◆ SpookStack

1. Subproject 42 was established in part to provide the Agency with Ir.istration of a facility for conducting experiments involving tr.e covert a c physiologically active materials to unwittin g subjects. 2. The facility was set up by providing Mr. Morgan Hall with a safehouse in San Francisco and furnishing mm with tr.e necessary materials and funds to carry out the approved program'. Mr. Kali m turn carried out part of the program with the assistance of certain individuals wr.o covertly administer this material to other people m accorcar.ce w-i.r. r.ia ins .ructions . For their assistance in this program tr.ese incivicuals are paid small sums in cash at irregular intervals. 3. Due to fV., ur.pr tr.ocox nature 1 - :: these activities and the considerable risk incurred by tr.ese ir.civicua is , it is impcssio.e iO recu that they provide a receipt tor tr.ese payments or tr.at tr.ey ir.dica.e tr.e precise manner in which the funds were spent. ire 4. These small expenditures by Mr. mall will, tr.eretore, appear as cash withdrawals from his account tor wr.icr. no receipt from tr.e ultimate recipient will be required. Eacr. of tr.ese operations will be . epOi ^ed upon in detail to the Chief, TSS /Chemical Division and individually will bear his approval when Mr. Hall submits his monthly accounting. SIDNEY GOTTLIEB Chief, TSS /CD APPROVED: