Mr. O’Connell. On what principle?

Mr. Tavenner. The one you just named.

Mr. O’Connell. Actually, as far as I can remember—and of course this goes back a long, long time, from 1940 on—I can’t remember all of the organizations but we usually had an annual meeting of the trustees and applications were made to the trustees by practically—I mean just hundreds of organizations around the country that applied to foundations of this kind, and I think, I can’t remember any exceptions, I don’t recall any now.

As closely as we could the applications were considered from the point of view that the money was to be applied by the organization to whom it was granted to help the organization and development of trade unions and organizing of unemployed people and particularly the development of a principle of cooperation between farmers and laborers.

Mr. Tavenner. But actually the will did provide for the use of the money for promotion and advancement of an economic system in the United States based upon the theory of production for use?

Mr. O’Connell. Yes; I think another thing that would lend some stability to what I am saying is that I think the tax bureau at one of the local Federal district courts in determining the taxability of the foundation itself actually I think handed down a ruling that the foundation was not entitled to a section 101 exemption because that particular provision actually called for the elimination of the capitalistic system. I think that was the wording used either by the bureau or the court and from that time on the trustees never actually, I can’t think of a single organization or a single group—and we had applications I know, I am trying to think of some of the organizations that existed over that period of time—I can’t recall any of them now who specifically asked for grants based on what they called theory of production for use rather than for profit. But I can’t think of a single instance where the trustees actually made——

Mr. Tavenner. That was actually the system in use in the Soviet Union, was it not?

Mr. O’Connell. I have never been in the Soviet Union and I am not——

Mr. Tavenner. However, you know, that is true, don’t you?

Mr. O’Connell. My information that I get from reading and so on is that there is a modification. I think if I state it correctly in the industrial field I think there is production for use rather than for profit, but as I understand the Soviets have now abandoned as far as particular foreign farm production is concerned——