HANDS OFF IN NICARAGUA

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP91-00901R000400090002-6
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 38
• Document Creation Date: December 19, 2016
• Document Release Date: December 2, 2005
• Sequence Number: 2
• Publication Date: March 29, 1983
• Content Type: NSPR

Approved For Release 200f3~~4-Bi 06&11000400090002-6
, arch 1983
Viands off in Nicaragua
The Reagan administration is waging more
than just a propaganda war against the Sandin-
ista government of Nicaragua. Central Intelli-_
gence Agency Director William Casey first out-
lined the details of our involvement to the
Senate Select Committee on Intelligence - on
the condition that members keep the plan secret
-- as far back as November 1981. Word leaked
out of that closed-door session that President
Reagan had endorsed a $19-million plan to de-
stabilize the Sandinista government.
Since then, we've seen how some of that
money was spent. The Nicaraguan government
has been drawn into an all-out war along its
Honduran border, where the anti-Sandinista
guerrillas are based. American weapons and
artillery have somehow found their way into the
hands of those forces. More than one Green Be-
ret has been sighted in the area. Argentine intel-
ligence officers report that they've been paid
lavishly by the CIA to help destabilize the Nicar-
aguan government.
President Reagan has made no secret of
the fact that he'd like to see another government
in Managua: But he's kept the CIA's energetic
campaign a secret for one reason - it's illegal.
Last year Congress attached an amendment to
the Defense Department authorization forbid-
ding the administration to use funds for "mili-
tart' equipment, military training or advice, or
other support for military activities ... for the
purpose of overthrowing the government of Nic-
aragua or provoking a military exchange
between Nicaragua and Honduras."
Mr. Reagan has no constitutional power to
declare war or wage an undeclared one. Stirring
up hostilities between two neighbors in Central
America is not only against our laws; it violates
the United Nations' charter and the rules of the
Organization of, American States. It also could
bring two nations closer to the brink of their
own war.
Central America does not need more blood-
shed - nor does it need American armed forces
in a Bay-of-Pigs-style collusion with former Ni-
caraguan army officers trying to reclaim their
power. It ought to be possible to coexist peace-
fully with the Sandinistas; but failing that, the
administration has legitimate ways 'of showing
its disdain for the regime in Nicaragua -
through trade embargoes and restrictions on
economic aid. Armed intervention in Nicaragua,
- no matter how it's masked - is absolutely
the wrong way to go.
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 Approved For Release 2005/12/23 : CIA-RDP91-00901
TTICL L: U ,
Ca Pc-2
NEW YORK TIMES
29 MARCH 1983
The Presidency
Is Pot Watergate Government
Morality Slipping?
By JOHN HERBERS er.
spbaW turneNew York Ttn 4William J. Casey's failure to list
WASHINGTON, March 28 - The his holdings and comply with other
list of Reagan Administration officials
accused of ethical violations has
grown quite long lately, but few of the
accusations have raised the furor that
similar incidents did in other recent
administrations. As a result, some ob-
servers of the Washington' scene are
asking whether the post-Watergate
morality in Government is slipping
back to pre-Watergate levels.
Presidential scholars and critics of
the news media agree for the most
part that disclosures or charges of im-
propriety on the part of Presidential
appointees have not been as damaging
so far to President Reagan as they
were to President Carter.
Bert Lance's banking practices be-
fore he was appointed budget director
in the Carter Administration and his
subsequent indictment for fraud were
treate-d is the news media as a major
scandal; the charges were dropped
after the jury failed to agree on a ver-
dict. Ha: nlton Jordan spent much of
his tenure as White House chief of
staff under a widely publicized charge
o` y g cocaine before he was exoner-
ated by a special prosecutor.
Reagan supporters make the point
that bo:h Mr. Lance and Mr. Jordan
were intimate Carter advisers and
that no such charges have been di-
rected at Mr. Reagan's top aides. But
allegations of conflict of interest and
other wrongdoing have been much
more pervasive throughout the Rea-
gan Administration; Carter support-
ers contend that, had they occurred
under Mr. Carter, the outcry would
have been louder.
Recent Congressional charges that
officials of the Environmental Protect
tion Agency were so anxious to relieve
business of Government regulation
that they adopted procedures con-
trary to Congressional intent is only
one type of case occuring in this Ad-
ministration. A sampler, drawn from
the full Reagan term to date, follows:
gRichard V. Allen's acceptance of
$1,000 from a Japanese magazine that
had been granted an interview with
Nancy Reagan while Mr. Allen was
Mr. Reagan's national security advis-' -
disclosure regulations before he be-
came Director of Central Intelligence.
QWiuiam French Smith's . accept-
ance of a $50,000 severance payment
from a company on whose board of di-
rectors he served shortly before he be-
came Attorney General.
gDennis E. LeBlanc's assignment
as a $48,500-a-year official with the
National Telecommunications and In-
formation Administration when, in
fact, he cleared brush and did other
chores at the Reagan ranch in Califor.
nia.
cThomas C. Reed's serviceas spe-
cial assistant to the President for na-
tional security affairs despite infor.
mation that he profited from inside in-
formation in stock option trading in
1981. ,
BRobert P. Nimmo's expenditure of
x54,183 to redecorate his office and the
use of his Government automobile for
private purposes while head of the
Veterans Administration.
Mr. Alien, Mr. Nimmo and Mr.
Reed left the Government. The others
stayed, although Mr. Smith returned
the $50,000 and gave up a tax shelter
that earned him credits of $176,000 on
a $58,000 investment.
In any event, there is a consensus
that there has been a change in public
reaction td big and little scandals
since Mr. Reagan was inaugurated in
1981, with several reasons given for
the change.
Cycles of
Barber of Duke University, who spe-
cializes in studying the character of
Presidents, says the country has trou-
ble maintaining a high level of right-
eous indignation for long periods of
time. After World War I, fought in the
name of making "the world safe for
democracy," Mr. Barber said, "there
was less interest in clean government
and It- took a long time for the Teapot
Dome scandal to come out." The
Watergate scandals, in which Presi-
dent Nixon and his top aides covered
up a felony and corrupted much of the
Government in the process, resulted
in new standards of conduct for public
servants, but there has been an ex-
pected drop in interest in enforcing
them, according to this theory.
The Duck's Back. Some Presidents
have a way of keeping scandal from
sticking to them. Stephen Hess, a
scholar at the Brookings Institution
who was a member of Dwight D.
Eisenhower's staff, said that Mr.
Eisenhower, the last President to
serve two terms, had the political
knack of isolating himself from staff
scandal, such as Sherman Adams's
acceptance of gifts from an industrial-
ist asking for White House favors.
But any suggestion of scandal stuck
to Jimmy Carter like flypaper, partly
because he projected a self-righteous-
ness than rankled journalists and
partly because he portrayed himself
as a President who had his fingers on
every aspect of Government. Mr.
Reagan, on the other hand, has been
portrayed, rightly or wrongly, as a
chief executive who does not know
much about the details of governing.
Several people interviewed said re-
ports of wrongdoing in the depart-
ments and agencies "roll off Reagan
like water off a duck's back."
The President's "good guy" image
also has helped. Edwin Diamond, a
senior lecturer at the Massachusetts
Institute of Technology and a student
of the news media, says people are
tired of failed Presidents and "don't
want to hear bad things about Rea-
gan?
But Fred Wertheimer, president of
Common Cause, the public affairs
lobby that instigated many post.
.Watergate reforms, has a different
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 Approved For Release 2005/'I '1rM3MAGRMPl$1r19QJ?AR
28 March.1983
U.S. misadventure in Nicaragua?
There's no denying that the nasty little
conflict along the Nicaraguan-Honduran bor-
der has been intensifying or that the United
States has helped to orchestrate the affair.
You don't have to buy the Sandinista regime's
accusations; you have the word of CIA Direc-
tor William J. Casey, who recently conceded
in congressional testimony that his agency was
indeed supplying and supporting exiled
Nicaraguan rebels ia_Honduras.
Casey told the House and Senate intelli-
gence committees that the U.S. purpose in
backing the rebels - many of them former
minions of the late, unlamented Anastasio
Somoza -- was not to topple the Sandinista re-
gime, but to prevent its supplying weapons to
leftist guerrillas in El Salvador.
A week ago.as many as 2,000 rebels were
air-dropped into four Nicaraguan provinces,
some penetrating to within only 60 miles of
the capital of Managua. On Thursday the
Sandinistas announced that a Honduran force
of undetermined size had made an unprece-
dented incursion on Nicaraguan soil.
All this to interdict weapons intended for
the Salvador leftists? Come on now, Mr.
Casey. Even-if one accepts Casey's motive --
blocking the Salvadoran supply line - one
ought to ask one's self whether it justifies:
? Violating a sovereign nation's borders.
? Associating the United States with the
ragged remnants of a discredited dictatorship.
? Sponsoring an undeclared war without
the consent of the Congress, in fact in direct
contravention of a House resolution passed
just last December concerning our relations
with Nicaragua.
The CIA director's disclaimer to the con-
trary, it appears likely that the Reagan
administration is aiming at a military solution
to its problems with the Sandinista govern.
ment, an adversary Washington has only
strengthened - if not shoved outright into the
Soviet orbit - by 'its belligerence,
The consequences of a concerted military
effort to oust the Sandinistas may have es-
caped the president and his advisers.
What if the anti-government offensive only
widens the hostilities, dragging in Honduras
and possibly Cuba in a major confrontation?
What if the rebels fail miserably and be.
come a major embarrassment? What if this
unsavory band of right-wing brigands is suc-
cessful in routing the Managua leftists?
None of the alternatives seems worthy of
this nation's expenditure of prestige and
power.
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 ,kRt._r, is
ON P.LGZ
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.tr> TVr-W YORK TIN~r^,S
cv 1Jxttt;n 1y03
1i on is distributed. Tlie two men said -'
that a Honduran Army major took
them from a refugee camp in Hon-
duras to a training camp where they
learned guerrilla and commando tac-
tics. Then they became bodyguards
for a camp commander. He met
monthly in a Tegucigalpa safe house
with "a gringo colonel" who handed
out thousands of Honduran lempiras,
according to the Guardsmen.
"How did you know he was from the
U.S. Army?"
"Our commanders told us, they
identified him as U.S. Army."
The M-79 grenades, the United
States-made rocket launchers, ration
boxes and radio egtl pment, the ex-
Guardsman's testimony, the Argen-
tine defector, the dynamiter, the
member of Congress - all add up to
war waged by our Government under
the name of intelligence.
The warmaking power is the most.
important power Congress has. It is
still not too late to call for a declaration..
of war. If a majority of members de-
cide that Nicaragua has not provided
causus bell, they will vote against de-:
Glaring war. Perhaps then and only
then will they exert their constitu-
tional power and stop the covert war.
`\.Var on Nicaragua'
By Saul Landau
should declare war on the Govern-
ment of Nicaragua and thereby pre-
serve the Constitution.
The United States Government is
waging war against Nicaragua and
has been for more than a year, but
Congress has not declared war. The 1
Constitution gives -this power to Con-
gress, but someone else has usurped it
-and, by calling the war intelligence
activity, they've gotten away with it.
The "someone" is the Central Intelli-
gence Agency, commanded by Presi-
dent Reagan. Here is how the usurpa-
tion tack place.
According to a member of Congress,
cn Nov. 19, 1981, William J. Casey, Di-
rector of Central Intelligence, rode a lit-
tie-used elevator to the fourth floor of
t -.e Capitol, where the House Select
Committee on Intelligence occasionally
meets. Mr. Casey informed the Con-
gressmen that the President had
"signed on" to a $19 million covert pack-
age- money now being used to destabi.
lire and eventually overthrow the Nica.
raga Government.
Congress is now informed, Mr.
Casey told the gathering, referring to
the Hughes-Ryan Amendment, which
the C.I.A. has interpreted to mean
that Congress is "informed" as soon
as the intelligence committees are
told about violent covert actions.
Each intelligence committee mem-
ber, however, is oath-bound not to re-
veal a word of what he knows, even to :I villages, and I saw many evacuating'.
other House and Senate members. the war zone with their belongings
That's how the war began - in A
policy circles. On the ground, the
players are different. Some of the
ways in which Mr. Casey's $19 million
budget gets spent are described in a
videotape I received in the mail from
an unknown sender. It contains testi-
mony by an Argentine, Hector
Frances, who claimed that he de.
fected from Argentine Intelligence
Battalion No. 601, which had posted
him to Costa Rica to work with the
C.I.A. to overthrow the Nicaramian
Government. He says that he and
other Argentine advisers were paid
$3,000 a month plus lavish hotel and
living expenses in Costa Rica and
Honduras. He says that.on several oc-
casions he carried payoff dollars -,
enormous sums spent to 'maintain
thousands of former members of the
late Nicaraguan President Anastasio
Somoza Debayle's National Guard,
"feeding them and keeping the camps
going." (Conversations with United
States intelligence officials and an Ar- '
gentine officer have since. confirmed
Mr. Frances's identity and his state-
ments about the C.I.A. and Argentine
roles in Nicaragua.)
Further corroboration came from,
William Baltodano, a Nicaraguan con-
victed in January 1982 of conspiring to '
dynamite Nicaragua's oil refinery
and cement plant. He met Mr.
Frances in Costa Rica and they
worked together on the sabotage plan.
Mr. Baltodano, who spoke to me in a
Managua prison, said that Argentines
had given him $50,000 to buy arms and
explosives.
Mr. Frances's tape described the
C.I.A.'s involvement in other sabo-
tage operations, including one in
which Argentine and C.I.A. agents ap-
parently blew up a bridge near the
Honduran border. I saw the bridge -
and the job was done so thoroughly
that the Nicaraguans still hadn't been
able to repair it six months later.
Mr. Reagan "signed on" to more
than a property damage-plan when he
gave the C.I.A. the green light. I spoke
to Nicaraguan widows left with many
children, and to women whose hus-
bands and sons had been kidnapped
and still had not returned. Peasants
complained to me that shells were
piled on ox carts.
. In a Nicaraguan prison, two cap-
tured former Guardsmen told me
more about how the C.I.A.'s $19 mil-
Saul Landau is a senior fellow at the
Institute for Policy Studies, a Wash-
ington-based research organization.
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 EDWARD P. BOLAND. MASB? CNAjRh4AM
CLEMENT.. Z.BLOCKL VAS,
ROLIANO L MAZ20LL X-j%
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LEE H. NAMILTOH. lNO.
ALBERT GORE, JA, TENN.
LO1.n$ STOKES. ONN)
DAVE McC'UROY. OK1A
J. KENN#M ROBINSON, VA.
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C. W. DILL YOUNG, FL?
BOE STUMP, ARIZ.
WILLIAM F. GOODUNG. PA
TNOMAS K. LAT1M#R, STAl:s DIRECT"
MtCNABL1 ONE1L CNIEF COUNSEL
PATRICK G. LONG. ASbOCaATt CpUgM
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U.S. HOUSE OF REPRESEN
PERMANENT SELECT COMMITTEE
ON INTELLIGENCE
March 25, 1983
Honorable William Casey
Director of Central Intelligence
Washington, D. C. 20505
Dear Mr. Casey:
Recently you brought to my attention your deep concern about proposed
changes in the federal retirement system. You clearly conveyed in our
discussion the great uncertainty and confusion experienced by many Agency
personnel about their personal situations.
In light of recent events, it is now possible for me to respond with some
observations I trust will offer reassurance to serving Agency personnel.
First, the FY 84 budget resolution passed by the House posits no savings
associated with changes that would affect current serving ferderal employees in
the Civil Service Retirement System or the CIA Retirement and Disability
System. The only provision affecting such employees is a proposed 4 percent
comparability increase in federal salaries. The FY 84 budget request
contained no increase.
Second, the House leadership, the chairman of the House Post Office and
Civil Service Committee and fall agree that any consideration of changes in
federal retirement systems must be considered thoroughly and deliberately. No
House action on federal retirement changes is planned in 1983.
Third, if changes are considered which affect either CSRS or CIARDS, I
intend to insure that the needs and special circumstances of all intelligence
employees are fully understood. In particular, early retirement for overseas
operational service should be retained.
As you will appreciate, the Senate has yet to act on a FY $4 budget
resolution. I believe there is a similar hesitancy on the part of key
Senators to change federal retirement policy at this time. In the event of a
difference between two Houses, however, the House position on preserving the
present system - particularly in the area of retirement ages - is a. strong one
upon which House conferees would be :bound to insist.
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 Approved For Release 2005/jXMjQL Q ?09a
24 March 1983
WASHINGTON
-WASHINGTON BRIEFS
Vice President George Bush will head a new goyernknr ng ettort
aimed at stopping the flow of illegal drugs Into the United States, a senior
White House official says
Edwin Meese III, counselor to President Reagan, announced Wednesday that Bush
would head the new National Narcotics Border Interdiction System. He said the
board will be responsible for halting the importing of drugs into this country.
The secretaries of state, treasury, defense and transportation, the director
of the Central Intelligence Agenc9 and the director of the White House
drug abuse policy office will serve on an executive board, Meese said.
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ASSOCIATED PRESS
23 MARCH 1983
-NBC Reports CIA Agents in Rome In Hot Water
NEW YORK
The Reagan administration is investigating whether the CIA station chief in
Rome and two of his agents disobeyed presidential orders in connection with the
investigation of the shooting of Pope John Paul II, NBC News reported Wednesday.
The three, whom the network by law did not identify, raised the ire of
officials in Washington because they refused to stop "descrediting" the
so-called Bulgarian connection in the inquiry of the papal shooting, NBC said.
Mehmet All Agca, a Turkish gunman serving a life sentence for the attempted
assassination of the pope on May 13, 1'9$1, has told Italian investigators that
several Bulgarians helped him plan the attack. Bulgaria has denied any
involvement, as has its close ally, the Soviet Union.
Quoting an unidentified key administration source, NBC said the three may be
fired because they allegedly disobeyed orders issued by National Security
Adviser William Clark and CIA director William Casey.
In Washington, CIA spokesman Dale Peterson said "We'll have no comment
until we see" the NBC report.
Sen. Alfonse B'Amato, R-N.Y., said last month after a visit to Rome that he
had been told the CIA was trying to block an investigation into the papal
shooting.
But President Reagan said at a dinner a week later that he favored a full
investigation of the shooting, and Secretary of State George Shultz denied that
the CIA was seeking to discourage the probe.
NBC said the Rome agents may have downplayed the Bulgarian connection because
they did not want attention drawn to:
An alleged 'close working relationship" between them and an Italian labor
leader who was arrested as a. Bulgarian spy, or
The possible use of a guns and drug smuggling route between Sofia, Bulgaria,
and Milan, Italy, to run CIA agents into Eastern Europe.
STAT
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4701 WILLARD AVENUE, CHEVY CHASE, MARYLAND 20815 656-4068
NBC Nightly News
March 23, 1983 6:30 PM
The Papal Plot
STATION WRC-TV
NBC Network
Washington, DC
ROGER MUDD: There's new evidence linking Bulgaria to a
plot to assassinate the Pope in May 1981.
According to the "New York Times," a Bulgarian official
who defected to France shortly after the Pope was shot claims the
Soviet intelligence agency organized the assassination attempt,
and the Bulgarian Secret Service contacted Mammet Ali Agca, the
man who shot the Pope.
As Marvin Kalb. reports tonight, the Reagan Administre-?
tion is not pleased with'the way three CIA agents in Rome are
handling the Bulgarian connection.
MARVIN KALB: At the U.S. Embassy in Rome, the three top
CIA officials are in deep trouble. The station chief and his two
deputies whom U.S. law prohibits us from identifying are the
subject of a secret investigation in Washington, and they may
soon be fired because, according to key Administration sources,
they appear to have deliberately-disobeyed presidential orders
about the Papal plot.
The orders came on more then one occasion from National
Security Adviser William Clark and CIA Director William Casey
that the three officials in Rome were to stop discrediting the
so-called Bulgarian Connection, and yet they continued, infuri-
ating senior officials in the Administration.
Why?
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 Approved For Release 2005/12/23: CIA-RDP91-00901RO
RADIO TV REPORTS, i~
4701 VVILLARD AVENUE, CHEW CHASE, MARYLAND 20815 656-4068
NBC Nightly News STAnON WRCC-TV
NBC Network
March 23, 1983 6:30 PM
Washington, DC
The Papal Plot
ROGER MUDD: There's new evidence linking Bulgaria to a
plot to assassinate the Pope in May 1981.
According to the "New York Times," a Bulgarian official
who defected to France shortly after the Pope was shot claims the
Soviet intelligence agency organized the assassination attempt,
and the Bulgarian Secret Service contacted Mammet Ali Agca, the
man who shot the Pope.
As Marvin Kalb reports tonight, the Reagan Administre-.
tion is not pleased with the way three CIA agents in Rome are
handling the Bulgarian connection.
MARVIN KALB: At the U.S. Embassy in Rome, the three top
CIA officials are in deep trouble. The station chief and his two
deputies whom U.S. law prohibits us from identifying are the
subject of a secret investigation in Washington, and they may
soon be fired because, according to key Administration sources,
they appear to have deliberately disobeyed presidential orders
about the Papal plot.
The orders came on more than one occasion from National
Security Adviser William Clark and CIA Director William Casey
that the three officials in Rome were to stop discrediting the
so-called Bulgarian Connection, and yet they continued, infuri-
ating senior officials in the Administration.
Why?
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 V
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?'_ CHRISTIAN SCIENCE MONIT
16 MARCH 1983
`Project Democracy': Reagan tries to export
the US way of governing '
By Rnsbworth M. Kidder
Staff writer of
The Christian Science Monitor
Boston
Can the United States export both bullets
and ideas?
As Congress chews over President
Reagan's $110 million proposal for in-
creased arms aid to El Salvador. America is
brooding over a far larger question: how
best to spread the values of democracy
among developing nations.
Even as it plumps for. increased military
aid, the Reagan administration is weighing
in with an information campaign - a two-
year, $85 million plan described by officials
of the United States Information Agency
(USIA) as "an ambitious, long-term, posi-
tive program ... to advocate the principles
of democracy."
Known as "Project Democracy," it gath-
ers together some 44 separate proposals for
seminars, institutes, publications, and fel-
lowships, largely carried out by private
foundations. The latest. in a string of cold-
war efforts to export democracy dating at
least from the Truman era, It includes:
? A $15 million grant to the Asia
Foundation.
gram aimed at "building respect for a sub-
structure of democratic values."
But so far the project has faced tough
sledding on Capitol Hill. Both Secretary of
State George P. Shultz and USIA director
Charles Z. Wick faced hard questioning
from a congressional subcommittee over its
workability and over potential Central Intel-
ligence Agency involvement. CIA director
William Casey attended a planning meeting
for the initiative in August. although admin-
istration officials insist the CIA is no longer
involved. But "I think it's fair to say that
there's widespread skepticism," a USIA
spokesman admits.
The proposal has also met resistance
from the academic community. "If the
United States wants to propagate democ-
racy, it should dolt by example," says Prof.
Stanley Hoffman of Harvard's Center for In-
ternational Affairs. Peter Magrath, presi-
dent of the University, of Minnesota, calls
the project "propaganda and hard-sell,"
and notes that, as a means for promoting
democracy, "hard-sell doesn't work."
Jeswald Salacuse, dean of the law school
at Southern Methodist University, calls it "a
mixed bag of things put under one label." "I
don't see that there's any coherent philos-
? $1.7 million for assisting Liberia's ophy behind it," he adds. And Hampshire
transition to democracy. College president Adele Simmons worries
s $10.7 million to support "Centers for that the proposal's tone smacks of "cultural
the Study of the US Abroad." imperialism" and "suggests that our way is
? A $5.5 million proposal to make Ameri- better than their way."
can textbooks available abroad. Most scholarly criticism, however,
? A $1.1 million regional newspaper to arises out of a concern that Project Democ-
serve rural populations in Honduras, Guate- racy will drain funds from the Fulbright
mala, and El Salvador. programs for academic exchange - which,
? Symposiums to help build "positive at- in the eyes of many scholars, have a proven
titudes toward democracy" among third- record at showcasing the values of democ-
world military leaders. racy by example instead of indoctrination.
In explaining Project Democracy, a Sen. Claiborne Pell (D) of Rhode Island,
senior administration official close to its de- author-of the "Pell amendment" passed by
velopment said that it set "a remarkable Congress last year to double the funding for
new tone in our foreign policy" because it exchange programs between 1982 and 1986,
involved "going up front with the advocacy insists that such exchanges must remain
of democratic values." "USIA's top priority." The administration's
The latest effort, be said, began with the 1984 budget proposes $84.3 million for ex-
President's address last June to the British change programs - significantly less than
Parliament, in which Mr. Reagan called for the $135 million which, says an aide to Sena-
a major "competition of ideas and values" for Pell, is needed to meet the 1986 goal of
with the Soviet Union and Its allies. doubling the exchanges.
The President's address to Parliament USIA officials see Project Democracy as
last summer, says this official, was "in a continuation of the Reagan administra-
many ways the most important presidential bon's "Project Truth" - a counter-propa-
speech since World War U" - because it ganda effort of the USIA aimed at combat-
turned away from ".the policy of contain- ing Soviet "disinformation" by providing
ment" of the Soviet Union and toward a pro- tiv views of roc brow
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 _ A For Release 2,0f (1 : 61*1009fl1 R00040
to PAQZ . ; 14 MARCH 1983
Washington MMo@p@Mo
After a rocky first two years, Director
William Casey is impressing profes-
sionals at the Central Intelligence
Agency by the way he is managing the
organization. The word now is that the
staff, highly critical of Casey initially,
would be unhappy to see him leave.
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 Approved For Release 2005//IATW~-00901
No more Mr. Nice Guy, Reagan
By Steve Neal
Chicago Tribune
aides warn chief
WASHINGTON Former Presi.
dent Richard M. Nixon once sug-
gested that Ronald Reagan was too
nice a guy to make the tough deci-
sions in the Oval Office.
When it comes to hiring and firing
people, a growing number of
Reagan's political associates would
agree.
"The one thing I've learned is that
people can get away with anything,"
said a Reagan adviser who asked to
remain unidentified, "and Ronald
Reagan won't fire anybody."
The president's reluctance to fire
people has long been described by
friends and allies as his biggest
administrative weakness. "He's a-
pussycat,"-a longtime friend said.
Until Anne Burford quit Wednes-
day night, senior White House aides
were left frustrated by Reagan's un-
willingness to remove her as ad-
ministrator of the Environmental
Protection Agency.
MOST OF THOSE same advisers
have also urged Reagan to get rid of
Interior Secretary James Watt and
Labor Secretary Raymond Donovan,
both of whom are considered major
political liabilities heading into the
1984 election.
''If the President is running
again," a senior administration offi-
cial grumbled, "then it makes no
sense to keep Donovan and Watt
around."
Reagan, though, is loyal to his
people, especially when they are un-
der attack from the media or his
political critics.
On }Friday, for example, Reagan
scoffed at. reports that even senior
members of his staff thought Bur.
ford should be replaced because she
had become a liability.
"It might be a politica) embarrass-
ment," Reagan admitted at a news
conference. But. he said: "Well, I'm
not that easily politically embarras-
sed. When I know and have faith in
the individual, I am not going to
yield to the first attack and run for
cover and throw somebody off the
sleigh.".
This is how Reagan has operated
from the beginning of his presidency.
In 1981, he ignored congressional
pressure to dump CIA Director Wil-
liam Casey for alleged securities vio-
lations in his law practice. A Reagan
aide, who felt that Casey should have
been let go, explained that the Presi.
dent owed Casey a political debt for
running his 1980 campaign.
LAST YEAR, Reagan stood by
Donovan when the labor secretary
was accused of having'links to or-
ganized crime. A special prosecutor
later concluded that there was insuf-
ficient evidence to indict Donovan.
But when two persons connected
with the case were slain in mob hits,
Reagan's senior aides were stunned.
Reagan overruled nearly his entire
senior staff in the fall of 1981 when
he didn't fire Budget Director David
Stockman for criticizing the ad-
ministration's economic policies in
an interview published in the Atlan-
tic Monthly. Though Reagan was
angered by Stockman's interview, he
refused to accept the budget direc-
tor's resignation.
Watt frequently has embarrassed
the White House with his ill-chosen
comments, his use of public facilities
for private business and his contro-
versial management of the Interior
Department. Reagan, however,
hasn't bought the arguments of aides
who think Watt should go.
REAGAN DID fire Alexander M.
Haig as secretary of state last sum-
mer after running out of patience
with his volatile behavior. Some
Casey
Reagan aides thought the President
should have sacked Haig more than
a year earlier for publicly dis-
agreeing with Reagan.
Richard V. Allen was forced out as,
national security adviser in the wake
of allegations that he had accepted a
$1,000 cash payment from Japanese
journalists for arranging an inter-
view with Nancy Reagan. But
Reagan waited more than two
months before giving Allen the offi-
cial word that he was no longer
wanted.
Reagan isn't the only president
who has had trouble getting rid of
people. Jimmy Carter had his Bert
Lance, Dwight Eisenhower had Sher-
man Adams, and Harry Truman had
Harry Vaughan. All were instances
in which presidents were reluctant to
throw valued aides over the side
when they were tarnished in political
scandals.
"Most presidents have tended not
to be managers," said Stephen Hess
of the Brookings Institution, author
of "Organizing the Presidency."
And, Hess concluded, Reagan's un-
willingness to fire discredited aides
"certainly doesn't give us any great
confidence in him as a manager."
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 Approved For Release 2M51A2/ v14MERQMs0Q JR0004000
11 March 1983
The Panther Pundit
'e've- Been Brainwashed, And
,
The CIA Asks Bi Business To HelpI
the brainwashing. And tharen't hra n_
WILUAM
BOARDMAN
wasnea, men according to Casey's syllogism,
they aren't part of the American people, either
- which certainly explains a lot of corporate
behavior over the years.
FOR rHE vALLEY p d But the big question is, when you get right
WOODSTOCK - You've been brainwashed'
Yes, you have - no use trying to deny it
You've been brainwashed. But you don't
have to take my word for it. I'm just another
victim just like you.
How do I know?
William Casey, director of the Central
I says so, that's hotG'r_
her this week he-spoke at a luncheon for a
bunch of business leaders and told them that
the American people have been brainwashed
on the subjects or guerrilla war in Central
America and nuclear war in Europe. I heard
him say it myself, when National Public Radio
broadcast excerpts of the speech.
But Casey wasn't just crying over spilled
disinformation.
No, he wants countermeasures.
er ment can't teremedy the situation itself. The
government is too "clumsy" to tell its story,
Casey explained. The government also has a
serious credibility problem, he added, without
discernible irony.
This is pretty amazing stuff.
Not only have the American people been
magically brainwashed - he didn't say by
whom, though the implication was clear1
enough - but the American government, the
world's largest, most powerful, and most
expensive government, is helpless, even im-
competent, to do anything useful to improve
the mental health of its citizens. And this news
comes from a cabinet member with access to
the most sensitive information.
I would have thought a revelation like that
would have been front page news across the
country - especially since the head of the CIA
seems to be admitting that the government
headed by the Great Communicator himself
simply can't communicate well enough to be
believed. Even, presumably, if it tells the
truth.
But Casey has a solution.
He told those business leaders that he wants
the private sector to get involved and tell the
true story of what's at stake in Europe and
,Central America. He says business can do this
through their annual reports, employee news-
letters, public appearances by executives, and
so on.
He didn't say so, but Casey clearly implies
that these business leaders aren't brain-
washed, since they've been tapped'to counter
own to it, which business leaders does he
expect to get the; truth into the rest of us, the
great brainwashed masses?
Casey didn't. say in his speech, at least not
in the parts I bard.
So I put my well-scrubbed little brain to the
task of figuring it out for myself. ,
The mass media obviously can't help, or we
wouldn't be brainwashed in. the first place.
Besides 'they're already over-committed to
hyping their own subsidiary products and
serving as CIA cover.
The :computer industry might be a logical
choice, but they're all tied up in knots assuring
us their little VDTs (video display terminals)
are perfectly safe for chronic exposure to their
low level radiation, and certianly they couldn't
possibly be responsible for the eye damage,
headaches, sterilization, or miscarriages show-
ing up in Canadian research. Label that more
propaganda: .
.Steel industry's out because it can't tell the
truth about acid rain, much less deindustriali-
zation, and the appropriation of capital to
acquisition rather than renovation. Of course
those could catch. a lot of companies, so we
better not use it as a criterion.
How about the oil industry, since it always
has the consumer's best interests at heart and
never lies about price gauging?
The tobacco industry because it's tried so
hard for so many years to get us to stop
smoking cigarettes since they give us lung
cancer?
The automobile industry because. they al-
ways put safety first?
The chemical industry, because they never
put any chemical into the environment until
they know it's completely safe for human
beings and every living thing?
The drug industry, because they never
market undertested drugs that could possibly
harm anyone, not in a million years?
The power industry, since they're even
better than the steel people on acid rain, and
they're even better than that on nuclear
power?-
This doesn't seem to be working. What
about individual companies? Of course not
counting the more than 400 corporations that
have already confessed to making bribes;
kickbacks, payoffs, illegal campaign contribu-
tions, and the like - both at home and abroad
in recent years. Of course that's a list that
includes Lockheed's multi-million dollar brib-
ery penetration of the Japanese government,
Got~vr.~
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 Approved For Release 2005/12/23 : CIA-RDP91-00901 R000400090002-6
oz.
but what about - picking. more or Tess -other huge corporations Who did good business
randomly through my files - with the Nazis throughout World War II, with
$0 Manville Corporation, for its steadfast formal permission from the U.S government
suppression or denigration of .the dangers of under The Trading with the Enemy Act. The
asbestos for over half a century, while it made ? same secret, sometimes tacit arrangement
billions of dollars as workers, died - and now, also allowed Ford to make military cars and
in sound financial condition, tries to. use the trucks for both sides; Standard Oil to provide
bankruptcy laws to protect its profits from the oil for both sides, while losing fewer tankers to
claims of more than 15,000 asbestos victims. Nazi U-boats; Chase Bank to handle Nazi
r United Brands, a.k.a. United Fruit, for accounts in occupied Paris throughout the
its devotion . to property rights in Central war; SKF to supply the Nazis. with ball
Ameri,a bearings, even when the Allies were in short
r Textron, the popular defense contractor, supply; and I.T.& T. to improve the accuracy,
currently " making more millions slipping- of Nazi. V-1` and V-2 rockets which blitzed
around the US. embargo of military aid to London, and to build Focke-Wulf fighter -bom
'Guatemala, by selling the government there hers which attacked Allied troops.
commercial helicopters easily converted to Since Casey was in the Office of Strategic
military use. Services (OSS) during World War II, serving
r Eli Lilly, for suppressing information .on as director of economic intelligence, he must
Oraflex-related deaths in Britain, when it have a pretty good idea which business leaders
marketed Oraflex in the U.S. are best at counter-brainwashing. ~
r International Telephone and Telegraph But will that make us any happier thail
(I. .& T) for buying a covert war against facing history without illusions?
Chile's labor unions and democratically- : And besides, who does your truly world
elected President Allende.
And so on,.
But I.T.& T. brings some old friends to-
gether. Remember the good old days of
Watergate, when Howard Hunt was wearing a
red wig in his pursuit of an I.T.& T. flak who
knew something about the company's alleged
secret payoff to the Nixon people? Well, there
were 34 boxes of internal I.T.& T. memos
Congress wanted to see, but they were in the
possession of the Securities and Exchange
Commission whose chairman, William Casey,
wouldn't give them up. To protect them from
Congress, he turned them over to the Justice
Department.
But then I.T.& T. was one of a number of
class brainwashing these days? The same day
Casey talked to the business leaders, Fidel
Castro was telling the Conference of Non=
Aligned Nations that the United States was
responsible for the War in Afghanistan! Not to
mention black holes, the polar ice caps, dust
balls, and bad breath, no doubt.
Truth is not the either/or proposition the
cold warriors on both sides would like to make
it.
Asked to choose between the adder or the
scorpion, I'd just as soon not, thanks.
VALLEY NEWS columnist William Board-
man of Woodstock is founder of the Panther
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 Approved Fors Release 2005/12/23: CIA-RDP91-00901R0
AE I CLE APPEA E7
ON PAGE C - }-~ WASHINGTON TIMES
11 MARCH 1983
investigation
Sen:Alfonse D'Amato on a possi-
bkk.-cover-up of the attempted
assasination of Pope John Paul IL'
Sen. Alfonse D'Amato, R-N.Y., recently
returned here following a visit to
i Rome as part of the Helsinki
Commission. While in Rome, he
discovered that information regarding
the attempted assassination of Pope
John Paul II was never. forwarded to
investigators in Rome, even though
D'Amato says he gave that information
to the CIA in October 1981. This
apparent negligence on'the part of the,
intelligence community prompted
-D'Amato to criticize publically the CIA
for its handling of the matter, even
suggesting that they may in fact be
trying to cover up the truth for their
own purposes.
The senator was interviewed by
Washington Times columnist John
Lofton. -
Q: Sen. D'Amato, you charged the
CIA, which is our intelligence agency,
with covering up the facts in the plot
to murder the pope. What is your
evidence to support this very serious
allegation?
A: I think what we find is a total
lack of dedication in ascertaining the
facts so that the public can make an
informed judgment.-In addition, we .
find in many instances misinforma-
tion that has been given out by various
intelligence sources - the kind of
information that has proved to be very
discouraging to the Italian govern-
ment and to those charged with carry-
ing out this investigation.
Q: You, in effect, said that the CIA
was engaging in a campaign of
disinformation. What kind of disinfor-
mation?
A: Well, for example, when certain
intelligence sources are used by the
national media as their sources for
indicating that Agca, and his reliabil-
ity - Agca being the young irk
who attempted to assassinate the pope
- that he was mentally deranged
and that information is attributed to an
Q: Could you give us some more .
specifics?... what has the CIA not done
that It should have done and what
would be. an example of where, in
addition to what you just said, the
agency has put out information that
was erroneous? Why in the world
they want to cover up this crime.? :. 3
A. Well, again, I don't believe that i
it's the official position, I don't believe it's the position that comes from,' -
let's say, CIA Director William Casey.
I've spoken to the director and I am
convinced of their good intentions but
I think we have certain operatives in
the field who have engaged in this kind
of speculation with respect to the.
integrity of the Italian investigation'
and I could give you a number of
instances.
Q: You, in effect, accused Casey of
at least being negligent or not pursu-
ing these leads you say exist. You -
also met with him. How did you get
along after making that allegation?
A: Well, I think that the director is
doing all in his power at this time. I
came away with a sense that this
matter has been discussed at the
highest levels. I also understand why
the CIA may not want to be out front.
I don't believe that it should.
Q: But wasn't he ticked off at your
allegations at that he basically was
doing an inept job?
A: Well, I think that there are people
out in the field who have done a
less-than-adequate job.
Q: I don't understand why any CIA
employee would try to cover up informa-
tion dealing with what is arguably
the crime of the century.
A: Well, let me give you a couple of
facts that I ascertained and that deeply
distressed me. I found out, for
example, that there was not a high
priority assigned to this particular
matter, that indeed, there were, for
example the exportation of atomic
weapons, etc., was higher, that the
Libyans were higher, that the trans-
fer of technical equipment was assigned
a higher priority, for example.
Q: Didn't I see you quoted in the
newspaper as saying that there was just learned - talk about ineptness -
an official at the Rome embassy - a that that information I gave to cer-
5M.26Afdi12423vb F2GlRMt-00901 R0004Q0MQ1 Ps4ere had never been
there wasn't one CIA person working transmitted to ascertain the truth or
intelligence source, CIA source
that provokes, No. _RM"
tion within the Italian intelligence
community and obviously begins to
on this case? Can that be true? falsehood of the information to the
Tnnnlo in to fin1A in Rnn,o
A: That's correct. And that is true.
And, of course, now they say well,
you really didn't understand what he
said. That really there were seven
people over there. He told me --
quote-unquote - we don't have any-
one specifically assigned. All of our
agents have their ears to the ground.
But I think more shocking is the fact
that here, at this late date, they
cannot - the CIA cannot - determine
whether or not Antonov, the Bulgarian
who was arrested, was an agent or not.
Now that is ludicrous. For us not to
be able to form an opinion with respect
to this Bulgarian, with respect to his
activities, whether or not he was an
agent? That that question would, still
be in doubt is something that I find
hard to believe.
Q: You met with National Security _
Adviser William Clark and what did
he say about all the things you've said
in the press as well as here?
A: I went even further with the
.judge. There were certain matters
which I have not revealed to the press_
- information that we were-able to
gather from various... .
Q: You don't want to do it here?
A: Well, no, I'm afraid if I wouldn't
do it before, I certainly wouldn't do it
now but I did.
Q: Well, that's a silly rule, Senator,
I mean you. could reveal it with the
others, no problem with that... You
ought to be dogmatic, really.
A: Let me suggest to you that there
also has been an attempt to say that
I've looked to capitalize on publicity
with regard to this matter and I say,
let's look at the record. I came into
possession of information which indi-
cated a possible motive back in
October 1981.
Q: This is when you went to Rome
and met with Vatican officials?
A: When I went to Rome, I met with
certain Vatican officials..I did not
make that information public. I did
not go to the press: I did not hold a
press conference. I gave that informa-
tion to the CIA. And I have to admit to
you, I was deeply distressed when I
 Approved For Release 2OQ tf i 4
Mr. Michael Lehmann
Editor-in-Chief
Common Sense
Box 4521
Brown University
Providence, RI 02912
10 ?BAR 1983
I am greatly honored that you asked me to serve on the
Board of Advisors of Brown University's new publication
Common Sense.;-,_
As much as I would enjoy serving as a board member, it
would be inappropriate so long as I serve in a public
office. I am sure that you can understand this position.
Thank you again for the opportunity. I am sorry I am
unable to accommodate you, but wish you all the best for the
future of your publication.
`t/s/ ti d i am J. Casey".;
William J. Casey
Director of Central Intelligence
STAT
STAT
Sincerely,
Distribution:
Orig. - addressee
1 - DDCI
1 - ExDir
1 - D/OEXA
1 - DD/OEXA
1 - ER 83-0902
1 - OEXA 83-0225
Ap-provek brk se 2 '12/23: CIA-RDP91-00901R000400090002-6
1 CEW chrono.
1 - PAD hold
 V
Approved For Release 2005/1,41g:~C fA# Dj9 %O9
9 March 1983
;;ASINGTON
AN AP NEWS ANALYSIS - WASHINGTON TODAY
BY BARRY SCHWLID
Americans like Canada, Pope John Paul II and keeping military spending about
where it is. They don't like the Soviet Union, the Ayatollah Khomeini and
they're not wild about sending U.S. troops to El Salvador.
Its fact, if leftist guerrillas appeared on the verge of victory in the
Central American country, only 20 percent would send troops and 11 percent
weapons. Twenty-nine percent would try to negotiate and 18 percent would favor
doing nothing.
These findings, in a survey sponsored by the Chicago Council on Foreign
Relations, suggest President Reagan and his policy-makers face a long uphill
climb if they intend to stake U.S. prestige and manpower on the Salvadoran
struggle.
Vietnam may not be an apt comparison, but the sad J.S. experience in
Southeast Asia still apparently acts as a restraint on extensions of American
power overseas.
And 'et, if Western Europe, japan or Poland were threatened by Soviet
invasion, Americans would be far less reluctant to send U.S. troops. Sixty-five
percentt would try to rescue Western Europe, 51 percent Japan, and 3i percent
Poland.
If the Arabs tr Ied to cut off U.S. oil, 39 per cent would favor armed
:r::erventio;, or if they invaded Israel, 30 percent Would step in, even though
Prime Minister Menachem Begin'S popularity slipped badly since the last poll in
So, Americans by no means have retreated to pre-World War Ii isolationism.
Th v are :.ar y of overseas ventures. but they are true ` ~0 long-term
g CGi?lr'i i;.F+ent5
47 -_lresist Soviet eXpansion.
Trey trEat the communist threat in different yr,
countries i I t h varying degrees
of seriousness. only in the case Cf NeXice did a maJCr4ty _ 61 percent Say
that a communist victory through a peaceful election Would be a "great threat"
to tiiC United .tate5.
William, Casey' director of the Centra
f 1 Intelligence Agency, readily
acknowledges that the Reagan administration has been losing the struggle for
public opinion or, El Salvador.
According to Casey, Marxists in Central America have "mounted a propaganda
program that has a large part of the American public brainwashed into believing
that what's happening down there is just innocent peasants seeking their
rights."
Without commenting on the survey directly, the CIA director said "we don't
know how to go out and explain what's happening, explain the situation from our
viewpoint. The government is a little clumsy at that."
L l 1~~~~ v~L.y
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 Approved For Release 2005/12/23: CIA-RDP91
ARTICLE APPEARED
ON PAGE R 2
WASHINGTON TIMES
9 MARCH 1983
SOCIETY /
Steve Hamnwns
Last Thursday evening, Moroc-
can Ambassador Ali Bengelloun
rolled out the royal red carpet for
Society - recreating the scene in
Rabat.
The stellar guest list included
former secretary of state Alex-
ander M. Haig, USIA director
Charles Wick, CIA director Wil-
liam Casey, Secretary of Com-
merce Malcolm Baldrige,
President of the Export-Import
Bank William Draper, and Secre-
tary of the Army John 0. Marsh:
Conversation was mostly
apolitical, although Haig
described the dinner'held last
week for Admiral Hyman Rick-
over (which featured Presidents
Nixon, Ford and Carter) "almost
like Alice in Wonderland."
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 Approved For Release 2005/12/23: CIA-RDP91-00901R
fi I C:JE APPEARED
ON PAGECHRISTIAN SCIENCE MONITOR
9 MARCH 1983
The news briefly
CIA beefs up operations
in countries vital to US
Washington
The CIA has strengthened its intelli-
gence-gathering operations to assess
instability in countries vital to the US,
Director William Casey said Monday.
Among the countries watched are
Egypt, Saudi Arabia, Pakistan, and
Mexico. ,
The same day, the White House an-
nounced guidelines making it easier
for the Federal Bureau of Investigation
to monitor domestic terrorist groups
and political dissidents advocating vio-
4ence. The rules, which take effect this
,
month, would allow the FBI to rribnitor.
activities of such groups even If they
were inactive.
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 Approved For Release 2005/12/23 : CIA-RDP91-00901
PEUTER
8 MARCH 1983
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L.F, E FELA111EDD FORMER PF.E IDENT CARTER AM014G OTHERS FOR THE
tr_T THAT THE i_iiflTED 6 RTE: WAS ILLPR:.EFRRED FOR THE LHPH
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i . F-.GE tivtfT~iT.It~it ELiis.=i'ii~ ii Ei"iC~SLi
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 Approved For Release 2005/12/23 : CIA-RDP91-00901 R0004000900021
i C ! i ii tlc' - l ERL TWO Fig TORS TJIE
E L r . i j _ . ! 'S E #?, fi'*0 141,?:1 4t; _? ii i9L c I E iIs ?~? fin
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THE** r r i s tsar.
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s. !:F l= :'TIli E:ELF U. _i ! THE . L?i ! _ U:1 "An~stiAt E
N!". Ii E:- 114 !!':L rF.S: AI_!t: GF.E::' r1rrh!r??.c1451 ! P. Lrrnr.sa: -- r r
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Z- i .6 I_
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 V
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CHICAGO TRIBUNE
7 March 1983
It's really Project Gobbledegook.:
But the first language of Charles-Z. Wick, director-... have seen," and of one that it would "illustrate and.
of the U.S. Information Agency, who would run it, is, flesh out what the symbolism is.*'
gobbledegook. The foggy, foy dew of his prose; Tsongas took Wick on a tour of the minefields he
about what "PD" is and isn't has left the Senate: must tread. He asked if the Central Intelligence.
.Foreign Relations Committee as confused and suspi Agency is "still involved" in the program. Wick
cious as when he began. ? assured him that "they will never be involved : -
'T should like to apologize for any -ambi and then volunteered that CIA Director William V
have been introduced he said after eie several'. aPosey had -sat in on early discussions "because -be:
.
particularly befuddling passages about "coordinating 'has a very important job to do, just as you and yours
the information and sensitivities ... to implement' colleagues in Congress do.'". i
various communicawens and approaches to assist the Tsongas also asked about .a USIA grant of $190,000 i
infrastructure of the legal,, business and religious to Ernest Lefever, the, hard-right conservative who;
communities," was Reagan's doomed choice as .director of our.
The members were friendly to Nick, who isa :.human rights policy. Wick said that rejecting Lefever
person. of obvious good will and good nature, but' would have been "reverse McCarthyism." He none--
school was but when he :wheeled ? out some hue' ' shales, on reading about it in the paper, asked the
organizational' charts that Sen. --Claris Dodd [D General Accounting Office to investigate. He hopes;
Conn.] said "made Rube Goldberg look like a comb: the Probe will "evolve into nothing more than a:
Pte' chip." They were supposed to lay to rest, dispute about judgment."
widespread- fears that the $65 million budgeted for, 'I -don't .believe,,' -wick added, although -nobody;
the, program will be used for the promotion of what:. .had suggested that it was, "that there is anything,.
Sen. Paul Tsongas [D., Mass.] labeled "Project; illegal in that."
Right-Wing Democracy." Sen. Nancy Kassebaum FR__ Kan_l ,;.;
g
an
expensive scheme for promotin.,..a
? the "infrastructures
of demcx~rarv~~ ,,.~ +s,..
v ____?_~, ww.v.-ba. aNY aaac^J,,?,~ __._
that someone who speaks English could explain Ma M cGrO
"Project Democracy' Ronald Rea
an's mur
ds 1?y`
w.u.vu _-"vau,.vu uer wet toe natives need
Directive on Public Diplomacy" seemed particularly health care and basic education more than the:
ominous. It showed an "International political Corn English lessons Project Democracy will offer.
-mittee," which sounded as if its chairman would be; Sen. Charles McC.. Mathias [R., Md.] said the best:
:Yuri Andropov - against whom, the whole effort is way to sell democracy Is to bring foreign students:
directed. , - : here and "turn them loose" to see for themselves.
"In God's name," said the usually long-suffering ! 'Project Democracy, - in its attempt to achieve a
chairman, *Charles H. Percy IR., M.], "who is -really: fence is ~Pt~ Proven programs like the s
inchaxge? cularly - successful Fuibright Scholarshi p ,
"Frankly," said Wick with becoming humility have jam, winca
yielded the matchless political dividend of a
"there is a lot of confusion in the government .. number of highly placed alumni who are-now running;
Perhaps I should not have brought those charts with their countries.
me." He insisted the charts had nothing to do with! Wick a
Pro" Democra thing i reed with the senators about the impor-:
J cy tance of educational exchanges. The father of the ..
Dodd pointed out that right under "International Fulbrights, former Sen. William Fulbri , was invi-.
Political Committee," in the lower left-hand corner, ted to the stand. In totally intelligible terms, he
"Project Democracy" a eered. warned that foreign governments now contributing to
Wick said, "You will have to forgive me, I didn't; -The- program will cut :their donations if it- becomes.
know you were listening so carefully." part of the U.S. propaganda campaign.
-"I wasn't," said Dodd. "I was looking." Wick declined Percy's offer of a shredder for his
Wick obligingly referred thereafter to the charts as I charts. But Project Democracy, unless someone can
"Rube Goldberg maps."' He also said he didn't think j explain it better, seems headed in that 'direction.
some of the projects.s }ould be funded "in );he?way I; >
VIM, U0ftft l Pion 8rnftft! , .
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 F s 901 R
RAEiZ5
All Things Considered
STATION WETA Radio
NPR Network
DATE March 7, 1983 5:00 P.M. CITY Washington, D.C.
Director Casey/El Salvador
SUSAN STAMBERG: CIA Director William Casey said today
that Americans have been brainwashed by the Soviets and their
Third World allies about events in Central America and disarma-
ment in Europe. In an address to business executives here in
Washington, Casey called on the private sector to help set the
record straight.
NPR's Alan Berlow reports.
ALAN BERLOW: Casey pointed specifically to leftist
gains in El Salvador, Guatemala and Honduras. He said part of
the blame for the success of the Soviets and their allies has
been the failure of the U.S. to counter Communist propaganda,
propaganda the CIA Director said has brainwashed large numbers of
Americans.
DIRECTOR WILLIAM CASEY: These tiny little countries in
Central America are able to mount a propaganda program, they're
able to gather in Havana or Mexico City and lay out a program of
propaganda that has a large part of the American public brain-
washed into believing that what's happening down there is just
innocent peasants seeking their rights; and do the same thing in
Europe, where although the wea -- the Soviets have the weapons
deployed and they've carried out their military buildup, they
manage to put the West in the posture of being a threat to the
peace.
BERLOW: Casey's last reference was to Soviet efforts
designed to stop deployment of U.S. missiles in Europe. Casey
said part of the problem in dealing with Soviet propaganda has
been the inability of our government officials to offer an
alternative view.
OFFICES IN: WASst WMS Fq" 4 K20p5/L' RRdE(*-LRD5RIAQ90'lRgMPOV00 ~)THER PRINCIPAL CITIES
470WILLARD AVENUE, CHEVY CHASE, MARYLAND 20815 656-4068
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CASEY: We just don't know how to talk back. We don't
know how to go out and explain what's happening and explain the
situation from our viewpoint. And the government is a little
clumsy at that, and that's putting it quite charitably. On top
of being clumsy, it doesn't have much credibility. The public is
inclined to think that anything they hear from government has
some hidden motive in it.
BERLOW: But if the government has allowed Americans to
be brainwashed by Communists, Casey believes the primary respon-
sibility for countering Soviet subversion and propaganda lies not
with the government, but with the private sector.
CASEY: The word has to be passed through all the
channels that exist, including employer communications and
employee communications and stockholder communications. You have
to use your judgment on it. But that's what I was referring to,
that we just don't know how to contest these propaganda battle-
fields.
BERLOW: CIA Director William Casey.
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 V
Approved For Release 2 ~A Na0q
7 March 1983
WASHINGTON
By DANIEL F. GILMORE
EXECUTIVES
President Reagan Monday thanked 770 business executives who have volunteered
for government service in the event of an emergency or war, and top defense
officials briefed them on national security.
In a videotaped address to members of the National Executive Reserve, Reagan
said the businessmen are "part of a spectrum of civil mobilization programs
that we pray will never be used. Yet good judgment demands that we keep
prepared.
"Thanks again for your good citizenship,'' the president told the reserve
group, which organized in 1955.
The National Executive Reserve was founded in 1967, and the three-day meeting
that began Monday at a city hotel was the group's first national conference
since 1967.
Now administered by the Federal Emergency Management Agency, the executive
volunteers would serve in key government positions in a national emergency.
Defense Secretary Caspar Weinberger, Army Secretary John Marsh and CIA
Director William Casey were among top government officials who briefed the
conference Monday. Other officials were scheduled to speak at later sessions.
In an overall view of U.S. intelligence, Casey said the CIA has improved
from a low point in the 1970s, when it lost 40 percent of its funding and 50
percent of its personnel, ''but a lot remains to be done.''
He said he is ''reasonably confident'' U.S. intelligence would be able to
detect major Sovier military moves and has a ''good capability'' in the Middle
East.
Asked during a question period why the CIA was so ineffective in assessing
the strength of the Shah of Iran's opposition just before his overthrow, Casey
said: "I don't know. I wasn't there. I don't know how good the intelligence
W25.11
But he said U.S. ''policy makers'' were not listening to intelligence at the
time.
''Today, that doesn't happen,'' he said. ''The administration is listening.,,
;G.lZPTEU
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 r
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7 MARCH 1983
1-H1 GT # 3 HFCH i REUTER -- CIh DIRECTOR WILLIAM CASEY
TODAY SAD SOVIET LEADER `URI HNDROPOV MUST RETAIN THE SUPPORT
OF THE f'1ILITAR:Y TO STAY IN POWER.
t
I N ONE OF HIS RARE PUBLIC APPEARANCES, THE HEAD OF THE
Cfl- k6ENTRAL INTELLIGENCE PiGE#4CY SAID THE NEW SOVIET LEADER'S
.F'Q Er: TO AMEND POLICIES DEFENDS ON HIS ABILITY TO BEEP INTACT
THE SUPPORT OF THE COALITION THAT PUT HIM IN POHER:: s
t:t z j'ASEY SAID! THE SECURITY POLICE -- WHICH !NDRGPOW HRD
iLONG HERDED -- AND THE DEFENSE MINISTRY WERE E:EHIML: THE NEW
L ASCE#NDENCY TO THE PARTY CHAIRMANSHIP.
'I ! LEADER OF THE SO, IET UNION HAS A FREE HAND TO CALL THE
=H=ATE AS HE WISHE=S: CASEY SAID,
E MADE HIS REMARKS TO A MEETING OF THE NATIONAL DEFENSE
tXECitTIV'E sE_ERVE! AN ORGANIZATION OF VOLUNTEERS WHO WOULD E:E
CALLED O#r' TO HELP ,MANAGE THE FEDERAL GOVERNMENT IN TIME OF NA;.,
`= Dig HOT KNOW WITH MUCH CONFIDENCE WHAT TO EXPECT FROM
THIS HEW LEADER)" CASEY SAID.
H I LE THE -'OV I ET LEADER HAD DISCUSSED ARMS CUTS AND
CONSUMER REEDS) i 1 O ER THE LONG RUN NR. #3NDROPlO WALL Pt?L1'1?ROL?E.E:Lw:
f
FIND IT POLITA"CALLY NECESSARY TO PLACE A HIGH PRIORITY OH
ATi.?F`i1NG THE MILITARYsj` t;A ET SAID. '?
r.
rtitit9 16, 2 7P:i
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.UNITED PRESS INTERNATIONAL
7 March 1983
WASHINGTON
By THOMAS FERRARO
U.S. HAILS KOHL ELECTION VICTORY
The Reagan administration, with a sigh of relief, Monday hailed the
'magnificent victory'' at the polls of West German Chancellor Heiatlt Kohl, a
key backer of its arms policies.
President Reagan told a group of conservative supporters the election Sunday
was an affirmation of ''peace through strength," according to Sens. Jeremiah
Denton, R-Ala., who was among those who met with the president.
Vice President George Bush told a cheering conference of the Veterans of
Foreign Wars that Kohl won a "magnificent victory. 11 He indicated it would
bolster the U.S. position at arms talks in Geneva.
CIA Director William Casey told reporters after addressing a business group
that the election of Kohl's conservative coalition was ''very encouraging.'' He
said it offers ''a much better climate to deal with'' than the Social Democrats,
who had accused Kohl of seeking a mandate to place U.S. medium-range missiles in
West Germany.
The State Department said the United States looks forward to continued close
relations with Kohl's government.
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ASSOCIATED PRESS
7 March 1983
WASHINGTON
By BARRY SCHWEID
AMERICAN ATTITUDES
Twenty percent of the American public would support the use of U.S. troops if
leftist guerrillas appeared on the verge of victory in El Salvador, while 18
percent would favor that the United States do nothing, says a poll released
Monday.
Most who had an opinion on the question, 29 percent, would favor trying to
negotiate a solution.
And yet, a communist takeover of the Central American country through a
peaceful election was viewed as a great threat to the United States by 21
percent of the Americans polled between Oct. 29 and Nov. 6, and another 43
percent agreed it would be "somewhat of a threat."
These are among the findings in a survey of American attitudes on foreign
policy issues, sponsored by the Chicago Council on Foreign Relations. It was
conducted by the Gallup organization.
CIA Director William Casey said in a speech, meanwhile, that Marxists in
Central America have "mounted a propaganda program that has a large part of the
American public brainwashed into believing that what's happening down there is
just innocent peasants seeking their rights."
Casey, addressing a conference of'private executives, acknowledged that the
Reagan administration has been losing the struggle for public opinion.
"We don't know how to go out and explain what's happening, explain the
situation from our viewpoint," Casey said. "The government is a little clumsy at
that."
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 irc F s 1 R00
RAE, IN
PROGRAM CBS Evening News
STATION W D V M- T V
CBS Network
DATE March 7, 1983 7:00 P.M. CITY Washington, D.C.
Director Casey Comments on Deployment Issue
DAN RATHER: Political rejoicing in West Germany.
Political reappraisal in France. Those were the chief reactions
today after the elections in which the right decisively pounded
the left.
Tom Fenton reports the results may have far-reaching
effects in Western Europe, beginning with missiles and money.
TOM FENTON: The results of national elections in
Germany and municipal elections in France caused a wave of buying
on French and German stock markets. Both elections were fought
on mainly economic issues and both were defeats for the left.
In France, the conservative parties that were defeated
two years ago in national elections by the Socialists and
Communists won over 51 percent of the votes. in Germany, the
average voter saw the conservative Christian Democrats' landslide
victory as a vote of confidence in Chancellor Helmut Kohl's
economic policies. Business confidence in the German economy
will now improve, and investment in industry is expected to pick
up. Germans also hope for some improvement in the highest rate
of unemployment since World War II.
But the most important issue, as far as the United
States is concerned, Was not the economy, but the missile
controversy. Chancellor Kohl expressed his determination to go
ahead with deployment of new American missiles if arms talks with
the Russians fail.
From Washington's point of view, this election produced
the best possible result. The prospects now are for a stable and
moderately conservative German government that is firmly
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committed to NATO. Kohl's resounding victory will give his
government the strength it may need to carry out the deployment
of new American nuclear missiles in the face of domestic
opposition.
In Washington, the Administration was pleased.
DIRECTOR WILLIAM CASEY: I think it was very
encouraging. Very encouraging. I don't think -- I don't think
it means all the problems with the deployment are over, though.
There's still going to be a lot of problems. But I think we have
a much better climate in which to deal with them.
FENTON: A major problem will be the Greens, a radical
new anti-nuclear group that won over five percent of the vote and
27 seats in the new Bundestag. The Greens warn they will
organize strikes and demonstrations, risking their lives if
necessary, to block installation of the missions.
PETRA KELLY: We will try to have -- to make initiatives
so that people will have more freedom to make non-violent action
on the street. And we, as members of the parliament, cannot risk
less than the people out on the street.
FENTON: Tonight Kohl began a series of meetings with
political leaders to form what should be one of the strongest
and most stable governments in the Western alliance for the next
four years.
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 Y
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ART'xt* .- ,,,'"~" U
CHICAGO TRIBUNE
O PAGE ;" 6 MARCH 1983
fuel_project corn
big budget
Critics
tenaive-
[SFC], the fed%%6g, *ency intendde'`cy abolished. This is the first-of.
to free the natim the whims of two stories,- by Tribune Washington'
oil sheikdoms. ~: . _ ? correspondent James_O,Shea on the
Weary of being vulnerable to oil- government's efforts to start -a syn-_
producing Arab `nations, Congress in thetie fuels ?industry.
,1980 authorized more than $80 billion
in federal loan and price guarantees {
for the SFC and tflld it to start a new Despite its' billions _in federal
industry-one to convert the -nation's, guarantees, the closest thing the SFC
vast oil shale and coal supplies into has to a synfuels plant is a proposal
fuel to power America. : to make a gasoline-'enhancer from a.
But in the 21/z years since its birth ; huge peat bog owned by Malcolm
the SFC ha 't b
sn
WASHIN(T' jT ~Z'here' aren't created -in 1980 to lead the nation.,
many federal agencies- -.nowadays toward energy, independence; Js
that are having a hard time "-tin awash in -money with few places to
their money a ra bar" spend it.+its proponents are deter-
Yet that is 1 fT appenin at mined to fund some projects soon.'
.
Chicago Tribune 'The U.S. Synthetic Fuels Corp
een able to fund a
single project.
CITING SOARING plant costs and
!depressed oil prices, energy compa-
nies have turned their backs on the
proposed subsidies. Meanwhile, the
SFC, under congressional pressure
to spend money before someone
takes it away, has `created an
"outreach" program in which SFC
ping magnate. The plan is backed1-1*1
by
some -prominent Republican inves-
tors, including William Casey, direc- t-
tor of the Central Intelligence Agen-
cy-
My "biggest problem with the SFC
centers on what kind of criteria it's'
using when it picks harebrained pro-
jects like a peat plant as opposed to
[a technology] that offers some po-
many and throughout the United tential and would justify spending
Etaxpaye
taxpayers' money," said-Charles:
States trying to-drum up business. theb
ro
ger, associate director of energy,.
studies at Georgetown ,University's;
Center for Strategic and Internation-`~
al Studies.
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 Approved For Release
cx.~
.. _Pll< IS ~~j .
a bigger role in.
central America
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PHILADELPHIA INQUIRER
6MARCH1.983
Reagan powder
--_-__.._ new look at the secret war" against
By Alfonso Charily This rundown of proposals before Nicaragua because it is not achievin
Inquirer N shrnsion , .eau Reagan "and high-ranking members .. its g
purpose of halting the flow of
WASHINGTON - The Reagan ad- of his administration was obtained nrcaraguan arms to the Salvadoran /
ministration - is approaching some through interviews -with govern- rebels. "Tons and tons of munitions J
crucial decisions that could widen merit officials and military -officers, - are being flown, in from Nicaragua,"
American involvement in the war in as well as, from the testimony of Enders told Congress. CIA Director';
El Salvador and ..in. the anti-leftist administration witnesses before con'- William Casey reportedly has pro-
i essional anels -
C
l
i
r
or
J
part of the
or anywhere else in the area, sources say. Presidential review is a
The new, broad review of U.S. policy in Central
America is based on a determination to prevent
a triumph by leftist insurgents in El Salvador
- -- _ --- --- least Si million more-itr milita bald
More military aid and, ibl b` =ng'Americanized,"'said Neswr rY
P b
y. Sanchez, deputy assistant secretary for Honduras this year for additional
-some U.S. advisers for Guatemala, Ira and communications
which h and additional i etd s iii i r ~ . - t O~Q ~ n ract 'the Nicaraguan
surgents, which aid for Non- - away, and El Salvador is a contiguous military buildup. There now are
dares, which is worried about a Nice=
raeuan huildtm nn its harder " region right- at our doorstep. 1 won- about 100 US. "military advisers in
.
according to high-level administra-
tion officials.
President Reagan and his top ad-
visers are in the midst of their broad-
est review of US. policy in that re-
gion. Informed government officials
say the mayor options. before -them
include:
? More aid and military advisers
"for El Salvador in that nation's con
tinuing war against guerrilla forces,
and the bringing of more Salvadoran
troops to this country for training.
Last week . the . White House an-
nounced that the number of advisers
would be increased to the self-im-
posed limit of 55.
? The assignment of American ad-
visers for the first time to El Salva-
dor combat zones, but with orders
not to engage in the fighting.
? More money for the covert US.
operation against Nicaragua, where
the-Sandinista revolutionary regime
is trans-shipping arms from Cuba to
the-Salvadoran guerrillas. The mon-
ey, supposedly for use in interrupt-
ing the flow of Cuban weaponry,
would'. go to the anti-Sandinista
fry-,-n? fi ,htino neninet th
' Nir-nra.
effort throughout
entra
Amer
ca,
?
P posed increasing the funds for the
Reagan met late last week in Cali- operation, and perhaps widening its
fornia with Defense Secretary Ca- scope to deal with the flow of air
spar W. Weinberger and Secretary of supplies. Capitol Hill sources say he
State George P. Shultz for an update may have asked to double or triple
on the five-week-old review. Larry the amount of US. funds for the anti-.
Speakes, White House deputy press Sandinista guerrillas. Last year the
secretary, warned reporters "not .to United States spent between'S1.S mil-
look for. decision" about El Salve- lion and S3 million for such aid.
dor immediately. Last month. Sen. Patrick: Leahy (D..-
Some administration sources said ' V t,) asked Fultz"if 'the a3rriiijifj'a "
the review of U.S. policy was based ion would still comply with congres-
on a determination to prevent a try- sionai restrictions on the covert op.
umph by the leftist insurgents in El eration, and Shultz replied, "Yes; sir.
Salvador , or anywhere in Central = without reservations." Those result-.
America because of that region's lions preclude overthrowing the Nic-
strategic importance to the United araguan government or provoking a
States. war between Nicaragua and Honda
Critics of `US: policy fear, despite : ras. -'EL SALVADOR
administration denials, that the na- Last year, the administration re-
tion is witnessing the birth of a new quested $61?.3 million in military
Vietnam. But even some officials funds for El Savdador. but Congress
who shudder at the Vietnam analogy stashed the amount to 526.3 million.
say-that El' Salvador is:more impor- Weinberger. Sold Congress three
rant to the United States than Viet weeks ago that $60 million more
nam ever was and. that Americans should be spent to help El Salvador
should be prepared to defend it from buy more ammunition, combat hell-
a leftist Yakeovar.? ? - ;?._ . ? copiers and communications ear.
g
er
"We understand the.-, n
c
n
der how. many of us stop to consider
that San Salvador is closer to Wash-
ington, D.C., than is San Francisco,
California."
Administration aides have infor-
mally nominated Kirkpatrick, San-
chez, Weinberger and Clark as the
hard-liners pushing for a wider U.S.
military involvement in the region. ?
They classify Enders and Shultz as
relative moderates who agree that
more military aid is needed but-that
El Salvador must be encouraged or
pressured into social, economic.and'
political reforms in order to create a
climate for reconciliation with the -
left. -
The specific proposals submitted
for the review remain classified, but
congressional documents and inter-
views with.-US. officials give this.:
country-by-country picture of some $
of them: ? - ;
NICARAGUA
Congressional sources say a maj
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LOUISVILLE COURIER-JOURNAL
.4 March 1983
' Memo', to CIA: Hush, fellows .
WHEN RONALD REAGAN came to
office promising to beef up the Central
Intelligence Agency, a lot of folks here
and abroad. assumed. that meant more
covert operations - "dirty tricks." But
lately the CCIA'sdirty tricks have been
mostly at the expense of Reagan ad-
ministration policies and assumptions.
In January, -the CIA delivered to
Congress' a study that "claimed the. So-
?viet economy was more self-sufficient
.than those of almost all other industri-
al nations. That conclusion seemed to
undercut those in the administration
who wanted sharp curbs on Western
trade with the Russians, "such as that
controversial Soviet . na al gas pipe-
line to Western 'Europe.
Now, according to' The New York
Times, CIA analysts believe that earli-
er estimates of the Soviet military
buildup were exaggerated. They think
the Russians have, been increasing
military spending ' by only 2 percent
annually since 1977, instead of the pre-
viously estimated 3 to 4 percent.
The Pentagon's own intelligence arm i
disagrees - and no wonder. The new
CIA view, if widely accepted, might
cause Americans to wonder why the
U. S. ' is increasing defense spending 9.5'
percent this year over last -while the
Russians are slowing the pace.
Who's running the CIA anyway? Has
'director William Casey lost his grip, or
- horror of horrors - could be be a
KGB mole? Stay tuned. This one could
be juicier than the mess at EPA.
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 ARTY=
ON FAQ;
WASHINGTON TIMES
l. MARCH 1983
.
ARNOLD BEICEMAN
Does the CIA know
what it's talld" g about
":..The only experts on the Soviet and intentions and strategic weap-
Union are those who sit on the PoIit- onry and over-all military effort."
buro in Moscow. The rest of us have
varying degrees :of ignorance:'
Malcolm Tbon, former U.S.ambas-
sador to the U.S.S.R .
"Estimating is what pou'do.when.
Intelligence Estimate
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New York Times about the that-,have equalled U.S. accuracies, What Rosefielde has doneln abril
Central Intelligence Agency -- had been estimated by American- lianttechnical andstatisticalanaly- I
page-one story inyesterday's have already been achieved -- and annum!",,
dently targetable re-entry-.vehicle roughly 10 percent per annum, while
(MIRY)program Evenmoreimpar- theagency putthe#igurevariously`
tantSovietwarheadaccuraciesthat between 2,.and 4.5 pereent'pet- I
and the Soviet'arms buildup could, intelligience to be unobtainable by sis is to demostrate the inconsis-.
if true, help make mincemeatof the Moscow before the mid-1989s:',- - tencies' in CIA estimates of Soviet
' Reagan administration's- defense' ?.` < How could such mis-estimates production costs, inconsistencies
budget. Unnamed CIA specialists, 'have 'happened, not only: under which arise from a CIA methodol--
according to the story, claim the Democratic but also under Republi- ogy which "systematically under
Soviet military spending growth rate can administrations, right up to the states technological growth and
has been over-estimated for the last. present Reagan presidency? , biases the agency's estimates
six years: Ellwsworth and Adelman,. who downward:'
Instead of a 3-to-4 percent annual awaits a Senate vote on his nomina= Untilt resident Reagaaper'siiades`
increase, corrected forinflation, the lion as Reagan's arms negotiator, the CIA to adopt his view of Soviet-
growth rate "may have been no more said that the source of the problem intentions towards the U.S. and the
than 2 percent," the Times reported... lies "within the bowels of the intelli- Free World, estimates of Soviet mill=
It went on to say that estimating. gence bureaucracy itself." - ' tary spending will be subject to all
Soviet military spending "is an inex- American intelligence "has long kinds of anti-defense propaganda.
act art, based on incomplete infor- been stultified by the domination of CIA optimism about Soviet inten-
matron, subjective assumptions, and a clique," which has prevented the tions leads to one kind of interpre-
difficulties in translating Soviet upgrading of the National Foreign tation, Reagan's. pessimism or
ruble costs into dollar values?' Assessment Center. CIA Director realism about Soviet intentions
The real story about CIA's analy- William Casey has tried to do some- . demands a different kind of inter-
sis and estimates branch is that it thing about it by involving himself pretationaboutSoviet armsexpendi-
has had a dismal track record esti- personally in the National Intelli- tures.
mating the growth of Soviet mili- gence Estimates machine. But it has Alexander Solzbenitsyn 'recently,
tary power. It has systematically taken a long time to, take even the.. wrote in National Review that "We:.
discounted Soviet military expen- first step. -would understand nothing about
ditures. CIA analysts also were The real bombshell which could communism if we tried to compre-,.,
wrong in their predictions about the.. destroy-the CIA methodology for hend it on the principles of human:.
stability of the shah of Iran's estimating Soviet military procure reason. The driving force of com .
kingdom, right up .to the. shah's, ment expenditures has just gone off. munism, as it was devised by Marx,
downfall. It is a recently published book, False is political power, power at any cost
I am no ' admirer of President Science: Understanding the Soviet and without regard to human losses
Carter but he was surely correct _Arms_Buildup, by..Prof.. Steven ? ,.orapeople'sphysicaldeterioration.'
when he sent off a handwritten memo Rosefielde(Transaction Books, 1982) In estimating Soviet-.military
to his top security advisers in 1978 published under the auspices of the _ expenditures, the CIA might be well
which began: "I am not satisfied National Strategy Information' advised to base its conclusions on'
with the quality of political intelli- Center. what, perhaps, we might call Sol
gence:' The preface to Rosefielde's book ' zhenitsyn's Law.
In an article in 1979, Robert is by Patrick Parker, who was dep-
Ellsworth and Kenneth Adelman uty assistant secretary of Defense " Arnold leichman, a .Visiting',
described in Fore Policy "stag _ p e lig e de Sch lar the Hoover Institution; is
`Beginning in tpe 1960s," said the
authors, "the CIA embarked upon a:_
consistent underestimation of the
Soviet ICBM buildup, missing the.
mark.hv,a wide margin::Its esti-'
on the law side. In the'niid-1970s, supported by those of most military
the intelligence community, under. intelligence organizations,' indicated
estimated the scaleand effectiveness " that, the real value of Soviet weap-.
of, the Soviet's multiple.indepen- ons production was growing'at
the CIA's estimates-of Soviet weapon,
expenditures were implausibily low
and failed to reflect the rapid quan-
titative and qualitiative improve-
ments which we were seeing in
Soviet weapons systems and techno-
logy.'r"~"'-.tt. - _. .,t.?r?:,.. .
germ ' 6 3 1 , M ea 0 :s 5k tf*ing YJpUUIW.1 1Ii4 tuber of the Consor
15 years, in estimating Soviet forces ernment service, "I discovered that tium for'the Study of Intelligence..
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ARTICLE APPEARS WASHINGTON POST
ON PAGE 3 MARCH 1983
~t,Patrck hi-,Trler~`' ''Committee Chairman Charles H
em `" ''b the:;sena foreign M under'Wick&interpretation of'Pro-
ations'?-Committee yesterdayy ject Democracy the Voice of Amer-
Rel
gan's'$8& million' "Project Democra- Department,'" which Percy said would
cy" proposatl put; a propaganda amount-t tq, a "propagandising of ;
stamp lmsgstanding,~ U.S:-pro VOA.",
lr+A ntf i__~L _._TT_-.3j.....i......n.e~~,r.~ori
acceptance by foreign "governments. "Tsa g (D-Mass )... wick acknowl
how iailtural":and student; exchange Casey had participated ;in: discus- V
r ~- s d '' eciucationat'~ ro - ' Wiclr denied ? that fl the -CIA' would :
Committee members eard%a plea j Vick also acknowledged that as
-from' the-.pan 's for cizairman, part of Project Democracy,. the"',
4h-'. -administration's : short term thmug an intermediary^`.`organiza-
propagaiida~ efforts with long term ttoa tit the Inter-American Press As-
overseas programs such as the stu, sociation because that group's rules
.
p, ' +y" This-would appear to be a rather
olitical tradition
-
p
Fulbright' noted- that 24.~foreign. indelicate attempt' to't launder:
g
iall
-
-- ., -
? - -------- .---
..dent exchange -program that beatsx.Y "There was no thought ' whatsoever;
r o--
-benefited 140,004 persons over three "Charles McC. Mathias Jr: (R-Md)
dam, _ ..~,,: - pointed' out that, according to a
Aithoiugl the..'ulbright exchange chart displayed by Wick-at the hear
A
progra`za isr riot directly tinder Pro- ing; it 'appeared that the USI
transferred out of the program to set effort-in the: United States, an ap-,
progra n `lindei the project' a; com-" requinng the agency.t communicate -
"No 'country will support another Wick promised that would not;,
only a esource" for domestic infor=
-Sa
tion "'.,defended -.the multifac eskea that;Wick return to the pan!
the administration's attempt towage' for Project Democracy. "If you wish
a war of ideas with the.Soviet Union. .. this 'program to survive, you-had bet
"The ideals and values which un ter. _ -establish . some, -parameters J or'
derlie_du. ational pur~ioees~ are-- -behavior. I. can see - what's going to
under.attack o' by ..a %', potent Soviet -----happen- before ? it starts =-this is just .
propaganda and disinformation cam.,-.. -going to be perceived.as a: propagan
~
a
r
da"
gn," he said:" ?,
~J.
.. _ tr..~a--._. :.u.-. ..:3~?. , d.~+ . pL #h~ ...:=~.r..wii~~ 0.+ sal A-
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 Approved For Release ?A@/AACRP91-00901 R0
2 MARCH 1983
Wick Says Justice Move Was Not A 'Credible Decision'
BARTON REPPERT
WASHINGTON
Charles Z. Wick, director of the U.S. Information Agency, told a Senate panel
Wednesday that the Justice Department's recent move to label three Canadian
films as political propaganda was not a "credible decision."
Wick, whose agency runs the Voice of America and other U.S. government
information programs targeted abroad, said he personally would favor steps by
the administration and Congress to amend the 1938 law invoked in the case.
Wick's comments came at a hearing by the Senate Foreign Relations Committee.
Sen. Paul E. Tsongas, D-Mass., said the Justice Department move "has not only
inflamed the Canadians, it has expanded the viewership of those films probably a
thousand-fold."
Wick also was questioned repeatedly about whether the CIA was involved with
the Reagan administration's "Project Democracy" intended to foster the growth of
democratic ideals and institutions worldwide.
Wick responded that "there is no CIA participation contemplated or
presently included ... in Project Democracy."
However, he acknowledged that CIA Director William E. Casey had been
present during early discussions of the project among administration officials.
"He (Casey) has been involved with a broad number of administration people
discussing the overall threats that the United States faces," Wick testified.
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A.l l 1 vL++F
Oil PAGE WASHINGTON POST
1 NAPCH 1983
Joseph Kraft
Impasse
In Central
Am-erica Central America poses a classic
problem of U.S. diplomacy. For rea-
sons deemed "moral," this country, has
made commitments that. far outweigh
its material stake in the area.
The disparity now finds expression
in a? reluctance to pony up the re-
sources required to save El Salvador
from left-wing guerrillas. Meanwhile
there rages inside the administration a
covert battle as to how commitments
might safely be wound down.
The objective interest of the United
States in the six countries between
Mexico and Panama is almost zero.
Guatemala, Belize, Honduras, Nicara-
gua, El Salvador and Costa Rica pro-
vide no important resources. They at-
tract less than half of 1 percent of
American investment abroad. Unlike
the Caribbean islands, they sit astride
no trade routes, and they are not even
a major source of immigration.
The declared American interest. in the
area, however, has been hyped by the
last two administrations. Jimmy Carter
not only joined presidents, Ford and
Nixon in believing the Panama Canal
was best, secured by a treaty giving the
regime of Panama a stake in the local
waterway.- He went beyond that to use
Central America as .a backdrop for ser-
mons against power politics and on he-
half of human rights. His administration
cheered as the Somoza regime in Nicara-
gua fell apart. In its place there came to
power a Marxist group, the Sandinistas.
These promptly teamed up with Fidel
Castro to promote the. guerrilla insur-
gency in El Salvador. '
The Reagan administration made
Central America its prime'testing area
for holding communist expansion all
over the world. It mounted a major
campaign of aid to El Salvador. It
issued dire warnings to the Sandinis-
tas. It fostered in Honduras, Guatema-
la, Costa Rica and elsewhere various
threats to left-win insurgency.
Willingness to pay in money or
blood for those commitments, however,
has been hard to find. The Congress
has held down funds for El Salvador,
and required the local regime to pass
human rights tests every six months.,
The Pentagon, keen to maintain congressional support for appropriai.ions,
has stringently restricted the activities
of American military advisers in the
area. Progress toward the declared ob-
jectives. as a result, has been halting.
In El Salvador; the regime succeeded
in holding elections that drew a large
turnout last It'larch. Hut disunity fol-
Ii awed that success, and there have
been repeated reports of squabbles
among military commanders and
atrocities by government, troops. The
guerrilla forces have regained the initi-
ative, and now goose a serious threat to
the survival of the regime.
Faced with the danger of a military
collapse,' the Reagan administration
became suddenly desperate to increase
military and economic aid. jAt$-`:VWhite
House meeting yesterday., ? the. presi-
dent sounded congressional leaders
about the_:possibility of using-discre-
tionary authority to raise the level of
aid from the $26 million budgeted last
year, to the $ million the adminietxa-
tion has been seeking. =
But there is little.reason to believe -
the extra money-will turn the-tide. For
one thing, there is no sign of political
renewal in. El Salvador. For another,
the Sandinistas'have used the threat of
foreign intervention to tighten their
grip on Nicaragua. With help from
Cuba, they seem. prepared to continue
Viand even widen the guerrilla struggle.
The obvious supplement is a big polit-
ical move. Secretary of State George
Shultz and the assistant secretary 'for
Latin America, Tom Enders, have been
edging cautiously in that direction.
Abundant hints suggest that.they have
in mind a regional settlement., .:
One element would be a withdrawal
oft. all foreign forces, including advisers
from this country, but.also those from
Cuba. -A second would be a limitation
on arms ments--from this country
Wide nets h++~~ve been cast in support
of'that approad~, by Shultz and Enders.
They have backed declarations favoring
a regional,settlement made by Mexico,
Venezuela, Colombia, Panama and
Costa Rica. They have sought help from
various'Ek ropean leaders, including the
Socialist leader of Spain, Felipe Gonza-
lez Marquez, and the pope. But the re-
sponse has been less than overwhelming
especially in Venezuela and Mexico,
where governments experiencing eco-
nWmic difficulties derive some political
benefit from standing up to Washington.
Moreover, the State Department has
had rough going in Washington itself. A'
group inside the administration--in-
cluding William Casey of the Central In. /
telligence Agency; the president's na-
tional security adviser, William Clark;
and Jeane Kirkpatrick, the ambassador
to the United Nations-have equated
.any fobbing off of the American com-
mitment to a sellout of El Salvador.
They have.obliged Shultz and Enders-to
deny charges that State wants to force
the regime in FA ,Salvador to accept the
guerrillas in a coalition government
The outcome of the.internal battle re-
mains in doubt. But my sense is that
Shultz faces an uphill fight.. The odds do
not favor a winding down of the Amer-
ican commitment. A more likely outcome
is a long, drawn-out and steadily widen-
ing guerrilla struggle that can oily
deepen suffering in Central America.
and.from-the Soviet bloc. Third, there '
would be among the countries in the
region an undertaking not to interfere .
in each other's affairs.
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CIit 1 r.;;
1 0:0
ARMED FORCES JOURNAL INTERNATION
The Failure to Defend D
Weinberger and Casey Fail to Strike the Proper Military
by Anthony H. Cordesman and Benjamin E Schemmer
ven in the best economic cli-
mate, defense must compete
with other uses of public funds.
In a major recession, every defense dol-
lar must be shown to be necessary. This
is partly a matter of efficiency and effec-
tiveness: the American people must be-
lieve that their tax dollars are being
spent wisely. It is also, however, a mat-
ter of convincing the American people
that a strong defense is necessary to
meet the Soviet threat. This is not simply
a matter of showing that Soviet forces
are increasing in size and capability, it is
a matter of showing that planned US
force improvements are a well judged re-
sponse to the trends in the Soviet threat.
For the last decade, the Secretary of
Defense and the Director of Central In-
telligence have published comparisons of our Administration.
US and Soviet forces as part of the annu- Somewhere along the line, however,
al budget cycle to support the Press- things have gone astray. As Table One
dent's proposed defense budget. The De- shows, Secretary Weinberger has re-
fense Secretary has explained the moved virtually all of the useful data on
strategic balance, the trend in theater the balance from the Defense Depart-
nuclear forces, the trend in conventional ment's two main defense policy and bud-
forces, and the trends in the NATO and get statements. Even Table One under-
Warsaw Pact Alliances, while the Direc- states. just how much material has been
tor of Central Intelligence has published censored in FY84, or is presented in an
detailed dollar cost estimates of US and inadequate or potentially misleading
Soviet defense spending. form. With almost Orwellian timing, the
These data have shaped the Reagan Secretary of Defense has made "1984"
Administration's buildup of US forces. the year in which the truth about the
The comparisons of US and Soviet balance is missing from his defense of
forces have furnished the essential ratio- the nation's defense budget.
nale for increased defense spending, and
a critical perspective on the size of the
US defense budget and the adequacy of
US forces. Although many readers may
not realize it, most of the statistical and
graphic data that shaped the SALT II
debate, and many of the qualifying
words necessary to give such numbers
meaning, came from the Annual Report
of the Secretary of Defense and the Mili-
tary Posture statement of the Joint
Chiefs of Staff. Virtually all of the data
on the inadequacy of US forces and de-
fense expenditures that President Rea-
gan campaigned on came from these
sources. They underpin' every reputable
work on the military balance and on US
and Soviet defense expenditures.
Omitting the Facts from the
Secretary's FY84 Annual Report
The merits of providing as much data
on the balance as possible should be ob-
vious to a conservative Administration
which won election through its use of
such data, which advocates a strong de-
fense, which now faces a massive defense
budget battle in the Congress, which
faces an even greater battle over arms
control, and which must try to persuade
its allies to maintain their defense spend-
ing in the face of a world recession. The
Reagan Administration seemed to un-
derstand this when it wrote its first se-
ries of defense posture statements.
It published more statistical material that its importance may not be obvious,
on the balance in FY83 than any previ- but it was the only useful source of data
Canceling CIA Public Reporting on
the Soviet Military Budget and
Activities In the Third World
Secretary Weinberger has not acted
alone. William Casey, the Director of
Central Intelligence, has killed the
CIA's annual estimate of Soviet defense
spending. The Agency will no longer
publish its Dollar Cost Comparison ofi
Soviet and US Defense Activities, perhaps
the most quoted work it has ever issued.
CIA reporting will evidently be confined
to the release of selected data to the
Congress and press, although in a form
that will lack sufficient analytic detail
and backup t6 uc canvincing in Inc race
of intelligent questions or criticism. Ac-
cording to an official CIA spokesman,
the Director has done this as part of a
general policy of eliminating all public
CIA reporting on military matters and
Soviet forces.
He has also eliminated the Agency's
annual estimate of Soviet military and
economic assistance to Third World
countries and its reporting on the num-
ber of Soviet military and economic ad-
visors overseas. This information used to
be published in a document entitled
Communist Aid Activities in Non-Com-
munist Less Developed Countries.
The title of this report is so esoteric
on the number of Soviet bloc and Com-
munist advisors in foreign countries, the
number of foreign military trained in the
Soviet bloc, and the size of Soviet eco-
nomic and military aid to Third World
nations. Without it, there is no reliable
source of data on the number of Cuban,
Soviet, East German, or PRC military in
nations like South Yemen or Ethiopia or
on the intensity of the Soviet effort to
target given Third World nations.
The same CIA spokesman made it
clear that the Director's new policy ap-
plies to far more than these two periodi-
cals. When asked whether the CIA
would issue any further statistical or an-
alytic data of any kind on threat military
forces, he replied, "Nothing."
Some lower-level CIA staff have
raised some more serious issues. Al-
though there is no way of confirming
their views, some feel that the reporting
on Soviet defense may have been elimi-
nated because it disclosed serious analyt-
ic problems and uncertainties in the CIA
effort in this area. One CIA analyst also
raised the issue of whether the report on
Soviet expenditures was being dropped
because it would disclose a leveling out
or drop in the rate of growth in Soviet
defense spending and equipment produc-
tion over the last two years, although he
noted that this conclusion was "contro- STAT
versial" and scarcely reduced the ratio-
nale for increases in the US defense bud-
get.
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