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[[KGB]] Agent and presidential adviser [[Lauchlin Currie]] secured for [[Comintern]] operative [[Owen Lattimore]] the appointment by Roosevelt as the American adviser for the [[Kuomintang]] and Generalissimo [[Chiang Kai-shek]].<ref>Testimony of Stanley K. Hornbeck, February 15, 1952. U. S. Congress, Senate Committee on the Judiciary, [[Internal Security Subcommittee]], Institute of Pacific Relations Hearings, 82nd Congress, First Session (Washington: Government Printing Office, 1951), Part 9, pp. 3209-10.</ref>  During the [[Communazi period]], the FBI issued a notice that Lattimore should be considered for custodial detention in the event of a national emergency. <ref>[http://www.humanevents.com/article.php?id=453 McCarthyism: Waging the Cold War in America], Newly Uncovered Secret Data Confirm Wisconsin Senator's Major Charges, ''Human Events'', M. Stanton Evans, 05/08/2003.</ref> Defector [[Louis Budenz]] was to testify that Lattimore had been hand picked by the Comintern "to change the thinking here in Washington and in America on the Communist activities in China and relations to the Soviet Union." Lattimore was thought to be a man "who could put out [[propaganda]] and conceal the Communist activity, but still have it carry out the policy of the Communists." According to Budenz "the weight of his discussions was alwaye along the lines of the Soviet policy," but the language employed 'Was non-Soviet in character.' " <ref>Testimony of Louis Francis Budenz, August 22, 1951. Institute of Paciffic Relations, Hearings. Part 2, pp. 522-23.</ref> When, on June 15 1943, Lattimore instructed Joseph Barnes<ref>[http://www.time.com/time/magazine/article/0,9171,791284,00.html ''Tongue-Tied''], [[Time magazine]], Feb. 07, 1944.</ref> to replace the non-Communist Chinese of the U.S. [[Office of War Information]] (OWI) with Communists, OWI did so. On July 14 [[Thomas A. Bisson]], in the [[Institute of Pacific Relations]] publication, ''Far Eastern Survey'', referred to [[Maoist]] forces as the "democratic China."  The disinformation was widely repeated among journalists and academics.  In July and August 1943, the Chinese Communist forces -- in the midst of the war -- joined with the Japanese armies to inflict a serious defeat on Kuomintang troops allied with the United States.  <ref>[http://www.geocities.com/Pentagon/6315/yaltabet.html ''The Yalta Betrayal''], Felix Wittmer, Claxton Printers, 1953, pg. 36.</ref>
 
[[KGB]] Agent and presidential adviser [[Lauchlin Currie]] secured for [[Comintern]] operative [[Owen Lattimore]] the appointment by Roosevelt as the American adviser for the [[Kuomintang]] and Generalissimo [[Chiang Kai-shek]].<ref>Testimony of Stanley K. Hornbeck, February 15, 1952. U. S. Congress, Senate Committee on the Judiciary, [[Internal Security Subcommittee]], Institute of Pacific Relations Hearings, 82nd Congress, First Session (Washington: Government Printing Office, 1951), Part 9, pp. 3209-10.</ref>  During the [[Communazi period]], the FBI issued a notice that Lattimore should be considered for custodial detention in the event of a national emergency. <ref>[http://www.humanevents.com/article.php?id=453 McCarthyism: Waging the Cold War in America], Newly Uncovered Secret Data Confirm Wisconsin Senator's Major Charges, ''Human Events'', M. Stanton Evans, 05/08/2003.</ref> Defector [[Louis Budenz]] was to testify that Lattimore had been hand picked by the Comintern "to change the thinking here in Washington and in America on the Communist activities in China and relations to the Soviet Union." Lattimore was thought to be a man "who could put out [[propaganda]] and conceal the Communist activity, but still have it carry out the policy of the Communists." According to Budenz "the weight of his discussions was alwaye along the lines of the Soviet policy," but the language employed 'Was non-Soviet in character.' " <ref>Testimony of Louis Francis Budenz, August 22, 1951. Institute of Paciffic Relations, Hearings. Part 2, pp. 522-23.</ref> When, on June 15 1943, Lattimore instructed Joseph Barnes<ref>[http://www.time.com/time/magazine/article/0,9171,791284,00.html ''Tongue-Tied''], [[Time magazine]], Feb. 07, 1944.</ref> to replace the non-Communist Chinese of the U.S. [[Office of War Information]] (OWI) with Communists, OWI did so. On July 14 [[Thomas A. Bisson]], in the [[Institute of Pacific Relations]] publication, ''Far Eastern Survey'', referred to [[Maoist]] forces as the "democratic China."  The disinformation was widely repeated among journalists and academics.  In July and August 1943, the Chinese Communist forces -- in the midst of the war -- joined with the Japanese armies to inflict a serious defeat on Kuomintang troops allied with the United States.  <ref>[http://www.geocities.com/Pentagon/6315/yaltabet.html ''The Yalta Betrayal''], Felix Wittmer, Claxton Printers, 1953, pg. 36.</ref>
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Chiang Kai-shek himself claimed that [[Harry Dexter White]] and his staff sabotaged his government's economic policies.  The U.S. government made a commitment to Chiang in writing to supply $200 million in gold to Nationalist China <ref>David Rees, ''Harry Dexter White; a Study in Paradox'', London, 1974, pg. 333.</ref> in 1943 at a time when inflation was spiraling out of control.<ref>John Earl Haynes and Harvey Klehr, ''Venona: Decoding Soviet Espionage in America, New Haven Yale University Press, 2000, pp. 142-145 ISBN 0-300-08462-5 </ref> White's policy prevented the shipment until it was too late to be effective in stemming the inflation. In a December 9, 1944 memo to Treasury Secretary Morgenthau, White wrote,
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{{Cquote|We have stalled as much as we have dared and have succeeded in limiting gold shipments to $26 million during the past year.  We think it would be a serious mistake to permit further large shipments at this time. <ref>David Rees, ''Harry Dexter White; a Study in Paradox'', pg. 326.</ref>}}
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Senator William Jenner's Interlocking Subversion in Government Departments Investigation by the [[Senate Internal Security Subcommittee]] looked extensively into the problem of unauthorized, uncontrolled and often dangerous power exercised by non-elected officials, specifically Harry Dexter White. Part of its report looked into the implementation of Roosevelt administration policy in [[China]] and was published as the ''Morgenthau Diary''. <ref>[http://www.archives.gov/legislative/guide/senate/chapter-13-judiciary-1947-1968.html#103 Guide to the Records of the U.S. Senate at the National Archives, Records of the Morgenthau Diary Study, 1953-65].</ref> The Report stated,
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"The concentration of Communist sympathizers in the [[Treasury Department]], and particularly the Division of Monetary Research, is now a matter of record. White was the first director of that division; those who succeeded him in the directorship were [[Frank Coe]] and [[Harold Glasser]]. Also attached to the Division of Monetary Research were [[Lud Ullman|William Ludwig Ullman]], [[Irving Kaplan]], and [[Victor Perlo]]. White, Coe, Glasser, Kaplan, and Perlo were all identified as participants in the Communist conspiracy…." <ref>United States Government Printing Office, Report on the Morgenthau Diaries prepared by the Subcommittee of the Senate Committee of the Judiciary appointed to investigate the Administration of the Internal Security Act and other Internal Security Laws, Introduction, by Dr. Anthony Kubek, Professor of History at Dallas University, November 1967, two volumes, v.i., pg. 80.</ref>
    
==Korea and the nuclear arms race==
 
==Korea and the nuclear arms race==
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