Foreign Relations of the United States, 1945–1950, Emergence of the Intelligence Establishment

43. Memorandum From the Assistant Director (Ladd) to the Director of the Federal Bureau of Investigation (Hoover)⁰

Washington, November 5, 1945, 10:30 a.m.

SUBJECT

• World Wide Intelligence Set-up

I telephonically contacted Mr. Fred Lyon of the State Department and inquired whether he had seen Colonel McCormack and what Colonel McCormack might have advised him with reference to his plans for the intelligence set-up in the State Department. Mr. Lyon stated he tried to see McCormack all week and was unable to get in to see him until Saturday, and that he on that occasion told him that Mr. Braden had instructed that he contact McCormack, inasmuch as Braden was very greatly concerned over events in Argentina and in other parts of the western hemisphere. Mr. Lyon informed him Braden was concerned over the weakening of the structure of solidarity, and that he was very fearful that the whole set-up might disintegrate. Mr. Lyon stated he told Colonel McCormack he had talked with Mr. Hoover a week ago and had been trying to see him, McCormack, ever since; that the whole problem has now reached a point where the FBI is going to call back all of its people from South America unless something definite is decided, and Lyon told McCormack he wanted to know what his opinion was and what could be done, inasmuch as he, Lyon, and Mr. Braden were very much concerned over developments.

Mr. Lyon stated Colonel McCormack stated he did not know what to do or what to say; that the FBI’s continuance in this work outside the United States was something he was afraid would have to be decided by the Secretary, because (Colonel McCormack stated) only the other day Secretary Byrnes told him it was the President’s opinion that the FBI should not be in the international field, but should confine its efforts to the domestic field.

Mr. Lyon stated he told Colonel McCormack he was afraid that was a point that had not been thought through very carefully; that the State Department’s experience had been that the FBI had been working in this field for four years; that he, Lyon, and Braden knew the work it had done and knew that the FBI saw things the way the State Department did. Colonel McCormack then said that, “That is something I am afraid we will have to take up with the Secretary.”

Fred Lyon then stated that not being able to obtain any additional information from McCormack he advised McCormack he would again discuss this matter with Mr. Braden. He has been endeavoring all this morning to contact Mr. Braden for the purpose of talking with him about this matter and arranging for Braden to see Secretary Byrnes. He promised he would call me immediately upon securing a conference with Mr. Braden, in order that the Bureau may be kept up to date on this matter.

0. Source: National Archives and Records Administration, RG 263, Records of the Central Intelligence Agency, Troy Papers, FBI Documents. No classification marking.