-Caveat Lector- from: http://www.aci.net/kalliste/ <A HREF="http://www.aci.net/kalliste/">The Home Page of J. Orlin Grabbe</A> ----- Spy vs. Spy Ritter Says the CIA Was with UN in Iraq for Years Spy placement started in 1992 WASHINGTON -- The CIA began placing American spies among U.N. weapons inspectors in Iraq only a year after the end of the Persian Gulf war of 1991 and worked closely with the United Nations to organize the inspections, a former arms inspector says. The former inspector, Scott Ritter, said in a new book that he and a senior CIA official operating under an assumed name had planned some of the largest and most complex inspections undertaken by the United Nations and that the United Nations inspection teams had included "CIA paramilitary covert operatives." He said a coup attempt against President Saddam Hussein of Iraq in June 1996 coincided with the presence of a U.N. inspection team that included nine CIA officials. Ritter, who does not provide documentation for all of his conclusions and who has been criticized repeatedly by the Clinton administration, speculated in his book that the intelligence agency might have orchestrated the timing. While Ritter praised the agency's employees as "the kind of people you want around you in a difficult situation," the book, "Endgame," supports the Iraqi allegation that the United Nations inspections teams were riddled with American spies almost from the start. Saddam has accused Ritter of being one of the chief spies, but Ritter has denied that. U.S. officials have acknowledged that the CIA gave assistance to the United Nations inspections program and provided specialists to work on the inspections teams. But Ritter makes clear that the agency's involvement was far more extensive -- and began earlier -- than previously reported. The book, scheduled for publication in April by Simon & Schuster, is harshly critical of the Clinton administration and especially of Secretary of State Madeleine Albright. She is depicted as having fought strenuously last year to have Ritter removed from leading an arms inspection team because he was considered too aggressive in dealing with the Iraqis. Albright has dismissed Ritter's criticism in the past, insisting that he "doesn't have a clue" about American policy toward Iraq. The CIA and the United Nations Special Commission on Iraq, or Unscom, which is responsible for the inspection teams, said they had no immediate comment on the book. Galley proofs of the book were obtained on condition that the source not be identified. The Defense Department, which demanded only last week that Ritter turn over a copy of the book for a security review before publication, would not comment Monday on whether it was considering legal action to block distribution. In the book, Ritter provides a detailed description of his work for the United Nations, which began in 1991 and ended last summer when he resigned in part in protest over what he described as the Clinton administration's meddling in the work of the inspectors. In repeated interviews since his resignation, Ritter has alleged that the administration hindered the arms inspections out of fear of direct confrontations with Iraq. Ritter says in the book that the CIA became actively involved in inspections in 1992, the year after the United Nations began weapons inspections in the search for evidence of chemical and biological weapons in Iraq. In the book, he says that he and a senior CIA official -- identified in the book by a pseudonym, Moe Dobbs -- worked closely together "to plan the operational and intelligence support for the largest and most complex inspections ever undertaken by Unscom." Ritter said that beginning in the spring of 1992, "Dobbs and his men provided seasoned personnel who could operate vehicles, organize logistics, run communications -- simply put, the kind of people you want around you in a difficult situation." The agency played its largest role, he said, in an inspection in June 1996, when nine "CIA paramilitary covert operators" were placed on a team seeking to inspect compounds maintained by the elite Iraqi Republican Guards. The compounds were believed to be hiding evidence of Iraq's programs to build chemical and biological weapons. The Iraqis tried to block the inspection, resulting in a standoff that lasted several days and brought swift condemnation of Iraq by the United Nations. That same month, Iraqi dissidents made a coup attempt against Saddam. The coup failed, and Ritter said he later became suspicious of the timing of the coup attempt and of the presence of an Unscom inspection team that included several of the agency's employees. "There was no proof of Dobbs' involvement, but there was a strong set of coincidences," he said. "The inspection was directed almost exclusively at Special Republican Guard sites; the coup plotters were from some of the same units we were trying to inspect." While working for the United Nations, Ritter, a former Marine intelligence officer, was paid by the Defense Department; he was considered to be on loan to Unscom. "We have reminded Ritter of his responsibilities, and we just leave it at that," said David Rigby, a spokesman for the Defense Threat Reduction Agency, the Pentagon agency that had Ritter under contract. The Pentagon has argued that under his contract, Ritter is required to submit the book for a security review if it contains any information, classified or unclassified, about his work for the United Nations. Ritter and his lawyer have said that the Pentagon's demand is an effort to intimidate him into silence and that the contract cannot be enforced since it expired last year. The New York Times, Feb. 23, 1999 Deflation Continues Japan's Trade Surplus Increases by 87 Percent Recession causes imports to drop faster than exports TOKYO - Japan's trade surplus soared 87 percent in January from the same month last year as the nation's recession crushed demand for imports, the government announced Monday. At the same time, Japanese exports to the United States and Europe fell, particularly U.S. exports of steel that have been at the center of a growing trade dispute with Washington. The merchandise trade surplus, the measure of all goods exported by Japan minus those imported, grew to $6.28 billion for the first month of the year, the Ministry of Finance said. The trade surplus with the United States decreased 2.2 percent in January, to $4.03 billion, the ministry said. The overall trade surplus, which was higher than expected, ''reflects the severity of Japan's depressed domestic demand,'' said Satoru Ogasawara, economist at Credit Suisse First Boston, blaming the deepest recession since World War II. ''The gap between exports and imports will continue to grow since the yen is now heading toward 125 yen level,'' Mr. Ogasawara warned. Imports and exports both fell, as collapsing demand at home coincided with fading demand in the United States and Europe. While exports tumbled 10.6 percent to 3.45 trillion yen ($28.8 billion), imports fell 22.1 percent to 2.69 trillion yen, the Finance Ministry said. ''This month's surplus was mainly due to a heavy drop in imports as the Japanese market could not absorb goods from Asia because of the prolonged stagnation of domestic demand,'' a Finance Ministry official said. Measured on a monthly basis, Japan's merchandise trade surplus surged 33 percent in January from December. The steady climb in the surplus reflects consumers' reluctance to spend amid Japan's worst recession in decades. That has cut demand for imports and made Japanese manufacturers increasingly reliant on sales overseas. Japan has been under heavy pressure from the United States and other trading partners to rein in the surplus by bolstering its weak economy and spurring demand for imports. Exports had increased in the three quarters through September as strong sales of steel to the United States and of cars to Europe offset plunging shipments to Asia. In the fourth quarter, though, exports fell because of waning U.S. and European demand. ''The Japanese export environment is clearly deteriorating,'' said Yoshito Sakakibara, an economist at Goldman Sachs. ''Exports to Europe are deteriorating significantly'' because of the slowdown in the European economies, Mr. Sakakibara said. In January, exports to the 15 member countries of the European Union fell 1.4 percent, from the month before, the first decline in 25 months. Japan's trade surplus rose 40.1 percent in 1998 from the previous year to a record $121.8 billion, while the country's surplus with the United States rose 33.4 percent to $58.3 billion Industrial output in Japan has fallen eight of the past 12 months as companies cut production because of weak consumer demand. Household spending in Japan fell 2.2 percent in 1998 as rising unemployment and falling incomes caused consumers to increase savings. The fall in consumer spending, which accounts for 60 percent of the economy, helped push the nation into its worst recession in more than 50 years. The government expects the economy to shrink 2.2 percent in the year through March, yet grow 0.5 percent the following year. Separately, the Finance Ministry reported that Japanese steel exports to the United States plunged more than 25 percent in January compared with a year earlier. Japanese steelmakers, anticipating the imposition of punitive tariffs by the U.S. Commerce Department, cut exports of steel to the United States in January by 28.7 percent in value and 25.4 percent in volume from the same month a year earlier. Japan's steel exports have become a major trade conflict between the two countries since the U.S. steel industry accused Japanese companies of dumping low-priced steel in the United States. U.S. steelmakers such as Bethlehem Steel Corp. accused Japanese competitors of dumping, or selling products at below the cost of production. International Herald Tribune, Feb. 23, 1999 Single Currency Weak Euro Places G7 Ministers Under Fire Euro down to $1.10 from a high of $1.19 THE euro fell to new lows against the dollar and the pound yesterday as investors expressed their frustration at the failure of Group of Seven finance ministers to find a solution to the currency's persistent weakness during weekend talks in Bonn. London-based dealers reported heavy selling by institutional investors concerned at the deteriorating outlook for the euro economy and the policy of "benign neglect" towards the currency being pursued by European governments. The euro ended the day at $1.0969, down from $1.1070 on Friday and an initial trading value of $1.1900. It also fell to a new low of £0.6790, down from £0.6827 and an initial trading value of £0.71220. Investors who thought the euro would become a reserve currency to rival the dollar are now confronted with a different reality. The value of their holdings has fallen by 7.5pc against the dollar and by 6.5pc against the pound in the space of six weeks and looks set to weaken further. Paul Meggyesi, senior currency economist at Deutsche Bank in London, warned yesterday: "European politicians have given the impression that they are content to see the euro slip. If they push the policy of benign neglect too far, it will be perceived as a policy of malign intent, and that could cause real problems." The euro's miserable performance will cast a shadow over the publication later today of the Government's national changeover plan. The plan will set out in detail the practical steps needed to prepare shops, companies and public sector organisations for British membership of the euro should the public vote in favour in a referendum. The latest bout of euro nerves follows news last week that the German economy contracted by 0.4pc in the final quarter of 1998, its biggest quarterly decline for six years. By contrast, the American economy grew by 1.2pc during the same period. Gerard Lyons of DKB International expressed deep concern yesterday at the willingness of European governments to see the euro fall. He warned: "A weak currency will not solve the problems of the euro economy. What is needed are policies aimed at triggering a rebound in domestic demand." The London Telegraph, Feb. 23, 1999 ----- Aloha, He'Ping, Om, Shalom, Salaam. Em Hotep, Peace Be, Omnia Bona Bonis, All My Relations. Adieu, Adios, Aloha. Amen. Roads End Kris DECLARATION & DISCLAIMER ========== CTRL is a discussion and informational exchange list. Proselyzting propagandic screeds are not allowed. Substance—not soapboxing! These are sordid matters and 'conspiracy theory', with its many half-truths, misdirections and outright frauds is used politically by different groups with major and minor effects spread throughout the spectrum of time and thought. 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