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Correspondence – April 1983 (7)
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66328012
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Correspondence – April 1983 (7)
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Records of the White House Office of the Deputy Chief of Staff (Reagan Administration)
Michael K. Deaver's Correspondence Files
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THE WHITE HOUSE WASHINGTON April 15, 1983 Dear Barbara: Thank you for the nice supportive letter and all the enclosures. I have taken the time to look through them, but will have to wait until later to study them in depth. I appreciate your input, and have taken the liberty of forwarding a copy of your letter, which is SO complimentary, to Judge Clark for his information. Thanks again for taking the time to write. Sincerely, MICHAEL K. DEAVER Assistant to the President Deputy Chief of Staff Mrs. John L. Howell 1101 Broad Avenue Fort Worth, Texas 76107 @e th -Judy Clock APR 13 1983 Mrs. John L. Howell 1101 Broad Avenue Fort Worth, Texas 76107 April 11, 1983 Mr. Mike Deaver The White House 1600 Pennsylvania Avenue Washington, D.C. 20500 Dear Mike: I have started this letter several times to no avail. The reason for not finishing is that I just could not get back to earth! Having lunch at the White House with President Reagan and meeting and hearing so many interesting and wonderful people was quite an experience -- one I'll never forget. So, many, many thanks to you, Mike, for including me. You are a doll! Mike, I know you are so busy that you don't have a free mo- ment, but just in case you do I'm sending you some things to read and they are very important and reliable! Please do try to digest them! I know I have no idea as to the scope of the intelligence gathering under Judge Clark, but some of the little details may be deleted. By the way, I like Judge William Clark very much. Can't help but feel that God has put his hand in this "deal" when he has given this country two great men such as President Reagan and Judge Clark! This is why I feel that this country can and will be saved -- but not without a struggle! Am enclosing an article in today's paper -- you can judge for yourself how bitter everything is in Texas politics! It is so sad -- but it is not without a reason. As the liberal faction has stepped on and ignored the conservatives beyond belief. Mind you, I am not for violence nor am I for pushing people to violence!! When I say that "they" have "stepped on" -- it is with half truths, double dealing and vicious lies. All are very difficult to deal with because you find out about them months later and the damage has been done! I might add that most of their philosophy and actions have been diametrically opposite of President Reagan and you. Another bad characteristic is that they are so afraid Mr. Mike Deaver Page 2 April 11, 1983 of loosing "power" -- which is so silly as those jobs are tough and no fun. All most people are concerned about is getting the job that is so vitally important done! That is, to turn this country around; back to God, family, constitutional government and free enterprise! Not one for the banks, not one for the oil industry, not one for the unions, not one for the blacks and minorities, or any other special group, but for America! I will bring this civics lesson to a conclusion, but not without another thank you and best wishes to your Carolyn! All my love, Barbara Reproduced at the Ronald Reagan Library Saturday morning Red Sox Omni set deleat Omni for big Rangers launch Fort Worth Star-Telegram Saturday, April 9, 1983 *** PRICE 25 $ Upham puts 2 conditions on resigning By JACK 2. SMITH Star-Telegrain Writer MIDLAND - Texas Republican "I don't feel he should Party chairman Chet Upham told GOP leaders in Midland on Friday have the prerogative night that he would resign his posi- tion if certain conditions are met. of naming his Upham presided over an infor successor, but I can 't." mai but tense meeting that he abruptly ended when one woman - Dorothy Doehne slapped another across the face. Upham has been under fire since That at least "48 to 50" of the 64 the Republicans lost all statewide races in the Nov. 2 general election. State Republican Executive Com- Most of those opposing Upham are mittee members support George longtime loyalists of President Strake, a Houston independent oil- Reagan who have been considera- man and former secretary of state, lesssupportive of Vice President as his successor. George Bush. . That executive committee vice Upham, of Mineral Wells, stated chairwoman Dorothy Doehne of two key conditions for resigning: Please see Upham on Page 2 Upham wants Reproduced at the Ronald Reagan Library Continued from Page 1 San Antonio, an opponent of Up- ham's, resign her position. "I think this is a tragedy that we cannot get Doehne refused to say whether shewill resign, but she called Up- together as grown-up adults and conduct the ham's offer unfair. Upham abruptly declared the business of this party." meeting of committee members ad- - Republican National Committee member Ernest Angelo journed after Peggy Brandon, wife of GOP executive committee mem- ber Jim Brandon of Amarillo, night meeting that no further ac- a disgrace." slapped another Amarillo woman, tion could be taken on the chair- One executive committee mem- Shirley Costello. manship until Doehne decides ber was overheard remarking to an- "I brought it on," Costello said. "I whether to resign. If she agrees to other, "We need a course from Miss said, 'Dummy is speaking.' Asked who she was referring to when she resign, the next step would be to Manners." determine whether there are suffi- Doehne, questioned after the said "dummy," Costello replied: cient pledges for Strake. meeting, said she does not know "Anybody in the room who was Upham said Strake told him that when she will decide whether to speaking against Chet." he would accept the chairmanship resign. But she added that she Brandon is among those who have if he could get at least 48 to 50 thinks Upham's conditions for re- called for Upham's resignation. pledges of support. Party members signing are "a little on the unfair Costello said she attended the were thrown into turmoil by the side." meeting as a guest. She is active in abrupt, dramatic confrontation don't feel he should have the Republican Party affairs, but is not a GOP executive committee mem- that ended the meeting. prerogative of naming his succes- Republican National Committee sor. but I can't." she said. ber. member Ernest Angelo of Midland Upham said the soonest a new Executive committee members shouted to members, "I think this is chairman and vice chairman could were to meet formally at 9 a.m. Sat- a tragedy that we cannot get togeth- be selected would be in at-least 10 urday. er as grown-up adults and conduct days because of party rules on meet- Upham said after the Friday the business of this party, In fact, it's ing notices. Confidential,ars EARLY WARNING Issue 1, February 1983 Living with Andropov Coming to terms with the new Soviet leadership now and held a succession of low-grade jobs as a boatman, a poses the overriding foreign policy test for the Reagan telegraph operator and an assistant film projectionist. He Administration and its allies. Much of the U.S. news attended courses at the State University in Petrozavod- reporting on the career and personality of Yuri Andropov sky, the capital of Soviet Karelia, but dropped out, and has been a melange of wishful thinking, dubious tittle- was largely remembered by fellow students as an in- tattle retailed by East European emigres with no first- former for the Komsomol, the Communist Party youth hand knowledge of the man, and disinformation organization. calculated to create a reassuring image of the former Andropov began his rise from obscurity by making KGB chief as a' 'closet liberal" who loves to curl up with a himself useful to local Party organizers in Karelia, an glass of scotch and read American popular novels to the area on the border of Finland with a sizable Finnish- strains of Glenn Miller. speaking population that is today a Soviet "autonomous" But a study of Andropov's background, his record as republic. He came to the attention of Otto Kuusinen, a Chairman of the KGB, and the means by which he was veteran Comintern agitator of Finnish origin who able to thrust himself into Brezhnev's vacant chair, sug- dreamed of becoming the satrap of Finland and the gests that he is the most formidable Soviet opponent the whole of Scandinavia once the Red Army had overrun West has had to face. Andropov has not only repeatedly them. Kuusinen's ambitions were thwarted by the valiant proved his ruthless efficiency in crushing dissent inside resistance the Finns put up when the Soviets-taking ad- the Soviet Bloc; as KGB chief, he personally directed a vantage of their non-aggression pact with Hitler-attack- vast expansion of covert operations designed to weaken, ed them without warning in the Winter War of 1939-40. divide and deceive the West. This "active measures" Kuusinen was appointed Prime Minister of a puppet Fin- campaign will now be intensified, with the primary ob- nish "government", but the Soviets failed to conquer jective of decoupling the United States from its European Finland, and had to settle for stealing a large chunk of allies. real estate which was added to Soviet Karelia. The Soviets are already deeply involved-through Kuusinen's wife later said of him that "the true key to front organizations and direct funding-in the "peace his personality was hatred." After a domestic squabble, movements" that are seeking to block the deployment of he denounced his wife and son as "anti-Soviet", and they Pershing-2s and Cruise missiles in Western Europe. Ac- were dragged off to labor camps, where his son died of cording to our intelligence sources, the KGB has been TB. He engaged in murderous vendettas against his ordered to "pull out all the stops" in the effort to ensure fellow Finns, and the secret police organized mass depor- the defeat of the ruling Christian Democrat-Free tations of Finnish-speaking Karelians to the Gulag. The Democrat alliance in the West German elections on young Yuri Andropov was one of those who helped to March 6, and of Britain's Conservative Prime Minister, "defend socialism" in this way during and after the Se- Margaret Thatcher. (Mrs. Thatcher is expected to call an cond World War. election before the end of this year.) The long-range With Kuusinen's patronage, Andropov became First Soviet objective is to smash the NATO alliance, leaving Secretary of the Karelian Komsomol (1940-44). By his Western Europe vulnerable to "Finlandization," while own account, he was active at this time in organizing the United States would be isolated. That Soviet goal has supplies for the Soviet troops at the front-one of whose been constant since NATO was founded in 1949. It has commanders was Nikolai Orgarkov, today the Chief of never been so close to attainment. the General Staff (see below)-and in helping the par- Vital clues as to how the Soviets can be expected to behave in the next phase of the East-West conflict can be tisan bands. His chief responsibility, in fact, was to help the secret police and the brutal military counter-intel- gleaned from Andropov's earlier career and, in par- ticular, from the initiatives he took as head of the KGB. ligence organization, SMERSH, to hunt down and liq- uidate supposed "enemies of the state." As a reward for Our account is based on privileged information from re- cent KGB defectors and intelligence sources in several Western countries, as well as an exhaustive analysis of Russian-language material dating back to the early 1940s. CONTENTS The new Soviet leadership 1 Early career Bulgarian connections 6 France's new spy-chief 6 Andropov was born in 1914, in the small town of Nagut- Castro builds a mini-Cuba 7 skaia, near Stavropol, the son of an illiterate railroad Focus Latin America 8 worker. His own education was patchy. He attended a technical school, specializing in waterways transport, PAGE 2 EARLY WARNING these services, he was subsequently promoted Second engaged in cutting his Kremlin rivals down to size. But Secretary of the Karelian Communist Party (1947-51). Andropov was never a member of the tight fraternity of Brezhnev loyalists-the Brezhnev Banda, as they are call- Stalin's enforcer ed in Moscow-who had served with the then General Secretary in the Ukraine and Moldavia in the 1940s and 1950s. Andropov's most important ally in 1967 was Andropov's experience as one of Stalin's enforcers on the Mikhail Suslov, chief Party ideologist, whose death in Finnish border was extremely helpful to him when, after January 1982 set in motion the critical stage of the strug- a short stint in Moscow (1951-53) working in the Central gle for the Brezhnev succession. Committee Secretariat, he was posted to the Soviet Em- bassy in Budapest. In the space of a year, he rose from the rank of "adviser" to counsellor and then Ambassador to KGB chief Hungary. He held this post until 1957, and was thus the key man in place in 1956, when the Hungarians made Andropov was Chairman of the KGB for 15 their abortive bid for freedom. years-longer than any of his predecessors While head of Andropov showed his flair for deception in the way the KGB, he was promoted to full membership in the that he conned the members of the ill-fated Imre Nagy Politburo, an honor accorded to only one previous secret government with the idea that Moscow was ready to police chief-the notorious Lavrenty Beria. As the Party enter into genuine negotiations over independence for man appointed to supervise the KGB, Andropov's room Hungary. On November 1, 1956, he told the Nagy for maneuver was circumscribed by the professionals in government that Moscow was prepared to discuss the the second echelon. The First Deputy Chairman of the complete withdrawal of Soviet troops-an outright lie in- KGB, General Tsvigun, and other Deputy Chairmen, tended to lull the Hungarians into letting their guard such as General Tsinev and General Chebrikov (of whom drop, so that the way would be smoothed for a Red Army more later), furthermore, were regarded as members of invasion and a KGB-orchestrated purge in Budapest. the Brezhnev Banda. Two days later, Andropov lured Hungary's Defense However, it is possible to credit Andropov with a large Minister, Pal Maleter, to a banquet at the Soviet Em- measure of personal responsibility for a number of in- bassy, on the pretense of "further negotiations." After itiatives taken to reshape and expand KGB operations. Maleter arrived, KGB chief Ivan Serov burst in with a For example: team of heavily armed security men and placed the Internal repression. Andropov set up the Fifth Chief Hungarian under arrest. Directorate of the KGB, which specializes in suppressing Similarly, after Nagy and other Hungarian govern- internal dissent. In keeping with his own publicly ex- ment leaders took refuge in the Yugoslav Embassy in pressed characterization of Russian dissidents as "mental- Budapest, Andropov duped them into abandoning their ly ill," "religious or nationalist fanatics who only serve sanctuary. On Andropov's instructions, the newly install- the interests of foreign parties", Andropov employed a ed Soviet puppet, Janos Kadar, promised Nagy that he variety of new techniques to silence internal critics. He and his colleagues could go home without fearing enthusiastically began the incarceration of dissidents in reprisals. They left the Yugoslav Embassy on November mental hospitals where they could be guinea pigs for ex- 22, 1956 in a special bus, under guarantees of safe- periments with psychotropic drugs. Through KGB agents conduct-and were promptly ambushed by the KGB. provocateurs and smear operations, he sought to divide Imre Nagy was deported to Rumania, and subsequently and discredit leading dissidents both at home and executed. abroad. (He had a personal hand in the vast campaign to In the context of current negotiations with the Soviets, ruin Solzhenitsyn's reputation in the West by represent- it is worth recalling how Andropov honored his pledges ing him as a "fascist.") He employed similar tactics in 1956. against the Solidarity movement in Poland. Andropov was rewarded for his success in stifling the Active measures. One of Andropov's very first actions, Hungarian revolt by being appointed to a top Party job in after he moved into the KGB Chairman's office at 2, Moscow-as chief of the department responsible for Dzherzhinsky Square on May 26, 1967, was to call in liaison with the ruling Communist Parties. His old patron General Ivan Agayants, the wily chief of Department in Karelia, Otto Kuusinen, again seems to have been in- "D," the section responsible for disinformation and strumental in advancing his fortunes. Kuusinen, covert operations to influence Western governments and previously a sycophantic Stalinist, had ingratiated manipulate the Western media. (While based in Paris, himself with Khrushchev by lending loud support to his Agayants had been highly successful in orchestrating "de-Stalinization" campaign and was himself promoted Gaullist paranoia against the United States, thus driving Party Secretary and Presidium (as the Politburo was then a wedge into the NATO alliance.) Andropov told Agay- called) Member shortly after Andropov returned to ants that his Department would be given the higher Moscow in 1957. status of a KGB Directorate, and that its head would Andropov steadily expanded his power base inside the assume the rank of a Deputy Chief of the First Chief Party Secretariat until, in 1967, he was appointed to suc- Directorate, responsible for all foreign intelligence ceed Semichastny as Chairman of the KGB and was operations. The budget and the manpower made elevated to the status of Candidate Member of the all- available for disinformation and political influence powerful Politburo. His appointment as chief of the operations against the West was greatly expanded. world's largest security and intelligence service was of According to the CIA, Agayants' old department, now course approved by Leonid Brezhnev, who was now known as Service "A" ("A" for "Active Measures") has a FEBRUARY 1983 PAGE 3 headquarters staff of about 200, and is one of the most im- many, Bulgaria, Czechoslovakia, and Cuba. Another of portant offensive instruments of Soviet policy. "Active Andropov's initiatives as KGB chief was the very ag- measures" operations designed to shape Western gressive use of these surrogates. For example, at his direc- behavior are estimated to cost the Soviets about $4 billion tion the KGB provided a special subsidy to enable Cuba's a year, and their effectiveness is evident from the recent DGI and Departamento de America to expand their growth of the unilateral disarmament movement in operations abroad. As a result, according to Western Western countries. In addition to the KGB, many other analysts, Cuba today has the fourth largest foreign intel- Soviet state and Party organizations-notably the Inter- ligence service in the world, after the KGB, the GRU national Department (ID) and International Information (Soviet military intelligence) and the CIA, and the Department (IID) of the CPSU-play a role in active Cuban DGI carries out Moscow's work in places ranging measures. The fact that Brezhnev's successor is a man from Angola to Suriname, from New York to Aden. who long ago recognized the unique importance of disin- Similarly, the Bulgarians have been used by the KGB as formation and subversive operations augurs a further ex- contract killers. pansion of Soviet active measures against the West It is interesting to note that (perhaps as a result of the designed to discredit and neutralize opponents of the public scandal over the attempted assassination of the USSR. Pope) the Czech secret service is now being relied on Using the church. Within the field of active measures, more and more heavily by the KGB as a link with inter- Andropov recognized early on the need to work with national terrorist groups. A West European intelligence "liberal" and church organizations that were unlikely to source claims that a key official of the Czech StB, Major be identified with the Soviet Union and may, indeed, Pokorny, visited Sofia in December to negotiate the have been strongly anti-Soviet at the outset. During An- transfer of some terrorist support facilities from Bulgaria dropov's time as KGB chief, Soviet covert attempts to in- to Prague. fluence church organizations greatly increased, and two Industrial espionage. Andropov also presided over a years ago-in a major article that represented a basic rapid expansion of scientific and technical espionage modification in Marxist-Leninist doctrine-Pravda open- against the West, and the KGB was able to record several ly declared that "the USSR supports the Marxist-Leninist coups in this area, notably involving computer thesis of the possibility and necessity of joint actions of technology. We will publish a detailed expose of Soviet working people, atheists, and believers for the revolu- industrial espionage in the near future. tionary reconstruction of the old world. That is a long Higher status for KGB. Finally, it should be noted stride beyond the hoary Communist denunciations of that, under Andropov, the place of the KGB in the Soviet religion as the opium of the people and the pay-off, for power structure was radically redefined. On July 5, the Soviets, has been considerable. Over the past year, 1978, the KGB's official name was changed from "Com- for example, the Dutch security service, the BVD, has mittee of State Security Under the Council of Ministers" assembled an impressive body of evidence of the direct to "USSR Committee of State Security." The change may manipulation of church-based "peace" groups in Holland appear merely cosmetic, but its significance was that it by KGB agents. formalized the role of the KGB, not as an organ of the Terrorism. The KGB has never been averse to practic- Soviet state, but as the sword and shield of the Com- ing assassination and other terrorist methods, and such munist Party. This interpretation is confirmed by a Cen- operations were conducted under Andropov's chairman- tral Committee statement in 1980 to the effect that "the ship with his direct authorization. The facts of KGB in- KGB is the political organ of the Communist Party." volvement in the attempted assassination of Pope John What does this mean? It means that the KGB is seen both Paul II, via the Bulgarian secret service, are at last being as the Party's means of self-preservation and as its main acknowledged in the American media; we are able to add offensive instrument for converting the non-Communist some new revelations in the next article. But it is worth world to the Soviet conception of socialism. recalling that the attempt on the Pope's life was in no way an aberration for the KGB. For example, a recent KGB defector to Britain has provided chapter and verse Andropov seizes power on how the KGB murdered the former President Amin of Afghanistan to open the way for a Soviet puppet regime Viewed from afar, the transition from Brezhnev to An- and the occupation of the country by Soviet forces (whose dropov appeared remarkably smooth as well as excep- current strength is now estimated at 152,000, con- tionally swift-within two days of Brezhnev's death on siderably more than the figure of 100,000 that generally November 10, 1982, Andropov was consecrated as the appears in the press). "Wet operations"-including new General Secretary. Since then, he has been able to assassination and sabotage--are the specialty of a special move some of his own men into key positions, aided con- KGB department that now operates under the direction siderably by the advanced years and ailing health of of Directorate S, the Illegals Directorate. Some Western many of the men in the Politburo and the Central Com- analysts believe that this department had a hand in the mittee. mysterious helicopter crash in which the popular Por- In fact, there are indications that a bitter struggle for tuguese Social Democrat leader, Francisco Sa Carneiro, the succession was being waged behind the scenes for was killed on December 4, 1980. about a year before Brezhnev succumbed to his terminal Aggressive use of satellites. In running terrorist opera- stroke, and that Andropov made full use of his KGB tions, and in many other fields of activity, the KGB relies dossiers in elbowing his competition aside. The corrup- heavily on surrogates and subcontractors-especially the tion scandal involving Brezhnev's own daughter Galina secret services of satellite countries such as East Ger- (whose husband was a Deputy Minister of Interior) and a PAGE 4 EARLY WARNING colorful cast including her flashy lover, a diamond thief might of the Soviet armed forces." Andropov has reason called Boris ("The Gypsy") Buryatia and the Director of to be concerned that the Soviet generals may be bidding the Moscow Circus may have been made public by An- for a larger place in the political system, and there is dropov in order to show that Brezhnev's grip was slipping reason to believe that he gave various assurances to Mar- and to intimidate his Kremlin colleagues with a glimpse shal Ogarkov, the Chief of the General Staff, in order to of how their peccadilloes might be used against them. buy the generals' approval for his assumption of the top As a result, Andropov seems to have succeeded in Party job. These assurances probably included (a) a avoiding a protracted power struggle following guarantee that Ogarkov would succeed the aging Dimitri Brezhnev's death. By contrast, it might be recalled that it Ustnov, a civilian, as Defense Minister and (b) that there took Stalin six years to consolidate his power after Lenin's would not be significant defense cuts. In addition, there death; it took Khrushchev five years to emerge supreme is an elaborate KGB and Party control structure designed after Stalin's demise; and it took Brezhnev all of eight to keep tight guiding reins on the military. However, in years to establish his ascendancy over the troika that the event of major social disturbances inside the Soviet replaced Khrushchev. Union, Andropov may face a political threat from a com- However, first impressions may be deceptive. In assess- bination of the high command and his opponents inside ing the new power set-up in Moscow, it should be the Party. remembered: 1. Andropov will be 69 this year, and that his health is Key lieutenants not good. He is suffering from heart disease, and some Western analysts believe that his very poor eyesight is a symptom of diabetes. West German delegates who Further sweeping changes in the composition of the Polit- accompanied Hans-Jochen Vogel to Moscow in January buro and the Soviet government are in store, and may reported that the new Soviet General Secretary seemed come to pass in a matter of months. Here are some of the pale and drawn, and staggered, rather than walked, key men to watch: across the room to receive his guests-although, in the Geidar Aliyev, born in Soviet Azerbaijan in 1923, meeting itself, he seemed sharp-witted as ever. has been elevated by Andropov to full membership of the Politburo and the post of First Deputy Prime Minister. For 28 years, Aliyev was a career KGB officer, before 2. The Soviet leadership as a whole is a gerontocracy, becoming Party boss in Azerbaijan. According to a West and most of the familiar faces-including Andro- European intelligence source, Aliyev let slip (at a meeting pov's-are likely to be replaced within the next 3-5 years in Baku in June 1982) what could be an important clue to by a new generation of leaders, probably men in their a Soviet plan to intervene in Iran after Ayatollah Kho- mid-50s. Unlike the present elite, many of them will be meini's death. Aliyev contrasted the "backwardness" of too young to have fought in the "Great Patriotic War" (at Iran's Azerbaijanis with the "progress" of their Soviet co- least in any senior position) or to have achieved impor- nationalists. He then said that the solution could be for tant political positions in Stalin's time. They will have Azerbaijanis on both sides of the border to be "united." If climbed the Party ladder in a period when the Soviet Un- his remarks have Andropov's backing, the Soviets may be ion was not seriously threatened from outside and was embarked on a plan to take advantage of the confusion emerging-rapidly, with Brezhnev's breakneck military that will follow Khomeini's death to attempt a carve-up build-up-as the foremost military power in the world. of Iran. They are likely to be cynical about ideology, but may be Marshal Nikolai Ogarkov, the Chief of the General more aggressive than the present generation in pursuing Staff, may have worked with Andropov as early as the adventurist policies abroad, because they rose to the top 1940s, when he was stationed on the Karelian front. The at a time when the Soviets were more powerful, and most fascinating thing to observe about Ogarkov is that more confidence of their place in the world, than ever he was formerly head of the Thirteenth Chief Directorate before. of the General Staff, which is responsible for strategic deception. In other words, he was the key man responsi- 3. Resentment against Andropov probably still sim- ble for deceiving the United States about Soviet military mers among displaced rivals like Konstanin Cher- programs and for covering up the massive and systematic nenko (widely believed to have been groomed by Brezh- Soviet violations of strategic arms accords. He will be an nev as his successor) and may run deep if-as seems like- appropriate ally for Andropov, the master of political ly-he made full use of the intimidatory power of the deception, in the next phase of the Soviet campaign to KGB to ensure his emergence as General Secretary. persuade the West to disarm unilaterally. Vitaly Fedorchuk succeeded Andropov as head of the KGB in May last year (when Andropov moved back The Soviet armed forces have reason to be thankful 4. to the Party Secretariat to put some apparent distance to Brezhnev, who devoted about 15 percent of the between himself and his sinister functions as chief of the GNP to defense, at the expense of consumers and the secret police preparatory to succeeding Brezhnev-in economy in general. Both Brezhnev, in his last year, and other words, to clean up his act). Andropov has since Andropov, since taking over, have been careful to make moved Fedorchuk over to the Interior Ministry and unusual obeisances to the armed forces. (In his first charged him with rooting out the flagrant corruption public statement, Andropov talked of "the invincible within the Ministry and the militia. Fedorchuk is regard- PAGE 5 FEBRUARY 1983 ed by Western analysts as an A-grade thug. During Andropov's targets abroad World War II, he was a "military chekist," one of the chiefs of the SMERSH in the Ukraine, where he specializ- For several months of last year, Soviet foreign policy ed in rounding up Ukrainian nationalists and others of seemed to have entered the doldrums. The Soviets did not doubtful loyalties and organizing mass executions. In move expeditiously to exploit the Middle East situation 1954-55, Fedorchuk personally arranged the kidnapping resulting from the Israeli invasion of Lebanon, for exam- of two East European emigres off the streets in Vienna. ple, and might have done more to exploit the Falklands He is a close crony of General Piotr Ivashutin, the head of war. With Andropov installed as General Secretary, the the GRU (and a former top KGB man). whole style and tempo has changed decisively. The Viktor Chebrikov and Georgiy Tsinëv, respectively Soviets have already embarked on a new "peace offen- the Chairman and First Deputy Chairman of the KGB, sive" intended to derail the NATO plan for the deploy- are both members of the old Brezhnev mafia-men who ment of medium-range missiles to offset Russia's 340 worked with the late General Secretary in his early days SS-20s in Europe. The Soviets are seeking to recoup some in the Ukraine. Both have clearly made their accom- of their Middle East losses with a new arms build-up in modations with Andropov, although he is thought to Syria and behind-the-scenes efforts to sabotage the have more trust in Tsinev than in Chebrikov. It is worth Reagan peace plan. They are openly intervening in West noting that Tsinëv, like Fedorchuk, is a "military Germany's election process, adopting a threatening tone chekist" by professional formation-in other words, a that could signal increasingly brutal efforts to use the specialist in spying on the military. Andropov will rely on threat of military force to make the West Europeans ac- Tsinëv, as well as on the Chief Political Directorate of the cede to their political demands. Soviet Armed Forces (the commissariat) for forewarning In addition, Andropov is embarked on a new round of of any plotting among the generals. diplomacy with China. Whether Western fears of a Soviet-Chinese detente will be realized remains in doubt. Soviet prospects A possible condition for that would be Soviet withdrawal from Afghanistan, and it is uncertain whether Andropov would be willing to pay that price-at least until (and Economic reform is urgently needed in Russia. According unless) the Soviets establish an alternative land-bridge to the official figures, the GNP grew by 2.6 percent in toward the Gulf via Iran. It would be less expensive for 1982; Western experts think that in fact there was zero or Andropov to offer the Chinese a negotiated settlement in minus growth. Russia, a large grain exporter under the Cambodia, involving a coalition government headed by Tsars, has to expend a large portion of its foreign ex- Prince Sihanouk in place of the present Vietnamese- and change on importing cereals. There is a real fear among Soviet-backed puppet regime. the Kremlin leaders that shortages of food and consumer But the options available to Andropov to stymie U.S. goods could lead to major popular disturbances, perhaps foreign policy are considerable. The Soviets and the even on the Polish scale. Strikes reported at large Cubans are making tremendous inroads in Latin automobile plants over the past two years are a warning America. The debt problems of Mexico and Venezuela flare. (deepened by OPEC disarray), the political chaos in The man in charge of agriculture, Gorbachev, is one of Argentina and the shaky democratic experiments under the youngest and most vigorous members of the Polit- way in Bolivia and above all, Brazil, all present them buro. Effective reform would involve: with huge new opportunities for mounting a flank attack (a) Heavy investment in improving rural transporta- on the United States, beyond the revolutionary upheavals tion networks. now shaking Central America. (b) Decentralization of decision-making. What makes all these challenges more acute for the (c) A "Hungarian-style" restoration of incentives for United States and its allies is the success of the vast opera- production-something that, given his Budapest ex- tion that the KGB has mounted, on Andropov's orders, to perience, Andropov might be expected to know a good conceal the real nature of what is happening from the deal about. Western public through media manipulation and other But what remains unclear is whether Andropov will be "active measures." The West has yet to offer an effective able-or willing-to run the political risk of diverting in- counter to this hidden offensive. vestment away from the country's enormous war The fact that much of the public discussion about An- machine. Unless he is prepared to do that, economic dropov in the West has focused on whether or not he will reform is likely to be still-born, leaving plenty of scope "maintain detente" must appeal to the former KGB for rising popular frustration. Apparently anticipating chief's sense of irony, since he knows that the rhetoric of this, he has already surrounded himself with experts in detente was cynically exploited to lull the U.S. into fail- repression like Fedorchuk, and what could be in store is a ing to respond to the largest military build-up the world domestic crackdown of Stalinist proportions. has ever seen-a build-up that is Brezhnev's enduring Andropov has made considerable noise about clamping legacy to the Soviet Union. Andropov is perfectly con- down on corruption, which is rife throughout the Soviet scious that, if the Reagan Administration's defense plans system. This does not mean that he is seriously bent on are allowed to proceed substantially unobstructed, the removing the enormous perquisites of the Party United States will be able to close the defense gap that elite-that would mean attacking the very heart of the has opened up by the second half of the 1980s. The system. He is likely, however, to use the cover of the anti- Soviets will use every weapon in the arsenal of active corruption campaign to remove political rivals. measures to prevent that from coming to pass. PAGE 6 EARLY WARNING The Bulgarian connections In the midst of the uproar over the mounting body of manifests would describe the cargoes as "cocoa beans." evidence that Bulgaria's secret service, the Durzhavna In Sofia, the trucks would be turned over to other drivers Sigurnost (DS), was directly implicated in the attempt to for the final leg of the journey-into Turkey, where guns kill the Pope, Cuba's Interior Minister, Ramiro Valdes, would be bartered for heroin. Many of the drivers are paid a five-day visit to Sofia. On December 27, he signed Arabs, and in Sofia, they congregate at the Vitosha a cooperation agreement with his Bulgarian counterpart, Hotel, where Mehmet Ali Agea stayed for 50 days before KGB-trained Dimitur Stoyanov. In the secret protocols to trying to kill the Pope. this agreement, the Cubans and Bulgarians have not only The Bulgarians are running a complex network of agreed to exchange intelligence specialists, but also to commercial organizations whose offices in Western collaborate more closely in mounting terrorist operations capitals provide a perfect front for espionage and laundry against their mutual enemies. operations. One of these companies, DANUBEX, with a The Bulgarian DS acts as a proxy for the KGB in a Paris office at 124 bis Avenue de Villiers, has attracted broad range of clandestine activities. Early Warning has the interest of French security, not least because its presi- unearthed some revealing examples: dent, Robert Mitterrand, is a brother of France's head of Operatives of the Bulgarian DS, according to a re- state. Danubex is involved with two Swiss-registered cent Soviet defector, are the only East Europeans who companies: have free access to the facilities of the ultra-secret depart- 1. PROMOS, whose chief (a Hungarian citizen) is the ment inside the KGB's Directorate S in Moscow that is entrusted with "wet operations.' The Bulgarians are used representative in Switzerland of the Czech arms com- pany OMNIPOL, which has supplied weapons to the by the KGB as contract killers. Irish Republican Army and other terrorists; and Bulgaria has long been the base for a very lucrative 2. ARDEX, represented by a Swiss lawyer who has set smuggling operation, and Sofia is the headquarters for a Turkish mafia involved in importing drugs and other up local companies for Becir Celenk, the Turkish drug contraband from Turkey into Western Europe. A share lord accused of having offered Agea 3m Deutschmarks to of the profits has been claimed by the DS and is used to kill the Pope. finance the purchase of guns for terrorists in Turkey and Danubex occupies the building in Paris that previously West Germany. Intelligence sources in Paris have housed the "transport division" of the Bulgarian Em- monitored the activities of a Bulgarian company called bassy. It has no apparent source of income except "loans" Kintex. Truck drivers working for Kintex have admitted from Sofia and Moscow, channeled via the Russians' ferrying arms and ammunition from Antwerp via favorite bank in France, the Banque Commerciale Switzerland, Austria and Yugoslavia into Bulgaria. The d'Europe du Nord. France's new spychief vice was becoming increasingly politicized. One of the few experienced officers who was retained in a key post- Colonel Singlant, head of counter-intelligence-began Despite the presence of four Communist ministers in his cultivating contacts on the political left and raised eye- government, France's Socialist President François Mitter- brows when he addressed an audience of West European rand has taken a tough line on the need to maintain a intelligence officers and was less than critical about strong NATO nuclear deterrent, and has been counsel- Cuba's role in the Third World. ling the West Germans to follow his example. He has also President Mitterrand himself became frustrated with refrained from political interference with the DST, the DGSE's performance under its new management, let- which is regarded among other Western intelligence ting it be known that he considered many of the reports agencies as the most professional security service in that were sent up to him to be indistinguishable from Europe. newspaper clips. However, France's foreign intelligence service, the Marion was finally removed after only 15 months in of- DGSE (or Direction Générale de la Sécurité Extérieure; fice and replaced by Admiral Lacoste, who had been formerly known as the SDECE) has undergone some ma- originally picked by Alexandre de Marenches, the former jor shakeups since Mitterrand took office. His first choice head of the secret service, as his successor. Lacoste is to head the agency, Pierre Marion, was a friend and highly regarded as a shrewd realist. He was once chef de former employee of the President's brother Jacques, an cabinet to Raymond Barre, the conservative former aerospace company chairman who once commanded prime minister. He has already quietly moved out six of France's force de frappe. Marion was a novice in the es- the carpetbaggers who came in with Marion. One of his pionage world; his principal claim to fame was that he had landed a French helicopter contract with the U.S. main problems now is to establish a satisfactory working relationship with the Elysee. He has good reason to be ex- Coast Guard by underbidding American firms. tremely worried about leakage of sensitive material to the Marion began laying about the DGSE with an ax. He large KGB rezidentura in Paris-or direct to Moscow. transferred out of the service 48 experienced profes- Lacoste believes the solution is to report directly to the sionals. There were soon complaints that the strict com- President on delicate issues, as Marenches used to report partmentalization essential for any intelligence service to Giscard d'Estaing once a week. But direct contact has was breaking down. There were also charges that the ser- not yet been accepted by Mitterrand's entourage. PAGE 7 FEBRUARY 1983 Castro builds a mini-Cuba In a strategically located former Dutch colony on the to land the following day, and the Bouterse government northeast coast of the South American mainland, border- ordered street rallies to show support for a fellow radical. ing Brazil, Cuban secret agents are counselling one of the The rallies fell flat. Returning to the attack, Cyril Daal continent's most bloody dictatorships on how to main- organized counter-demonstrations that attracted notably tain its power through the systematic murder of op- bigger crowds than the government could mobilize. ponents. This process has been largely ignored by the Fearing that this could be the prelude to a full-scale U.S. media. But, apart from human rights aspects, the popular uprising against his regime, Bouterse had the strategic implications could be far-reaching. In addition labor organizer thrown into jail. But this did not head off to Nicaragua and Grenada (where the Russians and their his problems. Buoyed by the strength of anti-Marxist feel- Cuban subcontractors are constructing major air bases) ing that had been demonstrated in the opposition to the Suriname is emerging as yet another staging post for the Grenadan Prime Minister's visit, civilian leaders in all Soviet Bloc in Latin America. walks of life joined together in a "Democratic Associa- The scene was set in February 1980 when a group of tion" pledged to lead Suriname back to a constitutional army plotters headed by Sergeant Desi Bouterse-who form of government. With only a few minor exceptions, since promoted himself Lieutenant-Colonel--staged a all of the country's civic, business, religious and labor coup. The details of their successful plot had been work- organizations united under this umbrella. ed out in close consultation with Armando Ulises By now Castro and the Americas Department chiefs in Estrada, then the chief of the huge Cuban intelligence Havana were seriously alarmed. The overthrow of a pro- network in Jamaica.¹ mising puppet government on the South American The Cubans promptly established an embassy in mainland seemed an imminent possibility. So Cardenas Paramaribo, the capital of Suriname, and a team of was dispatched post-haste to order Bouterse to neutralize Cuban intelligence operatives began to advise the the people on the "enemies list." On December 7, 1982, sergeant's junta on how to deal with internal dissent. 15 of Suriname's most prominent citizens-educators, Over the three years since the coup, several hundred lawyers, labor leaders and journalists-were dragged militiamen from Suriname have received training and from their homes and offices and detained inside the for- Communist indoctrination inside Cuba. Some 80 Cuban bidding stone pile of Fort Zeelandia, the old Dutch for- advisers are currently in Suriname.2 tress in Paramaribo. Simultaneously, Bouterse's goon Despite Bouterse's public protestations that his regime squads bombed and burned two opposition radio stations is "independent," our intelligence sources report that he and the headquarters of the trade union confederation. takes no important step without the approval of Jose The next day, the civilian leaders incarcerated in Fort Osvaldo Cardenas, the Cuban Ambassador in Zeelandia were summarily executed-tortured or Paramaribo. Cardenas is one of Castro's top intelligence machine-gunned to death by hand-picked guards, many officers, a former chief of the Caribbean section of the of whom had been trained in Cuba. Some of the bodies Departamento de America. He has been deeply involved were found to be hideously mutiliated when the dead in guerrilla operations in both Nicaragua and El men's families were permitted to see them. The Bouterse Salvador. We are reliably informed that Cardenas arriv- government (which could never be accused of original ed in Suriname from Havana last September with precise propaganda) put out a feeble press release claiming that instructions for the local boss: there was to be an im- its prisoners had all been shot "while trying to escape." mediate crackdown on all opposition elements. An Unfortunately, the victims of the massacre are unlikely to "enemies list" was drawn up, and key figures-including be commemorated in a movie like "Missing"-the men- the country's most popular labor organizer-were dacious account of the death of a young U.S. radical after marked down for physical elimination. the 1973 coup in Chile. Their fate was barely reported in The Cubans had reason to fear that their protege's grip the major U.S. media, with the single exception of an ex- might be slipping. Last October, the Marxist Prime cellent recent article in the Wall Street Journal. Minister of Grenada, Maurice Bishop, was scheduled to However, the Dutch government expressed its outrage by come to Suriname on an official visit. The trip had been cancelling an aid agreement. inspired by the Cubans. Unimpressed, the head of the Suriname today is close to economic bankruptcy, as a country's labor confederation, Cyril Daal, arranged a result of the combined effects of political chaos and the work stoppage by air traffic controllers to prevent slump in the world price of its main export, bauxite. The Bishop's plane from landing. Electricity technicians came only support Bouterse can claim outside his sergeants' out on strike as well. As these actions suggested, the coun- cabal is that of minute Marxist organizations-the Peo- try's union boss was an old-fashioned social democrat and ple's Party and the Progressive Workers and Farmers a staunch anti-Communist. Union. If he and Ambassador Cárdenas succeed in con- Prime Minister Bishop and his party finally managed verting the country into a mainland Cuba, it will be as a result of the sustained neglect of the situation by 1. Officially Castro's Ambassador to Jamaica, Estrada was a veteran officer of the Departamento de America, or Americas Department, the Cuban intelligence Washington and its allies, as well as of the determination agency that specializes in subversion and terrorism in the Western Hemisphere. He and ruthlessness of the Cubans in pursuing their objec- was expelled from Kingston when Edward Seaga took office. tives. The upshot could be Soviet naval and air bases on 2. Estimates by opposition sources range higher. Leaders of the anti-Bouterse Left- the Atlantic coast of South America, and a further blow ist Movement of Suriname claim that 1,000 militiamen have been trained in Cuba. to U.S. prestige in the region. E PAGE 8 EARLY WARNING guerrilla triumphs could finally force Garcia's resigna- Focus: Central America tion. Alternatively, they could deepen the divisions in the military and political establishment to the point where the government is finally compelled to treat with the EL SALVADOR: Rifts in the military guerrillas on losing terms-or (which we believe more The Salvadoran Defense Minister, José Guillermo Gar- likely) officers aligned with Ochoa will seize the guiding cia, has been battling for his political survival, under fire reins. They would then have to withstand a ferocious not only from rightist leader Roberto d'Aubuisson but barrage of propaganda attacks designed to cut off U.S. also from a powerful faction of professional officers who aid and isolate them from Western sympathy. are bitter critics of corruption and incompetence in the country's military establishment. The defiant breach of NICARAGUA: Spadafora military discipline in which Lt. Col. Sigifredo Ochoa joins the rebels challenged Garcia's authority for more than a week was widely depicted as a case of "rightists" assailing a "cen- A remarkable sign of the waning support for Nicaragua's trist" administration. Its signficance runs much deeper, Sandinista regime among its original supporters was a re- and its effects have yet to be fully registered. cent announcement by Hugo Spadafora that he is joining In the view of U.S. military advisers who have been in the "armed struggle" against the Cuban-backed regime the field, Ochoa's success in "pacifying" the Marxist guer- in Managua. Spadafora, a former Minister of Health in rillas in the province of Cabanas is the only case of a his native Panama, is something of a legend among Latin decisive victory over the rebels that they have observed in American revolutionaries. In 1966-67, he fought with the recent course of the insurrection. Ochoa is recognized Amilcar Cabral's guerrilla forces-alongside Cuban in- as the only authentic hero the Salvadoran army has pro- telligence advisers-in Portuguese Guinea. During the duced. His growing reputation, however, excited insurrection in Nicaragua that led to the overthrow of the jealousy among military bureaucrats in San Salvador, Somoza regime, he commanded Sandinista rebels in the and Garcia rewarded him by banishing him as military field. Now Spadafora has resigned from Panama's Democratic Revolutionary Party (PRD)-in order to avoid embarrassing his colleagues and has thrown in his lot with Eden Pastora, who was one of the heroes of the Nicaraguan revolution under the sobriquet "Coman- dante Cero." Now, from his base in Costa Rica, Pastora is planning the overthrow of the Sandinista junta that he helped to bring to power. The leaders of his Democratic Revolutionary Alliance (ARDE) include Alfonso Robelo, a social democrat who was formerly a member of El Salvador's governing junta. Significantly, liberal U.S. newspapers (like the New York Times) that published laudatory profiles of Hugo Spadafora when he was on the side of the Communist guerrillas have "spiked" the news of his defection. attache to far-off Montevideo. Ochoa, of course, refused to obey orders, and after a week-long test of strength a CENTRAL AMERICA: compromise was negotiated by which he was allowed to pick his own successor in Cabanas and was assigned The Sandinistas' domino theory to the Inter-American Defense College in Washington- Also ignored in the media was an extraordinary speech handily located for a sudden return to El Salvador- delivered by Commander Victor Tirado Lopez, a instead of exile in Uruguay. The men who worked member of the ruling FSLN National Directorate in out the compromise with the Defense Minister, Colonel Managua, as festivities organized in that city on Alfredo Blandon (chief of the military district of December 22, 1982, to commemorate the 60th anniver- the capital) and General Eugenio Videz Casanova (com- sary of the founding of the Soviet Union. Tirado declared mander of the National Guard) are more attuned to that "the Soviet experience is a lesson to the Central Ochoa's thinking than to Garcia's. American peoples. It shows that unity is a clear and What Ochoa was saying to Garcia in essence was: the powerful factor in solving common problems that seem to war can be won if leadership is exerted and corruption is be hard to face and resolve." He then added: "The for- curtailed. It is an argument that attracts widespread sup- mation of the USSR reminds us of the old desire for Cen- port among junior and middle-ranking officers, which is tral American unity and the old dream of Sandino, why the conflict within El Salvador's armed forces is far Morazan and other forefathers. The idea of uniting. un- from resolved. The limits of the Defense Minister's doubtedly responds to a deep popular aspiration." authority became plainly visible during the "revolt." For Tirado's comment was a clear indication of the San- their part, the leftist guerrillas have grabbed their oppor- dinista regime's aspirations to exercise the same kind of tunity; the new Marxist offensive under way in Morazan dominant position in Central America that Communist province is a direct response to what has happened. New Vietnam currently enjoys over Indochina. E Published by Mid-Atlantic Research Associates, Inc.: P.O. Box 1523, Washington, D.C. 20013. [301/621-4164] Editors: Robert Moss and Arnaud de Borchgrave. Research Analysis: John Rees. © Copyright 1983. Confidential org EARLY WARNING Issue 2, March 1983 The Radicals' 1983 Agenda The Institute for Policy Studies (IPS) is the hub of radical work operates. The major part of the conference, held on political action and lobbying in Washington. IPS organizers February 2, took place in the Cannon Caucus Room on play a key role in campaigns to emasculate the intelligence Capitol Hill. Five Congressmen and 250 congressional agencies, promote unilateral disarmament, deny support to staffers participated. The conference produced a radical allied countries, and to shift congressional opinion in favor "alternative plan" for meeting America's economic prob- of socialist economic nostrums. They have developed an in- lems that was hailed by Rep. Tom Harkin (D-Iowa) in fluential support apparat in the media, labor unions, his keynote speech as "a bold, new approach" and "the church organizations, local government and the U.S. Con- beginning of a dialogue between public interest groups gress. IPS might be regarded as the commissariat of the and Congress and scholars." American left today. The editor of the IPS budget study "commissioned" by The Institute also has some intriguing foreign connec- 60 Congressmen, Marcus Raskin, is one of the founders of tions. It has played host to Ramon Sanchez Parodi, the head the Institute and a member of the triumvirate that con- of the Cuban Interests Section at the Czech Embassy in trols its day-to-day activities. The others are Robert Washington. Julian Torres Rizo, the former station chief of Borosage, the director, and Richard Barnet, who the Americas Department of the Cuban Communist Par- specializes in international policy. Barnet and Raskin ty-which is responsible for subversion and terrorism in the now describe themselves as "senior fellows." Borosage, a Western Hemisphere-met regularly with some of the In- former president of the Washington, D.C. chapter of the stitute's leading figures while he was based in the United National Lawyers' Guild (NLG) and member of its ex- States. Michael Klare, IPS's chief Pentagon-watcher, has ecutive committee, is a graduate of Yale Law School who found time to provide informative lectures on U.S. defense first came to public notice as a vociferous antagonist of and arms sales policies in Havana. But most revealing, the U.S. intelligence agencies. Barnet is the theorist of the perhaps, is that on April 10, 1982, some of the Institute's top threesome, quieter in tone, an amateur violinist who likes organizers visited Moscow and concluded an agreement to take part in chamber music recitals. Raskin, by con- with Georgiy Arbatov, the long-time crony of Yuri An- trast, is the Institute's prize political in-fighter, coalition- dropov who heads the Soviet Institute for the USA and builder and organizer. Canada. Under this agreement, IPS and the Arbatov In- At the February conference, Raskin unveiled an eight- stitute will collaborate in arranging conferences to promote point plan for Congress. The highlights: "peace" and disarmament. As a follow-up, 30 Russians are scheduled to visit Minneapolis in April. The mayor of Min- 1. IPS urges that the Defense budget should be clear- neapolis, Donald Fraser, is a former Democratic Congress- ly divided into two segments: (a) expenditures for man who has long been associated with IPS, and accom- "the direct defense and protection of the United States"; panied Marcus Raskin and Robert Borosage to Moscow last and (b) expenditures on global defense, including the year. protection of trade routes, the upkeep of NATO and the The Arbatov Institute is not just an academic study defense of other U.S. allies. As Raskin indicated, re- group. According to Soviet intelligence defectors, more than half of its staffers work for the KGB. The primary role of the Soviet Institute is to advise the KGB and the Interna- tional Department of the CPSU on "active measures" cam- CONTENTS paigns against the United States, and to cultivate U.S. citizens as agents of influence. In addition to their talks with The radicals' 1983 agenda 1 Arbatov, the IPS delegates also met with Vadim Zagladin, The decline of OPEC 3 the first deputy chief of the International Department, The Saudi fallout 3 which determines the overall strategy for covert political Stormclouds over Brazil 4 operations against the West. Colombia's undeclared civil war 4 Against this backdrop, it is startling to find that IPS in- Andropov's propaganda purge 6 fluence on Capitol Hill has continued to expand during Plan to disrupt L.A. Olympics 6 the first years of the Reagan Administration. At a recent and Dallas GOP convention 7 conference organized by IPS to contest the Administra- tion's budget proposals, Democratic Congressmen Flashpoints: El Salvador, Japan, Libya, chaired many of the working sessions. Early Warning Haiti, West Germany 7 correspondents monitored the conference and picked up Africa activists target corporations 8 some intriguing clues to how the IPS-Capitol Hill net- PAGE 2 EARLY WARNING arranging the defense budget in this way would make it the support of a sizable Congressional caucus of left- easier to use "diplomatic means" to cut back expen- liberal Democrats for its agenda. The panel on industrial ditures-i.e., to bring pressure within Congress for the policy was chaired by Rep. Bob Edgar (D-Pa); the one on abandonment of America's responsibilities abroad. social welfare was presided over by Rep. Cardiss Collins IPS is touting an "Economic Bill of Rights" that (D-III.). The workshop on "Macroeconomic Policy" was 2. would make it a constitutional duty of government moderated by Rep. John Conyers (D-Mich.), a familiar to maintain a guaranteed standard of living for all figure in IPS circles. Conyers is Chairman of the Subcom- Americans. This proposal, like the more specific sugges- mittee on Criminal Justice. He also happens to be a long- tions for economic policy, reflects the desire to bring time member of the National Lawyers' Guild, an affiliate about massive state intervention at all levels of the of a well-known Soviet front organization, the Interna- American economy. Raskin told an approving audience tional Association of Democratic Lawyers (IADL). In that "the public sector is the place where we civilize January 1982, Conyers participated in a meeting of the ourselves and socialize our needs." presidential committee of the World Peace Council-the most important Soviet front operation and a mainstay of 3. Raskin demanded a "more progressive" tax sys- the unilateral disarmament campaigns in the West-in tem-i.e., much stiffer taxes on wealthy in- Copenhagen. Conyers, a very able and influential black dividuals and on corporations. Congressional leader, has been active in enlisting the sup- 4. Raskin called for a vast program of public invest- port of colleagues on Capitol Hill for IPS initiatives. ment and the creation of "yardstick public enter- The "Defense and Foreign Policy" workshop-held, prises." ironically, in the hearing room of the House Veterans' Af- fairs Committee in the Cannon House Office 5-8. The IPS plan also entails "export restric- Building-was moderated by Rep. Sam Gejdenson, a tions" on U.S. private banks to limit foreign second-term liberal Democrat who represents Connec- loans; the setting of limits by Congress on the amount of ticut's 2nd Congressional District. interest the Administration would be permitted to pay when borrowing money; the setting-up of a "National Employment Agency"; and the introduction of an overall state plan for the economy-camouflaged with the rubric "national needs assessment." Other Key Speakers The net effect of the implementation of all these pro- posals, according to Raskin, would be that the United Other key speakers at the conference included Earl States would "move to a human rights society." Ravenal, a Pentagon systems analyst in the days of the Johnson Administration who has been publicly associated In assailing the Reagan Administration's defense plans, with IPS since the early 1970s; Robert deGrasse of the Raskin insisted that the "real beneficiaries" are private Council on Economic Priorities; and Paul Warnke, the corporations; Members of Congress who hope to advance their careers through militaristic rhetoric; and veterans head of the Arms Control and Disarmament Agency whose generous benefits "induce" them to support ever- under the Carter Administration. Ravenal explained that the key to a balanced budget lies in defense cuts-par- increasing military budgets. The alternative to high ticularly in the area of U.S. commitments to NATO. defense spending, he maintained, was to seek com- DeGrasse stressed the need to "discredit" the idea that prehensive disarmament agreements with the Soviet defense spending creates new jobs, develops new Union and to work toward a world security arrangement centered on the United Nations Military Committee-in technology and stimulates new products. Warnke agreed effect, a U.N. glohal police force. that the MX missile project should be shelved. IPS has been lobbying Congress with "alternative" He even invoked George Washington to support a pro- budget proposals since 1965. Its success in winning a gram that would require the United States to withdraw wider hearing owes a great deal to low-visibility work from its present network of alliances, declaiming that the among Congressional staffers. For example, Neil Kotler, nation should return to the ideas of Washington's Rep. Conyers' legislative assistant, has worked successful- celebrated Farewell Address.* ly to organize a caucus of "progressive" members of House staff for IPS. One of the Institute's most valued friends on Capitol Hill today is Richard Kaufman, who Significance occupies a critically important position as counsel and staff director of the Joint Economic Council of Con- gress-the place where Senate and House representatives confer over differences in allocations. Kaufman has The real significance of the IPS get-together is that it been active in IPS circles since the 1960s, and still lectures demonstrated how the Institute has succeeded in winning at Institute seminars. Rep. Tom Harkin, who opened the February con- "It is our true policy to steer clear of permanent alliance with any portion of the ference, has made himself one of the leading advocates of foreign world," Washington declared in his Address on September 17, 1796. This a cut-off of U.S. support for anti-Soviet governments in quotation is much in vogue with the new generation of American isolationists, who carefully ignore the historical context of the famous speech. Washington was Central America. Marcus Raskin revealed, in the course trying to prevent America from becoming embroiled in Europe's dynastic feuds, of the afternoon session, that Harkin is now considering not to smooth the road for the expansion of a totalitarian dictatorship. making a bid for a Senate seat in Iowa in 1984. MARCH 1983 PAGE 3 The Decline of OPEC Those who recall the warnings of economic calamity that Third World debt (at present levels) by $6 billion. The were rife in the wake of the vast increases in the price of saving for Mexico alone would be $850 million. oil dictated by OPEC in 1974-75 (after the Yom Kippur The risk that control of energy supplies will be used war) and in 1979-80 (after the revolutionary convulsions in Iran) will appreciate the irony of current predictions as a political lever has been greatly diminished. The con- trast between the situation in 1973, when Arab producers that similar perils lie in store if oil prices slump dramatically. What troubles many analysts is the possible used the "oil weapon" to penalize the United States for disappearance of a major source of international liquid- supporting Israel, and that of 1982, when oil prices ity-OPEC surpluses-which have been regularly recycl- steadily declined, unaffected by the Israeli invasion of ed to debtor-countries for use in meeting debt repayment Lebanon, is striking. schedules. The fear is that the consequent inability of It is important to note that the fall in international oil debtor countries to meet their obligations could in turn prices actually began two years ago, after reaching peak bring about the insolvency of international creditors. levels in the first months of 1981 that ranged from $32 a That could lead to the breakdown of the world's banking barrel (for Venezuelan crude) to $42 (for the Nigerian and monetary systems. and Libyan products). According to a recent OAPEC Our assessment is not quite so apocalyptic. The present assessment, the present glut of oil on world markets will glut of oil, which has unleashed increasingly predatory continue into 1984, despite increased demand over the competition among oil-producing states, presents major next 12 months. Idle capacity (outside the Soviet Union) risks, not the least of which is the political upheaval in is currently estimated at between 25-30 billion barrels several Third World states and of a widening regional per day. In anticipation of further sharp declines in oil conflict in the Gulf that could embroil the Saudis. The prices, many buyers prefer to hold off and run down ex- challenge to Saudi Arabia is analyzed in the next article. isting stocks. As a result, Ecuador's exports of oil and oil- However, these risks must be weighed against some based products (for example) were down by 42 percent in potential benefits to the West. In particular: January, compared with 12 months ago. Bahrain has cut refining operations to less than half of capacity-to some Lower oil prices, by lessening inflationary pressures, 90,000 barrels a day. should make it easier for the Federal Reserve Board to Given OPEC's inability to maintain agreed price struc- bring down interest rates without an excessive squeeze on tures and the angry jostling among producer-countries the money supply. Each 1 percent drop in U.S. short- over their relative shares of the market, further big term interest rates would reduce the annual charges on reductions in oil prices are in store. Q The Saudi Fallout Even the cushion of some $150 billion in reserves cannot his views appear to have prevailed. However, he is also blunt the effects of the OPEC fiasco for the Saudis. The conscious that a price reduction of only $3-$4 per barrel Saudis will close their fiscal year this month with an would probably not add appreciably to demand. And the estimated budget deficit of $18-$20 billion, in contrast to political fallout from a bigger reduction, within Saudi the whopping surpluses of previous years. Late last year Arabia and even within the royal household, could be they began drawing down rather than adding to their considerable. deposits in international banks. Liftings of Saudi crude in For example, Shiite workers in the eastern oilfields are February reportedly fell below 400,000 barrels on some opposed to a major price cut. Many of them are tuned in days. Many ambitious modernization projects, and a lav- to the daily propaganda broadcasts from Teheran that ish program of military spending, now seem in jeopardy. denounce corruption and wastrel policies among the The Saudis are also counting the political costs of the Saudi ruling families. The Ayatollah's regime has let it be erosion of their leadership position within OPEC. Their known that it would view a sharp drop in the price of attempt at Geneva in January to impose a $34 price level Saudi crude as tantamount to an act of war-a threat and their own standards for setting differentials and na- that nobody in Riyadh can afford to ignore. While tional production quotas incurred the open hostility of Teheran radio appealed to the Saudi masses to carry out most of the other delegations. When the meeting broke an "Islamic" revolution, an Iranian fighter-bomber up, the Saudis suffered the humiliation of watching the recently made a beeline for the Saudi oilfields south of Iranian delegates crowing about a "victory" over Saudi Dahran. American-manned AWACs spotted it and-to Arabia. the surprised relief of U.S. advisers-Saudi planes were Since the Geneva fiasco, the debate among the Saudi scrambled in time for an intercept. The Iranian pilot ruling princes has been over whether to cut the price of turned back. The incident may have been a deliberate oil in order to retain the country's present share of the warning by the Iranians, motivated in part by the back- market-or whether to seek to prop up price levels by ing the Saudis have given to Iraq in the Gulf war. The pumping even less. Saudi Oil Minister Sheik Zaki Saudis certainly read the signal that way; they have since Yamani could see no way out of a price reduction, and sharply curtailed their support for the beleagured Sad- PAGE 4 EARLY WARNING dam Hussein regime, which could lose control of the vital received reports that Saudi emissaries have held secret city of Basra if Iranian advances continue. meetings with Soviet diplomats in Western Europe to pur- Another Saudi worry is that the volatility of the Gulf sue this idea. The Foreign Minister, Prince Saud, appears region has led major consumers to look for alternative to be one of its primary advocates. However, King Fahd energy sources for geopolitical reasons as well as price and Prince Sultan, the Defense Minister, continue to considerations. The United States has cut imports of favor close alignment with the United States. Saudi crude from a peak of 1.6 million barrels per day to All these stresses have brought about a period of about 400,000. Japanese dependency on Gulf sources can vacillation and uncertainty in Saudi policy. An intriguing be eased by increased reliance on Indonesia and Mexico, pointer to things to come is the recently initiated and fast- and substantially broken if it is allowed to import developing coziness between the Saudis (along with a Alaskan crude. number of lesser Gulf rulers) and the indefatigable Ar- Fears at the top that Saudi Arabia is losing its oil mand Hammer, the head of Occidental Petroleum, leverage will increase the influence of Crown Prince Ab- which not long ago swallowed up Cities Services. Ham- dullah, the head of the National Guard, who has long mer recently paid a visit to Saudi Arabia and several Gulf maintained at his side a left-leaning Syrian adviser. Ab- emirates, and there has been talk of a Saudi-Occidental dullah is the symbolic head of a faction within the Saudi refinery venture in Louisiana. Not the least fascinating ruling establishment that believes that national security is aspect of this new conjunction is that Hammer, who has to be found not in a close alliance with the United States intimate and longstanding relations with the Soviet lead- but in a policy of neutrality that would leave the country ership, would be ideally placed to serve as a go-between "equidistant" between the two superpowers. We have in negotiations between the Saudis and Moscow. - government party a technical majority, but also mani- 7 FOCUS: fested the strength of countrywide opposition. The large southern states were captured by the opposition; and the bellweather state of Rio de Janeiro is now controlled by LATIN AMERICA the radical left. Leonel Brizola, now governor of Rio, was the brother-in-law of João Goulart, the former President Stormclouds over Brazil whose sympathy for the Marxist left brought about the military coup of 1964. Brizola is now working to compel We have received reliable intelligence reports that the country's military rulers to hold direct elections for Cuban army veterans and intelligence officers who served the presidency by 1985, at the latest. We can expect a in Angola and are fluent in Portuguese are currently well-orchestrated international propaganda campaign to being transferred to Suriname. Their target: Brazil. The support this demand. Brizola himself intends to run for common border between Brazil and the former Dutch the presidency when elections are announced. colony of Suriname, now under the sway of a Marxist In the meantime, the ground rules announced by Presi- sergeants' junta, is porous and impossible to police. It dent João Baptista Figuereido call for the transition of seems that Castro is using Suriname as an advance post in power to another general before elections finally take an effort to supply covert support to leftist forces in Brazil place in 1989. The heir-apparent is the present chief of that hope to take advantage of that country's social and the national intelligence service (SNI), General Otavio economic troubles. (The government ordered a 30 per- Medeiros. He could, however, be damaged by a scandal cent devaluation last month.) that has blown up over the disappearance of a Brazilian Suriname is not the only base for possible Cuban med- editor who had allegedly accumulated an explosive dling in Brazil. On Brazil's western flank, Bolivia recent- dossier on SNI activities. ly reestablished diplomatic relations with Havana. The Santa Cruz region of eastern Bolivia-an area of mixed Colombia's undeclared civil war Brazilian and Bolivian cultures and influence notorious, until recently, for its coca plantations-is a still more at- Colombia's President Belisario Betancur is gambling on tractive base for Castro's Angola veterans. the possibility that he can make a deal with his country's Brazil has entered a prolonged recession and rapid well-organized guerrilla groups, the largest of which, the political change. While falling oil prices will bring par- FARC* (or Colombian Revolutionary Armed Forces) tial relief, the IMF has demanded budget cuts of at least operates under tight Cuban supervision. In the hope of a 21 percent for state enterprises, including the agencies settlement, he is making overtures to Fidel Castro, has charged with helping the poorest of the poor in the north- launched rhetorical attacks on U.S. policy in Central east part of the country, now suffering the worst drought America, and has created a 40-man commission to in a century. Some 35 million people live in drought- negotiate with the guerrillas. These moves have already stricken areas; the sheer enormity of the problem is excited sharp criticism from the Army high command, beyond solution for the Brazilian government. Now, with and there are fears that the country could slip back into a development programs being cut back, attacking the state of armed chaos, with damaging fall-out for the IMF has become a popular theme. Signs have appeared United States and the region as a whole. in Brazil making out that the initials IMF stand for In- With both a Pacific and a Caribbean coastline, and flação, Miseria, Fome-"Inflation, Misery and Hunger." Uncertainty about the political future clouds The political command of FARC [Fuerzas Armadas Revolucionarias de Colom- bia] since 1966 has been through the Soviet-line Communist Party of Colombia everything else. The elections of November 1982 gave the (PCC). TO: Mid-Atlantic Research Associates, Inc. P.O. Box 1523 Washington, D.C. 20013 Please enter my subscription to the confidential intelligence bulletin EARLY WARNING. I undertake to respect the confidentiality and copyright of the publication. I enclose a check for $1,000 for the next 12 monthly issues. (Signed) Name Title Organization Mailing address EARLY WARNING Published by Mid-Atlantic Research Associates, Inc. P.O. Box 1523, Washington, D.C. 20013. [301/621-4164] Editors: Robert Moss and Arnaud de Borchgrave. Research Analysis: John Rees. PAGE 5 MARCH 1983 with close proximity to the Panama Canal, Colombia OC- ed. The Betancur government has been trying to suppress cupies a crucial strategic position in Latin America. It is the news of such incidents, but our intelligence sources also the home of the continent's oldest established guer- report that they are frequent and bloody. rilla movement, born in the terrible era of civil blood- "Colombia is in a virtual state of undeclared civil letting that followed the "Bogotazo" of 1948 in which war," according to the country's Attorney General, Fidel Castro was a leading protagonist. Betancur was Carlos Jimenez Gomez. Violence from the left has pro- elected on the Conservative ticket last year, and almost voked an answering response from the right, in the form immediately surprised many of his own backers by his ef- of private armies and "death squads." forts to appease Castro and the guerrilla left. A rightist organization calling itself Muerte a los Se- questradores (MAS) or "Death to the Kidnappers" has surfaced, and many members of the armed forces and the GUYANA police are believed to be working with it in defiance of VENEZUELA French Gulana government orders. One further sign of the breakdown of COLOMBIA presidential authority is that even the Minister of War, SURINAME General Bernardo Landazabal, while quick to disclaim ECUADOR any military involvement with MAS in public, is reliably reported to be privately sympathetic to its activities. BRAZIL PERU Veteran analysts believe that it is highly unlikely that either the FARC, the M-19, or the country's third impor- BOLIVIA tant guerrilla group, the ELN (or Army of National Liberation) will accept an amnesty on the terms Presi- CHILE PARAGUAY dent Betancur is suggesting. But it is interesting to note that the group that has been most receptive is the FARC, URUGUAY the guerrilla movement that is most closely controlled by ARGENTINA the Soviets and the Cubans. Its leader, Marulanda, has been a guerrilla fighter for three decades. It seems pro- bable that he has been encouraged to meet the President's emissaries by his Soviet and Cuban advisers in order to gain time, demoralize the armed forces, and encourage Betancur's recent flirtation with an "anti-imperialist" foreign policy. Colombian Mafia in U.S. Increased political disruption inside Colombia will Otto Morales, a former government minister, said have direct repercussions for the United States. Colombia recently that he and other members of the President's is already the source of some 70 percent of the cocaine "peace commission" had conducted talks with the FARC and marijuana entering the United States. More and leader, Manual Marulanda (better known by the sobri- more of Colombia's criminal elite have been moving to quet of Tiro Fijo, or "Sure Shot") in a jungle region in the the United States to establish a firm base-insurance southwest of the country. The news was not welcomed by against the possibility that revolutionary upheavals could the Army chiefs, who have been pressing President threaten their safe havens in Medellin, Cali and Bogota. Betancur to impose martial law and allow them to take These Colombian "families" can be seen as the Latin stronger measures against a rising terrorist threat that in- American successors to the Sicilian Mafia. Settling mostly cludes the urban operations of the M-19 organization, in south Florida and in the Queens borough of New York made notorious by its prolonged siege of the Dominican City, they have expanded from drug trafficking into Embassy two years back, when the American Am- gambling, prostitution and loansharking. They are rich bassador was one of the captives. enough and powerful enough to one day challenge the Multiple murders are again everyday happenings in Mafia for the leadership of organized crime in the United Colombia. In the Department of Santander, for example, States. They have a further asset: some of them have been 17 peasant farmers were massacred by leftist guerrillas on dealing with high officials in Havana for many years as February 7. During the month of January alone, more their sleeping partners. than 200 people were the victims of assassination, and 63 Before a Federal court in Miami, a former agent of kidnappings were reported. Most of the killings were Castro's DGI called Mario Estevez Gonzalez recently politically inspired, but the rising tide of political revealed that he had worked with one of the major Col- violence also gave criminal elements the chance to pros- ombian crime families in smuggling narcotics into the per. United States. His testimony resulted in the indictment of General Gustavo Matamoros, the chief of the armed four top Cuban officials on charges of conspiracy to im- forces, has been urging the President to give him the port drugs into the United States. They were: René green light for a major offensive against the guerrillas. So Rodriguez Cruz, the head of ICAP (the Cuban Institute far, the general has been rebuffed. The Army chiefs are of Friendship with the Peoples); Admiral Aldo San- particularly alarmed by frequent guerrilla ambushes of tamaria Cuadrado, the chief of the Cuban Navy; Fernan- convoys and military outposts. On February 7, for exam- do Ravelo Reneda, former Cuban Ambassador to Colom- ple, nine soldiers were killed in an FARC ambush and the bia; and Gonzalo Bassols Suarez, a veteran Cuban in- convoy of food and weapons they were escorting was seiz- telligence officer most recently assigned to Panama. PAGE 6 EARLY WARNING Andropov's Propaganda Purge Heads began to roll in Moscow's propaganda services propaganda machine. What is behind it? Our analysis soon after Yuri Andropov took over as General Secretary. suggests that the reason Andropov has moved so ex- The victims are proteges of the late Leonid Brezhnev. peditiously to put his own men in charge of propaganda The first to be ousted was the head of the powerful pro- is that he is getting ready to launch a campaign of denun- paganda department of the CPSU, Yevgeniy ciation-both direct and indirect-against Brezhnev. Tyazhelnikov, who was packed off to Bucharest as Am- Just as Khrushchev reviled the memory of Stalin, An- bassador. dropov will seek to make Brezhnev the scapegoat for Next to fall was Valentin Falin, the deputy chief of the Russia's economic failures, pervasive corruption, and International Information Department (IID) of the possibly even for the costly intervention in Afghanistan. Soviet Communist Party, and a former Soviet Am- There may be a further motive for the purge. An- bassador to Bonn. The IID is responsible for doctoring dropov, himself a specialist in disinformation and black news on world affairs for the Soviet bloc media and for propaganda, wants to streamline the organs responsible "active measures" operations against the West. Early this for active measures in order to play deception games year, Falin succeeded in getting air-time on West Ger- against the West that will be both more sophisticated and man and Swiss television to attack NATO plans for the more aggressive than those practiced in recent years. The deployment of Pershing II and cruise missiles in Europe. primary targets will be the Reagan Administration and Now he has been reduced to writing political commen- its West European allies. taries for Izvestiya. It is possible that, as a result of the shakeup, the IID A recent Soviet defector experienced in "active will be closed down altogether, and its responsibilities measures" operations believes that Falin's boss, Leonid transferred back to the International Department, the Zamyatin, is also on the way out-into honorable exile, Party's strategic directorate for foreign affairs and all as Ambassador to Algeria. types of covert operations. @ The purge augurs a major overhaul of Moscow's huge paigners who turned up at the Berkeley meeting over the SECURITY ALERT precise tactics to be employed. While some of the more media-conscious activists harped on the need to give the rally a "peaceful" coloration-to the point of displaying blue-and-white flags bearing doves in place of red ban- Plan to disrupt L.A. Olympics ners-others demanded civil disobedience and confronta- tion with the authorities. A radical coalition is planning to assemble one million For example, a young Columbia University physicist, protesters at a mass rally in Los Angeles on July 27, 1984, Dr. Michio Kaku, who has been involved with Mobiliza- the day before the opening of the Summer Olympic tion for Survival, an anti-nuclear coalition, read a Games. message from Philip Berrigan, a defrocked priest and The rally is the brainchild of a New York-based group leader of the Atlantic Life Community, which has car- called the Federation for Progress (FFP), an alliance ried out acts of vandalism and destruction at a number of dominated by violence-prone organizations such as the plants operated by defense contractors on the East Coast Communist Workers Party (CWP). Details were dis- and at the Pentagon. Berrigan's theme: There is "a moral cussed at a planning session held on the Berkeley campus duty to create civil disobedience." of UCLA on February 5. What most alarms security The leaders of the Olympic protest planning session analysts is that the participants included veterans of the were Harry Edwards, a sociology professor at UCLA; Communist Party, U.S.A.; Young Workers' Liberation and Judy Chu, a UCLA professor of Asian-American League; Venceremos Brigade;* Students for a Studies. Edwards spoke of the need to build a broad- Democratic Society; the Weather Underground; leftist based coalition to mount the mass demonstration and to Iranian students, and activists from a variety of Latin expand the role of the Federation for Progress as a laun- American and Mexican-American groups. ching pad for a grassroots radical movement in the The guiding idea behind the planned demonstration is United States. to take advantage of the media attention that will be Professor Chu assailed the U.S. Olympics Committee focused on the 1984 Olympics in order to publicize for allegedly seeking to turn the 1984 Games into "the various causes and make a strong show of opposition to first Olympic victory for big business." Estimating that the Reagan Administration in the run-up to next year's one million spectators and 37,000 athletes and officials elections. There was a clear division among the cam- will turn out next summer, she declared that "the world's eyes will be focused on Los Angeles and we don't intend to allow them not to see us, our problems and needs." Federation organizers agreed to target "the large The Venceremos Brigade was established by Cuba in 1969 to recruit a pool of U.S. activists, vetted and checked by the DCI, and some of which are known to security apparatus established for the Games." They also have received training in terrorism and clandestine operations. The VB organiza- agreed to resist any efforts by law enforcement agencies tion, which is ongoing, keeps track of some 5,000 of these pro-Castro activists. to collect information on planned violence or terrorist at- MARCH 1983 PAGE 7 tacks. Such intelligence-gathering was described as of the Los Angeles Olympics, have also hatched a scheme "political repression." to stage protests during the August 1984 Republican Na- Our sources saw no indication that the Federation for tional Convention in Dallas. Progress is prepared to purge violence-oriented groups The local organizer in Dallas is Roger Tallendberg, like the Communist Workers Party from its membership who has been active for some 15 years in the War or exclude them from participating in the scheduled pro- Resisters League, which claims "pacifist" credentials tests. (The CWP is best-known for its shootout with the despite its backing for the Vietcong, the PLO, the Irish Ku Klux Klan and neo-Nazis at Greensboro, N.C. and its Republican Army, the Baader-Meinhof gang, the Black attempt to fight its way onto the floor at the 1980 Liberation Army and the Weather Underground. The Democratic National Convention in New York.) specialty of the War Resisters League is organizing (and The FFP advertises itself as an embryonic leftist "third providing training for) civil disobedience demonstrations party"-a coalition between Marxist-Leninists, white that sometimes set the stage for violence by other groups. radicals, third world solidarity groups and ethnic minori- The Dallas organizers hope to profit from the suc- ty organizations. To date, its public activities have been cessful example of the big "Nuclear Freeze and Disarma- almost exclusively focused on attacking the foreign and ment Rally" held in New York on June 12, 1982. With the domestic policies of the Reagan Administration. help of super-star entertainers, the New York rally drew a The list of those who signed the call to found the FFP crowd of over half a million. Significantly, the chief includes: Sidney Lens, a co-founder of Mobilization for logistical planner of the New York rally, Leslie Cagan, Survival who has long been involved with the Chicago af- has already met with the Dallas group. Cagan is a filiate of the Soviet-controlled World Peace Council; veteran of the pro-Castro Venceremos Brigade who once Manning Marable, a leader of the National Black In- co-taught a class at a Marxist study center with a member dependent Political Party; Nelson M. Johnson, chairman of the Communist Party's Central Committee. of the Communist Workers Party; Rep. Ronald Dellums Building on issues ranging from "peace" and the en- (D-Calif.); Rep. Parren Mitchell (D-Md.); William vironment to solidarity with Latin American guerrillas, Kunstler, a prominent figure in the National Lawyers and from homosexual rights to unemployment, the Guild; Leonard Weinglass, NLG activist and attorney organizers of the Dallas protests are hoping for a big for the Weather Underground Brink's robbery defend- turnout. Tallendberg says that he wants to bring in ants; Michael Parenti of the Institute for Policy Studies; "peace groups" from as far afield as Europe and Central Russell Means, leader of the American Indian Movement; America. Georgia State Senator Julian Bond; Don Luce, head of the Southeast Asia Resource Center and a long-time pro- Question: Can the left arrange two huge mass rallies, Hanoi partisan; Dr. Benjamin Spock, and Pete Seeger. in locations 1,000 miles apart, in the space of less than and the Dallas GOP convention two weeks in the summer of 1984? The answer depends on money-cash for buses, plane tickets, lodgings, adver- tising, communications. The fund-raising drive is now Leaders of the radical anti-defense lobby, Mobilization on. If it falls badly short of the targets, expect a lot of for Survival. which is involved in the planned disruption scrapping between rival organizers over priorities. & clude National Security Adviser William Clark, UN Am- FLASHPOINTS bassador Jeane Kirkpatrick and CIA Director William Casey. However, we are told that Enders got Secretary of State George Shultz' blessing for his approach to Gon- zalez-on the understanding that what the U.S. was The Enders plan for El Salvador. Top-level seeking was not a power-sharing agreement in El Salvador, but the possible transformation of the Marxist Washington sources tell us that Thomas Enders, Assistant guerrilla movement into a legal opposition. Enders has Secretary for Inter-American Affairs and the Admini- been saying privately that he's encouraged by the exam- stration's prime troubleshooter in El Salvador, has ple of the amnesty that Colombia's President Betancur stepped up his efforts to find a negotiated settlement. He has held out to his country's guerrillas. But, as we detail is said to have reached the conclusion that the United in our report from Colombia, that formula isn't working States is in a "no-win" situation and should seek a too well, and the Enders approach in El Salvador could graceful way to bow out, à la Vietnam. Enders was in end up by seriously undermining the pro-U.S. forces Madrid recently to confer with the new Spanish Prime there. Minister, Socialist leader Felipe Gonzalez. Gonzalez, who is also President of the Socialist International (SI) is Soviet pressures on Japan. Since Japan's Prime apparently seen by Enders as an ideal intermediary to Minister Yasuhiro Nakasone visited Washington and treat with all sides in El Salvador. The State Department referred to his country as an "unsinkable aircraft man was apparently not disillusioned when Gonzalez carrier," Moscow has kept up an intense propaganda bar- started urging the normalization of relations between rage designed to intimidate the Japanese government into Washington and Havana. Some key Administration of. abandoning plans to upgrade national defense and pur- ficials are strongly opposed to Enders' approach. They in- sue a closer alliance with the United States. The Japanese PAGE 8 EARLY WARNING are uneasily aware of the steady expansion of the Soviet understood that the Zionists wanted to dominate Ger- Pacific fleet, which now includes 87 warships, an aircraft many." Asked by the disbelieving French correspondent carrier with 35 vertical take-off fighter planes and whether he meant what he had said, Qaddafi went on to helicopters, 80 attack submarines and more than 30 underline his point: "Hitler decided to sacrifice the strategic missile submarines. A fascinating Chinese Jews before they sacrificed Germany." analysis of Moscow's naval build-up in the Far East published in Renmin Ribao comments that "the Soviet New threats to the Pope. Pope John Paul II's im- Union's fundamental strategic principle is to discourage pending tour of Central America and the Caribbean the relationship between the United States and its poses horrendous security headaches. A number of death allies At present, due to considerable developments in threats have already been reported. One of the more Japanese-American military cooperation, the Soviet bizarre warnings came from an exiled Haitian opposition Union has unprecedentedly increased its military group, the "Hector Riode Brigade," which sent a letter to pressure on Japan. It attaches more importance than ever the Apostolic Nunciature of Port-au-Prince on January 26 before to the use of political infiltration, diplomatic stating that "We will not hesitate one moment in jeopar- favors and economic seduction." dizing the security of Pope John Paul II during his visit to Haiti should the high pontiff shirk his duty as head of the Qaddafi's exemplar. On the eve of his public Catholic Church and place himself at the service of the clash with the Reagan Administration over U.S. Duvalier family which rules Haiti." The Pope's visit to maneuvers in response to Libyan meddling in Sudan, Haiti is scheduled for March 20. Muammar Qaddafi offered some startling insights into his personal philosophy-and his psychological The Soviets' friend in Bonn. The key man to stability-in an interview with three Western cor- watch in Western Europe today is Egon Bahr, the foreign respondents. As reported by Le Matin (Paris), Qaddafi policy mentor to Social Democrat leader Hans-Jochen held "Jews and Zionists" accountable for "a plan to Vogel. For many years, Bahr has been a trusted confidant destroy or dominate the world." As examples, he stated of the Soviet leaders, and a key proponent of moves that converted Jews had labored to "destroy Christianity toward a bilateral security arrangement between from within" and had brought about the rift in the Moscow and Bonn that would lead to the break-up of the Muslim world between Shiites and Sunnis. "The NATO alliance. Ironically, Bahr was on equally intimate economic crisis of the past few years," he went on, "is the terms in the 1950s with U.S. diplomats and CIA officials result of the proliferation of Zionists in treasury institu- in West Germany. But in the early 1960s, following the tions, stock exchanges, oil companies and money construction of the Berlin Wall-which shocked many markets." The Jewish world conspiracy, according to West Germans as an apparent manifestation of American Qaddafi, is "the same plan which failed before in Ger- impotence-he switched sides, and is today feared in many. In fact, although we utterly condemn Hitler for West European chanceries as the man who could drive a the massacre of the Jews, Hitler understood that plan, fatal wedge into the Atlantic alliance. Africa Activists Target Corporations The network of activists backing Soviet-aided guerrillas American Friends Service Committee; and the American in southern Africa are again lighting fires under Congres- offices of several African insurgent groups, primarily the sional lobbying campaigns. Key targets include fighting South West Africa People's Organization (SWAPO) of Commerce Department efforts to relax tight export con- Namibia, and the African National Congress (ANC) of trols to South Africa; maintaining the Clark Amendment South Africa. prohibiting all U.S. covert or overt action against the Sources report the next media campaign is targeted on Soviet client regime in Angola; promoting U.S. contribu- March 21, anniversary of the "Sharpeville Massacre." tions to a United Nations fund for the legal defense of These media campaigns in Western Europe and the South African terrorists; and supporting legislation pro- United States have, in the past, often coincided with posed by the Congressional Black Caucus to prohibit all sporadic bombings by local terrorists of companies doing new American investment in South Africa. business in Southern Africa. Furthermore, in recent years Playing leading roles in these efforts are a project of the these campaigns have also been accompanied by sabotage Institute for Policy Studies, the Campaign to Oppose and terrorist attacks against key targets in the South Bank Loans to South Africa; TransAfrica; American African economic and defense infrastructure. Committee on Africa; Washington Office on Africa; Published by Mid-Atlantic Research Associates, Inc.: P.O. Box 1523, Washington, D.C. 20013. [301/621-4164] Editors: Robert Moss and Arnaud de Borchgrave. Research Analysis: John Rees. © Copyright 1983. Confidential 683 EARLY WARNING Issue 3, April 1983 How to Win in El Salvador Over the past two weeks, Early Warning has sent two ob- economic warfare via sabotage of communications, servers to El Salvador-one a veteran intelligence analyst utilities, agricultural equipment and storage facilities, with particular experience of Latin America, the other an and industrial plants. But a crisis that now raises the expert in guerrilla warfare and counter-insurgency tech- spectre of widespread hunger in a formerly self-sufficient niques. Their independent reports point to the same con- agricultural country has been deepened by malad- clusion: that unless there is a fundamental change in tac- ministration of a land reform program fraught with cor- tics by the Salvadoran military, the anti-Communist ruption and feather-bedding. government forces are likely to suffer a devastating A recent report prepared by a Washington consultancy defeat, possibly before the end of this year. This would group for the U.S. Agency for International Develop- trigger a destabilizing chain-reaction in Costa Rica, Hon- ment established that some $25 million provided by the duras, Guatemala and Mexico: would increase the threat United States for El Salvador's agrarian reform program to United States security; and would undermine the is unaccounted for. EW has also learned that tracts of credibility of the Reagan Administration's foreign policy land that formerly supported up to 7,000 people now in the eyes of Latin America and the world. support less than 1,000. There is enormous confusion Currently, efforts to hold the line in El Salvador over land titles. USAID has commissioned a study to against Cuban-backed Communist insurgents are being determine the legal basis for the extension of clear titles, eroded by the following factors: but our sources report that no serious consideration is be- ing given to the issue of compensation for expropriated 1. Salvadoran field commanders who have been land. This is adding to the country's divisions by deepen- trained by the United States in modern counter- ing the frustrations of the Right. insurgency warfare strategy and tactics and have the determination and understanding to put them into action 4. The Salvadorans, under U.S. guidance, have been are being thwarted by the military bureaucracy in the unable to pursue a "forward strategy" involving hot capital led by the Minister of Defense and Public Securi- pursuit of FMLN insurgent bands into their sanctuaries ty, General Jose Guillermo Garcia Merino. As a result, across the Honduran border. For its part, the United the government forces are applying quasi-conventional States has so far proved incapable of decisive moves to tactics against the leftist Farabundo Marti National reclaim any of the territory lost recently to hostile Liberation Front (FMLN) irregulars maintaining strong regimes in Central America and the Caribbean-Nica- points in the larger towns and rarely venturing quickly or ragua, Suriname and Grenada-which provides a morale far into the countryside. The result is that Soviet-backed boost for the Salvadoran rebels. insurgents have considerable freedom of movement and action and are suffering relatively few casualties among 5. The United States has been completely ineffective their main fighting forces while morale suffers among in discouraging the Sandinista regime in Nicaragua government troops and their field commanders. Still the from making its territory available not only for training conventional warfare formula remains attractive to some FMLN forces and as the operational headquarters of the senior military officials who are profiteering from the U.S. military aid programs, importing support equip- ment such as generators and trucks that can be easily- and illicitly-resold to the private sector or even shipped to overseas firms. CONTENTS 2. The certification process, by which the U.S. Con- How to win in El Salvador gress passes judgment every six months on whether 1 or not the President's request to extend the aid program Tremors around the Gulf 4 to El Salvador (and the savage rhetoric from the Left that Anti-US terrorism in West Germany 5 surrounds it), has created a miasma of uncertainty in El Salvador about the reliability of the United States. Cer- Europe's Socialists and the freeze 5 tification is also deeply humiliating to all of El Salvador's Focus on France 7 anti-Communists and especially to the political, military and business leaders. Flashpoints: USSR; Colombia; USSR and Japan; Hong Kong; Castro in Europe; 3. Over the past three years, El Salvador has been re- West Germany 8 duced to an economic disaster area. In large part, this is the result of an extended campaign of guerrilla PAGE 2 EARLY WARNING FMLN leadership, but also as a vast warehouse for their This is the same Col. Paredes who publicly threatened to supplies and weapons sent via Cuba from the Warsaw expel U.S. Ambassador Ellis Briggs, Jr. a few weeks ago, Pact regimes, Vietnam and now, our sources report, even claiming the Ambassador was "spying." The intelligence from Soviet clients like Algeria and Libya. It is difficult chief of Panama's National Guard is Colonel Manuel An- for the government in San Salvador to envisage a real tonio Noriega who has close Cuban ties and travels fre- cessation in the civil war not linked to fundamental quently to Havana for consultations. In short, while only changes in Managua. praise has been heard for Ochoa's military capabilities, it Elections are scheduled to be held in El Salvador next would be misleading to characterize him as "right-wing." December. But the auguries are not good for a smooth The history of Latin America is replete with examples of transition to an elected presidency. The elections of "conservative" military men who turned into left-of-cen- March 1982 demonstrated overwhelming support for the ter "populists" overnight-and vice-versa. democratic process, but that was supposed to bring decisive leadership and the defeat of the insurgents. This failure has spawned growing disenchantment which the FMLN's supporters have encouraged. The Constituent Assembly has not only failed to provide decisive political BR NONDURAS leadership, but it has so far failed to produce what it was MERICO created to supply-a new constitution. (The committee charged with drafting a constitution meets rarely and GUATEMALA NONDURAS some members have never turned up for a single session.) All the same, a multiplicity of presidential candidates is expected. ELSALVADOR NICARAGUA The current President (ad interim) Alvaro Magana Borja will be one of them, although he is handicapped by the indecisiveness he has demonstrated in the presidency COSTA RICA and by his close links with an opportunistic circle led by Minister of the Presidency Francisco Jose Guerrero whose PANAMA members have very visibly enriched themselves over the past year, perhaps in connection with the U.S. aid pro- gram. Indeed, the presidential succession in El Salvador may be traumatic. The Christian Democrats, the largest single party, already are engaged in furious internal The intense political activity on-going until the disputes. The former Junta president, Jose Napoleon December elections is expected to fractionalize existing Duarte, is lobbying to become his party's candidate. One political alliances. This process may weaken the of his prime challengers, Foreign Minister Fidel Chavez Salvadoran government's ability to wage an effective Mena, popular with the American Embassy, is young, anti-guerrilla campaign. ambitious, personable and a political moderate, but lacks Meanwhile, a well-orchestrated international network leadership ability. Whoever emerges as the Christian of propaganda fronts continues to deluge Congress and Democratic candidate can probably count on backing the U.S. media with material designed to generate sup- from Venezuelan President Luis Herrera Campins. port for the Castroite guerrillas and discredit U.S. However, Herrera Campins is being distracted from policies and the Salvadoran government. A captured regional political affairs by economic problems that vir- report by Farid Handal, brother of the Salvadoran Com- tually guarantee the defeat of COPEI, his own Social munist Party leader, on an organizing visit to the United Christian party, in Venezuela's next elections. States in 1979, showed that this network of "solidarity The Salvadoran right also is split. The charismatic but committees" was established with the aid of the Com- unstable Roberto d'Aubisson, Speaker of the Constituent munist Party, U.S.A. and activists from the Institute for Assembly, is among the presidential contenders. Another Policy Studies, National Council of Churches and U.S. is Vice President Gabriel Mauricio Gutierrez Castro of Peace Council. The office of California Congressman the ARENA party. Ron Dellums was used as an organizing base for Handal An intriguing third choice is Lieutenant Colonel in Washington. Recently released U.S. intelligence Sigifredo Ochoa, currently living in exile at the Inter- reports confirm that the establishment of the interna- American Defense College in Washington, D.C. As tional El Salvador "solidarity committee" network was a discussed in our first issue, Ochoa was removed from his Soviet "active measures" effort. military command in Cabanas province by Defense The effectiveness of this apparat is evident not only Minister Garcia because he presumed to criticize the from the fact that the terrorization of El Salvador's rural management of the war by the military bureaucrats in population receives far less attention in the U.S. media San Salvador. than abuses attributed to government forces or the Right, Of late, Ochoa has become the darling of the Right in but from clandestine broadcasting by the FMLN guer- El Salvador, but he is a complex figure. For example, rillas themselves which reflect their high satisfaction with reliable intelligence sources indicate that Ochoa is closely the image they are maintaining abroad. associated with the highly ambitious commander of the Ironically, while leftist politicians like Guillermo Ungo Panamanian National Guard, Colonel Dario Paredes. and Ruben Zamora of the Democratic Revolutionary PAGE 3 APRIL 1983 Front (FDR) based in Mexico continue to serve as Placing effective command in the hands of front- spokesmen for the guerrillas, sources with access suggest line officers who are motivated to fight and grasp the that both are increasingly nervous over the principles of counter-insurgency operations. The precariousness of their situation. While presently useful Salvadoran military have been floundering under the as "ambassadors" of the FMLN to Western governments direction of Defense Minister Garcia, whose private and political parties, they realize that they have little wealth is a source of scandal. (He owns expensive homes voice in the conduct of the guerrilla campaign and that in Miami and Tampa and recently flew a large party of should the FMLN attain a full victory, they might be guests and a mariachi band to Florida to celebrate a swept aside just as were the non-Castroite leaders of the daughter's wedding.) Nicaraguan revolution once the Sandinistas seized Civil action and psychological operations have been power. This may explain Zamora's fervor in approaching the exception rather than the rule. Field intelligence moderate leaders in San Salvador and making it known needs to be expanded and restructured, pooling the that he is interested in a negotiated salida- a "way out." resources of the Army, the National Guard, and the Nevertheless, it is clear that even the FMLN hard-liners Treasury Police. A more imaginative policy for encourag- backed by their Cuban and Soviet advisers have been ing defectors and informers should be adopted. (Govern- urging negotiations to form a coalition government that ment forces are often reduced to fighting a lumbering, would include the FMLN forces rejected so strongly in quasi-conventional war-barreling down the roads in the 1982 voting. their trucks in the wake of a guerrilla attack, frequently It must also be recognized that negotiations and forma- to run into an ambush.) tion of a coalition government with the FMLN (which It is less important who holds the title of Defense would still be able to retain its camps inside Honduras Minister than who exercises de facto control of opera- and its supply depots and bases in Nicaragua) would not tions. Nonetheless, there is a widespread feeling among alter the basic problem in El Salvador and the region as a effective Salvadoran officers-and among U.S. military whole. Yet as noted in the last issue, a number of influen- advisers in the country-that Garcia must go. tial State Department "non-interventionists" are quietly urging such a change in U.S. policy so as to allow the Arranging for military aid from third countries. The U.S. to back away from its Hemispheric responsibilities size of the U.S. military aid program for El and leave open Central America and the Caribbean to Salvador-both in money and in manpower-is relative- further destabilization from Havana and Moscow. Also ly puny. It should be supplemented by increased aid from clear is the fact that present U.S. policy which allows the third countries that can be offered discreet inducements Salvadoran insurgents permanent sanctuary in by Washington to lend their support. Third countries Nicaragua cannot lead to lasting success. As long as this that might be involved include Chile (a traditional friend remains, the Soviet leadership and its Cuban proxy will of El Salvador that is currently supplying ammunition), be able to tie down the physical and psychological South Korea, Taiwan, South Africa and Israel (already resources of the United States in Central America. pursuing a forward policy in Central America). One When the Reagan Administration took office, it possibility that has already been canvassed in some evinced an accurate understanding of the strategic nature defense circles in Washington is that such third countries of the conflict in El Salvador. So far, however, it has fail- might take over the entire military aid program, thus ed to find the appropriate tactics. This has left an open- freeing El Salvador from the numbing effects of the U.S. ing for the reemergence of the idea of a "negotiated set- certification cycle. tlement" a la Vietnam pressed by elements in the State Department. EW's analysts believe that this could prove Rebuilding the economy. At present, some 30 per- to be a prescription for the total demoralization of the cent of El Salvador's 1982 coffee crop is sitting in resistance in El Salvador and ultimate political collapse. warehouses. A simple way to improve the country's A decisive crossroads will be reached in El Salvador economic plight is for the United States to sponsor the this summer, between May and August. May is the plant- purchase of Salvadoran coffee at premium prices. This is ing season. August will initiate the next "certification of- all the more important because this year's fensive"-the next phase of the campaign to cut off U.S. harvest-despite the guerrillas-is expected to be a aid. This period will be the ideal time for the guerrillas to bumper one. The U.S. private sector should be encourag- escalate their offensive, using positional warfare to tie ed to help out by sending experts to report on how incen- down government troops while their own mobile units tives for investment, or reinvestment, might be encircle and destroy regular units and strike at larger developed. cities-maybe even the capital. One military observer tells us that he believes the guerrilla objectives in this new Seizing the psychological offensive. Very little has phase will be major urban centers like San Miguel, Santa been done to date to concert a psychological warfare pro- Ana and Usulatan. He thinks there is also a possibility gram that would dwell not only upon the brutal treat- that if the government's position continues to deteriorate, ment of the civil population by the guerrillas and their the rebels could risk an operation against San Salvador Communist backing, but would intelligently exploit the before October of this year. evident divisions in their own ranks. EW believes that the only chance of upholding a non- Some of these proposals are already circulating in top Marxist political order in El Salvador is to mount a strong Administration circles in Washington. Whether or not military offensive geared to the realities of irregular war- they are adopted will probably decide whether El fare. To create the conditions for this would involve: Salvador will go the way of Nicaragua. PAGE 4 EARLY WARNING Tremors Around the Gulf threat of social unrest and possible sabotage. One induce- ment they may have held out to the Libyans to relay this message was that Saudi Arabia would refrain from Unconfirmed reports from Teheran indicate that criticizing Qaddafi's African adventures, including his ef- Ayatollah Khomeini, now 82, recently suffered a stroke. forts to overthrow Sudan's President Numeiri. A large team of cardiac specialists headed by Dr. Manafi In any event, there is cause for Saudi unease about the is said to have been rushed from the well-equipped heart current drift of events in the Gulf region, despite the ar- disease center in the capital to the Ayatollah's retreat at rival of a new Pakistani brigade in the country last Jamaran. January. For a start the weakening of OPEC and the Khomeini's death could open a power-vacuum in Iran sharp decline in oil prices have reduced Saudi influence. which the Soviets (amongst others) would not be slow to The PLO build-up in South Yemen. There are in- exploit. Significantly, the Farsi-language broadcasts the dications that South Yemen is in the process of becoming Soviets put out over their transmitter in Baku have con- the main military base for the PLO. The Marxist regime tained only the mildest criticism of the recent arrest of in Aden has long provided sanctuary and training Tudeh (Communist) Party leaders in Iran. Instead, Radio Baku has directed earnest entreaties to Khomeini facilities for 'rejectionist' Palestinian forces, notably to act against a clique of "reactionary" mullahs who are George Habash's leftist PFLP, as well as for international terrorists who have received instruction from Soviet, East supposedly conspiring against him and his revolution. It German and Cuban advisers. But Saudi concern is fo- is clear that the Soviets have more than one iron in the fire in Iran, and that they are actively seeking to divide cused on the fact that South Yemen is a major source of Khomeini's loyalists in the hope of exploiting confusion support for radicals from neighboring Arab states whose aim is to overthrow moderate regimes. For example, the that would result from his death. National Democratic Front of North Yemen is largely While Khomeini's death might not be altogether unwelcome news in Riyadh, the Saudi government could controlled by Aden, which supplies arms and ammuni- tion. The South Yemenis have also supplied specialist be endangered by the ensuing regional destabilization. The Saudis were repeatedly threatened by the Iranians in training in guerrilla warfare and sabotage of oil installa- tions for Saudi dissidents. Though for the moment, South the course of the OPEC price negotiations, and these threats extended to a none-too-subtle warning of possible Yemeni leader al-Hasani seems to be cultivating an image Iranian military action. Such saber-rattling from of responsible leadership through a partial detente with both North Yemen and Oman, the arrival of large Teheran cannot be entirely discounted in view of infor- mation EW has received from a recent KGB defector who numbers of Palestinian guerrillas in Aden since the Israeli states that members of Khomeini's fanatical Revolu- invasion of Lebanon (many of them PFLP and DFLP tionary Guards-the Pasdaran-have been trained to leftist radicals who were unhappy with curbs imposed on pilot U.S. jet fighters. their activities in other Arab states) is not reassuring for the Saudis or the other moderate Gulf states. Further- While media attention has been rivetted on a series of international economic crises-the OPEC fiasco, the risk more, South Yemen continues to be used by the Soviets of defaulting Third World debtor-countries, the strains and their satellites as a major transshipment point for within the European Monetary System-serious arms consignments to proteges throughout the Arab challenges to the stability of the Gulf region are reemerg- world, and large caches of weapons are still being ing that could have a dramatic effect on world markets if assembled along the borders with both North Yemen and Saudi Arabia. they are not contained. Secret diplomacy in the Middle East took an intriguing The progress of the Iran-Iraq war. A Spanish twist when Sayyid Qaddaf ad-Dam arrived in Riyadh in reporter recently asked one of the key figures in the Iran- mid-February, and had a private audience with Saudi ian regime, President Sayyid Ali Khamene'i, whether Arabia's King Fahd. Qaddaf ad-Dam is one of the most the objectives for Teheran in the war with Iraq included powerful men in the Libyan regime, the chief of subver- the capture of the oil port of Basra and the capital, sive operations in Colonel Qaddafi's secret service and a Baghdad. Khamene'i responded: "I must tell you that all close personal confidant of the dictator himself. Some the aims which you have mentioned form part of our Arab intelligence sources believe that Qaddaf ad-Dam is aim. The Wal Fajr operation is one of great magnitude a leading contender to succeed Qaddafi. They also sug- and will be decisive." Ayatollah Khomeini and his gest that his visit to Riyadh was made as a result of a spokesmen continue to insist that their goal is nothing less Saudi initiative. The main item on the agenda: Iran. than the overthrow of the present Iraqi regime, and some It appears that the Saudis have been seeking to use military observers believe that this is not beyond their Libya as an intermediary in dealing with the Ayatollah. grasp. The Iraqis managed to repel an Iranian attempt to EW sources report that King Fahd and his advisers gave break through into the heartland of the country, but they the Libyan envoy details of Iranian involvement in a have been forced back into a defensive posture, and there number of subversive operations against the Saudi have been increasing attacks by the pro-Khomeini Iraqi monarchy. The Saudis are said to have suggested that Shi'ite "mujaheddin" behind the lines. Last month the they were ready to cut back sharply on their support for Iraqi rebels claimed to have launched successful rocket Saddam Hussein's regime in the Iraq-Iran war in return attacks on oil storage facilities, pipelines and turbine for an Iranian undertaking not to stir up trouble inside pumps in the Ayn Zalah area. The emergence of a regime Saudi Arabia, where the presence of a large Shi'ite com- hostile to the Saudis in Baghdad would have a profoundly munity in the eastern oilfields area holds out a permanent destabilizing effect throughout the Gulf region. APRIL 1983 PAGE 5 American missiles on FRG territory begin, the Green SECURITY ALERT Party is determined to carry out even direct actions against these missiles during their transportation." This interview, published in Bratislava Pravda, on March 8, Anti-US terrorism in West Germany raises the specter of nuclear terrorism. Significantly, Libya's erratic dictator Colonel Qaddafi West German security officials expect an upsurge in ter- has become the patron of some Green Party luminaries. rorist attacks on U.S. civilian and military targets in com- Otto Schily, Bundestag deputy for the Greens (and a ing months. Three distinct groups probably will be in- Berlin lawyer) is a frequent visitor to Tripoli. Gertrude cluded: (1) Baader-Meinhof-style revolutionary cells; (2) Schilling, one of the Greens' more voluble "thinkers," has the militant fringe of the "peace" movement; and (3) referred to Qaddafi as a "pacifist mystic." elements of the neo-Nazi underground. There is a com- Admiration for the Libyan leader and ties to the PLO mon link: all have ties to Soviet-aligned Middle Eastern form the bonds between the radical fringe of the peace regimes and terrorist groups, and members of the movement and West Germany's neo-Nazis. Bizarre as it Baader-Meinhof-style groups and the neo-Nazis have may sound, West German security sources are convinced received terrorist training in PLO camps staffed in part that neo-Nazis with Middle East connections will be in- with Soviet-bloc advisers. volved in a new wave of attacks on U.S. citizens, possibly The Greens, who now have 27 deputies in the in tactical alliance with elements of the Baader-Meinhof Bundestag, are pledged to stop the deployment of underground. medium-range U.S. missiles in West Germany through There is a recent, and ominous, precedent. Last nationwide civil disobedience including the blockade of December, there was a series of bomb attacks on U.S. military bases and nuclear weapons stockpiles. Though military personnel in Frankfurt. Investigators were at the Greens disavow "violence against people," they are first inclined to link the bombings to earlier operations by helping to create a climate of opinion in which violent ex- radical leftists. Since then, however, the West German tremism will thrive. An ominous foretaste of what may authorities have arrested several of the terrorists responsi- lie in store was the bombing of the French consulate in ble. They have made full confessions, and turn out to be Amsterdam on February 10 by a militant Dutch group members of a Nazi cell led by Walther Kexel. The group that calls itself the "Autonomy Front." is linked to the notorious Military Sports Group/Hoff- The Greens favor West Germany's withdrawal from man, some of those members were trained in PLO camps the NATO alliance and are less than even-handed in their in Lebanon prior to the June 1982 Israeli invasion. denunciations of the defense plans of the two super- In our assessment, the risk to U.S. businessmen travel- powers. U.S.-educated Greens leader Petra Kelly said in ing in West Germany has increased, as has the sophistica- a recent interview with a French magazine, Le Point, tion of the methods used by the local terrorist networks. that her party "does not equate" Russia's SS-20s with For example, the Kexel Group not only disposed of an im- U.S. cruise and Pershing missiles. "The Soviets do not pressive arsenal (including advance-type detonators for want war in Europe," she explained. "The real threat of car bombs) but had assembled a collection of U.S. war comes from Reagan." military uniforms and other disguises. The major leftist Green Party secretary-general Lucas Bechmann terrorist organizations-the Red Army Fraction (RAF) boasted to a Soviet bloc correspondent immediately after and the Revolutionary Cells (RZ)-are believed to be the March 6 elections that "should the deployment of even better-supplied. Europe's Socialists and the Freeze The campaign to get the U.S. Congress to pass a resolu- ecutive bureau of Holland's Christian Democratic Appeal tion calling for an immediate freeze on the testing and (CDA) not to join with the Inter-Church Peace Council deployment of nuclear weapons, if successful in the (IKV)-the most influential Dutch peace movement-in House of Representatives when the issue is revived after planning and sponsoring a huge anti-nuclear demonstra- the Easter recess, will create new headaches for tion scheduled for October 29. Despite the leak of two America's strongest allies in Europe. In particular, it reports by the Dutch security service last November, would complicate life for Helmut Kohl's center-right documenting the involvement of Soviet agents with the coalition in West Germany by encouraging the opposi- IKV, this church-based organization remains a highly ef- tion Social Democrats (SPD), not to mention the Greens, fective unilateral disarmament lobby, and the vote by the to oppose deployment of cruise and Pershing-II missiles CDA executive on March 14 is only round one in a under any circumstances. Passage of the freeze resolution continuing fight. could also diminish the ability of the Kohl government to Meanwhile, in the aftermath of their rout at the polls influence its West European partners to stand by the on March 6, West Germany's SPD leaders face the task of 1979 NATO decision in favor of deployment of medium- trying to restore cohesion in their party and of strength. range missiles to match the already deployed Soviet ening its state, district and local organizations. EW sees arsenal of SS-20s. little prospect that the moderate wing of the party will It was Kohl's Christian Democrat Party (CDU), for ex- succeed in recapturing control, at least in the making of ample, that played the key role in persuading the ex- defense policy. The pro-NATO forces in the SPD have PACE 6 EARLY WARNING been seriously weakened by the withdrawl from politics Within weeks of its first get-together, the Scandilux of Georg Leber, a former defense minister, and the group invited the SPD and the British Labour Party to defeat of Peter Corterier, a former state secretary in the send delegates to its meetings, and Bahr was promptly foreign ministry, in the contest for his parliamentary seat designated by Willy Brandt for this purpose. Written off at the last elections. EW expects that at its next congress, by some diplomats and reporters last year as moribund, scheduled for the end of this year, the SPD will take a Scandilux is currently very much alive, with Bahr as a stand against deployment of any American medium- moving spirit. Last January Denmark's Social range missiles. The consolation is that, even with the full Democratic Party produced its own peace program, call- support of the Greens in parliament on this issue, the SPD ing for a freeze on all nuclear weapons, nuclear-free will not have sufficient votes to impose a veto. But the zones in Europe, continuation of the Geneva talks risk of civil disobedience and extra-parliamentary without any time limit (and no deployment of U.S. violence will grow, as outlined in the "Security Alert" missiles while they go on) and "a further reduction in the section. number of SS-20s"-which must have bemused the And the pressure that prominent SPD figures can bring Soviets, since they are increasing, not reducing, the to bear, both nationally and internationally, should not number of medium-range missiles pointed at Western be underrated. To prepare for the possibility that the Europe. SPD would not be returned to office, Egon Bahr-a party Both the Danish and the Norwegian Socialists (who leader with close ties to the Soviet bloc-began as early as have adopted a similar "peace" program) are in the op- last November to orchestrate an intensive campaign to position, but they command the largest factions in their ensure (as he put it to some of his confidants) that it respective parliaments and are well-placed to threaten would be "impossible even for a Chancellor Kohl to ac- minority conservative governments in their two coun- cept the missiles." Bahr's key lieutenants in this cam- tries. paign, inside West Germany, are Oskar Lafontaine and While Bahr works through Scandilux, Brandt-who Erhard Eppler. Both of them, like Bahr, sit on the na- was 100 percent confident that he would be reelected tional executive of the SPD. president of the Socialist International at its conference in Portugal on April 7-10-is working to keep disarma- Bahr counter-attacks ment at the top of the SI's agenda. However, the SI is the scene of a growing rivalry between French and West German Socialists. With the SPD out of government, the Bahr and his long-time patron, Willy Brandt, do not in- French Socialist Party views itself as the "senior" partner tend to confine their anti-deployment campaign to the in the SI, and wants to take over the role of Moscow's Federal Republic. Brandt (according to his close ad- primary interlocutor among member-parties while ex- visers) intends to hold onto the chairmanship of the SPD panding its influence in the Third World and the Middle until 1985. But he has no stomach for the feuding inside East. the party, and he wants to spend most of his time playing the part of an "international statesman." Both Bahr and Brandt are fully aware that whether West Germany will finally be able to accept the missile deployment largely The Suslov recipe depends on the actions of allied governments in NATO, that the disarmament movement is powerful in Belgium, Holland, Denmark and Norway, and that there are ways While much public attention has been focused on the col- of stepping up pressure on the Italian and British govern- orful dramatics of mass demonstrations and sit-ins, the ments too. conversion of many of Western Europe's Socialist parties Bahr's special platform is the so-called "Scandilux" to the cause of unilateral disarmament in recent years grouping; Brandt's is the wider vehicle of the Socialist In- poses the most serious challenge to the execution of ternational. "Scandilux" was founded in January 1981 as NATO strategy. One EW intelligence source quotes a a result of the "action program on disarmament" adopted remarkably revealing statement made by Mikhail Suslov by the Socialist International the previous year. It in December 1977 to a prominent West European originally consisted of the Socialist parties of Norway, Socialist visiting Moscow that underscores the impor- Denmark, Belgium, Holland and Luxemberg. It was the tance that the Soviets attribute to the SI in their "active brainchild of Dutch Labor Party leader Joop den Uyl and measures" campaign to disarm the West. Suslov, who Flemish Socialist leader Karel van Miert, both vehement died early last year, held the Kremlin's "active measures" antagonists of the deployment of the Euromissiles. The portfolio and was its most powerful member. stated purpose of Scandilux is to advance the cause of In discussing the Soviet-inspired campaign against the disarmament. More specifically-although this has never so-called "neutron bomb," Suslov made only passing been publicly admitted-it seeks to apply pressure on Ita- reference to demonstrations and other mass protests that ly's Socialist and Social Democratic parties to upset had captured the headlines. He declared his conviction Italy's agreement to deploy cruise missiles in Sicily. A that the Soviet Union would ultimately win the "battle of reliable source among the Scandilux organizers told EW wills" because of its ability to influence West European that the leadership was crowing over the fact that Bettino political parties-in particular the Dutch Labor Party, Craxi, the leader of the Italian Socialists, took a weak the Belgian Socialist Party (since 1979 two par- line on deployment when he addressed the Italian Com- ties-Flemish and Walloon), the British Labour Party munist Party congress in the first week of March. and the West German SPD. APRIL 1983 PAGE 7 Focus on France revolver. There were no traces of gunpowder on his hands. The gun, a .357 Magnun, was located 15 feet The economic traumas inflicted on France by President away from the corpse, under a thin blanket of snow. Mitterrand's brand of socialism are adding to strains in- Could Nut have tossed his weapon that far away after side his coalition government of Socialists and Com- twisting his arm around to shoot himself in the back of the neck? munists which suffered the humiliation of a major reverse in municipal elections last month. Reports from Paris DGSE contacts say that, so far as they are aware, Nut had no reason to commit suicide. Since he had worked outline other aspects of the French malaise: closely with Italian investigators when they visited the The Communists and the air-waves. Socialist-Com- south of France on the "Bulgarian trail," one line of munist rivalry is at its most intense in the struggle for speculation is that Nut may have been the victim of a ter- control of France's state-run TV and radio networks. The rorist network that he was attempting to monitor. Communists have succeeded in taking over FR3, Channel Gray eminence at the Quai d'Orsay. Harris Puisais, a 3 on French television, where Michel Naudy (formerly 58-year-old left-wing technocrat, is the only man who employed by the Communist Party organ L'Humanite) has publicly contradicted his nominal boss, French now controls the news coverage. Naudy brought in a Foreign Minister Claude Cheysson. He is also a very ef- L'Humanite colleague, Jean-Paul Girault, as editor of fective influence in support of expanding economic links FR3's station in Bordeaux which covers all of between France and the Soviet bloc. Puisais has an in- southwestern France. teresting past. He has been a member of the National Another Communist, Michel Cardoze, now is deputy Committee of the "France-USSR Association" since 1958. editor-in-chief of "France Inter" and controls all its Between 1960 and 1981, when the Socialist Party as- morning radio news programs which command the coun- signed him to the Quai d'Orsay (where he is also head of try's biggest morning audience as there is no breakfast- the party's unofficial oversight committee), Puisais was time television. As a follow-up, Cardoze and his fellow successively a consultant to French companies on East- Party members are seeking to dislodge France Inter's West trade, the key official in the European Economic evening news chief, Patrice Bertin. The newsroom re- Community's East-West trade department in Brussels, cently was flooded with pamphlets signed "Radio Liber- then the director in charge of trade with the Soviet Bloc ty, the Journal of the Communists of Radio France," for Air Industrie, a subsidiary of the conglomerate Saint- blasting Bertin's 7 p.m. news programs, and accusing Gobain-Point-a-Mousson while filling the same role at him of disseminating "disinformation" on behalf of the Saint-Gobain-Emballage, another subsidiary. conservative opposition. Bertin wrote to Radio France Puisais first surfaced from the obscurity of a chairman Jean-Noel Jeanneney to demand an inquiry in- to how this Communist tract had been disseminated in mathematics teaching post in a lycee in Rochefort to become a "technical adviser" in the Ministry of Sports in his newsroom, but Jeanneney did not reply. 1950. The revolving door politics of France's Fourth On TFI-TV Channel 1, Luc Mano, another former Republic enabled him to switch jobs in several cabinets reporter for L'Humanite, has been assigned to cover the until he rose to the Prime Minister's office as chef de Communist Partyl cabinet to the Secretary of State when Pierre Mendes- Secret service changes. Francois de Grossouvre, for France was premier. Until the advent of De Gaulle's many years Mitterrand's trusted confidant, is the man in Fifth Republic in 1958, Puisais was chef de cabinet to the the Elysee Palace with overall responsibility for supervis- Minister of Fine Arts and later Minister of Education. He ing France's secret services. Admiral Pierre Lacoste, the then began devoting his energies to boosting East-West recently appointed chief of the DGSE [see EW No. 1] trade. reports to Grossouvre if he wishes to relay something A member of the national bureau of the left-of-center directly to the President. It was Lacoste's service that Radical Socialist Party from 1954-58, he later switched to handled a secret multi-million dollar payment to the the executive of the leftist Parti Socialiste Unifie (PSU) Bolivian government that was a quid pro quo for the ex- before landing a position on the executive of Mitterrand's tradition of Nazi war criminal Klaus Barbie. Intelligence Socialist Party. Puisais has lectured and written exten- sources in Paris say that Lacoste has established a set of sively on the Communist countries and the supposed need priorities for future DGSE operations in which for Western nations to expand trade with the East and rebuilding good working relationships with the CIA, deepen the process of detente. West Germany's BND and Britain's MI-5 and MI-6 Thanks in part to Puisais' efforts, France has become figures close to the top. Russia's third most important trading partner (in annual It is reliably reported that French intelligence has volume) after West Germany and Finland. French firms learned in some detail from an Iranian defector that the are involved in the Kama truck plant, the world's biggest Ayatollah's regime is planning to take revenge on France producing up to 150,000 heavy trucks a year plus 100,000 for its arms deals with Iraq, and that Iranians now enter- truck and tank engines. Commented a Soviet propaganda ing and transiting France are being carefully monitored organ that provides "legal covers" for KGB and GRU by the DGSE and the DST. agents, "With the French economy in crisis and One of the many unsolved mysteries involving the unemployment rampant, the role of Soviet orders pro- French secret service is the death of Lieutenant Colonel viding work for tens of thousands can hardly be Bernard Nut, whose body was found on a deserted moun- overestimated." France also imports large quantities of tain road near Puget-Theniers in the south of France. He Soviet fuel and raw materials-and its deficit in trade had been shot in the back of the neck with his own with the Soviet Union now tops $1.2 billion. PAGE 8 EARLY WARNING Soviet fears of satellite TV. A recent Moscow Radio broadcast confirmed that the Soviets are deeply FLASHPOINTS alarmed by the prospect that Western governments-or private corporations-might one day start beaming Russian-language TV broadcasts into the USSR via satellite. Science correspondent Boris Belitskiy explained Andropov's failing health. Reports that Soviet that "misuse of the media" causes "friction" and that leader Yuri Andropov has undergone intensive care for a "privately owned mass media in countries such as the kidney disease have reopened speculation about the next United States and Britain could be used to cause stage of the Soviet succession-struggle. The recent eleva- economic damage to other countries if they are allowed tion of veteran Foreign Minister Andrei Gromyko to the to operate internationally in an uncontrolled fashion." rank of a First Deputy Prime Minister is probably part of For these reasons, he claimed, they have proposed that a balancing act between rival survivors of the Brezhnev "direct TV broadcasting to foreign countries should be era. Gromyko lacks a significant personal power base in subject to a special international convention." The Moscow and is not a serious contender to take over from Soviets must be relieved that, among all the Reagan Ad- Andropov, although there is always an outside chance ministration's plans to expand and improve broadcasting that if the former KGB chief died tomorrow, the Foreign to Communist countries, the possibility of Russian- Minister could emerge as a compromise candidate. One language satellite TV has yet to be seriously discussed. man with his eye on Andropov's job is Geydar Aliyev, the The Hong Kong deadline. The treaty under 59-year-old former career KGB man and Party boss in which the New Territories-a vital part of the colony of Azerbaijan who currently ranks as the de facto number Hong Kong-were leased to Britain will expire on July 1, two in Moscow. But he has to contend with powerful 1997. Neither the lease, nor the treaties by which Hong enemies, including top figures in the General Staff. Kong Island and the Kowloon Peninsula were ceded to Britain in perpetuity in the last century are recognized by Colombian kidnappings. EW sources in Colom- the People's Republic of China. Nervousness about the bian security predict an upsurge in kidnappings of eventual fate of the colony is growing, and is reflected by foreign businessmen and wealthy nationals this summer the recent pull-out by a number of British business firms, in the wake of the abduction of Texaco executive Ken- including the exclusive Asprey's. EW sources in Hong neth Bishop. The M-19 terrorist organization, with many Kong maintain that the aggressiveness with which Bei- members trained in Cuba and which has close links with jing is likely to pursue its formal claim to the colony will Castro's DGI, has been conducting a drugs-for-arms be directly related to the state of its relations with barter trade and is looking for increased exposure-and Moscow. In the event of a rapprochement between the more operational funds. M-19 leader Jaime Bateman two Communist superpowers, they believe, the Chinese recently concluded a deal with Libyan intelligence; the pressure on the British government could increase Libyans are now supplying weapons and cash and Col- dramatically. ombian recruits have been flown to Tripoli for training. Such a Sino-Soviet detente appears far-off. But there are some interesting recent straws in the wind. For exam- Soviets squeeze Japan for credits. The Soviets ple, Russian students, research fellows and teachers are have laid it on the line to top officials of the Tokyo Bank, scheduled to arrive at Beijing, Nanjing and Shanghai the Sumitomo Bank and the Mitsubishi Bank: If the universities this year after a 23-year absence. Japanese want major plant orders from Russia, they will Castro's European visit. Cuba's President Fidel have to agree to huge medium-term fixed-interest loans. Castro is due to visit France, Spain, Austria and Sweden The message was initially delivered during the visit to later this year in his first-ever trip to Western Europe. Moscow by a large Japanese commercial delegation in Behind the scenes, the coordinator for this tour was Regis February. Since then, a debate has been raging in Debray, the French guerrilla theorist-turned-presidential Japanese banking circles over how to proceed. EW's Tok- adviser. yo sources say that Mitsubishi is keen to extend new cred- its to Moscow because overseas markets for the major in- Leftist magazine with top-secret NATO dustrial companies in the group have been shrinking, and documents. West German police unearthed copies of they are hungry for plant orders from abroad. Sumitomo NATO documents classified Cosmic-the highest level of is said to be in a similar position. Officials at both banks classification-in the Hamburg editorial offices of the rate the Soviet Union as a more reliable debtor than some magazine Konkret. They included ultra-sensitive nuclear other countries. (The Iraqis have told Mitsubishi Heavy plans. A major investigation has been initiated by the Industries and Chiyoda Chemical Engineering-both of Federal Chancellery. The case illustrates a symbiosis be- which belong to the Mitsubishi group-that they want to tween Soviet espionage and sections of the left-wing defer payments on outstanding loans for two years.) press that is by no means unique to West Germany. The Weighing against these feelings is a concern not to offend former husband of the terrorist leader Ulrike Meinhof the U.S. government, reinforced by an appeal from both (who were both involved with Konkret in its early days) the Japanese Foreign and Finance Ministries to refrain has admitted that the magazine was created with the aid from making new loans to the Soviets. of a secret budget from East Germany. Published by Mid-Atlantic Research Associates, Inc.: P.O. Box 1523, Washington, D.C. 20013. [301/621-4164] Editors: Robert Moss and Arnaud de Borchgrave. Research Analysis: John Rees. © Copyright 1983.