FOREIGN OPERATIONS AND GOVERNMENT INFORMATION SUBCOMMITTEE

GOVERNMENT INFORMATION

1. Declassification of Security Information.

(a) Summary.-The subcommittee's continuing oversight of procedures in the Defense Department and other agencies for declassifying or downgrading national security information has resulted in the development of procedures to reduce the volume of stored classified documents.

(b) Previously unreported beneficial results.—The Defense Department established an agency to set up guidelines for the classification and declassification of security documents. As a result of a reduction in the amount of material filed under expensive security conditions, an annual saving of $1 million is estimated.

2. Administration of Armed Forces Broadcasting Stations Overseas. (a) Summary-Following a March 1962 committee report on oversea military information programs the subcommittee has continued to work with Defense Department officials responsible for the radio and television stations which broadcast information, educational, and entertainment programs to American servicemen overseas. The Defense Department implemented a committee recommendation to consolidate the supply and servicing of the broadcasting activities so that each military service now handles these functions for all stations under its control instead of permitting the local U.S. military commander to finance logistics.

(b) Previously unreported beneficial results.-Defense Department officials report that the improved funding system will permit consolidation of a number of functions and result in an annual saving of $2.5 million.

LEGAL AND MONETARY AFFAIRS SUBCOMMITTEE

1. Crimes Against Banking Institutions.

(a) Summary.-In the 88th Congress, 1st session, House Report No. 1147, the Eighteenth Report by the Committee on Government Operations, bearing the above title, was issued on February 20, 1964, after hearings. This report made numerous recommendations intended to reduce internal and external crimes against banks and savings and loan associations with a view to minimizing injuries to persons and monetary losses to banking institutions and the public.

The subcommittee has continued its study of this area, including the intrusion of criminal elements into banks, and related matters. (b) Previously unreported beneficial results.-Among its recommendations the subcommittee had urged that consideration be given to legislation which would permit the supervisory agencies to approve or disapprove major changes in management arising from changes in control or ownership of institutions they supervise, and to exclude underworld elements from becoming directors, officers, or employees of banking institutions.

A major step in that direction was taken by the Congress in the enactment of Public Law 88-593 in August 1964 which provides for reports of changes in control of insured banks to be filed.

Also, Public Law 89-695, the Financial Institutions Supervisory Act of 1966, provides the Federal bank supervisory agencies and the Federal Home Loan Bank Board with cease-and-desist powers as regards unsafe and unsound practices by banking institutions, and with authority to remove officers and directors for personal dishonesty.

2. Judgment Collection Practices and Policies of the Department of Justice.

(a) Summary. In the 88th Congress, 2d session, House Report No. 1640, the Twenty-Second Report of the Committee on Government Operations, bearing the above title, was issued on July 31, 1964, after hearings. This report disclosed that the Department of Justice was not making full use of its facilities in connection with the collection of judgments and that in the 5-year period 1958-63 the Department wrote off some $91.1 million in judgments as uncollectible without disclosing, or even being certain of, the specifics on which such action was taken.

The report made numerous recommendations for the purpose of improving collections, as well as suggesting better use of systems already established in the Department to ascertain more accurately the amounts of judgments outstanding and their collectibility. Further study is underway to determine the extent to which the recommendationns have been put into effect by the Department and the results obtained therefrom.

(b) Previously unreported beneficial results. Following this study, the Department, in testimony before the House Appropriations Committee, reported improved collections totaling $23 million for an 18month period. Additional improvements in collections were reported by the Attorney General to that committee in February 1966, when, in discussing the $78 million collected by the Civil Division in 1965, he said:

A year ago, I told you about our concern for speeding up the collection of debts to the U.S. Government. I am happy to report that with new strength in the U.S. attorney's offices, and hard work in Washington, the Civil Division collected twice as much in calendar 1965 as in 1964, and very nearly twice as much in fiscal 1965 as against the fiscal 1964 figures. After this subcommittee's study, the Department sponsored the Federal Claims Collection Act, Public Law 89-508 (July 19, 1966), which permits agencies to settle claims up to $20,000 under general standards developed by the Department of Justice. This should have the effect of reducing the Department's litigation for collections load, with consequent savings.

RESEARCH AND TECHNICAL PROGRAMS SUBCOMMITTEE

Since the subcommittee was established in the 89th Congress, there were no subcommittee activities carried over from the previous Congress.

SPECIAL SUBCOMMITTEE ON DONABLE PROPERTY

Because the subcommittee was reestablished in the 89th Congress after an interval of one Congress, there were no subcommittee activities carried over from the previous Congress.

SPECIAL SUBCOMMITTEE ON INVASION OF PRIVACY

Since the subcommittee was established in the 89th Congress, there were no subcommittee activities carried over from the previous Congress.

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Printed for the use of the Committee on Government Operations

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U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 1966

COMMITTEE ON GOVERNMENT OPERATIONS

WILLIAM L. DAWSON, Illinois, Chairman

CHRISTINE RAY DAVIS, Staff Director JAMES A. LANIGAN, General Counsel MILES Q. ROMNEY, A88sociate General Counsel J. P. CARLSON, Minority Counsel WILLIAM H. COPENHAVER, Minority Professional Staff