A Long History: Israeli Espionage Against the
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  http://www.whatreallyhappened.com/spyring.html
 
 August 30, 2004
 A Long History
 Israeli Espionage Against the US
 By SAM HUSSEINI
 [This survey of Israeli spying on the US was compiled in 1997.]
 The Washington Post reported in a front-page story on May 7th, 1997 that US 
intelligence had intercepted a conversation in which two Israeli officials had 
discussed the possibility of getting a confidential letter that then-Secretary 
of State Warren Christopher had written to Palestinian leader Yasir Arafat. One 
of the Israelis had commented that they may get the letter from "Mega"-- 
apparently a codename for an Israeli agent within the US government.
 This revelation has been treated by much of the press as something of an 
aberration, as Israeli officials have claimed that they do not spy on the US . 
Israel Foreign Minister David Levy told the Washington Post (5/8/97) that "Our 
diplomats all over the world, and of course specifically in the US , don't deal 
with such a thing." Prime Minister Netanyahu's office declared: " Israel does 
not use intelligence agents in the United States . Period."
 Here is a sampling of the public record of Israeli espionage and covert 
actions against the US :
 According to Time magazine (5/19/97), the US ambassador to Israel , Martin 
Indyk, last year "complained privately to the Israeli government about 
heavy-handed surveillance by Israeli intelligence agents, who had been 
following American-embassy employees in Tel Aviv and searching the hotel rooms 
of visiting US officials."
 ***
 Three relevant documents were made public in early 1996:
 1) A General Accounting Office report "Defense Industrial Security: 
 Weaknesses in US Security Arrangements With Foreign-Owned Defense Contractors" 
found that according to intelligence sources "Country A" (identified by 
intelligence sources as Israel , Washington Times, 2/22/96) "conducts the most 
aggressive espionage operation against the United States of any US ally." The 
Jerusalem Post (8/30/96) quoted the report, "Classified military information 
and sensitive military technologies are high-priority targets for the 
intelligence agencies of this country."
 The report described "An espionage operation run by the intelligence 
organization responsible for collecting scientific and technologic information 
for [ Israel ] paid a US government employee to obtain US classified military 
intelligence documents." The Washington Report on Middle East Affairs (Shawn L. 
Twing, April 1996) noted that this was "a reference to the 1985 arrest of 
Jonathan Pollard, a civilian US naval intelligence analyst who provided Israel 
's LAKAM [Office of Special Tasks] espionage agency an estimated 800,000 pages 
of classified US intelligence information."
 The GAO report also noted that "Several citizens of [ Israel ] were caught in 
the United States stealing sensitive technology used in manufacturing artillery 
gun tubes."
 2) An Office of Naval Intelligence document, "Worldwide Challenges to Naval 
Strike Warfare" reported that " US technology has been acquired [by China ] 
through Israel in the form of the Lavi fighter and possibly SAM 
[surface-to-air] missile technology." Jane's Defense Weekly (2/28/96) noted 
that "until now, the intelligence community has not openly confirmed the 
transfer of US technology [via Israel ] to China ." The report noted that this 
"represents a dramatic step forward for Chinese military aviation." (Flight 
International, 3/13/96)
 3) The Defense Investigative Service circulated a memo in late 1995 warning US 
military contractors that " Israel aggressively collects [ US ] military and 
industrial technology." The report stated that Israel obtains information using 
"ethnic targeting, financial aggrandizement, and identification and 
exploitation of individual frailties" of US citizens. ( Washington Post, 
1/30/96) (This report was criticized by several groups for allegedly implying 
that Americans Jews were particularly suspect.)
 
 ***
 From New York Times December 22, 1985, by David K. Shipler:
 Many American officials are convinced of Israel 's ability, on a routine 
basis, to obtain sensitive information about this county's secret weapons, 
advanced technology and internal policy deliberations in Washington ...
 The F.B.I. knew of at least a dozen incidents in which American officials 
transferred classified information to the Israelis, [former Assistant Director 
of the F.B.I.] Mr. [Raymond] Wannal said. The Justice Department did not 
prosecute.
 "When the Pollard case broke, the general media and public perception was that 
this was the first time this had ever happen," said John Davitt, former chief 
of the Justice Department's internal security section. "No, that's not true at 
all. The Israeli intelligence service, when I was in the Justice Department, 
[1950-1980] was the second most active in the United States , to theSoviets."
 
 ***
 From "The Samson Option," by Seymour M. Hersh
 [Page numbers are from the Vintage paperback edition, 1992.]
 The name "Mega" in the recent Washington Post story may be noteworthy:
 
 [I]llicitly obtained intelligence was flying so voluminously from LAKAM into 
Israeli intelligence that a special code name, JUMBO, was added to the security 
markings already on the documents. There were strict orders, [Ari] Ben-Menashe 
recalled: "Anything marked JUMBO was not supposed to be discussed with your 
American counterparts." ("The Samson Option," pg 295)
 After Jonathan Pollard was arrested for selling secrets to Israel , the 
Israeli leadership denied all knowledge. Hersh provides several sources 
indicating that they did know. Here's one:
 The top leadership, of course, knew what was going on. One former Israeli 
intelligence official recalled that Peres and Rabin, both very sophisticated in 
the handling of intelligence, were quick to ask, as the official put it, "Where 
are we getting this stuff?" They were told, the Israeli added, that Israeli 
intelligence 'has a penetration into the U.S. intelligence community.' Both men 
let it go. No one said: 'Stop it here and now.'" ("The Samson Option," pg 296)
 
 One of the little-known aspects of the Pollard case is that information was 
passed along by the Israelis to the Soviets:
 For Shamir, the Israeli added, the relaying of the Pollard information to the 
Soviets was his way of demonstrating that Israel could be a much more 
dependable and important collaborator in the Middle East than the "fickle" 
Arabs: "What Arab could give you this?" ("The Samson Option," pg 299) The 
Pollard information helped in Israel 's ability to exercise "The Samson Option" 
-- to threaten the Soviet Union, and therefore the US , with nuclear war if 
they didn't get their way in developments in the Mideast . Disclosure of 
information to the Soviets also apparently led the Soviets to track down US 
agents:
 One senior American intelligence official confirmed that there have been 
distinct losses of human and technical intelligence collection ability inside 
the Soviet Union that have been attributed, after extensive analysis, to 
Pollard. "The Israeli objective [in the handling of Pollard] was to gather what 
they could and let the Soviets know that they have a strategic capability--for 
their survival [the threat of a nuclear strike against the Soviets] and to get 
their people out [of the Soviet Union ]," one former CIA official said. "Where 
it hurts us is our agents being rolled up and our ability to collect technical 
intelligence being shut down. When the Soviets found out what's being 
passed"--in the documents supplied by Pollard to the Israelis--"they shut down 
the source." ("The Samson Option," pg 300)
 ***
 A portion of a 1979 CIA internal report, " Israel : Foreign Intelligence and 
Security Services" (from The Nation, "I Spy, You Spy, We All Spy," December 14, 
1985, by Alexander Cockburn) included the following:
 In one instance Shin Beth [the Israeli internal security agency] tried to 
penetrate the US Consulate General in Jerusalem through a clerical employee who 
was having an affair with a Jerusalem girl. They rigged a fake abortion case 
against the employee in an unsuccessful effort to recruit him. Before this 
attempt at blackmail, they had tried to get the Israeli girl to elicit 
information from her boyfriend.
 Two other important targets in Israel are the US Embassy in Tel Aviv and 
United Nations Truce Supervision Organization (UNTSO) with headquarters in 
Jerusalem . There have been two or three crude efforts to recruit Marine guards 
for monetary reward. In the cases involving UNTSO personnel, the operations 
involved intimidation and blackmail.
 In 1954, a hidden microphone planted by the Israelis was discovered in the 
Office of the US Ambassador in Tel Aviv. In 1956, telephone taps were found 
connected to two telephones in the residence of the US military attache.
 ***
 In March 1978, Stephen Bryen, then a Senate Foreign Relations Committee 
staffer, was overheard in a DC hotel offering confidential documents to top 
Israeli military officials. The F.B.I. found Bryen's fingerprints on the 
documents in question, and he admitted to having obtained them the night before 
the meeting with the Israelis. Bryen was forced to quit his job, but was never 
indicted. He was later brought on to the Defense Department as a deputy to 
Reagan Administration Assistant Secretary Richard Pearle. There Bryen was in 
charge of such matters as overseeing technology transfers in the Mideast . (See 
"The Armageddon Network" (Amana Books) by Michael Saba, an officer of the 
National Association of Arab Americans when he overheard Bryen offer the 
documents to the Israelis.)
 As late as 1992, Stephen Bryen was serving on board of the pro-Israeli Jewish 
Institute for National Security Affairs while continuing as a paid consultant 
-- with security clearance -- on exports of sensitive US technology. (Wall 
Street Journal, 1/22/92, Edward T. Pound and David Rogers)
 ***
 
 * "The Lavon Affair": In 1954, Israeli agents attacked Western targets in 
Egypt in an apparent attempt to upset US-Egyptian relations. Israeli defense 
minister Pinchas Lavon was removed from office, though many think real 
responsibility lay with David Ben-Gurion.
 * In 1965, Israel apparently illegally obtained enriched uranium from NUMEC 
corporation. ( Washington Post, 6/5/86, Charles R. Babcock, "US an Intelligence 
Target of the Israelis, Officials Say.")
 * In 1967, Israel attacked the USS Liberty, an intelligence gathering vessel 
flying a US flag, killing 34 crew members. See "Assault on the Liberty ," by 
James M. Ennes, Jr. (Random House).
 * In 1985 Richard Smyth, the owner of MILCO was indicted on charges of 
smuggling nuclear timing devices to Israel ( Washington Post, 10/31/86).
 * April 24, 1987 Wall Street Journal headline: "Role of Israel in Iran-Contra 
Scandal Won't be Explored in Detail by Panels"
 * In 1992, the Wall Street Journal reported that Israeli agents apparently 
tried to steal Recon Optical Inc's top-secret airborne spy-camera system. 
 (1/17/92, Edward T. Pound and David Rogers).
 * In early 1997, an Army mechanical engineer, David A. Tenenbaum, told 
investigators that he "inadvertently" gave classified military information on 
missile systems and armored vehicles to Israeli officials ( New York Times, 
2/20/97).
 * For detailed analysis of the Israel-US relationship, including covert 
operations, see "Taking Sides: America 's Secret Relations with a Militant 
Israel " by Stephen Green (Amana Books). Also see "Dangerous Liaisons" by 
Andrew and Leslie Cockburn (Harper Collins).
 * For information on economic espionage see "War By Other Means: Economic 
Espionage in America " by Wall Street Journal reporter John Fialka (Norton). 
Also see " Israel 's Unauthorized Arms Transfers" in Foreign Policy, Summer 
1995, by Prof. Duncan Clarke of American University .
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 What Israel does silently in Iraq-Mesopotamia
 Early Predictions & Analyses
 Israel's economic and trade involvement in Iraq is easy to discern. What is 
harder to gauge is its strategic and political involvement in that country. 
Israel's involvement is not homogeneous all over Iraq. Israel favors the 
Kurdish north, which has been under self-rule since the end of the Gulf war in 
1991. Israel managed to infiltrate the northern areas with US help and became 
involved in various security, economic, and political activities in these 
areas. In central and southern Iraq, Israel managed to get a foothold only 
after the collapse of Saddam's regime.
 
 Israel was pleased to see Saddam removed. Under the Baath regime, Iraq was 
actively involved in Arab-Israeli conflict. It even fired ballistic missiles at 
Israel during the Gulf war. Iraq was a staunch opponent to the Arab-Israeli 
peace process, and its rumoured quest for mass destruction weapons worried the 
Israelis. Saddam's overthrow came as a relief to Israel. Suddenly, Iraq was no 
longer a military force to contend with in the case of a regional war. In 
addition, Syria was deprived form the strategic depth that Iraq, despite all 
ideological differences,
 
 With Saddam ousted, the regional balance of power changed in Israel's favor. 
Many Israeli analysts saw Saddam's fall as a blow to pan-Arabism. This, they 
predicted, would increase isolationism in the Arab world and make every country 
focus on its narrow interests, which suits Israel just fine. Under Saddam's 
pan-Arab regime, Baghdad saw Israel as a colonial enemy, a usurper with 
international backing. This was about to change. A US-backed Iraqi regime may 
just offer Israel the trade and political ties it had long sought.
 
 But things are not as simple as that. Israel is concerned over the possibility 
of Iranian-backed Shiites taking over Iraq. If this happens, Israel's interests 
would be endangered once again. The Iranian threat would get closer to Israel, 
and a new wave of regional rejection of Israel may be in the offing, a wave 
that could prove fiercer than any in the past.
 
 Israel sees the Kurds as potential strategic allies, as an insurance policy 
against a turnabout in Iraq's approach to Israel in the future. Signs of 
Israeli-Kurdish cooperation have been in evidence since the early 1990s, when 
the Kurdish north was virtually cut off from the rest of the country. Israel 
wants to boost the status and power of Kurds in the new Iraq, in the hope that 
they would either have a key role in running the country or secede.
 
 Shortly after the war, in which Israel provided help in many ways to the 
Americans, the US said that there is no reason why Israeli companies should not 
be involved in the reconstruction of Iraq or the supply of materials and 
services to that country. Israeli companies were allowed to bid for contracts 
in Iraq, which they did.
 
 Israel won a number of contracts in Iraq, mostly as a supplied of goods and 
services to the US occupation authorities. Israel focuses on oil projects, 
because it wishes to import oil from Iraq. Israeli official have spoken of the 
possibility of Iraqi oil being exported through Haifa. But the Israeli 
government denies any intention to reactivate the old pipeline that used to 
link Keokuk, Mosul, and Haifa.
 
 Most Israeli commercial activities concentrate in northern Iraq, where 
security and political conditions are favorable. Several Israeli companies have 
licenses to operate in various parts of Iraqi Kurdistan. Many have set up 
business in Irbil, al-Sulaymaniya, and Mosul, supplying telephone, water, and 
other services. Israeli exports to north Iraq are estimated at $50 million 
annually.
 
 Since summer 2003, Israel has been buying real estate in various parts of 
Iraq, particularly in the north. Israeli rabbis and experts, specialized in 
Iraqi affairs, are visiting Iraq in increasing numbers to set the scene for 
further cooperation. Part of the enthusiasm may be biblical, but most is 
connected to economic and security reasons. Politically, Israel wishes to 
defiant pan-Arabism in Iraq. It is pleased to see some Iraqi expatriates stress 
Iraq's pree-Islamic history and tribal characteristics.
 
 Pan-Arabism is one thing the Israelis and Americans detest in common. Both 
urge the Iraqis to forge closer ties with the US, and Israel by extension, and 
turn their back on their Arab surroundings. In Iraq, former military commanders 
with pan-Arab leanings have been disbanded and a new military doctrine, one 
that does not view Israel as the enemy is being honed. Iraq's military is being 
encouraged to be professional, in other words to distance itself from the 
Arab-Israeli conflict.
 
 Israel helped the US plan the war against Saddam. Since then, the two 
countries have coordinated closely in strategic, military, and intelligence 
matters. The Abu Gharib scandal shows that Israeli investigators have been 
involved in the interrogation of Iraqi prisoners. The Israelis imparted to the 
Americans some of their methods in confronting the Palestinian intifada. 
Significantly, the US raid on Faluja in 2004 bears striking resemblance to the 
Israeli raid on Jenin in 2002.
 
 The Mossad has set up clandestine offices in the main cities of Kurdistan, 
such as Dahuk, Mosul, al-Sulaymaniya, and Irbil. These offices help Israel keep 
an eye on the borders with Syria, Turkey, and Iran. The Mossad is involved in 
numerous operations in Iraq, such as the liquidation of Iraqi scientists and 
technicians who are linked with Iraq's mass destruction weapons programs. The 
Mossad helps the Americans track down Iraqi resistance fighters. It also 
monitors Iranian activities in Iraq.
 
 Israel favors the partition of Iraq in three parts, but it realizes that this 
option may conflict with US interests and views. The US needs a unified Iraq to 
counter the Iranian influence in the Gulf. Besides, Iraq's partition could 
cause trouble for Turkey.
 
 Israel's involvement in Iraq is no picnic, however. With resistance and 
international opposition to occupation escalating, the US is not in a mood to 
let Israel have a free hand in Iraq. There was a time, just after the war, when 
US officials said publicly that there is no reason why Israel should not be 
involved economically and commercially in Iraq. Such statements are seldom at 
present. Even the Israeli government is now denying that it has oil-related or 
commercial ambitions in Iraq. In 2004, the Israeli foreign ministry has 
repeatedly warned its citizens, particularly the businessmen, of the perils 
facing them in Iraq. In more than one occasion, the Israeli government pointed 
out the risk of Israelis getting abducted in Iraq.
 
 Israeli companies in Iraq observe strict security measures. They often work 
under the guise of other nationalities or hire Israelis with Iraqi or Kurdish 
origins to blend in with the scene. The Israelis may have used Iraqi passports 
which they obtained from the US occupation authorities in Iraq.
 
 One of the obstacles facing Israeli involvement in Iraq is the attitude of the 
Iraqi interim government. Senior Iraqi officials, including those close to the 
US, have distanced themselves from the Israelis. Iraqi officials deny that 
Israelis have come to Iraq in large numbers or that Israel is using Iraq as an 
intelligence base. Iraqi officials say that their country is not going to be 
used as a base for any anti-Arab activity. They point out that Iraq will have 
ties with Israel only once a just and comprehensive peace is reached.
 
 Israel has two main goals in Iraq: (a) to make Iraq adopt a more lenient 
policy toward it, and (b) to establish full diplomatic and trade links. 
Israel's success in achieving these goals depends on what the Iraqis and Arabs 
do. Should the Arabs fail to help the Iraqis in their efforts to rebuild their 
country, Iraq would be vulnerable to foreign influence, Israeli or otherwise.
 
 Author Dr Ahmad Ibrahim Mahmud
 Center for Political & Strategical Studies
 Issue 25:11 Dec.2004
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