March 22, 1969

Mills says HR com will examine returns of 155 individuals with annual incomes of $200,100 or more who paid no income tax in 1 recent yr to see how they managed to avoid taxes so that com can write legis blocking loopholes; says he will press for disclosure of some of these returns; high Nixon Adm official denounces as 'inflammatory' disclosure by then Sec Barr that more than 150 such individuals escape all taxes; holds Treas officials suspect that 1 of main tax escape routes used by these people may have been closed by IRS regulation issued near end of Johnson Adm; notes number of returns showed large contributions to charity as key method of reducing taxes

Sen Fulbright accuses Laird of invoking technique of fear' of USSR to promote Safeguard system, Sen Foreign Relations Com Disarmament Subcom hearing; makes charge after Laird again declares USSR it intent on acquiring 1st-strike capability that would cripple US retaliatory force; much of Laird's assessment is based on previously secret intelligence data on new Soviet ICBM identified as SS-9; he says size of warhead and number of missiles deployed and planned for deployment indicate intent to destroy US deterrent; Sen Gore notes Safeguard would protect 10% or less of US retaliatory force; Laird says 10% could be 'pretty important', particularly if SAC bomber force were destroyed in surprise attack; Defense Dept Research Dir Foster notes thermonuclear warhead for Spartan will not be 'satisfactorily developed' before '73; Sen Pell questions how warhead could be developed if US and USSR reach agreement on underground nuclear test ban sought by Nixon; Laird again says Johnson Adm had reached understanding' with Canada on deployment; Foster, who was involved in US-Canadian talks, says Canada was informed of system operation and 'agreed to go along with system'; Laird, challenged by Fulbright to name ind scientists who back Safeguard system, names Drs Dubridge, G MacDonald, W G McMillan, F Seitz, E Teller, E B Wigner and J Wheeler

Information Min Fraga Iribarne repts 'state of exception' and domestic press censorship will be revoked Mar 25; says 'the subversive outbursts that gave rise to the state of exception have been settled'; reaction and speculation on move