TBR News September 27, 2010

Sep 27 2010

The Voice of the White House

           Washington, D.C. September 27, 2010: “There are dozens of topics that our controlled media will not talk about because no Presidential administration wants to discuss disasters that they cannot control.

The unemployment crisis is one of these and though the press does mention it from time to time, they down-play this as much as possible.

The next subject is one we have harped on for some time: the coming mortgage crisis. This refers to the fact that most of the current mortgages now being held by almost fifty millions Americans are bogus in that no one knows who holds the actual deed.

Because of the on-going practice of putting many mortgages into “packages” and then slicing these packages up like sausage and selling them all over the world (mostly to greedy twits in China), when the mortgage is paid off or if the house it covers is sold, no one can ever find the owner.

That means that with no clear title, the person who thinks he owns his part of the American

Dream discovers he is holding an empty bag.

Does the current Administration know this? Of course they do. Does the media discuss it? Of course they do not.


Because there is nothing anyone can do about it.

There is, however, a solution that costs the homeowner nothing and that is to join a class action suit against the mortgage MERS program designed to force them to locate the owner of the deed or if unable to do so, the courts will give the property to the owner.

To find out if MERS is holding your mortgage, go to your county court house and ask. These are public records and you will be told.

If you find MERS controlling you, you can do nothing, hire a lawyer for large money outlay or join a class action suit for nothing.

Readers interested in this are invited to send us their email addresses and when we are able to find a legal firm capable of handling a suit of this size, we will turn these addresses over to that firm and the suit will progress. Note here that a person joining a class action suit will not, repeat not, have huge legal bills. We already have 2,763 such addresses. Why not guarantee the security of your home today?



Report: 28% Of Mortgages Didn’t Meet Underwriting Standards — And Wall St. Knew It

September 26, 2010 

by Susie Madrak


            It turns out that Wall St. knew almost one-third of the mortgages they bundled and sold to investors were bad. You’re shocked, right? I know I find it hard to believe that this bunch of high-priced suit-wearing cokeheads, these Masters of the Universe would gleefully stiff American investors like that:

During a little-noticed hearing this week in Sacramento, Calif., a firm hired by Wall Street to analyze mortgages given to borrowers with poor credit, which were then packaged and sold to investors during the boom years, revealed that as much as 28 percent of those loans failed to meet basic underwriting standards — and Wall Street knew all along.

Worse, when the firm flagged those loans for potential issues, Wall Street banks ignored its recommendation nearly half the time and likely purchased those loans anyway — selling them to unwitting investors who were never told that the biggest home loan due diligence firm in the country had found potential defects in these mortgages.

The revelations give a better picture of what many have likely known for years: Wall Street firms knew they were buying lead yet passed it off as gold to investors who had no knowledge of the alchemy behind the scenes. But it also has real-world implications: the data released Thursday could bolster pension funds and other investors in their pursuit to force Wall Street banks to take back the bogus mortgages they peddled. An untold number of lawsuits have been filed in the wake of the subprime mortgage crisis and subsequent housing market collapse. Thus far, Wall Street has been winning that battle.

Clayton Holdings, a Connecticut-based firm that analyzes home mortgages for banks, hedge funds, insurance companies and government agencies, provided its data Thursday to the Financial Crisis Inquiry Commission, a bipartisan panel created by Congress to investigate the roots of the worst financial crisis since the Great Depression. The FCIC held its last public hearing in Sacramento, the home of the panel’s chairman, where two current and former top Clayton executives testified under oath about the firm’s role in the mortgage securitization chain.

During the height of the boom in 2006 and the period prior to its immediate end during the first six months of 2007, Clayton inspected home loans for Wall Street firms and government-backed mortgage giant Freddie Mac. Clayton looked at loans that the companies wanted to purchase from mortgage originators like New Century Financial, Countrywide Financial, and Fremont Investment & Loan. The company examined 911,039 mortgages, documents show.

Clients included Bank of America and JPMorgan Chase, the nation’s two biggest banks by assets which together have about $4.4 trillion; Citigroup, Deutsche Bank, Goldman Sachs, Morgan Stanley, Bear Stearns and Lehman Brothers. Clayton controlled about 50 to 70 percent of the market, Keith Johnson, the firm’s former president, told the crisis panel.

Clayton, though, typically looked at roughly 10 percent of the pool of mortgages available for purchase, Vicki Beal, a senior vice president at the firm, said in response to a question by panel chairman Phil Angelides. But during the frenzied last months of the boom, when lenders and securitizers were trying to sell off as much as they could before the market collapsed, that figure reached as low as 5 percent.

Of the 911,000 loans that Clayton scrutinized, 72 percent either met the mortgage seller’s standards and other guidelines set by the buyer of the mortgages, typically Wall Street firms, or they had off-setting factors that allowed Clayton to give them a passing grade, like if the borrower who took out the mortgage put a lot of money down or had a very high income.

But 28 percent failed to meet those standards. Of those 255,802 mortgages that Clayton flagged for what were a variety of reasons, Wall Street ended up waiving 100,653 of them, or 39 percent of those loans that did not meet basic standards. And Wall Street firms didn’t share this with investors.

“This should have raised red flags,” said Guy Cecala, publisher of Inside Mortgage Finance, a leading trade publication and data provider.

19 Facts About The Deindustrialization Of America That Will Blow Your Mind

September 26, 2010

The Economic Collapse

The United States is rapidly becoming the very first “post-industrial” nation on the globe.  All great economic empires eventually become fat and lazy and squander the great wealth that their forefathers have left them, but the pace at which America is accomplishing this is absolutely amazing.  It was America that was at the forefront of the industrial revolution.  It was America that showed the world how to mass produce everything from automobiles to televisions to airplanes.  It was the great American manufacturing base that crushed Germany and Japan in World War II.  But now we are witnessing the deindustrialization of America.  Tens of thousands of factories have left the United States in the past decade alone.  Millions upon millions of manufacturing jobs have been lost in the same time period.  The United States has become a nation that consumes everything in sight and yet produces increasingly little.  Do you know what our biggest export is today?  Waste paper.  Yes, trash is the number one thing that we ship out to the rest of the world as we voraciously blow our money on whatever the rest of the world wants to sell to us.  The United States has become bloated and spoiled and our economy is now  just a shadow of what it once was.  Once upon a time America could literally outproduce the rest of the world combined.  Today that is no longer true, but Americans sure do consume more than anyone else in the world.  If the deindustrialization of America continues at this current pace, what possible kind of a future are we going to be leaving to our children?

Any great nation throughout history has been great at making things.  So if the United States continues to allow its manufacturing base to erode at a staggering pace how in the world can the U.S. continue to consider itself to be a great nation?  We have created the biggest debt bubble in the history of the world in an effort to maintain a very high standard of living, but the current state of affairs is not anywhere close to sustainable.  Every single month America does into more debt and every single month America gets poorer.

So what happens when the debt bubble pops?

The deindustrialization of the United States should be a top concern for every man, woman and child in the country.  But sadly, most Americans do not have any idea what is going on around them.

For people like that, take this article and print it out and hand it to them.  Perhaps what they will read below will shock them badly enough to awaken them from their slumber.    

The following are 19 facts about the deindustrialization of America that will blow your mind….


#1 The United States has lost approximately 42,400 factories since 2001.  About 75 percent of those factories employed over 500 people when they were still in operation.


#2 Dell Inc., one of America’s largest manufacturers of computers, has announced plans to dramatically expand its operations in China with an investment of over $100 billion over the next decade.


#3 Dell has announced that it will be closing its last large U.S. manufacturing facility in Winston-Salem, North Carolina in November.  Approximately 900 jobs will be lost.


#4 In 2008, 1.2 billion cellphones were sold worldwide.  So how many of them were manufactured inside the United States?  Zero.


#5 According to a new study conducted by the Economic Policy Institute, if the U.S. trade deficit with China continues to increase at its current rate, the U.S. economy will lose over half a million jobs this year alone.


#6 As of the end of July, the U.S. trade deficit with China had risen 18 percent compared to the same time period a year ago.


#7 The United States has lost a total of about 5.5 million manufacturing jobs since October 2000.


#8 According to Tax Notes, between 1999 and 2008 employment at the foreign affiliates of U.S. parent companies increased an astounding 30 percent to 10.1 million. During that exact same time period, U.S. employment at American multinational corporations declined 8 percent to 21.1 million.


#9 In 1959, manufacturing represented 28 percent of U.S. economic output.  In 2008, it represented 11.5 percent.


#10 Ford Motor Company recently announced the closure of a factory that produces the Ford Ranger in St. Paul, Minnesota. Approximately 750 good paying middle class jobs are going to be lost because making Ford Rangers in Minnesota does not fit in with Ford’s new “global” manufacturing strategy.


#11 As of the end of 2009, less than 12 million Americans worked in manufacturing.  The last time less than 12 million Americans were employed in manufacturing was in 1941.


#12 In the United States today, consumption accounts for 70 percent of GDP. Of this 70 percent, over half is spent on services.



#13 The United States has lost a whopping 32 percent of its manufacturing jobs since the year 2000.


#14 In 2001, the United States ranked fourth in the world in per capita broadband Internet use.  Today it ranks 15th.


#15 Manufacturing employment in the U.S. computer industry is actually lower in 2010 than it was in 1975.


#16 Printed circuit boards are used in tens of thousands of different products.  Asia now produces 84 percent of them worldwide.


#17 The United States spends approximately $3.90 on Chinese goods for every $1 that the Chinese spend on goods from the United States.


#18 One prominent economist is projecting that the Chinese economy will be three times larger than the U.S. economy by the year 2040.


#19 The U.S. Census Bureau says that 43.6 million Americans are now living in poverty and according to them that is the highest number of poor Americans in the 51 years that records have been kept.

So how many tens of thousands more factories do we need to lose before we do something about it?

How many millions more Americans are going to become unemployed before we all admit that we have a very, very serious problem on our hands?

How many more trillions of dollars are going to leave the country before we realize that we are losing wealth at a pace that is killing our economy?

How many once great manufacturing cities are going to become rotting war zones like Detroit before we understand that we are committing national economic suicide?

The deindustrialization of America is a national crisis.  It needs to be treated like one.

If you disagree with this article, I have a direct challenge for you.  If anyone can explain how a deindustrialized America has any kind of viable economic future, please do so below in the comments section.

America is in deep, deep trouble folks.  It is time to wake up.

Bank of America Collection Agency Harrassed Borrowers With Racist, Obscene Calls

September 25, 2010


            Tom Adams pointed out a story on ABC about the sleazy strong arming tactics used by a debt collection agency engaged by Bank of America debt collection agency called ACT Technologies. I imagine we are going to hear more and more about this sort of thing, not simply because high unemployment rates mean more people getting into credit trouble (yes, banks reported a fall off in new delinquencies, but a single robin does not mean a spring is at hand. In addition, banks are also getting more aggressive on other fronts. For instance, banks would get a deficiency judgment when a foreclosure sale failed to recover the mortgage balance plus other charges.

            They would seldom pursue it, since people who lose their homes are under financial stress and you can’t get blood from a turnip. Since discussions of strategic defaults are now common, banks now appear to believe they are widespread, when the studies that have touted that idea are simply not reliable (I’m regularly called in to evaluate possible corporate investments, and my work often includes assessing consultant and academic research). So expect more debt collectors to be called in to pursue people who have lost their homes, even when there is nothing more to get.

            The Bank of America case is particularly striking since the collection agency violated the Fair Debt Collection Practices Act. Bank of America continued to use the agency after a $1.5 million judgment against the collection agency, which also included Bank of America, and ABC News sent copies of abusive phone calls. It was only after they ambushed the CEO, Michael Moore style, to discuss the problem that the bank dismissed the firm.

            As Tom noted: While the circumstances are quite different, they remind me of the way the banks ran the mortgage and CDO deals during the bubble days. They know what they are doing is wrong, but they also know it works. If they bully people, they can get what they want and the odds are very low they’ll suffer in any meaningful way. This time, BofA got caught, so they fired the agency and they move on, otherwise unaffected.


Central Banks Are No Longer Selling Gold!

September 27, 2010

by Tyler Durden
Zero Hedge

             Something funny (and quite revolutionary) happened during the CBGA’s (Central Bank Gold Agreement) year ending this Sunday – the group of 15 signatory banks sold a mere 6.2 tonnes of gold, a massive 96% decline from the year earlier, according to provisional data. This means that unlike in the past, when it was central banker prerogative #1 to sell some gold and every year just to keep all the longs on their toes, this year the trend has finally changed. As the FT reports, “the sales are the lowest since the agreement was signed in 1999 and well below the peak of 497 tonnes in 2004-05.” And yes, we do love the FT’s brilliant summation of the change in mindset: “In the 1990s and 2000s, central banks swapped their non-yielding bullion for sovereign debt, which gives a steady annual return.

            But now, central banks and investors are seeking the security of gold.” Hm, when all of Europe (as well as America) is a smoldering heap of bearer bonds that will never get paid, and China is putting up a building today, only to blow it up yesterday, and boast a GDP growth rate of one gajillion, the FT may want to change the bolded assumption. Back to the Captain Obvious narrative of the original article: “The lack of heavy selling is important for gold prices both because a significant source of supply has been withdrawn from the market, and because it has given psychological support to the gold price. On Friday, bullion hit a record of $1,300 an ounce.” So market zero supply, and demand that is growing exponentially, means higher prices, eh? All those Voodoo 101 classes, and Poison Ivy college loans sure are paying off in droves…

More from the FT, on why CB sales are now and will be, a thing of the past:

European central banks are unlikely to sell much more gold in the new CBGA year, according to a survey by the Financial Times.

Although many central banks declined to detail their sales plans, the responses of some, along with numerous interviews with bankers and consultants, suggest it is unlikely there will be a return to the trend of the past decade, when CBGA signatories sold on average 388 tonnes a year.

The central banks of Sweden, Slovakia, Ireland and Slovenia said they had no plans to sell, while Switzerland reiterated a previous statement to the same effect.

The CBGA was first signed after gold miners protested that central banks’ rush to sell was depressing prices.

Why the troops are coming home
September 24, 2010

by Tom Engelhardt

Asia Times

             Compare the following two assessments of the American future.

            In the latest NBC News/Wall Street Journal poll in which 61% of Americans interviewed considered “things in the nation” to be “on the wrong track,” 66% did “not feel confident that life for our children’s generation will be better than it has been for us.” (Seven percent were “not sure” and only 27% “felt confident.”) But here was the polling question you’re least likely to see discussed in your local newspaper or by Washington-based pundits: “Do you think America is in a state of decline, or do you feel that this is not the case?” Sixty-five percent of respondents chose as their answer: “in a state of decline.”

             Meanwhile, Afghan war commander General David Petraeus was interviewed last week by Martha Raddatz of ABC News. Asked whether the American war in Afghanistan, almost a decade old, was finally on the right counter-insurgency track and could go on for another nine or 10 years, Petraeus agreed that we were just at the beginning of the process, that the “clock” was only now ticking, and that we needed “realistic expectations” about what could happen and how fast. “Progress” in Afghanistan, he commented, was often so slow that it could feel like “watching grass grow or paint dry.”

            Now, I’m not a betting man, but I’d head for Vegas tomorrow and put my money down against the general and on Americans generally when it comes to assessing the future. I’d put money on the fact that the United States is indeed “in a state of decline” and I’d make a wager at odds that US troops won’t be in Afghanistan in nine or ten years. And I’d venture to suggest as well that the two bets would be intimately connected, and that the American people understand at a visceral level far more than Washington cares to know about our real situation in the world. And I’d put my money on one more thing: however lousy it may feel, it’s not all bad news, not by a long shot.

Decline today, not tomorrow

Let’s start with Afghanistan. Yes, we’ve been “in” or intimately involved with Afghanistan not just for almost a decade, but for a significant chunk of the last 30 years. And for much of that time we’ve poured our wealth into creating chaos and mayhem there in the name of “freedom,” “liberation,” “reconstruction,” and “nation-building.”

            We started in the distant days of the Ronald Reagan administration with the Central Intelligence Agency (CIA) funneling vast sums of money and advanced weaponry into the anti-Soviet jihad. At that time, we happily supported outright terror tactics, including car-bomb and even camel-bomb attacks on the Soviets in Afghan cities and bomb attacks on movie theaters as well. These acts were committed by Islamic fundamentalists of the most extreme sort, and our officials, labeling them “freedom fighters”, couldn’t say enough nice things about them.

            That was our expensive first decade in Afghanistan. In 1989, when the Russians withdrew in defeat, we departed in triumph. You know the next round well enough: we returned in 2001, armed and eager, carrying suitcases full of cash, and ready to fight many of the same fundamentalists we (or our allies the Pakistanis) had set loose, funded, and armed in the previous two decades.

            If, back in 1979, you had told a polling group of Americans that their country would soon embark on a never-ending war that would involve spending hundreds of billions of dollars, building staggering numbers of military bases, squandering startling sums (including at least $27 billion to train Afghan military and police forces whose most striking trait is desertion), losing significant numbers of American lives (and huge numbers of Afghan ones), and launching the first robot air war in history, and then asked them to pick the likely country, not one in a million would have chosen Afghani-where(?). And yet, today, our leading general (“perhaps the greatest general of his generation”) doesn’t blink at the mention of another nine or 10 years doing more of the same.

            After 30 years, it might almost seem logical. Why not 10 more? The answer is that you have to be the Washington equivalent of blind, deaf, and dumb not to know why not, and Americans aren’t any of those. They know what Washington is in denial about, because they’re living American decline in the flesh, even if Washington isn’t. Not yet anyway. And they know they’re living it not in some distant future, but right now.

            Here’s a simple reality: the US is an imperial power in decline – and not just the sort of decline which is going to affect your children or grandchildren someday. We’re talking about massive unemployment that’s going nowhere and an economy which shows no sign of ever returning good jobs to this country on a significant scale, even if “good times” do come back sooner or later. We’re talking about an aging, fraying infrastructure – with its collapsing bridges and exploding gas pipelines -that a little cosmetic surgery isn’t going to help.

            And whatever the underlying historical trends, George W Bush, Dick Cheney, and company accelerated this process immeasurably. You can thank their two mad wars, their all-planet-all-the-time global “war on terror”, their dumping of almost unlimited taxpayer dollars into the Pentagon and war planning for the distant future, and their scheme to privatize the military and mind-meld it with a small group of crony capitalist privateers, not to speak of ramping up an already impressively over-muscled national security state into a national state of fear, while leaving the financial community to turn the country into a giant, mortgaged Ponzi scheme.

            It was the equivalent of driving a car in need of a major tune-up directly off the nearest cliff – and the rest, including the economic meltdown of 2008, is, as they say, history, which we’re all now experiencing in real time. Then, thank the Obama administration for not having the nerve to reverse course while it might still have mattered.

Public opinion and elite opinion

The problem in all this isn’t the American people. They already know the score. The problem is Afghan war commander Petraeus. It’s Secretary of Defense Robert Gates. It’s Secretary of State Hillary Clinton. It’s National Security Adviser James Jones. It’s all those sober official types, military and civilian, who pass for “realists” and are now managing “America’s global military presence,” its vast garrisons, its wars and alarums. All of them are living in Cloud Cuckoo Land.

             Ordinary Americans aren’t. They know what’s going down, and to judge by polls, they have a perfectly realistic assessment of what needs to be done. Jim Lobe of Inter Press Service recently reported on the release of a major biennial survey, “Constrained Internationalism: Adapting to New Realities,” by the Chicago Council on Global Affairs (CCGA). Here’s the heart of it, as Lobe describes it:

The survey’s main message, however, was that the US public is looking increasingly toward reducing Washington’s role in world affairs, especially in conflicts that do not directly concern it. While two-thirds of citizens believe Washington should take an “active part in world affairs,” 49% – by far the highest percentage since the CCGA first started asking the question in the mid-1970s – agreed with the proposition that the US should “mind its own business internationally and let other countries get along the best they can on their own.”

             Moreover, 91% of respondents agreed that it was “more important at this time for the [US] to fix problems at home” than to address challenges to the [US] abroad – up from 82% who responded to that question in CCGA’s last survey in 2008.

That striking 49% figure is no isolated outlier. As Charles Kupchan and Peter Trubowitz point out in an article in the journal International Security, a December 2009 Pew poll got the same 49% response to the same “mind its own business” question. It was, they comment, “the highest response ever recorded, far surpassing the 32% expressing that attitude in 1972, during the height of opposition to the Vietnam War.” Along the same lines, the CCGA survey found significant majorities expressing an urge for their government to cooperate with China, but not actively work to limit the growth of its power, and not to support Israel if it were to attack Iran. Similarly, they opted for a “lighter military footprint” and a lessening in the US role as “world policeman.” When it comes to the Afghan War specifically, the latest polls and reporting indicate that skepticism about it continues to rise. All of this adds up not to traditional “isolationism”, but to a realistic foreign policy, one appropriate to a nation not garrisoning the planet or dreaming of global hegemony.

            This may simply reflect a visceral sense of imperial decline under the pressure of two unpopular wars. Explain it as you will, it’s exactly what Washington is incapable of facing. A CCGA survey of elite, inside-the-Beltway opinion would undoubtedly find much of America’s leadership class still trapped inside an older global paradigm and so willing to continue pouring hundreds of billions of dollars into Afghanistan and elsewhere rather than consider altering the American posture on the planet.

Imperial denial won’t stop decline

Despite much planning during and after World War II for a future role as the planet’s pre-eminent power, Washington used to act as if its “responsibilities” as the “leader of the free world” had been thrust on it. That, of course, was before the Soviet Union collapsed. After 1991, it became commonplace for pundits and officials alike to refer to the US as the only “sheriff” in town, the “global policeman” or the planet’s “sole superpower”.

Whatever the American people might then have thought a post-Cold War “peace dividend” would mean, elites in Washington already knew, and acted accordingly. As in any casino when you’re on a roll, they doubled down their bets, investing the fruits of victory in more of the same – especially in the garrisoning and control of the oil-rich Persian Gulf region. And when the good fortune only seemed to continue and the sole enemies left in military terms proved to be a few regional “rogue states” of no great importance and small non-state groups, it went to their heads in a big way.

            In the wake of 9/11, that “twenty-first century Pearl Harbor,” the new crew in Washington and the pundits and think-tankers surrounding them saw a planet ripe for the taking. Having already fallen in love with the US military, they made the mistake of believing that military power and global power were the same thing and that the US had all it needed of both.

            They were convinced that a Pax Americana in the Greater Middle East was within their grasp if only they acted boldly, and they didn’t doubt for a moment that they could roll back Russia – they were, after all, former Cold Warriors – and put China in its place at the same time. Their language was memorable. They spoke of “cakewalks” and a “military lite”, of “shock and awe” aerial blitzes and missions accomplished. When they joked around, a typical line went: “Everyone wants to go to Baghdad. Real men want to go to Tehran.”

            And they meant it. They were ready to walk the walk – or so they thought. This was the remarkably brief period when the idea of “empire” or “empire lite” was proudly embraced and friendly pundits started comparing the United States to the Roman or British empires. It’s hard to believe how recently that was and how relatively silent the present crew in Washington has fallen when it comes to the glories of American power.

            Now, they just hope to get by, in itself a sign of decline. That’s why we’ve entered a period when, except for inanely repetitious, overblown references to the threat of al-Qaeda, no one in Washington cares to offer Americans an explanation – any explanation – of why we’re fighting globally.

            They prefer to manage the pain, while holding the line. They prefer to leak the news, for example, that in Afghanistan no policy changes are in the offing any time soon. As the Washington Post reported recently, “The White House calculus is that the strategy retains enough public and political support to weather any near-term objections. Officials do not expect real pressure for progress and a more precise definition of goals to build until next year …”

            It’s not that they don’t see decline at all, but that they prefer to think of it as a mild, decades-long process, the sort of thing that might lead to a diminution of American power by 2025. At the edges, however, you can feel other assessments creeping up – in, for instance, former Condoleezza Rice National Security Council deputy Robert Blackwill’s recent call for the US to pull back its troops to northern Afghanistan, ceding the Pashtun south to the Taliban.

            Sooner or later – and I doubt it will take as long as many imagine – you’ll hear far more voices, ever closer to the heartlands of American power, rising in anxiety or even fear. Don’t think nine or 10 years either. This won’t be a matter of choice. Our leadership may be delusional, but there will be nothing more to double down with, and so “America’s global military presence” will begin to crumble. And whether they want it or not, whether there’s even an antiwar movement or not, those troops will start coming home, not to a happy nation or to an upbeat situation, but home in any case.

 It may sound terrible, and in Afghanistan and elsewhere, terrible things will indeed happen in the interim, while at home the economy will, at best, limp along, the infrastructure will continue to deteriorate, more jobs will march south, and American finances will worsen. If we’re not quite heading for what Arianna Huffington, in her provocative new book, calls Third World America, we’re not heading for further fame and fortune either.

            But cheer up. The news isn’t all bad. Truly. We’ve just gotten way too used to the idea that the United States must be the planet’s preeminent nation, the global hegemon, the sole superpower, numero uno. We’ve convinced ourselves that neither we nor the world can exist without our special management.

            So here’s the good news. It’s actually going to feel better to be just another nation, one more country, even if a large and powerful one, on this overcrowded planet, rather than the nation. It’s going to feel better to only arm ourselves to defend our actual borders, rather than constantly fighting distant wars or skirmishes and endlessly preparing for more of the same.

            It’s going to feel better not to be engaged in an arms race of one or playing the role of the globe’s major arms dealer. It’s going to feel better to focus on American problems, maybe experiment a little at home, and offer the world some real models for a difficult future, instead of talking incessantly about what a model we are while we bomb and torture and assassinate abroad with impunity.

            So take some pleasure in this: our troops are coming home and you’re going to see it happen. And in the not so very distant future it won’t be our job to “police” the world or be the “global sheriff.” And won’t that be a relief? We can form actual coalitions of equals to do things worth doing globally and never have to organize another “coalition of the billing,” twisting arms and bribing others to do our military bidding.

            Since by the time we get anywhere near such a world, our leaders will have run this country into the ground, it’s hard to offer the traditional three cheers for such a future. But how about at least one-and-a-half prospective cheers for the possible return of perspective to our American world, for a significant lessening, even if not the decisive ending, of an American imperial role and of the massive military “footprint” that goes with it.

            It’s going to happen. Put your money on it.

            And thank you, George W Bush (though I never thought I’d say that), you’ve given an old guy a shot at seeing the fruits of American decline myself. I’m looking forward.

Tom Engelhardt, co-founder of the American Empire Project, runs the Nation Institute’s TomDispatch.com.


The Conversations with the Crow


            When the CIA discovered that their former Deputy Director of Clandestine Affairs, Robert  T. Crowley, had been talking with author Gregory Douglas, they became fearful (because of what Crowley knew) and outraged (because they knew Douglas would publish eventually) and made many efforts to silence Crowley, mostly by having dozens of FBI agents call or visit him at his Washington home and try to convince him to stop talking to Douglas, whom they considered to be an evil, loose cannon.

             Crowley did not listen to them (no one else ever does, either) and Douglas made through shorthand notes of each and every one of their many conversation. TBR News published most of these (some of the really vile ones were left out of the book but will be included on this site as a later addendum ) and the entire collection was later produced as an Ebook.

            Now, we reliably learn, various Washington alphabet agencies are trying to find a way to block the circulation of this highly negative, entertaining and dangerous work, so to show our solidarity with our beloved leaders and protectors, and our sincere appreciation for their corrupt and coercive actions, we are going to reprint the entire work, chapter by chapter. (The complete book can be obtained by going to:



Here is the thirty-first  chapter


Conversation No. 31

Date: Wednesday, August 14, 1996

Commenced:            8:15 AM CST

Concluded:            9:11 AM CST

RTC: I thought it had to be you, Gregory. You are about the only person who calls me these days. Bill does, of course, and every so often that fool Trento gets onto me, trying to pry information out of me for some fool book he is working on. So much work for nothing.

GD: And so many beautiful trees have to die, equally for nothing.

RTC: True enough. I could give Joe boxes of first class material for blockbuster books but it would all be wasted on him. Costello is gone now and Joe is basically useless. Such delusions of grandeur.

GD: I read one, actually only part of one, of his books. He has no grasp of how things work. It’s like someone writing about glaciers. They ignore the dynamics of the entire system and its history and confine themselves to saying, with eyes popping and pointing finger: ‘Ooh, look at all the ice! My, it’s cold, isn’t it? Last year, I have seen, in secret papers, there were a lot of icebergs breaking off! There were private meetings held in unspecified places with top intelligence people about this!’

RTC: (Laughter) You are so bloody cruel, Gregory. But true. Bill and I needed someone to polish up our work and Joe was recommended. It’s too damned bad we hadn’t run into you then. We could have had something a little more polished. Oh well, such is life.

GD: Yes, such is life. Have you told Joe about me?

RTC: No, I have not. What would happen then? Joe would bleat to me for about six months about how you were a terrible person and why I shouldn’t talk to you at all. Kimmel does the same thing, but he’s a little more subtle. Poor Bill goes for his gaff, but I don’t. Now, I never hear from Tom. I guess he gave up on me. But actually not. He’s now got people from Justice to call me about you. My God, what will be next? The SPCA?

GD: Who knows? These old aunties swing a mean purse but I’ve had to deal with these pathetic losers since I was about ten and realized that Jonathan Swift was right about humanity. Well, I can see into the future simply by reading about the past. Their days are numbered, Robert but you won’t be around and I might not.

RTC: Are you thinking about some religious sort of violence?

GD: No, much less spectacular but even more deadly. Did you ever read Malthus?

RTC: No.

GD: It’s all there, Robert. Sum it up: Populations increase geometrically and food supplies increase arithmetically. In other words, the public fuck like rabbits, the population soars but eventually, and without any doubt, we run out of food and drinkable water. Of course the WASPS will do OK and this country raises lots of food but places like India, China and Africa are going to be mass graves when it hits. Oh, and it will hit, Robert. It isn’t a question of loony theories but solid fact. And another thing, Robert. There is a hell of a lot of ice at the poles. If the Arctic ice cap melts, it won’t make any difference because that is ice on the water and if it all went away tomorrow, the ocean levels wouldn’t rise by an inch. But Antarctic and Greenland ice is another matter entirely. That ice is on land and if it melts to any degree then the ocean levels will really rise.

RTC: Probably so but that’s Doomsday material, Gregory, isn’t it?

GD: No, Robert, uncomfortable fact. I had an article once that I took out of Scientific American. I kept it for years but I moved so many times that somewhere it got lost. Never mind, I read it and remembered it. They set up an area for rats. Regular rats. As much water and food as they needed and lots of bedding or nesting material. What happened? Rats breed like Third Worlders and pretty soon, the room was full of rats. And what did these rats do? They went crazy, homosexuality and cannibalism flourished, mama rats ate their malformed litters and general chaos reigned. And what happened then, Robert?

RTC: I have no idea but I have a suspicion you will tell me.

GD: Of course, why miss the finale when you’ve seen the first three acts? Some disease, endemic, relatively harmless, that is in the rats suddenly alters and most of the rats turn into a stinking mass of rotting flesh….

RTC: So early in the morning, Gregory.

GD: But they do almost all die off, Robert. Still, a few always survive so the game can start again. Do I make a point?

RTC: You equate us with rodents?

GD: No. I comment on the inevitable bill Nature insists we pay. And we will, mark that.

RTC: How depressing. Do you think the ice will melt?

GD: I think so. And while it does, I can just envision legions of scientists squabbling over what, when, how and why as New York sinks beneath the waves. They say that if there were two Irishmen left alive in the world, they’d be sending letter bombs to each other. No offense to your Hibernian background, Robert.

RTC: (Laughter)

GD: And if there were two academics left, they’d be pissing on each other as the waters closed over their heads. Oh joy and rapture unforeseen.

RTC: Well, as you say, both of us will be gone away, so why should we worry?

GD: It’s a waste of time, Robert, I agree. But still, intellectual curiosity and a firm belief that there are iron rules that apply to life make me a student. Do read Malthus, Robert, and you will understand what I am going on about. He’s there but most people would rather read the comic page or, if they graduated with honors from a distant community college, they can get really intellectual and read Fanny Hill.

RTC: You are really on a tear today, Gregory. Are you sniffing glue?

GD: No, I’m just naturally up today. Of course, coffee helps too.

RTC: It always does.

GD: By the way, Robert, I saw something in the paper today about Ollie North. Did you have anything to do with him?

RTC: My God, what a story that was. Yes and no. Oliver moved at a more exalted level than I did. Oliver worked for the White House. Oliver worked for George Bush, who was once our DCI, and he worked for Ronnie Reagan.

GD: That’s not impossible to believe. The guns for the Contras?

RTC: We’d be all day on the phone if I told you what I knew. The public has no idea what that Contra business was all about. It was only a spin-off of the real businesses. The press does not know and if it did, would never dare to print any of it. They feed the public some dog and pony show, speculate for days and then discover a cat up a tree and all run down the block with their notebooks and cameras for more stimulating information for the trailer park crowd.

GD: We both have plenty of time, Robert. If you’re willing to talk, I’m even more willing to listen. I have a new girl friend who is coming over for a lunch I have not yet begun to lay out, but that’s two hours away. I eat late and I thought a nice salad, a Coquilles St. Jacques with a sauce Parisienne, some sourdough bread and a nice white wine. And for dessert there is wild sex on the living room floor.

RTC: I know about sex, but what were you cooking?

GD: Scallops in a cream sauce, Robert. I loathe braggers, but I am a very good cook. As far as the living room floor is concerned, I have scars on my back to support my animal expertise with the famous Mattress Polka by one of the earlier members of the Strauss family. But we needn’t talk about past glories. Or perhaps future ones if I get the sauce right. Women can be either at your feet or at your throat. Flat on their backs is much better and on to other things.

RTC: But Gregory, isn’t the floor hard?

GD: I suppose so, but when I am, who cares? What? Oh yes, before fantasy time we were talking about Ollie North.

RTC: Well, the public was led to believe the Ollie was some kind of a loose cannon or a nut case but he actually was doing what the President ordered. North was on the staff of the National Security Council which was run by our beloved George Bush who was Vice President at the time and ran the entire operation, contras, drug dealings and gun smugglings and a few removals of inconvenient people along the way. This was all part of a very interesting and little-known system. I can go on about this if you want. Does it take long to cook your lunch?

GD: Actually, I made the sauce early this morning and all I have to do is to cook the scallops, put them into the sauce, put some butter and some fresh, grated Swiss cheese on top and into the broiler. The wine is in the fridge, the bread is fresh early this morning and I vacuumed the living room rug. Please go on.

RTC: Well, the entire Contra mess had two fathers. The first was the Doomsday project. This was a governmental continuation survival program in the event of some great natural disaster, military or terrorist attacks on the United States, public uprisings and so on. That was first begun in ’81 with a series of signed orders by Reagan setting up the machinery to preserve the government in the event of these disruptive problems. This entire program was rather secret and was under the control of the vice president…

GD: Who was George Bush.

RTC: Yes, under him. And like all bureaucracies, this grew. The nutty Poindexter got into the act and wanted to set up something your friend Mueller would have loved: a comprehensive national total surveillance system that would keep track of every person living in the United States, regardless of how harmless they might be. They could use your television set to spy on you, gather phone records from companies they either bribed or threatened, read and watch your mail, create a national ID card, closely supervise passports, watch who flew around the country and where they were going, get into your safe deposit box and watch your checking and savings accounts, listen in on all, and I mean all, overseas telephone calls by controlling the communications satellites. The NSA was given this task I recall. I think it was called Operation Harvest at the time. Oh my and many, many more little new departments to watch the general population. This was being set up during the Reagan years, but Clinton cut back on most of it. Still, it’s still there, waiting for another president to use it as an excuse to grab permanent power. In the old days, we used the threat of a Soviet attack and invasion to terrify the public and now the enemies are not so well defined. It’s rather funny when you read about the growing drug menace, because elements of our government are involved, even as I speak, in assisting in the importation of many tons of marijuana and opium derivatives. Oh yes, Gregory, our government, not the mob or the Columbian drug cartels, are the real drug dealers. We started with Colby and a few others and like Topsy, it just growed. I’m afraid we don’t run it, but it now runs us. Yes, and Ollie was a part of the whole. Then Congress managed to screw things up by passing the second Boland Amendment in ’84. Reagan was using us to supply the Contras in Nicaragua with guns and other small things so they could overthrow what we like to call the dangerous Communist, pro-Soviet government there. The stupid shits on the hill put a stop to this so Reagan got George to bypass Congress. Getting the guns was a problem and Ollie turned out to be very competent.

GD: Yes, I know Jimmy Atwood who was up to his tummy-tuck in some of this. His Stasi connections….

RTC: Yes, you know about this. It was IMES [1]that controlled this and it was a huge, official but sub-rosa smuggling racket. Of course even though we were supposed to be enemies of the communist Stasi, we actually worked well with them. Your friend Atwood was one of our top people there. We had a fellow with the strange name of Schalck-Golodkowski working with us. We used to call him the Fat Man or Big Alex, I suppose because he was way overweight and his first name was Alexander. Very clever choice of names, isn’t it? He later fled to the west and we at once gave him a nice job.

GD: Just like Heini Mueller who worked for you.

RTC: Worked for Jim. But I knew him. Met him a number of times. You got on with him, didn’t you?

GD: I did and Atwood was an open book.

RTC: I always like to know who can’t keep their mouth shut. Now as to the guns for the beaners, this IMES was part and parcel of the international cartel, to use a phrase so beloved by hack writers, which has been going on, with refinements, since about ’67 or ’68. They had offices in West Germany, Switzerland, Liechtenstein and, I think, Austria. And as things progress, they smuggled narcotics right along with the guns. We were way ahead of them on that score but we all work together in the end, in spite of the press of both countries pissing on each other. Those are the realities, Gregory, not the fronts. You know that, don’t you?

GD: I don’t know as much as you do but I know more than enough to agree with you. Greed and money know no borders and no ideology.

RTC: I would rather say political necessity makes strange bedfellows.

GD: A difference with no distinction. Do continue.

RTC: The Krauts were dealing with Iran, Libya and Syria. And the Swedes too were into this. In fact, we had our little troopers in most of the countries that exported drugs, bought guns and so on. The Swedes were using St. Lucia Airways, one of our proprietaries, to run their shipments to various counties. Drugs out and guns in.

GD: Where did the weapons originate? I think Russia.

RTC: Oh yes right on. The AK 47s were much in demand. The basic European-made pieces were too expensive.

GD: And the Soviets knew about this?

RTC: My God, yes they did. And some of them got very rich out of it. And there were even some shipments by boat some of which got into customs troubles. There were always problems with this, once it got out of our hands. We always kept things running smoothly but when you’re dealing with emotional Arabs who would sell their sisters for ten dollars or the Latins south of our border, we have utter corruption and emotion and corruption leads to mistakes. Then we have to send people around to clean up the messes. We used to throw people out of high windows but there aren’t any tall buildings in Arab counties or south of our borders so the vanishing and dumping at sea in metal drums is always done to the less prominent and un-missed. For more prominent ones, the convenient airplane crash or the heart attack. Mechanics for the one and chemists for the second.

GD: Now you’re speaking my language. I even taught some new concepts to Mueller, God bless his soul. I really used to enjoy myself when I was younger, but age has slowed me down.

RTC: From what I have heard from Kimmel’s DoJ people, you have not slowed down. They view you as a cross between Jack the Ripper and Attila the Hun.

GD: Well, in turn, I view them as a cross between Swift’s Yahoos and Lenny in Steinbeck’s Of Mice and Men. I really don’t understand how people that stupid can live. Take Jimmy Atwood….please…no, he worked for you so you don’t have to take him. Jimmy would get some hooch into him and my God, Robert, the stories he would tell! The BND [2] was horrified when I passed this along, but these people are protected by our government so they can do nothing. You know, some of these cretins and gross criminals ought to be taken out and shot, Robert, and I would be more than happy to oblige. They have dumped tons of drugs on the American people and the bureaucrats love it. They don’t touch the stuff and make sure their kids go to very expensive East Coast Establishment prep schools. Buggery after lights out but no drugs. I mean, after all, what pays for the expensive schools? The whole thing is rotten and eventually, it will collapse. Mark my words, it will come down. As the Bible says, it will fall and great will be the fall thereof. Ah well, you’re out of it now and the deluge may be years in coming but eventually the public will find out the truth, or at least some of it, and then we will see change.

RTC: As you say, Gregory, I’m well out of it but I can’t really complain too much. You get far too moralistic. You let it get in the way of clear thinking. One moment I wish I had you in the Company and the next you sound like a social worker.

GD: Yes, Mueller once said almost the same thing. Two spirits struggle in my breast, Robert, but now I have to get to lunch so would you excuse me? The pleasures of the board and the living room floor beckon to me.

RTC: Good luck.

GD: With the lunch or the follow-up?

RTC: I assume you’re a good cook.

GD: Come out and visit with me and I’ll cook you a fine meal.

RTC: But I’m not a candidate for the living room floor.

GD: I would certainly hope not, Robert. Anyway, thanks for the nice chat and I’ll be back in touch.

(Concluded at 9:11AM CST)



Dramatis personae:


James Jesus Angleton: Once head of the CIA’s Counterintelligence division, later fired because of his obsessive and illegal behavior, tapping the phones of many important government officials in search of elusive Soviet spies. A good friend of Robert Crowley and a co-conspirator with him in the assassination of President Kennedy


James P. Atwood: (April 16, 1930-April 20, 1997) A CIA employee, located in Berlin, Atwood had a most interesting career. He worked for any other intelligence agency, domestic or foreign, that would pay him, was involved in selling surplus Russian atomic artillery shells to the Pakistan government and was also most successful in the manufacturing of counterfeit German dress daggers. Too talkative, Atwood eventually had a sudden, and fatal, “seizure” while lunching with CIA associates.


William Corson: A Marine Corps Colonel and President Carter’s representative to the CIA. A friend of Crowley and Kimmel, Corson was an intelligent man whose main failing was a frantic desire to be seen as an important person. This led to his making fictional or highly exaggerated claims.


John Costello: A British historian who was popular with revisionist circles. Died of AIDS on a trans-Atlantic flight to the United States.


James Critchfield: Former U.S. Army Colonel who worked for the CIA and organizaed the Cehlen Org. at Pullach, Germany. This organization was filled to the Plimsoll line with former Gestapo and SD personnel, many of whom were wanted for various purported crimes. He hired Heinrich Müller in 1948 and went on to represent the CIA in the Persian Gulf.


Robert T. Crowley: Once the deputy director of Clandestine Operations and head of the group that interacted with corporate America. A former West Point football player who was one of the founders of the original CIA. Crowley was involved at a very high level with many of the machinations of the CIA.


Gregory Douglas: A retired newspaperman, onetime friend of Heinrich Müller and latterly, of Robert Crowley. Inherited stacks of files from the former (along with many interesting works of art acquired during the war and even more papers from Robert Crowley.) Lives comfortably in a nice house overlooking the Mediterranean.


Reinhard Gehlen: A retired German general who had once been in charge of the intelligence for the German high command on Russian military activities. Fired by Hitler for incompetence, he was therefore naturally hired by first, the U.S. Army and then, as his level of incompetence rose, with the CIA. His Nazi-stuffed organizaion eventually became the current German Bundes Nachrichten Dienst.


Thomas K. Kimmel, Jr: A grandson of Admiral Husband Kimmel, Naval commander at Pearl Harbor who was scapegoated after the Japanese attack. Kimmel was a senior FBI official who knew both Gregory Douglas and Robert Crowley and made a number of attempts to discourage Crowley from talking with Douglas. He was singularly unsuccessful. Kimmel subsequently retired and lives in retirement in Florida


Willi Krichbaum: A Senior Colonel (Oberführer) in the SS, head of the wartime Secret Field Police of the German Army and Heinrich Müller’s standing deputy in the Gestapo. After the war, Krichbaum went to work for the Critchfield organization and was their chief recruiter and hired many of his former SS friends. Krichbaum put Critchfield in touch with Müller in 1948.


Heinrich Müller: A former military pilot in the Bavarian Army in WWI, Müller  became a political police officer in Munich and was later made the head of the Secret State Police or Gestapo. After the war, Müller escaped to Switzerland where he worked for Swiss intelligence as a specialist on Communist espionage and was hired by James Critchfield, head of the Gehlen Organization, in 1948. Müller subsequently was moved to Washington where he worked for the CIA until he retired.


Joseph Trento: A writer on intelligence subjects, Trento and his wife “assisted” both Crowley and Corson in writing a book on the Russian KGB. Trento believed that he would inherit all of Crowley’s extensive files but after Crowley’s death, he discovered that the files had been gutted and the most important, and sensitive, ones given to Gregory Douglas. Trento was not happy about this. Neither were his employers.


Frank Wisner: A Founding Father of the CIA who promised much to the Hungarian and then failed them. First, a raging lunatic who was removed from Langley, screaming, in a strait jacket and later, blowing off the top of his head with a shotgun.


Robert Wolfe: A retired librarian from the National Archives who worked closely with the CIA on covering up embarrassing historical material in the files of the Archives. A strong supporter of holocaust writers.

Note: We understand that a large collection of documents, assembled by Robert T. Crowley, will be offered to the public in the near future. Here is a listing of some of the documents which will be included:



Catalog Number                       Description of Contents                                             __________________________________________________________________________________

1000 BH Extensive file (1,205 pages) of reports on Operation PHOENIX. Final paper dated January, 1971, first document dated  October, 1967. Covers the setting up of Regional Interrogation Centers, staffing, torture techniques including electric shock, beatings, chemical injections. CIA agents involved and includes a listing of U.S. military units to include Military Police, CIC and Special Forces groups involved. After-action reports from various military units to include 9th Infantry, showing the deliberate killing of all unarmed civilians located in areas suspected of harboring or supplying Viet Cong units. *

1002 BH Medium file (223 pages)  concerning the fomenting of civil disobedience in Chile as the result of the Allende election in 1970. Included are pay vouchers for CIA bribery efforts with Chilean labor organization and student activist groups, U.S. military units involved in the final revolt, letter from  T. Karamessines, CIA Operations Director to Chile CIA Station Chief Paul Wimert, passing along a specific order from Nixon via Kissinger to kill Allende when the coup was successful. Communications to Pinochet with Nixon instructions to root out by force any remaining left wing leaders.

1003 BH Medium file (187 pages) of reports of CIA assets containing photographs of Soviet missile sites, airfields and other strategic sites taken from commercial aircraft. Detailed descriptions of targets attached to each picture or pictures.

1004 BH Large file (1560 pages) of CIA reports on Canadian radio intelligence intercepts from the Soviet Embassy in Ottawa (1958) and a list of suspected and identified Soviet agents or sympathizers in Canada, to include members of the Canadian Parliament and military.

1005 BH Medium file (219 pages) of members of the German Bundeswehr in the employ of the CIA. The report covers the Innere Führung group plus members of the signals intelligence service. Another report, attached, covers CIA assets in German Foreign Office positions, in Germany and in diplomatic missions abroad.

1006:BH Long file (1,287 pages) of events leading up to the killing of Josef Stalin in 1953 to include reports on contacts with L.P. Beria who planned to kill Stalin, believing himself to be the target for removal. Names of cut outs, CIA personnel in Finland and Denmark are noted as are original communications from Beria and agreements as to his standing down in the DDR and a list of MVD/KGB files on American informants from 1933 to present. A report on a blood-thinning agent to be made available to Beria to put into Stalin’s food plus twenty two reports from Soviet doctors on Stalin’s health, high blood pressure etc. A report on areas of cooperation between Beria’s people and CIA controllers in the event of a successful coup. *

1007 BH Short list (125 pages) of CIA contacts with members of the American media to include press and television and book publishers. Names of contacts with bios are included as are a list of payments made and specific leaked material supplied. Also appended is a shorter list of foreign publications. Under date of August, 1989 with updates to 1992. Walter Pincus of the Washington Post, Bradlee of the same paper, Ted Koppel, Sam Donaldson and others are included.

1008 BH A file of eighteen reports (total of 899 pages) documenting illegal activities on the part of members of the U.S. Congress. First report dated July 29, 1950 and final one September 15, 1992. Of especial note is a long file on Senator McCarthy dealing with homosexuality and alcoholism. Also an attached note concerning the Truman Administration’s use of McCarthy to remove targeted Communists. These reports contain copies of FBI surveillance reports, to include photographs and reference to tape recordings, dealing with sexual events with male and female prostitutes, drug use, bribery, and other matters.

1009 BH A long multiple file (1,564 pages) dealing with the CIA part (Kermit Roosevelt) in overthrowing the populist Persian prime minister, Mohammad Mossadegh. Report from Dulles (John Foster) concerning a replacement, by force if necessary and to include a full copy of AJAX operation. Letters from AIOC on million dollar bribe paid directly to J.Angleton, head of SOG. Support of Shah requires exclusive contracts with specified western oil companies. Reports dated from May 1951 through August, 1953.

1010 BH Medium file (419 pages) of telephone intercepts made by order of J.J. Angleton of the telephone conversations between RFK and one G.N. Bolshakov. Phone calls between 1962-1963 inclusive. Also copies of intercepted and inspected mail from RFK containing classified U.S. documents and sent to a cut-out identified as one used by Bolshakov, a Russian press (TASS) employee. Report on Bolshakov’s GRU connections.

1011 BH Large file (988 pages) on 1961 Korean revolt of Kwangju revolt led by General Park Chung-hee and General Kin-Jong-pil. Reports on contacts maintained by CIA station in Japan to include payments made to both men, plans for the coup, lists of “undesirables” to be liquidated  Additional material on CIA connections with KCIA personnel and an agreement with them  to assassinate South Korean chief of state, Park, in 1979.

1012 BH Small file (12 pages) of homosexual activities between FBI Director Hoover and his aide, Tolson. Surveillance pictures taken in San Francisco hotel and report by CIA agents involved. Report analyzed in 1962.

1013 BH  Long file (1,699 pages) on General Edward Lansdale. First report a study signed by DCI Dulles in  September of 1954 concerning a growing situation in former French Indo-China. There are reports by and about Lansdale starting with his attachment to the OPC in 1949-50 where he and Frank Wisner coordinated policy in neutralizing Communist influence in the Philippines.. Landsale was then sent to Saigon under diplomatic cover and many copies of his period reports are copied here. Very interesting background material including strong connections with the Catholic Church concerning Catholic Vietnamese and exchanges of intelligence information between the two entities.

1014 BH Short file (78 pages) concerning  a Dr. Frank Olson. Olson was at the U.S. Army chemical warfare base at Ft. Detrick in Maryland and was involved with a Dr. Gottleib. Gottleib was working on a plan to introduce psychotic-inducing drugs into the water supply of the Soviet Embassy. Apparently he tested the drugs on CIA personnel first. Reports of psychotic behavior by Olson and more police and official reports on his defenstration by Gottleib’s associates. A cover-up was instituted and a number of in-house CIA memoranda attest to this. Also a discussion by Gottleib on various poisons and drugs he was experimenting with and another report of people who had died as a result of Gottleib’s various experiments and CIA efforts to neutralize any public knowledge of these. *

1015 BH Medium file (457 pages) on CIA connections with the Columbian-based Medellín drug ring. Eight CIA internal reports, three DoS reports, one FBI report on CIA operative Milan Rodríguez and his connections with this drug ring. Receipts for CIA payments to Rodríguez of over $3 million in CIA funds,showing the routings of the money, cut-outs and payments. CIA reports on sabotaging  DEA investigations. A three-part study of the Nicaraguan Contras, also a CIA-organized and paid for organization.

1016 BH A small file (159 pages) containing lists of known Nazi intelligence and scientific people recruited in Germany from 1946 onwards, initially by the U.S. Army and later by the CIA. A detailed list of the original names and positions of the persons involved plus their relocation information. Has three U.S. Army and one FBI report on the subject.

1017 BH A small list (54 pages) of American business entities with “significant” connections to the CIA. Each business is listed along with relevant information on its owners/operators, previous and on going contacts with the CIA’s Robert Crowley, also a list of national advertising agencies with similar information. Much information about suppressed news stories and planted stories. *

[1] IMES GmbH, a little-known East German state company that was run by East Germany’s deputy foreign trade minister, Alexander Schalck-Golodkowski.

The East German company had been a key part of an international smuggling network, connected at several levels with the CIA, with secret bank accounts and shell companies in West Germany, Switzerland and Liechtenstein. The IMES company name had been exposed in the West back in 1985, when Swedish customs officials started investigating the activities of the ‘munitions cartel’ mentioned in the first section of this chapter. Some years later, Western intelligence agencies, including the US Iran-Contra arms and money networks, used IMES and the East German structure for secret weapons supplies to guerrilla movements in Central America. Schalck-Golodkowski had reportedly been involved in a massive, decade-long smuggling operation of weapons, antiques and even drugs. He was, however, only charged with the illicit import of military and dual-use items into East Germany between 1986 and 1989 and with the embezzlement of rather small amounts of foreign currency. He was sentenced to one year’s imprisonment in January 1996, and to 16 months’ imprisonment in 1997, respectively. In April 1999, a higher court acquitted him on the latter of the two charges.

[2] BND Bundesnachrichtendienst  German security service, grew out of the CIA-controlled ‘Gehlen Org.’

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