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December 20, 2016
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March 23, 2007
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August 2, 1981
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Approved For Release 2007/03/23: CIA-RDP99-00498R0002000299G; 2 ART TCLE APPEARED ON ?Act David Wise ho :.=s THE WASHINGTON POST 2 August 1981 0 11 H_, Controll the CIA, ens o~ ~ e'01d Doyse William J. Casey has survived as CIA director, at least for the moment, but, the wrong conclusions will probably be drawn from the Senate investigation of his activities and the pratfall from power of.his spy-. master, Max Hugel. The moral of the story, some will assume, is that the CIA should be left' to the professionals. That, of- course, is precisely what the?powerful'network of Old i oys, both inside and outside the CIA, would like the public to think. The intelligence professionals, the ca- spies, prefer to regard "the agency" as their pri- reer vate preserve. Outsiders are poachers. ? - While the controversy may have appeared on the surface to be a struggle between the Senate intelli- gence committee and Casey, the real struggle was over who will control the CIA. Arrayed on one side were Casey and the president, who gingerly sup- ported his CIA director. On the other side were the Old Boys, the present and former CIA professionals, and their allies on Capitol Hill. . . It was an old battle played out again with a new cast of characters. Back in 1965, President Lyndon Johnson appointed Adm. William F. Raborn Jr., the man responsible for the development of the Polaris missile, as CIA chief.. The Old Boys were annoyed. Within weeks, stories found their way into print re- porting that at CIA meetings Raborn was a muddle of confusion, "so unlettered, in international politics," as : Newsweek put it, "that he could- not pronounce 'or even remember the names of some foreign capitals and chiefs of state." Six months later,.Raborn was out ? as CIA director. With the admiral piped ashore, John- son named a professional, Richard Helms, to the post. Besides Raborn and Casey, at least two other out- siders who served as CIA directors. were targeted by the professionals. President Nixon named James A. Schlesinger to the job in 1973. Schlesinger fired a' number of Old Boys, 'arousing much ire within-the agency. Under Jimmy Carter; Adm. Stanfield Turner managed to survive as CIA chief, but many old agency hands refer to him mockingly as "the Admiral." The current flap had its unobtrusive beginnings late in March when Casey quietly moved John McMahon out as deputy director for operations (the CIA's covert side) to head intelligence and analysis. Then, on'May 11, Casey tapped Hugel, who had worked with him in the Reagan campaign, to be the DDO. Only four days later, on May 15, Cord Meyer, the covert-operator-turned-columnist, surfaced Hugel's name, revealing the appointment of "a rank-ama- teur" to head the agency's cloak-and-dagger direc- torate-The drama had begun... Two brothers, forrimer business. assoeiates. of- the Brooklyn-born Hugel, went to The Washington Post. On July 14, within hours of the newspaper's publica- tion of charges of improper or illegal business activities by Hugel, he 'had resigned... There were- those who ]argued, albeit not seriously, that the disclosures only pioved Hugel's superior qualifications for the job. Ac- cording to the Hugel tapes and other revelations in The Post, the spymaster had threatened to kill a law-. yer who got in his way, warned his business associate + that he would hang him by the testicles and admitted (in-his unpublished autobiography) that he was a liar, informer and a bunko artist. To top it all, he beat the CIA lie detector. What finer background could any- one have to head the CIA's dirty tricks division? But Hugel went quickly down the tube. Perhaps; one anonymous White House official 'speculated, with some help from 'former intelligence officials." Whether anyone, inside or outside the CIA greased the ways for Hugel's fall, remains, like so much i about the agency, clouded in mists. But it is very clear that Casey's appointment of Hugel, a one-time sewing machine manufacturer, rankled the CIA pro-. fessionals like nothing in recent memory. From the tree-shaded lanes of Langley to the Fed- eral-style homes of Georgetown, the sputtering could be heard wherever old spooks gathered. It was as though a busboy had suddenly been made a Mem- ber of the Club. Unheard of? On the very day that Hugel-resigned, stories mys- teriously surfaced noting that a federal judge-two months earlier on May 19---had ruled that Casey.' and-others had "omitted and misrepresented facts'; to investors in Multiponics, Inc., a company that- owned farm acreage in the South. In succeeding days, Casey's image came to resemble nothing so much as a series of ducks in a carnival shooting gal-, lery. One duck carried a sign reading "Multiponics.'." Others read "Vesco," "ITT," or had similar labels of;{{ cases in which the.CIA director's name had figured i in the past. No sooner would one d uck be shot down than another would pop up. ? . Casey had concealed a $10,000 gift, said Vone story. Casey had links to a New Jersey garbage man who might have links to the Mafia, said an- other. Soon Barry Goldwater and other influential . Republicans were calling for Casey's resignation. In the midst of it all, Samuel and Thomas McNeil, Hugel's accusers, vanished.