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In response to a request fo� comments on the Bua report, Inslaw submitted an initial brtf on July 11, 1993.The un­ earthing of dramatic new evidqnce, provided by a number of sources inside the u.S.intelli gence community and the OOJ itself, prompted the Hamiltor/s and their attorneys to draft Inslaw brief says OSI the addendum. OSI: more than 'Nazi h,mters' tied to theft, murder According to the Inslaw brief, the Justice Department's by Jeffrey Steinberg Office of Special Investigati�ns, the unit responsible for tracking Nazi war criminals who illegally entered the United States at the close of WorldI War II, has also been used The long-running saga of the Washington, D.C.-based com­ to house a DOJ covert operations unit. Among the covert puter firm Inslaw, Inc.has taken a dramatic tum.On Feb.14, operations allegedly run underithe OSI cover were the theft of Inslaw owners Bill and Nancy Hamilton, joined by former the Promis softwareand the mdrder of investigative journalist Attorney General and other attorneys rep­ Danny Casolaro. i resenting the firm, filed a 29-page memorandum with Attor­ From the Executive Sum*ary of the Inslaw brief: "One ney General Janet Reno charging that the Office of Special of the organizational units th�t reports to Mark Richard is Investigations in the Department of Justice (DOJ) houses a the Office of Special Investitations (OSI). OSI's publicly covert operations unit and that it is tied to at least one murder. declared mission is to locate �nd deport Nazi war criminals. The memorandum was filed as an addendum to an earlier The Nazi war criminal progr�m is, however, a front for the brief submitted in response to the final report of Special Justice Department's own cJvert intelligence service, ac­ Counsel Nicholas Bua, a Bush appointee who conducted a cording to disclosures recently made to Inslaw by several brief probe of the Inslaw affair during 1992-93. senior Justice Department career officials. Since the mid-1980s, Inslaw's owners, Bill and Nancy "One undeclared mission of this covert intelligence ser­ , Hamilton, have been in court against senior officials of the vice has been the illegal dissemination of the proprietary Reagan DOJ, charging them with stealing the company's version of Promis, according to information from reliable proprietary softwareprogram, Promis, and illegally dissemi­ sources with ties to the U.S. intelligence community.Inslaw nating it to U.S. intelligence agencies, foreign governments, has, moreover, obtained a copy of a 27-page Justice Depart­ and the International Monetary Fund and World Bank.The ment computer printout, labelled 'Criminal Division Vendor thievery deprived Inslaw of as much as $1 billion in fees List.' That list is actually a list of the commercial organiza­ and service contracts, and nearly drove the company into tions and individuals who serve as 'cutouts' for this secret bankrupcy. Justice Department intelligence agency.. ..The Justice De­ Two federal judges ruled in Inslaw's favor, finding that partment's secret intelligence agency also has its own 'pro­ the DOJ used "trickery, fraud, and deceit " to steal the Promis prietary' company that employs scores of agents of diverse software.However, several years ago, an Appellate Court nationalities, as well as individuals who appear to be regular panel overturned the lower court rulings on purely technical employees of various departments and agencies of the U.S. grounds, sending Inslaw's legal efforts back to square one. government or members of the U.S. Armed Forces, ac­ During the closing days of the Bush administration, the cording to several sources." House Judiciary Committee, chaired by Rep. Jack Brooks According to the Inslaw brief, one of the Israeli officials (D-Tex.), issued a stinging report substantiating many of who participated in the theft of the Promis software in Febru­ Inslaw's charges of criminality against top DOJ officials, ary 1983 was Rafi Eytan, a legendary Mossad covert opera­ who were working in league with private business associates tions chief who at the time was heading a secret Israeli spy of several top Reagan and Bush administration officials.Of­ unit called LEKEM, which recruited and deployed Jonathan ficials of the Israeli intelligence service, Mossad, were also Jay Pollard.U. S.and Israeli sources have corroborated that implicated in the theft-conspiracy. it was Eytan, using the identity of an Israeli Justice Ministry In response to intensive pressure from the House Judicia­ official, Dr.Joseph Ben-Orr, who visited the Inslaw offices ry panel, President Bush's last attorney general, William and later illegally obtained aproprietary copy of the Promis Barr, appointed former federal judge Nicholas Bua to con­ software from the DOJ. duct a probe of the Inslaw allegations.Bua's report, issued The surfacing of Eytan in the Inslaw affair coheres with in March 1993 and submitted to Attorney General Reno in the allegations about the cover mission of the OS!.Eytan the Clinton administration, was a thorough whitewash of the headed the Mossad team that kidnapped Nazi war criminal scandal. Adolf Eichmann and brougl1t him to Israel to stand trial in

64 National EIR April 15, 1994

© 1994 EIR News Service Inc. All Rights Reserved. Reproduction in whole or in part without permission strictly prohibited. organizations to drop plans to interfe in the peace pro­ cess. Most recently, Israel pressured the ADLto stay out ADL's Foxman BlastsRa bin, of the negotiations on the U.N. Security Council resolu­ tion on the Hebron massacre, whose final wording in­ Clinton, and peacep rocess cluded a reference to the status of Jerusalemas a negotiat­ ing issue. Earlier, the ADL had tried, to drum up support It's been a long time coming, but finally, in the April for a congressional resolution by ReI? Charles Schumer 2 issue of the llHo inger Corp.'s Jerusalem Post, Abe (D-N.V.) that would have linked U.S. recognition forrJl'al Foxman, national director of theA nti -Defamation League of the PLO to an end to the Arab boycott of Israel. The of B'nai B 'rith (ADL), came out with a blast at the PLO­ ADL had also wanted to launcb a campaignto defeat the

Israel peace process, the Rabin-Peres government, and nomination of Strobe Talbott as deput secretarystate, of • the Clinton presidency. Anyone familiar with the ADL' s but, again , the Rabin government interceded against longstanding covert sponsorship ofIs rael' s Jeading war­ them. hawk Ariel Sharon , and the Jewish Defense League terror­ Foxman charged that the C]jnton�and Rabin govern­ ist "scum" who carried out the massacre at the Cave of tbe ments are colluding to dominate American Jews "by reo Patriarchs in Hebron, had to have suspectedit would only mote control." be a 'matter of time before the ADL would show its true" An Oct. 10, '1993 rally near Was ington, D.C. fea­ colors by coming out against MiddleEast peace. tured a crew of ADL operators , inclu�ing Midge Deeter, After months of lip service to the "peace process," Rael Jean Isaac, Dr. Uri Ra'anan( onetime Mossad liaison while at every tum assailing the idea, first put forward to the ADL andB 'nai B'rith), and Yo efBodapsky. They by Lyndon LaRouche in 1975, that large-scale economic all professed a preference for a new Middle East war development of the entire Middle East is a precondition over the successful conclusion ofthe � �O-Israelacc ords . for lasting peace, Foxman issued a blunt denunciation of Shortly after , Gen. Ariel Sharon tour� the UnitedS tates Rabin and Clinton for "seekingto restrainA merican Jew­ , and Can�arai sing funds for the Jefish settlers move­ ish opposition." ment, traveling with a leader o. f theKiI}' at Arba settlement Foxman cited threerecent instances in which the Rab­ from which the Hebron massacre was rIO. in government pressured the ADL and otherU .S. Zionist rJe/frey Steinberg

the 1960s. During the Likud governments of Menachem Be­ laro's death. The individual who reportedly transmitted these gin and Yitzhak Shamir, Eytan was a pivotal spymaster, written statements to the journalist by fax has testified under working with Iran-Contra figures such as Oliver North, while oath to being a national security operative for the FBI and the at the same time directing one of the most damaging spy CIA." operations ever run against the United States. The Inslaw brief identifies the national security operative as Dr. Frederick Von Bodungen. In January 1992, Dr. Von Unsolved murder of Danny Casolaro Bodungen faxed a note to journalist George Williamson The Inslaw brief contains another allegation which, if attached to a published account of Casolaro's death. The note proven, could shut down the corrupt apparatus that has been read: "As you know, Casolaro was killed by agents of Justice deeply ensconced in the DOJ for decades. According to the Department. " brief, the August 1991 so-called "suicide" of investigative The Inslaw brief contains allegations about the OSI and journalist Danny Casolaro in West Virginia was actually a other U . S. government agencies, buttressed by documenta­ murder carried out by hit-men deployed through the OSI! tion and eyewitness statements that are simply too serious to From the brief: "According to written statements of ignore. The fact that a former U.S. attorney general, Elliot which Inslaw has obtained copies, another undeclared mis­ Richardson, signed on to the brief is a further testament to sion of the Justice Department's covert agents was to ensure the seriousness of the charges. OS!' s longtime director, Neal that investigative journalist Danny Casolaro remained silent Sher, recently quit the DOJ to take the job of Executive about the role of the Justice Department in the Inslaw scandal Director of the American-Israeli Public Affairs Committee. by murdering him in West Virginia in August 1991. Inslaw A useful starting point for the attorney general or the House has obtained copies of relevant written statements furnished Judiciary Committee might be to question Sher. At long last, to a veteran investigative journalist by a national security the time appears at hand for the appointment of a special operative of the U. S. government, several months afterCaso- prosecutor to get to the bottom of the Inslaw affair.

EIR April 15, 1994 National 65