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WORST KEPT SECRETS OF THE BUMBLING BEAR (Part 1 of 2)
by Jared Israel
[Originally Posted 22 May 2001]
[Reposted 2 December 2001] =======================================

Below is an article from the 'San Francisco Bay Guardian', entitled,
'The CIA's Worst-Kept Secret.' It discusses some recently unclassified
CIA files. These documents, 18,000 pages in all, confirm that U.S.
intelligence recruited and protected Nazis starting at the end of World
War II. 

I am posting and writing about this article for two reasons. First, it
includes some useful information about the Nazi-CIA marriage. Second, it
presents that information from a perspective that I consider at once
mistaken and widespread; hence worth discussing.

The article was written by Martin Lee. Mr. Lee argues that after World
War II, Nazi spies duped the U.S. into hiring them, thereby protecting
themselves and their networks from prosecution.

He cites the example of General Reinhard Gehlen. Gehlen had been chief
of Nazi intelligence in the Soviet Union and Eastern Europe. According
to Mr. Lee, Gehlen fooled spymaster Allen Dulles, who later became
Director of the CIA, in the following way: 

"Gehlen was quickly spirited off to Fort Hunt, Va. The image he
projected during 10 months of negotiations at Fort Hunt was, to use a
bit of espionage parlance, a "legend" --one that hinged on Gehlen's
false claim that he was never really a Nazi, but was dedicated, above
all, to fighting Communism. Those who bit the bait included future CIA
director Allen Dulles, who became Gehlen's biggest supporter among
American policy wonks. " (From the text below)

There's a bit of a problem here. 

Starting more than a decade earlier, Allen Dulles, a leading diplomat
and spy, and his brother, John Foster, a Wall Street insider, had
created a financial-intelligence apparatus to assist the Nazis. So
Dulles had long-standing, friendly relations with Nazis. That being the
case, why would Dulles be upset if he 'learned' that Gehlen (a top Nazi
spy) was a Nazi? (1) 

Moreover, Gehlen had not been some cloistered spy. His job had not been
simply to coordinate the gathering of information. He had been a key
leader of the work of fascist groups in the occupied East, such as the
Iron Guard in Romania, the Latvian Vanagis and the Croatian Ustashe.
These groups committed the most unimaginably brutal atrocities against
'Untermenschen', Jews, 'gypsies', Serbs and other Slavs and Orthodox
Christians, as well as against anti-Nazis, both Communist and
non-Communist, including various Nationalist groups, which resisted the
Nazis. Gehlen was a leading war criminal. 

Did Allen Dulles know all this? Of course he knew all this. He was a
U.S. spymaster with almost three decades experience and he had worked
with the Nazi leadership for two decades. Dulles arranged to have Gehlen
secretly brought to the U.S. precisely so that the Russians wouldn't get
hold of him and put him on trial for war crimes and hang him. 

Once they had Gehlen safely in the U.S., Allen Dulles and other top U.S.
Intelligence operatives met with Gehlen and planned a nightmare
creation: a vast European spying-and-subversion apparatus, controlled by
Washington but staffed by hundreds and then thousands of Nazi war
criminals. The Nazis may have lost the war but Nazism had found new
life. (6) 

Since Allen Dulles knew that Gehlen commanded an army of monstrous war
criminals in Eastern Europe and Russia, what is the significance of
Dulles' supposed (though frankly unbelievable) belief that Gehlen was
not a Nazi? 

Mr. Lee's suggestion that Dulles' rescue and empowerment of Gehlen was
somehow less monstrous because he was 'fooled' about Gehlen's Nazi
beliefs is typical of the way the mass media has been whitewashing
American foreign policy since 1945. 

According to this reasoning, it is a crime if Nazis (or Islamist
terrorists) go out and commit atrocities on their own. But if they
commit atrocities at the behest of American leaders who are a) naive
about who these Nazis (or Islamist terrorists) are and b) are only using
these Nazis or terrorists in pursuit of good American values, then it is
OK. This treats the American foreign policy establishment as if it were
some perpetual teenager who may have fallen in with a bad crowd, but
heck, he'll grow out of it.

Very few of us will ever read the declassified Nazi-CIA documents.
Articles like Mr. Lee's from the 'San Francisco Bay Guardian', a
left-leaning newspaper, must inform our view. Throughout the article,
Mr. Lee portrays Washington as naive, trapped by a Cold War mentality
into recruiting Nazis (or, as he suggests at the end of his article, by
recruiting too many of them...you know, Nazis are OK, but only if taken
in moderation...)

Can it be that a smart guy like Mr. Lee really believes that the very
sophisticated men who shaped US foreign policy over the past 50 years
unknowingly blundered into bed with the worst butchers of the century? I
cannot say; but by making this absurd idea the theme of his article, Mr.
Lee, the critic, makes himself an apologist for the thing he is
seemingly attacking.

DID THE NAZI-CIA MARRIAGE TAKE PLACE BECAUSE WASHINGTON WAS IN A "COLD
WAR MENTALITY"?

This notion, which is put forward by Mr. Lee, is contradicted by two
important facts:

Fact # 1 - No, Because It Started Too Early

Washington began working with high-placed officials in the Vatican at
the end of the war to set up Nazi escape routes. Some of the Nazis whom
they cooperated in rescuing were spies. Others were just Nazi butchers. 

The escape routes, appropriately called 'ratlines', started in Eastern
Europe and the Balkans, particularly Croatia, and terminated in the
U.S., Canada, Australia, Latin America, and so on. How could it be true
that the U.S. got swept up in organizing the ratlines due to a Cold War
mentality when the Cold War hadn't yet begun? (2) 

Mr. Lee is aware that the U.S. began rescuing Nazis before the Cold War
began. He points out that this:

"...belies the prevalent Western notion that aggressive Soviet policies
were primarily to blame for triggering the Cold War."

Point well taken. But at the same time, Mr. Lee writes:

"The early courtship of Gehlen by American intelligence suggests that
Washington was in a Cold War mode sooner than most people realize."
(From the text below)

What does this mean? If aggressive Soviet policies were not to blame for
triggering the Cold War, why does Mr. Lee say that "Washington was
[already] in a Cold War mode" at the end of World War II? Doesn't a
"Cold War" require two sides?

What Mr. Lee probably means is that at the end of W.W. II; Washington
was in an "Attack Russia!" mode. Indeed, it was precisely Washington's
belligerent and criminal actions, such as rescuing Nazi war criminals,
that created the international climate of hostility and threat which
became known as the "Cold War". 

In the decade and a half before World War II, Washington and Wall
Street, including the the Dulles brothers and the grandfather and great
grandfather of President Bush, played a dangerous game. They helped put
the Nazis in power and aided them once they got in power. With their
assistance, the shattered German war industry was rebuilt in record
time. 

Why did Dulles and the Walker/Bush family and others in the U.S.
Establishment help finance the creation of a powerful, fascist state in
Germany? They did it in large measure because they planned to use the
Nazis to attack Soviet Russia. 

Alas, as the poet says, the best laid plans of mice and men often fail.
Instead of settling for their assigned role, of conquering Russia, the
German Nazi/Corporate state decided to conquer everyone. Washington and
London responded to this unacceptable ambition in a measured fashion.
First, they allowed the Nazis to inflict maximum damage on the Soviet
Union. Then they opened a Second Front (the Normandy Invasion) in order
to prevent the USSR from liberating all of Europe and to make sure the
Nazis were not completely crushed.

After World War II Washington didn't go into "Cold War mode." It simply
continued with its plan of using Germany and the Nazis against the USSR.
Except now the Nazi apparatus existed all over Eastern and Southern
Europe (including in Russia) and Soviet influence was far more extensive
as well.

Fact # 2 - No, because the U.S. Foreign Policy Establishment Didn't Use
the Nazis Only to Spy

The Nazi murderers whom the U.S. helped rescue, in violation of law and
decency, were not simply spies. Many of them were monstrous war
criminals. And these war criminal/spies were not simply rescued, dumped
in various countries, and then forgotten.

Instead the U.S. maintained a great network of the 'escapees' and their
contacts all over Europe with three purposes: 

* to spy; 

* to nurture networks of fascists dedicated to infiltrating, subverting
and sabotaging the socialist and non-socialist states of Europe, a
network linked to U.S. intelligence (and to Germany); 

* and to prepare a force that could be sent back into the socialist
countries, especially the strategic Baltic states of Latvia, Lithuania
and Estonia, and into the Balkans states, especially Yugoslavia, when
the time was ripe. 

The Nazi and pro-Nazi 'refugees' were maintained at the expense of U.S.
taxpayers through programs such as the 'Assembly of Captive Nations' (3)


In the late 1980s and early 1990s many of the U.S.-protected Nazi war
criminals (and/or their children) were shipped back to Eastern Europe
and the Balkans where they helped to launch secessionist movements,
install U.S. and German puppet governments, assassinate those who
resisted and foster national hatreds. For example, returning Fascists
helped Franjo Tudjman's neo-Nazi group, the Croatian Democratic Union,
or HDZ, take over the Croatian Republic and launch a secessionist war
against Yugoslavia in 1991. (4) 

THE BUMBLING BEAR THEORY OF U.S. FOREIGN POLICY

Why do critics of U.S. foreign policy so often present Washington as a
passive force? Why are we constantly told that the U.S. is being 'used
by the Cuban exiles for their own agenda' or that the U.S. has 'screwed
up once again by backing the Kosovo Liberation Army' and that 'sooner or
later the Americans will find out what kind of monsters these Albanian
secessionists are' and so on. (5)

Two explanations come to mind.

First, wittingly or unwittingly, people tend to censor themselves in
confrontation with reckless power.

When one is criticizing an Establishment that bombs pill factories
because it doesn't like the government (as the U.S. did in Sudan), that
bombs Bosnia, Kosovo and Iraq with radioactive weapons and then sends
its own and allied troops into the contaminated areas, that refuses to
punish submarine commanders who cause the deaths of Japanese fishermen
while performing daredevil stunts with nuclear submarines - in
criticizing such an Establishment one may experience the temptation to
exercise restraint.

If, for example, one argues that Washington was tricked into working
with Nazis one may feel reasonably secure. One is not challenging the
basic legitimacy of the Wall Street-Washington axis. But if one argues
that the nightmares of U.S. foreign policy have been, like most
large-scale human activities, planned, then one will be accused of being
conspiratorial, or extremist, or worse. One may find that certain doors,
previously open, are now shut tight. Or worse. 

Second, American TV and films, viewed by people all over the world,
project an image of the Innocent American official: kind hearted, too
powerful for his own good; easily fooled and manipulated. This plays a
big role in conditioning people to think of the U.S. government as a
bumbling bear.

Since the movies are partly responsible for this nonsensical image of
American leaders, let me paraphrase a famous movie speech by way of
refutation:

"Don't be too sure we're as naive as we're supposed to be. That sort of
reputation might be good business, toning down the critics and making it
easier to deal with the enemy." (With apologies to Sam Spade in the
'Maltese Falcon', for which see http://www.filmsite.org/malt.html ) 

Was Washington an innocent bystander during World War II? It was most
surely not. The OSS, predecessor of the CIA, was engaged all over
Europe. OSS operatives knew - and reported - that monstrous crimes were
being committed by Nazis, following which Washington recruited these
same Nazis into its burgeoning covert apparatus, the most sensitive
branch of the U.S. government. 

Think about this. The OSS was a small organization. The Nazi apparatus
was huge and well organized. Absorbing the Nazis into U.S. intelligence
was like a garter snake eating a rat. What does this mean? It means the
most powerful forces in the U.S.A. had decided that the CIA was to be,
in essence, a Nazi organization.

Washington's goal was to break up the USSR and other Socialist states
and bring them under U.S. domination. The way Washington planners viewed
things, Nazis had many virtues. They respected capitalism. They despised
a host of groups (including Serbs and other Slavs, 'Gypsies', other
dark-skinned people, etc.) who tended to resist U.S. domination. They
were good at playing on prejudice against these groups. Moreover, the
intensity of their hate gave an energy of persistence to their work.
They were skilled at demagoguery, subversion, assassination, and
torture. 

Numerous virtues; only one fault: a very bad reputation, regarding
which, no problem unless the truth came out. And should the truth come
out, (as it is indeed trickling out today) the important thing from
Washington's point of view was and is to make sure the inevitable
criticism has the proper slant. Let the critics declare that it was all
a terrible, stupid, unforgivable mistake and we should learn 'our'
lesson and never never do such bad things again. 

Better to be attacked for being unforgivably stupid than for being
unforgivably evil. To this end, President Clinton set up an 'Interagency
Working Group' (IWG), made up of "scholars, public officials, and former
intelligence officers who helped prepare the CIA records for
declassification." It would appear that Mr. Lee has accepted the IWG's
spin on the Nazi-CIA connection.

Below is the 'San Francisco Bay Guardian' article. 

Following the article I have posted a few dissenting remarks.

-- Jared Israel, 21 May 2001

==================================================

The CIA's Worst-Kept Secret 
>From 'San Francisco Bay Guardian', May 7, 2001 

Newly Declassified Files Confirm United States Collaboration with Nazis 
by Martin A. Lee

=============================================

"Honest and idealist ... enjoys good food and wine ... unprejudiced mind
..." 

That's how a 1952 Central Intelligence Agency assessment described Nazi
ideologue Emil Augsburg, an officer at the infamous Wannsee Institute,
the SS think tank involved in planning the Final Solution. Augsburg's SS
unit performed "special duties," a euphemism for exterminating Jews and
other "undesirables" during the Second World War. 

Although he was wanted in Poland for war crimes, Augsburg managed to
ingratiate himself with the U.S. CIA, which employed him in the
late1940s as an expert on Soviet affairs. Recently released CIA records
indicate that Augsburg was among a rogue's gallery of Nazi war criminals
recruited by U.S. intelligence shortly after Germany surrendered to the
Allies.. 

Pried loose by Congress, which passed the Nazi War Crimes Disclosure Act
three years ago, a long-hidden trove of once-classified CIA documents
confirms one of the worst-kept secrets of the Cold War-- the CIA's use
of an extensive Nazi spy network to wage a clandestine campaign against
the Soviet Union. 

The CIA reports show that U.S. officials knew they were subsidizing
numerous Third Reich veterans who had committed horrible crimes against
humanity, but these atrocities were overlooked as the anti-Communist
crusade acquired its own momentum. For Nazis who would otherwise have
been charged with war crimes, signing on with American intelligence
enabled them to avoid a prison term. 

"The real winners of the Cold War were Nazi war criminals, many of whom
were able to escape justice because the East and West became so rapidly
focused after the war on challenging each other," says Eli Rosenbaum,
director of the Justice Department's Office of Special Investigations
and America's chief Nazi hunter. Rosenbaum serves on a Clinton-appointed
Interagency Working Group committee of U.S. scholars, public officials,
and former intelligence officers who helped prepare the CIA records for
declassification. 

Many Nazi criminals "received light punishment, no punishment at all, or
received compensation because Western spy agencies considered them
useful assets in the Cold War," the IWG team stated after releasing
18,000 pages of redacted CIA material. (More installments are pending.) 

These are "not just dry historical documents," insists former
congresswoman Elizabeth Holtzman, a member of the panel that examined
the CIA files. As far as Holtzman is concerned, the CIA papers raise
critical questions about American foreign policy and the origins of the
Cold War. 

The decision to recruit Nazi operatives had a negative impact on
U.S.-Soviet relations and set the stage for Washington's tolerance of
human rights' abuses and other criminal acts in the name of
anti-Communism. With that fateful sub-rosa embrace, the die was cast for
a litany of antidemocratic CIA interventions around the world. 

The Gehlen Org 

The key figure on the German side of the CIA-Nazi tryst was General
Reinhard Gehlen, who had served as Adolf Hitler's top anti-Soviet spy.
During World War II, Gehlen oversaw all German military-intelligence
operations in Eastern Europe and the USSR. 

As the war drew to a close, Gehlen surmised that the U.S.-Soviet
alliance would soon break down. Realizing that the United States did not
have a viable cloak-and-dagger apparatus in Eastern Europe, Gehlen
surrendered to the Americans and pitched himself as someone who could
make a vital contribution to the forthcoming struggle against the
Communists. In addition to sharing his vast espionage archive on the
USSR, Gehlen promised that he could resurrect an underground network of
battle-hardened anti-Communist assets who were well placed to wreak
havoc throughout the Soviet Union and Eastern Europe. 

Although the Yalta Treaty stipulated that the United States must give
the Soviets all captured German officers who had been involved in
"eastern area activities," Gehlen was quickly spirited off to Fort Hunt,
Va. The image he projected during 10 months of negotiations at Fort Hunt
was, to use a bit of espionage parlance, a "legend" --one that hinged on
Gehlen's false claim that he was never really a Nazi, but was dedicated,
above all, to fighting Communism. Those who bit the bait included future
CIA director Allen Dulles, who became Gehlen's biggest supporter among
American policy wonks. 

Gehlen returned to West Germany in the summer of 1946 with a mandate to
rebuild his espionage organization and resume spying on the East at the
behest of American intelligence. The date is significant as it preceded
the onset of the Cold War, which, according to standard U.S. historical
accounts, did not begin until a year later. The early courtship of
Gehlen by American intelligence suggests that Washington was in a Cold
War mode sooner than most people realize. The Gehlen gambit also belies
the prevalent Western notion that aggressive Soviet policies were
primarily to blame for triggering the Cold War. 

Based near Munich, Gehlen proceeded to enlist thousands of Gestapo,
Wehrmacht, and SS veterans. Even the vilest of the vile -- the senior
bureaucrats who ran the central administrative apparatus of the
Holocaust -- were welcome in the "Gehlen Org," as it was called,
including Alois Brunner, Adolf Eichmann's chief deputy. SS major Emil
Augsburg and Gestapo captain Klaus Barbie, otherwise known as the
"Butcher of Lyon," were among those who did double duty for Gehlen and
U.S. intelligence. "It seems that in the Gehlen headquarters one SS man
paved the way for the next and Himmler's elite were having happy reunion
ceremonies," the Frankfurter Rundschau reported in the early1950s. 

Bolted lock, stock, and barrel into the CIA, Gehlen's Nazi-infested spy
apparatus functioned as America's secret eyes and ears in central
Europe. The Org would go on to play a major role within NATO, supplying
two-thirds of raw intelligence on the Warsaw Pact countries. Under CIA
auspices, and later as head of the West German secret service until he
retired in 1968, Gehlen exerted considerable influence on U.S. policy
toward the Soviet bloc. When U.S. spy chiefs desired an off-the-shelf
style of nation tampering, they turned to the readily available Org,
which served as a subcontracting syndicate for a series of ill-fated
guerrilla air drops behind the Iron Curtain and other harebrained CIA
rollback schemes. 

Sitting ducks for disinformation 

...Third Reich veterans often proved adept at peddling data -- much of
it false -- in return for cash and safety, the IWG panel concluded. Many
Nazis played a double game, feeding scuttlebutt to both sides of the
East-West conflict and preying upon the mutual suspicions that emerged
from the rubble of Hitler's Germany. 

General Gehlen frequently exaggerated the Soviet threat in order to
exacerbate tensions between the superpowers. At one point he succeeded
in convincing General Lucius Clay, military governor of the U.S. zone of
occupation in Germany, that a major Soviet war mobilization had begun in
Eastern Europe. This prompted Clay to dash off a frantic, top-secret
telegram to Washington in March 1948, warning that war "may come with
dramatic suddenness." 

Gehlen's disinformation strategy was based on a simple premise: the
colder the Cold War got, the more political space for Hitler's heirs to
maneuver. The Org could only flourish under Cold War conditions; as an
institution it was therefore committed to perpetuating the
Soviet-American conflict. 

"The agency loved Gehlen because he fed us what we wanted to hear. We
used his stuff constantly, and we fed it to everyone else -- the
Pentagon, the White House, the newspapers. They loved it, too. But it
was hyped-up Russian bogeyman junk, and it did a lot of damage to this
country," a retired CIA official told author Christopher Simpson, who
also serves on the IWG review panel and was author of "Blowback:
America's Recruitment of Nazis and Its Effects on the Cold War." 

CONTINUED, PART 2

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