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THE WHITE HOUSE WASHINGTON s SERVICA REGORDE October 24, 1947 MEMORANDUM FOR THE PRESIDENT The following is a resume of the facts regarding the con- duct of loyalty investigations. With respect to present employees, the Executive Order provides that upon receipt of derogatory information from the FBI obtained through a check of its records, "each department and agency shall make or cause to be made by the Civil Service Commission such investigation of those employees as the Head of the department or agency shall deem advisable. " (Part VI 1b) There are also other parts of the Executive Order which indicate the departments and agencies may make their own loyalty investigations. (Part II lb - Part III 2b) There, however, appears to have been a change in the think- ing on this point to the end that all investigations of present employees should be made by the FBI. This change apparently came about from the fact that the FBI had been carrying out investigations of Federal employees under the authority of the Hatch Act, and as the FBI had been directed and designated by the President to coordinate all matters related to espionage, etc. and to have jurisdiction over espionage matters involving civilians. Furthermore, the FBI had an organization built up to handle investigations of subversive activities which had gained public acceptance, and to authorize other agencies to conduct such investigations would be duplication. It was apparently also felt that the FBI was more efficient than any other existing organization in this field. Crystallizing this change in thinking was a meeting with the President attended by the Attorney General, Mr. Mitchell of the Civil Service Commission, Mr. Vanech and Messrs. Clifford and Ross in which the Attorney General, by memorandum of May 1 addressed to the President, states it to be his understanding that it was the President's decision that all investigations of government employees against whom there is evidence of disloyalty be conducted by the FBI.