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EXHIBITS

were

Introduced Appess

on page on pse 223. Chart entitled "Funding of Wilmington Youth Emergency Action Committee (WYEAC)”.

2783 2783 224. Chart entitled "Organization of Wilmington Youth Emergency Action Committee (WYEAC)”.

2783

2784 225. Newspaper article entitled “Wilmington Called Ripe for Racial Rift,” dated June 28, 1967.

2801 2801 226. Aerial photo of fires which took place in Wilmington, Del., April 8, 1968

2844 2845 227. Photograph showing extreme measures that the fire depart

ment had to employ to furnish protection for the firemen.. 2848 2819 228. Photograph of a sawed-off shotgun found during an investigation at “BJ's Corner".

2850 2851 229. Photograph of a WYEAC van with "South Street painted on the side.

2856 2857 230. Photograph of a police car with weapons and ammunition displayed, which

confiscated from six arrested subjects.--

2856 2955 231. Photograph of articles recovered in the home of Nelson Hudson

2856 2859 232. Photograph of weapons, ammunition, and certa in subversive

ty pe literature found in the home of William Robinson... 2856 233. Photograph of ammunition taken from the home of Allan Steed..

2856 2861 234. Map of Wilmington, Del., showing WYEAC areas..

2870 2370 235. An editorial from the Morning News, Wilmington, Del.,

Monday, September 2, 1968, entitled "Life Without Guard
Patrols"

2896
236. Arrest records of members of WYEAC who were arrested
during the period July 31, 1967 to October 4, 1968..

2906 237. Annual report of Greater Wilmington Development Council, Inc., April 1958..

2909 (*) 238. Personnel manual of Wilmington Youth Emergency Action Council (WYEAC) January 1968.-

2928 Proceedings of October 8, 1968

2779 October 9, 1968

2881 October 11, 1968

2929 *May be found in the files of the subcommittee.

(IV)

RIOTS, CIVIL AND CRIMINAL DISORDERS

TUESDAY, OCTOBER 8, 1968

U.S. SENATE,
PERMANENT SUBCOMMITTEE ON INVESTIGATIONS
OF THE COMMITTEE ON GOVERNMENT OPERATIONS,

Washington, D.C. The subcommittee met at 10:30 a.m., in room 3302, New Senate Office Building, pursuant to Senate Resolution 216, agreed to March 15, 1968, Senator John L. McClellan (chairman of the subcommittee) presiding

Members of the subcommittee present: Senator John L. McClellan, Democrat, Arkansas; Senator Karl E. Mundt, Republican, South Dakota; and Senator Carl T. Curtis, Republican, Nebraska.

Also present: Jerome S. Adlerman, general counsel; Joseph M. Mannix, assistant counsel; Robert J. Beatson, investigator; Walter S. Fialkewicz, investigator on loan from the Bureau of Narcotics; Ruth Y. Watt, chief clerk.

The CHAIRMAN. The committee will come to order. The Chair might make this observation, as we are in the final days of the session of Congress and all Members are occupied with many problems and many duties.

It is impossible for us to be everywhere that we would like to be. I think I have three other committee meetings this morning and it is impossible for me to be there. That holds true with respect to some members of this committee who would like to be here.

So, we have to proceed under some measure of handicap because there cannot be at least two members of the committee present at all times. I think there will be other members here, possibly this afternoon.

In the meantime we have witnesses here from out of town who have come here for the purpose of testifying. If we don't proceed we will inconvenience them and also further delay our work. So we are going to proceed.

I have filed here the agreement under rule 5 of the rules of procedure governing this committee, which will authorize the Chair to proceed with the hearings in the absence of any other member of the committee. (The agreement referred to follows:)

U.S. SENATE,
COMMITTEE ON GOVERNMENT OPERATIONS,
SENATE PERMANENT SUBCOMMITTEE ON INVESTIGATIONS,

Washington, D.C., October 8, 1968. Pursuant to Rule 5 of the Rules of Procedure which was amended by the Committee on Government Operations for its Senate Permanent Subcommittee on Investigations on June 3, 1965, and re-affirmed on January 22, 1968. permission is hereby granted for the Chairman to conduct hearings in open session without

a quorum of two members for the purpose of taking testimony in the matter of 0.E.O. funds used to finance gang structures in Wilmington, Delaware under the so-called WYEAC Program, on October 8, 1968.

JOHN L. MOCLELLAX,

Chairman, KARL E. MUNDT,

Ranking Minority Member. The CHAIRMAN. The Chair will now make a brief opening statement.

Today the subcommittee begins hearings relating to the operations of the Wilmington Youth Emergency Action Council-WYÉAC-of Wilmington, Del., an organization which received a grant of $164,930 from the Office of Economic Opportunity. The investigation was undertaken at the request of Senators John J. Williams and J. Caleb Boggs. and Congressman William V. Roth, Jr.

This investigation is conducted pursuant to the authority granted in Senate Resolution 216, 90th Congress, second session. That resolution authorizes and directs the subcommittee to study and investigate, among other matters, waste and inefficiency in Government operations; syndicated or organized crime; all other aspects of crime and lawlessness within the United States which have an impact upon or affect the national health, welfare, and safety; and urban riots and civil disorders.

We will hear witnesses who are knowledgeable about the structure and operation of youth gangs in Wilmington, Del. The subcommittee expects to hear testimony about criminal activities involving gang leaders who were employed as staff members of the WYEAC program. Information we have received indicates that the funds expended for the program may have been almost completely wasted.

We will attempt to ascertain whether any benefits were derived from this program or whether the Wilmington experiment resulted mainly in strengthening the gang structures and actually increasing lawlessness in the areas under gang control. We want to know whether Federal funds were used as a payoff to the gangs for the purpose of buying peace in the streets of Wilmington.

The Chair wishes to reiterate his belief, shared by other members of the subcommittee, that there are worthy objectives in programs that are designed to aid urban youths to become good citizens and to assist them in obtaining job skills and training. If properly administered and supervised, such programs would serve beneficial and constructive purposes. However, it is a matter of great concern to see ill-conceived projects operated incompetently and carelessly, without adequate controls and supervision to safeguard the taxpayers' money. We are disturbed to see that some of these programs do little or nothing to aid in solving the problems of the cities, but instead tend to aggravate those problems and, in some instances, actually to work against the legislative intent of the Congress in authorizing the establishment of the Office of Economic Opportunity.

Counsel, call the first witness.
Mr. ADLERMAN. Mr. Mannix and Mr. Fialkewicz.

The CHAIRMAN. You do, each of you, solemnly swear that the evidence you shall give before this Senate subcommittee will be the truth, the whole truth, and nothing but the truth, so help you God?

Mr. MANNIX. I do.
Mr. FIALKEWICZ. I do.

TESTIMONY OF JOSEPH M. MANNIX AND WALTER S. FIALKEWICZ

name.

The CHAIRMAN. Beginning on my left, for the record, state your

Mr. MANNIX. I am Joseph M. Mannix, assistant counsel for the subcommittee staff.

The CHAIRMAN. How long have you been with the staff ?
Mr. MANNIX. Approximately 7 years.

Mr. FIALKEWICZ. I am Walter S. Fialkewicz. I am an investigator for the Federal Bureau of Narcotics and Dangerous Drugs, Justice Department, on loan to this subcommittee. I have been on loan to this subcommittee for a year now.

The CHAIRMAN. How long have you been with the Bureau of
Narcotics?

Mr. FIALKEWICZ. I am starting my 19th year.
The CHAIRMAN. You are an experienced investigator?
Mr. FIALKEWICZ. I have been so designated.
The CHAIRMAN. That has been your life for 19 years, has it not?
Mr. FIALKEWICZ. Yes, sir.
The CHAIRMAN. Very well.
Mr. Counsel, you may proceed.

Mr. ADLERMAN. Mr. Mannix, have you headed the investigation in the matter of the Wilmington Youth Emergency Action Council grants by OEO?

Mr. MANNIX. Yes, sir.
Mr. ADLERMAN. Do you have a prepared statement to read?
Mr. MANNIX. A short statement, Mr. Adlerman,
The CHAIRMAN. You may proceed to read it.

Mr. Mannix. The subcommittee began the investigation into an OEO-funded group in Wilmington, Del., known as the Wilmington Youth Emergency Action Council. It is also known by the name of WYEAC.

We found in our investigation that WYEAC received $164,930 from the Office of Economic Opportunity. This was broken down into two plans.

First was the summer program in which they received $64,930 on July 25, 1967.

The second program, which was for a full year, was for $100,000 and they received that money in May 1968, retroactive to October 1, 1967.

Wilmington is the largest city in the State of Delaware and has a population of approximately 87,000 people. A little over 50 percent of the population is Negro.

Wilmington has been plagued with criminal activities on the part of youth gangs for a considerable period of time. From the year 1961 to 1966 there were approximately 10 youth gangs operating in Wilmington.

In 1966 and 1967 there were approximately 15 youth gangs operating in Wilmington.

In about April 1966, this culminated in the murder of one of the gang leaders and led to an effort to contain the gang violence with the organization of WYEAC.

In July 1967, an application was filed with the Office of Economic Opportunity requesting funds for the summer program to finance the

activities of WYEAC. This was primarily four of the largest local gangs.

The CHAIRMAN. They were what?
Mr. MANNIX. Four of the largest local youth gangs.

The CHAIRMAN. You mean WYEAC consists primarily of four of the largest of the 10 or 15 gangs to which you have referred?

Mr. Mannix. At that time, at the time they made their application. These gangs were known as the South Side Gang, the West Side Gang, the Mountain Dew Gang, and the Riverside Gang.

The CHAIRMAX. Very well.

Mr. Mannix. The purpose of WYEAC as originally stated was to resolve the tension among the young groups from the opposite neighborhood in ways other than rumbles.

The CHAIRMAN. To try to stop the rumbles? Mr. MANNIX. That is correct; street fighting. There were allegations of intimidation by gang leaders on members of the community-business people.

It has also been alleged that the persons principally employed in the WYEAC program were gang leaders with criminal records, that no constructive benefits or accomplishments have been derived from the program, and that regulations and administrative controls which should govern OEO-funded programs were either violated repeatedly or were lacking.

Subsequent to the summer 1967 program, WYEAC again applied for an OEO grant and was given an additional $100,000.

The CILIRMAN. I notice here you say an additional $100,000 was granted to finance this program in the face of allegations of violations of OEO regulations.

Mr. MANNIx. That is correct, Mr. Chairman.
The CHAIRMAN. Why did you omit that from your statement ?
Mr. MAXXIX. I did not intentionally omit it.

The CHAIRMAN. At the time the $100,000 was given in addition to the money that had previously been granted—the summer grantthere were allegations at the time or there was evidence at the time that violations of the OEO regulations had taken place?

Mr. MANNIX. Correct, sir.
The CHAIRMAN. All right, proceed.

Mr. Mannix. Between December 1967 and September 1968, the businessmen in Wilmington through the Greater Wilmington Development Council, also known as GWDC, contributed $105,000. Smaller donations were running approximately $6,000 each from the YMCA and the Catholic diocese of Wilmington.

Mr. Chairman, we have a chart showing this funding:

The CHAIRMAN. According to this, WYEAC received a total of $282,164; is that correct?

Mr. MANNIX. Correct, sir.
The CHAIRMAN. How much of it now came from Federal funds?
Mr. MANNIX. $164,930; shown on the left of the chart.
The CHAIRMAN. Nearly two-thirds of it came from OEO?
Mr. MANNIX. Correct.

The CHAIRMAN. I would say about three-fifths of it. All right. The chart may be printed in the record at this point.

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