(UNTITLED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP91-00901R000400050002-0
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 19
• Document Creation Date: December 19, 2016
• Document Release Date: October 12, 2005
• Sequence Number: 2
• Publication Date: February 26, 1984
• Content Type: TRANS

?- T
Approved For Release 2005/1W i%A DP91-00901
26 February 1984
BRADLEY: Since the end of the second World War, about a thousand defectors from
the Soviet Union and Eastern Bloc countries have come over to our side with
valuable information, but then became non-persons. Now some former Central
Intelligence Agency officials are saying we'd better start changing our attitude
toward them or lose one of our most important sources of intelligence. One,of
those sources was this man, Vladimir Sakharov, no relation to dissident Soviet
physicist Andrei Sakharov. Vladimir Sakharov says he may have come in from the
cold, but instead of a warm welcome, what he got from the CIA was a cold
shoulder. If you had to describe your treatment overall by the CIA, what would
you say? VLADIMIR SAKHAROV: Inefficient, unprofessional, rotten, humiliating,
degrading.
BRADLEY: The sometimes shabby treatment of defectors in the CIA's resettlement
program bothers Mark Wyatt. Wyatt is a former senior liaison officer between
U.S. intelligence and foreign intelligence services. And why is Wyatt upset?
MARK WYATT: I would say Ed that this is one of our primary sources of high
level, intentional level, intelligence. Cracking the Kremlin, for a free
country like the United States, is not easy. I cannot tell you whether we have
an agent inside the Kremlin or not. I hope so. But it would be a pretty rare
case. Because that is about the toughest nut to crack. Whereas, in the United
States, the Soviets can operate.pretty much with impunity. And as a result, the
defector channel is terribly'
erribly important to us. I don't believe that you could
put a price tag on the value of intelligence that we've received from defectors,
into the billions of dollars. It is, in short, invaluable to us. A good
1 _,example of how valuable a defector can be is the case of the 47 Soviet diplomats
I who were expelled from France last spring. Intelligence experts say those
expulsions from Paris, as well as simiiar ones from London and Rome, were made
possible by the defection of Vladimir *Kus'itchgen, a veteran Soviet agent who-
knew the system well enough to point the finger at Soviet spies in many parts of
the world. Kusitchgen is one of many Soviet defectors who abandoned their
families, their professions, and their countries to come in from the cold. The
people fingered by Kusitchgen held diplomatic posts which they used as a cover
to spy on Fr'ance's most important military and industrial technology. There's
no official price tag on the information they were able to gather, but the
damage was heavy. The material they stole included information on advance
French aircraft carriers and the neutron bomb. Like those people expelled from
Paris, Sakharov was also a Soviet diplomat. He says he wanted to earn the right
to come to the United States. And about 10 years ago, the CIA gave him the
chance. Before defecting, he became a double agent in the Middle East. He
brought to the job his knowledge of Arabic and his experience as a KGB operative
in Nasser's Egypt while it was under Soviet influence. Experts like Mark Wyatt
say he passed on to our side first-hand information about Soviet plans to foment
trouble in the Middle East and to disrupt the flow of oil to the West. When the
things got too hot, as they say, he came over the mountain, ending his role as a
double agent. He was debriefed in this safe house in Virginia. Sakharov
ex
t
d
k
h
pec
e
wor
t
at would utilize his training and experience. That is not w,i4
tT
he got. What did they do to help you settle in the United States? SAKHAROV">IA
Well, initially, I was, they bought me one-way ticket to Hollywood. And they
K U~? w~- .. ~- .a uc X11.1 L Y .
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 Approved For ReleasZ.C1 ~ f1 fT/~'~E I &P9~1-W 901h)00040
e ruary I
r N/fore U. S. spies needed to If
Soviet-backed- terrorism
May
Morris
Times-Union Special Writer
NEW YORK - Terrorism is on the rise
around the world. There was a 42 percent in-
crease in reported incidents in 1983 against
American and allied nations' personnel. The
assassination in Rome last week of Leamon
R. Hunt is only the most recent example of
what is to come.
Hunt was killed by a three-man team in
Rome. He was riding in a bullet-proof sedan
that proved not to be completely bullet proof.
Point-blanl, continued machine-gun fire final-
ly shattered the rear window, then killed
Hunt, the civilian director-general of our Sinai
peacekeeping force in Egypt.
Two groups almost immediately claimed
"credit" for the death of this retired foreign-
service officer. One was the notorious
Brigada Rosa of Italy, and the other was an
Islamic fundamentalist group with ties to
Tehran. Both demanded an end to U.S. in-
volvement in the Middle East. The Red Bri-
gades' telephone call in Milan also called for
Italian withdrawal from NATO and an end to
NATO cruise-missile deployment in Northern
Italy
The Russians have every reason to give
money and arms to terrorist groups on our
side of the Iron Curtain. They see these peo-
ple as a low-cost, high-return segment of their
worldwide arsenal. The work is essentially
risk-free since the Russians use three or four
levels of "cut outs" between themselves and
the actual terrorist operators. This is obvious,
for example, in the case of All Agca, who shot
the pope. His contacts can be traced back two
levels. Then the trail stops in Bulgaria. Can
anyone advise how to pierce that wall fur-
ther?
One way would be to make an all-out effort
to rebuild our human-intelligence capabilities
behind the Iron Curtain. We know, for exam-
ple, from various "technical sources" about
the KGB complex called Balashikha near
Moscow. There are clear indications from in-
telligence that this installation is used to train
terrorists from abroad. It probably also is
used to train KGB personnel to develop new
terrorist contacts overseas.
The problem is that we can't penetrate
there. We certairily cannot find out det.ails.on
this and other operational sites without hav-
ing people who can get inside. Today we have
very few foreign agents left. Most of our
"humint" resources were tossed out during
the Carter years. The impetus came from. ex-
Sen. Dick Clark, D-Iowa, and ex-Sen. Frank
fact, there were over 200 terrorist events in
America in 1983. These included the Capitol
bombing and an attempt on Coast Guard
headquarters. No doubt they were at least
partly stimulated by poor internal intelli-
gence. FBI sources were equally destroyed
by the Carter-Mondale group and its senator-
ial allies.
In early 1976, the FBI had more than 20,000,
domestic security investigations underway.
The Carter administration canceled 16,000 of
these immediately, and, by 1977, there were
only 600 active investigations. These so-called
"Levi guidelines" (named for Carter's attor-
ney general) brought the number below 100
by mid-1977. Today those guidelines are still in
effect, and only 17 active internal-security in-
vestigations can be actively pursued, thanks
to these rules.
It is time to put the FBI back in domestic
intelligence. and improve CIA abilities over-
seas. Terrorism is growing, not waning. The
events of the past few years give proximate
proof of the need to remedy the mistakes of
the last administration and its senatorial fol,.
lowers. We need to know what is going on be-
fore it happens if we are to start the terrorist
death-toll downward.
,
The primary evidence so far points to the istration did not oppose this. In fact, they
Red Brigades. But behind both these groups is purged the CIA of nearlyall talent we had for
the Soviet Union. In each instance so far, developing clandestine sources inside Russia.
where members of these groups have been Walter Mondale should lie questioned closely
captured, they have had both Soviet-bloc on this,
weapons and false papers that can be traced What can be done? Internationally, we need
to the Iron Curtain. At that point the open to start the long task of rebuilding a corps of
trail stops. in-place. agents. This must be worldwide, and
This terrorist tie to Russian supply lines is it win take at least five to 10 years. The con-
not just limited to Italian and Islamic groups. fidence we lost in dumping overseas
There now are documented cases of Soviet "sources" on our payroll (sometimes even
support, implicit and explicit, to many others listing their names) will not be regained easi-
around the world. These include ETA, the ly. The present administration is working on
Basque organization in Spain; the Irish Re- it. The CIA director, William Casey, under-
publican Army in Northern Ireland; the, stands wham must be done. Most of the pres-
Bader-Meinhof group in Germany; and the ent Senate are. backing him on "humint" re-
Red Flag faction in Japan. - building.
In addition to these better-known names, Terrorism is not, however, merely an over-
there are at least 20 other smaller terrorist seas phenomenon. We tend to remember the
groups in Europe, North America and the Marine tragedy in Beirut and foreign assassi-
Middle East that have claimed responsibility nations such as that of Hunt or attempts such
for killings and bombings this year in the free as that on Gen. James Dozier last year. In
world. Most have been shown to have links
with `Moscow or with an East European coun-
try, which is proximately the same thing.
D-Idaho. The Carter-Mondale admin-
Church
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 Approved For Release /1>TCgERFMSItO%O'000 00050002-0
22 February 1981+
Peat Project's Demise
There are not many big ? towns . in solid wastes.
Washington County or a lot of ways to The staff also.admitted?the probabili-
make a good living. The county seat is ty of economic' unsoundness of the
Plymouth, and the biggest industry. is project, writing: "Significance of peat
farming. Its fishermen face. the ex- is limited.by environmental factors and
pensive Albemarle sound. 5, - by its unpromising economics relative
A goodly portion of the land has been COW
--
acquired by Colony Farms,.one'of those:.-,~ Naturally, Anderson also found some'
agri-industry giants that has-tried sto intrigue in the woodpile.. Partners in
chart a the face of a First Colony include CIA Direcor Wil- j
g li
e Casey and otuential Re- i
Eastern North Carolina. ;
Much of that farm land.is underlaid r publicans, he wrote. :..:.. ;- ?.
with huge peat -formations:.-:: = , ~ a, week after that column
As one response to the nation's
search for energy - self-sufficiency, an
organization known as Peat Methanol
Associates was created. It went to the
federal Synthetics Fuels Corp. for
grants to,de clop a project in Washing-
ton County, to mine the peat and
convert it to methanol which could be
used as a gasoline additive.
Over the protests of people who
feared the operation would be destruc-
tive to the environment, federal sup-
port was given.
. Ten days ago, Washington columnist
Jack AndeFson, who has been very
critical of the Syn-Fuels operation and
its executives, picked out the N.C.
.project for a lambasting. His sleuths
had laid hands on Syn-Fuels staff study
documents which spelled out all kinds
of potential environmental destruc-
tiveness, including:
? Dust emissions from the syn-
thesizing factory which could push air
quality above the danger level in a
mixture including sulphur dioxide; and,
? Mercury-laced runoff from the
.'mining .and cyanide-laced runoff from
scrapped by the investors when Syn-
Fuels rejected a request for more
federal money.
Cancellation'drew expressions of dis-
appointment from Gov. James B. Hunt
Jr. and from economic development
spokesmen. Hunt's press aide said that
if the project is not carried through, it
would be "disappointing considering
that there is - a significant potential
involved here."
Our inclination is to come down on
the side of the environmentalists.
We've seen too many of those grim
signs in coastal estuaries and tidelands
which warn that pollution has rendered
them non-fishable.
Several years ago another plan to
develop a peat-fired electric generation
plant in the Washington County area
was dropped after determination that it
was not feasible.
The cost of the later First Colony
project and the questionable benefits,
combined with the potential destruc-
tiveness of much of nature's handiwork
along our coast, add up to a belief that
this plan's shelving is a happy develop-
ment.
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 Approved For Releas DD5F1 $SC fLTJX 1 Rot r
21 February 1984
CRESWELL, N.C.
Proposed peat project dropped
W1
QQQ2~
An embattled peat mining and fuel conversion project in Washington County
has been canceled after a federal agency rejected a request for additional
financial backing.
Partners in Peat Methanol Associates said Monday they are abandoning plans to
build a plant to convert peat to methanol for use as a fuel.
The announcement was made by Koppers Co. of Pittsburgh, a major investor in
the project, and came four days after the federal Synthetic Fuels Corp. refused
to provide additional support.
In a brief statement, Koppers said Peat Methanol ''advised the chairman of
the Synthetic Fuels Corp. that the SFC board action on Feb. 16... cancels the
project.''
Partners in the project will lost about $15 million in investments, said
Robert Fri, president of Energy Transition Corp. The Washington-based company,
which lists CIA Director William Casey as a partner, was one of the original
participants in ea ethanol.
The decision is the second time in five years that efforts have failed to
produce fuel from peat owned by First Colony Farms in Washington County.
Synfuels was created by Congress in 1980 to develop synthetic fuels and
reduce dependence on foreign oil. But it has come under congressional criticism
because of delays in approving projects and the need for new fuel sources during
a worldwide oil glut.
Peat Methanol became a target of the criticism and has been under study for
more than a year by a House subcommittee. Rep. James Broyhill, R-N.C., has
called the project a waste of tax funds and a General Accounting Office report
questioned the feasibility of the project.
Environmentalists and fishermen also have attacked plans to mine peat from
15,000 acres in northeastern North Carolina. They said the project could damage
coastal wetlands and increase pollution.
The National Wildlife Federation and seven other groups filed suit last year
seeking to force a major environmental study by the U.S. Army Corps of
Engineers.
But state and local officials said the project would provide jobs and
industry in economically depressed Washington County.
Peat Methanol Associates received a commitment from Synfuels in 1982 for $465
million in federal loan quarantees and methanol price supports. Peat Methanol
:eoN77vv
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 Approved For Release 2005/11/28 : CIA-RDP91-00901 R000400050002-0
was responsible for providing up to $172 million in private financing to get the
federal funding.
The project had been scheduled to receive a Synfuels contract In June after
three years of development.
But the Synfuels board last week rejected a request for increased aid and
said the project could continue with the original support or start over with a
new application.
Fri declined to say how much additional funding PMA had sought.
The partners in the project decided not to elaborate on Koppers'
announcement, said Fri, whose company was an early developer of the project.
About $15 million has been spent on the plant, most by Koppers and Transco
Energy Co., a Houston-based pipeline firm, Fri said.
The original Peat Methanol partners were Fri's company, Koppers., Transco and
J.E. Sunderland, former owner of American Independent Oil co.
Fri said three more private investors had been lined up to meet the federal
funding requirements -- First Colony Farms, Burlington Northern Railroad, and
Continental Insurance Co.
Peat Methanol Associates will be dissolved, he said, and there is little
chance it will be revived.-''
But Fri said the peat will be mined some day.
''It is a vry attractive energy resource and First Colony has developed the
technology,'' he said. "I think it is just a question of time and market.'
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 ARTICLE APPEARED
ON PAGE
NEW YORK TIMES
ved For Release 20N/1T1ft%Aft-k91-00901 R000
Secrecy Proposal: Risks. Wig
By STUART TAYLOR Jr.
Special to The New Yat Ttmes
WASHINGTON, Feb. 19 - Congress
has forced President Reagan to back
off, at least temporarily, from using
more censorship and polygraph testing
to protect national security, not be-
cause It thought the goal unimportant,
but out of doubt t=at such
News measures, would accom-
plish much.
Analysis In the view of Congres:*
sional critics, ? Mr. Rea-
gan's plan would limit de-
bate on vital issues and compromise
the -civic liberties of Government offi-
cials while doing little to prevent leak-
age bf validly classified information
and less to protect national security.
'2lie opposition to two secrecy meas.
ures ordered by Mr. Reagan on March
11, 1953, forced the White House to an-
nounce last week that it would seek a
"bipartisan solution" on the measures.
The-Administration apparently real-
ized that Congress, which had already
blocked these measures until April 15,
was likely to extend the ban or make it
permanent.,
_
Against Gins;
Meanwhile, Mr. Reagan has not re_ Such benefits, in the view of many in
yoked his March 11 order, only sus- Congress, including Senator Charles
pended it pending talks with Congress. MCC. Mathias, Republican of Mary-
Security and Censorship land, were too speculative to warrant a
The Administration may have diffi. sweeping system of censorship.
culty convincing Congress that the na- The polygraph, say Mr. Willard and
tional security requires former offi- o rAdministr lion officials, is poten-
caals to submit their writings and tl se vim' useful both for ferreting out
speeches for the rest of their lives for ththe press ose who leak Government secrets to
"prepublication review," or censor-
ship. by their successors. Critics say spies.
such a requirement, at best, would in-' Fear of Machine Cited
hibit debate and, at worst, could be They maintain not only that poly-
used by incumbents as a pretext for si. graph testing can detect lying in many
lencing their critics. cases but also that the fear of detection
William J. Casey. Director of Central often spurs people to confess or deters
Intellice" said in a memorandum (them from leaking to the first place. -
last year that su censorship agree- : Congressional opponents of in-
ments Contain "the minimum accent- creased Polygraph use, led by Repre.
(a a stand rdc for Drotecting the se- sentative Jack Brooks, Democrat of
can " Texas, say they doubt this, and some
method experts
But Mr. Willard conceded that the but useless in dpi the polygraph is all
censorship Pam would do nothing son is lying. etectfrig whether a per-
to prevent or detect espionage and little Even those who concede that wide.
to prevent unauthorized disclosures
ol
d
i
h
ra
h
.
p
use m
g
t uncover
yg
p
than 100,000 officials in the White ; "The most serious problem by far Is ::some , leakers and spies question
House, the military and other depart- . the leak, the anonymous leak, and .'-whether this would be worth the cost to
ments who handle certain intelligence prePublicatlon review does not prevent thefreedom and dignity of the innocent
secrets to ? sign lifelong censorship anonymous leaks, " Mr. Willard-Ac- employees subject to the
agreements. The other would allow dis- ' knowledged. 'That's a much more dif- . ,'Some employees would falsely be
ciplinary sanctions against Govern- ficult problem to address,' but the dis= branded as liars, just as" some liars
mbnt employees who refuse to take Closure of information in books, and would incorrectly be identified as
polygraph, or lie-detector, tests in in- speeches was something we could do truthful, Mr. Brooks asserts. And even
ves#gations of unauthorized discio- something about." '7 advocates of polygraph testi
sires, or leaks., rtg'such as
Few Disclosures Involved Secrets Mr. Willard concede that the machines
and their
What Degree of .Protection The Accounting Office found m
istakes. operators sometimes make
Few if .any members' of Congress last , in a survey of six agencies
,
have proposed prohibiting the censor- that only 21 of the 328 unauthorized dis- Another reason for the resistance to
ship agreements and polygraph testing closures of classified information over expanded polygraph testing is that
the executive branch has long required a five-year period had occurred many in Congress are of two minds
of intelligence agents. So the issue--is through former officials' writing or about leaks, which have been de-
not so much whether some freedoms speeches. Only one or two of these in- nounced by . every recent President,
must give way to protect national- se- volved intelligence secrets of the kind most forcefully by Mr. Reagan. '
curity as it is to what degree they must that would subject officials who handle While there is strong sentiment for
give way. them to lifelong censorship... .. preventing Government employees
The Congressional position reflects a Such evidence led many Republicans fi'onT disclosing genuine military, intel-
kinduf cost-benefit analysis: The costs as well as Democrats in Congress to ligence and diplomatic secrets, many
to civil liberties of the Reagan plan conclude that the Reagan censorship members recognize that the executive
were seen as outweighing the benefits program was a draconian solution to an branch has long labeled as secret thou-
to the national security, benefits that almost nonexistent. problem. sands of documents posing no threat
some critics deemed negligible. Mr. Willard has suggested that the whatsoever to national security and
Richard K. Willard, the Justice De- censorship program would make its has sometimes done so to cover up
partment official who was the principal most important contribution by rank politically embarrassing information.,
architect of the measures, has stressed Ing Government employees and others The vast majority of . losures of
that the Congressional intelligence sensitive to the. need for secrecy, by classified materials to the and to
committees complained in the late' Putting some fear in them and thus by Congress itself involve. information
.1970's that national security secrets discouraging the rather casual traf- that either has little to do with the na.
were inadequately protected. fi cking in, Government secrets long : tional security or is already available
Thus, he asserted in an interview last pr$cticed by officials both high and to the Soviet Union and other nations. _
week, if Congress will not support the law, .reporters, lobbyists and others. Members of
Congress sometimes de-
Reagan secrecy Plan, "it's time for Pend on such leaks in doing their jobs,
Congress to come forward and say and many would not want to see the
what their solution is to the problem." employees responsible for them hunted
down with polygraph machines.
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 r -,,TICLE APPEARED. U .S. I E S& WORLD REPORT
(Y PAGE;...-$ 1_--; February 1988
._, Wpproved For R ase
5/11/28: CIA-RDP91-0090x4
eagan"s No w:
Cahinet
ho's Up, Who's Down
As his re-election campaign gets un-
der way. Ronald Reagan is priming his
cabinet to help spread the word on his
administration"s record.
The President feels strongly that his
cabinet: secretaries "ought to get out
and explain to bipartisan audiences
what has been accomplished," reports
an aide-a message given cabinet mem-
bers at a February 1 strategy session.
Only the Secretaries of State and De-
fense and the Attorney General are ex-
empt from campaigning.
The 13 department heads include
seven who have held their iobs since the
Reagan administration took office three
years ago, below is a rundown on their
standing as seen by the White House
and others in and out of government-
who is strong, who is not so strong-and
the challenges they face this year.
STATE: A Steady Hand
In 18 months on the job, George
Shtdtz has expanded his influence with
a low-key, methodical approach to for-
eign policy. "He does not think about
l;eing the best Secretary of State since
I lenrv Kissinger or Dean Acheson," says
a Shultz aide. "He wants to be the best
Secretary of State for Ronald Reagan."
A top White House aide says the Pres-
ident and his team-playing Secretary
``work as well together as any two mien
couId." That's a far cry from the conten-
tious reign of Alexander Haig, Shultz's
predecessor, Result: State Department
concerns get a full hearing, and Reagan
spends more time on foreign policy.
State Department insiders credit
Shultz with keeping the administration
focused on human-rights progress in El
Salvador, with strengthening ties with
China and with the recent cooling of
Reagan's red-hot: anti-Russian rhetoric.
Despite his :immense prestige within
the Reagan can-tp, aides say Shultz is
tiring of Washington and may leave the
administration Soon after the election.
TREASURY: Bull' Market
Donald Regan ranks as Reagan's
most trusted economic expert, far
above .Martin Feldstein, chairman of
the Council of Economic Advisers. and
Budget Director David Stockman. Be-
gan's clout derives partly from his
adoption of the President's steadfast
faith in the economy's prospects and
his opposition to major new taxes.
What's more, the Chief Executive
and. his Treasury Secretary have be-
come fr-ie:nds. They play an occasional
round of golf together, and Regan is
often a guest at White House functions.
Began, says a top presidential aide, is
"one of the real stars of the cabinet."
STAT
ZfUfr-larv is trying to sell
tent hike in rnilitr,y-spending author-
ON it a time whet rriassi're federal defi-
citr are in prosper t for years to come.
t y
emberger `u it his standing with
Congress last via when he refused to
trim Pentagon t .i get requests. He
ended up with fa less money than he
wanted and earne.f the enmity of many
lawyrnakers, incluc;tng key Republicans.
Though his ad. chancy riles Capitol
Hill it has generally pleased the Presi-
dent. Reports a I e~ Reagan aide: "If
you want someo'te who's articulate,
brilliant and unviading-that's Cap."
INTERIOR: Domestic Diplomat
Only three months into the job, Wil-
liam Clark is apph uded by all sides for
clearing away many of the dark clouds
of lanes Watt's stern-,y, tenure.
"I hough Clark. c rle of Reagan's most
valued aides, arr ved with little de-
tailed knowledge 4 issues facing the
department, he is 'rerdited with superi-
or management sl illr, and keen politi-
cal instincts. He quickly insulated Rea-
gan from the fallot t of unpopular Watt
polio tes by remove 'Fr several key Watt
appointees, reduci:tg offshore oil leas-
ing and reviving p.irkland purchases.
Tl ere is renewer, communication be-
tween the depa.rt'nent and environ-
mentalists, Congre and the press. The
difference in style '_)etween Clark and
Watt is like "night and day," says Jay
Hair executive dirt 'ctor of the National
But some expect him to leave next year.
DEFENSE: Tough Sell
J4; ; 'S 7
At
h
P
13 6 10
t
e
entagon, Caspar Weinberger
is digging in for the biggest battle of his
1
12,-
(Reagan I 19 18
The Reagan Team
1 Vice President George Bush
2 Donald Regan, Secretary of the Treasury
3. Terrel Bell, Secretaw of Education
4. John Block, Secretary of Agriculture
5 Raymond Donovan Secretary of Labor
6- Jeane Kirkpatrici, mbassador to the U.N.
7 Malcolm Baldrige, secretary of Commerce
8. David Stockman. budoet director
9- Samuel Pierce, Secretary of HUD
10, William French Smith, Attorney General
11. William Clark, Secretary of the Interior
12. Elizabeth Dole. Secretary of Transportation
13. William Casey director of the CIA
14 Donald Hodel. Secratarv of Energy
15. E=dwin Meese, preselentral counselor.
Attorney General-designate
16. William Brock. U.S 'raoe representative
17. Margaret Heckler S.acretary of HHS
18. Gaspar Weinberger. Secretary of Defense
19. i;eoroe Shultz Secretary of State
continued
 Wildlife Federati 'The .
they have in coma? 's~tlri alnGe l indea le in ustr against f ig mpgi 1 it osttss their 0coon rr1et Block keeps
of chromosomes. Both are males." tors the President D b
rn e
JUSTICE: Ardent Advocate
Look for Attorney General-designate
Edwin Meese to bring an activist's
leadership to the] ustice Department.
The departing William French Smith
sometimes seemed unenthusiastic
about the job. But Meese, a former Cali-
fornia county prosecutor, is animated by
a long-held love for law enforcement.
Even as Beagan's trusted counselor,
,just a few steps from the Oval Office,
Meese busied himself with law issues.
Now--expected to win Senate confir-
mation soon--he will continue Smith's
crackdown on drugs and organized
crime and will push Congress to
reform immigration and anticrime
laws.
One possible pitfall: Meese has
shown a tendency to make contro-
versial remarks that could under-
mine his effectiveness.
EDUCATION: Lite Bloomer
Terrel Bell, once the cabinet
wallflower, is enjoying newfound
status now that education has be-
come an in-vogue national issue.
Educators today give Bell stand-
ing ovations for his promotion of
quality schooling-quite a change
from the yawns he once elicited
with a now forgotten promise to
abolish his department.
cem er sided on good terms with we vital constitu-
with his Commerce Secretary. encies: The White Ht~use and farmers.
B
ld
i
'
a
r
ge
s biggest frustration has
been his failure to win Congress's sup-
port-despite presidential backing-
for merging the Commerce Depart-
ment and the Office of the U.S. Trade
Representative into a new Depart-
ment of Trade.
LABOR: Staying Power
At a time when the President needs
votes from U.S. workers, Raymond
Donovan can offer only slim ties to or-
ganized labor.
Union leaders dislike his continued
cutting of agency programs and his
As a confident cheerleader for Attorney General-designate Meese is expected
school. improvements that d 't
on re-
quire heavy federal funding Bell
to be more active than his predecessor.
has won Reagan's appreciation for hon-
ing a campaign issue. Rumors that he
wants to resign are no longer heard.
TRANSPORTATION: Political Plus
Since joining the cabinet one year
ago, Elizabeth Dole has proved herself
a skilled politician-
She has managed to support issues--
such as putting air bags in cars-that
are unpopular with the White House.
yet she still is regarded as a team play-
er. Dole has also developed into the
administration's in-house advocate of
worrlen's issues: In transportation, she
has made noncontroversial highway
and air-safety issues a priority. She has
pushed for red-tape reductions and the
commercialization of outer space.
COMMERCE: Buy American
As much as anyone, Malcolm Bal-
drige has given the administration an
increasingly protectionist bent.
He has fought for limits on textile and
steel imports and sought curbs on auto
exports by Japan. Despite unanimous
opposition of fellow cabinet members
loosening of wage-protection rules that
apply to federal construction.
"We don't have a heavy menu"-
other than getting Reagan re-elected-
Donovan says of his chores this year.
He looks forward to hitting the cam-
paign trail, although most labor leaders
are flirting with the Democrats.
Once expected to be the first depar-
tee from the Reagan cabinet, Donovan
now boasts lie will be last to leave,
citing what he calls his vindication on
charges that he violated the law while
raising money for Reagan's 1980 cam-
paign and that he had dealings with
mobsters during his days as a contrac-
tor in New Jersey.
ENERGY: Low Profile.
Donald Hodel, say. one industry of-
ficial, is "the first Energy Secretary to
know anything about energy."
Still, Hodel's low-kes style and the
fading of energy issues from the na-
tional consciousness have kept him out
of the headlines and curtailed his influ-
ence in the administration.
One continuing ta:.k for Hodel: To
whip his demoralized department into
shape now that the White House has
given up on abolishing the 6-year-old
agency.
HUD: Silent Mission
Samuel Pierce, still one of the
cabinet's least visible members, has
accomplished mu,'h of what the
White House sought from him.
"Silent Sam" has cut the staff and
spending of the Department of
Housing and Urban Development.
That hasn't endeared him to urban
groups, though he is credited with
saving key block-grant programs.
As the administration's highest-
ranking black, cn it-rights groups
have found him a weak advocate
for minorities. Thai image problem
eased somewhat if st month when
Pierce received a. cvil-rights award
from Coretta Scott King.
HHS: Deep Water
Margaret Heckler may be the
biggest disappointrnen- of the Reagan
cabinet.
After t 1. months as ,ecretary of the
Department of Health and Human
Services, Heckler's sup )orters and foes
say the ex-congresswoman remains a
poor administrator wit r little grasp of
issues. Aides were agl ast recently at
her lack of knowledge of the shorter
life span of American backs.
One problem is a perception that
Heckler iacks conviction. Shortly after
being nominated last year, she an-
nounced support for the administra-
tion's "squeal rule" n equiring physi-
cians to notify parents of minors
seeking contraception. the had fought
th
l
e ru
e in Congress.
AGRICULTURE: PIK Man
John Block is a survivor. sa O y the3Cpolitically plus e sash ,c' Heckler aide
In recent months, he has come under brought a more compas ionate tone to
fire as rising farm subsidies have threat- the agency, once the tar set of adminis-
ened to swell the flood of federal red tration attacks on waste She has also
ink. He was widely ridiculed last year won praise for her adv rcacv of child-
when, as a public-relations move, he support enforcement.
week. Controversy flared over the cost-
ly payment-in-kind (PIK) land set-aside
By JOSEPH I` SHAPIRO wnh ,u ,nlimn of the mago-
zine's Washing=ion staff
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C:; PAGE
oved For Release 260`/11$ :UIDP91-0090
13 February 1934
C'. I.A. Seeks to Read Mos&w ugurres
By PHILIP TAUBMAN
Special to The New Yost Times
WASHINGTON, Feb. 12 - When
the Soviet leader Leonid 1. Brezhnev
died 15 months ago, the Reagan Ad.
ministration was ready. In a memo to
President Reagan, William J. Casey,
the Director of Central Intelligence,-
picked Yuri V. Andropov as a dark
horse closing fast at the finish to suc-
ceed Mr. Brezhaev.
Mr. Casey and the Soviet experts at
the r
Intelligence Agencyap-.
parently were not as prescient on this
occasion. When.Mr. Andropov died
Thursday, the C.I.A. dismissed the
first news reports about the death,.
saying they were unfounded.
After acknowledging that the
Soviet leader was dead, intelligence
officials said Friday that Mikhail S.
Gorbachev, a member of both the
Soviet Communist Party Politburo
and the Secretariat, seemed to be the
most likely candidate to succeed Mr.
Andropov as General Secretary of the.
Communist Party. Those- officials
said Mr. Gorbachev was followed, in
order, by Grigory V. Romanov, also a
member of the Politburo and the
Secretariat; Defense Minister Dmitri
F. Ustinov; and Konstantin U. Cher-
nenko, the last of the three men who
are members of the Politburo and the
Secretariat.
By today, the consensus in the
C:I.A. and the Reagan Administra-
tion was that Mr.. Chernenko, a
Brezhnev protege who was out
maneuvered by Mr. Andropov in 1982,
would emerge at least temporarily as
the new Soviet leader. .-
The initial betting on Mr. Gorba-
chev illustrated the difficulty of
trying to analyze, much less predict,
the decisions and actions of the Soviet
leadership, intelligence officials said.
Mr. Gorbachev, .although the young-
est member of the Politburo at 52,
was widely believed to be Mr. Andro-
pov's personal choice for a successor.
Passed Over Once
Mr. Chernenko was not only passed
over once for the top spot, but was
also associated with an old-guard
leadership that Mr. Andropov had
indirectly criticized. He is 72 years
old. His selection, intelligence offi-
dais said, would probably reflect a, specific individuals -as the new Gen-:
ers to turn over power to younger Chairman of Commission
men like Mr. Gorbachev who might The' growing consensus that Mr.-.
Wile for 20 years or more.
As the C.I.A.'s Soviet analysts Chernenko will succeed Mr. Andro- was scrambled developments weekend to keep. bbased primarily on his selection as
opm is in ? Moscow, , chairman of the funeral commission
they could appreciate te the assessment on-his appearance at the bead
of
of Richard Helms, a former C.I.A. di- and on
the line when Soviet leaders passe d
rector, who described the Kremlin " by Mr. Andropov's body.
e " an intoughest target telligence agt~n, Within days of Mr. Brezhne 'mod
all' io hip as
des. death in November 1982, the .CZ.A:,
d
""If Chernenko is not officially
named in the next 24 hours, we'll
know there's a donnybrook going on
in the leadership," one intelligence
- official said.
pro
uced a 29-page dassified report.
an Mr. Andropov that included a de=-
tailed account of agency reports on
his background, his ascent to power;
an assessment of his likely impactgn.
the Soviet Government-and--relations . i
ith th
e W-est,-and adescription of his
The deliberations inside the Krem- w
lira cannot be deliberations life and health:
photographed by Ameri-.. 1 In a summary, according to an Ad. i
can satellites. Nor can the conversa- - ."ministration official, the report con-
tions and politicking in the Politburo ' eluded that "Andropov will be a for
be monitored - by; electronic eaves- addable adversary." The report
dropping equipment, intelligence offi- added: "He is perhaps the most com-
cials say. They said the United States plicated and puzzling of all the cur-
was once able to collect information rent Soviet leaders. Be -is ruthless
by intercepting the radio conversa- clever, well-informed, a tough in-,,
tions of Soviet leaders as they rode "
around Moscow in limousines. The fighter and cunning.
Soviets eventually learned about that Much said, report,
drawn from oe
practice and ended It by encoding the Soviet t pa, wasrvviiews ws from the
communications. Soviet press, interviews with Soviet
defectors and emigres and observa-
The C.I.A. depends on information tions by American intelligence agents
gathered by agents and Collected and diplomats in Moscow. The lad, of
from sources both inside the Soviet inside sources, the officials said, was
Union and abroad. "It's old-fashioned evident in the report's comment that
intelligence," one C.I.A. official said. " Mr. Andropov had married twice but
"The Kremlin is one place where we - it was unclear whether his second
can't depend on high technology to -wife was alive. On Saturday intelli-
penetratethetarget." gence officials in Washington felt the
This weekend the C.I.A.'s experts
on the Soviet Union, directed by Rob-
ert M. Gates, the Deputy Director for
Intel Iieace who is a Soviet authority
himself, -through volumes of-.
computerized information about
Soviet leaders. -
Working in a nondescript office
building in Vienna, Va., a Washington
suburb, the staff of the Soviet depart-
ment prepared papers for Adminis-
tration officials about the succession
process itself, compiled profiles of
leading candidates, and examined the
implications for the Soviet Union and
the United States of the selection of the officials said.
confusion about that issue had been
resolved when Mr.. Andropov's
widow, Tatyana, appeared beside the
bier in Moscow.
Intelligence officials declined to dc.
scribe in detail this weekend's C.I.A.
reports about the policies and -health
of Mr. Chernenko, Mr. Gorbachev or
other Soviet leaders,, except to say
that Mr. Chernenko might prove to be
a interim leader. They said Mr. Cher
nenko has suffered for years from
emphysema.
The key power brokiin the succes-
sion, as he was when Mr. Brezhnev
died, is probably Marshal Ustinov,
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xR aC ,_- =.PPrr.Fr.
WASHINGTON POST
12 February 1984
Covert ~Iit_Teams Mi
Presidential Ban
-
The Reagan administration has debated wheth- 1
er to authorize covert operations abroad that
would allow military %PI
tisams'tetly
attack terrorist .groups respansib1 roi recent
bombings of U.S. installations. By one account the '
debate is still going on and no decision has been
made.
"It is being pondered at the highest levels of our
government," one senior intelligence. official said '
last week. "When and-how do you strike back?
There comes a point when the only thing that
these people understand is force. Do you send in
the Air Force or a three-man hit team?"
Several officials, including FBI Director Wil-
liam Webster, confirmed last week that the ad-
ministration is still debating how to respond to
:recent terrorist attacks abroad. Webster said in an ,
interview that he would "oppose any covert retal-
iation.
"Our revulsion at inhuman and utterly repre-
hensible acts of violence must never cause- this
:nation to depart from the principles that have
made it the hope of freedom and justice through-
out the-world,' said Webster. "These arguments
were advanced in Vietnam and have caused in problems ever since. We're big enough and strong
enough to play by our own rules. We cannot do
things that in later, more sober time will appear
reprehensible "
Gl+ilclb r reportedly
is opposed to CIA involvemen m arry'effort at
undercover retaliation against terrorists. -".Onoe
shot, twice shy," one source said, -describing a
strong CIA reluctance to participate in such ac-
tivities since the revelations of CIA plots to assas-
sinate Cuban President Fidel Castro in the 1960s.
Nonetheless some CIA and military officials
argue that the most effective way to retaliate-
with the fewest mistakes and fewest innocent vic-
tims-is through a surgical strike by a hit team,
run and organized by the United States but prob-
ably composed of U.S. military personnel or even
foreign nationals.
Air strikes or bombardments with 16-inch, one-
ton shells from the battleship New Jersey do not
have the precision of a small hit team with a def-
inite target, these officials have argued.
One senior intelligence official in Beirut recent-
lysaid that air strikes, while in theory more `for-
allyi' acceptable and conventional, have killed
`fmany unintentionally- In recent months, Israeli -air
strikes.in the Syrian-controlled Bekaa Valley in
Lebanon-a major terrorist staging. area-killed
about 100 friendly Lebanese internal security po-
lice, this official said. The Israelis have acknowl-
edged that some individual air strikes killed 20 to
.30 civilians.
Those officials opposed to using hit teams say it
would be assassination. And, they noted, an ex-
ecutive order concerning the intelligence commu-
nity, first signed by President Ford in February
1976 and later - reaffirmed by Presidents Carter
and 'Reagan, prohibits assassination. The order
says: "No employe of the United States govern-
ment shall engage in, or conspire to engage in,
political assassination."
One official said the order could be revoked or
simply ignored, arguing that covert action against
terrorists could be defined as something other
than "political assassination." This apparently
:could be done in secrecy. The law does not require
the administration to give Congress prior notifi-
cation of covert operations.
Both a White House and a.State Department
official confirmed last weeklthat.the use of a co-
vert hit team was still being debated. They indi-
cated that if any effort was made, the CIA would
probably not be involved and the action would be
called and considered "military activity" or even a
"commando strike." These officials declined to
indicate exactly what-might be decided or when.
They also declined to indicate whether President
Reagan has taken a position on the question.
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 ST
ON PAGE_
E BOUTERSE'S REVOLUTION
bassador to Suriname o ert Duemling had not per-
suaded them that Cuba was behind Bouterse's crackdown
.
-~2~.~'I~~c~.:lll~ Zios I[ieit, Instead of unleashing the C.I.A., the Administration
halted a three-year $2.5 million economic aid program.
Suriname was to become an example of the Administra-
Z tion0 's human rights policy toward Third World countries.
C ' 1 Cuba accepted Bouterse's claim that he had been the tar-
get of a C.I.A. plot and increased its modest aid program,
CLIFFORD KRAUSS which provided advisers on internal security, propaganda,
have a window on the outside world.
out of the barrel of a gun.
On a sticky tropical morning, December 8; 1982, Brazil refused to join the Dutch and American attempts
Lieut. Col. Desi Bouterse, Suriname's head of state, ordered to isolate and destabilize the regime, choosing to carry on its
his troops to firebomb radio stations, a newspaper office traditional policy of friendly relations with neighboring gov-
and a union headquarters in the capital city of Paramaribo. ernments regardless of ideology. But it attached a caveat to
Rampaging soldiers then rousted out of bed the country's its support. A week after the December bloodbath, Foreign
sixteen most prominent dissident leaders, including a con- Minister Ramiro Saraiva Guerreiro told the Spanish news
servative industrialist and two members of the Communist agency E.F.E., "It should be more than a hope that Suri
Party. That night, fifteen of the prisoners were tortured and name will not be transformed into a point of East-West con-
.executed on the riverfront. The following morning the flict or a source of risk for Brazilian security. Brazil will
military regime announced that a Christmas coup planned never tolerate that." The Brazilian military, which saw Suri-
by the Central Intelligence Agency had been averted in the name as a potential base, was outraged by the itinerary
nick of time. The regime has yet to reinstate freedom of Bouterse chose for his trip to the New Delhi summit of non-
speech and assembly as well as to allow independent political aligned nations in March 1983. After picking up Prime
activity in this Dutch-speaking country on the northeastern Minister Maurice Bishop in nearby Grenada, he traveled to
shoulder of South America. Havana, where the two leaders met with Fidel Castro. Theri
The alleged coup attempt was the seventh of eight the the Surinamese, Grenadian and Cuban delegations boarded
government claims have occurred since Bouterse and his an Aeroflot jet and proceeded to New Delhi via Moscow.
Magnificent Sixteen-a group of disaffected noncommis- Recalling the influence of Frantz Fanon on Suriname's
- stoned officers-took power almost by accident in 1980. young leaders, British journalist Andrew Whitley of Finan-
The brutality with which it was put down touched off a cia! Times wrote that Bouterse's travel route "has more to
flurry of diplomatic activity: protests in the name of human do with the exorcism of colonial devils ...than with any
rights from the United States and the Netherlands; a call Machiavellian schemes by Havana."
for "internationalist solidarity" from Cuba and for "non- Seven months later, on October 25, U.S: marines and
intervention" from Brazil. Army Rangers hit the beaches of Grenada, and Bouterse sud-
The Netherlands played the stern postcolonial parent and denly found a new set of devils. Although he formally con-
cut off the $10 million in annual aid (about $300 for each of demned the invasion, later that day he expelled Cuban Am-
the country's 330,000 inhabitants) it had been sending to bassador Oscar Osvaldo Cardenas, canceled the Cuban aid
Suriname since its independence in 1975. Amsterdam tacitly program and fired several government workers who were
condones the activities of a group of counterrevolutionary members of the pro-Cuban Revolutionary People's Party
Surinamese exiles based in the Netherlands and led by (R.V.P.). Brazilian and American diplomats, including Am-
former President Henck Chin a Sen, who hopes to regain bassador Duemling, professed their pleasure with this devel-
....? TL_ T__._L I
The Reagan Administration, reasoning that the massacre damnation of the military regime. The Cubans maintained a
had made Bouterse vulnerable, ordered the C.I.A. to plan discreet silence, perhaps figuring they should have known
better than to get involved with a political opportunist like
an operation in which a force of Surinamese dissidents Bouterse.
would seize Paramaribo, a pleasant town of clapboard
houses with a close-cropped Revolutionary Square. But the -~~
House and Senate Intelligence Committees blocked the
operation. Committee members said the testimony of Direc-
tor of Central Intelligence William Casey and U.S. Am-
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ed For Release 266W,08: CIA-RDP91-00901R0004
11 February 1981t
ben the Reagan Administration launched the forestry and health care. Between fifty and seventy-five
invasion of Grenada, it got an apparent vote Cuban technicians-a handful of them military personnel-
of support from an unexpected quarter: rotated through Suriname in any given month. Cuba trained
Bouterse's bodyguards. Its backing enabled the colonel to
Suriname, which is ruled by a military ,tars,-e 4..
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ARTICLE APPEARED
ON PAGE
Synfuels' Plan
to Harvest Peat
Is Questionable
Congress is having serious second
thoughts about the $15 billion blank
check it.-gave the U.S. Synthetic
Fuels Corp. to develop new sources
of energy. After nearly'four years of
lavish sightseeing and study, the
highly paid Synfuels officials have
yet to produce an erg of energy from
alternative fuels.. -
Rep. Howard E. Wolpe (D-Mich.)
has introduced a bill that would bar
further Synfuels grants until Con-
gress has had a chance to sort.out
the agency's problems. About 100
House members are co-sponsors.
In addition, the House Energy -
and Commerce Committee is plan-
ning moves. to curb the Synfuels
Unfortunately, these good inten-
tions may come too late to sa'e the
taxpayers much money. Synfuels is
planning. to:apend at least $10 billion
by the end of the year.
What makes this rush. to dole out
the billions particularly outrageous is
that the corporation has said that it
might not submit a comprehensive
strategy plan to Congress this year,
despite the law requiring one. This
means that the lawmakers will have
WASHINGTON POST EWE 0 KLY
11 February 1984
no control over the kinds of. Projects vironmentally sensitive," the staff
Synfuels aids. cited an independent study that
It also means that the projects warned: "A large-scale peat harvest.
may not get the scrutiny they should ing operation has the potential for
have if they are to avoid harm to the impacting local air quality, water
environment. Internal Synfuels doe- quality and biological systems."
uments obtained by my associates Dust emissions alone from the
Corky Johnson and John Dillon pro- synthesizing factory could push air
vide a shocking example of the.agen- quality over the danger level, accord-
c
's a
ar
t i
diff
e
y
pp
en
n
erenc
to envi- ..,mg to Synfuels staff documents. Ex-
ronmental considerations. panding the operation as planned
The project :involves neat mining could spew unsafe quantities of sul-
an North Carolina s co4.s?_ wet an[ . phur dioxide into the air.
' In addition, runoff from the
rhvio PYA X17M:___ ,-r, -- . peat
and other influen els tial Renubli anR "" `??` 'uo,uury iev-
in the water and poison the fish,
The neat wo old b svn hesized into` while solid wastes produced by the
methanol ?as. . Plant could leak cyanide into the
The project will start out as a rel- ground water
the st
ff
d
,
a
warne
.
atively small pilot plant, which the, Despite the risks, the Army Corps
Synfuels staff .says it believes will .of Engineers and the Environmental
have little- impact on the environ- Protection Agency, which have ju-
ment. But the point of Synfuels' risdiction over .the wetlands, have
$450 million investment is to create given First Colony permission to go
a large-scale commercial operation; ahead. Synfuels officials insist that
and that's a different . story.. ..steps will be taken to protect the
"[The] site has available land-for environment.
tenfold expansion of the plant," a The crusher is this: the whole pro-
staff evaluation points out, "but a ject may be as economically unsound
great many environmental issues will as it is environmentally dangerous.
require resolution." The staff warns "Significance of peat is limited by
of "adverse impacts on local fishing environmental factors and by its un-
from plant discharges and/or mining promising economics- relative to
runoff." coal," the Synfuels staff concluded.
The wetlands that would be af- The Environmental Policy Center
fected by the peat project provide a has filed a class-action suit -against
livelihood for 23,000 commercial the First Colony project, naming the
fishermen and associated workers. EPA and the Army Corps of Engi-
Noting that the wetlands are "en- . neers as defendants.
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OF PZGE
~
President Reagan's decision to pull
the Marines out of Beirut resulted less
from 1984 election year fears than
from his worry that Secretary of state
George Shuhzs failed Lebanon polity
threatened new and worse disasters
for the United States.
Even Kit Shultz himself had been
in Washington over the pest weekend.
when the withdrawal decision was
reach4 he might have blocked it
"There would have been at the very
lea -t a lot more acrimony," a key Rea-
gan Mideast. adviser told us, "and per. haps another costly delay." Shultz's
blind clinging toe diseased policy that .
had long since become terminal now
hands Syria the juicy key role that the
United States might have played in
building a new Lebanon.
Given Reagan's notorious patience
vc'itli wayward advisers and aversion
to hiring a third secretary of state in
three vers, he will retain Shultz But
although the -ethdrawal decision .
shifts Reagan away from new disas-
ters. there is no way to nullify crave
harm dome to his foreign policy, his
credibility and his countrys standing .
in the world by Shultz's blindness. '
One measure of that harm was a
seat meeting Monday -between
Saudi Arabian King FaM and French
President Francois Mitterrand in the
Drsee Palace. The Saudi. monarchs
?a key but uraxcessf'ul intermediary
between the United States and Syrian,
President Hafez Assad during the long
effort by pro-American Arabs to get
Shuirx to deal with Syria s concern
aver U -lsaeii pressures on Lebanon.
Fahd flew to Paris for a single pur-
pose to convince Mitterrand that if
America's European allies failed to
persuade the United States to play an
evenhanded role between Israel and
the Arabs, Western influence in the
-Arab world was doomed to be mvr-
.shadowed sooner or later by the
Soviet. Union.
10 February 1984
WASHINGTON POST
Rowland Evans and Robert Novak
Shultz's Failure
King Hussein of Jordan, due here its
to we Reagan next week,, has ex-
pressed similar worries - privately to
-US. officials. Shultz's insistence that
Lebarm's hapless president, Amin'
LGemayet, swallow the May 17 Isra&
t .I ebanon -t oo'p withdrawal agreement:
increased tbese-Arab fears. It warned
-pro-American Arabs that a future Is-
3aell invasion of, for instance, Jordan,
like -the ' 19K invasion -of Lebanon,
-could bring similar U.S. pressures "on
}iussein to sign humiliating terms as
the price of.Israeli withdrawal. -
previous peak, Syria rides ever
higher on the humiliation of the
United States; internal political tur-
bulence immobilizes Israel; the United
States risk more Islamic wrath by
= killing Moslems when necessary to
suppress rebel fire in Beirut.
Still to count is the political cost at.
home for Ronald Reagan's high-flying
reelection campaign. The one-in-10
chance that Gemayel will somehow be
preserved -following, his surrender to
Damascus might -contain the oast
somewhat, At best, however, Amer-
ican influence will be reduced to a ve-
neer, showing Reagan a big loser in
the superpower ,game and blackening
his foreign policy record. That is just
what Reagans advisers feared and
privately predicted-,all of them. that
:is, except those on the seventh floor of
?theState Department.
.: c rll645' eld EnIeearlces.Inc.
For Shultz the tragedy ?of failure is
deep and personal.' The collapse of
Gemayel's government was -indirectly
caused by his addiction to-the ono-
sided May 17 agreement- Yet, with
the exception of a few pro-Israeli:.;
Foggy Bottom fantasizers, it was uni-
versally perceived as the wrecker -of
Shultz's hopes for a new U.S.-backed,
Israeli-sponsored Lebanese mime
The u lapse Hof Gemayel'ra govern-
ment has now imposed a death sen-
tence on the May 17 agreement. But
when a high official of a trusted U.S.
ally -Vent nearly two :hours last
December warning Shultz the agree-
ment would explode in the. West's
face, Shultz gave no gramd.
As leader of the Western alliance,
the United States is uniquely immune
to .pz ures:from its epertnera -.r*-
Lebanon debede.roeymakeit lees so.
- Strarige}v, theperoeptiora of.Amer-
nni i~ir in the ashes of
Leh :.is bette -understood in the
Pentagon a
ads of the CIA than in Shultz's
State Damnent.~e en 'creterv
LAM Weinberger, CIA Director
William and,' before he mined
G-abinet, former national security
,adviser . William Clark understood
how the Arabs would read hultz's
1983 demand for a wo- srael
nese government as implicit U S. sup-
rt oor vies r s
But tlvbitter fruits of Israel's inva-
sion of Lebanon and Shultz's flawed
policy ever since have not yet all been
gathered. The buildup of Soviet
power in Syria continues far beyond
TAT
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 krl
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e l / -RDP91-00901R000400050002-0
E1A asks'aid hike f
Herald Wr4hington Bureau Lrrj' the ithihi ii a tas
WASHINGTON --' Th. C IA has 1~ff t bi~i 4e
advised Congress that the rebels it
finances in their battle against Nic-
aragua's Sandinista government
have made some progress, and that
it wants additional funds for them
this year and next, according to
several congressional sources.
The sources also said that CIA
Director William Casey told ; the
House and Senate intelligence and
armed services committees In clas-
sified briefings that the. CIA. would
continue backing the insurgents
until the Sandinistas fulfill four.
conditions:
* End support for 'Salvadoran
guerrillas.
4D End military and security ties
with Cuba in particular and the So-
military aid for El Salvador, and As a .result, some congressional
therefore the CIA keeps coming sources said, the CIA reportedly
back for more. money every year. A had warned the.FDN late last year.
"We have received assurances of that if It, didn't step up the "secrete
a commitment from the United:' -war" -by Feb. 1, the agency could-
;.States to continue giving' us"sup-`. re-examine.its.support for the anti
port," Adolfo' Calero, civilian "head, .Sandinistas:
`of, the Nicaraguan Democratic' --:.These sources said the CIA de
Force (FDN), one -of the -groups manded,that the FDN, in exchange
fighting the Sandinistas; said in an- for continued support, take"its war'
interview. "We believe the U.S. to the cities, occupy territory toes-
commitment is secure." tablish a provisional government;
Some members of Congress have reorganize its general staff, stream-
criticized the FDN for failing to ex- line its fighting campaign and ulti-
pand Its operations within Nicara irately form.. -a=._military :'alliance
gua, for not taking any villages or'. with the other anti-Sandinista rebel_
vier bloc in general''. cities and for not "liberating" tern- group, the Costa Rican-based Dem-
forces and stop "threatening" .: ed-
neighboring countries.
a Call elections and allow oppo-
sition leaders to participate.
Congressional sources, who have
had access to classified information,
said Casey told the committees that
the administration would submit a
supplemental request to the House
and Senate intelligence committees
for additional funds in 1984. --..
The sources said that President
Reagan's budget proposal sent to
Congress Feb. 1 also contains, in a
classified segment, a . request for
funds for 1985:
The sources said Casey spoke of
needing between $20 million' and
'$50 million this year and about $50
.million next year. However, the-
sources said, Casey did not provide
final figures. Currently, the Hondu
ran-based rebels are operating from.
a $24-million fund approved by
Congress last year.
The money is expected to, run out
by dune and Congress has, prohibit-.
ed the CIA from dipping into its
contingency fund to finance the
rebels, as it had done before. That
was part of the compromise be-
tween Congress and the administra-
tion to allow the covert operation to
proceed even after the House voted
twice in 1983 to end it. '
' The contras [anti-Sandinista
rebels] have become a line item in
the budget," a knowledgeable con-
gressional source said. "They have
becan e insti`utionali d like
ON PAGE
-(Axut}
These. same sources suggested
the FDN has met some of the de-
mands and is working on others. As
a result, the sources added, the CIA
:has concluded that its covert pro-:
gram in Nicaragua has been moder-
ately successful - particularly be-
cause It has.pressured the.Sandinis-
-tas.into a more. conciliatory stance
toward the. United States.
-.But Calero acknowledged' that
the organization has not . achieved
certain . objectives., -He said that
some of them, such as seizing terri-
tory or igniting city warfare,-.were
"options" and not "do-or-die" goals.
He said recent changes to im-
prove the efficiency of FDN's effort
included the: shake-up of the gener-
al staff, formerly consisting mostly
of military chiefs.. This group, said
Calero, was replaced with a civil.
ian-military junta headed by Calero
himself.,',. ,
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 QTA
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A.RTICLR APPEARED
On PAGE
WASHINGTON TIMES
7 February 1984
Reagan aides fight effort,
to replace Meese
b
By George Archibald
WASHINGTON TIMES STAFF
Several of President Reagan's top
aides reacted swiftly yesterday to
counter efforts by top Republicans to
persuade the president to name a con-
servative successor to Edwin Meese III
as White House counselor.
Michael K. Deaver, one of the
president's top lieutenants, and Mr.
Meese himself reportedly telephoned a
number of individuals associated with
the renewed campaign reported yester-
day in The Washington Times.
"Their message was basically that
Mr. Reagan is the number one conser-
vative in the White House, that he
doesn't need another top-level conserva-
tive to advise him, and that he is happy
with the new staff arrangement follow-
ing Mr. Meese's nomination as attorney
general," said one source familiar with
the calls.
The White House reaction yesterday
added fuel to the speculation in conser-
vative circles that a "deal" or "under-
standing" not to replace Mr. Meese had
been struck by the president and White
House chief of staff James Baker III
when Mr. Reagan decided to send Mr.
Meese to the Justice Department.
According to reports, Mr. Baker was
the first to ask Mr. Reagan for the attor-
ney general's job when it became known
that William French Smith had re-
signed. Mr. Meese also requested the
post and after Interior Secretary Wil-
liam Clark weighed in on Mr. Meese's
.side, the president decided to turn Mr.
Baker down, it was reported.
Mr. Reagan then privately agreed not
to fill Mr. Meese's counselor post, so the
report went, to give Mr. Baker undis-
puted control of the White House.
During a "long talk." with Mr. Baker
last week, a House leader warned that
the arrangement left Mr. Baker in an
exposed position, according to a source
familiar with the meeting. "Baker now
realizes he has a problem. Everything
that goes wrong between now and No-
vember will be blamed on him and
Deaver," the source said.
Messrs. Baker and Deaver are travel-
e
lmg with the president and could not
reached for comment.
Mr. Meese could not be reached for
comment.
A senior White House official denied
thata "deal" had been made by the pres-
ident and his top lieutenants. Mr. Rea-
gan considered naming someone else as
his counselor but decided "he didn't
want to do it," the official said. i
The quiet campaign to place an influ-
ential conservative in the president's in-
ner circle of advisers was mounted by
a broad-based group of Republicans.
Leaders include members of Mr. Rea-
gan's former "kitchen cabinet," New
York financier Jeremiah Milbank, Heri-
tage Foundation board chairman Frank
Shakespeare, and former Transpor-
tation Secretary Drew Lewis, who is ex-
pected to become the president's cam-
paign chairman, according to sources
involved in the effort.
Accordin to sources those who have
been involved in the discussions include
en Paul Laxalt R-Nev, Mr. Clark, and
A Director William Casey,' w
chaired Mr. Reagan's last presidential
campaign, the sources said,
More than 10 GOP senators, includ-
ing several moderates and liberals, have
joined the effort to persuade Mr. Reagan
to bring a strong conservative into his
top staff, according to Capitol Hill
sources.
Some GOP moderates, including
Sens. Charles Percy, R-Ill.; Rudy Bosch-
witz, R-Minn.; and Thad Cochran, R-
Miss., are also concerned "because they
understand that if the (conservative) co-
alition isn't held together that it may
affect them," said one source.
Colorado brewing magnate Joseph
Coors, a leading conservative and long-
time friend of Mr. Reagan, is reportedly
the group's prime candidate to be the
new White House counselor..
Mr. Coors was scheduled to meet with
White House officials tomorrow to dis-
cuss the need for filling Mr. Meese's
slot.
Others that have been advanced for
the job are Edwin J. Feulner Jr., pres-
ident of the Heritage Foundation; Wil-
liam A. Wilson, one of Mr. Reagan's clos
est friends; and Jeane J. Kirkpatrick, I
U.S. ambassador to the United Nations. i
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 BARRY GOLDWATEII MIZ CHAIRMAN
DA+:,IL PATMCK MOYNIHAN. NAppP&%m& For Release 2005/+L1J2&'!-CIA-RDP91-009
JAKE CAR, ITAH WALTER 0. HUDDLESTDN, KY.
VOHN M CH AFEI. R I JOSEPH R. SIOEN. JR.. DEL
RIC04I40 C. LUSAR, WO DANIEL K. INOUYE. HAWAII
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W,.LIAM S. CO"CN. MAINE
M"WARO H. BAKER. JR. TENN. IX OFFICIO SELECT COMMITTEE ON IN1 ELLIGENCE
ROBERT C. BYRD. W. VA. EX OFFICIO WASHINGTON, D.C. 20510
ROBERT R SIMMONS, STAFF DIRECTOR
GARY J. SCHNm. MINOIMY STAFF DIRECTOR February 2, 1984
IN RESPONSE PLEASE
REFER TO 84-0351
The Honorable William J. Casey
Director of Central Intelligence
Central Intelligence Agency
Washington, D.C. 20505
Dear Bill:.
I am sure you were appalled, as I was, by the hemorrhage
of classified information concerning the CIA which appeared in
The Wall Street Journal on Tuesday. All ascribed to an "author!.-
tative government source."
I assume you are investigating the-matter. Would it be
useful for our Committee to hold a hearing? I cannot believe
that a loyal officer would release such sensitive information.
This kind of thing must be stopped.
Another disquieting element is the seeming effort to
politicize the Agency. According to the Wall Street Journal,
the "authoritative government source" gave an up eat summary
of the CIA's expansion during the first three years of the
'Reagan administration." The report continued:
The source's message, likely to be repeated
during President Reagan's reelection campaign,
is that a revived CIA is back in business
around the world.
This is unacceptable. It comes on the heels of a statement
by White House spokesman Larry Speakes, commenting on. the
intelligence section of the Long Commission Report, that
the Carter administration had "crippled" the Central Intelli-
gence Agency. The New York Times put it thus:
WHITE HOUSE CONTENDS-
CARTER CRIPPLED CIA
..Mr. Speakes said: "We don't quarrel with
the fact that the CIA and other intelligence-
gathering agencies have been crippled by
decisions of the previous Administration, and
we are in the process of rebuilding capabili-
ties. But.it takes time to re-establish our
intelligence-gathering methods."
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~:t
t 0
 STA11
The Director of Central Intelligence
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Ya hirgart D. C. 20505
2 February 1984
Ms. Meg Greenfield
Editor, Editorial Page
The Washington Post
1150 - 15th Street, N. W.
Washington, D. C. 20071
Dear Ms. Greenfield:
That was a strange performance in your reporting of the statement I
made in response to Senator Hart's citing as improper my not placing my
securities in a blind trust. I pointed out that Senator Hart had sat in
the Senate when the mandatory blind trust was rejected and disclosure
established instead .as the appropriate method to protect the public
interest when officials sell or buy property.
The purpose of my brief statement was to call attention to the fact
that Hart was there when the rules were established and now cries foul
at transactions which were contemplated at the time and which were handled
in-every respect in conformity with those rules. The story in your
January 30 issue managed to entirely omit this central point, while
reiterating Hart's politically motivated charges. It is hard to attribute
this handling of my explicit statement to accident or incompetence.
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 Approved For Releas?r-~~c~a~$fBCe~rt4-~~~~09
Nashtngn, D. c 20X!5
Mr. Max Frankel
Editorial Page Editor
The New York Times
229 West 43rd Street
New York, New York 10036
Dear Mr. Frankel:
2 February 1984
That was a strange performance in your reporting of the statement I
made in response to Senator Hart's citing as improper my not placing my
securities in a blind trust. I pointed out that Senator Hart had sat in
the Senate when the mandatory blind trust was rejected and disclosure
established instead as the appropriate method to protect the public
interest when officials sell or buy property.
The purpose of my brief statement was to call attention to the fact
that Hart was there when the rules were established and now cries foul
.at transactions which were contemplated at the time and which were handled
in every respect in conformity with those rules. The story in your
"January 30 issue managed to entirely omit this central point, while
reiterating Hart's politically motivated charges. It is hard to attribute
this handling of my explicit statement to accident or incompetence.
Sincerely,
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 ABC NEWS THIS MORNING
Approved For Release 20Q5/1 a 4-- 91-00901 R0004
CAMPAIGN '84/ AARON: Two days after President Reagan announced be was
CIA BRIEFING running for reelection, the CIA director he appointed
outlined some of the agency's successes. Senior
correspondent John Scali reports.
STAT
SCALI: The usually silent CIA is publicizing some of its
major successes of the past three years, but top officials
say the timing is not connecte.d in any way with the start
of President Reagan's reelection campaign. CIA Director
Casey, who was chairman of the Reagan political campaign
in 1980, called a special briefing for reporters, his first
since taking office, to emphasize how much stronger CIA is
now than during the days of the Carter administration.
Some 800 more covert agents are now at work, he said, with
more CIA outposts overseas, more analysts, and superior
reporting. He pictured the Soviet KGB as now on the
defensive, struggling to cope with CIA's anti-communist
operations around the world. Casey skid very lightly. over
CIA shortcomings, such as failure to warn in advance of
terrorist, bombings. All in all, a very upbeat report.
Officials at the Republican National Committee said they
wouldn't be at all surprised if some of Casey's conclusions
wound up in a political speech or two, even though, they
said, he never intended to produce campaign ammunition.
John Scali, ABC News, Washington.
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