-Caveat Lector-

                        Echelon Has Been Spying On
                       Japanese For 20 Years
                                      From The Mainichi Shimbun

http://mdn.mainichi.co.jp/news/20010627p2a00m0fp002000c.html
                                               7-14-1

                          WELLINGTON, New Zealand - Echelon, a
                          communication spy network maintained by five
                          English-speaking countries, has been spying on
                          Japanese embassies and consulates in Oceania for 20
                          years, the Mainichi has learned.

                          Nicky Hagar, a New Zealand researcher who testified
                          before the European Union commission that blasted the
                          spy network, told the Mainichi Echelon had been used to
                          covertly carry out mainly industrial espionage against
                          Japan and report the results to the United States.

                          Hagar claims the spying was done at the behest of the
                          United States, which wanted to find out how an
                          economically powerful Japan's policies were influencing
                          the South Pacific.

                          In an exclusive interview, Hagar added that Japanese
                          encoding was too advanced and little information of worth
                          seeped out, a point confirmed by Foreign Ministry
                          officials.

                          "We think that little more than simple documents could
                          have been read. It would be impossible to read top secret
                          diplomatic documents," a Foreign Ministry spokesman
                          said. "We don't really know what the exact situation is at
                          the moment, but we have no doubts that Japan's
                          diplomatic secrets are being well protected."

                          Hagar said the New Zealand Government
                          Communications Security Bureau (GCSB) spied on Japan
                          from its base in Wellington.

                          Hagar estimates that about 50 people -- current and
                          former GCSB officials and politicians among them -- are
                          aware of the existence of Echelon. The countries accused
                          of setting up the network -- the United States, Britain,
                          Australia, New Zealand and Canada -- deny it exists.

                          Until 1989, the GCSB analyzed data it received from U.S.
                          spy stations. After 1990, it set up a base at Waihopai in
                          central New Zealand, which used an elaborate spy
                          network including satellites, to run an exclusive line into
                          Japanese embassies or consulates.

                          All Japanese diplomatic documents are encoded, but a
                          computer provided by the U.S. apparently allowed most of
                          them to be read.

                          A GCSB official fluent in Japanese would translate the
                          documents and send them to the U.S. National Security
                          Agency (NSA), the headquarters of Echelon.

                          Among the documents secured were diplomatic reports
                          from Japanese embassies and consulates throughout
                          Oceania, as well as information mainly concerning trade,
                          fishing, negotiation reports, support for developing
                          nations and visas.

                          During the 1980s, the network captured information about
                          the Japanese government's negotiations on coal prices,
                          which led to New Zealand achieving a favorable deal for
                          its coal exports. It is believed Echelon was used to pick up
                          information from Japan that would prove favorable for
                          New Zealand companies.

                          From the mid-'90s, the Waihopai base secured the ability
                          to listen in to phone conversations.

                          It turned its attention from exclusively monitoring
                          Japanese diplomatic posts to spying on Japanese fishing
                          boats and ships carrying plutonium.






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