DISCUSSION OF RUFUS (DELETED) MARCH 54 BUDGET.

Created: 3/1/1954

OCR scan of the original document, errors are possible

No. 39

CONTACT REPORT

Data I lace1 Safo House wAa Persona Present i Boh FORD and LT ubjecti Discussion of RUFUSC 3Marchudget Discussioni

1. After receiving detailed instructions fromI re-

turnod to discuss witbC. Jthe floriousness which was Involved in tho successful coordination of the preparation of the comments

on his

2* dvised hia, point by point,/of tho items whichomoraduaaren, prepared specifically for mo by NOT TIRO, at tho request of DONBAR.r- Jy in most of the points, was perfectly agreeable to the Items which we requested that he moke comment on to RUFUS.

3- Spooifloally, C ac agroeablo to the fact that RUFUS should utillEO the GROUPvs soouro channels of communication. C a oomplotoly agroeablo to the faot thnt propaganda budgets should be submitted aftor consultation with hln, and after advico from the advisors of the GROUP ln tho fiold.0 agreeable to the fact that RUFUS should bethat ANDRES should bo token into fuller confidence, and that in moree be guided by advice which ATfDRES might be able to assist him with. ZJ was extromoly agreeable to advising RUFUS that information bo secured regarding the political set-up as it exists in Guatemala, particularly in view of tho fact that is the one in charge of tho political organization, ZJ was also agroeablo to advising RUFUS that, in the future, any messages sent by him via ANDRES should bo dirocted tof* nd not to the GROUP, f" as also willing and quite agroeable tolarification on tho tromondrm* increase of tho RUFUS budget as also agroeablo to checking tho various military Items which had been dotalled by DON RICARDO. Inhe was agroeable to ro-omphasizing his request ofr rom the scone and substituting for him another equal individual which RUFUS had promised somotimo ago. Ho was also willing to refresh RUFUS* mind regarding thegreement and to remind him thnt, although we hnd complied with everything on our sldo of tho fonce, he, RUFUS, certainly had not eonpllod with all of tho agreements which he had made in bo-half of thoJJNTA; that, thorofore, It would bo necessary to check very cloooly those items which they had advised they would do in return for tho old which they are receiving. In all these items which constituted the backbone of the budgot, CZ wasto indicate that RUFUS bring some sort of clarification to

Contact Report39

the requests which ho had mode.

CT as advised that JUAN JOSS would go to RUFUS in thenear future of tor RUFUS hadletter* ::

a? quite happy about this and cold thai ne bollovod-that this would help clear tha troubled waters. aterdvised hla that possibly DON RICARDO would go to nee RUFUS.

3 was extremely happy regarding this now bit ofsaid that this would undoubtedlyreat deal to doup and oloaring up pending natters which were notin tho budget outlined, which RUFUS hadfinishing thegain advised tl of thelnportance of the project in which ve were now launched incause, and advised hie of the largo amounts of aoneyand nan-hours which were being put into this onpart, but which RUFUS saw little of and whichccording to Instructions from DUNBAR, Xup to hi:n, but this timeore forceful manner,toirtual showdown with RUFUS regarding his good In carrying out promises which he had made atnAgreement inr xplained that this was allbecause of theeffects which wore caused,by the matter of logistics alone,lack flight into this country with aof military equipment for the nlddlo of May tractat this time nov, and therefore va would havo toin our Binds, as far as the GROUP was concerned,was willing to conply with certain regulations whichstipulated in return for this vast amount ofwhich ha ls to receive.to this that he

would neverraudulent action on tho part of RUFUS, or any other leader in this group, and that if he onceraudulent action, be it onart or any other leader's part, ho vould immediately donounoo him and eliminate him from the organization, C aid there was no part in this organization or In his JUNTA for people whotheir business with fraudulent intent. id not press the matter further,ndicate as in the past, that wo had no indications that thereersonal dishonesty an RUFUS1 part, but that it wasatter of our inability towhat had become of certain funds ln the pest and what the purposes wore for the unusually large funds requested for the future. tated this was the reason that we wished to sand both JUAN JOSE end RICARDO to WSHOOFS. tated that It was everybody's feeling that undoubtedly these facts would become clear, but that certain purposes and operations on RUFUS* part vould have to be glorified and vould have to be made clear to us, so that ve oould continue with confidence in the future.

dVlsod that he was quite in agreeaont and that* Inletter to RUFUS he would bring forth many of these pointswere discussing* He stated that he vould showopy ofbefore he mailed It to

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