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December 1, 1983
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11 1 HiL.JiLl >UIL~ i i Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 ".ARTICLE APPEARED PE'T10USE December 1983 - PENTHOUSE INTEEVIE rank Terpil, a fugitive ex-CIA operative and one of the tart' uniforms, mercenaries,: and coups d'etat to the highest id' most tint, erous and wanted men, is alive bidders. It was literally a cutthroat business, and it proved to s g wor and well and living ... from day to day ... in luxuri- be a profitable one as well. Within a few years of leaving the A f rm r intelli ence adviser to deposed CIA. Terpil was a multimillionaire, concealing his wealth e 9 h ieing. o ous Ugandan dictator Idi Amin and to Libyan strongman Muam- through the anonymity of Swiss bank accounts and Liberian mar eI-Oaddafi, Terpil moves incognito through a world that fronts while acquiring a Rolls-Royce, a small British hotel, can only be compared to Robert Ludlum's fiction. He has objets d'art, and town houses in Washington, London, and played host to Carlos ("The Jackal") Ramires;. he is a con- Paris. sultans to the PLO. he has contacts in more than a dozen In the constellation of conspiracies known collectively as foreign intelligence services on both sides of the ideological "the Wilson-Terpil case, Terpil remains the only indicted curtain, and he was the onetime business partner of rene- conspirator still at large. Edwin Wilson, lured back to the gade CIA agent Edwin P. Wilson. United States in 1982 by a canny federal prosecutor, pro- Terpil became a fugitive in September 1980. He fled to ceeds from trial to trial, keeping his mouth shut while accu. Syria to avoid trial on charges stemming from a scheme to mulating sentences of _ millenarian proportions. Gary sell 10.000 British Sten guns to undercover detectives poi- Korkala, arrested in Spain earlier this year, was returned to ing as revolutionaries. Terpil and an associate, Gary Kor. the United States with the proviso that he would receive a kala, were both tried in absentia, ' in New York,' and new trial. Others implicated in the case have pleaded guilty sentenced to fifty-three years in prison with the recommen- to a variety of charges, and some have entered the govern- dation that neither man receive parole. That, however, was ment's Federal Witness Protection Program, and not a few only one of the charges against Terpil. Other counts against have died-violently or unexpectedly. Among the. last- him still outstanding involve the alleged training of terrorists. named: Kevin Mulcahy, the ex-CIA officer, whose ad hoc in Libya, the illicit transfer of explosives aboard a commer investigation of the case led to Wilson's exposure, was.. cial airliner, violations of passport laws and the Foreign found dead at a motel in West Virginia; Waldo Dubberstein, 'Agents Registration Act, and solicitation to murder. a top analyst with the Defense Intelligence Agency from Before the indictments came raining down upon him, Ter- whom Wilson allegedly purchased classified information for pit was a respected; if somewhat mysterious. man of affairs. transmission to Libya, was-found dead of a shotgun wound, Brooklyn-both and -bred, he retired from the CIA in 1971, apparently self-inflicted; and Rafael Villaverde, an anti-Cas- having spent seven years as a cotnmunications'technician tro Cuban hit man, is presumed dead after an explosion at in ttie inner sanctum of the.U.S. intelligence community, sea. off the coast of Bermuda. Streetwise and ambitious, he was a natural entrepreneur, The importance of the Wilson-Terpil case goes tar be- with a penchant for big houses, big cars, petite mistresses, yond the particular indictments brought to date. What is at and enough servants to keep it all running smoothly. Well. issue is not only the question of who shot whom, and why. liked, amoral, and superbly well connected, he became a but also the pattern of violent criminal activity. involving the middleman in the international arms bazaar, supplying corruption of public officials in Congress, the military, and weapons with silencing devices, binary explosives, poison the CIA; me sale of secrets and high-technology hardware mili. to avowed enemies of the United States; and the extent to Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 STAT _111- ?ions have Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 eve it be- 11y and the workings of the U.S ',government. As our interview with Frank Terpil makes clear, there is a panoply of questions that remain to be answered. These questions concern the CIA's al- leged involvement in opium trade; the re- lationship between the CIA and the mysterious Nugan Hand Bank: the use of CIA personnel to train Mehmet Ali Agca, the would-be assassin of the pope; Ed Wil- son's relationship to South Korean intelli- gence agent Tong Sun Park; the CIA's apparent access to a stable of hired as- sassins; and the acquisition of assassina- tion weapons by an elite American military unit stationed at Fort Bragg, N.C. Because, of course. Frank Terpil did not sell his wares to terrorists alone: U.S. gov- ernment agencies were also among his customers. Which raises the question: are the CIA and the American military still in the assassination business? If not, then why would the latter commission Terpil to acquire handguns that were not merely si- lent but "sterile"-i.e., manufactured in Switzerland and impossible to trace? So, too, when it came time for Terpil to hire a team of assassins to hit Libyan dissident Umar Abdullah Muhayshi, ft was from a pool of CIA contract agents that the intend- ed hit men were selected. If the CIA is not in the assassination business, then why does it employ agents known precisely for that expertise? Penthouse: What was your life like before you fled the States? Terpil: I was an up-and-coming Washing- ton millionaire, with all the assets: big house, the right cars, the right address, of- fice building,.all the respectable amenities that go. with success in Washington. Penthouse: And your business? Terpil: Import-export. I also owned a man- ufacturing business which aided law-en- forcement agencies. I manufactured the Denver boot [a tire-locking device], for scofflaw parking violators. Penthouse: Do you feel strongly about scofflaws? Terpil: I probably ... (Laughs) Do I feel strongly about scofflaws? Penthouse: Should someone who gets a ticket pay his debt to society? Terpil: Well, short of capital punishment Penthouse: And yet, you're avoiding a sentence of fifty-three years. Terpil: I wasn't there to receive It, unfortu- nately. I was planning to submit a blow-up doll with a little mustache on it; they could put the doll in for fifty-three years, but I don't know who would keep it inflated. Penthouse: Well, in prison you never +know: Was this your first offense? Terpit: Yes. With the exception of normal juvenile delinquency. Penthouse: What did you do as a juve- nile? Terpil: I sold a machine gun to an'under- cover policeman in New York. Penthouse: And twenty-five years later? continents. The first meeting occurred in vity has been to make him an inveterate the old-world atmosphere of a central-Eu- museumgoer and an omnivorous reader. ropean country on the wrong side of the He exhausts the sights wherever he iron curtain. The second meeting took goes-planning 'escape routes' on the place on a small Caribbean island, at a way to, say, viewing a cathedral-and he lavish resort hotel frequented by rock devours a book a day. Terpil seems to stars and the very rich-including at least have come to terms, indeed to be at ease, one other fugitive sought by Interpol. with the dangers and uncertainties that de- Hougan reports: "In many ways Terpil fine his existence. Sought by Interpol, the remains the same person that he was be- Mossad, and the CIA, he has been kid- fore fleeing the United States, in 1980. A napped and released by Syrian intelli- gifted raconteur with a million 'war sto- gence agents, shelled by the Israelis, and ries.' each darker and funnier than its pre- sniped at by the Christian Phalangists, and decessor, he is also a.candid critic of his he figures prominently on the hit lists of own character. Unlike so many others former associates who fear what he who have been implicated in the legion of knows. conspiracies that make up the Wilson-Ter- "Sitting in a beach chair with a gin and pil case, he does not claim to have been tonic in one hand and A Confederacy of duped into criminality, nor does he sug- Dunces in his lap, Terpil looked during the gest for a second (as others have) that he interview like any other tourist with money was operating secretly on behalf of the to spend. The Rolex glistening on his wrist CIA. He says he did what he did for the. suggested a certain solvency. Months in money and for the excitement; which is to the tropical sun had bleached his hair and say that, however amoral Terpil may be, tanned his body. The only thing that hypocrisy is not one of his sins, seemed to bother him was his ever pre- "Terpil's life, however, has changed. sent need of a gun. He carried it at the As a fugitive who is never far from a war small of his back, wedged between his zone, he is accustomed to traveling light. blue jeans and his tan, discreetly out of Accordingly, he has little interest in the view under the flap of his sportshirt. Shift- bulky status symbols of days gone by; in- ing his weight in the chair, he dug one of deed, it is fair to say that Terpil is at this his feet into the white sand, sipped his point one of the least materialistic men on drink, and nodded toward the yachts bob- the planet. If it will not fit in his suitcase, he bing at anchor in the harbor. 'Bread doesn't want it, because he knows that at alone,' he said, and grinned." { Terpil: I sold another machine gun to an- Penthouse: One of the federal charges other undercover policeman in New York. against you was conspiring to assassinate Penthouse: But this time it was 10,003 . Umar Muhayshi, a Libyan dissident. submachine guns. Terpil: I supposedly utilized three Cu- Terpil: Yes, but the product was the same. banos who work for the agency. Their job. Penthouse: Why did the authorities come was assassination. but on behalf of the down so hard on you? Why are they trying United States government. ?: so hard to get you back? Penthouse: Are you saying these Cubans Tarpil: I think I was an enigma in their performed assassinations for the CIA? minds. They really could not place me, be- Terpil: Yes. I asked-that's how we got cause of my CIA background. I was a them. They were well known to the agen- missing link in a puzzle they couldn't un- cy. derstand..'The trial in Washington was Penthouse: Now, one of these Cubans, rather peculiar in that there were forty-two 'Rafael "Chi-Chi Ouintero, claimed he unindicted co-conspirators. was a party at a meeting in Rosslyn. Vir- Penthouse: And you fled? ginia. and at that meeting a former CIA Terpil: From the New York case. not from- agent was present. Who was that CIA the federal case, agent? Penthouse: What was different about it?. Terpil: Tom Clines. He had been director Terpil: First, I tried to hire the best attorney of training for the CIA's clandestine ser- available who had connections in City vices. Hall. I understood that there would never Penthouse. Did that meeting have any- be a trial, that the fix was already in. That I thing to do with Muhayshi? would be required to pay $50,000 up Terpit: Yeah.. front, presumably to take care of Morgen- Penthouse: Rafael "Chi-Chi" Quintero thau (Manhattan district attorney), City has since testified that he and one of the Hall. and the underlings within the assis- other two Cubans, Rafael Viltaverde, were tant prosecutor's office. And i1 was openly led to believe they were to kill Carlos, the stated there would never be a trial. It terrorist would just go away, it would die. Terpil: That's ridiculous. Carlos was never Penthouse: You were told that? mentioned. The Cubans backed out in Ge- Terpii: Yes. The fix was in. neva, and the backout was for one reason: Penthouse: Why, then, did you become a they wanted to know it there were Cubans fugitive? in Libya. At that time Oaddafi did have Terpil: Ah, because there was going to be some Cubans there, who were acting as a trial. ? ' his bodyguards. Rafael Villaverde Jumped Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 A 1... 1I ,~ Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 up and sal.. '. ,>> .,~j, yVi?y 1V wu, n ,v< it w mienigence prison in Damascus. thought 1 was getting ready to leave for an. Q ttlosee ou's. Those are fucking Castro Penthouse: What did you think was going other prison. They took me blindfolded. scents." And he left. Quintero said, "Don't to happen to you? When I got outside, they stuffed me inside wccrry. we'll :ake care of him, we'll calm Terpil: I had no idea. The initial accusation a Peugeot, took my blindfold off, took my hIm down was that I was a spy for the CIA. Then they handcuffs off, and drove me on the road to Penthouse: When you fled the States to thought I was a spy for the Mossad (Israeli Lebanon. I had my own clothes, which I avoid trial; what was on your mind? intelligence). Then they went back and had to hold up by a string they gave me. .Terpil: I was elated to avoid what I as- questioned me about my travels in the And I must have been really reeking. My 1 sumed would be a farce. Middle East,,What they tried to do was lab- hair was matted like dreadlocks. And the Penthouse: 117by do you say that? ricate a case that I was (stilt) a CIA agent. food was all encrusted in my beard. I felt Terpil: The trial's outcome was predeter- Penthouse: Which is not true? squeamish about being myself. They took mined. A judge was brought out of retire- Terpil: Which is not true, but the more I de- me across the Syrian-Lebanese border ment. Judge Gallagher, known to be a nied it, the more they were convinced that I and stopped the car in the middle of no. personal friend of Morgenthau's. Why was. where. I figured, "This is it. They're going would they bring a judge out of retirement Penthouse: What was prison like? to knock me off right here. This is the tradi- for one case? My lawyers told me, "Now, Terpil: Prison conditions were absolutely 1 tional dumping ground." But they said, we've got a problem. When you show up horrible. It was similar to the comic strip "Get out That way is Chtaura, this way is Monday, you are not going to be released "The Wizard of Id." The dungeon was ex- Baalbek. Good-bye." on further bail." So it seemed to me it was actly two meters long by one meter wide. They gave me my watch back and 200 a'one-act play from that point. Nothing in the room. No bed. Nothing. You Lebanese pounds. I got into Chtaura with Penthouse: So it was a last-minute deci- sleep on the floor. It's underground. No no documentation at all. I asked for a cab sion to flee? windows. No lights. There's a steel door, to get into Beirut. The taxi driver said, "Let Terpil: Definitely. Because if there were You're in solitary. me see the money first" I said, "I can't any possibility that I could have received a Penthouse: Were you beaten? pass any checkpoints, because I don't fair trial, I would have stayed. If I were go- Terpil: Yes, but that's normal. All prison. have identification," meaning I couldn't ing to run. I would have run when I knew of ers are beaten. I didn't know what time it pass any Christian checkpoints, because the indictment coming down from the fed- was, what day it was. I attempted to keep obviously I would have been bagged for eral authorities. Why pay another $75,000 track of time by counting the meals, sure. And he said, "No, no, we're going bail when I could have taken that $75,000 Penthouse:. Gourmet meals? around by the airport" and used it for my travels? T iTh Th rp: e e meals could b td "l I got into Bit I i G eermeearyeru. wentoary's flat and Penthouse: Having worked for the CIA in survival." In the morning, you got halvah the concierge told me Gary was not there. the past, were you worried that you'd get and a bowl of water. Then lunch, rice with I said, "Where is he?" He said something knocked off in prison? some bugs. At supper ... well, they about Spain. I thought he said Gary had Terpil: Not only worried about it. This was claimed ft was a soup. There was no exer- opened up a Spanish restaurant. So I went told to an attorney. He met with an FBI cise at all. You come out of the room for over to the girlfriend's houses t said, agent from- verseY City, who told him y~ h ere is Ga ? a she said. ~~ "They [Terpil and Korkala] won't last eight gatin gd llhit'~gjt. And i l' ~' ? n fal I Mo Wht Wh Wh g cels were fifteen..aoere?" I thought months: They'll be dead in eight months." approximately he'd been put back by the Syrians. She P nO ese: So you left. Did you leave in meters away. would scream all night. said, "He's in Spain." I said. jail? In cause the Spain?" I couldn't even comprehend how Terpil: Yeah. I was under surveillance. Penthouse: Did you have. second the hell he got to Spain, There was a truck parked in front of my thoughts about leaving the States? Penthouse. Then what ha house, a moving van that supposedly had Terpil: No. A prison is a prison. I just made PPewho Terpil: Then the hell-inspired wo sought broken down and had been there for four up my mind: make the best of it. tQ destroy world days. I left as if f were going to the store, no Penthouse: Your partner, Gary Korkala ` ble in in Beirut with their heir artr a rytille/Broke my bub- baggage was also imprisoned and interrogated. : itry. , no luggage. I made an alteration Penthouseuse. The Israelis invaded. The Tetpil: Yeah, but he to my appearance, which took about I was released be. shot your bubble awa They t cau h t mi wen se y nutes e agreed to cooperate b .. Terpit: They shot my. bubble away. Penthouse: Can you tell us what kind of Penthouse. Did he make statements Penthouse. What was it like being in Bei- al Terpil: teration? about you? j rut, a recently released fu dive Thera: No. Terpil: He made statements that I was a ! g ? who CIA agent couldn't go back to the States? And with Penthouse: Okay. So where did you go? the Israelis moving toward your apart- Terpil: I left through. Washington National, Penthouse: How were you released? ment? went to Mexico City. then to Houston. Terpil: It was Arafat got me out Arafat Terpil: The initial reaction, believe ft or not, Penthouse: Why? said, "We know he's in jail there. I want was one of relief, of elation. I had antici Terpit: I had some very important business him out, here in Beirut" No questions. ed it would be only a matter of time before that I had overlooked. And I was out. No explanation nothing . : What was Penthouse: And then where did you o? I Penthouse your condition? g the on squads came and with one of their get me Te g Terpil: (Laughs) I probably looked like a nation squads and attempted to get me rpil: To Damascus, then to Beirut. Until again. Very few some Syrian visitors came, to. m door. I filthier thinner version of Howard Hughes, but a people leave Syrian high was . kidnapped from the restaurant that point ,was released ohs alive. And those who do have a high version at that mortality rate on the street.. m y partner,: Gary Korkala. and I had in April '82, after six months, and at that I did not anticipate the Israelis would bought. time I had not had a shower since late Dp. -- -?-?~ y.,...y w uc~.wnt a -- r ?~ ?~~. new, ; come as far as the airport. Norman ih restaurateur? - didn't cut my hair and my beard was down would come, cause some y ey Prob. Terpil: Yes.'As a matter of tact, it was the to about chest length. I was down to 135 bomb for one or two days, and t eln go restaurant closest to the U.S. Embassy. Pounds. home again. Then they crossed the Litani Penthouse: And what happened from the Penthouse: From what? River. moment you were kidnapped? Terpil: About 270. I went from a size 44 go back Nowt home. they weren't going to Terpil: I was blindfolded, handcuffed, waist to a 32. They came one morning and rageous back So we mustered the cou- stuffed in a Mercedes. A second person said, "Get ready, you're leaving." I raPalestine Liberation Army, was stuffed in the Mercedes with me. It turned out to be Gary. We were driven to ~S 1 N -;,, - Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 c .::"t rr !t Iw wr.i ~rl ~:"t ly_lJ+;. it i{.11:iaj i . trill _i:1 J ililll:, t)`.iLi. ueet to Tin; Sanitized Copy Approved for Release could use them. ansu we just settled down lot the itivasion of West Beirut. anticipat- :r:g house?to-house fighting. There were notices on the radio for Americans to evacuate. American ships were being brought in. Naturally,, I didn't care what they brought in. I couldn't go to tie Americans and say, "Hey, here I am. 'm a citizen. I plan on leaving." And there was a big problem getting over to East Beirut. Decause "the Phalangists weren't stupid. They knew I worked with the PLO. I was, for all intents and purposes, PLO. not American. I couldn't leave. Ships go- ing to Cyprus were being intercepted by Israeli patrol boats: I had no choice but to stay and fight. Penthouse: Were you armed? Terpil: * Everybody's armed in That's like wearing clothes. Penthouse: What were you armed with? Terpil: Grenades, AKs, the standard issue. Penthouse: What happened? Terpil: I had a very beautiful flat. Unfortu- nately, it looked into both East and West Beirut-it had huge balconies. So we were caught in a cross fire. If you wanted to get coffee in the kitchen, you had to make sure the kitchen was not under siege. We kept little Coleman stoves in the r'aliway, in the living room. You actually had to establish a little kitchen in every room, because you didn't know which room might be under fire. Penthouse: It came time to leave. What happened? 1. 1 Terpil: The Israelis broke through on Mu-, seum Road. And when they broke] through, I knew we weren't going to stop them. They were approximately fifty me-i. tors down the road. Then, on the other i side, they occupied ever)ithing to the east. ~ They had us encircled. Penthouse: How did you leave? Terpil: PLO. I had the fighter's uniform: kaffiyeh, AK-and sunglasses, of course. Penthouse: You had your Rolex? Terpil: I had my uniform buttoned down over the Rolex. Not too many PLOs.wear-; ng Rolexes that day. We infiltrated the ines to reach the port area. There must have been 1,000 to 1,200 people in uni-' 'orm in the port, all trying to get out of the ,)lace. I left on a PLO ship. enthouse: Where did you go? :Terpil: I went to the camps in Tunis. From i unis many of the PLO people infiltrated Sack to Beirut. via Syria and Jordan. :,enthouse: They went right back? 'erpil: When I was at the port, I witnessed ?.nese people kissing their wives and chit. Iren good-bye, and the children and 'ives returned to Sabrah and Shatitla. A .-week later, these same people were dead, massacred. Now you have these men rearing newspaper reports, assuming the rorst. In most cases it was a justifiable as- 201 1/08/05 " ('IA-RDPn95nnn4RRnnn1nnn2nnn3-R actors was sa in fi h v v .-J , r e. a 11 g t Ul l the Syrian side." Penthouse: So that's what started the PLO split? Terpil: That's what started it. These people didn't have families anymore. They de- manded retaliation. At the same time, you had Arafat saying, "We're going to try to settle this diplomatically. We scored a vic- tory in Beirut." "What victory?" these people wanted to know. "We walked out with our tails be- tween our legs. That's a victory? And our families were slaughtered right after that?" So now you have,these people with no families. What have they fought for? They've fought for nothing. They have no house, they have no personal belongings, they have no families, they have nothing. These people are like living shells. They're not going to listen to Arafat. They listened to Arafat once. Why listen to him? Why not listen to George Habash? Why not listen to Abu Nidal? Retaliate. Retaliate. An eye for an eye, a tooth for a tooth. They're death squads. They volunteer, as suicide i squads. They have nothing else to live for. I So ... they went down into Bekaa. The massacre loll was higher than the press said. They bulldozed people under houses. There were mass graves. No one will ever know the death toll. But I would say it probably runs between two and .three thousand. Penthouse: Is it your view, then, that the PLO has only one road to follow: terror- ism? Terpil: Yes. And not only in the Middle East. The United States is not immune. It hasn't happened yet. But there are a great many Palestinians in New York, Miami, California-Palestinian students who con- sider themselves warriors at this point. And there could be occurrences. Penthouse: Such as? Terpil: Such as the Olympics. Penthouse: Let's talk a bit about your life since then. Do you still carry a weapon? Terpil: Yes. A Makarov. Penthouse: Why? Terpil: I wish it were unnecessary. I'm not a cowboy. But I'm not going back to nego- tiate a fifty-three-year sentence. Penthouse: You'd get out at ninety-six. Terpil: They probably wouldn't have Ii- ?cense plates by then. Penthouse: Before you became an under- cover tourist, you were associated with a number of very dictatorial regimes. The one in Uganda, for example. Have your politics changed? Terpil: Sure. Penthouse: What's changed yuu? Terpil: Being forced to live within the com- munity of these people. Hearing what they feel imperialism is, capitalism is. And. of .mption. So you had these people say-. - g, "I'm not going 10 stay in Tunis.. For het?" They defied Arafat. They went ck, as many as two and three hundred that had "California Ordnance Depot" on it. I really felt a little bit miffed about that- my tax dollar was trying to destroy me! Penthouse: But it's not your tax dollar. You have an outstanding tax bill of about 4 million dollars. T rpil: Four and a half, or something. Penthouse: You ought to be booted. Terpil: Ha. ha, ha, ha. Penthouse: You've traveled in Central America recently. How do you feel about what's going on there? Terpil: I never have been against covert action, but in Nicaragua you had So- moza-an absolute dictator. People ac- cuse me of being friendly with Idi Amin, but Somoza was worse than Idi Amip. However, he graduated West Point; he's a friend of the United States. Finally, a radi- ! cal group said, "Hey, it's about time the: people had a cut of the pie." They're not Communists, they're just looking for a piece of the action for the people. Ironical ly, they take over the country through co- vert action. So Somoza is gone. He runs off with his millions or billions, and he goes to Miami. Now, suddenly, he becomes an embar- rassment to the United States. My God. we can't have Somoza in the country. Ev- erything Carter said about human rights. Somoza did the opposite. So, we've got to get rid of Somoza. Send him to South America someplace, get rid of the guy. Somoza gets killed. Very. very mysterious circumstances-how he was killed. Peo- ple knew he had an armored car, so they use the appropriate weapon, a 3.5 rocket launcher, which is manufactured only in the United States. The people had Ameri- can equipment-I'm talking. about radio equipment. They were dressed, ironically, in red wigs, similar to Howard Hunt. May- be they came from the same source. I [Howard Hunt wore a CIA-supplied wig for a clandestine interview with Dita Beard, an ITT lobbyist.) - But to get back to what the United States is doing.. The Sandinistas have ac- tually made overtures toward the United States. They are not so pro-Soviet, or so Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 orce? - ---vu people assigned " "" "'a- wilco to provide what is tneirs away to other countries that were, by President Reagan are supposedly as. called an Order of Battle [OB) plan. It's a ' let's say, more friendly. But the use was signed to Miami. Where are these people? complete capability [breakdown) of troop the same. The use was for remote detona- They went right through Miami into Central strength, morale, physical capabiiwes-- tion, for clandestine explosives, for assas- America. Central America now had the weak spots and strong spots. Wilson sinations. Now how do you differentiate biggest DEA force in the world. What is the knew, and I knew, that it was impossible to which is bad and which is good? DEA doing? CIA activities. How do you dif-. obtain this except through the Defense In- Beirut was a testing ground for live ex- ferentiate between CIA and DEA? telligegce Agency or the CIA. Wilson went periments with the latest developments of Penthouse: Okay, while we're talking a high-level CiA officer to see if he could U.S. weapons. The vacuum bomb, for in. about Miami, let's talk a bit about the con- assemble an 08, knowing full well where stance. A vacuum bomb is dropped from troversies that have surrounded the Miami the CIA officer would go to obtain the infor an aircraft and explodes above the tar t CIA t e t Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 t! a hu,-~iianr ano Cubans are the people Penthouse: For their use? what do you do with It? You Pay It to Alice who have offered them aid. What is the Terpil: Of course for their use. The toxin Springs, Australia, the site of a huge miii- United States going to do? It will continue was to be from nicotine, an extremely fast. tary-intelligence installation. Billions of rs covert action against them, acting poison. Nicotine sulphate. If you dollars-not millions-billions of dollars. Penthouse: You've dealt with, among oth. just got scratched on the arm or anywhere More money than you knew what the hell ers. Amin and Oaddati; neither of whom is you'd be dead in a matter of seconds. 10 do with. or was controllable by the United States. Penthouse: What would you have sold Penthouse: So you're saying that the Terpil: T hat's why they're despised. that gun for? agency would provide gold, which would Penthouse: At the same time, you make Terpil: Robghly $245. The silencer would then be flown into the Golden Triangle. Me e point that Sornoza was, in many ways, have been, possibly, an additional 5110. Terpil: To pay for the drugs. bad as or worse than Amin. The same This was in quantity. Penthouse: And these would then be sold can be said of other dictators the United Penthouse: We understand you know in any of three cities, and the move States supports. If you had dealt only with something about a number of DEA agents into different banks? Y put controllable dictators, would you be in the who were sent down to Florida, and then Terpil: Then farmed back into the agency "public-relations crisis" that you are in? to Central America. accounts. Terpil: I could have sold the identical - Terpil: They're not DEA agents; they're Penthouse: into the operations,in?Alice equipment that I have been alleged to CIA agents. Springs? have sold, to General Pinochet of Chile, or Penthouse:txptain. {{' Terpil: Right. A lot of money. to Somoza, and I would not be in any Terpil: Okay. A number of CIA agents Penthouse: Okay, let's move on to Libya. problem whatsoever, were let go in the early 1970s, in mid-ca. You stated at one time that the first Libyan Penthouse: What kind of equipment? Year. They had. Possibly, fourteen or fit- attempt to invade Chad took place on the Terpil: We're talking about silent weap- Teen years' service and all of a sudden basis of information that came, indirectly, ons; we're talking specifically about as they find pink slips on their desks. Where through the agency. Can you elaborate? sassinations or covert activities. The do these people go? They show up in Terpil: Wilson and I were in Libya. No big weapons that I sold-my sources for them DEA. Their operational methods haven't secret. Oaddafi entertained thoughts were the exact same sources the CIA changed, except they now have greater about invading Chad. However, Oaddafi uses. Do you see the CIA under indict- flexibility. They're not encumbered by ri. had no knowledge of two key factors. ment? The same laboratory that devel- diculous rules and regulations. If they ( One, would France come to the aid of i oiled remote-detonation equipment for want to blow a guy's head off, that's the t Chad? Two, what were the capabilities of ! the CIA, I used. The only difference was I fastest way to gel rid of him Chad's army and air f sold mine to n g . s a ron. maton. The officer was paid $50,000 for The air rush implodes the building, taus- Terpil: The significance of Miami is the the OB. Now, this man, who is not an ex-' ing no damage to the surrounding area drug syndicate. Miami's the base. The Pert in of with these affairs at all, had to rely on.the but killing everything within that building. ' people that I hired from the agency to ter- nhelp si , o one who works Waldo D a dal. They used this flimsy excuse in Beirut: minate other people are there. [Terpil, giv- stein. e r whom was Waldo Dubber-. they "thought" Yassir Arafat was in.the ing names, then alleged that two former, hunts accident in the laundry unfortunately, roe had a building. That's total bullshit. Israeli intelli- l highly placed CIA officers were responsi- hunting accident in the laundry room of his Bence has been known to be more exact ble for the following scheme.) The .girlfriend's apartment. than that. They killed 283 people, mainly volved in this big drug scandl, whic y h was n dead 1n th b alemDubbe was to to prove that the vacuum bomb was a tea- I whitewashed. Where do the drugs come found dead in the basement area ofa o1an Ar- weapon. from? Laos. Where did the money come } lington apartment he shared with his girl-he had Penthouse: You were charged with hav. from? Nugan Hand Bank. [Amid allega- L intend. Police said a 12-been shot once ing trained people. Libyans and others, in lions of corruption and international drug the head with a 1h sod shotgun. ub er. assassination techniques. You've gone to traffic, the Nugan Hand Bank, a Far East stein, was found near his body. Dyst for U.S. military personnel or CIA personnel. bank with branches worldwide whose offi. stein, a former-CIA Defense er Intelligence officer and Agency from Why is it they have this kind of expertise? cars included many ranking members of the tof19 had been indicted days Terpil: Because they were trained by the the U.S. intelligence establishment, went 1o y a2, had l grand two days U.S. government in this expertise. bankrupt in 1981.) The idea was- In the charged earlier by t a federal grand jury. He was Penthouse: Why? Golden Triangle [of Laos) you had to buy unauthorized with disclosure sccounts of conspiracy, Terpil: t's being used. As a matter of fact, warlords. How do you do that? You gave ssifd in- Nhile under indictment in New York I had them more money [than the going market formation, , and briber iberhe grand jury at- in my possession two U.S.-government rate) for their product. Now what do you teged that Dubbersiein turned over-both arms licenses. I was picking up from New. do? You sell the opium through Singa- y to Ed Wilson and direct) to Libyan intetli- irk Airport a special pistol made by a pore, Hong Kong, and Delhi. You reinvest g :rk A industrial group, an assassination the profits in your own opera. The es ofe Middle dlee summaries and ana- .~eapon for the U.S. Special Forces. We money is brought to Kabul and td posited Lisbya Libya. East affairs beneficial asked by the U.S.Special Forces ' in the First National City Bank of Afghani. ceived . The indictment alleged that he re more than 532,000 from Wilson in Droup, Delta Division, of Fort Bragg, North star. The other bank was Nugan Hand_ return.] arolma, to come up with a suitable for. that's where the transfers went. Now Penthouse: , So z Iina factured pistol with silencer n Wilid went to this high- you've got an accelerated 'fund. Now level CIA officer, and he wA `-j poison bullets. That was n 11-4-A ..,,..?.._ _ .. ~ nt to Dubber- Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 ---- --- -_ j_. 1... .1.1 Sanitized Copy Approved for Release 2011/08/05: CIA-RDP09S00048R000100020003-8 1'011111011,b t:1IUI DubberDIrr111 pat It? I erpll: Yea. Dubberstein actually made a trip into Libya with this information. Penthouse: And for this the high-level CIA officer was paid $50,000? Terpit: Yes. Penthouse: What would Wilson have charged for such services? Terpil: Three hundred tt ousand to $400,000. Penthouse: Let's talk a bit about Ed Wil- son. Did he know the Korean Tong Sun Park? Terpil: Yes. When Park disappeared into London, Wilson had all the unlisted phone numbers and was in direct communica- tion with him on many, many occasions. Penthouse: Park, of course, was a KCIA agent? Terpil: Of course. Penthouse: And Wilson was a CIA agent. Terpil: Yes. Penthouse: It was alleged, among other things, that Park was involved in possible bribery of certain congressmen. Was the agency aware of this? Terpil: I don't see how they could not be aware of it. Wilson was one of the original members of the Georgetown Club. He was also a charter member of the Univer- sity Club. None of this was arranged for- him through his own introductions. Penthouse: Then through whom? Terpil: The Company-the agency. The agency gave Wilson this profile of having all this money and everything else. Penthouse: It's been alleged by jack An- derson that the Justice Department was investigating statements that payments dropping the money was Kevin Mulcahy. He worked for both Wilson and me. He stated that the drop was made to another courier, a prominent Washington socialite, in front of the passport office on 14th and K. Mulcahy would give him an -attache case. And the payments were in incre- ments of $4,000. Penthouse: Not a pretty picture. Terpil: Right. American politics is so fuck- Ing corrupt Itb unbelievable. When they shake their finger at somebody else, they re:.iy snould took in their own backyard. Penthouse: You said you wanted to talk about a Turkish organization known as the Gray Wolves. Let's talk about it. Terpit: The Gray Wolves are an ultra-right Turkish political group that felt Turkey might go to the left. They took it upon themselves to make sure Turkey stayed to the right-by means of extreme mea- sures. It's a paramilitary group. Penthouse: Who financed it? Terpil: The chief financier was a Muslim who held Nazi political ideas. He married an extremely wealthy woman in Turkey. He is today probably one of Turkey's wealthiest people. He was elected to the Turkish parliament and became a deputy of the Turkish Justice party. Then he took it upon himself to become the protector of the Right in Turkey. He came to the United States on several occasions. He went to the CIA for funding. He went to the shah of Iran, too. Apparently he met with limited success, and he basically financed his own operation. Penthouse: Who trained his private group? Terpil: He got what he felt was the best. He had North Koreans training the group in.' karate. For clandestine eavesdropping, he had some West Germans. For possible assassinations, and in what we call "bang and boom," an active-duty CIA officer was hired on a personal basis, while on his an- nual leave, to train the Gray Wolves. He,:. was a contact of Ed Wilson's. And he actu- ally spent two weeks in Istanbul. were made secretly to Senator Strom I Penthouse: Is it true that one of the people Thurmond by a middleman acting for Ed who underwent training with the Gray Wilson. Could you tell us about that? I Wolves was Mehmet Ali Agca, who is ac- Terpil: The courier who testified about cused of attempting to assassinate the pope? Terpil: Yes. Penthouse: Don't you think it's ironic that while it has been alleged that the assassin was working in behalf of the Eastern bloc, his training came. indirectly, through the agency. - Terpil: Yes, but you cannot blame the agency for specifleally training him to go after the pope. Penthouse: You're on the run; you're car- rying a gun. you rely on phony names. false passports. You travel out of a suit- case and live in hotels, admittedly ex- tremely nice hotels. But you can't really hold on to anything. Does that bother you? Terpit: It would bother me a lot more it I were restricted to a five-by-seven cell. Penthouse: Ed Wilson, it is rumored, passed ato:^g a message that you had placed a contract on Assistant U.S. Prose- cutor Larry Barcella. Is that true? Terpil: Total bullshit. Barcella has his job. I have no personal animosity. tf Barcella gels his jollies by throwing someone in the stammer for fifty years, that's good for Barcella. I personally don't want to be a Sanitized Copy Approved for Release 2011/08/05: CIA-RDPO9SooO48R000100020003-8