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During the appearance of representatives of the American Medical Association before the Subcommittee on Antitrust and Monopoly on July 5-6, reference was made to a comparison of amounts appropriated for the Council on Drugs and related committees for the period of 1952 to 1961. Reference to this item appears on pages 245-248 of the Report of Proceedings, Volume II, July 6, 1961.

Permission was given by you at the time of the hearings for the presentation of additional figures in this regard accompanied by further explanation. Enclosed is a copy of a more accurate statement with respect to the amounts appropriated by the American Medical Association for its Council on Drugs and the Committee on Research and Toxicology for the years from 1952 to 1961.

The figures presented by a member of your staff on July 6 were obtained from a review of back issues of The Journal of the American Medical Association. The fallacy of this approach arises from the fact that the composition and related responsibilities of various committees of the Council changed during the years covered by the analysis. In addition, changes in our accounting system make it impossible to prepare an accurate comparison of amounts appropriated for the same or similar responsibilities by reviewing annual statements appearing in the Journal.

A thorough analysis has been made of this material by our staff and the attached figures represent an accurate comparison for substantially similar responsibilities for the years, 1952 to 1961. It will be noted from these figures that although expenditures decreased in the years, 1956-1959, there was a sharp increase in 1960. It should also be noted that the highest amount ever appropriated for this work during the entire period covered by this comparative analysis was appropriated for the year 1961.

I trust that in accordance with your agreement this comparative statement and explanatory letter will be inserted in the record.

Sincerely yours,

7 J..

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F.J.L. Blasingame, M.D.

Enclosure

73753 0-61-pt. 2-6

DEPARTMENT OF DRUGS W/COMMITTEE ON RESEARCH & TOXICOLOGY

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EXHIBIT 15

AMERICAN MEDICAL ASSOCIATION

Statement of Income

Year ended Dec. 31, 1960 with comparative figures for 1959

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Source: J.A.M.A., vol. 176, No. 4 (April 29, 1961) p. 310.

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