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Part Two: Dirty Tricks, Inc.
DynCorp drug trafficking and cover-up?

By Uri Dowbenko
Online Journal Contributing Writer
 
March 27, 2002—"The Resister," a US military whistleblower publication, has claimed that DynCorp was contracted by the CIA to "observe" activities against the Kosovo Liberation Army (KLA) on the part of the Serbs.

For the record, the KLA was a drug-financed army of gangsters, murderous thugs and terrorists, trained by the CIA, and used to undermine attempts at peace between Kosovars, Albanians and Serbs.

DynCorp's contracted employees are typically ex-military, probably "sheep dipped" (moved into a new cover) into DynCorp, standard operating procedure for black ops and other covert activities by US military and intelligence organizations.

Most recently, DynCorp's use of military veterans and retired spooks to do the dirty work for the phony "War on Drugs" in Colombia, known as "Plan Colombia," is no exception.

In June 2001, DynCorp's unsavory presence in Colombia was exposed when an American missionary plane was shot down in Peru, leaving a mother and her baby daughter dead.

DynCorp Technical Services had been paid hundreds of millions of dollars by the CIA, Customs Service, Defense Department and State Department for "missions" like these, everywhere from Bosnia, Rwanda, Haiti, Colombia and Peru.

According to an AP story ("Peru incident shines spotlight on shadowy practice," by Lisa Hoffman, April 24, 2001), "DynCorp has supplied dozens of mechanics, trainers, maintenance and administrative workers, logistics experts, rescuers and pilots" for a price tag of $600 million.

The UK Guardian describes DynCorp's role in the five-year $200 million contract as providing "crop dusting pilots for eradication of coca plantations [could they be CIA competitors?] and helicopter pilots to ferry Colombian troops and DynCorp's own security personnel."

Another DynCorp Aerospace Technology subcontractor in the so-called "War on Drugs" (Plan Colombia) called EAST (Eagle Aviation Service and Technology, Inc). has an equally notorious past.
EAST "helped Oliver North run guns to Nicaraguan rebels in what would be known as the Iran-Contra affair," wrote AP reporter Ken Guggenheim on June 5, 2001.

Founded in the 1980s by Richard Gadd, EAST helped North secretly supply weapons and ammunition to the Nicaraguans.

General Richard Secord hired Gadd in 1985 to oversee weapons deliveries, and it's a good bet that drugs would have been flown north on the return trip in Oliver North's infamous "Guns-For-Drugs" operation.

Bid Rigging De Rigueur


Here's another example of insider government contract shenanigans.

According to a General Accounting Office report of Feb. 28, 2001, "the Department of State awarded two contracts to DynCorp Aerospace technology for aviation services to support the Bureau's counter narcotics aviation program." One five-year contract for $99 million was awarded by State in 1991. Then in 1996, State awarded DynCorp another sole-source contract for another $170 million without competitive bidding.

Rigged deals can't get much sweeter, can they?

At the time, DynCorp's Jim McCoy got new contracts from the State, Treasury, and Commerce Departments, as well as the CIA and NASA. It became common knowledge that DynCorp acted as a front-company on behalf of the CIA, hiring mercenaries and "assets" in order to distance itself from the manipulation of US foreign policy from behind the scenes.

According to an article in The Nation ("DynCorp's Drug Problem," by Jason Vest), DynCorp employees have also been implicated in narcotics trafficking. It must be remembered that US involvement in Colombia is ultimately a gambit to control the lucrative drug trade, as well as the oil fields, explored by Bush Family connected Harken Energy.

DynCorp Charged with Terrorism


Most recently DynCorp has been charged with terrorism.

According to Narco News publisher Al Giordano, a class-action lawsuit has been filed in Washington, DC, on behalf of 10,000 farmers in Ecuador and the AFL-CIO-related International Labor Rights Fund. Why? DynCorp has US Government contracts to spray toxic herbicides over 14 percent of Colombia, supposedly to eliminate coca in the phony "War on Drugs."

Giordano writes, "Although DynCorp's taxpayer-sponsored bio-warfare has not made a dent in the cocaine trade, it has caused more than 1,100 documented cases of illness among citizens, destroyed untold acres of food crops, displaced tens of thousands of peasant farmers, and harmed the fragile Amazon ecosystem, all in the name of the 'war on drugs.'"
 
"DynCorp may be about to get its comeuppance in federal court," continues Giordano, "where Justice Richard W. Roberts is presiding over a lawsuit brought by labor, environmental and indigenous groups against the aerial herbicide program. The text of the legal complaint is available online for all to read: http://www.usfumigation.org/compliant.htm.

In addition, NarcoNews.com writes that DynCorp's top corporate director, Paul Lombardi, attempted to intimidate the International Labor Rights Fund, one of the plaintiffs in the lawsuit.

According to documents obtained by NarcoNews.com , on October 25, 2001, "Lombardi wrote to each of the board members of the AFL-CIO allied Rights Fund in an unsuccessful attempt to scare them off the lawsuit. In that letter, Lombardi accused the group, without offering evidence, of fronting for illicit 'drug cartels.' Lombardi also attempted, bombastically, to portray the Rights Fund as an enemy in the war on terrorism. He wrote: 'Considering the major international issues with which we are all dealing as a consequence of the events of September 11th, none of us need to be sidetracked with frivolous litigation the aim of which is to fulfill a political agenda.' And DynCorp's Lombardi attempted to cause the Rights Fund to drop the lawsuit, saying, 'Clearly it is not in our mutual best interests to continue politically charged litigation.' Bishop Jesse DeWitt, president of the International Human Rights Fund, responded in a November 5, 2001 letter to DynCorp's Lombardi, suggesting that it is DynCorp that engages in terrorist actions."

In this letter, Bishop DeWitt called DynCorp's actions in South America "terrorism." He wrote "we found your reference to September 11 particularly apt, but for a very different reason. Based on what appear to be uncontested facts, a group of at least 10,000 Ecuadoran subsistence farmers have been poisoned from aerial assault by your company."

 "Imagine that scene for a moment. You are an Ecuadoran farmer, and suddenly, without notice or warning, a large helicopter approaches, and the frightening noise of the chopper blades invades the quiet," he continues. "The helicopter comes closer and sprays a toxic poison on you, your children, your livestock and your food crops. You see your children get sick, your crops die. Mr. Lombardi, we at the International Labor Rights Fund, and most civilized people, consider such an attack on innocent people terrorism. Your effort to hide behind September 11 is shameful and breathtakingly cynical."
 
"Bishop DeWitt put Lombardi on notice that he and other DynCorp officials may be added as defendants in the lawsuit, now having been officially informed of the harm done by their fumigation program: 'If there is any further spraying done that causes similar harm, we will amend the legal complaint and name you and other DynCorp decision-makers as defendants in your personal capacities, and will charge you with knowingly conducting aerial attacks on innocent people. Again, based on well-established principles of international law, that would be terrorism.'"

Lombardi has shown that Homegrown White-Collar Terrorism is alive and well at DynCorp.

Translating the "Drug War" into Dollars: How Much Pop Per Dead Colombian?


So how much does DynCorp really make on the notorious "War on Drugs" scam?

According to Catherine Austin Fitts, former Housing Secretary and FHA Commissioner in the Bush I administration and former CEO of Hamilton Securities, an investment banking/ software company, the creation of stock value, also referred to as capital gains, is called "Pop" in Wall Street jargon.

She explains the money dynamics of DynCorp's business model with regard to its "War on Drugs" activities, "If DynCorp has a $60 million per year contract supporting knowledge management for asset seizures in the United States," she says, "the current proxy shows that they value their stock, which they buy and sell internally, at approximately 30 times earnings.
 
"So, if a contract has a 5-10 percent profit, then per $100 million of contracts, DynCorp makes about $5-$10 million, which translates into $150 million to $300 million of stock value.
 
"That means that for a $200 million contract, with average earnings of 5-10 percent ($10 million to $20 million), DynCorp is generating $300 million to $600 million of stock value. Pug Winokur of Capricorn Holdings appears to have about 5 percent ownership, which means that his stock value increase $15-$30 million from the war in Colombia.
 
"If the DynCorp team kills 100 people, as an example, then that means they make $1.5 - $3 million per death. That way the Pop per dead Colombian can be estimated, or, how much capital gains can be made from killing one Colombian. Since DynCorp was also in the Gulf and in Kosovo, we should be able to calculate the relative value of killing people in various cultures and nationalities. Under these assumptions, Pug Winokur then makes $75,000 to $250,000 of Pop per dead Colombian.
 "
Since the stock of prison companies trades on a per bed basis, my guess is that defense stocks are going to evolve towards a per person expenditure and other similar performance rules-of-thumb for profit-making opportunities.
 
"One of my expectations is that the numbers for the Colombian war will yield a very high per death cost," Fitts continues. "That means lots of shareholders' profits, but probably very few American jobs created per dead Colombian. That's because the big money is not made on labor intensive contracts, but on switching ownership of land, natural resources and other resources, including control of the drug markets and their reinvestment in our stock market and university endowments like Harvard, as opposed to local Colombian investments. This insider trading cabal is where the real money goes.
 
"That's why DynCorp's role as a knowledge manager (managing federal agency databases) is so important," she concludes. "It's worth far more money than the straight-up government contract. The profit will not show up for insider trading on DynCorp's portfolio, but in other capital gains that flow to the players of the Chase and Council on Foreign Relations syndicates and their private and institutional portfolios."

Outsourcing State Terrorism


This analysis of Catherine Austin Fitts, currently CEO of Solari, Inc., is probably the best model available for calculating the cost-benefit numbers in this egregious corporate-government scam.

The implications are ominous. By subcontracting (outsourcing) State Terrorism to so-called "private" entities like DynCorp, the US Government abdicates any moral/ ethical high ground in future confrontations. The proverbial "Iron Fist in the Velvet Glove" of the US Military in a Global Imperial Rampage is all that's left.

It was Executive Order 12333 that precipitated the shift during the Reagan-Bush Regime—a policy change in which so-called "national security" and "intelligence" functions were "privatized."

Likewise the DOJ-CIA Memorandum of Understanding allowed the outsourcing of illicit drug trafficking and weapons sales to private firms and individuals. (Regarding CIA Inspector General Fred Hitz's cover-up of CIA drug trafficking, see "The Curious Case of the Spooky Professor.)

According to Washington Technology Magazine, this is the future. "The global market for outsourcing of government services is growing faster than outsourcing in any commercial segment, and is likely to more than double over the next five years, according to a new study by Accenture Ltd.," writes Patience Wait in her article "Government outsourcing grows fastest of all sectors" (March 4, 2002).

In this outsourcing market, DynCorp has an estimated 5 percent market share, while Lockheed Martin leads the proverbial pack with 30 percent.

However there's a bigger question. When a handful of federal contracting firms with lucrative insider deals control federal accounting and computer systems, does US Government sovereignty even exist anymore?

In other words, if the US Government and its agencies do not control their proprietary accounting, payment, and information systems, it becomes questionable whether we even have a sovereign government at all.

The outsourcing of these systems, then, in essence has become a silent coup d'etat by Corporate-Government Insiders.

According to Washington Technology Magazine (March 4, 2002), top outsourcing vendors to the US Government in fiscal 2000 are Lockheed Martin Corp (30 percent market share), CSC (13 percent), EDS (7 percent), DynCorp (5 percent), TRW (5 percent), Raytheon (4 percent), SAIC 4 percent), Northrop Grumman (3 percent) and Unisys (2 percent).

This is America's Corporate/ Public Enemy #1—the parasitic constituents of the so-called Military-Industrial-Pharmaceutical Complex.

Now that the parasites have literally overwhelmed the host (the US Government), the question remains—how long will companies like DynCorp continue to give America the finger? More importantly, however, how long will America put up with the Enemy Within?




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