VISIONS DIFFER AIDES PROPOUND SCENARIOS FOR CENTRAL AMERICA

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CIA-RDP91-00901R000400070003-7
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July 31, 1983
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A.RAT304 PAQI STAT lease 2005/11/28 : CIA-RDP91-00901R WA SHINGT ON POST 3: u.iy 1963 VISIONS DIFFER 000400070003-7 Aides Propound Scenarios for Central Atrui erica By Lou Cannon Washington Post Staff Writer As the Reagan administration struggles to defend its Central American policies to the country and the Congress, it finds itself far more united on supporting the government of El Salvador than on what to do about the leftist re- gime in Nicaragua. Some officials lean toward de- stabilizing the Nicaraguan govern- ment and say that l)3., the end of the year U.S.-backed guerrillas will develop the military capability to challenge and eventually over- throw the Sandinista regime. But others . suggest that the United States could accept a Yugoslav- style communist government in Nicaragua if that country stopped supporting Salvadoran guerrillas and did not serve as a Soviet or Cuban military base. One . high-ranking official said that it is 'a shot in the rain barrel" to predict what the situation in Central America will be in six months. But, he said, "there's a softening and a great nervousness in Nica- ragua" and the "contras,' the , counter-revolutionaries, were ral- lying more troops to their side than they could arm or feed. An army of 25,000 insurgents,, _ about double the number now con- templated, could take over Nica- ragua, he said. A force of that size could be organized, equipped and sustained over time, he added, be- cause the Sandinistas "have a de- teriorating economy and lack the support of the people. Such a scenario presumes that Congress will not cut off funds for the CIA-supported covert opera- tion in Nicaragua. Though the Senate is not expected to support Thursday's House vote for a cutoff of covert funds, House leaders be- lieve that they may be able to block funds for fiscal 1984. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 ? The expectatation of an eventual victory for the rebels in Nicaragua is one of several conflicting outcomes visualized for Central America by high-ranking administration of- ficials. most Of-whom talked on the condition that they not'be quoted by name. Several officials expressed the view that the United States would settle for a situation in which the Nicaraguans were frightened or pressured into withdrawing their support for leftist guerrillas in El Salvador. "I would hope six months from now that El Salvador would no longer be facing an enemy that is trying to shoot its way into power," said Secretary of Defense Caspar W. Weinberger. "I hope that Nicaragua will have stopped trying to resupply a guerrilla force and export their distorted brand of revolu- tion. Then Nicaragua can do what it likes." Some offiCials conceded that the insurgent forces in Nicaragua will try to take advan- tage of the "military shield" created by U.S. forces during, their six Months of training exercises in neighboring Honduras and off the Atlantic and Pacific coasts of Central America. But they said the contras and the Reagan administration do not have identical aims. "We have minimal and maximal goals in Nicaragua. And I truly believe that they are not identical with the contras'," said U.N. Ambassador Jeane J. Kirkpatrick. Reagan administration officials appear to be united on "minimal goals," primarily stop- ping Nicaragua from serving as a base or supply center for the leftist guerrillas in El Salvador. But the "maximal goals" provoke disagreement. The stated goal of the Reagan adminis- tration, proclaimed many times by the pres- ident, is that Nicaragua return to the prom- ises of the Sandinista revolution, grant es- sential freedoms to its citizens and carry out its pledge to hold free elections. But some officials have said that the Unit- ed States would settle for much less, such as a regime that followed the principles of "na- tional communism" similar to that of Yugo- slavia or the People's Republic of China and was not a Soviet or Cuban military base. A source confirmed that a high-level U.S. official had explored this possibility with a high-level Cuban official at two meetings. The Cuban reportedly did not respond. But last week Fidel Castro proposed an agree- ment in which all parties involved in Central America would agree to end supplies of weapons and military advisers to the rival forces in El Salvador and Nicaragua. Reagan said Friday that he is willing to give Castro the "benefit of the doubt in any negotiations." The seriousness with which the president took the offer of a communist leader whom he has frequently denounced raised specu- lation that the United States and Cuba may be seeking to reduce tension in Central America on the eve of the U.S. military ma- neuvers in the region. Reinforcing this, view, high-ranking offi- cials said that they see no sign that Cuba is prepared to invest combat troops in Nicara- gua, which Reagan has publicly described as the base of a Soviet-Cuban "a war machine." Officials who agreed to discuss the activ- ities of the U.S.-backed forces in Nicaragua only in the most general terms said that they , do not anticipate that Cubans would enter the-conflict in response to stepped-up activ- ities by the contras. On Thursday, CBS News reported that a number of senior CIA officers have objected to the plan of CIA Director William 3. Casey to expand contra activities against the Ni- caraguan government. The report was officially denied. But sources Friday confirmed part of it, which said that some CIA officials felt that the ex- panded covert operation was likely to pro- voke "a dangerous military response" and that Casey had no contingency plan to deal with Cuban intervention. CONTINUED Approved For Release 2(Xla/41t24-kcATRDP91- 3 1 July rl-ri 0.9 r: -?? - - sha ow over Latin This story was reported by Storer American pone WASHINGTON?Moving a fleet of war- ships to Central American waters can be easier, President Reagan is discovering, than moving the American people away from their memories of Vietnam. The President's policy on Central Ameri- ca is in trouble, and he knows it. One clear sign of how deep that trouble is can be seen in the resurrection of former Sec. of State Henry Kissinger, not ?so long ago a symbol for Reagan of all that was wrong with American foreign policy but now returned to grace as the head of a presidential commission on Central Ameri- ca. Despite an urgent and personal lobbying effort involving not only Reagan himself but Secretary of State ..Tecirge Shultz and National Security Adviser William Clark, the House on Thursday voted to cut off CIA operations in support of anti-government guerrillas in Nicaragua. And only two days earlier Reagan himself acknowledged in a nationally televised press conference that the Ameri- can people, so far at least, remain unper- suaded and sharply skeptical about his policy and his intentions. Even some of the commander-in-chief's own military leaders have serious doubts? and, extraordinarily, have expressed them?about whether Reagan might be nudging the country toward a war the people will not support. For now at least, only the White House top echelon and Reagan himself seem convinced that the administration is on the right course. IN ORDERING A U.S. navy flotilla of about 20 ships to maneuvers in Central American seas and announcing plans for exercises by some 4,000 American troops in Honduras, Reagan and the White House - were trying to show they mean business .in . resisting what they see as the spread of . communist revolution in Central America. - The muscle-flexing was aimed at Nicara- gua whose Sandinista revolutionary re- gime. in Reagan's view, is exporting revo- lution?and arms? to leftist guerrilas in El Salvador. Rowley, John Maclean and Raymond-- Coffey of the. Chicago Tribune's _Washington bureau. It was written by Coffey. - It was aimed, too, at Cuba and the Soviet .Union which Reagan also sees as inspiring and supporting revolution in the region. Administration officials insisted last week that they ? see signs already that Reagan's tough stance is producing re- sults. "I think we see some signs of change," one administration official said. He cited "some lessening" in the volume of mili- tary materiel flowing from Nicaragua to the rebels in El Salvador and "some indi- cations" that Salvadoran government forces are currently "doing better in their war against" the rebels as a result of U.S. military training assistance. The official also said "we have seen Nicaragua and Cuba make motions to move toward regional negotiations" with their neighbors instead of the one-on-one bargaining with individual countries, in- cluding the United States, that Nicaragua has heretofore insisted on. THE OFFICIAL, who declined to be named, also mentioned that a Soviet cargo ship carrying helicopters and other mili- tary hardware had speeded up on its way to Nicaragua after Reagan identified it by name in his Tuesday night press confer- ence. The official was suggesting that this was somehow in response to Reagan's re- mark?that the President has gotten the attention of the Soviets. Beyond the Reagan inner circle, howev- er, all that sort of evidence is regarded by most informed observers here to be flimsy and dubious. The arms flow to El Salvador has diminished, they say, not because of U.S. threats but because the leftist guerrillas have /enough weapons, can capture more from the El Salvadoran army, and now need only ammunition and medical sup- plies from outside. What does appear to be true, and to be said for the Reagan policy, is that it is indeed working in the sense that he has gotten Nicaragua and Cuba nervous if not nownright scared. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 - --; Approved For Release 2005/11/28 : CIA-RDP91-00901R ARTICIA AMAIM WASHINGTON POST 31 July 1983 'CONTRAS' LAG Nicaraguan Rebels Opting for Direct U.S. Role ? 00400070003-7 By Christopher Dickey Vrainington Post Foreign Service TEGUCIGALPA, Honduras, July 30?The U.S.-backed Ni- caraguan "counterrevolutionaries" have fallen behind in their time- table for rapid victory over. the . leftist. Sandinista government in Managua and increasingly talk of the need for radical changes in the war if they are to win. Rebel leaders interviewed here speak of hopes for the start of a genuine popular insurrection against the Sandinistas, similar to the one that overthrew dictator Anastasio Somoza four years ago.' But U.S. diplomats asked about that possibility said they consider it highly unlikely. Failing that, some leaders of the contras, as the insurgents are called, say they hope for direct U.S. intervention. "It's the less cruel way, with less NEWS ANALYSIS suffering,' said Edgar Chamorro, one of the eight directors of the Nicaraguan Democratic Force. Even without a direct invasion by U.S. troops, the anti-Sandinis- tas have shown increasing depen- dence on Washington, not only for covert funding but for diplomatic _ and political support vital to their cause. With obvious hostility to their movement .in Congress?as the House vote of 228-to-195 Thurs- day for a cutoff of covert assist- ance made clear?and facing the more powerful and disciplined mil: , itary-political responses from Nic- aragua, the insurgents say that time may be running out on them: "This is not a heroic, prolonged, national liberation movement," said Chamorro, contrasting the war waged by his forces with the classic, long-term development of leftist insurgencies in th@oprioxted For We work with timetables." Last as the Democratic Force launched its first large-scale offensive in northern Nicaragua, there was talk of victory before the end of the year and of major strides by mid- summer. ? But there have been no such .gains. The .forces have retreated to camps along the Honduran border, one of the largest of which .is inside this country near the village of Las Trojes. . A second offensive, aimed at taking the town of Jalapa in the same region in June, is TOW .described by contra leaders here as an aberration, the action of a single powerful -commander known as "Suicide," acting on his own initiative. "It was like a border war. Not good for us. Not good for Honduras. Not good for any- one," said Chamorro. Meanwhile, efforts to 'establish active "task forces" of several hundre.d men deep inside Nicaragua have also failed, although leaders here say that many of their soldiers remain in place in regions such as Ma- tagalpa. Where it was once believed that the entry of former Sandinista commander Eden Pas- I tore into the fray?operating independently ' in the south near Costa Rica?would be a significant factor, his forces have yet to prove themselves capable of operating outside a remote jungle. The support that Pastore ex- pected from within the ranks of the Sandi- nista military does not appear to have ma- terialized. The Nicaraguan government says it has lost more than 600 people fighting the con- tras. The anti-Sandinistas place their own casualties at about 400, including both dead and. wounded. But the Sandinista forces arrayed-against the insurgents outnumber them by at least 5 to 1 and have proved to be effective. At the same time, the socialist indoctri- nation, militarization and regimentation that draws heated opposition from Washington and other countries in the region gives the Sandinistas a pervasive political presence and intelligence network throughout Nica- ragua. "The Sandinista infrastructure is not going to be penetrated," said a diplomat in Managua who is personally hostile to the rule there. "They're too capable. They've got everything and everyone infiltrated." - The diplomat repeated a common evalu- ation, that if the Sandinistas are able to fin- ish out this year they will have so consoli- dated their strength that nothing short of full-scale war could pry them out of power. "We need 500 noncommissioned officers' we don't have. We need very good logistics and we don't have them. We need urban organizations we don't have," Chamorro said: ? Many of these problems are blamed by the .contras and their most enthusiastic backers in Washington on insufficient fund-. ing. The Reagan administration ? has put more than $90 million into their activities this year and CM Director William Casey reportedly has asked Congress for $30 mil- lion more to fund them in fiscal 1984, which begins Oct. 1. "I think some- people up around Reagan actually believe with enough pressures the contras can get the Sandinistas out," said the diplomat in Managua. Emilio Echaverry, military chief of staff of the Nicaraguan Democratic Force, conceded that his troops?who are estimated to num- ber from 4,500 to his own high figure of about 10,000?"find themselves at. the Mo- ment in a certain static situation." .But the ex-major in the Nicaraguan Na- tional Guard argued that pressure from the United States and other countries is "closing the ring" on the Sandinistas, "tightening the political, diplomatic and economic circle." "We conceived that by the end of the year we would either be on top of our objectives Ithe ouster of the Sandinista leadership) or at a distance where it is in sight," said Echaverry. "We believe that as things are developing, that time period will be complied with." But Echaverry added, "We have to enter into a new phase"?something beyond what he called the "hybrid" mix of guerrilla and conventional tactics currently used for hit- and-run attacks. Release 2005/11/28 : CIA-RDP91-00901R0004 Approved For ReleaseL20198111128a1A-RDP91-0090 30 July 1983 70003-7 otthe'sitinds alarm on Nicaragua ? From Christopher Thomas After one of the most intense, emotional debates in Congress since the Vietnam war, the House of Representatives has sent a clear message of alarm to President Reagan over deepen- ing United States involvement in Central America. By 228 votes to 195 the House on Thursday night approved a 30-day cut-off of covert US aid to guerillas fighting?the 1eftist....5a.ndinista, regime in Nicaragua, "after which it would be for both houses of Congress to decide whether to resume support. It was a symbolic vote. The Republican-controlled Senate can safely be expected to overturn the decision, and even if it did not President Reagan would use his veto. Voting was largely along partisan lines and puts the Democratic majority firmly in opposition to Mr Reagan's strategy of intimidation of leftist regimes by shows of military might, and of support of their armed opponent. The compulsion of many of the legislators, particularly on the Republican side, was appar- ent throughout ; the debate. While there was worry about the supposed build-up of Soviet and Cuban activity in Central America, there was equal concern about further entrench- ment of US involvement. The ghost of Vietnam haun- ted the chamber during the three days of exceptionally serious sombre and often angry . debate. Mr Casey: Plan -opposed within CIA The winning majority was made up of 210 Democrats and 18 Republicans. Mr Reagan's policy had the support of 145 Republicans and 50 Democrats. Tha Administration insisted; after the vote that its? policy; would continue, but the out-i come will leave the President in; no doubt that the nation is I deeply divided Even in the upper echelons of the Central Inteligni.L.e Agnecy, which has been involved in secret anti-sandinista oper- ations in Nicaragua for 19 months, there is supposedly intense conflict. Some officers, according to CBS News, are hotly opposed to a plan by Mr William Casey, the CIA director to expand significantly the covert oper- ations in Nicaragua. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 kriAsktpraricial ter Release 2005/11/28 : CIA-RDP91-00901R.0 0400070003-7 -ON FACIA House Votes To Cut Off Covert Aid 228-to7195 laIlyis Setback to Reagan - Nicaragua 'Policy -?. , By Don Oberdortir WashingtoriPost-Staff Writer The 1-louse,-..in a partisan rebuke to President -Reagan's -policies in Central America, voted last night to - cut off further-covert U.S. aid to reb--- els fighting the leftist Sandinista government in Nicaragua. The 2284.o-195 vote, which fol- lowed one of the most intense, emo- tional foreign policy debates in Con- gress since the end of the Vietnam war, was a political blow to the 'Rea- gan administration's 19-month-old "secret war" against the Sandinistas. Split largely along party lines, the vote put the Democratic majority in the House?and, to a large extent, the Democratic Party?on the record in firm opposition to the pres- ident. But it: was highly uncertain whether the-House action would lead to_ a cutoff -of CIA support for the guerrillas challenging the Sandinis- tas. , The 'Republican-controlled Senate is considered unlikely to accept the House action. And if it were some- how approved by the Senate, Repub- lican leaders predicted that it would be vetoed by Reagan. Soon_ after the House. vote late last night, Reagan administration officials said the government _ re: 'mains committed to-continuing ..the' I divert operation fri-Nicaraitess it is clearly forbidden to do so by I ? Congress. They expressed confidence that the House action would be over- turned in the Senate. WASHINGTON POST Z9 Tuly 19 83 One official also confirmed that some CIA officiAls had objected to a plan by CIA Director William J. Casey to significantly expand th covert operation in Nicaragua n support as many as 15,000 anti-San- dinista guerrillas. The. official said these CIA offi- cers had 'gone-along" with Casey on the formal recommendation while secretlY warning some congressmen of opposition to the plan by those in the CIA who said they feared' it could .draw Cuban troops into the fighting in Nicaragua. - . ?? ? House .members were told just before .their final series of votes on the coVert? operation last night that CBS News had reported these "deep divisions within the CIA's clancles-? tine operations directorate over plans to expand covert paramilitary operations-against Nicaragua." A Whitei-lOuse of- ficial immediately called Casey to ask whether it was true, according to sources. Casey -reportedly said that all the senior officials in the agency had signed off on the proposal to expand covert aid. The legislation approved by the House last night would replace the covert support for the anti-Sandinista -rebels with $80 million of "overt" or open aid to friendly nations in Central America to help stop shipments of arms to leftist insur- gents. In order to protect U.S.-supported guerrillas al- ready in the field, the cutoff of covert aid would take not effect until a secret date between now and Oct. 1, the end of this fiscal year. A ban on such aid is also contained in a secret intelligence authorizatiOn bill for the 1984 fiscal Year pending before the House. Reagan and senior administration officials were on the -telephone last night in an unsuccessful at- tempt to swing the vote their way. Democratic leaders of the House, led by Speaker Thomas P. O'Neill Jr. (D-Mass.), made their own face-to-face appeals on the floor. O'Neill said shortly after the -vote that it "responds to the will of the American I'people." 'His winning majority was made up of 210 Dem- '.Ocrats and 18 Republicans, while 145 Republicans, ?nd 50 Democrats voted with Reagan. O'Neill and other Democrats had been saying ;for several days that a series of revelations about -administration actions in Central America, includ- ing news of plans for exercises of U.S. naval, air arid ground forces of unprecedented??size'rieer Nic- ? aragua, had dramatically increased congressional Approved For Release 200514jat AQAAR148914109111 RE113240180r70 0 0 377 TA ARTICLE APPEAlaproved For Release.20115/STI281XIA-RDP91-01)? C.:: PACE22/.._ .28 July 1963 CIA seeks more covert al House weighs cut-off By ALFONSO CHARDY Herald Washington Bureau WASHINGTON ? The Reagan Admin- istration is seeking to increase covert CIA aid to rebels fighting Nicaragua's leftist government, even as the House debates a bill intended to cut off all funding for that purpose, congressional sources said Wed- nesday. ? The sources said President Reagan will soon submit a report to the Senate Intelli- gence Committee seeking to justify the ex- pansion of U.S. help for the anti-Sandinista rebels. - ._ The same sources said CIA director Wil- liam Casey told the Senate Appropriations Committee's defense subcommittee in a classified briefing Wednesday that the CIA will _need more money ? S30 million in fiscal 1984 compared to this year's ?19.5 million? to finance the larger program. The House failed to reach a vote Wed- nesday after 51/2 hours of debate on amendments to a Democratic-sponsored bill that would end covert aid to the Nicar- aguan rebels. and authorize $80 million in above-board funds to help friendly Central American governments halt arms smug- gling to leftist insurgents. Voting was scheduled today on rival amendments to weaken or preserve the bill, as well as -on the main legislation known as the Boland-Zablocki bill.. "This CIA-sponsored not-so-secret war against the government of Nicaragua is bad United States policy, it is illegal and it doesn't work and is counter-productive to United States interests," charged Rep. Ed- ward Boland (D., Mass.), chairman of the House Intelligence Committee and co-au- thor of the legislation with Rep. Clement Zablocki (D., Wis.), chairman of the House Foreign Affairs Committee. Boland is also the author of the Boland Amendment, passed by the full House 411-0 last December, which prohibits the use of federal funds to overthrow the San- dinista government in Nicaragua. Under the original guidelines governing the Nicaragua covert operation, the CIA was authorized to finance the anti-Sandi- nista guerrillas simply to intercept arms shipments from Nicaragua to the leftist guerrillas in El Salvador. Rep. C.W.'(Bill) Young (R., Fla.), anoth- er member of the intelligence panel, offered an amendment that would allow the covert aid to continue until the United States and its allies in Central America ob- tain agreement from the Nicaraguan gov- ernment that it will stop aiding the leftist guerrillas in El Salvador. "This covert operation is working," said Young. "Because of it, the Sandinistas now appear more willing to negotiate with the United States, and the leftist insurgency in El Salvador seems to be winding down considerably. Rep. Michael Barnes (D., Md.) chairman of the House Western Hemisphere Affairs Subcommittee and a leading critic of Rea- gan's policies in Central America, offered a substitute amendment under which the end of aid would not be conditioned by any agreement with Nicaragua. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Release 2005/V11/28ZIXRDPS14-90901R00040 28 July 1983 1070003-7 CIA/NICARAGUA RATHER: Congress is not the only group in Washing on a S split over covert action against Nicaragua's Sandinista government so, apparently is the Central Intelligence Agency, the group that is in charge of this covert activity. Robert Schakne explains. SCHAKNE: There are deep divisions within the CIA's clandestine operations directorate over plans to expand covert paramilitary operations against Nicaragua. Senior career officers are warning that the plans pose a major danger of escalating.the conflict. According to very reliable sources, CIA director William Casey proposed expanding.the covert operation over the objections of a number of his senior advisers. These CIA officials say that rather than pressuring the Santinistas into making concessions, Casey's expanded covert operation is just as likely to provoke a dangerous military response, including deployment of Cuban combat troops into Nicaragua. The protesting CIA officers complain that Casey has drawn up no contingency plans for such an eventuality. The CIA dissidents say that intelligence professionals are being asked to run an operation that is not working very effectively now and has a high probability of failure in the future. Robert Schakne, CBS News, Washington. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 NEW YORK DAII,Y IIEW3 Approved For Release 20(15/11q8,: 99g,111DP91-00901R000400 Lars-Erik Nelson ; WASHING'rON They'll tell you at the White.House that Secretary of State Shultz is still in charge of American foreign policy, but he doesn't have a lot to show for it. - - - On issue after issue, Shultz has - been stripped of visible authority?to the point where today, in the words of a former assistant secretary of state, "He stands naked in his boots." President Reagan's California team likes George Shultz because he isn't constantly struggling for turf like Alexander Haig, the man he replaced. Shultz_is more relaxed, -a solid, level-headed team player. But power in Washington belongs to those who are perceived to have it, and Reagan is letting the public's perception of Shultzgrow exceeding- ly clim. On arms control with the Soviet Union?the most critical foreign policy issue because it involves the physical survival of the country? Shultz has naively let his pockets be picked by right-wing hawks. At the behest of the White House, he fired Walt Rostow as director of the Arms Control and Disarmament. Agency. The explanation at the time was that Shultz himself would play a- The shunning of Shultz strategy. He hasn't. Real bureaucra- tic power has remained with the Pentagon ? and when it couldn't come up with a clear vision of what it wanted, President Reagan had to appoint a bipartisan commission headed by former National Security Adviser Brent Scowcroft Shultz was - a spectator. r In the Middle East, Shultz.made two'.manful but abortive efforts. The -first was to' persuade President Reagan to make a speech last Sept. l -outlining a new, realistic strategy for negotiations between Israel and its Arab neighbors. The initiative went nowhere, and Shultz let It die The second effort was the -troop with- drawal agreement Shultz negotiated between lsraeY and Lebanon -last _ May. That, too, went nowhere. Now Shultz' man on the scene, special envoy Philip Habib, has been replaced by the White House's Robert McFarlane Theoretically, McFarlane reports to Shultz?but don't bet on it. McFarlane is the deputy to White House National Security Adviser William Clark, and -when you have a direct line to the White House, you don't fool around with the State Department . In Central America, Shultz has simply abdicated responsibility. Again at the behest of the White House, he fired another expert, Thomas Enders, as assistant secre- tary of state for inter-American affairs. Enders was too. willing to contemplate a negotiated solution with leftists whom Reagan 'would prefer to squash. Now Henry Kissin- ger has been named to head a com- mission to work out a long-term US. strategy for Central America. Meanwhile US. naval battle more central role, in nuclear_ groups are gathering off the coast of Nicaragua, CIA Director William Casey is running the world's most / publicized covert operation along the -4 Honduran-Nicaraguan border and United Nations Ambassador Jeane Kirkpatrick is justifying ever-in- creasing aid to. right-wing Nicara- guan guerrillas. - "What hits Shultz got left?" asks a former aide -to Secretary of State Cyrus Vance "He -hasn't got the Soviet Union, he hasn't got China, he hasn't got the Middle East, he hasn't got Central ,America and be. hasn't got arms control:" - "On issue after issue, he has himself be cut out of the -action:" says a Republican-Senate-staffer. "I'm not even sure_he'slawareoaf FORMER undersecretary of - state says that what is happen- ing to Shultzisan inescapable fact of political and bureaucratic life "When a President becomes person- -ally involved and committed to a major foreign-"policy problem under fire, he feels he has-got to have the people immediately around him run- ning the show," the ex-official said. "That cuts out the of state?unless he has an unusually close relationship like Dulles-- and -Eisenhower or 'Ford and Kissinger." Reagan., according-to an aide, was infuriated last week at a TV report- er's suggestion that Shultz has be- come a nonentity. "It's unfair to judge Shultz on his public person- ality," the aide said. "He doesn't like to be a high-profile guy. He's got the President's ear. He has helped us on- e lot of issues relating to defense and the economy and, as far as we're concerned, he's going to stay around." But will he matter? Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 - Cruiti.V Approv Jr Release 20S148AiTCtlIDP91-00 27 July 1983 \%1 ' ' - - - ? /cO*11) wC7 rr To SERE? .*Now think---daes the name 'Casey mean .anything? Doey 'CIA' mean anything? Does El Salvador'? 'Nicaragua'? 'Carter Briefing Book'? .You Recall Nothing?' ? ? iei;..1.-????.. ? Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Release 2005/11/28 : CIA-RDP91-00901R0004000 k'TTCLI VMS= CHRISTIAN SCIENCE MONITOR 26 July 1983 Many voices on Reagan's Central America policy . . Minimum aim is to end Sandinista support for El Salvador guerrillas_ By .Diniel Southerlaucl -. ? Staff correspondentof The Christian ScienCeMonitor ? - : ? - Washington Anyone who is confused about the Reagan .adrairtistra- tion's Central America policy probably haa.ki Figh- t be. So are some administration officials , One senior official remarked last weekthit ybirneed a score card to keep tra&--of the -players. ile?was referring to the recent additions ,to the administration - team -of Henry A. Kissinger as Central America commission lead- er, Richard Stone as roving envoy, and Lan,gborne A. Motley as the new assistant secretary_ of state for inter- American affairs. With the so-called -secret war against Nicaragua con- tinuing and possibly intensifying,- CIA Director William -3 - Casey is apparently playing a more aCtive role. Sd is liam P. Clark, President Reagan'S nationakecurity ad- viser. It's widely acknowledged that throughlier trip to the region and her recommendations that more resources .-be devoted to the probleni,?United NatiOns Ambassador Jeane J. Kirkpatrick has had a major impact.. But ever since Thomas 0. Enders was busted nearly two months ago as assistant secretary of state for inter- American affairs, it's been more difficult to tell who's calling the shots in Central America policymaking. In ad- didnn, administration pronouncements seem to lack any clear sense of coordination. State Department officials are dismayed by statements coming from Defense De- partment officials who speak openly about trying to "in- timidate" Nicaragua. Leaks to the press from officials who are worried about the direction policymakers seem to be taking make it sound as though Reagan is a warmonger bent on crushing the Sandinista regime in Nicaragua at all costs. In the midst of the babel of voices, few people seem toy much attention to what Reagan himself actually says. Is the policy to overthrow the Sandinista regime? Probably not, at least at this stage. But it-certainly could become that. As one official explains it, different officials have different agendas, or "end games." Some officials at the CIA, Defense Department, and the White House are said to harbor the hope, if not the explicit aim, of overthrowing the Sandinistas. What one can safely the President's policy is designed to increase the pressure on the Sandinistas, in the hcpe that they will cut their support for guerrillas fighting the United States-backed regime in El Salvador. Attempting to put it in the simplest terms, one official says, "the policy Is to push them to the negotiating table, to make them change." Another official says, "The strategy is to prevent the overthrow by Marxist guerrillas of another government in - Central America." If these explanations are correct, then the administration's decision to organize-larger- -than-usual military exercises off the coast of _ and in Central America can be explained as part "business as usual" and part psychologi- cal warfare. But some observers think that the policy goes further than this. They say the policy is belligerencetoward the Sandinistas, and they base their view on a staizment froin ? the President himself. - - When he was asked on July-7/ if he thought ? there could be a satiSfactory settlement if the -Sandinistas remained in power in Nicaragua. Reagan said: "I think it would be extremely difficult, because I think they're being sub- verted, or they're being directed by outside forces." Any policymaker reading that message ?from the boss might assume that a little esca- lation of pressure aimed at 44dectaniii7ing" the Sandinistas would be in order_ But some officials caution that not too mich should be read into the President's-statement about the difficulty of reaching agreement with the Sandinistas. They say that a naval blockade, or quarantine, is a remote possibility indeed. At the same time, they say, a signal niiist be sent indicating that the US will not simply stand aside should the Soviets and Cubans in- crease their support for Nicaragua and the Salvadorean guerrillas. State Department ()Metals are concerned that officials in some other agencies want to precipitate a crisis, bringing a showdown with Nicaragua. "Some of the macho types really want to rattle the cage, and see whatbirds fall out," said one official. _ Langhorne Motley, the new assistant sec- retary of state, is described by his subordi- nates as highly intelligent But no one, no matter how intelligent, is likely to come in at this stage and suddenly assert the kind of con- trol that Thomas Enders had over the policy and its implementation. Meanwhile, though it may appear that the administration knows exactly where it is going in Central America, It may be working things out on more of a day- to-day basis than most people realize. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 angigue ase 2005/11/28 : CIA-RDP91-00901R00 ON ?AU BOSTON GLOBE" 26 Tuly 1983 00070003-7 CIA's Latin buil u plan assailed By David Rogers ? Globe Staff - WASHINGTON - In their strongest lan-, guage to date, House Democratic and Repub- lican leaders sharply criticized plans within the Administration yesterday to escalate co- vert activity in Nicaragua. with minority - leader Robert Michel saying be could not "conceive" of President Ronald Reagan ap- proving the levels being . proposed by the . "I ca.n't conceive' of us going'to the lengths that have been reported." said the , Illinois Republican. He-Said lie told Reagan directly of his "dismay" .at the .reportsat a.. --Small 'private 'Whiteliouse txcheort "Whatever cause -there is for some of: these stories may well have been picked up - from some -weking papers,", said Michel. - but The-GOP-a-leader insisted -that -Reagan?, had neither made a clexAsion -nor even seen . the new proposals "I just expounded my complete dismay at what I was reading. Judas Priest, we have not been talking about that kind of thing. I just can't imagine this is the route we're going. -it's really gutting us and undercutting us," he said in reference to the impact on his own efforts to find Some compromise to blunt a Democratic-sponsored resolution this week to terminate all aid. "The Presi- dent assured me that I was not going to be left hanging out there ... It's one thing to write a story based on option papers. It's an- other to be based on a decision. More than a week ago, -sources reported ' .that the size of the ,anti-Sandinista frisur- gency was expected to grow to between' ' 12,000 and 15.000. ,and the CIA' is 'known to . have dikussed thmefigures' with Intelligence Committee members.. Whether a final decision has been made is disputed. but 'The -New York Times published a report yes- terday saying the White House had already given general approval to plans including stepped up aid to. the guerrillas and a campaign of sabotage against Cuban installa- tions in Nicaragua. _ - Michels comments came as Olouse 'Intelligence '.chairman Ed- Ca.rd Boland (I.Mass.)'..-said he Apuld ',.'absolutely-7.1.press for a final tbte-?thisomeele4ondbe -resolution ?to pker"ThomP,O'Ne1ii Jr. ec9.0-#.1rieCt-ti***itePs Ot:01,:lr914:14ratiori-*1;seir1at.e irvPEE*Siire-iiiiWearagUa. think it ii-aiful.4,70idic 1t36abSo-4' ely said :ithe. liberal. ocrat:::,4.1.1,..tpiriklpgirtghtening 'their rin,NVaitagualit's.an"..172 rineeded howtrength and ari'..1 pnueetited 'show:7,0s? trength can' cause - ? Both- 'Boland have 'een. consistently -cautious about tredicting pa.ssage4Of the resolu- kieri.-But among -Democrats, there appears to be increased unity be- wd.tb?nitiative ivhich may gain Inzengtb'Pf rorn ',the 'concern now- the Options Icing teviewed - 'the President. Rel.), Dave McCurdy one of the most conservative Demo- crats on the House committee, said yesterday that he would riow sup- port Boland after talking with the Administration about a possible compromise. majority leader Jim 'Wright (D-Texas) last. week dis- niissed any prospect for a last min- ute agreement as remote. < President is a politician and be has political types working `ifor .saida Republican source. `.close to the Senate Intelligence. Committee, which has been watch- ing the' House tight from the side-; lines. ?I think the .House may send-, him a message this. week:" Though the_CIA has 'yet to sub- STAT mit any new finding to support a major increase in the covert aid,, the operation and its costs have grown steadily in recent months, and, accordingtocritics, IsmirtUal- lybeyond the agency's -control. A Senate Intelligence Committee source said yesterday-that ,before he end of this fiscal year 'Sept 30.--11 rthe annuat--cost,orithi:operation as;.ex-pected to be 'pear .i540. mil-, ben, and -by the sarnezcalculations -the cost. for 1984 -could be -closer to ' - The Senate committee,. while not directly challenging the Admin- istration. has -set aside less than half this total in a -reserve fund in -the 1984 authorization act. Release ofithese monies will be subject to ?aPproval :of a newzlinding to be submitted by the Administration. -This arrangement. has received enifich less attention than the - ? House bill, but It gives the commit- teean -unprecedented veto over fur- ther covert activity. ? Sen. Malcolm Wallop (R-Wyo.), chairman of the budget subcom- mittee, said he expected the autho- rizing bill to come to the floor Thursday. Sources said that CIA . director William Casey met with Sen. Daniel Patrick Moynihan (D- N.Y.), the ranking Democrat on the committee, yesterday to discuss the Nicaragua issue: Moynihan refused any com- ment later on the reported buildup. _While-a recent intelligence analysis has downplayed the 'threat of the insurgents to the Nicaraguan gov-_ eminent, the size of the-operation - is _still a major concern in 'Con- gress, and whatever the outcome in the House. a strong vote against the President could strengthen the Senate committee's resolve to ctfrb further, aid. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved Forflease 2005/11/28 : CIA-RDP91-00901R00 "MI! APPEAREO ' WA SHING? ON POST ON PAGE. /3 ?3 20 July 1983 By Chuck Conconi AROUND TOWN: Maybe it was significant. Just before noon Saturday the motorist saw the obvious police or Secret Service vehicle _ followed by a limousine in the Foxhall Road area. Pulling alongside at an in- ' tersection;the motorist peered into the back of the car to-see?if he could 'rec- ognize the passenger. It was CIA Di- rector William J. Casey deeply into The New York? Times' stock market listings . Casey; by AP 0070003-7 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 ot ?????????.Pk . . Approved For Releas412605/11M8LICIA-RDP91-00901R0 19 July 1983 Around the Americas STA 400070003-7 ouse closes its doors for fight on CIA By ALFONSO CHARDY Herald Washington Bureau - WASHINGTON The ' House will meet today in an unusual secret session to debate a controversial bill that would end CIA aid to anti-San- dinista :rebels fighting the Ni- caraguan .gov- ernment. House Speak- er ThomPs : O'Neill (D., Mass.) has pre- dicted a close vote, despite support from powerful con- gressional fig- ures like him-- ? self and Majori- ty Leader James Wright (D., Tex.). The secret session is the third in four years, all dealing with Nicara- gua. Today's coincides with the fourth anniversary of the Sandinis- ta revolutionary triumph. The first secret meeting was held in 1979 on a request by conserva- tive Republicans to discuss informa- tion purportedly proving that the Sandinistas ? then rebels fighting Nicaraguan President Anastasio So- moza ? were receiving weapons from Cuba. In 1980, conservatives again called a secret session in an unsuc- cessful bid to kill a $75-million Car- ter Administration aid proposal for the Sandinista government. Those secret meetings, however. were the first since 1830, when the House convened to hear a secret communication from President An- drew Jackson on a trade agreerr Int with Great Britain. Secret rneeti'ngs of the House had been more fre- quent until then. Today's turnabout finds Demo- crats asking for a secret session as a means to persuade the House to halt ALS. covert aid .to the estimated 8,000 guerrillas fighting along the Honduran-Nicaraguan border. The authors of the anti-covert aid -'bill ? House Intelligence Commit- tee Chairman 7-Awful:I Boland Mass.) and Foreign Affairs Commit- tee Chairman Clement Zablocki ? will brief their colleagues during the secret session. President 'Reagan and CIA Director William Casey oppose the bill. . The House also is expected to re- ceive classified information on the 1 status of the not-so-secret CIA pro- gram that began ,21 months ago as an arms interdiction operation. Critics say that its-goals gradually widened and that now the CIA may be seeking the military overthrow --of the Sandinistas. Liberal Democrats say they do not oppose arms interdiction but be- lieve the CIA violates U.S. law in seeking to oust a foreign govern- ment. The bill, while it would end aid to the anti-Sandinista guerrillas of the Nicaraguan Democratic Force, -would 'create an $80-million "overt" fund to help "friendly countries" in the region interdict Sandinista weapons shipments to El Salvador. Reagan, Casey, Republican allies in Congress and some moderate Democrats, who fear that the Presi- dent's policies in Central America will be undermined, have fashioned a complicated compromise. The compromise forces, led in part by Florida Democrats Dante Fascill and Dan Mica, had attempt- ed to modify the Boland-Zablocki bill. Now they are expected to bring up their compromise as an amend- ment. The compromise would allow continued CIA funding for the reb- els unless Nicaragua agrees to cease aiding the Salvadoran guerrillas. The 2,000-word amendment con- tains many trigger Mechanisms and caveats. Critics say it would allow the Reagan Administration.to par-, sue the covert -program indefinitely. ...Under the plan, CIA _funding for anti-Sandinista rebels x.ould con- tinue until Oct. 1, the beginning of the 1984 fiscal year. By then, Rea- gan would be required 'to submit -to Congress a -new plan to _interdict arms moving from Nicaragua to El Salvador. The Mica-Fascell_ plan also au- thorizes Reagan to open negotia- tions with Nicaragua: ? either di- rectly or through other cionnt.ries or international organizations ? to reach an agreement that terminates_ , Sandinista aid to -the Salvadoran I rebels. Its crucial portion says ihe com- promise will not take effect unless Nicaragua agrees to "cease--alL its activities involving the furnishing of arms, personnel, training, com- mand and control facilities, or logis- tical support for military or para- military operations in" or 'against any country in Central America or the Caribbean." ? ? Even if the Nicaraguan govern- ment agreed, covert -action _could still continue until the Sandinistas "reaffirmed the conunitments made to the Organization of American. States in July 1979." The stipula- tion refers to promises made by revolutionary leaders to call Nicara- guan elections -at the earliest possi- ble date." The compromise also states that covert activity need not end until the United States, the OAS and four key nations in the region ? Colom- bia, Mexico, Panama and Venezuela ? verify that Nicaragua is no long- er aiding the Salvadoran rebels. Approved-ForS4P-Lease 2005/11/28 : ClARDP91-00901R00040O076003- Approved For 1/Aj'91 -0090 LItT ICU AF-ys.A.R0) 0.1( 19 July 1983 House to discuss fact A has uncovered no illicit arms Washington (AP) ? The CIA's 18- month-old covert action to prevent arms from reaching leftist Salvado- ran guerrillas has failed to capture a single weapons shipment, -officials say. But its supporters contend the ef- fort has succeeded anyway , by .dis- rupting supply lines. The degree of success achieved by the Central Intelligence Agency's sup- port -for Nicaraguan counterrevolu- tionaries operating from Honduras is likely to be a central issue in a closed- door House debate today. The de- bate's focus will be a bill to end co- vert aid and to replace it with an $80 million open fund to help govern- ments friendly to the United States stop alleged leftist gun-running in the region. In interviews with officials famil- iar with the covert action, opinions on its worth varied sharply. "When we used to have our inter- diction outside of Nicaragua, they '[CIA officials) could show us what we were interdicting ? and it made .sense," said Senator David F. Duren- berger (R, Minn.) a Cilific on the Sen- ate Intelligence Committee. "They'd show you how they'd captured these trucks. "Now that they're inside the place, they can't show you what they're in- terdicting because I don't think they're interdicting anything ? maybe because they [the Nicara- guans) aren't shipping anything." Several other officials said the CIA has been unable to present to congressional oversight committees evidence of any weapons shipment captured since the Nicaraguan covert action was authorized by President Reagan in December, 1981. One official said that CIA director William J. Casey once told the House Intelligence Committee that the Co- -vert action had cut the weapons ship- ments by 60 percent, but Mr. Casey was quickly challenged on the claim. Supporters of the covert action contend that deterring shipments ? not capturing weapons ? is the pur- pose of interdiction. They say the pro- gram has put pressure on the Sandin- Approved For ista government to halt its allegedaid to Salvadoran guerrillas. "It has given the Sandinistas some ? pause in what they're doing," said Representative G. William White- burst (R, Va.) a House Intelligence , Committee member. "They're feeling heat.... Nicaragua should not ? be a privileged Marxist sanctuary." ? "Those who try to quantify inter- , .diction based on counting captured -arms supply do not understand the term," wrote Representative C. W. Bill Young -(R, Fla.). "What they are savina is_like asking a man who_takes .his vitamins every day how many -colds he prevented last year." . An administration official said co- vert action has forced Nicaraguans and Salvadoran rebels to abandon mountain routes through Honduras and shift instead to light airplanes, boats and more difficult land zdutes along the Honduran Pacific Coast. . "I don't think it entered anybody's ,- mind when we embarked on our ef- fort 18 months ago that we would ...-capture weapons," he said. "The main point is that it brings pressure on the ? .Sandinistas_lo..cut it out_ He also said that weapons which had been destined for Salvadoran guerrillas now were needed by the Nicaraguan army to fight the grow- ing army of CIA-backed "contras," or counterrevolutionaries. In addition, he said new U.S. radar equipment, including AWACS radar- warning planes, has cut the use of light planes. According to the official, the Soviet Union has been notifying Nicaragua when U.S. radar is not in use in order to permit some flights. He said that a team of Salvadoran guerrillas was intercepted this year in the Honduran lowlands near the Pacific Ocean, and according to the administration official, documents captured from them showed that in- filtration routes had shifted away from the mountains where the con- tras are most active. Despite the listing of arms inter- diction as the initial purpose of the covert action, critics have suspected that another goal was to oust the San- dinista government, which came to longtime dictator and US. ally, Gen.' Anastasia Somoza Debayle. That concern led-Congress to pass the Boland Amendment, named for Representative Edward P. Boland (D, _ Mass.), House Intelligence Committee chairman, in December, 1982. It bars U.S. aid "for the purpose" of over-, throwing the Sandinistas or provoking _ war between Nicaragua and Hoe-. duras. President Reagan repeatedly has denied that the United States is trying -to -oust the Saniiinistas, although he has referred to contras as "freedom fighters." Administration officials re- neatly talked about pressuring the Sandinistas into holding elections and reducing what the U.S. administra- tion called internal repression. - Some critics cite the dramatic ? growth of the contra army ? from 500 to an estimated 10,000-men in 18 months ? and public declarations by some of its leaders that they intend to overthrow the Sandinistgs as evi- dence that the administration is vio- lating the Boland Amendment ReinggrAgisi fit% MiPtuREOPSih00901R000400070003-7 Approved For Release 29%/j0t,iFIMET91-00 19 July 1983 WASHINGTON BY ROBERT PARRY I H I 901R000400070003-7 STAT WEAPOiTS ELUDE CIA, BUT BACS CLAIM SUCCESSFUL COVERT ACTIONI Bankers of CIA covert activity in Nicaragua say the effort has successfully disrupted weapons shipments to Salvadoran guerrillas, but other officials say the 18-month mission has failed because no weapons have been seized. The covert action, authorized by President Reagan in December 1981, initially involved supporting a 500-man force of Nicaraguan exiles to "interdrct" arms shipments from the leftist Nicaraguan government to the Salvadoran guerrillas. Noting that the force has grown to an.estimated 101000 men, critics contend the CIA operation has gone way beyond its orginal goal and now appears aimed at ousting the Sandinista government in Managua. The critics also question the effort's success at halting the arms flow. "When we used to have our interdiction outside of Nicaragua, they ( CIA officials) could show us what we were interdicting-and it made sense," said Sen. David Durenberger, R-Minn., a critic on the Senate Intelligence Committee. "They'd show you how they'd captured these trucks. "Now that they're inside the place, they can't show you what they're interdicting because I don't think they're interdicting anything _ maybe because they (the Nicaraguans) aren't shipping anything." Several other officials, who spoke on condition they not be identified, said the CIA has been unable to present to congressional oversight committees evidence that the covert action has captured any weapon shipments. One said that CIA director William J. Casey once told the House Intelligence Committee that the covert action had cut the weapons shipments by 60 percent, but he was immediately challenged to prove that claim and was unable to present hard evidence. The House is considering a bill to cut off covert aid to the Nicaraguan exiles and replace it with an $80 million open fund to help friendly governments stop leftist gun-running in the region. EQ20-72\77ECr, Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Release 2004410.8j1W11A9W- 6-13RAF4136Ral y I ??=7 ??? '7, "'"'"" " "721 10 Washington MI Foig.7, Reagan 's every move in the case is being scrutinized to see which White House faction he favors. One big question: Why did the President per- sonally approve CIA Chief William Casey's public denial of James Baker's statement that Casey had giv- en the White House chief of staff the Carter campaign documents? * * * CIA Director Casey may be drawing flak for his role in the briefing-papers case, but old hands at the intelligence agency say his stock there is high? particularly for allaying fears he might "politicize" the CIA and for assigning respected professionals to key jobs. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Release 2005/11/28j CIA-RDP91-00901R ASSOCIATED PRESS 18 July 1983 WASHINGTON NICARAGUAN CIVILIAN DEATHS WORRY CONGRESS BY ROBERT PARRY . Amid reports of mounting Nicaraguan civilian casualities, congressional intelligence committee members are pressing the CIA to stop U.S.-backed counter-revolutionaries from firing on non-combatants. - The warnings came from members of both the House and Senate intelligence committPes largely in response to news reports about attacks on Nicaraguan farm cooperatives and other economic targets that have led to civilian deaths, according to several members. "We don't want ( CIA -supported rebels) down there burning cotton fields and killing civilians," Rep. Dave McCurdy, D-Okla., a HOUSE Intelligence Committee member, said in a recent interview. "That's not something we want to be involved with." Officials knowledgeable about the committee protests said the CIA has denied that U.S.-supported "contras" _ or counter-revolutionaries _ are responsible for the attacks despite reports from eyewitnesses to the contrary. Congressional sources, who spoke only on condition they not be identified, said the CIA claims to keep firm control over and maintain close communication with the contras operating out of Honduras. CIA spokesman Chuck Wilson refused comment. Sources said House Intelligence Committee members expressed concern about attacks on civilians to CIA director William J. Casey in secret meetings in the weeks before the Democratic-dominated House committee voted on May 3 to cut off the covert aid going to the Nicaraguan counter-revolutionaries. That bill, which would replace the covert aid with an $80 million open fund to help friendly nations stop leftist gun-running, is scheduled for House debate Tuesday. Although the strongest objections have come from the House panel, some individual Senate Intelligence Committee members also have voiced concerns about civilian casualties blamed on the contras, sources said. But one well-placed Senate source said most members of the Republican-controlled committee believed that, despite SOME civilian deaths, the CIA .has maintained "remarkable control over this sort of thing" and held such violence to a minimum. Other congressonal officials are skeptical of CIA denials. "Are they suggesting that there's some other force that we don't know about operating down there?" remarked one official. .CONTINLTED Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Ftel.f:ae:,f200,811,41)28g.I.A713pI381-00904R00q4 Ju1 y 12;3 CIA plan revealed: Mine 3 Nicaragua harbors to halt the flow, of arms By John P. Wallach ? Examiner Washington Bureau WASHINGTON The CIA reportedly asked for de- tailed maps of three Nicaraguan ports as part of a covert plan to mine the harbors and intercept Soviet and Cuban weapons and supplies. The agency may have planned to give the mines to anti- Sandinista rebels who intended to sabotage one of the ports in May when four Soviet ships were docked there. A senior administration. official said the maps, which included detailed information on "depths and channels," were urgently requested from the Defense Mapping Agen- cy in early .March. Several sources said the rebels had planned the sabcs tage operation for mid-May but at the last minute the United States refused to provide the mines. Intelligence sources ?and Pentagon, .State Department and White. House officials corapborated the account. The sources disagreed.over how far the planning had .gorte: But, ;hey laid ? there Isis little doubt that the CIA, protu.lited,:by law from doing anything directly to over- thrisaatbi-taztdinista regime, is broadly interpreting the hese 'The law. permits covert acts aimed at interdicting item shipped from Nicaragua to leftist rebels in El Salvador " . ? _ . There also is strong evidence that the CIA, possibly with the help of the Army's ultra-sret Intelligence Support Activity (ISA I. has far more plans than previously disclosed to support the rapidly growing "secret army" of 12.COD to I arfal anti-Sandinista rebels in Nicaragua and neighboring Honduras. A Pentagon source said that in late February and again in March, a C1A-Defense Deparunent team asked for urgent delivery of the maps for Bluefields, Puerto Cabezas and Corinto, the three ports where Soviet ships regularly unloaded military supplies. "I didn't know whether they needed them for =tire sency plans to land (rebel troops or whether they intend- ed to mine the harbors to keep Soviet and Cuban ships out," the official said. The Soviets, according to US. offi- cials, have stepped up delivery of armored perSonnel carriers, multiple rocket launchers, anti-tank guns, East German trucks and field kitchens. The officials said the arms supplies are coming in at about 20,000 tons a year, or double the rate of 1981 and I 9K... Approved For Release 2005/11/28 00070003-7 A State Department officiarlaid the CIA had been approached by one arm of the "Contras," or Nicaraguan counterrevolutionaries based in Hon- duns and Costa Rica, to obtain under- water explosives to mine one of the harbors. According to this official, the CIA operation was called off when a Pen- tagon employee tipped Rep. Clarence Long, D-Md., of the plan. Long is a strong- opponent of administration policy in Central America. Long reportedly conferred with CIA Director William.Citsey, warning that such a plan would violate the law and jeopardize the CIA's hopes to avoid 4 abowdown with Congress' over cutting off all money for covert activities in this hemisphere Long, chairman of the foreign op"' erations subcommittee of the House Appropriations Committee,.ref used direct 'comment. . A Honduran who told the New York Times in April that he was involved in planning covert US. activ- ities that the United States was providing underwater equip. rnent and explosives to Argentine- trained sabotage teams that had infil- trated Nicaragua early this year. The teams reportedly have had limited success in blowing up facili- ties in Puerto Cabezas. As a prelude to seizing the port, the Honduran defec- tor reported, a team of MiSkitti. Indi- ans trained as frogmen had sabotaged some harbor installations in January. The Honduran also disclosed that the Misidtos, who have turned strong. ly anti-Sandinista and claim that the Nicaraguan government has tried to exterminate them, were trained in underwater demolition at Vivorillo Island off the east coast of Honduras. He said the Miskitos had been trained by the Argentines and the equipment and explosives used for the sabotage operation were supplied by the United-States. The CIA and the Pentagon refused comment on the alleged operation. U.S. officials disclosed in recent interviews that contrary to reports at the time, Argentina, after it invaded the Falkland Islands, did not with? draw many of its military advisers from Honduras, where it was training insurgents in guerrilla warfare. The House Intelligence Committee said in May: 'There has been a hidden pro- : CIA-RDP91-00901R000400070003-7 2 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 ECONUIIST 16 July 1983 Front-line on the defensive South Africa's policy towards its northern neiehbours seems governed not by con- sistency but by some arcane Afrikaner intuition. From time to time, an incipient black nation needs to be taught a lesson to emphasise who is regional boss. Like Barend van der Merwe's slaves in Andre Brink's "Chain of Voices": "if they are new, all the more reason to break them in harshly so they would be sure who has the last word on the 'farm." They must be flogged, even if they have done nothing wrong. It is best in the long run. Brink's slaves found peace of mind only in contemplating their past and in collaborating with their masters. When they sought help from the British it led to delusion, rebellion and death. The black states of southern Africa have struggled for the past two decades to free them- selves of white supremacy. They have. lone assumed?and been assured by western liberalism?that the steamroller of black rule would continue south, powered by the fuel of historical necessi- ty. When the steamroller appeared to break down at the Limpopo, they thought they had only to wait. The west- ern block, or the east, or the ANC, or someone, would soon repair it. To their horror, in the past two years it has begun to move backwards. Ti-ie front-line states' defence against this South African threat is meagre. In the early 1970s they formed a compara- tively stable regional group. This was largely due to the dominance of the post- colonial leaders of Zambia arid Tanzania, Mr Kenneth Kaunda and Mr Julius Nyer- ere, and a sense of brotherhood against the common enemy, Mr Smith. Mr Mu- eabe's assumption of power, his antago- nism towards President Kaunda and his alliance with President Machel, have en- dangered that stability, though drought, world recession and structural economic collapse in Zambia and Tanzania have also played their part. In 1980, the nine black states of the \egion formed a new economic associ- ation under the Southern African Devel- opment Co-ordination Conference (SADCC). Its ambition was to seek greater independence from South Africa and collaborate over major aid projects, notably in the areas of energy and com- munications. SADCC set itself a modest target of some S800m in project aid. Western agencies have been impressed by the caution?and .lack of bureaucra- cy?with which it has gone about its business. Yet it is severely hampered by its members' reputation for squandering aid resources, by the natural protection- ism of its national economies and by the way so many of its commercial channels lead to or through South Africa. South Africa's regional dominance is as complete economically as it is militarily. It produces 77% of the total grip of the subcontinent (south of Zaire-Tanzania), with at least three quarters of the output of coal, iron, wheat, maize, electrical power and rail transport. About 90% of the region's energy consumption is within the SAO; area (South Africa plus BLS). South Africa's national product per head, $2,200, is three times the regional aver- age. Even South Africa's_blacks have a ? per head income two and a half times that of Zimbabwe's. The trade of all the SADCC states depends heavily on South Africa (25%. for Zimbabwe, 37% for Mozambique). Yet South Africa has no such reciprocal dependence. its trade profile is widely diversified, exporting less to the whole of Africa than it .does to Switzerland or Britain (see chart) and importing from Africa an insignificant amount. (Unoffi- cial trade through middlemen may alter this somewhat.) Some SADCC donors have tried to make aid conditional on there being no South African involve- ment in subcontracts. The result is merely to distort the end value. Everything from project management to heavy equipment naturally comes cheapest and, above all, quickest from South Africa. Contractors operating un- der embargoes must pay up to 150% in commissions to middlemen in non-em- bargo nations (such as Swaziland) to obtain necessary materials. With rising world freight rates, such politically re- stricted aid is ever more burdensome. The dream of an anti-South African re- gional economic community is utterly IL). Tne prosperity of t e wnoie su C. n- nent is indivisible.. Approved For Release 2005/11484rdIXRD N4b0070003-7 Approved For Release 2005/11/28 : CIA-RDP91-00901R00 ANOICUI &Antall) OX TAM WASHINGTON POST 15 July 1983 0400070003-7 "FOR NOW, WE BEEF UP THE SECRET ARMY IN NICARAGUA - BUT LATER WE MOVEN TO THIS GREATSECRET LANPING PLACE,' ' Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 APPEf-3ED A,pproved For CIA Expanding Rebel Support in Nicaragua By ELLEN FIUME, Times Staff Writer , WASHING TON --1The Reagan Administration is significantly ex- panding its covert supportderrebel forces in Nicaragua as the -,-House prepares for a secret session mit] -week On a proposal *to.-clitAily 'such U.S. aid, governmentesou:rces said Thursday. . One well'-placed? officialAwhO asked not to be identified,,said tri-an interview Thursday thatlhe *Ad- ministration effort involves "open-ended" plans to train and finance 15,000 or more counterrev- olutionary guerrillas. Another official, Rep. Bill Alex- ander (D - Ark. ) , fourth ,ranking Democrat in the House,toldTeport- ers that he believes the Administra- tion is "currently implementing a plan to escalate military aelivities in Nicaragua, and to increase paramil- itary activities throughout Central America." _ , Alexander, a member:2o! the House Appropriations COmmittee who has conferred with CIA Direc- tor William J. Casey on the 'covert. program, said reports published in the Washington Post on Thursday are "substantially accurate, based on information I have." The reports said that the United States is step- ? ping up its covert aid with the aim of supporting 12,000 to 15,000 guerril- las opposed to the leftist Sandinista government in Nicaragua. Alexan- der said that the United.,.States already is supporting "an army, of . over 10,000" and the numbers are "escalating and escalatingraPidly." 'About Half,' Michel Says ? Rouse Minority Leader Robert H. Michel (R-Ill.) said after a _White House meeting Thursday, however,- that the figures .are "about half" what the Post article estimated. The White House and State Department ? refused to comment. . . Release 6a/44/21A-T:t13091-00901R 15 July 1983 Reagan Administration officials have not disputed previous reports that-the 'U.S. covert aid is financing 5,000 to 7,000 rebels and have said that the aid is aimed at stopping the export of arms from the Sandinistas to -antigovernment rebels in other Central American nations, The Nic- ara,giian rebels, however, have stat- ed publicly that their aim is over- throwing the Sandinista gPvernmen_L::, : _ , ? ? House Speaker Thomas P. (Tip) O'Neill Jr. ( D - Mass. ) predicted Thursday that the vote on the proposal to cut off covert aid to the rebels, expected in about two ? weeks,' would be "very close." Maiority Leader Jim Wright (3- Tex.) said he is continuing to work with the White House on a compro- mise that would be short ?of a complete cutoff of aid to the rebels. , He told reporters, however, that he would not offer any proposal that; was "anathema" to House gence Committee Chairman Edward P. Boland (D-Mass.) or to Foreign 'Affairs committee Chairman Clem- ent J. Zablocki (D-Wis.), chief sponsors of the cutoff bill. The Boland-Zablocki bill, which has been approved by the House Intelligence and Foreign Affairs committees, would end the covert program and instead provide $80 million in open aid to Central Amer- ican nations seeking to stop arms shipments from Nicaragua. The House agreed Thursday by voice vote to schedule a secret four-hour session next Tuesday so Boland can brief all House members on classified information about Cen- tral America. After that session, supporters of the amendment will take a prelirni- 0400070003-7 nary head count to see whether they want to bring the measure to the floor the next week, House leadership sources said. In December, Congress banned aid to paramilitary forces whose purpose is overthrowing the gov- ernment of Nicaragua. Boland and others have since asserted that the Reagan Administration is violating that law President Reagan has called the US.-backed counterrevolutionaries "freedom fighters" seeking to stop the Nicaraguan government from exporting Marxist-style revolution throughout Central America. Critics have said, that the counterrevolu-_ 'nonaines, co?iTos-at they-are -called in--Nicaragua, have little popular support, particularly because their ' leaders include former members of the, late Nicaraguan dictator Anas- tasio Somoza's repressive National Guard. - Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 TRM plkoved For Release 20135M)/2BANCMV-RDIP910M115t00c LE APPEARElf 15 July 1983 For Secretarya rugged first-year odyssey STAT 400070003-7 By Daniel Southedand Staff correspondent of ' The Christian Science Monitor Washington When he stepped off his blue and white Air Force jet at 2:10 am. last Friday, a weary George Shultz did not have' much time to re- flect on the morning's headlines: Shultz Leaves Mideast Without Progress on Pullout Shultz Ends Trip to Mideast With No Pullout Accord The secretary of state had just completed a 15-day, 25,000-mile trip through 10 countries. He had spent a total of 52 hours in the air. Before arriving at Andrews Air Force Base outside Washington, Mr. Shultz had in one day alone met in Jerusalem with Israel's Prime Minister Menachem Begin, in Amman with Jordan's King Hussein, and in Cairo with Egypt's President Hosni Mubarak. Shultz reached his brick home in suburban Maryland at about 2:45 a.m. (customs offi- dals had delayed all the passengers, includ- ing the secretary of state), got to bed at 3:30, rose at 6, and was back at the State Depart- ment at exactly 7:50 a.m. for a day which included: Briefings for Shultz on developments around the world, a progress report to the sec- retary on the East-West conference in Madrid, decisions on personnel matters and appointments, staff meetings on Central America and the Middle East, a National Se- curity Council meeting on Central America, lunch with CIA director William J. Casey. and a Shultz briefing on the Middle East for Presi- dent Reagan. Unlike his predecessor, Alexander M. Haig Jr., Shultz doesn't worry too much about the daily headlines. If he did, he might not enjoy the few hours of sleep he has been get- ting these days. Unfortunately for Secretary Shultz, what he has achieved after one year in office can- not be easily summed up in headlines. If one tried to describe his accomplishments so cinctly, it would make dull reading indeed: Shultz Defuses Pipeline Crisis . Shultz-Helps to Restore NATO Alliance Unity Shultz Brings Balance ? to East Asia Policy Shultz Returns Mideast Policy to Traditional Mainstream "He's not a specialist in the spectacular," says Shultz's executive assistant, Raymond G. H. Seitz. "But the Asia Dart of his last trip was a ier7,--g-oOd example.of solid, traditional ' diplomacy. . . . What Shultz has brought to the scene ? this almost stolid person ? is a sense of weight and stability." When Shultz took office a year ago, in July of 1982, Reagan administration foreign policy looked anything but stable. The United States was fighting with its NATO allies over their assistance to the Soviet Union for the building of a gas pipeline to Western Europe. General Haig's battles with the White House staff over this and other issues had received wide pub- licity. Middle East policy was adrift. In his first months as secretary of state, Shultz played a key role in shaping a new Mid- dle East policy, which restored negotiating momentum and gathered wide support both . here and abroad. While not alienating the Is- raelis ? some feared that he would prove to be anti-Israel ? Shultz showed sensitivity to- ward the plight of the Palestinians. The policy which he and his advisers devised brought the Reagan administration back into line with ba- sic principles embraced by previous adminis- trations, both Democratic and Republican.. By gaining agreement from the West Eu- ropean allies to study restrictions on subsi- dized credits and technology transfers to the East-bloc countries, Shultz got President Reagan to drop his sanctions against Euro- pean companies. He thus defused a crisis which was threatening the unity of the West- ern alliance. Shultz next managed to prevent what could have turned into a trade war with the Europeans. I .XXXXXXX Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 ;.p.i.?0_43ffoved For Release 20,712,5/1?! :TiCijitIDP91-00901R000 PAfl' 15 July 1983 U.S. Policy Toward Latins. Lines of Control Are Blurre By HEDRIC.K SMITH Sewall Tbe New York Theo WASHINGTON, July 14 ? For a ?month the State Department has been struggling to regain control of Adminis- tration policy toward Central America, but White House involvement remains strong and many officials say the lines of authority are so diffuse and collegial that it is hard to pinpoint precisely who runs policy. . ? ? Earlier this year Thomas 0. Enders, .former Assistant Secretary of State for Latin American Affairs, was the most visible policy-maker. But when the White House became engaged last spring in battling Congress for more aid to El Salvador and fighting to. protect covert support to Nicaraguan rebels, policy initiative and operational control 'increasingly passed to the National Se- curity Council staff, the President's I political strategists and to the Defense Department. ' Ultimately William P. Clark, the , President's national security adviser, became a preeminet force and pushed Mr. Enders out in late May, according to several officials. Secretary of State George P. Shultz went to President Reagan seeking authority to have his department reassert its traditional management of day-to-day operations. Lately Mr. Shultz has been more ac- tive himself, meeting daily for half an hour with Deputy Secretary Kenneth W. Dam and Langhorne A. Motley, the for- mer Ambassador to Brazil who was sworn in Wednesday as the new Assist- ant Secretary for Latin American Af- fairs. And Mr. Dam has taken a lead in important negotiations with Congress on Central American policy. Casey Backs C.I.A. Operations But William J. Casey; the Director of Central Intelligence, has strongly advo- cated pressing ahead with C.I.A. sup- port of covert operations in Nicaragua and the Defense Department's role has expanded with the start early this month of a new 126-man American mili- tary training group for Salvadoran Army units in Honduras. "This is an action-oriented Adminis- tration which so far has put a low pre- mium on diplomacy and that means ac- tion agencies like the Pentagon and C.I.A. wind up making a lot of policy," said an aide close to the House Demo- cratic leadership. Morecever, as Congress worries about the course of civil war in El Sal- vador and debates the risks of Ameri- can covert support to the Nicaraguan rebels, Congressional committees have shown an increasing band in shaping the limits of policy and imposing policy demandsin areas such at human rights and new diplomatic missions, much as Congress imposed restrictions in the final phases of the Vietnam War. Symptomatic of rising Congressional influence is the growing consensus in Congress-and acquiescence within the Administration for establishing a na- tional all-party commission to frame a broad, long-term economic aid pro- gram and policy for Central America. Its principal sponsors, Senator Henry M: Jackson, a Washington Democrat, and Senator Charles hicC. Mathias Jr., a Maryland Republican, assert it could help develop the kind of legislative and popular consensus behind a sustained American policy that Administration officials concede President Reagan has not yet been able to develop. Senior White House officials agree with that reasoning, recalling how simi- lar commissions helped the Adminis- tration reshape its policy and strike vital legislative compromises on revis- ing the Social Secnrity system and link- ing production of the MX missile to changes in the Administration's arms control proposals. Similarly, James A. Baker 3d, the White House chief of staff, and the legis- lative strategy group of which be is chairman, took the lead in exploring whether enough influential Democrats would join in an effort to defeat a move in the House of Representatives to cut off covert aid to Nicaraguan rebels. White House officials assert that Mr. Casey opposed that effort on the ground that even if the House imposed a bah, it.; would be defeated in the Senate. But Mr. Baker, evidently joined by Mr. Clark, persuaded President Reagan that his policies needed more overall support in Congress and some good faith efforts were required., It is typical of the -current collegial system, officials said, that responsibil- ity for negotiations with Congress is shared by Mr. Dam and Mr. Clark's deputy on the National Security Council staff, Robert C. MacFarlane. Some- times they are joined by Mr. Casey or Mr. Baker. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 proved For Release 233118/t1123 :731VADP91-00901R0 14 July 19E5 Reagan Aides Se6c Compromise on icaragua By CHARLES MOHR Special tone New York TImes WASHINGTON, july 13 ? Senior Reagan Acirninistration officials and leading House experts on foreign policy and intialligence met today in an effort to find a compromise on the issue of United States-sponsored covert mili- tary operations in Nicaragua, but some participants said little progress had been made. The Administration officials have been trying for several days to find a compromise that would avoid a vote, scheduled for later this month, on a bill that would cut off $80 million in covert action funds going to Nicaraguan exile guerrillas fighting against the Sandin- ista Government in Nicaragua. The House Democratic leader, Jim Wright of Texas, called today's unpubli- cized meeting in a House bearing room. Attending were William J. Casey, the Director of Central Intelligence; Ken- neth W. Dam, the Deputy Secretary of State, and Robert C. McFarlane, the deputy national security adviser. One participant, who asked not to be Identified, said Mr. Wright had put for- ward a draft of a proposal in which cov- ert activity directed against Nicaragua would be prohibited with the following condition: the prohibition would not go into effect until Nicaragua made a com- mitment to abide by previous pledges not to export arms and assistance to revolutionary movements elsewhere in Central America and to abide by its promise to the Organization of Ameri- can States to protect civil liberties in Nicaragua and to bold free elections. Representative Michael D. Barnes, Democrat of Maryland and chairman of the Latin American Affairs subcommit- tee of the House Foreign Affairs Com- mittee, said during one break in the meeting that "not much progress" had been achieved. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Release 2000t2TC.W091213 u y .".? r.": 1R000400070003-7 CIA Planning tohack O.re :Nicaragua Rebels By Don Oberdorfer Washington Post Staff Writer The CIA is planning to-support a, rapidly 'growing 'secret army" of 12.000 to 15,000 anti-government rebels in Nicaragua, roughly double the number backed by the United States two months ago, official sources said yesterday. . . The sharp increase in planned U.S. support comes as the House of Representatives moves toward a leg- islative showdown, probably next week, on continuing undercover ac- tivity in Nicaragua. The House intelligence and For- eign Affairs committees have ap- proved a bill sponsored by their chairmen, Edward P. Boland (D- Mass.) and Clement J. Zablocki (D- Wis.), respectively. It would termi- nate secret U.S. aid to the insurgents and authorize an open $80 million program to stop leftist gun-running in Central America. . A secret House session to discuss the proposed cutoff, opposed by the Reagan administration and most House Republicans, is scheduled Tuesday with an open vote to follow. House Democrats have scheduled a closed caucus today to discuss this and other politically sensitive issues regarding Central America. The mushrooming growth of the U.S.-supported insurgency against Nicaragua's leftist Sandinista gov- ernment has generated much of the controversy and, in some quarters, consternation on Capitol Hill. In early May, the CIA told con- gressional oversight committees that the U.S.-supported rebel forces had swelled to 7,000 men. By early June, the official estimate had climbed i? 8,000, and last week the State .t4- parlament officially estimated the force at 8,000 to 10,000. In recent days, according to the sources, the CIA has drawn up a plan to support a force of 12,000 1.,o 15,000 With money and materiel and is seeking presidential authorization for such expanded activity. A CIA spokesman declined to comment on the matter yesterday. A U.S.-supported force of 12.000. anti-leftist guerrillas in Nicaragua: would be at least twice the reported: size of the leftist guerrilla force op posing the government of El Sal-: vador. The State Department esti-: mates that 4,000 to 6,000 leftist reb-- els, aided by Cuba and Nicaragua;. are operating in El Salvador against the U.S.-supported government. During most of the early buildup, the principal U.S. justification for supporting anti-Nicaraguan insur- gency was that it could reduce or end Nicaraguan military assistance to Salvadoran guerrillas. However, this justification has been receding as the U.S.-supported "secret army" has grown larger than the Salvador- an insurgency. According to one account, a new presidential "finding," or secret in- telligence authorization, being pre- pared by the CIA no longer lists in- terdiction of arms as one purpose of the undercover war in Nicaragua. Instead, this account said, the stated purpose is to force changes in Nicaraguan government policies, in- cluding those of aiding leftist guer- rilla forces elsewhere in Central America. Last December Congress passed an unusual law, known as the aid to paramilitary forces "for the = purpose of overthrowing the govern- ment of Nicaragua or provoking a military exchange between Nicara- ? gua and Honduras." The administration has denied its purpose is to overthrow the Ni- caraguan government, although lead- ers of rebel forces supported by the United States there have said they are trying to topple the government. That has prompted some members , of Congress to charge the Boland 'amendment is being violated. In initiating the secret effort in :December, 1981, the CIA told con- gressional committees it was build- ing a highly trained commando force. of' 500 Latins to attack the Cuban support structure in Nicaragua. Some lawmakers immediately ex- pressed concern, and it was revealed later that Boland addressed a con- fidential letter to CIA Director Wil- liam J. Casey about Hill disquiet. According to official estimates, most of the U.S.-backed Nicaragu-an guerrillas are in a group near the Honduran border. They are com- posed of separate groups of Miskito Indians and exile-led insurgents known as the Nicaraguan Democrat- ic Force. About 1,200 guerrillas are reported near the Costa Rican bor- der and commanded by Nicaraguan 1 'exile leader Eden Pastora. Despite reports to the contrary, Pastora is fighting against Nicaraguan forces and receiving U.S. support, the ' sources said. Boland_ _arnewitpen,t. Abuoiagn Approved For Release 2005/1 11.L0 . k..IA-mur-u1-ov901R000400070003-7 ,ki)roved For Release -2865M402?1:,64TP91-00901R0004 / A 14 July 1903 Compromise on covert aid By Thomas D. Brandt - WASHINGTON TSAES STAFf The White House and - several House leaders of both Parties are :near agreement on 'a compromise 'approach to a controversial bill that ;seeks to cut off covert aid to insur- gents fighting the leftist Nicara- guan Sandinista government, The Washington Times has learned. Under the plan, the United States would immediately stop covert military and paramilitary ,aid to Nicaraguan rebels when the San- dinista government agrees to stop similar aid to leftist guerrillas in El Salvador,_ - _ . The plan calls for the other coun- . tries in Central America -to simi- larly agree not to aid insurgencies ,in neighboring nations. The United States would continue aiding the government of El Salvador. There is no indication whether Nicaragua or the other countries would accept the plan if passed by Congress. One source said that spe- cial envoy Richard Stone, who has been traveling in Central America to seek a peaceful solution to the warfare there, has not been in- volved in the current plan. The tentative agreement, based on a so-called "symmetry concept," was hammered out in a serics_gfat -feast six meetings over the last sev- eral weeks. Among those involved in the meetings, which have been held in -the White House and the latest, yes- terday, in the Capitol, are -White House Chief of Staff James Baker; CIA Director William Casey; House Foreign Affairs Committee Chairman Clement Zablocki, D-Wis.; House Majority Leader James Wright, D-'Iexas; plus Rep. William Broomfield, R-Mich., and Rep. Dante Fascell, D-Fla., who are both senior members of the com- mittee. Also meeting with the group has been Rep. Bill Young, R-Fla., of the Intelligence Committee. Young offered a similar symmetry, pro-. . posal in April, but it wastejected... . Several people who attended or who have been briefed on the ses- sions gave differing assessnie,nts how close the group is:_to a'final ?! agreement, though all --viere agreement in outlining the pro- posal. that. is the result-of _their:. weeks of work. ? One member of Congress said be believed that those listed above all "agree to the concept" .while a ? highly placed staff aidesaid it was "highly premature" to say a final agreement had been reached. Three new members joined the iroup yesterday, apparently in effort to build a compromise with , House Democrats who have been most opposed to U.S. policy in Cen- tral America. The three were described as hav- ing made "positive contributions" to the work, but were not seen as ready to support the overall plan. They are .Rep. Michael Barnes, D-Md., ? chairman of the Western Hemisphere subcommittee; Rep. William Alexander, D-Ark., part of the Democratic leadership; and Rep. Wyche Fowler, D-Ga., of the Intelligence Committee. The planning group's concept is expected to be offered as an amend- merdniii week on the House floor to a bill that would cut off Covert funds to Nicaragua and replace it with an open aid program of aid to Central American governments to block the cross-border flow of arms to leftist guerillas. A less controversial part of the ? package includes support for a bipartisan commission to study Central American problems and make U.S. policy recommenda- tions. The Reagan administration used "bipartisan commissions" to ,achieve a consensus on two earlier 'initiatives that were also extremely controversial? a legislative plan to return the Social Security system to solvency, and funding to continue development of the MX missile. The covert action bill that will be'" the vehicle for the -compromise passed the House Foreign Rela- tions Committee last month by a near partTline 'vote of20-14;?fol- lowing what several members said was the most acrimonious debate they had seen in Congress. The bill bad started in the Intelligence Com- mittee under Rep. Edward Boland, D-Mass. The bill )vill be considered under a highly unusual procedure that calls for four hours of debate in 'secret session, two hours in open session and 12 'hours for amend-- ments. _Many of the same negotiators ? tried M.re?gara?ocimpromisebetore the Foreign Relations Committee vote on June 7 but failed. One con- gressman working in the group said that a compromise can be reached now because Congress has learned a great deal more about Central America since then. The bill is the result of congres- sional response to word that the Reagan administration was co- vertly aiding a guerrilla army of roughly 7,000 opposed to the San- dinistas. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Release 200i/118132EMWA-00901 WASHINGTON N:CARAGUA-CIA BY ROBERT PARRY I A I 000400070003-7 The CIA, surprised by the number of Nicaraguans joining the fight against the leftist Sandinista government, has encountered cost overruns in its not-so--secret support of the counter-revolutionary forces, intelligence sources said Wednesday. The sources, who spoke on condition they not be identified, said the cost to feed, train and arm the estimated 10,000 Nicaraguans who are now part of the insurgency has driven the budget above the planned $19 million a year. The sources declined to give the new figure for the operation. One source said the CIA has new plans to support and expanded rebel force of 12,000 and 15,000 men', about twice the size of the estimated leftist guerrilla force in El Salvador. The source also said the CIA's explanation for supporting the rebel groups appeared to emphasize putting pressure on the leftist Sandinista government to hold elections and accept more pluralism in Nicaraguan society. The CIA previously had said its purpose was to intercept the flow of arms from Nicargaua to the Salvadoran rebels. "When you have twice as many people as you expected, it's going to cost more," said one source. "You have to feed and arm the ralliers, and since they are not as well trained, they fire off more ammunition." Sources said that even though the number of fighters is double the expected total, the cost for the operation has not increased by that magnitude because the newer_ fighters who have joined the anti-Sandinista cause are not receiving as much training as the earlier insurgents did. Besides the cost, the newcomers also present other problems, the sources said. The larger numbers enable the Sandinistas to locate the "contra" _ or counter-revolutionary _ forces more easily and some of the new recruits are suspected to be Sandinista agents. "The Sandinistas know where everything is," said one source. "It's easy (for agents) to penetrate a movement like this. It's amazing that (rebel leader Eden) Pastore has stayed alive this long." Asked about the reported higher costs, CIA spokeswoman kathryn Riedel said, "we do not comment on allegations of covert activities." Americans who have visited the Nicaraguan war zone along the Honduran border have brought back conflicting assessments of the popular support for the d/ contras. Despite U.S. backing, the rebels have waged largely a hit-and-run war that has failed to spark a general insurrection. The sources said that despite the rebel success in attracting fighters, the contras are still too weak to topple the 4-year-old Sandinista government, backed by 2 25,000-man regular army and a 50,000-man militia force. Much of the congressional debate about the covert action has focused on whether it is violating a 1982 law barring the CIA from supporting the rebels "for the purpose" of overthrowing the Sandinista government. Approved For Release 2005/11/i0031aRiEntnal901R000400070003-7 Approved For Release 200tpiliii-AEIF4J'I-00901R000 Ju y 9 'vASHII;GTON CONGRESS-NICARAGUA BY SUSANNE M. SCHAFER Central Intelligence Agency chief William Casey and Deputy Secretary of State kenneth Dam visited Capitol Hill on Wednesday to try "to resolve ... differences" over Nicaragua and made some progress, according to Rep. Dante Fascell, D-Fla. The meeting was arranged by Majority Leader Jim Wright, fl-Texas, and Republican Leader Robert Michel of Illinois in an attempt to get Democrats and the administration to "see eye-to-eye" on the Nicaraguan question, Wright said. "We discussed Nicaragua. In general, we are trying to resolve our differences," Fascell said as the men left a closed-door meeting in the Capitol. Fascell told reporters last week that Congress had been working with the administration on a compromise for continuing U.S. covert financing for rebels in Nicaragua. He refused to say Wednesday whether any definite compromise had been reached, saying only that "progress was made." Last month, the House Foreign Affairs Committee voted to scrap U.S. undercover operations in Nicaragua and set up an $80 million fund for democratic countries in the area to use in stopping arms traffic. The bill was approved and sent to the full House, where it is awaiting consideration. But even if it passes, it is given little chance in the Republican-controlled Senate. Fascell, the second-ranking Democrat on the committee, broke with his party colleagues last month to oppose a cutoff. Democrats in the House have charged that the Reagan administration is assisting efforts to overthrow the leftist Sandinista government of Nicaragua, in violation of the congressional ban on the Use of intelligence funds for that purpose. But the administration has contended that its objective is to cut off arms shipments to the guerrillas battling the U.S.-supported government of El Salvador. Also attending the session were House Majority Leader James C. Wright of Texas and Reps. Michael Barnes, fl-Md., Bill Alexander, D-Ark., and Henry Hyde, Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 9roved For ReleasiA20351411:28 130A-RDP91-00901R0004 10 July 1983 00070003-7 Dellums Files Suit Seeking Probe Of U.S. Training for Latin Rebels SAN FRANCISCO, July 9 (AP)? Rep. Ronald V. Dellums (D-Calif.) has filed suit seeking appointment of a special prosector to investigate allegations that the Reagan admin- istration is illegally financing train- ing for Nicaraguan rebels, his aides said yesterday. The suit, filed Friday in federal court here, accuses President Reagan and three Cabinet members of vio- lating the Neutrality Act by training Nicaraguan rebels in six states, in- cluding California. A White House spokesman, Mark Weinberg; had no comment on the suit. Marc Van Der Hout, the attorney who filed the suit on behalf of Del- lums, said Reagan, US. Attorney General William French Smith, De- fense Secretary Caspar Weinberger and CIA Director William Casey were named as defendants. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 ARTICLE A PAGE___CPIARED d For Release D13 ve toiticEra_ER1-00901R00 f 003-7 16 A a ? 1 STT Shultz huddles with Ron ? Washington .(UPI)?Secretary of State Shultz briefed President Reagan yesterday on his failure to midge Syria and Israel toward mutual withdrawal ' of 'their troops from Lebanon, Shultz, who returned to Washington at 3:30 a.m. yesterday after a whirlwind visit to the Mideast, did not speak with reporters on his way into or out of the White House. , . ? On his departure from Cairo, he said, "I wish I could report that some- how we see a movement in the direc- tion of simultaneous withdraw,al. But I can't give any such report" At the Oval Office meeting with Shultz were Defense Secretary Caspar Weinberger, national security adviser William Clark, presidential counselor Edwin Meese, Deputy .Secretary of State Kenneth Dam and CIA Director William Casey. - Reagan also met with the presi- dential MX missile commission headed by retired Gen. Brent Scowcroft. In that meeting, Reagan discussed 'plans for building and deploying the 10-warhead MX missile. He also re- viewed plans for developing the small- er "midgetman" missile recommended by the commission, said presidential spokesman Larry Speakes. - - -The President left -for a weekend - trip to Camp ?David h2 the late afternoon. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Release 2013tAff4git1FFibIRA-WA1R00040 9 July 1983 SAN FRANCISCO FILES SUIT FOR SPECIAL PROSECUTOR TO INVESTIGATE NICARAGUAN AID 0070003-7 Rep. Ronald V. Dellums has filed suit seeking appointment of a special prosecutor to investigate allegations that the Reagan administration is illegally financing training for Nicaraguan rebels, his aides said Saturday. The suit, filed Friday in federal court here, accuses President Reagan and three Cabinet members of violating the Neutrality Act by training Nicaraguan rebels in six states, including California. At a news conference Saturday, Dellums' aide Lee Halterman said the suit's purpose is to "demand that our president obey the law." White House spokesman .Mark Weinberg, asked about the lawsuit, said late Saturday, "I have nothing on it for you." Marc Van Der Hout, the attorney who filed the suit on behalf of Dellums, said Reagan, U.S. Attorney General William French Smith, Defense Secretary Caspar Weinberger and CIA Director William Casey were named as defendants. According to Van Der Hout, somewhere between several hundred and several thousand rebels trained in private camps in the United States had returned to Nicaragua to fight the leftist Sandinista government. One of the bases is in San Bernardino County, he alleged. The lawsuit charges that alleged training violated not only the 200-year-old Neutrality Act but also last year's Boland amendment, which prohibits the use of U.S. funds for military intervention in Nicaragua. Dellums, a California Democrat, tried unsuccessfully to persuade the U.S. attorney general to appoint a special prosecutor in the matter. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 A3,21713 Apptheroved For Release EV51y1ARroSTSIBRDP91-0090' ON PAGE 4-4/ 9 July 1983 REAGAN IS CALLED ADAMANT ON SYRIA He Bars 'Reverse Gear' in Spite of Shultz's Report He Made No Progress in Mideast By BERNARD GWERTZ:MAN Special tolberiewYork Times ? WASHINGTON, July 8 ? President Reagan was reported to have said today that although Secretary of State George P. Shultz did not make any headway on the withdrawal of foreign troops from Lebanon when he visited the Middle East, "there would be no reverse gear" by the Arirninitrati011 in pressing Syria to pull out its forces when Israel does. A White House official said Mr. Rea- gan stressed very strongly "his re- newed commitment to move forward" atter hearing a., report f ru Mr. Shultz on his round-the-world trip, which ended early today after four days of in- conclusive talks in the Middle East. t. In a related development, what was described as the secret version of a months-old General Accounting Office report discussing the likelihood of an- other Arab-Israeli war was released by a private group that is highly critical of Israel. The material, made public by the American-Arab Anti-Discrimina- tion Committee, described differing views by Israeli and American intelli- gence authorities. The report, which does not address the current crisis with Syria over Lebanon, said, "Israeli offi- cials believe that another war with the Arab countries is likely." It said Israe- lis believed American military' sales to Arab states "can contribute to threat- ening Israeli security." ? The Central Intelligence Agency, however, "estimated that another com- bined Arab-Israeli war is unlikely in the near future," the report said. The re- port was completed three months ago, before Syria refused to go along with the American-sponsored plan for the withdrawal of all foreign troops from Lebanon. Israel and Lebanon agreed on terms for an Israeli withdrawal that is ' conditional on Syria and the Palestine Liberation Organization also polling out. Mr. Shultz, in a meeting with Presi- dent Hafer al-Assad of Syria on Wednesday, was unable to persuade him to withdraw his forces. The White House official said that atter reporting to Mr. Reagan on his trip, Mr. Shultz said American policy would be re- viewed to see "what new alternatives, options and ideas that there might be for working out a resolution of the with- drawal question." ? The chief concern of those at the meeting, the White House official said, was that the Lebanese Government not , be disheartened by the lack of agree- ment on withdrawal. "They discussed their particular con- sciousness and concern about the diffi- culties facing Lebanon, and the Presi- dent asked that a strong reaffirmation be made to President Amin-Gemayel of our determination'to follow through on our commitment to help restore Leba- nese sovereignty," the official said. "The President stressed very. strongly his renewed commitment to move forward promptly on both Leba- non and the broader process," the White House official said. "He again emphasized that as far as he was con- cerned, there would be no reverse gear.f, R000400070003-7 10-4 The G.A.O., the Congressiena- watch- dog agency, last month made public a version of its report on aid to Israel, and in many places information had been deleted. The American-Arab Anti-Di.orimination Committee said the docu? ment it made public today was the "un- censored version." The group said it was making the re- port public because it shows "how the , United States has abdicated its respon- sibilities to American taxpayers and al- lowed Israel to order whatever mix of economic and military assistance pro- ' grams it chooses at the expense of America's Unemployed, poor and, eld- erly." An Administration official who was read parts of the American-Arab group's version said it sounded authen- ? tic. . ? In one of the sections that was not in ' ?the G.A.O.'s public version, the report said State Department officials had . .said reductions in American military - aid to Israel "could trigger -a crisis in political relations between Israel and S.he United States." C-07V7TIVZTED'' Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 STAT IMTICLE API THE NEW REPUBLIC ,..72:sext, 4,44 QN PAGE liAaircw_ed-For ReleaL ibblAi g/ : CIA-RDP91-00901R000,46t FROM WASHINGTON SCANDALMANIA What happened in Washington last week was the journalistic equivalent of yelling fire in a crowded theater. First came the sleazy maunderings of a sanc- timonious Hollywood lawyer calling on President Reagan to spare the American people an onslaught of agony and trau- ma by taking possession of porno- graphic videotapes of members of his Administration. What a shame that the thanks of a grateful nation couldn't get equal time on the evening news or -"Nightline," where this character was permitted to blather on unchallenged about his tapes. Before you could say Larry Flynt, of course, the tapes had disappeared amid the sweat socks in the lawyer's racquetball bag. (Aren't they supposed to be tennis addicts out There?) By then the feeding frenzy had be- gun. Yet another meaningless event had occurred that had to be connected to the other disparate meaningless events of the last few weeks. Anyone could play, and everyone did. A friend who works on Wall Street told me that at his exercise salon he overheard a cou- ple of prosperous-looking financial ex- ecutives seriously discussing the possi- bility that the C.I.A. had bumped off Vicki Morgan, mistress and onetime Marquis de Sade therapist to a Presi- dential confidant. The White House press corps, that much maligned beast, had no choice but to pursue the leads without fear or favor. This meant, for example, that se- rious people were obliged to pick up the telephone and ask their sources if they had heard the reports that _s ter White tam n cabinet member ha RYliMe RilikarVA on one of the tapes. Nothing was proved, and nothing got into print. It was nonetheless clear that everybody had once again underestimated the abil- ity of a story to take on a life of its own. At any given time in the nation's cap- ital, reporters know and certainly sus- pect more than they use in print or on the air. A lot of news organizations knew in 1980, for example, that there were American hostages hiding in the Canadian Embassy in Tehran. To spare their lives, the press didn't go with that story. And now, reporters who cover Congress say that it was common knowledge on Capitol Hill that Repre- sentative Gerry E. Studds of Massachu- setts was gay. Last week Mr. -Studds came out of the closet and raised the perfectly legitimate question of whether his sexual orientation was anyone's business. So there is precedent for self- restraint, and one wonders why it all went out the window, during this week's bout with Sillygate. The worst thing that happened was that the real questions at the center of the episode of President Carter's briefing papers were obscured. Two separate questions seem perti- nent. The first relates to the ethics of using the "pilfered" material that found its way into the hands of the Reagan campaign. Since James A. Baker III, David R. Gergen, Francis S.M. Hodsoll, and David A. Stockman all admit to having used or condoned the use of the material, it's a question these talented and ambitious leaders of the Adminis- tration's so-called "moderate" wing will have to live with for the rest of their lives. Any student of ethics will say that it ought to make little difference wheth- er the material they used was valuable. But let's also remember that if the rec- ollection of these Reaganites is accurate, their response to the stolen Carter doc- _unients was much the same as the col- lective "ho hum" initially put forward by every news organizationin the coun- try when the story broke last month. Only with the passage of time did it be- come clear that something might be amiss here. Fairness demands that even Republicans are entitled to behave like human beings. onno3-7 dermine a sitting President? Or was this a case of one or more misguided hold- over office workers passing some stuff on to friends on the outside who used it to try to impress their superiors in the Reagan campaign? Here, let's face it, we have nothing to go on except infer- ence piled upon inference. President Reagan has only himself to blame for the innuendo surrounding those inferences. No one forced him to politicize the Central Intelligence Agen- cy by installing his campaign manager there and then letting him nm amok and become a magnet for every suspi- cion that could possibly be developed out of this mess. If they think on Wall Street that Vicki Morgan was terminat- ed with extreme prejudice, it's probably because William j. Casey is a known commodity down there. ' As for the press, what has given this story legs is not the compulsion to "get" anybody, but the desire to solve a genuine mystery. It's been an entertain- ing mystery, and if we're lucky it'll get solved eventually. But don't count on it. We may never know how the Carter briefing material found its way onto Mr. Stockman's kitchen table. We never did find out who ordered the Watergate break-in and why, and there were a hell of a lot more investigators chasing after that story than there are chasing after this one. One final difference between this scandal and previous ones is that you don't hear the phrase, "What did the President know and when did he know it?" That the question is hardly even be- ing asked is testimony to Mr. Reagan's infuriating resilience. This is a man who forgot the name of the country he was in last December, who seems unsure of the names of his own staff members, and who?as the White House press corps looked on in 1981?even forgot the name of his own dog. - Still, his ability to slither out of this scandal may not last forever. Picture this scenario. It's a year from now and Mr. Reagan, running for reelection, comes under public pressure to debate his Democratic opponent. Under no cir- cumstances can one imagine it to be in his political interest to do so; yet the po- litical costs of chickening out may be The second "Debategate" question prohibitively high. We may never know relates to the debate material's prov- how "Debategate" occurred, but it will enance. Was this caper part of a large, certainly be a factor in forcing Mr. Rea- systematic scheme to infiltrate the Car- gan to rectify the original caper and de- Ouse? Were th Alairgn TA-Ift t1P-Aiic9 rte ifffugski50 roYg I I ? Iv to the Demo- and square. STA ARTI OLE App:tvA3proved For Release495f11/28 ? CLA-RDP91-00901R0004000 ORK nMES ON PAGE 7 July 1953 House Compromise Sought an Nicaragua Senate Resistance Noted The Administration has been trying ! to persuade House Democrats to corn- promise and accept a conditional aid ; cutoff, arguing that the Senate would ' not go along with an absolute ban even ff the House approves the Boland-Za- blocki proposal. Some House Democrats contend that requiring the Nicaraguan Government to certify an end of military aid to Sal- in meetings with top Administration of- vadoran rebels would allow the Reagan 5 ciaLs, said that he felt "we were mak-; Administration to continue aid to Nina- fag a reasonable amount of movement : raguan rebels indefinitely. in the past, before the July 4 recess" but that be , . Nicaraguan officials have denied that knew of no agreement on the plan for an ? their Government has allowed, let alone aid cutoff conditional on Nicaragua's Assisted, military aid to Salvadoran actions. - .. guerrillas. , "We were certainly taking a very, .farticipatIng in the negotiations for hard bob at that Particular concept," ? the Administration were James A. he said by phone from Florida. "I think tBaker 3d, the White House chief of the idea has merit but I don't latow how staff; Kenneth Dam, Deputy Secretary far we can get with it." of State;:-William J Casey, Director of Momentum has developed for a corn- Central Intelligence, and William A. plete ban on covert aid to Nicaraguan MacFarlane, the deputy national se. rebels Already the House Intelligence curity ativiser to President Reagan. Committee, led by its chairman, Ed- The principal members of Congress ward P. Boland of Massachusetts, and involved, participants said, were Mr. the Foreign Affairs Committee, led by Michel, C. W. Bill Young of Florida, 1 Its chairman, Clement J. Zablockl of William S. Broomfield of MichiganTiiid Wisconsin, have voted for a halt to coy- ,T. Kenneth Robinson of Virginia, all Re- art aid to rebel forces in Nicaragua on publicans; and Mr. Wright, Mr. Fas- Sept. 30. In addition, Mr. Wright has cell, Daniel A. Mica and Andy Ireland I ,,ing for any operations 'inside Nicara- horaa, an Democrats.. . . - said be totally opposes American back- of Florida, and Dave. McCurdy of Okla. I. 'Something Reasonable Urged By HEDRICK SMITH Special to The Newyork Times WASHINGTON, July 6-- The Reagan ' Administration is negotiating with Re- publicans and Democrats in Congress to devise a compromise that would avoid a vote in the House of Representa- tives to end covert aid to Nicaraguan rebels, high Administration officials said today. Participants in the negotiations said top AdmintrtratiOn officials met four times last week with nine key members of Congress to draft an alternative reso- lution that would make a cutoff of cov- ert aid to the rebels contingent on the Nicaraguan Government's certifying that it had stopped channeling military aid to leftist guerrillas in El Salvador. Administration officials said no agreement had yet been reached on a specific proposal. But they said they were hoping that a resolution on what they call a symmetrical cutoff could eventually win the backing of the House majority leader, Jim Wright of Texas, and the House Republican leader, Rob- ert H. Michel of Illinois, as well as members of the House Intelligence and Foreign Affairs committees. The House has scheduled a debate for mid-July on a proposal to halt the Ad- ministration's covert aid to rebel forces In Nicaragua on Sept. 30. Under the pro- posal, $80 million in covert action funds planned through fiscal 1984 would be converted into overt aid to other Cen- tral American countries to help them stem the flow of arms to Salvadoran guerrillas through their territories. "We'd like to find some agreement short of an all-out cutoff of aid," Mr. Michel said in a telephone interview. "The folks on the Democratic side are telling the Administration to come up with something reasonable and 'we'll buy onto it.' I would hope we could put something together next week." Representative Dante ?B. `Fascell of Florida, one of the Democrats involved ? Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 AFTfTEpviWzVeJease 2005/11/28 : CIA-RDP91-00901R0004000 ON PAGE A -I NEW YORK TIMES 7 Tuly 1983 Data-Gathering Efforts Describe As Part of Campaign for Reag IWASHINGTON, July 6 ? An opera- tion to collect inside information on Carter Administration foreign policy Iwas run within Ronald Reagan's cam- paign headquarters in the MO Presi- dential campaign, according to present 1 . and former Reagan Administration of- ficials. These sources said they did not know exactly what information the operation produced or whether it vras anything be.' yond the usual grab bag of rumors and published news reports. But they said it involved a number of retired Central In- telligence Agency officials and was ? ' highly seczetive. The sources identified Stefan A. Help- er, a campaign aide involved in provid- ing 24-hour news updates and policy Ideas to the traveling Reagan party, as the person in charge. Mr. Helper was out of - town today and could not be reached.. But Ray S. Cline, his father-in- law, a former senior Central Intelli- gence official, rejected it all as a "ro- mantic fallacy." , -- - ' I Investiptions Under Way _ The disclosure was the latest develop- ment in a furor over revelations that Reagan campaign officials came into possession of Carter debate strategy papers before a debate between the two carkidates. The2natter is now being in- vestigated by the Federal Bureau of In- vestigation and a Congressional cora- mittee. Mr. Helper nominally worked for Robert Garrick, the director of cam..., paiga operations, who said in a tele- I phone interview recently that Mr. Helper - was "supposed to - help with I cornmtmications, but I kind of thought he had another agenda going ? be was . always on the phone with the door , closed, and he never called me in and discussed it with me." Responding to' inquiries' about the gathering of information in the cam- paign, a high Reagan Administration official said there was a memorandum from a junior campaign official to sev- eral senior Reagan campaign aides cit- ing the need for information from within the Carter Administration on for- eign policy decisions. The official said Approved For BY LESLIE H.GELB ipocial to The Now York Times Mr. Helper was not the junior official. , - CBS News reported tonight that -Edwin Meese 3d, a top Reagan cam- -paign aide, now the President's counse- lor, denied seeing a campaign memo- randum from a volunteer, identified as Dan Jones, suggesting that there was a ',secret agent inside the Carter Adminis- 4:ration. CBS News reported that the memorandum had been addressed to 'James A. Baker 3d and William J Casey, prominent officials in the Rea- I ? gan election effort. . Speaking of Mr. Helper; David Pros- I peri, a Reagan campaign -aide, now with Superior Oil Co., said, "He pro- vided us with wire stories and Carter ! speeches,- but people talked about his / having a network that was keeping 1 track of things inside the Government, mostly in relation to the October sur- prise." The Reagan campaign team used the term "October surprise" to refer to the possibility that President Carter might take some dramatic action with regard *to the hostage situation in Iran or some other action to try to turn the tide of the .election. Mr. Casey, now the Director of Cen- tral Intelligence, who was Mr. Rea- gan's campaign director, said in an in- terview Tuesday that this was of special concern to Reagan strategists. He said Mr. Garrick bad spoken of using retired military officers to watch military air- fields for the dispatching of hospital air- cpatt for the hostages. A source from the Reagan campaign who asked not to be named said, "There was some C.I.A. stuff coming from Helper: and some agency guys were hired.' He added that he was never aware that this information was partic- ularly useful and that he and others had their own sources within the Atiminic, tration who provided unsolicited infor- mation. Receipt of Security Papers The same source said Richard V. Allen, Mr. Reagan's chief campaign foreign policy adviser and his first na- tional security adviser, received classi- fied National Security Council docu- ments from a Carter Administration of. ficial. Mr. Allen has previously ac- knowledged that he received material which he described as "innocuous" and dealing with morale on the N.S.C. staff.. Release 2005/11/28 : CIA-RDP91-00901R0t6 According to the sources, Mr. Helper worked closely with David R. Gergen on the staff of George Bush when Mr. Bush, was seeking the Republican Presidential nomination. The sources said that Mr. Gergen, Director of White House Communications, and Mr. Baker, another top Bush campaign aide and now an assistant to Mr. Reagan: brought Mr. Helper onto the Reagan: campaign staff after the Republican' convention. Mr. Bush was director of Central In- telligence under President Ford and . former Bush aides said today that many former C.I.A. officials offered their help in the Bush campaign effort. The former aides said that Mr. Bush himself was against anything that might smack of "C.I.A. support. No Response From Gergen Mr. Gergen declined to return several telephone calls. Instead, he telephoned Mr. Cline, Mr. Helper's father-in-law, and Mr. Cline contacted The New York Times. Later, a source close to Mr. Gergen telephoned to say that Mr. Gergen was "unaware of any organized intelligence operation of the kind described, but that he was aware that Mr. Helper was working on issues and the development of information for the campaign." ,The source added, "There was defi- nitely no reporting relationship to ei- ther Gergen or Baker during the cam- paign effort." Mr. Cline said Mr. Helper was on a "special staff to analyze campaign issues, just as he did in the Bush cam- paign, and that he was responsible for looking for booby traps and studying what Carter people were saying to look for vulnerabilities." He added: "I think this is all a roman- tic fallacy about an old C.I.A. network. I believe I have been close enough to the intelligence community for the last 40 years that I would have discovered it. Such an effort would not have been worthwhile and I believe it was not exe- cuted. That does not mean that some in- dividual or individuals didn't do some- thing, but there was not a deliberate ef- fort to penetrate" the Government. Mr. Helper's personal secretary, who now works at the White House, was reached at her home through the White House switchboard, and when asked about an information gathering net- work ran by Mr. Helper in the cam- paign, she hung up. White House opera- 5- UI 4 ttigt= "unavailable.' said they knew of any relationship between Mr. Helper AfT77'77 ?Pr' Approved For Release 2C19Firy2,186pWIANPI1-0(1148y1F00 5 July 1983 400070003-7 -- ? By NILES LATHEM,Burectu Chief _ _ WASHINGTON ? CIA Director William Casey made a secret trip to war-torn Central America last-week to investigate the expand- ing war between Nicaragua and the CIA,: backed rebels, The Post has learned. - The schedule and purpose of the unusual-trip by the 70-year-old director, who once ran a network of agents behind Nazi lines for the OSS during World War II, remained top secret -- But high-level U.S. officials told The Post over the _ .. ..:4,...weekend that among 1 Casey's stops was Hon- duraa where he toured the "war zone," near se- cret bases on the Nicara- guan border ? set up by the CIA as ? a staging ground for .guerrilla Operations against -the Sandinista regime. Sources also told The Post that Casey is ex- pected to report to Presi- dent Reagan and Na- tional Security Advisor William Clark sometime later this week -on -a list of requests from the rebel leaders for more U.S. military aid. The rebels are seeking heavier weapons, ?small aircraft and ways to im- prove supply lines ? a move which would allow them to set up opera- tions way inside Nicara- gua and move :closer to ? their goal of overthrow- ing the Sandinistas. The requests are' al- ready under considera- tion at the highest levels of the Reagan adminis- tration and the Hondu- ran government, sources said. .. Publicly the Adminis- tration will admit only that the operation against Nicaragua is to Interdict supplies to left- WILLIAM CASEY First-hand look. 1st rebels in El Salvador. But one senior U.S. offi- cial commenting on Casey's trip told The Post "The conflict in Nica- ragua is clearly ap- proaching a second phase and some hard decisons have to be - made at the highest levels very soon." It is no coincidence that Casey's trip comes as the Soviet Union and Cuba are dramatically expanding military aid to the Sandinistas. U.S. intelligence has picked up evidence of a ? massive airlift of equip- ment to Nicaragua. de- signed specifically to fight the- CIA-backed guerrillas., Sources said that 50 Polish-built helicopters, 350 trucks, 25 Soviet-- built BRDM..2 armored vehicles, _20 BTR ar- mored personnel carri- ers equipped with rocket launchers, anti-tank guns, and a dozen tanks have been delivered to Nicaragua in the last 30 days. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Cable News Network, Inc. Approved For Release 2005/11/28 : CIA-RDP91-00901R0004 caNNM 2133 Wisconsin Avenue, N.W Washington, D.C. 20007 202-298-7400 NOTE: EMBARGOED UNTIL 2:00 P.M. (EDT) 0003-7 ST ?SATURDAY JULY 2, 1983. AIR DATES: ORIGINATION: GUEST: CORRESPONDENTS: PRODUCER: ASSOCIATE PRODUCER: "NEWSMAKER -- SATURDAY" Saturday, July 2, 1983 at 1:30 & 5:30 P.M. (EDT) Sunday, July 3, 1983 at 3:30 A.M. (EDT). , Washington, D.C. Rep. DONALD ALBOSTA (D-Michigan) Chairman, House Human Resources Subcommittee .Daniel Schorr, Cable News Network Marianne Means, Hearst Newspapers Jack Nelson, Los Angeles Times Elissa Free Chris Guarino ? NOTE: EMBARGOED UNTIL 2:00 P.M. (EDT), SATURDAY, JULY 2, 1983. EDITORS: This is a rush transcript provided for the convenience of the press. Print and broadcast media are permitted to quote this transcript with credit given to "NEWSMAKER -- SATURDAY," Cable News Network. Video and audio cassettes are available upon request to the media. For further information, please contact Elissa Free or Chris Guarino at (202) 298-7400. Transcript By: Neill & Groff Associates P.O. Box 9781 Approved For Relelai6tfias :Z?i-k-iii6151koolaiaiSboLl000moo3-7 202/544-6006 & 703/524-6060 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 CO Available Orr Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 NOTE: EMBARGOED UNTIL 2:00 P.M. (EDT) , SATURDAY, JULY 2, 1983. 1 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 . SEGMENT I MR. SCHORR: Welcome and welcome to our NEWSMAKER guest, Representativ Donald Albosta, Democrat of Michigan, who now heads a subcommittee that you wouldn't have imagined doing so, but is now engaged in a very important investigation. Let's see if I say it right: Chairman of the Human Resources Subcommittee of the House Committ on Post Office and Civil Service. REP. ALBOSTA: MR. SCHORR: order House That's correct, yes. Welcome, sir. Here to interview you are Jack Nelson, of the Los Angeles Times, Marianne Means, Hearst syndicated columnist. I'm Daniel Schorr, of the Cable News Network. Congressman, let me first say that we invited, in to balance, first of all any representative of the White to be on this program -- the White House declined. We also invited get some both minority members of your Subcommittee, Repreierl-iatives Crane and Gilme and they declined. And therefore, you are here alone to respond to our queE tions. The first one is this. David Stockman, a former Representative from your state, appears to be now on record as having said in October of 1980, boasted about the fact that he used, quote, unquote, papers from the Carter campaign to help brief Governor the debate with President Carter. Does that make David Stockman witness before you? "pilfered,' Reagan for an obvious REP. ALBOSTA: Well, obviously, he has stated sometime in his memories that he did have knowledge that those documents didn't just walk over to the campaign office of the -- the then- Governor Reagan. I can't say, Dan, for sure whether or not we would be bringing-David Stockman before our Subcommittee through any kind of hearin at this time. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 2 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 MR. SCHORR: I'm not talking about hearings. I'm talking about gettinc ? interviewing him and getting information from him, or calling him in executive session to start off with. REP. ALBOSTA: Oh, there's nothing ruled out. Simply, it would seem that that would be the direction that we would be heading in now. MR. NELSON: I was going to say, were you a little bit surprised at the way President Reagan handled this whole situation of the Carter briefing book? I mean he tended to, you know, laugh it off or joke about it and say it was much ado about nothing. REP. ALBOSTA: Well, I suppose that would be a natural tendency for the President to do that. And anyone that's got all the obligations that a President has does not want something that would tend to be a scandal going on in his Administration. And if he could just easily push it aside and sort of have it forgotten about, as it obviously was once. This was mentioned sometime ago. Dave Stockman mention( even in the press the day of the debates and it dilaWt get out, it just didn't get circulated. The reason that I'm into this now, Jack, is because I have the responsibilities .of the oversight and review of the activities and conduct of federal employees. If I'm going to do my job, I have to find this out. And I think the President understands that now and I hope that he will cooperate. He said he will cooperate. Baker has said that he will cooperate So we could, you know, get our investigative function over with in a hurry if we would simply get some good answers from the White House and let the chips fall where they may. MS. MEANS: Well, Speaker O'Neill said that he thought that whether or not the Reagan people had had the briefing book or noi wouldn't have made any difference to the outcome of the debate or the outcome of the election anyway. So isn't this all a lot of to-do about nothing? Approved For Release 2005/11/28 : CJA-RDP91-00901R000400070003-7 3 REP. ALBOSTA:ApprovisitiEFbiReibaSte2ObS51/ftriollek-RINE91S0139COR0404000700(T3_71on't really car what the outcome of the debate might have been because somebody had somebody else's material. The point is it wouldn't have made any difference in my opinion in the work that we're doing whether somebody stole some typewriter out of the White House or son thing else. The point is that they can remove things from the White House. And if you have people there, and we don't have the standards and a code c ethics that people in the country can believe have nothing but a bunch of bandits down here is walking off with something, and maybe even in, and if they believe we in Washington, and everybody other nations are able to dc that, they lose confidence in their government. We can't be the leading shining star of nations around the world unless we have More than 50 percent of the people voting in this nation. How can we go to-Central America and say that our system is the .b,est in the world unless we've got the confidence of Our own people and they turn out to vote. MR. NELSON: Congressman, some of the former Carter Administration _ officials say that -- that the papers that were release( by the White House to the Justice Department! and I sup- pose to your Committee, indicated a constant flow of papers. And I know one of them was quoted as saying it may have come from three different offices in the White House. Would that mean that your investigation is broader than just whether or not the debate materials were taken? REP. ALBOSTA: the And criminal the only Well, my investigation will try to find out who in the Carter Administration and at what level of employ might have been engaging in those activities. We're not after - prosecution of that person; we're after changes in the law. way we can know is to have all the facts. Ours is a fact-fin, mission. It is not probing to try to find out if somebody is guilty. We'r, not going to -- If we stumble .across those people that might be guilty a: if we think there's information that would be valuable to the Justice Department, Appeti4e1c1IRMIcrelbaig2ER16114/2$9CtAIRD15915(tOiagfRAIRROafilgq? .1 don't care go any further with that. My hope is that this whole issue will not get of -- out of the conte> t t Approvea ror Keleabst zOuphlizo : um. ?.1..t_R&it9h5biotkofompoporgbilities that . I feel are mine with the Subcommittee chairmanship. MS. MEANS: Well, how important do you think it is whether this material was solicited or whether it sort of came in ove: the transom? In other words, the responsibility of the ?. REP. ALBOSTA: Well, it's very -- No. That's very important if somebody did solicit this material, simply because that is a clea violation of Federal Election Commission's laws. And you can't promise anyone that you'll give them a job after an election for som favor that they might do for you. That is against the law. That's part of our whole process, as I see it, of trying to bring confidence in the Ameri, system, and its elected officials and its appointed officials up, sb that the American people will get out to vote. so that MR. SCHORR: We're going to have to pause here. We'll be back in a couple of minutes. SEGMENT II MR. SCHORR: We are back with our discussion with Congressman Albosta of the coming investigation of the missing, purloined briefing parsers. Congressman, you said earlier that pro ably you have to talk to David Stockman, who boasted of using pilfered pap One of the most interesting contradictions that has yet come up in letters to you and to your Subcommittee, James Baker, White House Chief of Staff, says he clearly recalls getting that material from William Casey, who is now the CIA Director. Casey says he remembers nothing about it. Will you have to resolve that contradiction? REP. ALBOSTA: Well, I think we will. Certainly, there's something ther in Mr. Casey's memory that seems to have gone blank. He could remember details during the hearings that he had with the Senate on many items of -- of years back. I would think that Mr. Casey probabl?PR.M.McSEelgaVe2P-Prga.t2HYTalis92EINP419E78M-7 our Committee. MR. SCHORR: Now how do you proceed to do that? This is a matter of . Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 process. Normally, an investigation of this sort, and we've been through a lot of investigations in this town, you invite him to appear in executive session with you, and staff, or what ever. ff he's willing to come, fine. If not, subpoena and that he then is in executive session under oath. Is that the way you're going to do it? REP. ALBOSTA: That's a possibility and we certainly don't rule out just having an interview with Mr. Casey, and certainly the people that are around Mr. Casey, or that have been around Mr. Casey, will be interviewed by investigative staff. MS. MEANS: With the exception of Casey, are you satisfied with the level of cooperation you're getting from the White House, from the people like Baker, and Gergen, and do -- REP. ALBOSTA: Oh, I think so. I think that they responded to my letter and certainly Gergen had responded again with. an apology saying that he didn't give me all the material and that there was sensitive material that pertained to nein-nal defense within those documents, and that I should know about it. I think he's to be com? mended. I-think the President is to commended for the position that he's taken that we should get to the bottom of it, that let's get this thing over with, and -- even though he agreed with Tip O'Neill in a humorous way I think he really would like to get this thing over with. MS. MEANS: Do you trust the Justice Department to handle this? Do you think a special prosecutor, an independent investiga tor might be necessary. REP. ALBOSTA: Well, it might be if there's any -- any criminal activit that's shown. First we have to know how the books got 02 the papers got out of the White House. If we don't find that out, obviously they didn't walk over there. But if you haven't got someone to say that's the person that -- that removed them, if you haven't got someone to say that, then you don't have a reason for criminal invest: Approved For Release 2005711/28 : CIA-RDP91-00901R000400070003-7 gation, or at least prosecution. , MR. NELSON: Let me take you back to the question of a broader inves- Approved For Release 2005111/28 : CIA-RDP9/-00901R000400070003-7 tigation. If it's true that if in the investigation you found there was a constant flow of information out of th White House or out of the Carter campaign -- well, particularly out of th White House -- would you follow that wherever it goes into various other offices, as many people as might have been involved, or -- REP. ALBOSTA: Well, we will follow it wherever we have to, Jack, in order to try to find out what we would have to do to change the law. Maybe we have a real lack of communicati with Civil Service employees as to what the responsibilities are. I think that the Office of'..lovernment Ethics ought to have a training session for people that work in such sensitive places as the White House. We know now that they do not. They are Civil Service employees, but they don't go through any type of training system. We have a Code of Ethics in almost every police departme in the country and they're trained -- there are sessions that they have tc sit down and go through these different standards of conduct. MR. NELSON: Well, let me ask you very quickly, on this kind of inves tigation though, will you be looking at people who are still in the Reagan White House who were in the Carter White House before as possible witnesses in this case? REP. ALBOSTA: Oh, I think so. MR. -SCHORR: Let me broaden that question. Congressman, we've heard from Democratic sources there's a list that those who we in the Carter White House, every one of them have a favorite suspect. I'm sure the names of those suspects -- and I would not ask you to go into names right now -- that that list of suspects is also available to you. Are you going to call all the persons who were involved in the Democrat and the Carter side preparing this, and who have been sug- gested as possibility of people who could have, people who might have? Are they going to come one after another? Are you going to question them? Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 REP. 7 ALBOSTA :Approve FtthEiltalkasteh220.5/47112accCI#IREET1-8%:031Regb40(1000%117ose people. I don't know whether or not we will have them in executive session or whether we would have to subpoena them at thi time. T don't know what the case might be. But certainly we have -- MR. SCHORR: REP. ALBOSTA: MR. SCHORR: REP. ALBOSTA: MR. SCHORR: MR. NELSON: REP. ALBOSTA: MR. NELSON: REP. ALBOSTA: Have you talked to some of them? You've talked to some of them already, haven't you? Well, not to this point, we haven't. Staff? My staff may have contacted those people. They certainly know who they are. I can tell you I contacted one or two and I know that they've been contacted by your staff. With the House Speaker actually opposing your investiga- tion -- He said he didn't -- He didn't think it should be held. Is that going to handicap you in anyway? . No. I don't think the Speaker really was interpreted properly there. Well, the rhetoric -- Well, wait a minute, Jack. I talked to the Speaker right after -- I had a meeting right after he had that news conference. The Speaker has a right to his own opinion a he stated that very clearly. He thinks that the economy, and unemployment, and all the other things in the country that are problems should be the focus of attention of the people of this nation, and that investigations like this would be better handled by the Democratic National Committee or something else. And he put all of -- this investigation into a focus of politics. Well, he didn't understand at the time that we were in the procc of re-enacting the Office of Government Ethics and that this Subcommittee is going ahead with other investigations. We have -- , ..???? eff.t . MR.. NELSON: Did he give it his blessings? REP. ALBOSTA: Yes. MR. NELSON: Approveli(Fodklease 2005/11/28 : CIA-RDP91-00901R000400070003-7 REP. ALBOSTA: Yes. MR. NELSON: REP. ALBOSTA: MR. SCHORR: 8 Approyml Vgt?Felefia2p01/AVAt.%43kapapo9A-cov 2.ygg q7,9 F.3 He says that I am totally within the authority of this Subcommittee and that he says I don't have any objections to you going ahead with this. That's what he said. I'm going to have to ask you to pause once again. We'll be back in a couple of minutes. SEGMENT III ? MR. SCHORR: Resuming our conversation with Congressman Donald Albosta the head of the Subcommittee which is going to be investi gating the pilfered Carter briefing papers. And for those who may have tuned-in late let me re-introduce our panel here: Jack Nelso of the Los Angeles Times, and Marianne Means, Hearst syndicated columnist, and I'm Daniel Schorr, of the Cable News Network. Congressman, it sounds as though, based on said so far, that because the jurisdiction of your committee a Civil Service jurisdiction, that your first priority is to servants who may have done unethical things. But since a lot happened, which may not have been performed by Civil Service none of the people on the Reagan side of this were civil servants then yet, they were not in government at all. If your investigation then is only a partial investigation, if you're only looking at one corner of this, will you hope that somebody else will pick-up some of the larger dimensions of this, a Senate or House committee with other jurisdictions? what you've is primarily look for civil of other thing -- In fact, REP. ALBOSTA: To be honest with you, Dan, I don't think that we should have as many committees looking into this as we had durin the problems with EPA. That, I think, goes too far. There is (sic) other committees, I believe, particularly the Judiciary Committee that could possibly look into any kind of criminal violations. I would have no control over them and they may choose, somewheres along the line, to get themselves involved in this. ApproJed%qtgiemangn1/20613m64,1:0?7fikil61346619A0697 look into any criminal activities, simply because it isn't within my jurisdiction to do 9 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 would respect that subcommittee, if it carried on a .400d investigation. Not a witchhunt, but just simply time to have a fact-finding mission so that they could establish once and for all if somebody was there that was not doing the right thing. MR. SCHORR: was unclear that Let me take you back to the Watergate investigation. The first Watergate investigation was started by a Judiciary Subcommittee in the Senate, headed by Senator Kennedy. It the dimensions of this were such it could not be handled that way and eventually you got a Senator Ervin. There was a Church Select Committee that was chaired by Committee, a Select Committee that inves- tigated the CIA and FBI. If the issue is big enough, it seems to require some larger committee assembled for that purpose. Would you think that at the end of your investigation that could then happen?. REP. ALBOSTA: MR. SCHORR: REP. ALBOSTA: MS. MEANS: the Republican REP. ALBOSTA: That that would bring an end to A Select-- Well, that you would merge yourself into some larger investigation by some larger group assembled for that purpose? I think, honestly, there would have to be more to this than what has surfaced so far. The President tried to suggest that this was all just politics at his press conference the other night. Aren't you vulnerable to that charge? You're a Democrat. I notic Senate isn't rushing forth to investigate this. Well, a lot of things have happened just in a very, ve: short time. When I got into this thing, I was -- My intel was to -- to try to find out more information about what we might have to do, simply because there was questions raised about certa: appointees of the President during the time that we were reviewing the Eth: in Government AVeltavitiFothata IOU itiQPitif28GCAtaiiilettOlDitREL0104Q00gEkOP3rpTy responsibilit: I felt, extended into this. 10 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Will that damage me back in my district? If people want to to vote against me because I'm dokng my job, I doubt that. I don't think so. I don't think it makes any difference if you're a Republican or Democrit. I think that the people want us to do what we were elected to do and that's to serve in a capacity that we accept. And that responsibility in this Subcommittee chairmanship is definitely upon my shoulders.. I hones. would hope that someone else would have some of it and that the Speaker wo bless this whole thing, because it is, I. think, necessary to once and for all try to get the level of government to where people have confidence in it. And we can get that percentage, I believe, up to 60, 70 or 80 percent. In El Salvador alone, 90 percent of the people that were eligible to vote turned out to vote. What's wrong here? Do you see what the point is? ? MR. NELSON: How will your investigation proceed now? I mean you'll come back from Michigan after July 4th, what'll you do? Do you plan to hold hearings, do you know? REP. ALBOSTA: Interview. MR. NELSON: Are you going to have subpoenas or-do you know about tha REP. -ALBOSTA: MR. NELSON: REP. ALBOSTA: MR. NELSON: REP. ALBOSTA: MR. NELSON: subpoena and REP. ALBGSTA: MS. MEANS: Will be subpoening witnesses? We will be interviewing people that should have some knol ledge of the activities that were going on during the Carter Administration's campaign. Well, yoU've aIkeady been interviewing, haven't you? No, we haven't been interviewing. You haven't been interviewing witnesses yet? No, we haven't been. Well, now when you start interviewing witnesses, if you have trouble finding them or if you have trouble getting them to really respond, do you intend to put them under under oath? We may. We won't rule that out, Jack. You'll be doing all this privately. Wbeniaill you start Approved For Release 2005/11/28 : CIA-RDP9T-00901R00000700034 doing things publicly? II REP. ALBOSTA ?,3PmvefiW. 97 now, ow, obviously. We sent the letters to the White House and we've asked for information. That may be an ongoing public statement that will be made at the White House, I don't know. Certainly -- Gergen hz sent me another letter, saying that I apologize, there was more material there. Certainly, we have sent out letters now to -- to Hodsell and to Kirkpatrick, and I would think that we will get a response within the timE limit that we put on those requests. MR. SCHORR: Congressman, we have less than a minute left. I just war to ask you, do you think this issue will play any role j the 1984.. campaign? REP. ALBOSTA: would hope that this issue would not play a role in the 1984 campaign politically. What / would like to see it play a role in that election is the standards of our government are coming up. I would hope that the people on both the Republj can side and the Democratic side would see us as doing things here that a2 -- are respectable and that they can have confidencg,.in, and that will brj them out to vote. MR. SCHORR: All right, Congressman Albosta. Thank you for appearing on NEWSMAKER -- SATURDAY. Enjoy the fireworks over the weekend. Let's see what fireworks you produce after this weekend. I'm Daniel Schorr, for my colleagues,. CNN, in Washington. [End of broadcast.] NOTE: EMBARGOED UNTIL 2:00 P.M. (EDT), SATURDAY, JULY 2, 1983. Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 STA I ApTlrLE AppEAREapAoved For Release 2005/41-P28R CIAIRDP9T.009011 iLly 1983 011. head reverently prayer in Latin Cross of the Order of Saint Sylvester, the oldest and most prestigious of papal knighthoods. This award has been given ro only 100 other men in history, who "by feat of arms. or writings, or outstanding deeds, have sp-reaci the Faith, and have safeguarded and cham- pioned the Church." Although a papal citation of this sort rarely. if ever, states why a person is inducted into the "Golden MI- dz." there car, be no doubt that Donovan earned his knic,nthood by virtue of the services he rendered to the Catholic hierarchy in World War II, during which he served as chief of the Office a:Strategic Services (OSS), the wartime predecessor to the Central *Intelligence Agency (CIA). In 1941, the year before the OSS was officially Constituted. Donovan forged a close alliance with F2r her Felix Morlion, founder of a European Catholic intelligence service known as Pro Deo. When the Germans overran western Europe. Donovan helped Morlion move his base of operations front Lisbon to New York. I-rom then on, PTO Deo was financed by Donovan, who believed that such an expenditure would result in valuable insight into the secret affairs of he VaHcan. then a neutral enclave in the midst of fascist Rome. Then the Allies liberated Rome in 1944. Mor- lion re-established his spy network in the Vatican: from ne day in Iuly 1944, as the Second World War raged throughout Europe, General William "Wild Bill" Donovan was ushered into an ornate chamber in Vatican City -for an audience with Pope Pius XII. Donovan bowed his as the pontiff intoned a ceremonial and decorated him with the Grand R000400070003-7 L 1 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Release 2005/11/28 : CIA-RDP91-00901R0004 Kink= uN PAGE LEADERS MAGAZINE July-September 1983 The Threat By The Honorable William J. Casey, Director of Central Intelligence, United States iodm?oomi????oo.up?mJmooim?rmmmmi.mlig The United States faces serious threats to its security and national interests throughout the world. These threats include social, economic and political instability as well as outright military aggression. The most serious of these threats, however, are those that stern from activities of the Soviet Union. I see five major types of threat posed by the Soviet Union. The first three arise primarily from the USSR's growing military capabilities: their strategic forces, their general purpose forces and their growing ability to project power over long distances. In addition. the Soviets have improved their ability to destabilize and gain influence over small countries-a threat which I call creeping imperialism-and they have increased their political and propaganda efforts to divide the Alliance and diminish the position of the United States. The first of these threats comes from inter- continental ballistic missiles and other carriers of nuclear warheads. The Soviets have been spending three times as much on these strategic forces as we do. The second threat is that of the Warsaw Pact forces on the European front. The Soviets are deploying in forward areas large numbers Of a new tank with improved armor protection, fast, self-propelled artillery and the all-weather Fencer aircraft., which can strike deeply and quickly into NATO's rear areas with a payload larger than the aircraft it replaced. The third category of threat that concerns us is that of power projection. Since 1975,, we have seen the Soviets develop a capability to bring support over long distances to pro-Soviet elements in coordination with their close allies. Soviet transport planes and cargo ships were used to carry sophisticated Soviet weapons thousands of miles to meet up with Cuban troops in Angola and Ethiopia. The fourth category is creeping impirialism. The Soviets have skillfully constructed a array of associates to use a mix of tactics-politic:,i, diplo- matic, subversion: terrorism and insurge,icy-to expand Soviet and pro-Soviet influence and to destabilize and overthrow liovernments. rne Soviets have compiled a remarkable rec irc in this activity. This creeping imperialism threaten our interests most immediately in Central Ainerica and the Caribbean. Cuban support of irsurgency and subversion in Central America could divide our own hemisphere and threaten the rich oil fields of our Mexican. neighbors as well a- control of the canal passage in Panama Political turmoil in Central America and a flood of ref uger:s from the south could divert the United States from threats elsewhere in the world. The fifth threat is in the Soviet pout. :al and propaganda initiatives designed to confuse and divide us from our friends. The most darrzerous political thrust is the cur-rem effort to ext ion European fear of nuclear weapons and the political risk which European governments perceive in the deployment of Pershings and cruise missiles in NATO countries. Andr,:pov comes to power finding in his lap an unr rece- dented opportunity to advance the Soviei objective of dividing the U.S. and Europr and, at the same time, a basketful of economic and financial problems. We should remember there are forces likely to constrain, limit and work against the ACCOM- plishment of Soviet goals First off, And-opov is faced with declining economic growth. Soviet agriculture has suffered four successive cop failures and there is a growing sense of malaise over the quality of life. Soviet society suffers from declining health; it is the only industriali2ed nation where the life expectancy for rner is actually declining. Corruption and alcohol addic- tion are rampant. The Soviet government does riot seem to know how to deal with these problems, beyond trying to improve discipline through strong-arm tactics_ CaVklIVUED Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7 And as he and his colleagues look abroad, the correlation of forces is not all going the Soviet way. Soviet forces are bogged down in Afghan- istan. Poland is a running sore. Rumania is getting itself into serious economic and political trouble. Cuba, Vietnam and other clients abroad constitute an economic drain. The USSR's various proxies are not wholly puppets, but cooperate with the USSR where this benefits their interests. There is no guarantee that the USSR now has all its friends nailed down for all time and we know that certain of them are careful to keep ties open to the West. Most Third World leaders are fully aware of Soviet intentions and think-perhaps mistakenly-that they can get what the USSR and its friends can give them without becoming too closely embraced by the Russian bear. Meanwhile the Soviets continue to hurt their own cause by their violation of Afghanistan and their often ham- handed behavior elsewhere. ? William J. Casey Approved For Release 2005/11/28 : CIA-RDP91-00901R000400070003-7