CIA Out of Control

Russ Baker
Village Voice, Sept. 10, 1991

EXCERPT...

Dellums press secretary Max Miller says the representative from
Berkeley, together with majority whip David Bonior--another
outspoken liberal--made an agreement with Speaker Thomas Foley to
maintain a low profile in return for gaining seats on the committee.
After one full round of legislation and briefings, Miller says,
Dellums will be heard from. "They wanted to find out as much as
they could before speaking out." Meanwhile, the energetic Oliver
North, in his role as president of something called the Freedom
Alliance, has launched a campaign to collect a million Dump Dellums
signatures. He calls Dellums "a pro-Marxist, antidefense radical,"
who would be a threat on the "supersensitive" committee. Putting
Dellums on the panel, North says, was an "extremely reckless and
very dangerous appointment."

And those who make trouble get trouble. Reports and rumors that
the apparatus pokes into the personal lives of members of Congress
underlines the danger of investigating national security agencies.
"There's a little bit of fear that if you do go after the
intelligence community, your career is threatened," says McGehee,
author of "Deadly Deceits: My 25 years in the CIA." Even the
complacent Senate intelligence committee chair David Boren has
reason to worry. According to the "Voice"'s Doug Ireland (see Press
Clips, May 28), Boren faced a vicious primary battle in his first
senatorial campaign, during which his opponents accused him of being
a homosexual. At a press conference, Boren swore on a white Bible
that he was not. "It would therefore be utterly churlish," Ireland
wrote, "to speculate on whether or not the Company has a file on the
state of its tamed watchdog's libido." Since then, Boren has called
Robert Gates "one of the most candid people we've ever dealt with."

Leading congressional critics of the CIA have been defeated,
despite their long, distinguished careers in Washington and
Congress's nearly foolproof 98 per cent reelection rate. Both Otis
Pike and Frank Church were defeated soon after chairing their
precedent-setting '70s hearings. Pike's report had been so
incendiary that Congress voted not to release it before the White
House had a chance to censor the document. (It was ultimately
leaked to and published by the "Voice.&quot Pike's committee staff
director had been warned by the CIA special counsel, "Pike will pay
for this, you wait and see--we'll destroy him for this," according
to "The New York Times." Also defeated were outspoken senators Dick
Clark, Birch Bayh, and Harold Hughes. Foreign money--possibly South
African--is believed to have financed the defeat of Clark, a vocal
critic of the CIA and U.S. ties with South Africa.

Challenging the CIA also means trying to rein in dictatorial
tendencies that naturally accrue to the occupant of the Oval Office.
"Every president of the United States, no matter what he says before
he becomes president, about how he's going to clean things up," says
Marchetti, "once he gets in there and finds out that's *his* agency,
that's *his* intelligence community, hey, all bets are off."

One man who told the truth blew his chance to become CIA
director, thanks to "reformer" Jimmy Carter. Hank Knoche, acting
director following Bush's retirement, had been called down to a
Senate committee. "The chairman was complaining that `we just don't
know what's really going on,'" says Marchetti, who was privy to the
details of the incident. "They asked [Knoche] about covert action
operations: `Do we know all the stuff that's going on? Could you
tell us more about them?'" Asked to reveal the 10 largest ongoing
operations, Knoche offered to name a few of the lesser ones, despite
urgings from his aide that he keep his mouth shut. President Carter
reportedly heard about it, and was none too happy. Instead of
Knoche, the odds-on favorite for the slot, he named intelligence
novice and old Naval Academy chum Admiral Stansfield Turner. "Hank
learned his lesson that day," says Marchetti.

CONTINUED...

https://groups.google.com/forum/?fromgroups=#!topic/alt.conspiracy/G8CP9pwqjvU

Ronald Reagan: Efraín Ríos Montt is “totally dedicated to democracy”

by COREY ROBIN on MAY 11, 2013
Crooked Timber

So much of the discourse around the US and genocide focuses on the sin of omission, the failure of the US to prevent or stop genocide elsewhere. Now that former Guatemalan dictator Efraín Ríos Montt has been found guilty of genocide and sentenced to 80 years in prison—a fact established by a UN truth commission in 1997 but often ignored in the literature on genocide and intervention, which tends to focus on Rwanda and Bosnia—perhaps we can attend to the sin of commission. For the US support for Rios Montt was extensive. I wrote about just a little of it in the London Review of Books in 2004:

On 5 December 1982, Ronald Reagan met the Guatemalan president, Efraín Ríos Montt, in Honduras. It was a useful meeting for Reagan. ‘Well, I learned a lot,’ he told reporters on Air Force One. ‘You’d be surprised. They’re all individual countries.’ It was also a useful meeting for Ríos Montt. Reagan declared him ‘a man of great personal integrity . . . totally dedicated to democracy’, and claimed that the Guatemalan strongman was getting ‘a bum rap’ from human rights organisations for his military’s campaign against leftist guerrillas. The next day, one of Guatemala’s elite platoons entered a jungle village called Las Dos Erres and killed 162 of its inhabitants, 67 of them children. Soldiers grabbed babies and toddlers by their legs, swung them in the air, and smashed their heads against a wall. Older children and adults were forced to kneel at the edge of a well, where a single blow from a sledgehammer sent them plummeting below. The platoon then raped a selection of women and girls it had saved for last, pummelling their stomachs in order to force the pregnant among them to miscarry. They tossed the women into the well and filled it with dirt, burying an unlucky few alive. The only traces of the bodies later visitors would find were blood on the walls and placentas and umbilical cords on the ground.

SOURCE w LINKS: http://crookedtimber.org/2013/05/11/ronald-reagan-efrain-rios-montt-is-totally-dedicated-to-democracy/

On My Mind

Tax Offshore Wealth Sitting In First World Banks

James S. Henry
07.01.10, 09:00 AM EDT
Forbes Magazine dated July 19, 2010

Let's tax offshore private wealth.

How can we get the world's wealthiest scoundrels--arms dealers, dictators, drug barons, tax evaders--to help us pay for the soaring costs of deficits, disaster relief, climate change and development? Simple: Levy a modest withholding tax on untaxed private offshore loot.

Many aboveground economies around the world are struggling, but the economic underground is booming. By my estimate, there is $15 trillion to $20 trillion in private wealth sitting offshore in bank accounts, brokerage accounts and hedge fund portfolios, completely untaxed.

SNIP...

This wealth is concentrated. Nearly half of it is owned by 91,000 people--0.001% of the world's population. Ninety-five percent is owned by the planet's wealthiest 10 million people.

SNIP...

Is it feasible? Yes. The majority of offshore wealth is managed by 50 banks. As of September 2009 these banks accounted for $10.8 trillion of offshore assets--72% of the industry's total. The busiest 10 of them manage 40%.

CONTINUED....

http://www.forbes.com/forbes/2010/0719/opinions-taxation-tax-havens-banking-on-my-mind.html

Penny Pritzker's Commerce (Part Two)

Rick Perlstein
The Nation on May 6, 2013 - 2:12 PM ET

Did you know that in the early 1970s, the Internal Revenue Service investigated the Pritzker family, whose scion Penny Pritzker has just been tapped by President Obama to become Secretary of Commerce, because their Hyatt Corporation was paying no taxes? And that in the course of the inquiry, an IRS statement quoted an informant with access to the records of the offshore bank where they hid their assets that the family, “through their Hyatt Corporation, received their initial backing from organized crime”?

Did you know that this particular financial institution, Castle Bank & Trust of the Bahamas, was founded by a veteran of the wartime spy agency the Office of Strategic Services who specialized in creating front organizations for the CIA, and helped launder funds for attempts to overthrow Fidel Castro? That Castle operated by arranging for a Miami bank controlled by associates of mobster Meyer Lansky to accept the original deposits, which it then passed on to Castle with only code numbers, but not names, attached?

Did you know that the IRS dropped a major investigation of Castle in 1977, according to The Wall Street Journal, at the behest of the Central Intelligence Agency?

And did you know one of the bank’s cofounders, the late Burton Kanter, was on the board of the Hyatt Hotels Corporation, and that—as The Kansas City Times discovered in a 1982 Pulitzer Prize–winning investigation following the collapse of a shoddily constructed skywalk that killed 114 at a Hyatt in 1981—the Pritzkers were Castle Bank’s largest depositors?

CONTINUED...

http://www.thenation.com/blog/174197/penny-pritzkers-commerce-part-two#

Down the Corporate Rabbit Hole

Obama in Plunderland

by NORMAN SOLOMON
CounterPunch, May 9, 2013

EXCERPT...

A more blunt assessment came from journalist Dennis Bernstein: “Her pioneering sub-prime operations, out of Superior Bank in Chicago, specifically targeted poor and working class people of color across the country. She ended up crashing Superior for a billion-dollar cost to taxpayers, and creating a personal tragedy for the 1,400 people who lost their savings when the bank failed.” Pritzker, whose family controls Hyatt Regency Hotels, has a vile anti-union record.

SNIP...

The choice of Penny Pritzker to run the Commerce Department is a matched set with the simultaneous pick of Tom Wheeler — another mega-fundraiser for candidate Obama — to chair the Federal Communications Commission.

SNIP...

But with countless billions of dollars at stake, the corporate fix was in. As Johnson pointed out, “Wheeler’s background is as a trade association representative for companies appearing before the Commission, a lobbyist in Congress for other FCC customers, and a venture capitalist investing in and profiting from others whose requests he’ll have to pass on. He has no record, of which I am aware, of challenging corporate abuse of power on behalf of consumers and the poor.”

SNIP...

Obama’s recent appointment of Wall Street insider Mary Jo White as SEC chair is playing out in predictable fashion. Days ago, in an editorial, the New York Times faulted her role in an SEC decision on regulating the huge derivatives market: “Last week, in her first commission vote, Ms. White led the commissioners in approving a proposal that, if finalized, could leave investors and taxpayers exposed to the ravages of reckless bank trading.”

CONTINUED...

http://www.counterpunch.org/2013/05/09/obama-in-plunderland/

Greenberg Traurig law firm at the center of ‘political intelligence’ case

By Jia Lynn Yang and Jerry Markon
The Washington Post, Published: May 6

A lobbyist hears from “very credible sources” that the White House is going to reverse a major health-care proposal. He tells a client in an e-mail, and that person then tells his own clients in a research note.

It sounds like the game of telephone that lobbyists, government officials and even reporters are drawn into every day in Washington. Except in this case, the chain of information may have triggered a spike in trades on Wall Street — and has now led to a government investigation into possible insider trading.

How the lobbyist, who works at the law firm Greenberg Traurig, stepped into this morass offers a window into what has become a routine and profitable practice at law firms and lobbying shops: In addition to their usual work, lobbyists share with financial firms the latest political tidbits they are gathering from sources, sending an e-mail here and there with the latest “political intelligence.” The financial firms value the information because it can inform their investments.

Recent attention has focused on a new breed of companies that offer political intelligence exclusively for investor clients, but some of the country’s most prominent law firms have gotten into the business, too.

The latest investigation has put an unwelcome spotlight on Greenberg Traurig, one of the country’s biggest law firms — and also known for having weathered the controversy surrounding one of its top lobbyists, Jack Abramoff, who was sentenced to prison for his part in a wide-ranging corruption scandal in 2006.

CONTINUED...

http://www.washingtonpost.com/business/economy/greenberg-traurig-law-firm-at-the-center-of-political-intelligence-case/2013/05/06/7e0b01fa-b437-11e2-bbf2-a6f9e9d79e19_singlePage.html?tid=obinsite

How ‘political intelligence’ can come from Congress itself

By Jia Lynn Yang, Tom Hamburger and Dina ElBoghdady
The Washington Post, Published: May 6, 2013

EXCERPT...

“Political intelligence” firms — companies that sell their analysis of federal actions to investors — have drawn much of the scrutiny from lawmakers and investigators worried about potential insider trading. Last month, federal regulators issued subpoenas to the law firm Greenberg Traurig and an analyst at the brokerage firm Height Securities in connection with another spike in trading that occurred after information was shared about the government’s health-care decision.

But it is not just boutique firms and lobbyists offering political intelligence. Congress itself has become a source of sophisticated political analysis for investors, for whom every nugget of exclusive information can translate to millions of dollars in profit.

SNIP...

Insider-trading laws dictate that information that’s “material” and not public has to be treated with the utmost care. The Stock Act, passed last year, makes explicit that members of Congress, their staff members and government officials must treat certain information as confidential.

Yet there is a whole gray area of information — call it analysis — that is not easy to judge. Lobbyists with close ties to former colleagues on the Hill, or congressional staffers themselves, can sometimes offer their best sense of what is happening in Washington, offering to investors a composite of what they are hearing from various sources.

CONTINUED...

http://www.washingtonpost.com/business/economy/how-political-intelligence-can-come-from-congress-itself/2013/05/06/a2998e4c-b68a-11e2-b94c-b684dda07add_story.html?hpid=z1