◆ SpookStack

“Ofice “Memorandum . ° UNITED STAT 4 GOevVER TO 2 MR. D. Me. LADD — CONFIDENTIA DATE: pena 9 SUBJECT: Gos INTELLIGENCE (CRGANTZATION Ts ancovrmnspectassty TRA : 7,44 Reference is made to my memorandum to you dated Augist 2 29, mies Candy 2946, entitled "Basque Intelligence Organization; Administr _ ative.* Jtwas - | pointed out therein that our representative in Buenos 0 hoc -_ had written the Bureau | concerning the Basque Organization, whic e by our office thers. He pointed out that we were paying the Basques §2 #2 000 | monthly and that the present retuyhs from that group did not, in his opinion, warrant our continuing to pay s large sum. He indicated that he had discussed this with Jose Marigwe arte, the Head of the Basques in Argentina. arte said he realized that the volume of information submitted by his group had fallen off, This was due to the change in emphasis from coverage of Nazi cr ect1vit1o: Aili Sire cc: that a new (© arrangenent be worked out e pasques New Yor ty. Accordingly, the ! $c referenced memorandum was prepared suggesting that we reduce our payments in Argentina ta $1, 000 per month. A letter was forwarded te our New York office suggesting that the matter be discussed with the Head of the Basque Organiza~ tion there and that the Bureau be advised of the latter's reaction to our decision to reduce the pay of our Basque informants in Argentina. seas & radiogram has now been received from{i—_—_——bointing out that bic in view of the Present situation and the lack of information which the Basque Service is submitting in Argentina, he now-desires to discontinue their services altogether. He asks if this would distur e Bureau's relations with the — Basques in other South American countries.\t | = zo Ege eks OV = ot tee rw -Se This new suggestion on the part o =o at we discontinue now the use-of the Basques in the Argentine should Sere given serious consideration in my opinion, We have always placed direct i oe F- =e responsibility on our legal Attaches in Latin America for the employment of = Litiud all informants and their discharge when the returns received from them warrants _ : goRee such action. Therefore, I think we should treat this particular situation in ; Yd the same manner as we have thers and authorize our Buenos Aires office tf MAscontinue use.of the Basquesd The attitude of the Basques in other Latin san countries is no longer a Yactor which we need consider in view of the t we are definitely withdrawing from the 818 ee a the Bureau sais e a ee ee 0 Cr “DowiipenTia. te me nine eee ae MR et fan a mee ei