HEROIN TRAFFIC IN SOUTHEAST ASIA

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP88-01315R000300140002-5
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 24
• Document Creation Date: December 16, 2016
• Document Release Date: September 28, 2004
• Sequence Number: 2
• Publication Date: June 3, 1972
• Content Type: NSPR

Approved For Releas 10/13: CIA-RDP88-0131
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frod W. McCoy, who testified before a
Senate foreign aid appropriations sub-
committee that a flourishing narcotics
trade in South Vietnam, Cambodia, Laos
and Thailand is carried on with the di-
rect, active support of the highest gov-
ernment officials-and that U. S: offi-
cials make virtually no effort to inter-
vene.
Perhaps such attempts would be in-
effectual. The "Vietnamization" of the
drug trade may be out of our hands
as long as we remain resolved to "see
it through with Thieu."
NEW YORK POST, 6/3/72
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Associated Press Approved For Releas 04/10/13: CIA-RDP88-
FvA5Ii1NGTON (AT
To judge from yet another study of
the uncommonly unpleasant subject,
there seems to be about as much chance
of getting the drug business out of Indo-
china as there is of getting the officials
of Indochina out of the drug business.
The prospects for reform are seem-
ingly limited-at a time when the U. S.
military is having mixed results in trying
to detoxify addicted American GIs-and
the situation is one more deadly, degrad-
ing element associated with U. S. in-
volvement in Southeast Asia.
Some of the latest facts have been
presented by Yale graduate student Al-
THE EVENING STAR
Washington, D. C., Friday
la
 Aporoved For Release 2004/10/13 : CIA-RDP88-01315R000300140002-5
El IN ( S In 1'.97-68,the American dl})]o (at!): initiatives coiivimici'il tin' 'lurk-
151) Gov("rnnieait. to drastica]]y reduce i s total opimn production and
1EsVORI7 A
SUBCOMMITTEE OF THE
COMMITTEE ON APPROPRIATIONS
UNITED STATES SENATE
AN AC'r 1LAKJNC APPROPRIATIONS FOR FOREIGN ASSISTANCE
ANID RIII,A'i'EI) PROGRAMS FOR TILE FISCAL YEAR IsNI)I\G
.UUINF 30, (73, AND FOR CITIJEA1 PURPOSES
NONIID:YAIt'ricsNTM, NrrNrssls
STATEMENT O:? ALPREI) W. AICCOY, NEW HAVEN, CONN., PH. 1). STU-
DENT ITT SOUTHEAST ASIAN HISTORY, YALE UNIVERSITY
I N'I'ERNATIIOAL NARCOTICS CONTROL
Senator P110:r111115, T'he (Onimittee will come to order.
We have a d:flic.ult situation this afternoon because We have a very,
very stringent. time limit and we, are going to have to hold every
witness'to 1(1 minutes, includin?* questions.
We do have an exception with the first Witness because two other
witnesses have graciously yielded {i minutes of their time so wte can
have 20 minute, with our first witness Who is'Mr. Alfred W. A1cCoy,
who is a. student for hi.s doctorate',.
Mr. McCoy, f you would like to brief your statement. in any way,
th(" entire statement will he printed in full in the record, and you can
proceed.
Mr. McCoy. 'l 'hank you, U r. Chairman.
I Mould like t) be able to read nay statement.
Senator Pltoxlrnis. Al] right; go ahead.
Mr. McCoy. Thank you very much.
First. of all, I would like to thank you and the committee for in-
viting me ltere oday and giving me this opportunity to present some
of the fruits of I iv research into evidence.
I will begin illy statement now.
By ignoring, covering up, and failing to counteract the massive
drug traffic from Southeast; Asia, our Government is aiding and abet-
ting the influx o f heroin into our Nation.
Southeast Asia is fast becoming the major supplier of illicit nar-
cotics for America's growing population of heroin addicts. Since the
late 1960's, international criminal syndicates havo responded to
mounting law enforcement eflbrts in Europe and the Middle East lay
shifting their major source of supply to Southeast Asia.
The opitini poppy fields of Southeast Asia's golden triangle region
supply raw materials for clandestine heroin laboratories in Europe,
Hong Kong, and the triborder area whero Burma, Thailand, and
Laos converge.
High government officials in Thailand, Laos, and South Vietnam
are actively enraged in the heroin traffic and are protecting the. re-
gion's powerful narcotics syndicates.
Because the corruption in these countries is so sy ite.matie and the
narcotics traffic ;o lucrative, our political commitments to these gov-
ernments inhibit. and prevent any effective action to cut the flow of
these illicit narec tics i n to tho U nited States.
U.S. diplomat: c, military, and intelligence officials have always tol-
erated governmental corruption in Southeast Asia, and narcotics traf-
ficking has not been treated differently. U.S. officials in Southeast
Asia have been implicated in the traffic on three levels:
(1) Providing political and military support for officials and poli-
tical factions actively engaged in the drug traffic without pressuring
them to deal with the problem;
(2) Consciously concealing evidence of involvement by our South-
east Asian allies in the narcotics traffic. Whenever the U.S. Congress
or the media haze made accurate allegations about the involvement
of our allies, U.S. diplomatic personnel have repeatedly issued cate-
gorical, fal.lacioui denials; and
(3) Active involvement, in certain aspects of the region's narcotics
traffic by l he U.S. Governtnettt.
expand Eta eiforcei u'nl cflorts. 51gnihcantly, rho sharp reduction of
Turkey's opium production front 1965 to 1973 coincided with a mas-
sive increase it the amount, of heroin entering the ['u4 d Slates; be-
tween 1969 and 1972, America's estimated addict population prai'-
tically doubled, increasing fret 315,000 to 560.009.
As late as 1965, it seizure of only 15 kilos of pure heroin produced it
street panic. in New York City; by 1971, seizures totalling almost. -100
kilos within a period of several weeks did not have even it minor im-
pact on tfie street. supply. The question is, of tour. , inhere is all this
heroin. coming front ?
lufornned federal tarcolics officials and diplomats are virtually un-
animous in their re.spouse--Southeast Assia..
Beginning' in 196:1, miliilie.is of the Florida.-b,ised TI-:iii,-ante fautilt
of American organized crime. began appearing in S~uibeast Asia.
Santo '.Crallicante, Jr., ]tear to the international criminal syndicate es-
tablisiied by Lu.hy Luciano and Meyer Lanskv, traveled to Saigon
and ]long Kong himself in 196$.
P.S. Embassy sources state that. Trallicaute met with Imnmincnt
menihci's of Saigon's Corsican syndicates. 'l'liesc. syndicates hitve been
regularly supplying the international narcotics markets since the first
Indochina was..
In 1967 08, there alas evidence of increased activity on the part of
Indochina's Corsican gangsters. U.S. agents observed Corsican
heroin traflickers commuting between Saigon and Marseille where
i.he. Corsicans control most of the cliuidestinc heroin laboratories. A
former high-ranking CIA agent ill Saigon told iuc in all interview
that in 19( 1 there Was it smiiniit tiecting of Corsican criminals from)
Marseille, Vientiane and Phnom Penh at. Saigon's Continental Palace
I (otel.
In the wage, of these high-level meetings. increased quantities of
in heroin have begun entering the 1 ,Hied States. In 1171, tile V.S.
Bureau of Narcotics broke ill) a Filipino courier ring Which had smug-
gled over 1,000 kilos of pure Ilong Kong heroic into the Punted States
in the preceding 12 mouths.
One thousand kilos of pure. heroin is equivalent to 10 to 20
percent of our estintated 1ot.al annual heroic consumption. Since
all of Ilone Kong's morphine base comes from Southeast Asia's golden
triangle, this case alone. provided ample evidence of tho growing ini-
poitance of `southeast Asia ill Americas drug crisis.
Unfortunately, tile. V .S. Bureau of Narcotics has only one agent in
Hong Kong and so further seizures have not been forthcoming-.
In 1971, French customs seized Go kilos of pure Laotian heroin at
Orly Airport in Paris in the suitcases of Prince Sopsaisarta, the
newly appointed Laotian Ambassador to France. The U.S . Bu-
reau of Narcotics and diplomatic sources in Vietiane report that
the Ambassador's French conucetion was arranged by 'Michel Theodas.
manager of the Lane fang Hotel in Vientiane and it high-riuikingr
nie.mber of the French-Corsican underworld.
Finally, the Director of the U .S. Bu-eau of Narcotics reports that -
his intelligence sources indicate that much of the massive flow of
heroin moving t-lirough Latin America on its