CASEY WIDOW BEFORE GRAND JURY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP99-00418R000100050050-2
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 1
• Document Creation Date: December 22, 2016
• Document Release Date: May 11, 2012
• Sequence Number: 50
• Publication Date: March 7, 1988
• Content Type: OPEN SOURCE

Sl Declassified in Part -Sanitized Copy Approved for Release 2012/05/11 : CIA-RDP99-00418R000100050050-2
The Washington Post
The New York Times
The Washington Times
The Wall Street Journal
The Christian Science Monitor
STAT New York Daily News
Casey widow before grand jury
By LORI SANIt$
USA Today
The Chicago Tribune
Date 7 MR l I TB
WASHINGTON (UPI) The wife of former CIA Director William Casey,
whose death has confounded investigators probing the Iran-Contra
scandal, appeared Monday before the federal grand jury of independent
prosecutor Lawrence Walsh.
Sophia Casey, who had missed at least two earlier scheduled
appearances, declined comment as she went before the secret panel. She
previously has defended the late spy chief who became a center of
controversy because of his role in the clandestine U.S. sale of arms to
Iran and allegations he knew some of the profits were being diverted to
Nicaraguan Contra rebels.
Mrs. Casey was undoubtedly called in an attempt by prosecutors to
shed light on the role of her husband, who died May 6, 1987. She spent
less than an hour before the federal panel, which has been probing the
affair for more than a year.
A spokesman for Walsh, who spent the weekend in Washington with his
staff working on the case that is expected to result in criminal charges
in the caning weeks, declined comment on Mrs. Casey's appearance.
Casey, who died before Walsh's investigators had a chance to
question him about the scandal, was said by Lt. Col. Oliver North to
have known of and supported the diversion scheme, which he envisioned as
a ~~stand-alone, '' ' Off-the-shelf'' fund for covert activities, safe
from congressional review.
The diversion scheme, or "Enterprise,'' set up by North and his
operatives, had its own pilots, airfield, operatives, ship, secure
communication devices and secret Swiss bank accounts all at a time
that U.S. aid to the rebels was prohibited, and the CIA specifically
banned from taking part.
The congressional committees probing the scandal concluded that
In light of the destruction of material evidence by (former security adviser John) Poindexter and North and the death of Casynall
of the facts may never be known.-
Casey also gave false testimony to Congress, just days before the
diversion scheme was announced publicly in November 1986 and North
fired about the U.S. involvement in early arms shipments to Iran.
Also according to North, Casey devised a -fall
guy,,
North, and if necessary, Poindexter, would take the responsibility for
the covert Contra support operation and the diversion.
Casey had testified before three congressional committees probing
the Iran-Contra scandal and was scheduled for additional appearances
when he suffered a pair of minor seizures Dec. 15 at his CIA office in
Langley, Va.
Three days later he underwent brain cancer surgery and was
hospitalized until mid-February and returned to the hospital for more
treatment in mid-March.
On Feb. 2, Casey resigned as CIA chief and the job was offered to
his deputy, Robert Gates. But Gates was unable to avoid
estions
ised
by the scandal and on March 2
s
, after contentious hearing
be
fore the
Senate Intelligence OQTIMittee, Reagan withdrew Gates's name and
nominated FBI Director William Webster to head the agency.
7.
Declassified in Part - Sanitized Copy Approved for Release 2012/05/11: CIA-RDP99-00418R000100050050-2