DISPATCH-LIEMPTY PROJECT RENEWAL.
Originator: CIA
From: CHIEF OF STATION, MEXICO CITY
To: CHIEF, WH DIVISION
Document date: 10/25/1963
Document type: PAPER - TEXTUAL DOCUMENT

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1704-10414-10400

2022 RELEASE UNDER THE PRESIDENT JOHN F. KENNEDY ASSASSINATION RECORDS ACT OF 1992

DISPATCH

Chief,

WH Division

CLASSIFICATION

SECRET /1520

TO

ire.

FROM

SUBJECT

Chief of Station, Mexico City

LIEMPTY Project Renewal

ACTION REQUIRED - REFERENCES

xX

PROCESSING ACTION

MARKED FOR INDEXING

NO INDEXING REQUIRED

ONLY QUALIFIED DESK

CAN JUDGE INDEXING

MICROFILM

Action:

Renewal of Project

Forwarded herewith and under separate cover is the Station's review

of Project LIEMPTY for purposes of renewing the project for the period 1

December 1963 through 30 November 1964. The amount requested to fund the

project for this period is sus 49,700, or approximately the same as tas

approved for the past project year.

RECORDS OFFICER STAMP

authorized: -

Signed:

R.0. #630 - Uait -

WH/1/R

Note:

If

destruction,

cito

Attachment:

reasons

and

coordinate

As stated above ppropriate.

Herewith and Under Separate Cover

Distribution:

- C/WHD w/att h/w&us/c

CROSS REFERENCE TO

GROUP. 1

Exstadad fron autumatir

techaziliatiog

65 COPY

DISPATCH SYMBOL AND NUMBER

*HNMA-22387

CLASSIFICATION

SECRET /A

50-6-7411

DATE

25 October 1963

HQS FILE NUMBER

50-6-74/1

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13-00000

SECRET

SECRET/

LIEMPTY

PROJECT

Mexico City

STATION

Case

Officer

Mieland (Garte

Willard C. CURTIS,

Chiet of Station

50-6-74/1

SEORET

CS COPY

ILLN/ PARTIA HMMA-222381

50-6-741!

SECRET/

8S GOFi

ENCL*/FARTIE HNANA-22387

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SEGDE

I. CURRENT

OBJECTIVES

AND PRODUCZION RELATED THERETO

•A.

Oliver G. SCANTLING Segment (in relation to project objectives.)

1..

"To collect operational information pertaining to LIMERICK personnel

and physical facilities." SCANTLING has continued to provide worthwhile in-

formation in support of this objective. (See previous project review forwarded

by HMMA-20052 of 18 October 1962.): During the past year SCANTLING was used to

follow up leads produced by both LIFEAT and LIENVOY in support of this objective.

In particular SCANTLING provided, in blueprint detail, casing reports on the

homes of two Soviet intelligence officers who are targets for Station technical

SCANTLING also is used to aid the Station in maintaining current records

of the residences of Soviet personnel living in Mexico.

This is accomplished by

SCANTLING's followup of LIENVOY leads which indicate Soviet interest in renting

specific properties.

""To collect operational information pertaining to other targets of op-

portunity, foreign official installations and personnel of intelligence interest

operating

in Mexico."

SCANTLING has proved successful in providing information

on other Station targets:

a super sent i sa on on out at on per somet

against this target.

b.. SCANTLING provided a casing of the former Yugoslav Commercial

Office against which the Station had planned a technical operation.

However, this site was evacuated by the target mission before

plans were completed for this attempt.

c .

SCANTLING has conducted detailed investigations in various cases

Involving possible agents or contacts of hostile intelligence ser-

These cases were of prime concern to Station Mexico but

frequently were undertaken at the request of Headquarters or other

Stations.

"To provide support to other Station operations as may be requested by

the Station officers concerned." In the past SCANTLING's activities in this area

vere concerned primarily with recruitments, debriefings and surveillances.

the reporting period, however, the weight of SCANTLING's support to otherStation

operations have taken other forms. Examples from this area of activity: include

the most fruitful efforts on SCANTLING's part?

SEGRET

SEGRET

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SECRET

8AG2

2-

a.

c.

.d.

Support of the sensitive AMROD operation, in which Raymond H.

GERENDE also played a vital role, was of

singular importance

to

the success of the operation. SCANTLING's many fields of op-

erational experience were drawn on fully and he thereby provided

a unique contribution to the operation.

Without the assistance

Of SCANTLING and GERENDE with their unique qualifications,

this

operation would have been difficult in the extreme if indeed at

all possible.

In support of the Station's harassment campaign against, Juan Jose)

AREVALO Bermejo,) launched' at the request of Headquarters,

SCANTLING again provided the means for carrying out a large portion

of the action taken. SCANTLING's efforts ranged from the mailing

of "poisoned" candy to the target to the placing of threatening

phone calls. SCANTLING also made calls to various Mexican news-

papers and mailed "montage" pictures of ARVALO and a Soviet in-

telligence officer to (Guatemalan newspapers in the campaign to

discredit and discourage (AREVALO in the (Guatemalan Presidential

campaign.

SCANTLING is used as the alternate contactin a sensitive LAURICLE

project.

This is for the purpose

of minimizing the danger of the

action agent in this project being recognized as being in contact

with an obvious PBPRIME citizen.

SCANTLING's contribution to this

operation has been noteworthy both from the standpoint of security

and agent handling.

SCANTLING continued to conduct numerous pretext and neighbornood

investigations.

As in the past many of these investigations were

in relation to highly sensitive cases.

4.

Although SCANTLING'S LIEMPTY project objectives can not be completely

fulfilled, 1t is the Station's opinion that SCANTLING continues to make valuable

contributions to the objectives of the project and to other Station activities.

SCANTLING's production, measured against monetary expenditure, case officer time

and other intangibles factors, unquestionably justifies his continuing as an

B. Raymond H. GERENDE Segment (in relation to project objectives):

I. "To collect operational information pertaining to LIMERICK personnel

and physical facilities thraugh use of photographic basehouses."

Thrae photo-

graphic bases, LIMITED; LILYRIC and LICALLA, contribute to these objectives.

Although SCANTLING now acts as cutout with the LIMITED base, GERINDE continues

to be responsible for the processing of all photo take from the LIEMPTY operation

including take from LIMITED. To avoid repetition, the Station is omitting the

description of the functions of these three bases and how they contribute to the

above objective. This was fully described in the 1960 Request for Project Reneial

(HMMA-15979) •

SEGRET

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(

$ 62

3-

2.

"To collect operational infornation and identify operational leads

pertaining to Station targets of opportunity.

The LIENIRAP operation,

handled by GERENDE, is still the major contributor to this objective.

LIENTRAP operational emphasis continues, to remain in the area of photo stakeout

of prominent Mexican Conmunists and is presently working fulltime on providing

pictures of individual Communists, homes suspected of being meeting sites used

by the Communist Party and the Communist Party. Headquarters

itself.

LIENTRAP

has also recently begun to be used on KNICK leads. :

It is

expected that

activities of TENTRAP In that latter area will expand in the coming year.

"To provide operational support to Station operations including the

renting of hotel rooms and safe apartments, renting and servicing of post office

boxes, and conducting counter-surveillances."

GERENDE's contribution to the

AMROD operation was noted in paragraph I.A.3.a. above. GERENDE's comprehensive

area knowledge and personal operational capabilities enable him to make a

valuable contribution in such operations as AMROD and also enable him to procure

the most desireable safe sites in support of the Station's operations.. The

project's assets, particularly GERENDE and LIEMPTY-10, presently provide 20

post office box mail drops for use of Mexico City Station and other Stations.

Although it is planned to reduce this number considerably during the next year,

(since other Station assets now can provide a number of live accommodation

addresses), a number of post office boxes will be retained for use in future

4.

The quality and quantity of operational information produced by the

photographic bases and other activities under GERENDE's control and supervision

is considered by the Station worthwhile and in some cases unique.

cluded, therefore, that this segment of the LIEMPTY Project should be continued.

C. Relationship to the Related Mission Directive

As noted in the examples given above, Project LIEMPTY has provided valuable

support to many Station operations and thereby has been a contributing factor to

the fulfillment of the Related Mission objectives of the Station.

The project

has not produced any positive intelligence nor is it intended to do so..

project's sole purpose is to provide a nechanism for the development of opera-

tional information.

TI. : CHANGES

The one major change

made In the LIEMPTY Project was the replacement of

GERENDE by SCANTLING as cutout with the LIMITED basehouse.

so as to provide GERENDE with

more time for rapid processing

of the LIEMPTY

hote SCANTLING Is closer in age to him than 1e GRaNDE.

for better ragport with the basehouse keeper (LIEMPTY 6)

ouise Ji MACRINO (ps) suffered a recurrence or the heart condition whicl

nearly caused her: death approximately eight years ago. Complete rest has beer

Eirs

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SEGRET

SEGOET

4-

ordered by her doctors and an operation may be necessary in early 1964.

It is therefore unlikely that she will be able to work during the coming

project year. Station does not plan to request cancellation of her operational

clearance at this time, but has not included salary payments to her in the

(below) sectionfor the coming year is due to this agent's new duties of LIFEAT

processing in addition to her old duties as translator.. Agent's OA was amended

III:

EFFECTIVENESS

The comments made: concerning the project's effectiveness in the Project

Renewal of 1960 (HMMA 15979) remain valid.

Indeed the Station's need

type of services provided by the assets of this project are at least as great

today as they were when those comments were originally forvarded.

IV: PROBLEMS

There are presently no known major problems facing the operation which would

affect either the security or the effectiveness of this operation.

problem facing the LICALIA portion of the operation and described in HMMA-15979

and subsequent renewal requests has been resolved by the Cuban Government's release

of three KURIOT personnel earlier this year.

As was noted previously, one of

this group had knowledge of the LICALLA operation.

Both SCANTLING and GERENDE took the LCFLUTTER during the month of October

1963. No security problems were revealed by this test.

V. PLANS

The Station considers that the project is operating at its optimum size and

does not plan to expand it during the coming year..

Efforts will be continued to

refine and better utilize the existing project organization and to improve the

compartmentation and security.of the project.

#VI.

COSTS

A. Past Project Year - Station records show that Project LIEMPTY expended approx-

imately SUS 30,680.00 during FY 1963 (1 December 1962 - 30 June 1963) and has

to date in FY 1964 (through 30 September 1963) expended SUS 7,020. Approximately

sus 10,300 will be expended during the last two months of the project year.

This will make a total expenditure for the project year of about us 48,600 or

sus 1,300 under that which was allotted for this project.

B. Nest Project Year -

Of the total sus 49,700 budget, itemized below, approxi-

mately. SUS 30,290 will be expended in FY 1964 and the remainder SUS 19,410 in

FY 1965.

SECRET /

SECRET /

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SEDGET

5-

AGENT SALARIES

including X'mas bonuses)

Raymond H. GERENDE

Oliver G. SCANTLING

Louise J. MACRINO

(at $us 2.02 per hour)

I.TEMPTY-4

LIEMPTY-5

(at US 1.75 per hour)

LIEMPTY-6

LIEMPTY-7

LIEMPTY-8

LIEMPTY-9

LIEMPTY-10

LIEMPTY-11

L.TEMPTY-12

LIEMPTY- 13

LIEMPTY-14

LIEMPTY-19

LIEMPTY-24

SUB TOTAL

OPERATIONAL EXPENSES

Transportation:

Maintenance of MV-2279, MV 2284,

MV 2236

SSOME

SUS per year

6,000

5,500

no salary

2,400

1,000

3,700

no salary

2,400

3,600

4,400

2,500

2,000

2, 000

2,000

2,000

no salary

SUS: 39,500

2,000

FY 1964

SUs 24,340

FY 1965

Sus 15,160

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VIl

VILI.

6-

Operational Expenses

SUS Per Year

FY 1964

FY 1965

Real Estate

Rent, utilities and maintenance

of basehouses -

LIMITED*

LICALLA*

LILYRIC

3,300

1,700

1,200

Procurement of safehouses, post

office boxes, and rental of

automobiles

500

Purchase of information, documents

and bribes

SUB TOTAL

- 500

9,200

5,390

3,810

Repair, maintenance and purchase of

replacement photographic equipment

and purchase of film

SUB TOTAL

1,000

1,000

560

440

GRAND TOTAL

$US 49,700

SUS 30,290

Sus 19,410

EMERGENCY CONDITIONS

Emergency recontact arrangements for Oliver G. SCANTLING and Raymond H.

GERENDE are on file in Headquarters (see HMMA 15982 of 23 November 1960 and

HMMA 15981 of 23 November 1960. For further information see project renewal

request of 1960 forwarded by HMMA 15979.

TRAINING

No training, other than that withih the competency of SCANTLING or GERANDE

to sive, is anticipated for the comins project year.

NOTE:

LIMITED and LICALLA rents are returned to Station by LIMOUSINE and credited

to LIMESA expense.

50-6-74/1

50-6-74/1

HNA A - 22351

EMCLE/ PART OF MMANd: 22387

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