Chapter Seven
Tax-Exempt Foundations Involved in
Weakening and Subverting the Constitutional and
Ideological Fabric of the American Culture
Quigley describes as the major base of operations for the Establishment bosses as they launch
their catastrophic attack on the basic framework of the whole American socie
subversion, is no more shocking than his bold declaration that the global c
generous, capitalistic santa clauses. Let us repeat a previous quotation in which D
ty.
Dr. Quigley's disclosure that the Council on Foreign Relations and the Institute of Pacific
Relations were responsible for what turned out to be a paroxysm of world-wide political
ollectivists of the
London-Wall Street axis were equally successful in attacking the whole foundation of the
American culture through the exploitation of the millions made available by certain tax-exempt
foundations.
Generally speaking, the Rockefeller Foundation, the Carnegie Foundation, the Ford
Foundation and a host of other Wall Street philanthropies have always been looked upon as
r. Quigley
admits the development of an explosive situation back in the early 1950's when the use of
almost
spilled out into public view. In fact, public
hearings were heard, but the Establishment's choke-hold on
the press was sufficient to keep the
public from becoming aware of the scandalous proportions of the facts which were discovered.
Here is the way Dr. Quigley describes what happened:
[page 58]
Tax-Exempt Foundations Caught Red-Handed
"It must be recognized that the power that these energetic Left-wingers exercised was
their own power nor Communist power but was ultimately
the power of the international
never
financial coteries
, and, once the anger and suspicions of the American people were aroused, as
they were by 1950, it was a fairly simple matter to
will not become sufficiently aroused to use their "votes and campaign
get rid of [hide elsewhere] the red
sympathizers
. Before this could be done, however, a congressional committee, following
backward to their source the
threads which led from admitted Communists
like Whittaker
Chambers, through Alger Hiss, and the Carnegie Endowment to Thomas Lamont and the Morgan
Bank,
fell into the whole complicated network of interlocking tax-exempt foundations
soon became clear that people of immense wealth would be unhappy if the investigat
." 1(81)
How the Scandal Was Kept From Reaching the Public
"The Eighty-third Congress in July 1953 set up a Special Committee to Investigate
Tax-Exempt Foundations with Representative B. Carroll Reece, of Tennessee, as chairman.
ion went too
and that the 'most respected' newspapers in the country,
closely allied with these men of
wealth
, would not get excited enough about any revelations to make the publicity worth while, in
terms of votes or campaign contributions."
2(82)
Note how this last sentence reveals the Achilles Heel in the secret society's operations.
The whole concern of the globalist conspiracy is to do their work in such a way that the public
contributions" to knock the
agents of the Establishment out of political power in Washington. As long as the Constitution
remains in effect the American people still have an opportunity to wake up and "throw the rascals
out." As we shall see later, Dr. Qu
committee's general counsel, Rene A. Wormser, wrote a shocked,
igley was horrified, along with his fellow "insiders" when this
earth-shaking possibility almost became a reality in 1964. But we shall discuss that tremendously
interesting incident a little later. Now, back to Dr. Quigley:
The Scandalous Congressional Findings Were Not Shocking To Dr. Quigley
"An interesting report
showing the left-wing associations
of the interlocking nexus of
tax-exempt foundations was
[page 59]
issued in 1954
rather quietly
. Four years later, the Reece
but not s
hocking
book on the
subject called
Foundations: Their Power and Influence
." 3(83)
Note that Dr. Quigley fully appreciates that the Reece Committee hearings turned up
some shocking information and that the book written by its general counsel, Rene A. Wormser,
was intended to shock the public. But Dr. Quigley had been on the inside for m
any years so it
was not shocking to him.
This reviewer has studied the Wormser book
4(84)
and has concluded that while the
findings of the Reece Committee might not be dist
urbing to an "insider" like Dr. Quigley, they
are certainly sufficient to raise the blood temperature of any ordinary American w
ho might be
anxious to preserve his basic rights and preserve the American way of life in an open society.
The Reece Committee found that tax-exempt foundations were deliberately attacking the whole
basic structure of the Constitution and the Judaic-Christ
ian American culture.
far
It
A Congressional Committee Verifies What
Dr. Quigley Says Concerning the
details can be read are provided:
Power of Tax-Exempt Foundations
For the sake of brevity, the facts set forth in the Wormser book on the findings of the
Reece Committee will be summarized. The various references to the specific pages where the
1. Political maneuvering to prevent the hearings from being effective. (pp. 341-377)
2. Completely disruptive tactics employed by Congressman Wayne Hays. (pp. 359-366)
3. How rich banking and industrial families give their money to foundations without
losing control of their funds. (pp. 11-12)
4. Who actually runs the tax-exempt foundations? (pp. 41-54)
5. How the major foundations are all interlocked into a monolithic monopoly of power to
carry out globalist policies. (pp. 57-80)
6. Money of the foundations used to take over the Social Sciences:
a. Social Sciences looked upon as a potential political [page 60]
instrument. (pp.
83-86)
b. Suppressing social scientists who disagree or criticize. (pp. 86-89)
c. Developing an elite corps of social engineers with a compulsive drive to
"remake the world" along socialist lines. (pp. 90-100)
d. Foundation-sponsored Kinsey report deliberately designed as an attack on
Judaic-Christian morality. (pp. 100-105)
e. Using social science to sabotage the structure of military services. (pp. 105-110)
f. Employing a Marxist Socialist to produce and promote the social science
classic,
A Proper Study of Mankind
. (pp. 110-114)
g. Importing a Swedish Socialist to produce a study on the American Negro which
has created the current climate of revolution and violence. (pp. 114-119)
h. Financing
The Encyclopedia of the Social Sciences as a vehicle for the
spreading of socialist concepts. (pp. 119-125)
i. Developing a Marxist elite in academic social science circles. (pp. 125-129)
j. Policy of continually emphasizing pathological aspects of American society to
discredit its culture. (pp. 129-131)
objectives. (pp. 75, 131-138)
k. Foundation-sponsored research often slanted to conform with pre-conceived
7. Foundations use their funds to subvert and control American education.
a. "Conform or no grant!" (p. 140)
b. The birth of Educational Radicalism. (pp. 143-145)
c. Carnegie finances a Socialist charter for education. (pp. 146-152)
d. The radical educators. (pp. 152-155)
e. The Progressive Education Association. (pp. 155-156)
f. Financing and promoting socialist textbooks. (pp. 156-167)
g. Financing Left-wing reference works. (pp. 167-171)
h. The National Education Association not designed to advance "American"
education. (pp. 142, 145, 160, 164-165, 216-217)
8. Tax-Exempt Foundations as instruments of subversion:
a. Communist influences in foundations. (pp. 174-177)
b. Socialist influences in foundations. (pp. 177-184)
[page 61]
c. Helplessness of the average citizen. (pp. 186-187)
d. Ridiculing the American idea of free markets and free enterprise. (pp. 187-188)
e. The Socialists receive voluminous foundation-support in launching their
League for Industrial Democracy. (pp. 188-193)
f. Foundations push a long-range program to radicalize American labor. (pp.
193-196)
g. Foundations provide Communists, Socialists and similar collectivist mentalities
to serve in government. (pp. 196-199)
9. Foundations finance the betrayal of America's best interest to achieve collectivist
internationalism:
a. Foundation policies fixed on global schemes. (pp. 200-201)
b. Rhodes scholars fed into Government service by foundations. (pp. 201-202)
c. The Carnegie Endowment for International Peace caught promulgating war. (p.
d. International Relations Clubs sponsored by Carnegie to promote socialist
internationalism and speakers such as Alger Hiss. (pp. 207-208)
Left. (pp. 208-209)
e. The Foreign Policy Association as an instrument of opinion-molding to the
f. History books which keep Americans from learning the truth. (pp. 209-210)
g. Promoting the United Nations as the home base for the Socialist-Communist
coalition. (pp. 214-216)
h. Alger Hiss describes how foundation agencies should be used to affect U.S.
policy decisions. (pp. 218-219)
The Ford Foundation Receives Special Attention
The Wormser book devotes 79 pages exclusively to the Ford Foundation. Even in 1958
Wormser sensed that the newest and largest of the dynastic foundations was being harnessed to
the team of global internationalism and that its guns were quick to blast away
at any traditional
Americans who were bold enough to suggest that the open society of the United States might be
preferable to the great new society of controlled collectivism.
204)
The irony of this tragic abuse of Ford Foundation funds was
Henry Ford
[page 62]
compounded by
the fact that Henry Ford, Senior, had maintained a running battle with the Wall Street tycoons to
keep them from taking over his company during his latter years. He set up
the Ford Foundation in
such a way that his family would be able to keep control of it and he had assumed they would
perpetuate the same policies and ideas which he had fostered. But when Henry Ford, Senior, died
in 1947, there was a scramble for power and
the chief responsibility for the actual administration
of the Ford Foundation ended up in the hands of none other than Paul G. Hoffman.
Paul Hoffman
Paul G. Hoffman was not only a member of the London-Wall Street nexus, but had been
director of the principal propaganda arm of the
Council on Foreign Relations and also a trustee
for the
Institute of Pacific Relations
. Hoffman hired a well-known global collectivist, Robert M.
Hutchins, as his $50,000 per year Associate Director. They were deeply involved in various
Left-wing enterprises until 1953 when the Ford family went through a "palace revolution" and
Hoffman and Hutchins found themselves being hande
d $15 million to set up a "Fund For the
Republic" so they could be replaced on the Ford Foundation management team by more
immediate friends of the family.
Paul Hutchins
As the directors of the new Fund for the Republic, Hoffman and Hutchins immediately
went to work suppressing in every way possible the strong spirit of anti-Communism which had
exploded after the Hiss scandal and the frustrations of the Korean War. They s
pent $100,000 in a
"study" of the Government's loyalty-security program and helped to completely emasculate the
peace-time defenses against subversive employees in Government. They also spent $300,000 on
a "study" of the "influence of Communism in contempo
rary America."
A key member of the staff for this study was Earl Browder, long-time
[page 63]
National
Secretary of the Communist Party.
Another "study" tried to discredit the efforts of concerned citizens who were stirring up
public opinion to keep known Communists from propagandizing on radio, television and the
motion picture screen. When concerned parents began objecting to hard-core L
eft-wing teachers
in the state schools and colleges, the Fund for the Republic spent $150,000 to demonstrate that
academic freedom was being suppressed by "over-zealous patriots." When J. Robert
Oppenheimer was fired as a security risk after he was found t
o have lied about his contributions
to the Communist Party, the Fund for the Republic financed and promoted the showing of
Edward R. Murrow's propaganda broadside defending Oppenheimer. When the American
Friends Service Committee was trying to whitewash th
e Communist seizure of China and get the
United States to grant recognition, Hoffman went to the Ford Foundation and successfully
obtained $1,134,000 to finance their campaign.
Hoffman soon depleted the $15 million given the Fund for the Republic, but he then
married Mrs. Anna Rosenberg and took a key post at the United Nations where he helped get
several millions in U.S. funds turned over in the name of the U.N. to Castro and o
therwise
supported a wide variety of Communist-sponsored projects.
Meanwhile Robert M. Hutchins had reorganized the Fund for the Republic and created a
radical Left-wing propaganda organization in Santa Barbara, California, called the Center for the
Study of Democratic Institutions. New financing had to be obtained, much
of it through
foundation grants. The activities of this Center became so notorious that the Ford Foundation
would no longer admit whether or not it was providing additional financing.
By 1956 the Ford Foundation had spent more than one billion
over hundreds of colleges and universities.
[page 64]
dollars in
contributions to "education" and had thereby become a well-nigh all-encompassing influence
McGeorge Bundy Becomes President of the Ford Foundation
By 1966 it was decided to place the Ford Foundation in the hands of McGeorge Bundy
and many people -- already concerned about the trend of this foundation's expenditures -- were
alarmed to see it suddenly make its major project the financing of the newly
radicalized
revolutionary Left.
Who is McGeorge Bundy?
McGeorge Bundy
After graduation from Yale, Bundy was employed on the staff of the
Council on Foreign
Relations
. In a short time he launched on an academic career and succeeded in becoming the
dean of the faculty of arts and sciences at Harvard by the age of 34. From the
leadership of the highly sensitive National Security Council.
re he was drafted to
serve as a top advisor to John F. Kennedy and Lyndon Johnson. They placed him in the
In 1964 when the Communist elements tried to seize the Dominican Republic and U.S.
forces had to be dispatched to prevent another Red Cuba from arising in the Caribbean,
McGeorge Bundy was sent over to find a "political" solution. He selected Antonio Guzm
an, one
of the top henchmen of the leader of the Communist coup as the man to support.
Some alert Washington correspondent went to work and publicized the fact that Guzman
was not only the official negotiator for the Communist-dominated Bosch regime, but was under
investigation for a $75 million theft from the Banco Agricultura which Guzman
had managed
during the short time Bosch was in power. A storm of protest broke in Congress when it was
discovered what McGeorge Bundy was trying to do. Bundy
[page 65]
returned quickly to
Washington and was soon out of Government service. It was then anno
unced that he was going
to be the new President of the Ford Foundation.
(It was reminiscent of the handling of the Alger Hiss scandal. As the subversive career
which Hiss had nurtured through the years began to be exposed, and embarrass the
administration, he was quickly removed from his official assignment with the State Dep
McGeorge Bundy accepted his new assignment with the Ford Foundation as very serious
organizing convention of the Communist W.E.B. Dubois Clubs. In 1967 Bundy autho
$160,000 to underwrite Galamison's revolutionary work.
out to be a Communist-front terror organization. In due time Ferguson was indicted in Queens,
artment
and appointed President of the Carnegie Endowment for International Peace.)
business. He soon announced that the militant "Black Revolution" was "the first of the nation's
problems." Bundy's solution was to pour vast quantities of funds into the h
ands of the
professional Black revolutionists.
In New York City one of the foremost firebrands in the violent racial riots which have
plagued that metropolis, has been Milton A. Galamison. He was the keynote speaker at the
rized
A Black revolutionist, Herman B. Ferguson, identified himself with RAM, which turned
New York, on a charge of plotting the assassination of non-Communist Negro l
eaders and
Senator Robert F. Kennedy. With such a serious charge pending against him, Ferguson was
nevertheless hired by the Ford Foundation and he was still on the rolls of the Foundation when he
was finally arrested for violating the terms of his bail.
LeRoi Jones made himself notorious as the author of a vulgar anti-white play called
. He was encouraged to go on with his revolutionary theatrical pornography when he was
given access to
[page 66]
a grant of $50,000 from the Ford Foundation. Later, Jones was arrested
in Newark, New Jersey, while helping to lead the 1967 riots at Newark. He was heavily armed.
The National Urban League whose chief is Whitney M. Young, started out as a moderate
Negro public service agency. But when it came out against non-violence and in favor of Black
Power, the League received approximately $2 million from the Ford Foundation.
Floyd B. McKissick, Stokely Carmichael's associate in the Black Power movement,
obtained $175,000 from the Foundation for the anti-White racist organization, CORE. A year
later (1968) the Ford Foundation gave CORE $300,000 more.
When Walter Reuther decided to "unionize" Welfare and Office of Economic
Opportunity recipients so they could bring greater pressure on Government to insure increased
stipends, the Ford Foundation initiated the program (called the "Citizens Crusade Against
Poverty") with a grant of $508,500. Reuther is the man who took a training job in the Soviet
Union and wrote back to his friends, "Carry on the fight for a Soviet America."
Official Ford Foundation reports show that millions upon millions are being poured into
revolutionary, Communist-dominated or global collectivist organizations under the direction of
T oilet
The
McGeorge Bundy. Here are a few samples from recent reports. Anyone famil
Congressional reports on Un-American Activities will appreciate the significance of these
iar with the
organizations.
Council on Foreign Relations ($1,000,000)
Adlai E. Stevenson Institute of International Affairs ($1,000,000)
Institute of International Education ($1,625,000)
World Affairs Council ($102,000)
The National Committee on U.S.-China [Red China] Relations
Foreign Policy Research ($275,000)
($250,000)
The United Nations Association ($150,000)
American Friends Service Committee [Pro-VietCong] ($100,000)
Southern Regional Council [Communist staffed] ($648,000)
National Student Association ($315,000)
($630,000)
Southwest Council of La Raza [headed by identified Communist Madevie R. Barraza]
[page 67]
National Educational Television and Radio Center [NET] ($6,000,000)
Public Broadcast Laboratory ($7,900,000)
So much for the activities of the major foundations which "insider" Carroll Quigley says
were "not shocking" to him at all.
Dr. Quigley's Assessment of
Certain Prominent People on the U.S. Scene
Dwight Eisenhower
Dwight Eisenhower and Richard Nixon
"The candidate [Eisenhower] had no particular assets except a bland and amiable
disposition combined with his reputation as a victorious general. He also had a weakness, one
which is frequently found in his profession, the conviction that anyone who has b
6(86)
ecome a
millionaire, even by inheritance, is an authoritative person on almost any subject. With
Eisenhower as candidate, combined with
subversion, as a running mate, and using a campaign in which the power of
Richard Nixon
, the ruthless enemy of internal
Madison Avenue
publicity mobilized all the forces of American discontent behind the neo-isolationist program,
victory in November, 1952, was assured."
5(85)
"... the lower-middle-class groups had preferred Senator Taft as their leader. Eisenhower,
however, had been preferred by the
eastern establishment
semi-aristocratic Anglophiles whose real strength rested in their control o
of old Wall Street, Ivy League,
f eastern financial
endowments, operating from foundations, academic halls, and other tax-exempt refuges."
John F. Kennedy
"Kennedy, despite his Irish Catholicism, was an Establishment figure. This did not arise
from his semi-aristocratic attitudes or his
[page 68]
Harvard connections.... These helped, but
John Kennedy's introduction to the Establishment arose from his suppor
t of Britain, in opposition
to his father, in the critical days at the American Embassy in London in 1938-1940.
"His acceptance into the English Establishment opened its American branch as well. The
former was indicated by a number of events, such as sister Kathleen's marriage to the Marquis of
Hartington and the shifting of Caroline's nursery school from the White
House to the British
Embassy after her father's assassination. (The ambassador, Ormsby-Gore, fifth Baron of Harlech,
was the son of an old associate of Lord Milner and Leo Amery, when they were the active core of
the British-American Atlantic Establishmen
t.) Another indication of this connection was the
large number of Oxford-trained men appointed to office by President Kennedy."
7(87)
Dean Rusk
Philip Jessup
Dean Rusk, Alger Hiss, John Foster Dulles, Etc.
"These tax laws drove the great private fortunes dominated by Wall Street into
tax-exempt foundations which became a major link in the Establishment network between Wall
Street, the Ivy League, and the Federal Government.
Dean Rusk
, Secretary of State aft
er 1961,
formerly president of the Rockefeller Foundation and Rhodes Scholar at Oxford (1931-1933) is
as much a member of the ne
Shortwell, John W. Davis, Elihu Root, or Philip Jessup
xus as
Alger Hiss, the Dulles brothers, Jerome Greene, James T.
." 8(88)
----------------------------------------
Chapter Eight
The Subversion of American Education
Beginning on page 980, Dr. Quigley mentions an incident which demonstrates how
powerful tycoons of international finance have
[page 69]
competed with each other behind the
scenes to dominate American educational institutions.
Speaking of Columbia University, Dr. Quigley says:
"This, of all universities, had been the one closest to J.P. Morgan and Company, and its
president, Nicholas Murray Butler, was Morgan's chief spokesman from ivied halls. He had been
chosen under Morgan influence, but the events of 1930-1948 which so weak
ened Morgan in the
economic system also weakened his influence on the board of trustees of Columbia, until it
became evident that Morgan did not have the votes to elect a successor.
"However, Morgan (that is Tom Lamont) did have the votes to preserve the
status quo
and, accordingly, President Butler was kept in his position until he was long past his physical
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