ing the board, must state that the persons selected have been the subject of a full field investigation or background investigation (as defined in Chapter 15, the Navy Security Manual for Classified Information) completed with satisfactory results, and that the selection has been determined to be clearly consistent with the interest of the national security. ⚫. All naval activities in isolated areas, anywhere. Heads of such activities will convene security hearing boards, when required, composed of persons from their own military and civilian rolls to hear cases on their employees. The persons selected must be of the high caliber stated above, and the head of the activity must state in his order convening the board that the persons selected have been the subject of a full field investigation or background investigation (as defined in Chapter 15, the Navy Security Manual for Classified Information) completed with satisfactory results, and that the selection has been determined to be clearly consistent with the interest of the national security. Further, the head of the activity must state: that the board is so constituted because the isolated location of the activity makes it impracticable to seek members from other agencies of the Federal Government; and, that the persons selected to serve on the board do not know the person who is the subject of the hearing. f. Availability of activity designees for service on security hearing boards. It is recognized that many of the individuals named by the naval activities to the security hearing board roster are occupying responsible positions which require close attention to pressing business, and that the urgency of their regular duties causes them to be reluctant at times to serve as members of hearing boards. However, unavailability for service for other than the most compelling reasons can seriously delay and impair the effectiveness of the security program. Roster members shall be released from their obligation to serve on security hearing boards only when justified by compelling reasons which have been approved by the head of the activity. The need for prompt adjudication of security cases is self evident. Activities concerned are relied on to furnish strong support to this end by seeing to it that their roster members are adequate in numbers and serve when called. Each activity shall maintain a continuing review of the number of individuals designated for the security hearing board roster and insure that the maximum number possible have been designated and are available for assignment to security hearing boards. Further, each activity shall make known to the persons designated to the roster that they shall serve on security hearing boards when selected, unless they are excused for compelling reasons approved by the head of the activity. Naval activities encountering difficulty in assembling security hearing boards should request the appropriate Naval District Headquarters to confer with equivalent functions of the Army and Air Force in the area with a view to overcoming the difficulty. If a satisfactory resolution of the difficulty cannot be made in the area the matter should be referred to the Chief of Industrial Relations (Code 110), to be taken up with officials of the Department of the Army and Department of the Air Force. g. Review by Secretary of the Navy of the qualifications of persons made available by the Department of the Navy for service on security hearing boards. In order to assure the high caliber of security hearing boards, the Secretary of the Navy shall periodically review the qualifications of persons made available by the Department of the Navy for service on security hearing boards. All naval activities, departmental and field, designating persons for service on security hearing boards shall furnish to the Department (OIR Code 110), for review by the Secretary of the Navy, a complete list of the persons designated. The information furnished shall include each person's full name, date of birth, his grade or rating, rank (if military), official title, a brief description of his regular duties, and a statement as to whether he meets the character and investigative requirements of NCPI 732,2-7, Heads of activities shall inform the Department (OIR Code 110) of changes to the list submitted in accordance with these instructions by referencing the original list submitted and indicating the changes, 2-8. ESTABLISHING THE NAVY DEPARTMENT SECURITY REVIEW BOARD. a. Title. Pursuant to the provisions of Public Law 733 and b. Composition of Board. (1) Members. Board personnel must possess the highest degree of integrity, ability and good judgment, and must have been the subject of a background investigation completed with satisfactory results (Article 1502.3 and Article 1510.2, Chapter 15, the Navy Security Manual for Classified Information, OpNav Instruction 5510.1B), or its equivalent, Board members shall be appointed by the Secretary of the Navy. The Board shall consist of a permanent civilian Chairman, nominated by the Chief of Industrial Relations; a permanent military member (a flag officer of the U. S. Navy), nominated by the Chief of Naval Operations; and civilian members, one of whom shall be nominated from employees under his cognizance by the chief of each bureau, office and service of the Navy Department (with the exception of the Office of the Chief of Naval Operations), by the Commandant of the Marine Corps, and, when assigned to the Navy, by the Commandant of the Coast Guard. The permanent Chairman, the permanent military member, and a third member representing the bureau, office, service, or headquarters having cognizance over the employee whose case is under consideration, shall constitute a quorum in each case involving an employee suspended under the security program, except that when the case involves an employee of an activity under the cognizance of the Chief of Naval Operations, such third member will be designated by the Chief of Naval Operations from among the other civilian members with the concurrence of the chief of the bureau, office, service, or commandant who nominated the designated member. The Chairman and one other member of the Board may constitute a quorum for review of security determinations not involving employees suspended. An alternate or alternates for any member of the Board may be nominated and appointed as heretofore provided for principal members. Vacancies will be filled by nomination and appointment as heretofore provided for original appointment. (2) Executive Secretary. The Executive Secretary shall be nominated by the Chief of Industrial Relations and appointed by the Secretary of the Navy. He shall meet the general qualifications prescribed above for board members. He will perform all of the duties customarily performed by an executive secretary, will have immediate charge of all the administrative duties of the Board under the direction of the Chairman, and will have general responsibility for advising and assisting the Board members and exercising executive direction over the staff, (3) Legal Counsel. The Judge Advocate General of the Navy will designate legal counsel to advise the Board during the course of a review and to furnish such other assistance of a legal nature as may be required. 2-9. RESPONSIBILITIES. a. Office of Industrial Relations. The Office of Industrial Relations has the following responsibilities in the operation of the security program: (1) To prepare instructions deemed necessary to implement statutes and Executive orders relating to security matters involving civilian employees of the Naval Establishment, (2) To advise activities of the Naval Establishment on all problems relating to employee security. (3) To disseminate information pertinent to the employee security program. (4) To make reports and to submit recommendations to the Civil Service Commission regarding the security program. (5) To maintain a complete record of all security cases under Executive Order 10450, as amended, in such fashion that such records can be made available to representatives of the Civil Service Commission for inspection and review in connection with the work of the Commission. (6) When cases are closed, to maintain the complete files in all cases adjudicated under Executive Order 10450, as amended, in such fashion that these files can be made available to the representatives of the Civil Service Commission for inspection and review in connection with the work of the Commission. (7) To receive from the Civil Service Commission security cases and transmit them to employing activities, with instructions for processing such cases, (8) To review the cases of all civilian officers and employees with respect to whom there has been conducted a full field investigation under Executive Order 9835 of 21 March 1947, and after such further investigation as may be appropriate, will cause to be readjudicated, in accordance with Public Law 733, such of those cases as have not been adjudicated under a security standard commensurate with that established under Executive Order 10450, as amended. (9) To review security cases, other than those of employees suspended under Executive Order 10450, as required by Executive Order 10450. (10)To pre-audit proposed charges developed by employing activities in security cases. (11)To post-audit files on security cases and to remand for further action those which do not fully meet the security and procedural requirements of the security program. b. Office of Naval Intelligence and District Intelligence Office. (1) Liaison with other investigative agencies. The Office of Naval Intelligence and its District Intelligence Offices are responsible for liaison with other investigative agencies of the Federal Government, such as Military Intelligence and the Federal Bureau of Investigation, and for making, or for having made by the Federal Bureau of Investigation, security investigations as requested by naval activities. The FBI will conduct all security investigations of Navy employees except where the FBI, by special agreement with ONI, makes other arrangements. Accordingly, when an investigative report in the custody of another agency is needed, or when a security investigation on an employee is required for the purposes of this Instruction, heads of naval field activities will make their requests of appro priate District Intelligence Offices, and Departmental activities will make their requests of the Intelligence Office, Potomac River Naval Command, (2) Clearance of individual cases with Office of Naval Intelligence. Since the Office of Naval Intelligence has certain responsibilities for security, it is necessary that heads of activities, before initiating removal action against an employee, determine whether or not removal action would be prejudicial to investigation under way or planned. The appropriate Naval Intelligence Office will advise as soon as possible whether the initiation of removal procedures would be premature. Should any questions arise between naval activities and Naval Intelligence concerning such cases, they should be referred immediately to OIR Code 110. (3) Advisory capacity. The Office of Naval Intelligence and its field activities stand ready to advise heads of activities and members of security screening boards and security hearing boards with respect to the character and nature of subversive and disloyal groups and organizations and their methods and techniques of operation. It is recommended that conferences with appropriate Naval Intelligence Offices for this purpose be arranged. In addition, it is advisable to have members of security boards consult with appropriate Naval Intelligence Offices as to the reliability of information contained in confidential reports and the methods employed in securing such information (insofar as security considerations permit), to the end that boards may form their own opinion as to the propriety of taking action. The Office of Naval Intelligence is a fact-finding body only. It does not draw conclusions for administrative officials, nor does it recommend action to be taken. (4) Access of Civil Service Commission representatives to investigative reports. Whenever Civil Service Commission representatives request access to confidential reports used as the basis for removing an employee, such representatives will be instructed to make their requests of the appropriate Naval Intelligence Offices. These Intelligence Offices will provide the Commission representatives with access to complete security files. (5) Additional investigations and credibility of information. Whenever information in a particular case is inconclusive or further development of information is desired, a request should be made of the appropriate Naval Intelligence Office, stating the precise information needed. (6) Furnishing resume of present information in files of FBI: sensitive position. It is the policy of the FBI to furnish the appropriate sent information in the files of the FBI" when the FBI initiates an investigation under the security program for a sensitive position and does have information on file. The appropriate Naval Intelligence Office is responsible for making this resume available to employing activities, upon request, for immediate information in advance of the completed investigation. If the resume exists, but is not furnished the appropriate Naval Intelligence Office, the Naval Intelligence Office is responsible for securing the resume from the FBI and furnishing it to the employing activity, upon request. c. Chiefs of Bureaus and Offices, the Commandant of the Marine Corps, and heads of field activities. Chiefs of bureaus and offices, the Commandant of the Marine Corps, and heads of field activities are responsible for the following: (1) Initiating action looking toward the removal or clearance of employees under their command in accordance with this Instruction when derogatory information of a security nature is received. (2) Requesting through appropriate Naval Intelligence Office, security investigations of employees, upon receipt of any information which raises a question as to the security risk involved in their continued employment. (3) Nominating for appointment to, or appointing, as appropriate, employees as members of security boards in accordance with the provisions of NCPI 732.2-5, -6 and -7, (4) Forwarding to the Secretary of the Navy (OIR Code 110) for pre-audit, proposed charges against employees under the security program. The head of the activity may, in extreme cases which require immediate suspension of the employee, suspend him without submitting proposed charges to the Department for pre-audit. In such instances, the Secretary of the Navy (OIR Code 110) shall be immediately notified of the name of the employee, the employee's rating or grade, the salary, the sensitivity of position, and the facts which required the employee's immediate suspension. Other than in cases of emergency suspension, the head of the activity shall not suspend employees under the security program until he has received information that the Secretary of the Navy has approved the charges submitted to the Department for pre-audit, Upon receipt of such information, the head of the activity shall immediately furnish the employee with the charges and suspend him from employment. The head of the activity must suspend an employee under authority of Public Law 733 at the time he issues charges to the employee under that authority. The head of an activity should not suspend an employee prior to issuance of charges except in cases where the circumstances are such that the retention of the employee in an active duty status may be detrimental to the interests of the Government. In such exceptional cases the employee may be temporarily assigned to duties in which this condition would not exist, or placed on annual leave, provided he has sufficient leave to his credit to cover the required period, placed on leave without pay with his consent, or suspended under Public Law 733 provided that charges are issued within thirty days of the effective date of suspension. No employee will be removed under authority of Public Law 733 and Executive Order 10450, as amended, until the Secretary of the Navy makes his determination on the case. (5) Having the Attorney General's list of organizations, CSC Form 385 (see NCPI 732,8-Encl. 4) placed on official bulletin boards. A supply of the printed list is available for this purpose at District Publications and Printing Offices. Activities should requisition therefrom sufficient copies for posting on official bulletin boards. The Attorney General's list is amended from time to time; such amendments should be requisitioned and posted whenever activities are informed by amendment to NCPI 732 that the list has been amended, (6) Placing in the employee's Official Personnel Folder (on the permanent side) a signed statement as follows: "Processed under Executive Order 10450, as amended, on (date)," when such action has been completed on his security case. Further, the Official Personnel Folder of an employee upon whom an FBI full field investigation has been received under the security program should contain (on the temporary side) a directive to the personnel officer or the industrial relations officer to notify OIR Code 110 if at any time thereafter the employee is separated for any reason. The notification should state the reason and effective date of such separation. (7) Notifying OIR Code 110, Navy Department, Washington 25. D. C.. immediately of the following action when taken: (a) When an employee has been suspended following approval of proposed charges in the Department. The employee concerned must be identified by name, rating or grade, salary, and sensitivity of position. (b) Of cases pending in excess of 60 days, with justification for delay in processing. (c) Anticipated separation for other reasons (RIF. resignation, etc.) of any employee whose case is pending final decision of the Secretary of the Navy on adverse security recommendation of the activity. This information should be given as far in advance of the effective date as possible. (d) The date and reason for separation of an employee upon whom an FBI full field investigation has been received and who is thereafter at any time separated for any reason. (8) Compliance with the appropriate provisions of NCPI 732. (9) Disposing of files in accordance with the provisions of this Instruction, (10) Maintaining relationship with the Office of Naval Intelligence in accordance with NCPI 732.2-9b. (11) Keeping the activity security officer informed of all determinations made by the security hearing board and by the activity commanding officer, regarding any employee of the activity. (12) The Civil Service Commission will furnish to employing activities a notice that the FBI has initiated investigation on sensitive positions. The notice, at times, will state that the FBI will furnish a "resume of present information in the file of the FBI" in such sensitive cases, upon request. The head of the activity should request this resume, if required, from the appropriate Naval Intelligence Office (see NCPI 732.2-9b(6). (13) Warning employees to recheck the list published by the Attorney General pursuant to Executive Order 10450 (NCPI 732,8-Encl. 4) to make sure they are not associated with any of the organizations cited, and if they are, to discontinue such associations; cautioning employees to check their insurance policies to assure no connection with the above dengnated list. (14) Giving proper counsel to their employees concerning the various means by which they may unwittingly expose themselves to unfavorable or suspicious appraisal. Counsel, when given, should be along the line indicated in NCPI 732.8-Encl. 10. (15) The warning and counseling provisions indicated in 2-9013) and (14) will be made a part of the indoctrination training curriculum for all new employees, (See NCPI 410.15-2.) (16) Submitting DD Form 264 to Central Index File on top level civilian personnel who at time of separation hold security clearances pursuant to the provisions of the Navy Security Manual for Classified Information. Furnishing to cognizant security offices under the Industrial Security Program, upon request, information as to security clearance held by separated personnel other than top level personnel. For detailed instructions, see NCPI 732.7-16. (17) Recording in official files all designations of positions as sensitive. The head of the activity shall be responsible for insuring that all positions under his command which have been designated as sensitive shall be recorded as sensitive in the official records of the activity. See NCPI 732,2-31 and NCPI 732,7-2j and k. The recording of reasons or justification for designating position as sensitive is not required, since such designations are administrative actions, d. Security screening board. This board will have the authority and responsibility to evaluate security cases and make recommendations to the head of the activity as to procedure appropriate in each case. The board may not issue charges or conduct hearings, but it may, in connection with its evaluation of cases, issue interrogatories, conduct interviews, and prepare proposed charges to be issued by the head of the activity. The board's recommendations will be signed by all board members, supported by a rationale, and be included in the complete file of the case. e. Executive secretary of the security hearing board. The executive secretary is required: (1) To maintain liaison on security hearing board matters with the Civil Service regional office having jurisdiction in the geographical area of the naval activity, or with the Office of Industrial Relations in the metropolitan area of Washington, D. C. (NCPI 732.2-7a). (2) If the naval activity is one previously requested by OIR to designate officers and employees to security hearing board rosters (see NCPI 732.2-7b) to make a check once every three months of personnel at the activity who have been named to the security hearing board roster to ascertain their availability for hear ing board service during the ensuing three months' period and to notify the appropriate Civil Service regional office appropriately. (3) Subject to the introductory condition above, and to the approval of the head of the activity, to obtain replacements from the activity for the security hearing board roster of the Civil Service regional office. Designations of replacements are to be sent directly to the Civil Service regional office, with an information copy to OIR Code 110. Designations will specify that the person named has been the subject of a full field investigation (or a background investigation under Department of the Navy directives) completed with satisfactory results, that the head of the activity personally vouches for his character, ability, discretion and integrity, and that the designation has been determined to be clearly consistent with the interests of national security. (4) To receive and maintain controls on cases received from the head of the activity for hearing (NCPI 732.2-9f(4)). (5) To make contact with the Civil Service regional office to obtain members for the security hearing board to hear individual cases, except for those geographic areas stipulated in NCPI 732.2-7. This will involve contact with installations and persons on the roster to ascertain availability and to make arrangements for their participation. It is generally desired that the board be comprised of one military officer and two civilians. Selections should be made so as to minimize travel. Any unusual difficulties in obtaining (6) To complete final negotiations with personnel who are to serve on the security hearing board and to request the employers of each of the board members to issue any necessary travel orders. In so doing the employers of the board members will be advised of the place where the hearing is to be held and the dates upon which service will be required. Board members should be informed that it is generally necessary for the board to meet in executive session on the day before the hear ing and immediately following the hearing, probably on the day after the hearing. The name of the employee whose case is to be heard should not be included in the travel orders so that the orders will not have to be classified, (7) To assure that all members of the hearing board panel have an opportunity to review the entire case file prior to the hearing. (8) To transmit invitations to qualified witnesses in accordance with NCPI 732, 4-12f as far in advance of the hearing as possible. (9) To notify the employee of the time and place of the hearing. (10) To make all physical arrangements for the hearing at the activity. This action will include at least the following: a hearing room; a witness room (two, if Government witnesses are to appear); stenographic and clerical assistance for the hearing; a mechanical recording device with a qualified operator if necessary; and any other details necessary for the hear ing. (11) If requested by the board, to obtain and make available to the board stenographic and clerical assistance in the preparation of the board's findings and determination. (12) To assure that the case file is returned promptly from the security hearing board and when received to review to ascertain that all documents are present and that the board's findings have been signed by all board members. The completed case will be transmitted to the head of the activity (NCPI 732,2-9f(4)). (13) To supply members of the board with statements covering periods of service as a board member. (14) To take any other action considered necessary in the development of the case and presentation of a complete record to the board. f. Security hearing board of the activity. A security hearing board is established when needed by the head of the activity in the name of the Secretary of the Navy to conduct hearings, and to act in an advisory capacity to the Secretary of the Navy in making its findings and recommendations. The prime function of a security hearing board in each individual case is |