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SECRE'

Document disclosed under the Access to Information Act Document divulgue en vertu de la Loi sur I'acces a f information

S E C R E T

MEMO ( 4 APR 46) FROM MR CREAN TO
HON NORMAN ROBERTSON ( u n d e r S e c r e t a r y
of S t a t e f o r E x t e r n a l A f f a i r s )

FLAG "A"

1.
D u r i n g c o n v e r s a t i o n s i n LONDON among MR CREAN,
MR GLAZEBROOK a n d t h e UK a u t h o r i t i e s t h e C a n a d i a n s t e n t a t i v e l y
p u t f o r w a r d t h e i d e a of CANADA t a k i n g o v e r and o p e r a t i n g t h e
C a n a d i a n end of HYDRA. The UK a u t h o r i t i e s a p p e a r e d t o f a v o u r
t h e . s u g g e s t i o n and s t a t e d t h e y would p r o b a b l y b e p r e p a r e d t o
t r a n s f e r t h e p r e s e n t i n s t a l l a t i o n s t o t h e C a n a d i a n Government
without charge.
2.
CREAN s u g g e s t e d t h a t f r o m t h e C a n a d i a n p o i n t of view t h e r e
a p p e a r e d t o b e t h r e e m a i n r e a s o n s why t h i s w o u l d b e d e s i r a b l e :
(a)

To c a r r y EXTERNAL AFFAIRS TRAFFIC b e t w e e n OTTAWA
and LONDON and,.OTTAWA a n d WASHINGTON.

(b)

To c a r r y COMINT TRAFFIC, w h i c h would i n c l u d e a l l
raw i n t e r c e p t m a t e r i a l b e t w e e n OTTAWA and LONDON
and b e t w e e n OTTAWA and WASHINGTON.
»

(c)

By o w n e r s h i p a n d o p e r a t i o n of HYDRA we s h o u l d b e
contributing s u b s t a n t i a l l y to the post-war signal
i n t e l l i g e n c e e f f o r t of t h e COMMONWEALTH and t h e
USA, I t would a l s o e n s u r e t h e c o - o p e r a t i o n of t h e
UK and USA i n o u r c r y p t o g r a p h i c e f f o r t a n d t h e
r e c e p t i o n of EXTERNAL AFFAIRS of a l l u l t r a i n t e l l i - gence.

3.
CREAN p o i n t e d o u t t h a t i n a d d i t i o n t o c a r r y i n g t h e t r a f f i c
i n d i c a t e d above HYDRA would a l s o c a r r y t r a f f i c b e t w e e n t h e
FOREIGN OFFICE and t h e B r i t i s h Embassy i n WASHINGTON, a n d b e t w e e n
t h e UNITED KINGDOM and t h e UNITED STATES COMINT a u t h o r i t i e s .
4.
CREAN t h e n gave c o m p a r a t i v e c o s t s of owning a n d o p e r a t i n g
HYDRA1 a s o p p o s e d t o p a y i n g c o m i a e r c i a l calble c o s t s f o r t h e same
service.
LETTER (7 MAY 46) FROM N . A . ROBERTSON
TO SIR EDWARD TRAVIS (GCHQ)
~

FLAG "B"

1.
Mr R o b e r t s o n f e e l s , " . . . . t h a t from e v e r y p o i n t of view
i t would b e b e t t e r i f t h i s s i t u a t i o n (HYDRA) w e r e t a k e n o v e r
and o p e r a t e d b y CANADA.

FLAG

LETTER (7 MAY 46) FROM N . A . ROBERTSON
TO THE CGS (THEN LT-GEN FOULKES)

»pi»

1.
This l e t t e r should be r e a d in d e t a i l , w i t h
reference t o the following p o i n t s :

particular

(a)

It was made clear that MR ROBERTSON felt that
within CANADA, communications and cipher for COMINT
should be peculiar to COMINT, even though it was
suggested that the Services actually provide such
communications. (See paras 1(a) - (d))

(b)

MR ROBERTSON reminded the CGS that when they discussed
the matter together the CGS had suggested that HYDRA
should be opera'ted by 'the MM, and it was agreed
that this was the most suitable arrangement,
(see para 2(c) of the letter)

i^UM

SECRET.

000173

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FLAG "D"

Document disclosed under the Access to Information Act Document divulgue en vertu de la Loi sur I'acces a {'information

2 -

S E C R E T

MEMORANDUM (5 JUN 4 5 ) FROM
D SIGS (COL WRINCH) TO CGS

1,
I n a n a p p e n d i x t o t h i s memo D SIGS- d e s c r i b e s t h e
C a n a d i a n HYDRA f a c i l i t i e s w h i c h w o u l d be t a k e n over b y
t h e Army.
A
2.
D SIGS s t r o n g l y recommends t h a t t h e l o c a t i o n of t h e
s t a t i o n be moved t o OTTAWA s o t h a t i n t h e l o n g t e r m
o p e r a t i o n a n d m a i n t e n a n c e would b e s i m p l i f i e d . (What h a p p e n e d
e v e n t u a l l y was t h a t CONTROL and RECEIVING moved t o OTTAWA
b u t TRANSMITTING was l e f t i n OSHAWA)
FLAG "E"

"NOTE TO FILE" (8 JUL 46) BY
LT-COL J H EAMAN OF D SIGS

1.
DCGS (A) h a d i n mind t h a t i f HYDRA w e r e t a k e n o v e r
b y t h e Army i t s c i v i l i a n s w o u l d b e r e p l a c e d b y s o l d i e r s
within 2 years.
2.
A 50 KW t r a n s m i t t e r was t o b e d e v e l o p e d f o r t h e
s t a t i o n b y CSRDE ( T h i s p l a n l a t e r f e l l b y t h e w a y s i d e a n d
a 100 KW t r a n s m i t t e r was p u r c h a s e d f r o m RCA out of
Army f u n d s )
FLAG " F "

MEMORANDUM (25 SEP 46) FROM
CHAIRMAN CRC TO SECRETARY CSC

Note Para 4(b) in which it is stated that exclusive
1.
COMINT telecommunication channels are essential for
COMINT traffic passing and for COMINT control.
2.
In Para 4(d) it is stated, "all the terminals of
circuits intended exclusively to carry SIGINT traffic
will be installed in SIGINT Centres which will have
operational but not necessarily administrative control of
all SIGINT communications in their areas", (underline is mine)
»rti»
FLAG "G

MEMORANDUM (19 NOV 46) FROM
MR HEENEY TO MR PEARSON

1"; , .:... MRl'ST'.'LAURENT and MR ABBOTT agreed that it would
be reasonable for the government to take over this function
(HYDRA) as a part of the co-operative UK/US/CANADA
programme in the field of interception.
2.
MR. ILSLEY was satisfied to have the OSHAWA station
taken over in the way proposed, on the understanding that
there was no capital cost involved and that the funds were
available in National Defence (Army) votes.

H H SECRET

000174

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f o - m e n t divulgue en vertu de la Loi sur I'acces a f information

- 3 -

Uxilli
FLAG "H

I

I

SECRET

TELEGRAM (28 NOV 46) FROM
SIR EDWARD TRAVIS TO UNDER
SECRETARY OF STATE

1.
S i r Edward s a i d i n p a r t , "We welcome s u g g e s t i o n of
o p e r a t i o n b y C a n a d i a n Army S i g n a l s " .
2.
He s a i d a l s o , " O p e r a t i o n a t t h i s end w i l l b e by t h e
S p e c i a l Communications O r g a n i z a t i o n , w h i c h c o v e r s F o r e i g n
O f f i c e and c e r t a i n S i g i n t c o m m u n i c a t i o n r e q u i r e m e n t s and h a s
t h i s p r o j e c t f u l l y p l a n n e d and p a r t l y c o n s t r u c t e d a t t h i s e n d .
( T h i s would a p p e a r t o b e t h e b i r t h of t h e DIPLOMATIC WIRELESS
SERVICE w h i c h I u n d e r s t a n d was s t a r t e d b y R o y a l S i g n a l s d u r i n g
t h e war and l a t e r c a r r i e d on b y some of i t s members who l e f t
t h e Army and w e n t t o t h e F o r e i g n O f f i c e , t a k i n g t h e b e g i n n i n g s
of t h e s y s t e m w i t h t h e m ) .
FLAG

TELEGRAM (19 NOV 46) FROM
UNDER SECRETARY OF STATE
TO SIR EDWARD TRAVIS

IITII

1.

S h o u l d be r e a d i n

2.

Note:

detail.

(a) Understand station would be used for SIGNT traffic.
(b) Army might supplement or replace the present
transmitters in time.
(c) Acceptable to Cdn Govt that the FOREIGN OFFICE
might wish to use HYDRA and similar arrangement
would be made for handling EXTERNAL AFFAIRS traffic.
(d)

In other words, HYDRA was being taken over primarily
for. COMINT and on the understanding given by the
Army that it would operate it. (See later how
payment from VOTE 700. which was COMINT were ceased
and the load was taken up by EXTERNAL so that
EXTERNAL wouldTeHn to have ADMINISTATIVE CONTROL)
i i !•

FLAG "J"

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maiiMi iimnMiwmiirHii «in mi nun IIIHH

nmiw mm

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NOTE OF ARRANGEMENTS BETWEEN
D SIGS CANADA AND DSC UK (NOT DATED)

1.
This should be read in detail as it describes the
entire proposal.
2.
Note in particular para 4 which states that any points
regarding the general management or technical policy of the
HYDRA circuit should be the subject of direct discussion
between D SIGS and the DSC (UK).

SECRET

000175

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Document disclosed under the Access to Information Act Document divulgue en vertu de la Loi sur I'acces a (information

SECRET

- 4

FLAG "K"

S E CR E T

MEMORANDUM (30 JAN 47)
FROM CGS TO MND

1.
Attached to this memo is a submission for the purchase
of a 100 KW transmitter for OSHAWA.
2.
Note para 4 of the memo in which the CGS states,
"If approval is given to the purchase of this equipment I
would suggest that a small committee should be formed to
look into establishing a government communications service
to handle all traffic in Canada and from Canada to the
United Kingdom for all government departments".
(Underline is mine)
~~
W T It
FLAG "L

MEMO (1 MAR 47) FROM CGS
TO ADM (M)

1.
States that Canadian Army is to take over HYDRA
on 1 APR 47.
2.
Re-iterates that the station will be operated by the
Canadian Army using the existing civilian employees who will
be gradually replaced by Army personnel.
FLAG "M"

LETTER (18 FEB 47) FROM
L . B . PEARSON TO PRESIDENT
OF NRC

1.
Mr. P e a r s o n e x p l a i n e s t o Dean MacKenzie why h e
t h e COMINT f u n d s s h o u l d b e c a r r i e d i n NRC e s t i m a t e s .

feels

HYDR&amp; i s r e f e r r e d t o a t t h e b o t t o m of p a g e 2 of t h e
l e t t e r and i t s i m p o r t a n c e i n t h e COMINT c o m m u n i c a t i o n s
network i s s t r e s s e d .

2.

FLAG "N"

MEMORANDUM (10 MAR 47) FROM
PRIVY COUNCIL OFFICE TO COSC

1.
This memo has attached to it a report of the ad hoc
committee appointed to study the possibility of sending all
government traffic oyer the communication facilities of the
Department of National Defence. (This matter is mentioned
in para 2 of my note on FLAG "K").
2.
The committee saw serious objections to making it
mandatory that all government traffic should be handled by
the communications system of the Armed Forces. As far as
CANADA to UK traffic was concerned it was felt that
(a-) HYDRA would be fully committed to COMINT and
DIPLOMATIC Traffic.
(b) We would be in competition with COTC, the
nationalized overseas telecommunications
system and would be breaking agreements made
with other Commonwealth countries.

*m

;

ECRET

000176

�- 5 -

FLAG " 0 "

1.
date.

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Document disclosed under the Access to Information Act -

Document divulgue en vertu de la Coi sur I'acces a

{'information

S E C R E T

LETTER ( 2 1 MAR 47) FROM
CGS TO MR L . B . PEARSON

This l e t t e r confirms arrangements made up to t h a t

2.
It s t a t e s , "It is understood that the following
t r a f f i c w i l l be h a n d l e d i n t h e f i r s t i n s t a n c e :
(a;)

That r e c e i v e d i n England w i l l be f o r
to:
(i)
(ii)
(iii)

(b)

FOREIGN OFFICE (BOTH DIPLOMATIC AND SPECIAL)

EXTERNAL AFFAIRS.

(ii)

CB NRC.

(v)

1.

DOMINIONS OFFICE.

•(I)

(iv)

lr&gt;»
FLAG t"P

CANADIAN HIGH COMMISSIONER.

T h a t r e c e i v e d i n Canada w i l l b e f o r
to:

(iii)

delivery

delivery

UK HIGH COMMISSIONER.
BRITISH EMBASSY WASHINGTON.
BRITISH FOREIGN OFFICE NEW YORK.
LETTER (21 MAR 47) FROM
MR L . B . PEARSON TO THE CGS

Encloses copy of a telegram EXTERNAL to L.S.I.B.

2.
Note particularly the fourth para of Mr Pearson's
letter in which he states in part, ". . . . 1 think it is
important to bear in mind that the main purpose of the
station is to carry ^SIGjrNT_ traff ic between WASHINGTON and
LONDON. I do not feel therefore it would be desirable to
use HYDRA for purposes other than those already agreed
with the United Kingdom authorities."
3.
At folio 179 EXTERNAL notifies CGS that the UK
concurred in their wire and assumes that the Army will
a-ssume responsibility for the OSHAWA station from 1 APR 47,

HMH SECRET

000177

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