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ADDENDUM: GTQ:jo 5/7/74 John Clements telephoned today 5/7/74 to advise that, according to John Miller, the Hearst Corporation has decided not to approve offering a public reward in connection with ‘this case. According to Clements, the Hearst organization, however, is willing to make $100,000 to $200,000 available to the Bureau, on a confidential basis, to use as the FBI sees fit to develop information to bring this case to a logical conclusion. Clements indicates the Hearst organization does not want the "notoriety" of becoming involved in adjudicating to whom such monies should go but merely wishes to confidentially turn funds over to the FBI for our. disbursement. It was specifically pointed out to Clements that in response to one of the questions posed by Miller, as set forth in material furnished to Clements on 5/1/74 (attached) that under no circumstances would the FBI enter into any negotiations regarding the distribution of reward funds but would only furnish the necessary information to the appropriate persons designated by the Hearst Corporation to adjudicate its disbursement. } . Clements noted that a memorandum is being placed in the mail to him from Miller setting forth the details of | the Hearst organization's decision in connection with this matter. He said he anticipated having it in hand and over to us tomorrow morning, 5/8/74. ; Finally, Clements also advised that Randy Hearst has indicated to Hearst officials that on his own he now intends 1 to announce a public rewayd, details concerning which neither he (Clements) nor, to his knowledge, the Hearst officials have. In this regard, Charlie Bates has advised Mr. Gebhardt that Randy has indicated to him that he proposes to offer a $50,000 reward, hopefully to be announced in the ; San Francisco. Examiner tomorrow. Hearst has further advised that he has commitments from two other donors for $50,000 each at the present time. Hearst has indicated to Bates that the reward will be offered for information leading to the safe xeturn of his daughter. ~ Tet we OD Ash aaa