1175 Old White Plains Rd.
Maranoneck, N. Y. 10543
Joan Simon
7 Gracie Square
New York, N. Y. 10028
(266)
22.3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
,'-\
- 20 -
Alfred P. Slancr
640 Fifth Ave.
New York, N. Y. 10019
Howard Sloan
75 Maiden Lane
New York, N.Y.
George A. Smith
17 Ames St.
Rutherford, N. J. 07 070
Ruth P. Smith
1 West 72nd St.
New York, N. Y.
*Mrs. Randolph Smitherman
617 Tinkerbell Rd.
Chapel Hill, N.C. 27514
*Mrs. M. R. Smitherman
617 Tinkerbell Rd.
Chapel, Hill, N. C. 27514
George Soros
25 Central Park South
New York, N. Y.
Leonard and Libbie Spacek
1550 Lake Shore Drive
Chicago, 111. 60510
L. M. Sperry
20 Crest Road
Belvedere, Calif. 94920
Mrs. Leonard M. Sperry
9198 Cordell Dr.
Los Angeles, Calif.
M/M Paul J. Sperry
115 Central Park West
New York, N. Y. 10023
* Mrs . Randolph Smitherman
& Mrs. M. R. Smitherman may
be same person
V. Sperry
500 Crestline Drive
Los Angeles, Calif.
.fe^
90049
Mrs. Victoria H. Sperry
500 Crestline Dr.
Los Angeles, Calif. 90049
Vicki Sperry
c/o Carol Moss
335 S. Rimpau
Los Angeles, Calif.
Lyman Spitzer
659 Lake Dr.
Princeton, N. J. 08540
Jon Splane
619-1/2 Third
Flint, Mich.
Fortney Stark, Jr.
Security Bank Building
1500 Newell Ave.
Walnut Creek, Calif. 94596
Dinah Starr
198 Beacon St.
Boston, Mass. 02116
Leften Stavrianos
53-109 Kam Hwy.
Punaluu, Hawaii
Hy Steirman
1 Chesterfield Rd.
Scarsdale, N. Y.
John A. Stephens
4400 Via Abrigado
Hope Ranch, Calif.
Carl W. Stem
55 Raycliff Terrace
San Francisco, Calif. 94115
(267)
2 2^ 3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 21 -
M/M Philip Stern
2301 S Street, N.W.
Washington, D. C. 20008
Alvin Sternlieb
20 Willowbrook Lane
Freeport, N. Y. 11520
Dr. & Mrs. R. J. Stoller
1100 Rivas Canyon
Pacific Palisades, Calif.
Martain and Elaine Stone
10889 Wilshire Blvd.
Los Angeles, Calif.
Mrs. Myron K. Stone
56 East 80th St.
New York, N. Y. 10021
Robert C. Stover
150 College Ave.
Poughkeepsie, N. Y. 12603
Donald B. Straus
140 West 51st St.
New York, N.Y. 10020
Marvin A. Strin
11110 Ohio Ave.
West Los Angeles, Calif.
Bernard Stryer
104 Raymond Ave .
Millburn, N. J.
Lee J. Stull
New Delhi
Dept. of State
Washington, D. C.
John Sturges
13063 Ventura Blvd.
N. Hollywood, Calif.
91604
Mark Swann
R. D. #1
New Park, Pa. 17352
O. W. Switz
P. O. Box 723
Red Bank, N. J.
George H. Talbot
125 East 4th St.
Charlotte, N. C.
and
417 Hermitage Rd.
Charlotte, N. C.
A. A. Taubman
Special Account
Southfield, Mich.
Michael Taylor
32 Gramercy Park South
New York, N. Y.
Michael Tennenbaum
c/o Bear Sterns & Co.
1 Wall St.
New York, N.Y.
Frank Thielen, Jr.
P. 0. Box 427
Baytown, Tex. 77520
Lee B. Thomas, Sr.
Box 1523
Louisville, Ky.
Matthew D. Thomases
1450 Broadway
New York, N. Y.
J. B. Tietz
410 Douglas Bldg.
257 S. Spring St.
Los Angeles, Calif.
(268)
29.. 7, LTST OF MeGOVERN STAFF MEMBERS AW CAMPAIGN CONTRIBUTORS
- 22 -
Bardyl Tirana
3509 Lowell St., N.W.
Washington, D. C. 20016
John L. Tishman
885 Park Avenue
New York, N. Y.
Norman Wain
15809 Onaway Rd .
Shaker Heights, Ohio 44115
Dr. George Wald
21 Lakeview Ave.
Cambridge, Mass.
Belmont Towbin
C. E. Unterberg
(No Address)
Robert C . Townsend
45 Sutton Place South
New York, N. Y.
R.C. Townsend
Duck Pond Road
Locust Valley, N. Y. 11560
Mrs. Katharine W. Tremaine
1512 Miramar Beach
Santa Barbara, Calif. 93108
David H. Tucker
10383 Barcan Circle
Columbia, Md. 20144
Joyce B. Turner
4948 S. Kimbark Ave.
Chicago, 111. 60615
Eugene K. Twining
Commonwealth Building
Allentown, Pa.
Frances Vicario
North Bennington, Vt. 05257
Fred Viehe
93 20 S. W. Eighth Ave.
Portland, Ore. 97219
Linda Wallace
435 S. Lafayette
Los Angeles, Calif.
Ira Wallach
Central National Corp.
100 Park Ave.
New York, N.Y.
Joan Warburg
60 East 42nd St.
New York, N. Y.
Maxine F. Warner
100 Malibu Colony
Malibu, Calif.
Carmen Warschaw
417 S. Hill St., #434
Los Angeles, Calif.
Samuel Warshauer
187 Leroy St.
Tenafly, N. J. 67670
Jean S . Weaver
445 El Arroyo
Hillsborough, Calif. 94010
Robert Weil
1880 Centuray Park East
Los Angeles, Calif. 90067
Samuel Weiner, Jr.
451 West Broadway
New York, N. Y. 10012
(269)
P.r. r? I T ^T QF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 23 -
Howard Weingrow
201 E. 42nd St.
New York, N. Y.
Henry Willcox
38 Dock Road
South Norwalk, Conn.
06854
Howard A. Weiss
209 South LaSalle St.
Chicago, 111.
Molly Weiss
1040 North Lake Shore Drive
Chicago, 111.
Robert G. Weiss
209 South LaSalle St.
Chicago, 111.
Bernard Weissbourd
111 East Wacker Dr.
Chicago, 111. 60601
Stanley S . Weithorn
405 Lexington Ave.
New York, N. Y. 10017
Mr. Wellington
Princeton, N. J.
Albert B. Wells
•250 Golden Hills Dr.
Portola Valley, Calif.
Joseph P. Wells
673 Second Ave.
New York, N. Y. 10016
Barbara Wheatland
P. 0. Box 271
Topsfield, Mass. 01983
Keith Wheelock
Todd Pond Rd.
Lincoln, Mass.
Harold Willens
1122 Maple Ave.
Los Angeles, Calif. 90015
and
321 South Bristol
Los Angeles, Calif.
Estelle Williams
723 N. Elm Dr.
Beverly Hills, Calif, 90210
Charles E. Wilson
4513 Coachmen
Baytown, Tex.
Mrs . Catherine Winkler
4660 Kenmore Ave.
Alexandria, Va. 22304
Werner F . Wolf en
Suite 900, Gateway East
Los Angeles, Calif.
or
1800 Ave. of the Stars
Los Angeles, Calif.
Louis Wolfson
Financier
(No Address)
Mrs. Dudley Wood
320 E. 72nd St.
New York, N. Y. 10021
Miss Lucia Woods
214 E. 70th
New York, N. Y. 10002
Mrs. Elizabeth G. Woodward
800 Seminole Ave.
Philadelphia, Pa.
(270)
22.3 LIST OF MaGOVERN STAFF MEMBERS AND CAMPAIGN CONTRIBUTORS
- 24 -
Frederick Worden
45 Hilltop Road
Boston, Mass.
Lyn Wyman
650 Nash
Menlo Park, Calif.
George Yntema
RFD 2, Box 80A
Manchester, Conn.
Quentin D. Young, M.D.
1418 E. 55th St.
Chicago, 111. 60615
Floyd Yudelson
9021 Melrose
Los Angeles, Calif.
Alejandro Zaffaroni
214 Polhemus Ave.
Atherton, Calif.
Meyer Zeiler, 1)4. D.
710 North Walden Dr.
Beverly Hills, Calif.
(271)
23 Walters has stated that on September 13, 1972 he discussed with
Secretary Shultz the list given him by Dean, showed Shultz the list and
advised Shultz that he believed they should not comply with Dean's
request to commence examination or Investigation of the people named
on the list. Shultz told Walters to do nothing with respect to the
list and Walters put it in his office safe. On July 11, 1973 Walters
turned the list over to the Joint Committee on Internal Revenue Taxation.
On December 20, 1973 the staff of the Joint Committee issued a report
stating that it found no evidence that the returns of any persons on the
list were screened as a result of White House pressure.
Page
23.1 Johnnie V7alters affidavit submitted to House
Judiciary Committee, May 6, 1974 274
23.2 Johnnie Walters handwritten notes, September 11 , 1972
(received from Joint Committee on Internal Revenue
Taxation) 278
23.3 Report of the staff of the Joint Committee on
Internal Revenue Taxation, "Investigation into Certain
Charges of the Use of the Internal Revenue Service
for Political Purposes," December 20, 1973, 7-12 280
(273)
23.1 JOHNNIE WALTERS AFFIDAVIT^ MAY 6, 1974
HOUSE OF REPRESENTATIVES
OF THE UNITED STATES
COMMITTEE ON THE JUDICIARY
AFFIDAVIT
DISTRICT OF COLUMBIA) ss:
JOHNNIE M. WALTERS, being first duly sworn,
deposes and says:
1. I served as Commissioner of Internal Revenue
from August 6, 1971, through April 30, 1973.
2. On September 11, 1972, I met with John W.
Dean, III, pursuant to his request, in his office at the
Old Executive Office Building. At that meeting he gave
me a list of names, and requested that IRS undertake
examinations or investigations of the people named on the
list. The list appeared to contain names of persons on
the 1972 Presidential campaign staff of Senator George
McGovern and of contributors to that campaign.
3. Mr. Dean stated that he had been directed
to give the list to me. It was my impression at the
time of the September 11, 1972 meeting that John D.
Ehrlichman was the one who had given Mr. Dean his directions,
but I do not recollect on what ray impression was based.
(274)
22.1 JOHNNIE WALTERS AFFIDAVIT^ MAY 6, 1974
Mr. Dean stated that he had not been asked by the
President to have this done and that he did not know
whether the President had asked that any of -this
activity be undertaken. Mr. Dean expressed the hope
that the IRS could do this in such a manner that would
"not cause ripples „" He indicated that he was not yet
under pressure with respect to this matter,
4. I advised Mr. Dean that compliance with
the request would be disastrous for the IRS and for the
Administration and would make the Watergate affair look
like a "Sunday school picnic." I asked v/hether he had
discussed the matter with Secretary Shultz, and he said
no. I advised him that I would discuss the matter with
Secretary Shultz, and that I would recommend to Secretary
Shultz that we do nothing on the request.
5. On September 13, 1972, at the earliest
opportunity, I discussed the matter with Secretary Shultz,
showed him the list, and advised him that I believed that
x-7e should not comply V7ith Mr. Dean's request. Mr. Shultz
looked briefly at the list, and said do nothing with
respect to it. I placed the list in a sealed envelope
and placed it in my office safeo I believe I may have
(275)
23.1 JOHNNIE WALTERS AFFIDAVIT,, MAI 6, 1974
3
informed Mr„ Dean of the decision, but do not specifically
recall doing so.
6o On or about September 25, 1972, I received
a telephone call from Mr„ Dean„ He inquired as to what
progress I had made with respect to the list. I told
him that no progress had been made. He asked if it
might be possible to develop information on fifty-sixty-
seventy of the names, I again told him that, although
I would reconsider the matter with Secretary Shultz,
any activity of this type would be inviting disaster,
7. Thereafter, on or about September 29, 1972
and again at the earliest opportunity, I discussed the
matter again with Secretary Shultz, We again agreed
that nothing would be done with respect to the list,
I have no recollection of any further discussions about
the matter during my tenure as IRS Commissioner, except
the possibility of mentioning (without shoxi/ing) it to
the present Commissioner, Donald C. Alexander, as he
was in the process of being named Commissioner.
8, At no time did I furnish any name or names from
the list, to anyone, nor did I request any IRS employee or
official to take any action with respect to the list.
(276)
23. 1 JOHNNIE WALTERS AFFIDAVIT], MAY 6, 1974
9c I removed the list from the safe v/hen I
left IRS and thereafter personally kept it in the sealed
envelope and locked in' my present office,
10. On July 11, 1973, upon written request,
I submitted the list, along with my hand^«ritten notes
of the September 11, 1972 meeting, to the Joint Committee
on Internal Revenue Taxation in connection with that
Committee's investigation of allegations that the IRS
took enforcement actions for political purposes.
^dhnnie M. Walters
Dated : V ^ //^^
Subscribed and sworn to before me this <^ day
of May, 1974.
'4^- y^
Notary Public ^T"
My Commission expires
r.!, ::---C3;c Exc;r33 Feb. 14, 1973
(277)
2Z.2 JOHNNIE WALTERS NOTES, SEPTEMBER 12, 1972
of
T° ^y/^7iij
Johnrw*
M.
V/alien
Date
^
f-//'^^-
(278)
23.2 JOHNNIE WALTERS NOTES, SEPTEMBER 11, 1972
(279)
23. 3 JOINT COMMITTEE ON INTERNAL REVENUE TAXATION STAFF REPORT^
DECEMBER 20, 1973, "INVESTIGATION INTO CERTAIN CHARGES OF THE
USE OF THE INTERNAL REVENUE SERVICE FOR POLITICAL PURPOSES, " 7-12
Finally, some returns are manually selected for screening. ]MaT\uaI
selection can occur for a variety of different reasons. Many returns
are manually selected because tliey are related to other returns which
were selected for audit. For example, partners in a business may have
their returns screened as a result of an audit of any one partner, and
a taxpayer's return in one year may be screened in connection with
an audit of a prior or subsequent year's return. "Wlien audits of trusts
or businesses lead to adjustments that should be carried through to
individuals' tax returns, these returns are audited so that the cliangcs
can be made. Other returns are manual!}' selected as a result of infor-
mation from intelligence activities, news reports or informants' lettei-s,
or in connection with an IRS investigation of specific economic activ-
ities in a local area. The IRS routinely screens for audit the tax retuiiis
of people involved in criminal investigations. It also routinely screens
tax returns of people who request a refund or who want to carrj- back
an investment credit or a net operating loss.
Once a return is manually selected for screening, it will in most
cases be given a fidl audit only after the person selecting the return
examines it and determines that the return has significant audit poten-
tial. If he finds little audit potential, the IRS does not contact the
taxpayer. Returns that are selected for audit consideration through
tlie computerized DIF and Automatic systems are sent to the IRS
District Office in which the taxpayer resides. At that point, the return
is examined by a classifj-ing officer of the District Office, who sunilarly
determines whether the return has significant audit potential. If he
finds little audit potential, the District Office sends tiie return back,
and no taxpayer contact is made. The returns believed by the classi-
fying officer to have high audit potential are assigned to revenue
agents. The agents then screen tlie returns a second time and audit
as many as they can, starting with those they tliink have the highest
audit potential. Returns selected through the TCMP do not go through
a screening process, but are automatically audited.
IV. INVESTIGATION OF INTERNAL REVENUE SERVICE
FILES ON WHITE HOUSE POLITICAL OPPONENTS
Tlio Joint Committee staff has examined the Internal Revenue Serv-
ice's files on over 700 indi\iduals who appeared on various lists of
political opponents made up in tlie AVhite House. List 1 consist's of
tiie 216 individuals mentioned as political opponents of tiie "White
House in John Dean's testimony before the Senate "Watergate Com-
mittee.' Tlie .Toint Commitree st.-itt' has no e\-idcnoe that this list e\er
went to the IK.S. Xcvertholcss. the staff examined the retui'us in these
ca.ses in the same manner as in the case of the retuins of people whose
nanv\> were gi\-en to tlie TIiS. Tii.~r -2 consists of 400 individuals w'iose
nann'S were <:ivi>n bv Dean to IRS Commissioner Johnnie '\^'alters in
23. 3 JOINT COMMITTEE ON INTERNAL REVENUE TAXATION STAFF REPORT ^
DECEMBER 20 ^ 197 3 y "INVESTIGATION INTO CERTAIN CHARGES OF THE
USE OF THE INTERNAL REVENUE SERVICE FOR POiniCAL PURPOSES," 7-12
11)72.- For list 1, tlie Joint Committee staff investigation applied to
individual income tax returns filed for tlio years l'.)i;s to 11>7L For the
second list, however, the investifrntion was confined to returns filed
for the years lt)70 and 1071 unless a return foi- one of tiiose years was
audited, in which case the investij^ation was extended to one or two
prior or subsefjuent years. In most cases, returns teiul to hit audited
one or two years after the year for which they are filed, if they are
audited at all.
The staff has not looked into the cases of people on the various
supplementary lists presented by Dean to the Senate "Watergate Com-
mittee unless they were also on lists 1 or 2.
Summary Statistics ox Audits — List 1
Table 1 summarizes the audit experience of the 216 individuals on
list 1. Over the foui-year period incS-1971 these people could have
filed a maximum of 8tM returns. In five cases, h.o%vevcr, the individual
was not required to file a return in the I'nited States either l)ecau5e
the individual had died or did not reside in the United States. In
addition, in 17 other cases no return was filed. Tims. 842 rcturjis were
filed by the individuals on list 1.
Of those 842 returns, 491. or 58.3 percent, wcr'c Kcreoned for po:^sil>le
audit; and 1S7, or 22.2 percent, were actually audited. Twelve returns
were accepted as filed but referred to a State luidei- the FccSeral-
State Exchanire Program. ■'
TABLE I. -AUDIT EXPERIENCE OF 216 WHITE HOJSE POLITICAL 0??0;;e:US 1953-1971
Fircent of
retuns
Number hied
Not requti^jd to ftle a rsturn In Un.led States 5
No recotd of filing a return and no assi:ranc2 that no return was required 17
Return filed and not selected for screeninj 351 41. 7
Return filed and selected tor screening _ 4Sl 53. 3
Audited.. 137 22.3
Referred to a State 12 1.4
Not audited after screening 292 ^4.7
Tctai possibfe returns - 854
Total returns filed 812 100.0
A question which luiturally arises is, how does the audit experience
of the 216 enemies compare with that of tlie population at 'arge.
Tlie percentage of all indi\idiial income tax retui'iis audited during
fiscal years 1009 to 1972 is a\ailable by several adjusted gross income
classes.
Of the 842 returns filed by the 210 enemies, 4:57. or .M.O percent, had
adjusted gross income (AGI) ' over $5i).0f)0: and :')S7, or 40.0 percent,
hail ACil between $10,000 and $:.0,000. Oidy IS leturn-. or 2.1 percent.
^ Till" sc-rriti'l li>t coii^i^f^ of riT.'i iiaiin^S- In 4.' r^w-'s. fit.- ^t..fT . oufil nor r't't'T'i'iti.- rh^
Mfiilitv of tire iiicliviiln:il, ■iiiM tlirri' wcmp 4! rlMiiUr.itiiiii" iritliiT witb lUt 1 i^- i ifr-
iiali.x in list 2). in onf t-asi-. ttu- ^tiift unilil nut ilfi-i.tt- \\lurli r.; t\vi> iM-r.-^ons v..l^ on the
INr. ^(» it inrlnilp.l lioflr of rlii-ni. Tims. WW (M>-es woro ••\;ii:iiniMl.
= Tli>' IKS li.i.-< .•iL-ri'i'ini-ritv for tin' cxilKinu-i' of inf..riiniiion with all Star.-s I'^c-pr
Tr\as ami Xfvailn. .Mo.'.t of the r*Mrrrals om t;oth li^r-i v. <»rf tit rhf Jir.itf to' \f\v V,»rk.
I'li.IcT tin; I'.'ili-ral N.-\v York Stati- Ta\ .\i:r n^nt. t'n- I its r.'for.s to rin' Stntc sr.-. -al
tliuns.i:i>I tav rofiiriiN that if has scrtH-neil anil not ainlltoil tn'can-o oi' worklo.nl iiini'atit»ns.
X.'W York tlii'n furnishes t!ip results of anv amlir It nniliTtakes on those rernrns to the
IKS
* .\ilinsieil t'ross liKoiiii- is iiiionie lii'f.iro the lie.liiotioa of p^Tsonjl esemrtlons and
(281)
23. 3 JOINT COMMITTEE ON INTERNAL REVENUE TAXATION STAFF REPORT^
DECEMBER 20, 1973, "INVESTIGATION INTO CERTAIN CHARGES OF THE
USE OF THE INTERNAL REVENUE SERVICE FOR POLITICAL PURPOSES, " 7-12
had AGT bplow $10,000. Tluis. tlie White House political opponoiits
were a relatively atHiieiit rrroup. and it is probably appro[*riato to
compare them with t!ie national statistics for hi<r)i income people.
Internal Revenue Service data show that people with adjusted <xvoiiS,
income over $f)0,000 tend to 1k^ audited alx)u.t 14 percent of the time.
Since 22 percent of the retuins on the White House enemies list 1
were audited, tlie\' appear to have been audited significantly more
frequently than random individuals with roughly the same incomes.
A finer breakdown of the national statistics, however, might not show
tliat this was true.
Tiiere are several reasons whv people on the '\Miite House political
opponents list might be audited more frequentl}- than average. First,
they tend to be involved in a wider range of business activities than
the average pei-son with tlie same income. Second, a large fraction of
the political opponents in the middle income range are journalists and
writers. These people tend to liave large deductions for business
expenses, and under the DIF formulas in use between lOGS and 1971
this tends to give them higher-than-average DIF scores for people
in their income range.
Table 2 shov."s the reason^ why the 401 returns of people on list 1
that were screened as possible candidates for audit were selected. Of
these, 425, or 86.6 percent, were selected for screening under one of the
three computerized systems. Two bundled and eighty-seven returns
were selected under the Standard or DIF systems, 1:34 under the Auto-
matic or Special systems, and 4 imdcr the Ta.xpayer Conii^Iiance
Measurement Program. Twenty-one returns were screened in connec-
tion with prior or subsequent year audits. Eigliteen returns were
picked up in relation to audits of trusts, partnerships, or corporations.
Three more were screened in connection with claims or requests for
refunds. Seven were screened a; part of special projects (gcneralh.
Strike Forces or Joint Compliai'.ce Projects).^ Two were referrals
from the Intelligence Di\ isioa. In 1-3 cases there was some other
reason for the screening.
In the cases in whicli a return was computer-selected for screening,
the Joint Committee staff has vei'inod this by examining various docu-
ments tiiat tlic IKS computer ror.tiaely generates when such a .selec-
TABLE 2.-REaS0MS FOR SCPEENING RETURNS FROM LIST 1
Number Percent
Total screened
Cofrpu^er selecte:)
Standacd or OIF system __ '287
Automatic Of spe^-ial systems 134
Ta-'payer Conpltaace Measurement Program 4
Multi-y err audit
Related pi j'rv- up 1 _ '.^
Claims and ot'ief lerquesls for refunds
Inteliiftjnce Division referrals or request:,
Special projects -■
Otf.er.._
491
100.0
425
53.5
27.3
S5.6
0.8 .
21
4.3
13
3.7
3
O.S
■>
0.4
7
1.4
15
3.0
' R .tu'ns picked up in connectian witfi a j Iits of •;t*^?r re'.Lrns.
- ManW Slril^e ForC'S and Joint Compi-ance Piojec's.
■Sfrikf l-*.)rccs roft-r ti> tho ii-^t* of tl'.» invosti'j.Trlvp n*soiin-c*; of *iov("-;il K.mI.t il
nu-or'fii'.-i. ii,. Iiiiliti.,- til.- IKS, fc fii-lrt •■ v.-:.ir: ■•■il orlir.v In ItlTL'. tli,- IKS .Id^.-I .-. MM .-n,:]--.
In iiiiirii'it'.iiii Mitli .stiiki' r.nii'.-'. .:i'ii:: '■""iniiltaniv I'roii'fis :irr r.urii'.l niir l>v the
.'.nilir :inl Inl.-Ili.-iMnc I)ivi.i,>n~ witiii-; .•■..-li Pi>r.-;ct. Ttn-v :iif dii-i I'ti'il jiLMlnst :in-
Iri.llviilii.ils III III.. IM-rrlc-t wlm i.ii'::il->' in sv-.-.-itic cciiuouili; actUltios that tin- lUS susio-rtu
arif a^...i>ii:iti'U with luiUiri- tu loriu.ly witli :'::i. ;.;x !::«s.
(282)
23. 3 JOINT COMMITTEE ON INTERNAL REVENUE TAXATION STAFF REPORT^
DECEMBER 20, 1973, "INVESTIGATION INTO CERTAIN CHARGES OF THE
USE OF THE INTERNAL REVENUE SERVICE FOR POLITICAL PURPOSES, " 7-12
10
tion is made. lu the cases where a return was audited in connection
with a prior or subsequent year audit, tlie staff has verified that the
prior or subsequent year audit did indeed occur and determined why
the return was selected for screening that year. In cases of related pick-
ups, the stalf has verified that the related trust, partnership or corpora-
tion was indeed audited. In the cases of returns in which there were
claims or requests for refunds, the staff has verified that such claims
were made. In the case of special projects, the staff has either traced
a pi'oject to an imestij^atioii o.^irun bv some other government agency
or, if it was initiated by the IRS itself, examined the project to see that
it was conducted without regard to the political views or activities of
the individuals under investigation. In the other cases, the staff hn"
satisfied itself that screening was not the result of "WHiite Hou.^
pressure on the IRS.
Informants' letters present special problems. Any person wlio wishes
to have somebody audited by the IRS can try to do so by sending a
convincing iiifoimant's letter. Presumably, there is no reason why
somebody in the 'V\'liite House could not send an anonymous letter
(oi- even a signed letter) as well. Denn testified before the Senate
Watergate Committee that this is how Caulfield arranged to have the
Xcu-xdati ieix)iter audited. (The staff, however, did not find anv in-
formant's letters in this file.) The files on the individuals on list 1 con-
tained GO informants' letteis.on 19 people, of which 8 were anonjnious.
In many cases, tliese were the sort of crank lettei-s that are routinely
written to, and about, public figures. In no case was a return screened
or audited l)ecau.-=o of siicli a letter. In one case, hoviever, a letter was
referred to an agent wlio w-.^.s al!-e:\dy auditing tiic subject of f!:e letter,
and the letter led to the assessment of a %'Mu) deficiencv.
Of the 187 audits, 121 liad l)ocn completed by the tiiuc of the Jomt
Committee staff' investigation. Tiiirty-onc led to no change in tax
liability; 82 to a tax increase; and S to a tax reduction.
SuMMAKi' SxAnsTrcs ox ArDiTS — IjIst 2
The staff has also examined files on 1,417 returns of the -11)0 indi-
viduals on list 2. Table '.) suinmari7:>.'s rlu,' audit cxporioncc of the indi-
viduals on list 2 only for tlie years 1970 and 1971. In those two years the
490 individuals could have filed a maximum of 980 returns. Actually,
they filed 962 returns. Of these, r)G9. or 59.1 percent, were selected for
screening and 253, or 2r>.o percent, were audited. Seven returns were
referred to States under the exchange program. As was true in the
case of list 1, this leprcsents a higher |iei-centage of cases audited than
for people with high iiicomes generally. However, as previously
l>ointed out, thei^e are ditleivnces l)otwoen tliis grouj) and high income
l)ei'Sons generally whicii may '.veil account for the i'igher percentage
audited.
Of tiic 1.417 T'eturns e\:'niined For ali yeir.-. the lUS selected a total
of 9'.I9 retui-i>s for sci-cening. Table 4 suinnia li/os the ivasons wh v those
returns were selected. In 802 cases, or 8''.:i ])ercent of the toinl, the
return was selected bv one of the computrr sy-<tem^. Of tliese. .'^.(m were
selected under the Standatil or DIF systems, 410 under the .Vntomatic
or Special systems, and 19 luider the Taxpayer Compliance Measure-
ment Progi-;nu. In 17 cases, tlie screeniiiir was associated with a
(283)
23.3
JOINT COMMITTEE ON INTERNAL REVENUE TAXATION STAFF REPORT,
DECEMBER 20, 2973, "INVESTIGATION INTO CERTAIN CHARGES Of' THE USE
USE OF THE INTERNAL REVENUE SERVICE FOR POLTICAL PURPOSES, " 7-12
11
claim or request for a refund ; and in 35 cases it was a result of a prior
or subsequent year audit. There were G5 pick-ups related to audits of
businesses or trusts. Five returns were screened because of Intellifjence
referrals or requests. Eleven returns were screened as tlie result of
special projects. Sixty-four returns were screened for some other
reason.
TABLE 3.-AU0IT EXPERIENCE Of 490 WHITE HOUSE POLITICAL OPPONENTS 1970 AND 1971
Not required to file a return in 1970 or 1971 _ ,
No record of filing 3 return and no assurance that no return was lequirad
Return filed and not selected tor screening
Return Bled and selected for screening ,
Audited m
Referred to a Stste 7
Not audited after screening. , 309
Total possible returns
Total returns filed
Number
f erc«nl of
l»lum»
filed
2 .
26.3
.7
32.1
16 .
393
S69
*0.9
59.1
980 .
962
"ioo.'o
TABLE 4.-REAS0NS FOR SCREENING RETURNS FROM LIST 2
Number
Percont
Total Screened _
Computer selected ,
Standard or DIF system 357
ALtom3tic or Special systems 416
Taxpayer Compliance Measurement Program 19
Niul'.i-ycat auriu _ ,
Related pickup i ^
Claims and ottier requests fcr refunds
App?l'3te Q( Int'ilifgence Division referrals or requests
Special projects 1
Otner
999
100.0
802
36.7 .
41.7
1.9 .
80.3
35
3.5
65
6.5
17
1.7
5
0.5
U
1.1
64
6.4
' See notes to Table 2.
As with the returns from list 1, the staff has verified the reasons why
each of these 999 returns on list 2 were selected for screening. It has
found no evidence that any returns were screened as a result of White
House pressure on the lES.
CoxDUCT OF ATTorrs AXD Collection axd Intelligence Activities
In addition to deterniinin<r whetlior an individual on one of the
political opponents lists was audited in a particular year, the staff has
examined the revenue agents' reports and the workpapei-s of each audit
to judge wliether the audits were conducted witliour harassment or
undue strictness. Income tax audits necessarily involve some incon-
venience for the taxpayer being audited. However, the staff has found
no ovide'ico that rcvenue agents attempted to incre;ise unnecessarily
this inconvonionce for people on the political opponents lists. In some
cases, tlie agents were relatively strict. However, this was usually
motivated by a pievious lack of cooperation on the jiart of the tax-
ptiyer. In ati equal number of cases tlie agents were somewhat lax.
Tlie staff h;is fotmd absolutely no evidence that audits of people on
the political opponents lists were on the average conducted more
harslily than normal.
(284)
23.3 JOINT COMMITTEE ON INTERNAL REVENUE TAXATION STAFF REPORT,
DECEMBER 20,1973, "INVESTIGATION INTO CERTAIN CHARGES OF TEE
USE OF THE INTERNAL REVENUE SERVICE FOR POLITICAL PURPOSES, " 7- 12
12
Tlio staff has also reviewed flip collection activities of the IRS
concerninf^ people on the lists. It lias found no evidence tliat the IRS
has been more vigorous in its attempts to collect unpaid taxes from
political opponents of the AVhite House than noinial. Indeed, if any-
thing, the opposite is true. Several individuals on the lists appear "to
pose collection jjroblems for the IRS. The Service has been quite
lenient in fjranting extensions to file in many cases, and has not yet
attempted to collect taxes fi'om several political opi;onents who have
failed to file returns or even to ascertain the reasons for the failure
to file.
The staff has also found no indication that the IRS was more
vigorous than normal in recommending prosecution for tax violations
in the cases of political opponents of the \\lnte House.
Cases of Alleged IRS Bias
The staff's investigation paid particular attention to the cases of
those indi\nduals mentioned in the press as victims of politically
motivated audits. The Joint Committee staff has difficulty in discuss-
ing these cases specifically because of the problem this would pi-csent
in violating the individuals' rights of confidentiality. However, in
none of these cases has the staff found any evidence that the taxpayer
was unfairly treated by the Internal Revenue Service because of
political views or activities. If the staff were freed from restraint as to
disclosure of information, it believes the information it has would
indicate that these taxpayers were treated in the same manner as
taxpayers generally.
In one case, it is possible to make some comments since the infor-
mation involved does not come from Internal Revenue Service files.
This was the case invoh^ing Robert W. Groen.e. a reporter for Xevsr/iyi/
who had authored an article on C. G. Rebozo. In tins case. Dean stated
that John Caulfield had initiated an audit with an informant's letter.
According to statements made iiy Greene, however, his return was
not audited bv the Internal Revenue Service but rather by New York
State under the Federal/State exchange program. The staff" has talked
with Mr. Greene, the New York rc\enue agent who auditetl Gjeenc's
State return, and other jieople in the Xew Yoi-k State Department
of Taxation and. as a result, believes that his audit by Xew York State
was unrelated to his being classified as a AMiite House cnemj\
V. INVESTIGATION OF INTERNAL REVENUE SERVICE
FILES ON "FRIENDS" OF THE WHITE HOUSE
Seven individuals have been repoited in the media or in testimony
before the ."Senate Select Conniiittee on Piesidential Camjiaign Activi-
ties to be friends of i)eople in tlie White House who allegedlv received
some favorable tax ti-entinent liecause of actions taken by [lei-sons in
the "White Housi'. In all of the 7 cases called to the stati's ntrention.
audits were undertaken by the Internal Revenue ."^erviiv. It is
believed that all 7 of these were, at one tinu^ or anoth.er. listed as
'"sensitive ca.<e ivpoits."" .Su<-h reports are maintained on a cuireiit
basis within tlie Intei-nal Revenue .Ser\ice for cases invoKing
jtfonriiieiit persons. A listing of this ty[)e a[ipareiitly has been u>ed
(285)
2A. On September 15, 1972 from about 5:23 until about 5:27 p.m. the
President met with Haldeman and discussed, among other things. Dean's
working through IRS. At about 5:27 p.m. Dean joined the meeting and
from about 5:27 to about 6:00 p.m. the President, Haldeman and Dean had
a discussion which did not refer specifically to the IRS. The Committee
has received tape recordings of these conversations.
Page
2A.1 Tape recording of a meeting between the President
and H. R. Haldeman, September 15, 1972, 5:23 -
5:27 p.m., and House Judiciary Committee trans-
cript thereof 288
(287)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
TRANSCRIPT PREPARED BY THE IMPEACHMENT INQUIRY
STAFF FOR THE HOUSE JUDICIARY COMMITTEE OF A RE-
CORDING OF A MEETING AMONG THE PRESIDENT, H. R.
HALDEMAN AND JOHN DEAN ON SEPTEMBER 15, 1972
PRESIDENT:
[Unintelligible]
HALDEMAN: John, he is one of the quiet guys that gets a lot done.
That was a good move, too, bringing Dean in. But it's —
PRESIDENT: It — He'll never, he'll never gain any ground for us.
He's just not that kind of guy. But, he's the kind that
enables other people to gain ground while he's making
sure that you don't fall through the holes.
PRESIDENT:
Oh. You mean —
HALDEMAN: Between times, he's doing, he's moving ruthlessly on
the investigation of McGovem people, Kennedy stuff,
and all that too. I just don't know how much progress
he's making, 'cause I —
PRESIDENT:
The problem is that's kind of hard to find.
(288)
24,2 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
HALDEMAN:
Chuck, Chuck has gone through, you know, has worked on
the list, and Dean's working the, the thing through
IRS and, uh, in some cases, I think, some other
[unintelligible] things. He's — He turned out to be
tougher than I thought he would, which is what
PRESIDENT:
Yeah.
HALDEMAN:
is —
PRESIDENT:
You put anybody else that you want to run in in the
morning, you can. [Unintelligible] I'm going to stick
around here for awhile. I don't think I can do this
finance group in the morning. I think it's too quick
after the Watergate. Let's do it next Monday or Tuesday.
That ought to be about it.
HALDEMAN:
Let me check and see.
PRESIDENT:
You know who he's, uh [unintelligible]
HALDEMAN:
There isn't, I don't think, anything pending, but I'll
check.
PRESIDENT:
You know, we ought to get something together. Shrlver's
put out his financial statement now, too. While you're
at it, I'd deliberately raise mine other than in
[unintelligible]
-2-
(289)
HALDEMAN:
PRESIDENT:
24.1 TRANSCRIPT OF SEPTEMBER 15^ 1972 MEETING
Oh yeah, we're pushing that hard. The Vice President
was delighted with that.
Did he get the point?
HALDEMAN: Yeah absolutely.
PRESIDENT: [Unintelligible]. Now we want — in that regard, I don't
think he [unintelligible] wife, did she?
HALDEMAN: I don't know, but I would guess his wife probably doesn't
have any and so it won't make any difference.
PRESIDENT: Make any dif — she might.
HALDEMAN: She must.
PRESIDENT: Make him report it.
HALDEMAN: But this Shriver one, we —
PRESIDENT: The Shriver one, the — Yeah. She'll have to report
[unintelligible] to the organization [unintelligible]
trust.
HALDEMAN:
Yeah, It's all in trust. She only has about twenty
thousand dollars. Kennedy put his stocks up, tried
for the trust to put, you know, what it was worth.
[Dean enters room]
-3-
(290)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
PRESIDENT: Hi, how are you?
DEAN;
DEAN:
HALDEMAN:
DEAN:
HALDEMAN :
Yes sir.
PRESIDENT: Well, you had quite a day today, didn't you? You got,
uh, Watergate, uh, on the way, huh?
Quite a three months.
How did it all end up?
Uh, I think we can say "Well" at this point. The, uh,
the press is playing it just as we expect.
Whitewash?
DEAN:
DEAN:
HALDEMAN:
No, not yet; the, the story right now —
PRESIDENT: It's a big story.
Yeah.
PRESIDENT: [Unintelligible]
Five indicted.
DEAN: Plus,
HALDEMAN: They're building up the fact that one of —
DEAN: plus two White House aides.
HALDEMAN: Plus, plus the White House former guy and all that.
That's good. That, that takes the edge off whitewash
-4-
(291)
PRESIDENT:
24.1 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
really — which — that was the thing Mitchell kept
saying that.
Yeah.
HALDEMAN: that to those in the country, Liddy and, and, uh, Hunt
are big men.
DEAN: That's right.
PRESIDENT: Yeah. They're White House aides.
DEAN: That's right.
HALDEMAN: And maybe that — Yeah, maybe that's good.
PRESIDENT: How did MacGregor handle himself?
DEAN: I tliink very well. He had a good statement. Uh, he said
that the, uh, the Grand Jury indictment speaks for itself
and that, uh, it's now time to realize that some apologies
may be due.
HALDEMAN: Fat chance. [Laughs]
DEAN: Yeah. [Unintelligible].
PRESIDENT: We couldn't do that [unintelligible] just remember all
the trouble they gave us on this. We'll have a chance
to get back at them one day. How are you doing on
your other investigations? Your — How does this
lunintelligible]
-5-
(292)
24.1 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
How does this [unintelligible]
DEAN:
HALDEMAN:
lUnintelligible] end of the, uh —
What's happened on the bug?
PRESIDENT:
Hard, hard to find — on the what?
HALDEMAN:
The bug.
DEAN:
The second bug. There was another bug found in the phone
of, uh, the first —
PRESIDENT:
You don't think it was one left over from the previous
job?
DEAN:
We're — Absolutely not. The, the Bureau has, uh,
checked and re-checked. The man who checked the phone
first said that his first check was thorough and it was
not there in the instrument [clears throat] and that indeed
it had to be planted after —
PRESIDENT:
What the hell do you think is involved? What's your
guess;
DEAN:
I think the DNC planted it, quite clearly.
PRESIDENT:
You think they did it?
-6-
(293)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
DEAN:
Uh huh.
PRESIDENT: Deliberately?
DEAN:
lUnintelligible]
PRESIDENT: Well, what in the name of Christ — who do they think —
that anybody was — They really [unintelligible] want to
believe that we planted that?
HALDEMAN :
Did they get anything on the fingerprints?
DEAN:
No they [unintelligible]
HALDEMAN:
There weren't any?
DEAN:
neither on the telephone or on the, uh, on the bug. The,
uh, well, the FBI has unleashed a full blast investigation
over at the DNC starting with O'Brien right now.
HALDEMAN: [Laughs] Using the same crews now that they have
nothing to do in Washington.
DEAN:
[Unintelligible] the same Washington Field Office.
PRESIDENT:
What are they doing? Asking them what kind of questions?
DEAN:
Anything that they can think of because what happened,
O'Brien has charged the Bureau with failing to, uh,
find all the, all the bugs, whenever [unintelligible]
-7-
(294)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
HALDEMAN:
Good, that'll make them mad.
DEAN:
So, so. Gray is pissed now and his people are kind of
pissed off. So they're moving in because their reputa-
tion's on the line. That's, uh, do you think that's a
good development?
PRESIDENT:
I think that's a good development because it makes it
look so God damned phony, doesn't it? The whole —
DEAN:
Absolutely.
PRESIDENT:
Or am I wrong?
DEAN:
No, no sir. It, it —
PRESIDENT:
— looks silly.
DEAN:
If we can, if we can find that the DNC planted that, the
whole story is going to — the whole — just will reverse.
PRESIDENT:
But how could they, how could you possibly find it,
though?
DEAN:
Well, there's a way. They're, they're trying to ascertain
who made the bug.
PRESIDENT :
Oh.
DEAN:
If they — It's a custom-made product,
-8-
(295)
PRESIDENT:
24.1 TRANSCRIPT OF SEPTEMBER 15^ 1972 MEETING
Oh.
DEAN:
If they can get back to the man who manufactured It,
then they can find out who he sold it to, and how it
came down through the chain.
PRESIDENT:
Boy, you know, you never know. When those guys get
after it, they can find it. They —
DEAN:
The resources that have been put against this whole
investigation to date are really incredible. It's
truly a, it's truly a larger investigation than was
conducted against, uh, the after inquiry of the JFK
assassination.
PRESIDENT:
Oh.
DEAN:
And good statistics supporting that. Kleindienst is
going to have a —
HALDEMAN:
Isn't that ridiculous though?
PRESIDENT:
What is?
HALDEMAN:
This silly ass damn thing.
PRESIDENT:
Yeah.
HALDEMAN:
That kind of resources against
-9-
(296)
24.1 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
PRESIDENT: Yeah for Christ's sake [unintelligible]
HALDEMAN :
Who the hell cares?
PRESIDENT: Goldwater put it in context, he said "Well, for
Christ's sake, everybody bugs everybody else. We
know that."
DEAN: That was, that was priceless,
HALDEMAN: Yeah. I bugged —
PRESIDENT: Well, it's true. It happens to be totally true.
DEAN: lUnintelligible]
PRESIDENT: We were bugged in '68 on the plane and bugged in '62,
uh, even running for Governor. God damnedest thing you
ever saw.
DEAN:
HALDEMAN :
It was a shame that, that, evidence to the fact that that
happened in '68 was never preserved around. I understand
that only the former Director had that information.
No, that's not true.
DEAN:
There was direct evidence of it?
PRESIDENT: Yeah.
HALDEMAN: There's others who have that information.
-10-
(297)
24.1 TRANSCRIPT OF SEPTEMBER 15, 2972 MEETING
PRESIDENT:
Others know it.
DEAN:
DeLoach?
PRESIDENT:
DeLoach, right.
HALDEMAN:
I've got some stuff on it, too, in the bombing halt study.
'Cause it's all — that's why, the, the stuff I've got
we don ' t —
PRESIDENT:
The difficulty with using it, of course, is that it
reflects on Johnson.
DEAN:
Right.
PRESIDENT:
He ordered it. If it weren't for that, I'd use it. Is
there any way we could use it without reflecting on
Johnson? How — Now, could we say, could we say that the
Democratic National Committee did it? No, the FBI did
the bugging, though.
HALDEMAN:
That's the problem.
DEAN:
Is it going to reflect on Johnson or Humphrey?
HALDEMAN:
Johnson. Humphrey didn't do it.
DEAN:
Humphrey didn't do it?
PRESIDENT:
Oh, hell no.
-11-
(298)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
HALDEMAN:
He was bugging Humphrey, too. [Laughs]
PRESIDENT :
Oh, God damn.
HALDEMAN:
[Laughs]
PRESIDENT: Well, on the other hand, maybe, uh — I'll tell you who
to call. I want you to ask Connally. Whatever he thinks,
maybe we ought to just, just let that one fly. I mean,
I don't think he will, I don't think he will [unintelligible]
Johnson. [Unintelligible]. And also it reflects on the
Bureau. [Unintelligible]
DEAN:
[Unintelligible]
PRESIDENT :
They, they, they hate to admit that —
HALDEMAN: It's a rough one on them with, with all this stuff about
they don't do Congressmen, and all that
PRESIDENT:
That's right.
HALDEMAN:
sort of stuff [unintelligible]
PRESIDENT:
I —
HALDEMAN:
do a presidential [unintelligible]
PRESIDENT: It isn't worth it. It isn't worth it, damn it. It isn't
worth — the hell with it. What is the situation on your.
-12-
(299)
24.1 TRANSCRIPT OF SEPTEMBER IS, 2972 MEETING
DEAN:
uh, on the, on the little red box? Did they find what
the hell that, that is? Have they found the box yet?
Gray has never had access to the box. He is now going to
pursue the box. I spoke with him just, just about, uh, oh,
thirty minutes ago and Pat said, "I don't know about the box.
Uh, don't know where it is now. We never had an oppor-
tunity before, when it was, first, uh, released in the press
there was a box, to go in. But," he said, "I think we
have grounds now to go in and find out what it's all
about."
HALDEMAN:
The last public story was that she handed it over to
Edward Bennett Williams.
DEAN:
PRESIDENT:
HALDEMAN:
PRESIDENT:
DEAN:
That's right.
Perhaps the Bureau ought to go over —
The Bureau ought to go into Edward Bennett Williams and
let's start questioning that son-of-a-bitch. Keep him
tied up for a couple of weeks.
Yeah, I hope they do. They — The Bureau better get
over pretty quick and get that red box. We want it *
cleared up* [Unintelligible]
That's exactly the way I, I gave it to Gray. I, uh, uh —
-13-
(300)
24.1 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
PRESIDENT: We want it cleared up. We want to get to the bottom
of it. If anybody is guilty over here we want to know.
HALDEMAN: [Unintelligible] in the news. [Laughs]
DEAN: Another Interesting thing that's developed is, regarding
the private litigation we've got is, uh, the Stans' libel
action was assigned to Judge Richey.
PRESIDENT: Oh, Christ.
DEAN: Well, now, that's good and bad. Uh, Judge Richey is
not known to be one of the intellects on the bench.
That's conceded by many that he is uh, uh —
PRESIDENT: [Unintelligible] in his own stupid way he's sort of,
uh ~
DEAN:
PRESIDENT:
Well, he's been thoroughly candid in his dealing with
people about the case. He's made several entrees, uh,
off the bench, to, to, uh, (1) to Kleindienst; (2) to,
uh, his old friend Roemer McPhee, to keep Roemer abreast
of what his thinking is. He told Roemer he thought that
Maury ought to file a libel action.
Did he?
DEAN:
iLaughs]
PRESIDENT:
Good.
-14-
(301)
24.1 TMHSCRIFT OF SEPTEMBER 15, 2972 MEETING
DEAN:
Uh-
HALDEMAN:
Well, can he deal with that case concurrently with the
other case?
DEAN:
HALDEMAN:
DEAN:
UNIDENTIFIED:
HALDEMAN:
Yeah. The, the fact that the, the civil case came to a
halt, that the depositions were halted and he —
opened his calendar for a few days.
Well, it did that, and more than that. He had been talking
to Silbert, and Silbert, uh, the U. S. Attorney down here,
the Assistant U. S. Attorney was saying, "We are going
to have a hell of a time drawing these indictments up
because of the fact these civil depositions keep coming out
and the Grand Jury's got one eye on this civil case because
they don't want to get themselves caught, uh, coming out
with indictments and the civil case '11 do something differ-
ently, so —
Would you like to take Clark now, sir?
MacGregor's call?
PRESIDENT:
Yeah. Go ahead.
DEAN:
So, based, based on that, uh, uh, when Silbert had told
Richey this and had a casual encounter — in fact, uh, it
-15-
(302)
24.2 TRANSCRIPT OF SEPTEMBER IS. 19 72 MEETING
was just in the hall — Rlchey, the next thing he does is
he stops the civil case so Silbert can get the indictment
down.
[Telephone rings]
PRESIDENT:
Hm.
DEAN:
So it's, it's, uh — he's got^ he's got the abuse of process
suit also. [Unintelligible]
PRESIDENT;
DEAN or
HALDEMAN:
PRESIDENT:
Yeah. Hello.
Well you still alive?
Yeah, yeah.
I was just sitting here with John Dean and he tells me
that, uh, that you, that you're going to probably be sued
or some damn thing, I don't know.
Oh, God. Now don't say that.
Did you put that last bug in?
Yeah. [Unintelligible] suit.
[Unintelligible]. Yeah.
Yeah.
That's right, that's right. [Unintelligible]
Yeah.
Good.
Sure.
-16-
(303)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
Well, I'll tell you, uh, just don't let this keep
you or your colleagues from concentrating on the
big game. Yeah, that's right. I mean this, uh,
this thing is just, uh, you know, one of those side
issues and a month later everybody looks back and
wonders what the hell the shouting was about.
Yeah. Yeah.
Okay, well, anyway get a good night's sleep. And don't
don't bug anybody without asking me. Okay?
Yeah.
Three months ago I would have had trouble predicting where
we'd be today. I think that I can say that fifty-four days
from now that, uh, not a thing will come crashing down to
our, our surprise.
Say what?
Nothing is going to come crashing down to our surprise, either
Well, the whole thing is a can of worms. As you know, a lot
of this stuff went on. And, uh, and, uh, and the people who
worked [unintelligible] awfully embarrassing. And, uh, and,
the, uh, but the, but the way you, you've handled it, it seems
to me, has been very skillful, because you — putting your
fingers in the dikes every time that leaks have sprung here and
sprung there. [Unintelligible] having people straighten the
[unintelligible]. The Grand Jury is dismissed now?
That is correct. They'll, they will have cotnpleted and
-17-
(304)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
they will let them go, so there will no continued
investigation prompted by the Grand Jury's inquiry. The,
uh, GAO report that was referred over to Justice is on a
shelf right now because they have hundreds of violations.
They've got violations of McGovem's; they've got violations
of Humphrey's; they've got Jackson violations, and several
hundred Congressional violations. They don't want to
start prosecuting one any more than they want the other.
So that's, uh —
PRESIDENT:
They damn well not prosecute us unless they prosecute all
the others.
DEAN:
That's right. That's right. Well, we are really talking
about technical violations that were referred over also.
PRESIDENT:
Sure. Sure. What about, uh, uh, watching the McGovern
contributors and all that sort of thing?
DEAN:
We've got a, we've got a hawk's eye on that.
PRESIDENT:
Yeah.
DEAN:
And, uh, uh, he is, he is not in full compliance.
PRESIDENT:
He isn't?
DEAN:
No.
PRESIDENT:
Well, now, he has his three-hundred committees; have they
all reported yet? Have we — we reported ours
-18-
(305)
DEAN:
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
Yes we — Well, we have a couple of delinquent state
committees out, uh —
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
[Unintelligible] if it's done, huh?
If they —
[Unintelligible] paper committees all reported, the
three-hundred or so committees he's supposed to have.
No, they have not.
Can we say something about that, or have we?
Well, one of the things that he has not done, is he has
never disclosed the fact that he's got some three-hundred
committees. This has been a Wall Street Journal piece
that picked it up and carried it and, uh —
PRESIDENT: [Unintelligible] say that publicly?
DEAN:
HALDEMAN:
No, he hasn't. And it's been employed as a tax sham
that he set it up for. And — It is hard to comprehend
why he set up three-hundred committees, frankly. Uh, he
doesn't need that many, he doesn't have that sort of large
contributors, where they have to disburse small [unintelligible]
Unless someone's giving nine hundred thousand dollars.
DEAN:
That's right.
PRESIDENT;
Which could be very possible.
-19-
(306)
24.1 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
HALDEMAN:
He may be getting nine hundred thousand dollars from
somebody.
PRESIDENT:
HALDEMAN:
From two or three. He may have some big angels. I
don't think he is getting a hell of a lot of small money.
I don't think so. I don't believe this crap. I mean if
he — Have you had your Post Office check yet?
That John was going to do. I don't know.
PRESIDENT:
That's an interesting thing to check.
HALDEMAN:
Yeah.
PRESIDENT:
DEAN:
You know how little [unintelligible]
[Unintelligible] is right, because as I see it, now, the only
problems that, uh, that we have are, are the human
problems and we'll keep a close eye on that.
PRESIDENT:
Union?
DEAN:
Human.
PRESIDENT:
Oh.
DEAN:
HALDEMAN:
[Unintelligible]
People — Human frailties, where people fall apart.
-20-
(307)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
DEAN:
Human frailties — people getting annoyed and some
finger-pointing and false accusations, and any internal
dissension of that nature.
PRESIDENT:
You mean on this case?
DEAN:
On this case, Uh, there is some bitterness between, for
example, the Finance Committee and the Political Committee.
They feel that they're taking all the heat, and, and, uh,
all the people upstairs are bad people and they're not
being recognized.
PRESIDENT :
Ridiculous.
DEAN:
It is — I mean —
PRESIDENT:
DEAN:
They're all in it together.
That's right.
PRESIDENT:
They should just, uh, just behave and, and, recognize
this, this is, again, this is war. We're getting a few shots
and it'll be over. And, we'll give them a few shots.
It'll be over. Don't worry. [Unintelligible], I
wouldn't want to be on the other side right now. Would
you? I wouldn't want to be in Edward Bennett Williams',
Williams' position after this election.
-21-
(308)
24.1 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
DEAN:
No. No.
PRESIDENT:
None of these bastards —
DEAN:
He, uh, he's done some rather unethical things that have
come to light already, which in > — again, Richey has brought
to our attention.
PRESIDENT:
Yeah?
DEAN:
He went down
HALDEMAN:
Keep a log on all that.
DEAN:
Oh, we are, on these. Yeah,
PRESIDENT:
Yeah.
HALDEMAN:
Because afterwards that is a guy,
, PRESIDENT: We're going after him.
HALDEMAN:
that is a guy we've got to ruin.
DEAN:
He had, he had an ex parte —
PRESIDENT:
You want to remember, too, he's an attorney for the
Washington Post .
DEAN:
I'm well aware of that.
PRESIDENT:
I think we are going to fix the son-of-a-bitch.
-22-
(309)
24.2 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
Believe me. We are going to. We've got to, because he's
a bad man.
Absolutely.
He misbehaved very badly in the Hoffa matter. Our ~
some pretty bad conduct, there, too, but go ahead.
Well, that's, uh, along that line, uh, one of the things
I've tried to do, is just keep notes on a lot of the
people who are emerging as.
That's right.
as less than our friends.
Great.
Because this is going to be over someday and they're —
We shouldn't forget the way some of them have treated us.
I want the most, I want the most comprehensive notes on
all of those that have tried to do us in. Because they
didn't have to do it.
That's right.
They didn't have to do it. I mean, if the thing
had been a clo— , uh, they had a very close election
-23-
(310)
24.1 TRANSCRIFT OF SEPTEMBER 15, 1972 MEETING
everybody on the other side would understand this game.
But now they are doing this quite deliberately and they are
asking for it and they are going to get it. And this, this-
We, we have not used the power in this first four years,
as you know.
DEAN:
PRESIDENT:
DEAN:
PRESIDED:
HALDEMAN:
PRESIDENT:
That's right.
We have never used iti We haven't used the Bureau and we
haven't used the Justice Department, but things are going
to change now. And they're going to change, and, and
they're going to get it right , —
That's an exciting prospect.
It's got to be done. It's the only thing to do.
We've got to.
Oh, oh, well, we've just been, we've been just God damn
fools. For us to come into this election campaign and
not do anything with regard to the Democratic Senators
who are running, and so forth. [Characterizations
deleted] That'd be ridiculous. Absolutely ridiculous.
It's not going, going to be that way any more, and,
uh ~
-24-
(311)
24.2 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
HALDEMAN: Really, it's ironic, you know, because we've gone to such
extremes to do every — . You know, you, you and your
damn regulations with
PRESIDENT:
Right .
HALDEMAN:
PRESIDENT:
Everybody worries about.
That's right.
HALDEMAN:
about picking up a hotel bill or anything.
DEAN:
PRESIDENT:
Well, I think, we can, I think, I think we can be proud
of the White House staff. It really has.
That's right.
DEAN:
had no problems of that —
PRESIDENT:
DEAN:
Well, that's right.
And they're looking, this GAO audit that's going on right
now, uh, I think that they have got some suspicion, uh,
in even a cursory investigation, which is not going to
discover anything, that they're going to find something
here. I learned today, incidentally, that, that, uh, I
haven't confirmed this because it's — came from the GO, GAO
auditor, investigator who's down here, that he is down here
at the Speaker of the House's request, which surprised me.
-25-
(312)
24.1 TRANSCRTPT OF SEPTEMBER IS, 1972 MEETING
HALDEMAN:
Well, God damn the Speaker of the House. Maybe we
better put a little heat on him.
PRESIDENT:
I think so too.
HALDEMAN;
Because he's got a lot worse problems than he's going
to find down here.
DEAN:
That's right.
PRESIDENT :
I know .
HALDEMAN:
That's the kind of thing —
PRESIDENT;
HALDEMAN:
PRESIDENT:
[Unintelligible] let the police department [unintelligible]
That's the kind of thing that, you know, you — What we
really ought to do is call the Speaker and say, "I regret
to see you ordering GAO down here because of what it's
going to cause us to require to do to you."
Why don't you just have Harlow go see him and tell him that?
HALDEMAN:
Because he wouldn't do it.
PRESIDENT;
Huh?
HALDEMAN:
'Cause he wouldn't do it.
PRESIDENT:
HALDEMAN:
Harlow wouldn't do it, you mean.
Harlow would say, "Mr. Speaker — "
PRESIDENT:
Yeah.
-26-
(313)
24.1 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
DEAN:
I, I suppose the other area we are going to some publicity
on in the coming weeks because, uh, I think after the, now
that the indictments are down, there's going to be a
cresting on that. The whitewash charge of course, but,
uh, I think we can handle that while the civil case is in
abeyance. But Patman's hearings, uh, his Banking and
Currency Committee, and we've got to — whether we will
be successful or not in turning that off, I don't know.
We've got a plan whereby Rothblatt and Bittman, who are
counsel for the five men who were, or actually a total of
seven, that were indicted today, are going to go up and
visit every member and say, "If you commence hearings you
are going to jeopardize the civil rights of these
individuals in the worst way, and they'll never get a
fair trial," and the like, and try to talk to members on,
on that level. Uh —
PRESIDENT:
Why not ask that they request to be heard by, by the
Committee and explain it publicly?
DEAN:
How could they — They've planned that what they're going
to say is, "If you do commence with these hearings,
we plan to publicly come up and say what you're doing to the
rights of individuals." Something to that effect.
-27-
(314)
24.2 TRANSCRIPT OF SEPTEMBER 15. 1972 MEETING
PRESIDENT:
DEAN:
As a matter of fact they could even make a motion in
court to get the thing dismissed.
That's another thing we're doing is to, is
PRESIDENT: Because these hearings —
DEAN: bring an injunctive action against, uh, the appearance, say —
HALDEMAN: Well, going the other way, the dismissal of the, of the, of
the indictment —
PRESIDENT: How about trying to get the criminal cases, criminal charges
dismissed on the grounds that there, well, you know —
HALDEMAN: The civil rights type stuff.
DEAN: Civil rights — Well that, we're working again, we've got
somebody approaching the ACLU for these guys, and have them
go up and exert some pressure because we just don't want Stans
up there in front of the cameras with Patman and Patman asking
all these questions. It's just going to be the whole thing,
the press going over and over and over again. Uh, one
suggestion was that Connally is, is close to Patman and
probably if anybody could talk turkey to Patman, uh, Connally
might be able to. Now I don't know if that's, uh, a good
Idea or not. I don't think he — don't know If he can.
Uh, Gerry Ford is not really taking an active Interest in this
matter that, that is developing, so Stans can go see Gerry
-28-1
(315)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
Ford and try to brief him and explain to him the problems
he's got. And then the other thing we are going to do
is we're looking at all the campaign reports of every
member of that Committee because we are convinced that
none of them have probably totally complied with the law
either. And if they want to get into it, if they want
to play rough, some day we better say, "Well, gentlemen,
we think we ought to call to your attention that you
haven't complied A, B, C, D, E, and F, and we're not
going to hold that a secret if you start talking campaign
violations here."
PRESIDENT:
Uh, what about Ford? Do you think so? [Unintelligible]
do anything with Patman? Connally can't be sent up there.
HALDEMAN;
[Unintelligible]
PRESIDENT:
Connally
DEAN:
If anybody can do it —
PRESIDENT:
[Unintelligible] Patman.
DEAN:
But if, if Ford can get the minority members, uh,
together on that one, it's going to be a lot —
PRESIDENT:
They've got very weak man in Widnall, unfortunately.
Heckler is all right.
■29-
(316)
24.1 TRANSCRIPT OF SEPTEMBER 15, 1972 MEETING
HALDEMAN:
Heckler was great.
DEAN:
She was great, with, uh —
PRESIDENT :
DEAN:
That's what I understand, but you see, Widnall — let's take
somebody — Gerry could talk to him. Put it down, uh,
Gerry should talk to Widnall and, uh, just brace him,
tell him I thought it was [unintelligible] start behaving.
Not let him be the chairman of the Committee in the House.
That's what you want?
That would be very helpful, to get our minority side at
least together on the thing.
PRESIDENT:
Gerry has really got to lead on this. He's got to be
really be [unintelligible]
HALDEMAN:
Gerry should, damn it. This is exactly the thing he
was talking about, that the reason they are staying
in is so that they can
PRESIDENT:
That's right.
HALDEMAN:
run investigations.
PRESIDENT:
Well, the point is that they ought to raise hell about
this, uh, this — these hearings are jeopardizing the -
-30-
(317)
24.1 TRANSCRIPT OF SEPTEMBER 16, 1972 MEETING
I don't know that they're, that the, the, the counsel
calling on the members of the Committee will do much
good. I was, I — it may be all right but — I was
thinking that they really ought to blunderbuss in the
public arena. It ought to be publicized.
DEAN:
Right.
HALDEMAN :
Good.
DEAN:
Right.
PRESIDENT:
That's what this is, public relations.
DEAN:
That's, that's all it is, particularly if Patman pulls
the strings off, uh — That's the last forum that, uh,
uh, it looks like it could be a problem where you just
have the least control the way it stands right now.
Kennedy has also suggested he may call hearings of his
Administrative Practices and Procedure Subcommittee.
Uh, as, as this case has been all along, you can spin
out horribles that, uh, you, you can conceive of, and
so we just don't do that. I stopped doing that about,
uh, two months ago.
PRESIDENT:
Yeah.
DEAN:
We just take one at a time and you deal with it based
-31-
(318)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
PRESIDENT:
And you really can't just sit and worry yourself
DEAN:
No.
PRESIDENT:
DEAN:
about it all the time, thinking, "The worst may happen,"
but it may not. So you just try to button it up as well
as you can and hope for the best. And,
Well if Bob --
PRESIDENT:
and remember that basically the damn thing is just
one of those unfortunate things and we're trying to cut
our losses.
DEAN:
HALDEMAN:
Well, certainly that's right and certainly it had no
effect on you. That's the, the good thing.
It really hasn't.
PRESIDENT:
[Unintelligible]
HALDEMAN:
DEAN:
HALDEMAN :
No, it hasn't. It has been kept away from the White
House almost completely and from the President totally.
The only tie to the White House has been the Colson effort
they keep trying to haul in.
And now, of course.
That's falling apart.
-32-
(319)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
DEAN:
the two former White House people, low level, indicted,
one consultant and one member of the Domestic Council
staff. That's not very much of a tie.
HALDEMAN:
No.
PRESIDENT:
Well, their names have been already mentioned.
DEAN:
Oh, they've been
PRESIDENT:
Voluminous accounts.
HALDEMAN:
And it's, it's been discounted —
PRESIDENT:
You know, they've already been convicted in the press.
DEAN;
Absolutely.
HALDEMAN:
Yep.
PRESIDENT!
God damn it, if they'd been communists you'd have the
Washington Post and the New York Times raising hell about
their civil rights.
DEAN:
That's right.
PRESIDENT:
Or Mans on.
DEAN:
PRESIDENT:
DEAN:
That's right.
Jesus Christ. If they'd been killers, wouldn't —
That's right.
-33-
(320)
24.1 TRANSCRIPT OF SEPTEMBER IS. 1972 MEETING
PRESIDENT:
Isn't that true?
DEAN:
PRESIDENT:
DEAN:
PRESIDENT :
It's absolutely true.
These poor bastards are — well they've been — they've
got no way they can ever — In fact, they ought to move
the, uh, move the trial away from the —
Well, there has been extensive clipping by the counsel
in this case, and I've gone through some of these
clippings and it's just phenomenal the, uh,
Yeah.
DEAN:
the amount of coverage this case is getting. They may
never get a fair trial, may never get a fair trial.
They may never get a jury that can convict them or pull
it together. And the Post , as you know, has got a, a, a
real large team that they've assigned to do nothing but
this.
PRESIDENT:
DEAN:
PRESIDENT:
Sure.
this case. Couldn't believe they put Maury Stans' story
about his libel suit, which was just playing so heavily on
the networks last night, and in the evening news, they put
it way back on about page eight of the Post
Sure.
-34-
(321)
24.1 TRAHSCRIPT of SEPTEMBER IS, 1972 MEETING
DEAN:
and didn't even cover it as a — in total.
PRESIDENT:
HALDEMAN:
PRESIDENT:
HALDEMAN:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
HALDEMAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
I expect that. That's all right. We've lunintelligible]
The Post is —
The Post has asked — it's going to have its problems.
[Unintelligible]
The networks, the networks are good with Maury coming
back three days in a row and —
That's right. Right. The main thing is the Post is
going to have damnable, damnable problems out of this one.
They have a television station
That's right, they do.
and they're going to have to get it renewed.
They've got a radio station, too.
Does that come up too? The point is, when does it come
up?
I don't know. But the practice of non-licensees filing
on top of licensees has certainly gotten more ,
That's right.
more active in the, in the area.
-35-
(322)
24.1 TRAlf SCRIPT OF SEPTEMBER 15, 1972 MEETING
PRESIDENT:
And it's going to be God damn active here.
DEAN:
[Laughs]
PRESIDENT:
Well, the game has to be played awfully rough. I don't
know — Now, you, you'll follow through with — who will
over there? Who — Timmons, or with Ford, or — How's
it going to operate?
HALDEMAN:
I'll talk to Bill. I think — yeah.
DEAN:
Dick Cook has been working
HALDEMAN or
PRESIDENT:
[Unintelligible]
DEAN:
on it.
HALDEMAN:
Cook is the guy.
DEAN:
Dick has been working on it.
PRESIDENT:
Maybe Mitchell should —
HALDEMAN:
Well, maybe Mitchell ought to — would, could Mitchell
do it?
PRESIDENT:
No.
DEAN:
I don't really think that would be good.
PRESIDENT:
No.
-36-
(323)
24.1 TRANSCRIPT OF SEPTEMBER 15^ 1972 MEETING
DEAN:
I hate to draw him in.
PRESIDENT:
Yeah.
DEAN:
I think Maury can talk to Ford if that will do any good,
but it won't have the same impact, of course, 'cause
he's the one directly involved, but I think Maury ought
to brief Ford at some point on, on exactly what his whole
side of the story is.
HALDEMAN:
I'll talk to Cook.
PRESIDENT:
Oh, I think Ehrlichman should talk to him. Ehrlichman
understands the law, and the rest, and should say, "Now
God damn it, get the hell over with this."
HALDEMAN:
PRESIDENT:
Is that a good idea? Maybe it is.
I think maybe that's the thing to do [unintelligible].
This is, this is big, big play. I'm getting into this
thing. So that he — he's got to know that it comes from
the top.
HALDEMAN:
PRESIDENT:
Yeah.
That's what he's got to know.
DEAN:
PRESIDENT:
Right.
and if he [unintelligible] and we're not going to — I
can't talk to him myself — and that he's got to get at
this and screw this thing up while he can, right?
-37-
(324)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
DEAN:
PRESIDENT:
Well, if we let that slide up there with the Patman
Committee it'd be just, you know, just a tragedy to
let Patman have a field day up there.
What's the first move? When does he call his wit — ,
witnesses?
DEAN:
PRESIDENT:
Well, he, he has not even gotten the vote of his Committee;
he hasn't convened his Committee yet on whether he can
call hearings. That's why, come Monday morning, these
attorneys are going to arrive, uh, on the doorstep
of the Chairman and try to tell him what he's doing if he
proceeds. Uh, one of the members, Gary Brown, uh, wrote
Kleindienst a letter saying, "If the Chairman holds
Committee hearings on this, isn't this going to jeopardize
your criminal case?"
Brown's a smart fellow. He's from, he's from Michigan
DEAN:
PRESIDENT:
That's right.
and some tie into Ford. He's very, he's a very smart fellow.
Good.
DEAN:
Good lawyer and he's being helpful. He is anxious to
help.
-38-
(325)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
PRESIDENT: Right, just tell him that, tell, tell, tell Ehrlichman
to get Brown in and Ford in and then they can all work
out something. But, they ought to get off their asses
and push it. No use to let Patman have a free ride here.
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
Well, we can, we can keep them well briefed on moves
if they'll, if they'll move when we provide them with
the, the strategy. And we will have a raft
of depositions going the other way soon. We will be
hauling the, the, O'Briens in and the like, and, uh, on
our abuse of process suit.
What are you going to ask him? [unintelligible]
questions?
No. This fellow, this fellow Rothblatt, who has started
deposing, uh, he's quite a character. He's been getting into
the sex life of some of the members of the DNC and —
Why? How can — What's his justification?
Well, he's working on an entrapment theory that, uh, uh,
they were hiding something or they had secret informa-
tion, affairs to hide and they, they could, some way,
conspire to bring this thing about themselves.
-39-
(326)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
It's a, it's a way-out theory that, uh, no one had
[unintelligible]
HALDEMAN: [Laughs]
DEAN: Uh, and he, he had scheduled Patricia Harris and she didn't
show up. She went to the beauty parlor Instead so he
went down to the Court House and she had, had been
directed to show up and then the next day the Judge cut
all the depositions off. But he had a host of wild
questions including, you know, where O'Brien got his
compensation when he was Chairman. Not that he knows
anything about that, but, uh, it was just an interesting
question he thought he might want to ask the, the
Chairman under oath,
HALDEMAN: That's — It gives us, uh, the same hunting license that
it gave them.
DEAN:
That's right.
HALDEMAN: So we can play the same game they are playing, but we
ought to be able to do better at it.
PRESIDENT:
Well —
HALDEMAN:
Are those depositions sealed?
-40-
(327)
DEAN:
24.1 TRANSCFIPT OF SEPTEMBER 15, 1972 MEETING
That's right.
HALDEMAN:
They are?
DEAN:
But that argues that, uh, they won't want them unsealed.
They'll want them unsealed less than we will, and we may
be arguing at some point to get them unsealed.
PRESIDENT:
Yeah.
DEAN:
I think what's going to happen on the civil case is the
Judge is going to dismiss the pending complaint down
there right now. They will then turn around and file
a new complaint which will be [unintelligible] come
back to Richey again. That, uh, that'll probably happen the
twentieth, twenty-first, twenty-second. Then twenty days
will run until any answers will have to be filed and these
depositions will be commenced so we're, what, we're eating
up an awful lot of time for those next fifty-four days.
HALDEMAN:
On the other side.
PRESIDENT:
Why will they have to dismiss the present —
DEAN:
Uh, probably on, on a dual ground, uh, both on the sub-
stantive ground that they haven't stated a good cause
-41-
(328)
24.1 TRASSCRIPT OF SEPTEMBER 25, 1972 MEETim
of action — that there is a improper class action
filed and that O'Brien Indeed doesn't represent any
class. Uh, and he'll just dismiss it on the merits.
It's not a good complaint. He's already shaved it
down to almost nothing on his original order. They
will then have to re-design it into a much narrower
action, but the Judge himself can't suggest something
to counsel. But it's — you've got a good res judicata
argument here. If he dismisses on the merits, uh, that
they can't file another suit. They're out of the court
totally.
HALDEMAN:
But our suits do still hang?
DEAN:
Our suits are still — We have two suits, and we have
the abuse of process and
HALDEMAN:
— the libel —
DEAN:
the libel suit.
HALDEMAN:
We can take depositions on both of those?
DEAN:
Absolutely.
PRESIDENT: Hell yes.
HALDEMAN:
[Laughs]
-42-
(329)
24.1 TRANSCRIPT OF SEPTEMBER IS, 1972 MEETING
PRESIDENT: [Unintelligible] depositions.
DEAN: It's a, it's a glimmer down the road anyway, but,
uh ~
-43-
(330) J
25. From approximately 6:00 p.m. to approximately 6:17 p.m. on
September 15, 1972 the President, Haldeman and Dean continued their
meeting. The Committee has not received a tape recording of this portion
of the conversation. Haldeman and Dean have testified that the
September 15, 1972 meeting there was a discussion of taking steps to
overcome the unwillingness of the IRS to follow up on complaints.
According to a memorandum by SSC Minority Counsel Fred Thompson, Special
Counsel to the President, J. Fred Buzhardt has stated that during the
September 15, 1972 meeting Dean reported on the IRS investigation of
Lawrence O'Brien. On May 28, 1974 the Watergate Special Prosecutor moved
that the recording of this portion of the conversation be turned over
to the appropriate grand juries on the basis that the recording was
relevant to alleged White House attempts to abuse and politicize the
IRS, including unlawfully attempting in August and September 1972 to
have the IRS Investigate Lawrence O'Brien. On June 12, 1974 Judge
Sirica granted the motion and ordered that the recording of the con-
versation from 6:00 to approximately 6:13 p.m. be made available to
the Special Prosecutor.
Page
25.1 H. R. Haldeman testimony, 7 SSC 2889 333
25.2 John Dean testimony, 3 SSC 957-58 334
25.3 John Dean testimony, 4 SSC 1535 336
25.4 Memorandum of Dean's calls and meetings with the
President, Septeniber 15, 19 72 (received from SSC) with
accompanying Fred Thompson affidavit, SSC Exhibit No.
70A, 4 SSC 1794-95 337
25.5 Motion for reconsideration and affidavit of Leon
Jaworski, May 28, 1974, In re Grand Jui-y , Misc.
47-73 340
(331)
Page
25.6 Transcript of proceedings, June 7, 197A,
In re Grand Jury , Misc. 47-73, 12 347
25.7 Order, June 12, 1974, In re Grand Jury . Misc.
Misc. 47-73 3*8
(332)
25.1 E.R. HALDEMAN TESTIMONY, JULY 20, 1973, 7 SSC 2889
2889
r
u
ings of tlic meetings in thn Pi-esitlent's Office or of the President's
phone calls.
The President did not open tlie meeting of September 15 witli the
statement that, "Bob 1ms kept me posted on j'our handling of the
Wfitei'gate," or an\-thing e\en remotely resembling that. He said, '"Hi,
this was quite a day, you've got Watei'gate on the way," or something
to that effect. Dean responded that it had been quite a 3 months and
reported to the President on how tlie press was handling tlie indict-
ments and, ai^parently, a Clark JlacGregor press conference.
The discussion then covered the matter of the new bug that liad re-
cently been discovered in the Democratic National Committee head-
quarters and the question of whether it had been planted by the DNC
and the matter oi Mr. Nixon's campaign being bugged in 1968 and
some discussion of whether to try to get out evidence of that. There
was some discussion about Judge Richey hearing the civil case and a
comment that he would keep Roemer McPhee abreast of what was
happening. I don't recall any comment about the judge trying to ac-
commodate Dean's hopes of slowing down the suit, but there was some
discussion about the problem of the civil case depositions interfering
with the criminal prosecution — apparently as a result of a conversa-
tion between Judge Richey and Assistant U.S. Attorney Silbert.
Dean indicated that the indictments meant the end of the investiga-
tion by the grand jury and now tliere would be the GAO audit and
some congressional inquiries, such as the Patman committee, but he
assured the President that nothing would come out to surprise us. In
other words, there was apparently no information that would be harm-
ful that had not been uncovered already. The President did at that
point commend Dean for his handling of the whole Watergate matter,
which was a perfectly natural thing for him to do. Dean reported that
he was keeping a close eye on possible campaign law violations by the
opposition; said theie were some problems of bitterness at the reelec-
tion committee between the finance committee and political groups;
and said he was trying to keep notes on people who were emerging out
of all tihis that were clearly not our friends.
There was, as Mr. Dean has indicated, quite a lengthy discussion of
the Patman hearings and the various factors involved in that. There
was some discussion of the reluctance of the IRS to follow up on com-
plaints of possible violations against people who were supporting our
opponents Decause there are so many Democrats in the IRS bureauc-
I'acy that they won't take any action.
There was a discussion of cleaning house after the election, moving
quickly to replace people at all levels of the Government. The meeting
closed, as I recall, with a fairly long philosophical discussion.
I totally disagree with the conclusion that the President was aware
of any type of coverup and certainly ilr. Dean did not advise him of
it at the September 15 meeting.
SEXATE COMIIIITEE
On February 7, 1973, the "Watergate case moved into a new phase
with the establishment of the Senate Select Committee. The announce-
ment of the plans for the Senate probe was the reason for holding a
weekend meeting. February 10 and 11, in southern California with Mr.
Ehrlichman, Mr. Dean, Mr. ^looie. and mvself. These meetings have
(333)
25.2 JOHN DEAN TESTIMONY, JUNE 25, 1972, 2 SSC 957-58
957
but that I wasn't going to suggest filing any lawsuit or taking any
action that •was not well founded.
I had talked with ^litchell, Ken Parkinson, and Paul O'Brien about
the matter and 'Sir. Parkinson informed me that he was working on
several potential counteractions. I requested that he submit a memo-
randum to me as soon as possible because there was great interest at
the White House in a counterattack, iiicluding the interest by the
President. On September 11, 197-2, Mr. Parkinson submitted his
memorandum to me and after the memorandum, I redrafted his docu-
ments for submission to Haldeman. I have submitted to the committee
copies of both ^Ir. Parkinson's memorandum and the memorandum
I submitted to Haldeman.
[The documents referred to were marked exhibit Xo. 34-19.*]
Mr. De.\x. You will note that my memorandum of September 12,
197-2, to Mr. Haldeman has a '-P'' with a checkmark in the upper
right-hand corner, which indicates that the document was forwarded
diirectly to, or reviewed by, the President. I later learned that the
President was pleased and -wanted a full followup on the items in the
memorandum. The markings on the memo are Mr. Haldeman's
markings.
It was also about this time, later July — early September, that I
learned during a meeting in Mitchell's office that Mr. Rhoemer Mc-
Phee was having private discussions with Judge Richey regarding
the civil suit filed by the Democrats. I believe this fact was known to
'Mr. Mitchell, Mr. LaRue, Paul O'Brien, and Ken Parkinson— and
later again by McPhee — that Judge Richey was going to be helpfid
whenever he could. I subsequently talked with iVIr. McPhee about
this, as late as March -2 of this year, when he told me he was going to
■v-isit the judge in the judge's rose garden over the weekend to discuss
an aspect of the case.
c
Meeting WrrH the President — September 15, 197-2
On September 15 the Justice Department announced the handing
down of the seven indictments by the Federal grand jury investigat-
ing the "Watergate. Late that afternoon I received a call requesting
me to come to the President's Oval Office. "\\'Tien I arrived at the Oval
Office I found Haldeman and the President. The President asked me
to sit down. Both men appeared to be in very good spirits and my
reception was very warm and cordial. The President then told me
that Bob — referring to Haldeman — had kept him posted on my han-
dling of the Watergate case. The President told me I had done a good
job and he appreciated how diificidt a task it had been and the Presi-
dent was pleased that the case had stopped with Liddy. I responded
that I could not take credit because others had done much more diffi-
cult things than I had done. As the President discussed the present
status of the situation I told him that all that I had been able to do
was to contain the case and assist in keeping it out of the "\Miito House.
T also told him that there was a long way to go before this matter
would end and that I certainly could make no assurances that the day
would not come when this matter would start to unravel.
•.See p. 1173.
(334)
r
u
25.2 JOHN DEAN TESTIMONY, JUNE 25, 197d, 3 SSC 957-58
958
Early in our conversation the Prcsirlcnt said to me that former
FBI Director Hoover liad told him shortly after ho had assumed office
in 1969 that his campaign had been bugged in 1908. The Piesidcnt
said that at some point we should get the facts out on this and use
this to counter the i)roblems that we were encountering.
The President aslced me when the criminal case would come to trial
and would it start before tlie election. I told tlie President that I did
not know. I said that the Justice Department had held off as long as
possible the return of the indictments, but much would depend on
which judge got the case. The President said that he certainly hoped
that the case would not come to trial before the election.
The President then asked me about the civil cases that had been
filed by the Democratic National Committee and the common cause
case and about the counter suits that we had filed. I told liim that the
lawyers at the reelection committee were handling these cases and that
they did not see the common cause suit as any real problem before the
election because they thought they could keep it tied up in discovery
proceedings. I then told the President that the Iaw3-er5 at the reelec-
tion committee were very hopeful of slowing down the civil suit filed
bj' the Democratic National Committee because they had been making
ex parte contacts with the judge handling the case and the judge was
very imderstanding and trying to accommodate their problems. Tiie
President was pleased to hear this and responded to the effect that.
"Well, that's helpful." I also recall e.xplaining to the President about
the suits that the reelection committee lawyers had filed against the
Democrats as part of their countei-offensive.
There was a brief discussion about the potential hearings before the
Patman committee. The President asked me what we wcie doing to
deal with the hearings and I reported that Dick Cook, who had once
worked on Patman's committee staff, was working on the problem.
The President indicated that Bill Timmons should stay on top of the
hearings, that we did not need the hearings before the election.
The conversation then moved to the press coverage of the "Watergate
incident and how the press was really trying to make this intn a major
campaign issue. At one point in this conversation I recall t'ne President
telling me to keep a good list of the press people giving us trouble,
because we will make life diflicidt for them after the election. The
conversation then turned to the use of the Internal Revenue Service
to attack our enemies. I recall tellinT the President that we had not
made much use of this because the TMiite House did not have the clout
to ha^T it done, that the Internal Revenue Service was a ratlior demo-
cratically oriented bureaucracy and it would be very dangerous to try
any such activities. The President seemed somewliat annoved and ?aid
that the Democratic administrations had used tiiis tool well and after-
the election we would cret people in tliese agencies wlio would be re-
sponsive to the "\ATiite House reqtiirements.
The conversation then turned to the President's postelection plans
to replace people who were not on our team in all the agencies. It was
at this point that Haldeman, I remember, started takine notes and he
also told the President that he had been developing information on
which )>eople sliould stay and which should C'O after tlie election. T
recall that seveial davs after my meeting with the President. I was
talking to Dan Kingsley. wjio was in charge of developing the list for
(335)
r
u
25. S JOHN DEAN TESTIMONY . JUNE 29. 1972, 4 SSC 1535
1535
hearing, and you will recall that I requested, after a discussion -with
Mr. Plaldcman, that we check the financial or the campaign filing
requirements of the members of the Patman committee. I did receive
a document, I have submitted that document. To this day I have not
read that document and I can't tell you what it says. I didn't have any
interest in that. I had also been suggesting, I had had a suggestion, for
jMr. Haldeman to call Governor Connally, to ask him about ]Mr. Pat-
man and he said, "I think Mr. Patman might have one soft spot," but
he also indicated some Republicans might have similar soft spots, and
when Mr. Timmons and I discussed this we realized this might create
more problems than it would solve.
Now, coming back to this committee, I can recall a comment when
this discussion came up that it would be very difficult for some mem-
bers, possibly some of the members of this committee, to throw stones
when they were living in a glass house, and that is the comment I
recall making.
Senator Ixouye. Returning to the President's statement which you
quoted, "That we will take care of them after the election," did the
President ever tell you what he meant by that ?
Mr. Deax. To me, the way the conversation was evolving, and it
moved right from there to the Internal Revenue Service, and there
may have preceded that — because I am taking such care in any refer-
ence tliat I make to any conversations I recall with the President — to
something about the Internal Revenue Service that led into the fact
that I should keep a good list and then he went on to talk, I do recall
him very clearly telling me to make a good list of those who are giving
us problems, that we will take care of them after the election. We will
make life less than pleasant for them, and it moved, the conversation
moved, directly from there to a discussion of the Internal Revenue
Service, and I told him how, I was really telling him the fact that I
could not call Mr. Walters and tell ]Mr. Walters to get an audit started.
And the President was rather annoyed at this and I told him the
reason why when he asked me and I said, well, because the bureaucracy
of the Internal Revenue Service is priniaril}' Democratic and some-
thing like this cannot be done.
Senator Ixoute. Did you ever call Mr. Walters to attempt to pro-
vide special treatment for anyone?
Mr. Dean. To provide special treatment ?
Senator Inottye. Yes or to
Mr. Deax. No. I called him and asked him a number of questions on
occasions on tax cases, yes, but I don't recall ever asking him for
special treatment and, to the contrary. Mr. Walters is the type of man
that he and I discussed on a number of occasions the extreme danger
of the White House doing an}'thing that would politicize the Internal
Revenue Sernce and he felt very strongly about that and the like.
Now, I got criticisms
Senator Ixoute. ^fr. Walters was not the man to see, who was your
contact man in the Internal Revenue Service ?
Mr. Dfax. Mr. (''aulfiehl had a contact man and lie will have to tell
you who that is because I do not Imow.
Senator Txom'K. I thank you very much, Mr. Dean.
Mr. Dean. Thank you. Senator.
(336)
25.4 MEMORANDUM OF SUBSTANCE OF DEAN'S CONVERSATIONS WITH THE PRESIDENT,
WITH ATTACHMENT
1796
MEMORANDUM OF SUBSTANCE OF DEAN'S CALLS
AND MEETINGS WITH THE PRESIDENT
D
September 15, 19V2 Dean reported on IRS investigation of Larry O'Brien.
Dean reported on Watergate indictments*
February 27, 1973 Discassed executive privilege, minority counsel .
for Watergate Committee. Dean suggested Whita
House aides submit answers to interrogatories.
February 28, 1973 President inquired of Watergate, Dean said no White
House involvement, Stans was victim of circumBtanco->,
Colson was lightning rod because of his reputation.
Discussed wiretappings which had been brought up
in the Gray hearings. Sullivan, Deputy Director,
was friend of Dean and Dean suggested they make
sure that wiretaps of prior years (othor Administra*
tions) be made known.
March I, 1973 Preparation for press conference -- go over question
and answer book. Was decided the question would
come up as to why Dean was sitting in on FBI inter-
views and that the reason was he was conducting an
investigation for the President. President asked
Dean to write a report. Dean was also critical of
Gray.
(March 2 press conference)
March 6, 1973 Discussed executive privilege guidelines, decided
to cover former White House personnel as well as
present.
March 7, 1973 Again discussion executive privilege guidelines.
Dean again told the President the White House was
clear. The President inquired as to how Pat Gray
was doing. Dean informed him C.B. WilU»ms bad
dropped out of the civil case.
(337)
25.4 FRED THOMPSON AFFIDAVIT, AUGUST 9, 1973, SSC EXHIBIT NO. 70A, 4 SSC
1794-95
1794
Exhibit No. 70A
IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF COLUMBIA
SENATE SELECT COMMITTEE ON PRESIDENTIAL
CAMPAIGN ACTIVITIES, ET. AL."
Plaintif^B
RICHARD M. NDCOI^
INDIVIDUALLY AND AS PRESIDENT OF THE UNITED STATES
THE WHITE HOUSE
WASHINGTON. D. C.
Defendant
Civil
Action
No.
AFFIDAVIT OF FRED D. THOMPSON
Fred D, Thompson, being sworn, deposes and says:
1. Early in June, 1973, the White House transmitted
to the Select Committee a memorandum (which is attached to this
affidavit) listing certain oral communications, 'both face-to-face and
telephonic, Ijetween President Richard M. Nixon and John Wesley Dean TTT,
This memorandum, inter alia . includes the exact times and durations of
these conamunications, and, in the case of face-to-face communications,
the other participants, if any, in those conversations.
(338)
25.4 FRED THOMPSON AFFIDAVIT, AUGUST 9, 1973, SSC EXHIBIT NO. 70 A, 4 SSC
1794-95
1795
2. Shortly thereafter, I (received a telephone call
from J. Fred Buzhardt, Special Counsel to the President. During
this telephone call, Mr. Buzhardt related to me his understanding
as to the substance of certain portions of the enumerated conversations
between the President and Mr. Dean.
3. During my discussion with Mr. Burhardt, I
made detailed notes on the information that he gave me. Upon
conclusion of the conversation, I promptly prepared a "Memorandum
of Substance of Dean's Calls and Meeting with the President, " a
copy of viiich is attached to this affidavit. It is my belief that this
memorandum accurately reflects the information imparted to me by
Mr. Buzhardt.
Subscribed and sworn to. before
me, thi5_Z day of d^Z-u-^^i.^'^ -aJJ. '
Notary Public. D.C.
Ky Commission Expires _^J!L^4<(1_. lO.'^
^
(339)
25.5 IN RE GRAND JURY, MISC. 47-73, MOTION FOR CONSIDERATION
FOil Tin-; DlSTI'.J.fJT O!'' COI.U'.DXA
)
IN UK G»A»;0 JUKY SUIVPOKHA )
DUCES TKCU'-i ISSUi'.O TO )
RTCllAUD !i. MIXON, OR A'iY )
SUBOi'.niWATE OFnCER, ) Misc. Ko. A7-73
Ol'FiCTAL, OR EMPLOVEi: )
WITH CUSTODY OR COIiTROL )
OF CERTAIN DOCUyiKiITS OR )
OBJECTfJ )
)
MOTION FOR RECONSIDERjVTION
The Special Prosecutor on behalf of the
United States hereby moves this Court to reconsider
two rulings contained in its Order dated December 19,
1973, sustaining claims of executive privilege ad-
vanced by the President in opposition to the produc-
tion of materials listed in the above-cnptloned grand
jury subpoena duces tecum.
In that Order, the Court sustained the
President's claims of privilege v;ith respect to,
Inter alia , (1) the latter portion of the tape-
recording of a meeting from 5:27 to 6:17 p.m. on
September 15, 1972, in the Oval Office of the VHiltc
House, involving the President, H. R. Haldeman and
John Dean (designated "Item IVA" in the Analysis,
Index and Particularized Claims of Kxocutlvo Privilege
for Subpoenaed Materials, hereafter "Analysis," filed
on behalf of the President on November ?.6, 1973),
and (2) the notes of H. R. lUilde.Tian relating to the
latter portion oC thai u'.cetiii,^, (designated "Item IVLV') .
Af. to these two maliter.'; the Court .Tcct'ptod the asser-
tion <if Co'.r.ir;cl for tiif Prcr.idcut. th.il. (his portion of
this inectin;'. )plalo<t to "dincii.';.': i on."", with and ai'.vice
from the- l'r(:.':i ileal ' f. rcniov .A.-!, i ;;( nnl. and his com'.sol
(340)
26.5 IN RE GRAND JURY, MISC. 47-73, MOTION FOR CONSIDERATION
2.
on n;i|-.ter.'i rclnli ii;'. to tlic rrciiidont ' g conJiicL of his
official [lilt Ic'!; arid ,>rc unr..laLe(l Lo V.'.ila:i'(',atc m.'itl;c.T.s . "
(Anilyr. i;-. . ))p . I'l . 16)
On the bnsir. of JnCorriaLion th.'it line recently
bccone available, it appcarr, that Itetn IVA and Item IVIi
arc relevant both to natters at i.s;;ue in United States v.
John U. Mitchell, ot al. . Crim. !Io. 7'(-l]0. and to Uater-
gate-relatcd matters under investigation by the federal
grand juries erapanelled on August 13, 1973, and January 7,
197^^1. The facts in support of this conclusion are set
forth in greater detail in the attached affidavit of
Special Prosecutor Leon Jav/orski. For the reasons
therein stated the United States respectfully requests
this Court to reconsider the aforesaid portions of its
December 19, 1973 Order, and to rule that Item IVA and
Item IVB are not privileged and to order that they be
turned over forthwith to the Special Prosecutor for
presentation to the appropriate grand juries and for
such other use as is in accordance v;ith law.
Respectfully submitted,
LEON JAV.'OiTSKT
Special Prosecutor
PHILIP AV LACOVAl;j\
^ Counsel to _th,r; Special vProsecutor
KiCMVAO bhliS'-ViLillSTL
Asjiistant Special Prosecutor
'C.
■I, .4^-^
JAY riORO'./ITZ
Assistant Special Prosecutor
. iikk:<y l. f.iKCiir
A;;sii-. tanli Spocial Prosecutor
VJatonv'tP Spt-cial Prosecution Force
1/.?.!) k Street, H. W.
V\',ir.hin;',ton, D. C. 20003
Dated: Hay 7.S, 197/1 Attorni^ys for the United States
(341)
25.5 LEON JAWORSKI AFFIDAVIT^ MAY 28, 1974
UNITi;r) STAT.'-.:; DTsniCT CO!!:vr ■
FOK Tiir-; DIRTUICT O)" COLUMIITA
itJ RE CRAN'n JURY sunro!-;i,\ )
DUC'.'S Tr.cu:
I ISSi.'KD
TO )
RICHARD n.
KIXON, Oil ANY )
r.uuo'.^Di;;ATi
: o;'!']CE
' , )
OFFICXM.., OR EMl'LO"
■EE )
WITH CUSTODY OH CO
!TP>OL- )
OF certat:!
DOCUMEK
rs OR )
OBJECTS.
Misc. t;o. A7-7 3
AFFID.WIT OF LEON JAWORSKI
Leon Jaworski, being duly sv;orn, deposes
and says:
1. I am the Special Prosecutor, Watergate
Special Prosecution Force. I submit this affidavit
in support of the Government' r. motion to have this
Court reconsider portions of its Order dated December 19,
1973, in the above-captioned case. Except where other-
wise indicated this affidavit is based upon information
and belief.
2. By Order dated December 19, 1973, this
Court sustained the President's claim of privilege
opposing, production of (1) the latter portion of a
tape recording of a meeting involving the President,
11. R. Haldeman and John Dean, in the Oval Office of
the IvTiitc House, from 5:27 to 6:17 p.m. on September 15,
1972, and (2) the notes of H. R. llaldom.Tn pertaining to
that part of the meeting. These materials had been
design.Tted in the I'recidc'ut:' s Analysis, Index and Parti-
cularized Clairis of Exc:cutivp Privilege foi- Subpoenaed
Materials (licrcaflcv "An.Tly:-i r.") , as Item IV.\ and Item
XVP., respectively. In this An.ily.':iy , p[>. I'l, 16,
(342)
25. 5 LEON JAWORSKI AFFIDAVIT, MAY 28, 1974
2.
coun-'.ol fo)- Chf )'rc-:.i clcnL cl.'i imcJ thai the coaver-
EaLioi\.-; in t|m:.st;ioii rclalc-d only to "<lic;cii:;;.ionr. v;ich
nnd advice from Llic Pre: i (lent; ' s senior An;.iKt.inL and
his counsel on iiuiLl.crs rclaLinji to the Prcsidout's
conduct of hi;: official duties and arc unrelatc-J to
Watergate matters." There is evidence, hov;ever, that
refutes this assertion and supports the conclusion
that the materials in question do relate to investi-
gations of the V.'atercate break-in and related natters.
3. (a) During Che public hearinss before
the Senate Select Conimittee on Presidential Campaign
Activities both Mr. Dean and Mr. Haldeman testified
about the portion of the September 15, 1972, meeting
in question. Mr. Dean testified that consistent v;ith
his discussion that day v/ith the President concerning
the press coverage of the Watergate issua and the
advisability of preparing a list of press personnel
vho had vnrlttcn critically about the Administration he
discussed with the President the use of the Internal
Revenue Service (hereafter "IRS") to attack enemies
of the vrnito House. Hcarin.t;s before the Senate Select
Coirjp.ittee on Presidential Campaign Activities , 93rd
Cong., 1st SesE., Book 3, p. 958. (See -Appendix A)
Dean claimed that the President asserted that Democratic
administrations had "used" the IRS and that after the
upcoming Presidential election the VThite House v.-ould
attempt to do so. lb i d .
(b) Mr. Ilnldcinan testified also that
there had been discussion at the time about the Democratic
orientation of the IRS and the reluctance of the IRS to
(343)
25.5 LEON JAWORSKI AFFIDAVIT, MAY 28, 1974
3.
follow lip on conpl.-i Itit s of po.^nlblc vlol.-i'cions a(j;iiii.st
people who \Jcr.o Kupportint', opponontr. of tlu; V/IilUe House-. '
He.ni'i nr.s beforo the Pcnal.o Seloc; t : Co:7M)".LI : ce on Prcf^iflcn t j aI
Canipai^r n Acti vlLi cs , 93rd Cong., I.'jC Scss., Bool; 7,
p. 2889. (See Appendix P.)
(c) During those hearings the VHiite
House' corroborated this' testimony, at least in part.
In or about early June 1973, J. Fred Buzhardt, then
Special Counsel to the President, advised Fred D.
Thompson, Minority Counsel of the Senate Select Committee,
that the Tneeting on September 15, 1972, concerned a
tax investigation of Lawrence F. O'Brien, Sr. , then the
Campaign Director for Senator McGovern's 1972
Presidential campaign, and in June 1972, Chairman of
the Democratic National Comxittee. Mr. Thompson
reduced his notes of his conversation v/ith Mr. Buzhardt
to ^■nritlng, appended to his affidavit which was made
part of the record of the Select Conmittee ' s proceedings.
Hearinf.s before the Senate Select Comittee on Presiden-
tial Campaign Activities , 93rd Cong., 1st Sess., Book A,
pp. 1794-lSOO. (See Appendix C)
A. Allegations concerning the VJliite House's
attempt to abuse and politicize the IRS have been and
are the subjects of investigation by both the federal
grand jury empanelled on August 13, 1973, and the
federal grand jury empanelled on January 7, 197A. In-
sofar as is relevant here those investigations have
focused on allegations: (1) that in September 1972,
the V/lili;e llou.-.o prot;cnt:rd list."; of individuals ("enemies")
(344)
26.6 LEON JAWORSKl AFFIDAVIT, MAY 28, 1974
/..
to Lhc IRS witli llu-' flirccl' ion rbat rhcy he audited or
othL'Twi.i:c liu a:.;;cHl; and (?.) thai-, in Aii.',u:^t and St-pLcnh^r
19V2, the MiLLt! House unlav/fnlly atteiiiptc.d to have the
IRS investigate llr. O'Brien. Evidence assembled by
this Office, much of which has been presented before
the grand juries, substantiates both of those alle<iations .
'This evidence also indicates the likelihood that on
September 15, 1972, the President did in fact have
discussions with Mr. Dean and Mr. Haldeman, concerning
those matters. If the Court desires, a detailed re-
view of the witnesses can be submitted for in canera
examination.
5. In addition portions of a transcript of
this meeting v;hich was apparently prepared by the
staff of the House Judiciary Committee, recently have
been made public and support the relevance of these
discussions. The transcript of the portion of the
meeting between the President and H. R. Haldeman op
September 15, 1972, just prior to Mr. Dean's entry,
which had not been available previously to the Special
Prosecutor, reflect that Mr. Haldeman was aware that
Mr. Dean v;as engaged in investigating "McGovern people"
by use of the IRS. The Washington Post , May 17, 1974,
p. A26. (See Appendix D)
6. These matters may v.'ell be relevant to the
trial of United States v. John N. Mitchell , et al . ,
CriiiT. No. 7A-110, in v;hich Mr. Haldeman and others are
charged v;ith a conspiracy to obstruct justice in
attempting to cover up the identities of persons
responsible for the illegal break-in and electronic
surveillance of the Democr.itic National Committee
(345)
26.5 LEON JAWORSKI AFFIDAVIT^ MAY 28, 1974
5.
hcnclqiiartc-r:; of Liu- I'm ni-j'/iLt- oCrice Imildin^. Stc
nlyo Ujiitc^ f;riij.or. v. tidily, ol nl . , Grin. :!o. la'/J-Tl.
Portion:; of flio ncptei.ibcr Vj , 1972, mcotin,-; uii to vihLch
tlie claim of prLvi]c;;e hnr. been uust.-viyicd may v;gH
bear on the possible motives of one or more ot the
alleged conspirators in connection with the VJatergate
breaU-in and alleged cover-up.
V/hcrefc-e, for all the reasons set forth above,
it is respectfully requested that this Court reconsider
and modify its Order dated December 19. 1973, to
provide that Items IVA and IVB as identified above,
arc relevant and non-privileged and to direct that they
be turned over forthwith to the Special Prosecutor for
use in the appropriate judicial proceedings.
7
fCa-e»sv/V£-cv'
&y!^T:\.y-<Lt-J <IA.:.Uju^
LEON JAKOdSKI
Special Prosecutor
\ ni . Subscribed and svrorn to
''before me this ''" day
bf yii^^^ , 1974.
Notary Public
Mj Coramljsion Lxp'ccs March V< , 1*;79
(346)
25.6 IN RE GRAND JURY, MISC. 47-72, TRANSCRIPT OF PROCEEDINGS, 12
u
to our brlaf with th« exception of the natter coDcemlog the
Grand Jury's actloD about co«cooaplrators .
THB C0C81: All rl^t, very veil.
Now uitb regard to the Special Prosecutor's Motloo
for EecoaalderatlOB, I have read the saotloos aod taeaoranda sub"
«ifced, aod I have llateod to the September I5tb 1972 Cape. I
vlev tt» aatter Id tills aaooer:
The Court «nrawlnert this tape last Dec— b er lookiog
ODly for Waters«te oaterlal. The Court used aod understood the
tera Vatexsate *» aeaolng nattier related to the Uatersate break-
Id and the allegiad cover-iq>. Cveo thov^ ttm Special ProsecttCor
sc^(£estad lo a £oocx»te oo pag« 12 of his response to the White
Eouse Index and Analysis filed noveaber 29, 1973» that he was
investigating alsuse of the IRS, the Court, fraiddy overlocdced It.
The Special Prosecutor has isade a sore than adequate
shxmlng of probable relevance to current graed Jury Watergate
Investigations, using the word Wacergate in the broader sense.
After eirsalnlrg the tape and the third page o£ Mr. Haldeeen's
Septeaber 13 ooees, previously declared privileged, I find the
notes aod alsnst all of the tape unquestionably relevaot.
The Special Prosecutor's showing of need for the
material is coci^>elllog, especially when weighed against the
public iscerest in oalntainlng total confidentiality of all
except a part. There is no oatiooal sectxricy or odier wei^cy
reason to withhold the caatter froa the grand jury.
(347)
25.7 IN RE GRAND JURY, MISC. 47-72, ORDER
IN THE UNITED STATES DISTRICT COURT
FOR TIE DISTRICT OF COLUMBIA
IN RE GRAND JURY SUBPOENA
DUCES TECUM ISSUED TO 1 Misc. No. 47-73
RICHARD M. NIXON, ETC. J £• ,
ORDER •MM£s f „
^'- Clerk
The Court having examined in^ camera the two
items noted below pursuant to its order and opinion of
August 29, 1973, and the mandate of the United States
Court of Appeals for the District of Columbia Circuit
entered October 12, 1973 in Nixon v. Sirica , No. 73-1962,
and the Special Prosecutor on behalf of the United States
having moved for 'reconsideration of certain portions of
this Court's order of December 19, 1973, and the Court
having considered the Opposition of the President
and the Supplemental Memoranda and Affidavits supplied
by the Special Prosecutor, it is hereby
ORDERED that the motion for reconsideration
is granted and the order of December 19, 1973 is modified
in the following respects:
1. With respect to Item IVA (tape recording of
a meeting between the President, H. R. Haldeman
and John W. Dean, III on September 15, 1972
in the Oval Office from 5:27 to 6:17 p.m.,
required under part 1(d) of the grand jury
subpoena duces tecum), the claim of executive
or other privilege which relates to the latter
portion of the recorded conversation is
denied excepting the final 3 minutes and 37
(348)
26. 7 IN RE GRAND JURY, MISC. 47-73, ORDER
-2-
seconds of said recorded conversation.
2. With respect to Item IVB (notes of H. R.
Halderaan relating to the meeting between the
President, Mr. Haldeman, and John W. Dean, III
on September 15, 1972 in the Oval Office from
5:27 to 6:17 p.m., required under part 1(d)
of the grand jury subpoena duces tecum), the
claim of executive or other privilege for
those portions of Item IVB relating to the
latter portion of Item IVA is denied,
and it is
FURTHER ORDERED that Item IVA and Item IVB,
to the extent noted, will be made available forthwith to
the Special Prosecutor for presentation to the appropriate
grand juries and for such other use as is in accordance
with law; and it is
FURTHER ORDERED that execution of this Order
is hereby stayed until 4:00 p..m. , Friday, June 14, 1974,
to permit the initiation of appellate review by the
President; and it is
FURTHER ORDERED that should the President elect
to seek appellate review of this Order within the time
specified, execution of the Order shall be stayed pending
completion of such review.
United Slates District Judjie
^'
Dated: June
/.2.
1974.
(349)
J
26. Walters has stated that on or about September 25, 1972 Dean
telephoned him and inquired as to what progress had been made with respect
to the list of McGovem campaign workers and contributors which he had
given to Walters on September 11, 1972. Walters has stated that
he informed Dean that no progress had been made; that Dean asked
if it might be possible to develop information on fifty, sixty
or seventy of the names; and that Walters'" responded that, although he
would reconsider the matter with Secretary Shultz, any activity of this
type would be inviting disaster. Walters has stated that on or about
September 29, 1972 he discussed Dean's request with Shultz and that he
and Shultz agreed that nothing be done with respect to the list. Walters
has stated that he did not furnish any name or names from the list nor
request any IRS employee or official to take any action with respect to
the list.
Page
26.1 Johnnie Walters affidavit submitted to House
Judiciary Committee, May 6, 1974 352
26.2 Johnnie Walters handwritten notes, September 25, 1973
(received from Joint Committee on Internal Revenue
Taxation) 356
(351)
26.1 JOHNNIE WALTERS AFFIDAVIT, MAY 6, 1974
HOUSE OF REPRESENTATIVES
OF THE UNITED STATES
COMMITTEE ON THE JUDICIARY
AFFIDAVIT
DISTRICT OF COLUMBIA) ss:
JOHNNIE M. WALTERS, being first duly sworn, I
deposes and says:
1, I served as Commissioner of Internal Revenue
from August 6, 1971, through April 30, 1973.
- 2. On September 11, 1972, I met with John W.
Dean, III, pursuant to his request, in his office at the j
Old Executive Office Building c At that meeting he gave
me a list of names, and requested that IRS undertake
examinations or investigations of the people named on the
list. The list appeared to contain names of persons on
the 1972 Presidential campaign staff of Senator George
McGovern and of contributors to that campaign.
3. Mr. Dean stated that he had been directed
to give the list to me. It was my impression at the
time of the September 11, 1972 meeting that John D,
Ehrlichman was the one who had given Mr. Dean his directions,
but I do not recollect on what my impression was based.
(352)
26.1 JOHNNIE WALTERS AFFIDAVIT^ MAY 6, 1974
2
Mr. Dean stated that he had not been asked by the
President to have this done and that he did not know
whether the President had asked that any o;f this
activity be undertaken. Mr. Dean expressed the hope
that the IRS could do this in such a manner that would
"not cause ripples." He indicated that he was not yet
under pressure with respect to this matter.
4. I advised Mr. Dean that compliance with
the request would be disastrous for the IRS and for the
Administration and would make the Watergate affair look .
like a "Sunday school picnic." I asked whether he had
discussed the matter with Secretary Shultz, and he said
no. I advised him that I would discuss the matter with
Secretary Shultz, and that I would recommend fo Secretary
Shultz that we do nothing on the request.
5. On September 13, 1972, at the earliest
opportunity, I discussed the matter with Secretary Shultz,
showed him the list, and advised him that I believed that
we should not comply with Mr. Dean's request, Mr. Shultz
looked briefly at the list, and said do nothing with
respect to it. I placed the list in a sealed envelope
and placed it in my office safe. I believe I may have
(353)
26.1 JOHNNIE WALTERS AFFIDAVIT, MAY 6, 1974 j
3
informed Mr„ Dean of the decision, but do not specifically
recall doing so,
6. On or about September 25, 1972, I received
I
a telephone call from Mr. Dean. He inquired as to what
progress I had made with respect to the list, I told :
him that no progress had been made. He asked if it
might be possible to develop information on fifty-sixty-
seventy of the names. I again told him that, although
I would reconsider the matter with Secretary Shultz,
any activity of this tjrpe would be inviting disaster.
7. Thereafter, on or about September 29, 1972
and again at the earliest opportunity, I discussed the
matter again with Secretary Shultz. We again agreed
that nothing would be done with respect to the list.
I have no recollection of any further discussions about i
the matter during my tenure as IRS Commissioner, except
the possibility of mentioning (without showing) it to
the present Commissioner, Donald C. Alexander, as he
I
was in the process of being named Commissioner.
8o At no time did I furnish any name or names fron
the list to anyone, nor did I request any IRS employee or
I
official to take any action with respect to the list. !
(354)
26.1 JOHNNIE WALTERS AFFIDAVIT, MAY 6. 1974
4
9, I removed the list from the safe when I
left IRS and thereafter personally kept it in the sealed
envelope and locked in my present office.
10. On July 11, 1973, upon written request,
I submitted the list, along with my handwritten notes
of the September 11, 1972 meeting, to the Joint Committee
on Internal Revenue Taxation in connection with that
Committee's investigation of allegations that the IRS
took enforcement actions for political purposes.
^5<hnnie M. Walters
Dated: V^ ^7^
Subscribed and sworn to before me this ^ day
of May, 1974.
\.
(2
Notary Public
My Commission expires
t.!y ::-ni^^3:on Expires Feb. 14, 197S
(355)
26.2 JOHNNIE WALTERS NOTES:, SEPTEMBER 25, 1972
Indistinct document retyped by
House Judiciary Committee staff
Commissioner
of
Internal Revenue
To
John Dean telcalled to
ask what progress on list.
JMW told him JMW had
discussed with Secy Shultz
& that so far no progress
has been made in actually
checking the list.
Johnnie
M.
Walters
Date
9/25/72
JMW advised Dean again
that any checking such as
suggested would be inviting
disaster He agreed however
to consider the matter again
with Secy Shultz & recall
Dean
Indistinct document retyped by
House Judiciary Conmlttee staff
(356)
26.2 JOHNNIE WALTERS NOTES, SEPTEMBER 25, 1972
Commissioner
of
Interna} .Revenue
Johnni*
M.
V/a)t»r3
Data
/
J/// (i< y-
i.
/—
.-f-i-^
vV
,^.^^2X-
(357)
27... On March 13, 1973 the President met with Halderaan and Dean.
During the conversation the President and Dean discussed, among other
things, obtaining information from the IRS.
Page
27.1 Tape recording of a conversation among the Presi-
dent, H. R. Kaldenan and John Dean, March 13, 1973,
and House Judiciary Conraittee transcript thereof
(received from White House) , 360
(359)
27.1 TRANSCRIPT OF MARCH IS, 1973 MEETING
TRANSCRIPT PREPARED BY THE IMPEACHMENT INQUIRY
STAFF FOR THE HOUSE JUDICIARY COMMITTEE OF A
RECORDING OF A MEETING AMONG THE PRESIDENT,
JOHN DEAN AND H. R. HALDEMAN ON MARCH 13, 1973,
FROM 12:A2 TO 2:00 P.M.
HALDEMAN:
Say, did you raise the question with the President on,
on, uh, Colson as a consultant?
DEAN:
No, I didn't.
HALDEMAN:
Was that somebody [unintelligible]?
DEAN:
It was — the thought was —
PRESIDENT:
[Unintelligible]
DEAN:
well [unintelligible] it's a consultant without doing
any consulting — Yeah.
HALDEMAN:
He wanted it [unintelligible]
DEAN:
He wants it for continued protection on, uh —
HALDEMAN:
Solely for the purposes of, of executive privilege
protection. So that —
DEAN:
One of those things that's kept down in the personnel
office, and nothing's done on it.
(360)
■ 27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
PRESIDENT: What happens to Chapin?
DEAN: Well, Chapin doesn't have quite the same problems
appearing that Colson will.
HALDEMAN: Yeah but ~ you have the same, you, you have the same
problems as Chapin appearing versus Colson.
PRESIDENT: Well, can't ~ That would be such an obvious fraud to
have both of them as consultants, that that won't work.
I think he's right. Uh, you'd have to leave Chapin —
HALDEMAN: Well, you can't make Chapin a consultant, I — we've
already said he's not,
PRESIDENT: Yeah.
DEAN:
HALDEMAN:
Yeah.
'cause we wanted the separation. The question is, if
he — are, are you then, going to let — As of now, the
way they have interpreted executive privilege, is that
you are not going to let Chapin testify,
PRESIDENT: Anybody.
HALDEMAN:
because it applies to executive privilege but
PRESIDENT: [Unintelligible]
HALDEIMAN: by the former people in relation to matters while they
were here.
-2-
(361)
DEAN:
HALDEMAN:
DEAN:
HALDEMAN:
DEAN:
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
And the problem area is that Chuck. —
That same thing would apply to Colson.
Well, yes, if Chuck were truly going to be doing nothing
from the, this day on.
That's right. He's concerned about what he's doing.
Colson 's concerned about what he's doing from now on, and
he would apply the consulting thing to what, to if he
were called regarding actions taken now
That's right.
HALDEMAN:
DEAN:
PRESIDENT:
DEAN:
HALDEMAN:
DEAN:
that relate to Watergate actions.
Probably 'cause^ because [unintelligible] he will be out
stirring up, you know, uh, counter-news attacks and
things of this nature and —
Jesus Christ. Is he supposed to do that and be consulting
with the President on it?
No, no. But he's consulting, uh, it's a, you know, wide
open consultantship. It doesn't mean he consults with you.
Your idea was just to put this in the drawer, in case
[unintelligible]
Put it in the drawer, and then —
-3-
(362)
27.1 TRANSCRIPT OF MARCH IZ, 1973 MEETING
PRESIDENT:
Not decide it,
HALDEMAN: Uh, it would be a consultant without pay.
DEAN: I'd even tell Chuck that, uh, that, well, just tell
Chuck something,
HALDEMAN: Better not tell Chuck. Chuck's [unintelligible]
DEAN: is, there is something in the drawer. And just say we —
PRESIDENT: There is no reason to tell Chuck is there? Why — I
would, I would tell him that, uh, for — he's not to
say anything, frankly.
HALDEMAN: The point would be to date it back last Saturday, so
it, it's continuous.
DEAN:
Continuous.
PRESIDENT: That, that is his consultant fee stopped, for the present
time, but he's still available for purposes of consulting
on various problems and the like.
DEAN:
Right .
PRESIDENT: Unpaid consultant?
DEAN:
Yes,
[Laughter]
HALDEMAN:
We have some of those.
PRESIDENT: Good ones.
-4-
(363)
27.1 TRANSCRIPT OF MARCH 13, 197 Z MEETING
HALDEMAN;
That's right.
PRESIDENT:
DEAN:
PRESIDENT :
DEAN:
PRESIDENT;
DEAN:
Well, uh — What are the latest developments Bob should
get something on?
Yeah. Uh —
Before going into that uh, uh, I was wondering on that, on that,
[unintelligible] jackassery about some kid who was in-
filtrating peace groups, which of course is perfectly
proper. Christ, I hope they were. I would hope, I would
expect we were heavily infiltrated that way, too.
The only, the only problem there, Mr. President, is that —
Did he get paid?
Uh, he was paid, uh --
PRESIDENT;
DEAN:
PRESIDENT:
By check?
Uh, he was paid by personal check of another person over
there who, in turn, was taking it out of expense money.
Uh, when the ultimate source of the money — as best, as
quickly as we've been able to trace it — was pre-April 7th
money. Uh, there, there could be some potential embarrass-
ment for Ken Reitz, uh, along the way.
Oh. Working for him.
(364)
DEAN:
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
So he is — But I, I, I think it's a confined situation.
Obviously it's something that's going to come up with the
Ervin hearings, but, uh, it's not, not another new
Liddy-Hunt , uh, operation.
PRESIDENT:
Well, it's such a shit-ass way to think.
DEAN:
Oh, it is.
PRESIDENT:
For Christ sake.
DEAN:
It is.
PRESIDENT: I mean, uh, what, what happened to the kid? Did he just,
uh, decide to be a hero?
DEAN:
That's right. He apparently chatted about it around
school, and the word got out, and he got confronted with
it and he knew he'd chatted about it, so there he was.
It's, uh, absurd; it really is. He didn't do anything
illegal. Uh —
PRESIDENT: [Unintelligible]. Apparently you haven't been able to do
anything on my
DEAN:
But I have, sir —
PRESIDENT:
project of take the offensive
DEAN:
No, to the contrary.
-6-
(365)
27.1 TRANSCRIPT OF MARCH 23, 1973 MEETING
PRESIDENT:
based on Sullivan.
DEAN:
No, uh —
PRESIDENT:
Did you kick a few butts around?
DEAN:
Uh, I have all of the information that we have finished —
that we've collected. There is some there, and, uh, I've
turned it over to Baroody. Baroody is having a speech
drafted for Barry Goldwater. And there's enough material
there to make a rather sensational speech just by: "Why
in the hell isn't somebody looking into what happened to
President Nixon when, during his campaign — look at
these events. How do you explain these? Where are the
answers to these questions?" Uh, there's enough of a
thread, I've —
PRESIDENT :
Double standard.
DEAN:
Yeah, and I've, I've pulled all the infonnation —
PRESIDENT: Also, the Senator then should also present it to the,
uh, to the Ervin Committee and demand that that be in-
cluded.
DEAN:
A letter —
PRESIDENT:
He is a Senator,
-7-
(366)
DEAN:
PRESIDENT:
DEAN:
27.1 TRANSCRIPT OF MARCH IS, 1973 MEETING
What I'm working on now
a Senator —
is a letter to Senator Ervin saying, "This has come to
my attention, and why shouldn't, uh, why shouldn't this
be a part of the inquiry?" And he can spring out of '6A
and then quickly to '72. And, and we've got a pretty good
speech, uh, Baroody tells me, if we can get out our
material.
PRESIDENT:
Good.
DEAN:
So it's in the mill.
HALDEMAN:
Good. [Unintelligible] friends have you got [unintelligible]
DEAN:
That's right.
PRESIDENT:
Thank God.
HANDEMAN: Why has there never been [unintelligible] come up and did
it before?
PRESIDENT: Just wasn't enough stuff. They couldn't get anybody to pay
any attention. For example, the investigations were supposed
to have been taken for the thirty-four million-odd contri-
buted to McGovem in small — Oh Christ, there's a lot of
hanky-panky in there, and the records used on it are just
too bad to find out anything.
-8-
(367)
27.1 TRANSCRIPT OF MARCH 13, 1972 MEETING
DEAN: That's one of the problems that he has-
PRESIDENT: That's the problem, and can that be an issue?
DEAN:
PRESIDENT:
That will be an issue. That we have — There is a crew
working that , also .
Do you need any IRS [unintelligible] stuff?
DEAN:
Uh — Not at the
WAITER:
DEAN:
Would you care for some coffee?
No, thank you, I'm fine. Uh, there is no need at this hour
for anything from IRS, and we have a couple of sources over
there that I can go to. I don't have to fool around with
Johnnie Walters or anybody, we can get right in and get
what we need.
PRESIDENT: Talk to Elliot Gompers.
DEAN: I've, I've been preparing the, uh, the answers for the briefing
book and I just raised this with Ron, uh. It's my estimation,
for what it's worth, that probably this week will draw more
Watergate questions than any other week you're likely to see,
uh, given the Gray hearings, the new revelations about —
they're not new, but they're now substantiated — about
Kalmbach and Chapin that have been in the press.
-9-
(368)
PRESIDENT:
27.1 TRANSCRIPT OF MARCH 23, 1973 MEETING
To the effect of what? They —
DEAN:
That Chapln directed Kalmbach to pay Segretti, the
alleged saboteur, somewhere between thirty-five and
forty thousand dollars. Uh, there is an awful lot of
that out in the press now.
PRESIDENT:
Yeah.
DEAN:
There is also the question of Dean appearing, not
appearing — Dean's role. There was more stories in the
Post this morning that are absolutely inaccurate, uh,
about my turning information over to the Re-election
Committee for uh, uh — some woman over there, Mrs. Hoback,
signed an affidavit, gave it to Birch Bayh, said that
I was, uh, brought into Mardian's, Bob Mardian's office
within forty-eight hours after a private interview I had
with the Bureau, and confronted with it. How did they
know that? Well, it came from internal sources over there,
is how they knew it.
PRESIDENT:
From what?
DEAN:
Internal sources — this girl had told others that she
was doing this, and they just told, uh, just quickly
filled her to the top when she was out on her own.
PRESIDENT:
[Unintelligible]
-10-
(369)
DEAN:
27.1 TRANSCRIPT OF MARCH 12, 1973 MEETING
She did. Said we had two or three of those.
PRESIDENT: Why did she do that? Was she mad?
DEAN:
She's a registered Democrat.
PRESIDENT: Why did we take her in?
DEAN: I'll — To this day, I do not understand what she was
doing. And she was —
PRESIDENT: Who was she working for?
DEAN: She worked in Stans' operation.
PRESIDENT: [Unintelligible] that was a bright move.
DEAN:
It wasn't a good move. He had — in fact, that was one
of our problems, was the, uh, the little pocket of women
that worked for Maury Stans. No doubt about it, that was
things would have sailed a lot smoother without that pack.
Not that they had anything that was devastating.
PRESIDENT:
DEAN:
Yeah. Well, now, with regard to the questions, and so
forth, sure, uh, it would be my opinion, though, not to,
not to dodge it just because there are going to be
questions.
Well, it's going to be — You're probably going to get more
-11-
(370)
27.1 TRANSCRIPT OF MARCH 12, 1972 MEETING
questions this week. And the tough questions. And some
of them don't have easy answers. For example, did Haldeman
know that, uh, there was a Don Segrettl out there? That
question Is, is likely.
PRESIDENT:
Did he? I don't know.
DEAN:
He had, he had knowledge that there was somebody In the
field doing prankster-type activities.
PRESIDENT:
Uh huh.
DEAN:
Uh ~
PRESIDENT: So I don't know that. rUnlntelllgible]
DEAN: So at this — I mean that's the other thing —
PRESIDENT: Yes, but what about, what about my taking, uh, basically,
just trying to have to fight this thing at one time. I can
fight it later, but it's not going to get any better. I
don't think that the way to get into this, did he know or
not, I think the thing to say "This is a matter being con-
sidered by a committee and I'm not going to comment upon
it while it's being — I don't want to get into the business
of taking each charge that comes up in the Committee and com-
menting on it. It is being considered by, and it's being
investigated. I'm not going to comment on it."
-12-
(371)
DEAN:
27.1 TRANSCRIPT OF MARCH 12, 197 Z MEETING
Well, that's, that's exactly the way I drafted these. I
have kept them general answers.
PRESIDENT: And I just cut them off. No. If I start getting, I think,
John, if I start breaking down — it's like on the Court
thing — the Watergate stuff, I'm not going to comment on
it. I know all of these questions. "I am not going to
comment on that. That's a matter for the Committee to
determine." Then, I'll repeat the fact that I, as far as
the Watergate matter is concerned, there was no knowledge
there, I am not going to comment on anything else. Let
the Committee find out. What would you say? You don't
agree?
DEAN:
Well, uh, the bottom line, on, on a draft that — before
I came over for [laughs] lunch — was, well, if you have
nothing to hide, Mr. President, here at the White House,
why aren't you willing to spread on the record everything
you know about it? Why doesn't the Dean Report be made
public? Why doesn't everyone come out? Why does Ziegler
stand out there and bob and weave, and no-comment? That's,
that's the bottom line.
PRESIDENT:
Well, all right. What do you say to that?
DEAN:
Well —
-13-
(372)
27. 1 TTRAT^RCRTPT OF MARCH IS. 1973 MEETING
PRESIDENT: You — we are furnishing information. We will do something.
DEAN:
I think we — well, of course, we have
PRESIDENT: We have cooperated.
DEAN: We have cooperated with the FBI in the investigation of the
Watergate.
PRESIDENT: That's right.
DEAN:
PRESIDENT;
DEAN:
PRESIDENT:
DEAN:
We will cooperate with the investigation of, a proper in-
vestigation by the Senate.
Right. We will make statements.
And, indeed, we have nothing to hide.
We have furnished information; we have nothing to hide. So
we have [unintelligible] have to handle it.
Uh huh.
PRESIDENT: What else can we do, really. I mean, we can't — you
see, I can't be in the position of basically hunkering
down because we got a lot of tough questions on Watergate,
and not go out
DEAN:
True.
-14-
(373)
27.1 TRANSCRIPT OF MARCH IZ, 1972 MEETING
PRESIDENT: and, and talk on other issues because they're going to be,
they're embarrassing. It's not going to get better.
It's going to get worse. Do you agree?
DEAN:
PRESIDENT:
That's — I would agree. I think it's cyclic somewhat. I
think after the Gray thing takes one course one way or the
other, there'll be a dead period of news on Watergate until
the Ervin hearings start again.
Yeah.
DEAN: Uh, this has obviously sparked the news again.
PRESIDENT: Well, let me just, just run over the questions again. Now,
isn't it best, "What about Mr. Haldeman, Mr. Segretti, and
so forth." "That's a matter which is being considered by a
Senate committee; I'm not going to comment on it." That's
true, isn't it?
DEAN: That's correct. That's specifically
PRESIDENT: [Unintelligible]
DEAN: spelled out in their resolution that they will —
PRESIDENT: I am not going to comment on that one [unintelligible] being
considered by a committee. [Unintelligible] as I have
already indicated. Uh, I am just not going to comment on
it. You already indicated my views on the Watergate thing.
-15-
(374)
. 27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
DEAN: Did Mr. Chapin's departure have something to do with his
involvement with Segretti?
PRESIDENT: No. The answer's "No." And, uh , "But what about, uh,
what about Mr. Dean?" My position is the same: "We are
going to be — We were — We've been cooperative. We
cooperated with the Justice Department, with the FBI —
coii5)letely — in trying to, in furnishing information that
was relevant in this matter. We will cooperate with the
Committee under the rules that I have laid out in my st —
my statement on executive privilege." Period. Now what
else? Let's see.
DEAN:
PRESIDENT:
Well, then, you'll get a barrage of questions probably on,
will you supply, will Mr. Haldeman and Mr. Ehrlichman and
Mr. Dean go up to the Committee and testify?
No. Absolutely not.
DEAN:
Mr. Colson.
PRESIDENT:
No. No.
DEAN:
I think that's —
PRESIDENT: No. Absolutely not. I — No. It isn't a question of,
the question is not — under what, uh, or somebody, or
Ziegler, or somebody had said that, uh, that we, we in
our executive privilege statement it was interpreted as
-16-
(375)
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
being that we would not furnish information. Oh, well.
We said we will furnish information, but we're not going
to publicly testify. That's the position. But, will
Dean, and all the rest, will they furnish, you'll furnish
information, won't you?
DEAN:
Yes. Indeed I will.
PRESIDENT:
Yeah. Sure.
DEAN:
Well, I think possibly by the time
PRESIDENT: See, that's what I do. My feeling, John, is that I better
hit it now, frankly, as tough as it is, and, uh, rather
than just let it build up to where we, we're afraid of
these questions and everybody and so forth, and let
Ziegler get out there and bob and weave around. I know
the easier thing is just to bug out, but I'd rather hit
it now.
DEAN:
You're right. I was afraid for the sake of debate, 'cause
I was having reservations. And, uh.
PRESIDENT:
I think so.
DEAN:
uh, it is a, it, it's a bullet-biter and you just got to
do it, and, because they're not going to go away, the
questions. Now the other thing that we talked about in
-17-
(376)
27.1 TRANSCRIPT OF MARCH IS, 1973 MEETING
the past, 2ind I, I still have the same problem, is to
have sort of a "Well, here It all is" approach. Uh, if
we do that —
PRESIDENT: And let it all hang out.
DEAN:
And let it all hang out, uh.
PRESIDENT: Yeah.
DEAN:
uh, let's say with the Segretti situation —
PRESIDENT: I guess, I guess if we were going to do that, we have
passed that point.
DEAN:
PRESIDENT:
DEAN:
We have passed that point plus the fact, they're not going
to believe the truth. That's the incredible thing.
They won't believe the truth, they don't even believe
when they convicted seven people.
That's right. They will continually try to say that there
is [unintelligible] •
PRESIDENT: They'll say, "Halderaan did it." And then they'll say I
did it.
DEAN:
That's right.
-18-
(377)
27.1 TRANSCRIPT OF MARCH 12, 197 Z MEETING
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
I don't think they'll get to that point. They might
question his political savvy, but not mine. Not on a
matter like that.
[Laughs]. No. Well, the thing on Sullivan which I have,
Sullivan, uh, who as I told you, and, have been prompting
him and I said, "Bill, I would like, for my own use, to
have a list of some of the horribles that you're aware
of." Well, he hasn't responded back to me, but he sent me
a note yesterday saying that, "John, I am willing at any
time to testify to what 1 know if you want me to." What
he has, as we already know, has got a certain degree of, uh
— it's a, it's a dynamite situation what he's got already —
the '68 bugging, the surveillance that Goldwater [unintelligible]
It's not — we [unintelligible] on the '68 bugging, that it was
ordered, but he doesn't know whether it was carried out.
That's right. Uh —
But at least he will say that —
Yes.
Tell them, for example, I mean I —
I would think —
That kind of thing.
Well, I've never talked to Bill about this so it must be —
-19-
(378)
J
27.1 TRANSCRIPT OF MARCH IS, 1973 MEETING
I've never really gone Into detail, because he's always been
very up close about it, but he is now getting to the point if, if
we wanted him to do this, someone — and I don't think the
White House should do it — should sit down with him and really
take him over cross-examination of what he does know and, and
how strong it is, what he can, can substantiate.
PRESIDENT: John, who the hell could do it if you don't?
DEAN: Well, that's, that's probably — there's no one. That's the,
uh ~
PRESIDENT: That's the problem.
DEAN: That's the problem. Now, the other thing is, if we were going
to use a tactic like this: Let's say in the Gray hearings
PRESIDENT :
[Unintelligible]
DEAN:
where everything is cast that, that we're, we're, that we're
the political people and they're not — that Hoover was above
reproach, which is just not accurate.
PRESIDENT:
Bull shit. Bull shit.
DEAN:
Total bull shit. The, uh, the person who could, would destroy
Hoover's image is going to be this man. Bill Sullivan. Uh,
that's what's at stake there. Also, it's going to tarnish
quite severely, uh —
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27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
PRESIDENT:
Some of the FBI.
DEAN:
some of the FBI. And a former President.
PRESIDENT;
Fine.
DEAN:
Uh, he's going to lay it out, and he, it's just all hell is
going to break loose once he does it. It's going to change
the atmosphere of the Gray hearings. It's going to change
the whole atmosphere of the Watergate hearings .
PRESIDENT:
Not much.
DEAN:
Now the risk —
PRESIDENT: How will it change, John?
DEAN:
How will it change? Because it'll put them in context that,
that, uh, a government institute was used in the past for
the most flagrant political purposes.
PRESIDENT:
How does that help us?
DEAN:
How does it help us?
PRESIDENT:
I'm being, I'm just being —
DEAN:
Yeah, I, I appreciate what you are doing.
PRESIDENT:
Red herring. Is that what you mean?
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DEAN:
27.1 TRANSCRIPT OF MARCH IS, 1973 MEETING
Yes. It's a, it's a red herring. It's what the public
already believes. It's just that people would just, I
would say react, that, oh Christ, more of that stuff.
Uh, they're all, you know, they're all bad down there.
Because it's a one way street right now —
PRESIDENT: [Unintelligible]
DEAN:
Pardon.
PRESIDENT:
Do you think the press would use it? They may not play it.
DEAN:
It'd be difficult not to. Uh, it'd be difficult not to.
PRESIDENT:
Why is it that Sullivan'd be willing to do this?
DEAN:
I think the, the quid pro quo with Sullivan is that he wants
someday back in the Bureau very badly.
PRESIDENT:
That's easy.
DEAN:
That's right.
PRESIDENT: Do you think after he did this to the Bureau that they'd
want him back? "They," if there is a "they."
DEAN:
Uh, probably not. But I think that, uh, he could also
possibly do — What, what Bill Sullivan's desire in life
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. 27.1 TRANSCRIPT OF MARCH IZ, 1975 MEETING
Is, is to set up a national, or domestic national security
intelligence system, a plan, a program. He says we're
deficient. Uh, we've never been ef — , efficient, since Hoover
lost his guts several years ago. If you recall, he and
Tom Huston worked on it. Uh, Tom Huston had your instruction
to go out and do it. Then the whole thing just crumbled.
PRESIDENT: Do you think Hoover would have cooperated?
DEAN: That's all Sullivan really wants. Even if we just put
him off studying it for a couple of years, we could put
him out in the CIA or some place else where he felt —
PRESIDENT: Put him there; we'll do it.
DEAN: I think that's what the answer is. I've never really —
PRESIDENT: No problem with Sullivan, We'll put him — I mean,
he's a valuable man. Uh, now, would the FBI then turn
on him, piss on him?
DEAN:
There would be some effort at that. That's right, they
would say he's disgruntled. He was canned by Hoover. He
is angry, he's coming back. But that would kind of, I
would think a lot of that would be lost in the, uh, in
the shuffle of what he is laying out. I don't know if
he's given me his best yet. I don't know if he's got more
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. - 9.7. 7 TmNf^nT^TPT OF MAJ^CT^ U. 1973 MEETING
ammunition than [unintelligible] he has already told me.
Those were just a couple off-the-cuff remarks.
PRESIDENT: And that's why you said that — Why do you think he is
now telling you this? Why is he doing this now?
DEAN: Well, the way it came out is, when I, when the Time
Magazine article broke on the fact that it charged that
the White House had directed that newsmen and White
House staff people be, uh, subject to some sort of
surveillance for national security reasons, I called,
in tracking down what had happened, I called Sullivan
and I said, "Bill, you'd better come over and talk
to me about that and tell me what you know." I was
calling him to really determine if he was a leak. That's one
of the reasons. I was curious to know where this might
have come from because he was the operative man at the
Bureau at the time. He's the one who did it. Uh, he would
not, you know, he came over and he was shocked and, uh,
distraught, and, and the like [unintelligible] his own,
uh, uh, his own [unintelligible] [laughs] frankly, uh,
and then, and after going through his explanation of all
what had happened, he started volunteering this other
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27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
thing. He said, "John, what, this is the only thing I
can think of during this Administration that has any taint
of political use but it doesn't really bother me 'cause
it was a national security purpose. These people worked —
there was sensitive material that was getting out, was
getting out to reporters."
PRESIDENT:
[Unintelligible] What we ordered?
DEAN:
That's right.
PRESIDENT: Of course, [unintelligible] the stuff was involved in the
God damned Vietnam War.
DEAN;
That's right.
PRESIDENT:
That's what it was.
NOTE;
At this point, a portion of the discussion has been
deleted.
DEAN:
But he said, "John, what does bother me is that you all
have been portrayed as politically using — "
PRESIDENT:
And we never did.
DEAN:
And we never have. He said the Eisenhower Administration
didn't either. The only
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27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
PRESIDENT:
Never.
DEAN:
times that he can recall that there has been a real
political use has been during Democratic tenure. I said,
"For example, Bill, what are you talking about?" Then
he told me this example of, of, uh , the Walter Jenkins
affair, when DeLoach
PRESIDENT:
Yeah.
DEAN;
and, and Fortas, and
PRESIDENT
and DEAN:
[Unintelligible]
PRESIDENT: The Kennedys, the Kennedys used it, let me say, politically
on that steel thing.
DEAN:
That's right.
PRESIDENT:
That was not, that was not a national security, was it?
DEAN:
No. Now I asked, uh, I asked somebody about that and they
told me that what happened there is that, uh — they were
being defensive of Kennedy, and so that the person who would
defend Kennedy necessarily — was saying that Kennedy had
given Hoover orders and Hoover, being typical in his
response, tried to get it yesterday as far as the answer
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27.1 TRANSCRIPT OF MARCH 15, 1973 MEETING
for the President. And that's why he sent people out in
the middle of the night and the blame really fell on
Hoover. And, and this might be Iimintelligible] over
there though, who knows.
PRESIDENT: [Unintelligible]
DEAN:
PRESIDENT:
DEAN:
Well, that's right.
It's still wrong.
That's right. Sure.
PRESIDENT: Good God. Can you imagine if somebody — steel company that
had raised hell about, uh, or an automobile company, about,
something, silly thing, Ruckelshaus does, and we send FBI
agents out to arrest? Jesus Christ, now. Does he know
about the bugging of Martin Luther King?
DEAN: Yep.
PRESIDENT: I wonder if he'd tell that, that would be good.
DEAN;
I think he would tell everything he knows .
PRESIDENT:
You do?
DEAN:
Uh huh. That's why I'm saying he is, he is, he is a
trem — he's a bomb, Uh, now the fact is —
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27.1 TRANSCRIPT OF MARCH 13. 1973 MEETING
PRESIDENT: You really have to keep telling —
DEAN:
Well, if that's, that's the, the real problem is, how
it's structured, how can it be done. Uh, he sent me this
note and I called up and I said, "Bill, I appreciate
getting that note very much." I said, "It takes a lot
of guts to send a note like that to me." And he said — I
said, "It's kind of a pleasure to see a man stand up,
blowing a little smoke up him and the like." Uh, he said,
"Well, John, I mean it. I am perfectly willing to do
anything you want. If you want me to go up and testify,
I will." I said, "Well, how much, you have just given me
some tidbits that you, in our conversation and I would
really like to again repeat: Can you put together what
you do know; just for your own use right now, just put it
together on a pad, go through all your recollections; and then
also tell me how you can substantiate it, and, what kind
of cross-examination you might be subject to on it if you
did testify." So he is doing that. Now, the question
I've, I've had is, how in the world can we program some-
thing like this? The, wa — I, I just have a feeling that it
would be bad for one Bill Sullivan to quietly appear up on,
uh, on some Senator's doorstep, and say, "I've got some
information you ought to have." "Well, where did you get
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ZZ^_jmES£EmLnF Wff^ff 7?, 1^7^ mSTING
it? Where — why are you up here?" "The White House
sent me." That would be bad. The other thing is, maybe
this information could be brought to the attention of the
White House, and the White House could say to the, uh, to,
uh, Eastland, "I think you ought to call an executive
session and hear his testimony. This is quite troublesome,
the information that has been presented to us. It's so
troublesome, we can't hold it here and hope to, uh, and
rest comfortable."
PRESIDENT: Why, why on the other hand doesn't he just present it to Eastlanri?
I mean, uh — Why executive session? That doesn't serve —
DEAN:
Well it would, one, because you're trying — The first
approach would be not to destroy the Bureau, not to tarnish
the name. It's going to leak out of there, though, quite
obviously. If it doesn't, we'd make sure it did. Uh — [coughs]
If, if, uh, Sullivan went up to Eastland cold and just said,
or Hruska, I would think they would say, "Go on back down
to the Department of Justice where you work, and let's not
start all this."
PRESIDENT: Suppose another thing, Patrick Gray says to either Eastland
or to, or to Hruska or anybody on that Committee — Who is
the tiger on the Committee on our side, on the Committee, the
Judiciary Committee?
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27.1 TRANSCRIPT OF MARCH U, 197 Z MEETING
DEAN:
Cook's —
PRESIDENT:
[Unintelligible]
DEAN:
Gumey, Gurney has been good. Gumey was good during the
ITT hearings, and he — he'll study, he'll get prepared.
Uh ~
PRESIDENT: But, would he go after the Bureau? [Unintelligible]
DEAN: They're not going after the Bureau. What they are doing
is, they're taking the testimony of somebody who is going
after the Bureau.
PRESIDENT:
Yeah. I know that. I'm just thinking of the
DEAN:
Yeah.
PRESIDENT:
DEAN:
They all look down the road and see what would be the
result of what they are doing is, won't they? I would
think so. I mean, I'm just trying, how — Would they go
after Johnson? Let's look at the distant future. Uh, look
at the — How bad would it hurt the country, John, to have the
FBI so terribly discredited? [Unintelligible]
[Unintelligible] I've, I've, kicked this around with Dick
Moore, these, these broader questions, and, I think it
would be damaging to the FBI, uh, but maybe it's time to
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27.1 TRANSCRIPT OF MARCH IZ, 197 Z MEETING
shake the FBI and rebuild it.
PRESIDENT: [Unintelligible]
DEAN: I'm not so sure the FBI is everything it's cracked up to
be. I, I'm convinced the FBI isn't everything the public
thinks it is.
PRESIDENT:
No.
DEAN:
I know quite well it isn't.
PRESIDENT: [Unintelligible] if you could get, uh, Jerry Wilson in
there rather than a political appointee. What is your
feeling at the moment about Gray? Can he hang in?
Should he? I don't know.
DEAN:
Uh —
PRESIDENT: Awfully close.
DEAN: I — they're going to vote this — They have an executive
session this afternoon to invite me to testify.
PRESIDENT:
Sure.
DEAN:
Uh, there's no question, they're going to invite me. Uh,
I would say, based on how I handle the: (1) the formal
letter that comes out of the Committee asking for informa-
tion, and I programmed that they do get specific, just
-31-
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27.1 TRANSCRIPT OP MARCH 13, 1973 MEETING
what in the hell do they want to know that I've got, and
lay it out in the letter that's sent down here asking me
to appear so I can be responsive, fully —
PRESIDENT:
Respond to the letter.
DEAN:
Respond to the letter In full. I think I have, I feel I
have nothing to hide, as far as, uh, the issue they've
raised.
PRESIDENT:
Would you respond under oath?
DEAN:
PRESIDENT:
DEAN:
I think I would be willing to, yes.
That's what I'd say because that's what I am preparing in
the press thing. I'll say you'll respond under oath in a
letter. You will not appear in a formal session.
That's, that's our present position.
PRESIDENT: What if they say, what if they say, "Would he be willing
to be questioned under oath?"
DEAN:
That's not what the question is. Yes, I'd be willing to
be questioned under oath, but we're not going up.
PRESIDENT :
No, no. But here?
DEAN:
Oh. I think that would be a hell of a bad precedent.
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27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
PRESIDENT: Okay. I just wanted to be sure we don't cross that bridge.
I agree. You — but you would respond to written inter-
rogatories.
DEAN:
That's right.
PRESIDENT:
That's it. Okay.
DEAN:
Now, uh, after, after that, if we've been responsive, their
argument for holding up Gray's confirmation based on me is,
should be gone. Sure, they're going to say it raises more
questions than it answers, but if we're — but that can go
on forever. We've taken the central points they want
answers to, given them the responses, that puts something in
Eastland's hand that can say, "All right, it's time, it's
time to vote." And Eastland says he's got the votes to
get Gray through. Now, but what happens on the Senate
Floor is something else, 'cause Byrd is opposing Gray.
Byrd's got good control of that Southern bloc.
PRESIDENT:
Not totally.
DEAN:
No.
PRESIDENT: Byrd is running for leader of the whole Senate. A lot of
them may desert him on this.
DEAN:
But Mansfield, on the other hand, of course, has come out
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27.1 TRANSCRIPT OF MARCH IZ, 1973 MEETING
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
and said that he favors, initially he supported Gray's, uh ,
confirmation.
My feeling is that they would like [unintelligible], I think
that they'd like to have a, an excuse not to do it. Maybe
they'll use, not you, but all this crap about hearings
[unintelligible]
Well if they say, if they say they have to hold up Gray's
confirmation until the Watergate hearings are completed —
Oh — That's great.
That's the vehicle —
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
The best of both worlds for us, John,
That's right.
because Gray, in my opinion, should not be the head of the
FBI. Not because of any character or other flaws or
thoughtless flaws, but because he is going to be too much
like Kleindienst. After going through the hell of the
hearing, he will not be a good Director, as far as we're
concerned.
I think that's probably true. He'll be a, he'll be a very
suspect Director. Not that I don't think Pat won't do
what we want. I, I read him a little differently than
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27.1 TRANSCRIPT OF MARCH 13, 1972 MEETING
PRESIDENT:
Dick in that regard. Like he's still keeping close touch
with me. He's calling me. He's given me his private
line. We talk at night, just how do you want me to handle
this, so and so forth. So he still plays, playing in
tight, and still being involved. But I think he —
But he couldn't do it.
DEAN:
But he can't do it. He's under, he's going to be under
such surveillance by his own people — watch every move
he's making — uh, that'll be the difficult thing for Pat.
Not that Pat wouldn't want to still play ball, but he may
not be able to.
PEESIDENT:
I agree. That's what I meant.
DEAN:
Pat has already gotten himself, himself, in a situation
where he's got this Mark Felt as his number two man.
These other people are surrounding him. If you put a guy
like Jerry Wilson in there he could just, you know, wipe
this, and say, "Gentlemen, I'm putting my own team in, and
I'm going to bring people in I've met around the country
who are good office directors; Sacks out of Chicago,"
wherever, and just put his own team t6gether for the, for
the Headquarter's Office.
PRESIDENT:
So where do you come out?
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27.2 TRANSCRIPT OF MARCH 23,^973 MEETING
DEAN: Gray's already been locked into, to major personnel
decisions, I wouldn't be surprised to see [unintelligible]
occur if they say that they cannot go forward with Gray's
hearings because of the Watergate.
PRESIDENT: Where would that be done, John, at what point in the Com-
mittee or on the Floor or both?
DEAN:
PRESIDENT:
DEAN:
PRESIDENT;
DEAN:
It could happen. It would certainly be voted on first in
the, uh, uh, in the Committee, in the Judiciary Committee.
[Unintelligible]
The question is, then, whether, uh, it'll be put on the
calendar by the leadership. I assume that that's —
The leadership might determine that we will not put it on
the calendar until after the Watergate hearings.
That's right.
PRESIDENT: Then we could then. Gray could then come in and say
I will not wait that long.
DEAN: And they'll — when they — you're — "This, you're,
this is damaging to the leadership of the FBI, and I will
have to withdraw based on this." What would be nice for
all would be to get Gray voted out of the Committee
PRESIDENT:
Yeah.
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27.1 TRANSCRIPT OF MARCH 13. 1973 MEETING
DEAN: with a, with a positive vote, uh, enough to get him out
of Comn.ittee, and then lock him at limbo there.
PRESIDENT: What is Moore's judgment about Sullivan? Does he know?
DEAN: Yeah, he's, uh, uh, he says it's a piece of dynamite. He
says it depends and we both agree, that it, it — the
way it would be done would be a secret, whether it was
done. Whether — this isn't the sort of thing we could
just leap out and do. Have to be very carefully thought
through. Have to be — have to decide in advance should
the White House not be involved or should we be Involved?
If we're going to play with it, we are going to probably
have to say that we were Involved and structure it In a way
that there is nothing improper with our involvement.
PRESIDENT: The difficulty with the White House being involved is
that if we are involved in pissing on Johnson, [unintel-
ligible] that concerns me.
DEAN: That's right.
PRESIDENT: That's why it really ought to be, I mean — If he could
just —
DEAN: I suppose the answer is saying, to, to have him — to
say to him —
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27,1 TRANSCRIPT OF MARCH IS, 19 7 Z MEETING
PRESIDENT:
[Unintelligible]
DEAN:
You've got, you know, this is something — "What you've, you've
intimated a few things to me, uh. The proper place to take
that information is to the Senate Judiciary Committee or to
the Attorney General, possibly." And then have
Dick take it to the Committee. Or is that too close to the
President, still?
PRESIDENT: First hand, if he takes it to the Committee, it's better
if the Committee's conducting a hearing. [Unintelligible]
Wait a minute, he works for the Attorney General, doesn't
he.
DEAN:
That's right. If he takes it to Klelndienst, Klelndienst
is going to say, "Bill, just don't do it because you are
going to take DeLoach's name down with it, and DeLoach is
a friend of ours."
PRESIDENT:
Bull shit.
DEAN:
Something I have always questioned.
PRESIDENT: Nobody is a friend of ours. Let's face it. Don't worry
about that sort of thing.
DEAN:
Well, it's something I will, uh, I think I ought to
[unintelligible] kick around with Dick Moore, 'cause
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27.1 TRANSCRIPT OF MARCE IS. 1973 MEETING
PRESIDENT:
Yeah.
DEAN:
But first of all, I've got to, uh, just have to be
thought through every inch of the way. It came here
PRESIDENT:
Sure.
DEAN:
late yesterday afternoon.
PRESIDENT:
Sure.
DEAN:
It was not — Bob said, uh, when I talked to him, he
said he was quite excited about it, as Ehrlichman said,
gave a very favorable "Uh huh." Uh, and I said, "Well,
I'm not going to rush anything on this. It's — We've
a little bomb here that we might want to drop at one"
PRESIDENT: Yeah.
DEAN: "point down the road."
PRESIDENT:
Yeah, yeah.
DEAN:
Maybe, maybe the forum to do it is something totally out
of the Committee context between the Gray confirmation
hearings and the Watergate hearings. Maybe let him go
over to U. S. News , or, who knows what it would be, but
we ought to consider every option, now that we've got it,
and see if —
-39-
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27.1 TRANSCRIPT OF MARCH 13, 197 Z MEETING
PRESIDENT: Rather than doing it in a hearing, doing it m tne press.
Then that will force the hearing to call him. That's
another way you can do on this. Have him be selected to
DEAN:
Give an interview.
PRESIDENT:
DEAN:
to give an interview. I would do it in U^ S. News. Do it in
[unintelligible] wire service guy or something. A
respected damn reporter. Why not go to a jackass like
Mollenhoff? No, he's too close to us.
Well, that's interesting. Now, Mollenhoff is, is close
but by God, you can't program Mollenhoff to do anything.
PRESIDENT:
No.
DEAN:
And if, uh —
PRESIDENT: No. And also, we are in a position on Mollenhoff, who's
been fighting us some, that maybe, maybe Mollenhoff would
be a pretty good prospect for this thing because it's the
kind of a story he loves, he digs on some. You couldn't
tell him, however, uh [unintelligible] story part. Or
Sullivan just goes to talk to him, says, "Well, now, hell,
you're a hell of a, hell of a guy, and, uh, I just
want to tell you a few things."
-40-
(399)
27.1 TEANSCRJFT OF MARCH 13, 1972 MEETING
DEAN:
Or, can you call Clark and say — can I call Clark and
say, "Listen, Clark, a guy has brought me a piece of
dynamite I don't even want in the White House?"
PRESIDENT:
He will write that, though, won't he?
DEAN:
Yeah. Because that'd look like that's a set-up deal.
Well, Clark Mollenhoff is the first guy to uncover
PRESIDENT:
Yeah.
DEAN:
[unintelligible] anything, and he will say no way.
PRESIDENT:
But he's willing to do it,
DEAN:
Uh huh.
PRESIDENT:
That's very important, at least.
DEAN:
Uh huh.
PRESIDENT: Broadens the scope. Getting to the bottom of the whole
thing, don't you feel that that's the need here is to
broaden the scope of the damned thing, instead of —
DEAN:
The focus is right on us. That's the problem.
PRESIDENT:
Yeah. Nothing on the Democrats, and nothing,
DEAN:
Nothing.
PRESIDENT: nothing on what the previous three Administrations did.
-41-
{'U)0\
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
DEAN: Nothing. It's making,
PRESIDENT: Yeah.
DEAN: well, it, it — of course it's still a Washington
story. You go out of this city
PRESIDENT: I know.
DEAN: and you can't find anybody that even knows what's happening.
Although it's increased in the network coverage. That NBC
thing last night, which is just a travesty as far as —
the very thing Ron was talking about, about shabby journa-
lism. They took the worst edited clips they could, out of
context, to respond to things they would say on the lead
and they would have a little clip of Ron saying, "Well,
I deny that." And he was denying something totally other
than what they were talking about in their charge. It
was incredible. Someone is going through and putting that
all together right now, and, Ron ought to be able to have
a field day back with that one on NBC. It was just ver — ,
it was very, very dishonest television reporting of a
sequence of events. It was out of sequence.
PRESIDENT: Well, you see, John — Yeah. I know the situation.
Ervin gets up there and, you know, gassing around, he was
huffing and puffing about his being a great Constitutional
lawyer and all. I guess it just makes us wonder about our first
decision, doesn't it, [unintelligible] about sending
Gray up. Probably a mistake, but then, we didn't anticipate —
-42-
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27.2 TRANSCRIPT OF MARCH 13, 197 Z MEETING
DEAN:
Well ~
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
Or you think not. Who knows?
Who knows? That's right. Uh, if you didn't send him up,
why didn't you send him up. Because he was —
Right. I know. That's what they —
That's true.
That's what they — You send somebody else up
to take them on, not a big clown. You know what I mean?
Yeah.
PRESIDENT: I won't even announce any [unintelligible]. I think the
problem is, the reason that the Senate was not [unintel-
ligible] being reasonable was because [unintelligible]
a lot of this stuff hanging out there [unintelligible] Ervin
Committee,
DEAN:
PRESIDENT:
Well, we, you know, one, one thing is that I, the
saturation level of the American people on this story is
[laughs] depressing. Pretty close — in fact [laughs]
the saturation level in this city is getting pretty high
now. They can't take too much more of this stuff.
Think not?
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27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
DEAN;
Nothing, nothing really new is coming out.
PRESIDENT: Some kid, they said— I don't think that anybody, in-
cidentally, will care about somebody infiltrating the
peace movement that was demonstrating against the President,
particularly on the war in Vietnam. Do you think so?
DEAN:
No.
PRESIDENT: Anyway, I don't care about that. What happened to this
Texas guy that ^ok his m®ney back? Was he —
DEAN:
All hell broke loose for him after. This was Allen.
PRESIDENT:
No, no. Allen — yeah.
DEAN:
PRESIDENT:
Allen, not Duncan, there were two
Nothing to do [unintelligible] .
DEAN:
[Dnintelligible], All hell broke loose for Allen for this
reason: He, uh, uh — The money apparently originally
came out of a subsidiary of one of Allen's corporations
down in Mexico. It went to a lawyer in Mexico who put
it down as a fee billed to the subsidiary. Then the, then
the lawyer, the Mexican lawyer, sent it back into the
States, and it came back up here. But, the weakness of
-44-
(403)
27.1 TRANSCRIPT OP MARCH 13, 1973 MEETING
it is, is, uh, the Mexican lawyer: (1) didn't have a
legitimate fee; (2) it could be corporate contribution.
So Allen wanted, and Allen had personally put a note up
with the corporation to cover it. But Allen is meanwhile
having problems with his wife, and a divorce is pending,
and tax problems. So he —
PRESIDENT: [Unintelligible], The only problem I saw there was where you
put it off — lay it off — [unintelligible] the fact that
it was being used for Watergate.
DEAN:
That's — I don't know why that went in the letter. I,
uh — it wasn't used for the Watergate. That's the, that's
the interesting thing.
PRESIDENT:
It wasn't?
DEAN:
No. It was not. What happened is these Mexican checks
came in. They were given to Gordon Liddy, who said,
"What do we — why don't you get these cashed?" Gordon
Liddy, in turn, took them down to this fellow, Barker,
in Florida, and said, "Would you cash these Mexican checks."
Uh, and so that's how they went through Barker's bank
account back in here. They could have been just as easily
cashed at the Riggs Bank. There was nothing wrong [laughs]
with the checks. Why all that rigamarole? It's just like
-45-
27.1 WANSCPIFT OF MAR rP 1Z^ 1973 MEETING
a lot of other things that happened over there. God knows
why it was all done. It was totally unnecessary, and it
was money that was not directly involved in the Watergate.
It wasn't a, a wash operation to, to get money back in to
Liddy, and the like.
PRESIDENT:
Who is going to be the worst witness up there?
DEAN:
Sloan.
PRESIDENT:
Unforttmate.
DEAN:
Without a doubt. He's —
PRESIDENT:
He's scared?
DEAN:
He's scared. He's weak. He has a, uh, a compulsion to,
uh, cleanse his soul by confession. Now, we're, he's
going, we're giving him a lot of stroking, uh, telling
him you're doing a beautiful job. The funny thing is,
this fellow goes down to the Court House here before
Sirica, testifies [laughs] as honestly as he can testify,
and Sirica looks around and calls him a liar. [Laughs] He's
a sad — Sloan can't win. So Kalmbach has been dealing
with Sloan. Sloan [unintelligible] as a child. Kalmbach
has done a lot of that. The person that will have the greatest
problem with — as a result of Sloan's testimony is Kalmbach
-46-
(405)
27.1 TRANSCEIPT OF MARCH IZ, 2972 MEETING
and Stans. So they're working closely with him to make
sure that he settles down.
PRESIDENT: Kalmbach will be a good witness.
DEAN: Oh yes.
PRESIDENT: Knowing what Kalmbach has been through.
DEAN: Kalmbach has borne up very well. In fact, I decided he
may be —
PRESIDENT: Kalmbach, Kalmbach, of course, this is somewhat
embarrassing, he is, they say, lawyer for the President.
Well, hell, I don't need a lawyer. He handles that, that
property out there.
DEAN: He's sensitive on that point. He, uh, over — he saw a
briefing, uh, saw a transcript of a, of a briefing where
Ron was saying, "Well, he's really not, that's not the
right nomenclature, this 'personal attorney'." Herb said,
"Well, gee whiz. I don't know if Ron knows what all I
do." And I said, "Herb, well, don't worry about it."
PRESIDENT: Well, what I meant is that this — I don't care about that,
but I meant, it's just the fact that it's played that way,
as if he's in, that I am, he's in talking to me all the
time. I don't ask him [unintelligible]
-A7-
(406)
27.1 TRANSCRIPT OF MARCH IZ, 197 Z MEETING
DEAN:
I know tha t .
PRESIDENT:
DEAN:
PRESIDENT :
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
I don't talk to him about anything. I mean, I don't know,
I see Herb once a year when he brings the income tax
returns.
That's right.
I'm sure that he, he handles that San Clements property and
all the rest, but he's, he isn't a lawyer in the sense that
most people have a lawyer.
No, no. Although he didn't even handle the estate plan,
he's done some, you know, dove-tailing on it, like —
Well, but an5nway, we don't want to back off of him.
No. Anyway he's solid. He's solid.
He will, uh, how does he tell a story when he gets,
[unintelligible]? He's got a pretty hard row to hoe, he
and Stans have.
He'll be good. He's going over every — Herb is the kind
of guy who will check, not once, not twice, on his story,
not three times, but probably fifty to a hundred times.
Literally. He will go over it. He will know it. There
won't be a hole in it. He'll have thought it — he, he'll
do his own Q. and A. He'll be — have people cross-examine
him from ten ways.
-48-
(407)
27.1 TRANSCRIPT OF MARCH 13. 1973 MEETING
PRESIDENT:
Good.
DEAN:
He will be ready, as John Mitchell will be ready, as
Maury Stans will be ready.
PRESIDENT:
Yeah.
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
Uh, it's, uh —
Mitchell is now studying, is he?
He is studying. Sloan will be the worst witness. I think
Magruder will be a good witness. This fellow, Bart Porter,
will be a good witness. They've already been through it,
they'^ve been through Qrand Jury. They have been through
trial. Uh, they did well. [Coughs] And then, of course,
people around here
I [unintelligible]
won't be witnesses.
PRESIDENT: They won't be witnesses.
DEAN: Won't be witnesses.
PRESIDENT: Hell, no. They will make statements. That's — That'll be
the line which I think we've got to get across to Ziegler,
in all of his briefings where he is constantly saying we
-49-
(408)
DEAN:
27.1 TRANSCRIPT OF MARCH IS, 1972 MEETING
will furnish Information. That is not the question. It
is how it's to be furnished, and we will not furnish it
in a formal session. That would be to break down the
privilege. Period. Do you agree with that?
I agree. I agree. I have always thought that's the bottom
line, and I think that's the good thing about what's
happening in the Gray hearings right now. If we, they
send a letter down with specific questions, I send back
written interrogatories, sworn. You know as a, as a
lawyer, that, uh, you can handle written interrog — , inter-
rogatories, where cross-examination is another ball game.
PRESIDENT:
DEAN:
I know.
They can — you can make a person look like they're in-
accurate even if they're, even if they are trying to tell
the truth.
PRESIDENT: "Well now, really, you sh~ , you can't mean that." You know,
uh, I know — All their face-making and all that crap. I
know; [unintelligible]. Written interrogatories you can —
DEAN: Can be artfully, accurately answered and give the full
information.
PRESIDENT: [Unintelligible] that there will be total and full [unintelligible].
-50-
(409)
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
Well, what about the sentencing. When the hell is
he going to sentence?
DEAN: We thought he was going to sentence last Friday. Uh,
PRESIDENT: I know; you've said that.
DEAN: no one knows what in the world Sirica is doing. It's
getting to be a long time now. It frankly is.
PRESIDENT: [Unintelligible]
DEAN: And no one really has a good estimation of how he will
sentence. There's some feeling that he will sentence
Liddy the heaviest. Liddy's already in jail; he's in
Danbury, He wants, he wanted to start serving so he can
get good time going. Uh, but Hunt, he'll probably be
very fair with.
PRESIDENT: Why?
DEAN: Pardon?
PRESIDENT: Why? Why Hunt?
DEAN: He likes Hunt. He liked Hunt. He thought Hunt was being
open with him and candid, and Hunt gave a statement in
open court that he didn't know of any higher-ups involved
and, and, uh , Hunt didn't put him through the rigors of
-51-
(410)
27.1 TRANSCRIPT OF MARCH 13, 197Z MEETING
trial, and Hunt was a beaten man, the loss of his wife,
uh , was ill, they tried to move and have a, him severed
from the trial. And Hunt didn't cause a lot of problems.
Bittman was cooperative, uh. Whereas Liddy played the, played
the heavy in the trial. His lawyer raised all the objections
and the like, and embarrassed, uh, the judge for some
in-chambers things he'd said, and —
PRESIDENT:
But Liddy 's going to appeal the sentence?
DEAN:
Liddy is going to appeal the decision >uh, the trial. He
will appeal, appeal that.
PRESIDENT:
He will appeal the trial?
DEAN:
Trial — And there's
PRESIDENT:
He was convicted.
DEAN:
There is an outside chance that this man has gone, this
judge has gone so far in his zeal to be a special
prosecutor —
PRESIDENT:
Well, some of those statements from the bench —
DEAN:
Incredible statements.
PRESIDENT:
To me, to me, incredible.
-52-
(411)
27,1 TRANSCPIFT OF MARCH IS, 1973 MEETING
DEAN:
Commenting on witnesses' testimony before the jury, was
just incredible. Incredible. So he may have, there may
be a mistrial. I don't — There may be reversible
error, even. I don't know.
PRESIDENT:
What about the Cubans?
DEAN:
The Cubans will probably be thought of as hired hands, and
nowhere near the sentences of Liddy, I would think. Uh,
not all of them. Barker, uh, the lead Cuban, may get more
than the others. It's hard to say. I, you know, I just
don't have any idea. Sirica's a strange man. He is known
as a hanging judge. Uh —
PRESIDENT!
That's the kind that I want.
DEAN:
That's right. [Laughs]
PRESIDENT :
I understand.
DEAN:
That's right. He's tough. He, he is tough. Now, the other
thing, Sirica — there was some indication that Sirica
might be putting together a panel. They have this system
down there now, based on this informal agreement, where
a judge, a sentencing judge, convenes a panel of his own
to take advice from. If Sirica were being shrewd, he just
might get himself a panel and take their recommendations.
-53-
(412)
27.1 TRANSCRIPT OF MARCH 12, 1972 MEETING
PRESIDENT: When will the Ervin thing be hitting the fan most,
I mean [unintelligible]
DEAN:
PRESIDENT:
Well, I would say that, uh, uh, the best indications
we have now is public hearings will probably start about
the first of May. Now, they will, you know, there'll be
a big, probably, bang of interest, initially. We have
no idea how they will proceed yet. We do have sources to
find that out, other than Baker. Incidentally, Kleindienst
was, was, had called Ervin again, returned the call. Ervin
is going to see him this week, uh, with Baker. That's —
Public hearings the first of May. Well, that'll be a big
show. The public hearings, I wouldn't think, though, I
know from ex — ^.experience that, my guess is that, uh, I think
they could get through about three weeks of those and then
I think it begins to peter out somewhat. Do you agree?
DEAN:
PRESIDENT:
DEAN:
No, I ~
ITT went longer, but that was a different thing, and it
seemed more important .
When I told Bob, oh, several months ago, I hope they don't
think [unintelligible]. He said the way they could have
-54-
(413)
27.1 TRANSCRIPT OF MARCH 23, 1973 MEETING
those hearings and do a masterful job on us, is to hold
one hearing a week on Thursdays, Thursday mornings,
they cov — , they cover it live. That way, you'd get
live coverage that day; you'd get the networks that
night; the national magazines that week; the — get the
weekend wrap-ups. You could stretch this thing out for
nearly —
PRESIDENT: We should insist — Our members of the Committee at least
should insist, "Let's get it over with, and go through
five day sessions, and so forth."
DEAN:
Yeah. Well, they, you know, they, they're not that, I
don't think they are that
PRESIDENT:
No.
DEAN:
perceptive to, to figure that-
PRESIDENT: Well, so be it. This is a, I mean, I noticed in the news
summary Buchanan was viewing with alarm the [unintelligible]
the great crisis in the confidence of the Presidency,
and so forth. [Unintelligible]
DEAN:
Well, the best way —
PRESIDENT:
How much?
-55-
(414)
27.1 TRANSCRIPT OF MARCH 12, 1973 MEETING
DEAN:
Pardon?
PRESIDENT: How much of a crisis? I mean, it'll be, it'll be in a
newspaper [unintelligible] but the point is that every-
thing is a crisis. I mean, Christ, we've had — screw
around with this thing for a while [unintelligible] it'll be
mainly a crisis among the upper intellectual types, the ass
holes, you know, the
DEAN:
That's right.
PRESIDENT: soft heads, soft — our own, too — Republicans, Democrats
and the rest. Average people won't think it is much of a
crisis unless it affects them. But it'll go on and on
and on.
DEAN:
Well, I think it'll — I, I, you know, I think after the
Ervin hearings, they are going to find so much — there will
be some new revelations. Uh, I don't think thatj uh, the
thing will get out of hand. I have no reason to believe
it will.
PRESIDENT: Oh, yes, there'll be the revelations in, in Watergate.
They, they [unintelligible]? That's the point.
DEAN:
Well, they want to, they want to find out who —
PRESIDENT:
Who — is there a higher up?
-56-
(415)
27.1 TRANSCRIPT OF MARCH 23. 1973 MEETING
DEAN:
Is there a higher up?
PRESIDENT: They're really, let's face it, after, I think they are
really after, uh, Haldeman.
DEAN:
Haldeman and Mitchell.
PRESIDENT: Mitchell — I mean, Colson is not a big enough name for
them. He really isn't. You know, he is a thorn in their
side, but Colson 's name bothers them none. So they get
Colson. They're after Haldeman and after Mitchell. Don't
you think so?
DEAN: That's right. Or I bet they'd take Ehrlichman if they
could drag him in but they've been unable to drag him
in in any way .
PRESIDENT: Ultimately, uh, Haldeman, uh, Haldeman 's problem is
Chap in, isn't it?
DEAN: Bob's problem is, is circumstantial.
PRESIDENT: What I meant is, looking at the circumstantial, I
don't know that [unintelligible]. On top of that. Bob had
nothing — didn't know any of those people, like the Hunts and
all that bunch. Colson did. But, uh, Bob, Uob aid know Chapin.
DEAN:
That's right.
PRESIDENT: Now, what — Now however the hell much Chapin knew I'll
-57-
(416)
DEAN:
9.7.1 TRAN.'^CRIPT OF MARCH 13, 1 973 MEETING
be God damned, I don't know.
Well, Chapln didn't know anything about the Watergate,
and —
PRESIDENT: You don't think so?
DEAN:
No. Absolutely not.
PRESIDENT: Did Strachan?
DEAN:
Yes.
PRESIDENT: He knew?
DEAN:
Yes.
PRESIDENT: About the Watergate?
DEAN:
Yes.
PRESIDENT: Well, then, Bob knew. He probably told Bob, then. He
may not have. He may not have.
DEAN:
He was, he was judicious in what he, in what he relayed,
and, uh, but Strachan is as tough as nails. I —
PRESIDENT: What '11 he say? Just go in and say he didn't know?
DEAN:
He'll go in and stonewall it and say, "I don't know any-
thing about what you are talking about." He has already
done it twice, as you know, in interviews.
-58-
(417)
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
PRESIDENT: Yeah. I guess he should, shouldn't he, in the interests
of — Why? I suppose we can't call that justice, can
we? We can't call it [unintelligible]
DEAN:
Well, it, it —
PRESIDENT: The point is, how do you justify that?
DEIAN: It's a, it's a personal loyalty with him. He doesn't
want it any other way. He didn't have to be told. He
didn't have to be asked. It just is something that he
found is the way he wanted to handle the situation.
PRESIDENT:
But he knew? He knew about Watergate? Strachan did?
DEAN:
PRESIDENT:
DEAN:
Uh huh.
I'll be damned. Well, that's the problem in Bob's case,
Isn't it. It's not Chapin then, but Strachan. ♦Cause
Strachan worked for him.
Uh huh. They would have one hell of a time proving
that Strachan had knowledge of it, though.
PRESIDENT: Who knew better? Magruder?
DEAN:
Well, Magruder and Liddy.
PRESIDENT: Ahh -- I see. The other weak link for Bob is Magruder,
too. He having hired him and so forth.
-59-
(418)
27.1 TRANSCRIPT OF MARCH 13. 1973 MEETING
DEAN:
That's applies to Mitchell, too.
PRESIDENT: Mitchell — Magruder. Now, where do you see Colson coming
into it? Do you think he knew, knew quite a bit, I can't
I can't — yet he could know a great deal about a lot of
other things and not a hell of a lot about this, but I
don't know.
DEAN:
Well, I've never
PRESIDENT: He sure as hell knows Hunt. That we know. And was very
close to him.
DEAN:
Chuck has told me that he had no knowledge, uh, specific
knowledge, of the Watergate incident before it occurred.
Uh, there have been tidbits, that I have raised with Chuck,
I have not played any games with him, I said, "Chuck, I
have indications — "
PRESIDENT:
Don't play games.
DEAN:
I don't — I
PRESIDENT: You've got to be — the lawyer has got to know everything.
DEAN: That's right. And I said, "Chuck, people have said that you
were involved in this, involved in that, involved in this."
And he said, "I — that's not true," and so on and so
forth. Uh, I don't, I think that Chuck had knowledge that
something was going on over there. A lot of people around
-60-
(419)
PRESIDENT:
DEAN:
PRESIDENT:
27.1 TRANSCRIPT OF MARCH U, 197 Z MEETING
here had knowledge that something was going on over there.
They didn't have any knowledge of the details of the
specifics of, of the whole thing.
You know, that must, must be an indication, though, of
the fact that, that they had God damn poor pickings.
Because naturally anybody, either Chuck or Bob, uh , was
always reporting to me about what was going on. If they
ever got any information they would certainly have told
me that we got some information, but they never had a
God damn [laughs] thing to report. What was the matter?
Did they never get anything out of the damn thing?
No. I don't think they ever got anything.
It was a dry hole, huh?
DEAN:
That's right.
PRESIDENT:
Jesus Christ.
DEAN:
Well, they were just really getting started.
PRESIDENT: Yeah. Yeah. But, uh. Bob one time said something about
the fact we got some information about this or that or the
other, but, I, I think it was about the Convention, what
they were planning, I said [unintelligible]. So I assume
that must have been MacGregor, I mean not MacGregor, but
Segretti.
-61-
(420)
27.1 TRANSCRIPT OF MARCH IZ, 1973 MEETING
DEAN:
No.
PRESIDENT: Bob must have known about Segretti.
DEAN:
Well, I — Segretti really wasn't Involved in the intelli-
gence-gathering to speak of at all.
PRESIDENT:
Oh, he wasn't
'^?
DEAN:
No, he wasn't, he was out just, he was out —
PRESIDENT: Who the hell was gathering intelligence?
DEAN:
That was Liddy and his, his outfit.
PRESIDENT: I see. Apart from Watergate?
DEAN: That's, well, that's right. That was part of their whole
Watergate was part of intelligence^^athering, and this
PRESIDENT:
DEAN:
Well, that's a perfectly legitimate thing. I guess that's what it was.
What happened is they —
PRESIDENT:
What a stupid thing. Pointless. That was the stupid thing.
DEAN:
That was incredible. That's right. That's right.
PRESIDENT: [Unintelligible] to think that Mitchell and Bob would allow,
would have allowed this kind of operation to be in the
Committee.
-62-
(421)
27.1 TRANSCRIPT OF MARCH IS, 1973 MEETING
DEAN:
I don't think he knew it was there.
PRESIDENT: You kidding?
DEAN:
I don't
PRESIDENT: You don't think Mitchell knew about this thing?
DEAN:
Oh, no, no, no. Don't mis — I don't think he knew that
people — I think he knew that Liddy was out intelligence-
gathering.
PRESIDENT:
Well?
DEAN:
I don't think he knew that Liddy would use a fellow like
McCord, for God's sake, who worked for the Committee. I
can't believe that. Uh, you know, that —
PRESIDENT: Hunt? Did Mitchell know Hunt?
DEAN:
DEAN:
I don't think Mitchell knew about Hunt either.
PRESIDENT: So Mitchell's thing is [unintelligible] said, "Gee,
and I hired this fellow and I told him to gather intelli-
gence, but I — " Maybe [unintelligible].
That's right.
PRESIDENT:
Magruder says the same thing?
-63-
(422)
DEAN:
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
Magruder says that — as he did in the trial — he said,
it was, uh, — "Well, of course, my name has been dragged
In as the guy who sent Liddy over there," which is an
interesting thing. That's a —
PRESIDENT:
[Unintelligible]
DEAN:
That's right. They said, well what happened is —
Magruder asked for a lawyer — he wanted to hire my
deputy over there for General Counsel and I said, "No
way. I can't give him up."
PRESIDENT:
Was Liddy your deputy?
DEAN:
PRESIDENT:
No, Liddy never worked for me. Uh, there was this
fellow Fred Fielding who works for me. And I said,
"I can't give him up." He said, Magruder said, "Will
you find me a lawyer?" I said, "I will be happy to
look around." I checked around the White House, Krogh
said, "Liddy might be the man to do it, to go over
there — he would be a hell of a good lawyer. Uh,
he has written some wonderful legal opinions over here
for me.
Right .
DEAN:
and I think he is a good lawyer."
-6A-
(423)
P7 7 TRANSCRIPT OF MARCH 13. 1973 MEETING
PRESIDENT: Yeah.
DEAN:
So I relayed that to Magruder.
PRESIDENT: How the hell does Liddy stand up so well?
DEAN:
He's a strange man, Mr. President.
PRESIDENT :
Strange or strong, or both?
DEAN:
Strange and strong.
PRESIDENT:
Good.
DEAN:
Uh, he — his loyalty, I think, is just beyond the pale.
He's just — nothing.
PRESIDENT:
He hates the other side too.
DEAN:
Oh, absolutely. He's strong. He really is.
PRESIDENT: Well, what about the hang-out thing?
[Unknown person enters, receives instructions from the
President to take something to Haldeman, and leaves
the room. ]
PRESIDENT: Uh, is it too late to, to, frankly, go the hang-out
road? Yes, it is.
DEAN:
I think it is. I think — Here's the — The hang-out
road —
-65-
(424)
27.1 TRANSCRIPT OF MARCH 13. 1972 MEETING
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
PRESIDENT:
DEAN:
The hang-out road's going to have to be rejected. I,
some, I understand it was rejected.
It was kicked around. Bob and I and, and, and —
I know Ehrlichman always felt that it should be hang-out.
[Unintelligible]
Well, I think I convinced him why that he wouldn't want to
hang-out either. There is a certain domino situation here.
If some things start going, a lot of other things are going
to start going, and there are going to be a lot of problems
if everything starts falling. So there are dangers, Mr.
President. I'd be less than candid if I didn't tell you the
— there are. There's a reason for us not — not everyone
going up and testifying.
I see. Oh no, no, no, no, no. I didn't mean go up and
have them testifying. I meant —
Well I mean just, they're just starting to hang-out and say
here's our, here's our story —
I mean putting the story out to PR buddies somewhere .
Here's the story, the true story about Watergate.
[Unintelligible]
They would never believe it .
-66-
(425)
PRESIDENT:
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
That's the point.
DEAN:
The point is — the two things they are working on on
Watergate —
PRESIDENT:
Who is 'they ? The press?
DEAN:
The press,
PRESIDENT:
The Democrats?
DEAN:
— the Democrats, the intellectuals
PRESIDENT:
The Packwoods?
DEAN:
Right. Right. "They" would never buy it, uh , as far as
(1) White House involvement in the Watergate which I think
there is just none, uh, for that incident that occurred over
in the Democratic National Committee Headquarters. People
just, here, would — did not know that that was going to be
done. I think there are some people who saw the fruits
of it, but that's another story. I am talking about the
criminal conspiracy to, to go in there. The other thing
is that, uh, the Segretti thing. You hang that out, uh,
they wouldn't believe that. They wouldn't believe that,
that, uh, Chapin acted on his own to put his old friend,
friend Dick Segretti in to be a Dick Tuck on somebody
-67-
(426)
27.1 TRANSCRIPT OF M^RrM 12. 1973 mETING
PRESIDENT:
else's campaign. They would, they would have to paint
it into something more sinister, something move involved,
a part of a general plan.
Shit, it's not sinister. None of it is.
DEAN:
No.
PRESIDENT:
Segretti's stuff isn't been a bit sinister.
DEAN;
It's quite humorous, as a matter of fact.
PRESIDENT: As a matter of fact, it's just a bunch of crap. It's just
is a [unintelligible]. We never knew. Never objected to -
You don't object to such damn things, oh, anyway. On, and
on and on. No, I tell you this, the last gasp of the, of
the, you know, of the, our partisan opponents. They've
just got to have something to squeal about.
DEAN:
The only thing they have to squeal on-
PRESIDENT: Squeal about that, that, and perhaps inflation, but
that will end. Oh, yeah, they're going to squeal and
then they're [unintelligible]. They're having a hell
of time, you know.
-68-
(427)
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
They got the hell kicked out of them In the election.
[Unintelligible]- They are, they're, they're going to
Watergate around in this town, not so much our opponents,
but basically it's the media, uh, I mean, it's the
Establishment. The Establishment is dying, and so they've
got to show that after some rather significant successes
we've had in foreign policy and in the election, they've got
to show, "Well, it just is wrong because this is — be-
cause of this." In other words, they're trying to use
this to smear the whole thing.
DEAN:
Well, that's why I, in fact, I keep coming back with
this fellow, Sullivan, who could.
PRESIDENT:
— who could —
DEAN:
could change the picture.
PRESIDENT:
How would it change it though?
DEAN:
Well it —
PRESIDENT:
By saying you're another? Is that what it is?
DEAN:
That's, yeah. But here's another, and it happens to be
Democrats. Your, uh — I, you know, I just, I just wish
PRESIDENT: If you get Kennedy in it, too, I'd be a little more
pleased.
-69-
(428)
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
DEAN:
PRESIDENT;
Well, now, let me tell you something that's — lurks
at the bottom of this whole thing.
Yeah.
DEAN:
If, in going after Segretti, I — Segretti, right —
they go after Kalmbach's bank, records, you'll recall
that sometime back — maybe you, you perhaps didn't
know about this, it's very possible — that right after
Chappaquiddick somebody was put up there to start ob-
serving. Within six hours.
PRESIDENT:
Did we?
DEAN:
PRESIDENT:
That's right.
I didn't know that.
DEAN:
PRESIDENT:
DEAN:
That man watched that — he was there for every second
of Chappaquiddick, uh, for a year, and almost two years
he worked for, uh, he worked for Jack Caulfield, who was
originally on John —
Oh, I heard of Caulfield, yeah.
He worked for Caulfield originally and then he worked for,
when Caulfield worked for John, and then when I came over
here I inherited Caulfield and this guy was still on this
-70-
(429)
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
same thing.
PRESIDENT:
Yeah..
DEAN:
Well, If they get to those bank records between, uh, it
starts on July of '69 through June of '71, and they say,
"What are these about? Who is this fellow that's up in
New York that you paid?" There comes Chappaquiddick
with a vengeance. This guy is a, is a twenty year detec-
tive on the, uh. New York State, uh. New York City Police
Department .
PRESIDENT:
In other words, we —
DEAN:
He is ready to disprove and to show that , everything
from —
PRESIDENT:
lUnintelllgible] consider that wrong, do we?
DEAN:
Well, if they get to it, uh, it's going to come out and
the whole thing is going to turn around on that one.
I mean, if Kennedy knew the bear trap he was walking into
PRESIDENT:
How do we know — uh, why, why don't we get it out anjn^ay?
DEAN:
Well, we sort of saved it. [Laughs]
PRESIDENT:
Does he have any record? Is it any good?
DEAN:
Uh, h« is probably the most knowledgeable man in the country.
-71-
(430)
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
He can't, you know, there are certain things he runs up
against walls when they closed the, when they closed the
records down, things he can't get, but he can ask all
of the questions and get some, many of the answers. As
a, as a twenty year detective, but we don't want to sur-
face him right now. But if things ever surfaced, uh, this is
what they'll get.
PRESIDENT: Now, how will Kalmbach explain that he'd hired this
[unintelligible] Chappaquiddick? Did he — out of
what type of funds?
DEAN:
We'd have — he had, he had money left over from, uh,
pre-convention —
PRESIDENT:
Are they going to investigate those funds too?
DEAN:
They are funds that were quite legal. There's nothing
illegal with those funds .
PRESIDENT:
How can they, how can they investigate them?
DEAN;
They can't.
PRESIDENT:
Huh?
DEAN:
They — The only — The — What they would — happens — what, what
would occur, you see, is they would stumble into this in
going back to, say '71, on Kalmbach 's bank records. They've
-72-
(431)
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING
already asked for a lot of his bank records in connec-
tion with Segretti, as to how he paid Segretti.
PRESIDENT: Are they going to go back as far as Chappaquiddick?
DEAN: Well, yeah, but this, this fellow worked into '71 on
this. He was up there. He talked to everybody in
that town. He, you know, he, he's the one who caused
a lot of embarrassment for Kennedy already by saying —
he went up there as a newspaperman. "So why aren't
you checking this? Why aren't you looking there?" And
pointing the press's attention to things. Gosh, the
guy did a masterful job. I have never been, had the
full report.
PRESIDENT:
DEAN:
Coming back to the Sullivan thing, you'd better now go
ahead and talk to him. You will now talk to Moore,
again to Moore and, uh, then what?
Uh, I'll see if we have something that's viable. And
if it's —
PRESIDENT :
In other words — Have you talked to Sullivan again?
DEAN:
Oh, yes. Yes, I plan on it.
PRESIDENT: Why the hell don't you get him in and talk to him? [Unintelligible]
DEAN:
Well, he's — I asked him last night and he said, "John
-73-
(432)
27.1 TRANSCRIPT OF MARCH 13, 1973 MEETING .
give me a day or so to get my, all my recollections
together,"
PRESIDENT: Right.
DEAN: and that was yesterday. So I thought I would call him
this evening and say, uh, "Bill, I'd just like to know — "
PRESIDENT: You see, the fact that you've talked to him will become
known. So maybe, maybe the best thing is to say "I am
not concerned here," and you say that he, he's to turn
this over, and you say we will not handle it. Then make,
then anyway, it gets to the Committee, aren't they going
to say, "The White House turns over information on the
FBI?" That's the — I don't know how the Christ to get
it down there.
DEAN:
Well, that's what I think I can kick around with Dick
Moore. He and I do very well just bouncing these things
PRESIDENT:
Yeah.
DEAN:
back and forth and coming up with something that we don't have
to be embarrassed about it.
PRESIDENT: I think a newsman, a newsman, a hell of a break for a newspaper.
DEAN: Oh yeah.
PRESIDENT: A hell of a story. Uh, maybe the Star would just run a hell of
a story, I mean a real bust on the FBI. Then, and then, and
-74-
(433)
27.1 TRANSCRIPT OF MARCH 13, 197 Z MEETING
then the Conmittee member, the man you, you, for
example, on this basis could call Gurney, and say,
"Now look. We're on to something very hot hera. I can just
tell you, I'm not going to tell you anything more. Go
after it, forget you ever had this call." Then he goes.
DEAN:
Uh huh.
PRESIDENT:
It seems to me that that's a very effective way to get it out,
DEAN:
Uh huh. Another thing is, I don't think Sullivan would
give up the White House. Sullivan — as I said could, there's
one liability in Sullivan here, is that's his knowledge
of the earlier things that occurred, uh —
PRESIDENT:
That we did?
DEAN:
That we did.
PRESIDENT: Well, now you should tell them. Oh, you mean he wouldn't,
he'd say, he'd say, "I did no political work at all. My,
my work in the [unintelligible] Nixon Administration was, was
solely in the national security."
DEAN:
That's right.
PRESIDENT:
And that is totally true.
DEAN:
That's right.
PRESIDENT:
Okay. Well, good luck.
-75-
(434)
9.7. 7 TRAmCRT VT OF MARCH U. 1973 MEETING
DEAN:
All right, sir.
PRESIDENT: It's never dull, is it?
DEAN:
Never .
-76-
(435)
28. On May 2, 1973 the Center on Corporate Responsibility, Inc. filed
suit claiming that it had been unlawfully denied tax-exempt status
because of selective treatment for political, ideological and other
improper reasons having no basis in the statute and regulations. On
December 11, 1973 the United States District Court held that the tax
exemption had been unlawfully denied. The Court stated that its ruling
was based in part on the failure of the l-^ite House to comply fully with
discovery orders. The Court found that the inference of political
intervention had been unmistakenly raised.
Page
28.1 Opinion, Center on Corporate Responsibility
V. Shultz, 368 F. Supp. 863, 871-72 438
(437)
28.1 CENTER ON CORPORATE RESPONSIBILITY v SHULTZ OPINION^ DECEMBER 12, 197 Z
CENTER ON CORPORATE RESPONSIBILITY, INC. v. SHULTZ 863
Cite OS 368 F.Supp. 8fl3 (19T3)
case involving- the present plaintiff and
indistinguishable from the one here in-
volved.
There Judge Coleman, speaking for
the court, said:
"We think the correct standard for
the determination of the issue now be-
fore us was enunciated by the Third
Circuit in The Travelers Insurance
Company v. Blue Cross of Western
Pennsylvania, [July 10, 1973], 481 F.
2d 80:
'The anti trust laws, however,
protect competition, not competi-
tors; and stiff competition is en-
couraged, not condemned.'
"This statement was preceded by
the observation that :
'In its negotiating with hospitals.
Blue Cross has done no more than
conduct its business as every na-
tional enterprise does, i. e., get the
best deal possible *****
Blue Cross passes along the saving
thus realized to consumers.'
"That is the situation here. Ameri-
can Family Life does not write broad
coverage hospital and medical insur-
ance. Blue Cross-Blue Shield do write
such coverage. American Family Life
sells cancer plan policies. Blue
Cross-Blue Shield writes such cover-
age only as incidental to or as a part
of its broad coverage which protects
the insured as to many diseases or
disabilities. When they include COB
in their policies these companies are
simply providing that to a certain ex-
tent they shall not make the payments
received or to be received from some
other insurance policy, thus reducing
the cost of their broad risk coverage
as well as its cost to the insured.
"This may be tough competition for
American Family Life, which chooses
to concentrate on only one dread risk,
but the test is whether any restraint of
trade thus caused is reasonable. North-
ern Pacific Railway Company v. Unit-
ed States, 356 U.S. 1, 78 S.Ct. 514, 2 L.
Ed.2d 545 (1958). In our opinion,
there is no logical way in the context
of this case by which the COB provi-
sions can be pronounced 'unreasonable'.
We cannot say under § 1 of the Sher-
man Act that an insurance company
insuring against only one risk is en-
titled to dictate the terms upon which
broad risk companies may offer their
benefits to those individuals who need
protection against many risks.
"Stated another way, may the Blue
Cross-Blue Shield COB provisions be
invalidated under the Sherman Act so
that American Family Life may write
its cancer policies in the form it de-
sires while at the same time denying
the same right to Blue Cross-Blue
Shield as to broad coverage? We
think not, and we so hold."
The motion for summary judgment is
granted and the case dismissed.*
It is so ordered.
CB^JTEB on corporate RESPONSI-
BILITY, INC., Plaintiff,
V.
George P. SHULTZ et al.. Defendants.
^___^ Civ. A. No. »4e-73.
United States District Court,
District of Columbia.
Dec. 11, 1973.
As Amended Dec. 12, 1973.
Nonprofit corporation, which was
organized to promote use of corporate
institution and power to better the social
welfare, brought action for refund of
4. The court intends this dismissal to be with
prejudice ; however, should certiorari be
granted by the Supreme Court in the Flori-
da Hlue Cross ca.se, we suggest tiiat counsel
move the Fifth Circuit to withhold any opin-
ion in this case until that case is disposed
of. In this way, additional appeals of the
same question may be avoided.
(438)
28.1
CENTER ON CORPORATE RESPONSIBILITY v. SHULTZ OPINION, DECEMBER 12 ^
197S
CENTER ON CORPORATE RESPONSIBILITY, INC. v. SHULTZ 871
Cite as Jen F.Supp. ma (1973)
r
ing mechanisms against White House
"enemies" and whether the White House
would claim executive privilege regard-
ing any of the requested documents,
memoranda or writings. Mr. Buzhardt's
affidavit stated that he had reviewed
the transcripts of the Watergate Hear-
ings (Ervin Committee) and said that
the hearing transcripts did not indicate
that the conversations "related to tax-
exempt organizations or organizations
claiming tax-exempt status." Mr. Buz-
hardt stated further that he was "autho-
rized to advise the Court that the White
House is claiming executive privilege"
is to both the tape recording and the
'our documents submitted for in camera
nspection.
H. THE COURT WILL IMPOSE
RULE 37(b)(2)(A) F.R.C.P.
SANCTIONS AGAINST THE DE-
FENDANTS FOR THEIR FAIL-
URE TO COMPLY WITH THIS
COURT'S DISCOVERY ORDERS
[1] A looming issue in this case has
been whether political interference or
intrusion has played a role in the Inter-
nal Revenue Service's consideration of
the Plaintiff's exemption application."
Should this specter prove to have sub-
stance, the complexion of this case
changes. A showing of political influ-
ence renders the Service's ruling null
and void. It is outside the law.
The Court is concerned not only with
direct political intervention, but also
with the creation of a political atmo-
sphere generated by the White House in
the Internal Revenue Service which may
have affected the objectivity of those
participating in the ruling in the Plain-
tiff's case. The inference of political in-
tervention has been unmistakenly
raised: (1) by the handwritten memo in
the Plaintiff's file indicating "perhaps
White House pressure"; (2) by John
Dean's testimony before the Ervin Com-
mittee; (3) by the memoranda Mr.
Dean submitted to the Ervin Commit-
tee; (4) by the testimony of Patrick J.
Buchanan, White House Staff Member,
before the same committee (September
27, 1973) ;•« (5) by the Deposition of
Roy Kinsey, Assistant to Mr. Dean,
(July 30, 1973, at. 10-18); and (6) by
the four documents submitted for in
camera inspection. These indicia of po-
litical i.itervention, combined with the
unusual and protracted processing of the
Plaintiff's application, have triggered a
warning signal requiring the Court to
fully investigate the issue. Through its
Discovery Orders, the Court has endeav-
ored to obtain all the information neces-
sary to make an informed evaluation of
the issue. However, the time has come
for the Court to make that evaluation,
and the Court is without the requested
materials to do so.
The Defendants have failed to comply
with the Court's Order of July 6. With-
in the scope of the Order were all White
House files plus the Treasury and the
IRS files regarding tax-exempt organi-
<«^tions since Jan. 20, 1969, and certain
fape recordings now before Judge Sirica.
Neither of the two searches of the
White House files met the scope of the
Order. The first was limited solely to
materials in the White House files
which mentioned the Plaintiff. In addi-
tion, Mr. Kehrli's affidavit regarding
the first search of "all White House
ferred, was between the President, Mr. Dean
and Mr. Haldeman, not Mr. Elirlichman.
17. ". Moreover, notwithstanding the
tated grounds for the May 16 ruling. Plain-
.iff in fart was denied a favorable ruling be-
cause it was singled out for selective treat-
ment for political, ideological and other im-
proper reasons which have no basi-; in the
statute and regulations." Plaintiff's .-Vmend-
ed Complaint, para. 21. second sentence.
18. Mr. Huchanan's testimony referred to a
memorandum from himself to tlie President,
date.l March 31, 1971. which discussed the
Administration's intent to tise the IRS to
combat those "anti-Administration institu-
tions like the .Stern Foundation." Kee, New
York Times, September 27, 1973, p. 31.
(439)
28.1 CENTER ON CORPORATE RESPONSIBILITY v. SHULTZ OPINION, DECEMBER 12 1972
872
368 FEDERAL SUPPLEMENT
files" was misleading. As his deposition
indicates, he did not in fact search all of
the White House files. He did not
search the impounded files of Messrs.
Colson, Ehrlichman, Haldeman, Dean or
Caulfield.
The second time, the Defendants lim-
ited the search to documents, memoran-
da or writings in the WTiite House cen-
tral and special files which either relat-
ed to or mentioned the Plaintiff or re-
lated to "White House interest in the
tax-exempt status of left-wing activist
organizations." Mr. Buzhardt's affida-
vit indicated that he conducted a com-
plete search of the files which produced
four documents which he submitted for
in camera inspection. '» Mi\'-fiazhardt's
complete search, however, failed *t:» pro-
duce the documents, memoranda, and
writings relating to this issue which
were specifically referred to by Mr.
Dean and Mr. Buchanan in their Ervin
Committee testimony and by Mr. Kinsey
in his deposition.
- As to the Defendants' duty to search
the Treasury and IRS files, they have
simply replied that the Order is "exces-
sively burdensome." They made no re-
quest for a protective order. They pro-
vided no objective facts to support their
claim, which would have allowed the
«^ourt to treat the reply as a form of
protective request and determine if
there was "good cause" tmder Rule
26(c), F.R.C.P., to limit the scope of the
search.
In addition to failing to comply with
the Court's general discovery orders, the
Defendants have failed to comply fullj
with the Court's Order Compelling An-
swers to Interrogatories in either sub-
stance or in deadlines. The Court can
only consider this is another example of
the Defendants' efforts to evade the
Court's orders. Considering both the
necessity for the information sought in
the discovery orders and the fact that
the Defendants have sole possession of
that information, failure to comply with
the orders is grounds for imposition of
Rule 37(b), F.R.C.P., sanctions. See.
Campbell v. Eastland, 5 Cir.. 307 F.2d
478, 491-492 (1962), cert, denied, 371
U.S. 955, 83 S.Ct. 502, 9 L.Ed.2d 302.
[2, 3] There is one other facet of the
Defendants' Response to the Court's
Show Cause Order which concerns the
Court. The tape '*^' of the conversation
between the President, Mr. Dean and
Mr. Haldeman regarding the use of the
IRS against White House "enemies",
will not be produced because of "execu-
tive privilege." Mr. Buzhardt's affida-
vit states that he is "authorized to say
that the White House was claiming "e.^c-
ecutive privilege" as to any and all tapes
as well as the four documents submitted
for the Court's in camera inspection.
Evidently this single statement is in-
tended to be a claim of executive privi-
lege. United States v. Reynolds (1954),
345 U.S. 1. at 7-8, 73 S.Ct. 523, 97 L.Ed.
727, requires that a valid claim of execu-
tive privilege can be made only by the
head of the agency which has custody of
the documents in issue. Wright &. Mill-
er, Federal Practice and Procedure, Civil
19. The four documouts .Icnionstrate thnt tlie
White IJoiisc staff did in fact consider usin^
tlie lUS nt;air.st tiieir "ciu'diIos." This con-
duct i.s ut t)e.st roi>rohensihle. The Court
finds that the documents contain int'orniation
relevant to tliis action, and are disco\erahle.
Th? Court has suniniarizeil the reasons for
this findinc in » statement winch it lias .suU-
Diitted to the U. S. Court of .Viipeals for the
District of Colurnlfia Circuit for their iti
canifia rc\ iew pursuant to their direction at
pat;e 'Mt in Nixon v. Sirii'ti. A^l y.'2<\ TtX),
.Vos. T3-l'.iC/_'. T.VinCT. T.W.'V.l. IXCCir.,
1973. See Appendix for statenjent of rea-
ERAL BOOKBINDrNG CO.
U3iHY 071
!3 I
6239
LrTY CONTROL MARK
o
(440)
sons. ShouM the Court of .\ppeals' re<iuire-
ment for a sealcil review ."(ppl.v solely to that
suit and not to the circumstances of this
case, the Court shiiU make the documenu
part of the record sua .tp&ntc.
19a. The tX-tt>her 2 t')nler ordered the prvnluc-'
tion of the tape of the conversation on Sep-
teaiher !.">, 1!>7'J l>ct»een the Tresident. Jolm
IV'an ami John Krhlichman. .^^r. l>u:hardt"s
affidavit int'ormed tlie Court that the taped
conversation of that date was between the
President. Mr. L>cau and 11. V. UalJvman.
a U. S. GOVERNMENT PRINTING OFFICE : 1974 3f-<)2?/f027
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