404-10218-10039 | oO __ PROCESSING ACTION [vara FC@ sNOTING Chief of Station, Mexico City XX {yo scoune etqueso CALY QUALIFIED DESE CAR AACE IRDOUNG Operational /KUWOLF LIHBUFr ACTION REQUIRED REFERENCES Headquarters that this (Prosecs “will not °° ee ACTION: See paras 5 & 6 REF: HMMA-20931, 22 March 1963 1. The LIHUFF Project hus been stidied fully and thoughtfully by WH Division, including a review by Oliver G. GALBOND, It has also been discussed with the KUWOLE.——— Staff officers who review such projeats for approval” After thorough consideration, it is the consensus“in _&. The reasons tor tris decision are’ several: re a. @ LIHUFF organization Mas sources of funds t other than KUBARE and would conguct its activities [ without spport from KUBARK. J project to fund the organization is therefore une essary feveral members of the LIHUFF organization are also monbors of the LISIREN organization. One of them recently discussed the LISIREN operation with Thomas A. BRENT in Headquarters and is under no illusions about ODYOKE funds, if not KUBARK funds, going into the LISIREN operation. éreover, the Similarity of funding Hechanisns between SIREN and LIHUFF, the similarity of operations, and otker such parallels would, for a thinke ing Mexican, be sire than coincidence and would eventually rob LIHUFF of any cover that it might have. The potent.ial security problea is not justified. ' (continued) Attachment: IDEN-A p7s/c Distribution: 0&1 — COS, Mexico City w/att u/s/c CROSS REFERENCE TO DISPATCH SYMBOL AND NURIBER DATE HUMW-11518 25 April 1963 CLASSI CATION HQS FILE RUMBER : . t SECRET 50-124-28/3 OFFICE 1 = RI w/att WH/3 /Mlexicd/ 1 = Chrono COCROINATING UEEACE St DATE OFF WER S 3 SNATURE CWHD eres J. Cc. King | 1 1 the ty cae eet i NT eC = bas ustpsa alba ac. fn shee *
14-00000 “* _" * c Loo CONTINUATION OF Wingaincanion DISPATCH SECRET ‘ c. Many of the activities contemplated in LIHUFF are already fully covered by other operations of the Station. LIAUFF would not contribute enough beyond the overlap to be justified. d. The Project would tend to put too much reliance on conservative olemente, around whom we have already built a sizeable proportion of our program in Mexico. Headquarters does not wish to expand further our involve- ment with these elements. @e. We have noted, in both LIHUFF and LISIREN, the réluctance of Mexican businesamen to contribute to anti- communist programs because they cannot deduct the contri- butions from their income taxes. As a matter of principle, we are moved to ask why ODYOKE funds should be spent in any program--whose primary objective, after all, is to preserve the capitalistic system under which these Mexican industrialists hold and increase their affluence-~ 4f those who will benefit most materially and most directly from it are unwilling to contribute without gome recompense. Should the PBPRIME taxpayer assume the burden of helping those who are unwilling to share that burden? We feel he should not when he bears such a heavy burden all around the world. 3. The lack of a formal project relationship would not prevent the Station from using the LIHUFF organiztion from time to time on a targets~-of~opportunity basis, as has been done in the past. In such cases the Station could use its D& TO funds. This use should be limited, and the outlay of funds should be minimized as much as possible. 4. The contribution of Station funds for the publication of Identity A may continue to the end of FY 63. Beginning 1 July 1963 we would like the Station to phase out this expense at whatever rate seems most suitable, but the phase- out should be completed by 31 December 1963. Further contri~ butions cannot be authorized beyond that date. 5. Please inform us of the Station's intentions regarding LIHUFF-~1. He can be kept as a cutout to LINUFF, but with the curtailment of KUBARK's connection with LIKUFF, his services will not be used enough to justify the salary that has been proposed. The Station may either reduce his salary or use him more fully on other operations in order to justify it. The latter, of course, is contingent on his suitability--- in terms of security considerations, his aptitude for certain types of operations, his own preferences, time available, and a0 on--~to serve other cperations. If the Station “cannot make profitable use of LIHUFF=-1 in other operations, it may termin- ate him at its discretion. If the Station plans to keep LIHUFF-1, he should be placed under a project as soon as his operational use is determined. If it is not feasible to put bim under the project that he will be working on, then a separate project should be written to cover hin. END OF DISPATCH OISPATCM SYMBOL AND NUMBER TMM -11518 2 casera marten atom piper tpan yk hm Speman pent oe eB cma Tee An oe Hap ne Se eae meme emracerenyeanceea Atrantetmnee rere minn tn tmnt me eee een ree aemeRERAN ese ffi me SANNA. ent MEER FERGAL ett te ‘ . —— . tt 2 conten amen oom om mse ome wag tt precited ere eta nam ett nr a i nn ides asta 4 a eames aan a ia ace woes gee , z me trae oats -ogeps on eemrte seat ne oP ae yaya a snco -prael Toteeh Rabin et a0 ui edad ta oa ota be Le poltndd Acldtabeite Hae ave manne CARROL Ronn emis nin Vated eos tate et fantanne, ednner sa “dBi
os oa apres ey seine - on oe - ied wee Papen cers ame at dy teas PRE Use sym erat ata e Bee ie to Syme a ok 1a gov Aageee emer ~ koe, ome oN 3 Y~ aver po tee Xe te a I * ° . tL eR Eee 1g Began ee wey ; " - ae ke ee wwe ae Noy Spee a apt tee eran ge meee meee ome i : Po} \ Ei a | a 5 | fr. ; . 3 : z 8 Oo 4 = A a t a a @ ¢ i Aa . . Ow pen 5 on 4 . ee we ~ . cone ee teres ¥ : : . ee EAS ee tea ee ee er a ee es FRR ORR OR EET Te At et re aaiwomiee ace , % % Unl