CONSULTANT SAID HE GOT CARTER PAPERS, GOP AIDE TELLS FBI

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CIA-RDP91-00901R000400070001-9
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September 30, 1983
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STATl ARTICLE APP, p rued For Release 2 Ip~ p91 aer 4 _P_ aP~~~~r~ of "FUSI' ON . 30 September 1983 Consultant Said He of rtes By Martin Schram and Bob Woodward W.I.S11419tnn Post Staff Writers A Republican congressional aide has told the, FBI that Paul Corbin, a political consitlt.ant'withold-tine Kennedy connections,- claimed last spring -that he had obtained ? ` President Carter's briefing papers for 'the 1980 Presiden- tial debate?and had given them to Ronald Reagan'&cam . ' paign manager, William J. Casey Tim Wyngaard, -executive director-:of the House Re= publican Policy Committee; '-has -told. FBI investigators that Corbin made that claim to him in a ,telephone con- versation last April-about six weeks before. the debate papers controversy became public.. Casey emphatically denied in an interview this week that he had received any. Carter debate briefing material from Corbin or anyone -else. "1 never knew this material was in the campaign," said Casey, who is the director of the CIA. `... It's totally false,"-Casey added. Casey said confusion about Corbin 4nav have arisen because ?Cirbin'did provide Casey. with.a six-page memo from a New York lawyer outlining possible statements Reagan, might make in the October, 1980, debate with Carter in Cleveland. Casey said he is a friend '4)f Corbin'_s and authorized the Reagan-Bush Conimittee to pay Corbin $2,860 for I expenses for what Casey said was routine campaign work in Florida in the fall of 1980. . , ~- _ : Officials involved in the FBI investigation of how Car- ter campaign papers came into the possession of the Rea- gan campaign view Wyngaard's version of the Corbin coflversation as potentially sigxiti-I`icant because it is the first evidence that someone-voaee knowledge about the Carter debate papers the episode was first men tioned.an the media. .O6e`4nvestigative source cautioned, however, that its acc'unccy. may turn out to be `unprov- . able." Corbin ded1 n to respond to reporters' inquiries. But associates of his said he denies ever obtaining the Carter.. `:briefing papers or making such a claim to Wyngaard. "Curhin's. alleged claim to the..,congr?essional aidehas.. been known to the WhiteHouse=+since last June, and has. figured in the dispute between Casey and White House chief of staff' .James A. Baker III -over which top Reagan campaign' official first received the Carter briefing pa- pers. Baker says he got the. Carter -papers from Casey; Casey.says he never sawthem On June 24, Corbin's alleged claiin was relayed-`-to Baker. by Wyngaard's boss; -Republican Policy -Commit- tee. Chairman Dick Cheney 413-Wyo.). .Baker then dis- - .cussedit with Casey, s- . T / A tt?r=?aas disciussion with 'A6Ve71; =Caseytcitd ' middle leve...White House official who-is-;also a-confidant; that he was-considering `changing his original denial that .he 'had rie"ver+received the 'Carter Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 ARTICLE APPEARED Approved For ReleasO 1/?AA-RDP91- ON PAGE 29 September 1983 tributed to. C.IA. officials cast doubts on the war record and professional status of Mr. 'Demerracopoulos, who came to the United States after the rightist military coup in Greece in 1967. 'What the Article Said T'he'. article said , C.IA. records showed that :Mr. Demetracopoulos of- fered his services to the C.I.A. .and . Allegations Against Greek Refuted by C.I.A. NewTv&'rimes WASHINGTON, Sept. 28 -vA Greek ,journalist, accused by American offi- -na1- in 1971 of misrepresenting his war arecard and of working for foreign intel- ?_ligence services, has made public a ,Dew Central Intelligence Agency re :view of his case that refutes the allega- :tions against him. The charges against the journalist, .-Elias P. Demetracopoulos, appeared in .an article in The New York Times in }December 1471. Mr. Demetra os, who-Works for rot n ce serv I? c, ce asserts that despite 'what C.I.A. offi- cials told The Times in 1977, there is nothing in the agency's files to support #be allegations. - -`This has been a long battle back and forth, but at this juncture I'm satin fled," said Mr. DemetraMpoulos, who is also an economic and political con- sultant for the New York stockbroker concern, Brimberg &Company. - ' The dispute arose after The Times published an article on Dec. 6, 1977, in which statements and records at - t - - news. The counsel's report . cited a 1975 C.LA. internal memorandum that Mr. .DemetracopouloS obtained ..in early 1977. through the Freedom of informs.- tion Act and said Its own review had un- covered no unauthorized disclosures to The New York Times by agency per- sonnel and no evidence-to refute this United States Army intelligence in 1951 ] part of the memorandum, -which , - abtrt."vas refused, and that'in'the 19950's .ferred-toMr.Demetracopoulos: .be was associated with both the W 'ugo-1 :..,, Therare no hard' facts' rn ,the" slavand Israeli intelligence agencies. ionto show that he-has worked for. The article also quoted an tmudeati- ; fled c.1-A. official as saying.the Greek government against the in- e e f G m re c (or e,;; a o evide?o ; terests o at . atter - had . i -- - i against the rvazrs= sreece. n Kelligence service," the memorandum The ? C.I.A. memorandum, issued :said... w. Aug: 10 by the agency's Office of Gen-1 - era] Counsel, was prepared in response to inquiries on Mr. Demetracopoulos's behalf by, among others,..Representa-. tiveWyche Fowler Jr., chairman of the. House rin ell' ence committee's Sub- committee on Oversight and Evalua- tion, responding to efforts .by -Mr. Demetracopoulos to -have ,the-'C.I.A. clear his reputation. . ' . . _,As late as 1981 the Director-of-Central Intelligence, William J. Casey, said the agency -would maintain its longstand- ing policy of neither -denying nor con- firming allegations appearing in -the Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070001-9 WASHINGTON Approved For Release 2005./ 11 J: ~P9~ 8~'IR 28 September 1983 WASHINGTON WINDOW; WATT FRUSTRATES THE SENATE BY STEVE GERSTEL Interior Secretary James Watt's most recent off-the-cuff disaster -- black, a woman, two Jews and a cripple' - deeply disgusted many, many senators. Mixed in with the revulsion was a frustration born from their inability to do anything. True, many expressed themselves in the strongest possible terms, rushing from the Senate chamber to the television galleries in their haste to be heard. The peak of their power in the Watts affair came with the demands that the loose-lipped conservative resign or, barring that, President Reagan fire him. But the debacle renewed talk, probably wistful, that, at the least, members of the Cabinet return for a second confirmation hearing if Reagan should win .a second term in November 1984. The idea not new with him -- was raised again by Senate Democratic leader Robert Byrd the day after Watt made what even he concedes was a ''mistake." Byrd told reporters ''Cabinet members ought to come back'' and opined that such a requirement might make them watch their words with more care. ''They would be less inclined to make abhorrent statements like that, '' Byrd said. Even assistant Senate Republican leader Ted Stevens, a friend of Watt's who tried to excuse the blunder, said the idea of a new confirmation at the start of a second term was "intriguing. " Asked whether Watts could be confirmed again by the Senate, Byrd said " as far as this senator is concerned, he wouldn't be -- and I'm not alone.' But the idea of a confirmation hearing at the start of a second term probably would not achieve what Byrd has in mind. A president, coming off re-election, would probably be granted virtually the same consideration as he is at the start of his first administration. in other words, even if President Reagan --- under the Byrd proposal - sent the current Cabinet to Capitol Hill for approval, the Senate most likely would acquiese. As Byrd, said, watt would run into terrible problems. So probably would CIA Director William Casey. The chances are that Senate Republicans would probably warn Reagan not to send either a Watt, or a Casey to the Senate for reconfirmation - and he probably would not. #'OJV1JNUED Approved. For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 AT Approved For Release 2005/11/28: CIA-RDP91-00901Ra :ARTICLE AF'PF.t1RI:'b WASHINGTON POST ;,x p~ c {_ 28 September 1983 Friends, Foes Draw a Sketch 1 of=Cl Chief President Reagan's most .contro versial appointee is *lso -the -most secretive. He is William J.:Casey, .-who abandoned his roost .:amid the glass canyons of finance tolhead the CIA. With an obsessive -.if sometimes fumbling dedication, he promotes the kind of secret government the CIA favors. He has put up a dogged fight in the back rooms for the ex- pansion of our counterintelligence and counterinsurgency operations; the better to battle the communists at their own game. Usually, information about Casey, 70, surfaces only when he's involved. .,in some controversy -on which. he - can't keep the lid. So I assigned my associate Dale Van Atta to dig into Casey's background and character. Over several months, he interviewed Casey's friends and enemies in and out of the CIA. The composite picture they etched is of a loner who operates out of his hat; who lives in a continuous state of crisis; whose mind is encased. in a Republican hard shell; who talks of American-Soviet relations, for ex-` ample, in terms of "showdown," but who has surprising tolerance for the views of others. Here are closed-door glimpses of the CIA director. - + Casey doesn't run the CIA. He's a lone wolf who prefers to leave the detail work and public relations chores to his deputy director. ? His style in clothes .csn -best be described ,as "contemporary xdishev. elect." He -sometimes falls e~leep at briefings. His -typical speech * pat? tern-mumbling in a rich New York accent-has led "to an in-house_joke that - he's * the only CIA boss who doesn't need a voice scrambler on his telephone. - Since he dislikes minding the store at CIA headquarters in Lang- ley, he is frequently on the road. In a .speech to CIA employes Casey boasted that in his first six months on the job he had "traveled to'Eu- rope, Asia, Central America and the Middle :East -and met with over '20 station chiefs in those areas." ? Many sources agreed that Casey has improved -intelligence analysis by allowing competing views to appear prominently. Under his predecessors, dissenting viewpoints were relegated to brief footnotes. ? A bedrock political conservative, Casey is not inflexible. He's intellec- tually honest enough to change his hard-line Republican outlook if there's solid evidence to refute it. ? He has a habit of sending his subordinates clippings from. 'odd publications that his right wing friends.. thrust--;ion him along---withI notes 'asking why the 'CIA didn't' know about thisor that. ? Casey loves the covert-action side of his job. "The cowboys -down' ' in the Tanks will send up a hare- brained proposal,:and the next thing you know.theyre in his office plot-' ting with =him" complained , cone source.:Other sources expressed .con- cern that this sidesteps the cnecls and balances designed to _prevent-- preposterous ciandestine operations. - ? Casey is an .unabashed political ? animal. It was only because -he re-- . alized the political damage _it might . do Reagan that he agreed to put his?:. financial holdings in a blind trust. ? He dumped his spymaster- friend, Max Hugel, not because of,, the damaging admissions in taped _- conversations of Hugel's financial .. dealings, but , because of Hugel''s salty language. Casey was afraid'-the". tapes would be heard by the pres ident and Nancy Reagan, who-would' .have been offended. - ? Casey can be petty about people with whom he doesn't get along. -One source insists it was at Casey's per-' sonal order that the admiral's flag was flown upside down at a farewell ceremony for Adm. Bobby Inman-a calculated snub. But probably no one knows the.: real Casey behind the blinking, owl-" ish face. There .:is a wariness and tenseness in.him, a sense of beles- guerment. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 ARTICLE APPEAR roved For Release 5~t 8TI IAA-RDP9I ON RAGE. 27 September 1983 ..etters 'To the Editor: coarra ' conservation efforts P i .Synthetic Argument Against Synthetic Fuels s Reasonable men hold varying opin- vate M are loath to underwriteal- :toms concerning the need for the U.S. ternative energy projects while the Synthetic Fuels Corporation, and the corporation is subsidizing.synfuels at 'public -dialogue on this issue carries the rate of S3'7a barrel." Unfortunately, PmTuasive umez~ oa both sides. Obviously,- these statements fail-to Doug Bandow's article meet the realities of recent times. ?'Synfuels, NoWinFbels" [Op-Ed Sept. deed, since the corporation's creation 1] makes no vec=tr&Krtion: ` 50,,,k vestment :in -alternative 'to the dialogue, since his arguments =:?enesgy.aoaices and conservatismef- -are rooted in errors and half truths.,, 3oris have increased markedly. = r The Corporation has never `built a.. :-' ?iaally,-the corporation staff hes ,sauna An the esecirtive suite,"' as Mr. :`never characterized the PeatMetba- Bandow claims. While there -is -a _...nol.Aso ates project in North Caro- sauna in the building in which the car- - 'limas `!economically poration is officed, there is also a Chi- Had such a finding ever e nese restaurant - neither, however, you-can:bconfident that project, is the property of the corporation. Would no longer-be under considera- Further, the price guarantees ne- tion forfmsndai assistance. In addi. gotiated by the corporation will not ... tion, the very limited interest- of Wii- "guarantee sales at- a profit, no mat-' liam Casey in.the P.M,& project had .ter what the market price." On the absolutely no bearing at any time on contrary, while the guaranteed price our evaluation of that project. - may be higher than the market price I' fully support an intelligent dia. at the time of sale, the difference be. logue concerning the need for Federal tween the two is not "profit. "Rather, support of a domestic synthetic fuels the amount of a price guarantee will capability. Unfortunately, articles be negotiated at a level thaf will like ""Synfuels, NaWinFuels" do not cover, for -a specified period of time, further the public debate and in tact ` .only the costs of production and debt deter efforts to reach an honest opin. servicing, not supply .a profit to the ion. Vn T t, & F. RBnCAN sponsor. In the event ' that-oil .prices Vice President, External Relations rise faster than anticipated, the car- United States Synthetic Fuels Corp., poration will benefit from any large -Washington, Sept.-7,1983= revenue gains through a profit-spar. ing arrangement that will be included in every price guarantee agreement. Mr. Bandow asserts that "subsi- dized synthetic fuels undermine the competitiveness of alternate energies such as co-generation, wind, solar power and hydropower, .,while dis. - . Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 STAI STA Ap roved For Release 2005/ ~/ ~ f 9F~9j-00901 R00040 ARTICLE APPEAREQ. 27 September 1983 INSIDE: HUD. SMOOTH RIDE . As part of,a "Golden Fleece" award'froni Sen. William Proxmire (D-Wis.) last year, HUD Secretary Samuel R. Pierce Jr. won the dubious distinction of having the most-expensive lim- ousine of any Cabinet member. _~ Pierce was among 190 ,federal-oTficialsreceiving - chauffeur service to their homes it .a cost of $3.4 mil- .lion a year..Proxmire said .the busiest car belonged to `CIA Directo'r' William J. Casey;-whose -driver re- ;: -ceiived $26;000 in overtime -pay ,Iast year on .-top, of a $20,000 salary. Pierce's Oldsmobile 98 ,dieselweighed s. in with the costliest lease Proxmire,-who authored a law tarring. many. fed- ' eral officials: from using a government'~car -for -com muting, said that bureaucrats regard .the cars as "a real status'symbol. When we'try -to take the limou sine away, they just buck like steers. 'I think `they'd rather lose a billion-dollar program than a limou- : sine.' A HUD spokesman said Pierce'-had wanted a cheaper General Motors car and settled for the more expensive lease after delivery. problems with several area dealers. But when Ford -cameout with a dis-. count program this year, he said; Pierce was able to get 'a much swankier .car7', a Lincoln Mark 6, for just $3,075.:, -Howard Kurtz Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28 : CIA-RDP91-00901R0004 ARTf''I :AP APED C)PAS _ _ NEWSIVEEK 26 September 1983 Reagan's Secrecy Campaig As he settled into Washington, nothing irritated Ronald Reagan more than the press leaks disclosing his secret poli- cies and deliberations. Since then, Reagan has issued new rules pressuring the custo- dians of federal secrets to take polygraph exams, forcing them to sign secrecy con- tracts and compelling them ? to grant the government veto power over their sensitive writings-and the public debate-for a life- time. Reagan's rules of silence pose a classic confrontation between free speech and na- tional security, and last week Congress added its voice. In the extreme, warned Republican Sen. Charles Mathias of Mary- land, the rules consign "some of our most talented and dedicated citizens to a virtual vow of silence un-crucial national issues. The broad scope of Reagan's secrecy campaign became clear only recently, when the Justice Department actually pro- duced the detailed new contracts that se- cret holders are expected to sign. The more controversial document restricts employ- ees cleared for "Sensitive Compartmented Information"--distributed on a strictly need-to-know basis. This secrecy elite may not go public with articles, books (even fiction) or letters to the editor on any classified matters until after a gov- ernment review of the material. Even un- classified information on intelligence, ac- tivities is subject to approval. The rule restricts at least 100,000 Defense Depart- ment officials alone-both on the job and in retirement. Administration officials see more than enough reason to crack down on leakers. Loose-lipped insiders have turned Reagan's Central America offensive into a parody of coven warfare. Lesser-known compro- mises are just as rankling: when a ground- level photo of a Soviet bomber appeared in the journal Aviation Week, Washington worried that it helped Moscow confirm a U.S. intelligence penetration. In all, the steady drip-drip-drip has prompted CIA Director William Casey, White House counselor Edwin Meese III and national- security adviser William Clark, a former judge, to endorse a hang-'em-high policy. But even granted that leaks can be damag- ing, the question is whether Reagan's reme- aces are extreme. For onethmg, his sanctions cover intelligence breaches that are relatively mi- nor. Earlier this year, forexam- ple, the FBI investigated a Canadian reporter's dispatch on the widely distributed Pen- tagon report, "Air Force .2000," whose secret passages proved uniformly innocuous. An example: "Soviet military forces will continue to mod-. ernize and place strains on ; their domestic economy." FBI agents approached Canadian newspaperman Donald Sellar and asked him to identify his sources, but ultimately accept- ed his refusal to cooperate. Jus- tice Department officials insist that they have no plans to pros- ecute the Canadian. (Several U.S. publications also obtained copies of "Air Force2000," and NEwswEEK easily obtained its own last week.) Rights for `Consumers': The threat for leakers is much greater than for the leaked-to. At last week's Senate hearing, former Canter White House counsel Lloyd Cutler urged that Reagan stick largely to present policy, which already requires that CIA agents and other "producers" of secrets submit to prepublication review; intelligence "con- sumers" such as the secretary of state and other policymakers should be free to pub-11 lish as they see fit, Cutler said. The admin- istration insists that it will act responsibly. It is investigating only 15 to 20 leak cases-about the same number as two years ago. If Reagan's sanctions are de- signed more to scare off potential leakers than to clog the courts with them, the president may have made his point but at the risk of a controversy that could reach constitutional proportions. STEVEN STRASSER with ELAINE SHANNON, THOMAS M. DeFRANK and ELEANOR CLIFT in Washinvlr- Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 ARTICLE APB&ptt~ved For Release 2005/11/.A-RDP91-0090 AR~1 24 September 1983 AGENCY SUBSCRIPTION . ''We were intrigued to read in The New.York -Tunes that our old friend John Rees, who came to a sort of= fameas a freelance informer'onand.infiltrator of New 'Left groups in.the early' 1970s [see'Hillel Levin, 'The `Information Digest' Ploy," The Nation, October 7, 1978; and Frank Donner, "The Campaign to Smear the Nuclear Freeze Movement," " November 6, 19821, has teamed up with Arnaud de Borchgrave and Robert Moss, co-authors of such right-wing fiction as The Spike. The three are going to'publish:a'S1,000-a-Year monthly newsletter for "key.,decision-makers" who;-. want to know-about "matters of jugular concern," The Times reports. Drawing on "former intelligence officers, including ranking defectors from the K.G.B.'- j :and its proxy services and former government officials recently in sensitive .positions," -they. intend to; scoop . -.=the daily news media, and thus they -call their-newslet ter _"Early Warning."', "After :studying our track record," ;.de Borchgraive :--..is,reported to have written potential subscribers, *"BillCasey of the C.I.A. took out several subscriptions." A spokesman at the agency would neither confirm nor deny the report. However, if Casey hasn't subscribed, he ought to. The de Borchgrave-Moss brand of fiction should provide inspiration to the agency in concocting cover stories for bungled covert operations. And Rees could infiltrate the Republican National Committee and recover the ten-foot pole that Casey said he wouldn't touch the =Debategate papers with. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 ARTICLE APPEhff For Release 2R'6/28 : CIA-RDP91-00901 ___ . 24 September 1983 - A C.I.A.-A.C.L.U. DEAL? The Operatioind Files Exelliption ANGUS MACKENZIE The American Civil Liberties Union, the Central In- telligence Agency and Senate Intelligence Commit- tee chairman Barry Goldwater have become strange bedfellows in the latest effort to exempt the agency from the Freedom of information Act-Senate bill 1324. Although the A.C.L.U., the C.I.A. and the sena- tors will be nit-picking over the language of the bill dur- ing the markup sessions, which begin in the coming weeks, they have already agreed on its key provision, which ex- empts the agency's "operational files" from F.O.I.A. search and disclosure requirements. S. 1324 is a revision of a bill proposed in 1979 by then-C.I.A. Deputy Director Frank C. Carlucci, which the A.C.L.U. opposed at the time. The new version was drawn up by the C.I.A.'s legal representatives in cooperation with Senator Goldwater. It was introduced in Congress after the A.C.L.U. informally agreed to the operational-files exemption. The A.C.L.U. and the C.I.A. claim that the exemption "ould not expand the C.I.A.'s authority to withhold docu- ments. Under the F.O.I.A., the agency may deny requests for information, that relates to national security matters or that reveals confidential sources and investigative techniques. They contend that since operational files invariably con- tain such information, they are never released. Freeing the agency of the requirement that it conduct time-consuming searches of files that are never released, proponents say, would enable it to process other F.O.I.A. requests more expeditiously. Critics of the proposed legislation counter thAt the term "operational files" is so broadly defined that it will amount to a total exemption from the F.O.I.A., permitting the agency to cover up illegal domestic spying and other wrong- doing. Many information act experts say the C.I.A. has taken the A.C.L.U. for a ride. The deal between the C.I.A. and the A.C.L.U. was in- itially discussed in informal conversations between the agency's Deputy Counsel, Ernest Mayerfeld, and A.C.L.U. attorney Mark H. Lynch, who have been friendly enemies in F.O.I.A. court battles for seven years. As Lynch put it, ",We're two guys who've spent a lot of time in court Angus Mackenzie is an associate of the Center for In- vestigative Reporting, where he directs the Freedom of Infor- mation Project, which is co-sponsored by the Media Alliance. Approved For Release 2005/11/28 together shootir gel off the total something out., The basic elct for the C.I.A.':. emption thing" requests, the A.' operational files Would the Set C.I.A. wrongdc On June 21, C. told the Senate it will not ever again be a repeat of the improprieties of the past," he said. "And let me assure you that Bill Casey and I confider it our paramount responsibility that the rules and regulations not be violated." Leaving aside the C.I.A.'s assurances that it will speed up the release of information, what does the bill itself say? The heart of the proposed legislation is the definition of "opera- tional files." The agency and the A.C.L.U. agree that if the bill is passed, such files will no longer be subject to the search process-that they will be, in short, exempt from the F.O.I.A. But they disagree substantially over just what operational files are, Mayerfeld told me that operational files deal with for- eign intelligence, counterintelligence and counterterrorism operations; investigations to determine the suitability of potential foreign intelligence sources; "security Iiaison ar- rangcntcnts" with other intelligence agencies; and infor- mation exchanges with foreign governments. Mayerfeld's definition covers most of the agency's business, except- perhaps-intelligence reports derived from operational files. I say "perhaps" because some critics of the bill be- lievc that even those reports could be exempt under the proposed legislation. Let us examine some of Mayerfeld's categories. Take "counterintelligence operations," for example. Those operations include C.I.A. domestic spying, which President Reagan authorized in his executive order of December 4, 1981. I f the Senate bill is passed, files on domestic spying could presumably be exempt from F.O.I.A. inquiries. Files relating to past counterintelligence operations like Operation Chaos, which spied on the antiwar and civil rights movements and the underground press between 1,967 and 1974, might also be exempt. Some of the activities car- ried out under Operation Chaos were revealed in 1976 by Senator Frank Church's Select Committee on Intelligence. And stories about the operation based on information ob- tained under the F.O.I.A. have appeared in the press. But the complete account has not emerged, and a C.I.A. source told my attorney that the agency has two roomfuls of un- released Chaos files. Opinion is divided on whether that material would be ex- empt under the Senate bill. Lynch told me the documents CIA ~~ 664(6 D9ff696t Chaos was the subject ngre t a Investigation an the House version of ARTI E proved For Releas L220505//111//28 T~RDP91-00901R00040 070001-9 ON PAGE .23 September 1983 Senate. Panel Approves $19M llloni in Covert The vote also removes a roedblock"from an intelli- -,gence authorization bill that the commute had held up for four months. while members -demanded a new -explanation of the controversial Nicaraguan program. Senate aides said the bill is expected to pass the Aid to _gUa .C: a, Rebel~ 'Republican -controlled Senate without a moor floor By DOYI;E.McMANUS, 7 muSaffWrUer'.- ; lebels. But some opponents of the aid 'they ..e say they ar WASHINGTON-The 'Senate-Intelligence -Commit- aid to anti governmentrebelsiniq . ic:r8M and lources r By a voteOOf 33 to' 2; i'.he Jcothattttee' 1sn eeting behind- new funds will support the Progr' ,only Part of the year and that a supplemental request will be made later, worried that neirxtrive has lost votes in the aftermath of the Soviet downing.af a South Korean&irliner Sept. 1. impaet oa Hotw~~a e Senate y~x .~ - ; ~3 ~strOL{g xr~dtu~temant vl the _OIL iouae;" bald Rep.Nhe 1owterr 11 aina~ - r. ? -- - ~.+sabcuc~ 1iVIIIITIIL~. The request of 319 mlthon #or saca"1 ` 984 which ,' l the House y- lay deba br 3l closed dool;i.'sAFrovedSn t+. minlttrat4on request {n, . ig ioaraguan begins Oct-7 ,was .for the same,amount?.as.authorized program, until,:mid=Dctober.when an Intelligence last year : Butcommittee sources said that CIA Director appropriation bittit e,ected to reach. , :: William J:-Casey gave senators .the-impression that the Administration oftictei have aclrnowkdgedprivately for th th mo Sooct for:kdmiaistratioa Pal icy a n s 1, 3heir ua to the Nicaraguan rebels was made with objectives :broader -than merely -stopping Sandinista weapons shipments to the Salvadaran.insur- B bef aced-wi t =ngressiona] ,10 Winds that the With its: vote, the committee jgave ,aboost.to the aid tot Administration's Central America:policy.by endorsing Managua P erth the .Casey regime,-the .Administration offered the he more -explanation that 'the covert aid intended to limited justification of interdicting the arms trade, deter the Nicaraguan regime from helping leftists in _ ..at Irritated some senators, who demanded the new other Central American : countries, -Previously, the Administration had said the. aid was aimed only at m~~ finding presented by Casey this -ave op,qt's a disrupting :the flow of arms from Nicaragua to leftist, oreerrtlicit rationale that seems to show-people more guerrillas fighting ,the U.S.-backed government inear1Yhelimitsof what we re ~J'ingxo do;" a White Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 1 Approved For Release 2005/11/28 : CIA-RDP91-00901R00~400070001-9 ARTICLE ZAHF9 01I PAGE _/ WASHINGTON POST 23 September 1983 U.S. Covert fictions Said Not Unusual By Joanne Omang ' Washington i'os1Stair Writer Covert U.S. military or paramil- itary operations that seriously worry some members of Congress are tak- ing place "in a couple of other parts of the world" besides Central Amer- ica, House Intelligence subcommittee Chairman Wyche Fowler Jr. (D-Ga.) said yesterday. .Fowler, who did not specify the location or mission of the covert, op- erations, , said American intelligence agencies are going ahead with them despite objections from some con- gressmen that they could be coun- terproductive for the United States. As Fowler was disclosing this at a House Intelligence Committee hear- ing. the Senate Intelligence Commit- tee voted 13 to 2 to provide $19 mil- lion in fiscal 1984 to continue covert U.S.. support for the guerrilla forces fighting the leftist Sandinista gov- ernment in Nicaragua, according to a committee source. The Senate committee vote, in which most Democrats voted with the Republican majority, endorses the Reagan administration's new rationale for the covert operation in Central America and sets the stage for legislative conflict with the House, which has voted to stop it. In an open hearing of the House Intelligence Committee Fowler,saidi that such covert military and para- militarv actions tend to start "with 10 men and $1,000" and wind up like the operation against the San- dinistas in Nicaragua,' with thou- sands of fighters supported by mil- lions of dollars, U.S. prestige on the line and a major debate under way. "We're going to have this same problem here in a couple of other parts of the world in the next few weeks." Fowler said. "They in the intelligence agencies] want to do some things that, in the judgment of some of us, will have the opposite effect to what we want to accom- plish, But they're going to go ahead" ? Congress. now can do `nothing to stop `Fist 13 programs in advance but can only try `:cut funding later when "it's messy." 'Rer said. .rt' `e are now undertaking. policy init.ia uses that are not by any means emergen- s>l ':but they tin the intelligence agencies] .i 14 k,trk-ey're going to do them" he continued. ap :'Si sue of us th i h b . on e comm ttee) ave een disappointed in the responses we've i,. to questions about the potential im- 4 of failure, disclosure of escalation of fighting. "but they say they're going to go ahead anvti~av Fowler spoke at the end of three days of bearings on legislation he has proposed to e4uire that paramilitary or military covert operations be approved beforehand by the ,c l4ltiuse and Senate intelligence committees. ,r .._ mouse Intelligence Committee Chairman ...' ly erd P. Boland (D-Mass,) said later in an interve.w that more -questions have to be answered" about the program or pro- grams that Fowler was referring to. It all has to be fleshed our a little hit he said. "I'm not sure it's that serious at the present moment." Nearly all the witnesses called by the committee testified in opposition to Fowl- er's proposal for legislative curbs, arguing that the president has complete authority to launch covert action under his -goutitu- tional mandate to conduct foreign pt>licY. The role of Congress. most witnesses said. moist be to advise and raise questions -and to cut. off' funding for programs it opposes. The House voted 228 to 195 in July to cut oft' funds for the covert operation in Nicaragua, in which guerrilla forces fighting the Sandinista government are receiving U.S. financing. weapons and advice. In its action yesterday. however. the Sen- ate Intelligence Committee voted to contin- ue the funding for an estimated six months into 1984, *it.h the understanding that the Reagan administration will have to justify the covert aid again at that time, commit- tee sources said. The administration asked oniv tot' tiffs months' funding, "because it wtts clear that the committee was reltictant to give a blank check for the year," .one source explained. . The vote .included most, committee Dem- ocrats. however, because "they are willing to try` a new approach that was offered in pri- vate sessions this weel, by Secretary of State George P- Shultz and CIA Director William J. Casey, the source said.------------ - The- new approach abandons the previ- ous administration explanation that the co= v:ert aid was being used only to halt the flow of arms from the Nicaraguan govern- ment to leftist rebels in El Salvador. Now. Shultz and Casey -reportediy told the Intelligence Committee. the adminis- tration -finding- is that the covert opera- tion is needed to harass the Nicaraguans into abandoning their promotion of "rev- olution without frontiers" throughout the hemisphere. . The Senate committee was generally re- -ceptive .to this new goal. regarding it. as "more clearly spelled out by the adminis- t.ration than ever before." the source con- tinued-The Howe Intelligence Committee, however, received the same briefing and was nut at all convinced." a source there said. The Senate is likely to take up the bill funding all 1984 intelligence activity within the next two weeks. It expected passage would pave the we%- for a conference com- mi ee fight on Nicaragua. since the House Intelligence Committee version of the meas- ure would eliminate all Nicaragua programs funds. The committee bill is not expq.AT to reach the House floor until :n'exi. mo Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28: CIA-RDP91-00901R ARTICLE ,APP C1 FAa8- A - WASHINGTON POST 22 September 1983 Shultz Spates New Case for Covert By Joanne Omang '. ashington Post Staff writer The Reagan administration yesterday went to the House with its new case for more covert aid to `Nicaraguan rebels,?arguing that rebels should con- tinue to harass Managua as long as Managua is harassing U.S. friends in the region. Secretary of State George P. Shultz and CIA Director William J. Casey briefed the House In- telligence Committee privately on the administra- tion's new "finding" of need for the aid, which the House voted to eliminate in July. But the Senate has-not concurred, and the issue is up for consid- eration again in a bill to fund intelligence .oper- ations in fiscal 1984, which' begins Oct. 1. A participant in the meeting said the members of Congress "listened politely, in some cases with skepticism" asked some questions but engaged in no heated debate. Another participant said it. was highly unlikely that the new approach would convince the Intel- ligence Committee to change its position against the' aid. No-House action is expected on. the meas- ure until next. month. The administration's new rationale for covert aid was demanded by the Senate Intelligence Committee as a condition for continuing funding after Oct. I. Senators on the committee who heard. Casey and Shultz's.presentation Tuesday spent an .hour discussing it yesterday and are expected to give it formal approval today. The new position expands on the administra- tion's previous argument that covert aid was only being used to halt the arms flow from Nicaragua . to leftist guerrillas .in-El Salvador. Now the aid is to be aimed at causing -a change in overall Ni- caraguan policy in the region, which the admin- istration says is defined by the Nicaraguan slogan, . "Revolution without frontiers." At an earlier hearing of the -House committee yesterday, former CIA director 'Stansfield Turner said there is "no question that you can and should back out of [covert activity in] Nicaragua, and you should force the administration to-back. out." But he opposed legislation that would require future paramilitary and military covert operations to be approved in advance by the two.Intelligence committees, -saying it. "clearly transcends the in- tent of the Constitution" and would be "one more strew on the camel's back" of congressional over- sight. - "There are covert operations-that would be very helpful to this country' that. would have to be ruled out" under the -proposals, including emer- gency actions, Turner said. The bill's sponsor, 'Rep. -Wyche Fowler Jr. (D-Ga.), -said changes are planned that would exempt emergency projects. At the-moment, he said, "Congress and the public think we [on the committee[ are ,accountable but we are not, ' Turner and former -senator Birch Bayb (D- Ind.), who-favored the legislation, -both recom- mended that the committee attach restrictions on the contingency reserve fund, the CIA's secret budget, when it, authorizes appropriations. Morton H. Halperin, director of.the Center for National Security Studies, said new controls are necessary because covert actions, which were once used only as a last resort, "are now just one of the options on the shelf." - In a related development, a spokesman for the Kissinger commission on Central America, which is expected to recommend a long-term policy for the region in February. said the members will begin their first visit to the area Oct..9 in Panama City, with one-day 'stops in Costa Rica, El Sal- vador, Guatemala and Honduras. A final stop in Nicaragua "still is undecided," he said. He said the 12 members had decided to travel together rather than in small groups staying lor>,g- er in separate places, as was proposed earlier. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 AnT!^LE APPE RE pp'roved For Release 2005M4128STQ QfNpMO1R00 ; CAGF a1'p 21 September 1983 New Reagan Strat for Covert Actzv es In Nicaragua Likely to Clear Senate Panel By GmALu F. SELR S~ofSReporter of THE WALL STREET.JOURNAL WASHINGTON-The Reagan administra- tion sketched out a revised blueprint for co- vert activities in Nicaragua that appears likely to win the backing of the Senate Intel-. ligence Committee. .Secretary of State -George Shultz and .Central Intelligence Agency Director Wi). -ham Casey yesterday appeared at.a closed committee session -to deliver the new plan, known as an intelligence -`.finding." Congressional sources' said the finding expands the administration's originally stated goals of the Nicaraguan operation, a)- though the expansion .doesn't go as far as some administration officials had wanted. The new finding, the sources said, de- clares that the U.S. intends to support insur- gents opposed to Nicaragua's leftist govern- ment until Nicaragua quits backing revolu- tionary movements - elsewhere in Central America, This goal is-broader than the one the Reagan administration originally stated two years ago, when it said it would support Nicaraguan insurgents because they could help cut off arms flowing from Nicaragua to leftist rebels in El Salvador. But the CIA has been considering ex= panding its official goals even further, in the new finding. Officials had considered declar- ing that the Nicaraguan operation is in- tended to force fundamental changes in the overall policies of the Nicaraguan govern- ment. Such a broad statement, though, might have been interpreted in Congress to mean that the administration would try to over- throw the Nicaraguan government: And Congress has specifically prohibited actions to topple the Nicaraguan regime. So the administration rejected -the more expansive statement of goals in hopes of winning more congressional backing. And congressional aides think the admin- istration now has a good chance of winning the support of the Senate committee, which had demanded the new finding to clarify the administration's intentions in Nicaragua.. Committee members will cast private votes Over the next two days on whether to approve or disapprove the -new plan. Con- gressional sources said'that the new finding initially seemed to attract -'substantial sup- port",:during yesterday's two-hour meeting with Mr..Shultz and 'Mr. -Casey. Still, some Democrats, notably Delaware Sen. Joseph 'Eiden, -expressed -misgivings, aides said. So it is possible that opposition to the new plan could grow. The ,Intelligence Committee earlier forced the administration to draw up a new finding for the Nicaraguan program when it voted to cut off funding at the end of this . month unless the administration presented a new statement of its goals. Lawmakers com- plained that the Nicaraguan program had expanded well beyond its original purpose of interdicting arms flows from Nicaragua, and they worried that it might spin out of control. Because of such fears, the House voted during the summer to - cut-off all funds for the Nicaraguan covert operation But the . House must reconsider the issue again when it votes or a bill to finance intelligence oper- ations in the fiscal year beginning Oct. 1. Administration allies will try then to reverse the funds cutoff. The Senate committee's demand that it be allowed to vote to approve or disapprove an intelligence finding represents a depar- ture from normal procedures. In other cases, congressional intelligence committees are briefed 'on covert operations but don't specifically- vote to approve or disapprove them. In this case, the committee will vote on whether it approves the new intelligence finding, then recommend to the full Senate whether to continue financing the Nicara- guan operation. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28 : CIA-RDP91-00901R000 ARTICLE An, ON PAGE 1'ety JustificationFor U.S.-Activity, in r ?i.caragua Offered By Joanne Omang W;uhington PactStaff WrSter Secretary of State George P::Shultz and CLA Director William J. Casey offered Congress :a new- justification -for '-overt U.S..activity--in Nicaragua yesterday, stat=_ in- g that its -purpose is to pressure the ich- isi Sandinista government into stopping its efforts to export revolution.":; Sources familiar with .the closed-door presentation to-members of the Senate-- Intelligence Committee said the new"find- ing- is.a significant. shift. in emphasis from - previous administration explanations that covert U.S. aid to anti-Sandinista rebels was aimed at -stripping the flow of arms from the Sandinistas to leftist guerrillas in Ei Salvador. Instead,-the:sources said,, the action-will now be -justified as necessary as long as Nicaragua continues to help guerrillas else- i where in Central America. The new justification,- firstreported by The Washington Post in July,is consistent with recent Reagan administration de- mands that the Sandinistas. changes their overall behavior in Central America.. The administration has vehemently denied that it.supports the avowed goal of the anti-Sandinista rebels to overthrow the Nicaraguan government. In a statement after yesterday's three- hour meeting, Intelligence . Committee Chairman Barry Goldwater. (R-Ariz.) saict:he expects the committee to dectie whether -to -approve the new fin -,by the end of the.. week. _Ap- pro~ would put before the.-Senate . the question. of continuing the esti- mat'ed $80 million program of aid to anti Sandinista rebel forces. '. - . . vie committee voted last. May ,to contiaue funds for -covert action in Nicaragua after Oct. 1 only if Pres- ident Reagan provided "a redefined po.saion on Central America," Gold- wat r said at the time. "We want hirrtto tell us in plain language just what it is he wantOto do relative to Nicarab a and the other countries." WASHINGTON POST 21 September 1983 The sources said yesterdayT ingtwas "not heated" despite the presence of several several prominent .ad- mitristration critics and some "very tout questioning:"' They said. com- mit. e members "seemed inclined to support the proposal" (ki the House side, former CIA dir for William E. Colby urged the Intligence Committee to reject pro- po. d new :curbs on the agency's Co. vert-;actions abroad. If Congress has proems keeping track of what the a gepty-is~doing,,he said,-You have to tak-a-two-by-four to the head of the lby was the opening witness at, thri$ days 7of committee hearings on Iegi lation -sponsored by Rep. Wyche (D-Ga.) -that would re- Foyer Jr. _ qui the administration to give pri . notification to the House and Serie e Intelligence committees of an covert. action and -would give ,them a veto power over it. Existing law, requires only that.. Congress he "fu' and currently informed" of "si fificant" activity, and offers no renxedy other than a fund cutoff aftef the fact. :4vert action also would have to be. receded by a %vritter, presiden- tiajinding to the committees that the action is essential to U.S. secu- rit )Iconsistent with public U.S. for- eig, policy, and needed -despite its ris because extraordinary circum- staces mean that overt. or less sen- sitie tactics cannot accomplish the g4 Wartime operations would be ese provisions, Colby said, "will ensure that no clandestine activity -will' ever-take place.' Colby,-who ;}a?CIA'director from 1973 to .1976, 4 sar : hehad no'quarref -with the im pos#ction -of -standards.upon -the be- girnmg of a covert action and said Fowler's -proposals were "very good" standards. y only question is whether you legalconcrete," he said. t to absolutely set them ' onto'., Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 gse 2005/11/28: CIA-RDP91-009 GN PAaE ~~ . CHICAGO TRIBUNE 21 September 1983 Debate, data leak `organized By Dorothy Collin Chicago Tribune . WASHINGTON--Rep. Donald Ai- 1 bosta [D., Mich.J, chairman of the. House subcommittee investigating the debate papers controversy, said Monday that bethinks there was an "organized effort" to "acquire mate- rial, from the Carter White House"' for. the Reagan campaign. Albosta cautioned, however, that his-investigation `might fail to 'deter- mine:-'vbo took the papers. "I believe we=can indicate someone did it, but' whether we can find the exact per son remains to be Seen; ' Albosta. said. "Pe have to make the assumption thaf'_ it was the Carter people taking material from the 'Carter White House, not 'Reagan people," be . added ~, Sa ang he thinks there was "most likely" more than one person _in vowed, Albosta said such efforts are "not :unusual" in campaigns. But Abe said. there could be -a "major prob-. lem" if some of the information. passed from the White House to -the campaign came from a National Se- curity Council source. ALBOSTA 'SAID his subcommittee will hold hearings in early, October and that witnesses will be placed under oath, raising the possibility of a confrontation with the White House. over testimony by former campaign workers who are now part of the administration.,, Among those who might be asked to testify are White ..House Chief of Staff James Baker and CIA Director' William Casey.. Baker, who was also chief of staff of Reagan 's . campaign has said be knew of the papers and thought they came from Casey, Reagan's campaign manager. Casey has said, he doesn't remember any- thing about it and is convinced -that if he had received -the papers, : he would have remembered it. . In addition, Albosta announced an agreement with the White House to. give investigators access to files of White House Counselor Edwin: Meese, who was the campaign work-1 er who handled negotiations leading' to the debate and who later beade the Reagan transition team. _ a effort' THE FILES -COVERED under the agreement :-.are -those from the Reagan campaign and the transition period..' ? `There could. be things in the tran- sition period that could indicate what took place before," Albosta said. However, the congressman refused to say woy the. investigators want to examineMeese's files or what they hope to find in them. A spokesman said the request to look at the files came as a result of the investigation so far. Meese's files are at the Hoover Institution of War and Peace on the Stanford University campus. The in- stitution, a conservative think tank helped supply ideas and personnel for the Reagan administration. Investigators also will have access to-the files of Robert Garrick, -the director of campaign operations who set up an intelligence operation with- in the Reagan campaign aimed at finding out of the Carter administra- tion planned an "October surprise" to solve the Iranian hostage-crisis: DURING THE 1980 presidential camp Reagan's advisers were worried that. -Carter would spring such a "surprise " perhaps affecting the outcome of the campaign. Garrick's operation is said to have used information from retired znili tart' and intelligence agency officers in an attempt to find out if Carter election. In addition, the ..committee is ;ooking into ,allegations -that the Reagan campaign may ave ,At> tained re its from Natzonab n ty Council sources Albosta said that up to now lnvesti-. gators have been loot " g only at the j files = of Reagan campaign officials against whom allegations have been - "Now, we have further:access ':he said Albosta said investigators :have talked to about 75 people concerning the debate papers controversy, which ccenters on how .Carter's briefing book for the campaign de-, bate between Carter : acid Reagan , ended up in possession of the Reagan Approved For Release'~'R11/28 : CIA-RDP91-0090.1 R000400070001-9 Y8 T~RDP91-00901 R0 ARTI CLr a pproved For Release NE ,5RK ON PAGE d 21 September 1983 More Aid to Nica cs ac e Adrninistiation's actions~in Contra] I An Administration official said that specialwTk* NmYarkMMW, the program outlined by Mr. Casey and .America. The chief critic of the Admfn-. WASHINGTON, Sept. 20 - The Rea. Mr. Shultz went beyond the scope of the, nitration on the committee is Senator gan Administration told the Senate In.. current program. He said it was not Joseph R. Bides. Democrat of. Bela- telligence Committee today .that it limited to interdicting arms, but was I ware. planned to continue covert military aid more broadly stated in general support According to participants in the sea t.o the Nicaraguan insurgents until the of the Nicaraguan rebels. "We were al- Sion, the Admifilmration witnesses pre. President S andinista Government. stopped giving ways being questioned," an official Reagan f that bye in by the national military support to the rebels in El Sal- said, "on whether we were going be- vador, according to participants in the yond our-program of interdicting arms. .assort y .interest to continue a "para- meeting. Now we say,.Yes, we are supporting military program directed against the WilhamJ. Casey" the rebels-until the Ni S"*"t;"1~nc __-- Dfi'ector of Central caragtLatts stop Intelligence, and Secretary - -of State their subversion in neighboring coun- George P. Shultz met for several hourstries. behind closed doors with the commit- -'It wasa very positive statement,". 'tee, which is headed by Senator Barry the official said, adding that "I wished Goldwater,--"Republican' of .. Arizona. the press would have been able 'to bear Senator Goldwater had requested a re- it "? _ ~...- _ __ - . port on plans for the fiscal year that be- -1iond gran andcCosta Ri aY ceded gins on oct.. 1. , - - J 'Isle Administration is obliged-to re- .''Participant said thaf-tiie cover - port to the intelligence committees of aid was to be used, not only mail the' both houses on the goals and objectives Sandinistas stopped supporting insur- of any covert activity: "Ihe committee! gents in El Salvador, but in Honduras had declared in May=that it would cut and Costa Rica as well. off the -aid in the absence of a new re. The Administration of5c3al stressed, po' t by Sept. 3t1. - that this approach should a eargu- Most of the committee members blent'ovi w her lhe' on o were reportedly satisfied by the lim- was violating its pledge by doing more ited nature of the Nicaraguan pro- than Just stopping the arms.flvw. The gram. Some had been concerned be. official 'also said that there was no cause T'ir: Casey had reportedly sug- thought of the Administration backing gested before the Congressional recess the insurgents in trying to -overthrow last month. that the Administration the Sandinista Government. might decide to back the Nicaraguan The House earlier this year passed a "contras," as the insurgents are bill cutting off all covert -raid to the known, with the aim of overthrowing Nicaraguan Insurgents for the 1983 fis- the Managua Government, which is cal year,-but it stood little chance of supported by Cuba and other Commu- passageby the Senate. In the absence nist states, of action by both houses to cut off the, `Very Impressed With Shultz:'- aid, it continued. Todayls committee "The members were very impressed meeting seemed to clear the way for with Shultz,, one participant said. Senate approval for the 1984 fiscal "They thought the plan was much :wi will have to decide ch begins Oct. 1. -The House whether it wants to more sensible than in the past. It ;vim again to cut off evert aid in" the looked as if it had some coherence and nest fiscal year. practicality. . President Reagan had said publicly The Senate Intelligence Committee that the United States had no intention has generally been Sn oz ive . of, the of overthrowing the Sandinista Govern- ment. Administration officials had said that the:S19 million which had been ap- . propriated in the current fiscal year for :. covert aid was only meant to prevent arms from Nicaragua from going to the insurgents to El Salvador. _ i Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28 : CIA-RDP91-0090' ARTICLE AP'PZU ON PAGE BALTIMORE SUN. 20 September 1983 Theft of Carter data"- r called or anize d campaign -had made such an effo-t.,i.' B Nanc J h i S y y . c werz er Washington Bureau of The Sun Washington - The chairman of a House panel investigating the 1980 Reagan campaign's use of Carter briefing materials said yesterday be has concluded there was an "organ- ized effort to obtain material" from the Carter,, administration to aid the Reagan campaign. Representative Donald J. Albosta (D, Mich.) would not elaborate on what, if any, specific information had prompted his observations, but he did say that he did rot think it "unusual in any presidential campaign" for one side to try to obtain information about the other. Mr. Albosta, chairman of the Hu- man Resources Subcommittee, also announced that he plans to hold pub- lic hearings, perhaps next month, in the probe. In addition, Mr. Albosta's panel has reached a new agreement with the White House for investiga- tors to review transition-period files of presidential counselor Edwin W. Meese III, who was chief of staff and principal issues adviser in the Reagan campaign. Mr. ?Albosta, who said investiga- tors have interviewed about 75 per- sons so far and plan to interview an- other 30 to 35, commented that the course of the briefing book inquiry has led him to conclude that there was "an effort on someone's part to acquire information from the Carter White House for informational pur- poses for the Reagan-Bush cam- paign' "I -think most likely there was more than one person involved," he said, and there was "some organized effort to obtain material." Asked if he meant that the Reagan. Representative Albosta replied, `-'who would the material benefit?" On public hearings, Mr_ Albosta said his panel would possibly call two witnesses-next month. But he did otI identify them, other than to say his panel "won't necessarily? in r-3 view the top'-officials of the Reif ant campaign who are -now part of,+}eef One of those officials, Mr- Meese;, will have his files examined by, oop-, gressional investigators, probablyi this week, at archives of the Hoover, Institution in California, Mr. Albosta said. Those documents, which ?were1 not covered by an earlier agreement+ between the subcommittee -and the, White House, include campaign-files, and also cover the transition periedy between the election and Mr. Rea-{ Ban's inauguration. . ' Al J Aides said the panel's investiga tors, under an earlier agreement With- the White House, have already., campaign files of several.`tap administration officials, including'; CIA Director William J. Casey. ahd, Chief of Staff James A. Baker IIl ,In vestigators -are also in the process of reviewing the files of David A..Stoek man, the budget director who-alsa coached Mr. Reagan for his debatei against Mr. Carter and has acknowl-, edged, that documents "pilfered", from the Carter campaign ended? ip in the Reagan camp. The FBI is also probing the brief-; ing book matter and Mr. Aibosta.ac4* knowledged that the federal investi-- gators are ahead of his inquiry - some aspects. Re said the ageat',- which has been turning over materiAlF to the House panel,' has been "slower- than I would like to 'see it" in "givig" us information." -- Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400 ARTICLE WASHINGTON TIMES ON PAGE-A__ 20 September 1983 Uarter By George Archibald vA.& tNGTOk ES STAFF The House subcommittee investi- gating how President Reagan's cam- paign obtained Jimmy Carter's debate briefing materials is focusing on possible wrongdoing by Carter White House: employees, the-panel's' chairman said yesterday. Rep. Donald 3.-Albosta, D-Mich.,' also said the pattern emerging from-- the inquiry is that "more than one" White House employee working for then-President Carter gave the brief- ing materials to the Reagan cam- paign "There has been no allegation that anything was stolen" by the Reagan camp, Albosta stated. "There was an effort on someone's part (in the Reagan campaign) to acquire materials from the Carter White House for information pur- poses,' he said. Albosta declined to say whether he knows who initiated the effort, but he added that it would not be "unusual" for one presidential cam- paign to attempt to obtain another's internal documents. "What could be unusual ... is where the material came from, par- ticularly if it came out of the National Security Council," Albosta said. "If we have a possibility that people will remove, for political pur- poses, material that is sensitive to the security -- either economically or to the defense of this country -- then we have a major problem. "If it was removed and if it was done in an organized effort, I think it is important for the American people to know if that is going to continue to happen," he added. Albosta said -the panel's investiga- tors want to review personal files - rather than general campaign files of several people, including White Rep. Donald J. Albosta House Counselor Edwin Meese III and Adm. Robert Garrick, who headed research for the Reagan campaign. Some of the files are at the Hoover Institution at Stanford. "If we lurw a possibility that people will remove, for- politicalp-urposes, material that is sensitive to_the security either economimfly or to the defense of this country then we have a major problem." would "cooperate fully" -with the panel, stated a spokeswoman for the research organization. The panel has 75 wi interviewed about tnesses from both the Ca rter Asked why investigators were and Reagan camps and will interro- returning to the Hoover archives,. gate about 35 more people before where Meese's transition files are holding at least two public hearings housed, Albosta said, "There could on the Carter debate book matter in be things that would indicate during early October, Albosta said. the (post-e)ection) transition period He declined to discuss -details of what could have taken place '-what the investigation has learned. before, during the campaign." But he said, "My opinion is we will Other files belonging to' David R: get to the bottom -of it; .:'. I believe Gergen, White House communica we will be able to :indicate someone Lions director, and Wayne H. Valis, a did it. Whether or not we will find the former Reagan aide, may be at the exact person and whether or not we American Enterprise . Institute, a will have someone who would have a Republican-oriented public policy reason, it remains to be seen "- think-tank, where both men worked . Asked if this meant the probe has during the campaign, Albosta said. not yet identified any"moles" in the The congressman said he "would. Carter White House, he replied: "I not rule out" asking AEI to open its don't want you to think we have, and files to House investigators. AEI I don' want you to think we haven't" Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28 : CIA-RDP91700901R0004 ARTXCL AP 911 PAGE WASHINGTON POST 20 September 1983 Mbosta: Sees `Organized Effort' To Get Carter Material in '80 By Howard Kurtz Washington PostStaif Writer. Rep. Donald J. Albosta (D-Mich.) said yesterday that he has concluded that there was "an organized effort to .obtain material" from the Carter White House in 1980 and that "more than one" aide to Jimmy Carter was involved in providing documents to the Reagan presidential campaign. Albosta, whose house Post Office and Civil Service subcommittee has been investigating the acquisition of Carter papers by the Reagan cam- paign during the 1980 election, de- clined to give specifics, saying he .wanted to preserve the probe's se-. ?crecy. He said he would detail some '.of the findings next month at, the first of two planned public hearings. ? Albosta spoke to reporters after :successfully urging the House to pass ;a five-year reauthorization of the Of- fice of Government: Ethics, which is -scheduled to go out of business Sept 30. Albosta said .he may propose fur- ther amendments to the ethics act to deal with the kind of allegations he is investigating. "The trend seems to' indicate that there was some organized -effort to obtain material ... from the Carter `'White. House for informational pur-, poses for the Reagan-Bush cam- paign," Albosta said. He said the subcommittee still is focusing on in- dications that some material may have been taken from Carter's Na- tional Security Council. . Albosta said his staff has inter- viewed about. 75 people and that he REP. DONALD J. ALBOSTA "more than one" provided papers now expects to "get to the bottom" of the mystery. By the . time the probe is finished, he said, "I believe we will be able to indicate someone did it" Albosta also said he-has reached agreement with the White House to allow congressional investigators to inspect new Reagan campaign files stored at the Hoover 'Institution at Stanford University.- , -He said these would include the personal campaign files of White House counselor Edwin Meese III .and of Robert Garrick, a retired ad- miral who helped the Reagan cam- paign -monitor- military bases in case of an "October surprise" by the Car- ter White House. . Albosta said some personal files- including those of White House chief of staff James A. Bake] III and CIA Director. William J. Casey-were not located in California. but that his staff has been able to inspect them in Washington. He .added, however, that the FBI has been "slow" to pro- vide the panel with information from its criminal investigation. The measure extending the five- year-old Office of Government Eth- ics plugs several "loopholes" in the law, Albosta said. The bill would allow the office to draft government- wide ethics regulations, to review fi- nancial disclosure -statements of 69 { additional White House.aides and to extend disclosure.. requirements to some members of advisory commit- tees. The bill also would require per- sons nominated by. the president to high-level jobs to update their finan-- cial disclosure statements before their Senate confirmation hearings...- Aides said this was in-response to a 1981 incident, involving Attorney General William French Smith, who did not report a $50,000 corporate severance payment that he received shortly after filing his disclosure statement.. The House measure must be rec- onciled with a Senate version that would give the ? ethics 'office director . a fixed -tenure ?that' would -not coin- tide with the-president's -term: Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 9!~-0e7 ARTICLE AP roved For Releasl~0I4/$ii1sMA-RDP910 ``~~ ON PAGE 20 September 1983 l for, out campaign to steal ma- nother campaign," he . Ouse Inquby Leader Says from a E "What's unusual is where the ma- Cotncil, Reagan Sought '8 0Paperi 'Cvtn i , ttom of it, By MARTIN TOLCHIN Speclatt aeNis,Yank27ms. WASHINGTON, Sept. 19 - The I Meese 30 will chairman of a Congressional investiga- tion into the conduct of the 1980 Presi- dential campaign said today that inves- tigators had uncovered evidence indi- cating "an organized effort" by Ronald Reagan's campaign to obtain materi- als fromthe Carter White House. Representative Donald J. Albosta, Democrat of Michigan, gave his inter- pretation of the investigators' findings in his first status report since his Human Resources subcommittee of the Post Office and Civil Service Commit- tee began its investigation in June. However, the counsel for the Repub- lican members of the committee said he disagreed with Mr. Albosta's con- clusion, and Mr. Albosta, saying be thought it was "important to maintain the secrecy" of the investigation, de- clined to offer specific evidence to sub- stantiate his findings. There was no immediate comment from the White House on Mr. Albosta's statement. Public Hearings in October Mr. Albosta said public bearings) would begin in early October. The hear- ings could provide the spectacle of twoi top aides in the White House contra- dieting each under oath. It is widely expected that James A. Baker 3d, William J. Casey and Edwin Mr. Albosta said that although the Federal Bureau of Investigation had been helpful in the past in giving the committee materials it had developed, to testiTy. al- the ace had l d i p owe s n recent weeks . though Mr. Albosta declined to com- ? "FWve been slow in giving us ma- ment on prospective.witnesses. Mr. terial that I think we should have in our Baker, the White House chief of staff, " has said that be received the Carter investigation said- White House -materials' from Mr. Mr- Albosta exPressW confidence in Casey, director of Central Intelligence the investigation- "My opinion is that whobas disputed Mr. Baker's xecollec- we will tit tothe bottom of it," be said. tics. Mr. Meese, White Haase c7ois29el, Mr. Albosta gave the status .report was -director of the Reagan transition after the House unanimously approved team a five-year reauthorization of the Of- Mr. -Albosta said that investigators five of Government Ethics. He said the had interviewed about -75 'witnesses, law might have to be amended after equally divided between Reagan ca- 'comp'letion of his investigation into the paign aides and Carter White House of- briefing documents. ficials, and that another 30 to 35 would "One set of cansceras raised regards be questioned. In addition, investiga- the law and standards of conduct of tors have studied personal and official fecting Federal employees' steward- files of-aides to Mr. Reagan's Presiden- tial campaign. Mr. Albosta said he recently con- cluded an agreement whereby investi- gators would spay the personal files of Mr. Meese and retired Adm. Robert. Garrick, who has said be organized a network of -retired military officers to monitor the movement of United States troops and aircraft for -the =Reagan campaign.. The network was looking for signs of the imminent release of the American hostages then held in Iran. "There was a pattern, an organized effort on someone's part to acquire ma- terial?from the Carter White House for the Reagan-Bush campaign," Mr. Al-1 the ruling thing--" - - bosta said- Mr. Albosta, asked who initiated the effort, replied, "Who would the ma- terial benefit?" G.O.P. Aide Disputes Findings Steve Hemphill, counsel to the Re- publican minority of the Post Office and Civil Service Committee, disputed Mr. Albosta's findings. "I have sat in on the overwhelming majority of inter- views and have reviewed the docu- ments, and I do not reach the same con- clusion," he said. "It's too premature to draw that kind of conclusion." Mr. Hemphill, asked whether White House aides would be called, said "that's totally within the purview of the chairman." The subcommittee has been investi- gating how Carter White House docu- ments found their way into the Reagan campaign, where they were used to brief Mr. Reagan for his televised de- bate with Mr. Carter. Mr. Albosta said evidence indicated the involvement of more than one per- son in both the Carter White House and the Reagan campaign. "It was not us-' mation and the use of their positions for ! personal gain," he told the House. "Are' , those standards adequate? Are they understood, enforced, or enforceable at all?" The House Speaker, Thomas P. O'Neill, Democrat of Massachusetts, said today he remained unconvinced of the pressing need for Mr. Albosta's in- vestigation. "I still don't see any great interest out there" by House members, he said. Mr. Albosta, in response to Mr. O'Neill's statement, said, "His set of priorities dictates that the economy is Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070001-9 AT I ARTICLE Approved For Release 2 -1 'YCIA-RI 1-00901R000 ON PAGE w, _ 19 September 985 I LARRY KING'S PEOPLE CIA's Casey: No spying from USA's-airliners , Fasten seat belts: This col- umn takes no prisoners..., I asked William Casey, direc- tor of the CIA, if, to his knowl- edge, the USA has ever used h passenger plane for spying purposes. "Absolutely not,": was the immediate reply. Ca- sey added, "None of our al- lies would do that, either. The risks are just too great for whatever benefit it might bring. We care too much for human life. I have suspected Aeroflot of doing it, but have no proof. The more I think about it, though, I doubt even the Russians would do it. It's pointless." UPI CASEY: Using airliners for spying would be 'pointless.' Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28: CIA-RDP91-0 WASHINGTON TITHES 19 September 1983 Th R e RAMBLE BY JOHN MCKELWAY Clean-cut, maybe, but hardly clear-cut How are you getting along with the Great Carter Briefing Book Caper? I've just about had it. But will keep trying. Now. Where are we? I'm not so sure. When last we met to discuss all the possibilities of the on-going investigation and how an investigation gets to be on- going, there seemed to be some chance that everyone who ever saw the Carter brief- ing book in the Reagan campaign camp would line up to take a lie detector test administered by agents of the Federal Bureau of Investigation. As far as I can tell, this has not taken place. But, of course, you never know what goes on in this town. And, maybe, the FBI has developed a truth-detecting machine which even now might have been put to use. 'However, we do know that we have been told by the press that the FBI has asked a woman who served as a secretary in the-1980. Reagan campaign, a woman who remembers a "clean-cut" young man delivering what could have been the Carter briefing papers, to undergo hypnosis. Apparently; the FBI did not think she was lying when she described the young man as "clean-cut," and did not proceed to hook her up to a lie detection machine. But agents figured that under hypnosis she might be able to put a little more meat on her bare- bones description. The secretary said she thought the Great-Garter Briefing Book Caper was "Mickey Mouse'' and declined to undergo hypnosis. Now. If a clean-cut young man did deliver the Carter briefing book to Reagan's campaign head- quarters, the material must have been sent on to -either campaign.director William Casey, now head of the Central Intelligence Agency, or James Baker III, now White House chief of staff and at the time of the alleged appearance of the clean-cut young man, can- didate Reagan's supervisor of debate preparations.. 7Baker has said he got the documents from Casey. Casey says he ;can't recall ever having the doc- uments. - Now. If I can believe all this stuff, why hasn't the FBI offered to put Casey under hypnosis? Or Baker? Why do the agents, if they did, go after a secre- tary? One would think the head of the CIA and the White House chief of staff would be far more inter-. esting under hypnosis than a secretary who thinks the briefing book busines is "Mickey Mouse"in the first place. For example, would Casey describe thesame -young man as "clean-cut" if he could remember, under hypnosis, the guy who brought the briefing book? Casey, underhypnosis,. might think the clean- cut young man looked like Baker. And Baker, under hypnosis, might feel with some conviction the clean-cut young man resembled George Bush, a former head of the CIA. And what would happen if both Baker and Casey were placed under hypnosis and, simultaneously, hooked up to lie detector machines? Would they describe the secretary as "clean-cut" or use some other equally fathomless description? And, I wonder, -can the FBI guarantee that if either a secretary, or a clean-cut young man;-or the. -, White House chief of staff along with the head of the 'CIA, is placed under hypnosis, they will be returned to normalcy? ; - . -What, come to?think of it, is normal in Washington, in or out of hypnosis? Sometimes I get the feeling that the Great Carter Briefing Book Caper is one of those Washington sto- ries that soars into the great beyond Ieaving.most of us lost in the dust it has kicked up.' I would hope you can handle it better.'Keep trying. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 ARTICLE APPEARIbproved For Relea;e~002$ ON PAGE 19 September 901 80004 Behind -moderation are being ffrn braced on most of the ma jor issue With his national-security adviser and longtime gan s'.. friend at his elbow, Reagan is seeking quick results -- U overseas. This has meant departing from the strong rail ideological thrust that is Reagan's hallmark- In case after case, the administration has deliv- ered tough rhetoric then acted with moderation , . The airline incident, which provoked Reagan to In Forvaflgn launch the strongest verbal attack on the Soviet Union of any President, was the latest in- stance His retaliat o m a f f The President's fresh tack is designed to insure cooperation from America's allies, calm nuclear-war worries among voters-and produce- fast results. President Reagan's response -fo Russia's: downing-:of a South Korean jetliner underscores a new foreign-policy approach that combines hard words with moderate deeds. The sanctions announced by the President on September 6 and 8 are far milder than many expected from a leader who has condemned the Soviet Union as an "evil empire" But the action squares with anapproach to international affairs that is becoming steadily more flexible and pragmatic., - In the-shaping of this policy,-White House National Secu- rity Adviser William Clark, a man noted for his practicality and loyalty to the President; `has emerged as the' Chief Executive's most trusted foreign-affairs counselor." Headlines in recent weeks have focused on how Clark has gained the upper hand in a power struggle with Secre- tary of State. George Shultz. Largely overlooked /is the fact that while Shultz has been in the backgroundihis policies of Reagan on Air Force One with key advisers Clark and Shultz ry e sures were a ar cry rom the controversial sanctions he ordered after martial law was clamped on Poland. The measures in-the airlirie episode were denounced by his more conservative support- ers as lacking in backbone. The Peking connection. Nowhere is the contrast be- tween past words and current deeds seen more sharply than in dealings with China. Where Reagan once chilled Sino-American relations with talk of reviving political ties with Taiwan, today he seeks to bring Peking into a partner- ship to .counter Soviet global -ambitions -'a straitegy. long advocated by the State Department. Peldng'now qualifies to buy high-technology equipment, including some items with clear military applications,: on the same basis as many U.S. allies. In late July, the admini- tration also agreed to increase the American import quota for Chinese textiles, in return for China's stepped-up pur- chases of U.S. grain. A visit to Peking by Defense Secretary Caspar Weinberger in late September is aimed at getting stalled weapons-sales negotiations going again. . - _ All this is drawing fire from critics on the right. But the White House, according to presidential aides, figures it will reap practical benefits in renewed strategic cooperation and,-more than likely, a politically rewarding Reagan trip to Peking in the election year of 1984. In the case of the Soviet Union, Reagan means it when he speaks of an 'evil empire" of Communism. But, whatever his misgivings about the Soviet system, the President increas- ingly has emphasized the need to work with the Russians. In the weeks before the downing of the airliner, .he approved huge new grain purchases by Moscow with guar- antees against future embargoes, removed remaining re- strictions on the sale of pipe-laying equipment, announced a new compromise offer in arms-control talks and proposed improved hot-line procedures for handling crises- None of these moves is affected by the measures he announced in the aftermath of the attack on Korean Air Lines Flight 007. Skeptical at first about arms-control talks of any sort with Moscow, Reagan now emphasizes flexibility and determina- tion to negotiate seriously. His advisers say the President is responding- to widespread public concern about the dan- gers of nuclear war and to doubts among some European allies about his commitment to arms control. - ' Even in Central America, pragmatism is softeningrheto- tic. A few days before Defense Secretary Weinberger set out in early 'September to review U.S. troops on maneuvers in Honduras, Special Envoy Richard Stone was on the road trying to arrange more talks with insurgent leaders. The emphasis now is on a search for peace as well as on the military buildup to pursue the war against Marxist guerrillas. Letting Reagan Be Reagan In this new approach to world problems, the key role is being played by a relative novice iii foreign affairs-William Clark, the President's national-security adviser. To get the results he wants before 1984, Reagan is paying more attention to White House advice and playing down CI ?9*0 f07R0 0T1W outcome: Growing - r ~.... k ~pRroved For Release 201i?t jiffTaApl~bP91-00901 R000400 hi i 4,1__J 15 September 1983 U l ti i?t ti ~ } ~Gt~/~~/~ Disorder in the Court: Man Tarn,s Hearing Tops y-Tarvy By Ed Bruske - filed against him .following an incident on Wash ingWn PosL Staff Wr1Ler April 27 in which he .allegedly attempted to A hearing at D.C. Superior Court yesterday arrest former CIA director Stansfield Turner. turned into pandemonium when a defendant during a douse subcommittee hearing. tried to place the . judge under "citizen's ar- Zain, who told the court he would represent rest," dragged a deputy U.S. marshal, a clerk himself, has been held in lieu of $2,000 bond. and an attorney behind the bench, knocked . Before the melee yesterday., ,a CIA attorney over a flag, overturned chairs and nearly : told Judge Sorell in court thattiZain had writ reached the judge before he was finally re ten several CIA officials concerning his alle- strained, courtroom witnesses said. gations and had sent Casey a letter at his Corridors outside the courtroom were sud- home in suburban Maryland, threatening to denly filled with a prosecutor's screams for arrest the director. . help, and D.C. police in the vicinity rushed to Prosecutors argued that Zain should be held the scene, reaching for their guns, witnesses pending a determination on his mental com- said. . - petency. Sorrell, who recently had held two No one was seriously injured in the melee, other hearings on Zain's bond, was speaking but at one point the defendant as well as those from the bench, asking Zain whether he would trying to subdue him tumbled to the floor be- .cease his threats and stay away from govern- hind the bench while Judge W. Byron Sorrell meat officials, when Zain interrupted. .and astonished -courtroom spectators looked Your honor, I cannot Jet the CIA go un- prosecuted for murder" he said. "I charge you The incident capped a bizarre series of with being an accessory to murder. I'm going to take custody of .you. I am, as a citizen, ar- court proceedings over several months this resting you for attempted murder:" year involving a defendant who insists that "Everyone assumed ,he was just running off the CIA is responsible for at least. three mur- at. the mouth." a clerk in the courtroom said ders and has tried to arrest, or subpoena, nu later. merous high-ranking government officials, in- But Zain walked around the-defense table eluding CIA Director William Casey. toward Sorrell and had nearly reached the The defendant, Harry Zain of Charleston, bench when a deputy marshal grabbed him. W. Va., was eventually removed from the Zain then pulled the law officer behind the courtroom yesterday and taken to the court's ..bench, knocking over-the American flag,, awhile cellblock after -half ,a dozen deputy ' U:S. ' -the . judge's -clerk and an assistant U.S. attor-. marshals responded to calls for help. .. . new in the courtroom joined the struggle to After the incident, Chief Judge H. Carl stop "him. Moultrie I signed an emergency order trans According to one clerk, Zain gave up the ferring Zain to the Ugast Center at D.C, Gen-,, fight to reach Sorrell, saying, "I appear to be era] Hospital for psychiatric examination. -. outnumbered." Zain had been ordered to appear-in court" Zain. gained attention two years ago when yesterday to determine whether he should be----tie tried: to have Congress pass a law. that- released from jail pendiiig a decision` ,on would allow him-to marry a 12-year-old girl in whether he is mentally competent to stand. his'home state. - trial on.-misdemeanor charges of simple assault A further hearing in the matter is scheduled and disruption of Congress. The charges were for Nov. 1. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 A .ARTICLE APPE roved For Release 202t%1 1 ELW1-0 .~~ ~l ON PAGE 15 September 1983 source of Pilfered . Pipers Eludes" FBI L; By ROBERT JACKSON; Times Staff Writer WASHINGTON-With nearly three months of inter- views behind them, FBI agents have been frustrated so far in determining -how some confidential documents of former President Jimmy Carter came into the posses- sion of -members of President Reagan's 1980 electipn campaign "They (the agents) still have a way to go but they have not found the key, the smoking gun," a gov- ernment officialfamillar with the case said Wednesday. The officials who refused to be identified, said the FBI will not finish.ata field investigation until mid-October at .1 1 the soonest,tnore'than two'months later 'than originally expected s .The source said many witnesses have been afflicted with "forgetter y"when pressed about specific details of 'I what happened hreeyearsago with copies of Carter's campaign debate -briefing papers ;,However, he said agents are unable to say ,with: conviction``.that any of these memory lapses are deliberate.: A prime:" example is Reagan's 'former campaign receptionist, Justine Marks, the"latest witness whose name has surfaced. Two sources familiar. with her account of the papers' delivery said 'Marks has toldthe FBI she -believes. .they were brought, to Reagan's, headquarters bya well-groomed young man-but that she does not remember his name?or where he was from. Marks has 'rejected a request-by theFBI that she submit to hypnosis in the. hope ..of ,enhancing her memory., the government official said. He said he did not know if any other witnesses had been hypnotized or had refused to be:hypnosized but that-the technique is not unusual in official investigations. - Couldn't Identify Man From Photos "After. all, were talking about incidents that occurred a'few years ago, he said. Marks, who. could. not be reached .for comment, failed to recall anything further about the looks or occupation of the young man and could not identify him from any, photos shownto her, the official, said. 'Marks was the receptionist... in -offices 'in Arlington,. 'Va., that were occupied by Reagan's top-ranking aides. ` It was learned that i vestigators'for'the House Post Office and Civil- Ser'ice subcommittee on human resources, which is conducting-:a similar' inquiry into the pilfered documents,'also is 'seeking tointerview Marks..: The panel is headed; by Rep Donald J. Albosta The. summer long' ease has-been marked by conflict-- ing memonesas well as faulty ones. White House Chief of Staff ,James'i: Baker III, who was in charge of preparing Reagan for his campaign debate with Carter, has said that,h briefly'saw some Carter debate papers provided by CIA ;Director William J. Casey, who was then campaign manager. Casey has-heatedly denied having had such material, saying he would not have touched it "with.a 10 foot:. (pole." Meanwhile, Mark Ashworth,'ari Ohio college student who worked in Reagan's headquarters, has told Albos- ta's investigators that he remembers-being asked to' photocopy pilfered debate papers for delivery to Baker. "It's not clear who gave what to whom "the official Approved For i ev2H M8veE l @P.-06901 R000400070001-9 ARTICLE APPF RID 1PEW YORK TIMES OF PAGE _I -oved For Release 0?q1j IA- 91-04 Former Reagan Worker Refuses To Undergo Hypnosis in In9uTy By LESLIE MAITLANTD WERNER SPedal ro The Nww York Trmu' WASHINGTON, Sept. 14 - An aide in Ronald Reagan's 1980 campaign has refused a request by Federal investiga- tors that she be hypnotized to help her .recall an incident in which campaign materials prepared for President Car_ ter may have been delivered to Reagan workers. Federal officials :;said the woman,, Justine Marks, had a vague recollec- tion of such an event but could not iden- tify the man who she thought dropped off the papers. Federal officials said the Federal Bureau of Investigation had asked Mrs. Marks to submit to hypnosis to help her remember, but that she had declined. The officials said Mrs. Marks had been shown Numerous pictures of peo- ple who might have had access to the Carter papers, which were prepared for the then President before his debate with Mr. Reagan. But, the officials said, Mrs. Marks failed to identify anyone-as the man who reportedly brought materials resembling the Caner papers papers to Mr. Reagan's campaign headquarters, where she was a receptionist They -said she described him as young and clean-cdt. . Leaving `No Stone Unturned' She may very well have something pertinent," a Federal official familiar with the inquiry said. "To say she's the key would be an exaggeration." The. official said Federal agents bad Pie hypnosis because they wanted "to leave no stone unturned," Roger S. Young, an assistant direr for of the F,B.I, in charge-of Congres sional and public affairs, declined to~ comment on the -bureau's inquiry.. He also declined to say whether or not i agents had interviewed Mrs. Marks -or had requested that she be hypnotized. But he said the bureau had found hypnosis to be a useful technique in ' helping witnesses recall details of events they otherwise could not remember: ? Mrs. Marks, reached for,comment. in' Augusta, Me-,-confirmed that she had told investigators about the event and that she had refused to be hypnotized. She declined to discuss details of what she had told the agents because she had an exclusive arrangement with ABC television to appear on its "Good Morn- ing America" program Thursday. - Asked if she was being paid for her appearance, she said, "That's my busi- ness," and ended the conversation. George Watson, vice president of ABC News, reached by telephone, con- firmed that Mrs. Marks was scheduled to appear on the program Thursday, but he said the 'network's entertain.. meat division had .arranged the ap- pearance, not the news department. "We are paying her nothing except her travel expenses from Maine to New York and back," Mr. Watson said. He added that guests were often asked, on a voluntary basis, not to discuss in ad- vance what they would say before a program. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Ex-Receptionist Recollects 1980 Debate Papers ase 2005/11/28: CIA-RDP91-0090,~R00`OQ WASHINGTON POST ~~ 14 September 1983 dayhen the papers were delivered,.nor the sen- ior eaga_n official to whom they were delivered, she 'aid. F$I officials have been frustrated by' the slow 1 By Martin Schram and Bob Woodward Washington Post Staff writers The former executive receptionist of the 1980 Reagan campaign has told the FBI that papers resembling President Carter's debate briefing, materials were delivered to the head- quarters by a person she remembers only as "'a young, cleancut-man,". .And, in an unusual move, the FBI' asked her to undergo hypnosis to help her identify the man she says brought the documents and the top Reagan official-who received them. The receptionist, Justine Marks, told FBI -agents in four interviews that. she can recall only that the pa- pers were brought to the Reagan --headquarters by a male who was under 30 years of age, according to informed sources. Marks controlled access to the fourth-floor offices of the 'top Rea- gan campaign executives, including campaign director William J. Casey and senior adviser James A. Baker III. who supervised the debate.-prep- arations. . Marks confirmed this. account ? during several telephone interviews with The Washington Post. She said that last Thursday she declined the FBI request that. she undergo hyp- nosis even though the FBI agents had told her, "we feel you can pro- vide us with the missing link," .she said. . Marks said: -"I feel I may be oh- strutting the investigation but I just can't" undergo hypnosis. I find hypnosis an tnmatural state, like a { fortune teller .... I would consider this differently if it were a murder, but. I think the briefing book thing is Mickey Mouse and I told the agent no." . In eight hours of. interviews with the FBI,' agents showed her 600 to 700 photographs. But she said she was unable to identify the young man who 'she. says brought the papers to the Reagan p r o g r e s s in the case. ti ... They.previously sought permission'-to give poly- graph tests to senior Reagan officia-ls,-who have give'l`cconflicting'versions of how the Carter doc- umeats wound up: in the files of the Reagan cam- Bier,; now White House chief of ,staff, has told mveltigators. he received the Carter 'debate doe- -urn is=from :Casey. Casey, now ..director of the. C hassaid'he-cannot recall ever having had tire' d enfs: an ,&t a ,i,ould3o have. orgotter- theme if :they:had~tever been given to him.. The FBIS decision td{ask?vlarks to submit to b')ions was approved"at''the top" of the FBI, according to an official source`'I'.liesource declined to say if it was FBI Director William H. Webster who gave the approval, aor wvha't'role, if any; the Justice De- partment played in the decision in the -po'liticaily sensitive investigation. _:: ..FBI spokesman: Roger' Young -yesterday -said he would have no tomment t-on the matter. -He none= theless-said the .use.;of.:hypnosis with cooperative witnesses =,ikht cannot:irecall details is?"a:valid, ac cepted - technique." `-He`added, ''It-has been used many times with. superb results." In ' several '-telephone 'interviews this week, Marks confirmed -what-she told the .FBI and de scribed'-he arrival -of 'naterial :related to the Car- ter debate as"a positive recollection: Marks; added,"Of the hundreds of.people who passed by.me I recall :I stopped someone. I don't, know-who,: it could have been someone 'with the campaign._it could have been a citizen. a politi- cian, even someone with-the media and that, per- son had material related. to the briefing material for Carter," Marks said she was -not positive the Carter briefing material showed to her -by the FBI was. identical to the, material, -she saw. in :1980, though she said it was similar.-. ; She said she was certain the papers received in .1980 were related to the Carter side of the debate, ;something.,that ,wquld;arot and :did-'not ~normally come to the Reagan campaign headquarters. J- Asked how she knew the - material -the ; young man was carrying.was,-from t.he,Carter:camp, she, , , er headquarters. Nor can sheAr~~P&~&rdb~rR6r ~'ease 2005/11A2-$t:lQtA'R'DP91=009018000400070001-9 said, "I probably asked him to 'state:his purpose- who he wanted to see and like that:" She. said she has tried as hard as -possible to recall or further describe A.he incident or person bringing the material or receiving it but cannot honestly expand-on her memory. - adding: " she said e is a lot I-remeinber "Th Approved For Releas b IPI1T11 SS0I R ftVD098I1R00 13 September 1983 WASHINGTON REAGAN BY E. MICHAEL MYERS President Reagan met today with Secretary of State George Shultz, just back from a confrontation with Soviet Foreign Minister Andrei Gromyko on the Soviet shootdown of a Korean airliner carrying 269 people. After the meeting with Shultz, Reagan met with the National Security Council Shultz, Defense Secretary Caspar Weinberger, CIA chief William Casey and Joint Chiefs of Staff Chairman John Vessey - undoubtedly to discuss a response to the Soviet attack. Both Shultz and Weinberger recently returned from abroad. Shultz attended an East-West human rights conference in Madrid, where he called the Soviet defense of its destruction of the airliner ''preposterous.' ,EXCERP7ZU STAT Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 : G AP ON PGE_ oved For Release z0 2ptembe"' QN P AGE ;~ 9t5 Pentagon Gets Tough on L~tin.Policy By PHILIP TAUBMAN Special to The New York Times - WASHINGTON, Sept. 11- The Rea- gan Administration, despite the objec- tions of some top State Department of- ficials, has decided to go on the attack against Congressional opposition to its Central America policy, according to senior Administration officials. . The new stance, which represents a break with past efforts to reach an ac- commodation with Congress on Central America, is scheduled to be outlined in a policy speech on Monday by the Under Secretary of Defense for Policy, Fred C. Ikle, the third ranking official in the Pentagon. The tone of the speech, which Mr. Ikle is to deliver to the Baltimore Coun- cil on Foreign Affairs, includes some of the harshest criticism of Congress by the Reagan Administration on this or any other foreign policy issue, Admin- istration officials said. Tbey'said it was endorsed last week by White House aides over the opposition of some State Department experts on Latin America. An advance text was made available by a foreign policy adviser involved in its preparation. It says, in part, "As long as Congress keeps crippling the President's mill- tary assistance program, we will have a policyalwavs shy of.success." It also says: "The President's policy for Cen- tral America has not been given a chance to work. Congress has denied -the President the means to succeed." 'An Arsenal for Insurgency' In addition, the speech offers the clearest statement to date by the Ad-, ministration on United States opposi- tion to the Nicaraguan Government. "We must prevent consolidation of a Sandinista, regime in Nicaragua-. that would become an arsenal for insurgen- cy, " the text says. "If we cannot pre- vent that, we have to anticipate the partition of Central America. Such a, development would then force us to -man a new military frontline of the East-West conflict, right here on our continent.,' Senior Administration officials said the speech will be the kickoff for an in- tense Administration campaign this fall to fight for increases in security' assistance to El Salvador and Hon duras and against a cutoff in American ! support for Nicaraguan rebels. .. -' - Congress has not completed action on a series of requests for supplemen- tal security assistance for El Salvador and Honduras for the current fiscal year, but the Senate and House com- mittees involved have approved less than half of the $110 million in extra' money 'asked for El Salvador. The House voted last month to end support for Nicaraguan rebels. 'We're Fed Up' `-'We've had it with the opposition in Congress," a senior Administration of- ficial said today. "We're fed up ,with their interference on one hand and their lack of support on the other -and we intend to fight for what we think is a minimum American commitment in the region." The decision to go on the attack, which was reportedly supported by De- fense Secretary Caspar W. Weinber- ger, William P. Clark, the White House national security adviser, and William J. Casey, the Director of Central Intel-. ligence, appears to end a protracted de- bate within the Administration about bow best to deal with Congress on Cen- tral America. - The State Department has advocated using a conciliatory posture to try to negotiate compromises with Congress on security assistance and support for Nicaraguan rebels. This tactic was openly ridiculed by Defense Department officials, includ- ing Mr. Ikle, who argued that the best way to handle Congress was to hold out for the Administration's goals and make Congress take responsibility if Americaipolicy failed. Administration officials see the com- ing fight as a crossroads for American policy in Central America. They are particularly concerned that a failure to, obtain continued financing for Nicara- guan rebels in the 1984 fiscal year, which begins next month, will lead to a serious setback for United States inter ests in the region. The Administration has requested $50. million to finance rebel activities in fiscal 1984. The House, whidti has voted to cut off financing for the Nicaraguan rebels in fiscal 1983, is not expected to approve any money for the operation in budget bills for 1964. The Republican-con- trolled Senate, which has not supported last month's House cutoff, is likely to vote to extend the financing, forcing the two houses to resolve the issue when the budget legislation comes up for compromise negotiations between the House and Senate. -The text of Mr. Ikle's speech warns that a failure to extend financing could allow Nicaragua to become a "second Cuba" that would pose. a direct mili- tary threat to its neighbors. In a direct slap at the House vote to cut off money for the rebels, the text says, "The House, in effect, voted to establish: a sanctuary for the Sandinistas." It goes on to charge that a failure by-Congress to continie financing for the rebels would be Tantamount to creating "safe havens" fcir terrorist and insurgent at- tacks. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 For Release 20M TAW. M P91-009 ON PAGE 54 11 September 1983 The Purloined Paper Chase Congressional investigators look ing into how Jimmy Cart_er's debate briefing papers got into Reagan aides' hands in 1980 haven't found a smoking gun, but they may have come up with a hot copying machine. It was disclosed last week that a low-level Reagan campaign worker had testified privately about making duplicates of Carter briefing materi- als on the orders of aides to James A. Baker 3d, who is now the White House chief of staff. The campaign worker, Mark J. Ashworth, said that on three of the four occasions he was asked to copy Carter papers he was told the copies were for Mr. Baker. Mr. Ashworth's testimony before a House subcommittee, which he is ex- pected to repeat publicly this fall, provided the first significant allega- tion of a direct link between Mr. Baker and the Carter papers. Mr. Baker has told investigators he had only a casual connection with the -papers and had received them from William J. Casey, who was then Mr. Reagan's campaign manager and is, now Director of Central Intelligence. Mr. Casey has flatly denied that. Michael Wright, 'Carlyle C. Douglas and Caroline Rand Herron Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 ARTICLE ON PAGE 11 September 198.3 of Source of Campaign Notebook `?'Iber a has been a sharing EVIDENCE GAP SEED ~~ ff of info-- I 'Mr. Baker a Regan campaign aide -aaticin," said Micah Green, staff di- i in 1980 has said his best recollection Pecwr for the Human Resources Sub- was that of the Post Office and Civil Cas gave him a black n S G ~Er, \ . ,,,i I _ It L1 KI ,nmebooke con the material origi- krvice ceCo Committee, which has jurisdic- L rLi1Y? Prepared f Mr. C'artpr to ho Et on over enforcement of the Ethirc in 1 vow in his debate with Mr. Reagan. -iiovernment Act. Mr. Casey, who was chairman of the Green said the subcommittee, 'Iaeagan campaign, has denied being lheaded by Donald J. Albosta, a Michi- 'Memory Lapses but No Proof ti: source of the material, saying he, tgannDemocrat, hadbeen examining the Would not have touched such a book' _50 to 60 "relevant" documents diseDv- Criminal Acts Are Found, "With al0-foot pole. ered in President Reagan's files at the I.,.,...r., 1At:.,.1., n,....- "even so, the F.B.I. has not yet de-; .Hoover Institution on Was, Revolution as W rig ~ } 190)Ygraph, or lie-detector, to e~ No he-detector tests have been . y LESLIE MAITL.AND WERNER given,''--a source famfliar with the in- =='` SPeCWt07beNn.Yort71mea }quirysaid. "No decision'bas even been ,A-WASHINGTON, Sept.. 10--Tb,e Jus- made-whether to use them.-And it's a tice Department is still at least . a i y important decision, -considering month awa y fromconcludi it i -ngsn- Omry into how Ronald Reagan's Pres;_ iiential campaign -obtained President Carter's political strategy papers in g with the investigation. -with former Reagan and-Carter cam- Thus far, they said, there appears to I gn =workers. Agents of, the F.B.I. belittle reason to believe the Federal conducting the interviews are writing Bureau f I o nvestigation has ucd novere enough evidence :to bring criminal charges against anyone. But knowl- edgeable Federal officials said investi- gators had met with what one termed Convenient lapses?of memory" on the a5'he inquiry, expected toiastat least another four or five weeks accordin , g 'tb4fficials familiar with tho invesri a ' e're goi through them, and .,we're going through the files of rele- vantindividuals," Mr. Green said. He said, "We have no doubt that the F.B.b. is working quite hard on the in- -iesttgation," and added that he did not 'tnotwwben it would be csoncluded ? Ethical Questions at Issue -o-"O;a inquiry is somewhat broader, _}?ecae~se it goes to ethical questions and tact t to whether or not a :law .has -banker,"- Mr. Green said. "We have tto consider whether legislation is These 'reports are being submitted to ---vagressiona1 investigators. have the Justice Department as soon as they private =testimony firma low- are written, according to sources in the he level Reagan campaign aide who re,- -ding said aides to Mr- Baker had di- - .. ^..;. .;... i?~9 department. - =.The ultimate decision on whether to 1 him to make copies of materials Thomas p e- - -- wall Mr. Reagan,. Reagan campaign. - - --' Titstice D partment.- t "It's clear that some people should .air, a spokesman 'for Attorney Gen- is According to sources .familiar with i+emember a lot more than they say O? 1 Yilliam French Smith, said a re- 60'at Inquiry, the former aide, Mark J. they can remember," a Federal offi- ; oyt on the investigation -would prob. 'fthw , testified that he :duplicated Vial observed. He'--added that certain ab be' made public whether --or not dr. Carters briefing materials on four events would have naturally left an im- ? 'itiminal charges were filed. - 'ms and that on three of those oo_ pression on some workers' minds and 9E 'It's General Practice' tiS:asiow he was told the copies were for mr. that their current hazy recollections `Bak = suggested an effort to be less than can It has not been decided yet,,' Mr: >9" Mr Ashworth and others who have did. DeCair said. But its general practice + alinvateiy given testimony to the sub- -`Still unresolved, as well, are conflict-' ip-investigations of alleged wrongdoing scornrthttee will be asked to speak pub. Ong accounts provided by two to level y' public officials to issue a report. on tlicly when it holds public hearings, officials, William J.e findings of the inquiry," most lii"kely this fail. cgs, 'Casey, the Director of Central Intelli- ni Meanwhile, the F.B.L. is also provid-', fence, and James A. Baker 3d, the g assistance to a Congressional sub Mite House chief of staff. committee that is conducting its own - -- -inquiry into the. matter. The bureau is -doing so under an agreement .worked out between the House subcommittee .And the. Administration. For Release 2W/1 II $C DP91-(V9 TAT Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 WASHINGTON POST 10 September 1983 KIR T`I CLE Approved For Release 2005/11/28 : CIA-RDP91-00901R0004 Tigkteiie4 Rules Deep Nation's boo Lon Historians By Ian Black A year later, many historians and archiv- ! ""'hen You are an historian recognize w:Istut~Fwn Poscs rr writer you ? its are dismayed. "We think the principle that one or two critical documents can com- A curious spin of the wheel that brought ought -to be 'When in doubt, declassify,' pletely change the nature of the sto President. Reagan to power just as govern- Betty said b said Dr. Sam Gammon, executive director of y Unterberger, a faculty member at ment archivists ''were. starting to declassify the American Historical Association. "But Texas A&M 'University. "The public's right foreign policy documents from the Cold War now it is 'When in'doubi, classify. " to know is being-overshadowed by what bu- years in the early. 1950s has led. to a heated He added: "`We're going to be . fighting a reaucrats say are security interests" conflict, between the administration and the ': rear-guard action. I think we all have the Control over declassification first began to nation's historians. sense that we're growling and retreating:" tighten up under Carter in 1979, when the The scholars say thousands of documents, Even Under tarter, declassification was CDC was created within State's Bureau of many more than ~30 years old, are being held . not all that rapid, the historians say. Al- Administration to centralize a process that back by the government under stringent new though he stipulated review of government had grown hugely because of requests for t declassification rules that demand excessive documents -after 20 years, instead of 30 documents under the Freedom of Informa- secrecy about Iona-past events. . under President Nixon, a growing awareness tion Act.- Following the release of huge amount of of Cold War sensitivities combined with bu- Declassification was previously handled by material dealing with World War II and its dgetary and manpower -problems rendered the department's Office of the Historian in immediate aftermath, the historians now , the theoretically more liberal approach in- the Bureau of Public Affairs. The office face a diminishing availability of documents effective. _ was-and remains-responsible for publica from the 1-950-1954 period and the increas- ingly Rea-an's order,: according to MiltonGus-', tion of the Foreign Relations of the United tough criteria used to justify their re tafsona head of the diplomatic records States volumes, but it now depends on the tent on as "classified information." " branch at the National Archives, 'confirmed' CDC for-authority to publish. Thin s have gradually got more and more g "The historian's office was conservative," said Anna Nelson of George -the practice of the Carter order and eiirni perceived Washington University. "With the Reagan administration, the release of documents has just closed up," complained Barry Rubin, another historian of U.S.-foreign relations. Delays in declassification, the historians say, are making it "virtually impossible" to write American diplomatic history- after 1950. The snail's pace of the process is also holding up State Department publication of. the multi-volume Foreign Relations of the nated some of the anomalies. Carter's was too liberal, and the idea was to have a sep- liberal in theory and conservative in practice. arate office to have responsibility for declas- The Reagan order simply eliminated the lib- sification," said Gustafson. "It was seen as an eral part.". administrative problem rather than a public The declassification process goes on every affairs matter." working day in the State Department's Clas- William Z. Slany, the historian in the sification/Declassification Center (CDC) to State Department office, makes the same determine whether historical material can .be point: "Historians obviously have a different deposited for public use in the National Ar view of documents from professional people chives. United States series, once admired as the There are 160 -retired foreign service of- finest work of its kind. ficers involved. Using -a 6-inch-thick set of Current declassification policy is based on highly-detailed country-by-country . guide- Reagan's Executive Order 12356 of August, lines, which themselves. remain classified, 1982, drafted by an interagency intelligence these reviewers weed out the sensitive ma- community committee to provide what ad- terial from tons. of innocuous documents, ; inthe aftermath of World War IL.` . ministration officials describe as "a frame- leaving behind a record which the -scholars... "The world -up to .1949 didn't.have quite work for the executive branch's information - say is incomplete and possibly. misleading. the same problems as afterward," said Edwin security system." The classification decisions are quite corn- Thompson,- director of the Archives'recoids The main difference between the Reagan plicated. When a visitor came to the .classi- declassification division. - - - - order and its predecessors is not so much in fication center earlier this year, one of the "There was no NATO, no Iron Curtain, no its standards of secrecy as in the mechanics "annuitants" employed there was reviewing a `East versus- West, the. whole deepening of of declassification that it requires. telegram sent from the U.S. Embassy in Da the Cold War.. And you didn't have Korea. Reagan, dropped the Carter administration mascus, Syria, to State on May 27, 1953, . Now much more detailed examination is nec- requirement that all government agencies more than 30 years previously. He decided essary," he said. - systematically review -their own documents that- it must remain secret because it con . Among the drafters of Reagan's executive and said -that only the National Archives- tamed "security/classified information." order, -said- Slany, "there was.- a growing its budget and staff drastically reduced- need examine records depo0iplr1%,jftd For Release 2005/11/28 : CIA-RDP91-00901R000400010( TZ fFD whose concern is the effective application of regulations. We -are moving toward different agendas. I regret that this office no -longer has as much of a role as it used to." And there is another problem: the very subject matter -of .American foreign relations ARTICLE APPEARE&pplcoved For Release 200W : UA 91-00 PA 10 September 1983 J-c~piedCa papers:: st.u n Ashworth, 24, returned to Wright Ashwort h said he agr to testify:' hh iew State Uni B J ' vers y ames Q Shea t y I Dayton aefter to the subcommittee and be Chicago Tribune holding several. low-echelon White questioned by the FBI because "I House jobs -and a 'post with a now- am an honest person and the Presi- DAYTON-A college student who defunct political action committee dent has asked anyone who worked. worked as' a clerk in Ronald called Amercians for the Reagan on the campaign -to cooperate with Reagan's 1980 presidential campaign Agenda. the.investigation. said Thursday that a campaign offi- Last week,' Ashworth said, be worm told the subcommittee cisl claiming to speak for James spent -14 boors talking with -subcom- ;that the documents.included coin ar- Baker, now the Whits House chief --of mittee .members;and invests atora..of , ? P Rea brief' ordered him to make copies of ~-the House Post Office and Civil sons of the Carter and Re Ser- Pmt briefing materials prepared by Pres vice Subcommittee. Iorms; comparisons - of can= ident Jimmy Carter's campaign or- 4c - -1-1 didates' economic proposals; a list:of ganization: They`gave-me a lot of documents- Carter's legislative -accomplish to look at,. and they had a 'lot of ments, 'an analysis of Carter's veto5 wbo o copy~u~g ahchou on the fourth floor questions,"' he said. They told me and -suggested questions -and of Reagan-Bush headquarters in Ax- not to discuss this in public or with = answers x- - - the -vress because it still is zunder: lingtonT , Va.; said he copied Carter: - . ., - On one occasion .A , shworth re-= materials on several occasions in investigation - ..- called, Emig Foal approached him -cluding once when Emily Ford; an ASHWORTB SAID. he. had ap- and asked him to copy-same-of the aide to Vice President George Bush, -geared before the subcommittee last documents that Ashworth ,remem- told him the copies "were for .Mr., week. at its request and not under a~. bers as Carter campaign materials, Baker." At the time, Baker was j..subpoena. 'The subcommittee plans -?I remember it $ecansae she got Reagan's debate manager and a to hold public this fall chief campaign bearings " ' mad at , me," : he said. "1 was strategist. - I Ashworth" recalled that the docu- ` working on someusi During an interview at his parents . ments be copied were not on White g ng for Ed Meese j suburban Dayton home,. Ashworth I.House stationer and did not bear [now counselor to, the President and hen a Reagan cigpnaes tafficier' received a telephone call from the' -the presidential seal or even the ` a I tole her I FBI and was told. he was to be letterhead of the Carter-Mondale couldntmake her questioned by agents next week. The campaign. copies then. -I got mad At her, too. " said the .copies were for Mr. .FBI is investigating the possibility "All of t.. the .: covers had been re- -SheBaker th t th b i i " . a e o ta n ng of Carter cam= moved, be said. Cpaarseenn documents by Reagan . aides He said be remembered the docu A White House spokesman said violated federal laws. ments however because of the un-: Ford would have no comm t , , en . Ashworth said he told his story last usual nature and the manner in week to congressional investigators which the copies were requested by who also are trying to determine campaign aides. When he appeared how the Reagan campaign obtained -before the subcommittee, he said, he the papers, which Reagan aides have was, shown copies of Carter cam. acknowledged they used to prepare paign materials found '. in Rea gan Reagan for his nationally televised campaign files. He said he identified debate with Carter.:. some as :the type of the documents , ASHWORTH'S STATEMENTS are he had copied in::1380. being viewed as siscant, because I ? would ? stand there ' with my of Baker's recollection that be . :.Kodak machine and COPReagan passed the?Carter briefing materials and Bush Re-election to David Gergen, now White 'House documentsReagan briefing booms said, communications director, after re- thcampaign en all nf'.Papers, some comes ceiving them from Reagan's cam- and wants you to co + Casey manager William Casey. ~~ all of the issues have a papers Demoo. Casey has'deni any knowledge of rratic slant. They [the Carter docu the documents. or how they were obtained-,-- mental :had ,different .typefaces and., Baker's. office said he would have - nar ' no comment on Ashworth's recollec- "I REMEMBER thinking at the tions. But one high-ranking aide - to time, `Gee, that's funny.' I was just Baker described Ashworth 's testimo- a naive campaign aide. I didn't real- ay as "nonsense;" and other aides i.ze what had happened until .I started . questioned bow Ashworth could re- reading about .it in the press. I re- member a few documents out of the member them now because certain thousands he had handled during the things like the typeface -are keys that' campaign..- trigger.ypur memorX..'; . r . M Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 STAT Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28 : CIA-RDP91-00901R00040 ARTICLE AFPEkR 0/$ ON PAGE .0Z WASHINGTON POST The Truth Tester B, Jacqueline Trescott Two truths about lie detectors: 1. Experts prefer the term "poly- graph test" over "lie detector." 2. They say the examination can- not be cheated on. Some fears about lie detectors:' 1. An uncomfortable vision of being strapped to a machine, watch- ing a needle jump around if you breathe the wrong way, beads of sweat forming on your forehead, giv- ing you away. 2. The growing use of the 'ma- chines by industry and government employers, like the D.C. police, con- juring up again the specter of "1984." The Great Debate: Whether William Casey, the di- rector of the Central Intelligence Agency, and James Baker, the White House chief of staff, will be asked to take polygraph tests as part of the Carter-Reagan debate papers inves- tigation. Washington has long been a cen- ter for the Big Lie Detector Contro- versy. It was a case argued here in 1923. Frye v. United States, that rejected the results of a precursor of 1 the polygraph as evidence. Poly- graph results are not admissible in federal courts and many state courts, and the District has one of the stiff- est laws, forbidding employers to use the tests. And it was a Capitol Hill sage, former senator Sam Ervin, who called the tests "a 20th-century in- strument of witchcraft." The debate over the reliablity and application of the polygraph was re- newed this year when President Rea- gan issued a directive, since limited by Congress, making lie detector tests a condition for federal employ- es with security clearances. Also heating up the controversy: the pos- sible use of polygraph tests in the debate papers caper; and a claim by a high-ranking Defense Department official, who once said polygraphs "misclassified innocent people as li- ars," that Soviet spies were being trained to fool the tests. In an internal memo disclosed last month, John F. Beary III, assistant secretary of defense for health af- fairs, said, "I am told the Soviets have a training school where they teach their agents how to beat the polygraph." A few days later, James. Hamilton, the special counsel hired in the con- gressional probe of the purloined papers and the conflicting state- ments of Casey. and Baker, was quoted as saying he ? doubted,.ahe polygraph tests could clear pp tf -e discrepancies. Yesterday Hamilton said, "The chairman has not decided whether to seek lie detector tests. In some cases it can be fairly useful." Polygraph examinations . usually take more than an hour. They begin _ with an interview, where the exam- iner sets a rapport with the person being tested. Then the questions. The first set is neutral, with such questions as "What is your mother's name?" This establishes the norm of truth, the subject's physical reac- tions to nonstressful questions. Then in the key questions, the examiner watches for signs of stress, such as changes in pulse rate or breathing. "Polygraph examiners dislike the The experts discount the theory that you can put yourself in a happy or angry frame of mind-think only pleasant thoughts, or wear a too tight pair of shoes (causing you to wince), stay up for three nights, fast, or answer in -a monotone-all this to keep the emotional response con- stant. , l These countermeasures, says psy- chologist David Raskin of the Uni- versity of Utah, generally are. inef- fective. "What is -potentially effective are the physical matters, biting your tongue, pressing down your toes at particular points." But the-rub, says Raskin, who did a government study on the counter techniques, is you have, to have coaching to know how to use them. "A person just doesn't stumble on this. You have to be trained to turn off and on, do it un- obtrusively, because there are ways of detecting their use." Other experts agree. "Trying to beat the test is counterproductive. People become more relaxed, more confident, and are more willing- to discuss things in an open way.. The more the feeling you can beat it is exposed, the less people will be able to beat it," says James Starrs, a law professor at George Washington University. Weir, a former director of internal security for the National Security Agency, who has done thousands of the examinations since he started in term `lie detector.' It, supposes de- 1951, adds, "If such a thing were ception," says Raymond Weir Jr., possible, the criminal element would past president of the American Poly- have had it beat a long time ago." graph Association and one of Wash- Weir, who gave a test to the chief ington's best-known polygraph. ex- witness against former Georgia sen- aminers. But the "Lie Detector" , ator Herman Talmadge during ,the show,. which flamboyant criminal Senate investigation into charges of lawyer F. Lee Bailey briefly brought misconduct (for which he was later to television earlier this year, select- r 'denounced), says testing Casey and ed the objectionable term for the / Baker with the polygraph would be show, as does the strict District law ; "exceedingly appropriate." regarding their use, and Weir admits How accurate are the tests? "It is the television exposure hasn't, hurt still an open subject," says .Barton the industry. Ingraham, associate professor of 7 September 1983 /60,rw Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070001 , criminal justice at the University of Maryland. The. skeptics claim, 20 to. 50 percent of the tests are- in error; the proponent ,, such as Utah's Ra- skin, said polygraph tests are "90 percent accurate, -and that is talking about. optimum "conditions. If you have examiners who are not compe- tent or trained, if you have poor is- sues, your rate is going to drop." T here's another school of thought. "Some statistics sy that the tests are accurate in excess of 85 percent, and that sounds good," says Starrs. "But then some will say that is lab- oratory. testing, and what counts is reality testing. The question..be comes, for a lawyer and forensic sci- entist, whether the present state of the art in polygraph testing is such that its results should be admsible Then -there is the human --l- -'on"" Are the examiners competent? They-: should Have, says Starrs, :'a. natural bent, savotr face, rapport. fih have to be ableo; ask ypu questior;< I# You pace- them with five-second intervals, the person` doesn't.have'a chance to respond and throws the .procedure off." 04 Polygraph tests. work--every, days;- all over the country," says Weir. "I don't know if there,. has-..ever-:been any. evidence that they don't. work. The commercial-examiners-are per- forming services for corporations, and hard-headed '- businessmen wouldn't pay for them if they didn't.:, work." In the mid-1970s, before .; the' District law against their use by pri vate employers, tests were used, at. Clyde's restaurant, in Georgetown,. and thefts there were considerably reduced. Like everything else in Washing- ton, polygraphs are the victims of political cycles Take the baker and . Casey con troversy. Baker has -- claimed- that , Casey gave l im . the Carter elebate3 briefing papers,, while'Casey. h s e John Shattuck of the America Civil Liberties =Union,? an opponent s - of -polygraph' tests, ;says. "we ..do not,;- approve of he A detector being used for Jim aker, pot even for William Casejf as; we . ucai~ltl Asa prove its use on the lowest `govern: ment employes. It, violates all -their A rights." Vii, ~~,. ?, ~~t-, x~,~f- Weir says testing: Baker an Casey might work. "It is fairly re'a- 'sonable to assume that one of their, statements is not true, barring a lapse of memory," he SM., Ingraham of Maryland says he ' thinks the implications of the debate papers case are too importantTto,~rely-, on lie detectors. "The costs of `being wrong in that situation are so great,".;; he says. "The machine is just too unreliable." Raskin of Utah, who is studying. the polygraph accuracy for the Of- fice of Technology Assessment,. thinks the use is appropriate but doesn't know if the results. will. spc ` cessfully answer the remaining ques- tions. "It would depend on. how clear those issues are in their minds. If 'Baker says he is very clear, then. he' is testable." If Casey doesn't remem= ber, "that becomes problematic. I guess he could be tested ;in: relation. to the specific statements made by Baker." Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 STT Approved For Release 2005/11/28: CIA-RDP91-0090 ARTICLE ON PAGE WHJh1NU I UN NUS I 7 September 1983 13i1Z Case Intelligence Is His what Casey calls "the duesort Island's opulent north -shore, in a town.called Roslyn Harbor. It was built in 1855 and seems untouched by this century, except for two black Lincoln Town Cars,..one parked under the porte-cochere, the other under a weeping willow and flanked by large watchful men in blazers. Somewhere behind them, toward the bottom of the estate, past the sculp- ture garden and the gazebo, lies Long Island Sound. The CIA has come to West Egg, the fictional home of new money in F. Scott Fitzgerald's "The Great. Ga- tsby." If anyone gets shot in this swimming pool, however, it's not likely to be the owner, William Jo- seph Casey. He wears a faded golf shirt and plaid trousers, and wanders through a succession of rooms with 12-foot ceilings, . intricate moldings, heavy furniture, sconces with real candles, and crystal chandeliers where he has lived for 35 years in all his incarna- tions, which include lawyer, author, businessman, politician and now di- rector of central intelligence. He en- counters another security agent, this -one in slacks and blouse, in the li- brary dedicated to his Revolutionary War research. "Are they going -tolet'.:me onto that golf course?" she asks. Casey is golfing today at an exclu- sively male links, and last time there the fellows made the female agent feel unwelcome. He assures her they'll let her on, and continues on to the main library, an enclosed, paneled porch spanning the back of the ho Half lass, padded with of central intelligence, part of . another goes with the job of director of fusty Rooseveltian charm that's Teddy Roosevelt, not Franklin. But there are 'no horned heads on -these walls, just photographs of Casey on the covers,of Finance and Business Week, and in the company -ofAmer- ican Republican presidents. Someone has written dialogue into one photograph of Richard Nixon and Casey seated in the Oval Office: Nixon is telling Casey, `Bunny, tell me about Bernadette's library,",and Casey is saying, "But Mr. President, I came here to talk about the stock market Bernadette is his _ daughter-his only child. "You can tell -a lot about a man from his books," says Casey, 70, who has collected them for years. 'A hell of a lot more than you can tell from his bank account" His books deal with World War II, biography, Christian missions to the undeveloped world, ancient his- tory. The handbooks on law, finance and real estate that Casey produced as a young man, books that made him moderately wealthy, are stacked under the window. A CIA officer in coat and tie sits nearby, a notebook on his lap. Being surrounded by guards of one sort or B'y James Conaway, HE SIGN says "May- knoll"-a huge, .. somber Victorian house-at the end of a shaded drive on Long ask the questions that -Casey:l annoying when ' he -does. not find Y them infuriating. "The director will blow up". an aide has warned. "Something you ask will trigger it. He'll come up out of his chair. But it quickly passes." "The way you guys work," Casey says, blinking rapidly behind, his Yves St. Laurent spectacles, "the way the media works, they put a APP6W~4e f"R*t4fN4(JJJ38 : CIA-RDP91-00901 R000400070001-9 TA ARTICLE APPE -oved For Release 200WOMMEW-RDP91-00901 R0004 ON PAGE 17-1 5 September 1983 U.S. SAYSSPY PLANE WAS IN THE AREA OF KOREA AIRLINER But Aides Insist Soviet- Had Ample Time for Identifying the Commercial.Jet... By STEVEN R. WEISMAN SpsdaltoTLeNewYoatTimea WASHINGTON, Sept. 4 - Senior Reagan Administration! officials said today that, two hours before shooting. down a South Korean airliner off its coast, the . Soviet : Union spotted a United States reconnaissance plane in the general area and . apparently thought that both aircraft were:Ameri- can reconnaissance planes.' But White House and State Depart- ment officials insisted that whatever initial confusion might have existed, the Smith Korean plane, a 747, and the recorinaissanoe plane, an RC-135, were 1,000 miles apart. They. said the Soviet military had had ample time to discern that the plane they tracked into their airspace was a commercial jetliner. The Administration continued to main- tain that there was no way the Russians could have mistaken the identity of the plane at the time they shot It down. Congressional Leaders Briefed The new information about the epi- sode came to light today as President Reagan briefed Republican and Demo- ressional leaders at the cratic Con . g White House on the Administration's na.rssance plane. But he stressed that response to the downing of the Korean the Soviet pilots had both the means. and the time - more than an hour and p a half - to ascertain the truth. Mr. Reagan scheduled a national. The official also emphasized that the television address for Monday night at American reconnaissance plane had 8 P.M., at which he plans to disclose never ventured into Soviet territory, as, some of the actions be plans to take the Korean plane did, and that it-,re. against the Russians and some of those mained 1,000 miles away from the si'te' he plans to seek in various interne- I where the Korean plane was shot down. I tional forums. r In addition, he said that the Russians .I were aware that American recori ais. , lance planes operated routinely off the Soviet coast and that the plane's pees-", ence should not itself have represented anything unusual. Paths of 2 Planes Crossed Another official said that the paths of' the Korean airliner and the Americsn r reconaissance plane crossed in intern-.- tional waters off the Soviet coast, but, Approved For R that the 1 ,.n jevdfdc1W ffAar 0 This official say after misidentifying the Korean plane . Larry Speakes, the 'White House as a reconnaissance plane, the Rus- spokesman, said that as the Russians suns changed their identification. to - of the Senate, as well as Mr. Wright. and Representatives Thomas p,. O'Neill Jr. and Robert H. Michel, the .Her and majority deader of the Mr. Speakes said the meeting has. ... .. -"` He and others repeated the a plane, ..particularly with the visual ? of all Reagan Administration offimos and the radar information available to that the Soviet Union come forward them, when they shot it down, they with its own evidence, perhaps includ-, should have known irrefutably that it ing radio communications to shed was a civilian airliner." light on whether they had made a mis- Nevertheless, the disclosure of a sec-' take or had deliberately shot down a _ nod plane in the general area of the Ko- civilian airplane, as the United States rean jetliner, which the United States charges. says the Russians shot down before Administration officials said that all i dawn on Thursday, raised new q the roughly 55 minutes of tape of Soviet-l trans about an alread rbnfus' radio communication with the ots y would be made Pil' " public at "an rode. ate forum," most likely a Unit y At his meeting with the members.ofI tions Security Council m sche eeting Congress, Mr.-Reagan had an aide p3ay uled for Tuesday. . e ' tapes of the radio communication,;,i Penalties Likelyto BeSooght ..w Russian, of two Soviet pilots who were An Administration nffi ' said to have tracked the Korean: not to be identified, said them asid ikel ~ jetliner on Thursday in the eight., minutes before it was shot down. The p would be an effort to condemn tb translation from Russian to , Soviet Union and - aseek tio pav tion ? ash.. through various international viatiio- was provided orally during pauses , ~ organizations::- Also - being oanteisn= `~ the playing of the tapes. -initially plated is a suspension of-landing rig}-' United States had to rely oa transIk . for Aedroflot, the-Soviet airline, in for- lions made from Russian to Japanese, eign countries and of Aeroflot fligh% and then from Japanese to Fns ; - from those countries. to the Soviet. The disclosure of the presence of Union American reconnaissance plane in The President's ~ unusual Sun-&Y- general general area appeared to come almost' meeting with Congressional leaders by accident, as Administration offi- lasted two hours and 40 minutes, in:_ stead of the 90 minutes that bad beM~ dais sought later to clarify some =Nn s cheduled Also discussed in the 1 tie lion surrounding ,the description given. part of the meeting were development by the House majority leader, Jim; in the Middle East. -~ Wright of Texas, about the tape. .~- In attendance were Vice President The Administration said that the: Bush, Secretary of State George ?P., tape contained irrefutable evidence Shuiltz, Defense Secretary Caspar W? that one Soviet pilot intentionally shot Weinberger, William J. Casey, director; the plane down and that he was acting" of Central Intelligence, Attorney Gea-- p~e guidance tram a ~ in eral William French Smith, Gen. Joint . - to station. The Administration declined to W. Chiefs of St, aff ch avid id n of the Joint and. make the tape public, however. rector the d Off, of O, D ice av A. Stockman, and A senior Administration official ask- Budget, gand Robert t Management ing not to be identified, said after the special Middle East n McFarlane, t'he. sppeecial M envoy. disclosure that it was "conceivable" Also there were Senators Roward:B,. the Russians had been confused ini Baker Jr., Strom Thurmond and Rob- tially and had mistaken the South Po- ert C. Byrd, the majority leader, presi- th i li f A ri rear a e r ner or me can re=- dent pro tempore and minority leacjej- President's approach" to the downing of the Korean airliner. Moment of Silent Prayer He said Mr. Reagan had called first for a moment of silent prayer for the_ 269 people lost in the downing of #kf South Korean plane, and also for the. late Senator Henry M. Jackson;- "whose wisdom and guidance we could; use right now." Mr. Jackson, a Wasji- ington Democrat, died of a heart attack- Thursday night. - After the White House session, the - Congressional leaders told reporters im IV VAt t Mr. Rea-. Approved For Release 2005/11/28 : CIA-RDP91-00901R0004 7 RTCCLE APPEARED. i OH PAGL A--l ..2 WASHINGTON POST 3 September 1983 Canceling the new, five-year agreement to sell American grain to the Soviets was ruled out in part, officials suggested, because it would risk an outcry from American farm- ers ` and their political representa- tives. It also would contradict Rea- gan's past opposition -to the grain embargo imposed by President Car- ter against the Soviets after` their invasion of Ajgl1anistan. And it would violate uarantees in the new agreement that make it -legally dif- ficult to impose a new embargo. In addition to Shultz .and Reagan, last night's meeting was attended by 'Vice President Bush,- Secretary of Defense Caspar W. Weinberger, CIA Director William -Casey, Attorney ~ General William _ French Smith, Treasury Secretary Donald T. Regan, Office of Management and Budget Director David A. -Stockman and other top administration and White House officials.- In his statement earlier yesterday, Reagan portrayed the Soviet regime as having gone beyond the standards of civilized behavior accepted by the rest of the world. His remarks ap- peared to go further than expressing outrage about the incident, to sug- gesting that the United States might take some unspecified actions against Moscow. In rhetoric and practice, Reagan has been both harsh and conciliatory. toward the Soviets during his first 21/2 years in office. He decried So- viet-backed repression of human A Heinous Act' By David Hoffman and John M. Goshko v.ashi+ngton Po;tStat( Writers President. Reagan yesterday accused the Soviet Union of "flagrantly' lying about the-downing of a South Ko- rean airliner with 269 crew members and passengers, including at least 52 Americans, and questioned whether ,the United States can continue to talk 'with' a state whose values permit such-atrocities." In the strongest deiiunciation he -has delivered of So- viet-'behavior as -president,-'--Rea-an---suggested that'-the Soviets had gone beyond "certain irreducible standards of civilized behavior" and had violated the "tradition in the civilized world" ,of helping pilots who-are =lost or in distress Standing with his wife, Nancy, on the field, of'-the i lif i ir S h C Speakes said Reagan also empha- 'sized' that the Soviets had provided . "no . satisfactory response . . . for their outrageous conduct" and that the families. of those killed "deserve a just restitution for the loss of life." A number of U.S. officials said yesterday that they believe that Rea- -gan will find it difficult to go much ;.beyond rhetorical retaliation and :such relatively limited sanctions as ..seeking international restrictions on Soviet air traffic, placing new restric- tions on Soviet diplomatic. personnel' and putting off 'tentative plans for -talks on a new scientific and cultural on on t a orn Point Mugu Naval A tat e a coast exchange agreement and the opening.' before-returning to Washington to meet last,.night with of consulates in New York and Kiev.? National -Security.- Council, : Reagan Bread solemnly A senior' administration official -from a prepared text: z ?- traveling with Reagan said, for ex "What can be said abut Soviet?credihility when they,-- ample, "I would not look for us to so flagrantly lie about such.a heinous act? What can b-- discontinue our discussions [with the the scope of legitimate mutual discourse with a, state, Soviets on nuclear arms control] be . -whose value` permit such atrocities, and what are we: to,-, cause the stakes are too high. We make of a regime which establishes one set of standards `would not be serving our own coun for itself and-another for the rest of humankind?" An, or the world at large should we After last night's NSC meeting, an administration -of- I -gip our efforts to achieve .true arms ficial who asked not to be identified said Reagan would ' 'reduction.": probably not retaliate by imposing economic sanctions, -. - Speakes said, "Arms control is a such as canceling the new agreement to sell American . -.very important issue, probably one grain to the Soviets, or by withdrawing from arms con. of the major foreign policy emphasis trot negotiations with the Soviets. - of our administration." White House spokesman Larry Speakes told reporters State Department spokesman last ni,'r:t that the president was given a set of options John Hughes added that he was un- "t.hat focus in a measured response to this incident." aware of any plans to call off or Speakes said the options "would include various steps the postpone next week's scheduled re- U.S. government could carry out in concert with mem- ."'sumption of the U.S.=Soviet negoti- bers of the international community who share our out. ations on reducing medium-range rage at this incident." .nuclear missiles in Europe. Reagan is studying : a response "designed to assure Speakes said last night that the A here will be no recurrence of an incident of this type," a;-,,+.;a co,."o+a"v f saic tipeases. tie aaaea roar; tine president, -s cvnatucr,uK I State George P. Shultz to follow. Afghanistan. But he also cleared the options that would take "more of a through with plans to meet next way eventually for .expanded. grain positive. approach that will seek as- surances" to guarantee the safety of international air travel because cur- rent international law is "obviously" insufficient "where the Soviets are concerned." During the two-hour meeting at the White House last night, Reagan gave his advisers some direction, ac- cording to Speakes, and they will respond with recommendations by - week with 'Soviet Foreign Minister Andrei A. Gromyko in Madrid. But, sales to the Soviets, and recently Speakes said, Reagan ordered Shultz' approved the sale of pipe-laying to change the agenda of the meeting equipment built by Caterpillar Trac- to "center first" on the airline attack tor Co. for use in building the Soviet incident "and then on other topics, natural gas pipeline in Europe. specifically other violations of the international norms that. the Soviet Union has undertaken, .... " rights in Poland and the invasion of - t it witwne~ ReaQanit 1 s s~e 2005/11/28 : CIA-RDP91-00901R000400070001-9 cult with cost Ii r~ f~~..6%66 Approved For Release 2005/A9 I ABR s00901 R00 2 September 1983'." ., ASHINGTON ?Ly.NE ATTACK BY LEE BYRD President Reagan discussed with his advisers Friday night how to retaliate with a "measured response" against the Soviet Union for the "heinous act" of shooting down a South Korean jetliner and killing 269 people, including 51 Americans. The administration virtually ruled out a grain cutoff or other economic -Sanctions, officials said, but the president questioned the value of negotiating "With a state whose values permit such atrocities." At the United Nations, the United States accused the Soviet Union of "calculated, deliberate murder." Reagan, after cutting short a California vacation, closeted himself with national security advisers immediately upon his arrival. for nearly two hours. White House spokesman Larry Speakes, briefing reporters later, said the officials reviewed "a range of options that focus on a measured response to this incident." While declining to identify the measures under consideration, Speakes said they included steps that could be taken in concert with allies, as well as actions by the United States alone, aimed at assuring that "there will be no recurrence of the incredible incident of this type" and "to allow the international outrage to focus on thie misconduct of the Soviet Union in this matter." / A senior administration official indicated that economic sanctions were not being considered by the United States. Likewise, an official indicated there was little likelihood the United States would delay or pull out of arms control talks with the Soviets. These officials refused to permit use of their names. The only decision reached during Friday night's meeting, announced by Speakes, was for Shultz to proceed with plans to meet in Madrid next week with Sove Foreign Minister Andrei Gromyko. However, Speakes said Shultz's mission now was to focus on the downed aircraft and and "other violations of the international ncrms" by the Soviet Union." The Madrid meeting, of participants in the Helsinki agreements on human rights in Europe, had been scheduled to sign updating accords. Speakes did not address the point of whether Shultz might refuse.his signature and denounce the agreements, but did say the secretary would have a "reduced agenda." Speakes said the options being considered by Reagan focused on "administrative and international" steps. He did not elaborate, but said he did not expect any decisions before the president consults with congressional leaders Sunday. He said the administration also was consulting with allies. Asked if Reagan felt present international rules on international air travel are insufficient, Speakes said, "Obviously they are where the Soviets are concerned." CONTEVUEQ Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 AY-TTCLE ppE,gR proved For Relea 09 1/3??tl{gIA-RDP91-00901 ON R GE 1. September 1983 Synfuels, NoWinFuels By Doug Bandow WASHINGTON - The Synthetic Fuels Corporation is fast becoming one of the greatest pork barrels in the history ' of American politics. Al- though - none of its economically senseless projects would survive in the marketplace without subsidiza- tion, it cruises serenely ahead almost without opposition, leaving misman- agement and misconduct in its wake. The Corporati on's president, Victor Schroeder, has resigned, and the re- m inirofficers are struggling to ex- plain why they built a sauna in the ex- ecutive suite, granted 51 consulting contracts without competitive bid- ding (including one for 521,000 for a six-page memo on communications) -and have made only two project awards in three years, despite spend- ing $34.5 million for administration and hiring some 200 employees. When it was created in 1980 - with 520 billion and the promise of $68 bil- lion more - the Corporation was en- visioned as the progenitor of a vital industry, and an agency that would work its magic through loan guaran- tees that,would "cost the taxpayer lit- tle or nothing," in the words of Ed- ward Noble, the chairman. Neither the will of Congress nor the pronouncements of President Jimmy Carter,. who was waging the "moral ecuivalent of war," however, could make synthetic fuels cost-effective. Recognizing the poor economics, Exxon dropped out of what was once the nation's most ambitious project, the s5 billion Colony Shale Oil plant in Colorado, and Ashland Oil shelved plans. for a multibillion dollar coal- liquefaction plant in Kentucky. The Corporation has been forced by this bad economic news to alter its funding strategies, which is bad hews for taxpayers. Now, Mr. Noble says, the Corporation will work not so much with loan guarantees as with price guarantees, which, like agricul- rural price supports, will guarantee sales at a profit, no matter what the market price. According to the Cor- poration, these guarantees will ac- count for $7 billion to $10 billion of the total of $15 billion it will spend on syn- fuels. It plans- for now, at least- to spend the. rest in loan guarantees. What's a barrel of synthetic fuel going for these days? The Corpora- tion is guaranteeing $67, when a bar- rel of crude oil can be bought on the spot market for about M. And even in the unlikely event that the price of crude rises dramatically, the price of synfuels will rise ever higher. When oil cost $3.50 a barrel in 1973, synfuels were projected to cost $4.50 a barrel. When oil hit $17 a barrel, estimates for synfuels went to $25. The fluidity of these estimates is due partly to the optimism of the synfuel industry and partly to the fact that synfuels plants .are themselves heavy consumers of fossil fuels. Moreover; the eventual output of plants established by the Corporation will be minimal. At the time it was chartered, the Corporation was ex- pected to cultivate an industry that would produce the equivalent of 1500,000 barrels of oil a day by. 1987, and two million a day by 1992. Today, Corporation officials admit that even in the unlikely event that they suc- ceed in building every plant they hope to open by 1991, production will reach barely a third of the 1987 goal. Does it make sense, as synfuels ad- vocates claim, to spend more for the alternative fuel than for the fuel from which we want to be independent? Would we be "mortgaging our energy future" by abandoning a technology that private firms refuse to develop? Absolutely not. In fact, if we are mortgaging our energy future, it is by underwriting expensive synfuels projects rather than allowing the market to dictate investments in the alternative fuels that make the most. sense. Subsidized synthetic fuels un- dermine the competitiveness of alter- nate energies such as co-generation, wind, solar power and hydropower, while discouraging conservation ef- forts. Private firms are loath to un- derwrite alternative energy projects while the Corporation is subsidizing synfuels at the rate of $37 a barrel. There are reasons other than cost to keep the Government out of the syn- fuels business. Grovernmentsubsi- dized projects are inevitably politi- cized and often come to fruition for all the wrong reasons. The Peat Metha- nol Associated project, in North Caro- lina, which has $465 million in loan and price guarantees, and which even the Corporation's staff says is eco- nomically "unpromising," seems to survive only because it has had as in- vestors a number of influential Re- publicans, including William Casey, the Director of Central Intelligence. When asked last year what the American people had gotten for their money, Mr. Schroeder,the Corpora- tion's former president, replied "one heck of a lot of information and 1 education and understanding." If we've learned anything, it's that the Corporation benefits politicians, en- trenched bureaucrats and well-con- nected consultants and businessmen, not the public. It's time to shut it down. Doug Bandow is editor of Inquiry magazine. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400 ARTICLE ON PAGE WASHINGTON POST 1 September 1983 Capitol Punishment The Powel s That Be By Art Buchicald A group of elite Eastern establish- ment government watchers was hav- ing lunch the other day, discussing one of our favorite subjects: "Who is really in charge of U.S. foreign pol- icy?" It was of particular concern to all of us, because the odds of President Reagan's running again look better all the time. We decided to do it by process of elimination. "We know it. isn't anyone in the Stale Department," Bramhall said. "State's been out of it since Reagan moved into the White House." "Haig was fired because he tried to interfere in foreign affairs, and George Shultz usually gets his infor- mation on what the United States has clone -from The Washington Post "What about Secretary of Defense Caspar Weinberger? He's an old pal of the president and has tremendous input in foreign policy'.' -N\ e can't discount him," Healy Saki. -But I don't think lie's ivlr, Big. I briieve he is more concerned with gettin as much .military equipment as po-sil)le for the Defense Depart- ment. But he doesn't really care where we use it." "It doesn't have to be a man," Zeigfried said. "It could be a wo- man. "You mean Nancy Reagan?" necessarily, though she cer- tainly has the ear of the president, I ~;a tlli~tkin r of U.N. Ambassador Jeane-Nirkpatrick. The president is Approved very taken with all her ideas. Wouldn't it, be wild if a woman were in charge of foreign policy?" "Kirkpatrick could be the power behind the throne," Christmas said. "Yet I believe it's someone right in the White House." "What, about George Bush?" "Let's be serious, guys. When has a vice president ever had anything to say about foreign policy," Cannon said. "There's Jim Baker, Mike Deaver and Ed Meese." "They're too busy worrying about the president. getting reelected to get involved in foreign affairs. The only time they mix in is if they think a policy is going to affect votes in the United States." "Well, that , leaves the president's national security adviser William Clark. He's a hard-liner on the So- viet Union." "He's too obvious," Trenchant said. "Besides, I just have a gut feel- ing he doesn't have the smarts to conceptualize foreign policy. His strength is carrying out. orders." "But whose orders?" I asked. Everyone tried to think hard. "Bill Casey of the CIA?" Vagrant suggested. We ignored him. "Is there someone in the kitchen cabinet who could be running things?" "The kitchen cabinet doesn't, exist anymore. They all went back to Cal- ifornia after the election. Look, the foreign policy of the United States, as it stands now, is to blame the So- viets for everything, but still sell them wheat. Show American power around the world, but don't, get American soldiers involved. Give a bloody nose to Qaddafi, reward all our friends with military equipment by claiming they are not violatin human rights, stall the arms talks until we get the Pershing missiles placed in Europe, make Castro the biggest threat to worldwide peace and consult. with our allies only after we've decided to do something that they might object to. Now who is behind all that?" "This is just a crazy idea," Tren- chant said. "But could Reagan him- self .be Mr. Big?" "You mean the president of the United States?" I asked, flabber- gasted. "Why not? He's got the author- ity." Bramhall said, "Reagan doesn't know anything about foreign affairs." The thought was so mind-boggling, none of us could finish our salads. 19&3, Los Angeles Times STAT ARTICLE APPEARA proved For Release 2A9# #'? -RDP~ ON PAGE __ / September 1983 CAPITAL ALCOMMENT ^ John Sears, Reagan's cam- paign manager until he was purged by rival forces headed by Ed Meese, William Casey, and Nancy Reagan, says the President will decide not so much whether to seek a second term as whether to be "cast" in the pan. With an actor's logic, Sears says, Reagan will take a look at the script handed him-in this case, by his close associates-and if it reads well and has a happy ending, he'll take the role. The White House is writ- ing just such a script. Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400070001-9