To that extent they have encroached on the powers of the individual States.

That is the end; that is page 85.

Mr. GOODWIN. That completes your comments?

Miss CASEY. Yes, sir.

Mr. GOODWIN. Have you anything?

Mr. KOCH. Just for the record, Miss Casey, what other reports are in the works, so to speak, of the staff?

Miss CASEY. As far as I am concerned?
Mr. KOCH. Yes.

Miss CASEY. The others are mentioned on page 3, and the ones covering international affairs, politics, propaganda, and political activities. The reason for making this report as the first is because the same methods are followed in their other activities when these foundations substantially follow the setup that they put into effect in connection with education generally.

Mr. KOCH. Those additional reports are not ready yet; is that right? They may be ready next week or the week after?

Miss CASEY. That is right.

Mr. KOCH. So this is all you have to present today?

Miss CASEY. Yes.

Mr. KOCH. That is all we have to present today.

Mr. GOODWIN. Any questions, Mr. Hays?

Mr. HAYS. No questions.

Mr. GOODWIN. If not, thank you very much for this survey. It shows ample research certainly, and the committee will endeavor to match your industry by our careful reading of the survey.

Mr. HAYS. One question, and not on the report. I think to keep the record in some sort of focus, I don't believe, and I am sure it was inadvertent, that Miss Casey was originally sworn just briefly to testify about some other matter that came out at the time. Could you give us something about your background, Miss Casey?

Miss CASEY. Yes; I will be glad to. I went to public

Mr. GOODWIN. That doesn't require any information about the date of birth.

Miss CASEY. I was wondering about that. Although I would not mind saying it, I will date myself by my activities.

I am a lawyer. I graduated from law school right here in Washington, Columbus University, a small law school that recently became affiliated with Catholic University.

I have taken various other legal subjects at Catholic University and George Washington University. I did my undergraduate work at the University of California in Berkeley.

My earlier education was in public and parochial schools in the District of Columbia. I have been a lawyer for the last 16 years. (Discussion off the record.)

Miss CASEY. I started to say I have practiced law since 1940 as a trade association executive and general counsel, and I have practiced before the various Government agencies. I am a registered lobbyist, and have appeared before congressional committees.

Mr. HAYS. You are a registered lobbyist at this point?
Miss CASEY. You never lose it, do you?

Mr. HAYS. I don't know. I have never been one. I just thought it might not make very good headlines if somebody would write that the committee had a registered lobbyist on its staff.

Miss CASEY. Perhaps I should say I was a registered lobbyist.
Mr. HAYS. I think that would be more preferable.

Miss CASEY. Does that cover the extent to which you wish to go, you want me to go further?

or do

Mr. HAYS. That is sufficient.

Mr. KOCH. Did you ever write a book?

Miss CASEY. Yes, called Bituminous Coal Code, Annotated, I have also written articles for the magazines on various subjects, including several in connection with the Interstate Commerce Commission, before which I had a fairly extensive practice.

Mr. GOODWIN. I listened in vain for any reference to any activities east of the Hudson River.

Miss CASEY. That is where all have been. My practice has all been in Washington, D. C., Mr. Goodwin. I am admitted to the bar in the District.

Mr. GOODWIN. I referred to the Hudson. Let me say specifically New England.

Miss CASEY. The organization which I represented for some years had a good many members in New England, Mr. Goodwin. It was an agricultural group.

The CHAIRMAN (presiding). In your work with the trade association, I assume it was necessary that you write those articles?

Miss CASEY. At times, but frequently I was requested to write on a particular subject not necessarily connected with my work. I have been admitted to the Bar of the District of Columbia, I am a member of the Bar of the Supreme Court, and have been admitted in the States of Maryland, Pennsylvania, and New York by motion.

Mr. HAYS. That is all.

The CHAIRMAN. Thank you. It is now approximately 4 o'clock so I presume there would hardly be time to take up anything else. As I understood from your conversation just now, it was anticipated that Miss Casey would probably run until tomorow, and you had no one else scheduled.

Mr. WORMSER. That is right.

The CHAIRMAN. Anticipating closing at noon tomorrow.

Mr. Kock. Somebody put a long plea for a long weekend a couple of weeks ago so can we start on Tuesday morning?

The CHAIRMAN. That would be my inclination.

Mr. HAYS. That suits me. Of course, I don't have the dynamic program for next week from the leadership yet.

The CHAIRMAN. This farm program is coming up and that ought to be dynamic enough.

Mr. HAYS. Could we get some information?

The CHAIRMAN. Mr. Counsel, what is the outlook for next week? I am familiar with one aspect, but you go ahead and state it.

Mr. WORMSER. Mr. Reece wishes some evidence to be brought in on the League for Industrial Democracy, and the American Labor Education Service, and the Twentieth Century Fund. Beyond that, except for occasional interludes for reports which I presume will be introduced shortly, we want then to bring on the major foundations who should have an opportunity to appear.

I would like to discuss with Mr. Hays and Mr. Reece also possibly in what order to put them. I want to suit their convenience as much as I can. I would like to get in touch with them individually and perhaps clear with you two first how it should be done.

Mr. HAYS. I don't know anything about this League for Industrial Democracy, except what I heard here, but are you going to subpena somebody from that organization? I don't want to be obnoxious about it, but I want to know a little bit specifically what we are going to do.

The CHAIRMAN. We anticipated having someone to make a summary of their publications and activities from propaganda and political viewpoints, more or less, and then have some official from the league.

Mr. HAYS. You mean you are going to have someone outside of the organization?

The CHAIRMAN. Yes.

Mr. HAYS. Can you tell me who that is going to be?

The CHAIRMAN. I have in mind Mr. Ken Earle, who was formerly with the Senate Internal Security Committee, who is familiar with the subject, and has done a good deal of research. Mr. Wormser, with my understanding, had requested that he prepare a written statement which we hope will be available Monday for the members of the committee.

Mr. WORMSER. I would like to have as much guidance as I can get on organizing the program.

Mr. HAYS. By the way, right now, what progress have you made in getting the additional material on Facts Forum that I asked you about?

Mr. Kосн. We wrote in for it last Friday.

(Discussion off the record.)

Mr. Kосн. That is in the works now.

Mr. HAYS. Can you follow it up with a wire and get that in, because I am at a sort of standstill.

Mr. Kоcн. Mr. Hays, Miss Casey said she telephoned so it will speed it up.

The CHAIRMAN. So far as I know, the committee will meet in this room. If there is any change, there will be an announcement made of it. So the committee will stand adjourned until 10 o'clock Tuesday morning.

(Thereupon at 3:55 p. m., a recess was taken until Tuesday, June 15, 1954, at 10 a. m.)

TAX-EXEMPT FOUNDATIONS

TUESDAY, JUNE 15, 1954

HOUSE OF REPRESENTATIVES,

SPECIAL COMMITTEE TO INVESTIGATE

TAX-EXEMPT FOUNDATIONS,
Washington, D. C.

The special committee met at 10 a. m., pursuant to recess, in room 304, House Office Building, Hon. Carroll Reece (chairman of the special committee) presiding.

Present: Representatives Reece (presiding), Goodwin, and Hays. Also present: Rene A. Wormser, general counsel; Arnold T. Koch, associate counsel; Norman Dodd, research director; Kathryn Casey, legal analyst; John Marshall, chief clerk.

The CHAIRMAN. The committee will come to order.

Mr. Wormser, who is the next witness?

Mr. WORMSER. Mr. Earl is the next witness.

The CHAIRMAN. Mr. Earl will take the stand. Will you qualify? That is our custom. Do you solemnly swear the testimony you are about to give in this proceeding shall be the truth, the whole truth and nothing but the truth, so help you God?

Mr. EARL. I do.

Mr. HAYS. Mr. Chairman, before we proceed, I would like to put this in in the form of a request, and I hope the committee will see fit. to grant it. I received a copy of Mr. Earl's testimony late yesterday afternoon at my office sometime, and I don't know exactly how long, apparently not as long as I had first thought, after the press gallery had received their copies. I had only time to read it over.

And I want to make it clear that I don't know anything about the League for Industrial Democracy. As a matter of fact, I don't know as I have heard of the organization prior to these hearings.

I am not, and I don't want to be, in a position of defending it or condemning it, either one at this time. But since Mr. Earl's testimony is full of prominent names, it is full of paragraphs taken out of context, which I thought I had demonstrated was a dangerous proceeding, I would like to have an adjournment of 24 hours for the purpose of evaluating this testimony so that I can intelligently comment or question Mr. Earl about it.

over.

It may be that everything in his testimony is true. On the other hand, there may be quite a number of things that I would like to look And I think before we go ahead and name all of these prominent names, and I want it made clear that I don't intend to name any myself this morning, I believe, Mr. Chairman, under any kind of rules of procedure whatever that it would be only fair that we do have a chance to try to evaluate this so that we can intelligently talk about it.