FISCAL YEAR 1966-VIETNAM

HEARINGS

BEFORE THE

COMMITTEE ON FOREIGN RELATIONS UNITED STATES SENATE

EIGHTY-NINTH CONGRESS

SECOND SESSION

ON

S. 2793

TO AMEND FURTHER THE FOREIGN ASSISTANCE ACT
OF 1961, AS AMENDED

58-320

PART 1

JANUARY 28; FEBRUARY 4, 8, 10, 17, AND 18, 1966

Printed for the use of the Committee on Foreign Relations

U.S. GOVERNMENT PRINTING OFFICE
WASHINGTON: 1966

For sale by the Superintendent of Documents, U.S. Government Printing Office
Washington, D.C., 20402 - Price $2.25

COMMITTEE ON FOREIGN RELATIONS

J. W. FULBRIGHT, Arkansas, Chairman

CARL MARCY, Chief of Staff
ARTHUR M. KUHL, Chief Clerk

Statements of-

CONTENTS

1

Bell, Hon. David E., Administrator, AID; accompanied by Hon.
Rutherford M. Poats, Assistant Administrator, Far East, AID... 2, 92
Gavin, Lt. Gen. James M. (Retired).

Page

226

Kennan, Hon. George F...

331

Rusk, Hon. Dean, Secretary of State; accompanied by Hon. David E.
Bell, Administrator, AID, and Hon. Rutherford M. Poats, Assistant
Administrator, Far East, AID...

Taylor, Gen. Maxwell D. (retired)..

Insertions for the record-

2, 563
432

S. 2793, text of...

1

Estimated amount of U.S. military and economic expenditures in
Vietnam which pass through French financial institutions.
U.S. private investment in Vietnam during 1965.
Statement by the Under Secretary of State at the concluding plenary
session of the Geneva Conference, July 21, 1954----

Excerpts from Congressional Record regarding Senate debate on 1964
southeast Asia resolution_.

Free world assistance to Vietnam as of January 15, 1966.
Free world assistance for Vietnam..

U.S. military assistance to India during 1962 border incidents with
Communist China.

"Sixty Percent of Delta People Seen as Red Adherents," article by
Ward Just in the Washington Post, January 23, 1966.
"Only a Fourth of South Vietnam is Under Control of Saigon Regime,"
article by John T. Wheeler in the Evening Star, January 25, 1966-
Text of telegram from Ambassador Lodge, with letter from Dean Rusk
to Senator Fulbright dated January 27, 1966..

South Vietnam: Nation Under Stress, excerpt from book by Robert
Scigliano...

AID-funded and U.S. voluntary agency-funded personnel working in
Vietnam___.

Statement of Hon. David E. Bell, Administrator, AID_

Letter from Robert S. McNamara, Secretary of Defense, to Senator
Fulbright, January 28, 1966.

Vietnamese governmental control of markup in exchange trans-
actions

104

"A Fresh Look at Vietnam," article by Senator Edward M. Kennedy,
from Look, February 8, 1966.......

109

Vietnam budget revenues derived from import duties and AID-
financed imports.-

U.S. assistance commitments to the Dominican Republic, calendar
year 1965...

115

120

Distribution of rice imported under AID financing..

121

Estimated Vietcong assassinations and kidnapping of civilians, 1962-
65...

128

District capitals now controlled by Vietcong.

140

"The People's War," series of articles by Richard Critchfield, in the
Evening Star, January 25-28, 1966.......

142

Tax structure in Vietnam, internal taxes.
Free world shipping to North Vietnam..

168

173

"Viet Medical Aid to Increase-U.S. General Cites Civilian Casualties,"
article by Lewis Gulick, in the Evening Star, January 6, 1966---.

175