Relationship Between Jewish Agency and J. T. A. Explained to Fulbright

The relationship between the Jewish Agency and the Jewish Telegraphic Agency was explored by Sen. J. W. Fulbright, chairman of the Senate Foreign Relations Committee, during his questioning of Jewish Agency representatives, as part of his Committee’s study of non-diplomatic activities of representatives of foreign governments. The transcript of the executive hearing, held May 23, was issued here today.

Gottlieb Hammer, who was executive director of the Jewish Agency until 1960, told Sen. Fulbright how the Jewish Agency had become involved in the JTA situation. He referred to the JTA’s financial difficulties in 1950, and declared:

“The Jewish Agency stepped into the picture in order to preserve the existence of a news agency which specialized in the dissemination of Jewish news of particular interest to communities in the United States and throughout the free world, wherever Jewish communities existed.

“Our purpose at that time was to make certain that there would be uninterrupted operation of the Jewish Telegraphic Agency or JTA as it is commonly known, and that at some point as soon as we could arrange it, there would be a transfer of this property, not only transfer of the share ownership, which is something that is not of great value in view of the deficit position of the JTA, but also the burden of financing it, to other people.

“In the middle 1950’s,” Mr. Hammer continued, “I personally undertook negotiations with representatives of the Council of Jewish Federations and Welfare Funds, leading to their extending support to and participating in a reorganized JTA, and these negotiations went on for several years.

“During that period, the Jewish Agency for Israel, Inc., provided the budget or provided the funds necessary to cover the deficit of JTA to keep it going. I understand that the process of transfer to a reorganized board of the JTA, and the transfer of stock is taking place, and has almost reached the final stages of conclusion.”

LIPSKY INFORMS SEN. FULBRIGHT ON THE J. T. A. REORGANIZATION

Eleazar Lipsky, president of the Jewish Telegraphic Agency, in a letter, dated yesterday, to Senator Fulbright on behalf of the JTA Board of Directors, reviewed the relationship that existed between the Jewish Agency and the JTA, and emphasized that the reorganization of the JTA as an independent entity, operating in the interests of the Jewish community and the free world, is now nearing completion.

“In 1951,” Mr. Lipsky wrote, “the JTA was in acute financial difficulties which severely constricted its operations and, in fact, Jeopardized its continued existence. To prevent the total collapse of this news service which was considered vital to the well-being of the Jewish community, the Jewish Agency was requested by the JTA to intervene and provide the funds to permit JTA to continue functioning on what was expected to be a provisional basis. It became nominally the owner of the Jewish Telegraphic Agency through ownership of the voting shares by transfer from the late Jacob Landau, founder of the JTA. For a long time, the JTA regarded advances by the Jewish Agency as interest-free loans.

“The Jewish Agency did not interfere or attempt to interfere in the editorial operation of the Jewish Telegraphic Agency, its policies, its news content, its selection and treatment of news, its reporting or the management of its business.

“The Jewish Telegraphic Agency is grateful to the Jewish Agency for having made it possible to continue its operations and render important services to the Jewish community. We believe that the American Jewish community is under a deep obligation to the Jewish Agency for having preserved this service for it.

STRESSES IMPORTANCE AND EFFECTIVENESS OF J. T. A. TO WORLD JEWRY

“The Jewish Telegraphic Agency has served the Jewish people, the American Jewish community and the free world generally for more than 46 years,” Mr. Lipsky continued. “Its sole purpose and its sole function has been to report as accurately and objectively as human frailties permit those developments anywhere in the world of special concern or interest to the Jewish people, to bring to light information which their wellbeing required and to provide the information on which Jewish leadership could take informed action.

“The importance and effectiveness of the JTA was acknowledged over the years by the Jewish leadership here and abroad and its journalistic proficiency by the long list of newspapers which relied on its services. The Jewish Telegraphic Agency has always freely and publicly acknowledged this relationship with the Jewish Agency. The American Jewish federations and welfare funds were aware of it and were kept apprised of the continuous efforts to establish a new basis for JTA. The Jewish Agency almost immediately took the initiative in discussing with the leadership of the American Jewish community reorganization of JTA to ensure its independent operation and financial stability.

“As a result of its endeavors, an agreement was reached in 1960 for the future organization of JTA. The reorganization of JTA as an independent entity operating in the interests of the Jewish community and the free world, is now nearing completion. Only some technical details remain to be effected. A distinguished Board of Directors, composed of representatives of many facets of American Jewish life and including distinguished publicists, is now directing the affairs of JTA and will shortly assume direct ownership of the news agency as trustees for the community. The new Board is completely independent of the Jewish Agency or of any other organization and its revised constitution will assure that this will continue to be the fact.

“The financial responsibility for the service is being increasingly assumed by the American Jewish federations and welfare funds, more than 135 of which are now directly participating in its work.

“An outstanding committee of American editors and publicists is now being formed to study and review the operations of JTA and to formulate recommendations for its future programs. This committee’s recommendations will guide the JTA Board in its efforts to make JTA a most effective instrument of the American Jewish community and a trusted, dependable, useful source of information for the world press,” Mr. Lipsky concluded.