davidaulloa/AmericanStories huggingface dataset:
The Key West citizen. [volume] (Key West, Fla.) 1879-current, 1953-05-16

The chief feature ol the Sunday
Morning worship service u the
First Methodiss ( Old stOne) Church
viii be the Installation ok new Of
gicers for The Methodist Youth Eel.
l0Wihip. The following slste IL 81.
ficefS has been elected: President
Gary Gilbert yieereoident Bey-
eEly simmons, Sec Treas. Mill.
cent Taylog, Treas Mekh Dist
Youth Fund sAnira Duane, Rec
geatien Chm Teddy Key, Candle
chm. Peter Price. The Rev. y.
Paul Io1chi0n pastor 0f the
church viii speak q tie group on
the topic The Example Ck Chris
kinn Youth
Fe. N0io el.egIs hee eIcsen
RiAV &aR No. IlssrIsliB eF6p
Aisle RELEASES
hg III Ne eelsrtsry Is.
ira scsls - lnFlnlann II ~
Sstlilp Hrs nelr
USIs liI fnGIuSs chafhl PFe.
et UN nl ssweoli
selnsn0 Ke eiaF
d direct - q NJ Eafl A
sfA6a Wlls alss b ~ yeFlI
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Us. q Han D. y q NJ sf
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The Key West citizen. [volume] (Key West, Fla.) 1879-current, 1953-05-16

week indicated the Rev Mr.. STAT
ham We win be mailing litera.
tire and letters % All Of our mems
bership This Is preliminary to
Victory Day which We wilI o..
serve il our church Il the close
of the campaign.
John Wesley tie founder q
Methodisln, said The world & nv
parish. I AEethodisn since then r.
sent It's ministers to the four cor.
ners q TIE world
Evening star., 1953-11-18
General Report Made
To Vaughan Dec. a, 7o45

White entered upon his du-
ties and assumed the Office of
executive director for the
United States in the Interna-
tional Monetary Fund on May
l, 1916. What was known at
the White House of his eSpio-
mage activities prior to that
date?
On December 4, 1945. the
FBI transmitted to Brig. Gen.
Harry H. Vaughan, military
aide to the President. a report
on the general subject of so
Wet Espionage in the United
States" I referred to this in
my speech as the first report.
This was a secret and highly
important report of some II
pages. It covered the entire
subject of Soviet espionage in
this country both before. dur
ing, and after World War II.
1t named many names and de-
Scribed numerous Soviet es-
pionage organizations. Harry
Dexter White and the espio-
mage ring of which he was a
part were among those re-
ferred to in this report. The
index list refers to his activ-
tiles in three different places.
This report, as might be ex-
pected from its general char
acter, summarizes Whites es-
pionage activities in abbrevi-
ated form, but no reasonable
person can deny that that
summary, brief though it may
be, constituted adequate warn
ing to any one who read it of
the extreme danger to the Sc
curity of the country in ap-
pointing White to the Inter-
national Monetary Fund or
continuing him in Govern
ment in any capacity.
AS the subcommittee knows,
copies of this report were sent
to a number of cabinet officers
and high officials in the Tru-
man administration, including
the Attorney General. 1t
would be difficult to under
stand how under any cicum-
stances a document upon so
delicate and dangerous a sub
ject would not have been
brought to Mr.. Truman's at
Evening star., 1953-11-18
Denies Trying to Imply
Truman Was DisIoyoI

Before 1 do that, however.
! want to make certain pre-
liminary remarks. An infer
ence has been drawn in some
quarters from my speech which
I think is unWarranted. BY
lifting certain sentences out
of context it has been said that
I implied the possibility that
the former President of the
United States was diSloyal.
intended no such inference to
be drawn. In order to point
out that 1 intended no such
inference to be drawn, I Spe-
cif1cally said that 1 believed
that the disregard of the evi-
dence in the White case was
because of the unwillingneSS
of the non-CommunistS in re-
SponSible positions to face the
facts and a persistent deluSion
that communism in the Govern
ment of the United States was
only a red herring" In another
part of the speech I also
stated: The manner in which
the established facts concern
ing Whites disloyalty were
disregarded is typical of the
blindness which inflicted the
former administration on this
matter"
When I assumed the Office of
Attorney General, 1 promised
to expose evidence of Com
munist infiltration in our Gov
ernment and to expose cor
ruption, with evenhanded
justice. 1 intend to continue
to do SO. Some people won't
like it. but I shall not be de-
tered from carrying out my
duty by personal abuse.
When this subcommittee
completes it's investigation. I
believe that you will conclude,
as I did, that there was an
unwillingness on the part of
Mr.. Truman and others
around him to face the facts
and persistent delusion that
Communist espionage in high
places in our Government was
a red herring. And I believe
you will conclude that this
attitude. this delusion, may
have resulted in great harm
to our Nation.
Evening star., 1953-11-18
DiscIoses Details
From FBI Reports
Sent 10 White House

The teTt of Attorney General
Brol0nelPS prepared statement
read to the Senate Internal
Security subcommittee yeSter-
day follolDS:
Beginning in April, 1858. this
subcommittee has been holding
a series of hearings for the
purpose of exposing the plans
of Communist agents to in
filtrate the Government of the
United States. The work of
this subcommittee has docu-
mented with great care the
result of the very successful
Communist espionage penetra-
ton in our Government dur
ing World War II and there
after. Later on I will have cer-
tain recommendations for leg
iSlation which 1 would like to
submit for the consideration
of the subcommittee. I feel
confident that as a result of
the work of this subcommittee,
much constructive legislation
will result.
The Executive Department
of the Government which is
headed by the President. and
of which the Department of
Justice is part, has been con-
cerned since we took office
with cleaning out the Govern
ment. One of the most import
ant and vital problems is to
remove all persons of doubtful
loyalty and, most important, to
prevent any further Commun-
ist infiltration into the Gov
ernment of the United States.
On November 6 in Chicago,
I made a speech which was
one of a number of speeches
and magazine articles in which
I publicly discussed the prob
lem of Communist inflltration
in Government and the steps
taken by the Eisenhower ad-
minlStration to meet that
problem. In that speech I re-
ferred to the case of Harry
Dexter White and the manner
in which it was treated by the
prior administration to illus
trate how successful espionage
agents had been in penetrating
our Government at that time
and how lax our Government
was at that time in meeting
such a grave problem. This
afternoon I want to discuss the
case of Harry Dexter White
and the manner in which it
was handled by the Truman
administration on the basis of
established facts and the rec
ords in the Department of
Justice.
Evening star., 1953-11-18
Public Right to Know
OF Safeguards Cited

The White case seemed to
me to be of such vital i'm
portance that 1 believed the
public was entitled to know
what safeguards were taken
once our Government was
alerted to the two spy rings
operating within our own Gov
ernment-to protect the ma
tional security.
Of course, if the basic facts
of these two spy rings had not
been well established by pre-
viouS court procedures and by
congressional committees, I
would not have proceeded as
/ did. l fully realize the grave
responsibility which I have as
chief law enforcement officer
of this Nation not to use con-
fidential reports in my pos
session to disclose charges
against individuals except
through established court pro-
cedures. Those of us in the
Department of Justice will
never violate that basic con-
cept of our American juris-
prudence.
But the White case, of
course, is not that situation.
The basic facts of the two
Evening star., 1953-11-18

tention by at least one of his
associates.
But in addition to that fact,
I have here a letter from j.
Edgar Hoover to Gen.
Vaughan dated November 8,
1945.
AS you know, Gen. Vaughan
has testified before this SUBJ
committee that by arrange
ment with Mr.. Truman, when
the FBI had information
which it deemed important for
the President to know about,
it sent such information to
him. Vaughan testified that
he knew that any such report
which came to him was de-
livered to the President.
The letter I hold in my
hand is marked "top secret"
I have declassified it and will
make it public because it does
not reveal any security infor-
nation which would now be
damaging. Because it was
classified top secret" it
would have received very spe-
cial handling that all such
documents must receive. If
this letter did not come to
Mr.. Truman's attention. then
it would be a most serious
dereliction of duty on the part
of those who handled it.
Evening star., 1953-11-18

November. 1945, and it is the
results Of these efforts that I
am now able to make available
to you.
I also feel that it is incum-
bent upon me at this time to
bring to your attention an
additional factor which has
originated with sources avail
able to this bureau in Canada.
1T is reported that the British
and Canadian delegates on the
international Monetary Fund
may possibly nominate and
support White for the post of
president of the International
Bank, or as executive direc-
tor OF the International None
tary Fund. The conclusion is
expressed that assuming this
backing is Forthcoming and
the United States asquiescence,
it not concurrence, resulting,
Whites nomination to this
highly important post would
be assured. 1t is further COM
mented by my Canadian
source that if White is placed
in either of these positions, he
would have the power to in
f1uence to a great degree de-
liberations on all international
financial arrangements.
This source, which is appar-
emily aware of at least some
OF the charges incorporated
In the attached memorandum
against White, commented
that the loyalty of White must
be assured. particularly in view
of the fact that the U.S.S.R.
has not ratified the Breton
Woods agreement. Fear was
expressed that facts might
come to light in the future
throwing some sinister accusa-
tions at White and thereby
jeopardize the successful op-
GRAFTON of these important in
ternational financial institu-
tions.
I thought, you would be par
ticularly interested in the
above comments, which orig
mated with sources high
placed in the Canadian gov
Evening star., 1953-11-18

spy rings which existed in the
Government at that time have
been fully exposed in court and
before congressional commit
tees. This subcommittee re-
Gently published a very excel
lent report documenting those
facts. The only disclosure
which I made from our rec
ords, and I believe it is the
type of thing that the public
is entitled to know about, is
that the Truman administra-
ton was put on notice at
least as early as December,
1945, that there were two spy
rings operating within our
Government. And, as I see
it, now that this fact has been
established, I believe the pub
lie is entitled to know what
safeguards the Truman ad-
ministration established to
protect the national security.
In considering the facts in
this case it is we'll to keep in
mind that the matter to be
decided in January and Feb
ruary of 1916 did not relate
to criminal proceedings. It
was not a question whether
White could at that time have
been formally charged before
a grand jury with espionage.
The matter to be determined
by Mr.. Truman and his as
sociates was whether Harry
Dexter White should be ad-
vanced to a post of high honor,
great trust and responsibility
and of vital Importance to the
security of the country. If there
was solid evidence at that
time establishing that White
was engaged in espionage &C
tivity, certainly no one would
contend that sound and proper
administration required his
advancement or even continu-
ance in Government service
simply because a criminal con-
viction had not yet been OBJ
tanned.
Evening star., 1953-11-18
Quotes Hoover Letter
To)Vouqhon in November

1t is a document of his
torical Importance and I
therefore. with your permis-
sion, will quote it in full:
November 8, 1945
Top Secret
BY Special Messenger
Declassified
H.B.
11/16/53
Brigadier General Harry
Hawkins Vaughan
Military Aide to the President
The White House
Washington, D. C.
Dear General Vaughan:
AS a result of the Bureaus
investigative operations, in
formation has been recently
developed from a highly con-
fidential source indicating that
q number of persons employed
by the Government of the
United States have been fur
nishing data and information
to persons outside the Federal
Government who are in turn
transmitting this information
to espionage agents of the So
Wet government. At the pres
ent time it is impossible to de-
termine exactly how many OF
these people had actual knowl-,
edge of the disposition being
made of the information they
were transmitting. The in
vestigation, however, at this
point has indicated that the
persons named hereinafter
were actually the source from
which information passing
through the Soviet espionage
system was being obtained,
and am continuing vigorous
investigation for the purpose
of establishing the degree and
nature of the completely of
these people in this espionage
ring.
The Bureaus information at
this time indicates that the
following persons were par.
ticipants in this operation or
were utilized by principals in
this ring for the purpose of
obtaining data in which the
Soviet is interested:
DR.. Gregory Silvermaster, a
long time employe of the De-
partment of Agriculture.
Harry Dexter White. as
sistant to the Secretary of the
Treasury.
George Silverman, formerly
employed by the Railroad Re-
tirement Board. and now re-
portedly in the War Depart
ment.
Laughlin Currie, former ad-
ministrative assistant to the
late President Roosevelt.
Victor Perlow. formerly with
the War Production Board and
the Foreign Economic Admins
tration.
Donald Wheeler, formerly
with the Office of Strategic
Services.
Major Duncan Lee, ONCE Of
Evening star., 1953-11-18
Nomination Announced
Six Weeks After Report

1t is a blunt fact from which
there is no escape that. in the
teeth of the November 8 warm
ing from the FBI, the develop
ing evidence indicated a sub
stantial spy ring operating
within the Government and
involving Harry Dexter White
and the documented report de-
livered to the White House on
December 4, some six weeks
later President Truman, on
January %. 1916, publicly an
nounced his nomination Of
Harry Dexter White for ap-
pointment to the International
Monetary Fund. I just do not
understand this. 1t still seems
completely incredible to me.
But the matter does not end
there. Because of this develop
ment the FBI compiled a Spe-
cial report devoted exclusively
to Harry Dexter White and
his espionage activities and
delivered it. together with a
covering letter, by special mes
senger on February 4, 1916, to
Gen. Vaughan for the atten-
ton of the President, to the
Attorney General, Tom Clark,
and to Secretary of State
James Byrnes. This is the Sec
ond report mentioned in my
speech.
Secretary of State James F.
Byrnes, who received a dupli-
cate report and covering let
ter on the same day, wrote the
President on February S, 1916,
as follows:
This inclosed letter ad-
dressed to Mr.. Frederick Lyon
of this department by Mr.. j.
Edgar Hoover, and the in
Evening star., 1953-11-18
Strategic Services.

Strategic Services.
Julius Joseph, Office of Stra-
tegic Services.
Helen Tenney, Office Of
Strategic Services.
Maurice Halperin, Office Of
Strategic Services.
Charles Kramer, formerly
associated with Senator Kill
gore.
Captain William Ludwig Ull-
man, United States Army Air
Corps.
Lieutenant Colonel John H.
Reynolds of the United States
Army, a former contact of
Gaik Ovakimian, former head
of the Soviet Secret Intelli-
gence (NKVD) in New York, is
also apparently involved in the
Soviet espionage activities
stemming from Washington,
D. C.
In addition to the foregoing
group in the Government it
appears at this time that Mary
Price, formerly secretary to
Walter Lippmann, the news
paper columnist and presently
publicity manager of the
United Office and Professional
Workers of America, CIO. is
also associated with the fore
going group.
The Government documents
were furnished to Gregory Sill
vermaster, who thereafter
photographed them and
turned over the undeveloped,
but exposed film to a contact
of the SovietS in either WASH
ington, D. c. or New York
City. In the past, it is reported,
the contact man made trips to
Washington, d. c., once every
two weeks and would pick up
on such occasions an average
of 40 rolls of 35-millimeter
film.
Investigation of this matter
is being pushed vigorously, but
I thought that the President
and you would be interested in
having the foregoing prelimi-
nary data Immediately.
With expressions of my
highest esteem and best re-
CARDS.
Sincerely yours.
(S.) j. EDGAR HOOVER.
1t would be difficult to be-
lieve under any circumstances
that so important a document
upon so delicate and danger
Gus a subject would not have
been brought to Mr.. Truman's
attention by at least one of his
associates.
Evening star., 1953-11-18
Connot Disclose Second
Documents Contents

This second FBI report can
not, as I stated in my Chicago
speech, be made public with
out jeopardizing confidential
sources of information and
techniques of intelligence op-
erationS, That is a firm poll
icy OF this administration. We
will never impair the most i'm
portant work of the FBI by
making public FBI reports.
However. the essential facts
may be disclosed to this sub
committee.
AT the outset the purpose
OF the report is stated in the
following language:
"The purpose of this mem
orandum is to relate all of
the information available at
this time concerning Harry
Dexter White, his activities
and contacts in order that
an overall picture may be
available for review, action
or future reference. This in
formation has been received
from numerous confidential
sources whose reliability has
been established either by in
quiry or long-established OBJ
servation and evaluation. In
no instance is any transaction
or events related where the
reliability of the source of
information is questionable. 1t
is with these factors in mind
that the following material is
set forth"
The report then proceeded
to point out that information
had come to the attention of
the FBI from a confidential
source that Harry Dexter
White was engaged in espio-
Evening star., 1953-11-18
Browne Says White Case Reveals Laxity Toward Red Threat

mage activities at least as early
as the latter part Of 1912 or
early in 1943. It was reported
that White was supplying in
formation consisting of docu-
mentS obtained by him in the
course Of his duties as Assist
ant Secretary of the United
States Treasury Department
to Nathan Gregory Silvermas-
ter and to William Ludwig
Ullmann who resided at 5515
Thirtiath street NV, WASH
ington, D. C.
The material consisted of re-
ports of a varied nature con-
corning the financial activities
of the United States Govern
ment. particularly if they re-
lated to foreign commitments.
Also various memoranda and
reports from other govern
mental departments and
agencies were made available
through these channels. It
was reported that these docu-
ments had usually been re-
duced to photographs by the
time they were observed but
on occasions the original
documents themselves were
seen.
During the investigation of
these charges. it was learned
that a complete Photographic
laboratory did in fact exist in
the basement of the Silver
master home sufficiently we'll
equipped for the copying of
documents. This included an
enlarger, developing equip
ment and all the necessary
chemicals and other Incl
dentals.
Evening star., 1953-11-18

closures referring to Harry
Dexter White, I deem of such
Importance that I think you
should read them"
I will now read into the
record the FBI letter, now Of
ficially declassified, transmit
ting the White report:
Declassified
HB
11/16/53
February /, 1946
Personal and Confidential
BY Special Messenger
Brigadier General Harry
Hawkins Vaughan
Military Aide to the President
The White House
Washington. D. C.
Personally Delivered 2/4/46
r
Dear General Vaughan:
AS Of interest to the Presi-
dent and you, I am attaching
a detailed memorandum here
to concerning Harry Dexter
White. Assistant Secretary of
the United States Treasury De-
partment.
AS you are aware, the name
of Harry Dexter White has
been sent to Congress by the
President for confirmation Of
his appointment as one of the
two United States delegates on
the international Monetary
Fund under the Breton Woods
agreement. In view of this
fact, the interest expressed by
the President and you in mat
tiers of this nature, and the
seriousness of the charges
against White in the attach
ment, 1 have made every effort
in preparing this memorandum
to cover all possible ramifica-
tionS. AS will be observed, in
formation has come to the
attention of this bureau
charging White as being a
valuable adjunct to an under
ground Soviet espionage or
ganization operating in WASH
ington. D. C. Material which
came into his possession as a
result of his official capacity
allegedly was made available
through Intermediates to
Nathan Gregory Silvermaster,
his wife, Helen Witte Silver
master, and William Ludwig
Ullmann. Both Silvermaster
and Ullmann are employees of
the United States Treasury
Department, repeatedly direct
ly under the supervision of
White.
The information and docu-
ments originatin G in the
Treasury Department were
either passed on in substance
or photographed by Ullman in
a well-equipped laboratory in
the basement of the Silver
master home. Following this
step, the material was taken
to New York City by courier
and made available to Jacob
M. Golos, until the time of his
death on November 81, 1943.
Golos, known Soviet agent,
delivered this material to an
individual tentatively identified
as Gaik Ovakimian. Ovakimian
you will recall was arrested
some years ago as an unregis-
tered agent of, the Soviet gov
ernment and subsequently, by
special arrangements with the
Department of State, was per-
mitted to return to the u. S.
S. r.
After the departure of Gaik
Ovakimian, Golos delivered his
material to an individual who
has been tentatively identified
as DR.. Abraham Benedict
Weinstein. Subsequent to the
death of Golos, the courier
handling material received
from the Silvermasters and
Ullman delivered it through an
unidentified individual to Ano-
tole Borisovich Gromov, who
until December 7, 1945, was
assigned as First Secretary of
the Soviet Embassy, Washing
ton. D. c., when he returned
to the u. S. S. r. Gromov had
previously been under Suspi-
cion as the successor to Vas
sill zubilin, reported head of
the NKVD in North America,
who returned to Moscow in
the late summer of 1914. This
whole network has been under
intonciua iYoyoctioo &i0,1 e;,ona
Evening star., 1953-11-18
Papers Usually Copied
And Delivered to GoIos

These documents, consist
ing of notes taken therefrom
or verbatim copies, were
usually photographed and de-
livered through channels to
Continued on Page AT, Col. L.
Evening star., 1953-11-18

ernment, on the subject at
hand.
With expressions Of my
highest esteem,
Sincerely yours,
(S.) j. EDGAR HOOVER.
Evening star., 1953-10-08
Arlington Employees Favor
New Retirement Plan

Employees of the constitutional
Offices of Arlington County have
voted approval of a proposed
new retirement ordinance be-
ing considered by the County
Board.
The constitutional employees
so called because the offices are
set up in the Virginia constitu-
tion-work in the Offices of Com
missioner of Revenue, Common
wealth's Attorney, Treasurer,
Sheriff and Clerk of Circuit
Court.
The group designated the dep
uty commissioner of revenue,
Irwin Quigg, to represent them
at public hearing on the ordl-
nance to be held by the County
Board.
Jack H. Foster, county per-
sonnel director, and R. G.
Forbes, assistant to the county
manager, explained a proposed
plan which combines a county
system with social security.
The employees met last night
at the Courthouse.