[PAGE 1]
1. Refererso is redo to the attachod report on proposed dovelupaont of Irojcct

2. This projcct is an oporational application of AiTICHcKs, and I foul thit wo should cloarly bo in tho plotars fron start to, finish cxorvising control fcatiras on actmal cxperinsntation.

3. Ls statod in tho report, tho prinsipal çicstion is zhothor or not an iniivicaal ces bo controlled into tho fature by Lho apolication of "i" techniqies. I Arther Feel that thdis cannut ba dona in tho United Statos on a clinical basis, and the only anszer is to curoèntrato on fiold applioations. To this end wo cculd supelanant the Aartcrs toag End cossibly casry cut tlece cxperiprospoots vlo neot all the reguirononts and are not "Eriondly."

h. I recoznord that vo lay on this projeet with Oand obtain a full vorking agreenent and spyort this activity in evcry possible vay.

Diroctor of Security Chiof,Sccurity bsearch Staff

19 Febreary 1272

Depaty Director of Eocurity

Project Cras

[PAGE 2]
SUBJECT: Lysergic Acid Diothylazide (LSD 25)

24756.54

Mission accoumphisbel. All Hhat remains. now is publication. Inant Heuk po being perritted to assist in Hlis metter

24 Fobruary 1954

[PAGE 3]
SUBJECT: Lyeorgic Acid Diethylazide (LSD 25)

(Source is e

l. In early Doceuber 1953 source vent to Bemgsepta

for the purpose of learing the emount of LSD 25 hold in stock 'by

, and'the purichase of it if available on a preclusive

2. Several reetings were held with tho Sessss officials. Present at these meetings were P (President), dosseenmaierase (Vice-President and General Hanager),temasaa (Director of Pharacological Research) and a(Assistant to un). Souroe tas personally acquainted with the first three nen, haing dealt uith thea'on.

severel occasions in the past.

of departzents in the U. S. governzeat and that there tere ruriors

332.,

24 Fobruary 1954

[PAGE 4]
of tho production of a quantity of tho patorial in which the sourco vas intorosted. Further, thosu wero ruora in tho United States to tho effect that the S had' produced l10 klogreri of this gubstance,It was then oxplaincd that tho niaoion vas ono of preclusivo buying by the source.

4.  statod that the hed nevor produced tiis material in quantities even rerotoly resezbling tho lQ klograns which wers centioned. Eo said that to dato over a period of years, a total of about 40 grams of this zaterial had been produced in various batches. The last batch, included in the total of 40 erans prcduced to date, azountèd to 20 grans. Of these 20 grazs, 10 grems rerained in stock at moash and 10 grass had been sent to thersbranchin the Uaited States. Any transshiprcnt of this raterial iil izrodiately bc cade kon to the source.

5. caias stated that to the best of his belief, this material is not being produced anyshere elsa in the vorld, and he added thet he was certain that there were no Laboratories behind tho Iron Curtain with the kouledge, Lnowhow, or capability of producing it at présent.

6. offered to produce any quantity of this material recuircd by the source vith production to begin three weeks after plecement of, an ordor und-to continue at the rate of lco grans per week.  then statod that this aterial, whea produced in small quantities, tight cost in tho neighborhocd of Ql00 to \$200 a gran. In view of this cost, he pointed out that the ror of a stock or

[PAGE 5]
10 kilorrans was ridiculous sineo it vas not likoly that they wculi hava kept s production-lino coing for the length of tirs required to produce such a largo quantity of oxpensivo satericl until they had fully dctorained that a. conzercial mrkct cxisted or could bo developed for it. Thcir total productica 'to dato of 40 graas has proved sufficient materlal for all clinical investigaticns, and it vould have teea ridiculors to havo produced a quantity zany bundred timos greater.

7.  en tio occasions expressed appreclation and adriration for the action of the sourcs in volrnteering to rezove this material from the narket if it had existed in the quantities uenticned. Re mentioned on several cccesions that he and others of the were sorry that they had discovered this zaterial sinco it had toen a source of zany headaches and bothor. He said they had no intention of ever letting this material fall into Cozuist hands.

6. Rindicated many covert and sidevaya approacbes had been radeto thee by various Azerican individuals in the past who wished to obtain inforution on this ratorial. : Source explained that elthough he could not possibly guarantee taat. no further approzches would bo nads, he would advise interssted

U. S. individuals.

9. arrced to keep source inforzed of all future production by ror this raterial and would let his kaow to vhoi

[PAGE 6]
shipants waro sado. lie vould also pass on any inorration which caco to his attention ccncering activities behind the Iroa Curtain or clocwhere indicating thut it was being nanufactured or invectigatod by anyone alae. As a test of this proceduro and of Etps dosire to cooperato, ho wil shortly to asked dy source to supply a braakdova of past distribution of this zaterial, including the nazes o? recipicnts, quantities furished and. dates of shipent.

10. said that at present the only shiprents of this naterisl goine froz aato a destinetion behind ths Iron Cutain are being scat to for rany years has cooperated withewoRn the clinical tosting of their products and for a loag tins has beez kept- supplied with minute quantities of this material. It has alvays been sent to hin in aspules containing a solutinn of the material. No shirents of the dry materiel have tees pade to him or to anyone else bohind the Iron Curtain. tcould act roseabor.off-hand whether other szail shipents had been rade to individuals behind the Iron Curtain tany years ago, but was certein that for the past foy years only Caehas received shipents. He thought that rceet shiprents to Etotaled epproxizstely 100 illigras.-

4

[PAGE 7]
ll. Sourco discussed vith and othor solficiala tho
desirability of hio purehasinz thoir ontirs atock of approximatoly
10 grans of thio ratorial. It was decided that tho sourcc vould not
purchase this matorial and that, furtherore, the Sats
vould contineo to mintin a all stock viich they would continus
to diotritute to reputable iavestigators throghout the freo world
at no charge. Such action en the part orould thus dis
courege a cotpatitor fros entering this fieldand producing thia
material. Since it is extremely difficult to synthesize and very
expensivs to produce, it is wlikely that a cozpetitor vould start
poducticn of the ninuto quantities needed for recearch if investi
gators could ottain their requirenonts fron at no charge.
In other words, by maintaining a sall stock aná.distributing it at to charge, vill retain costrol of the situation and will bo aware of anyoze intorested is the paterial. All of this inforzation
vill bo passed on to the sourcs. This vas entirely agrecable to and they understand that eny connection botween the source and this material is to te kept in tho yery strictost confidence. 12. The source has teen & personal friend of bothss and t for cany yeirs and expressed cemplote con
fidence in all staterents sade by thez. Eany of tho staterents
vere cross-checked by questions posed to othor officials
mentioned above, and in no cass was there disagreezent as to fact
or figure. It has been sucgested thatzctually offered 10
grans for purchase or even tkat they offered l0 milligras, and
that an error ias made in reporting and traismitting this offer.

)

332

[PAGE 8]
Confusion betuoen a kilogram (one thousand graao) cnd a rilligram (ono-thousandth of a gran) =aý woll have 'arisen.

HSER 13. It ght aloo be cigificant that epon this occasion for the first tizs invited the source to inspect hispharcaceutical plart. Norzally a pharmaceutical canufacturer would never allow a knowledgeable porson thrsugh their plant sinec cven a casual inspection might reveal valuable trado sccrets.