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Spy vs. Spy
U.S. Accused of 'Promis' Information Warfare Program
An Aspect of Echelon
[Interview with Fabrizio Calvi and Thierry Pfister, authors of book
L'Oeil de Washington (The Eye of Washington), by Denis Jeambar and Yves
Stavrides; place and date not given: "Espionage: How Washington
Booby-Trapped All the World's Computers"]
[Translated from the French] How far can a government go? Democracies
have settled that issue of the desire for power in principle: The state
of law, situated at the heart of their institutional mechanisms, forms
their boundaries. But that framework is in fact more virtual than real,
and laws or treaties are very fragile barriers when it comes to
containing the appetite for conquest. All democracies have their shadowy
areas known as the secret police or as espionage networks. Those
instruments for protecting national interests are also weapons of
conquest. All states use them, but then again, might makes right. L'Oeil
de Washington (The Eye of Washington) by Fabrizio Calvi and Thierry
Pfister, soon to be published by the Albin Michel Publishing House, is
an almost incredible illustration of that. Following an unusually
rigorous investigation, the two journalists reveal how the United States
penetrated and booby-trapped the computer systems of its enemies and
allies. This unprecedented espionage operation, suddenly revealed in
this flabbergasting book, shows that the democratic ideal remains a very
weak rampart against the will to dominate.
[LE VIF/L'EXPRESS] Spies by the dozen, crooked politicians, games of
consequences, bizarre suicides, arms merchants, drug traffickers, and
all of it on a global scale! There is a shock right at the start: The
U.S. and Israeli intelligence services reportedly have been
booby-trapping all of the world's computer systems since the 1980's!
After reading your book, one wonders if one might have been dreaming.
[Answer] The story seems incredible, but it is true. It is backed by two
investigating committees in the United States: the one in the House of
Representatives and the one in the Senate. By three trials. By proof. By
statements by the participants, although they are not necessarily
presentable--that is typical of secret operations of this kind. The
Inslaw case is a taboo subject, with its load of disinformation and with
its gray areas, unverifiable statements, and ghosts. We had to clean
things up. Because it is a shameful affair. The manipulators and
especially the manipulated cannot be proud of it. In THE NEW YORK TIMES
on 21 April 1991, an honest man whose integrity is beyond dispute and
who--for good reason--had access to the CIA published a fantastic artic
le titled "A High-Tech Watergate." That man knows what he is talking
about. He is Elliot Richardson, a former attorney general under Richard
Nixon, and at the time he refused to cover up the Watergate scandal and
resigned in a blaze of publicity. Today Richardson is the attorney for
the victim in that crazy story: Bill Hamilton, owner of the Inslaw
computer company.
[LE VIF/L'EXPRESS] In his case, everything started with an ordinary
industrial property lawsuit.
[Answer] Exactly. Hamilton is a former agent of the National Security
Agency (NSA). The NSA, based at Fort Meade, Maryland, is the electronic
wiretapping center of the planet. Trained as an engineer, Hamilton
worked for the NSA in Vietnam. He left the NSA and started his company
in the early 1970's. That was before the era of minicomputers.
Microcomputers had not yet appeared. To combat crime, the Justice
Department--like the CIA and the FBI--was dreaming of a software package
that would make incompatible things compatible. Every prosecutor's
office had its own data, files, and day-to-day operations. In plain
language, was it possible to devise software that would interconnect all
the prosecutors' offices and all their files and data? The department
then issued a call for tenders and launched a program to finance the
project. So, using public money, Bill Hamilton developed software known
as Promis. There were fantastic breakthroughs in computers in the late
1970's and early 1980's, as computers went from eight to 16 bits--bits
being a reflection of the power of the machines: their speed of
execution.
[LE VIF/L'EXPRESS] That did not prevent Carter from halting the program.
[Answer] True. When Reagan arrived at the White House in 1980, the
program had been halted. But using private funds--and that is another
ambiguous aspect of the affair--Hamilton developed a 32-bit version
using a Vax VMS computer. His improved software, Promis, then became a
miraculous object. From one state to another and from one country to
another, it could read utility bills, check up on financial flows in and
out of bank accounts, and track people as they entered and left
territories. It could do everything! It could learn everything about
anyone! Hamilton got the contract to equip U.S. prosecutors' offices.
Price: $3 billion!
[LE VIF/L'EXPRESS] And then his troubles began.
[Answer] The Justice Department did everything possible to kill his
company, Inslaw. To bring it to its knees. It quibbled, it split hairs,
and payments were delayed. It demanded that he hand over the
manufacturing secrets regarding Promis in its new Vax VMS version. To
get his money, he yielded in 1982 and gave the Justice Department a copy
of the 32-bit version. He still did not get paid. He was accused of
financing the "miracle" with public money. It did him no good to deny
it: He was pushed to bankruptcy. They sent the IRS after him, and he was
dragged into bankruptcy court. He did not understand what was happening.
[LE VIF/L'EXPRESS] Unknown to him, Promis would be sold all over the
planet. And the affair took on its dual dimension: wheeling and dealing
on one hand, and espionage on the other.
[Answer] We should note, first of all, that at the center of the
department's decisionmaking apparatus was Lowell Jensen, Hamilton's
competitor. Then a key figure appeared: Dr. Earl Brian. A former CIA man
in Vietnam, he was very close to Reagan, whom he had served as secretary
of health in California--and incidentally, he took all the department's
files with him when he left. As financial backer of the Republican Party
and owner of the UPI agency, Brian picked up a good many government
contracts-- the infrared systems along the Mexican border, for example--
thanks to his direct line to the new president. Brian also owned a
computer company called Hadron. And he controlled a genius in the field,
Michael Riconosciuto, a contract employee of the CIA who had a weakness
for drugs. That expert could--and did--adapt the Promis software to suit
the needs of potential customers. The Canadian police were the first to
place an order.
[LE VIF/L'EXPRESS] But who in the department was behind that
piracy--that swindle?
[Answer] It is noted that Ed Meese, adviser to the White House and an
expert on Promis, the merits of which he had praised publicly as early
as 1981, was named attorney general. And Ed Meese's wife owned stock in
Earl Brian's holding company, which controlled the Hadron firm. But the
affair also concerned --primarily--the White House Secret Service.
[LE VIF/L'EXPRESS] And the Israeli intelligence service entered the
fray. Who gave them Promis and why?
[Answer] Why? All one can do is guess. Israel was a privileged partner
of the United States and of the Reagan administration. From the moment
that the--booby-trapped--software began to be sold all over the world,
it was clear that the Israelis would have an easier time selling it to
the "enemies" of the United States and that the Americans would be able
to sell it more easily to Israel's "enemies." That was why they were
offered Promis. To whom in particular? To a legend in the world of
intelligence, Rafi Eitan. It was he who had trapped Adolf Eichmann in
Buenos Aires on 11 May 1960. A loner. In 1982, Minister of Defense Ariel
Sharon put him in charge of the most secret of Israeli intelligence
services: Lakam (one of Lakam's achievements was its stealing of the
plans for the Mirage F1). Rafi Eitan brought in a military intelligence
ace who had participated in the Entebbe raid and was an expert on
terrorism for Shamir: Ari Ben-Menashe. Rafi and Ari knew each other
well. They had worked together during the U.S. hostage crisis in Tehran.
And with whom? With the good Dr. Brian and his henchman, Michael
Riconosciuto--the man who had repaired the computer systems sabotaged by
the shah's men just before they left. So those four were all back in the
same family again. They were the source of what was called the October
Surprise--that is, the failure to free the U.S. hostages held in Iran in
October 1980 even though everything appeared to have been arranged. With
millions of dollars and arms deliveries to back them up, they negotiated
with Tehran to delay the release until after Carter's departure so that
Reagan would get credit for it in January 1981.
[LE VIF/L'EXPRESS] What role did Promis play in the Near East?
[Answer] To begin with, when the Intifada took off, Israel used it to
open files on the Palestinians living the occupied territories. Next,
one of Brian's teams sold it to Jordan. But that software was
booby-trapped. Everything that Jordanian security had stored and did
store regarding the Palestinians ended up in the hands of the Americans
and the Israelis.
[LE VIF/L'EXPRESS] And how was the product booby-trapped?
[Answer] Originally, it was a very makeshift job. A matter of tinkering.
The only thing necessary was to add a line of code--buried in the ocean
of lines in the software--to order the machine to spit out the
information to a telephone number in Jordan: that of an apartment
managed by Israeli intelligence. Which downloaded the data from the
computer. At first it was a businessman--on his way to Vienna--who
carried Jordanian intelligence's listing in his attache case. Things
later became more sophisticated. A "smart chip"--the spy chip, the
"emergency exit"--was slipped into an ocean of completely identical
microchips. Apparently the information becomes part of the electric
current, and from there a satellite picks up the information and
transmits it down to the NSA. What it meant was that unless the computer
were completely disassembled, it was impossible to detect that damned
chip.
[LE VIF/L'EXPRESS] Who were the next customers?
[Answer] There was Chile by way of the Israelis. Dina [National
Intelligence Directorate], the fearsome Chilean police, even entrusted
part of the management of Promis to a German sect called Colonia
Dignidad--made up of real Nazis. In the case of Guatemala and South
Africa, Israel went through a third party: the man who laundered the
money from their arms sales--the late Robert Maxwell, the fiendish press
lord. It must be said that by checking utility consumption, Promis makes
it possible to know whether a place is inhabited or not--whether it is a
potential hideout. In itself, the software is neutral. But it is a tool
that makes repression more effective. And makes it easier. The civil war
in Guatemala resulted in 20,000 dead. Anyone whose name was on file in
Promis had a very good chance of winding up in a grave. The same was
true in South Africa. Intelligence gathered regarding the ANC [African
National Congress] was given to Buthelezi's men, the Zulus in
Inkatha--after which it was fire at will!
[LE VIF/L'EXPRESS] Ari Ben-Menashe claims that Robert Maxwell --whose
handling agent he was--sold Promis to the Soviets.
[Answer] There are 20 pages on that subject in the FBI's files. Twenty
pages with everything blacked out except the words "Maxwell," "Promis,"
and "Russians." In fact, the booby-trapped software was sold to the GRU,
the Soviet military intelligence service. Meanwhile, the Israelis
discovered that the Americans were selling arms to Saddam Husayn.
Speaking through Ben-Menashe, Shamir warned the CIA: Either you stop, or
we will denounce you to the Russians. The sales continued. And as if by
chance, the GRU's computers were mysteriously out of order for a week.
It is likely that the Soviets dismantled and dissected their machines.
[LE VIF/L'EXPRESS] Did the sales continue?
[Answer] Under the name of Promis or some other name, it was sold to
Egypt and Cyprus and throughout the Middle East. In Australia. In
Southeast Asia. To the World Bank. To two French banks: the Credit
Lyonnais and the BNP. To the Swiss banks, including the UBS. Why spy on
the banking system? Two reasons. First, to protect the dollar and keep
an eye on competing currencies. The second reason dates back to 1981 and
the fight against the laundering of drug money. That was the "Follow the
Money" operation launched by Reagan. In a different situation, this time
in France, one of our sources told us that the DGSE (the intelligence
service) had acquired Promis. Whatever the case, the DST (the
counterespionage agency) got its hands on the famous microchip that
downloads data from computers. In addition, obviously, the software
found room for all its applications within the U.S. institutions
themselves: from the CIA to the FBI and from the Air Force to the
Navy--the nuclear-powered submarines and stealth bombers are equipped
with them. Not to mention the laboratories where nuclear tests are
simulated.
[LE VIF/L'EXPRESS] To everyone's surprise, the Clintons are part of the
story!
[Answer] Jackson Stevens--Arkansas billionaire, financial backer of the
Democratic Party, and a friend and partner of the Clintons in the
Whitewater real estate scandal--sells (surprise) Promis software! In
short, he took up the torch from Californian Earl Brian. Vince Foster,
the White House attorney who was linked with Stevens and even more so
with the Clintons, committed suicide on 20 July 1993. A few days
earlier, he had requested two files: one on the NSA and the other on
Promis. His secretary confirms this--it was she who opened them and put
them in the safe. They were never seen again. The safe had been cleaned
out.
[LE VIF/L'EXPRESS] And all of that at Hamilton's expense! What is the
situation with him now?
[Answer] At the first trial, the government was convicted of having
forced the Inslaw firm into bankruptcy by unfair practices. The judge
who handed down that ruling was not reappointed. That is something
rarely seen. He was replaced by the lawyer who was defending the
government's interests! That is something never seen. The second trial
upheld the unfair practices ruling. At the third trial, the first two
trials were not called into question, but it was ruled that a court
specializing in bankruptcies was not qualified to judge the merits of
the case--that is, piracy. It kicked the case up to the Supreme Court.
Which declared itself to be lacking jurisdiction and passed the ball
back in the direction of Congress. Which passed a special law expanding
the jurisdiction of commercial courts. A new trial was held, and the
verdict is expected within the next few weeks. Hamilton is expecting
millions of dollars. And he may wait for them for a long, very long
time. The "espionage" angle is not part of the trial. It is the
intelligence services which use Promis, and it is the White House Secret
Service which played a role in spreading Promis all over the planet. But
the only issue in the trial will be industrial property. None of the
rest exists. It will be impossible go any further. By itself, the
investigation by Congress--the Brooks Commission--is damning for the
U.S. Government. In a roundabout way--and backed by implacable
testimony---it hints that theft and an intelligence operation are
involved. But it does not say so in black and white in its conclusions.
We met with the former cop from Los Angeles who headed that commission.
He gave us his impression: "We could have pulled out all the stops. We
were not given the means to do so. No one really wanted to see us go all
the way with that investigation."
[LE VIF/L'EXPRESS] In that affair, Hamilton is the grain of sand that
brought the machinery to a halt. Why didn't the government buy Promis at
the start? And did the U.S. press say nothing about the affair?
[Answer] Beyond the controversy over public funds as opposed to private
funds, the Justice Department would have been wiser to let him have a
few million dollars. Hamilton would have kept quiet. He would not have
tried to find out. And that says a lot about the arrogance of the
government in general. They told themselves: Why pay him when we can
crush him? They also did not foresee that Elliot Richardson, the former
attorney general who was honesty itself, would get involved. As for the
press, Hamilton went to see Bob Woodward, the Watergate star and star of
the Washington Post, who eventually told him: "This involves state
security. Kathy Graham, the owner, will never let me publish such a
story." Seymour Hersh, the Pulitzer Prize winner who revealed the atroc
ities at My Lai, Vietnam and who has been responsible for exceptional
investigations, did investigate. For the first time in his life, he was
thrown out by every publisher.
LE VIF/L'EXPRESS, May 9, 97, pp 74-82
India vs. Pakistan
Indian Generals Ready to Escalate Kashmir Conflict
THE deadly brinksmanship between India and Pakistan escalated sharply
yesterday with India putting four divisions of strike forces - as well
as its navy - on high alert, in preparation for a possible attack across
the international border, south of Kashmir.
India said the alert had been sounded in response to reports of
substantial Pakistani troop movements along the frontier. With 40,000
Indian soldiers already in Kashmir, the build-up of troops on both sides
of the border represents the largest mobilisation of forces since
military manoeuvres in 1987 almost brought the two countries to war.
India also appears increasingly prepared to strike across the Line of
Control dividing Kashmir, using warplanes, ground and helicopter borne
troops to cut off supplies to Pakistani intruders still occupying
positions within India. Either move - whether an attack by India or
Pakistan across the Punjab or Rajasthan-Sindh borders, or a strategic
operation across the LOC - would be an act of war.
India's Strike Corps, comprising about 10,000 mechanised troops,
armoured formations and infantry divisions, as well as additional
troops, have not yet moved from their bases in Haryana, Punjab and Uttar
Pradesh states. But the Indian army said that they "have been warned to
make preparations". Its navy has also been put on high alert.
Military analysts now believe that in the absence of a political
resolution to the Kashmir crisis, which seems unlikely, the Indian army
has two options: either to fight a lengthy war of attrition in the
Himalayas - with both the winter and a general election looming in three
months' time - or to seek permission for an offensive against Pakistan.
So far, India's military has been restrained by its politicians, who
still hope international pressure will make Pakistan remove its forces
from Indian territory. Last week, President Clinton told Pakistan -
which still maintains the intruders are Indian Kashmiri militants - to
remove its forces. India is hoping for a similarly strong response from
the G8 nations meeting this weekend.
But there are increasing calls from the Indian military, hampered by its
inability to cross the LOC, to mount a strike on the Pakistan side of
the Kashmir border. An Internet poll of 4,400 Indians published last
week showed 81 per cent in favour of an attack across the LOC.
"The restraints we've put on ourselves are out of strength, not
weakness," said a senior army officer. "But as of today," he added,
emphasising the last word, "we are not crossing the LOC." Last week,
after bloody fighting, Indian soldiers finally captured their first key
Pakistani-held positions: Tololing, a 15,000ft mountain and the
strategic highway between Srinagar and Leh; and another mountain-top
further north near the town of Batalik.
Fierce fighting is now raging on the cliffs of Tiger Hills, a 17,000ft
peak, beyond Tololing, where about 250 intruders are believed to be dug
in, and on another 17,000ft peak north of Batalik. The army says it has
pushed the intruders within two miles of the de facto border and the air
force, which is flying in a perilously narrow corridor between the
mountains and the LOC, also said that it had destroyed the intruders'
largest administration and supply camp near Batalik last week.
But while the assaults have provided stirring accounts of individual
bravery, they have also produced an endless procession of flag-covered
coffins. The official figure of about 150 dead and 500 wounded Indian
soldiers is believed to be far lower than the real number; and the army
has said it expects that 2,000 soldiers will die if the conflict
continues until September. It is particularly concerned about the number
of officers it is losing and is already short of about 14,000
commissioned and non-commissioned men.
None the less, the response of the Indian public - to the death toll and
the war - has been overwhelmingly patriotic. Bereaved mothers have vowed
to send more children to fight; young widows have responded with tearful
pride; ordinary Indians have been donating blood as well as money; and
the government of one state has promised to rename a village after each
dead soldier. However, while India can sustain a war more easily than
Pakistan - which despite being on the verge of bankruptcy raised its
defence budget 11 per cent last week - it is costing the country an
estimated £3 million a day, an enormous amount for a poor nation.
Moreover, the Indian army believes that the intrusion in Kargil, which
appears to consist of Pakistani regular soldiers in mufti, supported by
Afghan mercenaries and Islamic militants, is part of a larger,
longer-term strategy by Pakistan to seize large parts of Indian Kashmir;
and that the heights, once recaptured, will require an enormous outlay
of men and armaments.
"The quickest way to finish this off would be to mount an attack
elsewhere - and we can do it," said a senior army officer. "We didn't
have to confine ourselves to this area or to these lines."
The London Telegraph, June 20, 1999
-----
Aloha, He'Ping,
Om, Shalom, Salaam.
Em Hotep, Peace Be,
Omnia Bona Bonis,
All My Relations.
Adieu, Adios, Aloha.
Amen.
Roads End
Kris
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