The American Renaissance has . . , begun ... At the Schiller Institute! by Lyndon H. LaRouche, Jr.

Just as in the 15th century, In this work, publication is at the center of this Lyndon LaRouche, Renaissance. Here are some of economist, statesman, and political prisoner, our recent offerings. presents the means by which humanity may emerge into a new . Golden Renaissance from the presently Read them onrushing dark age of economic, moral Toin and cultural collapse. and the Includes In Defense of Common Sense, Renaissance! Project A, and The Science of Christian Economy. $15 retail.

Three volumes of new translations by ���'ll!.W ••. Schiller Institute members by Amelia Platts Boynton Robinson

Selections include : "An inspiring, eloquent William Tell memoir of her more than Don Carlos, Infante of five decades on the front Spain lines ... I wholeheartedly The Virgin of Orleans recolPmend it to On Naive and everyone who cares Sentimental Poetry about human rights in On Grace and Dignity America . " The Aesthetical Letters -Coretta Scott King The Ghost Seer For her courage and Ballads and Poetry leadership over 50 years Vol. 1: $9 . 95 retail. in the civil rights move­ Vol. 2: $15 .00 retail. ment, Amelia Robinson Vol. 3: $15 .00 retail. was awarded the Martin Luther King, Jr. Foundation Freedom Medal in 1990. This is the story of her life. To Order Ben Franklin $10 retail. Booksellers

107 S. King St. • • Leesburg, VA. 22075 .. , Vol. 1: Introduction and The Human SingingVoice ph. : (703) 777-3661 Shipping: fax: (703) 7 77- 8287 $3.50 first book This book is designed to create a new generation of toll free (800) 453-4108 $.50 ea add'l book Beethovens-see review in this issue! Visa and Mastercard accepted Founder and Contributing Editor: Lyndon H. LaRouche, Jr. Editor: Nora Hamerman Managing Editors: John Sigerson, Susan Welsh Assistant Managing Editor: Ronald Kokinda From the Managing Editor Editorial Board: Warren Hamerman, Melvin Klenetsky, Antony Papert, Gerald Rose, Edward Spannaus, Nancy Spannaus, Webster Tarpley, e're proud to say that EIR's readers are g tting quite a few Carol White, Christopher White Science and Technology: Carol White "scoops"W these days. As we go to press, a number� of stories are Special Services: Richard Freeman breaking into the national and international med�a, which we have Book Editor: Katherine Notley Advertising Director: Marsha Freeman covered exclusively. I Circulation Manager: Stanley Ezrol Most surprising, is the report in the San Frandsco Examiner on INTELLIGENCE DIRECTORS: March 9: "Police Said to Aid Spying on Politi�al Groups; Anti­ Agriculture: Marcia Merry Defamation League Pays for Info Received from Cops." Where but Asia: Linda de Hoyos Counterintelligence: Jeffrey Steinberg, in EIR have you ever read the real story of the ADL, which parades as Paul Goldstein Economics: Christopher White a Jewish civil rights organization, but is actually a front for organized European Economics: William Engdahl crime? The Examiner's report is based in part on documents obtained lbero-America: Robyn Quijano, Dennis Small EIR Law: Edward Spannaus by under the Freedom of Information Act. �ome of these are Medicine: John Grauerholz, M.D. highlighted in our Feature this week, documenting the sordid legacy Russia and Eastern Europe: Rachel Douglas, Konstantin George of J. Edgar Hoover in the FBI and the Justice Department. Special Projects: Mark Burdman The Investigation broadens this picture of the police-state appara­ United States: Kathleen Klenetsky tus, exposing the Cult Awareness Network and tht1newest indictment INTERNATIONAL BUREAUS: Bangkok: Pakdee Tanapura, Sophie Tanapura for kidnapping of its self-proclaimed top "depr9grammer," Galen Bogota: Jose Restrepo Kelly. CAN is on the nightly news these days, pulting itself forward Bonn: George Gregory, Rainer Apel Copenhagen: Poul Rasmussen as an authority on the Branch Davidian group in Waco, Texas. Houston: Harley Schlanger Another big story from EIR has exploded on the Italian political Lima: Sara Madudio Melbourne: Don Veitch arena, as the leading daily Corriere della Sera published an article Mexico City: Hugo L6pez Ochoa on March 10, "Beelzebub on the Yacht," citing lUR's expose of the Milan: Leonardo Servadio New Delhi: Susan Maitra Anglo-American financial destabilization movesI against Italy. You Paris: Christine Bierre read it first in s Feb. 12, 1993 issue. Rio de Janeiro: Silvia Palacios EIR' Stockholm: Michael Ericson The International lead story is an appeal for emergency action Washington, D.C.: William Jones by the U.S. to stop the Balkan war, by Gen. ul Albert Scherer Wiesbaden: Garan Haglund !>bI (ret.), the former head of Germany's military illtelligence service. EIR (ISSN 0273-6314) is published weekly (50 issues) General Scherer visited Washington as the guest of the Schiller except for the second week of July, and the last week of December by EIR News Service Inc., 333V2 Institute, to brief U.S. policymakers on how the Serbian aggression Pennsylvania Ave., S.E., 2nd Floor, Washington, DC 20003. (202).544-7010. For subscriptions: (703) 777- augurs even worse horrors from the former Sovie� Union. His March 9451. 9 presentation at the National Press Club was covered on the front EuropeanHeadquarlen: Executive Intelligence Review Nachrichtenagentur GmbH, Postfach 2308, page of the Times. D-6200 Wiesbaden, Otto von Guericke Ring 3, D-6200 Washington Wiesbaden·Nordenstadt, Federal Republic of Germany Notice to Subscribers: Our next issue, a double issue commem­ Tel: (6122) 9160. Executive Directors: Anno Hellenbroich, Michael Liebig orating the ten years since President Reagan annpunced adoption of In Denmark: EIR, Post Box 2613, 2100 Copenhagen 0E, TeL 35-43 60 40 Lyndon LaRouche's SOl policy on March 23, 1983, will feature a In Mexico: EIR, Francisco Dial Covarrubias 54 A-3 full report on General Scherer's strategic briefing. It will be pub­ Colonia San Rafael, Mexico DF. Tel: 705-1295. Japan subscription sales: O.T.O. Research Corporation, lished with a slight delay so that our editorial staff can take part in Takeuchi Bldg., 1-34·12 Takatanobaba, Shinjuku-Ku, Tokyo 160. Tel: (03) 3208·7821. the Schiller Institute's spring conference. Copyright © 1993 EIR News Service. All rights reserved. Reproduction in whole or in part without permission strictly prohibited. Second-class postage paid at Washington D.C., and at an additional mailing offices. Domestic subscriptions: 3 months-$125, 6 months-$225, I year-$396, Single issue-$10 Postmaster: Send all address changes to EIR, P.O. Box 17390, Washington, D.C. 20041-0390. TIillContents

Interviews Science & Technology Economics

47 Alfredo Vasquez Carrizosa 22 Cold fusion revolution 4 Fr�co-German industry The fonner Colombian foreign marks its fourth year hit by non-linear collapse minister says EI Salvador should be Cold fusion researchers used to European cutbacks in R&D and the model for a United Nations think of themselves as a labor costs betray a dangerous intervention. "resistance" movement against concession to British free-trade unfounded attacks; today, they are ideology. It ruined American 47 �anuel Cepeda deepening their understanding of industry, and threatens the same for The Colombian Communist Party's this new field. An interview with Eurqpe. secretary general welcomes the Carol White. U.N. to Colombia. 6 Currency Rates 28 Cold fusion, courage, and a passion for truth 7 �achine tool sector, the Reviews From an interview with Martin he .. t of German industry, Fleischmann and Giuliano thr�atened 64 Vatican exhibit in D. C. Preparata. shatters myths 9 L�ouche proposes tax on "Rome Rebom-the Vatican derivatives Library and Renaissance Culture," Departments Treasures from the Biblioteca 10 George Soros: Where did Apostolica Vaticana. 19 Report from Rio he get his money? The central bank debate . 11 Economic earthquake to hit 50 Australia Dossier Investigation CaUfornia CEC campaign worries the 56 Cult Awareness establishment. 12 Islam: friend or fiend? brainwashers, Galen Kelly 51 Andean Report In Part 2 of a series, Muriel Mirak­ exposed at last Weissbach addresses the historical CAP tied to Letelier murder. CAN protests that it is "not a background to a Christian-Muslim criminal organization," but the dial�gue around economic policy evidence is mounting of exactly 52 Dateline �exico issues. that, as the group's chief self-styled Party for sale: $25 million a share. "cult deprogrammer" is indicted 18 Banking once again on kidnapping charges. 53 Report from Bonn Clinton buys the deregulation line. Warren Hamennan investigates the The missing secret files. network of brainwashers involved. 20 Bu ness Briefs 72 Editorial , 58 EIR releases 'Travesty: A One last hope. True Crime Story' Volume20, Number 12, March 19, 1993

Feature International National

44 An emergency proposal to 62 LaRouche-Bevel helped end the war in the Balkans win stay on farm Gen. Paul Albert Scherer (ret.), the foreclosureS former head of West Germany's Espy's move is limited, but it is a military intelligence service, lays step toward what LaRouche and the out his plan in a briefing in Food for Peace movement have Washington. been demanding.

46 Colombian communists 67 New doubts about Trade The vicious and degenerate J. Edgar Hoover, shown invite U.N. troop Center bombing here near the end of his life with a bust of himself, a gift from retired FBI agents. intervention Documentation: Interviews with 68 Congressional Closeup 32 Judicial corruption: It Colombian Communist Party Secretary General Manuel Cepeda didn't end with J. Edgar 70 National News and former Colombian Foreign Hoover Minister Alfredo Vasquez The new biography by Anthony Carrizosa. Summers, Officialand Confidential:The Secret Life of J. 48 Mulroney resigns, as Edgar Hoover, documents the depraved personality of a man who Canadian crisis grows blackmailed Presidents and others Photo and map credits: Cover, for 48 years in office. His legacy 54 International Intelligence page 33, Natiqnal Archive. Page remains: the police-state apparatus 14, John Sige�soniEIRNS. Page 16, that jailed Lyndon LaRouche. Linda de Hoyqs. Page 23, University of Utah. Page 25, 34 Summers: Dismantle the Laurence Hecht. Page 45, Stuart Lewis. Page 35, NSIPS. Page 36, FBI's blackmail files Stuart Lewis. rage 63, Philip Valenti. Page ,65, Vatican Library. 37 Strange bedfellows: FBI allied with the communists against LaRouche

40 Was Meyer Lansky the 'best man' in the ADL's marriage to the FBI? Explosive material obtained under the Freedom of Information Act reveals how the FBI set up official liaison with the ADL, for dirty tricks against their common political enemies.

43 Hoover, Satanism, and the Scottish Rite �ITmEconomics

Franco-German industry hit by non-linear collapse

by William Engdahl

Gennany's largest automobile maker, the Volkswagen April. The tenn used to describe the process which has now group, has made public a dramatic shiftin traditional compa­ hit Gennan and French manufacturing industry is "structural ny policy. Henceforth, VW, maker of the VW and Audi crisis," that is, a pennanent s�ift. cars, will buy its components from the "cheapest source," The representative of one french chemical producer with regardlessof where they are produced, unless the company's facilities worldwide told EIR, "We could eliminate 40% of traditional Gennan suppliers agree to a 5% price cut this our employees today and still produce the same volume given year, as part of a company goal of slashing costs by some computerized automation techniques and such, but for politi­ 30% over the next four years. cal reasons we have not . . . yet." Immediate company investment will be slashed by 33% A senior representative of; the French Chamber of Indus­ this year from DM 9 billion ($5.6 billion) down to DM 6 try and Commerce added, "The world of trade has changed billion, while constructionof an ultramodern new production dramatically in the past 30 ye�. Before, we produced most facility at Mosel in eastern Gennany will be delayed indefi­ goods domestically and exported a tiny portion. Now, trans­ nitely, and 12,500 VW jobs cut pennanently in the next 18 port and global deregulation lof markets has changed this. months. Daniel Goeudevert, deputy chairman of the group, The industrial G-7 [Group o� Seven] economies as a result states his view of the company's problem as one of cutting are in a suicidal self-competition. Hoover Co. leaves France "cost, cost, cost, to lower the breakeven level." Some 90% of because wage costs are cheaperin Scotland. Fish fromRussia all VW car assembly components are still made in Gennany. via Norway is being sold in Frlnce two to three times cheaper "We want to start real global sourcing," said a company than what our French fleets can sell. The new economies of spokesman in announcing the new policy. VW also an­ eastern Europe are exporting agriCUlture products, textiles, nounced that it intends to make a profit this year, despite an steel at two to three times less what we can sell it for in France estimated 20% drop in Gennan new car sales. or Gennany. -The result is th� more and more French finns At the same time, Gennany's largest industrial company, are laying off French workersiand buying the cheaper goods Daimler-Benz of Stuttgart, announced that it would construct from the East. Unemployment is well above 10% officially, a new auto production facility in South Korea, the first time and rising rapidly. This is so�ething very different from the the once-technology-proud Daimler group has moved car crises of the 1960s or 1970s." production out of Gennany. These reports from Frencb and Gennan industry under­ French industry representatives have told EIR of a similar score the fact that a sea-change within the industrial econo­ processsavaging French industry in every sector at accelerat­ mies of the world is under way, more devastating than the ing rates. Only extraordinary decisions from the Socialist world depression of the 1930s. Until recently, France and government to control soaring unemployment before the Gennany had held on to a distinctive tradition of national March elections has delayed the full impact of these pres­ industrial policy and commitment to high-technology R&D sures.Industry observers expect a dramatic explosion of new as essential for industrial viability. This was in stark contrast and pennanent industrial unemployment following the cer­ to the Anglo-Saxon trend, more and more evident since the tain installation of a conservative coalition government in 1970s, of pushing "globalized production" and cheap "sourc-

4 Economics EIR March 19, 1993 ing" of raw materials and labor inputs for multinational pro­ cost pressures and lack of immediate success, management duction. The American and British model, which took can­ foolishly decided to abandon all supercomputer R&D and cerous form during the Thatcher and Reagan era in those dismantle the research team. That is now gone forever. two countries, was the simple-minded foolishness of Adam Similarly, the decision by Daimler-Benz under Edzard Smith's free trade: the national economy regarded as a giant Reuter's leadership, to buy MBB, one of the world's most shop. The only dictum is "buy cheap, sell dear."The national advanced aerospace firms, was quite rational per se. But economy is reduced to an idiotic shopkeeper's bookkeeping now, under the growing competitive pressures, management of "profit" and "expenses." The long-term necessity of na­ has made the devastating American-style errorof eliminating tional economic infrastructure, education of the labor force, the once-strong R&D commitment of what was MBB. "It and investment into science and R&D under this shopkeep­ costs too much," it is said. er's calculus, becomes "unnecessary overhead." Now, with the decision by VW to go to Asia and other cheap labor countries to buy parts, a process is under way The fallacy of cheap labor policy which could destroy German "Mittelstand" within months. The significanceof the shiftnow beginning to savage the remaining industrialbase of continental European economies The secret of Germany's 'Mittelstand' cannot be overestimated. "We are engaged now in a process, The "secret" of Germany's impressive postwareconomy as shown by the reports on the state of French and German has been the symbiosis between large, export-oriented com­ economies, as well as the British and North American econo­ panies like Daimler-Benz or VW, and a complex circle of mies, in which North America and continental Europe are small to medium-sized machine tool shops or suppliers who heading toward becoming part of what we call the Third are able to tum out the highest quality partsfor the largecom­ World," insisted American economist Lyndon LaRouche in pany, or to modify to rapidly changing specifications. Histori­ a recent statement. "Instead of having highly skilled labor cally, unlike in the United States or even Japan, Germany's producing goods which are the envy of the world, the United machine tool sector has been composed precisely of such States, under its present policies, is heading toward becom­ "Mittelstand" (often family-owned) firms. German machine ing a nation of coolies, qualified for nothing more because tool producers pride themselves on being the "most diverse their educational and cultural level is that of Jonathan Swift's producers of all types of machine tools in the world." Japan, fictional Yahoos." the largest in total export sales, concentrateson mass-produc­ Some 20 years ago, U. S. industry, under pressures from tion of a small number of machine tools used for auto produc­ the dollar and from the failure to invest in a higher-quality tion. Now, under fierce financial pressures and a collapsing labor force and new technologies, began its steady decline. world capital investment in infrastructure and industry, the R&D budgets were cut, engineers were replaced at the top of German machine tool industry is beginning to abandon this corporate leadership by accountants, and short-term quarterly unique role and talk about this specialization as a "liability." "profit" came to be called, in the vulgar idiom, "the bottom line." Today, the results are clear. When we strip away the IMF destroyed export markets speculative bubble of New York stock price levels, we find The problem is that current OEeD industrial policy is that U.S. industry has all but destroyed itself. GM, IBM, fatally flawed with the poison of British "free market" as­ McDonnell Douglas, the entire machine tool sector are in a sumptions. Failure of Germany, France, or Japan to resist shambles. The decision by the U. S. corporate and financial British and American pressures in the beginning of the 1980s establishment to push for the North American Free Trade is a fundamental factor in the present crisis. When London Agreement with Mexico signifies the decision to tum the and New York bankers successfully: proposed to impose In­ once-advanced U. S. industrial base into a cheap labor Third ternational Monetary Fund austerity "conditionalities" on World one. Even Mexico is unable to compete with Asian Third World debtor countries for the private banks,this en­ labor. In recent months, more than 150 Mexican textile plants sured the destruction of any developing markets in the less­ were forced to close because of "cheap Asian imports." developed sector for advanced machine tools, industrial Until recently, French and German industry had stub­ goods, and technology. Instead, under the foolish consumer bornly resisted what they rightly viewed as "typical Ameri­ debt binge of the 1980s, misnamed the "Reagan recovery," can shortsighted pursuit of profit." Now this is changing Japan, Germany, and France began to shift industrialexports with breathtaking speed. If the trend is not soon reversed, to the U.S. market, away from the collapsing Third World. Germany and France will follow the United States and Britain A vicious new form of monetary ne(j)-colonialism, drivenby to become former industrial economies. It is little consolation IMF dictates for competitive currenCy devaluations in debtor to term it a "post-industrial" society, as millions more are countries to spur cheap exports in order to gain currency to added to unemployment rolls. repay foreign debt, took hold after 1982. For example, in France, the large state electronics group, Germany, France, and Japan today are reaping the fruits Thomson, had an impressive R&D team working on an ad­ of that failure to prevent what people like Alfred Herrhausen, vanced supercomputer to rival the American Cray. Under the assassinated former chairman ofneutsche Bank, correct-

EIR March 19, 1993 Economics 5 ly saw as a suicidal debt policy of Washington and London. But, it is not even a matter of thousands of jobs. Unless Currency Europe's surviving industrial nations impose intelligent pro­ Rates tectionism, combined with careful non-IMF investment in The dollar in deutsche�arks infrastructure in eastern Europe as outlined in LaRouche's New York late afternoonfixing 1989 Paris-Berlin-Vienna Productive Triangle proposal, continental Europe will soon follow Britain and the United 1.70 States into a depression without bottom. - roo - � A recent report by David Roche, a London economist of 1.60 , ...... - .-... / the Wall Street investment firm Morgan Stanley, points to "'-"� the absurdity of trying to compete in such a global race for I.SO

cheap labor. "The world is awash with workers ," Roche i wrongly insists. "Germany and Japan have increased manu­ 1.40

facturing employment. Germany did it by producing per­ I 1.30 fectly engineered products, which even Mercedes says it now 1Il0 1127 213 2110 2117 313 3110 cannot sell because its labor costs too much ($24 per hour)." Roche reviews the cheap labor horizon from the view of a The dollar in yen financial speculator: "Unemployment is 15% and rising in New York late afternoonfixing easternEurope , where labor costs $1-2 per hour, and is highly educated to boot. The trains to Shanghai are full of peasants 140 looking for jobs at 2-5¢ an hour, and they matter in a globally , integrating economy. China received foreign direct invest­ 130 ment commitments worth $15 billion in the first half of last -- 120 " year." - Instead of looting the cheap labor of China or Mexico or I 110 Poland, the OECD must return to a long-term infrastructure commitment to build national economies in the capital goods 100 deficitparts of this planet. This ensures advancing employ­ 1Il0 1Il7 213 2110 I 2117 313 3/10 ment again in Europe and North America, and at the same The British pound in d�lIars time builds a growing, healthy market in the less-developed < New York late afternoon fixIng parts of the world for German machine tools and French steel, high-speed trains, and nuclear technology. This, not 1.70 the foolish accountants ' cost-benefitcalculus of productivity , of labor, is what really defines economic success. Contrary 1.60 to what corporate accountants and Wall Street speculators like Morgan Stanley believe, highly skilled labor is priceless. 1.50 � - , As LaRouche has stressed for more than two decades, "- - such a cheap labor policy is a recipe for global depression 1.40 � --' and collapse of advanced industrial capacities. By walking away from its traditional skilled labor base in western Eu­ 1.30 1Il0 1Il7 213 2110 2117 313 3/10 rope, French and German industry will ensure that their fate will repeat that of Britain after World War II, but far worse. The dollar in Swiss francs Edzard Reuter is an accountant by training, but he is also a New York late afternoonfixing trained physicist who should know the effects of non-linear disintegration in organic structures. This is the real meaning 1.60 of what is politely being termed Europe's present "structural -- � I.SO - "- - crisis." No sacrifice, however great, in some new "solidarity ,... pact" for cuts in labor costs will reverse this process. The ../ i 1.40 f'...... capitulation of the Paris and Bonn governments and industry to the General Agreement on Tariffs and Trade regime of 1.30 "absolute free trade" and the foolish "cost-reduction" ac­ I counting, will ensure national economic suicide in the com­ 1.20 ing months, regardless of how it helps the short-term balance 1120 1Il7 213 2110 ' 2117 2124 313 3110 sheet of Daimler-Benz.

6 Economics EIR March 19, 1993 Machine tool sector, the heart of Gennan ind s , threatened u try by William Engdahl

One of the most revealing demonstrations of the wrong eco­ tool sector produces the tools whiclit produce the ultimate nomic course of German governmentpolicy since November goods, machinery, mining equipmenl, and agricultural tech­ 1989 is the present state of the German machine tool industry . nology through which any economy tpday must feed, clothe, In 1989, the perspective for the German machine tool indus­ and transport itself and its goods to the world markets. In this try was more optimistic than it had been at any time since sense, machine tools are the veryhellrt of all industry. And the worldwide recession induced by the oil and interest rate arguably, the German machine tool industry as a group is the shocks of the 1970s. Industry order books were full beyond world's single most important sector. Japan has enjoyed a capacity, with a near-record average nine-month backlog of dramatic increase in the production �f its machine tools. In new orders for German manufacturers. the past five years in dollar terms J*panese production has Today, only three years later, the industry speaks of the even exceeded that of Germany. But� as industry authorities "deepest crisis of the postwar era." According to the German point out, most Japanese machine t�ols are mass-produced Machine-Tool Producers' Association (VDMA), the Ger­ from a narrow range of types most i.,tended to be applied in man machine tool industry is expected to end 1993 with a the production of automobiles. Hugq producers like Toyoda level of new orders some 45% below the peak at the begin­ Machine, Fuji, Komatsu, and Hita¢hi Seiki dominate the ning of 1990. Production volume of new machine tools for Japanese production. Most are daughter companies of large the same period is now expected to be down by 30% from auto producers or industry conglomj!rates. But the German the production level of 1990. Alone in the first quarter of machine tool sector is dominated by medium-sized family­ 1992, production volume had dropped 18% from the same owned "Mittelstand" firms such as Gildemeister, Maho, period in 1991, and all indications are that the trend is acceler­ Trumpf, Pittler, and Deckel. "Thel German machine tool ating. From a recent peak employment of 102,000 in the sector is arguably the most diverse ir the world, in that it is entire German industry branch at the end of 1990, industry a market leader in production of evety major tool type, from estimates are that only 82,000 will remain at the end of this laser machine tools to numerically controlled tools to indus­ year, a drop of 20%. At the Munich producer Deckel, the trial robots," noted one industry spokesman. number of employees has fallen from 2,500 two years ago to about 650. Maho, near Stuttgart, has fallen from 3,500 to What has gone wrong? 1,847 workers . The dramatic crisis within the cirucial German machine tool sector must be understood in terms of its causes. There German crisis most alarming had been an unusually strongboom ftom approximately 1987 While the dramatic collapse in the outlook for the German into the autumn of 1990, occasioned by heavy Europe-wide machine tool sector is not at all unique, as Japan's industry capital investment in new equipme� as companies prepared orders last year alone plunged some 40% from one year for the opening of the European Community (EC) single earlier, the German crisis is arguably the most alarming for market by the end of 1992. As th�t demand factor eased, future growth prospects of world industry out of the present there was a somewhat natural declin� in new orders. But this deepening global industrial and agricultural depression. The decline was aggravated to the poin� of crisis by three other economic significance of the machine tool industry cannot factors. be over-emphasized. While steel output and consumption per First, there has been a dramatic decline in the activity and capita remain the best single broad measures of real economic capital goods investment within the iIIlaj or westernindustrial growth for a nation, the capacity to produce state-of-the­ economies since 1990. France, the Vnited States, the United art modem machine tools is the "technological driver" of Kingdom, Italy, and Switzerland r<1Presentthe largest tradi­ industrial growth and increase of labor productivity per tional industrial country exportmarkets for German machine capita. tools. In the first nine months of �992, exports to France, Machine tools are , simply stated, the tools by which all according to VDMA, fell by 23% fompared with the same other branches of industry are able to produce. The machine period in 1991. Those to the United States fell by 10%, to

EIR March 19, 1993 Economics 7 Britain by 17%, to Italy by 31%, and to Switzerland by 21%. black list are the largest industrial markets of Ibero-America These are among the largest traditional German machine tool such as Brazil and Argentina, and the potentially huge grow­ export markets. ing markets of Asia such as China, India, Taiwan, North But this dramatic drop in the exports to OECD countries Korea, and Pakistan. Moreover, the Foreign Ministry has in was accompanied by a virtual total collapse of the formerly effect banned export of German machme tools to most of important markets of eastern Europe and the former Soviet the Middle East including Sa4di Arabia and Kuwait, all but Union. For years the Soviet Union had stood as the single excluding German industry frbm a share of the business of largest (or second behind France) importer of German ma­ reconstruction, as well as to Iran and Israel, and, of course, chine tools. In 1988, the U.S.S.R. imported some DM 1.03 Iraq. The argument employed by the Foreign Ministry export billion ($650 million) of West German machine tools. In the authorities in deciding if an export is allowed is the hopelessly firstnine months of 1992, that figurehad dropped to DM 420 vague American term, "dual use." A machine tool for civilian million, and the rate of decline is reportedly accelerating. use in, say, construction of a !milk-bottling factory in Iraq, The emerging economies of Poland, Czechia, and Slovakia would be classed "dual use" because, theoretically, the same are not able to import significantvolumes of Germanmachine lathe could be used to bore rifle barrels. tools as their hard currency reserves have been in effect im­ pounded by the International Monetary Fund as hostage to Competitors pick up the slack an illusory and ill-conceived currency stabilization. The bitter irony is that the! self-imposed German export In short, the once-promising export potential to eastern control has merely opened vaSt new markets for rival ma­ Europe and the Community of Independent States, including chine tool exporters. No other country has been foolish Russia, has all but collapsed since 1990. In addition, the enough to impose on its industo/such export restraints. 'This demand within both eastern and western Germany itself has new law has been a catastrophe for the German industry, dropped dramatically as the worldwide slowdown of the au­ dependent as we are on exports," a representative of the tomobile and other industries using large numbers of machine German machine tool industryi stated. "Many customers got tools has advanced. The president of VDMA, Jan Kleinewef­ very angry when the German export firm was forced to ask ers, recently characterized the export conjuncture for the them, 'why do you need this rhachine?' and such under the industry: "N ever before have we experienced such a simulta­ new law. In some cases, national governments told their neous weakening of every major export market at the same industry, 'do not buy German Ibachinetools because it is too time." politically risky if they can deliver.' " The net effect of Genscher's "signal" to the world has 'Technological apartheid' worsens crisis been economically devastating. Just at the time when the But bad as this collapse of traditional markets in the West industry was going into a downturn in traditional markets, and the East has been for the German industry in the past two almost all exports were stoppedifor months while Bonn sorted or so years, an entirely new self-inflicted barrier to German out its new export control rule�. Customers reacted to what machinery export was imposed by the Bonn government seemed endless delays in getting machinery. which, according to people inside the machine tool industry, "Many importing countrieS simply turned to other coun­ has caused incalculable damage to the German industry at tries," stated a VDMA spokesman. "We estimate that fully the moment of extreme vulnerability. Indeed, the passage, 15-20% of the export market for German machine tools has under the frantic urging of then-Foreign Minister Hans-Die­ been replaced by new competitors." At the beginning of 1991, trich Genscher, of the world's strictest machinery export just as the German export restrictions hit, for the first time a controls in the summer of 1991, may have been the death high-quality, lower-cost machfne tool export offensive ap­ blow to the world's most important single machine tool ca­ pearedout of South Korea and taiwan. "Many of these mar­ pacity. kets we may have lost perman¢ntly." One result of the new Reacting to a manipulated British, American, and Israeli law is that even were Daimler"Benz, for example, to want media attack on Germany during the Persian Gulf war against to import German machine tools for its new car production Iraq, which portrayed Saddam Hussein as the "new Adolf facility in South Korea, it would find it all but impossible! Hitler" and which charged that German machine tool exports But foolishly, there is littl¢ sense of urgency visible in were permitting Saddam's army to retool Soviet Scud mis­ Bonn over this crisis. There is! little discussion of concrete siles with chemical warheads for bombing Israel, the German measures, for example, to encoprage creation of a large mar­ Parliament passed foreign trade regulations in summer 1991 . ket for German machine tools an the development of a real This export controlpolicy requires that a German compa­ Mittelstand in east Germany to'rebuild the rotted infrastruc­ ny effectively prove to what application his tools will be ture. Instead a "free market" Idogma under the Treuhand employed by an importing country. A special export license (responsible for East German state industries) of Birgit is now required for any civilian machinery export from Ger­ Breuel continues to tum easterb Germany into a wasteland many to a special "H-list" of 34 countries. Included in this of deindustrialization.

8 Economics EIR March 19, 1993 bring the market as whole under control. The down side that would be argued from certain sources, apart from the wild free market moqetarist manics, will be LaRouche proposes that the number of transactions relateq to any single initiating trade, can be enonnous, can be over 100individual transac­ tions. Fine! Tax them all! That's a! big amount of paper, tax on derivatives they will say. Fine! Tax them all! The burden of doing the paperwork will itself prevent you characters from ballooning The "derivatives" market has been the subject of much atten­ this market in that way. If it costs you toomuch in administra­ tion lately, now that Europeancircles are openly denouncing tive work and effort to account for 100 transactions on one, Anglo-American financial warfare against their currencies, linked to one, then that will deter yap from building up 50- such as that which triggered the September 1992 crisis in 100 other significant transactions peI1initial transaction, and the European Rate Mechanism (ERM). Derivatives are an that itself will be a good deterrent against the growth of the enormous, poorly understood, and alarming new element speculative bubble. in the international financial markets. They are financial In summary, unless we bring thi� derivativesmarket un­ instruments in which actual stocks or bonds are not ex­ der control and begin to shut it down� at least to a significant changed, but only agreements by two parties to make pay­ degree, promptly, we're going to halve the biggest financial ments on a fu ture date at a price related to the performance blowout in history, bigger than the John Law-type bubbles of a commodity or currency. There are three basic types of of the early 18th century, and we'd better findout what we're derivatives:futures contracts, swaps, and options. doing fast. We'd better bring it under control fast, and if we Economist Lyndon LaRouche on March 9 made thefol­ need to tax something, let's tax this-rsayone-ten th of 1 % of lowing proposal to deal with the situation. the nominal value or 10% of the act,al amounts, something like that. One of those two. But I tbink that a tax based on It is my proposal that some fonn of nominal but otherwise the nominal value would perhaps bfl a better tax because of significant universal tax be placed on individual derivative the differentials between those nati�ns or banking systems transactions not only in the United States, but abroad. The which allow minting out and those which do not. included purpose of this taxation is not merely to derive a I new source of much needed tax revenue froma source whose taxation will be hannless to the real, that is, physical, econo­ my, but also to bring into the light of day, under penalties of law for non-payment of this tax, the magnitude and structure of the derivative bubble as a whole. My additional comment qualifying this proposal is that it is clear that the derivative bubble by the very nature of these transactions is a financial bubble in the tradition of the So, You more primitive, more rudimentary, and far less dangerous bubbles of the 18th century such as the John Law bubble in Wish to France and the South Sea Island bubble in England in the same period of time. This is the John Law bubble gone mad. Leant All J\bout The vulnerability to the entire financial system, the chaos and destruction of actual physical processes of production, Economics? distribution, employment, and so forth is incalculable poten­ I tial, and therefore this thing must be brought under control by Lyndon H. LaRouche, Jr. promptly, otherwise all fineplans of stabilization of financial markets and economies go out the window as empty pipe A text on elementary mathematic�1 economics, by the world's leading economist. Find 0 t why was right, dreams. l/- EIR when everyone else was wrong. We must bring this under control and the best way to do Order from: it, I believe, is to impose a universal tax on each individual transaction as a percent of the nominal value of the matters EIR P.O. Box 17390 Washington, D.C. 20041-0390 which are traded in these credit, interest, and so forthswaps, Or call Ben Franklin Booksellers: 1(800) 453-4108 and other similar derivatives. That is the only way that we'll (703) 777-3661 fax: (703) 777-82$7 bring the magnitude and structure of this into the light of day ! $9.95 plus $3.50 shipping for first book, $.50 for each and force some rationality into the situation, and thus prepare additional book I ourselves to be able to take competent moves in order to

EIR March 19, 1993 Economics 9 Rothschild family adviser, Gilbert de Bretton. GAM was originally called St. James Management Services. George Soros: Where The Marc Rich empire : According to sources at the Wall Street Journal corrobo­ did he get his money? rated by British financial investigators, the Rothschild bank in Zurich had extensive dealiQgs with fugitive commodities trader Marc Rich. Well-informed sources report that Rich, by Scott Thompson together with a group of Israeli financiers, may have been another major source of the loans used by Soros to speculate As EIR reported on Jan. 29, financier George Soros gained against the pound and the lira. Rich's connection to the Roth­ notoriety for making $1-2 billion in a speculative binge schild bank in Zurich was an<)ther one of the scandals that against the pound and the lira on the financialderivatives mar­ brought about the scrutiny of Swiss magistrates. A spokes­ kets, thereby wrecking the European Exchange Rate Mecha­ man who managed Soros Fund Management's currencyport­ nism. One of the mysteries for financial analysts was how folio, while acknowledging that Soros had drawn on lines of Soros, whose investment fund holdings have an estimated val­ credit for his speculative binge, refused to name the banks ue of only $7 billion, could mobilize what some estimate to from which he had borrowed, However, he did deny any be $40 billion for purposes of defeating the Bundesbank and dealings with Marc Rich. Bank of England in their efforts to save these currencies. An Rich, who fled to Switzerland to escape charges of in­ ongoing investigation by EIR has discovered some startling come tax evasion in the United States, has much in common facts about Soros's financial patrons, including his close ties with Soros's policies of preyidg upon the former East bloc. with all national branches of the Rothschild family. In a Jan. 4, 1993 commentary in the Washington Post, Soros proposed a neo-colonial welfare scheme for Russia. In ex­ Trouble for the Rothschilds change for the West paying Russian citizens $6 a day, Soros The primary vehicle for Soros's speculative binge was said, "Factories could be idletl and the raw materials and his Quantum Fund NV, based in the Netherlands Antilles. energy that go into production! could be sold for more than Two of the Quantum Fund's eight board members are retain­ the output." From the headquarttersof his Marc Rich and Co. ers of the Rothschild family. Although long considered to in Zug, Switzerland, Rich began trading with Moscow in the have attained Olympian status in finance, the Rothschilds 1980s, and today he is one of the largest traders doing an have been losing their reputation as "untouchables" because estimated $1. 2 billion in deals with Russia. According to a of the machinations of their bank in Zurich, Switzerland. June 22, 1992 Forbes magazine article, Rich takes grain, This bank, which is owned jointly by the British and French Cuban sugar, alumina, and machinery to Russia, and gets branches of the family, has recently come under investigation back oil and refined aluminum ingot at highly favorable pric­ by Swiss magistrates for major irregularities. The scandal es. In 1991, Rich purchased 500,000 tons of Russia's alumi­ was so great that the French Rothschild Baron Elie has been num, more than half of its totaliexports. When Rich dumped forced to cede day-to-day control to the British Evelyn de the aluminum on the London Metal Exchange, prices were Rothschild. halved. One of the Rothschild family retainers on the board of the Apart from his tax problem$, there is good reason for the Quantum Fund is Richard Katz, managing director of Roth­ Soros group to deny any dealidgs with Rich. Rich is a busi­ schild Italia SpA. and a director of N.M. Rothschild & Sons ness partner of Bruce Rappaport, who gained notoriety as a Ltd., London. According to British financial investigators, friend of Oliver North's Iran-Contra gang at the Reagan­ Rothschild Italia is controlled by Edmund de Rothschild, who Bush White House. Rappaport was the real recipient of the held minority control of the Zurich branch under Baron Elie $10 million payment from Irap. for Hawk missiles, which de Rothschild, when that bank was wracked by scandal. It was the Iran-Contra gang claimed had been "lost" through its charged that the Zurich branch had organized massive, illegal diversion to the wrong Swiss aocount. currency flightfrom Italy to Switzerland. As for Katz's posi­ According to sources, one of the men who has mutual tion on the board ofN.M. Rothschild in London, it implicates business dealings with both Rich and Rappaport is Alfred this ostensible pillar of the British establishment in Soros's Hartmann, a top executive at th� Rothschild family's Zurich depradations against the British pound. branch bank, as well as a director of Rothschild Continuation The second Rothschild retainer on Quantum's board is in Zug. Rothschild Continuati<)n is a holding company for Nils O. Taube, chief executive officer of St. James Place the London N.M. Rothschild.i Through his dealings with Capital. The firm is controlled by Jacob Rothschild, son of these Rothschild family banks� together with their clients the notorious Lord Victor. St. James Capital is interlocked such as Rich, George Soros isl in the middle of one of the with Global Asset Management, which is run by a former dirtiest gangs of financial manipulators in business today.

10 Economics EIR March 19, 1993 fiscalyear. Massive cutbacks in aid tQ the poor, the sick, and the elderly have become routine; public schools are on the ropes; and major reductions are again expected due to a pro­ Economic earthquake jected shortfall of at least $8.6 billio� for the current budget. The proposed base closings, which Governor Wilsoncalls to hit California a "man-made disaster," could push California over the edge. Slated to be shut down are the AlannedaNaval Air Station; by H. Graham Lowry Alameda Naval Supply Center; Treasure Island Naval Sta­ tion; Mare Island Naval Shipyard; M�Clellan Air Force Base; Long Beach Naval Shipyard; March Air Force Base; EI Toro The once mighty economy of the state of California,by itself Marine Corps Air Station; and the Presidio of Monterey. ranking as the sixth largest in the world just a few years ago, According to the state study, th¢ unemployment rate in is about to be battered again by a new round of military base Sacramento County would more thap double from the shut­ closings ordered by the Clinton administration. Having lost down of McClellan Air Force Basei and the previously an­ nearly a million jobs in the last two and a half years, Califor­ nounced closings of Mather Air Force Base and the Sacra­ nia has become instead the victim of forced economic disinte­ mento Army Depot. In southern California, where the bulk gration-a model of the living hell known as the "post-indus­ of layoffs in the aerospace industry, have occurred, closing trial society." the Long Beach Naval Shipyard would eliminate 12,700 Advance leaks of the base shutdowns being proposed by jobs; March AFB in Riverside, 16,4100; and EI Toro Marine the Defense Department include nine more in California, Air Corps Station, 1l,250-along 1with a combined total among at least 30 major installations and 150 smaller sites of over $500 million in annual payroll and contracts. The nationwide. According to a study by Gov. Pete Wilson's Presidio of Monterey has 3,725 mili1ary personnel and 1 ,915 Office of Planning and Research, California would lose $6 civilian employees, who pump $560 million into the local billion annually and 182,000 jobs if the Pentagon plan is economy. The total impact from proposed naval base clos­ carried out. The job loss would include 76,700 directly em­ ings in the San Francisco Bay area is �stimated at $1.3 billion ployed and another 105,800 dependent on the nine bases. in annual payroll and contracts. When combined with an additional 17 base closings an­ nounced in 1988 and 1991, the cumulative impact would cost What economic stimulus? the state's economy $11 billion a year and a total of nearly In an ABC News interview on March7, Defense Secre­ 330,000 jobs, the study reported. tary Les Aspin called the plan for nationwide shutdowns "the Beyond the dubious estimate of defense requirements, mother of all base closings." Somei people are undoubtedly based on the myth of a peaceful "post-Cold War era" when using a little differentlanguage to d�scribe the scheme, espe­ wars are raging out of control around the world, this so-called cially since there is nothing in the works which could even defense conversion is occurring at a time when the productive begin to compensate for the resulting blow to the economy. sectors of the economy are collapsing. California,moreover, Last year, Congress appropriated $1.7 billion for defense is already inundated with layoffs from defense-related aero­ conversion, which President Clinton said last month during space and electronics industries, and has an officialstatewide a visit to California that he was prepared to begin releasing. unemployment rate of 10%. The same week the new base But the Clinton administration plans to cut defense spend­ closings were reported, the Los Angeles-based Northrop ing by nearly $112 billion over the next four years. The job­ Corp. announced that it would eliminate another 2,400 jobs creation component of his $16.2 billion "economicstimulus" this year, reducing its work force to 30,600 from 48,200 in package before the Congress is pmmarily aimed at public early 1988. works construction, and scarcely totIches the re-employment requirements from military cutbackS. Proposed base closings As for the economic impact of base closings on local The base shutdowns' estimated $6 billion annual cost communities, the remedies Presfdent Clinton proposed would have a devastating impact. "That figureis equal to the March 11 featured a pitiful $80 million, for a revolving loan total damage caused by the Loma Prieta earthquakein 1989," and grant program "to directly and immediately aid commu­ Governor Wilson declared on March 10. "But the damage nities hardest hit by defense cuts.'1 The President proposed from the base closings would be worse, because families an overall package of less than $20 billion over fiveyears for and communities throughout California would pay for that defense conversion and the promotion of civilian applications damage year after year after year. " of military technologies. From initial reports, nearly half of Collapsing incomes have dri ven the state's budget deficits that money would come simply frotn defense cuts. However to astronomical levels the past three years, and tax revenues the money is put together, the total amount would not even are running nearly3% below the level projected for the current match the annual loss from base cl<)singsin California.

EIR March 19, 1993 Economics 11 Islam: friend or fiend?

In Part2 qf aseries , MurielMirak- Weissbach addresses the historical background to a Christian-Muslim dialogue around economic policy issues.

Both the advanced sector economies and those of the "Third literal reading of certain pass�es in the holy book of Islam, World" are convulsed by the deepest depression in modem the Koran. The system thus constructed by assembling fi­ history. Whether or not this worldwide breakdown crisis will nancial mechanisms, known a$ "Islamic" banking, may have lead to further social upheaval, depopulation through famine, facilitated the administration f vast fortunes, as in the case epidemic disease, migration, and wars, opening the chasm of Saudia Arabia (which pio�eered Islamic banking), Ku­ of a new Dark Age for humanity, or whether worldwide wait, and Pakistan, but, as the respective economies show, recovery will usher in an era of unprecedented growth and it has not generated real wealth. Conversely, Iraq, which did social progress depends on the extent to which those cultural generate enormous physical economic development, until it impulses imbedded in our civilizations, responsible histori­ was stopped by the 1991 war, did so without the trappings cally for generating human development, are mobilized for of Islamic banking practices. lfor the economies of predomi­ the task. nantly Muslim nations to pick, up and continue the thread of To be so mobilized, they must first be identified and successful economic development, which ran broadly from scientifically understood. Lyndon LaRouche, in his the 8th to the 13th centuries,. it is necessary to revive for groundbreaking work The Science of Christian Economy practice the philosophical outl9ok of that tradition. (Washington, D.C.: Schiller Institute, 1992), has articulated the firstscientific approach to physical economy, built on the Man as the subject of physical economy epistemological foundations of Christianity. With this and In The Science of Christia", Economy, LaRouche writes: subsequent prison writings, including "On the Subject of "The possibility of a successJjuI society depends upon two God," published in Fidelio magazine (Spring 1993), conditions. First, the society ;must generate scientific and LaRouche has provided the teaching for profound economic technological progress; to do; this, the society must have policy changes to occur in those nations of the world of a developed in its members tht1 disposition and capacity for Christian cultural matrix, nations, such as France, the United scientific progress. Second, tqe society must adopt policies States, and the nations of Ibero-America, for instance, which which cause (the physical eqUlivalent of) productive invest­ firstemerged as industrial societies precisely due to the appli­ ment in scientific and technolqgical progress to prevail over cation of Christian humanist principles in economic and so­ opposition to such policies. cial policy, and which fell into decay as a direct result of "Thus, with certain qualifications, we must speak now their having betrayed those principles. LaRouche's works of 'man the creator.' The mental-creative powers, which point the way for these nations to recover economic health, mankind demonstrates througb the use of scientific revolu­ by rediscovering the science embedded in their Christian tions, to increase qualitatively the potential population-densi­ heritage. ty of our species, is the generaHty referenced. This generality In those nations of the world stretching from the Mediter­ shows mankind to mirrorthe Creator. Thus, man is designed ranean across the Middle East and Persian Gulf, through to become the 'little creator,' the small mirror-image of the Central Asia, the subcontinent, and into the Pacific, whose universal Creator .. .. primary cultural impulse has been shaped historically by Is­ "N ot only is this creative power uniquely characteristic lam, no such elaboration comparable to LaRouche's exists. of mankind, among all species;; thiscreative power is located A myriad of works has appeared, particularly in the last within the individual human �rsonality, as a sovereign po­ decade, purporting to define the parameters of Islamic eco­ tential contained within that in�ividual personality. Thus, it nomics, but they have by and large missed the mark, due to is the individual person who, py virtue of representing this one fundamental methodological error. Rather than seeking sovereign power, is, individually, in the living image of the to recover the seed-form in Islamic philosophy, which, plant­ Creator (imago viva Dei) .... ed in the soil of Arabic culture, gave rise to a flourishing "These two conceptions, the role of scientificand techno­ industrial society, a veritable garden, they have fixated on logical progress, and the fact that each creative mental act the shape of certain specific leaves, so to speak, hanging on is a sovereign process of an i'4dividualpersonality, are the the tree. These are the financial mechanisms gleaned from a essence of all economic sciencct" (pp. 227-229).

12 Economics EIR March 19, 1993 LaRouche shows that "economic science was developed We have indeed created man . by Christianity; furthermore, the evidence is that per­ In the best of moulds (S xcv, 4) haps economic science could not have been developed except by Christianity" by virtue of the fact that Christianity "orga­ who is endowed with the divine essence: i nizes society implicitly according to the principle of the sov­ ereignty of the human individual, definedin the way we have Behold, the Lord said defined it here" (pp. 229-230). To the angels: "I am About to create man Universal principles From clay: If the principles underlying LaRouche's economic sci­ When I have fashioned him ence are universal-and they must perforce be, as it is a (In due proportion) and breathed science-then those same principles must be reflected, albeit Into him of my Spirit, in another form, in Islam; otherwise, Arab society, organized Fall ye down in obeisance through the revolutionary impulse of Islamic culture, could Unto him (S xxxviii, 71). not have met the criteria for a "successful society" as defined I by LaRouche. Since the historical record documents that Man is created, as is the rest of the universe, with a Islam did lead Arab society to qualitatively increase its popu­ specific task or goal: lation potential, through the mediation of scientificand tech­ nological progress over centuries, the question is: How are To each is a goal the principles governing the relationship between God and To which God turnshim. i man, as developed in Islam, coherent with those introduced Then strive together (as in a race) i by Christianity? And what are the implications for economic Toward all that is Good (S ii, 148). policy shaping? The Koran is explicit enough to suffice, without immedi­ Man, by nature, has been creat4d with a nature biased ate recourse to the schools of Platonic philosophers who toward striving for the Good: elaborated the question. According to the holy book of Islam, believed to have been revealed to Mohammed, the Prophet, Him who created thee, I there is only one God: Fashioned thee in due proportion� And gave thee ajust bias (S xxxii� 7). God! There is no God i But He-the Living, Specifically, the goal of man, as God's representative on The Self-subsisting, Eternal (S ii, 255). earth, is to engage in the process of self-perfection:

God, who is Life, Eternity,Unity, Power, Truth, Beauty, But God will not allow Justice, Love and Goodness, is the Creator of all things: But that His Light should be i Perfected, even though the unbellevers Lord and Cherisher, May detest it (S ix, 32). Who created­ Created Man, out of This means subjugating nature, lby learning the laws of A (mere) clot the universe: Of congealed blood ...(S xcvi, 1). He has made subject to you His creation, furthermore, is continuing: The Night and the Day; The Sun and the Moon; Praise be to God, And the stars are in subjection Who created (out of nothing) By His command: verily The heavens and the earth, In this are signs Who made the angels . . . For men who arewise (S xvi, 12). He adds to Creation As He pleases: for God The conception of man sketchedlthrough these references Has power over all things (S xxxv, 1). is seen to cohere with that of the Christiantradition, which Islam explicitly incorporates, thougp.in different form. Con­ This God does through the agency of man, the crown of sequently, the economic teaching of Islam, in partexplicitly His creation: laid out in the Koran, imbeds this qonception in the laws of

EIR March 19, 1993 Economics 13 social organization. I Man is provided by God with resources and natural means Irrigation systems in Mesopotamia, of production: A.D. 762-1 200 I

It is We Who have Placed you with authority On earth, and provided ...... Canals You therein with means -- Rivers For the fulfillment of life (S vii, 10). - Dams

As God's representative on earth, man must develop these means lawfully, that is to say, in respect for fellow man, without thievery, fraud, or misappropriation. Explic­ itly forbidden, on grounds that they violate the nature of man and the laws of the universe, are economic practices involving prostitution, gambling, alcohol, idols, or divina­ tion. All these pratices tend toward reducing man to a beast, in violation of the way he was created. The most severe ban is on all forms of usury , which represents the greatest miles perversion of the lawful production of real wealth. 20 40 60 80 100 The Islamic injunction is for man to harness his God­ given faculties of mind, creative reason, to produce wealth, for the benefit of himself and his family, as well as of his fe llow man, through the institution of zakat, or charity tax. The way this and other taxes were levied and the revenues Source: Donald Hill, A Historyof Engineering in Classical and Medieval Times, La Salle, Illinois: Open Court. allocated in those periods of Arab history when the moral precepts of economic teaching were followed, demonstrates Fo llowing the fo unding of BaghdadI in A.D. 762, the Arabs how technological progress was thereby stimulated through maintained an elaboratesyste!,n of irrigation canals and conscious policy. A brief reference to some highlights of dams in Mesopotamia (the arJa of modem-dayIr aq), in Arab society following the death of Mohammed illustrates order to control flooding alonk the TIgrisand Euphrates the point. rivers. Earlier, in A.D. 629, a disastrous floodhad radically changed the course of the TIg1iS; beginning around 1200, Arab policies for the Tig ris began to gradually shiftback to its older bed. productive investment Arab society, under the impulse of Islam, gave birth to a flourishing culture, organized around cities which were cen­ ters of industry , agriculture, commerce, and science. The enormous economic growth in the 8th and 9th centuries led Whether farmers maintained their independence or placed to a demographic explosion; in Mesopotamia, the area of themselves under the custody of larger landowners, who today's Iraq, it is estimated that 30 million people lived (as managed their taxes, product+ty was not affected, as eco­ opposed to 18 million now). This correlation of an increase in nomic legislation supported agriCUlture , through taxation. If potential population-density with the progress of civilization a farmer produced food, simply reaping the fertility of God's was noted, later, by the Arab historian Ibn Khaldoun (1332- land without making investmdnts, he was expected to give 1406) who, in his Muqqadimah ("An Introduction to Histo­ 10% of his yield to the state. If, however, he developed ry") used the word 'umran, based on the verb "to build up, irrigation, he would have to pay only 5% of his produce in to develop," to designate both "civilization" and "popula­ taxes. Generally, it was the cyntral state which invested in tion." Ibn Khaldoun saw the qualitative and quantitative in­ irrigation, with the idea that itl was better to have a wealthy crease in urban-based population correctly as an indication peasant than a poor one. In a Book on Land Taxes from the of an improvement in civilization. late 8th century , Abu Yusuf writes: "If you inform the Caliph Significantly, in Mesopotamia, 80% of the population that there is land in this regio� which could be cultivated if which worked the land were not serfs , but free farmers. it were irrigated, and if this is confirmed, then you should Islamic inheritance laws regarding private property, which give the order to dig canals. T�e cost will be covered by tax excluded the right of primogeniture, favored the maintenance revenues of the state and not paid by the inhabitants. It is in I of family farms through distribution of lands to all the heirs. fact better for people to be well offthan to be poor, and that

14 Economics EIR March 19, 1993 they enrich themselves rather than going to ruin, and being existed to build housing and government palaces, and ship­ condemned to helplessness" (Andre Clot, Harun al-Raschid: building was necessary for commercial fleets engaged in Kalifvon Bagdad, note 2, p. 264) . trade. Trade routes were expanded qtassively, both by land and sea, bringing the Arabs into cOrlstant contact with peo­ Irrigation given top priority ples throughout the Mediterranean far east as China and ¥' Irrigation systems were the most important infrastructur­ as far north as Scandinavia. al prerequisite for all agricultural production (except wheat and grain), and their development and expansion were treated Generating a disposition : as a top priority . Canals, dams, and reservoirs ordered the for scientific progress i flow of water around the new city of Basrah as well as Bagh­ None of these achievements coul have been made with­ dad, and severe regulations were defined there as in Spain, out a conscious effort, on the part b the first Abbassid ca­ northernAfrica, and the East, regarding their upkeep and the liphs, to develop cities as poles of e

EIR March 19, 1993 Economics 15 The city-building impUlse: The Red Fort in Old Delhi, one of the magnificentfo rtresses built by the Moghals, 16th centuryMuslim emperors who established a national state in India in alliance with the Hindu kings.

Translation projects philosophical works of Aristotle, of the leading nro-Platonic In 765 , Caliph aI-Mansur had summoned the head of commentators , and of most of the medical writings of Galen, the Gundeshapur hospital to Baghdad to treat him. This as well as of Persian and Indian scientific works. In only a few learned man, Ibn Baktishu, was a Nestorian Christian and decades Arab scholars assimilated! what had taken the Greeks remained so, though he became the court physician, a centuries to develop" (pp. 306-307). tradition continued for generations by his family. Caliph ai-Rashid sent emissaries to Byzantium in search of ancient Scientific contributions manuscripts, which were then translated into Syrian and By virtue of this immense translation effort, the caliphs Arabic. Under al-Mamun (81 3-833) translation work be­ made available in Arabic-a I nguage which in the process came better organized, and the "House of Wisdom," which became the main vehicle of thought in the educated world­ the caliph founded as an academy and translation center, the fundamental works of the ancients, thus making it possi­ with an astronomical observatory, grew into one of the ble for Arabs to study and re-trhce, re-experience individual­ richest libraries of the world. Everything they could lay ly, the scientificbre akthroughs which had been made by their their hands on was translated: Greek medicine from Galen, predecessors. The introductionl of paper contributed to the Hippocrates, and Paul of Aegina; Greek philosophy, espe­ production and diffusion of books. As a re sult, Arab culture cially Plato and Aristotle, Greek sc ience of Ptolemy and produced its own discoveries, lcontributing to universal hu­ Euclid, as well as Ar chimedes. man knowledge. Khwarizmi introduced the decimal system One of the foremost translators was the Nestorian Chris­ into mathematics, and wrote a book entitled ai-labr (from tian Hunayn ibn-Ishaq, who worked under the court physi­ which we have the word algebb), which was used as a text­ cian Baktishu, until he was appointed head of the library. book in Europe until the 16th cdntury . Fundamental advances Ishaq oversaw all the scientific translation work, leading a were made in the field of medicine by al-Biruni, Ibn Sina staff of 90 students and translators. He himself translated (who became revered in medibval Europe as "Avicenna"), I from Greek into Syrian; his son, then, translated from the al-Razi, and many others. A -Razi, who wrote over 200 Syrian into Arabic. Ishaq' s translations were so highly valued books on medicine, theology, and astronomy, was the first that al-Mamun paid him the equivalent in gold of the weight to develop diagnoses for various illnesses accompanied by of the books he rendered into Arabic. fever, the first to develop treJtment for smallpox, and the Treasures fromPersia and India werealso translated, partic­ first to intuit the ways infectio�s diseases were transmitted. ularly works of mathematics, and the Arab numerals, including Ibn Sina, another giant source f�r Arab culture, was a Persian the zero, adapted from the Indian system, were introduced. who wrote 170 books on philosophy, mathematics, astrono- I Works in astronomy, especially the Indian Siddhanta, were my, medicine, and theology. �s Canon of Medicine was the translated. Philip K. Hitti, in his History of the Arabs, writes: leading textbook in European universities from the 12th to "In three-quarters of a century afterthe establishment of Bagh­ the 17th centuries. The Arab �octors developed advanced dad the Arabic reading world was in possession of the chief methods for surgery, includidg Caesarean sections and a

16 Economics EIR March 19, 1993 drainage for Gray Star of the eye, complete with anesthesia. Arabic. Already in Bedouin society, ;Arabic had shown itself Such developments in the fieldof medicine were fostered to be a language of enormous poetic �apability. Through the by strict state supervision of the quality of doctors. Every Koran, which is a poetic work, the ljmguage became richer, doctor had to be licensed. Each surgeon had to go through finding ways of expressing not onl� poetical ideas but also intensive training, especially in Galen's writings; doctors important scientific concepts. As Wilhelm von Humboldt ' were expected to make fundamental contributions to their remarked, the Arabic language shar s with its sister Semitic discipline with original works. Furthermore, a network of language Hebrew the power of poet c imagery, but excels it social institutions was developed to promote medicine. Phar­ in having a finely developed scienti ;c capacity. macies prescribed medicines, all under the strict control of Since the Koran is the holy b�k, as revealed to the ' an inspector, who would appear unannounced any time day prophet by Allah, it is incumbent o every Muslim to read it or night to make sure utensils were clean and prescriptions in the original. This fact is of capit I importance. As Islam properly filled. In the 9th century, the first hospital was built spread, proselytizing among the pa� ans as well as the mem­ in Baghdad, followed shortly thereafter by 34 more in the bers of the various Christian sects i*to which the Byzantine Islamic world. Hospitals had separate wards for different Church had degenerated-the Mo�ophysites in Syria and illnesses; patients were treated both as out-patients and in­ Egypt, the Nestorians in Iraq and P�rsia-it brought with it patients. By the 11th century, mobile hospitals appeared, mass literacy in the Arabic languag . Due to the role of the to reach patients in outlying areas, which was particularly language, anyone who was a Muslirttt and expressed himself important when epidemics appeared. in Arabic came to be known as � "Arab." Not only the religion, but the language, therefqre, became a factor of Emphasis on education unification, and an absolutely crucilil element in the spread

That this policy outlook, oriented toward developing the of science and technology. I productive powers of labor through education, a public health i system, and the promotion of science, was characteristic of Implications for the present I Arab culture is illustrated as well by developments in Sicily The Arab world, and, beyond i . the nations of Muslim .t and Andalusia. culture among non-Arabic speak · g peoples, preserve a Parallel to the advances in agricultural output stimulated heritage which, if revived as a lassical culture, would by land reform, cities grew up in Andalusia after the Arab prove to be an invaluable asset to �ordering world affairs. conquest of 711 as magnificentcenters of industry and learn­ Regrettably, there are too few l�ders in the Arab and ing. Cordova boasted 113,000 homes, 21 suburbs, 70 librar­ Islamic world who recognize this ,n practice. The sheikh­ ies, and many bookshops, mosques, and palaces (Hitti, doms of the Persian Gulf have arqassed fortunes from oil p. 526). It was to Europe what Baghdad was to Arabia. It revenues, dressing themselves in ! the extravagant pomp employed 13,000 weavers in its textile industry and also had they believe to have characteriz�d the ancient caliphs, a flourishing leather industry. Spain produced wool and silk, while their populations lie in wverty, ignorance, and glassware, pottery, mined gold and silver, and produced slavery. Those, on the other han., who have claimed a items in iron and lead renowned the world over. Seville and return to "Islamic purity," as is :the case in Iran, 'have Malaga developed into rich trading centers. imposed a formal, "rigid constructi nist" reading of Islamic As in Baghdad, emphasis was placed on developing the law on an oppressed popUlation, r�mothering the spirit of creative capacities of the citizens. AI-Hakim II al-Mustansir creative intellectual life necessary to progress. As a result, (961-976), son of Abd aI-Rahman III, patronized learning they have so undermined the *owth of the physical with generous scholarships and established 27 free schools economy that they have introductd population reduction in Cordova (Hitti, p. 530). He expanded the mosque of Cor­ policies, which fly in the face o� Islamic teaching. dova into a university, which attracted Jewish, Christian, Regrettably, also, too few am09g the political leadership and Muslim scholars from the whole world. AI-Hakim also in the non-Muslim world know wijat Arab civilization and built up a magnificent library, sending emissaries to Alexan­ Islam have achieved historically; thvs, even those among the dria, Damascus, and Baghdad to buy books. His library had ecumenically minded are hampere4 in outlining a workable 400,000 volumes. The population of Moorish Spain was, as approach to building an alliance fo* economic recovery, the a result, the most advanced in Europe; according to one only route to peace. It is by lookiqg back to Europe in the account, "nearly everyone could read and write," at a time 13th to 15th centuries, when some � the best minds of Chris­ when elsewhere in Europe literacy was largely a privilege of tendom entered into an historic di�ogue with Arab culture the clergy. at the highest philosophical level i that one can learn how ' such a process may generate yet further breakthroughs in The power of poetic imagery science, technology, and art. It profides an excellent exam­ Of utmost importance in the development of an educated ple of how peoples from differentc �ltures can "Strivetogeth­ population was the fact that the language of the Koran was er, as in a race, toward all that is G�od."

EIR March 19, 1993 Economics 17 Banking by John Hoefle

Clinton buys the deregulation line All told, the Clinton proposal will But even as the Treasurypromises breaksfor bankers, Rep. allow the baqks more leeway to specu­ late on real eJstate and to roll over un­ Henry Gonzalez is moving to tighten regulatory control. payable loaqs. It will make a disas­ trous situation even worse. Meanwhile, a pair of bills to re­ structure the federal bank regulatory eputy Treasury Secretary Roger per-crust investment firms. Peter Pe­ system has 'been introduced in the AltmanD previewed the Clinton admin­ terson, head of Blackstone, is the House. istration's plan to further deregulate chairman of the elite New York Coun­ H.B. 12 14, the Regulatory Con­ the already dangerously underregulat­ cil on Foreign Relations. solidation Alet of 1933, was intro­ ed U.S. banking system, in a speech The basic thrust of the Clinton duced March 4 by House Banking March 8 to the Institute for Interna­ plan is to reduce the federal govern­ Committee Chairman Henry B. Gon­ tional Bankers. The administration's ment's regulatory control over the zalez (D-Texl.). Gonzalez's bill would plan, Altman promised the bankers, banks, while attempting to boost the combine the! regulatory functions of "will modernize a series of outdated faltering real estate market. the Federal �eserve, the Federal De­ regulations and examiner attitudes, Under the proposal, banks ranked posit Insurance Corp., the Office of and make it easier for lenders to lend." in the first two of the five supervisory the Comptroller of the Currency, and Those "outdated regulations" of categories would be freed from many the Office of Thrift Supervision, into which Altman speaks include the of the rules on lending criteria and a single nelN agency, the Federal Glass-Steagall Act and related mea­ loan documentation on certain small­ Banking Cdmmission (FBC). The sures passed in the wake of the Great business loans which are based upon Federal Reserve would retain its pow­ Depression of the 1930s-measures the borrower's character and reputa­ ers as a cen1/ral bank, and the FDIC specifically designed to reign in some tion in the community, rather than would continbe to administer the bank of the more predatory and criminal strictly on his ability to repay. The and savings :and loan deposit insur­ practices of the big banks. That those regulatory agencies will also work to­ ance funds. The OCC and OTS would regulations are now being vilified as gether to eliminate duplication and be abolished� obstacles to the expansion of the bank­ conflicting guidance to banks. The Gonzalez said the FBC would be ing system, says volumes about the regulators would establish ombuds­ more accountable and responsive to bankers' intentions. men to field complaints from banks the public, because it would be inde­ So, too, does the talk of "outdated about problems with examiners or pendent froIIlthe Treasury. examiner attitudes." The job of a bank other officials, as well as complaints "The sa�ings and loan crisis examiner is to verify that the banks' from rejected borrowers who believe taught us that we must protect the in­ books are honestly kept, that assets they were discriminated against. dustry and ttb.e insurance funds from and liabilities are properly valued, and The Clinton proposal would make any attempt by the Executive branch that the balance sheets accurately re­ it easier for banks to unload their huge to use bank Iregulators as willing or flect the financial conditions of the holdings of foreclosed real estate­ unwilling p()litical operatives," he banks. Bank examiners are supposed $28 billion as of the third quarter of said. I to be guardians of the public trust, but 1992, the last quarter for which fig­ Rep. Jint Leach (R-Iowa), the the Clinton administration, like the ures have been released. The plan ranking Republican on the banking Bush administration before it, is de­ would let banks lend money to some­ committee, �ntroduced a competing manding that they instead be cheer­ one who buys those foreclosed prop­ bill, H.R. 1227, the Bank Regulatory leaders for the bankers. The tendency erties, and carry those loans on their Consolidation and Reform Act of for some examiners to reveal bad books as normal, performing loans, 1993, which would combine the OCC loans, rather than covering them up, something the current regulations do and OTS into a new Federal Bank is one of the "outmoded attitudes" of not allow. Appraisal requirements Agency. Leach's bill would give the which Altman complains. will be reduced or even eliminated on Federal Reserve control over the big Altman, it should be noted, came smaller loans, and examiners will be banks, while letting the FBA and to the administration from the Black­ ordered not to write down troubled FDIC divide1up the small banks and stone Group, one of Wall Street's up- loans to their current market value. thrifts.

18 Economics EIR March 19, 1993 Report from Rio by Lorenzo Carrasco

The central bank debate i projects of the Wriod of military rule - 1 Who ultimately controls economic policy was at the heart of known as the 'Brazilian miracle." This prompted ' condemnation from President Franco'spurge of the economic cabinet. the Workers Party (PT), which la­ mented "the choice of a minister who served the dictatprship. " If what worries the PSDB and the he surprising resignation of Eco­ President himself. During the first PTis Franco's gJtowing signs of politi­ nomicsT Minister Paulo Haddad on week of March, the possibility of cal independen�, their reactions are Feb . 28 was not due, as the specula­ Franco's resignation was the subject perfectly compakible with that of the tion in the Brazilian and international of discussion among political groups financial oligarqhy, which fears that press would have it, to bad timing on in the National Congress. Franco will intetvene into the corrupt the part of a President with an "incom­ The magazine Veja, mouthpiece financial syste� and reform it by at­ patibility" problem. Haddad's depar­ of the Anglo-Americans in Brazil, tacking the privUeges of Brazil's pri­ ture from the cabinet was in reality due dedicated its March 10 issue to at­ vate banks. to a fierce dispute over the question tacking President Franco for believing Franco appears to understand that of who would control Brazil's central in "the conspiratorial theory of histo­ there is no possibUityof politicalor eco­ bank, until now little more than a re­ ry ," especially with regard to the be­ nomic stability in Brazil as long as the discount window at the disposal of the havior of the major economic groups. status quo of the'n ational financial sys­ all-powerful Brazil Banking Federa­ Veja went so far as to report alleged tem is rnaintain�. That is why Brazil's tion (Febraban) . economic plans, including a new sei­ oligarchy is ha�ing nightmares about According to the daily lornal do zure of assets and price freeze, to no the return of thegh ost of Dilson Funaro, Brasil of March 3, President Itamar other purpose than provoking a fi­ the economics ministerwho declared a Franco resolved to fire Haddad be­ nancial panic . debt moratorium, in 1987 . cause he had concluded that instead of Reflectingthis same climate of hys­ For example, the "insider" weekly controllingthe government's technoc­ teria, the daily 0 Estado de Siio Paulo Relatorio Reservado speculates in its racy, it was controlling him. Franco reported March 7 that the French gov­ March 8-14 issue that "Itamar and his was also convinced that the bulk of emment had cancelled allcredits to Bra­ group want to re-issue Funaro's Cru­ the state bureaucracy, especially in zil, in reprisal for Franco's change in zado plan," in reference to the 1986 the area of finance, maintained inces­ economic ministers. The false report plan which, despite its flaws, succeed­ tuous relations with the major busi­ hadto beofficially denied by the French ed in halting for several months the ness groups. His concern was espe­ embassy in Brazil. financial carou$el which proved so cially acute with respect to the central Also symptomatic was the imme­ profitable to the bankers then control­ bank, which he viewed as a sort of diate reaction of the Brazilian Social ling the central bank. Febraban central office. Democratic Party (PSDB), to whose Franco has reached a moment for "Economic policy has been set by ranks belongs Foreign Affairs Minis­ fundamental dtfisions. Either he in­ the central bank. I want to invert this ter Fernando Henrique Cardoso. The tervenes into the financialsystem with process. The centralbank is the one that President's personal decision to re­ a de facto natidnalization of the cen­ must shape itself to the economic poli­ place Haddad with Eliseu Resende tral bank-a move which implies a cy," Franco said. Regarding Haddad, was considered by the PSDB to be an change in the f<>reign debt renegotia­ the President called him "an accoun­ act of independence which "broke the tions and a rechanneling of state re­ tant, a mere controllerof expenses. The consensus" that has been sustained in sources into deVelopment--or he will centralbank is what controls the interest the Congress since the impeachment take the path adopted by President rate . And whoever controls interest of ex-President Fernando Collor de Jose Samey, when he fired Dilson Fu­ rates controls economic policy." Mello at the end of last year. naro in the mid�t of a financialreorga­ The mere threat of an intervention Eliseu Resende, a personal friend nization. The QnIy difference is that, into the financial policy of the central of President Franco, comes out of the this time, the country, having just bank has awakened the furies of the political networks of the state of Mi­ been through th�impeachment of CoI­ financial oligarchy and its political nas Gerais which were prominently lor, will not tolerate a repeat of Sar­ henchmen, presaging the fall of the involved in the major infrastructure ney's cowardice and mediocrity.

EIR March 19, 1993 Economics 19 Business Briefs

Demographics Russia not only as a convenient transit route milliontons ryear.This foreigndependence at a crossroads between Asia and Europe, but will signific tly affect Chineseforeign policy Fertility dropping also as a vast potential market. orientation, Especially towardthe Middle East Drug abuse and trafficking is on the rise oil-produci� states, according to these re­ sharply in Third World in the former Soviet republics. Cannabis and ports. poppyare grown on I million hectares in Rus­ Fertility is falling sharplyin many developing sia, 140,000 hectares in Kazakhstan, and sector countries, a report published by Johns 6 ,000hectares in Kyrgyzstan. In addition, Taj ­ Hopkins University says . Average total fertili­ ikistan opium production has doubled since Agriculture ty(the numberof childrena woman hasin her last year , and Azerbaijan has emerged as a ma­ I lifetime, which is a moreaccurate reflectionof jor center for the manufacture of synthetic Japane$e cities say population trendsthan the birthrate)has fallen drugs. Experts partly blame the deteriorating from six in the 1960s to four today in the 44 drug situation in Russia on a moreliberal crimi­ 'protect our farms' African , Asian, andlbero-American countries nal legislation passed in December 1991 which I surveyed. leglaized the consumption of drugs . A new Japaftese group composed mostly of At thesame time, fertility in East and West Also in easternEurope , a drug bust in Bul­ city residen� appealed on March I for pro­ Europe, the Community of Independent garia on March 1 has broughtheroin seizures tectingricef �ers and a continued ban on rice States, the United States and Canada, and Ja­ in one month to almost 161 pounds, fueling imports. "We should encourage farmers and pan, has beensignificantly below replacement fears thatthe so-called "Balkan route"is being sustain agricWture toprotect our land andenvi­ level for some time. At this point, in all devel­ used for as much as 80% of the heroin bound ronment," I�shi Kajii, Tokyo University of oping countriesoutside China, 38% of married for westernEurope , according topolice, Reu­ Agricultureprofessor , told a news conference . women use contraception; in the developed ters reported. "Bulgariais still a transit zone for Kajii is pne of 31 founders of Citizens' countries and China, the figure is 70%. narcotic smugglers," Interior Ministry Chief Conference�n Land, Environment and Agri­ Fertility rates have begun to fall even in Secretary Kosta Bogatzevski said . culture, whose members include academics, countries with traditions of large families, in­ television aci�rs and the preSIdent of Zenchu , cluding Bangladesh, Kenya, Zimbabwe, and the Central �nion of Agricultural Coopera­ Botswana. tives. The report also notes that every year, 13- Energy They are�emandingJapan refuse toimple­ 15 million children die before the age of five, ment a farmaccord of the General Agreement 98% in the developing sector. Most of these Oil assumes strategic on Tariffs abd Trade (GATT) which would deaths are easily preventable, the reportstates . "deny the nation its right to meet its own food Even with improved immunization and pre­ urgency for China demands and destroy parts of agriculture," a ventive health care programs, infant mortality release read.: remains seven times greater in the developing According toinformed international oil indus­ I sector. try reports, China is in the midst of a major shift in its energy self-sufficiency which will have markedimpact on Chinese foreignpolicy Aerospac over the years ahead. Until quite recently the t Dope, lnc. Chinese economy had been self-sufficient in Dereg, ot competition, production of oil, its main energy source . But � Massive drug cultivation incentives to domestic and westernoil compa­ said to kill industry nies have failed toboost the needed new oil and I plagues CIS members gas production. The largest known untapped ''The realkill�r of Boeing's sales is not Airbus, deposits exist in the remote and uneconomical but airline deregulation," Robert Kuttner While the integration of the Commonwealth areasof Tibet and Mongolia, thousands of ki­ wrote in a coknmentary in the March I Wash­ of IndependentStates (CIS) countriesinto the lometers distant fromthe coastalurban indus­ ington Post. ! global economy has been slow, it has done trial centers. Kuttner attacked free market theorists by very well as far its integration into the world According to these sources, the domestic making the �bvious argument that the aero­ narcotics market is concerned, Vladimir Ra­ oil production of China today has stagnated at space indUS�' n the United States was suc­ dyubin, a freelance columnist for the Indian some 140 million tons peryear, while domes­ cessfully hel by the indirect support of U. S. . daily paper The Hindu, wrote on March 2. tic Chinese energy consumption for industry defense spe g, while the European indus­ Although overall figuresfor drug-traffick­ and transportationis growing at 20% annually. trywas aided by directsubsidies to commercial ing across the CIS are not available, security At this juncture, China is being forcedto rely passenger jeU manufacturer Airbus Industrie. officials in Moscow believe that drugs being on foreign oil importsfor the indefinite future Thus, both tJte U.S. and European govern­ moved through Russia also originate in the for a significantportion of its annual oil needs. ments "helped create superior planes, which Persian Gulf, India, Hong Kong, Singapore , China will have to import a minimum of more would have el/olvedmuch moreslowly if com­ and even Africa. Drug smugglers consider than33% of presenttotal production, some 50 panies had W/rited for private capital ."

20 Economics EIR March 19, 1993 • THE D�H economy has suf­ fered "a dramatic worsening" in re­ Infrastructure Industry cent months!' a Danish economist re­ ported to EI on March 2. "Over the Australians push rail Japanese companies can't past several onths there has been the link for Asian trade cope with yen rise most drama�c decline in new orders for busine�s' since the government's severe 198 'potato cure' austerity The construction of a rail link to the port of Despite remarl<:sfrom the Ministryof lnterna­ program. ere is a sharp accelera­ Darwin on the northeast coast of Australia in tional Trade and Industry (MITI), Japanese tion of farI11j:rs needing acute finan­ order to boosttrade with Asia, is gaining sup­ companies aretaking huge losses fromthe col­ cial assistan4e, and industrial compa­ port, according to an advertisement in the lapse of the dollaragainst the yen. nies are layi�g off more and more." March 1 TheAust ralian. The link from Alice Nippon Electric Corp. (NEC) said on i Springswould connect Darwinby rail with all March 1 it expected net earnings to plunge • CREDq SUISSE was forced to major cities in Australia.Entitled "Supportfor $364 million into the red in the year ending increase �isions for bad loans by the Austral-Asian Rail Link Is Coming from March31 , as sales fall by over $2 billion com­ 30% in 1992 comparedto the year be­ AllDirections," the ad is signed by 46Austra­ pared to the previous year, due to Japan's do­ fore, covering 1.5 billion Swiss lians of note, mainly friends of the establish­ mestic chip and computer downturn. francs, the btem, the primary trans­ of foods that are major sources of [fatty acids 60%of their authorized strength.Social condi­ port mode,: is so overcrowded that formed by hydrogenated vegetable oils]­ tions and health care are poor, and clothing 800,000 pli$sengers travel every day margarine, cookies, cake, and white bread­ and foodsupply in scandalous shape. Military without seats and only 60%of freight were each significantlyassociated with higher police arrested 20, releasing no details about is shipped dn schedule. risks of coronary heartdisease," it said. injuries. I

EIR March 19, 1993 Economics 21 �TIillScience & Technology

Cold fusion revolut.,n marks itsf ourth � ColdJusion researchers used to think Q[themselves a "resistance" movement againstun Jounded attacks; today, they areflS deepening their understanding Q[this newfield. An interview With Carol White.

On Feb. 9, 21st Century Science & Technology editor Carol long, we realized that this was a ery extraordinary, and very White was interviewed fo r the cable television series "The serious experiment, and we'v�f been writing about it ever LaRouche Connection," on the subject of coldjusion, which since. has granted permission to publish a transcript edited by EIR I Mrs. White. She was interviewed by Paul Gallagher. Gallagher: Here you have on� issue of your magazine, in which the subject was a conferepce, the Como conference in Gallagher: Good evening, and welcome to "The LaRouche Italy. You were there with 21s. Century. Tell us about that Connection." Our topic this evening is the extraordinary re­ conference. : actions discovered four years ago, known as "cold fusion." White: The conference was oPen to all journalists, and we The media, both in this country and abroad, and also the were the only scientific magazine in the world that came. scientific establishment, have been trying to convince you There were two other publicatiOll1s there, but one was a tech­ that cold fusion, in fact, does not work, or that the very idea nical journal put out by the Am.erican Nuclear Society by of cold fusion reactions is a hoax. Many of you may know George Miley, and one was Hal Fox's Fusion Facts, which that that is not the case, and that, in fact, the most fascinating is a newsletter; but we were the OII1ly mass-circulation popular developments in science are taking place in these experi­ magazine which chose to come. Scientific American didn't ments. choose to come, or Nature magazine, or Science; and they Our guest tonight is Carol White, who is the editor of never chose to cover any of the positive results, and haven't 21st Century Science & Technology magazine, and who is to this day in any detail on cold fusion. Mainly they have constantly in touch with and circulating the work of virtually panned it or they have been sarcastic. Now, most recently all of the people who are important in this extraordinary field with the large Japanese prograql. and the enormous positive of experimentation. results, they haven't been able t totally black it out, but they Carol, let me ask you first, what has 21st CenturyScience have yet to give any serious scientific� coverage to cold fusion. done in the field of cold fusion? You can start, if you like, with the firstannouncements which were in 1989. Gallagher: What was the Como conference? When was it, White: Well, we covered it from the very beginning, be­ and what was established? cause we've always been interested in fusion energy, and White: It was a year and a half ago on July 4 [1991]; it was this seemed quite extraordinary; normally with fusion energy the second annual conference on cold fusion. you need huge machines, and it's a very elaborate setup. And From the beginning, Fleischmann and Pons demonstrat­ here were two scientists, saying that with test tubes on a ed that-using electrochemical means-they could, with table, they could cause nuclei to come together and to fuse, chemistry, elicit a nuclear respbnse. They could do it in a and we thought this was really, incredibly exciting. We won­ controlled, if not repeatable, fJlshion-that is, you didn't dered if it was true, but we were very interested, and we just have an uncontrolled explosioq-and they had announced followed it from Day One. And of course, after not too that on March 23, 1989. Many people tried to repeat the

22 Science & Technology EIR March 19, 1993 Coldfusion pioneers Martin Fleischmann (left) and Stanley Pons (right).

experiment, and a lot were successful and some were not. Gallagher: And this was why magazine was among The unsuccessful results were played up, and the successful the very few that were even present rt the conference? results were debunked and slandered. White: Well, I wouldn't put it that way. I would say that This conference was really an extraordinary gathering, the magazines that gave it a bad press, did it deliberately, in that it was a collection of scientists from around the because they just didn't like the idea of somebody going world-from Russia, from Japan, from the U.S., Italy, one around the edges of approved proc dures, and going out to Frenchman, one German-who stood up for the fact that they the public as Fleischmann and Pons aid in Utah, with a press had themselves, in differentways , proven the phenomenon to conference, saying, "We have done this magnificentthing , be true, and they were refusing to take the easy road of that stands science on its head, and gives us a whole new saying: "Well, probably it's artifact," or "It's not real," or perspective on what can be done"; and they just didn't like just shutting up about what they did. These were very consci­ this, and they decided to teach a lesson to any scientist who entious, brave scientists, and they were standing out for the wasn't going to go through established channels. truth [see box] . They were threatened, they found it very Now, it's ironic, because Fleisbhmann and Pons didn't uncomfortable in their campuses, these professors, to be pur­ really want to do the press confere ce, but they were forced suing cold fusion, because the scientific establishment had to do it by the University of Utah, where Stanley Pons was said it was merely a hoax, or it was bad science; it was called the head of the Chemistry Departrpent; and the university "pathological science." arranged the press conference, because they were afraid that, First it got enormous headlines--oh, cold fusion is going if they didn't, the magnificentexpe Jiment would be taken by to solve all our energy problems in two days-and then after other people . There were a lot of Jatent claims in this, be­ about three weeks, it began getting a very bad press. cause there's a mint of money, w en it gets proven. The

EIR March 19, 1993 Sci/nce & Technology 23 university had patent shares, because it was done on the urn-andthese nuclei can fuse together to form a new atom, campus, and they wanted to establish this thing very quickly, or a different isotope of hydrog�n. That's fusion. because they were afraid that the Department of Energy had circulated too much information about the experiment to oth­ Gallagher: You're saying not!onlY that it can happen, but er scientists and that other people would take the patent, and that it appears to be happening.: What is the evidence? What the university wouldn't get it. made these experiments extrao¥inary in the firstplace? So, they jumped the gun with a massive press conference. White: When Pons and Fleis�hmann were experimenting Fleischmann and Pons were a little worried about it, but they with the hydrogen they noticed that they were getting a good went along with it. deal more heat energy out of !their electrolytic cell. They And then they were pilloried. It should be known that noticed that they were heating 4P the water. You have these Martin Fleischmann is a fellow of the British Royal Society, two electrodes, and they're in �ater; they're in what's called which is a very prestigious thing to be. He was 65 then, heavy water, that is, water whic is not made with hydrogen, and he was one of the famous scientists and chemists of his H20, but with deuterium, D20 d with a bit of lithium, and ' � generation, and he was just pilloried. They called him a there's a salt. And you have ele trolysis occurring. fraud. At one point, they were saying in Utah that there Now, the water was being eated up, way beyond what might be criminal charges raised against him, because the you could conceivably expect fO be the case simply by an university collected $4 million to set up the National Cold electrolysis experiment, whereE 'Iyou get a certain amount of Fusion Institute. They spentit mostly on overhead; then they resistance heating. tried to control Fleischmann and Pons, and tell them just what to do, and how they should develop their experiment, Gallagher: So, apparently so�e large amount of heat was and so forth . And there was a lot of bad blood, because they coming froma non-chemical pr�ess of some sort? brought in a lot of people fromoutside . White: Yes. So, they said, "�at could it be coming from?" Fleischmann and Pons are two very old-fashioned-type Well, there must be somethingl nuclear going on. It's very scientists: They sit in their laboratory, they do their experi­ extraordinary: In chemistry, nqrmally you get compounds ment, they have their ideas, and they're very independent. interacting because the electron, outside of the nucleus bond In fact, chemists are wonderful. Physicists have to work together. That's a chemical re�ction. Here, what was oc­ in very big teams now , because the equipment is so expen­ curring was the bonding of the Uclei. And, of course, to do sive-if you're going to have a tokamak, it costs billions, you that, using simple chemistry-i 's an extraordinary window know. You can't be an independent person in most scientific of opportunity for us to solvef all of our potential energy experimenting today, certainly in physics. But in cold fusion, problems, and with a very clea� energy source. it's very cheap: It's a $10,000 experiment in its simplest form, and actually Stanley Pons had financed their work Gallagher: We all know that, fifter the first few weeks, all through his own private income (he had a cotton mill in the of the science magazines turned around and said that this family, and so forth); and they were very independent. Most really didn't happen, or can't be replicated by anybody else, chemists are that way: They're very independent, sort of old­ or that none of the labs could make it happen, and so on. But fashioned scientists. what has actually happened? Your experience here is not simply from reading literature, but from talking to many of Gallagher: Can you tell us what actually is going on in these the people who are engaged in cOld fusion experimentation. electrolysis experiments? White: Yes. In this experiment, Fleischmann and Pons White: You have a positive electrode made of platinum, would spend about three months on one experiment; so, they which is a coil. Inside it you have a negative electrode, made didn't get heat within a week, ot two weeks, or three weeks. of palladium. Now, both platinum and palladium look to the They had been working on this experiment for five years, eye very similar to a gold wedding ring, not in color, but in before 1989. At the point that it became very clear to them composition: The difference is that hydrogen, or deuteri­ that they had something very unique, they told the university, um-which is hydrogen with an extra neutron in the nucleus, because they needed to get soIne more funding to do this or a heavier hydrogen-they are absorbed readily into palla­ thing on a more systematic scal�. They had developed tech­ dium; it just seems to suck out hydrogen or deuterium from niques for doing it; they had expertise. the atmosphere and compact it in. So you can get 1 ,000 times They didn't know all the things that were making it work: morecompr essed hydrogen or deuterium in a bit of palladium For example, if you do it in a Pyrex glass cell, that favors the than you would get free in the atmosphere. That gives you a experiment; if you do it in a Tefloncell , which would seem kind of density. In the palladium, the hydrogen ceases to be to be much more clean, the experiment doesn't work as well an atom. The electrons separate from the nucleus, so you at all, because from the Pyrex, 'you get silicon which coats have protons-the single proton in the nucleus of the hydro­ the electrodes; and that's very beneficial for keeping the deu­ gen, or the proton and the neutron inthe nucleus of deuteri- terium inside ofthe negative electrode, so that the concentra-

24 Science & Technology EIR March 19, 1993 tion is maintained, and then the fusion can take place. Things White: That's a very funny story. He's a very well known like that. physicist who works in the area of neutron detection. He Other people came on the scene, some of them not even works for the IEAA and so forth in �apan. In 1989, he was chemists; they tried to do the experiment one week, two supposed to be doing a program coordinated between the weeks, three weeks , and they didn't get anywhere. Many United States, Japan, and China, 0 neutron detection and chemists, for example, a guy named Huggins, who is now corrosion studies, and Tiananmen Square occurred, and that heading a laboratory in the German state of Baden-Wiirt­ program was suspended. (It's now started again.) He had the temberg, which is one of the premier hydrogen laboratories time then to check out the results from the Fleischmann-Pons in the world today, got high heat. He was at Stanford Univer­ experiment to see if any neutrons werb emitted, which would sity at that time. John Bockris, at Texas A & M, another one have been another sign of a nuclear reaction taking place. If of the most eminent chemists in the world, a teacher of Martin you look at this Time magazine covJr, it says, "Fusion, Or Fleischmann, not only got excess heat, but he produced triti­ Illusion" and shows Fleischmann a I d Pons, and on top it um; in other words, he had a nuclear ash, and you could have says "China's Angry Students." only gotten tritium if nuclear fusion had taken place. And he Akito Takahashi was here last year on a tour, this is him got high tritium. at MIT showing a slide of this and explaining how he got Then, in Stanford Research Institute, Michael Mc­ into the work to this large audience MIT. Kubre's group has a systematic program. They have the only He got 100% excess power in s experiment, using a big program now going on in the United States ....He has plate of his design last winter. He 70% excess heat over done three years of experiments, and he has gotten up to 50% two months. excess heat-in four instances he got bursts of three times as much power output as he put into the cell-and he's gotten Gallagher: Where are the largest them over protracted periods of time-weeks, and so forth. White: In Japan, you had two He has many, many, many experiments which document You had Michael McKubre in this; and it's probably, in some ways, the most rigorous work Japan , Keiji Kunimatsu, and that's ever been done on this, because he uses, not an open them had worked in 1976 in Martint'le�lS(; hn[}arm's laboratory cell , but a closed cell, and he has expert diagnostics. electrochemical ex-

Gallagher: So, this is the production of a large amount of excess heat from a simple electrolysis, but one in which there are special materials being used, and in which the deuterium and palladium are fu sing, or packing each other in some way. Is there a range of results, where some are better than others? And how many places in the world has this been shown so far? White: Well, the best results were Fleischmann and Pons, and they have sometimes gotten 15 times as much output as input, which is quite extraordinary. And they are able to get their cells to boil off; and they can get a cell to boil offunder some kind of nuclear reaction which is taking place-some form of fusion reaction-and it will boil off in II minutes; where, if electrolysis had been going on with the same input of electricity and so forth , you would have expected it to take 40 minutes for that cell water to evaporate. I've seen a filmof that, and it went in 11 minutes, and that's very classy. Now, there is someone in the United States, whose name I'm not able to use because he wants to make sure his results are repeatable, who's recently gotten a boiloff, which seems very exciting. The next highest results were in Japan. You have a picture Japanese physicist Akito Takahashi, to magazine's of Akito Takahashi there- Time cover storyon coldfusion. When a he was supposed to work on with the Chinese was po�rtp(me'd because of Tiananmen Gallagher: Here he is with a blown up photograph of Time Square, he took advantage of the time investigate the magazine. Fleischmann-Pons findings.

EIR March 19, 1993 '-'\'-I'

26 Science & Technology EIR March 19, 1993 out, and you don't get an activation center and you don't get scientists were like a resistance army in the French maquis the cold fusion occurring. So, there are many problems in in the Second World War. And Ikegami said, well, it's like controlling the quality of the material. the hidden Christians; in Japan in the 17th century, Christian­ Ed Storms, who works at Los Alamos, repeated Taka­ ity was outlawed, and many people practiced it, but they had hashi's experiment and he got 20-30% excess heat. There are to do it secretly, and they were the hidden Christians. And he some other people, who have also repeated the experiment, says the cold fusion community is like the hidden Christians. but again, they want to publish, they want to be peer re­ viewed, they don't want to go through being pilloried as Gallagher: Were there not cases ! where scientists in this Fleischmann and Pons have been; so they want to get peer field actually hid the fact that they were working on cold review before they release their experiment to the public, but fusion? there have been several. White: Oh, yeah! Well, they had t<), or they would lose their In Japan, there have been repeats, and there have been at jobs. least two or three-John Bockris (I think he wouldn't mind So the second conference was rather like the hidden my talking about him) has gotten 18% excess heat. Another Christians, or the underground, coming together, and people experimenter got that in Italy. Francesco Celani got 10% who were just brave enough to cdme out and say, "We're excess heat in an experiment that he did. going to keep the flag waving." But the third conference was different, because by then Gallagher: So, in other words, this supposedly impossible it had been established. And really, the interest of the third experiment has, in fact, been replicated scores of times, by conference was the direction of this now, to not prove it, but large numbers of groups of scientists in various places. to establish the scientific parameters: Why is it working? White: Oh, yes. And then, in Russia, they've done different What happens in the surface of the palladium? What are kind of experiments, but they have shown similar solid state quantum reactions? What is the loading? What is the science fusion taking place, and producing different kinds of particles of this? And it's a much more broad-based, serious scientific as a result. They have one experiment with tungsten and effort that's going on now. And, Ofcourse , there were very bronze, which is very exciting, where they load it, and all exciting, odd things that occurred. ffhereare people who say kinds of similar but different experiments have also been they can get it, not with heavy w�ter, but with light water, going on. In China, they've done experiments showing neu­ using nickel. tron emissions and helium-4. But in Japan they have had several people who have Gallagher: Have the establishment magazines and so forth gotten excess heat-but not all with the Takahashi configu­ stopped denying that cold fusion results occur? Or are you ration. People are doing their own experiments and broaden­ saying that any competent scientist now looking at this can ing the field. say, "It's been confirmed." I White: The hegemonic view is still that it's not confirmed, Gallagher: Here you are with another scientist [not shown but there's a lot of disquiet, becalltse the Japanese have put here]. Who is that? so much resource into it. So, you'� got the New York Times, White: This is Dr. Okomoto. He was a co-chairman with which covered it in their scienc� review, and they said, Ikegami, whose picture you saw before, as co-chairman of "Well, y'know, the Japanese are' doing it. Hmm." Or the the Third International Conference on Cold Fusion, which Wall Street Journal covered it, and said, "Hmm." And there was held in October in Nagoya, Japan. was a spread in the Financial nines in England, in which they said, we think that England: and America missed the Gallagher: What was the change between the second con­ boat. So, there's beginning to be �eal nervousness, which is ference, the one in Como, and the third conference in being covered in the following way: They're saying, "Well Nagoya? look, the Japanese are energy-sh

EIR March 19, 1993 Sdience & Technology 27 Japanese edition. And in their local Japanese page, they gave Gallagher: That brings up anQther question. Do the experi­ a big spread last spring to Takahashi. In the United States, menters that you have intervi(:jwed and talked with and so in the English-language edition, it did not appear. forth, the public knows the name "cold fusion," but do they consider that they understand that this is fusion? Or are they Gallagher: If these experiments are further developed, what still open to other explanationsT are the technological possibilities? White: Well, there are manY l people with many different White: Fleischmann and Pons are getting power densities explanations: Some people fee' that neutrons are travelling of about 4 kilowatts (kW) per cm3, which is on the same level from the deuterium into the pa/lladium, or into the lithium, as the breeder nuclear reactor. They're doing it for less than and that you have a neutron transfer reaction, which is not a a half-hour; they don't have a prolonged bum. But the advan­ real fusion, but is a nuclear reaqtion. tage of the cold fusion reaction appears that you get very little There is undoubtedly an interaction between the lattice contamination, you get much, much more heat than neutron structure of the metal , the cl}jstal lattice structure and its flux or tritium, which is what you want, because you don't vibrations, and the implanted d¢uterium atoms. want the tritium and you don't want the neutrons. The same I things that make it a terrificscientific puzzle-why don't you Gallagher: Can you explain? )'ou have a metal lattice and get the radioactive contaminants?-is really a very big plus its vibrations. What metal are ypu talking about? from the point of view of a realizable technology. So, they White: Palladium. believe that they could make some form of boiler out of this, Every metal has a structur�; it's a solid, and that solid and therefore, that you could have small generators; andyou structure vibrates and has a kind! of vibrational motion. There could have localized power generation possibly. They see are many theories that sugges� that that creates a climate that as a potentially feasible thing in three, five, or ten years, favorable to allow fusion to t$e place, even though you that you would get some demonstration capability like that. would not normally think that iqcould occur. It's possible that it could also be used for desalination, i but we haven't established that. It's simply the hope, that we Gallagher: It's vibrating unde1r conditions where it is the would have this very controllable, very inexpensivegenera­ negative pole? i tor; and you could have relative decentralization of your generation, so that you wouldn't have to have the overhead of the power-transmitting lines-you wouldn't have to transmit over such huge areas. Obviously, if we could do it, we could begin to use fusion power technologically for generation. Cold fusion, cpurage, and And, of course, if we can establish what's going on, then a passion for who knows what we could do? You don't really want to boil 1iruth water and run a turbine to generate electricity; it would be I much better if you could get positive and negative currents In September 1992 , 21st Cent/.Iryeditor Carol White inter­ generated from the cells, so that you could capture it, and viewed Martin Fleischmann land Giuliano Preparata in make your energy directly. But, whether that's a possibility, southern France. The fo llo}ying is excerpted fr om that we're nowhere near that at this point. interview in the Winter 1992 fssue of 21st Century. But, you're just at the very beginning of a whole new i branch of science, and we don't know what that's going to Fleischmann ... remarked I rather wryly on the moral tell us. We don't know what it'll tell us about materials, and predicament that his and StaIlley Pons's discovery of this maybe many different things will come from it that we don't extraordinary phenomenon hfld createdfor them. "If this even consider today, just as with lasers or transistors, or any had just been some normal sc,ence and I had so much flak other new, unfolding branch. thrown at me, I might well h*ve given it up," he said. "It Let me say that the implications of cold fusion are much just was not worthwhile to talj:ethat amount of abuse. But bigger than superconducting, even high-temperature super­ this is not a normal piece of Science. If it turns out to be conducting, or transistors, or semiconductors. If we can't useful, it will be of such cOl1sequence that it cannot be unleash the energy of the nucleus in this safe way- regarded as normal science. Therefore, it brings in its train the antagonism, and the political element, and all of the Gallagher: Such an easy way- other factors that have so bed�viled us. But Stan Pons and White: It's enormous. It's an enormous potential. There­ I decided that we could not ba�k down, that to do so would fore, it's worth whatever the risk to see what's happening. be irresponsible." ! And if it turns out that this is some unique chemistry, or Preparata interrupted to utiderscorethe importance of unique electronic effect thatno one had known before, but not courage to a scientist-to bel willing to stand up for the nuclear fusion, it's still going to be a tremendous discovery.

28 Science & Technology EIR March 19, 1993 White: Well, no. Inside the palladium, which is thenegative unique to the experiment. The study, of hydrogen and its flow electrode, is where you would be getting some kind of an in palladium has gone on since t�e 1920s, and there are oscillation, which would encourage the possibility of the many people who worked on that: IPaneth, Alfred Coen in deuterium to be accelerated and fused together; so, you get Germany, and there have been many studies of that. some form of collective interaction of the host metal, the palladium, which creates electron clouds and somehow ac­ Gallagher: And is it this which mattesthe cold fusion occur? celerates these nuclei of hydrogen, the deuterium nuclei, in this packing of the deuterium insid� this? is this what leads such a way that they can come together and mesh. Or maybe, to excess heat, and so forth? ! they're in clusters and they come together in some geometri­ White: I believe so. I believe that what actually occurs is cal way to actually have a nuclear interaction. that, in the surface of the palladium is where the activity But what that nuclear interaction is, is a very big question, happens, or at least, where a lot oflthe activity goes on in a and there are many different theories of that. surface layer, or near-s urface layer, �here you get verydense concentrations. And it's in these dense concentrations that Gallagher: You are talking about a context in which deuteri­ the initial fusion is, at least, or the iinitial nuclear reactions, um-this is a gas-is getting inside a metal-palladium­ take place. Then, you may have diffusion into the center of and apparently a great deal of the deuterium is getting inside the volume of the palladium, or-ifs not really clearwha t's the metal. Is that unique? In other words, the absorptionof occurring. a largeamount of gas into a metal, is this a fieldof chemistry? Is this unique to these materials? Or is this something these Gallagher: There have been reportsof explosions of one or people were working on before that? two of these experiments. Are th¢y characterized by very White: People were working on the absorption of deuterium rapidly increasing amounts of enerty and heat? in palladium, for example, to build detectors for nuclear White: There was one. You're talking about the explosion reactors. Also, palladium can simply be used to store hydro­ that killed Dr. Andrew Riley on Jan. 2, at SRI last year. But gen. Working with deuterium in palladium is something that it was not a mini-bomb explosion. possibly, you got a lot of people have done for other reasons; it wasn't something excess heat from fusion taking ,lace, but the explosion

truth no matter what the opposition. He pointed to the cated patchwork in which an incorr�cttheory is "fixedup" situation of Pons, who had been the chairman of the rather than discarded and replaced by a more truthful, Chemistry Department at the University of Utah, but had more comprehensive theory. He s�ted, "In the end you his tenure removed after the attacks on him and Fleisch­ always have to go back to Plato, �nd really this is how mann from the press and the majority of the scientific science most efficiently answers the question of 'how,' community. by understanding 'why.' The universe is governed by Laughing, Fleischmann responded: "Yes, that is per­ reason and simplicity. If we think itis complicated, almost fectly true that Stan and I were courageous, but I did have certainly we are wrong ...... : the good sense to make the announcement about cold In other words, the question of "why or what if' leads fusion after I had retired. I had no illusions about the kind in the finalanaly sis to the most fUl�damental questions of of attack we would face. Stanley Pons and I discussed the the creation, the possibility of th€! very existence of the kind of problems that could emerge, and I asked him, universe as we know it. If it were, not for constants such 'Stan, are you really sure at this stage in your career that as the fine structure constant and the speed of light, then you can take this on, because it is going to be bad,' and our universe would not exist. he said, 'yes.' .. For Preparata, this is a questi

EIR March 19, 1993 Sc�ence & Technology 29 occurred, because it was a closed cell, and the pressure you don't have to excite the' electrons and then have them wasn't vented , and it went up too rapidly. The recombiner, release simultaneously or sdquentially, but that you get a which is ground platinum and carbon, which allows the kind of lasing effect, which lie calls "superradiance," in the recombination of hydrogen and oxygen to be going on all palladium. It is that superradiant effect, which is caused by the time, had stopped working; so, what you got, is an very small electromagnetic rakIiation fields, which is actually explosive combination of hydrogen and oxygen, and an creating the conditions for cbld fusion to occur. explosion of hydrogen-oxygen recombination shattered the I cell and a piece of shrapnel penetrated his forehead and he Gallagher: In other words ,I like a laser which does not died. require a great amount of energy to get it going. White: Right. He has wor1l:ed to develop a theory with Gallagher: But you are talking about a lot of heat being Martin Fleischmann. In ouri December 1992 issue of the produced in these simple table top experiments. You said it magazine, we have an intclrview with him and Martin was comparable to the density of energy in a breeder reactor. Fleischmann about how they :think that cold fusion is going White: Yes, but the electrodes used are very small-maybe to actually transform the who�e way people look at quantum one one-hundredth of a cubic inch or less. Fleischmann and physics; that what you have ito do is look for this kind of Pons get that; no one else does. They get much less. The collective activation which g.ves you energy enhancement. boiloff that I was talking about with the breeder densities, This is like a second field thet)ry, second quantization. They they were getting 600% more heat output than the energy take off from the work off fnbm the work of Richard Feyn­ input into the electrolysis cell. In SRI, they get, maybe, 20% man, and they are trying to dejveloptheir own theory on that. output compared to the input. Twenty percent is 20%­ I that's non-chemical output heat, but it's not on the scale that Gallagher: What do you think is going to happen next in Pons and Fleischmann get. the experiments in this field'?! We know why. We have many reasons why we think White: I think that there's �oing to be a lot of work in that's the case. McKubre at SRI was testing to see how he exploring what's going on in the solid state, that it's going could get the loading most effectively, and get repeatability to go back into solid state phtysics, and there's going to be of the experiment; so, he was not striving for the high heats, a great deal of diagnostic wotk, and they're going to try to but repeatability under certain parameters which he could find out how plasmas inside splids actually behave. It's just identify : going to open up a whole new' field of research. In that way, What he identified was that, if you added aluminum to it's very exciting. the cell, that would work to create a surface that held the deuterium concentrated into the palladium and enhance the Gallagher: You're talking a�out the deuterium gas inside reaction. So he was doing a great deal of experimental work the solid palladium? with what they call the "loading" of the hydrogen or the White: Yes, but you don't think of it really as a gas-in deuterium into the palladium. It was not an explosion of the that sense, it's not a gas. It's really a plasma inside a solid. sort that Fleischmann and Pons would worry about, when So it's not a gas: A gas outsiclle in the atmosphere does not they do their experiment. have coherent behavior in tIile same way, although I do believe in plasmas you do develop coherent geometries. But, Gallagher: This is, then, like other fundamentally new that's the essential quality of something that happens in the fields, where a large number of experiments of many differ­ solid state, that it's impacted �ogether; and you have to get ent kinds have to be done in order to surround the problem. collective activation. i White: Absolutely. Gallagher: At the same time, are they going to try some Gallagher: Among these people who are doing the experi­ kind of technological demonstration in the future? ments, have they begun to agree at all on theory? White: Well, Martin Fleischmann says that he sees nothing White: No. that stops them yet. He's hOlJing. to do that, and he sees nothing in his way. Gallagher: What are the leading ideas, or who are people, I would like to mention one thing: This is a picture [not other than the experimenters, who are trying to come up shown here] of Eiichi Yamaguchi in Japan, he works for with a totally new physical hypotheses? Nippon Telegraph and Telephne,and behind him is Profes­ White: There is Giuliano Preparata, who writes a good deal sor Tsarev from Russia, who coordinates the program in the for our magazine. He's an Italian, a professor in Italy. He's former Soviet Union. ! a particle physicist, very well known in his field. He believes Yamaguchi loaded an actwkl deuterium gas and a palladi­ that a kind of lasing takes place, only that you don't need a um plate, and he was able to get helium-4 from it, which is population inversion, as you do in a normal laser-that is, a stunning confirmation that a nuclear reaction took place.

30 Science & Technology EIR March 19, 1993 That was the big news at this conference in Nagoya. He is business, but he saw that he wan�ed to end his life giving a solid state physicist, and I think it's a very definitive something to all of humanity, arjd that's why he backed experiment that he did, because he was able to get this Fleischmann and Pons. He saw c�d fusion as a gift that he helium-4, which may be the secret that accounts for the could make to all humanity. I excess heat or one of the secrets as to why we're getting the Fleischmann and Pons knew th¢y'd be pilloried, because excess heat, and we couldn't measure it before , because they were saying something so e*raordinary, but Fleisch­ helium-4 is very hard to measure. mann said, "I couldn't not do it.! It was too important. I knew I was going to take it on the! chin, but I had to do it." Gallagher: Other than the fact that there is not a theory to explain what's going on, what else do you think accounts Gallagher: And Mr. Toyoda was the one who came to their for the extraordinary resistance-one would almost say, rescue. downright insistence that this was a fraud, in 1990-91? White: He came to their rescue lind supported the effort. White: I think that, from the days when President Kennedy He just died in December: I thipk he was a wonderful, said we Americans were going to put a man on the Moon, wonderful man. and the whole country was mobilized in that effort, we have Hideo Ikegami, Kukujiro Naqlba, who is the president gotten to a position in which there is a priesthood who control of Technova, which was the cotporation that is actually science, who are scrambling to get any money to continue sponsoring Fleischmann and Pon� . These are people with their researches. And this priesthood has become sort of great vision-Ed Storms, who's working against opposition embattled, and they're seeing only the maintenance of their in Los Alamos; Mike McKubre; J�hn Bockris. I mean, each position, that they can work as scientists in any way, in a of these are individuals whom our! grandchildren, our great­ very hostile environment. grandchildren will remember with! great pride and will won­ And the general public has become against science; they der what kind of a nation we we"e, and what happened to have become yuppies and they want immediate gratification, us, that these people weren't b�ng celebrated, but were and you've got the idea of pleasure being primary-the being castigated.

"Dallas" mentality-in place of a culture in which people I believe that life is about working and accomplishing some­ Gallagher: What is 21 st Century doing next in this field? thing, and building for the future . From when we had a work White: I'm going to write up ti!le implications of all the ethic in this country and a sense of pride in science and experiments from the point of view of where it's going to accomplishment, you have a general population-now suf­ go in solid state physics, and whtfre I think the direction of fering an economic depression, so they're getting kind of the work over the next year will �e in our April issue .... enraged-but who believe their birthright is pleasure and We cover a broad array of scienqe-biology and we're on not accomplishment. the scientific frontiers in many a�eas. You have children being raised in the most pessimistic way possible to believe that man is the enemy of the planet, Gallagher: Your objective with the magazine, by bringing and science is the enemy of life. together these scientists in print l¢d getting their work out, I totally reject that. I think all true scientists reject that, is to get this breakthrough madf in theory as well as in because they see what could be more beautiful for man than science, which obviously has to be made. to understand the creation, to understand the universe, to White: Well, I think my efforts alre modest in sharing infor­ understand the earth, to make it more beautiful; to provide, mation, insofar as I can help i� the organization of the in a beautiful, safe , non-polluted way-as cold fusion can, internationaleffort; but, my main �ope is to create for people perhaps, do--enough energy, enough resources to support in the United States, Europe, and :Japan who read our maga­ all children to become whatever they want to be; and so that zine, a renewed excitement, so that they can follow this. you don't have starvation in Africa, or war and the kind of It's a spiritual adventure! You're doing something that's horror that we're seeing all around the globe. totally new, totally against what wople would have expected I think people are getting pessimistic, and they're getting from the point of view of existing theory; it's unknown; it's narrow in their vision, and they've lost hope; and therefore, risky; it's tremendously exciting; and we have the chance of it has been easy to organize a climate against this magnificent watching it day by day. It's as if �ou were there in Einstein's discovery. And instead of saying, even if proved wrong in brain when he was thinking about special relativity: It's a the end, it was absolutely worth the effort. I believe it's a tremendous, great moment! And we have the chance to have monument to the human spirit that this has been done. a window on it, because we know all these people. Americans are always saying, "Japan: They stole this, I think if Americans, if Eunopeans, if everybody im­ they did that," but in Japan, you had some people with mersed themselves in this, then we would see a transforma­ extraordinary vision-Mr. Toyoda. He said in a beautiful tion in their attitude about what we can do, what we accom­ speech [see EIR , Dec. 11, 1992, p. 20], that Toyota was a plish, what we can build. I beli�ve in optimism.

EIR March 19, 1993 S¢ience & Technology 31 TIillFeat ure

i JudicialcoITbpti on: It didn't end 'With J. EdgarHoover by Jeffrey Steinberg

Calls for a clean out of the u. S. judiciary system arel growing by the day, from many different parts of the political spectrum. Last autumn, the Washington Post ran a six-part series cataloguing a horrifying patternoflprosecutorial abuses by the Department of Justice (DOJ) and its chief investigatiye arm, the Federal Bureau of Investigation. The Post was joined shortly after �e Clinton inauguration by Time magazine, which ran a four-page story warning the new President that his greatest challenge would be reform of the Justice I)epartment and FBI. Such ideologically diverse publications as Forbes and Mother Jones magazines have joined the drumbeat with recent cover stories; and R�p. Jack Brooks (D-Tex.), chairman of the powerful House Judiciary CommitteeJ has mooted the creation of a congressional select committee to probe corruption inithe federal judicial system. An ongoing probe of the Justice Department's h&ndling of the Inslaw case, involving DOJ trickery, fraud, and deceit leading to �e bankrupting of a small Washington computer firm, could lead to the appomtment of an independent counsel to look into that scandal further. And, most important, Congress and the Executive branch are being inundated with calls and letters from the United States and abroad, demanding a reversal of the judicial railroad of political economist Lyndon LaRouche, carried out on orders of the Bush White House over four years ago. �aRouche is now in his fifth year of a 15-year federal prison sentence, on totally invented conspiracy charges. Over at the J. Edgar Hoover Building in Washipgton, D.C., FBI director William Sessions is facing an internalrevolt , led by old-time Hooverites, who are reportedly furious about-among other things-his support for black and Hispanic agents battling against Bureau discrimination. On the eve of the presidential elections, Sessions earned the wrath of President BUsh and Attorney General William Barr, for probing a DOJ coverup of the Bapca Nazionale del Lavoro (BNL) banking scandal, to conceal U.S. and Italian government high-level collu­ sion in the secret arming of Iraq. Barr counterattacked against Sessions by dredging

32 Feature EIR March 19, 1993 J. Edgar Hoover and his homosexual lover Clyde Tolson (left), the deputydirector of the FBI, live it up at lVl(ilnn.2CUiln Year's Eve, 1936, with model Luisa Stuart. Later, she was shocked to see them holding hands in a limousine. hobnobbed openly with the leading lights of organized crime.

up a string of petty allegations about personal corruption by against the Hoovers of the future . " the FBI boss and his senior aides, based largely on leaks from Bureau "old boys" out to regain control over "The House 'Official and confidential' That Hoover Built. " President Clinton is now faced with the The source of many of the reve�ations, is a just-published decision whether or not to fire Sessions, who is midway biography of 1. Edgar Hoover by British investigative jour­ l through a lO-year appointment. nalist Anthony Summers . Summe s spent over four years In the midst of this swirl of corruption charges, new gathering the material for Offi cial nd Confidential: The Se­ revelations about the FBI's legendary former director, John cret Life of 1. Edgar Hoover (New York: G.P. Putnam's Edgar Hoover, have surfaced, providing a crucial framework Sons, 1993). The book is a damni g indictment of Hoover for understanding how it was possible that the federal govern­ and the entire FBI. It reveals that the federal agency responsi­ ment's judicial and police functions could fall into such a ble for combatting organized crimJ was led for 48 years by state of malaise. Twenty-one years after Hoover's death, a a man deeply tied to Meyer Lansky, the chairman of the small army of eyewitnesses has at long last come forward to board of the National Crime Syndicate. Hoover's marriage recount horror stories about the FBI under Hoover. Thou­ to the mob afforded him access fo blackmail material on sands of pages of previously classifieddoc uments have been every top elected official in was�ngton, material he used released under the Freedom of Information Act (FOIA), cor­ frequently and ruthlessly. Yet Hoover himself was addicted roborating much of the eyewitness reporting. to gambling and was a notorious omosexual. Photographs The Boston Globe, in an editorial published on Feb. 9 and other evidence of Hoover' s se�ual escapades were in the (the day that the Public Broadcasting Service televised an files of Meyer Lansky, the Office of Strategic Services hour-long documentary about the Hoover era) , appropriately (ass), and its postwar successor; the CIA. warned its readers against thinking that the Hoover expose Although Summers does not prdvide any direct documen­ was a matter of history: "The demystifying of Hoover should tation, it is impossible to conceive that the Soviet intelligence not be classified as an academic history lesson. It also offers services were not equally aware oflHoover's obscene sexual a political moral . The better Americans understand how this and gambling appetites . The implications of such Soviet ac­ crime fighter of legend was really a pawn of organized crime, cess to the "Hoover File" ShOUld) force a reassessment of the devoted civil servant a blackmailer ofel ected Presidents , some of the most significantevent of the Cold War. the chief defender against subversion the ultimate subver­ The picture that emerges from tt e Hoover story is a trage­ sive , the better they will know how to guard themselves dy . Presidents, senators, and congressmen were ruled for

EIR March 19, 1993 Feature 33 decades by fear and extortion. Some of the most profound of all the evidence now publ�ly available, to presume that decisions affecting the future of the United States were made, Hoover was solely responsibld for those three tragic murders , not on the basis of principles or the merits of argument, but the vital role of the Hoover FIllin covering up the assassina­ were based upon secret police methods of coercion. tions was so important, that it �s hard to conceive that he was There is a strong implication in the Summers book that, not at least a major player in �etting up the executions in the when the traditional blackmail and extortion methods did not firstpla ce. ; work, Hoover had no qualms about resorting to murder. Hoover's personal attitud� toward the Kennedy brothers Hoover's power struggle with the Kennedy brothers , John and Martin Luther King was cjlemonstrated by the director's and Robert, was resolved only by assassins' bullets. An even itinerary the days after Johni Kennedy and Martin Luther stronger case is made by Summers that Hoover was in some King were shot: He went to �e race track, arm-in-arm with way involved in the assassination of civil rights leader Dr. his sometime homosexual lover, FBI Deputy Director Clyde Martin Luther King, Jr. While it would be foolish, in light Tolson. !i I

, i about what Hoover had in ijs files. Later, during the Summers: Dismantlethe Watergate probes, investigators were told there had been blackmail plans to break into Hoover's �ome before he died-per­ FBI's files haps even to murder the man. �e morning Hoover died, when the undertakers arrived ,I they found men swarming Author Anthony Summers released the fo llowing com­ through his house, ransackint the place. Hours earlier, ments on his probe of J. Edgar Hoover on Feb. 16: according to neighbors , two tPen were seen removing a heavy load wrapped in a q�ilt. Someone, c::vidently, Readers will be appalled, first, to discover for themselves thought the director had squirreled away some of his se­ that Hoover's abuses were every bit as bad as his critics crets at home. Meanwhile, despite orders to seal his office, claimed. And once they take that on board , I think it will many files were spirited away from FBI headquarters be­ dawn on them that, for decade after decade, this man fore Nixon's new acting director could get to them. Some succeeded in pulling the wool over the eyes of the Ameri­ were destroyed by Hoover's! longtime assistant Helen can people. They will realize the leading role he played Gandy. Others were reportedly kept by his aide and lover in using the threat of Communism within the United Clyde Tolson, and retrieved by the FBI when he in tum States-a threat which even he came to dismiss in pri­ died. vate-to keep the nation in a state of panic. This was a pervasive fe ar, one which distorts American political life The lesson to be learne� to this day . Readers will realize too that the man who held A congressional inquiry failed to find out for sure himself up as a God-fearing standard-bearer of morality, what happened to the secret �d sensitive files that were democracy and the American Way was in reality the very removed from headquarters . iI suspect most were de­ opposite-a hypocritical, corrupt man who institutional­ stroyed. But there's no doubt tIp.at the massive file systems ized the suppression of essential freedoms .... still maintained at the FBI contllin information that should Hoover was able to pressure Presidents and make them never have been collected in a, democratic society. Some aware of his power in such a way that even when they want­ of it would probably harm pr(lminent people still alive, ed to remove him, they couldn't ....Hoover created his and certainly there is data that could smear the memory own massive propaganda department at the Bureau, build­ of revered politicians now dead. It is small consolation ing himself up, through the '30s and '40s, as a national that much of the information the FBI gathered was base­ figure. As one President after another discovered, you less gossip. I would second the call Anthony Lewis made can't just tum around and firea national icon. More impor­ in the New York Times recentl)!,that the Clinton adminis­ tantly, Hoover became an asset to those in power. Every tration should promptly force all agencies to disgorge their President from Roosevelt to Nixon-Eisenhower came files on American citizens on request of the citizens in­ closest to being the honorable exception-used the FBI volved. This should be the case anyway-had the Reagan in ways that, if known at the time, would have seemed and Bush administration not castrated the Freedom of unacceptable to most citizens. By doing so , those leaders Information Act. Finally, and, most important, we must essentially delivered themselves into Hoover's hands . . . . show that the lesson of Hooverls abuses has been learned. Newly released White House tapes show that the Nix­ We should prohibit the inves�igation of Americans be­ on administration had been worrying-panicking even- cause of their beliefs or associ�tions.

34 Feature EIR March 19, 1993 The anal-sadistic personality The strongest feature of Summers's biography of Hoover is the deep insight it provides into the director's personality, largely through the eyewitness accounts of people who were integral to Hoover's career and private life. Born in 1895 and raised in Washington, D.C., Hoover was the youngest of four children of Anna and Dickerson Hoover. His mother was from a well-to-do Swiss Calvinist family. His father was a government printmaker who had a mental breakdown during World War I and spent much of the rest of his life in and out of mental institutions. He died of his mental illness in 1921, and Hoover never discussed his father, not even with his most intimate associates. Hoover got his first job at the Department of Justice through family connections (his mother's cousin was a top OOJ attorney, soon to be appointed to a federal judgeship). Hoover's first substantive work involved the pursuit of aliens, particularly German aliens. It was the eve of the Red Scares and the Palmer Raids of the early 1920s. Hoover's FBI man "Fearless Fuzzdick" was zealous pursuit of aliens earnedhim a job with the FBI. His series published in New Solidarity ''''�r''VIUlJeT. personal role in the 1919-20 Palmer Raids positioned him to down by the fe deral government in an 1··iTirvo/'um'arv win the directorship in May 1924. action in 1987�later ruled illegal. Forty-eight years later, Hoover was still the FBI director, despite widespread belief throughout. official Washington that he had become completely senile. Nearly deranged and a sworn.statement to Anthony Susan Rosensteil prone to rambling diatribesabout the "commie menace" and described two separate instances which she was present at the sex lives of prominent Washingtonians, Hoover neverthe­ parties at the Plaza Hotel in New 'York City, where Hoover less remained in office. The key to his power was the private dressed in women's clothes and e�gaged in homosexual acts blackmail files he maintained on the nation's most powerful with young men. I figures. The second incident describe� by Mrs. Rosensteil was The night that Hoover died, his closest aides showed up particularly noteworthy: "A year later, according to Susan, at his home and at his officeand carted off truckloads of those Rosensteil asked her to accompany him to the Plaza again. secret smut files. Their continued existence assured that the She agreed, in return for an expensive pair of earrings from Hoover legacy would survive, even after the director himself Harry Winston's, and the procedure was the same as on the was laid in the ground. previous occasion. Cohn ushered! them into a suite to find Through scores of interviews with longtime friends and Edgar, again attired in female finery. His clothing this time enemies of the director, Summers established beyond a doubt was even more outlandish. 'He hjad a red dress on,' Susan that J. Edgar Hoover was a very particular brand of homosex­ recalled, 'and a black feather bo� around his neck. He was ual: the kind that in public maintained a fanatically puritani­ dressed like an old flapper, like you see on old tintypes. cal code of morality and conducted brutal purges of suspected " 'After about half an hour, some boys came, like before. homosexuals in the government, while in private engaging This time they're dressed in leathet. And Hoover had a Bible. in the most degrading and obscene acts. He wanted one of the boys to re�d from the Bible. And he One principal source of this information used by Sum­ read, I forget which passage, and I the other boy played with mers was Susan Rosensteil, the wife of Lansky syndicate him, wearing rubber gloves. And then Hoover grabbed the operative Louis Rosensteil. A Prohibition-era bootlegger, Bible, threw it down and told the second boy to join in the Rosensteil used his ill-gotten gains to found Schenley's Li­ sex.' " quor Company. Despite his nominally legitimate business The incident described by Susan Rosensteil took place in ventures, Rosensteil remained a front-man for the Lansky 1959, at the very height of Hoovet's power. Just a few years Syndicate, laundering black market money and handling the earlier, Hoover had been initiated into the 33rd degree of illegal bookmaking for some of America's power elite. Ac­ the Southern Jurisdiction Scottish Rite Freemasonic Lodge. cording to his widow, Rosensteil was J. Edgar Hoover's Hoover had been a Mason since the early 1920s, and many bookie. He, along with former Joe McCarthy aide and mob of his most trusted hands at the aureau were also members lawyer Roy Cohn, was also Hoover's pimp. of the secret society. In a televised interview with PBS's "Frontline" and in Louis Rosensteil was more th;mjust a pimp and a bookie

ElK March 19, 1993 Feature 35 Mar, sitting in a VIP box at the finishline . The owner of the box was the head of the Matta hine Society, one of the first homosexual organizations in America, founded by members of the Communist Party U.S.A. All of the regulars at Del Mar knew that anyone sitting lin that box was a "fairy"­ to use the terminology of the (lay. The Soviet intelligence services and the FBI coexistedl inside the Communist Party and, according to some historians of the Cold War, used the CPUSA as a back channel for ibtelligence collusion. In other words, even thoug� Hoover's exploits were kept from the general public until long after his death in May 1972, his homosexuality , his pi otection of the mob, and his blackmailing of public official were all well known among members of the establishment, lEast and West. To presume, as Summers does, that the key to the Hoover file was his blackmail by organized crime I is to miss the fundamental nature of the beast. Hoover was installed in po er at the point that the United States was falling under the dOIpinationof an Anglo-Ameri­ can oligarchical cabal, out to verturn everything positive that the United States had once stood for. The creation of the I FBI, like the creation of the Federal Reserve System and the Anti-Defamation League of B'nai B'rith, all at the same time, signaled the consolidatio of enormous power by this faction. J. Edgar Hoover was groomedI and elevated into the FBI A rally in support of Sen. Harrison Williams (D-N.J.), victim of director's job because of his 0 I scene profile. He shaped an the Justice Department's Operation Abscam, in March 1982 . Williams was subject to an FBI "sting,"framed up, and driven institution around that profile, d the institution carried for­ from offi ce. Lyndon LaRouche called this the beginning of the end ward that profile after Hoover's own demise. of representative self-government in America. We told you so In 1979, when the Carter administration Justice Depart­ for Hoover. So intimate were the two men, that Hoover ment and FBI launched Operati ns Abscam and Brilab , Lyn­ deployed his chief FBI publicist, Lou Nichols, to work for don LaRouche warnedthat this ras the beginning of the end Schenley's as vice president in charge of public relations. of representative self-governmynt in the United States. He Rosensteil also set up the J. Edgar Hoover Foundation, and called upon Congress and the labor movement to stand up it was the foundation that financed the building of a memorial and resist the blackmail and fralneups by the federal police. room to honor Hoover at the Scottish Rite Temple a few They did not do so. blocks from the White House . Earlier, in the mid-1970s, aRouche and his associates had mocked the FBI and Hoov I r in a series of political car­ What Summers overlooks toons recounting the tales of a ythical FBI man, "Fearless On many occasions during Hoover's 48 years at the helm Fuzzdick." In several of the c oon strips, FBI men were of the FBI, victims of his wrath drew the parallel between portrayed as transvestites. Hoover's FBI, Hitler's Gestapo, and Stalin's NKVD. His Neither LaRouche nor any of his associates had been personality was certainly that of a Heinrich Himmler or a enlightened by Susan Rosenstei� or any of the other witnesses Lavrenti Beria. to the Hoover drag shows. It as self-evident in the nature i Hoover was a known entity. His homosexuality was the of the FBI's political operations that as individuals, the top worst kept secret in America. Every winter, he and Clyde FBI people were depraved. Tolson vacationed at the southern California resort hotel of The Summers book does an admirable job of document­ Texas oilmen Clint Murchison and Sid Richardson. They ing that depravity. What remaips to be seen is whether the hobnobbed openly with well-known gangsters . The Lansky Congress, the White House, a�dI the American people will Syndicate covered all of Hoover's horse track bets. When he draw the lessons of the secret life of J. Edgar Hoover, and won, they paid him off, and when he lost, they "forgave" his launch a genuine effort to restdre the Constitution and dis­ l debts. Hoover and Tolson attended the horse races at Del mantle the police-state apparatu .

36 Feature EIR March 19, 1993 , allie4with Strangebedf ellows: FBI thecomm unistsaga inst L�uche by Edward Spannaus

Unique insight into the real nature of J. Edgar Hoover's FBI of Teachers in the 1968 New Yorkj teachers' strike: is provided by looking at the role of the Bureau in operations "To take advantage of the abo�e situation, the NYO [NY against Lyndon LaRouche and his associates dating back as office of the FBI] is preparing a le�fletwhich will be submit­ early as 1968. There is a continuity between the operations ted to the Bureau for Approval." I against LaRouche in the Hoover days, and those leading up A June 30, 1969 FBI "Mem�randum to the Director" to the events in the 1980s which resulted in LaRouche's stated: illegal and unjust imprisonment. The seeds ofthe more recent "During the period 5/1-5/69, n anonymous leaflet enti- efforts to kill or jail LaRouche were planted in 1968-69, and tled 'The Mouse Crap Revolutio " designed to widen the by the late 1960s and early 1970s, such efforts involved the split between the SDS Columbia niversity Chapter and the same players-including the Soviet Union and its collabora­ so-called NY SDS Labor com �:ittee , was mailed to 219 tors, the Anti-Defamation League (ADL), and a lesser but individuals and organizations in t e New Left." significant role played by the New York Times. The "Mouse Crap" leaflet wa� a raving, infantile attack The origins of the National Caucus of Labor Committees on Tony Papert, a prominent lea4er of the Columbia strike (NCLC), the philosophical association founded by and as well a leader of the New Yo�k Labor Committee. After LaRouche, go back to 1966, when LaRouche attracted a calling Papert the "Chief Mousel Crapper" on Columbia's number of student activists by means of an economics class campus for "trying to screw SDS iinto the ground," the FBI applying LaRouche's original breakthroughs in physical leafletproclaimed: i economy to a critique of Karl Marx's Das Kapital. The strate­ "Our Black friends will be surprised to know that Papert gic perspective around which the 1966-68 group was formed and the NY Labor Committee sup�orted the Teacher's Union was that the monetary crises of that period were heading into against Ocean Hill-Brownsville 4uring the last strike! The a general breakdown crisis which would emerge during the UFf owns Papert and his crew. T�y has accused Mark Rudd 1970s, and that this would result in the rise of a new form of busting up his meetings, stomp�ng on his demonstrations, of fascism based upon the practices of Hitler's economics and pissing on his social reform�. Mouse crap! The fact is minister, Hjalmar Schacht. that Mark effectively creamed th' Labor Committee's little In 1968, LaRouche deployed his original cadre grouping tea party on March 11th to expo�e Papert's mice for what into the student ferment of that day, particularly the Students they are ...Tony , baby, we s�ggust [sic] you take your for a Democratic Society (SDS), to recruit the best of the Mouse Crap elsewhere. Go swap �pit with your hero, Albert student radicals into the new political cadre force, which was Shanker of the UFf. . . . As for the rest of the socalled NY

to become the NCLC. The FBI's firstdocumented interven­ SDS Labor Committee, we say . I' • LOOK OUT" tion came in 1968-69, after the LaRouche grouping formed I regional "Labor Committees" within SDS, and identifiedthe FBI defends the Commun�st Party Mark Rudd anarchist and proto-terrorist grouping as a fascist In the early 1970s, the NCLq concentrated its efforts in upsurge, resembling the radical ferment around Mussolini in two areas . The first was buildin$ up a private intelligence 1920s Italy. The Rudd group did soon emerge as the "Weath­ capability, created immediately �ollowing the August 1971 erman" terrorists. collapse of the postwar Bretton IWoods monetary system, FBI "Cointelpro" files obtained under the Freedom of which led to the creation of N�w Solidarity International Information Act (FOIA) show that by October 1968, the FBI Press Service and EIR in 1974.1 The second area was the was already attempting to intervene into the SDS factional effort to prevent a growing cla�h between employed and disputes. A Jan. 7, 1969 FBI memorandum from the "Special unemployed, through the creati�n of the National Unem­ Agent in Charge, NY to Director" discussed the split within ployed and Welfare Rights Org�nization (NUWRO). This the New York Regional SDS Labor Committee and the al­ area of organizing took the NCLq into direct FBI strongholds leged "expulsion" of the Labor Committee from SDS because in the labor movement and the! so-called political "left," of the Labor Committee's support of the United Federation which dominated the labor mov ment and whose influence � EIR March 19, 1993 Feature 37 the NCLC had detennined to crush. NCLC and all of its activities.; A discussion with the New Not so surprisingly, when the NCLC came into head­ York NCLC case agent indicates that it is felt if the subject on confrontation-sometimesbloody-with the Communist was no longer in control of NCI;.Coperations that the NCLC Party U.S.A., this upset the FBI's applecart as well, since would fall apart with internal sttife and conflict. " the FBI's Division Five was firmly entrenched as a major Later, in September 1975,! and then again in January factor in the CPUSA. 1976, the FBI used an acknowlt'jdgedFB I informant, Grego­ With FBI instigation, the CPUSA tried to disrupt NCLC ry Rose, to launder lying aM defamatory information organizing and attempted to start a race riot at the founding through the Communist Party �wspaper, the Daily World. convention of NUWRO in Philadelphia in March 1973. Im­ From at least May through Octo�er 1975, Rose was officially mediately thereupon the NCLC announced "Operation Mop­ on the FBI payroll, which was: acknowledged in a letter to Up," vowing to eliminate the Communist Party as a political Rose signed by former FBI Director Clarence Kelley. force in the United States. The operations's success resulted Under the 1976 "Levi Guid�lines," the FBI was required in a flurryof direct FBI harassment of NCLC members and to submit a summaryof its investligationto the attorneygener­ a mobilization of FBI assets in the CP to try and discredit the al for review. This review reSiUlted in an Aug. 19, 1976 NCLC among "the left." memorandum fromthe attorney�eneral to then-FBI Director This was the genesis of the "right-wing terrorist" and William Webster. This memoqrndum has to be one of the "CIA" characterizations of the NCLC; these originated with more startling documents in la� enforcement history, for its the FBI and were laundered through the CPUSA. Reading principal justificationfo r the FQl's continued investigation between the lines of the FBI's Aesopian Bureau-speak, it is of the NCLC was that the NCLC �. attacked the Communist clear how this was done in an 1973 Memorandum from Party U.S.A . "SAC, Los Angeles to Director," which disputes an FBI "The actions taken to accomplish the NCLC' s short-term communication characterizing the NCLC as an "ultra-left" goals, that is, of breaking-up Cqmmunist Partyand Socialist organization. After quoting from an article in the CPUSA Workers Party meetings, assaUlting their members, and newspaper the Daily World (formerly the Daily Worker), the forced 'reprogramming' ofits o n members, do involve force memo went on: and violence. The force and violence'.'! as used tends to deprive "According to [name deleted] ... a source close to the victims of those actions of their civil rights.... While Southern California District, Communist Party (SCDCP) certain activities of the Communist Party and other like groups leadership, the functionaries of the SCDCP look upon the are proscribed by statute, such *ctivities are typically inter­ NCLC as a 'terrorist' group with right-wing connections. twined with other acts which clj.n be protected exercises of "It would seem this group has created a facade to cloak political activity. In either cas�, however, decisions as to its true purpose as a goon squad to combat the left." which are legitimate and which atenot is not a decision for the An FBI memo from "SAC, San Francisco" dated Sept. National Caucus of Labor Conunittees, and that group is in 7, 1974 contains the following comment: no way authorized to take suchl actions against its political "Representatives fromvarious left wing groups and radi­ opponents. cals in the San Francisco Bay area are in agreement in their ". . . these incidents have a Fater purpose . . . the vio­ opposition to the NCLC. They feel the NCLC is some kind lence employed against individ�s has the long-termaim of of a front either for the local police or the CIA." overthrowof the government. Itlis, therefore, appropriate to By 1973, according to FBI reports, the CPUSA was ac­ consider such acts in an 'overthrPw'context ...." tively discussing the assassination of LaRouche. Despite the I fact that the FBI was well aware of this, the Bureau officially Protecting the KGB's American assets scoffed at evidence of assassination operations aimed at The FBI's protection of the qPUSA was only one facet of LaRouche in January 1974 and at later dates. The following the Bureau's close collaboration with the "left" against the is froma November 23, 1973 FBI memo: NCLC. The Bureau also worked closely with the Socialist "TO: DIRECTOR, FBI International grouping in the U.S. labor movement, both "FROM: SAC, NEW YORK around the AFL-CIO and the UqitedAuto Workers (UA W). "SUBJECT: LYNDON HERMYLE LAROUCHE, JR. The most prominent channel intQ the FBI was the League for "[Line deleted] information has been received that the Industrial Democracy (LID), the priginaloffs hoot of the Brit­ CPUSA is conducting an extensive background investigation ish Fabian Society in the United S�ates, and the initiatingorga­ on the subject for the purpose of ultimately eliminating him nization for the founding of SDS in 1960, which by the end of and the threat of the NCLC, on CP operations. [Deleted] the decade had spawned the terr�rist Weathermen faction. have furnishedthis information to the New York office, and The section of the U. S. labor movement with which the this information has appeared in the Daily World newspaper FBI collaborated most closely a�ainst the NCLC in the mid- several times. 1970s, was the Jay Lovestone arouping, the "Comintern's "[Deleted] the subject is the controlling force behind the anti-communist section." BefoI"C! participating in the found-

38 Feature EIR March 19, 1993 ing of the CPUSA in the early 1920s, Lovestone was head went wild in defense of Jewish gangsters like Meyer Lansky of the LID student group at City College in New York City. and the "Israeli mafia.") After Lovestone' s celebrated break with Stalin in 1929, the The ADL's principal public lile of attack on the NCLC fonner is reported to have remained a top official of Soviet at this time was through the H omefrontnewsletter, run by its intelligence in the westernhemisphere into the 1950s. Love­ asset Charles Baker, who floated to the surface out of the stone's "internationalaff airs" apparat in the AFL-CIO, over­ seamier side of Walter Reuther's 0litical machine. Home­ lapping with the International Ladies Garment Workers front devoted its April and June �975fc issues to the NCLC, Union (ILGWU), has been closely identified with the Meyer and then in June, Baker contactedithe FBI, trying to recycle Lansky organized crime syndicate since the 1920s, especially infonnation peddled to him by FfU infonnant Greg Rose. in the postwar period in Europe. Rose's infonnation became the b�sis for further Homefront articles, which also quoted froIll the Communist Party's The FBI and the ADL Daily World articles, based on Rose's tall tales. The first documented high-level contact from this net­ At the same time, ADL agent Charles Baker drafted a work with the FBI took place in September 1973, when new, private intelligence report 0n the NCLC which was William Ruckelshaus, then the acting deputy attorney gener­ submitted to AFL-CIO officials an

EIR March 19, 1993 Feature 39 Was Me er Lansk the 'best I ' y y man in theADL 's marriage to the,FBI? by Scott Thompson

Over the last fiveyears , EIR investigators have been fighting is inherently unreliable. The evidence used for the purpose for release under the Freedom of Information Act of all FBI of making the classifications was inadequate; the standards files on the Anti-Defamation League of B'nai B'rith-the applied to the evidence for the pUrposeof making the classi­ front for organized crime that masquerades as a Jewish civil fications were defective; and finally, the notion that it is rights group. The thousands of pages that have been released possible to make a valid determination as to how dangerous so far from the FBI's main file on the ADL (FBIHQ 100- a person is in the abstract andi without reference to time, 530) tell a story of decades of collusion between the two. environment, and other relevan. circumstances, is impracti­ The FBI's longtime director, J. Edgar Hoover, kept his close cal, unwise, and dangerous." ties to the ADL "in the closet," rejecting every invitation to In short, the attorneygeneral told Hoover that the ADL's speak before ADL national conventions (every subsequent "fact finding"was gossip to be disregarded. FBI director has willingly taken up the ADL offers). Hoov­ Despite this assessment, Ho�ver ensured that the Bureau er's behind-closed-doors collaboration with the ADL may maintained a regular liaison witih the ADL. After Hoover's have been motivated by the fact that the director was well death on May 2, 1972, the relationship grew until then-FBI aware of the League's extensive ties to both organized crime Director William Webster on Feb. 4, 1985 issued an order and communism. that represented a virtual marriage between the two organiza­ Despite the avoidance of publicity, Hoover was an enthu­ tions. siastic collaborator of the ADL. As early as Sept. 8, 1941, he started to write directives to the effect that Bureau agents Lansky's National Crime Syndicate must maintain contact with the ADL, which was then based One of the questions raised by the new revelations of J. in Chicago. Hoover wrote dozens of letters over the decades Edgar Hoover being blackmailed over his homosexuality by to protect the ADL from those investigating or reporting on mobster Meyer Lansky, is whether Lansky was the hidden the ADL's criminal nature. During the McCarthy period in "best man" in the marriage between the ADL and the FBI. the early 1950s, Hoover praised the ADL's alleged role in As is documented in EIR's book The Ugly Truth About the the fight against communism in his book The Masters of ADL, the ADL's leadership has included many lieutenants

Deceit, when many in the ADL were justifiably under probe of Lansky, who have steered thb group as a protection arm as suspected Soviet agents and fellow travellers. for the Zionist component of th� National Crime Syndicate. The ADL-Lansky links were notorious from the Prohibition 'Unreliable, unwise, and dangerous' era onward. The ADL's bank� Sterling National, which The budding ADL-FBI relationship was given major im­ helped save the ADL from bankruptcy, was founded in 1929 petus before the Japanese attack on Pearl Harbor, when the by one of Meyer Lansky's New York City crime lieutenants, ADL let the FBI make wholesale use of its files on neo­ Frank Erickson, who was a speCialist in money laundering. isolationists, whom the Bureau labeled "subversives." Ac­ Erickson also handled all of Hoover's horse race betting. cording to FBI files, one ADL officialboasted that the League By 1985, when Kenneth Bhtlkin, the attorneyand silent had assisted the FBI in 373 such cases. That particular collu­ partner of fugitive narcotics financierRobert Vesco, became sion was abruptly ended by the attorneygeneral in a July 16, ADL national chairman, the ftJDL-Crime Syndicate links 1943 memorandum to Assistant Attorney General Hugh B. were so public that the League gave its prestigious "Torch of Cox and J. Edgar Hoover. The attorneygeneral wrote: Liberty" prize to Las Vegas "bui;inessman"Morris Barney "After full re-consideration of these individual danger Dalitz. While the FBI maintains the fiction that Dalitz has classifications, I am satisfied that they serve no useful pur­ "gone legit," honest investigatdrs of organized crime have pose ....It is now clear to me that the classification system documented that Dalitz was a lifetime right-hand man of

40 Feature EIR March 19, 1993 Meyer Lansky. Organized crime expert Hank tlfiessick, who wrote bio­ Starting out in the Cleveland Purple Gang, where he ran graphies of ADL patrons Lansky and Dalitz, aptly summed a "Jewish Navy" to smuggle rot-gut whiskey from Canada up the situation with the remark to alPBS interviewer that the into the United States (in partnership with the Bronfman only good thing that J. Edgar Hoover ever did for American family), Dalitz emerged by the 1930s as a privileged partner law enforcement was to drop dead! of Lansky when the latter set up his firstoffshore gambling, narcotics, and money-laundering haven in Cuba. Next, Lan­ Cointelpro and the KKK sky chose Dalitz to take over the lion's share of "Bugsy" Files received from the New Or1eans Regional Field Of­ Siegel's Las Vegas casino interests-interests the ADL fice of the FBI, through the Freedom of Information Act, award-winner still holds today-after the Syndicate decided document that ADL regional director Adolph "Sam" Bot­ to have Siegel assassinated. nick had close ties with Guy Bann,ster, who was a leading FBI files, especially a voluminous file on Dore Schary, member of the Bureau's counterintelligence Division Five. who became ADL national chairman in 1963, show that Bannister gained notoriety when New Orleans District Attor­ Hoover's agents systematically dismissed charges that Scha­ ney Jim Garrison identified him as a close associate of Lee ry was close to Syndicate higher-up Abner "Longie" Zwill­ Harvey Oswald as well as other figures whom Garrison man of New Jersey--even though the files themselves ac­ believed to be part of the team assembled to assassinate Presi­ knowledge that the two had been friends since childhood. In dent John F. Kennedy. Clay Shaw ,ithe man Garrison indict­ fact, experts on organized crime report that Zwillman sent ed for the Kennedy assassination, was closely linked to Ban­ Schary to the West Coast and installed him at Metro Goldwyn nister. Mayer studios, where Schary became the reigning superstar. Although Bannister was officially retired from the FBI According to source reports in FBI files, Schary was close to by the time of the JFK assassinatiolil, he was still considered Zwillman, who was one of the first Lansky aides to get in­ the most important "Bureau man" in New Orleans right up volved in the Hollywood motion picture industry; however, until his death in 1967. His collusiolilwith the ADL's Botnick Schary simultaneously became a confidantof Assistant FBI came in the context of the FBI's now notorious Operation Director Louis B. Nichols. The latter wrote several memos Cointelpro. in 1961 to Hoover's aide Clyde Tolson, which were aimed Cointelpro was a "strategy of tension" that pitted black at protecting Schary from charges that he was a "communist against white, leftagainst right. On� of the dirtiest operations fellow traveller." Instead, Nichols argued that Schary was a that came out of Botnick's collaboration with remnants of "Liberal." Shortly after these Nichols memos, Hoover was Guy Bannister's network came to light in 1970 through an himself writing Schary to thank him for his work on "The expose in the Los Angeles Times. The story recounted a June Hoaxsters," a film thatHoover said "exposes in a most effec­ 30, 1968 ambush in Meridian, MiSSissippi outside the home tive manner the menace of Communism." of ADL official Meyer Davidsoll;. A local schoolteacher, Meanwhile, Schary's patron Zwillman got into trouble Kathy Ainsworth, was killed by police, and a second per­ with the Internal Revenue Service, and on Feb. 27, 1959 he son, Thomas A. Tarrants III, wa$ shot 70 times by 22 FBI was found hanged in the basement of his West Orange, New agents and police, but managed to $urvive. Jersey mansion. Apparently some of his Syndicate associates Tarrants and Ainsworth were Ku Klux Klan members feared Zwillman would cut a deal and talk. During a 1961 who were sent by local KKK leaders Alton Wayne Roberts background check requested by the White House, which was and Raymond Roberts to plant a b�mb at Davidson's home. thinking of giving Schary an appointment, it emerged that What the two would-be bombers �id not know was that the witnesses had seen Schary at Zwillman's funeral. Roberts brothers had just been p�id $69,000 by the New A long report from the FBI's Newark Field Office to the Orleans offfice of the ADL to work as agents provocateurs. director on Schary, dated Aug. 2, 1961, includes a virtual Ainsworth's murder was stage-maIlagedby the ADL, appar­ eulogy for the mobster from a clipping in the New York World ently to put forward Davidson as a hero-victim of a racialist Telegram; the FBI synopsis states: " ...Abner 'Longie' attack upon Jews. Adolph Botni* passed the cash to the Zwillman ...[was] once the perfect underworld czar and Roberts brothers with the full approval of local FBI officials, one who headed a fifty million dollar bootlegging ring in although the Bureau knew that the Roberts brothers were Prohibition days." The Telegram continued: "Nobody ... suspects in 10 terrorist incidents in the previous year. They followed so successfully for so long the approved underworld were under federal indictment for the 1964 murders of three formula for success-from rags to riches to respectability. " civil rights workers, Andrew Goodman, James Chaney, and Although the Kennedy administration finallydecided that Michael Schwerner, in Philadelph,a, Mississippi. The ADL Schary was too tainted for an appointment, the Bureau re­ has been trying to capitalize on their deaths ever since. fused to follow up his ties with Lansky aide Zwillman. Two As a side benefit of the collus.on with the FBI and the years later, in 1963, Dore Schary was elected national chair­ ADL, the Roberts brothers receivFd slap-on-the-wrist sen­ man of the ADL. tences for the Philadelphia murdeI1sand their other terrorist

EIR March 19, 1993 Feature 41 escapades, and they were eventually squirreled away into the tions and political committees !associated with LaRouche. Federal Witness Protection Program. Although the Webster order for Ibcal-by-local ADL-FBI liai­ Throughout the period of Cointelpro, from the 1960s to son was an all-encompassing nlandate, LaRouche was one the mid- 1970s, FBIHQ main file 100-530 shows that the of the primary targets of the new arrangement. League's "Research" and "Fact-Finding" units regularly The text of Webster's airtel ttates that on Jan. 18, 1985, passed inflammatory "intelligence" to the Bureau and other the New York Division of thel FBI initiated contact with law enforcement agencies. For example, the ADL sought to officials at the ADL headquarterJ in that city. These individu­ incite violence against the Black Panther Party, the Nation als, known to include ADL Director Perlmutter, "were ad­ of Islam, and other African-Americangrou ps. vised that any legitimate civil irights allegation should be immediately brought to the attention of the appropriate FBI The railroading of LaRouche Office. . .. It was also established that each FBI Office This obscene collaboration between the FBI and the ADL contact each Regional [ADL] ffice to establish a line of became a virtual marriage after ADL leaders struck an agree­ communication to promptly receive any allegations of civil ment in 1985 with FBI Director William Webster, that joint rights violations. Each receiving [FBI] officeshould contact action should be taken against Lyndon H. LaRouche, Jr. the Regional ADL Director(s) listed in your Division and Actual collaboration as part of the "Get LaRouche" task establish this liaison." force, which resulted in LaRouche being railroaded in Alex­ On Feb. 28, 1986 Swedish Prime Minister Olof Palme andria, Virginia by U.S. Judge Albert V. Bryan, Jr. , none­ was assassinated by a "lone gljmman" in Stockholm, and theless took years to effect. (See the accompanying article within hours, Soviet Communist Party Central Committee for details of the FBI's war against LaRouche.) member Georgi Arbatov blamed!western "reactionary" forc­ The ADL had been trying to elicit FBI assistance in tar­ es. Over the next few days, EjR investigators traced how geting LaRouche and associates since the ADL's leaders met publications known to be conduits for Soviet disinformation with William Webster shortly after he became FBI director were able to create a deluge of atticles blaming associates of in early 1979. In a discussion with undercoverinvestiga tors, LaRouche. The head of the ADLl s Fact-Finding Department, ADL official Justin Finger, who attended the meeting with Irwin Suall, an Oxford Univetisity-trained member of the Webster, spilled the beans: "I saw Judge Webster back in Socialist International, flewto Stbckholm to fuel the disinfor­ February in Washington and I mentioned the U.S. Labor mation campaign. Meanwhile, ithe ADL, in collaboration Party and ...he wouldn't go into details with me , but it was with officials at the Israeli em�ssy in Washington, D.C., very clear to me fromwhat he said . . . that this is an active peppered Swedish officials with Islanders against LaRouche, investigation and that they are watching these people very according to undercover investi�ations. On his return from closely." Former ADL national chairman Burton Joseph Sweden, Suall told the press that he had given a report to the of Minneapolis, Minnesota, who was also at the meeting, FBI. To this day the FBI is running a coverup of the ADL role conveyed the same sentiment to undercover investigators, in propagating the Soviet charg¢s that LaRouche associates and files from the FBI Minneapolis Regional Office show murdered Palme. i that Joseph was trying to incite the Bureau by feeding it false There is no question that Suall has become very close information about LaRouche and his associates. with the FBI. For example, actording to a letter from the On April 2, 1979, associates of LaRouche filed a com­ Bureau to Suall dated Nov. 21; 1989, Suall is invited "to plaint about this ADL-FBI collusion with Attorney General address an upcoming FBI civil I rights supervisory training Griffin Bell, and he ordered an investigation; the FBI was conference . . . [presenting] a ntttional overview of the vio­ assigned to investigate the charges about its own director. lent hate movement in the UnitelJ States ....Your remarks That investigation, of course, turned up nothing. However, will be attended by approximatdly 50 FBI Supervisory Spe­ new material released under the FOIA demonstrates that FBI­ cial Agents who are responsibl� for the supervision of the ADL collusion had been established. A Feb. 5, 1979 letter Civil Rights Program at the field!office level ." from FBI Director Webster to ADL Director Nathan Perl­ Another striking example df the ADL's "dirty tricks" mutter, who is listed in Bureau files as an informant, states: collusion with the "Get LaRouche" task force surfaced in "Any information which you might wish to share with us testimony in the Roanoke, Virgibia courtroom of Judge Clif­ should be communicated to Deputy Assistant Director James ford Weckstein, where nurner�us associates of LaRouche O. Ingram at FBI Headquarters." have been subjected to a judiclial railroad. Virginia ADL On Feb. 4, 1985, FBI Director Webster finally consum­ leader Murray Janus flagrantly sought to bribe Weckstein mated the marriage between the FBI and ADL by issuing with a Virginia Supreme Court judgeship, to make sure that an "airtel" ordering every FBI Regional Office to establish the "railroad" ran on time. Suall' � Washington, D.C. lieuten­ liaison with its ADL local counterpart. That airtel was trans­ ant Mira Lansky Boland workedwith state, federal, and local mitted shortly after Boston U.S. Attorney William Weld levels of the prosecution, preparing the railroad of had initiated a witchhunt federal grand juryprobe of publica- LaRouche's associates.

42 Feature EIR March 19, 1993 Hoover became a Royal Arch M�on in Lafayette Chapter No. 5 in April 1921, and a Knigh� Templar in Washington Commandery No. l on July 20, 19�1. He was created a Noble of the Mystic Shrine in Almas Temple on March 1, 1922, and Hoover, Satanism, was immediately appointed an Arpbassador, a post he held until his death. and theScot tishRite Hoover's initial choice of the n�mplars is interesting, be­ cause this nominally Christian br�h of Freemasonry is real­ by Scott Thompson ly based on the Baphomet cult of a :crusading order of monks known as the Knights Templar, who followed ancient Mid­ At the House of the Temple on 16th Streetin Washington, easternmysteries in an initiation ceremony that involves spit­ D.C., which is the headquarters of the Supreme Council 33rd ting on an image of Christ. The masonic followers of the Degree of the Scottish Rite SouthernJurisdiction, there is a J. Knights Templar today have swotn revenge against church Edgar Hoover Law Enforcement Room, which was dedicated and state, because the Templars were found to be heretics. On on May 10, 1989. The only other member of the Scottish Rite May 10, 1924, soon after his initiallion in this satanic cult, the Southern Jurisdiction who is honored by such a memorial Hon. Harlan Fiske Stone appointedHoover as director of what room is past Sovereign Grand Commander and Confederate was then called the Bureau of Investigation (later, the FBI). general Albert Pike, a founder and chief judiciary officer of Hoover finallyjo ined the Scottish Rite SouthernJurisdic­ the Ku Klux Klan. J. Edgar Hoover, who starting in 1954 tion in 1954, and he was rapidly advanced to the 33rd Degree. rapidly became a 33rd Degree Mason Grand Cross, was fasci­ He was "Coroneted" a 33rd Degree Inspector General Honor­ nated by the satanic religious practices of the Scottish Rite. ary in 1955, and 10 years later was awarded the Grand Cross In an interview with a journalist, Reynold J. Matthews, of the Court of Honor. 33rd Degree and Grand Archivist of the Scottish Rite South­ ernJurisdicti on, revealed that a decade afterHoove r's death, Racist tradition of Albert flike there were still many FBI agents who were Freemasons. Given the record of Albert Pilqe with the Ku Klux Klan, Numerous agents-in-training at the Bureau's Quantico, Vir­ it may be no accident that at th¢ time Hoover joined the ginia facility are brought to see this shrine at the House of Scottish Rite, he was starting Cqintelpro ("Counterintelli­ the Temple. It contains a replica of Hoover's FBI office, as gence Program"), targeting Martin Luther King and other well as many masonic awards and decorations given Hoover. civil rights leaders. Under the Cointelpro program, the FBI In 1992 with top FBI officials present, the Sovereign Grand came to fund and control the KKK, as three congressional Commander of the Supreme Council 33rd Degree, C. Fred committees discovered during investigations in the mid- Kleinknecht, donated a plaque which appears in the J. Edgar 1970s. For example, the final re)?prt in 1976 on Cointelpro Hoover FBI headquarters. ofthe Senate Select Committee to Study Governmental Oper- In June 1989, an issue of The New Age Magazine, which ations reveals on page 45: i is today known as The Scottish Rite Journal, was dedicated "The second kind of 'notionalr was the fictitiousorgani­ to Hoover. In it, Matthews described Hoover's career in zation with some unsuspecting (hon-informant) members. Freemasonry, in an article titled, "From Obscurity to Securi­ For example, Bureau informants $et up a Klan organization ty-The Shaping of a Giant." intended to attract membership away from the United Klans According to Matthews, there is strong evidence that of America. The Bureau paid the informants' personal ex­ Hoover was influencedto join Freemasonry by associates at penses in setting up the new orgallization, which had, at its theDepartment of Justice. Hoover was on a fast track within height, 250 members." the department; in 1919, at the age of 24, he was appointed During the 48 years that J. Ediar Hoover was FBI direc­ special assistant to the attorney general. tor, his agents acted in the long tradition of Albert Pike within Perhaps at this time Hoover thought of Freemasonry as a the Scottish Rite, as a vehicle of Confederate treason. A means to advance his career. He was initiated intoMasonry as former U.S. intelligence officer told EIR that in Hoover's an EnteredApprentice on Sept. 14, 1920, in Federal LodgeNo. days, FBI headquarters was honejycombed with cells based 1 (a Blue Lodge), Washington, D.C.; he passed to the degreeof on Freemasonic Lodges. This was partially confirmedby the Fellow-Crafton Oct. 12 and to the degree of Master Mason on chief of security at the House of �e Temple, who said in an Nov. 9, finishingthe three degrees ofCraft Masonry. interview that there are certain Washington lodges which have a disproportionately high number of FBI agents in Gnostic heresy them--e.g., the Alexandria Lodgf. The continued existence Unlike many Masons, Hoover quickly sought out the of masonic cells within the Bureau may explain many prob­ more esoteric degrees, which, drawing from the Rosicrucian lems that have continued since Iloover's day-such as the Gnostic heresy, became a syncretism of ancient satanic cults. FBI's resistance to racial integratibn.

EIR March 19, 1993 Feature 43 �TIillInternational

An emergency proposal to end the war in the Balkans

by Gen. Paul Albert Scherer (ret. )

General Scherer is one of the world's leading experts on the the Russians and that it would make substantial progress fo rmer Soviet Union. He was, during the 1970s, the director even so." of the MilitiirischeAbsch irmdienst (MAD), the militaryintel­ ligence and counterintelligence agency of the Federal Repub­ The brutal and extremely critica� conditions of the situation lic of Germany . During several visits to the United States since in the former Yugoslavia no longer permit us to consider the fa ll of the Berlin Wall in 1989, hefo recast veryaccuratel y Serbia's aggressive war, waged furthe purpose of creating a the fa ll of Gorbachov, and the probability that war would Greater Serbia, and the concomitant genocide of so-called erupt among the nations of the fo rmer Soviet Union. ethnic cleansing, as a civil war. : He is currently visiting Washington as the guest of the It is possible the horrible batbarism of this Balkan war Schiller Institute, and gave a press conference at the National may become an example to be imlitatedamong the CIS states Press Club on March 9. which occupy the territory of the former U.S.S.R., and His briefingthere fo cused on the need to stop the Balkans which make up one-sixth of the world's land surface. If war, as he presented the proposal which is outlined below. Serbian aggression is crowned with success, it is also likely He also discussed the explosive situation in Russia, warning to be imitated by Islamic fundamentalist forces in Iran and that President Boris Yeltsin will be out of power verysoon . elsewhere in the world. The Bll!lkan situation contains the General Scherer explained how, in the early 1980s, there danger of the early outbreak of a tbird world war which would was an effo rt to avert the crisis that has now developed in necessarily entail the collapse of !Westernci vilization. the fo rmer Soviet Union. "In the spring of 1982," he said, There is no alternative to an i immediate stopping of the "in the Soviet Embassy, there were very important secret Balkan war. The strategic situation allows no further loss of talks that were held, with the participation of top American time through negotiations. Tim� is the most fundamental political leaders. The question was, did the United States factor of this psychologically ei'C.plosive situation. Gorba­ and the Soviet Union wish, at that time, jointly to develop an chov's six-and-a-half-year bankrUptcy administration of the antiballistic-missile defense that would make war impossible former U.S.S.R. has deprived the world of any margin in fo r the immediate fu ture? This was the Strategic Defense this regard. Initiative. These talks went on until about June 1982 . Then A multi-ethnic nation cannot: be coerced into staying to­ in August, you had this very sharp Soviet rejection of the gether if its individuals and peoples no longer wish to remain entire idea. 1 can say this with great exactitude, because I together. But the successor stateS, especially in light of their have also discussed this thoroughly with the developer, the mixed ethnic composition (and we should recall that 52% of originator of this idea, the scientific, technological, strategic marriages in the former Yugoslavia involved members of dif­ expert Lyndon LaRouche. The rejection came in August; then ferent ethnic groups) must guaraptee the human rights of all the American President, Reagan, decided to push this entire persons. None ofthese states can: tolerate armed insurrection thing out into the public eye, so he made his speech in March or the open incitement to the viol¢nt overthrow of its govern­ 1983 to show that the SDI could be developed even without ment. On the other hand, those persons who choose to emi-

44 International EIR March 19, 1993 grate from one successor state to another must be guaranteed the right to do so, and a mechanism for safeguarding their property rights and right to compensation must be provided.

The United States must act The United States must at this point exercise its function and responsibility as the leading power of European-Ameri­ can civilization within the framework of the NATO alliance. The European nations have shown that they are incapable of carrying out this role. The United States must intervene, applying force against force, before the end of the spring of 1993. But there must under no circumstances whatsoever be any commitment of United States ground forces. This means that the proposal of U.N. Secretary General Boutros Boutros­ Ghali for stationing such U. S. ground forces in Bosnia must be decisively rejected. The approach suggested by Mr. Bou­ Gen . Paul Albert Scherer (ret.): tros-Ghali brings with it the immediate danger of a new politi­ fu rther loss of time through . Time is the most cal and military catastrophe on the strategic scale of Vietnam. fu ndamental fa ctor of this psychologically explosive situation." In light of the experiences of the Second World War, as well as of all proxy wars waged after 1945, it is clear that the mand special privileges for themse I ves. All states involved NATO command must seize air superiority over the entire must retain their national sovereignty and territorial integrity combat area in the former Yugoslavia. This air superiority intact. Any changes in this regard must be approved by all must be of permanent duration. In this way, the Serbian parties to a peace conference to be donvened after the cessa- artillery positions which encircle and besiege the principal tion of all hostilities. Bosnian cities can be broken up by bombing, in the interest I of the starving populations. NATO must establish liaison Treatment of Serbia I commands and at the same time deploy air force liaison The goal of this policy is to stof the war, but this must officers to the fighting fronts. These liaison officers must not be presented or understood as a Punishment of the Serbian accompany Croatian and Bosnian units and carry out a double ethnic component as such. There is1 no collective guilt of all role of calling in air strikes, while at the same time making Serbians. War crimes must be adjudicated through an action sure that Croatian and Bosnian units do not violate any inter­ of the United Nations with full validity under the terms of national borders . Air drops of humanitarian supplies should international law, on the basis of evidence gathered by a be halted, and replaced with transport by land truck convoys special commission of internationa jurists. The goal should and air deliveries to airports wheresec urity has been reestab­ be to guarantee that freedom-lovin westerncivil ization will lished. Measures must be taken to allow television cameras never again undergo war. . and journalistsof the free world to accompany Croatian and A further pursuit of a soft line n regard to Serbia must Bosnian units in their operations, and generally to move be ruled out, because the contending parties have repeatedly freely in the war zone. shown that they are unable or unwil ing to behave peacefully unless they are compelled to do s . If elements of the old End the weapons embargo communist nomenklatura, in synergy with Great Russian The embargo against weapons acquisitions by the Cro­ nationalism, are able to seize power I rom the Russian reform­ atian, Bosnian, and Slovenian ground forces must be termi­ ers, a recrudescence of East-West confrontation, probably nated. Ending the embargo must, however, be made condi­ in the unconventional form of PSYO OIOgiCal warfare (state­ tional on acceptance by these forces of the principle of the sponsored terrorism, etc.) is to b expected. The need to respect of all international borders and of the basic human resolve the Balkan crisis before a p !ssible return to power of rights of all ethnic minorities that are intermixed in these the communist nomenklatura is yet another powerful reason areas . for forcing an end to the hostilities i mediately. In any case, With the cooperation of Russia, Ukraine, Belarus, Russia is not going to commit suicide in order to go to the Buglaria, NATO partner Greece, and Romania, it must be aid of Serbia. assured that, as long as hostilities last, economic sanctions Permanent peace must be promotedI through the applica­ l against Serbia be fully applied. Military operations on the tion of a program of economic rec nstruction and develop­ part of NATO should be terminated immediately as soon ment for the benefitof all states invo ved. This can be planned as all population groups involved recognize and accept the and financed within the framework of the European Produc­ minority rights of the other ethnic groups and cease to de- tive Triangle.

EIR March 19, 1993 International 45 Colombian communists invite U. N. troop intervention by Javier Almario

The Colombian Communist Party (PCC) and several related al observers, that a group of notlables assume responsibility organizations have issued a formal request for the United for issuing proposals that could reinstate dialogue (which has : Nations to intervene in the internal affairs of Colombia, for heen 13 years in the making !), d that the guerrillas not he the supposed purpose of facilitating a peace agreement be­ accused of complicity or collab ation with the drug trade . tween the Colombian government and the various Marxist As it turnedout , the proposa� for U.N. mediation was the guerrilla organizations that operate in the country . real objective of the forum. "If1 this alone is achieved as a According to PCC Secretary General Manuel Cepeda, it result of the forum, we will haveimet our obj ective," Cepeda is unimportant that U.N. mediation in the ongoing conflict asserted. might lead to the intervention of U.S. troops wearing the "blue helmets" of the United Nations. "Military intervention U.S. policy objective I in the country is already a fact," Cepeda declared in state­ The proposal for U.N. medi�tion in Colombia is not the ments to EIR . "The DEA [U. S. Drug Enforcement Adminis­ brainchild of the communists, �owever, since they are but tration] is already here, there are innumerable U.S. military receivers and transmitters of ord�rs. On Nov. 24, 25, and 26 advisers, there are U.S. bases in San Jose del GU!1viare, of last year, the Jesuits' Center for Research for Popular there are U.S. bases in Amazonas. We already have U.S. Education (CINEP) OrganiZed forum on the participation intervention here, there is already interventionism. On the of the United Nations in the inte al affairs ofEI Salvador. At other hand, an official U.N. intervention could be a positive that conference, Jesuit priest R �olfo Cardenal, from Central intervention. " American University in San Saljvador, explained that every Cepeda's statements were made 'during the course of the peace agreement in EI Salvado� has occurred thanks to the Seventh Forum on Peace and Human Rights , held on Feb. United States' interest in "peace! " 19-20 in the capital city of Bogota. The forum was organized The truth is that U.S. fore�gn policy in this period is by the PCC, the Patriotic Union (a political front organization directed at nothing less than el�minating the armies of the created by the communist guerrilla group, FARC), and the lhero-American countries, as ha, already been accomplished Permanent Committee for Human Rights, another commu­ in Panama by aU. S. invasion force, to suffocate any nation­ nist front organization headed by former foreign minister and alist resistance to the so-called n�w world order. Under such fellow traveller Alfredo Vasquez Carrizosa. a one-world order, the United �ations would fulfillthe role The forum ended on Feb . 20 with a formal petition calling of supranational governmentun 4er the primarycontrol of the on the United Nations to name a mediator in the Colombian United States, England, France,l and Russia. "conflict," who could facilitate a so-called human rights Within this schema, the Unittd States is prepared to place agreement identical to that signed by the Salvadoran govern­ the Marxist guerrilla minorities ip power in such countries as ment with the Farabundo Marti Liberation Front (FMLN). Nicaragua, EI Salvador, Guate"lala, and Colombia, to assist That human rights pact with the FMLN was the "foot in the the process of "disappearing" qte national armies of these door" which eventually led the Cristiani governmentto hand countries. over half of its political power to the guerrillas. Known as The Colombian communist , who rely directly on the the San Jose agreement, it forced the governmentofEI Salva­ support ofthe FARC guerrillas a d indirectly (through the so­ dor to "respect human rights" even while the United Nations called Guerrilla Coordinator) on� the supportof other Marxist refused to view the FMLN as an agent of human rights viola­ groups such as the ELN and E L and the legalized M-19 tions, and therefore exercised no control over the Salvadoran terrorists, revealed in their foru that they are prepared to "rebels." collaborate with Washington's enario. However, many of The proposal for a U.N. intervention was initially made the communists in both the PCC� nd the FARC also see U.N. by Alfredo Vasquez Carrizosa during his opening presenta­ intervention in the country as anp pportunityto increase their tion to the forum. Vasquez proposed "calling upon the United own political and military powtt, in hopes that the key will Nations to provide the assistance of a mediator to the parties tum and Russia's communists ",ill recapture control of that in conflict." He also proposed the deployment of internation- nuclear power.

46 International EIR March 19, 1993 Thus, the Seventh Forum on Peace and Human Rights Vasquez: It is new, but there already exists a mediator for had the explicit intention of forcing a renewal of dialogue and an internal war. negotiations between the government and the Marxist guerril­ las, at precisely the moment in which popular pressure has EIR: Is what the United Nations; did in EI Salvador the forced the Cesar Gaviria government to suspect those talks. example for Colombia? President Gaviria has rejected the proposal to accept U.N. Vasquez: Of course, EI Salvadorf The Farabundo [Marti mediation on several occasions,including earlierthis year when Liberation] Front was at war with the government. Peace was he stridently dismissed Nobel Peace Prize winner and former achieved with United Nations' med�ation. Costa Rican President Oscar Arias, when the latter arrived in Colombia to offer himself as mediator. However, Gaviria does EIR: Ever since Bush announced �he new world order the not disagree with the idea of dialogue with theterrorists. Rather, United Nations has been an instrument of foreign policy of because of widespread popular opposition to negotiating with the United States and England. I terrorists who are daily kidnapping, blackmailing, and murder­ Vasquez: That the United States bias a very great influence ing Colombians, current conditions are considered "inappropri­ in the United Nations is indisputable. But the United Nations ate" for renewing such dialogue. is the only world organization to which one can resort to The communists' forum was, however, intended to achieve peace in the country. change the national consensus, and to try to force the govern­ ment into a position which would eventually lead to abandon­ EIR: How many U.N. personnel would be required to verify ing national sovereignty to a United Nations' supranational the agreements and to eventually oblige the government and government. the guerrillas to compy with them? j Vasquez: I couldn't know. It all depends on the zone which is going to be verified. Interview: Alfredo Va squez Carrizosa EIR: Don't you believe that this !would lead to a foreign military intervention? ! Vasquez: Forgive me for not answering because I must go model is now. The I EI Salvador Interview: Manuel Cepeda I The fo llowing interview with fo rmer Colombian fo reign min­ ister Alfredo Vasquez Carrizosa, currently director of Co­ lombia's Permanent Committee on Human Rights, was con­ intervention is ducted by Javier Almario during the Seventh Forum on Peace U. N. I and Human Rights, held in Bogota on Feb. 19. welcome in ColombI ia EIR: Can you explain for us your proposal for the United Nations to intervene in the Colombian conflict? Colombian Communist Party Secretary General Manuel Vasquez: The United Nations should intervene because it Cepeda was interviewed by lavier iAlmario during the Sev­ needs to take account of what factors, what groups are in enth Forum on Peace and Human Rights, on Feb. 19. conflict, to submit a proposal for them to decide. I propose that it be the United Nations which comes to mediate. But it EIR: Do the Communists support �lfredo Vasquez Carrizo­ must mediate among two or three adverse groups. Under­ sa's proposal to seek a U.N. inte�ntion to facilitate peace stand that the United Nations cannot come up with a concept negotiations? outside the framework of what is being discussed here. Cepeda: We totally support VasqtJez Carrizosa's proposal. We believe that if this alone is achieved as a result of this EIR: This role of the United Nations in resolving the internal forum, we will have met our objective. problems of nations is new. . . . Vasquez: It isn't new. It has already been done in EI Salva­ EIR: Why do you support U .N. intervention? dor, in an internal war in EI Salvador. It is doing it and has Cepeda: We think that a U.N. in�ervention could unblock done it. In Honduras it is doing it. It has done it. the negotiations between the guentillas and the Colombian government,because achieving pe'fe in the country requires EIR: But it is new for the U.N. to get involved in the internal the entrance of a major authority. iAnd the United Nations affairs of a country . has that strong authority. I

EIR March 19, 1993 International 47 ElK: Aren't you afraid that the U.N. intervention would lend itself to a foreign intervention in the internalaffairs of Colombia? Cepeda: No, because the U.N. action to verify the agree­ ments is a quiet intervention, it is almost a matter of a secret action. Mulroneyre� igns, as ElK: But the U.N. is an instrument of U.S. foreign policy. The U.N. massacred Iraq, invaded Somalia, granted the Serbs permission to carry out ethnic cleansing in Yugoslavia, Canadian ctlisis grows and is starving the Haitians to death .... by Gilles Gervais i Ce eda: p But there are many different interests in the United 1 Nations other than those of the United States. Note that the intervention of the United Nations in EI Salvador and in On Feb. 24, 1993, Canadian Pri,*eI Minister Brian Mulroney Nicaragua was very positive. In EI Salvador, with the peace announced his resignation as hea� of the Conservative Party, process. In Nicaragua, the U.N. achieved the demobilization thereby becoming the seventh rlrime minister in Canadian of the Contras. history (since the beginning of Cqnfederation in 1867) to quit his duties as head of Her Majest�' s governmentwhile still in ElK: But an intervention of the United Nations would lead office. to U.S. troops intervening in the country by putting on blue Among the former prime m�nisters who resigned, only helmets .... three were forced to do so citing "ill health": John Abbott Cepeda: Military intervention in the country is already a (June 1891), Robert Borden (J�ly 1920), and Mackenzie fact. The DEA [U.S. Drug Enforcement Administrationlis King (November 1948). I already here, there are innumerable U.S. military advisers, Mulroney's exit from politic$ had less of the theatrics of there are U.S. bases in San Jose del Guaviare, there are U.S. his predecessor, the flambOyant ierre Elliot Trudeau, who bases in Amazonas. We already have U. S. intervention here, suddenly quit the prime ministe ship in early March 1984, there is already interventionism. On the other hand, an offi­ coming to his final abrupt decisf,on during a famous wintry cial U.N. intervention could be a positive intervention. midnight walk in the woods. I Mulroney's decision did not fome as a total surprise, but ElK: In EI Salvador, an intervention of 10,000people was it did come a few weeks after he ihad assured his cabinet and required. How many U.N. agents will have to intervene in fellow Canadians that there was! no basis whatsoever to the Colombia? rumors of his imminent departurfand that he would lead his Cepeda: This remains to be resolved. Colombia is a very Conservative Party troops in the pext federal elections. large, very complex country with a much more difficultguer­ Conservative Party insiders Jare now pondering how to rilla process. Here, the central issue is how many people will come up not only with a candid�te who can unify the party it take to verify compliance with the agreements between the at the national convention in Jun but with one who will be ' government and the guerrillas. able to hold on to power in the jFupcoming elections, given that the Conservatives have be4n stuck below 21% in the ElK: So the U.N. intervention in Colombia will be more popularity polls for the last three! years. prolonged than in EI Salvador? They will be looking for a nelvConservative Party leader Cepeda: Yes, in Colombia the process will be much more (who will then become prime mi�ister, under the parliamen­ difficult, and much slower than in EI Salvador. There, the tary system) who will be able t VOid the fate of the Liberal guerrillas took 10 years. Here, it has half a century. Party's John Turner, the Bay Str et lawyer and prime minis­ ter (briefly) who lost badly to ulroney's Conservatives in ElK: Do you think the new Clinton government favors ne­ the 1984 general elections that� llowed Trudeau's resigna­ gotiations between the government and the guerrillas? tion. The Conservatives are hoping to replicate the exploit Cepeda: I'm not going to stick my neck out to defend of Great Britain's John Major lin salvaging an unpopular Clinton. government. j ElK: But the Inter-American Dialogue organization, which The Mulroney legacy i is handling Clinton's foreign policy, proposes using the polit­ Under the tenure of Mulro�y, the Canadian economy ical weight of the United States to resolve conflictsin every has posted records for financial �d physical hardship, while country through negotiations. the social and political structu¢ has become increasingly Cepeda: Well, that position could be positive. fragmented. The three-year-old U.S.-Canada Free Trade

48 International ElK March 19, 1993 Treaty has had a devastating impact in Canada, with at least Party (Socialist International) provincial premiers, who rep­ 350,000 Canadian jobs lost. In the prairie provinces, the resent 14 million Canadians out of tptal of 28 million. Ontar­ Minneapolis-based food cartel companies have repositioned io's Bob Rae, Saskatchewan's Roy Romanow, and British their grain facilities--elevators, shipping logistics, etc .­ Columbia's Mike Harcourt jointly c�lled "for a national debt­ across the U. S . -Canadian border, to undercut independent management program with the provinces taking the lead be­ farmers on both sides. The Canadian Wheat Board is in­ cause of a political vacuum at the federal level," reports the solvent. Financial Post of Toronto. Meanwhile, the vaunted financial empires of Olympia On the issue of Quebec' s separ�tion, Quebec nationalists and York realestate, Bramalea, and other famed Canadian­ view the departure of Mulroney as $e end of a 25-year policy based companies, are bankrupt. Fully 15% of the value of designed to keep Quebec in Can�a by putting a French­ the Toronto stock exchange has been wiped out over the past speaking Quebeker in Ottawa (start�ng with Trudeau in 1968) two years, as Anglo-American money speculation operations to placate the Quebec population and antagonize the national­ collapsed in the world depression. ists. Their view is that an Anglophone prime minister from Canada is wracked by federal and provincial budget cri­ outside Quebec will accelerate the separation of Quebec from ses. In response, Mulroney took such actions as the sweeping Canada. Goods and Services Tax (GST), which has cut deep into The unique combination of support fromwestern Canada living standards and slowed economic activity as a whole. and Quebec, which provided Mulroney with two majority In the face of this real decline in the Canadian economy, governments over the last eight and a half years, has now it is revealing how the City of London has lauded Mulroney's disintegrated. Regional parties in ,the prairie states and in term in office. The Financial Times ofLondon , in an editorial Quebec will split the vote and probably result in a minority on Feb. 25, praised the Canadian prime minister, saying he governmentin Ottawa this autumn. "may well tum out to have laid the foundation for a new era of Canadian prosperity." As for the fact that only 14% of The British calculations Canadians say they approve of Mulroney, it argued that they While the British may public y praise Mulroney (and have an "unfair" perception of Mulroney's policies as being while he was in office, they could �e� assured of control over responsible for their personal economic hardships. "Most of this Quebec-raised, French-speakiqg Catholic prime minister the causes of the recession lay outside the prime minister's of Irish descent), it simply did no� make any sense to keep control," the paper claimed. The London newspaper backed Mulroney in the political picture ip the post-Reagan-Bush­ the not-yet-ratified North American Free Trade Agreement Thatcher era. For British Canada, Mulroney was put in place (NAFTA) among Canada, the United States, and Mexico, to be a sounding board for the second Reagan administration. and the imposition of the hated Goods and ServicesTax , as Under President George Bush, Conservative Brian Mulroney among Mulroney's sucesses. was always there standing by, ready to give a helping hand Mulroney said in a recent interview with the Cable News in facilitating the implementation M all aspects of the "new Network that his government would ratify the NAFTA ac­ world order," including its free-tradecompone nt. cord before the end of the parliamentary session in June, With the coming to power of Democrat and Rhodes when he steps down. Scholar President Bill Clinton, a mpre appropriate candidate Key among Mulroney's achievements, the Financial for the Canadian prime ministershif would have to be found, Times continued, "has been to hold the federation together in the British view-someone likei the present leading Con­ during a period which has seen three federal states in Europe servative Party contender, Kim qampbell, a legal scholar break up," referring to the Soviet Union, Czechoslovakia, who studied in London, plays th¢ 'cello, and is fluent in and Yugoslavia. Russian. Mulroney did yeoman service for the Anglo-American The British elites have fixed tlte electoral process such free-trade cause when, in December 1988, he hosted the mid­ that an option always exists for a new Canadian prime minis­ term session of the Uruguay Round of the General Agreement ter to be elected in concert with the United States presidential on Tariffs and Trade (GAIT) in Montreal. The to-day affair race. Given the fact that Canada Operates according to the I was staged with great pomp and ceremony, covered by close British parliamentary system, thejre is a flexible electoral to 1,000journalists . However, despite the theatrics, the ne­ calendar; elections are usually call+d after a governmenthas gotiations ended in deadlock when continental Europe, espe­ been in power for four to five ye�s, and that timetable can cially France, .refused to yield to the Anglo-American de­ be adjusted as the need arises. If;a new U.S. President is mands for cutting governmentsubsidy to agriculture. judged not to be malleable enough; to adopt British policies, On the thornyis sue of Canada's national debt, the largest then the British will resort to using �e Canadian prime minis­ per capita debt among industrialized nations, the federal gov­ ter and/or his British counterpart in some combination of a ernmenthas just been taken off the hook at the March 1 joint "Mutt-and-Jeff' routine capable Of handling a recalcitrant press conference given by Canada's three New Democratic American President.

EIR March 19, 1993 International 49 Australia Dossier by Lydia Cherry

CEC campaign worries the establishment American S)fstem concepts of Alex­ The call fo r a Hamiltonian economic program instead of freetrade ander Hamilton. The Bundaberg­ based News ¥ail has struck a chord in a country devastated by British economics. on Feb. 26 focused on Hetherington's calls for removing the powers of the Reserve Bank and reconstituting it as the Common­ wealth National Credit Bank. "Such a bank would be the key to recovery, he release of new statistics docu­ It was no surprise, then, that in without blowing out our overseas debt mentingT Australia's economic col­ officially launching Labor's reelec­ even further," he said. lapse, in the run-up to the March 13 tion bid on Feb. 24, Keating offered There has been extensive cover­ elections, belied the airy "recovery" an extra $55 million over the next four age of Hetherington's attacks on Hew­ promises of ruling Labor Party head years to help people "die with son's goods land service tax (GST), Paul Keating and Dr. John Hewson, dignity." which is a �5% tax on everything the former International Monetary At the national level , Labor is now bought and �ld, and which Keating Fund employee who now heads the running neck-and-neck with the Co­ has pledged! that the Labor Party opposition grouping known as the Co­ alition, which is composed of the Lib­ would also �ack, and of Hethering­ alition. In such a setting, the Hamilto­ erals and the once agriculturally based ton's polemiCs against free trade and nian economic policies enunciated by National Party . Former IMF hack for tariff protection. the Citizens' Electoral Councils Hewson, who heads the Coalition, has A poll taken by the News-Mail a (CEC) , the cothinkers of Lyndon pledged to allow unemployment and week before the election rates Hether­ LaRouche, have drawn considerable interest rates to rise; has called for $33 ington third out of the eight candidates attention. billion in spending cuts; has an­ running for tille seat. Although the CEC is also fielding nounced the most far-reaching priva­ Predictably, the Australian 11 other candidates, including Senate tization agenda in Australia's history; friends of the Anti-Defamation teams in four of Australia's six states, and has proposed to tum back the last League of B 'nai B'rith intensified it is theflagship campaign of Maurice 100 years of Australian labor laws. their ongoing slander operations Hetheringtonin Queensland for the fed­ Hewson proposes that employees against the LaRouche associates as the eral House of Representatives, that has make individual work contracts with national election neared. Among nu­ made it most apparent that this move­ their employers, to replace union bar­ merous examples, the Australian­ ment could break out of thecontrol as­ gaining. Jewish News came up with a special signed to minor parties by the elites. The CEC says that only Hewson's Queensland "supplement" edition, The latest economic figures are Coalition could make the Labor Par­ never seen in the state before, that gruesome. On Feb. 24, the Bureau of ty's suicidal policies look good. published as I its lead story a warning Statistics reported that in three and a Meanwhile, the governorof Aus­ about Hetherington, "the most promi­ half years, Australia has lost 1,762 tralia's Reserve Bank (the equivalent nent candidate of the far right" in the factories that used to employ 10 or of the Federal Reserve System in the country, "aflfiliated to the Lyndon more persons. On March 4, it was an­ United States) has announced that LaRouche movement in the United nounced that Australia's foreign debt both Labor and the Coalition will have States, which adheres to a range of had risen to Aus $168.25 billion, the to reassess their spending promises if conspiracy theories." It quotes World highest on record. Sources say this is elected. Noted the Melbourne-based Jewish Congress head Edgar Bronf­ still a coverup and the actual foreign newspaper The Age, "The Reserve man's Australian sidekick, lsi Lei­ debt is in the range of $200 billion. may warn the new government soon bier, once again calling "for a govern­ On March 5, statistics were released after the election of the need to trim ment investitation into the increased indicating that the average wage has spending." activity of tHe LaRouche followers," fallen for the first time since World Major dailies in the Hinkler dis­ who have "b¢come a new force on the War II. Official figures for unem­ trict, where cattleman Hetherington is Australian far right wing." (For a ployed and underemployed have running his campaign, have given ex­ three-part prPfile of the corrupt Lei­ reached 2 million, out of a total popu­ tensive coverage to Hetherington's bIer clan, see EIR , Feb. 5, Feb. 12, lation of 17 million. economic proposals, based on the and Feb. 26, 1993.)

50 International EIR March 19, 1993 Andean Report by Alfonso Rodriguez

CAP tied to Letelier murder I cial and econotnic unity of Latin The President oJ Venezuela is in hot water both at home and America which, because of similarity of principles an customs, is given to abroad, and many think he won't last out his term. � tradeand territorial integration." Gonzalez added, "With Letelier's assassination, the United States sought to destabillize the Chilean gov­ ernment,a govemment which was not he trials and tribulations of Vene­ a Cuban airliner in 1976, in which 73 subservient to it ,dust as it destabilizes zuelanT President Carlos Andres Perez people died. all of Latin Amctrica today by means are fast spreading beyond Venezue­ Chilean newspaper La Segunda of the foreign d4bt." Offering exten­ la's borders. Indeed, in the immediate reported that during his testimony, sive documentation, Gonzalez told aftermathof his failure to force neigh­ Gonzalez confirmed unequivocally the journalists of numerous cases of boring Colombia to deport two Vene­ that "Venezuelan-nationalized Cu­ corruption involving what is known as zuelan military officers who had par­ bans, who are members of the [Vene­ President Perefs "inner circle," ticipated in last November's coup zuelan] political police and at .the which is identified in Venezuela with attempt against him, Perez's name has same time areagents of the CIA, orga­ the associates o. his mistress Cecilia once again come into the limelight, nized the assassination of former min­ Matos. The cas� range from fraudu­ this time linked to internationalterror­ ister Orlando Letelier." Both the at­ lent sales of weapons to the Venezue­ ist activities. tack against Letelier, and the attack lan Armed Forqes, to terrorism and The details surfaced during the on the Cubana airplane were planned, drug traffickingj. Gonzalez insisted Santiago trial of the former director according to Gonzalez, at a meeting that Perez is fullyaware of these illicit of the Chilean Directorate of National of anti-Castro Cuban exiles, held in dealings. , Intelligence (DINA), Gen. Manuel Bonao, Dominican Republic in May The same w�ek of the Contreras Contreras. He is charged with partici­ 1976, just a few months before the trial, Perez also found himself harried pating in the 1976 assassination of for­ attacks were carried out. At that time, by the repeated �cusations of opposi­ mer Chilean Foreign Minister Orlan­ Carlos Andres Perez was President of tion journalists ! that he maintains a do Letelier in Washington, D.C. Venezuela and George Bush was di­ personal army �f Central American According to the Chilean daily UI­ rector of the Central Intelligence and Caribbean D1-ercenaries. Thus far, timas Noticas of March 2, Contreras Agency. Perez has managed to deal with the insisted that "the authors [of the assas­ Gonzalez explained at a press con­ denunciation thp same way he has sination] were agents of the DISIP ference in Santiago that for some dealt with accu$ations that he made [Venezuela's political police], linked time, "Carlos Andres Perez has been a fortune by s�culating with secret to the CIA." The Chilean newspaper the U.S. State Department's spear­ governmentfun

EIR March ] 9, 1993 International 51 Dateline Mexico by Hugo L6pez Ochoa

Party for sale: million a share i $25 troIs a gooq portion of the country's SaUnas's efforts to sell the PRJ to the country's shadier political sIXi:trum,within and without billionaires has triggered a national scandal. the PRI. S�kesmen for Hank Gonza­ lez, throug� the magazine he owns, Siempre!, have often come out in fa­ vor of drug tegalization. Manuel lEspinosaIglesias was an­ other invitee to the secret meeting, t the beginning of the year, Gov­ Recently, Azcarraga explained his ap­ and is knowp not only for his fanatical ernmentA Secretary Patrocinio Gonza­ proach in an interview, stating that adherence to the pro-drug monetarist lez Garrido expressed his govern­ "Mexico is a country whose lower doctrine of Milton Friedman, but also ment's concern over the links of class is screwed-up, and is going to because hislBanco de Comercio (be­ certain political parties with the drug stay that way. We take these people fore it was i nationalized in 1982 by trade, and announced plans to investi­ out of their sad reality." Azcarraga' s PresidentJdse L6pez Portillo) was the gate their sources of funding. But late firstcousin Gast6n Azcarraga was preferred b$lk of "EI Negro" Durazo, Gonzalez, a member of the ruling PRI reportedly an accomplice of drug traf­ a prominert drug trafficker who is party, made no reference to the PRI ficker and assassin Rafael Caro now in jail. I itself. He should have, Quintero. To complete the circle, there was On Feb. 26, the daily El Eeono­ Such is the fame of Azcarraga that Miguel Ale�an, Jr. , son of President mista, owned by Bank of Mexico di­ even his friend Juan Sanchez Navarro, Miguel AI¢man (1946-42) and fa­ rector Miguel Mancera Aguayo, re­ owner of the Corona Brewery, told the mous for h�s close ties to the Holly­ ported that President Carlos Salinas de March 8 issue of Proeeso that Azcar­ wood mafi�, Meyer Lansky, and the Gortari had attended a secret meeting, raga "is a man outside of what is con­ tourism empire of Acapulco. The flanked by his uncle, Antonio Ortiz sidered the paradigm of a business­ younger Alttmanattended the meeting Mena--ex-president of the Inter­ man .. ..His mentality [is] rather low as the PRI' � secretary of finance. American Development Bank, and in­ on the moral , intellectual order .... The neti result of what is now a tellectual chief of the monetarist mafia [His business is] an instrument that national sc�ndal-besides the imme­ that has taken possession of the coun­ doesn't lend itself to society's well­ diate benefiiciary, the leftist Party of try since 1983-as well as by PRI pres­ being. And that is why Televisa is the the Democ�atic Revolution (PRD) of ident Genaro Borrego. At that meet­ way it is." Cuauhtem� Cardenas, who has al­ ing, Salinas asked a group of promi­ Listed by Forbes magazine as the ready askedl that the PRI's registration nent "businessmen" for their support richest man in Ibero-America, Azcar­ be cancellecll because it is financed by for the 1994 presidential campaign, at raga was not shy in telling the Presi­ foreign intetests-is the weakening of the price of $25 million per head. dent: "I have made so much money PRI President Genaro Borrego, who On March 8, the magazine Pro­ over the years, that I commit myself was uncon

52 International EIR March 19, 1993 •

Report from Bonn by RainerApel

The missing secret files tutional Protection. Then, in May All looks quiet on the surface, but beneath the calm a debate is 1992, Kinkel replaced Hans-Dietrich Genscher, who had been foreign min­ raging about "lost" files. ister for 18 yearS, and whose resigna­ tion was rumore4 to be related to "sen­ sitive" Stasi file!\. "Sensitive"? Well, Genscher played a key mediating role in the uch of the paralysis in German was selected for that cabinet post by 1980 arms-for-hostages talks; some of politicsM today can be traced to the fact FDP chairman Otto Count Lambs­ the secret talks even took place at his that politicians are increasingly en­ dorff, a key player in transatlantic re­ home near Bonn. The director of the gaged in covering up old scandals, lations and, since May 1992, head of West German foreign intelligence which absorbs a good deal of their en­ the Trilateral Commission's Europe­ agency during that period was Kinkel, ergy. The scene is reminiscent of the an section, points in this direction. and he had been one of Genscher's last two years of the Bush administra­ Lambsdorff is also the man who ma­ closest aides for several years. tion, and Bonn is facing national elec­ neuvered Rexroth into his post at the So, a small, inner circle of politi­ tions in October 1994. Treuhand in August 1991. cians keeps the lid on some of the Under a seeming calm, the scene Second, was that Foreign Minister darkest intelligence affairs of the post­ is so explosive that the career of Eco­ Klaus Kinkel replaced him as vice war period. Anc;l as the key persons nomics Minister JiirgenMoellemann, chancellor in the cabinet, and was also have the most important posts in poli­ vice chairman of the Free Democratic nominated the chief candidate to re­ tics, all those afthlrs seem to be pretty Party (SPD), was ended over a ridicu­ place Lambsdorff as chair of the FDP much under control. lously minor scandal two months ago. at the party's next convention in June. But beneath ,this calm, things are The end of that affair was interest­ Becoming chairman after only three boiling. For example, on March 4, the ing in two ways. First, 'the man who years of party membership, as Kinkel parliament committee probing the replaced him, Gunter Rexroth, came would be, is very unusual in German IMES complex �nd related questions from the Treuhand agency, where he politics, to put it mildly. heard testimony from Philipp Jen­ headed the section dealing with the Before joining the party, Kinkel ninger, then hea4 of the Bonn chancel­ remains of firms which were part of worked as deputy minister of justice, lery, on his 198�-85 secret talks with the East German arms and drug-ped­ with Wolfgang Schauble, state minis­ SChalck-Golodkpwski. One of the is­ dling empire run by assistant min­ ter of the Bonn chancellery at that sues being discussed between Bonn ister Alexander Schalck-Golodkow­ time, on sorting out and removing, in and East Berlin at that time was a joint ski (who also was an officer in the the weeks before the October 1990 venture of both German foreign intel­ foreign intelligence of East Germany unificationof the two Germanys, sen­ ligence agencies' for various secret in­ until late 1989). At least one of these sitive filesof the East German foreign ternationaltransactions that would op­ "firms," IMES, had business with the intelligence apparatus (Stasi). "Sensi­ erate from Zurich, Switzerland. Richard Secord-Oliver North opera­ tive" usually is a category for filesthat Jenninger slrid that he could not tion known as the "arms-for-hostage" contain secret information identifying recall all the details, but there were deal between George Bush and the operations and personnel that are "still minutes at the ch�ncellery on that peri­ Iranians. Most of the original East in business." od. Schauble, hi>wever, testified that German files on secret talks between Two other persons helped in this there were eitheI1no such files, or they IMES and the CIA are allegedly miss­ file-sorting: a ministerial official of had disappearedl This riddle remains ing, and it is not known which of these Wolfgang Schauble's, Eckart Wer­ unsolved, but tbanks to Jenninger, it shadowy East-West "business rela­ thebach, and former Stasi Maj. Gen. is now on the recordthat such minutes tions" have lived on after the collapse Erhard Braun. did indeed existl The hint about Jen­ of the East German state in 1990. After the elections for the firstall­ ninger's talks a1l>0ut the Zurich joint Was Rexroth made minister of German parliament in December venture came fr�m Stasi filesthat os­ economics because he did a "good 1990, Kinkel became minister of jus­ tensibly "escape�" the file-sorting op­ job" at the Treuhand, administering tice and Werthebach was made direc­ erations of 1999, which may mean the IMES heritage? The fact that he tor of the Federal Agency for Consti- there is more to �ome.

EIR March 19, 1993 International 53 InternationalInt elligence

Wo rld Bank. in terms of loss of lives," since it would Australia blackballed The British Broadcasting Corp. reports mostly rely on surgical strikes on easily fr om human rights meet that the Times o/ Zambia has had sensational identifiable Serbian targets, including Ser­ revelations about the opposition UNIP party bian emplacements around Sarajevo; Serbi­ Asian nations have blocked Australia from plotting a "zero option" scheme for over­ an military bases, including in Bosnia; brid­ voting at a United Nations regional confer­ throwing the government,through a nation­ ges over th� DrinaRiver used by the Serbian ence on human rights that will be held in al campaign of strikes, industrial disrup­ forces; Serbian gasoline dumps; the military Bangkok at the end of March, the Mel­ tions, and the like. airport outside Belgrade; and the lightly pro­ The Zambian press quotes former Presi­ bourneAge reports. tected head�uarters of Bosnian Serb leader dent Kenneth Kaunda claiming that he was Forty-fivecountries from Syria to Japan Radovan Karadzic. forced out of power as part of an "American will have voting rights at the meeting, which The onl� immediate obstruction to car­ plan" for the overthrow of his regime. Chi­ will coordinate the Asian position for the rying out thJis plan, ironically, is the United luba came to power in October 1991, in what U. N. human rights conference set for Vien­ Nations itself, since the U.N. troops on the was touted as a "trend-setting" democratic na in June. "The Asian members appear to ground "are now hostages, since they will free election. Before that time, Zambia had be closing ranks against the We st on human be targeted if there is action against Serbia, been a one-party state. but they ar� self-created hostages, created rights," the Age quotes diplomats. by the U.N � itself." Australia's foreign policy has always been a "cat's paw" for Anglo-American in­ terests in the region. The mechanism used by the Asian countries to exclude Australia Experton Balkans Thai stabilizer Sulak from full participation in Bangkok was the fact that the U.N. technically groups Austra­ rejects 'British myth ' proposed� d fo r Nobel Prize

lia and New Zealand with western countries. I The countries that pushed the hardest to "It's a myth invented by the British, for po­ The godfat1!ter of the synthetic "democracy keep Australia out included India, Pakistan, litical reasons, that an intervention against movement'� in Thailand, known to be run Syria, and Ye men . Serbia would require hundreds of thousands by western :intelligence services, Sulak Si­ At a U.N. workshop on human rights of troops prepared to engage in a long varaksa, haS been nominated for the Nobel during the last week in January, Indonesia, ground war," an Austrian-based journalist Peace Prizd. Northern Ireland peace cam­ currently head of the Non-Aligned Move­ said in a discussion on March 5. "This was paigner Mairead Maguire, a Nobel laureate, ment, emphasized that the right to economic repeatedly said, to create an atmosphere that wrote in a iletter to the Nobel Institute in development is the most important issue it was not possible to do anything against Norway, released in Bangkok on March 6: with respect to human rights. This seems to Serbia, whereas, in reality, it would be very "For more tihan 30 years he has been work­ be the theme that the Asian bloc is adopting easy to stop the Serbians. ing non-viqlently for peace, social justice, going into Vienna. Indonesian Foreign Min­ "How else can you explain that the great and a form pf development which truly ex­ istry official Wiryono Sastrohandjojo ex­ military apparatus of the We st, which for presses the t::ulture and answers the needs of plained, "The We st takes the view that de­ years was bragging about its capability of ordinary pepple." velopment is not a right but the result of your keeping the Warsaw Pact in check, is so Sulak, �hen in exile, was the key figure efforts. We think otherwise." afraid of a military force whose equipment behind the �emonstrations that erupted into is not so good, and which is extremely vul­ violent action last May, resulting in confron­ nerable to effectiveair attacks by the sophis­ tation with ithe Thai military and killing of Zambia proclaims ticated airplanes that the We st has in its arse­ several hunctred people. The demonstra­ nals? All this has nothing to do with military tions result�d in bringing down the govern­ state of emergency thinking, but everything to do with politics, ment and a $ignificantweakening of the Thai and the British and the French are just play­ military, a IteyAnglo- American goal for the The government of Zambia declared a state ing their usual role as 'Munich' powers." region. of emergency the first week in March, and The source emphasized that for months, An intqrview with Sulak published in arrested seven senior Army officers, amidst there has existed a perfectly viable "Balkans EIR on Ju'¥ 12, 1992 made clear that Su­ charges spreading throughout the country of Storm" military plan for defeating Serbia lak's progr� for "development" is to deny a coup plot against the regime of President within a short period of time, but the plan the Thai wople access to even the most Frederick Chiluba, which has been impos­ has not been implemented because of politi­ primitive Idnds of technology, in favor of ing a draconian austerity policy at the behest cal obstruction from Britain and other quar­ the "joy" of backwardness and poverty. of the International Monetary Fund and ters . He said the plan would be "very cheap Sulak r¢turnedto Thailand from abroad

54 International EIR March 19, 1993 • EGYPT AND TURKEY have both sent senior diplomats to Bagh­ dad to take llP diplomatic duties, against the wishes of the U.S.-led anti-Iraq coalition in which both countries play a leading role. Turkey will reopen its embassy in Baghdad, "Open Letter to Ambassador Lukin," who once a government more to his liking was while Egypt "lil! be sen9ing a senior represents Russia in Washington. Some ana­ sworn in six months ago. He no doubt met diplomat at the consular level. The lysts believe it is intended to bolster the with Maguire and other Nobel Peace Prize move is said to indicate their belief strength of Boris Yeltsin. winners who were in Bangkok in February that Saddam Hussein is not expected In another comment on the crisis, Valeri for the purpose of putting pressure on the to leave powe(in Iraq for some time. Thai government to treat Burma as a pariah Zorkin, the head of Russia's constitutional state-much the same way that Asian coun­ court, said in an interview published with • JOHN DEMJANJUK conduct­ tries are being encouraged to treat North the German weekly Der Spiegel on March ed a three-day hunger strike in his Korea. 8 than an institutionalized roundtable in­ Jerusalem prison March 1-3, to pro­ volving all parties is the only way out of test a nine-month delay in the Su­ Russia's crisis. preme Court's ruling on his appeal. There is no perspective for governing His lawyer Yoram Sheftel accused Alajorpannes lose in the country with one political camp against the judges of, a "double standard," the other, which would only lead to a new German state election and said that lsrael's legal establish­ form of dictatorship, Zorkin said. He hinted ment would l:1e "the happiest in the that the fate of President Yeltsin will be de­ Municipal elections in the German state of world" if the dlderly Demjanjuk died termined either by his ability to launch such Hesse on March7 resulted in losses for the in prison. Demjanjuk was sentenced an all-party roundtable, or his failure to do largest parties, and substantial gains for the to death for Wl\fcrimes that he did not so. right-wing populistRepublikaner party. The commit. vote reveals a fragmentation of the elector­ ate that is also evident in Italy, France, and • FIVE MI'lMBERS of an Israeli other European countries. Alubarak denounces military intellJgence unit died when The Social Democratic Party lost 8% a missile exploded with which they statewide, with losses as high as 13% in Islamic fu ndamentalism were practicing to murder Iraqi Presi­ Wiesbaden and 21 % in Kassel. dent Saddam Hussein, according to The Christian Democratic Union, the Egyptian President Hosni Mubarak joined the London S�nday Times of March second-largestparty, which forms the oppo­ Israel and the Anglo-American media in 7. The incident occurred Nov. 5, sition in most Hesse municipal parliaments, calling for an international effort against Is­ 1992 in the N�gev Desert, and after lost 3% statewide. The most significant lamic fundamentalism, in an interview with the accident, �he operation was can­ gains were made by the Greens which went the Wa shington Post published on March 5. celed, accordipg to the report. from 9% to 11 % of the vote, and the Re­ Mubarak defended his government's "very publikaner party, which jumped from 0.7% heavy hand" against Islamic groups in • AFGHAN rival groups reached to 7. 8%. The Greens gained 25% in Darm­ Egypt. an agreement On March 7 that would stadt, and the Republikaner gained 13% in Referring to the bombing of the World let President iBurhanuddin Rabbani Wiesbaden. Trade Center in New York, Mubarak said, remain as hea4 of state for 18 months, Partof the story behind the shiftin votes "This proves that terrorism is becoming a while his riv4, Gulbuddin Hekmat­ is the low voter participation of 71.3%, plague spreading all over the world, and it yar, would serve as prime minister. which is the lowest since World War II, and would call for international cooperation to The post of ddfense minister was not 7% lower than four years ago. resist this unhealthy phenomenon. decided upon �yet. A cease-fire is to "For a certain period of time, it was take effect immediately. thought it's some sort of local phenomenon Solzhenitsyn calls concentrating in the Middle East. But now • THE JAP�NESE Socialist Party we believe this shows it's not a local phe­ has vowed to oppose Prime Minister fo r presidentialrule nomenon. It's spreading," said Mubarak. Kiichi Miyazawa's proposal for Ja­ The same line came from Islam Kari­ pan to assume a permanent seat on A statement by novelist Aleksandr Solzhen­ mov, the President of the Central Asian Re­ the U.N. Sequrity Council. Such a itsyn supporting strong "presidential rule" public of Uzbekistan, in an interview with move would tmean building up Ja­ in Russia was read out over Russian televi­ foreign correspondentson March 4. "Islam­ pan's military, strength, the chairman sion on March 7. Solzhenitsyn said that in a ic fundamentalism threatens Uzbekistan," of the largest' opposition party said. huge country like Russia, it is impossible to he said. "Fundamentalism begins when reli­ "We are completely against such an rulewithout a strong President. gion startsinterfering in politics. . . . It does idea." His statement came in the form of an not suit our country."

EIR March 19, 1993 International 55 �TIillInvestigation

Cult Awareness brainWashers, Galen Kelly exposed at Ilast by Wa rren A.J. Hamerman

Self-styled "cult deprogrammer" Galen Kelly, who is actual­ is a convicted jewel thief. He w�sI arrested in November 1975 ly a professional kidnapper and brainwasher, was indicted and pled guilty to the crime of ¢onspiracy to Commit Grand on March 3, 1993 by a federal grand jury at the U. S. District Theft Second Degree-Open Endeprogramming to the kidnapping investigation believe that other individuals attempt. � l are also likely to be indicted. The kidnapping for which Kelly Ross was publicly describeq by CAN Executive Director has been indicted is described in the prologue to a new book Cynthia Kisser as "among the alf-dozen best deprogram­ to be released this month by Executive Intelligence Review, mers in the country." Priscilla oates, the director of CAN entitled Travesty-A True Crime Story. The indictment in Los Angeles, said of Ross: 'F,Rick has helped me with all I comes just as Kelly and his cronies in the Cult Awareness kinds of questions. He has also Fompetently counseled many Network (CAN) had geared up a propaganda campaign to parents and cult members." Ross is a member of two national present themselves as legitimate consultants on so-called committees for the Union of A.merican Hebrew Congrega­ cults in the aftermath of the Feb. 26 bombing of the New tions and an outspoken critic of Christian fundamentalist York WorId Trade Center (being blamed on Islamic radicals) groups. He is past chairman of ,jhe Religious Advisory Com­ and the Feb. 28 shootout between the Bureau of Alcohol, mittee to the Arizona Departmfnt of Corrections and of the Tobacco, and Firearms (ATF) and the Branch Davidian reli­ International Coalition for Je�ish Prisoner Services of the gious group in Waco, Texas. B'nai B'rith International, wa ington, D.C. Kelly is not just another thug; he is part of an international The victim of Kelly's lates kidnap indictment is Debra apparatus ofisraeli, American, and British secret intelligence Dobkowski, the roommate of e intended target, who was communities' "wetworks" capability. Kelly is on the board on her way home from workl late at night when she was of JINSA, the Jewish Institute for National Security Affairs, grabbed by two men and two women and forcibly taken to a liaison group between Israeli and American military estab­ Leesburg, Virginia, some 40 millesnorthwest of Washington. lishments that is suspected of having been at the center of the On the way, she asked one of hbr abductors his name and he Jonathan Pollard spy ring. Kelly is also the security hench­ replied, "Galen Kelly," accor�ing to court papers. A study man and a paid operative of CAN. of telephone records showed th.t the mother of Dobkowski 's Immediately after the Waco, Texas incident erupted, roommate had placed calls to �e Cult Awareness Network ' Kelly and one of his CAN deprogramming sidekicks named in Chicago three months befor the abduction. Rick Ross appeared on national media as expertsto "explain" Kelly was to be arraigned n U.S. Magistrates Court in the events. According to various media reports the central Alexandria on March 15. Assis ant U. S. AttorneyLawrence "deprogramming" adviser to the A TF and FBI on the Branch Leiser told the media that, if cl nvicted, Kelly faces a maxi­ Davidian sect is, in fact, the self-same Rick Ross. Along mum sentence of up to life in p ·son. Kelly, 45, was acquitted with Kelly, Ross is a leading deprogrammer for CAN. Ross Dec. 31 of plotting to kidnap L�wis du Pont Smith.

56 Investigation EIR March 19, 1993 What is CAN? Family Foundation, CAN's sister organization. Don Moore "We're not a criminal organization, we don't engage in needed work after he was fired froQl the Loudoun County, kidnappings," was the public comment of CAN's Cynthia Va. , Sheriff's Department for ruIIlJ!l1aging through depart­ Kisser, upon hearing of the arrests last September of Galen ment files. So, as he told another fprmer sheriff's deputy, Kelly, Don Moore, Newbold Smith, Bob Point, and Tony Doug Poppa, afterhe sought to recru,tPoppa to the "Kidnap­ Russo for conspiracy to kidnap LaRouche associate Lewis pers, Inc." scheme, "I'm working fqr CAN." Moore added, du Pont Smith. Oh, but the lady doth protest too much. "There's money to be made in the-an.i-cultwor k." And when The evidence that has emerged fromwhat has been called Moore and Kelly wanted legal co�r for their kidnapping the "Kidnappers, Inc." trial , only provides more confirma­ plans, lawyer Bob Point offered to ijrovide that cover under tion that the Cult Awareness Network is exactly what Kisser the auspices of the work he does for CAN. says it is not. Cynthia Kisser has gone to grea� lengths to deny CAN's Originally called the Citizens Freedom Foundation, CAN involvement in kidnappings and coqrcive deprogrammings, was founded in 1974 by Henrietta Crampton and a small but there is ample evidence that points preciselyto that. group of advocates of "deprogramming," a euphemism for Estimates are that CAN maintai,s a network of 20 to 25 making someone change his or her beliefs by force, which is full-timedeprogrammers , and 30 or so part-timedeprogram­ otherwise called "brainwashing." Crampton described Ted mers. Each full-time deprogramme� handles approximately Patrick as a prime force behind the formation of CFF. 25 deprogrammingjobs per year, m�dng a conservativeesti­ Patrick, a pioneer of "de programming" who has been con­ mate of over 500deprog rammings peryear . Of those depro­ victed numerous times for violent crimes, wrote in his book grammings, some 25% involve outright kidnapping. The rest Let Our Children Go! that deprogramming involves "kidnap­ involve "detaining" the victim agaiqst his or her will. It has ping at the very least, quite often assault and battery, almost been reported that at the 1992 CAN conference in Los invariably conspiracy to commit a crime and illegal restraint." Angeles, a CAN deprogrammer clailmed that over 2,000 de­ Since its founding, CFF changed its name to CAN, ob­ programmings occurred in the Unitf!dStates in the last year. tained more prominent sponsors, and broadened its affilia­ Occasionally, deprogrammers are arrested. Most fre­ tions; but it has always remained the same-a clearinghouse quently they plead guilty to lesser charges and spend little or and referral service for people who, for a fee , will do whatever no time in jail. Often they go scot-free. it takes to break a targeted individual from his or her beliefs. At CAN's national conferences and local meetings, fami­ Bucknell University religion professor Larry Shin told ly members interested in having someone kidnapped or de­ the Philadelphia Inquirer in 1992 that deprogramming is "the programmed can meet professionals!like Galen Kelly, whom most destructive of the legacies of the great American cult they can hire. CAN claims to mai$lin files on over 1,000 scare ....CAN is much closer to a destructive cult than organizations which it deems to be I"destructive cults," and most of the groups they attack." it distributes hate literature on many pf them. But if an inquir­ From the mid- 1980s forward, CAN has functioned as the er asks for more information about a particularorganization , most active of a throng of so-called anti-cult organizations CAN will eagerly refer the inquirer �o their "experts" on the which sprang from the ravages of the counterculture. Such particular organization. The "expet!ts" are deprogrammers, groups as the Jewish Community Relations Council's who, for a fee, will arrange a kidn�ppingldeprogramming. (JCRC) Task Force on Missionaries and Cults, the American A typical "deprogramming" fee is $20,000. Family Foundation, the International Cult Education Project Cynthia Kisser has personally �eferred callers to Galen and the Interfaith Coalition of Concern aboutCults , all share Kelly as CAN's "expert" on LaRou�he. interlocking boards of directors and funding. They give each A critical element in CAN's devrogramming operations other awards and share referrals. Through these associations, is maintaining a continuous barrag� of its hate propaganda CAN has enjoyed the support and protection of powerful in the major media. If CAN succ�ds in creating a hostile elements of the eastern liberal financialestablishment. environment around a particular target, that limits or miti­ It was through CAN that all the conspirators in Kidnap­ gates the reaction if they get cau$ht. Such an effect can pers, Inc. became associated. certainly be seen in the case of the December 1992 Kidnap- pers, Inc . trial in Virginia. i 'There's money to be made' There has also been no shortage of credulous journalists When E. Newbold Smith wanted a kidnapper/depro­ who will do CAN's bidding. Form� Loudoun County Sher­ grammer to go after his son, Lewis du Pont Smith, he called iff s Lt. Don Moore referred to thi� type of operation with CAN, and they referred him to Galen Kelly, who in tum respect to the political movement �und Lyndon LaRouche, received payments from CAN. When Smith needed a psychi­ as "busting the covey." Patricia Lynfh, a former NBC report­ atristwho would testify to have his son Lewis declared men­ er who produced several TV sland�rs against LaRouche in tally incompetent, Smith called CAN and they referred him the mid-1980s, testified that Prisctlla Coates, the head of to Dr. David Halperin, a board member of the American CAN in the mid- 1980s, was a maj,?r source for her stories.

EIR March 19, 1993 Investigation 57 Moore had regular contacts with reporters in Washington, claimed to be a survivor of the 1978 mass suicide by the D.C., Loudoun County, Va. , and Philadelphia. People's Temple followers of the Rev. Jim Jones in Guyana. In any case, the arrest of Newbold Smith, Kelly, Moore, Scarff said he lied in order to taise "hundreds of thousands and Point was not the first time that CAN had to disavow of dollars" for the Cult AwareqessNetwork . According to a illegality by its members. In October 1990, the Rev. Michael sworn affidavit, Scarff says he was associated with CAN for Rokos, an Episcopal priest, who was then president of CAN , ten years. His affidavit recountS his participation in kidnap­ resigned after it became publicly known that he had a sexual pings and deprograrnmings. Dqnng the preparations for one preference for young boys. deprograrnming, Scarff says, l)e was sodomized by depro­ At that time, news stories broke in the Baltimore Sun and grarnmer Ray Brandyberry. Aiccording to Scarff, Cynthia elsewhere that Rokos had been arrested in July 1982 for Kisser was actively involved in prganizing deprograrnmings. soliciting sex with a Baltimore vice squad officerposing as He also accused CAN attorney Ford Greene of drug abuse a minor. According to an affidavit from arresting officer and homosexuality. ! Joseph G. Wyatt, Rokos solicited him, saying, "I want you I to tie me up, put clothespins on my nipples, and make me Helen Overington: a case study suck your dick. " Sometimes a CAN deprog$ming does not need the use While hiding his perverted criminal past, Rokos spoke of thugs to forcibly kidnap somet>ne. In those cases, CAN uses before law enforcement and civic groups slandering other forms of pressure and intimidation to breakthe target's LaRouche. He portrayed himself as an expert on "political beliefs. An example of this is the case of Helen Overington. cults" and "Satanism." Rokos also fraudulently portrayed Helen Overington is a formdrfinancial and active political himself as the chaplain for the Maryland StatePoli ce. supporter of the LaRouche mov�ment. When LaRouche asso­ Another embarrassment CAN suffered was the defection ciate Rochelle Ascher was comHctedon securities violations of "cult deprogrammer" Gary Scarff. In November 1991, in 1989, and given a barbaric 8c>-year sentence by a Virginia Scarff told a Los Angeles press conference thathe had falsely jury (later reduced to 10 years by the judge), Mrs. Overington

Yet the kidnappers got off scot-free. Travestyis written in the fo� of a "true crime" story, EIR and presents detailed evidence of: releases''frav esty: • The inner workings of Kidnappers, Inc., a national A Story' 1hle Crinle kidnap-for-hire ring called the ICult Awareness Network (CAN), which reportedly arrantes more than 500kidnap­ Travesty-A True Crime Story, detailing the sensational pings and forcible deprogrammlingsper year. Lewis du Pont Smith kidnapping case in relation to the • The complicity of the lAnti-Defamation League railroad of Lyndon LaRouche was released by Executive (ADL), an organized-crime hategroup , in violent attacks Intelligence Review on March 17. This 254-page paper­ against LaRouche and his ass�iates, including a near­ back is the shocking story of one of the greatest cases miss assassination of LaRouche on Oct. 6, 1986 in the of travesty of justice in the 20th century. In the same small Virginia town of Leesbu�. Alexandria, Virginia federal courthouse, virtually four • How a top-secret unit o� the U. S. military was in years to the day after American political statesman Lyn­ the center of the 4OO-man inv.sion of Leesburg, which don H. LaRouche, Jr. and six associates were railroaded, included use of helicopters, an $rmored personnel carrier, five kidnappers were acquitted of charges that they had and sniper teams. For the firs� time in print, details are plotted and conspired to violently kidnap and forcibly revealed showing that on Oct. 6, 1986, LaRouche's ene­ "deprogram" Lewis du Pont Smith, an heir to the du Pont mies planned to assassinate hiIDiand his wife Helga during fortune, and his wife Andrea Diano Smith, because they the raid, whose assault force was made up of 400 state, had joined with LaRouche to fight for the cause of bet­ federal, and local law enforcement officials. tering mankind. • How Loudoun County Sheriff's Lt. Don Moore, a The kidnappers were caught on over 60 hours of sur­ federalized marshal, engaged iin seven years of illegal veillance tapes, where they plotted their crimes in lurid covert dirty operations agains� LaRouche and his asso- detail. Both the criminals charged and their lawyers in the ciates. I Kidnappers, Inc. case were the very same men who had The dialogue for the book .s taken entirely from the thrown LaRouche in prison for life when they were work­ FBI's secretly recorded tapes,! giving the reader a rare ing for the federal government. glimpse into the criminal mind.! L

58 Investigation EIR March 19, 1993 wrote a letter to the judge, Carleton Penn, vigorously de­ The Overingtons also sought revenge by launching a na­ nouncing the sentence. But one year later, afterbeing subject­ tional media campaign using journ�ists sympathetic to CAN ed to strongfamily pressure and intensive sessions with CAN and the ADL, like Pat Lynch of Nae. John Overington, a deprogrammers, Mrs . Overington withdrew her support. West Virginia state legislator, sent CAN's hate literature Pressure was brought on Mrs . Overington because her to every state legislator in the country, seeking to harass daughters, Mary Rotz and Peggy Weller, and her son, John LaRouche supporters through instigating bogus legal pro­ Overington, opposed her political views, and wanted her ceedings. Overington also proposedl legislation which would money. effectively outlaw political fundraising. Mrs . Overington' s children firstcalled the Virginia Attor­ ney General's Officeand spoke with Assistant Attorney Gen­ The MK-Ultra mind controBers eral John Russell, who would later give false testimony in CAN's theories of the psycholc>gy of mind control are the Kidnappers, Inc. case against government witness Doug rooted in the CIA's mind control project, MK-Ultra. The Poppa; Mrs . Overington' s children also spoke with Russell's MK-Ultra project came out of the I British Tavistock Insti­ investigator, Virginia State Police agent C.D. Bryant. tute's studies of Nazi social control techniques. After W orId Bryant later testifiedin court that he referredthe family to War II, up through the 1960s and 1970s, the CIA and U.S. Mira Lansky Boland, the LaRouche case officerfor the Anti­ military agencies funnelled money through research founda­ Defamation League, because the family believed Mrs . Over­ tions and universities to study the various effects of torture , ington had been "brainwashed." Boland in turnput the family brain surgery, hypnosis, sensory deprivation, and hallucino­ in touch with CAN. genic drugs on individuals. These experiments were seeking Soon, Mrs . Overington's children moved her from her to perfect methods of mind control .l In many cases, the sub­ apartment in Baltimore, where she had been living on her jects were not volunteers, but werc� given drugs and other­ own, to a house next to her daughter's in Pennsylvania, where wised tortured without their permission. she found herself under virtual house arrest. She was worked Many of the CIA's pioneer experimenters from the MK­ on by Boland, then-CAN president Rev. Michael Rokos, and Ultra project are today board members and advisers to the Cult Bryant, who all told her lies, slanders, and half-truths about Awareness Network and the Ameri¢an Family Foundation. LaRouche and his associates. Mrs . Overington resisted the For example, Dr. Louis Jolyolll West received CAN's pressure for some days, refusing to believe the lies. She later 1990 Leo J. Ryan Award for "extraordinary courage, tenacity told the news media that her family had to work on her pretty and perseverance in the battle again$t tyranny over the mind hard before she would believe she had been "brainwashed" of man." Tyranny over the mind of manis certainly Dr. West's when she supported LaRouche. stock in trade . Over the course of 30 years , West has experi­ In a January 1991 article in Woman's Day magazine, mented on the minds of veterans, prisoners , alcoholics, and Helen Overington described her political disagreements with drug addicts with hallucinogenic drugs, electroshock, isola­ her family: "When I tried to talk politics with my children, tion, and small group behavior-control techniques. they'd say, 'Oh, Mom, you really don't believe that stuff, do In 1977, Dr. West was exposed on the front page of the you?' or 'Oh, Mom, you've been reading all that conservative New York Times as being funded by the CIA to perform literature again.' Especially Peggy, the most liberal. She fi­ experiments in mind destruction using LSD, as part of the nally told me , 'Look, Mom, we can't discuss these things. We MK-Ultra project. In John Marks'sibook The Search/or the just don't agree .' " Manchurian Candidate, West was lexposed as a pioneer of In an interview with an investigator, Peggy Overington LSD and mind control experiments lfunded by the CIA. De­ Weller said her mother was deprogrammed with the help of spite these and other damaging stories, West continues to be CAN. held in high regard among CAN' s m¢mbers, and is a frequent The Overington children then teamed up with Newbold lecturer and oft-cited researcher. West is also an advisory Smith to organize and fund the "LaRouche Victims Support board member of the American Family Foundation. Group ," which specifically targets supportersof LaRouche. The Trained in group dynamics at the British Tavistock Insti­ grouphas a special phone numberin CAN's office so that callers tute , the "mother" agency for most of the postwar Anglo­ can be referred to Kelly and other "experts" on LaRouche. American intelligence and "dirty tricks" apparatus, West set Once Mrs. Overington had been "deprogrammed," her out to manipulate group behavior with hallucinogenic drugs. family tried to use her to extortmoney fromRochelle Ascher, He ran "field studies" in the Hai,ght-Ashbury district of threatening to testify against Ascher in a criminal proceeding San Francisco in the early 1960s to Istudy the effect of drugs if Ascher didn't pay Overington some money. The family on youths, at a time when the hallucinogen LSD was making hired the Harrisburg law firmof McNees Wallace which had it into the "Bohemian" groups via the numerous MK-Ultra worked with the ADL and CAN in a previous case. When experiments. I Ascher's attorney exposed the extortion attempt, McNees West studied how drugs could :be used "as adjuncts to Wallace dropped out of the case. interpersonal manipulation or assault." He studied the use of

EIR March 19, 1993 Investigation 59 drugs in controlled groups, such as Charles Manson's killer Who's who among brainwashers cult. He wrote that the government could supply drugs to • Dr. Margaret Singer isl considered the grande dame control a group or a select portion of the population. "This of the Cult Awareness Network!. Singer, who is also an advi­ method, foreseen by Aldous Huxley in Brave New World sory board member of the Arperican Family Foundation, (1932), has the governing element employing drugs selec­ got her start as an Army psychj.atrist, studying Korean War tively to manipulate the governed in various ways," West veterans and prisoners of war. IShe worked in projects with wrote . "In fact, it may be more convenient and perhaps even Drs . Edgar Schein and Alberti Biderman, both exposed in more economical to keep the growing numbers of chronic Marks's The Search /or the M(lnchurian Candidate as run­ drug users (especially of the hallucinogens) fairly isolated ning the parallel military MK-Oltra programs. Singer's writ­ and also out of the labor market, with its millions of unem­ ings are also cited by the CIA frpnt, the Society for the Study ployed. To society, the communards with their hallucinogen­ of Human Ecology, Inc. I ic drugs are probably less bothersome-and less expensive­ Together with Dr. West, sll1e ran a survival and torture­ if they are living apart, than if they are engaging in alternative resistance study for Air Force I$telligence at Stead Air Force modes of expressing their alienation, such as active, orga­ Base in 1966. They helped ddvise a program of "survival nized, vigorous political protest and dissent." training," by putting a group of airmen in the desert, where To further his studies in LSD, he collaborated with Age they were forced to scrounge jmd eat lizards to stay alive. of Aquarius guru Aldous Huxley, the British pioneer promot­ They were kept in isolation bo�es overnight. The results of er of LSD and Satanism. Huxley praised West in a 1957 letter this experiment were a failure ; The training was so severe to Dr. Humphrey Osmond, the man who coined the phrase that it made the men weaker instead of stronger. "psycho-delic" (later changing it to "psychedelic" to take Also working with West, S.nger studied the Haight-Ash­ away any connotation of madness). Huxley wrote: "Dr. L.J. bury hippie drug "culture." Sh� interviewedhundreds upon West, ofthe Medical School ofUniversity ofOklahoma, was hundreds of drug-crazed hippie�, and examinined their LSD­ here a few weeks ago-an extremely able young man, I induced religious experiences in order to build psychological think. His findingsare that mescalinized subjects are almost profiles onth em. unhypnotizable. I suggested to him that he should hypnotize Singer has expended a gre�t amount of energy trying to his people before they took LSD." give credence to her version o� "brainwashing," and speaks After America's ghettoes exploded in violence in the late regularly on the subject at CAN's annual conferences. How­ 1960s, West promoted chemical castration and the im­ ever, her theories have been dis�redited by both the American planting of electrodes into people's brains as a means of Psychological Association and the American Sociological controlling violent behavior and political activity. In 1973, Association. I West proposed the creation of a Center for the Study and Singer holds herself out a$ an expert witness for legal Reduction of Violence. Among the programs planned were proceedings involving what sh� calls "mind control or coer­ genetic, biochemical, and neurophysiological studies of vio­ cive persuasion. " lent individuals, including prison inmates and "hyperkinetic" In a 1990 federal court casel in California, Singer was not children. West wrote to the Californiadirector of health that allowed to testify as an expert 'fiitnesson "mind control." In a Nike missile base, which the Army was turning over to his ruling rejecting Singer's e�pertise, U.S. Judge Lowell civilian use, would be a perfect setting for his center. "Such Jensen said, "The evidence before the court . . . shows that a Nike missile base is located in the Santa Monica Mountains, neither the APA nor the ASA lj.as endorsed the views of Dr. within a half-hour's drive of the Neuropsychiatric Institute. Singer ....Her proffered testimony in this case has been It is accessible but relatively remote. The site is securely challenged by the scientific co�munity on grounds of both fenced .. ..Comparative studies could be carried out there, scientific merit and methodolo$ical rigor. " in an isolated but convenient location, of experimental or In another case, Judge Jen$en stated, "Significantly, the model programs for the alteration of undesirable behavior." APA ultimately rejected the SMger task force report on coer­ Although West's Violence Center was never approved, cive persuasion when it was supmitted for consideration." he received millions of dollars in research funding for the Frustrated at the failure tet get the courts to adopt her study of gangs, violence, alcohol and drug abuse. absurd theories, Singer and hh cohort Dr. Richard Ofshe West became an "expert witness" for several court cases, filed aracketeering suit in 1992 �gainst the American Psycho­ including the Patty HearstSymbionese LiberationArmy kidnap­ logical Association and the American Sociological Associa­ ping case; and he interviewed Jack Ruby, who murderedalleged tion for refusingto sanction her work. John F. Kennedy assassin Lee Harvey Oswald, to evaluate • Dr. Robert Jay Lifton i* noted for his groundbreaking Ruby's sanity. During the Hearsttrial, West gave away the ''fam­ work on Nazi interrogation anp torture techniques. He is a ily secrets" about brainwashing, when he said "perhapsthe most favorite of CAN and the ADL, �nd is oftencited as an author­ insidious domestic threat posed by 'brainwashing' is thetenden­ ity on mind manipulation. Lifton analyzed Korean brain­ cy of Americans to believe in its power." washing techniques by studying American prisoners of war

60 Investigation EIR March 19, 1993 and Korean War veterans. He was named in John Marks's tion Project, a spinoff of the B 'nai B !rith. book as heading one of the CIA-run MK-Ultra parallel pro­ Rudin was an Air Force chaplai stationed in Korea and grams for the Air Force. Japan in 1960-62. He participated in �the formation of the New Lifton worked with Dr. Singer and others at the Walter Religions Movement in America, alopg with such pioneers of Reed Army Medical Center on "Chinese Communist thought LSD-induced "religious experiences," as Dr. Timothy reform, the assault upon identity and belief." His book, Leary's sidekick Richard Alpert (now Baba Ram Das). The Thought Reform and the Psychologyof Totalism, is the bible New Religions Movement, centered at the Graduate Theologi­ for those who believe in brainwashing. Deprogramming vic­ cal Union, Berkeley, Calif. , was a Pr

EIR March 19, 1993 Investigation 61 �TIillNational

LaRouche-Bevel helpedwin stay on farm foreclo�ures by Marcia Merry

On March 5, Agriculture Secretary Michael Espy announced of Agriculture press release Qf March 5, the review panel long-overdue action to stay certain Farmers Home Adminis­ "will then assess whether all iFmHA procedures were fol­ tration farm loan foreclosures, and to make provision for lowed, and where necessary, determine whether cases should review of FmHA lending practices. The Agriculture Depart­ be referred back to FmHA for ¢orrective action." The USDA ment runs the FmHA, the loan agency that has become notori­ said that panel members will be named "shortly." ous-along with the Farm Credit Association and various Espy said to the NFU convention: "I'm optimistic about private lenders-for fraud and abuse resulting in disposses­ the prospects for agriculture under this administration. But I sion of farm families, and loan-guarantee payoffs to a select know that many American fanners have been facing tough gang of farm loan holders ranging from such organized times. Every farmer struggles against the prospect of foreclo­ crime-related figures as Carl Polhad of Minneapolis, to the sure, or knows someone who qouldn't stay afloat.When that giant Rabobank of Holland. time comes, farmers turn to the FmHA. Espy's actions come after a mobilization of farmers and "Let no one be mistaken as to the large message. This others in the High Plains states of North and South Dakota, administation, and this secretary of agriculture, is going to led by the initiatives of the LaRouche-Bevel presidential keep a close eye on the FmHA process to make sure that campaign in the fall of 1992, and by the Schiller Institute's every American farmer facing foreclosure will be treated Food for Peace effort, active since September 1988. fairly and equally under the law." Espy made his announcements at a speechin Sioux Falls, The number of FmHA famlborrowers immediately in line South Dakota, at the annual convention of the multi-state to receive potential relief and 1redress from Espy's action is National Farmers Union (NFU), headquartered in Denver, estimated at 2,500-2,600,out df the total oD ,600FmHA farm which backed the Clinton presidential bid. loans in the process of foreclcbsure. Overall there are about 155,000 borrowers fromthe FrhHA.Last fall, letters went out 'Tough times' to 30,000 borrowers in arrears, notifying them that arrange­ Specifically, the agriculture secretary has suspended ments would have to be made, or foreclosure would be initiat­ FmHA foreclosure actions not yet referredto a court, pending ed. This latest round of notificationfollows several others over review by an independent panel that he plans to form soon. the past few years, the result M which has been hardship on Said Espy at Sioux Falls, "One of my priorities as secretary farm families ranging from forced dispossessions, "volun­ of agriculture is to ensure that FmHA is friend in need. A lot tary" exodus from farming, tlle necessity of taking off-farm of farmers going through foreclosures feel that they're not jobs to meet debt service, and' many other burdens. always being treated by the book." In the early 1970s, national agriculture debt was under The borrowers facing foreclosure, but not involved in the $50 billion. By the mid-198OS, it had topped $200 billion. courts, are to receive a certified letter informing them that By 199 1, it had fallen down to around $160 billion. This they have 30 days to ask that their case be reviewed by the growth, then plunge of the debt reflects the liquidation and new independent panel. According to the U.S. Department elimination of many individual family farms, rather than

62 National EIR March 19, 1993 A rally of the Foodfo r Peace organization at the courthouse in Meadville, Pennsylvania in 1989, where a hearing was to be held on the fo reclosure of a localfarm. Years of work by the LaRouche I movement to stop the fo reclosures created a climate where the new agriculture secretaryfe lt he had to respond to the pressure of his constituents.

increased solvency of the farm sector. Over this time period, countryside to collect such guarantees. Soon, the farmer the major lending agencies have been the Farm Credit Asso­ would findhimself foreclosed, and the federal loan guarantee ciation (both Production Credit Associations, and Federal money would be paid out to the noteryolder. Land Banks,) commercial banks, the FmHA, and other pri­ In Iowa, the Production Credit Association was caught vate entities, including insurance companies. in the act, and had to repay, $4 million in compensation for The impetus for the debt growth has been the systematic fraudulent loan practices. underpayment of fanners for their output. For example, the In the Dakotas and Minnesota, oneI such recipient of fed­ farmer is getting only about $2 for a bushel of com today, eral loan guarantee largesse has beeJ Carl Polhad , a Minne­ when it costs $5 to produce it. A dairy farmer is getting about apolis-based mob banker, who is part!of the successor gener­ $1 1 per hundred pounds of milk, when a parity price, giving ation to mobsters Meyer Lansky an Kid Cann. Polhad , a a fair return, would be $25. Therefore, farmers have been one-time owner of the Las Vegas T ?opicana Casino Hotel, forced into debt. has systematically bought up regional farm loans, and re­ This underpayment has been enforced by cartel food ceived the federal payoff when the f�er is liquidated. Lo­ companies monopolizing the market, and also setting USDA cals call him "Carl the Liquidator." policy. The major companies include Cargill, Continental, In the 1980s, the Dutch-based giant Rabobank, the Bunge, Central Soya/Ferruzzi, Louis Dreyfus, ConAgra, largest agriculture lender in Europe, systematically placed and Archer Daniels Midland. itself in a position to cash in on the U.S. federal loan guar­ antees. Federal loan guarantee swindle In the mid- 1980s, changes in federal farm law were made Mr. Secretary, what next? in the name of providing additional credit to strapped farm­ When he made his announcements , Secretary Espy made ers, but in reality, the changes made facilitated rampant pay­ no reference to any of these specifi9 personalities or viola­ offs to private farm debt holders. The new mechanism was tions in the farmbelt. But the truth is pouring forth in local the provision of federal-loan guarantees for farm loans. courts and state legislatures, and Espy, who served on the For example, a farmer would borrow from a local bank House Agriculture Committee, had pledged to befriend the or other entity, and the bank would receive a federal loan farmer. Espy's father was a career o�ficerin the Department guarantee. Typically, the local bank might then sell the of Agriculture Extension Service in rkansas. loan--<:omplete with guarantee-to a swindler combing the Espy received a rousing ovation when he told the NFU

EIR March 19, 1993 National 63 crowd, "If you can make it, we want to help you make it. For the past 12 years , we haven 't been in that posture. But Library of Congre Exhibit baby, it's a new day now." In addition to his announcement of the selective farm foreclosure suspension, Espy has said that there will be a USDA investigation of the FmHA in regard to government guaranteed loans. He also said that he has appointed a com­ Vaticane ibit in mittee to "look across the entire farm law to see what we can do for farm income." D.C. The heat is on the administration to take action on the shatte s myths farm and food emergency. About half of the USDA annual budget, depending on the accounting methods used, goes for food stamps and other food relief. In February, a record . number of 26.5 million Americans were officially reported In early January a myth-sha g exhibit of more than 200 to be receiving food stamps-and this number does not count . items chosen from the collectio s of the first modem research those eligible who are not signed up. library-tbe Biblioteca Apos ·ca Vaticana-4>pened at the Under the banner of "farmers and eaters united," all these Library of Congress in Washin n, D.C. The exhibit entitled issues of fraud, organized crime, and the right to grow and "Rome Reborn-the Vatican ibrary and Renaissance Cul­ eat food, were taken up last fall in a campaign initiated by ture,"continues until April 30, d demonstrates thethat Vati­ Rev. James L. Bevel, vice-presidential running-mate of Lyn­ can was at the center of the ex losion of learning and culture don LaRouche, who was on organizing tours in the Dakotas associated with the Renaissan rediscovery of ancient Classi­ in August, October, and December 1992, and March 1993. cal learning in theaftermath of e Council of Ferrara-Aorence In December, Judge William Goodloe, a former Wash­ (1437-45). The manuscripts, ks, maps, and other itemsare ington State Superior Court judge , held four days of hearings selected to show an aspect of atican policy that is not well in the Dakotas, to take evidence of wrongdoing. He was known: the decision of the Repaissance popes, starting with joined on the presiding panel by Rev . Wade Watts of Oklaho­ Nicholas V in 1451, to vigoroJisly promote the revival of an­ ma, a former member of the U.S. Commission on Civil tique learning, especially Greek!science and art. Rights, and Philip Valenti, leader of the Schiller Institute The Washington exhibit, lily laying evidence before the Food for Peace effort. Preliminary findings of the Goodloe public in the form of the librahr's original manuscripts and commission were circulated to the new 103rd Congress, books which launched modetn science, Renaissance per­ when farm, Native American, and other activists from the spective, and polyphonic mu�c-some spectacularly illus­ Dakotas went to Washington, D.C. in early 1993. trated by great Renaissance .rtists such as Ghirlandaio­ Representatives Fred Grandy (R-Iowa) and Tim Johnson puts to rest the fundamental �yth of the Enlightenment that (D-S.D.) issued a call for a moratorium on foreclosures, Renaissance learning and cre.tivity in the arts and science ' pending a congressional investigation of fraud and abuse in were somehow "secular" aCC mpliShments in opposition to farm credit lending policies, which they have requested of a "reactionary" and "repressiv " church. the House Agriculture Subcommittee on Credit. On Feb. 3, Many of the manuscripts give unique insights into the this author raised the issue of federal loan guarantee swindles history of knowledge, as the� iewer sees the actual works at the firstfull hearing by the House Agriculture Committee, which were inthe hands of th enaissance humanists-their chaired by Kika de la Garza (D-Texas). comments written in the marg ns in some cases. On the state level, resolutions calling on Congress to investigate fraud and stay farm foreclosures, were introduced Mathematics, astrono ly, geography and debated in January and February in both North and South The items in the show, se ected and catalogued by non­ Dakota. In Pierre, S.D., a crowd of 150 people showed up Vatican-linked American sch lars, include the first transla­ for the March 3 legislative committee hearing on the matter­ tion from Greek into Latin of ertain works by Archimedes, despite efforts to harass and deter backers of the resolution. which was sponsored by Po Nicholas V (the pope who Longtime South Dakota political leaders Ron Wieczorek publicly announced that Nic laus of Cusa had been made (state representative of the LaRouche-Bevel campaign) and a cardinal). In 1453 Cusa d icated his On Mathematical Charles Bellmon (former head of the state Democratic Party) Complements, a critiqueof himedes, to this pope in grati­ are conducting citizen's hearings in Nebraska March 10 and tude for the translation proj t. The works of Archimedes 12 to assemble more evidence for redress in the farm belt. survive at all only by virtue of three manuscripts, two of Already calls are coming in volunteering new evidence on which are now lost, but were It/anslated into Latin in the papal the Kansas City Federal Reserve's involvement in farm dis­ court and preservedlater in th� Vatican Library. Thereis also possessions. an elegant series of manuscri�s of mathematical and optical

64 National EIR March 19, 1993 works by Euclid, Ptolemy, and others, as well as a IOth­ century Latin version of Plato's Timaeus with wonderfully colored diagrams. Apollonius's famous studies on Conics was all but un­ known in the West until the 15th century , and is in the exhibit. Besides containing a parchment manuscript of Euclid's Ele­ From "Rome ments dating from the ninth century , there is an incredibly Reborn" at the Libraryof beautiful copy of Euclid's Optics from 1458 on parchment Congress: The with a miniature illustration of a street lined with buildings earliest painted in true Renaissance perspective. illustration of a The Renaissance artist Piero della Francesca (d. 1492) subject seen researched his great geometrical works on Perspective and through a microscope, a the Five Regular Solids from manuscripts in the Vatican 1625 engraving Library . A beautiful edition of his work on the Five Regular of Francesco Solids in Latin from the 1480s is opened to a page showing Stelluti's an icosahedron inscribed in a cube facing a cube in an octahe­ observations of dron. In terms of astronomy, the exhibit contains the oldest insects. Bees were the and best manuscript of early Greek astronomical works, as emblem of the well as Ptolemy 's famous Almagest on a parchment edition Barberini from the ninth century . There are also Arab and Persian fa mily, to which astronomical works from the 13th and 14th centuries. Beauti­ the pope ful and large versions of Ptolemy's maps are laid open. belonged. There is no less impressive a collection of books and manuscripts on the life sciences-medicine, botany, and Re­ naissance anatomy. polyphony are all arranged in what is called choirbook format. In each opening, the first two facing pages of the manuscript, Promoting polyphonic music the layout of the music presents the pol�honic lines as separate Contrary to popular misconceptions, the music manu­ voice parts, rather than as a score as we might see it today, in scripts of the papal choir demonstrate that the Renaissance a notation strikingly different from anything we are used to .

Vatican choir was at the center of developing, promoting and There are no bar lines, for instance. The names of the several encouraging polyphonic music along with preserving chant. parts varied, but they correspond mord or less to the soprano From the 15th to the middle of the 16th century , the singers in (top left), alto (top right), tenor (Iowef left), and bass (lower the papal choir included such great composers as Guillaume right) of the modem choir-remembering, however, that in the Dufay (ca. 1400-74) and Josquin des Prez (ca. 1440- 1521), Vatican all parts were sung by adult meh. Each singer or group the greatest composer of the late 15th century . The polyphon­ of singers would read from his or their dwn part like theplayers I ic manuscripts in the Sistine Collection demonstrate that the in a modem string quartet. No conduct r was needed, although great composers of sacred music in the Renaissance celebrat­ there probably was a time beater em loyed to keep all the ed God through polyphonic music as part ofthe liturgy. Much singers together. The result was a music of great power,beauty , of the polyphony preserved provides musical settings for and complexity that must have entranced the congregation in l the ordinary of the mass. The ordinary consists of the five the Sistine Chapel during the long cele ration of the liturgy." components of the mass texts-Kyrie, Gloria, Credo, Sanc­ tus, and Agnus Dei. Other gems At the point in the mass called the offertory , it became Among the stunning other items ir the show are several the custom for the singers to perform motets, polyphonic closely associated with the Council of Florence of 1439, such I settings of any number of religious pieces. There are also as the first Coptic, Armenian, and Ethiopian manuscripts to manuscripts of many settings of the Magnificat-the canticle enter the Vatican Library, and a litur� book which belonged of the Virgin Mary, sung at vespers-and settings of hymns. to Isidor of Kiev (who tried to bring tHe Renaissance to Mos­ One source dating from the late 15th century is a treasury cow). A major section is devoted to the dfforts of Jesuit mission­ combining hymns and Magnificats with motets. The papal aries in China to show the coherence �tween Christianity and singers had their own library , now containing 600 items, Confucian morality. There is also an illmminated manuscript of containing everything from documents relating to their daily the plays of Plautus, a Latin comedy wHter whose works were lives, to manuscripts of chant and polyphony. found in Germany by Cusa and brough I to Rome in 1429. This The essay on the music in the collection in the accompa­ became the basis for launching secular drama in the Renais- I nying catalogue reveals that "The manuscripts of Renaissance sance. Also: Galileo's 1612 drawings of sunspots seen through

EIR March 19, 1993 National 65 the telescope; Henry Vill's love letters to Anne Boleyn (in es. When the codices did not come back, Pope Leo X himself possessionof the library since the mid- 16th century);the Urbino sent out a "recall" notice, also in the exhibit. Bible, a two-volume work the size of a coffee table, with During the Renaissance, the Papal Curia-the priests, spectacular illustrations, dating from 1476; prayer books writ­ scholars, canon lawyers, and artists who were at the center ten on palm leaves, from Sri Lanka. of the pope's intellectual and !Utistic projects-were swept There is a copy of the 12th-century Latin translation of a up in the excitement of a revival of leaming and creative medical encyclopedia by Ibn Sina (Avicenna), illustrated activity of all sorts. In the 15th century, humanists came to with miniatures accurately depicting patient problems. The dominate the secretaryshipsan4 the entire papal bureaucracy. exhibit contains famed manuscripts, beautifully illustrated, Papal secretaries had to have a mastery of ancient Latin litera­ of Euclid, Plato, Homer, Ptolemy, Petrarch, Cicero, Vergil, ture and preferably Greek as well. It is estimated that at its Thucydides, Alberti, etc. height in the Renaissance, thel papacy employed more than 100 humanist scholars. Revival of the city of Rome The creation of the Vatican Library, and especially the The East-Near and Far building of St. Peter's, was an integral part of reviving the The strategic outreach of the Vatican during the Renais­ city of Rome, which began the Renaissance as a collapsed sance is represented in two other sections of the exhibit. One city and cultural backwater comparedto Florence. The popu­ section displays treasured manuscripts from Isidore of Kiev lation had fallen to 20,000, and was dominated by feuding to the Bulgarian czar, from I/-n early Cairo edition of the noble families, terrorized by gangs, and devastated by malar­ Gospel of Luke in Arabic, to an Ethiopian Psalter, to early ia and other diseases. When the papacy returned to Rome fragments of Arabic manuscripts in Spain. An edition of the from A vignon in 1377, the French party at the papal court Gospel of Matthew in Persian i$ displayed next to a Gregorian elected its own pope. This Great Schism lasted for 38 years Calendar fo r All Eternity in Armenian. The other section until 1415; in 1409 the situation became worse when the is a most intriguing record oil the great Christian humanist Council of Pis a elected a third pope. The financialand spiritu­ missionaries in East Asia. al authority of the church was at an all-time low. Beginning in the 1540s, italian, Portuguese, and later The conception behind the library was to throw open the Spanish, German, and French missionaries carried western windows and let in some fresh spring air by creating a public ideas and technologies to the Orient. St. Francis Xavier land­ or Vatican center of leaming opened to scholars of whatever ed in Japan in 1549. Matteo Ricci (1552- 1610) established a religion, as opposed to a purely papal or private one. Human­ mission in southern China in tie 1580s. The exhibit contains ist scholarship, centered on the recovery and explication of a rare and beautifully execut¢d Chinese portrait of Matteo classical texts, was brought to the center of Christendom. Ricci, the most famous of all the Jesuit missionaries to East Pope Nicholas V (1447-55) described his purpose in a letter Asia, a manuscript letter of appreciation to the church from to Enoch of Ascoli in 1451: "For the common convenience Japanese officials in 1621, ahd an extensive collection of of the leamed we may have a library of all books both in maps of Asia from the Vatifan Library. Printed Chinese Latin and Greek that is worthy of the dignity of the Pope and translations of western scien¢e and technologies from the the Apostolic See." early 17th century are also on display. Two decades later, Pope Sixtus IV issued a famous bull Those unable to travelto Washington to visit the exhibit can giving form and structure to the library in which he again study the treasures in a beautifully printed 323-page catalogue cited the aim "for the convenience and honor of the leamed published by the Library of C�ngress. The catalogue contains and studious." He installed the books in a custom-built suite full-color photographs of all the most important manuscripts as of rooms, spectacularly decorated by artists of the day . The well as extensive and informative essays by different scholars books themselves lay flat on the banchi or wooden benches on the following areas: The Vatican and Its Library, The Popes with tables attached. Chains were specially forged in Milan and Humanism, The Ancient . City Restored, The Recovery to attach the books to their places. By the time Sixtus died, the of the Exact Sciences of Antiiquity, The Life Sciences and library had more than 3,600manuscrip ts. Today the Vatican Medicine, Music and theRenaissance Papacy, Eastern Church­ Library includes 60,000 or more westernmanuscripts , 8,000 es, and East Asia in the VaticaJll Vaults. books printed before A.D. 1500,and vast numbers of non­ The lasting cultural impaQt of the exhibit will be to bury western books and manuscripts. in the cemetery of dishonesty the attempt of 20th-century Borrowers recorded the books they took and returned in academics to replace Christi� humanism with their invent­ simple notebooks. The Washington exhibit contains the entries ed, false construct of "secular humanism." It also contributes by Pico della Mirandola when he borrowed and returned the considerable evidence to disprove the false dichotomies be­ works of the famous English Franciscan Roger Bacon. The tween science and religion, between faith and reason, along library lent Cardinal Ximenes two manuscripts of the Greek with the overall Enlightenment myth that Classical leaming, Old Testament for his greatedition of the Bible in threelanguag- art, science, and Christianity! are mutually incompatible.

66 National EIR March 19, 1993 League of B 'nai B 'rith, have been lobbying the Clinton team to take a hard stance against allegeU Islamic terrorism, a stance that would place the administra�ion into a new "special New doubts about partnership" with Israel. So far, President Clinton and Secre­ tary of State WarrenChristopher have resisted the pressure. Tr ade Center bombing A newspaper in the United Arab Emirates, Khaleej Times, over the weekend of March6-1 raised the question of possible Israeli Mossad involvemen in the bombing. For by Jeffrey Steinberg l years, Israeli intelligence has infill:rflted radical Arab and Islamic fundamentalist groups, often ",ith the aim of instigat­ Although federal agents tracking down a myriad of leads ing violence to justify counter-terroractio ns. have now arrested three individuals for their alleged involve­ In the specific case of the World lIrade Center, questions ment in the Feb. 26 bombing of the World Trade Center in have been focused on the role of a woman identified as Josie New York City, the investigation to date has also raised a Hadas. When Mohammed Salameh rentedthe Ryder van, he ; number of perplexing questions about the ultimate authors listed an apartment rented in Hadas s name as his current of the terror attack that left at least five people dead and address, and gave her telephone number. Hadas is reportedly thousands injured. a Jewish Israeli; one Israeli counter-terrorismexpert contact­ Following the initial arrest of Mohammed Salameh, a ed by EIR admitted that it was likely that she was working Jordanian national , on charges of aiding and abetting in the as an undercover operative for the �ossad, but would not bomb plot, the FBI has arrested !braham A. Elgabrowny and speculate on her possible role in the bombing. According to Nidal A. Ayyad. Elgabrowny, a cousin of EI Sayyid Nosair, Khaleej Times. "FBI officialswould nCi)tcomment on whether the man linked to the assassination of Jewish Defense League Miss Hadas was an Israeli or had any links to Israeli intelli­ founder Rabbi Meir Kahane several years ago, was arrested gence. Joe Valiquette stated: 'We have no idea whether on March 4 at his Brooklyn apartment on charges of as­ Hadas is a member of the Israeli Mos$ad, but even if it were saulting a federal officer. He has not been charged in the true, we wouldn't tell you anyway.' " bombing. Police and FBI agents raided his apartment because With the arrests of the three men� including one with a Salameh had listed it as his home when applying for a driver's bachelor's degree in chemical engine�ring, the same .Israeli­ license several years ago. linked "experts" who one week beforewere screaming about Ayyad, a chemical engineer employed by a major defense Muslim fundamentalist terrorsquads i�vading America shift­ contractor, Allied Signal, was arrested at his Maplewood, ed gears and began peddling the line, that the Trade Center New Jersey home on March 10 and charged with abetting the bombers were amateurs who assemblcPa "makeshift bomb." bombing . Ayyad shared a bank account and a storage room In fact, U.S. and European ex�s have insisted from with Salameh, and police believe he may have been with the outset in interviews with EIR thatthe Trade Center bomb­ Salameh when the Ryder van that apparently carried the ing was a very sophisticated operation, which required the bomb was rented several days before the Trade Center explo­ input of at least one leading intelligence service. None of sion. According to a March 11 New York Times story , federal the existing terrorist groups operating in the world today, investigators have traced a series of international wire trans­ according to these experts, have the ih-house skills to carry . I fers to the Salameh-Ayyad bank account totalling $8,000 out such an operation. . during the weeks leading up to the bombing. The probe into This evaluation was echoed by LYndon LaRouche in a the source of those funds may provide one of the first hard March.8 interview: "Certainly, that bOmbing could not have leads into the authorship of the terror attack. been done by a bunch of Arabs. There are a few people, a few teams in the world, that could hav, done that-relatively The Israeli connection few. Most of them are known; this was not simply done Federal investigators are following a series of fortuitous by that blind, 80-year-old sheikh. Tbat sheikh is a British leads that developed from their initial search of the bomb intelligence asset. We have his pedigree.. .. He was site . However, so far, they admit that the arrests of the three brought into the United States in 199[ by the State Depart­ individuals provide few clues about who ordered the bomb­ ment and protected by the State Department, up until these ing and for what purpose. recent events . He is actually owned y British intelligence b' Israeli-linked terrorism "experts" have been quick to out of the old Arab Bureau network. jump on alleged links among the three arrested men and an "This whole thing is a can of wopns . It is not the true Egyptian Islamic cleric , Sheik Omar Abdul-Rahman. Abdul­ story . It is not leading in the direction iof the true story. This Rahman , who preaches at mosques in Brooklyn and Jersey World Trade Center bombing is an a�t of terrorism against City, has denied any role in the bombing. For months, Israeli the United States, like that we saw in �e strategy of tension intelligence, along with groups like the Anti-Defamation in Europe in the late 1970s."

EIR March 19, 1993 National 67 Congressional Closeup by William Jones

' ustenty. Dems,' GOPers ton's deficit reduction targets without cleansing." A resolution sponsored by demandA more budget cuts a tax increase. But many Republicans Rep. St¢ny Hoyer (D-Md.) has gath­ Democrats, led by Reps. Tim Penny are reluctant to push the Kasich pro­ ered 23 backers in the House, and a (D-Minn.) and Charles Stenholm (D­ gram for fear that by offering their similar resolution sponsored by Sen. Tex.), pushed House leaders on own plan now, they would deflectthe Dennis OeConcini (D-Ariz. ) has gath­ March 4 to make $10 billion of addi­ debate over the Clinton program. ered 14 \lackersin the Senate. The res­ tional cuts in President Clinton's eco­ Opposition to the Clinton stimulus olution calls for lifting the arms em­ nomic package for fiscal year 1994, package is especially strong in the bargo a$ainst Bosnia, enforcement of and $60 billion over four years , as Senate. A group of Democrats around the "no�fly" zone, the withdrawal of budget negotiations move into a criti­ Sen. David Boren (D-Okla.) are at­ irregulat forces, i.e., the Bosnia cal phase. tempting to strip almost all of the new Serbs, ftom Bosnia-Hercegovina, and House Democrats met privately to spending out of the bill, arguing that effective delivery of humanitarian try and reach a compromise with the the economy is already on the road to aid. I "austerity Democrats ," who believe recovery and therefore needs no stim­ Sonieare warningagainst the dan­ that the Clinton package contained too ulus. Sen. James Exon (D-Neb.), a ger of doing nothing, or too little. In many new taxes and not enough bud­ key vote on the Senate Budget Com­ statements on the Senate floor on get cuts. House Budget Committee mittee, warnedin meetings with Clin­ March 2, Sen. Alfonse D' Amato (R­ Chairman Martin Sabo (D-Minn.) ton and Vice President Al Gore on N. Y.) warned: "Temporizing and half noted that pressure is growing for March 2 that they would have to elimi­ measur¢s will not do. Time, and the deeper cuts as recent estimates by the nate the super-collider and the space Serbian aggressors, march on, paying Joint Committee on Taxation and the station, as well as Clinton's pet na­ no atteqtion to our domestic debates Congressional Budget Office predict tional service program, in order to get about tlie economy or the deficit. The that the Clinton deficitreduction pack­ their program through the Senate. Serbians may even rejoice that we are age will fall nearly $17.5 billion short distracted from their activities and ap­ of its stated goals for fiscal 1997 and pear unlikely to have the inclination, more than $61 billion shortfor the five the will, or the strength necessary to years ending in fiscal 1998. decisiv¢ly halt their aggression." During a bargaining session on ebate on Bosnia What is most dangerous, said March 3, Sabo offeredto increase the policyD heats up D' Amato, is a situation "in which we spending cuts in CliI:ton' s plan by As the House Armed Services Com­ do too little, too late, at every critical $3.7 billion in fiscal 1994 and by a mittee examined policy toward former juncture, allowing aggression to suc­ total of $21 billion over four years, Yugoslavia in committee hearings on ceed, allowing ethnic cleansing to go according to Capitol Hill sources. March 4, a fight continues over unreve�sed, allowing genocide to go Sabo, the Democratic leadership, and whether to help the Bosnian Muslims. unpuni*hed, allowing the war to wid­ the White House are reluctant to ac­ A House Republican task force on en, and'allowing the cost of correcting cept additional spending cuts for fear the Balkan crisis is pushing for an end these developments to continue to es­ of alienating those members who are to American airdrops of supplies into calate beyond the price that we are trying to maintain necessary educa­ Bosnia. Calling the airdrops ineffec­ politically willing to pay at any partic­ tion and social programs. tive, task force chairman Susan Moli­ ular point .... Instead of having a Republicans have launched an of­ nari (R-N. Y.) said on March 4, "From new world order, we face the possibil­ fensive for deeper cuts with their usual all reports , these airdrops are doing ity of ap increasing world disorder." charge that the Democrats are the par­ nothing but provide bait" for Muslims ty of the "big spenders." Republican to leave their towns to be attacked by senators held a press conference on Serbs. The task force said President March 4, where they attacked the Clinton should allow U.S. aid to be Clinton administration for overesti­ delivered on the ground by non-gov­ unn warns of further mating the deficit. ernmentorganizati ons. cutsN i� defense budget Rep. John Kasich (R-Ohio), the At the same time, momentum is Sen. Sam Nunn (D-Ga.), chairman of ranking Republican on the House building for stronger action in support the Senate Armed Services Commit­ Budget Committee, has worked out an of the Bosnian Muslims, who are sub­ tee, warned against trying to "raid" alternate plan that would match Clin- ject to a Serbian policy of "ethnic the defense budget in order to bring

68 National EIR March 19, 1993 down the deficit. the Reno nomination was generally med Salameh, haa entered the United In comments on the floor of the well-received by Democrats and Re­ States on a business visa and stayed Senate on March 5, Nunn complained publicans alike, judging from the beyond the expiration of his visa. He that too many of the cuts demanded hearings on March 10-11. also called for tougher restrictions in in the Clinton budget come from the Sen. Charles Grassley (R-Iowa) the procedure foqgranting asylum. Department of Defense, and called in­ pressed Reno to look into the Depart­ stead for more cuts in entitlements and ment of Justice's recent handling of other discretionary programs. "None the case against black congressman of the other categories of the budget Harold Ford (D-Tenn.). After com­ summit-entitlements, interest pay­ plaints by the Congressional Black lickman t() stress ments, or revenues, all of which were Caucus regarding possible racial G'economic intelligence' affected when the recession hung on stacking of the jury in a retrial of Ford The House Permanent Select Com­ longer-have met their share of the on bribery and conspiracy charges, mittee on Intelligence held hearings savings required by the budget sum­ acting Attorney General Stuart Ger­ on March 9 with CIA head R. James mit," Nunn said. son supported Ford's request to dis­ Woolsey appearing in an open hearing Nunn noted that the Pentagon also miss the jury and choose another. to explain the needs of the intelligence takes an $18 billion cut indirectly Reno said that she had already dis­ community. This is an innovation set through the federal pay freeze pro­ cussed the matter with Gerson and up by Rep. Dan Glickman (D-Kan.), posed as a part of the Clinton package. was satisfied he had not acted due to the newly appointed chairman of the He indicated that he thought the pay political influence. "I don't see any committee. freeze could run into considerable op­ further action to be taken on it," she The open hearings are designed to position when it is taken up by Con­ told Grassley. "demystify" intelligence activities, gress. according to Glickman, who succeed­ ed Rep. Dave MdCurdy (D-Okla.) as chairman. AltholIgh McCurdy was deposed from his House intelligence seat by Foley on the pretext of having rade Center bombing been on the cOIlfllittee for a record ttorney General nominee fuTels death penalty push nine years, Foley extended that limit willA speed up executions In the wake of the terrorist bombing of to 10 years for

EIR March 19, 1993 National 69 National News

look forward to my meeting tomorrow with Species Act. tribal leaders. " A spokesman for the Interior Jim Bllfa, a Wilderness Society board • Department told EIR that they had no plans member, i, slated to become director of Md. students demand for formal meetings with the gambIer-gang­ Bureau of lj.andManagement. Already con­ sters who are using the Indian tribes in this firmed is Ajlice Rivlin as deputy director of Taney's name must go enterprise. the Officed fManagement and Budget. The Students at the Roger B. Taney Middle Washingto� Post wrote recently, "The team School in Prince George's County, Mary­ being assembled to runthe Interior Depart­ land are demanding that the Board of Educa­ ment is as green and southwestern as a jala­ tion change the name of their school, after peno peppct." (PPF says, "And it's leaving having learned that Taney , as Supreme wise users Witha hot taste in their mouths.") Court Chief Justice, was the author of the Thornburgh leaves Chuck �ushman, executive director of hated 1857 Dred Scott decision which ruled post at United Nations the Natio� Inholders Association said, that black slaves were property, not hu­ "Frampton :is a classic easternurban elitist, Richard Thornburgh, the former U.S. At­ : mans . The school is 80% black and is in a educated a Harvard Law and Yale, who torney General, resigned from his post as majority-black county adjacent to the Dis­ knows no ing-and cares less-about ru­ Undersecretary General for Administration trict of Columbia. The students are de­ ral AmeriCims who depend on natural re­ and Management at the United Nations in manding that the name be changed to honor sources fo� their jobs." NIA fears Baca's early March, and simultaneously issued a another Maryland native, the late Justice influence o+.rerthe Bureau of Land Manage­ report critical of Secretary General Boutros Thurgood Marshall. ment becaqse "he is a demonstrated enemy Boutros-Ghali's management of the U. N. "I don't see how we can be proud of a of mining d private property." Cushman staff. Boutros-Ghali replied that, insofar as � man that didn't consider most of us citi­ continued, :"Many people in America have this was the first written report his office has zens ," said the president of the student gov­ been conv�ced that 'wilderness' is synony­ received from Thornburgh, he had no basis ernment. "He thought most of us were mous with jpark. ' They will be surprised to to evaluate Thornburgh's complaints, property ." find out tIutt 'wilderness' means 'you can't which included accusations that Boutros­ In reporting on a packed, March 3 go there.' .. Ghali rewarded retiring colleagues with school board meeting to discuss the name over-priced consulting contracts. change, the local Washington NBC affili­ Boutros-Ghali declined to renew ate, added the comment: "This is not the Thornburgh's appointment, and offered the only such controversy. The statue of Albert Clinton administration the opportunity to Pike which stands at Judiciary Square [in name his replacement. According to the Pamel41 Harriman to be Washington] may be the next to go. Pike New York Times, this was a concession by was the founder of the Klan." The anchor ambaslsador to Paris? the secretary general, who had earlier at­ neglected to report that the effort to remove tempted to establish the principle that such There's a ''!done deal" for Pamela Harriman the statue was initiated by the presidential offices were "political" and under the con­ to become American ambassador to France, campaign of Lyndon LaRouche. trol of the secretary general. the Sunday Times of London reported on March 7. 'the appointment of this "English aristocrat !pld daughter-in-law of Sir Win­ ston ChurqItill" to the post is "considered a personal ard fromPresident Bill Clinton �. Governors protest Indian for her pol" cal and financialsupport during Ecologists stock the earlies days of his fight for the White reservation gambling House. " In:19 81, when Clinton lost a reelec­ At a March 8 meeting in the Interior Depart­ Interior appointments tion bid fdr Arkansas governor, Harriman ment, the governors of Arizona, Colorado, Interior Department appointments by Bruce asked him to serve on her "influentialDemo­ Nevada, and Rhode Island protested to Inte­ Babbitt are causing great consternation cratic fundraising board in Washington," rior Secretary Bruce Babbitt against the among people living in the West who de­ the Democ:rats for the '80s. Harriman is U.S. government's imposition of casino pend on natural resources for their liveli­ known as '�theQueen Mother of the Clinton gambling on Indian reservations in their hood, according to a report from Putting court." states. The governor of Kansas sided with People First (PPF). The president of the The S,nday Times article is fawning the gamblers . Rhode Island Gov. Bruce Wilderness Society, George Frampton, has with admirationfor the widow of Democrat­ Sundlun voiced concern over the incursion been nominated to become Assistant Secre­ ic Party Jqngmaker Averell Harriman, in­ of organized crime through the establish­ tary for Fish, Wildlife, and Parks-a posi­ cluding udking of her postwar "glamor ment of the casinos. tion that would put him in charge of the years" in Raris and her more recent "politi­ Secretary Babbitt issued a weak-kneed National Park Service, Fish and Wildlife cal soiree$ in Washington," which often statement promising to "continue to seek Service, Land and Water Conservation included sUch figures as Henry Kissinger input from all sides in this debate. . .. I Fund, and enforcement of the Endangered and Margaret Thatcher. She now prefers

70 National EIR March 19, 1993 I Brtfdly

• AMELIA BOYNTON Rob­ inson joined tl!.e commemoration of the Paris posting to a possible posting in local party machines are acting to not only the March 7, 1965 march across Sel­ London, since she should be able to "cut an discourage, but in some cases to prevent ma, Alabama's Edmund Pettus impressive swath in French society" more party members from becoming delegates for Bridge this year, marching beneath a Spannaus, and in some cases, from becom­ easily. banner declating "From King to ing delegates for the labor-endorsed candi­ Another story passing the rounds, is that LaRouche: Freedom Still Can't date for AttorneyGeneral , Jim Updike. Hillary Clinton connived to have her sent Wait." During the original march 28 to Paris, to get her out of Washington, so "In four localities which I know of, indi­ years ago, Am�lia Boynton was beat­ she would not have competition among the viduals approaching the designated party of­ en, gassed, and leftfor dead, but nev­ Washington power circles. ficials have been given delegate forms with er stopped her �ttle for human rights. the names of Mary Sue Terry and Don Beyer already typed in. When they have asked for • INDIANA ' SENATORS voted blank delegate forms, they have been told 41-9 this mon$} to make it a crime that they are not available. In some cases in Indiana to a$sist in a suicide. The the individuals wishing to become delegates penalty could be a sentence of up to Clinton appointee rejects for Spannaus, have succeeded in getting one eight years in rison. The measure form which was blank; in at least one other, r managed health care now moves to me Indiana House. an individual was told that it was not possi­ Bruce Vladek, president of the United Hos­ ble to sign up for anyone other than Mary • POLITICAL CORRECTNESS pital Fund of New York, has been nomi­ Sue Terry , or uncommitted. determines that it is no longer proper nated by Clinton to head the Health Care "This is clearly only the tip of the ice­ to say that Stanford University, Financing Administration, the federal berg, and a violation in spirit, if not in law, which straddle� California's San An­ agency that runs the Medicare and Medicaid of the voting rights which have supposedly dreas Fault, is an earthquake zone. programs. He is a vocal critic of what has been guaranteed to our citizens. Perhaps the We now say, i is "seismically chal- come to be called "managed care ," one of Democratic Party intends to rename itself ir· , lenged." the Clinton administration's main nostrums the Communist Party of Virginia?" for the health care crisis, having written an article last September entitled "Old Snake • PABLO �COBAR, the Co­ Oil in New Bottles." lombian drug kingpin, denied any In the article, Vladek charged that involvement in �e World Trade Cen­ "managed care" offers "only untested theo­ ter bombing, in a one-page letter al­ ry (most of it contrary to actual experience) Las Vegas mob hotel legedly sent to U. S. Ambassador Morris Busby.: "If I had done it, I as a solution," and he said most health care hosts B 'nai B'rith bash providers are lining up behind it precisely would be saying why and I would be because "they don't believe its cost contain­ The B'nai B'rith has put out a flyerinviting saying what I �ant. " ment mechanisms will really work, and members, friends, and families to attend a they're afraid the mechanisms in other pro­ big five-day bash commemorating the free­ • BERNARI) ARONSON, for­ posals forhealth care reform would work." masonic organization's 150th anniversary. mer assistant secretary of state for The celebration, slated for Aug. 15-19 is Latin Americart affairs, has been re­ to take place at the Desert Inn, one of Las placed by careelrdiplomat Alexander Vegas' hottest casinos. Desert Inn was Watson, a fotmer ambassador to owned for years by Meyer Lansky syndicate Peru, who was �escribed by a Peruvi­ bigshot Morris Dalitz. In the mid- 1980s, an paper as "ad.experienced student Spannaus exposes Va. Dalitz was given a philanthropic award by of Henry Kisslnger." He was also the B'nai B'rith enforcement arm, the Anti­ close to Hernarldo de Soto, the "coca Dems' caucus rigging Defamation League. for debt" advoQate of the primacy of Nancy Spannaus, candidate for the Demo­ The brochureadverti sing the celebration the informal ec�>nomy. cratic nomination for governor in Virginia, boasts:: "We wanted a class hotellcasino charged on March 5 that the state party had with great facilities but with old-time Las • SEVENTY! PEOPLE attending rigged the nominations procedure to ensure Vegas hospitality .... 'The' Party is the a Midwest cottference of Amnesty that mavericks-and especially associates place to join old friendsand new to celebrate International s.gned the petition to of Lyndon LaRouche like herself-would a century and a half of a job well done. Old­ President Clintpn calling for the re­ be shut out. timers will get a chance to reminisce about lease and exon�ration of U.S. politi­ "Ironically, just as the Communist Party how it used to be while the younger set gets cal prisoner LytIdon LaRouche. One of the Soviet Union is being disbanded, the charged up to make plans for how it is going signer said, "We don't understand it Virginia Party is adopting communist tac­ to be in the future.. ..$1 ,000 winner take all [why LaRouche was jailed] , but tics. That's one tested way to get a 99% all Blackjack Tournament, $1,000 winner something realliY set the government vote. take all Slot Tournament, $1,000 winner off against him/' "What I have found is that numerous take all Video Poker Tournament."

�IR March 19, 1993 National 71 Editorial

One lastho pe

On March 23, 1983, when President Reagan an­ Curtain , LaRouche proposed using the concentration of nounced the Strategic Defense Initiative as an alterna­ productive power in the Paris� Vienna-Berlin spherical tive to Henry Kissinger's policy of mutually assured triangle area, as the generator of new technologies destruction (MAD), a chain of events began to unfold which would be used to rapiqly. rebuild the economies which led ultimately to a true hope for peace in the of the former East bloc . world. It really all began in December 1981. At that This was a continuation of the thinking which un­ time Lyndon LaRouche was approached by the Reagan derlay the specific fe atures ofiLaRouche's SOl propos­ administration and asked to begin exploratory talks al . The proposal was decisively rejected by Margaret with the Soviet Union on his "beam weapons" propos­ Thatcher and George Bush, a miscalculation far more al , which later became known as the SOL wicked than the infamous conduct of Neville Chamber­ LaRouche's policy was initially adopted by Presi­ lain in creating the Frankenstein's monster Hitler. dent Reagan, only to be sabotaged by forces grouped Thatcher and Bush opted to collaborate with Mikhail around then Vice President George Bush, who used Gorbachov and the Soviet nomenklatura and KGB , to Gen . Danny Grahamto arguefor the disastrous substi­ suppress any potentials for rebuilding the destroyed tution of off-the-shelf technology in place of the fron­ economies of the East bloc . Ih collaboration with Gor­ tier laser and beam weapon-related technologies pro­ bachov , they moved to destroy the potential of a unified posed by LaRouche . Germany . Their policy was implemented first by un­ The Soviet response was to agree with LaRouche provoked war against Iraq. Today the Russian appara­ that his proposal to apply new physical principles such tus, heir to the Soviet nomenklatura, is supporting the as lasers to the development of a strategic anti-ballistic Serbian war machine, with the complicity of the British missile system, would work scientifically and would ruling elites who also suppor1i Serbia. generate the spinoff of new technologies into the civil­ For the stupid British elitflsthis appearsto be anoth­ ian sector. They balked on this, however, even though er opportunity to clobber Germany . For the Russians, LaRouche proposed that the United States and the who have a historical alliance with Serbia, it functions U.S.S.R. should develop this in tandem, sharing the as a backdrop for their own imperial ambitions, which civilian applications. have been temporarily put on'the shelf. For the peoples This , the Soviets said they could not accept, be­ of the world and future gene�ations, it is nothing short cause they recognized that the West would outpace the of a proposed descent into thee hell of a new Dark Age. culturally backward Soviet system. Their rejection of This need not happen; it never need have become a the LaRouche/Reagan offer led the Soviet leadership danger were it not that Bush and Thatcher (and now down the track to disaster, as indeed LaRouche warned John Major) have done everything in their power to at the time . weaken the more positive fotces in Russia, to destroy In 1983 he told the Soviets that if they did not go the Croatians and the Bosnians, and to fan the flames the way of the SOl, which could be the engine to bring of war. Thus they have brohght us to the brink of a their economy out of backwardness, by 1988 they renewal of the Cold War, pl�yed out in a series of ever ; would see a breakdown crisis, which would emerge more brutal regional "proxy' wars . firstin crucial parts of the easternEuropean economies. Unless the ambitions of Greater Serbia are immedi­ LaRouche was off by one year; however, in a celebrat­ ately checked by appropriate military measures and ed speech in Berlin on Oct. 12, 1988, he foresaw the the sovereignty of Bosnia defended, we will be in the fall of the Berlin Wall and German reunification. At maelstrom of a third world war. This will be a war at the end of 1989, he developed the Productive Triangle least as terrible as World W Ilf I and World War II, even proposal . In response to the fall of the so-called Iron if no nuclear missiles are everexchanged .

72 National EIR March 19, 1993 SEE LAROUCHE ON CAB L E TV

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------Challenge to U.S. Science Policy

• • Paul Ehrlich Given society's record in managing technology, the prospect of cheap, ine�haustible power fr om fu sion is "like giving witch-hunt. a machine gun to an idiot child. "

memOrandl1l11

Jeremy Rifkin Lyndon LaRouche "It's the worst thing that "These cold fu sion could happen to our planet. " experiments, taken together with other experiments e�hibiting related kinds of anomalous Na ture magazine results, should "The Utah phenomenon is become fe atured literally unsupported by the elements of a special evidence, could be an artifa ct, research project--a and given its improbability, is 'mini-crash program ' most likely to be one." of fu ndamental research--enjoying the moral and material support of appropriate public Th e New Yo rk Times and private "Given the present state of institutions of the evidence fo r cold fu sion, the Un ited States and government would do better other nations." to put the money on a horse. "

LaRoucl1e's memorandum is available fo r $25 postpaid from The Schiller Institute, Inc. P.o. Box 66082 Washington, D .C . 20035 -6082