Iran-Contra Scandal What was the Iran-Contra Affair? How did affect Latin America’s image of the US? What was the Iran-Contra Affair? n The Iran-Contra affair was an international corruption and political scandal involving the US, Latin America, and the Middle East n 1986 n n Really showed the world what the US’ attitude was towards Latin America n Set the US’ current image in this part of the world What was Nicaragua like prior to the 1980’s? n Nicaragua gains independence from Spain in 1821 n Weak government n Disagreement over who should rule n In the early 1900’s, the US starts to get involved n Economic reasons n Political reasons Who were the ? n The Somoza family was a brutal military family of dictators who ruled Nicaragua from 1934 till 1979 n Pro-US n Anti-Communist n Held onto power through fear and terror n Secret police n Strong military Anastasio Somoza Ruled from 1956 till Ruled from 1937 till Ruled from 1963 till his death in 1963 his death in 1956 his death in 1979 (died of natural causes) (assassinated) (exiled / assassinated)

Anastasio Somoza García and his sons (left) and Anastasio Somoza Debayle (right) During the 1960’s Luis Somoza allowed the CIA to train Cuban exiles for the Bay of Pigs in Nicaragua… In 1972, a massive 6.2 earthquake hit the region of , causing over 5,000 casualties. Anastasio Somoza embezzled millions from the rebuilding effort to enrich himself. Hall of Fame outfielder for the Pittsburgh Pirates Roberto Clemente died in a plane crash bringing aid to earthquake victims in Nicaragua. Sadly, much of his aid never reached the people, pocketed by the Somoza regime. His body was never recovered. Who were the Sandinistas?

n The Sandinistas were a Communist-based political party in Nicaragua n Formed in 1961 n Fought for an end to the Somoza family’s rule / US involvement

n Led by n Revolutionary / activist Ortega Fidel Raul Castro Castro

Ortega at a rally in Cuba during his exile from Nicaragua in the 1960’s with Ortega visiting with PLO leader Yassar Arafat in the 1970’s during the high years of the Sandinistas’ revolt in Nicaragua How did Somoza rule come to an end? n In 1978, US suspends military aid to the Somoza regime n Without US support, the Somoza government collapses n In 1979, the Sandinistas overthrow the Somozas and sets up a Communist government n Had the support of the people n Institute needed reforms How did the US react to the Sandinistas?

n The US was very concerned about the Sandinistas n “Cold War worries” n Challenge to their authority

n President Ronald Reagan was especially concerned about Nicaragua n Called it a “2nd Cuba” Regan to the Sandinistas: “KILL THE BASTARDS!!!!” What was Regan’s plan in dealing with Nicaragua?

n Reagan orders the CIA to start planning the overthrow of the Sandinistas n Recruited and armed anti- communist groups n Created secret funds ($19 million) n Secret campaign of sabotage / terror Who were the ? n The Contras were the US’ main anti- Communist group n Founded in 1979 n Former supporters of the Somoza family / anti- Communists n Supported by the Church & and rich who disliked Communist reforms Among other tactics, the CIA also arranged for the US military to plan mines in Nicaraguan harbors to prevent shipments of arms and supplies to the Sandinistas. Such actions caused international criticism. American officials reported that CIA planes were being used to smuggle cocaine into the US with the proceeds going to the Contras. Though this was illegal, nothing was done to stop it. How did the American people react to Regan’s “secret” war?

n The American people did not support Regan’s moves in Nicaragua n Another “Bay of Pigs” n Is it necessary?

n In 1984 Congress prohibits any more funding to the Contras n Boland Amendment Does Regan stop his moves?

n HELL NO… n Reagan decides to secretly evade/break the law

n Tactics: n Wealthy individuals: “charitable” gifts to Contras n State Department approaches foreign countries for aid n Contras sell drugs in US (with CIA assistance?)

However it’s not enough… How does Iran factor into Reagan’s plans? n Reagan believed that Iran could be used to US’ advantage n Even though it is America’s enemy n Reasons: n Stop terrorism towards US allies / troops in the Middle East n Win freedom for US hostages Regan gave authority to National Security Advisor Oliver North to funnel money from the sale of weapons from Iran to the Contras in Nicaragua. North used a phony organization to collect the money and then pass it to the Contras. The Iran-Contra Affair

The Contras How did the American people find out about the Iran-Contra deals? n In 1986, Regan’s secret deals with the Contra were exposed n Sandinistas shot down American plane carrying arms and soldiers n Congress begins an investigation into crash n Discovered the link with Iran and the White House As Congress started to push deeper into the scandal, North started shredding and altering all the records relating to the arms sales / money. He was called to testify before Congress and admitted later that he lied under oath. Eventually North and several members of Regan’s foreign policy team are convicted of lying about Iran-Contra. Regan’s vice-president George H.W. Bush pardoned them when he became president… Despite all the negative press and calls for more investigations, President Reagan was never charged for any wrongdoing. He remains one of the US’ most popular and respected presidents. How did the Iran-Contra scandal affect America’s standing in Latin America?

n Due to American involvement in Nicaragua, the country was plagued by civil war n 1979-1990 n 60,000 people are killed / disappear

n In 1990’s, the Sandinistas are removed from power under free elections n However, the US is still seen negatively n Nicaragua is still try to recover