EX-CIA AGENT SUSPECTED OF SPYING SEEMED UNEXCEPTIONAL TO ASSOCIATES

Document Type: 
Collection: 
Document Number (FOIA) /ESDN (CREST): 
CIA-RDP94B00280R000700060002-4
Release Decision: 
RIPPUB
Original Classification: 
K
Document Page Count: 
48
Document Creation Date: 
December 22, 2016
Document Release Date: 
March 8, 2011
Sequence Number: 
2
Case Number: 
Publication Date: 
October 4, 1985
Content Type: 
OPEN SOURCE
File: 
AttachmentSize
PDF icon CIA-RDP94B00280R000700060002-4.pdf3.66 MB
Body: 
Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 land in W him ua a re How ktnutl ! indivii The only stain on his recorfher " came in.-February 198.4 when he, was arrested for brandishing a .44 a1.: pistol at: three neq in down days work '~- AI1~' a 2i ed. ?:~ ' pleaded ;guilty ti an f day, Howard fled, Sepl Ae was As part of the bargain,: I oward Car ~- Mm. a thR=-rirtfeee~eethet's of the rtwnmitt fns wIurJ .fix-L1A Affent suspected of p seemed Unexceptional to Associates N?Young New Mexico Economist Lived Quietly, Conventionally, ot-t- 95- ~p+ By T.R- Reid F?; Waiwgem, Pod stag write jw SANTE FE, N.M., Oct.3-To friends and colleagues here, Ed- ward Lee Howard seemed a stan- dard Santa Fe-style yuppie: a re- spected $32,000-a-year economic 'analyst with the state government who commuted in a bright red Jeep to his brown adobe house in a mid- die-income development south of town. Neighbors said he was a dutiful husband to his wife, Mary, a dental assistant in Santa Fe, and a devoted father to his 2-year-old son. He enjoyed flying radio-con- trolled model aircraft and target- s slwoting,at a local gun dub-hardly remarkable pastimes for a young ,.,professional in the Southwest. He did good work," said Steven Arias, clerk of the New Mexico Legislature, where Howard was ? employed as a natural-resources economist with the Legislative Fi-. nance Committee. He did good work through the afternoon of Sept. 20, when he briefed legislators at a budget-anal- ysis meeting in the state capitol, then slipped quietly away and van- ished. In Washington today, a Senate r staff official. described Howard as a low-ievet f-tte CIA's clan- destine'vextrrJce who was fired by. eed M.M. iMOW. transmitting and recording equip- Howard was born in Alamagordo, ment, and business cards carrying N.M., in 1951, son of a career Air microdots. Force sergeant. The family moved A second former CIA employe is frequently during his boyhood, and reportedly under surveillance as a he acquired a proficiency in Spanish possible Soviet agent, apparently and German. also based on information from Yur- After graduating from the Uni- chenko, a federal official said today versity of Texas in 1972. he spent in Washington. most of the next four years with the Two days after Howard slipped Peace Corps in South America and away, a passenger listed as "Ed- the United States. From 1976 to ward Howard" took an American 1979, he worked in Peru for the Airlines flight from Albuquerque to Agency for International Develop- Dallas. The next morning, Sept. 23, ment, according to the State De- the Federal Bureau of Investigation partment. issued an arrest warrant for the After earning a master's degree fugitive analyst but, by then, he was in business administration from gone. American University, he went to News that this quiet, generally work for the CIA, where he was mild-mannered - young economist employed from 1981 until spring might have been a U.S. agent work- 1983. ing for the KGB stunned and elec- In June 1983, he moved to Santa trified his coworkers here. Equally Fe. His coworkers said they did not surprised, evidently, was Howard's know what prompted the move. wife. He applied for a job as an analyst Philip Baca, Howard's boss in the with the state Legislative Finance state government, said he came Committee, a joint budget-planning into his office on the night of Sept. body serving both chambers of the 22 and found a letter of resignation legislature. He told his bosses that from Howard. In it, Howard asked he had been employed by the State coworkers to clean out his desk and Department but left State because said he hoped "some day to be able he and his wife did not want to ac- to explain this to you and the rest of cept an imminent posting to Mos- the staff." cow. Baca said he immediately called It is fairly common for CIA co- Howard's home and reached Mary vert operatives to work under dip- Howard. , e aa4 ghe expressed as- lomatic cover for the State Depart- tonishment th* ber husband had meet. '3ttts. tom` l;oye:been t d1y'of the se- wagnrart,iind" wlf he was fact Committee on Intelligence also able` to. leave; Sanh.: F'e before an said that, based on briefings e- arrest warrant was cawed by.thie p=4 I 'would not Co 'I a - '_ and oei bore said Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 e buLJ.A?rLli MESS 4 October 1985 ac'Y SUSPECT BY MICHAEL J. SNIFFEN WASHINGTON Edward L. Howard refused to transfer to Moscow for the CIA and was fired by the U.S. spy agency, all at about the same time he began working for the Soviet KGB, U.S. authorities say. U.S. officials said Thursday they believe the fugitive former CIA clandestine agent started working for the Soviet spy agency because he was angry over being assigned to Moscow. An FBI affidavit in federal court in New Mexico showed that Howard learned of the bureau's interest in him when agents interviewed him directly on Sept. 20, the day he abruptly quit his job before fleeing. Government officials familiar with the case were willing to discuss it only on grounds that they not be identified. Meanwhile, The New York Times, citing congressional sources it did not identify, said today that Howard is believed to have given the Soviet Union secret information about how the United States gathers intelligence information in Moscow. to an ; eapioyee-'s firing. -he_test is: intended 'to=, cover a wide range of-subjects And CBS News an Thursday quoted Sen. Dave Durenberger, chairman of the Senate Committee on Intelligence as-saying that Howard might have given the Soviets information on U.S. Intelligence gathering. Durenberg, R-Minn., said the security breach caused by Howard could be "as serious as anything this country has seen in the past," according to CBS. Howard, 33, went to work for the CIA's clandestine service in January 1981 and was fired by the agency in June 1983, according to U.S. officials who were uncertain as to the reason for his dismissal. Howard told co-workers when he returned to his native New Mexico in July 1983 that he had just turned down a government assignment to Moscow. That refusal might have prompted a firing,. but two sources indicated Howard had failed a CIA -administered polygraph. The CIA tests prospective, current and departing employees on the polygraph for security. breaches, and- In saw but -not ;.all ,ctrcuestances, a,failure can lead from espian a to i M' +alifi te.fM~f p ,a t tom. { k; with the Soviot ye .-Either case .ou] - so1pe time ulliler~~ t11e a Asked what aottvated Thursday, He mas . t over to the otner -sI4Ka Curtis Porter.. who-_h New Mexico..: r `~ Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 V ncu rur Lne 3LaLe Department' in ">.~. a hingtan. The State Department job was Howard's cover while at CIA. One former top-level U.S. counterintelligence official said it was surprising that a young agent would refuse a Moscow assignment even with a small child. "A young agent can't expect to get London or Paris. Besides, Moscow is sort of a plus in terms of one's career, and there are worse foreign outposts," the former counterspy said. "However, if the agent were already working for the Soviets, he might be worried that they would press his to do so many things in Moscow that he would get caught." Howard was charged by the FBI on Sept. 23 with conspiring to transmit national defense information to a foreign power. FBI agents have been trying to arrest him since then but he has been missing from his home in Santa Fe, N.M. since Sept. 22. Vitaly Yurchenko, a ranking KGB official who defected this summer in Rome, has told American authorities that two ex- CIA agents went to work for the Soviets, and one official says Howard probably is one of them. At the State Department, spokesman Charles Redman said Howard never worked for the department or the U.S. Embassy in Moscow. A department official said Howard's planned transfer was entered into the records for his cover job at State and the records never were corrected-because:.of an oversight. affidavit filed in federal court in Albuquerque said FBI agents interviewed Howard himself on Sept. 20 and said the FBI "believes that after Howard's interview with the FBI and his speculation that he would be charged with a federal violation, he fled sometime during the evening of Sept. 21." Howard abruptly left work on Sept. 20, leaving behind.a typed,,, re3lgnation Meanwhile, a minor flap developed inside--the Justice Department over Howard's success in eluding FBI agents. One department source said Justice officials felt the FBI agents had bungled the effort to keep track of Howard, but a federal law enforcement source said the agents did all they could before an arrest warrant was obtained. The department source said agents went to his home while he was out before he fled, and his wife let them conduct an informal look around the house. An FBI Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Captivated Las A/emw Associate LOS ANGELES TIMES 4 October 1985 Spy Suspect: Likable Guy or an Angry, Violent Man? By ERIC MALNIC, Time, Staff Writer SANTA FE, N. M.-People here look back on spy suspect Edward Lee Howard as two different per- sons. One was a "devoted family man," an outdoorsman-a "nice, friendly, likable guy" who worked long and hard and well at his job as an economic analyst with the state Legislature. The other was a darkly private man, a man who became angry, even violent, when drinking-a man who cultivated the friendship of an associate with 'ties to the nearby federal laboratories at Los Alamos, where the government does research work on secret weapons systems. People who knew the first Ed Howard say they were amazed and shocked to learn earlier this week that he is a fugitive, a former CIA employee now being sought as a Soviet agent. People who knew the second Ed Howard seem to harbor little sur- prise. "He was a close friend of David Abbey. and he knew Abbey had had access to claeatfied information at Los A1ama4' aae gasertt- tb* gOtR"0!F wtw nployed-would not ate oRhee tbwal tok:I h F ap Imss at- o time gat Toward had ever sought cbl = e bran INpaet,::;,a.; : . Cruces earlier this year, confirmed Howard's friendship with Abbey and said that "indirectly, Howard could have had other contacts with people at Los Alamos" through his job with the finance committee. State government sources said that one of the mysteries about Howard was the frequency with which he left town on state-paid business trips-"unusual for a state known for its penury." 'HtDId Geed Work' Porter admitted that "Ed used to get ragged a lot about the out-of- state travel he did for us, but he did good work ... and no one ever suggested he was up to anything else." Porter added, however, that "on a trip I took with Ed to Boston, he disappeared for a few hours ...." "When he showed up, he had a cut on his head," Porter said. "he told us he had walked into a door, cut himself and had to go to a hospital to have it stitched up. I did think that was odd ... . "Later that night, we all had a couple of cocktails," Porter said. "> a get ng alurvy, ; But the men told a different story. They said that Howard had forced their car off the road with his Jeep. They said that, when. they gm out of their car, Howard ap- Proached, poinft a .44-caliber magnum pistol at them. When they fled back to their car, they said, Howard stuck the re- volver through the driver's win- dow and, during a struggle that turned into a fistfight, the gun discharged, putting a bullet hole in the roof of the car. Police recovered the pistol and placed Howard under arrest. Later, admitting that he had been drink- ing prior to the incident, Howard pleaded guilty to three counts of aggravated battery. Capitol sources said that, thanks largely to letters of support from leglalators attesting to his good work, Howard got off with a sen- tence of five years' probation. "I wasn'tthat enthused about the arrest," said Porter, who was How- ard's supervisor at the time, "but he told me that they'd worked something out-that the whole thing, basically, had been dropped. I really didn't know what had happened" Porter said he had hired Howard for the state job in 1983 "because he seemed to be the best qualified applicant." Howard's resume was impressive: Born in Alamagordo, in 1951, the son of an Air Force master ser- geant, Ed Howard attended various Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 imply mentioned work Mate Department, a con- on the State Department dis- putes. "He said he had flunked several of their Foreign Service tests but had finally made it, only to find out they wanted him to go to Moscow," Porter said. "He said that, with the new baby (son Lee, now 2), he didn't want to go because he didn't want to raise a child there." So Howard went to work for Porter, moving with his wife and son into a modest imitation-adobe home on an acre of land' in a subdivision about 15 miles south- east of downtown Santa Fe. When it came to Mary Howard, all the neighbors sang praises. "She's just a dear, sweet thing." said Betty Dunstan. "She's very open and friendly," said Bobbe Dyer. "I liked her a lot," said Gary Carlson. When it came to Ed Howard, the reviews were mixed. Betty Dunstan found him "ex- tremely pleasant, and good looking, too." But Bobbe Dyer said that Howard "had a wall around him- he was a very hardman to know." Described as IIafrlendly Other neighbors, who asked not to be named, described him as "unfriendly"-"a man who'd rath- er go off by himself and hunt than join in the community volleyball and things like that, the way Mary did." But, when it came to his work for the state, everyone seems to agree that Howard did a good job. "He was very professional, very knowledgeable, very bright and very conscientious," said Carlson, a fellow state employee. "He was - very good-a,,-hard worker," said Phil,Bat a, OW cur- ? heat F1npe said tohIEthat:dy The neatdaP;govLio a normal workday Bioa, se "l e had a hewft _ ha talked about a meeting In Atdtin. (Texas) that be was leaving for on the 22nd..:.. _. T a Stmday, but I I? a%.a t Letter Called Puzzllag The letter puzzles Porter. "Why would a spy on the run leave his resignation on Phil's desk?" Porter asked. "Why would he bother?" That same day, according to local law enforcement officials, Howard flew to Dallas and then to Austin. And, as far as anyone here knows-or is telling-that was the last time anyone saw or heard from Ed Howard. On Monday, the 23rd, Baca talk- ed on the phone with Mary How- ard. "She said she didn't know where he was-she didn't even know he'd quit," Baca recalled. That afternoon, federal officials issued a warrant for Howard's arrest. On Tuesday, the 24th, Mary Howard and her son flew to Minne- sota to stay with her parents. Two days later, on the 26th, local law enforcement officers issued an arrest warrant for Howard, arguing that, by leaving the -state and quitting his job without first con- sulting with his probation officer. Howard had violated the conditions of his probation on the battery II counts. FBI Searched Home The next day, on the 27th, acting on a search warrant issued in Albuquerque, FBI agents moved in and searched the Howard home here. What, if anything, was found has yet to be disclosed. Last Tuesday, Mary Howard and her 2-year-old son returned to the little home in the suburb called El Dorado and, the next morning, she reportedly showed up for work at her job at a local orthodontist's office. She has thus far avoided era, and nei bo say ale hasn't. EdHowae~ 1 - went is o~-~ee;`' siww :;here Curtis -Poe'ter`.>aid what b0Rh!la . himisvhyHawsirdwouldbeaspy. "Did he`da ft fdtr money?" Porter asked. "I do1A tLlak'sm "I juatpa"t1lgti reitout." AaaodatW Pr Edward Lee Howard Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 BALTIMORE SUN 4 October 1985 Missing spy suspect fled while under FBI's watch for- far- mer CIA employee accused of A M"tV for the Soviet Union was under s- vdllance by the FBI when he disap- peared. Reagan administration offi- cials said yesterday. The FBI screwed up by letting this guy p.- one administration of- ficial The FBI refused to comment on whether another ex-CIA officer had been identified by its eounterinteW- gence agents after being named as a spy by Vitaly Yurchenko, a high, ranking Soviet otfdal who defected to the west. Elut government and conlpenalm al a s have saild they e oth- er alleged double agents to be re- vealed soon in what could produce a major shake-up to the U.S. Intelli- gence community. The former CIA employee who fled was Edward Lee Howard. 33. who worked for the agency from 1981 to 1983 and has been chaeg with conspiring to deliver national defense secrets to a foreign govern- ment. FBI officials defended the way they conducted their surveillance of Mr. Howard. saying he was only a suspect and had not yet been charged when he disappeared. On Sept. 20, Mr. Howard unex- pectedly quit his job and fled just before F'BI agents were about to question him concerning his alleged espionage activtbm of dais said. The FBI had Interviewed his neighbors and associates in Santa Fe. N.M.. where he worked as an economic analyst for the state leg* latum in an attenVt to build a eno"o awe. fty said. Although they said Mr. Howard may nave been alerted by news re- ports. his arrest warrant was issued Sept. 23. two days before the first disclosure that Mr. Yurchenko was naming double agents believed to have penetrated the U.S. Intelligence community. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 F ARTICLE A ON PAGE BALTIMORE SUN 4 October 1985 Defector revives fear 01,41 of b1i `mole' at CIA hey say that Mr. kngleton's WASHINGTON (Reuter) - Die- mote hunt periodically caused parts ;insures by a key Soviet defector of the CU virtually to g *W to a halt. ong some nave reopened a question that has prppiptng criticism am ?ezlodfcally tied U.S. intelligence in CIA veterans of what they re 'ded Knots: Is there a high-level Soviet as an overly zealous camp 'mole' in the Central Intelligence Former CIA official George Carver said: The Soviets have been trYing ~U.S. intelligence sources say that to penetrate us for 40 years. the defector. Vitaly Yurchenko. a course we need to be careful. but If high official in the KGB. carne oveT you went on a great mole hunt the to the West In Rome last summer. whole organization would seize up." ba highly sensitive I Mr. Wallop said that the fear of lion on that included names of of U.S. resurrecting the Angleton era has so double agents. eroded U.S. spy-catching abilities The dlsolosure of axw names Is that the United States has virtually likely to produce e a shat e-up in the zero counterintelligence capability" Anmican intelligence declined to gI C and to thus highly vulnerable to KGB the aaaoes aafd penetration. detalhL Legislation passed In called The Justice Department has said for the enlargement of196 mole- tMr. iko, by who CIA Is at an now n- hunting operations and for more CIA hat -debrief ed- d Yurdm Ina lasd location by the h United analysis aimed at detecting false in- datesplic in the formation planted by the KGB. States. d kni. has implicated former CIA CIA Neither program has been Imple- em - including former agent mented vigorously because inteW- 18 mod nths Howard. who left the agency genes officers are not committed to it ect of a ago and is now thesub and do not like Investigators con- )entree mslonalL who stantly questioning their loyalty as Some been invo Mr. Angleton had done. Mr. Wallop have been tnvoived congressional ed in overseeing sold. U.S. Intelligence. including Sen. Mal- Ex-CIA Director Stansfleld Turn- colm Wallop. R-Wyo.. believe that said in a book released this year kGB moles are active in the CIA to- er day. that Mr. Angleton's approach bor- Mr. Wallop said he hoped that the dered on paranoia. new revelations would fuel efforts to When a second Soviet defector, uncover such itroles. Yuri Nosenko. cast doubt on Mr. Gol- -We have managed to penetrate itsyn's story. Mr. Angleton ordered the KM and its tnoonodvabie that Mr. Nosenlco to be locked in a small cell. without a toothbrush or suf- rner we have such a corner on the d dent food. for 3l yeas: ' t-unle t wrote. Mr. N eenk was attfines In- woeid'a morality that they havea. ban able to do the same th S with a mated for 24 hours wttlwut a: u&- &&. Walton, who left the $a>r a r,,.,.k_ __ ..~ _ _ Qomml Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 LOS ANGELES TIMES 8 October 1985 but weather records indicate that it was obscured by stormy weather. An intelligence source said that the Soviet KGB defector who pro- vided information that helped lead the FBI to Howard has also given information that may implicate a second former CIA operative as a Soviet spy. But the source stressed that the investigation involving the second individual is ongoing and had reached no conclusions yet. Serve Haring on Spies The defector, Vitaly Yurchenkol left his tempoeary Soviet enat_ is amigmast In Rome. In August and now is ia~.'he_,IIait. States. The information he gave was added to other data the FBI had that then led them to Howard. the intelli- gence source said. The House Select Committee on Intelligence plans a hearing next week on Yurchenko's disclosures about American spies, Rep. Bill Richardson (D-N. M.) said. He said that Rep. Lee H. Hamilton (D- Ind ), the panel's chairman, had agreed to his request for the hear- ing. However, a Senate Intelligence Committee source questioned whether public on, the Yurel nko iatOen q ! elddpeo-- f4ft .fit: - .. r.x. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Firing by CIA Possible Motive in Spy Case By RONALD J. OSTROW and DOYLE McMANUS, Times Staff Writer, WASHINGTON-Spy suspect islative Finance Committee, where Edward L. Howard was fired in he went to work after leaving the 1983 by the CIA, and anger over his CIA, said Howard had told him that discharge may have prompted him he left the department after being to provide information to the Sovi- assigned as a Foreign Service offi- ets, U.S. officials said Thursday. cer to the embassy in Moscow. Those officials refused to give But department spokesman any reasons for the firing of How- Charles E. Redman said that How- ard, who is now the object of an and had never worked for the intense FBI manhunt, and one department or in the U.S. Embassy source said the records indicated in Moscow in any capacity. He said that he was "allowed to resign." Howard had been employed by the 'Motive of Reverie' Agency for International Develop- ment revenge from September, 1976, until or March, 1979, when he resigned. disgruntlement has been known to Howard did not work for the CIA be involved in other espionage when he was with AID, one Ad- cases,' one official noted. ministration source said. The FBI Another source said that it is has said that Howard worked for not entirely clear whether (How- the CIA from January, 1961, to and) had his final w lki a ng papers J 1983 une.. (from the CIA) when he was first Meanwhile, an FBI source ac- in contact with the Soviets." How- knowledged that Howard dropped ever, he added that he understood from sight on the night of Sept. 21 Howard was not working for the while .FBI agents had him under Soviets when he was carrying out surveillance at his home in a CIA assignments. suburb of Santa Fe, N. M. But the Intelligence sources have em- source emphasized that the agents phasized that Howard was not a had no authority to arrest Howard classic "mole--a spy who has until two days later, when they infiltrated an intelligence agency obtained an arrest warrant. to obtain information from it. "It was a loose-perimeter sur- Those sources said that Howard veillance, not meant to contain was discussing a CIA assignment at someone," the source said. He the U.S. Embassy in Moscow under described Howard as "a trained Department cover when he agent" and-said he eluded the FBI a State was ftred. agents in the early morning hours Curtis - Porter, 'Howard's former of a -Moonless night." There was a auperviso ,at the New Mexico Leg- _half asoo over Santa Fe that night. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 A12 tion of the House Intelligence Comtmit- { tee, said: "I think there are a lot of Trip Austria In 184 questions yet. to be answered. I'm not Mr. Howard, who roes glow 33 years old, sure anyone's comfortable with what was employed by the. Central Intelli- from 9 ~91;I to ence we've seen so far." g In an interview today, Mr. McCurdy' Junes-l according 1o-an-F.B.I. af- would not discuss the specifics of the fidavit filed in Federal Dlstriox Court in Howard case but said that he and some New Mexico: The document charged other members of the committee had that he " traveled to Austria in 198! been briefed by the C.I.A. Members of where he,asade contact with agent of t the Senate committee have had similar the K G.B. and, was paid :may, for briefings by the agency. ? classified information relating to U.S. sources_ and: methods." ntell4pace sources say that the in- formation involved related to Amer- ican operations in Moscow. They have said Mr. Howard was'tral ned for a post in Russia that would have involved managing agents or other means of In- telligence collection.. IntetHgence.souron any. however. that he-was not sent to Moscow and was instead awed to leavtitbe a Imy attar the ~,p trUxt xVgglrp ttpe Of drugs gal "a-nd stty. tbeR of Govern: ment funds.- Mr. Howard, who had been wo~rldng for the New Mexico 1,eaprr~~~~ oieared' lint me.wh a ?1e * f n It Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Spy Charge Spurs Questions About Procedures of C.I.A. By STEPHEN ENGELBERG Special to The Nee. York Times i WASHINGTON, Oct. 7 - Members I According to members of the two of the Senate and House intelligence committees and their aides, the panels committees say espionage allegations are concerned about a broad range of against a former Central Intelligence issues stemming from the agency's Agency officer raise serious questions handling of Mr. Howard, who was about the agency's procedures for deal- within the C.I A.'s three-year proha- ing with disgruntled employees. tion pirritxl when he was asked to re- The legislators say their eommutees sign. are conducting it d(,raile,l . inn. list inn of the career of Edward L. Howard, a Questions Raised With C.I.A. former officer of the agency who, ac- Among the questions the two com- cording to Administration officials, was identified by a defector as having these ~s are raising with the agency are sold the Soviet Union highly secret in- these formation. Why was Mr. Howard, a junior offi- Mr. Howard was forced to resign cial, given access to such sensitive ma- from the C.I.A. in 1983; the agency was terial at an early stage in his career? dissatisfied with his answers in a poly- 9Why did the agency choose to dis- graph, or lie detector, examination miss him while the information he had that was apparently unrelated to espio- learned in training for a posting to Mos- nage charges. Officials have said they cow was still of value? suspect it was a desire for revenge that What steps were taken to keep led Mr. Howard, who is believed to track of Mr. Howard's movements have fled the country, to provide se- after he left the C.I.A., both in this crets to the Soviet Union. country and abroad, where the Federal "The C.I.A. has good security proce- Bureau of Investigation has charged dures but they're not perfect and that he met with Soviet intelligence they're going to have to get better," agents? Senator Patrick J. Leahy, the Vermont qWas there sufficient coordination Democrat who is the vice chairman of between the C.I.A. and the F.B.I., the the Senate Select Committee on Intelli_ other major Federal agency responsi- gence, said in an interview. "They're ble for counterintelligence work? going to have to figure out what to do Administration officials say Mr. with a disgruntled or potentially dis- Howard was identified as an agent of gruntled employee who has a lot of the Soviet Union by Vitaly Yurchenkn, knowledge because that's where a lot of a senior official in the K.G.B., the ' breaches have occurred in the past." Soviet intelligence agency. He defected C.I.A. Briefs Committees to the West in July. Mr. Yurchenko, the ex- Representative Dave McCurdy of officials have said, is undergoing ex- tensive questioning at an undisclosed Oklahoma, the chairman of the Sub- III location in the United States. on mmittee Oversi Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Sam Zagoria The Spy Who Came In From Page 1 Most people read only one paper a day, but there is a gaggle of news groupies who compare newspaper coverage for fun and occasionally are lucky enough to get paid to do it. Reading the Sept 27 Post, I wim surprised to come across a story head- lined, "Soviet Diplomat With KGB Ties Defects to U.S."-surprised that the head was only a single oohuan in small-size type and that the story was only five inches k>og. Other Pbet-watchers were also air some had seen a 5 hurt as it on Imes article headed. o. Man for KUB Now SbW m to CLV" an a a ' viread by Ralph De Toledano in its hen ombudsman ; WASHINGTON POST 9 October 1985 The next day Poet national reporter John Goshko patched together its five- inch report, and the editors study it way back on page A22. On the sane day. The New York Times had a 20-itch co- pod by Stephen Engelberg from Wash- ington beginning on page 1-obviously the paper considered the defection of major importance. in preparing their report. The Los Angeles Tunes reporters pulled up on their electronic information retrieval screen some wire service reports orig- nating in Italy in August, which told of Humors circulating about a high-level Soviet defection to the West, but did not have specifics as to name or position. The Los Angeles Times report noted the earlier Washington Times story that identified him as the No. 5 man in the Soviet secret pohm Where were The Post editors on all this? Their foreign desk "had a couple of vague reports from the Italian prgls that something had happen d,in Ron ," said Richard Weintraub, deputy foren4n editor, but the reports, besides being vague. "were at odds with each other." Assistant Foreign Editor Al Moyne was checking sources in Washington and querying correspondents at but immediate results were not,, orthoocr ing. Difficulty in obtaining such. informa- section the same day with the tion in Washington or abread,is under- -Missing standable---governments don't put out li 11 W -gn tigu nes 1 opv re to foll..w up on front-page material while not igniting fi furs at The Pte, did in fir newspaper The Los Angeles Times Washing- in another newspaper or to use informs- g. Rosid lion available from a newspaper brother. ton bureau to begin dwddo Me L4= Avedw T?A Ostrow, who covers Justice and doefrunes. sugessts an in- e reporting, and Dale Last weer. Robert KsiieeG_ aeektatrt McManus. who: aoms state std ski- :era. for ndtindi. new% howl searity, kited '4 Oar wasn'tssper to rfiiraw do Hostler, but trove said, "We load snort tlan4t tbes be &dsivk?% a very will _ 4t& we saw 71* W1* Tuns and the color l wed put--ms ,n 1be_ ps Itbaf wi ' vid ed atse>ti~ea.- We arras. We had floe sswl. pedbierhtq but we got enougb__oo~tAinmstion and a dI dodt IKGL He lie lit oo -d the top tional deli from U.S. sowe%-and we five inn the KiGB. He doesn't show up an work ahead." erg we baveaeeo. The rewak was a 1S dory, which "We as esuem* murk! story, but were wodin$lendanitnow,"said W. on Sept. 26. The same story appeo effAm. a former Pbet Moscow eorre- an the Los Angdss T'imes~WasMiagEpn Pbst New Service tidora at 8:28 pm, .? Q As Weokdml EDT Sept 25, bus The Poet dd sot we may no the risk of overlooking aipda- a Yoe of it. 'sot news. Ednbors who spine 15-inch reports from newspaper partners, such as The Los Angeles Times. bury a chance to recover from such error. Poet editors were slow-and late-getting started. A five-in h story two days late is more an admission of that than ade- quate coverage of a major news devel- opment. This is one time when 'Ile Russians are coming, the Russians are coming" was literally true. An important Russian did come over. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 WO-1K I it" e-) f ycT d' VAME11E. VITALY'S FINGER POINTS. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 RALPH DE TOLEDANO LONDON Accounts of the defection of the KGB's No. 5 man, Vitaly Yurchenko (other- wise transliterated as Dzhyrtchenko), first broken by me and given international attention by The Washington Times, have been splashed over England's front pages for several days. But though some London newspapers have added details of Mr. Yurchenko's back- ground and activities, there has been almost no delving into highly important aspects and conse quences of the case What was Mr. Yurchcnko, herd of the KGB's Division I and directnrof all agents and moles outside the because~~~e spas fearful that the Ital- iatas "w0 -rat.= him to `Moscow. The V4p>tican?notified ItalianForeign Minister Andreotti, who was kept fully informed of developments, and arranged for turning Mr. Yurchenko Over )o ClA officials in Rome. '.Why did Vitalydefect at this titre? question, it.is nec- essary to go back to the emergence of Mikhail. Gorbachev as Soviet dic- tator:,after the death.of Konstantin diernenko. Mn Gorbachev was a Soviet Union, doing in Rome? Mr. Yurchenko was sent to Italy to "handle" Pro- fessor Vladimir Alexandrov, So- viet delegate to a nuclear confer- ence in Sicily, whose defection was largely ignored by the Western press. The mission of Mr. Yurclicnko and the KGB agents accompa- n tug him was to kidnap or liyu d;ate' Mr. Alexan- dror. Once in Ronne, however, Mr. Yur- chenko slipped away from his associates and surrendered to Vatican City authorities.. He creature of Mr. Chernenko's prede- cessor and former head of the KGB, Yuri Andropov. Mr. Gorbachev has had close political, if not organ- izational, ties with the KGB, which was instrumental in making him the new Soviet vozhd. U nder Mr. Gorbachev, the KGB again has assumed the vast and murderous powers it had under Lavrenti Beria during the Stalin era. Today it is the dominant force in the Soviet Union - "top dog," as one expert on the Soviet Union, puts it. As such, it has launched a series of Stalin-type purges of the Soviet hurcaucracc, the military, and its own ranks. ltr- nor a high;;anking, Soviet offi- Yurchenko's defection? -Mr~XwdWnkaA-Srri0W i0" {4kttM .. 1 dangeroitt one in which he candny step. Mr. Yurchenko "` use he knew he wotb t ~o. find sanctuary at the 'VlWtiicaq' where it would be relatively?- s44 so make an approach to the CIA , - What are the consequences of Mr. Ralph de Thkdaiio is a nationally not only aa: encyclopedieitppgvledgd sY-ulictitemnist- of the identities of KGB agents,and Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94BOO28OR000700060002-4 moles in NATO intelligence and counterintelligence services but also up-to-date experience in its operational methods. (In the U.S., the FBI is continuing its search for former CIA agent Edward L. Howard, who is being sought as a result of information reportedly supplied by Mr.Yur- chenko. Howard has been charged with selling secrets to the Soviets. A second ex-intelligence officer also is believed to be under investigation in the wake of Mr. Yurchenko's defec- tion.] Mr. Yurchenko is far more impor- tant than Igor Gouzenko, the Soviet lieutenant in the code room of the tioviet Embassy- in 7bronto whose documentoc disclosures broke open an atom C espdottage' r3ttg in the - or VladiimirPetrov, diplo- 3000 mat'who defected in Ausch ia. - The only comparable defection is western Europd War II _Mi YurchetlTo c~tltt disrupt KGB operations and dlsclo he full extent "of: Sovskt penetr~[liop"of U.S., British, Itblisgtl,..and Latin American intelligence services. In. Nand, tbeese;arod times for MI~+S aed#YfI-6, ahaidytietspect have battened down their hatches in expectation of the storm that Mr. Yurchenko's disclosures will unleash within the British govern- ment. 'll'emors are also being felt at the British foreign office, whose lax security is common knowledge. T here are very quiet hints of a royal commission, on the style of those that followed the defections of Mr. Gouzenko in 1945 and Mr. Petrov in 1954. But the likelihood of Such an investigation seem., sm~di. ,ince it would embar rass hwll: 11(m III office and the British Party are rough days ahead for MI-S and MI-6 as the nature and extent of KGB infiltra- tion become known to No. 10 Downing Street. Both Britain's intelligence and counterintelli- gence h ave tended to take a casual view of the moles in their midst perhaps because these moles have for the most part worn aid ~Chonl ties. ilnl\ after the I'h:Ibys, Bur- ges,e,, ,Mcl,eans, et al, have taken refuge behind the Iron Curtain has MI-S and MI-6 indicated any con- sternation. Will Prime Minister Marga- ret Thatcher act with more ;vigor than her predecessors? Though she -still seems to remain in the thrall of W. Gorbachev's"smile, 1 e -must surely know that energetic action will strengthen her hand against an oppgsition in Parliament that contin- ues to argue that we tpmst bot' be beastly to the Russians -- hatelter, their misdeeds. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94BOO28OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Probe set by Senate on agent who fled 4 0 - js By Bill Gertz INt YJA=I1INGTCJN LMt. The Senate Intelligence Commit- tee yesterday launched an investiga- tion into the case of former CIA operative Edward Howard, a sus- pected Soviet agent who disap- peared two weeks ago and is believed to have fled the United States. "The apparent defection of for- mer CIA employee Edward Howard raises serious questions about man- agement, personnel and security procedures at the Central Intelli- gence Agency and the FBI," Intel- ligence Committee chairman Dave Durenberger, Minnesota Republi- can, and vice chairman Patrick Leahy, Vermont Democrat, said in a statement. Howard two weeks agog eluded an FBI surveillance net around his house outside Santa Fe. N.M. An arrest warrant was issued by the FBI last Wednesday charging How- ard with passing U.S. defense secrets to a foreign power, believed to be the Soviet Union. Howard reportedly met with offi- cials of the Soviet KGB intelligence service in Vienna last year and is suspected of selling secret CIA operational data to the KGB. The staff inquiry will examine the agency's decision to hire Howard, his'assignment-and?aetivities-in--he - CIA, his dismissal and his actions from the time he left the agency in June 1983 until his disappearance in New Mexico Sept. 21, the statement said. A committee spokesman said the probe was limited to the Howard case and would not examine another reported case of a former CIA employee suspected of spying for the Soviets. Both Howard and the unidentified former CIA official are believed to have been identified as Soviet agents by former senior KGB official Vitaly Yuchenko, who defected in Rome Aug. 1. The committee leaders said the investigation was ordered under the authority of the Intelligence Com- mittee's oversight function and would not "prejudge" the case or jeopardize the FBI investigation into the suspected espionage activit It's ''t the two former CIA operations offi- cers. Intelligence sources said How- ard, who was convicted of aggravated battery last year follow- ing a shooting incident in New Mexico, was fired by the CIA in June 1983 after it was alleged he had used illegal drugs and stolen agency funds. He reportedly turned to the Sovi- ets with details of CIA operations as a means of taking revenge against the CIA and is believed to have helped the Soviets uncover a Mos- cow agent who worked for the CIA. An FBI affidavit said Howard left behind a note in New Mexico that hinted that he planned to turn over CIA secrets to the Soviets during his flight. Officials believe Howard may have fled to Europe or Mexico. Intelligence Committee spokesman Dave Holiday said the investigation would begin immedi- ately and might lead to hearings. He said the inquiry grew out of questions about how Howard was hired by the CIA in the first place.- Mr..-Holiday also said-the commit- tee- bad cbtnpleted a AW'VOW'M the 7orp US. integencb co .. counieespy1It cam abilities and would hold closed hear- ings on the subject this month. ' Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 &&PPEARED Nation Spy Slipup A suspect vanishes T he strange saga of espionage cross- overs that has kept heads spinning in intelligence communities East and West took yet another turn last week. In this round, Washington was the victim. U.S. officials acknowledged that an ex-CU of- ficer had been fingered as a Soviet spy by Vitaly Yurchenko, a top-ranking official of the KGB. Moscow's intelligence organi- zation. who defected to the West in July. The accused agent was identified as Ed- ward Lee Howard, 33, who worked for the CIA as recently as June 1983, evidently in the agency's clandestine service. As if that were not damaging enough, officials also disclosed that Howard suddenly vanished two weeks ago, after learning that he was the target of an FBI surveillance opera- tion. The feds, said one U.S. official weari- ly, "muffed it." Howard, a former project-develop- ment officer for the Agency for Interna- tional Development, joined the CIA in 1981. Agency officials refuse to discuss his precise duties, but Howard came so close to accepting a Moscow assignment in 1983 that he was given a State Depart- ment "cover" as a budget analyst. How- ard's training for Moscow included details on U.S. clandestine operations in the So- viet Union. After Howard failed a routine lie de- tector test, the posting was canceled, and he was fired by the agency. Howard re- turned to his native New Mexico and be- came a bona fide economic analyst for the state legislative finance committee, After Yurchenko began identifying' LOB "as- TIME 14 October 1985 sets" in the U S. during a lengthy debrief- ing, the FBI started a thorough back- ground check on Howard, including interviews with co-workers and neigh- bors. Howard was last seen at his office on Sept. 21, a Saturday. The next day his su- pervisor found a letter announcing his resignation for "personal reasons." It is assumed that Howard fled to Mexico, per- haps through Dallas. How valuable an asset Howard was for the KGB is a matter of some dispute. The CIA insists that he was never a double agent, working for the Soviets at the same time he was an agency employee. In an affidavit filed last week in Albuquerque, the FBI said a confidential source claimed that Howard sold information to the KGB last year in Europe. Senator Dave Duren- berger, the Minnesota Republican who chairs the Select Committee on Intelli- gence, told CBS News that Howard could have caused a security leak "as serious as anything this country has seen in the past." Howard's case, moreover, may be just the beginning. U.S. sources told TIME that as many as five more Americans may be indicted for espionage on the basis of Yuuchenko's debriefing, perhaps as early as this week. a Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Taking Revenge on the CIA? The Central Intelligence Agency expect- ed Soviet spy Vitaly Yurchenko to name names when he defected last month from his high-leml intclligcnccpost in Musco?. That can bea painful process, ,, . ing problem and sonic petit thefts. After Iloward was tired, he ser%ed as a budget analyst tort he Ness \lrsicoI ':isla- ture \cherc he w: s. >;,< a III, ,ar and the.a en wassuti`c 3 rare : 7? formes Peace ' '1eetnnd pro a t' nc I r~ba, velopment,Ipt?uetk eE1 the CIA ordered himto:Mos= cow-but t Aire ged, ring itim after'a~1k-detector, test reportedly revealed a-drink- Howard::lfissing employee. But he had otl- :fbe-job problems, including eS,accoraingro oven]- ax :hlg' Ciow1W d ''s'tn-.Moscow,to ;aIIdzi aboutifwith-Somefottnei;i : leagues stilh-in the CIA.:Ay stronger than anyideological said later, although Howard allegedly was paid after meeting twice with KGB agents in Europe. Just what he may have passed along is not clear, but the case is particular- ly worrisome because Howard had been well briefed for his aborted Moscow assign- ment-with actress-A hi ty liissified in- ~~a "tom Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Spy Slipup A suspect VuFii.chPS T he strange saga of espionage cross- overs that has kept heads spinning in intelligence communities East and West took yet another turn last week. In this round. Washington was the victim U S officials acknowledged that an ex-CIA of- ficer had been fingered as a Soviet spy by Vitaly Yurchenko, a top-ranking official of the KGB, Moscow's intelligence organi- rttion. who defected to ttie WCst in Juiv '1 he accn,cd q'cnt ?as u;cHrli l ,i, I h~ Lilac! .~; .III iu:?.?i,~n,c ,,~~i,~ lion l he Ic.1, ..iiJ nnc' l S ..rti. .r! tic;,ri ly, mulled it Howard, a former project-develop- ment officer for the Agency for Interna- tional Development, joined the CIA in 1981. Agency officials refuse to discuss his precise duties, but Howard came so close to accepting a Moscow assignment in 1983 th h i at e was g ven a State Depart - ment "cover" as a budget analyst Iloxk- ard's training for Moscow included detail' on U.S. clandestine operations in the set Union .\ftet III ,.:IIeC cc i tutor test, the Ih siIrlh ?;r, anceietl ml,! he was fired h~. t'c as'encc 11(-.,:,!o !c turned to Ins Caine a I),nr....,!c state legislau~c Lnance .nnu uur: ~';: , Yurchcnko scls :n the l; S ~iunnr a IsHr h. ,~ch:a. mg. the fill started -i thorough hack- ground check on Iloward. including interviews with co-workers and neigh- bors. Howard was last seen at his office on Sept. 21, a Saturday. The next day his su- pervisor found a letter announcing his i resignation for "personal reasons." It is assumed that Howard fled to Mexico, per- haps through Dallas. How valuable an asset Howard was for the-KGB-is a matter of some dispute. The CIA insists that he was never a double agent, working for the Soviets at the same time he was an agency employee. In an affidavit filed last week in Albuquerque, the FBI said a confidential source claimed that Howard sold information to the KGB last year in Europe. Senator Dave Duren- berger, the Minnesota Republican who chairs the Select Committee on Intelli- gence, told CBS News that Howard could have caused a security leak "as serious as anything this country has seen in the Past." Howard's case, moreover, may be just the beginning. U.S. sources told TIME +., _ .... s many as uvo murv nmenc am-xmy be i di d f i i n cte or esp onage on the bu ? . sF s debrie , perhaps as early. . Las" this week. TIME. OCTOBER 14.198 ' Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 OFFICIALS SAY C.I.A. DID NOT TELL F.B.I. OF SPY CASE MOVES Court Papers Assert Suspect Told Colleagues He Might Give Secrets to Soviet ti o~~f The Jrr(incirr. article is nosed _r, porting b~ S1cphen Engelberg uni Brinhlev and von written by Mr. Hr rn ley. WASHINGTON, Oct. 10 - The Cen- tral Intelligence Agency failed to notify the Federal Bureau of Investigation after it learned more than a year ago that Edward L. Howard was consider- .ing becoming a Soviet spy, Govern- ment officials, said today. According to court records, Mr. How- ard told two agency employees in Sep- tember 1984 that he was thinking of dis- closing classified information to the Soviet Union. Soviet Defector Was the Key The bureau has sole responsibility for domestic espionage investigations and, under Federal law, the intelli- gence agency and all other Govern- 9A ment agencies are supposed to report suspected espionage to the F. B. I. It is illegal for the C.I.A. or any other Fed- eral agency to carry out surveillance or other actions within the United Stater to stop potential spies. Mr. Howard, 33 years old, a former The bureau began surveillance of Mr. Howard last moth but heelipped 1 out of his home a>4ht and is believed Coatj=W skl ip Ma~Co- 4 has eSpi. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 FRIDAY, OCTOBER 11, 1985 C.I.A. Moves in Spy Case Criticized to spy or was spying, committee mem- bers said. to have fled the country. "We've had a few blatant cases Senator Patrick J. Leahy, the Ver- where we just didn't follow through, mont Democrat who is vice chairman even with alarm bells going off," said of the Select Committee on InteW- Representative Dave McCurdy, Demo- gence, said today: "If the C.I.A. did not crat of Oklahoma, chairman of the give the F.B.I. adequate information House committee's Subcommittee on about this person, that's a bad mistake. It shows very, very serious problems within the C.I.A." In the last few weeks the C.I.A. transferred the chief of its office of se- curity, William Kotopish, to a new job at a level of equivalent seniority, but an official said the move had been planned "for some time" and was not related to the Howard case. Mr. Howard worked for the agency from 1981 to 1983. He was told of classi- fied American intelligence operations in Moscow because the agency was planning to assign him there, officials have said. According to a criminal complaint on -file in Federal District Court in Albu- querque, N.M., Mr. Howard told two current employees of the intelligence agency a year ago last month that he had "spent hours in the vicinity of the Soviet Embassy trying to decide whether to enter the embassy and dis- close classified information." An F.B.I. affidavit says the conver? sation was held Sept. 24, 1984. Four days before that, the Government con- tends, Mr. Howard gave his informa- tion to Soviet officials in St. Anton, Aus- tria. cess to classified George Lauder, a C.I.A. spokesman, 4.3 million peop said today that as a result of that con- associs versation "action was taken" within, clears the agency "and it seemed to be rea- fttioo. .. sonable action-at the time." He would e was :al #?s 4 he Central not say what to t an oftickd-6 d'me tact with' satiba'wi The Senate and House intehigece beep ? II . It's strlWy an committees are investigating tt . the study ban- F? I dung of he Howard Cktie.'ke - 'ly[im4aota , cacti lase mbdfbets~a~dd, to of an will. be haw? the C.I and des 'deal'wIrh wet! ` tbs Government; service with . d Per - . re- clasaified knowledge about _ sesleStie tom.. 0L difed ma- 'ograms. Another element of 'the inveeitlga. - gst.Ved Ie*lt #etxnritycdesrances . Lions will, be several recent espionave work for the +e tagon At the Defense Cases in aich?,Gciverameat ofII grtl ept.."1L. aria Sn1der', director failed to heed waiAing sigfis,that a " og otalWise --,,and, security 77 Oversight and Evaluaton. In the Howard case, a senior F.B.I. official said Mr. Howard's conversa- tion with the two C.I.A. officers would have been sufficient to warrant an in- vestigation. "Anytime we get information that someone has considered such an act, we would take some action," said Phil- lip A. Parker, deputy assistant director of the bureau's intelligence division. An intelligence official said the C.I.A.'s decision to handle the matter internally rather than report it to the F.B.I. was ?'a judgment call," adding, "If you reported every fantasy that d have everyone and r' lraatrrllance.. Law Bars C.I.A. Moves In U.S. The C.I.A would not say whether it undertook any form of inquiry after Mr. Howard told ?the two C.I.A. em- ployees he had considered becoming a Soviet spy. But Federal law and a Presidential executive order prohibit the agency from taking any steps in- side the United States to investigate possible cases of espionage. Mr. Howard was one of tens of thou- sands of people who retire from Gov- ernment or industry each year after holding positions that gave them ac- materials. More than le in government and policy, said: "We don't have any juris- diction of any kind over former em- ployees, whether or not they had clear- ances. It's strictly the F.B.I." At the F.B.I., Mr. Parker said, "We are not concerned about Americans who have had clearances. We don't look at these people unless we detect an individual involved in espionage.- Ex-Intelligence Chief's Moves Senator Leahy said: "i don't think an?:one expects the F.lu -I. to :maintain surveillance on the several hundred thousand people who leave the Govern- ment each year with security clear- ances. But there are a certain number of people in extremely sensitive posi- tions, a handful of them, that we ought to do more with." Mr. Leahy said Mr. Howard "cer- tainly would have been one of those" because he held highly sensitive infor- mation and was being dismissedfollow- Ing a polygraph examination that. indi- cated drug use and petty thievery, ac- cording to Federal officials. ' When Adm. Stansfield M. Turner was Director of Central Intelligence in the Carter Administration, he dis- missed, transferred or forced to retire nearly 200 C.I.A. officers who held highly sensitive positions. In an interview this week, he said that others in the agency had warned him that "we ran the risk of some of them selling their information to the other side." He said he had disagreed when it was suggested that some should be given other jobs, and pro- ceeded with his original plans. But he said of Mr. Howard: "I don't think my rule should be totally rigid. If this guy had just been briefed, I'd say let's stick him in the Dominican Repub- lic or someplace.like that.for a c tpie, of years, until. the''faformauon' ISn't' ? sepal t''We me eyed some sort oft ' ~.a s for some of I t-11, agree when ths0r,ate hired that "for three years or soaftet' they leave,?they will be subject to the same rules of tn, tnndon`as rRheet: they: wez in goyernntentt cis come back4 random.polygra tioea.$iiftt would' give 3henr ;.ane- Saone thing to, worry about before-they turn." A C.I.A. offidal'said "it's &t- -able" that that idea would work,'add- ing that finding solutions to the prob- lem "is certainly something we're thinking about now." Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 U.S. Discloses Defection of Senior KGB Officer United Press International North American department of the The State Department confirmed yesterday that Vitaly Yurchenko, a senior Soviet KGB officer, has de- Iccted to the United States. The department sod Yurchinko, :lua arrived in the United State, iii ;1ut:ust, had rcyuested his presence kept secret until now. T hi- State I)epartnnnt said Yur- chertko was deputy chief in the KGB's first directorate, the depart- ment of foreign intelligence. Yurchenkn is responsihlc for the direction apt K(;li intrlhgi?nrr, operation, in thr 17nited State; ,nil lan;ada, the Si it( Department :nd. 'I it d, inntnaa nt also s;od \ jr chenko had precunc.ly heen work- in} with countetill elligencc and had been posted to the Soviet em- bassy in Washington as a diplomat. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 U. S , \EIiS Isr`RLD REPORT 14 October 198- "Mole Hunt" on the Potomac (:barges that it former officer of the Central Intelligence Agency sold se- crets to Moscow raised a chilling ques- tion long nurtured by thriller writers: Could a "mole" burrow into the heart of the nation's spy agency:' In a Year that has seen both the Navy And the FBI nab accused spies syorking from with- in, the case of fugitive Ed- ward Ilosyard pros oked ii nediat~ ron~_erii that tion had been ii,vi~ tr,irr~{. let iutrlligencr ufticrrls insisted Howard should n''t br disc ribed as a mole err double agent. His il- leged work for the Soviets came after his 2y2 year CIA stint ended in 1983. He is suspected, howev- er, by U.S. intelligence of telling the KGB how Accused Spies- The Score Rises ard. But one intelligence expert de- I scribed his case this war: It is proof that the system does work. He was weeded out." -What is virtually impossible," the expert said, "is for a real mole to survive in the agency long enough to rise to where he can do serious damage. The poll graph sees to that CL\ n~pli;s es undergo IN-detector t'-,t, syhrn re- cruited..re,un i ar the end of their thr~ -scar proba- tion. and ~~ r? tine "ears thereafter..S it t.ilse ' an- swer results ui dismissal- and can trigger It fuliscale in estigation if espionage is even hinted at. Howard lost his job over American agents operate in Moscow, perhaps dooming at least one Russian contact of the CIA who has disap- peared. "Its as serious as any damage se'ye sustained in the recent past." said Senator David Durenberger (R- chairman of the Senate Intelli- nce G~nnittee Pw i 5-se:ir-old HosY- .ird \% 'o fingered ,u a Soyi- r't sps hr \ Italy Yur- c!wrik~~. I high KGB official oho defected to the West in August. Yur- chenko also named an ex- employe of the superse- cret National Security Agency, which eaves- drops on communications around the world. Howard slipped away from his Santa Fe, N.M., home on a moon less night in late September while FBI agents stood watch outside-and caught a plane for Texas. He left behind his wife, a.. 2-year-old son and & job with the state legislature. When the ' charges were filed, the FBI war; searching for hun worldwide. He was fired by the CIA for flunking a lie-detector teat. Among the exam's 17 questions-- "Have you copied classified documents? Have you used ille- gal narcotics? Have you had any homosexual experience?" CIA officials refused to identify- the question that tripped up Hovt!~. CIA In its Lor.n.il com- plaint, "h'. i itl -.rid that HON;red tt i ustria a year ago or i rendezvous with the Sos iets- U.S. courts are grappling with a record number of espionage cases this year-so far 10 persons have been convicted and nine are on trial, await trial or are fugitives. The most spectacular case in- volves John Walker, a former na- val officer accused of passing se- crets to the Soviets from the 1960s on. Charged with him: His son Michael, it friend. Jere' %t hit- worth and lohn's brother Arthur. who has since been convicted. Richard Miller, the first FBI agent ever accused of espionage, is on trial in Los Angeles. Two accused accomplices, both Rus- sian emigres, pleaded guilty. Sharon Scranage, a former CIA clerk, last month pleaded guilty to giving names of agents to her Ghanaian boyfriend. Howard's case may fuel a push in Congress to reestablish specialists in the agency trained to sniff out disloval- tv. In 19-1:5. when the CIA was tinder attack in Congress, then CIA Director William Colby disbanded such a team. Bringing it back now would please some old (.IA hands, distress others. Warned one of them: The paralysis resulting from a full-blown 'mole hunt' could do more damage than am [Hole possibly could." E Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 some lesser fault, then went away mad-and well-versed in the agent- handling and data-collec- tion techniques used by the CIA'inside the Soviet Union. He was being briefed for a transfer to Moscow is hen fired. In New Mexico. Howard displayed no ideological ties to the Sos :u?t I nion. said friends, who characterized his political views as consers atiye. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Soviet defector led KGB in U.S. By B Gcrt. /Y ot-i Y Senor Soviet KGl defector Vitaly Yurchenko has been identi- fied as Moscow's top North American spy operations expert, according to the U.S. State Depart- ment. After weeks of official silence, the State Department saidthat Mr. Yur- chenko has been in the United States Experts say KGB still "linchpin" of communist rule. Page 4A. "for- some time" after defecting in Rome. "Prior to his voluntary arrival in the United States in August 1985,Mr. Yurchenko served as deputy chief in the North American Department of the KGB's First Chief Directorate;' the statement said. "The First Chief Directorate handles KGB intelli- gence operations worldwide." see KGB, page 8A Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 KGB From page ]A \lr 1'urchrnko "had previously. ,asked that hp, presence here nit he puh!icizrd " the sHternent ,;aid, ?..\Ir Yurchenko xiis specifically c~lumsihlc far KGIi intelhg(-ncc )perrrtions in the ['rated State, and Canada;' the statement said. During what was described as a"lengthy career" in the KGB, Mr. Yurchenko held "various key posi- tions" in the KGB, including the most sensitive post of global coun- terintelligence - directing all pen- etrations of foreign governments and policing the KGB and GRU, the military spy service. He also ran KGB operations out of the Soviet er.ibassy in Washington between 19'5 and 1980, the State Department said. As deputy chief in the North American department, Mr. Yur- chenko wvrnold have directed several categories of KGB operations in the United States and Canada. These activities, according to one intelligence expert who declined to be identified, would have included political, military and technological espionage, such as handling Ameri- carisand foreign nationals spying for \loscow; "active me;rsrire,;' var- ious covert action and ''disinfor- oratloll" progca ms, acid a uetm rk of ..illegal" agents operrring indepen dently of Soviet and bast bloc diplo- matic representatives. The statement provided no dates for Mr. Yurchenko's duties before or after his 1980 posting in Washington. But he is believed to have directed KGB counterintelligence operations after leaving the Soviet embassy in Washington and prior to his promo- tion to chief of the North American department, a post he held until Aug. 1. The State Department identified Mr. Yurchenko's counterspy role as "chief of Department 5 of Director- ate K [worldwide counterintelli- gence] of the First Chief Directorate;' a position that would have provided him with access to some aspects of virtually every operation of the KGB, GRU and East bloc foreign intelligence services throughout the world. Soviet security services conduct very active counterspy programs that require officers to monitor, to some degree, all Soviet ;ind East bloc agents and the inforrn;rtn it they pro- the KGB and GBI'. the intel- Lt;encc expert said Intelligence sources close to Mr. Yurchenko's debriefing said the KGB officer has been providing U.S. authorities with a windfall of intelli- gence data about KGB operations and operational methods since August. His debriefing by Justice Department and CIA officials began then at an undisclosed location in the United States and is expected tocon- tinue for several years, these sources said. So far, Mr. Yurchenko has uncov- ered two Americans - both former CIA operations officers - who are suspected of spying for the Soviet Union after leaving the agency. :One of the former CIA operatives, Edward Lee Howard, eluded FBI surveillance agents late last month in New Mexico. He is being sought on espionage charges and is believed to have fled the country. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000760060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 ILL STREET JOURNAL TH, .SDAY, OCTOBER 17, 1985 U.S. Intel1igenc1Fiasco 13y WtwAM; KUCEWICZ The KGB tooLt he unusual step last month of Iss r hg at can only, be called a press release.; In a statement distributed oy the offld .TABS hews agency, the. So. viet intgllige ce -agency accused a Soviet atiuln of sp ng for the U.S. and also an- pounced the expulsion of a U.S. Embassy The KGB the suspected spy as A.G. Tolka He was identified merely as a staff me ber of a "Moscow research institute." N other details about his back- ground were provided. His arrest appar- ently took pl ce sometime In early June. The announcement maintained that Mr. Tolkachev haad been caught passing infor? mation to anlAmerican diplomat, Paul M. Stombaugh', the U.S. Embassy's political section. Mr. Stombaugh was ordered to leave the So et Union June 14.' The KGB three-month kachev's a pulsion. ve no explanation for the lelay in announcing Mr. Tol- st and Mr. Stombaugh's ex- cow interpre viets for sp sponded In k had been trl for years. ship by Soviet authorities. A Britain had expelled 31 So- g and the Soviet Union re- d by ousting an equal num- In Moscow, This exchange jLondon, who had apparently ust another spy maneuver. Valuable Hainan Asset That was t the real story, however. Ac?' cording to igh?level U.S. Intelligence sources, Mr Tolkachev was one of the Central Intelligence Agency's most valua? bit human sets In the Soviet Union. And his exposure and arrest stand as Indict. menu of mismanagement and inepti- tude reachin to the highest levels of U.S. contellience operations. r aviation' Institute :, InMos? ance and counter' dar; and so-called lgttlhg edge of mil. ? have also Upped the -phased-array radar at t tt +Ide anti-ballistic. "He saved us billions of dollars in develop- ment costs" by telling the U.S. about the ,C direction of Soviet aviation efforts. In that way, American researchers could more precisely target their own work toward countering future Russian military threats, U.S. Intelligence experts believe that Mr, Tolkachev is fated for execution, If he Is not already dead. But how, was he dis? covered? And why did the KGB wait three months before announcing his arrest? Mr. Tolkachev wasn't merely caught In the act of passing secrets to the U.S. Em- ba_ssy's Mr. Stombaugh, as the KGB claims. In fact, as U.S. intelligence sources was hired. In April 1982, Mr. McMahon was named by President Reagan to re- place Adm. Bobby R. Inman as deputy-in- telligence director. In spring 1983, Mr. Howard was told to resign or he'd be fired. Mr. McMahon took this step despite Mr. Howard's privileged knowledge of U.S. Intelligence operations in Moscow, and what his continued drug use said about his emotional stability. (Later, In February 1984, Mr. Howard was arrested for brandishing a pistol at three men in downtown Santa Fe, N.M.; In a plea bargain, he pleaded guilty to an as- sault charge and was sentenced to proba. tion.) Instead of firing him, intelligence ex- Edward Howard, an untried and untested trainee suspected earlier of drug t, critical U.S. human intelli tell It, he was betrayed by a former CIA agent, Edward L. Howard. And the KGB's peculiar September announcement was ap- parently a ruse to try to put U.S. counter- Intelligence officers off the scent of this turncoat. Mr, Howard, who is now 33, joined the CIA in January 1981. An initial polygraph test Indicated that he was an occasional drug user. Agency officials told him to end his drug-taking or face dismissal. He then promised to give up drugs. Shortly thereafter, he entered an inten? sive, 2S4?year training program to become a "deep' cover" case office! In the U.S. Embassy, In Moscow., One of his assign. ments would be to '::run" Mr. Tolkachev; in other words, 'hewas to collect Mr. Tol- kachev's mate!rlals at "'dead drop" sites in Moscow and tq.,care'ifor his needs. In the course of his trahllttt~ this untried and un- tested trainee wa.s, hiexcusably, told about critical U.S. hutrtan`Intelligence operations In Moscow; he was;,Rven informed about anU?Soviot operatiott$ in the U.S. Mr. How- ard was also trained for several months by the Federal Bure;u`of Inves*gation in sur- veillance technlques,,;and evasion. Before being dispatched to Moscow, Mr. Howard was given another polygraph test, which suggested that his drug use had con. tinued and also Indicated at least one in- stance of petty theft outside- the govern- ment. According to sources who have long been critical of shortcomings in U.S. coun- terintelligence capability, Deputy Director of Central Intelligence John N. McMahon at this point decided he wanted Mr. How? ard out of the agency. Mr. McMahon, a ca. reer intelligence officer for more than 30 years, had been the CIA's executive di? rector, responsible for the day-to-day man- agement of the agency, when Mr. Howard perts suggest, a more sensible course might have been to cancel Mr. Howard's transfer to Moscow but retain him in a nonsensitive area of the agency where his actions could be closely monitored. (Mr. McMahon didn't return a phone call yesterday requesting comment.) ' In September 1984, Mr. Hoovard'told two of his former' colleagues it the CIA that he was thinking ot'passing his information to the Soviets as an act of revenge, accord- Ing to documents tiled In a Justice Depart. ment criminal complaint against him. These agents then told the proper CIA au? thorities about Mr. Howard's threat. But the agency's only response was to get a psychiatrist for Mr. Howard In New Mex. lco, where the CIA had helped him find a lob as an economic analyst with the state government back in June 1983. Meanwhile, a momentous event was oc- curring a continent away that would darken further the profile of Edward How- ard. On July 28 of this year, in Rome, a visiting Soviet official was taking a stroll with some colleagues. He told them that he would meet themback at the embassy af- ter he toured the Vatican museum. His So- viet compatriots never saw him again, and a month later he was In the U.S. being de. briefed by the CIA. The Soviet official Is Vitaly Yurchenko of the KGB. By many accounts, he is one of the most Important Soviet defectors in recent history. The State Department officially an- nounced Mr. Yurchenko's defection last week. He was deputy chief of the North American department of the -KGB's First Chief Directorate, which Is in charge of the Soviet Union's world-wide spy operations. He was "specifically responsible for the di- rection of KGB intelligence operations in the U.S. and Canada," the State Depart- agent1," sale another; well-placed source. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 ----- Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94BOO28OR000700060002-4 unu a aenwi pc3Illvii 411 NIC !\VU J V.,. terintelligence program itch alms to root out any Russian molt orking for the U.S. or other foreign governments. Pre- viously. Mr. Yurchenko served as a spy in the Soviet Embassy In Washington from 1915 to 1980. As a result of these positions, Mr, Yurchenko was able to gain a broad understanding of the highly compartmen? talized operations of the KGB. Mr. Yurchenko gave his debriefers a code name for a former CIA agent who had supplied valuable'information to the KGB. While he did not have the real.,name of the agent, Mr. Yurrhenkoudid provide. petted spy,l said law eitoriement' sofa whb asked hot to be identified. According to other sources famllar with the debrief. ing, Mr. Yurchenko said that this former CIA agent had provided the KGB with de- tails about U.S. human Intelligence activi. ties in Moscow, including the identity of A,G, Tolkachev. Mr. Howard's revelations, therefore, prompted Mr. Tolkachev's ar rest and likely execution. Major Foul-Up FBI agents were Instructed to interview Mr. Howard but not to arrest him. Ex- plained a law-enforcement source: The Information provided by the defector, standing alone, was not sufficient to estab? lish probable cause.'' After he was quizzed, FBI agents kept Mr. Howard under sur? veillance. In a major foul-up, however, no one ever told the FBI agents that Mr. How- ard had been schooled by the bureau Itself in surveillance and evasion tactics. On the moonless night of Sept. 21, Mr. Howard escaped his FBI watchdogs. On Sept, 23, the FBI Issued a warrant for his arrest, but It was too late. U.S. intelligence finally succeeded In tracing Mr. Howard's trail to Finland and then to Moscow, where he is now presumably being debriefed on all he knows about U.S. spying operations In the Soviet Union and elseAhere. ''The United States has virtually zero countenntelligence capability,'Sen. Mal? colm Wallop (R., Wyo.) said recently in criticizing the CIA's and FBI's failures in the Howard case. Some experts are pre. dicting a major shakeup in Intelligence management due to the Howard?Tolka? chev?Yurchenko affair. What will remain after blame is assessed, of course, is that the U.S. has lost one of its most valuable human assets in the Soviet Union and his alleged betrayer has fled safely to Mos? cow. Mr. Kucewicz is a member of 1he Jour. nal's editorial board. Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94BOO28OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 A10 FRIDAY. OCTOBER 18, 1985 Soviet Seized as U.S.$py- Said Exposed~ by -Howard Renegade CIA Officer Still Missing By Patrick E. Tyler Waxh,0Qtn? Po+t Staff Wr,ter his expo:>ure by lioward[ and ar- rest stand as indictments of cross misnlanagement and ineptitude A well-placed Soviet aviation and reaching to the highest level; of electronics expert arrested by So- U.S. counterintelligence opcra- viet security agents in June for lions." passing secrets to the Central In The CIA had no official comment telligence Agency was exposed by on the journal report, but several former CIA officer Edward L. How- intelligence community sources in- -ard, who eluded, capture in New dicated that information fed by Mexico last month, according to Howard to Soviet intelligence of- intelligence community sources. ficials over the last year led to ex- Howard, fired by the CIA in June posure of Tolkachev. 1983, allegedly began selling se- The Soviet was described as a crets to Soviet intelligence last Oc- tober. He fled his home outside research institute expert in new Santa Fe Sept..21 while under sur- aircraft technology, inciudint ad veillance by FBI agents and is pre- vanced avionics, electronic counter- sumed to be in the Soviet Union measures, radar and "stealth" tech- authorities said. nologies- to conceal aircraft and The Soviet expert, cruise missiles. Tolkachev, was first. identified ass- "[Tolkachev] saved us billions of U.S. spy in. reports by: the Soviet dollars in development costs," The news agency Tass Sept. 20. Journal quoted a "well-placed in The Wall Street journal yes- source" s saving. terday, editorial writer William Ku Inteiligence officials also con- cewicz reported, "Tolkachev, was firmed that Howard acknowledged one of the CIA's most valuable hu- drug use when hired by the agency man assets in the Soli ~ti x.1981 aad they said he was fired after,acknowledging in a_1983 poly- - graph examination, that he had.. failed to stop using drugs. One CIA official said hiringB v and despite acknowledged drug V8'41 should not be considered- surprising in a social setting that included easy access to recreational drugs, and the official stressed that Howard pledged to end drug use after join- in}; the agency. After that pledge, Howard then etceted a training program to be- conic :e CIA case officer in the U.S. Embassy in Moscow. The Journal said Howard was taught how to su- pe ise Tolkachev as an agent, which would have involved collect- ing information clandestinely from Tolkachev's work on Soviet aviation projects. Tass reported that KGB officials who searched Tolkachev.'s apart- ment in June found "miniature cam- eras of a special design by means of which he [Tolkachev] photographed secret documents" along with "codes and ciphers, quick-acting two-way communiFatiO* adlo ap espionage work.- T At the time of,.Tolkachev'-ar- M. Stombaugh, a U.S: Etttbassy 1p6 litical officer, alleging that he was a CIA officer caught in the act, of re- ceiving secrets "of a defense na Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 .Indicates Ex-C.LA. Officer Rolped.4ZnmADf Ca .,, r~...,.._~_ t p ure = Iffy STEPHEN ENGELBERG Itelligence secrets. Spedal to The New York Ti- Last month, in an announcement that WASHINGTON, Oct. 17-An officer was read on Soviet television and dis- , f gene o ..no r e 1 Unite tit- i wtw 'providdiint~ American intelli- gencewith valuable military informs. Lion, Administration officials said to- do & 'Officials said they believed that the former C.I.A. officer, Edward L. Howard, helped the Soviet authorities to acres t'the researcher, A. G. Tolka- chev;, akt -.Charges! yof spying for ; the Unit+ tes, ce *brce here said Mrr Tol l on developing electtotiies mill craft; These would, t= tb!o in- dude radar sets and;various other elect tropic . `coUntermeasurea". for delceiv- Ing radar searches and jammintg radio transmissions.' One-Administration.offidal said to- day that Mr. Howard, who fled ,00 last month, bad been traced as fad ' `i>nd and to haye o the' Sp'aty, tbw4ght He 4 the United s6twii cm chaVa Pt gt 60vi0'ipet 1 cut .?" t t "- }..; w ."; Dime'-cU1flnrueu press, the K.G.B., the Soviet intelligence agency, said it had arrested Mr. Tolka. ehev and accused him of spying. The announcement described him as a staff member of one of Moscow's re- search institutes and said he had been caught trying to pass "secret materials of a defense nature" to Paul M. Stom- baugh, an official in the American Em- lbassy in Moscow. The statement said Mr& Stombaugh was an officer of the C.I.A. and was expelled by the agency ;June 14. 'Persona Non .Grata' in Soviet;, According to an account that ap- peared in the Soviet Communist Party newspaper: Pravda, the K.G.B. said Mr. Tolkachev had been found with "miniature cameras of a special de- sign by means of which he photo- graphed secret documents, as-well as ,means of cryptography, codes, ciphers, tquick acting two-way communication radio apparatus and other equipment for espionage work. , Mr. Toikachev's whereabouts have not been determined. tie 'clisal. would not preclude employemnt at the peared," an intelligence sourct aid C.i.A., provided the employee was n, A ,spokesman for the Central Intel li- longer using drugs and did not lie abot. it. genre Agency declined t o comment. At the . State Department, a spokesman Conftraned that Mr. Stombaugh, who was '& second secretary of the united States Embassy in Moscow, had t~ren declared "persona non grata" by the Soviet Union, but the spokesman would not discuss allegations by the K.(; B Mr. Howard was hired by the C.I.A. in 1981, according to court papers filed by the. Federal Bureau of Investiga- tion.Officials have said he was trained to be posted to Moscow and given ac- cess to sensitive information about American intelligence-gathering in the Soviet capital. Mr. Howard was forced to resign ftitri the C.I.A. in 1983 after a poly- graph, or lie detector test, indicated that he had used drugs and engaged in petty theft. Officials said today that an earlier polygraph examination, administered when Mr. Howard joined the agency, had found that he had previously tried "recreational" drugs. the officials said such a history of casual drug use C.I.A. Defends Actions Meanwhile, a senior Central Intelll, gence official defended the agency's handling of the Howard case, while de- clining to be publicly identified. He said that Mr. Howard's espionage was uncovered when the agency arranged the defection of Vitaly Yurchenko, a high-ranking K.G.B. official. Mr. Yur- chenko, officials have said, was respon- sible for the K.G.B.'s American opera- tions while he was serving in the Soviet Embassy here from 1975 to 1980. "It was our efforts that found the guy, we got the defector, we busted the case, we fired Howard." the C I.A. offi- cial said. "What were we supposed to do?" He said Mr. Howard was the only Soviet agent with C.I.A. ties to be iden- tified by Mr. Yurchenko. "So one gu'- turns out to be a bad apple," the officia: said. "That the only one I know of that the defector has identified and he was in a position to know if there were others." Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B0028OR000700060002-4 Sanitized Copy Approved for Release 2011/03/08: CIA-RDP94B00280R000700060002-4 Spy suspect tracked to Finland THE WASHINGTON TIMES U.S. officials tracked fugitive ex-CIA agent Edward L. Howard, charged with spying for the Soviet Union, to Helsinki, Finland, and presume that he is now in Moscow, sources said yesterday. Th-o administration sources, who declined to he identified by name, said that Howard, who disappear -J from his New Mexico home Sept 21, o; - ::