encountered in connection with persons serving under the Selective Training and Service Act of 1940 (Public, 47, 77th Cong.) and persons serving as members of alien enemy hearing boards (Public, 376, 77th Cong.).

PRESENT BILL

Hearings were held on H. R. 4349 by Subcommittee No. 2 of the Committee on the Judiciary, on March 29, 1944, along with bills of a similar character relating to the War Department and the Office of Scientific Research and Development (H. R. 4468 and 4446). The hearings were printed and copies are available. Reference is made to the hearings and to the reports on H. R. 4468 and 4446, for additional information on the subject.

The urgent necessity for enactment of the present bill is clearly an concisely explained in the following letter from George W. Taylor, Acting Chairman of the National War Labor Board:

Hon. HATTON W. SUMNERS,

NATIONAL WAR LABOR BOARD, Washington, D. C., February 17, 1944.

Chairman, Judiciary Committee, House of Representatives,

House Office Building, Washington, D. C.

MY DEAR MR. SUMNERS: The National War Labor Board is confronted with a serious problem arising out of the possible application of sections 109 and 113 of the Criminal Code (U. S. C., title 18, secs. 198 and 203) to certain of its employees. These statutes provide as follows:

"Whoever, being an officer of the United States, * * * shall act as agent or attorney for prosecuting any claim against the United States, or in any ** shall aid or assist in the prosecution or support of any shall be fined * * or imprisoned," etc. (18 U. S. Č.

manner such claim 198).

"Whoever,

* *

being an officer or clerk in the employ of the United States, shall, directly or indirectly, receive any compensation what* * * in relation to any proceeding. * * ever for any services rendered or other matter or thing in which the United States is a party or directly or indirectly interested, before any department, court * shall be fined and imprisoned," etc. (18 U. S. C. 203).

* *

As you may know, in the fulfillment of its duty to settle labor disputes under sections 5 and 7 of the War Labor Disputes Act and Executive Order 9017, the War Labor Board customarily assigns such cases to tripartite panels, hearing officers, or similar agents as the first step in the mediation and fact-finding processes. Quite frequently, lawyers and other qualified persons are asked to serve in that capacity intermittently or on a case-by-case basis with per diem compensation when actually employed.

As indicated in an opinion submitted by the Attorney General to the President on December 9, 1943, under the above statutes, such persons are apparently prohibited from representing their regular clients in various claims against the Government, such as in the Court of Claims or in the Court of Tax Appeals. Consequently, many of these persons, among them prominent attorneys who are lending their valuable services to the War Labor Board, are finding themselves in an extremely anomalous position.

As you are no doubt aware, the Office of Price Administration, confronted with a similar situation, has submitted to Congress a bill (H. R. 3847) to relieve certain of its employees from the prohibitions of these criminal statutes.

In order to meet the problem as it arises in the War Labor Board, it is respectfully proposed that a similar bill be introduced in its behalf. To accomplish this purpose, a bill has been drafted. Copies of this proposal are enclosed. Both the Department of Justice and the Director of the Bureau of the Budget have indicated that there would be no objection on their part to the enactment of the proposed legislation.

Very truly yours,

GEORGE W. TAYLOR,
Acting Chairman.

At the hearing the committee was advised by the general counsel of the National War Labor Board that there are some 2,500 individuals, representatives of labor, of industry, and the public, who serve the Board on a per diem basis (when-actually-employed basis), who would come within the provisions of the bill. In addition there are special consultants who do special assignments for the Board, assignments of a technical or specialized nature, who serve the Board without compensation, who take the time from their own private enterprises to work for the Board. He made the following significant statement (hearings, p. 17):

"If it were not possible for us to make use of these people from private industry, lawyers, accountants, representatives of organized labor, and so on, who take the time from their own business and professions to work for the Board, we would need to do either one of two things we would need either to give up the job that we are. doing, or we would need to increase our permanent staff to a much, much larger force than it is at present."

LIMITATIONS

It will be noted that the bill contains various limitations to preserve insofar as possible the vitality of the statutes without interfering with or jeopardizing the important functions of the National War Labor Board. The bill extends only to those who have previously or who hereafter serve as a member of the national or of a regional board, industry commission, tripartite panel, or similar agency of the National War Labor Board, or as a hearing officer or arbitrator, if such person is serving or has served in such capacity without compensation, or with compensation on a per diem when-actually-employed basis for not in excess of 90 days a year.

The bill does not extend to any representation before the Board or any of its said agencies.

On November 23, 1942, the Attorney General proposed legislation of general character dealing with the problem here involved (see H. R. 7847, 77th Cong., and H. R. 2295, 78th Cong.); however, the committee has sought to preserve insofar as possible the statutes involved, and has dealt with the problems as they arise and as they exist with respect to the particular agency or department, and has not approved the proposed general legislation.

CONCLUSION

The committee feel that good judgment requires the relaxation of existing law, under the safeguards and restrictions provided in the proposed legislation, rather than lose the much needed aid of a large number of employees who are, for all practical purposes, rendering service without compensation. Unless the rigid requirements of existing law are relaxed as to this class of employees then the Government will necessarily be deprived of their services at a time when there is a vital need for them and when others to discharge their functions are not available.

EXEMPTING CERTAIN OFFICERS AND EMPLOYEES OF THE OF. FICE OF SCIENTIFIC RESEARCH AND DEVELOPMENT FROM CERTAIN PROVISIONS OF THE CRIMINAL CODE

APRIL 26, 1944.-Referred to the House Calendar and ordered to be printed

Mr. CRAVENS, from the Committee on the Judiciary, submitted the following

REPORT

[To accompany H. R. 4446]

The Committee on the Judiciary, to whom was referred the bill (H. R. 4446) to exempt certain officers and employees within the Office of Scientific Research and Development from certain provisions of the Criminal Code, having considered the same, report the bill favorably to the House with the recommendation that it do pass.

GENERAL STATEMENT

Existing law makes it a penal offense for an officer of the United States or a person holding any place of trust or profit under the United States to prosecute any claim against the Government (sec. 109, Criminal Code; U. S. C., title 18, sec. 198); and for any officer or clerk in the employ of the United States to receive compensation for services rendered by him in connection with any proceeding, contract, claim, controversy, charge, accusation, arrest, or other matter or thing in which the United States is a party or interested before any department, court martial, bureau, officer, or any civil, military, or naval commission (sec. 113, Criminal Code; U. S. C., title 18, sec. 203).

Two recent opinions of the Attorney General indicate that many employees and appointees of the Office of Scientific Research and Development, including most of the high-ranking officials, may be in technical violation of section 113 of the Criminal Code and that some may be in technical violation of section 109 of the Criminal Code. (40 Op. Atty. Gen. Nos. 73 and 74, 1943.)

A similar situation has existed with respect to persons serving without compensation in the regional, district, or local offices of the Office of Price Administration. Recent legislation relieved the difficulty

encountered there (Public, 287, 78th Cong.). The problem was earlier encountered in connection with persons serving under the Selective Training and Service Act of 1940 (Public, 47, 77th Cong.) and persons serving as members of alien enemy hearing boards (Public, 376, 77th Cong.).

PRESENT BILL

Hearings were held on H. R. 4446 by Subcommittee No. 2 of the Committee on the Judiciary on March 29, 1944, along with bills of a similar character relating to the War Department and the National War Labor Board (H. R. 4468 and 4349). The hearings were printed and copies are available. Reference is made to the hearings and to the reports on H. R. 4468 and 4349, for additional information on the subject.

The urgent necessity for enactment of the present bill is clearly and concisely explained in the following letter from Director Vannevar Bush of the Office of Scientific Research and Development: OFFICE FOR EMERGENCY MANAGEMENT, OFFICE OF SCIENTIFIC RESEARCH AND DEVELOPMENT, Washington, D. C., March 16, 1944.

Hon. HATTON W. SUMNERS,
Chairman, Committee on the Judiciary,

House of Representatives, Washington, D. C.

DEAR REPRESENTATIVE SUMNERS: I transmit herewith two copies of a draft of a proposed bill to exempt certain officers and employees within the Office of Scientific Research and Development from sections 109 and 113 of the Criminal Code (U. S. C., title 18, secs. 198 and 203). As Director of the Office of Scientific Research and Development, I wish to request that the bill be introduced in the House and considered for enactment. Pursuant to the provisions of Circular No. A-19 of the Bureau of the Budget, the proposed bill has been submitted to the Bureau of the Budget, and I have been advised that there is "no objection to the presentation" of the bill "for the consideration of the Congress."

Section 109 of the Criminal Code provides that "whoever, being an officer of the United States, or a person holding any place of trust or profit, or discharging any official function under, or in connection with, any executive department of the Government of the United States * * * shall act as an agent or attorney for prosecuting any claim against the United States * *" shall be subject to fine or imprisonment.

*

Under section 113 of the Criminal Code it is unlawful for "the head of a department, or other officer or clerk in the employ of the United States" to receive or agree to receive any compensation for services rendered or to be rendered in relation to claims, contracts, or other matters affecting the United States.

Legislation similar to the proposed Office of Scientific Research and Development bill is embodied in H. R. 3847 which has passed the House of Representatives and is now being considered by the Senate Committee on the Judiciary. As was pointed out by the House Committee on the Judiciary in its report recommending passage of that legislation covering certain field officers of the Office of Price Administration, "similar legislation was enacted in behalf of persons serving on selective service boards, appeal boards, and advisory boards (Public Law 47, 77th Cong.), and for persons serving as members of alien enemy hearing boards (Public Law 376, 77th Cong.)."

The Office of Scientific Research and Development was established by Executive Order 8807, dated June 28, 1941, which provides, in summary, that the Office of Scientific Research and Development shall (i) serve as a center for the mobilization and coordination of the scientific personnel and resources of the Nation in developing and applying the results of scientific research to defense purposes, (ii) initiate and support scientific research on the mechanisms and devices of warfare and (iii) initiate and support scientific research on medical problems affecting the national defense.

The enactment of the proposed legislation is absolutely necessary if the Office of Scientific Research and Development's activities are to continue. Beginning with the formation of the National Defense Research Committee in June 1940,