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MARAT - THEM INSTITUAL MRD RECORDS SERVICE WARNWEIST January 7, 1948 MEMORANDUM FOR HONORABLE CLARK M. CLIFFORD I understand Davidson has told the newspapers that he has written the White House to request Interior be given the right to make investigations and that if permission is granted they will produce evidence, witnesses, etc. You will recall question of whether a central agency should make investigations arose at the time the appropriation was requested and more recently. On both occasions it was determined, and in the later instance I know, by the President himself that the FBI would be the only agency to make loyalty investigations. This decision was stated in a cabinet meeting by the President, and I cannot conceive of the point now being raised by Mr. Davidson as Assistant Secretary without at least the concurrence of the Secretary being noted. The least that could be done would be not to report to the news- papers the fact that a given department disagreed with the President. This would seem especially true in light of the recent attack by Clifford Durr, Federal Communications Commission on the President's loyalty program. The point raised by Mr. Davidson was considered by the President's Temporary Commission on Employee Loyalty, the framers of the Executive Order setting up the loyalty program, and the Loyalty Review Board, comprised of prominent citizens whose Chairman is Seth Richardson. All reached the same conclusion, 1.0., that complete specification of charges, revelation of source of evidence, and confrontation of witnesses would not be possible in all cases. This conclusion was reached because it was recognized that in certain cases the information upon which the charges were based was of a confidential nature and that it would be impossible to specify the sources of the information, produce witnesses, etc., without destroying such sources of information and the usefulness of witnesses for further activity in this field. Many people do not realize that it has been necessary in building up the FBI subsersive investigative service to infiltrate subversive organiza- tions with secret agents and informers. These activities are