Greene v. McElroy

360 U.S. 474, 79 S. Ct. 1400, 3 L. Ed. 2d 1377, 1959 U.S. LEXIS 1751
Supreme Court of the United States·Decided June 29, 1959·No. 180·Published·Cited by 1,378 cases

Opinions

Mr. Chief Justice Warren

delivered the opinion of the Court:

This case involves the validity of the Government’s revocation of security clearance granted to petitioner, an aeronautical engineer employed by a private manufacturer which, produced goods for the armed services. Petitioner was discharged from his employment solely as a consequence of the revocation because his access to classified information was required by the nature of his job. After his discharge, petitioner was unable to secure [476] employment as an aeronautical engineer and for all practical. purposes that field of endeavor is now closed to him.

Petitioner was vice president and general manager of Engineering and Research Corporation (ERCO), a business devoted primarily to developing and manufacturing various mechanical and electronic products. He began this employment in 1937 soon after his graduation from the Guggenheim School of Aeronautics and, except for a brief leave of absence, he stayed with the firm until his discharge in 1953. He was first employed as a junior engineer and draftsman. Because of the excellence of his work he eventually became a chief executive officer of the firm. During his career with ERCO, he was credited with the expedited development of a complicated electronic flight simulator and with the design of a rocket launcher, both of which were produced by ERCO and long used- by the Navy.

During the post-World War II period, petitioner was given security clearances on three occasions.1 These were required by the nature of the projects undertaken by ERCO for the various armed services.2 On November 21, [477]*4771951, however, the Army-Navy-Air Force Personnel Security Board (PSB) advised ERCO that the company’s clearances fpr access to classified information were in jeopardy because of a tentative decision to deny petitioner access to classified Department of Defense information and to revoke his clearance for security reasons.3 ERCO was invited to respond to this notification. The corporation, through its president, informed PSB that petitioner had taken an extended furlough due to the Board’s action. The ERCO executive also stated that in his opinion petitioner was a loyal and discreet United States citizen and that his absence denied to the firm the- services of an outstanding engineer and administrative executive. On December 11, 1951, petitioner was informed by the Board that it had “decided that , access by you to contract work and information [at ERCO] ... would be inimical to [478] the best interests of the United States.” Accordingly, the PSB revoked ■ petitioner’s clearances. He was informed that he could seek a héaring before the Industrial Employment Review Board (IERB), and he took this course.4 Prior to the hearing, petitioner received a letter informing him that the PSB action was based on information indicating that between 1943 and 1947 he had associated with Communists, visited officials of the Russian Embassy, and attended a dinner given by an allegedly Communist Front organization.5

On January 23,1952, petitioner, with counsel, appeared before the IERB. He was questioned in detail concerning his background and the information disclosed in the IERB letter. In response to numerous, and searching questions he explained in substance that specific “suspect” persons with whom he was said to have associated were actually friends of his ex-wife. He explained in some detail that during his first marriage, which lasted from [479]*4791942 through 1947, his then wife held views with which he did not concur and was friendly with associates and other persons with whom he had little in common. He stated that these basic disagreements were the prime reasons that the marriage ended in failure; He attributed to his then wife his attendance at the dinner, his membership in a bookshop association which purportedly was a “front” organization, and the presence in his home of “Communist” publications. He denied categorically that he had ever been a “Communist” and he spoke at length about his dislike for “a theory of Government which has for its object the common ownership of property.” Lastly, petitioner explained that his visits to persons in various foreign embassies (including the Russian Embassy) were made in connection with his attempts to sell ERCO’s products to their Governments. Petitioner’s witnesses, who included top-level- executives of ERCO and a number of military officers who had worked with petitioner in the past, corroborated many of petitioner’s statements and testified in substance that he was a loyal and discreet citizen. These top-level executives of ERCO, whose right to clearance was never challenged, corroborated petitioner’s testimony concerning his reasons for visiting the Russian Embassy.

The Government presented no witnesses. It was obvious, however, from the questions posed to petitioner and to his witnesses, that the Board relied on confidential reports which were never made available to petitioner. These reports apparently were compilations of statements taken from various persons contacted by an investigatory agency. Petitioner had no opportunity to confront and question persons whose statements reflected adversely on him or to confront the government investigators who took their statements. Moreover, it seemed- evident that the Board itself had never questioned the investigators and [480] had never seen those persons whose statements were the subject of their reports.

On January 29, 1952, the IERB, on the basis of the testimony given at the hearing and the confidential reports, reversed the action of the PSB' and informed petitioner and ERGO that petitioner was authorized to work on Secret contract work.

On March 27, 1953, the Sécretary of Defense abolished the PSB and IERB and directed the Secretaries of the three armed services to establish regional Industrial Personnel Security Boards to coordinate the industrial security program.6 The Secretaries were also instructed to establish uniform standards, criteria, and procedures.7 [481] Cases pending before the PSB and IERB were referred to these new Boards.8 During the interim period between the abolishment of the old program and the implementation of the new one, the Secretaries considered themselves charged with administering clearance activities under previously stated criteria.9

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Greene v. McElroy, 360 U.S. 474, 79 S. Ct. 1400, 3 L. Ed. 2d 1377, 1959 U.S. LEXIS 1751 (1959).

360 U.S. 474 (Greene v. McElroy) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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