INSIGHT on the News Online insightmag.com
Vol. 15, No. 41 -- November 8, 1999 Published Date October 15, 1999, in Washington, D.C. Red-Handed Lies By J. Michael Waller
insightmag.com
From the beginning, the Clinton administration was well aware of the Russian government's involvement with organized crime but punished those who dared point it out.
We pretend to work and they pretend to pay us," went the old Soviet joke. Now it's "You pretend to reform and we pretend to believe you," says former senator Bill Bradley, a longtime critic of the Clinton administration's Russia policy and Democratic presidential challenger to Vice President Al Gore. "A more honest U.S. policy is essential." . . . . With Bradley calling for more honesty -- a code phrase for fewer lies --the press also has begun to snipe at White House policy toward Russia. "Determinedly blind," said the National Journal. "Na‹ve," asserted the Washington Post. "Misguided," according to the Wall Street Journal. "A charade," declared the New York Times. . . . . The Bank of New York money-laundering scandal is snowballing. More revelations by newly retired officials, criminal investigations from Moscow to Switzerland to London to Manhattan, a set of congressional hearings and a revisiting of old press reports show an emerging pattern: From its first days in office more than six years ago, the Clinton administration systematically tried to suppress the truth about the sorry progress of reform in Russia. . . . . California Republican Rep. Tom Campbell, a longtime and earnest defender of the Clinton administration's Russia policy, sat bug-eyed at an Oct. 6 House International Relations Committee hearing on how the administration ignored warnings and dissent. He was one of the few members who listened to all the expert testimony. But not everyone on Capitol Hill is surprised. . . . . "It's a pattern I've witnessed since Clinton took over," says Rep. Curt Weldon, the Pennsylvania Republican who chairs the House Armed Services subcommittee on Military Research and Development, to which government whistle-blowers have gone with their stories. As distinct from the phlegmatic GOP leadership, Weldon has been on this issue for years while other Republican chiefs were brushing off such concerns and giving Clinton, Gore and the architect of U.S.-Russia policy, Deputy Secretary of State Strobe Talbott, the benefit of the doubt. . . . . Weldon and some of his colleagues have found a pattern -- not only in economics, corruption and organized crime, as recent public events have emphasized, but across the board: human rights, weapons proliferation, strategic-weapons modernization, arms control and agriculture. The pattern shows that the administration ignored intelligence reports, disregarded cables from diplomats in the field, pressured diplomats and intelligence analysts into not reporting developments that conflicted with government policy, destroyed the careers of public servants who bucked political pressure by doing their job and misled Congress and the public. . . . . Top Clinton officials knew the scope of government corruption in Russia from their earliest days in office. Clinton's first CIA director, R. James Woolsey, recently told the House Banking and Financial Services Committee that in 1993 "some very able CIA analysts came to me with an excellent briefing on some aspects of Russian organized crime. I moved promptly to ensure that very senior officials at the Justice Department, the FBI, the National Security Council and other relevant agencies received this briefing. In several of these cases -- I remember briefings at Justice and the NSC -- I personally attended in order to highlight the importance of the subject and to emphasize the excellence and the creativity of the CIA officers' work. I then commissioned a special National Intelligence Estimate on Russian Organized Crime." . . . . Woolsey added that he "put this issue on the agenda at some of the intelligence community's most sensitive meetings on intelligence matters with some of our closest allies and ensured that at a very senior level they were appropriately briefed as well." Through these efforts, he told lawmakers, "the U.S. intelligence community and the CIA in particular performed a valuable service in putting this issue squarely before those in the U.S. government and in allied governments who needed to know about it in order to take appropriate action." . . . . But no action came. "If one steps back [from U.S. policy toward Russian President Yeltsin] and looks at the overall pattern, it is easy to see how ordinary Russians, who saw us in highly idealized terms just a few years ago, have turned so sour on the U.S.," said Woolsey. "In their eyes, we are the supporters of those who have stolen much of their national patrimony through a highly corrupted privatization process and we are, at the same time, those who insist that the ordinary people of Russia bend their backs even harder." . . . . Woolsey insists he encountered no resistance to reports dealing with Russian money laundering. But the CIA's former top intelligence officer on Russia, Fritz Ermarth, argues that "policymakers did resist this information and also resisted explaining why they did so." According to Ermarth, "Their disdain for analysis about corruption of Russian politics and their Russian partners did, indeed, have a chilling effect on treatment of these topics, especially during the critical years 1993-96." . . . . Two former senior diplomats at the U.S. Embassy in Moscow corroborate that view. E. Wayne Merry, who directed the political section from 1991 to 1994, and his successor, Thomas Graham, who served from 1994 to 1997, have told Insight, as well as repeated in testimony before Congress, that the embassy felt constant pressure starting in 1993 not to report developments that would indicate that the Clinton administration's Russian partners were corrupt or that Washington's policies were anything short of successful. . . . . "Even if the embassy and CIA had not written a word," Merry told the Senate Foreign Relations Committee, "the Western press covered the story fairly well, while the Russian media reported on corruption constantly; indeed, a series of reporters were killed for their efforts. Anyone who wanted to know, knew. The real questions are, 'Did our policymakers care and what did they do about it?'" . . . . Talbott had his chance to answer the next day. Committee Chairman Jesse Helms of North Carolina asked questions concerning whether Talbott knew about intelligence reporting on corruption, but Talbott refused to answer. Helms dismissed him, barely concealing his disgust. . . . . In an Oct. 6-7 hearing on U.S. policy toward Russia at which this writer testified as an expert witness, House International Relations Committee Chairman Benjamin Gilman of New York devoted the first day to assess the Clinton administration's "treatment of criticisms, dissent or warnings." The first witness, David Swartz, who was the first U.S. ambassador to the former Soviet republic of Belarus, testified that he warned of dangers in Clinton's new Russia-centered approach to the region. "I repeatedly warned in cables and policy analyses from Minsk of the dangers of a Russocentrist approach," he said. "It was my view then and continues to be that fundamental U.S. interests lie in a permanent fragmentation of the former Soviet empire. I was ignored by Talbott." . . . . After a 26-year career as a foreign-service officer, Swartz resigned in protest in 1994. Today, Belarus is a dictatorship on the path to being reabsorbed by Russia. . . . . Former senior CIA officer Ermarth testified that the administration's unwelcome attitude toward reports on Russian corruption "discouraged" objective diplomatic and intelligence reporting: "This silence protected our policy, especially International Monetary Fund lending." . . . . The administration also protected its policy by shutting down intelligence activity that produced information that undermined its line, even on the most sensitive areas of U.S.-Russian relations and national security. Weldon probed the matter four years ago. . . . . "Russian Fission" was the name of a secret Energy Department intelligence program that monitored Russian civilian control of nuclear weapons and fissile material. John B. "Jay" Stewart, a highly decorated military-intelligence officer who directed an intelligence analysis of this program (see sidebar) in 1992, came to the conclusion that the Russian government was losing control over its nuclear arsenal. He briefed top Bush administration officials, as well as NATO Secretary-General Manfred Woerner. "Woerner was so impressed that he sent a cable to Washington, saying this was serious and he wanted all NATO countries briefed on this issue by Jay Stewart," Weldon tells Insight. "Woerner put together an entire intelligence-community workshop for two days in late 1992. Soon, when Clinton came into office, [Energy Secretary] Hazel O'Leary came in. Stewart briefed her personally. Initially, she was still very interested until she realized that exposing security problems was not in sync with administration policy," Weldon says. Soon, according to the congressman, Stewart no longer was allowed to do the briefings, and officials ordered a clerical worker to destroy Russian Fission documents and tapes in Stewart's file. . . . . A DOE political appointee warned Stewart not to discuss the Russian Fission program and, within a month, this intelligence effort was disbanded. "The entire program was set aside. Jay's career was ended. With his distinguished service, he nonetheless was shunted into a corner," says Weldon. "That was the end of the program. Jay, because of simply speaking out, was basically shoved aside." Stewart retired from government in 1994. He would not comment for this article. . . . . The chief of the CIA's nonproliferation center, Gordon Oehler, met a similar professional fate. His briefings on how Russia helped Iran build its Shahab-3 intercontinental ballistic missile meant the end of his career. Oehler won't talk about his sudden 1997 retirement but, when it happened, Joseph Cirincione of the liberal Henry Stimson Center told the New York Times, "Here's a man operating within the rules, sharing information with Congress and policy experts. And some of the news is uncomfortable and came at a delicate time. But he never pulled his punches because the news was uncomfortable, and apparently this administration didn't like it. I don't know how else to read it." . . . . Former Bush Pentagon official Henry Sokolski of the Nonproliferation Policy Education Center agrees: "The significance of his retirement is great. This man, in an agency known for its bending of truths, was an honest broker. To find integrity in public service is a rare, cherished and precious thing. And when it goes, it brings down morale -- it's got to. Whether his retirement was forced or not I don't know ... but ... that a man of integrity should feel such stress in being shot at for his honesty is an indictment of what we claim to be doing in the name of nonproliferation." . . . . Another case Weldon cites is that of Lt. Jack Daly, the U.S. Navy intelligence officer struck in the eyes by a laser from a Russian spy ship in U.S. waters in April 1997. "Daly was lased in the eye and fell victim to a cover-up led by Ambassador James Collins to make sure the Russians didn't get blamed," according to Weldon. Daly was denied promotion and risked being forced out of the Navy. In congressional testimony and interviews with Insight, Daly describes how Collins, Talbott and other senior administration officials conspired after the laser incident to cover up the affair for fear of embarrassing Moscow. Insight has obtained a recent Navy inspector general report that found Daly indeed had fallen victim to "reprisal" for exposing the lasing incident. . . . . "This is the pattern within the Clinton administration. I have 12 to 14 whistle-blowers, people who have been abused because they've been doing their job," says Weldon. "It is a pervasive attitude that this administration hasn't wanted anything to surface that they think might come in the way of their predetermined policy conclusion. That means they deny reality. They deny reality when Jay Stewart was doing the Russian Fission program. They deny reality when Jack Daly got lased. They deny reality when they issued NIE 95-19 [the National Intelligence Estimate that downplayed the missile threat to the United States and led to Congress creating a special investigative commission led by former Defense Secretary Donald Rumsfeld]. They deny reality when Gordon Oehler briefs officials about the Shahab missile and they force him out of his position. They deny reality when they document 17 Russian arms-control violations." . . . . Others within the system have been silenced -- or would have been had it not been for persistent Pennsylvania congressman Weldon. Dale Darling, an analyst at the Lawrence Livermore nuclear-weapons lab, followed cutting-edge Russian military technologies in a program called "Silver Bullets." The program monitored how Moscow, despite a cutback in its military, was developing exotic next-generation weapons. Weldon, as chairman of the House Armed Services subcommittee on Military Research and Development, called Darling to ask for a briefing in July 1996. But Weldon didn't hear anything from him until, the following month, he received an anonymous letter that said, "I hope you will pursue the briefing with Dale Darling. Dale has been pressured to cancel the briefing." . . . . Weldon succeeded in getting this briefing only by publicly embarrassing then-defense secretary William Perry into a commitment during a congressional hearing. . . . . Some lawmakers believe that the administration deliberately set out to mislead Congress about Russia policy from the beginning so as not to undermine the White House's blind support for Yeltsin. When House Banking and Financial Services Committee Chairman Jim Leach of Iowa called September hearings on Russian money laundering, lawmakers learned that they never had been informed about a major intelligence loss inflicted by CIA turncoat Aldrich Ames. Defense consultant Karon von Gerhke-Thompson testified how she had been an "unpaid volunteer intelligence asset on a CIA operation to penetrate what the CIA, FBI and DOJ [Department of Justice] knew was a KGB money-laundering operation that had tentacles that reached into the Kremlin to President Boris Yeltsin." After her Russian contacts cut her off, von Gerhke-Thompson learned that "I had been compromised by Aldrich Ames on the operation." She told lawmakers, "The [money-laundering] operation was not reported to appropriate congressional oversight committees as a significant failed intelligence operation" as mandated by law, even though it "was ranked among the CIA's highest priorities." A former CIA general counsel affirmed that of all those compromised by Ames, von Gerhke-Thompson's "was the only one that was not reported." Said the former CIA asset, "It seemed to me that it was a 'policy' versus 'intelligence' failure. [The] money-laundering trail led directly to Boris Yeltsin." . . . . Republicans aren't alone in their leeriness about such administration policy. The most senior-ranking woman in the House, Ohio Democratic Rep. Marcy Kaptur, long has doubted the executive branch's commitment to rooting corruption out of U.S. aid programs in Russia. She is particularly passionate about the $1 billion of commodity aid being shipped this year. "I want 1999 to be the year we learn from our mistakes. I have repeatedly called for monitoring of this $1.1 billion aid package in the past, and the conclusions of the [Department of Agriculture] Inspector General's report and recent media reports of money laundering of prior aid prove that my earlier call was justified." Kaptur swipes at the administration's earlier rosy picture of corruption-free food aid: "It is quite easy to say there are no problems when you are not looking for them." . . . . continued next post |