a. f.-[ mre SECTION x) SECURITY TNFORMANTS AND CONIQPENLTIAL SOURCES 5. Utilization If confidential source is to be used for assistance in seovrity or racial investigations, secure Bureau approval, and background -( data must be furnished to the Bureau of the same type which is required for potential security and potential racial informants, Except in espionage and foreign nationality matters in which the frequency of contact is dependent upon circumstances of the individual case, confidential sources on whom pending files are maintained should also be contacted at least once every two wesks in the same manner - as security informants, . Records of contaots with confidential sources who have pending files may be posted. Contacts with confidential sources should only be made by the Agent or Agents specifically designated for that purpose, The letter to the Bureau requesting authority to use a sudject as a confidentiel source is to set out clearly the following informa tion: : (1). Background information, including date and place of birth, : citizenship status, residence, employment, credit and arrest record, and service record, if any (2) Details of the expected cooperation of captioned individual as a confiderztial source, together with the results of any interviews conducted with him (3) A statement to the effect subject is being considered a con— fidential source and that he will be advised he is not a Bureau employee and of the confidential nature of his relation-- ship with the Bureau. In addition, a statement should be made that you will be alert to be certain subject is not a plant, and if he is connected with a labor union he will be advised of Bureau policy on labor matters, One of the required copies of the letter requesting 2: lority to use a subject as 2 confidential source should consist o: if the first page of the letter.] If the request is approved at.t: ‘ureau, a- stamped notation will be placed on the[single—pagejco;. «wnd[it will belreturned to the field indicating that authority is granted to consider subject as a confidential source, Letters requesting such authority are not to be transmitted to the Bureau until subject is sufficiently cooperative and all necessary background inform!’ on obtained, 6. Security and racial confidential sources — certification of stab y and payments Qe be 7. GAft Gift 8. Dise Advi ther MW 55072 Doold: 329995 Every four months a letter of justificatic should te submi* : the Bureau requesting continuation of pay: ~%8 to secourit: wi ah confidential sources, See 107N, 3b, for f.cm of letter. If the security or racial source is not being paid on Burs thori za tion and is being used regularly, t: 2 Agent handling the s....2 must dictate a memors.°1m to the SAC for the file containing the same certification ar -o stability and reliability as required by payment letters. . ; . . 8 s to sources shall not be reclaimed as blue slip items: ontinuance se Bureau when confidential source is discontinued, and the reasons éfor, . . co 26 3-16-50 - 29 Page 1539
SECTION 107. ©. cc2xrr TNFORM:NTS AND conrry Das SOURCES f. If the informant receives from outside employment less than $4800, all of which is subject to Social Security tax, the amount on which he will have to report for Secial Security tax purpeses, if he com. pletes a schedule C, is the difference between the amount received from regular employment and $4800. g. If informant completes a schedule C, the nature of business of the self-employed must be stated and informants should be instructed to use as the nature of self-employment any applicable occupation with- out revealing connection with the Bureau, . [h. When an informant or former informant is initially considered a3 a potential witness in a Bureau case, determine whether he paid Federal and state taxes on the income he received from the Bureau for his services. If such taxes have not been paid, obtain all pertinent details and promptly submit recommendations for handling the situation, J 7. Stipulation re payments made to witnesses . ; a, In trials in which informants, former informants, or other persons who were paid sums of money are prospective witnesses, the Bureau must furnish the Department a set of Photostats of the original recelip.: signed by the prospective witnesses, The original receipts and a 6 . of Photostats will be transmitted to the field office in whose ' territory the trial will take place. The office handling prosecut‘on must determine from the Government attorney which individuals are to be used as witnesses. Thereafter the office should furnish and/or cause other appropriate offices to furnish to the Bureau the follow— 4ug information: The correct, full name All aliases, code names, and symbol numbers The first date of contact by your office If first contact was prior to September, 1944, the names of all SAs, SACs, and ASACs who contacted and may he... 2de payments (5) A tabulation of all payments, broken down as - re amount avpli- cable to services and the amount applicable penses. Although tabulations are not furnished to *: + partment, those prepared by your office will be reconcile’ ish Bureau records. (6) A listing of any advances, refunds, and ec’ .tanding balances of advances 3} The date of.last contact by your office 8 Whether the individual has been contacted by any other office bd. Each individual and each item of information must be e- -sunted for, If no contact was made with a particular individual, t+. Bureau'must be so advised,. ‘ co Where an informant has previously been used and a tabul: ion of pay= ments was prepared, information for items (5) through (f; need be given only from the date of the’ last triel from which the ind3 dual was used, . a, The above information should be submitted separate and - .'t from correspondence setting forth derogatory inform: “ion, an’. ould be addressed to the attention of the Administrativ. Divisic |. Voucher ‘Unit, Interdivisional corre-pondence should be addressed to the Bureau with copies designate* for the interested offices, 8. Receipt of unemployment compensa*ion . - a, At times security informants -ud/for sources temporarily lose their jobs with private industry due to -itrikes, economic conditions, or sim lar circumstances, As a result ‘cy become eligi 2e for unemployment compensation. Where unempl:, ont regulations require listing of . % sources of income as a prer, _isite for obtaining = employment compensation and security in’. -sants and/or soure2.. who at the tine are being paid by the Bureau .: services renders’ “=i1 to comply, the situation is potentially -.1Larrassing, The ¥. +>: canzot be Placed in the position of cundoning a violation o” ~ esa Law on the part of any informant or source, Each field offiz °..5 determine from state unemployment compensation officials effect of u.employment f . compensation laws on paid informants and/or sources, Depending on \ local requirements, informants and sources must be alerted accordingly. * ) mses aw. aan 2i 5-18-62 NW 55072 Doold: 32969525 Page 154060 wn
167H -- 0 SECTION 107 ©. ocirns LNYORMANES AND CONFIDENTIAL SOURCES NW 55072 b. Whenever a paid informant and/or source becomes unemployed or has knowledge of impending unemployment, discuss all facts with him and submit observations and recommendations to Bureau, Unless advised to the contrary by the Bureau, follow recommended action. Hach office must assume the responsibility of guarding against informant's accepting a Bureau payment that would conflict with unemployment compensation laws, At the same time, weigh seriously the possible reed for an informant to apply and accept unemployment compensation to peoteot his security. Fellow members of the pertinent subversive ovganization may be aware of his unemployment status and would expect him to apply, Where a state requires notification of Bureswu payments to informants that would necessitate disclosure of their identity, then Bureau payments snould be discontinued during the period they receive unenployment compensation benefits. 9, Handling money and property received by Gouble agents &@, Double agents must turn over to the Bureau any money or property received from their principals in connection with the double agent fjntelligence operatio:. This should be made clear to the double agent at the inceptior :% the operation (consider obtaining a signed statement to this eff.°.}, Exceptions to this rule must be speoifi~ cally approved by the kureau, Entirely «sparate arrangements must be made for payments to double agents fo. services rendered to the Bureau, be Any money or property received by a double agent from his principal resresents possible future evidence and the double agent should exucute a statement describing the money received by type of currency, denomination, series of issue, and serial number and appropriately describing any other property received, This statement should be signed by the double agent's code name, ec. Money or property received from double agents should be retained as evidence in accordance with section 3, part II, Manual of Rules and Regulations. . a. Bureau Agents receiving such money or property from double agents should make independent records for retention for purposes of refresh= ing recollection in the event testimony is later necessary, , SEMIANNUAL LETTER A semiannual letter should be submitted to the Bureau by each office as Pollows: 1, List the symbol numbers of a11 security informants and confidential / gources being paid under Bureau authority (not SAC authority) for services or expenses, If the confidential source has no symbol number, list his name. : . 2. <Also list the symbol numbe.-. 3f a11 security informants not paid under Bureau authority. 3. Set forth any comments cor-...ning the prevent wtatus of the informant coverage of the office, tog:ther with informa*t:un concerning what actions are being taken to improve the security informant coverage. 4, As a Separate section of the semiannual letter, list under "Headquarters City" and each resident agency all subversive organizations broken down into each division and unit thereof, such as clubs, committees, and chapters. ° . Under each unit the approximate membership, together with the symbol numbers and positions of security informants affording coverage, sheuld be set out, Whe xno informant coverage exists or where coveraile provided by inf. «nts or sources who are not members, such factor ould be shown relatiy “«o each unit, Semiannual letters may include any additional pertinent information re informant coverage that may be helpful in over-all evaluation, such as informants in other divisions who are occasionally utilized and highly placed informants who furnish area-wide, national, or international information. 22 5~-18—62 Bocld: 32989529 Page 1541
SECTION 107. O:urwy INFORMANTS AND CORFTDENQAL SOURCES 1LO7N (2) Residence and employment (If no change since last justification letter, merely state "no change." [ (3) Current membershipfand position held]jin subversive organizations . [ [(When justification is submitted for racial informants, sub- [ stitute the word "racial" for the word *subversive.")] (4) Summary of information furnished and/or services rendered during pertinent period (5) Amount paid for services and expenses by month - (Initial justification letter should set forth améunt, if any, ~ ever paid under SAC authurity. ) iS} fype and number of meetings attended and other activity 7 Number of written and oral statements submitted (List separately.) +8} Information furnished of unusual value Approximate number of persons on whom informant furnished coverage and their importance — {29} Steps being taken to advance informant Stability and reliability (Set forth personal weaknesses, domestic difficulties, indications of untrustworthiness or unreliability, or o‘Yner similar problems presented by informant, and steps being t. --~ to prevent any such situations from later becoming source of - .»rrassment to the Bureau. ) (12) Indoctrination against disclosure * (State whether every opportunity has been taken to properly indoctrinate informant against making any disclosure of his relationship with Bureau through any media. ) {23} All necessary aotion taken on information furnished 14) Miscellaneous (Any other matters concerning informant's operation which should be brought to Bureauts attention) (Where applicable, substitute potential informant, confié. . al i source, panel source, or source of information for the :: . nformant,*) c. When payment to an informant has been authorized for a ‘° .2 period of time, advise the Bureau at least two weeks i: ee of the expiration of the period for which payment has been = «oo *aned-as to whether the s-* -vices of the informant are to be con? tan a. Every four m' ‘hs a letter of justification should i- - abmitted to the Bureau re; iesting continvation of payments. Fol’. form in subsection 3b, . e. Letter requesting authority to continue (increase, -. spease) payments to an . “ormant should be submitted in duplicate exec: 5 that the copy 8:.vld@ consist only of the first page of the letter. When paymen*s as requested by the fi-"d are approved, the single~page copy will be stamped "Apr .ved" at the Bureau and returned, If the recommendation is not ap» «ved, correspondence will be prepared and transmitted to the ficld, £. In org -r for this system to function properly, payment 1.. rs must be explicit. g. When payments are authorized by the Bureau, it is the pervronal responsi~ bility of each SAC definitely to assure himself that full value is being received, h. Discontinuance of payments ~ If at any time it appears the information being produced by the informant is not commensurate with the payments being made to him, the payments should -ve immediately discontinued or adjusted accordingly and the Bureau promptly advised. i. Bxatraordin: +oy expenses — . In connec? sn with the operation of peid informants, if any extraor—- dinary ex; .1ses are anticipated for which approval has not been given, | obtain specific Bureau authority. 19 10-13-61 NW 35072 Doold: 329595259 Page 1542 : ,