(SANITIZED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP94B00280R000700070020-3
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 9
• Document Creation Date: December 22, 2016
• Document Release Date: March 11, 2011
• Sequence Number: 20
• Publication Date: November 6, 1985
• Content Type: FORM

STAT
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ARTICLE AP,'~' L ~ED
ON PAGE 1- i..~
WASHINGTON TIMES
24 October 1985
Sporkin faces Senate questions
about role in probe of CIA leak
By Bill Gertz
THE NMSHINOTON TIMES
The Senate Judiciary Committee
today will examine allegations that
CIA general counsel Stanley Spor-
kin acted improperly during a Jus-
tice Department investigation of a
senior CIA official suspected of
leaking classified information, con-
gressional sources said yesterday.
The committee has scheduled
closed hearings on Mr. Sporkin's_
nomination to a federal judgeship on
the U.S. District Court for the Dis-
trict of Columbia.
Mr Sporkin is expected to be
questioned about his relationship
with former CIA National Intelli-
gence Officer Charles E. Waterman,
the congressional sources said. Also
facing questioning are CIA Director
William Casey and several Justice
Department officials.
The committee is examining
whether Mr. Sporkin, a former
enforcement chief at the Securities
and Exchange Commission,
shielded Mr. Waterman from federal
investigators and arranged free
legal counsel for him when he was
under scrutiny for alleged disclo-
sure of CIA secrets.
Mr. Sporkin did help Mr. Water-
man secure counsel of Washington
attorney Seymour Glanzer, a former
special prosecutor in the Watergate
affair. Mr. Glanzer, in a telephone
interview last night, denied that he
provided free counsel to Mr. Water-
man, but he declined to comment on
the financial arrangement. He also
is expected to testify today.
CIA spokesman Patti Volz denied
that Mr. Waterman was provided
with free counsel. "While he [Mr
Sporkin] did advise Waterman to get
a lawyer," she said, "he did not tell
him he would be able to get one free
of charge"
Senate investigators are looking
into why Mr. Waterman was not pros-
ecuted, congressional sources said.
Mr. Waterman, 46, directed CIA
analyses of Middle Eastern affairs
until last year when he left the
agency after polygraph tests he took
showed inconclusive results,
sources said. The tests related to
unauthorized disclosure of CIA
secrets relating to political, military
and economic developments in the
Middle East, sources said.
The CIA confirmed that Mr.
Waterman served as a national intel-
ligence officer and also as deputy
chairman of the National Intelli-
gence Council until 1984. National
intelligence officers advise the
director of Central Intelligence.
Mr. Waterman, reached by tele-
phone in Northern Virgina, declined
to comment on the allegations or his
reasons for leaving the CIA.
Concern has been growing among
intelligence officials over the con-
fidentiality of classified materials.
FBI Director William Webster tes-
tified before the Senate investiga-
tions subcommittee 'Iliesday that
many government employees and
members of the press "have become
numb or lost respect for the princi-
ple of confidentiality."
"[And that] forms the basis for the
illegality because distributing clas-
sified information is illegal;' Mr.
Webster said. He pointed to the case
of Samuel Loring Morison as an
example. Morison was convicted on
espionage charges last week in a
Baltimore federal court for passing
U .S. intelligence photographs to a
trade publication.
According to one intelligence
source, the National Security
Agency intercepted in June 1982
several cables from Washington to a
large Asian corporation that
described details of Middle Eastern
military, economic and political
intelligence matters. The NSA
traced the data to the CIA's National
Intelligence Daily (NID). The NID is
an internal digest circulated to
approximately 200 senior govern-
ment officials.
The intercepted information
included top secret, "code-word"
data on the Iran-Iraq military
standoff, U.S. plans to halt purchases
of Libyan oil and details of internal
Iraqi political developments, the
source said. The secrets were col-
lected from U.S. spy satellites and by
NSA intercepts of foreign govern-
ment communications, the source
said.
NSA security officials contacted
the FBI, and its investigation led to
Mr. Waterman, the sources said. He
was given several polygraph tests -
all of which were inconclusive with
regard to questions of unauthorized
disclosure of secret data, the source
said.
The investigation also linked Mr.
Waterman to Richard Straus and
Kenneth Wollack, who are employed
by a Washington-based consulting
group called the Middle East Policy
Group. The group publishes Middle
East Policy Survey, a bi-monthly
newsletter that is noted for carrying
intimate details of Middle East
affairs.
Asked whether Mr. Waterman had
supplied CIA information to the con-
sulting firm, Mr. Straus said, "I
knew Charlie Waterman, and he
never leaked any secrets"
After the FBI polygraphs, Mr.
Waterman acknowledged providing
classified information. But during
an investigation by the CIA's Office
of Security, which included addi-
tional polygraph tests that bolstered
the FBI findings, Mr. Waterman
recanted his initial statement, the
source said.
Both the Justice Department and
CIA Office of Security moved to
prosecute Mr. Waterman on espi-
onage charges. They were put off the
investigation at the request of CIA
Director William Casey, sources
close to the investigation said. Those
sources also said Mr. Casey circu-
lated a memo in an effort to clear Mr.
Waterman of accusations of
wrongdoing.
Mr. Casey dismissed Mr. Water-
man from the agency. Mr. Waterman
currently works as a foreign affairs
consultant and reporter for the
Christian Science Monitor. His arti-
cles have appeared periodically
since December 1984.
The CIA vigorously denied that
Mr. Casey had any involvement in
curtailing the investigation of Mr.
Waterman.
"Mr. Casey has not used his posi-
tion to influence any security inves-
tigation, and I emphasize any," said
Ms. Volz, the agency spokesman. She
said Mr. Casey as a rule "advocates
vigorous pursuit of the facts"
Senate Judiciary Committee
Chairman Strom Thurmond, South
Carolina Republican, and Sen. Jere-
miah Denton, Alabama Republican,
are opposing Mr. Sporkin's nomina-
tion on the basis of alleged impropri-
eties in protecting Mr. Waterman
from prosecution, congressional
sources said.
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ARTICLE A ED
ON PAGE
NEW YORK TIMES
25 October 1985
Casey 'n' Sporkin,
Sporkin 'n 'Casey
By JEFF GERTH
SgeW to Ths Now York Tim=
WASHINGTON, ? Oct. 24 - Some
view them as an odd couple.
William J. Casey, 72 years old, is a
rich conservative who often speaks in
cryptic mumbles. Stanley Sporkin,
53, is a loquacious man of modest
means and a more liberal bent.
But for all their seeming differ-
ences - Mr. Sporkin says one of the
few things they have in common is a
love of chess - the two men are close
friends, the ideological and social fis-
sures between them bridged over by a
personal loyalty and respect devel-
oped through years of working to-
gether in public life.
Frlendehipo Do Develop
Washington tends to polarize per-
sonalities, politics and power being
what they are, but such friendships
periodicially develop, and a right-
wing Republican and leftwing Demo-
crat might end up as drinking buddies
or a labor lobbyist and corporate law-
yer end up shunting business toward
one another.
Thus it comes as no surprise to
those familiar with the Casey-Sporkin
friendship that Mr. Casey, the Direc-
tor of Central Intelligence, is sched-
uled to appear at a closed hearing of
the Senate Judiciary Committee next
week to testify in behalf of Mr. Spor-
kin, the C.I.A.'s general counsel, who
has been nominated to be a Federal
judge in the District of Columbia.
Mr. Casey normally does not get in-
volved in a Washington issue such as
the nomination of a judge. But this
case is of special interest.
An Unusual Effort
When President Reagan nominated
Mr. Sporkin 16 months ago, it was at
Mr. Casey's urging.
And since then Mr. Casey has per-
sonally lobbied in behalf of Mr. Spor-
kin, an effort that one Administration
official said was unheard of for Mr.
Casey.
Alan B. Levenson, a senior partner
at the law firm of Fulbright and
Jaworski, who once worked at the Se-
curities and Exchange Commission
with Mr. Casey and Mr. Sporkin, de-
scribed their relationship by saying:
` It's really a matter of chemistry.
Their mutual respect is for both the
thinking and judgment of each other,
which doesn't necessarily mean they
It
a Mir. Casey and Mr. Sporkin began
developing a friendship back in the
early 1970's at the S.E.C., where Mr.
Casey was chairman and Mr. Sporkin
was working in the enforcement divi-
sion, Investigating corporations, in-
cluding some clients Mr. Casey had
represented earlier while he was
practicing law.
Later, when Mr. Casey went to the
C.I.A., he took Mr. Sporkin with him.
"Their relationship shows how
some deep bonds of respect can get
forged when people work together in
public life in this town," said one
White House official.
On a Watergate-Era Matter
Whenever questions have arisen
through the years about Mr. Casey's
private business investments, his ini-
tial failure to put his assets into a
blind trust or his conduct in govern-
ment, Mr. Sporkin has been in the
forefront of his defense.
It was Mr. Casey's judgment 13
years ago to heed Mr. Sporkin's ad-
vice on a Watergate-era matter that
especially helped shape the Casey-
Sporkin relationship.
Mr. Casey, as chairman of the
S.E.C., had been asked by the Nixon
White House to delay the questioning
of Robert Vesco in a commission in-
vestigation.
For all
their apparent
differences,
the two men are
close friends.
Mr. Sporkin told Mr. Casey it would
be inappropriate to postpone the testi-
mony, and Mr. Casey took Mr. Spor-
kin's advice. The matter subse-
quently became an issue in the Water-
gate-related criminal trial of former
Attorney General John Mitchell, in
which he was acquitted.
"Whenever Casey had a problem,
he could turn to Stanley," said Irwin
M. Borowski, who worked at the
S.E.C. with the two men and is now a
partner in the Washington law firm of
Shaughnessy, Borowski and Gagner.
Honesty and Creativity
"Casey wanted people who gave
him honest good advice and who were
creative," Mr. Borowski said. "Stan-
ley was the epitome of that. That was
the relationship. Out of that devel-
oped a tremendous personal feeling
between the two."
In early 1981, when the Senate took
up Mr. Casey's involvement in the
Vesco case during his confirmation
hearings for Director of Central Intel-
ligence, Mr. Sporkin, still at the
S.E.C., wrote a letter to the Senate In-
telligence Committee in behalf of Mr.
Casey. In the letter Mr. Sporkin de-
fended Mr. Casey's actions at the
(AJ
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commission and praised him for ag-
gressively pursuing the Vesco case,
which resulted in charges of a huge
financial fraud and led to Mr. Vesco's
fleeing the country.
"As I reflect upon the Casey years
at the commission, I can truly say
they were some of the finest moments
during my 19 years on the commis-
sion's staff," Mr. Sporkin wrote.
Several months later Mr. Casey
chose Mr. Sporkin to be the intelli-
gence agency's general counsel, even
though he _had had no experience in
the field of national security or intelli-
gence.
"One of the reasons he wanted me
was that he didn't want somebody
who would tell him what he wants to
hear," Mr. Sporkin said.
"There's a tremendous loyalty
going both ways," he said. "Casey
knows his interests will be respected.
We're very candid with each other. I
give him my best advice. It's a mag-
nificent relationship. It's almost a fa-
ther-son relationship."
Mr. Sporkin's father was a a com-
mon pleas judge in Philadelphia. Mr.
Casey, knowing Mr. Sporkin's long-
time desire to emulate his father,
recommended in 1984 that President
Reagan nominate him to fill a Fed-
eral district court post in Washington.
A Convoluted Process
Because of questions from both
Democratic and Republican senators
about Mr. Sporkin's role in various
C.I.A. activities, President Reagan
has had to resubmit the nomination
twice to the Senate.
A C.I.A. official said that one area
of interest to be explored in the Sen-
ate' hearing next week will be Mr.
Sporkin's role in helping arrange
legal counsel for a C.I.A. official sus-
pected of leaking classified docu-
ments.
According to a White House offi-
cial, the hearing, which had been
scheduled today but was postponed,
would probably be the last step in a
convoluted and complicated nomina-
tion process that has lasted 16
months.
An official familiar with Mr. Spor-
kin's nomination compared the con-
firmation maneuvering to a chess
game, an analogy that is not lost on
Mr. Sporkin.
"We're both avid chess players, but
we never play," he said of himself
and Mr. Casey. "I think he's too good
for me."
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' _ ?. ';.E APB?EAR~u
ON PAGE a __
WASHINGTON TIMES
29 October 1985
Vote nears on Sporkin judgeship
BBr Bill Gertz
VVIS***GTON ?MEs
The Senate Judiciary Committee is ex-
pected to take up the nomination of CIA
General Counsel Stanley Sporkin to a fed-
eral judgeship after more than a year of
controversial Senate review.
Mark W. Goodin, a committee
spokesman, said the closed-door session
today will deal with sensitive national se-
curity information and that a vote on the
nomination was not expected until next
week at the earliest.
"Sen. [Strom] Thurmond thinks there
are serious allegations here, and he
wants to make sure all the facts are made
known to the committee, Mr. Goodin said
in an interview "The senator is unde-
cided [on the nomination], but as
chairman he wants the allegations looked
into and [to] let the facts speak for them-
selves."
Mr. Sporkin was former enforcement
chief at the Securities and Exchange
Commission until CIA Director William
Casey appointed him general counsel in
1981. His nomination to the judgeship has
been held up by Judiciary Committee
members who are questioning Mr. Spor-
kin's role in a Justice Department inves-
tigation of a senior CIA official suspected
of leaking classified information.
Mr. Sporkin has denied any wrong-
doing.
One administration official said Mr.
Sporkin's nomination has taken "an inor-
dinately long time"
"Since the president has demonstrated
his continuing support for this nomina-
tion, it certainly deserves the opportu-
nity to be voted on," said the official, who
requested anonymity.
Allegations that Mr. Sporkin might
have acted improperly during a CIA in-
quiry first surfaced after the nomination
was sent to the Judiciary Committee, the
official said. But he added that the Jus-
tice Department and the CIA have "thor-
oughly investigated" Mr Sporkin's in-
volvement in a probe of CIA disclosures
and "feel this nomination should go for-
ward:'
Mr. Sporkin, Mr. Casey, several Justice
Department officials and others are ex-
pected to testify at the hearing originally
scheduled for last Thursday. That hear-
ing was postponed pending delivery to
the committee of Justice Department
documents related to the issue.
Initially, the postponement was attrib-
uted to Sen. Jeremiah Denton, who
dashed off to the dentist last Thursday
for emergency treatment of an
abscessed tooth, sparking rumors that
the Alabama Republican had been hospi-
talized. Mr. Denton is said to oppose Mr.
Sporkin's nomination, although a
spokesman for Mr. Denton would not
comment on the senator's position.
Mr. Sporkin achieved notoriety as a
liberal SEC official who threatened to
publicize SEC investigations of corporate
managers in order to force them to com-
ply with the agency's regulations.
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WASHINGTON TIMES
30 October 1985
Sporkin judgeship pondered in secret
By Bill Gertz
a WASHINGTON TIMES
The Senate Judiciary Committee,
in a rare secret meeting, yesterday
questioned CIA Director William
Casey and several other witnesses.
on the nomination of agency general
counsel Stanley Sporkin to a federal
judgeship.
The committee, which Friday will
resume its consideration of the
nomination, is investigating allega-
tions that Mr. Sporkin, a close Casey
friend, acted improperly during a'
CIA leak investigation several years
ago.
Mr. Sporkin, a former Securities
and Exchange Commission en-
forcement chief, was first nom-
inated to the bench last year.
His nomination has sparked a con-,
troversy over whether Mr. Sporkin
arranged "pro bono," or free, legal
counsel and did more than advise a
former CIA official that he needed a
lawyer during a probe into the dis-
closure of classified CIA secrets.
Mr. Sporkin has said that the con-
troversy involves "my role in recom-
mending and assisting [the official]
in obtaining counsel."
"It was strictly in my role as the
attorney for the CIA,' Mr. Sporkin
told reporters. "This was not a. per-
son I knew that well. This was
strictly carrying out my responsibil-
ities:'
Mr. Sporkin arranged for former
Watergate prosecutor Seymour
Glanzer to represent former CIA
National Intelligence Officer
Charles E. Waterman during the CIA
investigation. Mr. Glanzer, in a re-,
cent interview, denied he worked
"for free" but declined to specify
what financial arrangements were
made during the probe.
The investigation focused on a
leak of CIA details on Middle East
political, military and economic in-
telligence that was discovered in
June 1982.
Mr. Waterman left the CIA in late
1984. He was a senior Middle East
intelligence analyst and deputy
chairman of the National Intelli-
gence Council, and he now works as
a foreign affairs consultant and re-
porter for the Christian Science
Monitor.
Mr. Casey was the lead-off wit-
ness when the committee called its
session in a secure fourth floor hear-
ing room at the U.S. Capitol. All but
three of the 11 witnesses scheduled
to testify, mostly CIA and Justice De-
partment officials, were questioned
yesterday. Mr. Sporkin is expected to
testify when the hearing resumes
Friday morning.
Committee aides said it was the
first time a hearing has been closed
for national security reasons.
The Senate Judiciary Committee
held a closed session in 1982 on the
nomination of Clarence Pendleton as
U.S. Civil Rights Commission
chairman and held another closed
session in 1983 on a judicial nominee
for the federal court in Puerto Rico,
according to a Senate aide.
Mr. Sporkin was appointed CIA
general counsel in 1981 by Mr.
Casey, even though he had no exper-
ience in national security affairs
and, as SEC enforcement chief, had
advocated more open government.
He had worked under Mr. Casey at
the SEC from 1971 to 1973.
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CJ-4 PZ+c
WASHINGTON TIMES
1 November 1985
Sporkin may testify today
on his fitness for judgeship
THE WASHINGTON TIMES
CIA General Counsel Stanley
Sporkin is expected to testify today
at a closed hearing of the Senate Ju-
diciary Committee examining alle-
gations that he acted improperly
during a CIA investigation of na-
tional security leaks, according to
congressional sources.
Mr. Sporkin is being questioned
by the committee in connection with
his nomination to a federal
judgeship for the District of Colum-
bia.
Mr. Sporkin is expected to testify
along with Justice Department and
FBI officials about an investigation
several years ago relating to the un-
authorized disclosure of top secret
information about the Iran-Iraq war,
U.S. Libyan oil purchases and Iraqi
political developments. The infor-
mation had been collected by some
of the intelligence community's
most sophisticated technical spies.
Mr. Sporkin publicly has denied
doing anything more than his re-
quired duties in notifying a senior
CIA official, who has since left the
agency, that he needed a lawyer.
Both Democratic and Republican
members of the Senate panel have
charged privately that the notifica-
tion tipped off the suspect that a leak
investigation was under way. As CIA
general counsel, Mr. Sporkin's func-
tion under certain circumstances is
to advise CIA employees that they
need legal representation.
Administration sources said the
allegations concern the "most seri-
ous" unauthorized disclosure of
classified information from the U.S.
government in the past five years.
Mr Sporkin has retained famed
trial lawyer Edward Bennett Wil-
liams as his counsel during the Sen-
ate proceedings, according to con-
gressional sources.
- BW Gertz
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WASHINGTON POST
4 November 1985
V
THE FEDERAL REPORT
Inside: the Federal Judiciary
END IN SIGHT ...CIA general coun-
sel Stanley Sporkin, whose quest for a
federal judgeship resembles the travails
of Sisyphus and the rock, is getting clos-
er to his goal, sources said-last week.
Sporkin's nomination to the U.S. Dis-
trict Court here has been held up for 16
months because of opposition from con-
servative senators including Jeremiah
Denton (R-Ala.).
The Senate judiciary Committee held
an unusual closed-door session last week
to hear allegations against Sporkin, in-
cluding one that Sporkin improperly
helped a Central Intelligence Agency of-
ficial under investigation by the Justice
Department for leaking classified infor-
mation.
Sources said most of the 11 scheduled
witnesses testified and cleared up many
of the questions in Sporkin's favor.
The committee had scheduled Sporkin
and the remaining witnesses to testify
last Friday, but there was yet another
delay, and Sporkin's testimony is now
likely to be heard next week.
Sources said that barring new ques-
tions, Sporkin appears headed for con-
firmation.
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Ar, i ICLE AP'EA
13N PAGE
WASHINGTON TIMES
5 November 1985
Thurmond is seeking
investigation of leaks
in the case of Sporkin
Bye
Christopher Simpson
TH W SMINGTON TIMES
The chairman of the Senate Judiciary Com-
mittee has asked the FBI to investigate what
he said was a leak of classified information
that appeared in a story in The Washington
Times about the nomination of Stanley Spor-
kin to the U.S. District Court of Appeals for
the District of Columbia, a committee
spokesman said yesterday.
Mark Goodin, spokesman for committee
chairman Sen. Strom Thurmond, South Caro-
lina Republican, confirmed that Mr. Thur-
mond wrote to FBI Director William Webster
on Sept. 24 requesting an investigation into
the source of the published information. He
said this information involved national secu-
rity.
The story detailed the committee's ex-
pected closed hearings into the nomination of
Mr. Sporkin, who is general counsel to the
CIA. The story included a lengthy account of
classified information that federal authorities
were said to have intercepted enroute to the
Middle East.
"The chief reason for the request is that
this is a disclosure of information involving
national security and that is a very serious
offense," Mr. Goodin said.
"We have no indication where the leak
came from. This is just an attempt to ensure
that the FBI investigates the leak, finds where
it occurred and punishes the individual re-
sponsible."
Mr. Goodin said the FBI has not responded
to the request for an investigation. An FBI
spokesman said the bureau will respond only
to Mr. Thurmond and he could not comment
further.
The story detailed allegations that Mr.
Sporkin acted improperly during a federal
investigation into a senior CIA official sus-
pected of l=9r. classified information. The
story told Sporkin was slated to be
questioned by Judiciary Committee mem-
bers behind closed doors regarding his in-
volvement with former CIA National Intel-
ligence Officer Charles E. Waterman.
The focus of the questioning was whether
Mr. Sporkin shielded Mr. Waterman from fed-
eral investigators who were investigating al-
legations that Mr. Waterman had disclosed
CIA secrets. The story also described infor-
mation the National Security Agency inter-
cepted in June of 1982 as it was sent from
Washington to a large Asian corporation.
The story said this included classified data
on the Iran-Iraq military confrontation, plans
by the United States to halt purchases of Lib-
yan oil and internal Iraqi political develop-
ments. In addition, the story included
accounts of Mr. Waterman's alleged in-
volvement in passing the documents, along
with details of the FBI investigation and the
CIA's role in allegedly protecting Mr. Water-
man from being prosecuted on espionage
charges.
Mr. Goodin said the committee's chief in-
vestigator had access to top secret informa-
tion, some of which appeared in the news
story, for nearly a year before any leaks oc-
curred. He speculated that the disclosures to
The Times may have come from committee
staff members after the information was cir-
culated beyond the investigator, but that was
a question for the FBI to determine.
"There were facts in that story that obvi-
ously originated from a review of information
involving the Sporkin matter," Mr. Goodin said
of the information that could have been leaked
from a number of sources outside the com-
mittee. "But it had to be someone with access
who made the unauthorized disclosure:'
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