Shock and Awe

TO     : BUNGALOW                                               DATE:  8/12/77

FROM   : SUNDOWN

SUBJECT: Surveillance Report - Subject "HRJ-4151"

             Subject recently started developing a device which appears
         very similar to Project Sagittarius.  See the enclosed diagram
         retrieved from his office yesterday.  No other adverse activity
         has been noted at this time.

             Please advise whether extraction will be necessary.

TO     : SUNDOWN                                               DATE:  8/13/77

FROM   : BUNGALOW

SUBJECT: Surveillance Orders - Subject "HRJ-4151"

             Inspection of this diagram by the project team suggests the
         similarities are superficial, and that the subject does not
         understand the function or purpose of the device.  As such
         extraction will not be necessary at this time.

             Nonetheless, the similarities do suggest the subject has
         acquired access to project materials, which is a matter of some
         concern.  Take action as necessary to identify his sources.

                                  MEMORANDUM
TO     : ALL AGENTS                                               DATE:  8/16/77

FROM   : CENTRAL

SUBJECT: Code Change - IMMEDIATE ACTION REQUIRED

             In light of the incident yesterday, the codes for Project
         Sagittarius will be changed effective immediately.  All SECRET
         and TOP SECRET materials distributed using the previous
         encodings MUST BE DESTROYED IMMEDIATELY.  Furthermore, provision
         should be made to convert CONFIDENTIAL and RESTRICTED materials
         to the new encodings ASAP.