Appendix G:

Confidential Government Report on
Cummins Engine Company (J. Irwin Miller)
and Financing of Marxist Revolutionary
Activities Within the United States.

 

I. INTRODUCTION

This Section has been reviewing available data on various; philanthropic foundations in an effort to determine if their activities are consistent with their announced goals. In this instance we have made n preliminary analysis of the Cummins Eugine Foundation which although a legitimate philanthropic enterprise, nonetheless would appear to serve as a conduit for funds to support black militants and organizations which are known to consistently promote radical revolutionary activities.

This analysis roughly outlines the data presently available. Obviously, there is considerably more to be learned concerning CEF's overall activities. Additional inquiries to the Fill are contemplated and liaison has already been established with the Internal Revenue Service in an effort to develop our respective interests.

Unfortunately, the complex nature of this tax exempt foundation does not lend itself to an easy explanation. It is suggested that the reader make frequent reference to the attached chart which will hopefully enhance understanding of the organization.

II. BACKGROUND

The Cummins Engine Foundation (CEF) was established in 1954 as a philanthropic organization by J. Irwin Miller, Chirman of the Board, Cummins Engine Coral)any, Columbus, Indiana. Mr. Miller is a highly respected 62-year old civic leader who in recent years has devoted much of his time and money to various charities and religious pursuits. He is regarded as a part of the "avant garde of the civil rights movement."

CEF is financed solely by Cummins Engine Company, which is the parent of a worldwide concern reputed to be the largest independent producer of high speed diesel engines. In 1970 CEC's pretax profit was $44,564,365.00, of which five percent was allocated to CEF. CEF generally receives one to three million dollars annually.

CEF is comprised of two sections: (1) the original County Related Philanthropic (CRP), which provides money for educational, health and social welfare projects in Bartholomew County, Indiana and (2) the General Philanthropic (GP). which was established in 1908. Little is known about the operations of the former and this report deals exclusively with the known activities of the GP section. which shares the pretax profits with the CRP.

In an effort to assist in the cultural and economic development of the nation's black people, CEF's GP section provides large sums of tax-free dollars which are distributed through program directors in five cities, viz., Baltimore, Washington, D.C., I,os Angeles, Atlanta and Chicago. There appear to be no auditing procedures once the funds have been allocated by CEF to the program directors. This situation creates broad opportunities for misdirection or misappropriation of monies. The overall thrust of this report, therefore, is to illustrate how a seemingly munificent activity can, by divers means, serve to aid the objectives of radical individuals and organizations.

Specifically, CEF has provided a vehicle whereby:

(1) Monies were given to one organization earmarked for the use of another organization which in turn has recruited black activists to participate in revolutionary training in Communist China in December 1971:

(2) CEF contributed $5,500.00 during 1970 to the Institute for Policy Studies (IPS). A Resident Fellow of IPS also serves as the Washington Program Director for CEF;

(3) CEF funds are utilized for the purchase and operation of printing equil)-ment ultimately used by groups advocating revolutionary social change;

(4) A close working relationship exists between organizations funded by CEF and certain Marxist-Leninist organizations. One of these is headed by James Forman. a principal advocate of black revolutionary training abroad;

(5) A CEF Program Director was indicted for inciting to riot during a demonstration at a peniteutiary in October 1970 while serving as a self-appointed spokesman for prisoners' grievances:

(6) The aforementioned Program Director has purchased a 130-acre farm in his name. apparently using CEF funds. The announced purpose for the farm is that it is to be used as a youth camp to "train children in self-defense and in African culture":

(7) Seemingly irregular fiscal practices exist with respect CEF-funded organizations:in Baltimore and inordinate amounts of money are dispensed for such items as "materials";

(8) The possibility exists that certain "dummy" organizations have been created in order to siphon-off funds which are destined for otherwise legitimate activity.

III. DETAILS

To date the primary area of investigation into CEF activities has been concentrated in Baltimore, Maryland. The paucity of information concerning CEF funded activities in Los Angeles, Atlanta, Chicago and New York stems from the fact that investigation bas not yet been actively instituted in those areas. For this reason the scope of this report will be limited mainly to those activities of CEF in the Baltimore, Maryland area.

The CEF Program Director in Baltimore is Walter Lively, a 29-year old black activist who since 1961 has been variously involved with the Socialist party, CORE, U-JOIN (a jobs for blacks pro,ram he organized in Baltimore), SNCC and the Urban Coalition. He now heads the Baltimore Neighborhood Commons (BNC), a corporation through whose bank account CEF channels a portion of its money. Presumably, CEF money enabled Lively to establish the Liberation House Press. which currently offers a full range of printing services at cut-rates to "radical groups." Lively, with his fellow BNC officers, Austin Sydnor and Kenya Kiongozi, also operates the Liberation Bookstore. The BNC, the Liberation House Press, Liberation Bookstore, and an office of the International Black Workers Congress (IBWC) are all located at the same address in Baltimore. Lively, Sydnor and Kiongozi also maintain close liaison with the UBWC, the Black Panther Party (BPP) and SOUL, School (SS), and significantly, these individuals were arrested and indicted for inciting to riot at a BPP-SS rally at the Maryland State Penitentiary in October 1970.

In December 1970, Lively purchased for $15,000.00 a 130-acre farm in Bedford. Pennsylvania, where Liberation Press and SOUL School are to build a youth camp to "train children in self-defense and African culture." (SOUL School is a "non-profit educational institution" whose literature in the past has advocated black revolution.)

The matador in which BNC funds are expended seems to suggest a lack of auditing procedures. From December 21. 1970 to September 17, 1971 a total of $46,-887.62 was withdrawn from the BNC account. Of this amount, checks totaling $17.135.00 were made payable to Cash or an officer of the BNC, usually for reason of "materials" or "supplies." It should be noted that checks totaling $2,-830.14 were made payable to companies which deal in paper and printing supplies and $11,50S.00 was withdrawn for purchase of a printing press. Similarly suspect are the activities of organizations which have received CEF funds through BNC and Lively.

In 1971 CEF made available $12,000.00 to BNC designated for the National Association of Black Students (NABS). an organization whose stated purpose is to provide a communications network for black college students. As of Novem-her 1971 NABS was recruiting revolutionary black students to travel to China with a group recruited by William Epton's Marxist-Leninist Collective. The express purpose of the trip is to provide training for student organizers to further revolution in the United States.

At least $5,000.00 from CEF was sent to BNC in 1971 marked for the Frantz Fanon Institute (EFI). FFI is allegedly an educational entity dedicated to inculcating Marxist-Leninist teachings in the minds of workers and students. Although a reference to its inception was made by radical activist James Forman at a NABS meeting in December 1970. the actual location of FFI is presently unknown. The available description of FFI's structure anti program was found attached to an International Black Workers Congress (IBWC) mailing list. It should be noted that James Forman founded IBWC and traveled to Algeria in 1970 obstensibly to gather information for a book he was writing about Frantz Fanon.

In September 1971 the three officers of the BNC traveled to Gary. Indiana for the IBWC conference called by James Forman. The purpose of the conference war to instruct local chapters in the techniques of organizing workers in factories to further the cause of destroying capitalism and building a socialist state. Forman, who traveled to Hanoi and Peking in July 1971, had copies of the 16 page Manifesto of the IBWC distributed to the 200 conferees, who were present by invitation only. This document includes, among other objectives: the elimination of "parasitic capitalistic vultures"; total disarmament of the U.S.; destruction of all police forces and their replacement with peoples militia; and an end to the blockade of Cuba. The program designed to effect these goals stresses teaching workers and students Marxist-Leninist ideology and promotes acceptance of money.from white institutions as a good revolutionary tactic. The Manifesto concludes with a 6-point methodology for revolutionary work quoted from a 1970 North Vietnamese publication. The precise nature of the relationship betwen IBWC and BNC is unclear. It is nonetheless noteworthy that in April 1971. CEF'S program directors were said to be attempting to organize black American workers.

Ivanhoe Donaldson, CEF's Washington, D.C. Program Director, also serves as a Resident Fellow for the Institute for Policy Studies (IPS) which has been characterized as "a radical think tank." tie was selected for the CEF position because of his contacts with "leading black activists." Donaldson served concurrently as a leader for the Student Non-Violent Coordinating Committee (SNCC) in New York City and as an IPS fellow.

During the period 1967-1969 Donaldson associated with Stokely Carmichael and SNCC leaders Stanley Wise and James Paul Garrett. In October 1969, Garrett opened the Center for Black Education (CBE) which in 1971 received a lump sum of $10,000.00 from IPS. CBE is characterized 'as an educational institution independent of and opposed to the aims of the American nation, and dedicated to the liberation of African people.

CBE affiliates are involved with the African-oriented Drum and Spear Bookstore, which was founded by Ivanhoe Donaldson and is managed by Marvin Holloway, who is also associated with IPS. Two other IPS affiliates who are on the CBE staff operate the Drum and Spear Press in Washington, D.C. Interestingly, CEF's list of projects includes a "Drummonds Sphere Press" in New York, whose purported function is to print black children's literature. To date no information bas been developed to verify the existence of "Drummonds Sphere," whose semantic similarity to Drum and Spear would seem more than coincidental.

A survey of organizations involved in the CEF financial web reveals consist-eat efforts to disseminate revolutionary materials and information. For example, IBWC's program calls for the establishment of bookstores and printing concerns to better spread the word on Marxism-Leninism. Gwen Patton, founder of NABS, stated at an IBWC conference that efforts are being made to establish bookstores on or near black campuses and communities to circulate "political education" material advocating the Marxist-Leninist line. The Liberation House Press in Baltimore, which is owned by Walter Lively, is described as a print shop for "movement groups" and operates in conjunction with the Liberation Bookstore. CBE in Washington, with its close ties to the Drum and Spear Bookstore and Drum and Spear Press, has sent its members to Baltimore to learn to operate Walter Lively's printing press. Still unaccounted for is the mysterious Drummonds Sphere Press in New York.

IV. CONCLUSION

As previously noted the primary investigative activity in this case has been concentrated in the Baltimore, Maryland area. A concerted effort will be made to seek new data and refine that which already exists. It would appear that an exhaustive analysis of the complicated maze of subsidiary relationship and interlocking interests will take on greater significance when examined in detail.

Obviously, additional investigation is required in order to supply information concerning the many unanswered questions. a few of which are as follows:

(1) What are the motives of J. Irwin Miller and the two CEF Directors (James A. Joseph and Roger P. Hoffman) and are these individuals aware of the ultimate. specific use of CEF funds?

(2) How much money goes to the respective programs and program directors?

(3) What is the specific nature and organization of the vehicle used to disburse CEF funds in Atlanta, New York, Washington, D.C., Los Angeles and Chicago?

(4) What is the true relationship between CEF and IPS and what roles do IPS employees Ivanhoe Donaldson, Courtland Cox, Charles Earl Cobb and James P. Garrett play?

(5) What is the nature of the relationship between Center for Black Education and IPS? the Drum and Spear Bookstore? the Drum and Spear Press?

(6) What are the coral)leto circumstances surrounding Lively's purchase of farm land in Pennsylvania and the contemplated use of this land?

(7) What is the relationship between NABS and BNC and what role, if any, does Burnett Pointdexter play?

(8) Does BNC serve any pnrpose, other than to disburse CEF funds?

(9) Who is Fedha Inya. one of the individuals authorize to sign BNC checks? In the course of our liaison with IRS. information has been exchanged regarding the activities of individuals and organizations associated with CEF. [Deleted here are references to action the IRS has taken regarding this organization.]

 

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