ZOA Calls for Clarification of Blumenthal’s Position on the Mideast and the Arab Boycott

The Zionist Organization of America has called for “clarification” of the position of Secretary of the Treasury-designate W. Michael Blumenthal on the Middle East and the Arab boycott of Israel on grounds that the Bendix Corp, which he headed may have participated in the boycott through one of its foreign subsidiaries.

Rabbi Joseph P. Sternstein, president of the ZOA, said in a statement today that the organization wanted clarification from both Blumenthal and President-elect Jimmy Carter “in light of the decisive voice Blumenthal can be expected to have in government policy on the boycott, his reported continued association with the Bendix Corporation and the questions raised by the employment policies of Bendix-Siyanco.”

The latter is a foreign subsidiary, half owned by Bendix and half by the Saudi Arabian government which is under contract to supply the Saudian army with $67 million worth of training, support and materiel.

According to Sternstein, “During the campaign President-elect Carter stated that as President he would decisively oppose participation of American business firms in the Arab boycott. However, Blumenthal’s record as chairman of a company which aggressively expanded its overseas sales under his guidance and which has possibly through its subsidiaries, participated in the boycott, calls for some clarification.”

The Washington Post reported Saturday that Blumenthal would be questioned during his Senate confirmation hearings on allegations that employment application forms for Bendix-Siyanco projects in Saudi Arabia required “proof of religion” in the form of a baptismal certificate “or a properly executed letter of faith by a chaplain of your choice,” At a House hearing in 1975, Rep. Benjamin Rosenthal (D. NY) noted that this was in violation of federal law, regulations and government policy.

COMPLAINTS WERE FILED

In June, 1975, two Jewish applicants filed complaints with the Equal Employment Opportunity Commission charging that they were barred from employment by Bendix-Siyanco because they were Jews. The complaint was filed on their behalf by the B’nai B’rith Anti-Defamation League. Justin Finger, assistant director of the ADL’s civil rights division, was quoted by the Post as saying that while Bendix does not control the Saudi government, it was not a Bendix function “to handle discriminatory activity for the Saudi Arabians.”

Finger added that the case in question was likely to be settled and that Bendix had since removed the religious question from its application forms and adopted an affirmative action program policy for the Saudian project.

The Post also quoted a Bendix spokesman as saying that Bendix had merely transmitted instructions from the Saudian government and withdrew the religious question before the ADL complaint. According to the Post, the spokesman described Blumenthal as “entirely opposed to discrimination.” The Post said Bendix has been “studiously neutral” in the Middle East conflict. It manufactures antennas for Hawk missiles which the U.S. sells to Israel, Saudi Arabia and Jordan.

Blumenthal, whose parents were Jewish, converted to Presbyterian some years ago. He has been quoted as urging the U.S. to halt arms shipments to the Middle East because “arming these nations is a foolish policy for which we and they will ultimately pay a price measured in blood.”