effect the overloaded port handling facilities was having on our war effort. While he conceded that combat troops had been introduced into Vietnam before an adequate logistics base could be developed, he denied that combat operations had been impeded. At the same time, however, it is clear that considerable attention must be given to improving POL storage, supply warehouses, coastal shipping, improved port and lighterage, that make up the logistical base.

Atrocities. Most Americans have seen pictures in their newspapers which depict some scene indicating cruel and inhuman treatment of prisoners by United States and South Vietnam soldiers. It was shocking to learn from Ambassador Lodge that some of these scenes are posed by news photographers-not Americans-but bought and used by American newspapers. Undoubtedly these photographs have supplied much ammunition for those who oppose U.S. policy.

It is unfortunate that American newspapers and reporters cannot record and report the actual atrocities committed by the Vietcong. These atrocities are continuing at an increasingly higher level, and appear to be meaningless killings. For example, on January 17 in Kien Tuong Province, west of Saigon, the Vietcong mined a bus. Twenty-six civilian noncombatants were killed. On the 19th of January in Quang Tin Province, the Vietcong attacked a refugee center crowded with civilians, killing 26 and wounding 56. During the last 4 years the Vietcong assassinated and kidnaped civilians in the following numbers:

While the group was in Saigon, it was again reminded that the recruitment of civilian personnel to serve there had become extremely difficult. The overseas hardship differential for service there is the same (25 percent) as in other posts, without the attendant dangers of war. Also, cases have developed where newly recruited personnel have been injured or otherwise incapacitated as a result of hostile action. Civil service employment laws do not make adequate provision in situations of this type to protect an employee's full earning power during prolonged absences due to injuries or illness. We were told of instances where injured employees without leave credit have had to be dropped from the payrolls of the AID Agency.

The House passed legislation (H.R. 6277) in the 89th Congress, 1st session, to allow absences without charge to leave for up to 1 year where injuries or illness has been sustained as a result of hostile activity. It also allowed for the payment of a differential of up to 50 percent of basic compensation for serving in a foreign area where there is unusual danger from hostile activities.

This authorization is still urgently necessary to not only aid in the recruitment of needed personnel but to provide compensation for civilian personnel who are injured in such situations. Since H.R. 6277 which contains these authorizations is presently awaiting Senate action, appropriate action should be taken immediately to have this authority enacted separately from H.R. 6277.

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THAILAND

COMMUNIST THREAT

In every country visited by the study mission there was a growing awareness of the increasing threat to peace and freedom posed by the Chinese Communists. However, the keenest recognition and sharpest reaction to the Chinese Communist efforts at subverting the area can be observed in Thailand, since it is a primary target for Communist subversion. Any American who has any doubts about the importance of the United States and allied presence in South Vietnam need only visit Thailand and speak with the officials of the Thai Government who are so close to the threat.

The study mission met for an extended time with Foreign Minister Thanat Khoman, one of the outstanding voices for freedom in that part of the world. Foreign Minister Thanat reviewed Communist China's aggressive history and its belief that it can encroach with impunity upon the freedom of other nations in Asia. He believes that Communist China has confirmed, through its utterances and actions, that it intends to seek complete mastery over the entire Asian continent as well as undisputed supremacy in the Communist world. The key to the Communist scheme is South Vietnam where Communist China thought that, with an appropriate dose of subversion, terrorism, and guerrilla warfare, the country's collapse could be brought about. He feels that they had almost succeeded. Only the timely response from the United States and other free nations in early 1965 saved the day and, in his opinion, marked a turning point in the evolution of freedom in Asia. From our discussions with Foreign Minister Thanat and other Thai officials and a visit to the northeast area the study mission is convinced that the Thai are dedicated to resist communism.

Thailand fully supports the U.S. Government's policies in southeast. Asia. She has come under increasing attacks by the Communists. The pace and intensity of subversion has increased during the last year, for the most part focused on the northeast area. Terrorist activities have been stepped up and Radio Peiping and Hanoi continue their propaganda attacks. The Communists have announced the formation of various front organizations including a National Liberation Front.

In the face of these threats the Thai have moved to strengthen their security forces in the critical areas. The United States should render any assistance necessary to enable the Thai to resist the threatened encroachment by Communist China.

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ECONOMIC SITUATION

Thailand is economically strong. Over the past decade its gross national product has maintained an average growth rate of about 6 percent. The overall balance-of-payments situation has been healthy and foreign exchange reserves are rising steadily. If it were not for the fact that Thailand's security is threatened by the subversive activities sponsored by Communist China and the consequent demands placed on its economic resources, United States assistance, to any large extent, would not be necessary. Under the present circumstances, however, United States assistance is essential to the continued economic and political stability of Thailand. A major portion of U.S. aid is directed at meeting the immediate internal security needs and at attacking those problems in neglected areas on the local level which contribute to instability.

UNITED STATES AID

The military assistance program is designed to provide the ability to defend against external armed attack as well as subversion and possible insurgency within. It increasingly emphasizes the civic action and counterinsurgency mission of Thai forces while maintaining necessary conventional capabilities of appropriate ground, naval, and air elements. The Thai are making increasingly effective efforts on their own behalf, especially in the improved maintenance and increased utilization of the equipment being furnished.

U.S. economic assistance is given in a number of fields of activity. The most important in terms of impact is the program for accelerated rural development (ARD). This is a joint United States-Thai program designed to help the Government strengthen its ties with the rural people as well as foster local self-government.

It is viewed as a comprehensive effort, which includes activities. in the field of public health; public administration to encourage the development of rural democracy; education to provide literary and vocational skills; and public safety to guarantee local security. Specific undertakings involve agricultural development and rural electrification to increase rural incomes; a community development program designed to strengthen the ties between the Government and the people; and finally, extensive work with Governors to strengthen local government. These programs are directly supported by intensive training activities, particularly in the vocational field.

An important complementary program to the success of the acceleraation of rural economic and social development is the military sponsored Mobile Development Unit program (MDU). This program was initiated and is administered by the National Security Command of the Thai Supreme Command Headquarters. It functions as an interim impact program moving quickly to specific sensitive areas of acute subversion threat. It is basically a construction unit equipped and trained to plan, design, construct, and maintain rural roads, bridges, village water facilities, and other local public works in response to the needs of the people.

When it has successfully stabilized the situation, the unit transfers its operation to civilian auspices under the local government and moves on to other trouble spots. The effective followup of MDU activities

is recognized as essential in order to prevent relapse and resulting frustration. Therefore, the ARD program helps to strengthen local government by providing this followup and integrating the MDU project areas into the accelerated rural development program.

The study mission visited the northeast province of Ubol and an outlying village. Members had the opportunity to discuss with village leaders and to observe the effectiveness of the various health, potable water, malaria spray, and other activities being sponsored under this accelerated development program. This is a grassroots impact program which is receiving the full support of the Government. These programs can be carried out at a minimal cost and they should be expanded as rapidly as possible. Programs that attack the basic problems on which communism feeds are the logical approach to the containment of Communist expansion. The study mission enthusiastically supports such programs.