Memorandum re Alfred Kohlberg, Inc.

DEPARTMENT OF COMMERCE Office of International Trade Washington 25, D. 0. NATIONAL ARCHIVES AND Subject: Alfred Kohlberg, Inc. RECORDS (Alfred Kohlberg) SERVICE 1 West 37th Street New York 18, New York The following review of information on subject firm and Alfred Kohlberg is based on data in OIT files: Reports received during 1949 and early 1950 from the U. S. Consulate General at Tientsin, China, as well as from the U. S. Consulate General at Hong Kong, and from the State Department directly, indicate that the Kane Import Company of New York City, owned by a relative of Alfred Kohlberg or possibly actually controlled by Alfred Kohlberg, was exporting to and importing from the Chinese Communist controlled North China Foreign Trade Bureau. The Investigation Staff initiated an investigation into allegations that the Kane Import Company had exported technical and laboratory as well as arsenal equipment to the Communist Chinese. In addition the New York Office was investigating an around-thewworld shipment of Japanese copper to the Commmist Chinese through New York by the Kane Import Corp. Meanwhile the State Department requested the Investigation Staff, during its investigation, to determine whether Alfred Kohlberg had a controlling interest in the Kane Import Corp., and what, if any, relationship existed between him and the Kane Import Corp. or its President, Jerome Kohlberg. An application for the exportation of coke tinplate to Communist China, which had been received by OIT from the Kane Import Corp., was used as the basis for initiating investigative discussions with the Kane Import Corp. During the New York interviews in 1950 with Mr. Herman A. Lander and Mr. Walter Spitzer, Vice Presidents of the Kane Import Corp., 10 E. 40th Street, New York City, they stated that Jerome Kohlberg owned 100% of the stock of the Kane Import Corp. and also stated unequivocally that Alfred Kohlberg had no legal or equitable interest of any kind in the business operations of the Kane Im- port Corp. Mr. Lander stated that Jerome and Alfred Kohlberg are cousins but that he could not give further details. The following information relative to Jerome and Alfred Kohlberg was obtained at New York in 1950 from a controlled American source which had been charged with a discreet investigation in which government interest was not to be shown, relative to one Irving Short, former U. S. Army Repatriation Officer in Western Germany and who later allegedly worked for Alfred Kohlberg Inc. in Formosa: Short was allegedly the organizer, with Alfred Kohlberg's sanction, of an organization presently in need of funds but which would give military aid and instruction to Chiang Kai Shek's troops in Formosa. Reputedly Short had in 1950 the signatures of 7,000 Americans who are in, or were formerly in the U. S. Army, and 3,000 military men of various nationalities in West Ger- many, all of whom are willing to form a cadre of 10,000 for instruction and assi- stance to Nationalist troops. Alfred Kohlberg in a recent speech stated that he know of such a plan whereby American officers were to aid the Nationalist cause. DECLASSIFIED E.O. 12065, Sec. 3-402 State Dept. Guideline, June 12, 1979 COMM. LTR. By NLT-NC NARS, Date 9:12.10