(24-10269-10343 Oa HO, 30 ROMS PY; ENVET OPS ED STATES GOVERNMENT Memorandum — | I = Belmont 7 : Evai ; TO >: Be CO. Sullivan ce . { DATE: 11/20/63 jesen ——— pe . £ae Ok Downing Sullven — eo » 1 = Wannall Totes _ PROM: We Re Wannal) iy, | 2 ~ Ruehl fstnes supject: COMMUNICATIONS FROM UNITED STATES 1 Swe b¢ | lw ~ i ca fO HONG KONG AND COMMUNIST CHINA vw INTERNAL SECURITY = CHINA ' ' .*  §an Francisco is in @ position to apply Sam Survey technique to — #1 destined for Communist Chinae Sam Survey is New York program whereby utgoing airmail to selected European countries is examined to detect ilegal Soviet=bloc agents. ot ‘ ;  “Alrmatl to Hong Kong and Communist China exits U. S. through an Francisco, thus coverage at San Francisco would amount to national Govdrage. Survey by San Francisco aisclosed this coverage will involve Ae sx y four Special Agents utilized full time on sixeday workweek. A ure space is available for processing the maéle . New York originally tested Sam Survey for period of two months on very Limited amount of mail which was destined for Communist Chinde New York picked up eight items indicating such strong pro=-Chinese Comnunist sentiments that further investigation was warranted. These cases are still pending. New York can furnish San Francisco with Watch List to facilitate. screening ,maile oo, {; We know U. S. ts prime target of Chinese Communist intelligence. | Investigation of Susan and Richard Frank, (New York Security Indéx subjectsj @isclosed they may be working in U. S. for Chinese Communists. :Gus' Hall, Communist Party (CP) USA, suspects Susan Frank of being Chinese-Communist agent. In September, 1963, Richard Franit, substituting for his wifes Susar, made @ hurried trip to Londone = “sy NY 694=S% advised that Richard Frans on recent visit.to London was in contac’ with TANG Mingechao and Israel Epsteine ZANG is head of American Department of Chinese CP in charge of political intelligence relat- ing to CF's in English-speaking countriese Epstein is editor of "China Reconstrugts,” English=language Chinese Communist propaganda publication, ' @nd appears to be engaged in Chinese Communist intelligence operation re Sino~Soviet dispute. TANG and Epstein reportedly maintained clase liaison @: Bichard Franke IY Al le=s% reported Susan Frank is in contact with "hs * Ag —_— . wes *. viduals in Communist Chinas” ee SED. woe It: Pos a - In 1962, a Chinese Communist dégected from Chinese Communist Embassy,Stockholm, Sweden. Ine defector stated on more than one occasion, _vegistered mail from U. S. was received at Chinese Communist Embassy and oF ane, was immediately turned over to Military Attache. Deféctor-nad no knowledge . : ff _« er FO
. oo Vannell to Sullivan | Res COMMUNICATIONS FROM UNITED STATES ZO HONG KONG AND COMMUNIST CHINA INTERNAL SGCURITY = CHINA of contents nor was he permitted to examine mail’to identify sender. Mail was handled with maximum security. CIA to date has not been able to furnish any feddit tonal )aata concerning this mail. JFL (b)(A) While it-is recognized proposed coverage necessitates use of unusual amount of manpower, its potential to penetrate Chinese Communist intelligence activities in U. Se requires exploration. program will more than Just ‘ty use of contemplated MANPOwWe? « REG OULENDA ILION: _ AG approv Le~San Francisco will be instructed to promptly place in effect overa e destined for Hong Kong and Communist China for period of three months. At end of varee months. san “Frane isco > WITT Submit rec ommendat ions re cont inuat LOMe ov we -” yt Lf successful,