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B-168527 1 (1970-03-10)

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 B-168527                                  RELEASED
                                                           MAR   1970,



Dear Mr. Murphy-

     In accordance with the requests contained in your letters of
November 20 and 26, 1969, and subsequent discussions with members of your
staff, we have inquired into whether Federal funds may have been used to
finance transportation costs or administrative leave of New York City area
participants in the Vietnam moratorium activities held November 13 to 15,
1969, in Washington, D. C. Our inquiries revealed no evidence that the
federally funded organizations in the New York City area which we con-
tacted used Federal funds for such purposes.

     We visited 54 bus companies, listed in the 1969 Manhattan classi-
fied telephone directory, which were available for charter and which
serviced the five boroughs of New York City, the adjacent counties of
Nassau and Westchester, and northern New Jersey0 We also met with
officials of certain of the city's antipoverty agencies--including the
Human Resources Administration, the Community Development Agency, the
Youth Services Agency, the Manpower and Career Development Agency, and
University Settlement--and made limited examinations into their records.

     From data made available to us by the bus companies, we determined
that 30 of the companies chartered buses to Washington on the days that
moratorium activities were held. Among the organizations hiring buses,
we identified one agency, Action for Progress, which has been receiving
Federal funds.

     Action for Progress is located at 64 Rivington Street, New York,
N. Y., and is acting as a store-front agency of University Settlement,
an organization that has been granted $71,000 in OEO funds through the
Community Development Agency for the year ending September 30, 1970.

     We visited Action for Progress and its parent agency, University
Settlement, at 184 Eldridge Street, New York, N. Y. The comptroller
of University Settlement stated that no Action for Progress funds had
been used to charter buses to Washington, D. C., in connection with
Moratorium Day. He stated also that all funds had been provided by the
individuals who attended the march. The comptroller stated further
that Human Resources Administration officers had emphasized that no
public funds were to be used for moratorium activities. On January 13,
1970, we reviewed the checkbooks at University Settlement which con-
trois the funds allocated to Action for Progress and found no evidence
of payments to bas companies that might have been related to the
moratorium.

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