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March 29, 1983
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Approved For Release 200f3~~4-Bi 06&11000400090002-6 , arch 1983 Viands off in Nicaragua The Reagan administration is waging more than just a propaganda war against the Sandin- ista government of Nicaragua. Central Intelli-_ gence Agency Director William Casey first out- lined the details of our involvement to the Senate Select Committee on Intelligence - on the condition that members keep the plan secret -- as far back as November 1981. Word leaked out of that closed-door session that President Reagan had endorsed a $19-million plan to de- stabilize the Sandinista government. Since then, we've seen how some of that money was spent. The Nicaraguan government has been drawn into an all-out war along its Honduran border, where the anti-Sandinista guerrillas are based. American weapons and artillery have somehow found their way into the hands of those forces. More than one Green Be- ret has been sighted in the area. Argentine intel- ligence officers report that they've been paid lavishly by the CIA to help destabilize the Nicar- aguan government. President Reagan has made no secret of the fact that he'd like to see another government in Managua: But he's kept the CIA's energetic campaign a secret for one reason - it's illegal. Last year Congress attached an amendment to the Defense Department authorization forbid- ding the administration to use funds for "mili- tart' equipment, military training or advice, or other support for military activities ... for the purpose of overthrowing the government of Nic- aragua or provoking a military exchange between Nicaragua and Honduras." Mr. Reagan has no constitutional power to declare war or wage an undeclared one. Stirring up hostilities between two neighbors in Central America is not only against our laws; it violates the United Nations' charter and the rules of the Organization of, American States. It also could bring two nations closer to the brink of their own war. Central America does not need more blood- shed - nor does it need American armed forces in a Bay-of-Pigs-style collusion with former Ni- caraguan army officers trying to reclaim their power. It ought to be possible to coexist peace- fully with the Sandinistas; but failing that, the administration has legitimate ways 'of showing its disdain for the regime in Nicaragua - through trade embargoes and restrictions on economic aid. Armed intervention in Nicaragua, - no matter how it's masked - is absolutely the wrong way to go. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23 : CIA-RDP91-00901 TTICL L: U , Ca Pc-2 NEW YORK TIMES 29 MARCH 1983 The Presidency Is Pot Watergate Government Morality Slipping? By JOHN HERBERS er. spbaW turneNew York Ttn 4William J. Casey's failure to list WASHINGTON, March 28 - The his holdings and comply with other list of Reagan Administration officials accused of ethical violations has grown quite long lately, but few of the accusations have raised the furor that similar incidents did in other recent administrations. As a result, some ob- servers of the Washington' scene are asking whether the post-Watergate morality in Government is slipping back to pre-Watergate levels. Presidential scholars and critics of the news media agree for the most part that disclosures or charges of im- propriety on the part of Presidential appointees have not been as damaging so far to President Reagan as they were to President Carter. Bert Lance's banking practices be- fore he was appointed budget director in the Carter Administration and his subsequent indictment for fraud were treate-d is the news media as a major scandal; the charges were dropped after the jury failed to agree on a ver- dict. Ha: nlton Jordan spent much of his tenure as White House chief of staff under a widely publicized charge o` y g cocaine before he was exoner- ated by a special prosecutor. Reagan supporters make the point that bo:h Mr. Lance and Mr. Jordan were intimate Carter advisers and that no such charges have been di- rected at Mr. Reagan's top aides. But allegations of conflict of interest and other wrongdoing have been much more pervasive throughout the Rea- gan Administration; Carter support- ers contend that, had they occurred under Mr. Carter, the outcry would have been louder. Recent Congressional charges that officials of the Environmental Protect tion Agency were so anxious to relieve business of Government regulation that they adopted procedures con- trary to Congressional intent is only one type of case occuring in this Ad- ministration. A sampler, drawn from the full Reagan term to date, follows: gRichard V. Allen's acceptance of $1,000 from a Japanese magazine that had been granted an interview with Nancy Reagan while Mr. Allen was Mr. Reagan's national security advis-' - disclosure regulations before he be- came Director of Central Intelligence. QWiuiam French Smith's . accept- ance of a $50,000 severance payment from a company on whose board of di- rectors he served shortly before he be- came Attorney General. gDennis E. LeBlanc's assignment as a $48,500-a-year official with the National Telecommunications and In- formation Administration when, in fact, he cleared brush and did other chores at the Reagan ranch in Califor. nia. cThomas C. Reed's serviceas spe- cial assistant to the President for na- tional security affairs despite infor. mation that he profited from inside in- formation in stock option trading in 1981. , BRobert P. Nimmo's expenditure of x54,183 to redecorate his office and the use of his Government automobile for private purposes while head of the Veterans Administration. Mr. Alien, Mr. Nimmo and Mr. Reed left the Government. The others stayed, although Mr. Smith returned the $50,000 and gave up a tax shelter that earned him credits of $176,000 on a $58,000 investment. In any event, there is a consensus that there has been a change in public reaction td big and little scandals since Mr. Reagan was inaugurated in 1981, with several reasons given for the change. Cycles of Barber of Duke University, who spe- cializes in studying the character of Presidents, says the country has trou- ble maintaining a high level of right- eous indignation for long periods of time. After World War I, fought in the name of making "the world safe for democracy," Mr. Barber said, "there was less interest in clean government and It- took a long time for the Teapot Dome scandal to come out." The Watergate scandals, in which Presi- dent Nixon and his top aides covered up a felony and corrupted much of the Government in the process, resulted in new standards of conduct for public servants, but there has been an ex- pected drop in interest in enforcing them, according to this theory. The Duck's Back. Some Presidents have a way of keeping scandal from sticking to them. Stephen Hess, a scholar at the Brookings Institution who was a member of Dwight D. Eisenhower's staff, said that Mr. Eisenhower, the last President to serve two terms, had the political knack of isolating himself from staff scandal, such as Sherman Adams's acceptance of gifts from an industrial- ist asking for White House favors. But any suggestion of scandal stuck to Jimmy Carter like flypaper, partly because he projected a self-righteous- ness than rankled journalists and partly because he portrayed himself as a President who had his fingers on every aspect of Government. Mr. Reagan, on the other hand, has been portrayed, rightly or wrongly, as a chief executive who does not know much about the details of governing. Several people interviewed said re- ports of wrongdoing in the depart- ments and agencies "roll off Reagan like water off a duck's back." The President's "good guy" image also has helped. Edwin Diamond, a senior lecturer at the Massachusetts Institute of Technology and a student of the news media, says people are tired of failed Presidents and "don't want to hear bad things about Rea- gan? But Fred Wertheimer, president of Common Cause, the public affairs lobby that instigated many post. .Watergate reforms, has a different Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/'I '1rM3MAGRMPl$1r19QJ?AR 28 March.1983 U.S. misadventure in Nicaragua? There's no denying that the nasty little conflict along the Nicaraguan-Honduran bor- der has been intensifying or that the United States has helped to orchestrate the affair. You don't have to buy the Sandinista regime's accusations; you have the word of CIA Direc- tor William J. Casey, who recently conceded in congressional testimony that his agency was indeed supplying and supporting exiled Nicaraguan rebels ia_Honduras. Casey told the House and Senate intelli- gence committees that the U.S. purpose in backing the rebels - many of them former minions of the late, unlamented Anastasio Somoza -- was not to topple the Sandinista re- gime, but to prevent its supplying weapons to leftist guerrillas in El Salvador. A week ago.as many as 2,000 rebels were air-dropped into four Nicaraguan provinces, some penetrating to within only 60 miles of the capital of Managua. On Thursday the Sandinistas announced that a Honduran force of undetermined size had made an unprece- dented incursion on Nicaraguan soil. All this to interdict weapons intended for the Salvador leftists? Come on now, Mr. Casey. Even-if one accepts Casey's motive -- blocking the Salvadoran supply line - one ought to ask one's self whether it justifies: ? Violating a sovereign nation's borders. ? Associating the United States with the ragged remnants of a discredited dictatorship. ? Sponsoring an undeclared war without the consent of the Congress, in fact in direct contravention of a House resolution passed just last December concerning our relations with Nicaragua. The CIA director's disclaimer to the con- trary, it appears likely that the Reagan administration is aiming at a military solution to its problems with the Sandinista govern. ment, an adversary Washington has only strengthened - if not shoved outright into the Soviet orbit - by 'its belligerence, The consequences of a concerted military effort to oust the Sandinistas may have es- caped the president and his advisers. What if the anti-government offensive only widens the hostilities, dragging in Honduras and possibly Cuba in a major confrontation? What if the rebels fail miserably and be. come a major embarrassment? What if this unsavory band of right-wing brigands is suc- cessful in routing the Managua leftists? None of the alternatives seems worthy of this nation's expenditure of prestige and power. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 ,kRt._r, is ON P.LGZ Approved For Release 2005/12/23 : CIA-RDP91-00901 .tr> TVr-W YORK TIN~r^,S cv 1Jxttt;n 1y03 1i on is distributed. Tlie two men said -' that a Honduran Army major took them from a refugee camp in Hon- duras to a training camp where they learned guerrilla and commando tac- tics. Then they became bodyguards for a camp commander. He met monthly in a Tegucigalpa safe house with "a gringo colonel" who handed out thousands of Honduran lempiras, according to the Guardsmen. "How did you know he was from the U.S. Army?" "Our commanders told us, they identified him as U.S. Army." The M-79 grenades, the United States-made rocket launchers, ration boxes and radio egtl pment, the ex- Guardsman's testimony, the Argen- tine defector, the dynamiter, the member of Congress - all add up to war waged by our Government under the name of intelligence. The warmaking power is the most. important power Congress has. It is still not too late to call for a declaration.. of war. If a majority of members de- cide that Nicaragua has not provided causus bell, they will vote against de-: Glaring war. Perhaps then and only then will they exert their constitu- tional power and stop the covert war. `\.Var on Nicaragua' By Saul Landau should declare war on the Govern- ment of Nicaragua and thereby pre- serve the Constitution. The United States Government is waging war against Nicaragua and has been for more than a year, but Congress has not declared war. The 1 Constitution gives -this power to Con- gress, but someone else has usurped it -and, by calling the war intelligence activity, they've gotten away with it. The "someone" is the Central Intelli- gence Agency, commanded by Presi- dent Reagan. Here is how the usurpa- tion tack place. According to a member of Congress, cn Nov. 19, 1981, William J. Casey, Di- rector of Central Intelligence, rode a lit- tie-used elevator to the fourth floor of t -.e Capitol, where the House Select Committee on Intelligence occasionally meets. Mr. Casey informed the Con- gressmen that the President had "signed on" to a $19 million covert pack- age- money now being used to destabi. lire and eventually overthrow the Nica. raga Government. Congress is now informed, Mr. Casey told the gathering, referring to the Hughes-Ryan Amendment, which the C.I.A. has interpreted to mean that Congress is "informed" as soon as the intelligence committees are told about violent covert actions. Each intelligence committee mem- ber, however, is oath-bound not to re- veal a word of what he knows, even to :I villages, and I saw many evacuating'. other House and Senate members. the war zone with their belongings That's how the war began - in A policy circles. On the ground, the players are different. Some of the ways in which Mr. Casey's $19 million budget gets spent are described in a videotape I received in the mail from an unknown sender. It contains testi- mony by an Argentine, Hector Frances, who claimed that he de. fected from Argentine Intelligence Battalion No. 601, which had posted him to Costa Rica to work with the C.I.A. to overthrow the Nicaramian Government. He says that he and other Argentine advisers were paid $3,000 a month plus lavish hotel and living expenses in Costa Rica and Honduras. He says that.on several oc- casions he carried payoff dollars -, enormous sums spent to 'maintain thousands of former members of the late Nicaraguan President Anastasio Somoza Debayle's National Guard, "feeding them and keeping the camps going." (Conversations with United States intelligence officials and an Ar- ' gentine officer have since. confirmed Mr. Frances's identity and his state- ments about the C.I.A. and Argentine roles in Nicaragua.) Further corroboration came from, William Baltodano, a Nicaraguan con- victed in January 1982 of conspiring to ' dynamite Nicaragua's oil refinery and cement plant. He met Mr. Frances in Costa Rica and they worked together on the sabotage plan. Mr. Baltodano, who spoke to me in a Managua prison, said that Argentines had given him $50,000 to buy arms and explosives. Mr. Frances's tape described the C.I.A.'s involvement in other sabo- tage operations, including one in which Argentine and C.I.A. agents ap- parently blew up a bridge near the Honduran border. I saw the bridge - and the job was done so thoroughly that the Nicaraguans still hadn't been able to repair it six months later. Mr. Reagan "signed on" to more than a property damage-plan when he gave the C.I.A. the green light. I spoke to Nicaraguan widows left with many children, and to women whose hus- bands and sons had been kidnapped and still had not returned. Peasants complained to me that shells were piled on ox carts. . In a Nicaraguan prison, two cap- tured former Guardsmen told me more about how the C.I.A.'s $19 mil- Saul Landau is a senior fellow at the Institute for Policy Studies, a Wash- ington-based research organization. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 EDWARD P. BOLAND. MASB? CNAjRh4AM CLEMENT.. Z.BLOCKL VAS, ROLIANO L MAZ20LL X-j% h GR%LAN i. MINCTA CALIF. WYD4E FOWLER. jh- GA. LEE H. NAMILTOH. lNO. ALBERT GORE, JA, TENN. LO1.n$ STOKES. ONN) DAVE McC'UROY. OK1A J. KENN#M ROBINSON, VA. G. "LL" WHMEwun7. VA. C. W. DILL YOUNG, FL? BOE STUMP, ARIZ. WILLIAM F. GOODUNG. PA TNOMAS K. LAT1M#R, STAl:s DIRECT" MtCNABL1 ONE1L CNIEF COUNSEL PATRICK G. LONG. ASbOCaATt CpUgM Approved For Release 2005/12/23: CIA-RDP91 U.S. HOUSE OF REPRESEN PERMANENT SELECT COMMITTEE ON INTELLIGENCE March 25, 1983 Honorable William Casey Director of Central Intelligence Washington, D. C. 20505 Dear Mr. Casey: Recently you brought to my attention your deep concern about proposed changes in the federal retirement system. You clearly conveyed in our discussion the great uncertainty and confusion experienced by many Agency personnel about their personal situations. In light of recent events, it is now possible for me to respond with some observations I trust will offer reassurance to serving Agency personnel. First, the FY 84 budget resolution passed by the House posits no savings associated with changes that would affect current serving ferderal employees in the Civil Service Retirement System or the CIA Retirement and Disability System. The only provision affecting such employees is a proposed 4 percent comparability increase in federal salaries. The FY 84 budget request contained no increase. Second, the House leadership, the chairman of the House Post Office and Civil Service Committee and fall agree that any consideration of changes in federal retirement systems must be considered thoroughly and deliberately. No House action on federal retirement changes is planned in 1983. Third, if changes are considered which affect either CSRS or CIARDS, I intend to insure that the needs and special circumstances of all intelligence employees are fully understood. In particular, early retirement for overseas operational service should be retained. As you will appreciate, the Senate has yet to act on a FY $4 budget resolution. I believe there is a similar hesitancy on the part of key Senators to change federal retirement policy at this time. In the event of a difference between two Houses, however, the House position on preserving the present system - particularly in the area of retirement ages - is a. strong one upon which House conferees would be :bound to insist. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/jXMjQL Q ?09a 24 March 1983 WASHINGTON -WASHINGTON BRIEFS Vice President George Bush will head a new goyernknr ng ettort aimed at stopping the flow of illegal drugs Into the United States, a senior White House official says Edwin Meese III, counselor to President Reagan, announced Wednesday that Bush would head the new National Narcotics Border Interdiction System. He said the board will be responsible for halting the importing of drugs into this country. The secretaries of state, treasury, defense and transportation, the director of the Central Intelligence Agenc9 and the director of the White House drug abuse policy office will serve on an executive board, Meese said. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23 : CIA-RDP91-00901 ASSOCIATED PRESS 23 MARCH 1983 -NBC Reports CIA Agents in Rome In Hot Water NEW YORK The Reagan administration is investigating whether the CIA station chief in Rome and two of his agents disobeyed presidential orders in connection with the investigation of the shooting of Pope John Paul II, NBC News reported Wednesday. The three, whom the network by law did not identify, raised the ire of officials in Washington because they refused to stop "descrediting" the so-called Bulgarian connection in the inquiry of the papal shooting, NBC said. Mehmet All Agca, a Turkish gunman serving a life sentence for the attempted assassination of the pope on May 13, 1'9$1, has told Italian investigators that several Bulgarians helped him plan the attack. Bulgaria has denied any involvement, as has its close ally, the Soviet Union. Quoting an unidentified key administration source, NBC said the three may be fired because they allegedly disobeyed orders issued by National Security Adviser William Clark and CIA director William Casey. In Washington, CIA spokesman Dale Peterson said "We'll have no comment until we see" the NBC report. Sen. Alfonse B'Amato, R-N.Y., said last month after a visit to Rome that he had been told the CIA was trying to block an investigation into the papal shooting. But President Reagan said at a dinner a week later that he favored a full investigation of the shooting, and Secretary of State George Shultz denied that the CIA was seeking to discourage the probe. NBC said the Rome agents may have downplayed the Bulgarian connection because they did not want attention drawn to: An alleged 'close working relationship" between them and an Italian labor leader who was arrested as a. Bulgarian spy, or The possible use of a guns and drug smuggling route between Sofia, Bulgaria, and Milan, Italy, to run CIA agents into Eastern Europe. STAT Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23 : CIA-RDP91-00901 R900400090002-6 4701 WILLARD AVENUE, CHEVY CHASE, MARYLAND 20815 656-4068 NBC Nightly News March 23, 1983 6:30 PM The Papal Plot STATION WRC-TV NBC Network Washington, DC ROGER MUDD: There's new evidence linking Bulgaria to a plot to assassinate the Pope in May 1981. According to the "New York Times," a Bulgarian official who defected to France shortly after the Pope was shot claims the Soviet intelligence agency organized the assassination attempt, and the Bulgarian Secret Service contacted Mammet Ali Agca, the man who shot the Pope. As Marvin Kalb. reports tonight, the Reagan Administre-? tion is not pleased with'the way three CIA agents in Rome are handling the Bulgarian connection. MARVIN KALB: At the U.S. Embassy in Rome, the three top CIA officials are in deep trouble. The station chief and his two deputies whom U.S. law prohibits us from identifying are the subject of a secret investigation in Washington, and they may soon be fired because, according to key Administration sources, they appear to have deliberately-disobeyed presidential orders about the Papal plot. The orders came on more then one occasion from National Security Adviser William Clark and CIA Director William Casey that the three officials in Rome were to stop discrediting the so-called Bulgarian Connection, and yet they continued, infuri- ating senior officials in the Administration. Why? Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23: CIA-RDP91-00901RO RADIO TV REPORTS, i~ 4701 VVILLARD AVENUE, CHEW CHASE, MARYLAND 20815 656-4068 NBC Nightly News STAnON WRCC-TV NBC Network March 23, 1983 6:30 PM Washington, DC The Papal Plot ROGER MUDD: There's new evidence linking Bulgaria to a plot to assassinate the Pope in May 1981. According to the "New York Times," a Bulgarian official who defected to France shortly after the Pope was shot claims the Soviet intelligence agency organized the assassination attempt, and the Bulgarian Secret Service contacted Mammet Ali Agca, the man who shot the Pope. As Marvin Kalb reports tonight, the Reagan Administre-. tion is not pleased with the way three CIA agents in Rome are handling the Bulgarian connection. MARVIN KALB: At the U.S. Embassy in Rome, the three top CIA officials are in deep trouble. The station chief and his two deputies whom U.S. law prohibits us from identifying are the subject of a secret investigation in Washington, and they may soon be fired because, according to key Administration sources, they appear to have deliberately disobeyed presidential orders about the Papal plot. The orders came on more than one occasion from National Security Adviser William Clark and CIA Director William Casey that the three officials in Rome were to stop discrediting the so-called Bulgarian Connection, and yet they continued, infuri- ating senior officials in the Administration. Why? Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 V Approved; For.Release 2005/12/23: CIA-RDP91-00901 R0004 ?'_ CHRISTIAN SCIENCE MONIT 16 MARCH 1983 `Project Democracy': Reagan tries to export the US way of governing ' By Rnsbworth M. Kidder Staff writer of The Christian Science Monitor Boston Can the United States export both bullets and ideas? As Congress chews over President Reagan's $110 million proposal for in- creased arms aid to El Salvador. America is brooding over a far larger question: how best to spread the values of democracy among developing nations. Even as it plumps for. increased military aid, the Reagan administration is weighing in with an information campaign - a two- year, $85 million plan described by officials of the United States Information Agency (USIA) as "an ambitious, long-term, posi- tive program ... to advocate the principles of democracy." Known as "Project Democracy," it gath- ers together some 44 separate proposals for seminars, institutes, publications, and fel- lowships, largely carried out by private foundations. The latest. in a string of cold- war efforts to export democracy dating at least from the Truman era, It includes: ? A $15 million grant to the Asia Foundation. gram aimed at "building respect for a sub- structure of democratic values." But so far the project has faced tough sledding on Capitol Hill. Both Secretary of State George P. Shultz and USIA director Charles Z. Wick faced hard questioning from a congressional subcommittee over its workability and over potential Central Intel- ligence Agency involvement. CIA director William Casey attended a planning meeting for the initiative in August. although admin- istration officials insist the CIA is no longer involved. But "I think it's fair to say that there's widespread skepticism," a USIA spokesman admits. The proposal has also met resistance from the academic community. "If the United States wants to propagate democ- racy, it should dolt by example," says Prof. Stanley Hoffman of Harvard's Center for In- ternational Affairs. Peter Magrath, presi- dent of the University, of Minnesota, calls the project "propaganda and hard-sell," and notes that, as a means for promoting democracy, "hard-sell doesn't work." Jeswald Salacuse, dean of the law school at Southern Methodist University, calls it "a mixed bag of things put under one label." "I don't see that there's any coherent philos- ? $1.7 million for assisting Liberia's ophy behind it," he adds. And Hampshire transition to democracy. College president Adele Simmons worries s $10.7 million to support "Centers for that the proposal's tone smacks of "cultural the Study of the US Abroad." imperialism" and "suggests that our way is ? A $5.5 million proposal to make Ameri- better than their way." can textbooks available abroad. Most scholarly criticism, however, ? A $1.1 million regional newspaper to arises out of a concern that Project Democ- serve rural populations in Honduras, Guate- racy will drain funds from the Fulbright mala, and El Salvador. programs for academic exchange - which, ? Symposiums to help build "positive at- in the eyes of many scholars, have a proven titudes toward democracy" among third- record at showcasing the values of democ- world military leaders. racy by example instead of indoctrination. In explaining Project Democracy, a Sen. Claiborne Pell (D) of Rhode Island, senior administration official close to its de- author-of the "Pell amendment" passed by velopment said that it set "a remarkable Congress last year to double the funding for new tone in our foreign policy" because it exchange programs between 1982 and 1986, involved "going up front with the advocacy insists that such exchanges must remain of democratic values." "USIA's top priority." The administration's The latest effort, be said, began with the 1984 budget proposes $84.3 million for ex- President's address last June to the British change programs - significantly less than Parliament, in which Mr. Reagan called for the $135 million which, says an aide to Sena- a major "competition of ideas and values" for Pell, is needed to meet the 1986 goal of with the Soviet Union and Its allies. doubling the exchanges. The President's address to Parliament USIA officials see Project Democracy as last summer, says this official, was "in a continuation of the Reagan administra- many ways the most important presidential bon's "Project Truth" - a counter-propa- speech since World War U" - because it ganda effort of the USIA aimed at combat- turned away from ".the policy of contain- ing Soviet "disinformation" by providing ment" of the Soviet Union and toward a pro- tiv views of roc brow Approved For Release 2005/12/23 : CIA*~g-0?9~1# , . .400`t;8-?> " _ A For Release 2,0f (1 : 61*1009fl1 R00040 to PAQZ . ; 14 MARCH 1983 Washington MMo@p@Mo After a rocky first two years, Director William Casey is impressing profes- sionals at the Central Intelligence Agency by the way he is managing the organization. The word now is that the staff, highly critical of Casey initially, would be unhappy to see him leave. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005//IATW~-00901 No more Mr. Nice Guy, Reagan By Steve Neal Chicago Tribune aides warn chief WASHINGTON Former Presi. dent Richard M. Nixon once sug- gested that Ronald Reagan was too nice a guy to make the tough deci- sions in the Oval Office. When it comes to hiring and firing people, a growing number of Reagan's political associates would agree. "The one thing I've learned is that people can get away with anything," said a Reagan adviser who asked to remain unidentified, "and Ronald Reagan won't fire anybody." The president's reluctance to fire people has long been described by friends and allies as his biggest administrative weakness. "He's a- pussycat,"-a longtime friend said. Until Anne Burford quit Wednes- day night, senior White House aides were left frustrated by Reagan's un- willingness to remove her as ad- ministrator of the Environmental Protection Agency. MOST OF THOSE same advisers have also urged Reagan to get rid of Interior Secretary James Watt and Labor Secretary Raymond Donovan, both of whom are considered major political liabilities heading into the 1984 election. ''If the President is running again," a senior administration offi- cial grumbled, "then it makes no sense to keep Donovan and Watt around." Reagan, though, is loyal to his people, especially when they are un- der attack from the media or his political critics. On }Friday, for example, Reagan scoffed at. reports that even senior members of his staff thought Bur. ford should be replaced because she had become a liability. "It might be a politica) embarrass- ment," Reagan admitted at a news conference. But. he said: "Well, I'm not that easily politically embarras- sed. When I know and have faith in the individual, I am not going to yield to the first attack and run for cover and throw somebody off the sleigh.". This is how Reagan has operated from the beginning of his presidency. In 1981, he ignored congressional pressure to dump CIA Director Wil- liam Casey for alleged securities vio- lations in his law practice. A Reagan aide, who felt that Casey should have been let go, explained that the Presi. dent owed Casey a political debt for running his 1980 campaign. LAST YEAR, Reagan stood by Donovan when the labor secretary was accused of having'links to or- ganized crime. A special prosecutor later concluded that there was insuf- ficient evidence to indict Donovan. But when two persons connected with the case were slain in mob hits, Reagan's senior aides were stunned. Reagan overruled nearly his entire senior staff in the fall of 1981 when he didn't fire Budget Director David Stockman for criticizing the ad- ministration's economic policies in an interview published in the Atlan- tic Monthly. Though Reagan was angered by Stockman's interview, he refused to accept the budget direc- tor's resignation. Watt frequently has embarrassed the White House with his ill-chosen comments, his use of public facilities for private business and his contro- versial management of the Interior Department. Reagan, however, hasn't bought the arguments of aides who think Watt should go. REAGAN DID fire Alexander M. Haig as secretary of state last sum- mer after running out of patience with his volatile behavior. Some Casey Reagan aides thought the President should have sacked Haig more than a year earlier for publicly dis- agreeing with Reagan. Richard V. Allen was forced out as, national security adviser in the wake of allegations that he had accepted a $1,000 cash payment from Japanese journalists for arranging an inter- view with Nancy Reagan. But Reagan waited more than two months before giving Allen the offi- cial word that he was no longer wanted. Reagan isn't the only president who has had trouble getting rid of people. Jimmy Carter had his Bert Lance, Dwight Eisenhower had Sher- man Adams, and Harry Truman had Harry Vaughan. All were instances in which presidents were reluctant to throw valued aides over the side when they were tarnished in political scandals. "Most presidents have tended not to be managers," said Stephen Hess of the Brookings Institution, author of "Organizing the Presidency." And, Hess concluded, Reagan's un- willingness to fire discredited aides "certainly doesn't give us any great confidence in him as a manager." Approved For Release. 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2M51A2/ v14MERQMs0Q JR0004000 11 March 1983 The Panther Pundit 'e've- Been Brainwashed, And , The CIA Asks Bi Business To HelpI the brainwashing. And tharen't hra n_ WILUAM BOARDMAN wasnea, men according to Casey's syllogism, they aren't part of the American people, either - which certainly explains a lot of corporate behavior over the years. FOR rHE vALLEY p d But the big question is, when you get right WOODSTOCK - You've been brainwashed' Yes, you have - no use trying to deny it You've been brainwashed. But you don't have to take my word for it. I'm just another victim just like you. How do I know? William Casey, director of the Central I says so, that's hotG'r_ her this week he-spoke at a luncheon for a bunch of business leaders and told them that the American people have been brainwashed on the subjects or guerrilla war in Central America and nuclear war in Europe. I heard him say it myself, when National Public Radio broadcast excerpts of the speech. But Casey wasn't just crying over spilled disinformation. No, he wants countermeasures. er ment can't teremedy the situation itself. The government is too "clumsy" to tell its story, Casey explained. The government also has a serious credibility problem, he added, without discernible irony. This is pretty amazing stuff. Not only have the American people been magically brainwashed - he didn't say by whom, though the implication was clear1 enough - but the American government, the world's largest, most powerful, and most expensive government, is helpless, even im- competent, to do anything useful to improve the mental health of its citizens. And this news comes from a cabinet member with access to the most sensitive information. I would have thought a revelation like that would have been front page news across the country - especially since the head of the CIA seems to be admitting that the government headed by the Great Communicator himself simply can't communicate well enough to be believed. Even, presumably, if it tells the truth. But Casey has a solution. He told those business leaders that he wants the private sector to get involved and tell the true story of what's at stake in Europe and ,Central America. He says business can do this through their annual reports, employee news- letters, public appearances by executives, and so on. He didn't say so, but Casey clearly implies that these business leaders aren't brain- washed, since they've been tapped'to counter own to it, which business leaders does he expect to get the; truth into the rest of us, the great brainwashed masses? Casey didn't. say in his speech, at least not in the parts I bard. So I put my well-scrubbed little brain to the task of figuring it out for myself. , The mass media obviously can't help, or we wouldn't be brainwashed in. the first place. Besides 'they're already over-committed to hyping their own subsidiary products and serving as CIA cover. The :computer industry might be a logical choice, but they're all tied up in knots assuring us their little VDTs (video display terminals) are perfectly safe for chronic exposure to their low level radiation, and certianly they couldn't possibly be responsible for the eye damage, headaches, sterilization, or miscarriages show- ing up in Canadian research. Label that more propaganda: . .Steel industry's out because it can't tell the truth about acid rain, much less deindustriali- zation, and the appropriation of capital to acquisition rather than renovation. Of course those could catch. a lot of companies, so we better not use it as a criterion. How about the oil industry, since it always has the consumer's best interests at heart and never lies about price gauging? The tobacco industry because it's tried so hard for so many years to get us to stop smoking cigarettes since they give us lung cancer? The automobile industry because. they al- ways put safety first? The chemical industry, because they never put any chemical into the environment until they know it's completely safe for human beings and every living thing? The drug industry, because they never market undertested drugs that could possibly harm anyone, not in a million years? The power industry, since they're even better than the steel people on acid rain, and they're even better than that on nuclear power?- This doesn't seem to be working. What about individual companies? Of course not counting the more than 400 corporations that have already confessed to making bribes; kickbacks, payoffs, illegal campaign contribu- tions, and the like - both at home and abroad in recent years. Of course that's a list that includes Lockheed's multi-million dollar brib- ery penetration of the Japanese government, Got~vr.~ Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 oz. but what about - picking. more or Tess -other huge corporations Who did good business randomly through my files - with the Nazis throughout World War II, with $0 Manville Corporation, for its steadfast formal permission from the U.S government suppression or denigration of .the dangers of under The Trading with the Enemy Act. The asbestos for over half a century, while it made ? same secret, sometimes tacit arrangement billions of dollars as workers, died - and now, also allowed Ford to make military cars and in sound financial condition, tries to. use the trucks for both sides; Standard Oil to provide bankruptcy laws to protect its profits from the oil for both sides, while losing fewer tankers to claims of more than 15,000 asbestos victims. Nazi U-boats; Chase Bank to handle Nazi r United Brands, a.k.a. United Fruit, for accounts in occupied Paris throughout the its devotion . to property rights in Central war; SKF to supply the Nazis. with ball Ameri,a bearings, even when the Allies were in short r Textron, the popular defense contractor, supply; and I.T.& T. to improve the accuracy, currently " making more millions slipping- of Nazi. V-1` and V-2 rockets which blitzed around the US. embargo of military aid to London, and to build Focke-Wulf fighter -bom 'Guatemala, by selling the government there hers which attacked Allied troops. commercial helicopters easily converted to Since Casey was in the Office of Strategic military use. Services (OSS) during World War II, serving r Eli Lilly, for suppressing information .on as director of economic intelligence, he must Oraflex-related deaths in Britain, when it have a pretty good idea which business leaders marketed Oraflex in the U.S. are best at counter-brainwashing. ~ r International Telephone and Telegraph But will that make us any happier thail (I. .& T) for buying a covert war against facing history without illusions? Chile's labor unions and democratically- : And besides, who does your truly world elected President Allende. And so on,. But I.T.& T. brings some old friends to- gether. Remember the good old days of Watergate, when Howard Hunt was wearing a red wig in his pursuit of an I.T.& T. flak who knew something about the company's alleged secret payoff to the Nixon people? Well, there were 34 boxes of internal I.T.& T. memos Congress wanted to see, but they were in the possession of the Securities and Exchange Commission whose chairman, William Casey, wouldn't give them up. To protect them from Congress, he turned them over to the Justice Department. But then I.T.& T. was one of a number of class brainwashing these days? The same day Casey talked to the business leaders, Fidel Castro was telling the Conference of Non= Aligned Nations that the United States was responsible for the War in Afghanistan! Not to mention black holes, the polar ice caps, dust balls, and bad breath, no doubt. Truth is not the either/or proposition the cold warriors on both sides would like to make it. Asked to choose between the adder or the scorpion, I'd just as soon not, thanks. VALLEY NEWS columnist William Board- man of Woodstock is founder of the Panther Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved Fors Release 2005/12/23: CIA-RDP91-00901R0 AE I CLE APPEA E7 ON PAGE C - }-~ WASHINGTON TIMES 11 MARCH 1983 investigation Sen:Alfonse D'Amato on a possi- bkk.-cover-up of the attempted assasination of Pope John Paul IL' Sen. Alfonse D'Amato, R-N.Y., recently returned here following a visit to i Rome as part of the Helsinki Commission. While in Rome, he discovered that information regarding the attempted assassination of Pope John Paul II was never. forwarded to investigators in Rome, even though D'Amato says he gave that information to the CIA in October 1981. This apparent negligence on'the part of the, intelligence community prompted -D'Amato to criticize publically the CIA for its handling of the matter, even suggesting that they may in fact be trying to cover up the truth for their own purposes. The senator was interviewed by Washington Times columnist John Lofton. - Q: Sen. D'Amato, you charged the CIA, which is our intelligence agency, with covering up the facts in the plot to murder the pope. What is your evidence to support this very serious allegation? A: I think what we find is a total lack of dedication in ascertaining the facts so that the public can make an informed judgment.-In addition, we . find in many instances misinforma- tion that has been given out by various intelligence sources - the kind of information that has proved to be very discouraging to the Italian govern- ment and to those charged with carry- ing out this investigation. Q: You, in effect, said that the CIA was engaging in a campaign of disinformation. What kind of disinfor- mation? A: Well, for example, when certain intelligence sources are used by the national media as their sources for indicating that Agca, and his reliabil- ity - Agca being the young irk who attempted to assassinate the pope - that he was mentally deranged and that information is attributed to an Q: Could you give us some more . specifics?... what has the CIA not done that It should have done and what would be. an example of where, in addition to what you just said, the agency has put out information that was erroneous? Why in the world they want to cover up this crime.? :. 3 A. Well, again, I don't believe that i it's the official position, I don't believe it's the position that comes from,' - let's say, CIA Director William Casey. I've spoken to the director and I am convinced of their good intentions but I think we have certain operatives in the field who have engaged in this kind of speculation with respect to the. integrity of the Italian investigation' and I could give you a number of instances. Q: You, in effect, accused Casey of at least being negligent or not pursu- ing these leads you say exist. You - also met with him. How did you get along after making that allegation? A: Well, I think that the director is doing all in his power at this time. I came away with a sense that this matter has been discussed at the highest levels. I also understand why the CIA may not want to be out front. I don't believe that it should. Q: But wasn't he ticked off at your allegations at that he basically was doing an inept job? A: Well, I think that there are people out in the field who have done a less-than-adequate job. Q: I don't understand why any CIA employee would try to cover up informa- tion dealing with what is arguably the crime of the century. A: Well, let me give you a couple of facts that I ascertained and that deeply distressed me. I found out, for example, that there was not a high priority assigned to this particular matter, that indeed, there were, for example the exportation of atomic weapons, etc., was higher, that the Libyans were higher, that the trans- fer of technical equipment was assigned a higher priority, for example. Q: Didn't I see you quoted in the newspaper as saying that there was just learned - talk about ineptness - an official at the Rome embassy - a that that information I gave to cer- 5M.26Afdi12423vb F2GlRMt-00901 R0004Q0MQ1 Ps4ere had never been there wasn't one CIA person working transmitted to ascertain the truth or intelligence source, CIA source that provokes, No. _RM" tion within the Italian intelligence community and obviously begins to on this case? Can that be true? falsehood of the information to the Tnnnlo in to fin1A in Rnn,o A: That's correct. And that is true. And, of course, now they say well, you really didn't understand what he said. That really there were seven people over there. He told me -- quote-unquote - we don't have any- one specifically assigned. All of our agents have their ears to the ground. But I think more shocking is the fact that here, at this late date, they cannot - the CIA cannot - determine whether or not Antonov, the Bulgarian who was arrested, was an agent or not. Now that is ludicrous. For us not to be able to form an opinion with respect to this Bulgarian, with respect to his activities, whether or not he was an agent? That that question would, still be in doubt is something that I find hard to believe. Q: You met with National Security _ Adviser William Clark and what did he say about all the things you've said in the press as well as here? A: I went even further with the .judge. There were certain matters which I have not revealed to the press_ - information that we were-able to gather from various... . Q: You don't want to do it here? A: Well, no, I'm afraid if I wouldn't do it before, I certainly wouldn't do it now but I did. Q: Well, that's a silly rule, Senator, I mean you. could reveal it with the others, no problem with that... You ought to be dogmatic, really. A: Let me suggest to you that there also has been an attempt to say that I've looked to capitalize on publicity with regard to this matter and I say, let's look at the record. I came into possession of information which indi- cated a possible motive back in October 1981. Q: This is when you went to Rome and met with Vatican officials? A: When I went to Rome, I met with certain Vatican officials..I did not make that information public. I did not go to the press: I did not hold a press conference. I gave that informa- tion to the CIA. And I have to admit to you, I was deeply distressed when I Approved For Release 2OQ tf i 4 Mr. Michael Lehmann Editor-in-Chief Common Sense Box 4521 Brown University Providence, RI 02912 10 ?BAR 1983 I am greatly honored that you asked me to serve on the Board of Advisors of Brown University's new publication Common Sense.;-,_ As much as I would enjoy serving as a board member, it would be inappropriate so long as I serve in a public office. I am sure that you can understand this position. Thank you again for the opportunity. I am sorry I am unable to accommodate you, but wish you all the best for the future of your publication. `t/s/ ti d i am J. Casey".; William J. Casey Director of Central Intelligence STAT STAT Sincerely, Distribution: Orig. - addressee 1 - DDCI 1 - ExDir 1 - D/OEXA 1 - DD/OEXA 1 - ER 83-0902 1 - OEXA 83-0225 Ap-provek brk se 2 '12/23: CIA-RDP91-00901R000400090002-6 1 CEW chrono. 1 - PAD hold V Approved For Release 2005/1,41g:~C fA# Dj9 %O9 9 March 1983 ;;ASINGTON AN AP NEWS ANALYSIS - WASHINGTON TODAY BY BARRY SCHWLID Americans like Canada, Pope John Paul II and keeping military spending about where it is. They don't like the Soviet Union, the Ayatollah Khomeini and they're not wild about sending U.S. troops to El Salvador. Its fact, if leftist guerrillas appeared on the verge of victory in the Central American country, only 20 percent would send troops and 11 percent weapons. Twenty-nine percent would try to negotiate and 18 percent would favor doing nothing. These findings, in a survey sponsored by the Chicago Council on Foreign Relations, suggest President Reagan and his policy-makers face a long uphill climb if they intend to stake U.S. prestige and manpower on the Salvadoran struggle. Vietnam may not be an apt comparison, but the sad J.S. experience in Southeast Asia still apparently acts as a restraint on extensions of American power overseas. And 'et, if Western Europe, japan or Poland were threatened by Soviet invasion, Americans would be far less reluctant to send U.S. troops. Sixty-five percentt would try to rescue Western Europe, 51 percent Japan, and 3i percent Poland. If the Arabs tr Ied to cut off U.S. oil, 39 per cent would favor armed :r::erventio;, or if they invaded Israel, 30 percent Would step in, even though Prime Minister Menachem Begin'S popularity slipped badly since the last poll in So, Americans by no means have retreated to pre-World War Ii isolationism. Th v are :.ar y of overseas ventures. but they are true ` ~0 long-term g CGi?lr'i i;.F+ent5 47 -_lresist Soviet eXpansion. Trey trEat the communist threat in different yr, countries i I t h varying degrees of seriousness. only in the case Cf NeXice did a maJCr4ty _ 61 percent Say that a communist victory through a peaceful election Would be a "great threat" to tiiC United .tate5. William, Casey' director of the Centra f 1 Intelligence Agency, readily acknowledges that the Reagan administration has been losing the struggle for public opinion or, El Salvador. According to Casey, Marxists in Central America have "mounted a propaganda program that has a large part of the American public brainwashed into believing that what's happening down there is just innocent peasants seeking their rights." Without commenting on the survey directly, the CIA director said "we don't know how to go out and explain what's happening, explain the situation from our viewpoint. The government is a little clumsy at that." L l 1~~~~ v~L.y Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23: CIA-RDP91 ARTICLE APPEARED ON PAGE R 2 WASHINGTON TIMES 9 MARCH 1983 SOCIETY / Steve Hamnwns Last Thursday evening, Moroc- can Ambassador Ali Bengelloun rolled out the royal red carpet for Society - recreating the scene in Rabat. The stellar guest list included former secretary of state Alex- ander M. Haig, USIA director Charles Wick, CIA director Wil- liam Casey, Secretary of Com- merce Malcolm Baldrige, President of the Export-Import Bank William Draper, and Secre- tary of the Army John 0. Marsh: Conversation was mostly apolitical, although Haig described the dinner'held last week for Admiral Hyman Rick- over (which featured Presidents Nixon, Ford and Carter) "almost like Alice in Wonderland." Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23: CIA-RDP91-00901R fi I C:JE APPEARED ON PAGECHRISTIAN SCIENCE MONITOR 9 MARCH 1983 The news briefly CIA beefs up operations in countries vital to US Washington The CIA has strengthened its intelli- gence-gathering operations to assess instability in countries vital to the US, Director William Casey said Monday. Among the countries watched are Egypt, Saudi Arabia, Pakistan, and Mexico. , The same day, the White House an- nounced guidelines making it easier for the Federal Bureau of Investigation to monitor domestic terrorist groups and political dissidents advocating vio- 4ence. The rules, which take effect this , month, would allow the FBI to rribnitor. activities of such groups even If they were inactive. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23 : CIA-RDP91-00901 PEUTER 8 MARCH 1983 .,r'+?~FFi~} I iii ,ti +iHi:.Li'i i~ %E1TER h tt IRECTR. i=i1LLiAtrf :ASE:. ?C; :r?L.f i 1L1F'j I?i1~ ~'~ ~` hii 3-tt ems ? STRENGTHENED _ITS IN-r:- L3i2Li _C" VA.+ i~- itir~r?,nrt Efr.~rf+?rr '{ O +SSES ? INSTABILITY IN COUNTRIES T S r r ! Sryiif- T iiT! ati ~~ttE I - S iAL~? s r'Y r .' } _ _ s s itf INCLUDING L G Y F T i ki Li U0 1 R i E i - r i':S s ir + + rfi+i riff : '_ ~3'?.ilrf it?i. i_.ENTti.AL AHTELLIisENCE 1-GEtf_i t ii _ :ECFIts_ LL ZaA R iCH tiff 4.+..:1CLE iti S TR ILI T i IN KE COUNTRIES?:a i}?~ DISCL SED HE INCREASED :Filt+i ACTIVITIES 'I,' REMARKS Tsi y? p 10 EE i 114 UC}F T t HE 3 AT NAL UEr ENSE t: ;:u E L U i T ! s V E X E _ s4: ir e- N R.:- K. ?ED S E F. 4E r -._.r:? r r c P. :r? + r r +r P. rr. r +artiii ChrNuE: ik THE ni"Ek=_ FOLLOWING THE !Ji _ OVERTHROW: fir THE =P AI4 OF RAH3. WHICH CAME fi= A SURFRI:E TO MANY i. s=~ 0FFIC1AL=?? L.F, E FELA111EDD FORMER PF.E IDENT CARTER AM014G OTHERS FOR THE tr_T THAT THE i_iiflTED 6 RTE: WAS ILLPR:.EFRRED FOR THE LHPH Z. r"T E i't?rr.tfsaiw Z. R S L Tt I: WOULD NOT HAPPEN TODAY i ? Cit rr4! Al i: i- iiic 'L+Eiar.EE Orr iti3T~iC SLI i 3 FALL Ti-E 4 R E= rill h ARE OF STRATEGIC SIGNIFICANCE T + i } z r th=-Ei LD a HE _=r.O:ir j COt1i? :f ED OF PEOPLE 1411 iO ~!C!?E !+L+Lt~ i EEir'tE! T V !ELF i?r;--%h E GO ER%t'1ENT AFFAIRS IN TIt'fE OF WAF. 'tF Ln"iD THE INTELL_GEIN CE iGAiHERING DUCTE + f't 'C"' WAS i . F-.GE tivtfT~iT.It~it ELiis.=i'ii~ ii Ei"iC~SLi z HE F 1 tfiitfi I iL t' '+.E~ ~?~ii=.E: OF THE LiEE 17 E:fi +.DEN THES C L,:ilif E rr;+:C iLiDA iii4Li HE SiiTE .NATIi:i+i~iL t'iOWETAF.?d F Li tit PRESSURE T LMr0 E AL"ZTERI t ?i RHO Ci+r EALK.. i INCREASE PRICE S t' _' t - ri + Vii PL I i=i'eLiC. i+ifi_i ~) 01N SAN HAVE A LOT OF POLITICAL EACKLASH~ s r =^Ir. C. ii+t i? + a rr. is n r: h Fi Li r. r n hs + + I ty = I 1. p ED i i i e _r. Fk 'r L Ft T tf ' r. i r !.it 9 $t'+. N i.+i! EP- Or OFFICERS A SIGNEL+ TO THESE COUNTRIE= HE SAID WITHOUT _ ! r ELiii::e+RAf IhiG i} hi}Li T'}'t i% .,"! HA It MADE Al POOP. SHEi~iNG IN {HL E S r i t-i R k0RLD Li_?ii%'+ i -.! r.-4Ir : r rr r. ?f iir. iV is ;~ i + ~i i : t t? ! } i r } L r i? 1 tf r . ! i Li Lr i M r +u r :+ ? rr c-: - ? LL}Lih! i!r'j.Sc.:. f : t%E LL A. r ? r ir. tlts3 w1a: Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23 : CIA-RDP91-00901 R0004000900021 i C ! i ii tlc' - l ERL TWO Fig TORS TJIE E L r . i j _ . ! 'S E #?, fi'*0 141,?:1 4t; _? ii i9L c I E iIs ?~? fin i Lrlii NOT k ~i h1.44 lStii 'HE ' f ELL ft E. ; WAS - ( i i i I 'iL r.ar + r r-. 1 i FI ?! isr 1 ~? ti t I r. Tr4si ME THAf THE FLL'htik.lt' nrt Iii ?i i. i f a.El~~ _?!?L'? INTELLIGENCE.' THE** r r i s tsar. r F O s. !:F l= :'TIli E:ELF U. _i ! THE . L?i ! _ U:1 "An~stiAt E N!". Ii E:- 114 !!':L rF.S: AI_!t: GF.E::' r1rrh!r??.c1451 ! P. Lrrnr.sa: -- r r C rlin U 111 !ri r. l 'r.LLE1_EO! A i 1E!`lrf: !4i L;G~? A f TT l E s r i r s F L r sr 3 i IN ~i:'.~ ri:E r t Z- i .6 I_ Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 V Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 CHICAGO TRIBUNE 7 March 1983 It's really Project Gobbledegook.: But the first language of Charles-Z. Wick, director-... have seen," and of one that it would "illustrate and. of the U.S. Information Agency, who would run it, is, flesh out what the symbolism is.*' gobbledegook. The foggy, foy dew of his prose; Tsongas took Wick on a tour of the minefields he about what "PD" is and isn't has left the Senate: must tread. He asked if the Central Intelligence. .Foreign Relations Committee as confused and suspi Agency is "still involved" in the program. Wick cious as when he began. ? assured him that "they will never be involved : - 'T should like to apologize for any -ambi and then volunteered that CIA Director William V have been introduced he said after eie several'. aPosey had -sat in on early discussions "because -be: . particularly befuddling passages about "coordinating 'has a very important job to do, just as you and yours the information and sensitivities ... to implement' colleagues in Congress do.'". i various communicawens and approaches to assist the Tsongas also asked about .a USIA grant of $190,000 i infrastructure of the legal,, business and religious to Ernest Lefever, the, hard-right conservative who; communities," was Reagan's doomed choice as .director of our. The members were friendly to Nick, who isa :.human rights policy. Wick said that rejecting Lefever person. of obvious good will and good nature, but' would have been "reverse McCarthyism." He none-- school was but when he :wheeled ? out some hue' ' shales, on reading about it in the paper, asked the organizational' charts that Sen. --Claris Dodd [D General Accounting Office to investigate. He hopes; Conn.] said "made Rube Goldberg look like a comb: the Probe will "evolve into nothing more than a: Pte' chip." They were supposed to lay to rest, dispute about judgment." widespread- fears that the $65 million budgeted for, 'I -don't .believe,,' -wick added, although -nobody; the, program will be used for the promotion of what:. .had suggested that it was, "that there is anything,. Sen. Paul Tsongas [D., Mass.] labeled "Project; illegal in that." Right-Wing Democracy." Sen. Nancy Kassebaum FR__ Kan_l ,;.; g an expensive scheme for promotin.,..a ? the "infrastructures of demcx~rarv~~ ,,.~ +s,.. v ____?_~, ww.v.-ba. aNY aaac^J,,?,~ __._ that someone who speaks English could explain Ma M cGrO "Project Democracy' Ronald Rea an's mur ds 1?y` w.u.vu _-"vau,.vu uer wet toe natives need Directive on Public Diplomacy" seemed particularly health care and basic education more than the: ominous. It showed an "International political Corn English lessons Project Democracy will offer. -mittee," which sounded as if its chairman would be; Sen. Charles McC.. Mathias [R., Md.] said the best: :Yuri Andropov - against whom, the whole effort is way to sell democracy Is to bring foreign students: directed. , - : here and "turn them loose" to see for themselves. "In God's name," said the usually long-suffering ! 'Project Democracy, - in its attempt to achieve a chairman, *Charles H. Percy IR., M.], "who is -really: fence is ~Pt~ Proven programs like the s inchaxge? cularly - successful Fuibright Scholarshi p , "Frankly," said Wick with becoming humility have jam, winca yielded the matchless political dividend of a "there is a lot of confusion in the government .. number of highly placed alumni who are-now running; Perhaps I should not have brought those charts with their countries. me." He insisted the charts had nothing to do with! Wick a Pro" Democra thing i reed with the senators about the impor-: J cy tance of educational exchanges. The father of the .. Dodd pointed out that right under "International Fulbrights, former Sen. William Fulbri , was invi-. Political Committee," in the lower left-hand corner, ted to the stand. In totally intelligible terms, he "Project Democracy" a eered. warned that foreign governments now contributing to Wick said, "You will have to forgive me, I didn't; -The- program will cut :their donations if it- becomes. know you were listening so carefully." part of the U.S. propaganda campaign. -"I wasn't," said Dodd. "I was looking." Wick declined Percy's offer of a shredder for his Wick obligingly referred thereafter to the charts as I charts. But Project Democracy, unless someone can "Rube Goldberg maps."' He also said he didn't think j explain it better, seems headed in that 'direction. some of the projects.s }ould be funded "in );he?way I; > VIM, U0ftft l Pion 8rnftft! , . Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 F s 901 R RAEiZ5 All Things Considered STATION WETA Radio NPR Network DATE March 7, 1983 5:00 P.M. CITY Washington, D.C. Director Casey/El Salvador SUSAN STAMBERG: CIA Director William Casey said today that Americans have been brainwashed by the Soviets and their Third World allies about events in Central America and disarma- ment in Europe. In an address to business executives here in Washington, Casey called on the private sector to help set the record straight. NPR's Alan Berlow reports. ALAN BERLOW: Casey pointed specifically to leftist gains in El Salvador, Guatemala and Honduras. He said part of the blame for the success of the Soviets and their allies has been the failure of the U.S. to counter Communist propaganda, propaganda the CIA Director said has brainwashed large numbers of Americans. DIRECTOR WILLIAM CASEY: These tiny little countries in Central America are able to mount a propaganda program, they're able to gather in Havana or Mexico City and lay out a program of propaganda that has a large part of the American public brain- washed into believing that what's happening down there is just innocent peasants seeking their rights; and do the same thing in Europe, where although the wea -- the Soviets have the weapons deployed and they've carried out their military buildup, they manage to put the West in the posture of being a threat to the peace. BERLOW: Casey's last reference was to Soviet efforts designed to stop deployment of U.S. missiles in Europe. Casey said part of the problem in dealing with Soviet propaganda has been the inability of our government officials to offer an alternative view. OFFICES IN: WASst WMS Fq" 4 K20p5/L' RRdE(*-LRD5RIAQ90'lRgMPOV00 ~)THER PRINCIPAL CITIES 470WILLARD AVENUE, CHEVY CHASE, MARYLAND 20815 656-4068 Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 CASEY: We just don't know how to talk back. We don't know how to go out and explain what's happening and explain the situation from our viewpoint. And the government is a little clumsy at that, and that's putting it quite charitably. On top of being clumsy, it doesn't have much credibility. The public is inclined to think that anything they hear from government has some hidden motive in it. BERLOW: But if the government has allowed Americans to be brainwashed by Communists, Casey believes the primary respon- sibility for countering Soviet subversion and propaganda lies not with the government, but with the private sector. CASEY: The word has to be passed through all the channels that exist, including employer communications and employee communications and stockholder communications. You have to use your judgment on it. But that's what I was referring to, that we just don't know how to contest these propaganda battle- fields. BERLOW: CIA Director William Casey. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 V Approved For Release 2 ~A Na0q 7 March 1983 WASHINGTON By DANIEL F. GILMORE EXECUTIVES President Reagan Monday thanked 770 business executives who have volunteered for government service in the event of an emergency or war, and top defense officials briefed them on national security. In a videotaped address to members of the National Executive Reserve, Reagan said the businessmen are "part of a spectrum of civil mobilization programs that we pray will never be used. Yet good judgment demands that we keep prepared. "Thanks again for your good citizenship,'' the president told the reserve group, which organized in 1955. The National Executive Reserve was founded in 1967, and the three-day meeting that began Monday at a city hotel was the group's first national conference since 1967. Now administered by the Federal Emergency Management Agency, the executive volunteers would serve in key government positions in a national emergency. Defense Secretary Caspar Weinberger, Army Secretary John Marsh and CIA Director William Casey were among top government officials who briefed the conference Monday. Other officials were scheduled to speak at later sessions. In an overall view of U.S. intelligence, Casey said the CIA has improved from a low point in the 1970s, when it lost 40 percent of its funding and 50 percent of its personnel, ''but a lot remains to be done.'' He said he is ''reasonably confident'' U.S. intelligence would be able to detect major Sovier military moves and has a ''good capability'' in the Middle East. Asked during a question period why the CIA was so ineffective in assessing the strength of the Shah of Iran's opposition just before his overthrow, Casey said: "I don't know. I wasn't there. I don't know how good the intelligence W25.11 But he said U.S. ''policy makers'' were not listening to intelligence at the time. ''Today, that doesn't happen,'' he said. ''The administration is listening.,, ;G.lZPTEU Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 r Approved For Release 2005 SCIA-RDP91-00901 R)00400090002-6 7 MARCH 1983 1-H1 GT # 3 HFCH i REUTER -- CIh DIRECTOR WILLIAM CASEY TODAY SAD SOVIET LEADER `URI HNDROPOV MUST RETAIN THE SUPPORT OF THE f'1ILITAR:Y TO STAY IN POWER. t I N ONE OF HIS RARE PUBLIC APPEARANCES, THE HEAD OF THE Cfl- k6ENTRAL INTELLIGENCE PiGE#4CY SAID THE NEW SOVIET LEADER'S .F'Q Er: TO AMEND POLICIES DEFENDS ON HIS ABILITY TO BEEP INTACT THE SUPPORT OF THE COALITION THAT PUT HIM IN POHER:: s t:t z j'ASEY SAID! THE SECURITY POLICE -- WHICH !NDRGPOW HRD iLONG HERDED -- AND THE DEFENSE MINISTRY WERE E:EHIML: THE NEW L ASCE#NDENCY TO THE PARTY CHAIRMANSHIP. 'I ! LEADER OF THE SO, IET UNION HAS A FREE HAND TO CALL THE =H=ATE AS HE WISHE=S: CASEY SAID, E MADE HIS REMARKS TO A MEETING OF THE NATIONAL DEFENSE tXECitTIV'E sE_ERVE! AN ORGANIZATION OF VOLUNTEERS WHO WOULD E:E CALLED O#r' TO HELP ,MANAGE THE FEDERAL GOVERNMENT IN TIME OF NA;., `= Dig HOT KNOW WITH MUCH CONFIDENCE WHAT TO EXPECT FROM THIS HEW LEADER)" CASEY SAID. H I LE THE -'OV I ET LEADER HAD DISCUSSED ARMS CUTS AND CONSUMER REEDS) i 1 O ER THE LONG RUN NR. #3NDROPlO WALL Pt?L1'1?ROL?E.E:Lw: f FIND IT POLITA"CALLY NECESSARY TO PLACE A HIGH PRIORITY OH ATi.?F`i1NG THE MILITARYsj` t;A ET SAID. '? r. rtitit9 16, 2 7P:i Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23: CIA-RDP91-0090' .UNITED PRESS INTERNATIONAL 7 March 1983 WASHINGTON By THOMAS FERRARO U.S. HAILS KOHL ELECTION VICTORY The Reagan administration, with a sigh of relief, Monday hailed the 'magnificent victory'' at the polls of West German Chancellor Heiatlt Kohl, a key backer of its arms policies. President Reagan told a group of conservative supporters the election Sunday was an affirmation of ''peace through strength," according to Sens. Jeremiah Denton, R-Ala., who was among those who met with the president. Vice President George Bush told a cheering conference of the Veterans of Foreign Wars that Kohl won a "magnificent victory. 11 He indicated it would bolster the U.S. position at arms talks in Geneva. CIA Director William Casey told reporters after addressing a business group that the election of Kohl's conservative coalition was ''very encouraging.'' He said it offers ''a much better climate to deal with'' than the Social Democrats, who had accused Kohl of seeking a mandate to place U.S. medium-range missiles in West Germany. The State Department said the United States looks forward to continued close relations with Kohl's government. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23: CIA-RDP91-00901R0 ASSOCIATED PRESS 7 March 1983 WASHINGTON By BARRY SCHWEID AMERICAN ATTITUDES Twenty percent of the American public would support the use of U.S. troops if leftist guerrillas appeared on the verge of victory in El Salvador, while 18 percent would favor that the United States do nothing, says a poll released Monday. Most who had an opinion on the question, 29 percent, would favor trying to negotiate a solution. And yet, a communist takeover of the Central American country through a peaceful election was viewed as a great threat to the United States by 21 percent of the Americans polled between Oct. 29 and Nov. 6, and another 43 percent agreed it would be "somewhat of a threat." These are among the findings in a survey of American attitudes on foreign policy issues, sponsored by the Chicago Council on Foreign Relations. It was conducted by the Gallup organization. CIA Director William Casey said in a speech, meanwhile, that Marxists in Central America have "mounted a propaganda program that has a large part of the American public brainwashed into believing that what's happening down there is just innocent peasants seeking their rights." Casey, addressing a conference of'private executives, acknowledged that the Reagan administration has been losing the struggle for public opinion. "We don't know how to go out and explain what's happening, explain the situation from our viewpoint," Casey said. "The government is a little clumsy at that." Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 irc F s 1 R00 RAE, IN PROGRAM CBS Evening News STATION W D V M- T V CBS Network DATE March 7, 1983 7:00 P.M. CITY Washington, D.C. Director Casey Comments on Deployment Issue DAN RATHER: Political rejoicing in West Germany. Political reappraisal in France. Those were the chief reactions today after the elections in which the right decisively pounded the left. Tom Fenton reports the results may have far-reaching effects in Western Europe, beginning with missiles and money. TOM FENTON: The results of national elections in Germany and municipal elections in France caused a wave of buying on French and German stock markets. Both elections were fought on mainly economic issues and both were defeats for the left. In France, the conservative parties that were defeated two years ago in national elections by the Socialists and Communists won over 51 percent of the votes. in Germany, the average voter saw the conservative Christian Democrats' landslide victory as a vote of confidence in Chancellor Helmut Kohl's economic policies. Business confidence in the German economy will now improve, and investment in industry is expected to pick up. Germans also hope for some improvement in the highest rate of unemployment since World War II. But the most important issue, as far as the United States is concerned, Was not the economy, but the missile controversy. Chancellor Kohl expressed his determination to go ahead with deployment of new American missiles if arms talks with the Russians fail. From Washington's point of view, this election produced the best possible result. The prospects now are for a stable and moderately conservative German government that is firmly OFFICES IN: WASMngf8Ivp FOx RT%"~095/L(#? (~ISA-RD~% 01r "09909190V0KNDA)THER PRINCIPAL CITIES Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 committed to NATO. Kohl's resounding victory will give his government the strength it may need to carry out the deployment of new American nuclear missiles in the face of domestic opposition. In Washington, the Administration was pleased. DIRECTOR WILLIAM CASEY: I think it was very encouraging. Very encouraging. I don't think -- I don't think it means all the problems with the deployment are over, though. There's still going to be a lot of problems. But I think we have a much better climate in which to deal with them. FENTON: A major problem will be the Greens, a radical new anti-nuclear group that won over five percent of the vote and 27 seats in the new Bundestag. The Greens warn they will organize strikes and demonstrations, risking their lives if necessary, to block installation of the missions. PETRA KELLY: We will try to have -- to make initiatives so that people will have more freedom to make non-violent action on the street. And we, as members of the parliament, cannot risk less than the people out on the street. FENTON: Tonight Kohl began a series of meetings with political leaders to form what should be one of the strongest and most stable governments in the Western alliance for the next four years. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Y Approved For Release 2005/12/23 : CIA-RDP91-0090 ART'xt* .- ,,,'"~" U CHICAGO TRIBUNE O PAGE ;" 6 MARCH 1983 fuel_project corn big budget Critics tenaive- [SFC], the fed%%6g, *ency intendde'`cy abolished. This is the first-of. to free the natim the whims of two stories,- by Tribune Washington' oil sheikdoms. ~: . _ ? correspondent James_O,Shea on the Weary of being vulnerable to oil- government's efforts to start -a syn-_ producing Arab `nations, Congress in thetie fuels ?industry. ,1980 authorized more than $80 billion in federal loan and price guarantees { for the SFC and tflld it to start a new Despite its' billions _in federal industry-one to convert the -nation's, guarantees, the closest thing the SFC vast oil shale and coal supplies into has to a synfuels plant is a proposal fuel to power America. : to make a gasoline-'enhancer from a. But in the 21/z years since its birth ; huge peat bog owned by Malcolm the SFC ha 't b sn WASHIN(T' jT ~Z'here' aren't created -in 1980 to lead the nation., many federal agencies- -.nowadays toward energy, independence; Js that are having a hard time "-tin awash in -money with few places to their money a ra bar" spend it.+its proponents are deter- Yet that is 1 fT appenin at mined to fund some projects soon.' . Chicago Tribune 'The U.S. Synthetic Fuels Corp een able to fund a single project. CITING SOARING plant costs and !depressed oil prices, energy compa- nies have turned their backs on the proposed subsidies. Meanwhile, the SFC, under congressional pressure to spend money before someone takes it away, has `created an "outreach" program in which SFC ping magnate. The plan is backed1-1*1 by some -prominent Republican inves- tors, including William Casey, direc- t- tor of the Central Intelligence Agen- cy- My "biggest problem with the SFC centers on what kind of criteria it's' using when it picks harebrained pro- jects like a peat plant as opposed to [a technology] that offers some po- many and throughout the United tential and would justify spending Etaxpaye taxpayers' money," said-Charles: States trying to-drum up business. theb ro ger, associate director of energy,. studies at Georgetown ,University's; Center for Strategic and Internation-`~ al Studies. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release cx.~ .. _Pll< IS ~~j . a bigger role in. central America 2005/12/23: CIA-RDP9'h.-0090 PHILADELPHIA INQUIRER 6MARCH1.983 Reagan powder --_-__.._ new look at the secret war" against By Alfonso Charily This rundown of proposals before Nicaragua because it is not achievin Inquirer N shrnsion , .eau Reagan "and high-ranking members .. its g purpose of halting the flow of WASHINGTON - The Reagan ad- of his administration was obtained nrcaraguan arms to the Salvadoran / ministration - is approaching some through interviews -with govern- rebels. "Tons and tons of munitions J crucial decisions that could widen merit officials and military -officers, - are being flown, in from Nicaragua," American involvement in the war in as well as, from the testimony of Enders told Congress. CIA Director'; El Salvador and ..in. the anti-leftist administration witnesses before con'- William Casey reportedly has pro- i essional anels - C l i r or J part of the or anywhere else in the area, sources say. Presidential review is a The new, broad review of U.S. policy in Central America is based on a determination to prevent a triumph by leftist insurgents in El Salvador - -- _ --- --- least Si million more-itr milita bald More military aid and, ibl b` =ng'Americanized,"'said Neswr rY P b y. Sanchez, deputy assistant secretary for Honduras this year for additional -some U.S. advisers for Guatemala, Ira and communications which h and additional i etd s iii i r ~ . - t O~Q ~ n ract 'the Nicaraguan surgents, which aid for Non- - away, and El Salvador is a contiguous military buildup. There now are dares, which is worried about a Nice= raeuan huildtm nn its harder " region right- at our doorstep. 1 won- about 100 US. "military advisers in . according to high-level administra- tion officials. President Reagan and his top ad- visers are in the midst of their broad- est review of US. policy in that re- gion. Informed government officials say the mayor options. before -them include: ? More aid and military advisers "for El Salvador in that nation's con tinuing war against guerrilla forces, and the bringing of more Salvadoran troops to this country for training. Last week . the . White House an- nounced that the number of advisers would be increased to the self-im- posed limit of 55. ? The assignment of American ad- visers for the first time to El Salva- dor combat zones, but with orders not to engage in the fighting. ? More money for the covert US. operation against Nicaragua, where the-Sandinista revolutionary regime is trans-shipping arms from Cuba to the-Salvadoran guerrillas. The mon- ey, supposedly for use in interrupt- ing the flow of Cuban weaponry, would'. go to the anti-Sandinista fry-,-n? fi ,htino neninet th ' Nir-nra. effort throughout entra Amer ca, ? P posed increasing the funds for the Reagan met late last week in Cali- operation, and perhaps widening its fornia with Defense Secretary Ca- scope to deal with the flow of air spar W. Weinberger and Secretary of supplies. Capitol Hill sources say he State George P. Shultz for an update may have asked to double or triple on the five-week-old review. Larry the amount of US. funds for the anti-. Speakes, White House deputy press Sandinista guerrillas. Last year the secretary, warned reporters "not .to United States spent between'S1.S mil- look for. decision" about El Salve- lion and S3 million for such aid. dor immediately. Last month. Sen. Patrick: Leahy (D..- Some administration sources said ' V t,) asked Fultz"if 'the a3rriiijifj'a " the review of U.S. policy was based ion would still comply with congres- on a determination to prevent a try- sionai restrictions on the covert op. umph by the leftist insurgents in El eration, and Shultz replied, "Yes; sir. Salvador , or anywhere in Central = without reservations." Those result-. America because of that region's lions preclude overthrowing the Nic- strategic importance to the United araguan government or provoking a States. war between Nicaragua and Honda Critics of `US: policy fear, despite : ras. -'EL SALVADOR administration denials, that the na- Last year, the administration re- tion is witnessing the birth of a new quested $61?.3 million in military Vietnam. But even some officials funds for El Savdador. but Congress who shudder at the Vietnam analogy stashed the amount to 526.3 million. say-that El' Salvador is:more impor- Weinberger. Sold Congress three rant to the United States than Viet weeks ago that $60 million more nam ever was and. that Americans should be spent to help El Salvador should be prepared to defend it from buy more ammunition, combat hell- a leftist Yakeovar.? ? - ;?._ . ? copiers and communications ear. g er "We understand the.-, n c n der how. many of us stop to consider that San Salvador is closer to Wash- ington, D.C., than is San Francisco, California." Administration aides have infor- mally nominated Kirkpatrick, San- chez, Weinberger and Clark as the hard-liners pushing for a wider U.S. military involvement in the region. ? They classify Enders and Shultz as relative moderates who agree that more military aid is needed but-that El Salvador must be encouraged or pressured into social, economic.and' political reforms in order to create a climate for reconciliation with the - left. - The specific proposals submitted for the review remain classified, but congressional documents and inter- views with.-US. officials give this.: country-by-country picture of some $ of them: ? - ; NICARAGUA Congressional sources say a maj Approved For Release 2005/12/23 : CIA-RDP91-00901R0004 LOUISVILLE COURIER-JOURNAL .4 March 1983 ' Memo', to CIA: Hush, fellows . WHEN RONALD REAGAN came to office promising to beef up the Central Intelligence Agency, a lot of folks here and abroad. assumed. that meant more covert operations - "dirty tricks." But lately the CCIA'sdirty tricks have been mostly at the expense of Reagan ad- ministration policies and assumptions. In January, -the CIA delivered to Congress' a study that "claimed the. So- ?viet economy was more self-sufficient .than those of almost all other industri- al nations. That conclusion seemed to undercut those in the administration who wanted sharp curbs on Western trade with the Russians, "such as that controversial Soviet . na al gas pipe- line to Western 'Europe. Now, according to' The New York Times, CIA analysts believe that earli- er estimates of the Soviet military buildup were exaggerated. They think the Russians have, been increasing military spending ' by only 2 percent annually since 1977, instead of the pre- viously estimated 3 to 4 percent. The Pentagon's own intelligence arm i disagrees - and no wonder. The new CIA view, if widely accepted, might cause Americans to wonder why the U. S. ' is increasing defense spending 9.5' percent this year over last -while the Russians are slowing the pace. Who's running the CIA anyway? Has 'director William Casey lost his grip, or - horror of horrors - could be be a KGB mole? Stay tuned. This one could be juicier than the mess at EPA. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 ARTY= ON FAQ; WASHINGTON TIMES l. MARCH 1983 . ARNOLD BEICEMAN Does the CIA know what it's talld" g about ":..The only experts on the Soviet and intentions and strategic weap- Union are those who sit on the PoIit- onry and over-all military effort." buro in Moscow. The rest of us have varying degrees :of ignorance:' Malcolm Tbon, former U.S.ambas- sador to the U.S.S.R . "Estimating is what pou'do.when. Intelligence Estimate Approved For Release 2005/12/23 : CIA-RDP91-00901 New York Times about the that-,have equalled U.S. accuracies, What Rosefielde has doneln abril Central Intelligence Agency -- had been estimated by American- lianttechnical andstatisticalanaly- I page-one story inyesterday's have already been achieved -- and annum!",, dently targetable re-entry-.vehicle roughly 10 percent per annum, while (MIRY)program Evenmoreimpar- theagency putthe#igurevariously` tantSovietwarheadaccuraciesthat between 2,.and 4.5 pereent'pet- I and the Soviet'arms buildup could, intelligience to be unobtainable by sis is to demostrate the inconsis-. if true, help make mincemeatof the Moscow before the mid-1989s:',- - tencies' in CIA estimates of Soviet ' Reagan administration's- defense' ?.` < How could such mis-estimates production costs, inconsistencies budget. Unnamed CIA specialists, 'have 'happened, not only: under which arise from a CIA methodol-- according to the story, claim the Democratic but also under Republi- ogy which "systematically under Soviet military spending growth rate can administrations, right up to the states technological growth and has been over-estimated for the last. present Reagan presidency? , biases the agency's estimates six years: Ellwsworth and Adelman,. who downward:' Instead of a 3-to-4 percent annual awaits a Senate vote on his nomina= Untilt resident Reagaaper'siiades` increase, corrected forinflation, the lion as Reagan's arms negotiator, the CIA to adopt his view of Soviet- growth rate "may have been no more said that the source of the problem intentions towards the U.S. and the than 2 percent," the Times reported... lies "within the bowels of the intelli- Free World, estimates of Soviet mill= It went on to say that estimating. gence bureaucracy itself." - ' tary spending will be subject to all Soviet military spending "is an inex- American intelligence "has long kinds of anti-defense propaganda. act art, based on incomplete infor- been stultified by the domination of CIA optimism about Soviet inten- matron, subjective assumptions, and a clique," which has prevented the tions leads to one kind of interpre- difficulties in translating Soviet upgrading of the National Foreign tation, Reagan's. pessimism or ruble costs into dollar values?' Assessment Center. CIA Director realism about Soviet intentions The real story about CIA's analy- William Casey has tried to do some- . demands a different kind of inter- sis and estimates branch is that it thing about it by involving himself pretationaboutSoviet armsexpendi- has had a dismal track record esti- personally in the National Intelli- tures. mating the growth of Soviet mili- gence Estimates machine. But it has Alexander Solzbenitsyn 'recently, tary power. It has systematically taken a long time to, take even the.. wrote in National Review that "We:. discounted Soviet military expen- first step. -would understand nothing about ditures. CIA analysts also were The real bombshell which could communism if we tried to compre-,., wrong in their predictions about the.. destroy-the CIA methodology for hend it on the principles of human:. stability of the shah of Iran's estimating Soviet military procure reason. The driving force of com . kingdom, right up .to the. shah's, ment expenditures has just gone off. munism, as it was devised by Marx, downfall. It is a recently published book, False is political power, power at any cost I am no ' admirer of President Science: Understanding the Soviet and without regard to human losses Carter but he was surely correct _Arms_Buildup, by..Prof.. Steven ? ,.orapeople'sphysicaldeterioration.' when he sent off a handwritten memo Rosefielde(Transaction Books, 1982) In estimating Soviet-.military to his top security advisers in 1978 published under the auspices of the _ expenditures, the CIA might be well which began: "I am not satisfied National Strategy Information' advised to base its conclusions on' with the quality of political intelli- Center. what, perhaps, we might call Sol gence:' The preface to Rosefielde's book ' zhenitsyn's Law. In an article in 1979, Robert is by Patrick Parker, who was dep- Ellsworth and Kenneth Adelman uty assistant secretary of Defense " Arnold leichman, a .Visiting', described in Fore Policy "stag _ p e lig e de Sch lar the Hoover Institution; is `Beginning in tpe 1960s," said the authors, "the CIA embarked upon a:_ consistent underestimation of the Soviet ICBM buildup, missing the. mark.hv,a wide margin::Its esti-' on the law side. In the'niid-1970s, supported by those of most military the intelligence community, under. intelligence organizations,' indicated estimated the scaleand effectiveness " that, the real value of Soviet weap-. of, the Soviet's multiple.indepen- ons production was growing'at the CIA's estimates-of Soviet weapon, expenditures were implausibily low and failed to reflect the rapid quan- titative and qualitiative improve- ments which we were seeing in Soviet weapons systems and techno- logy.'r"~"'-.tt. - _. .,t.?r?:,.. . germ ' 6 3 1 , M ea 0 :s 5k tf*ing YJpUUIW.1 1Ii4 tuber of the Consor 15 years, in estimating Soviet forces ernment service, "I discovered that tium for'the Study of Intelligence.. Approved For Release 2005/12/23 : CIA-RDP91-00901R00 ARTICLE APPEARS WASHINGTON POST ON PAGE 3 MARCH 1983 ~t,Patrck hi-,Trler~`' ''Committee Chairman Charles H em `" ''b the:;sena foreign M under'Wick&interpretation of'Pro- ations'?-Committee yesterdayy ject Democracy the Voice of Amer- Rel gan's'$8& million' "Project Democra- Department,'" which Percy said would cy" proposatl put; a propaganda amount-t tq, a "propagandising of ; stamp lmsgstanding,~ U.S:-pro VOA.", lr+A ntf i__~L _._TT_-.3j.....i......n.e~~,r.~ori acceptance by foreign "governments. "Tsa g (D-Mass )... wick acknowl how iailtural":and student; exchange Casey had participated ;in: discus- V r ~- s d '' eciucationat'~ ro - ' Wiclr denied ? that fl the -CIA' would : Committee members eard%a plea j Vick also acknowledged that as -from' the-.pan 's for cizairman, part of Project Democracy,. the"', 4h-'. -administration's : short term thmug an intermediary^`.`organiza- propagaiida~ efforts with long term ttoa tit the Inter-American Press As- overseas programs such as the stu, sociation because that group's rules . p, ' +y" This-would appear to be a rather olitical tradition - p Fulbright' noted- that 24.~foreign. indelicate attempt' to't launder: g iall - -- ., - ? - -------- .--- ..dent exchange -program that beatsx.Y "There was no thought ' whatsoever; r o-- -benefited 140,004 persons over three "Charles McC. Mathias Jr: (R-Md) dam, _ ..~,,: - pointed' out that, according to a Aithoiugl the..'ulbright exchange chart displayed by Wick-at the hear A progra`za isr riot directly tinder Pro- ing; it 'appeared that the USI transferred out of the program to set effort-in the: United States, an ap-, progra n `lindei the project' a; com-" requinng the agency.t communicate - "No 'country will support another Wick promised that would not;, only a esource" for domestic infor= -Sa tion "'.,defended -.the multifac eskea that;Wick return to the pan! the administration's attempt towage' for Project Democracy. "If you wish a war of ideas with the.Soviet Union. .. this 'program to survive, you-had bet "The ideals and values which un ter. _ -establish . some, -parameters J or' derlie_du. ational pur~ioees~ are-- -behavior. I. can see - what's going to under.attack o' by ..a %', potent Soviet -----happen- before ? it starts =-this is just . propaganda and disinformation cam.,-.. -going to be perceived.as a: propagan ~ a r da" gn," he said:" ?, ~J. .. _ tr..~a--._. :.u.-. ..:3~?. , d.~+ . pL #h~ ...:=~.r..wii~~ 0.+ sal A- Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release ?A@/AACRP91-00901 R0 2 MARCH 1983 Wick Says Justice Move Was Not A 'Credible Decision' BARTON REPPERT WASHINGTON Charles Z. Wick, director of the U.S. Information Agency, told a Senate panel Wednesday that the Justice Department's recent move to label three Canadian films as political propaganda was not a "credible decision." Wick, whose agency runs the Voice of America and other U.S. government information programs targeted abroad, said he personally would favor steps by the administration and Congress to amend the 1938 law invoked in the case. Wick's comments came at a hearing by the Senate Foreign Relations Committee. Sen. Paul E. Tsongas, D-Mass., said the Justice Department move "has not only inflamed the Canadians, it has expanded the viewership of those films probably a thousand-fold." Wick also was questioned repeatedly about whether the CIA was involved with the Reagan administration's "Project Democracy" intended to foster the growth of democratic ideals and institutions worldwide. Wick responded that "there is no CIA participation contemplated or presently included ... in Project Democracy." However, he acknowledged that CIA Director William E. Casey had been present during early discussions of the project among administration officials. "He (Casey) has been involved with a broad number of administration people discussing the overall threats that the United States faces," Wick testified. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23: CIA-RDP91-00901R0 A.l l 1 vL++F Oil PAGE WASHINGTON POST 1 NAPCH 1983 Joseph Kraft Impasse In Central Am-erica Central America poses a classic problem of U.S. diplomacy. For rea- sons deemed "moral," this country, has made commitments that. far outweigh its material stake in the area. The disparity now finds expression in a? reluctance to pony up the re- sources required to save El Salvador from left-wing guerrillas. Meanwhile there rages inside the administration a covert battle as to how commitments might safely be wound down. The objective interest of the United States in the six countries between Mexico and Panama is almost zero. Guatemala, Belize, Honduras, Nicara- gua, El Salvador and Costa Rica pro- vide no important resources. They at- tract less than half of 1 percent of American investment abroad. Unlike the Caribbean islands, they sit astride no trade routes, and they are not even a major source of immigration. The declared American interest. in the area, however, has been hyped by the last two administrations. Jimmy Carter not only joined presidents, Ford and Nixon in believing the Panama Canal was best, secured by a treaty giving the regime of Panama a stake in the local waterway.- He went beyond that to use Central America as .a backdrop for ser- mons against power politics and on he- half of human rights. His administration cheered as the Somoza regime in Nicara- gua fell apart. In its place there came to power a Marxist group, the Sandinistas. These promptly teamed up with Fidel Castro to promote the. guerrilla insur- gency in El Salvador. ' The Reagan administration made Central America its prime'testing area for holding communist expansion all over the world. It mounted a major campaign of aid to El Salvador. It issued dire warnings to the Sandinis- tas. It fostered in Honduras, Guatema- la, Costa Rica and elsewhere various threats to left-win insurgency. Willingness to pay in money or blood for those commitments, however, has been hard to find. The Congress has held down funds for El Salvador, and required the local regime to pass human rights tests every six months., The Pentagon, keen to maintain congressional support for appropriai.ions, has stringently restricted the activities of American military advisers in the area. Progress toward the declared ob- jectives. as a result, has been halting. In El Salvador; the regime succeeded in holding elections that drew a large turnout last It'larch. Hut disunity fol- Ii awed that success, and there have been repeated reports of squabbles among military commanders and atrocities by government, troops. The guerrilla forces have regained the initi- ative, and now goose a serious threat to the survival of the regime. Faced with the danger of a military collapse,' the Reagan administration became suddenly desperate to increase military and economic aid. jAt$-`:VWhite House meeting yesterday., ? the. presi- dent sounded congressional leaders about the_:possibility of using-discre- tionary authority to raise the level of aid from the $26 million budgeted last year, to the $ million the adminietxa- tion has been seeking. = But there is little.reason to believe - the extra money-will turn the-tide. For one thing, there is no sign of political renewal in. El Salvador. For another, the Sandinistas'have used the threat of foreign intervention to tighten their grip on Nicaragua. With help from Cuba, they seem. prepared to continue Viand even widen the guerrilla struggle. The obvious supplement is a big polit- ical move. Secretary of State George Shultz and the assistant secretary 'for Latin America, Tom Enders, have been edging cautiously in that direction. Abundant hints suggest that.they have in mind a regional settlement., .: One element would be a withdrawal oft. all foreign forces, including advisers from this country, but.also those from Cuba. -A second would be a limitation on arms ments--from this country Wide nets h++~~ve been cast in support of'that approad~, by Shultz and Enders. They have backed declarations favoring a regional,settlement made by Mexico, Venezuela, Colombia, Panama and Costa Rica. They have sought help from various'Ek ropean leaders, including the Socialist leader of Spain, Felipe Gonza- lez Marquez, and the pope. But the re- sponse has been less than overwhelming especially in Venezuela and Mexico, where governments experiencing eco- nWmic difficulties derive some political benefit from standing up to Washington. Moreover, the State Department has had rough going in Washington itself. A' group inside the administration--in- cluding William Casey of the Central In. / telligence Agency; the president's na- tional security adviser, William Clark; and Jeane Kirkpatrick, the ambassador to the United Nations-have equated .any fobbing off of the American com- mitment to a sellout of El Salvador. They have.obliged Shultz and Enders-to deny charges that State wants to force the regime in FA ,Salvador to accept the guerrillas in a coalition government The outcome of the.internal battle re- mains in doubt. But my sense is that Shultz faces an uphill fight.. The odds do not favor a winding down of the Amer- ican commitment. A more likely outcome is a long, drawn-out and steadily widen- ing guerrilla struggle that can oily deepen suffering in Central America. and.from-the Soviet bloc. Third, there ' would be among the countries in the region an undertaking not to interfere . in each other's affairs. Approved For Release _2005/12/23 : CIA-RDP91-00901 R000400090002-6 Approved For Release 2005/12/23 : CIA-RDP91-00901R00040 CIit 1 r.;; 1 0:0 ARMED FORCES JOURNAL INTERNATION The Failure to Defend D Weinberger and Casey Fail to Strike the Proper Military by Anthony H. Cordesman and Benjamin E Schemmer ven in the best economic cli- mate, defense must compete with other uses of public funds. In a major recession, every defense dol- lar must be shown to be necessary. This is partly a matter of efficiency and effec- tiveness: the American people must be- lieve that their tax dollars are being spent wisely. It is also, however, a mat- ter of convincing the American people that a strong defense is necessary to meet the Soviet threat. This is not simply a matter of showing that Soviet forces are increasing in size and capability, it is a matter of showing that planned US force improvements are a well judged re- sponse to the trends in the Soviet threat. For the last decade, the Secretary of Defense and the Director of Central In- telligence have published comparisons of our Administration. US and Soviet forces as part of the annu- Somewhere along the line, however, al budget cycle to support the Press- things have gone astray. As Table One dent's proposed defense budget. The De- shows, Secretary Weinberger has re- fense Secretary has explained the moved virtually all of the useful data on strategic balance, the trend in theater the balance from the Defense Depart- nuclear forces, the trend in conventional ment's two main defense policy and bud- forces, and the trends in the NATO and get statements. Even Table One under- Warsaw Pact Alliances, while the Direc- states. just how much material has been tor of Central Intelligence has published censored in FY84, or is presented in an detailed dollar cost estimates of US and inadequate or potentially misleading Soviet defense spending. form. With almost Orwellian timing, the These data have shaped the Reagan Secretary of Defense has made "1984" Administration's buildup of US forces. the year in which the truth about the The comparisons of US and Soviet balance is missing from his defense of forces have furnished the essential ratio- the nation's defense budget. nale for increased defense spending, and a critical perspective on the size of the US defense budget and the adequacy of US forces. Although many readers may not realize it, most of the statistical and graphic data that shaped the SALT II debate, and many of the qualifying words necessary to give such numbers meaning, came from the Annual Report of the Secretary of Defense and the Mili- tary Posture statement of the Joint Chiefs of Staff. Virtually all of the data on the inadequacy of US forces and de- fense expenditures that President Rea- gan campaigned on came from these sources. They underpin' every reputable work on the military balance and on US and Soviet defense expenditures. Omitting the Facts from the Secretary's FY84 Annual Report The merits of providing as much data on the balance as possible should be ob- vious to a conservative Administration which won election through its use of such data, which advocates a strong de- fense, which now faces a massive defense budget battle in the Congress, which faces an even greater battle over arms control, and which must try to persuade its allies to maintain their defense spend- ing in the face of a world recession. The Reagan Administration seemed to un- derstand this when it wrote its first se- ries of defense posture statements. It published more statistical material that its importance may not be obvious, on the balance in FY83 than any previ- but it was the only useful source of data Canceling CIA Public Reporting on the Soviet Military Budget and Activities In the Third World Secretary Weinberger has not acted alone. William Casey, the Director of Central Intelligence, has killed the CIA's annual estimate of Soviet defense spending. The Agency will no longer publish its Dollar Cost Comparison ofi Soviet and US Defense Activities, perhaps the most quoted work it has ever issued. CIA reporting will evidently be confined to the release of selected data to the Congress and press, although in a form that will lack sufficient analytic detail and backup t6 uc canvincing in Inc race of intelligent questions or criticism. Ac- cording to an official CIA spokesman, the Director has done this as part of a general policy of eliminating all public CIA reporting on military matters and Soviet forces. He has also eliminated the Agency's annual estimate of Soviet military and economic assistance to Third World countries and its reporting on the num- ber of Soviet military and economic ad- visors overseas. This information used to be published in a document entitled Communist Aid Activities in Non-Com- munist Less Developed Countries. The title of this report is so esoteric on the number of Soviet bloc and Com- munist advisors in foreign countries, the number of foreign military trained in the Soviet bloc, and the size of Soviet eco- nomic and military aid to Third World nations. Without it, there is no reliable source of data on the number of Cuban, Soviet, East German, or PRC military in nations like South Yemen or Ethiopia or on the intensity of the Soviet effort to target given Third World nations. The same CIA spokesman made it clear that the Director's new policy ap- plies to far more than these two periodi- cals. When asked whether the CIA would issue any further statistical or an- alytic data of any kind on threat military forces, he replied, "Nothing." Some lower-level CIA staff have raised some more serious issues. Al- though there is no way of confirming their views, some feel that the reporting on Soviet defense may have been elimi- nated because it disclosed serious analyt- ic problems and uncertainties in the CIA effort in this area. One CIA analyst also raised the issue of whether the report on Soviet expenditures was being dropped because it would disclose a leveling out or drop in the rate of growth in Soviet defense spending and equipment produc- tion over the last two years, although he noted that this conclusion was "contro- STAT versial" and scarcely reduced the ratio- nale for increases in the US defense bud- get. Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400010002-6