Jeff Stein: January 2009 Archives
Disenchanted CIA employees have long complained that Operations Directorate managers with serious blots on their record evade punishment and continue up the career ladder.
Along that line, grumbles are growing that a former CIA station chief in Baghdad, allegedly "notorious" for womanizing and the licentious behavior of his aides, is in line to become chief of the spy agency's powerful Counterterrorism Center, or CTC.
North Africa can make outsiders do queer things. The beating heat, the blinding sun, the crushing torpor, the bumping, odiferous bodies in the souk -- these things can stretch and snap a Westerner's tether to his world.
Or so it was in "The Stranger," Albert Camus's iconic portrait of one man's existential numbness in Algiers, in which a bored Frenchman kills a local Arab with no real provocation, or remorse.
Continue reading CIA Station, Algeria: The Stranger.
Continue reading US-Protected Iran Exile Group in Line for Huge Cash Windfall.
A story in Sunday's Washington Post depicting Guantanamo prisoner files in "disarray" is wrong, says the former Pentagon official in charge of terrorist detainee affairs.
According to the Jan. 25 account, Charles D. "Cully" Stimson, who served as deputy assistant defense secretary for detainee affairs in 2006-2007, "said he had persistent problems in attempts to assemble all information on individual cases."
Only "threats to recommend the release or transfer of a detainee" persuaded the CIA to "cough up a sentence or two," Stimson was quoted as saying.
But in a brief interview to double-check his statement Monday afternoon, Stimson maintained, "I never said they were in disarray."
According to the Jan. 25 account, Charles D. "Cully" Stimson, who served as deputy assistant defense secretary for detainee affairs in 2006-2007, "said he had persistent problems in attempts to assemble all information on individual cases."
Only "threats to recommend the release or transfer of a detainee" persuaded the CIA to "cough up a sentence or two," Stimson was quoted as saying.
But in a brief interview to double-check his statement Monday afternoon, Stimson maintained, "I never said they were in disarray."
Longtime megawatt diplomat John D. Negroponte may have made his bones in Republican administrations, but his next act will take him to a powerful consulting firm run by former Bill Clinton chief of staff Thomas F. "Mack" McLarty. according to an item by Al Kamen in The Washington Post. Its co-founder, Nelson Cunningham, gave $69,350 to Democratic candidates in 2008.
Lest conservatives despair that the outgoing Deputy Secretary of State (and first head of National Intelligence) has gone over to the dark side, though, they should note that McLarty was partners with Henry Kissinger (as Kissinger McCarty Associates) from 1999 to a year ago. Their apparently amicable January 2008 dissolution was over strategy and the allocation of resources and income, according to a report at the time.
No, a likely attraction for Negroponte was McLarty's longtime involvement in Latin, especially Central, America, where the career diplomat was once dubbed the "American Proconsul." As ambassador to Honduras in the 1980s, Negroponte was a virtual traffic cop for U.S. overt and covert aid to the juntas in Honduras, Guatemala and El Salvador, which was fighting a leftist insurgency, and U.S.-backed guerrillas fighting to topple the Marxist government in Nicaragua.
As for McLarty, after he left the White House he became Clinton's unofficial ambassador at large on Latin American issues.
The firm does not reveal its clients by name, saying only they include "some of the best known global names, as well as select emerging companies."
And it says it does not lobby for foreign governments. But McLarty has a "strategic partnership" with the Washington powerhouse firm Covington & Burling, which does.
"The Covington-McLarty alliance offers clients a single, trusted source to address their important international legal, regulatory, and commerce issues," C&B's Web site says.
"Through this unique alliance, clients will have access to advice and expertise from attorneys, diplomats, negotiators, financiers, lobbyists, policy- and opinion-makers, and intelligence analysts in Washington and around the world."
Of course, the top "intelligence analyst" in the firm would be Negroponte, the first Director of National Intelligence. But McLarty also has Stephen C. Donehoo, who has to be one of the least known spook-world officials in Washington.
Donehoo, a McLarty managing director, is "a former military intelligence officer specializing in Latin America," according to his resume.
And much more, it says:
"He provided strategic policy advice on the region while serving at the White House Drug Policy Office, Office of the Secretary of Defense, the U.S. Southern Command, and the Army Staff. He also ran the Army Operations Center 24-hour Intelligence Watch, where he oversaw crisis-action support teams for Somalia, Haiti, Bosnia, and numerous disaster relief deployments. Mr. Donehoo was raised in Colombia and has lived in Costa Rica, Panama, and El Salvador..."
Looks like old home week for Central American hands.
Meanwhile, while Negroponte may rake in some well-earned bucks at McLarty, evidently he can't totally withdraw from public service.
Aside from his work for McLarty, he'll be teaching at Yale for the next three years, according to the Yale Daily News.
"In that time, he will co-teach the Studies in Grand Strategy seminar and will also teach undergraduate and graduate courses in international studies and international relations, the University said," according to the campus paper.
Historian John Gaddis, director of the program, was ecstatic about the hire.
"Look at the number of jobs he's held," Gaddis said. "It's quite remarkable. One of the things we've been trying to do in the Grand Strategy program is to bring more practitioners to campus, and we're very fortunate to have landed him."
In what seems like a surprise move, President Obama's first public diplomatic initiatives are aimed not at the Middle East, but South America.
Obama plans to attend an April 17 Summit of the Americas in Trinidad and Tobago, which may turn out to be his international debut as ambassador-in-chief of the United States.
The new president is also expected to back the reintroduction of a ''Western Hemisphere Energy Compact'' bill (S.1007), sponsored by Senators Richard G. Lugar, R-Ill., and Christopher J. Dodd, D-Conn., to reduce dependence on Middle East oil, before heading to the Caribbean island nation in three months.
But despite campaign rhetoric about calming tensions through unconditional talks with hostile adversaries, Obama's remarks in a little noticed interview have already put him on a collision course at the summit with Venezuela's sulphuric president, Hugo Chavez.
In a two-part interview with the Spanish-language Univision television network, broadcast on Jan. 13 and 17, Obama said he was open to talks with Venezuela to improve relations. But in language suggesting a continuity with Bush administration policies, Obama not only labeled Chávez "a force that has interrupted progress in the region," but charged him with "exporting terrorist activities."
Whether it was just sloppy language or a bad translation -- Univision did not release a transcript -- Obama's remarks seemed to inflate Venezuela's secret ties with the Columbian rebel group FARC into a hemisphere-wide revolutionary menace.
"We need to be firm when we see this news, that Venezuela is exporting terrorist activities or supporting malicious entities like the FARC," Obama said, according to The Washington Post's Juan Forero. "This creates problems that are not acceptable."
There is no known evidence that Chavez is supporting guerrilla or terrorist groups outside of Columbia, although the fiery, increasingly authoritarian leader seems to fancy himself an heir to Cuba's Fidel Castro.
In any event, Chavez took the bait, responding that Obama had "the same stench" as President Bush.
"No one here should have any illusions. It's the U.S. empire," the Venezuelan told supporters during a televised speech shortly after Obama's inauguration.
CIA ground teams operating on the vaguely determined Afghan-Pakistan frontier are well aware of the presidential executive order banning assassinations, says a recent returnee from the region's fighting.
The problem is that al Qaeda suspects and their Taliban supporters don't wear what's normally considered a uniform, which puts American hit teams in potential legal jeopardy for violating Executive Order 12333, which bans the CIA from carrying out assassinations.
The order was signed by President Reagan in 1981 following congressional investigations into alleged CIA assassination plots targeting foreign leaders.
So the teams in Afghanistan have a simple rule of thumb: If the target "looks military," i.e., carrying a weapon or walking in the company of other armed men, he's a legitimate target.
If there's an absence of same, the target is considered a civilian, and the decision gets bucked up the chain of command for further deliberation.
Of course, this may be a distinction without a difference. The CIA-administered Predator drones have been targeting al Qaeda "civilians" for some time now.
On Sept. 17, 2001, President Bush said Osama bin Laden was "wanted dead or alive," prompting a flurry of questions about U.S. assassination policy.
White House spokesman Ari Fleischer said that E.O.12333 remained in effect, The Washington Post reported at the time, noting that Presidents Gerald R. Ford and Jimmy Carter had issued their own executive orders on the subject, numbers 11905 and 12306, respectively.
While the directives forbid assassination, they do not define the term, Post reporter Barton Gellman noted.
Fleischer declined four times to interpret the text, he reported.
"I'm going to just repeat my words and others will figure out the exact implications of them, but it does not inhibit the nation's ability to act in self-defense," Fleischer said.
UPDATE: The CIA ground team veteran had emphasized that the agency and its operatives took care to operate within the law, a point that could have been made more clear in the first version of this story.
A CIA spokesman, for example, thought it had portrayed the agency badly.
"This report is truly bizarre, an apparent part of the cottage industry dedicated to portraying the agency as careless and slapdash," CIA spokesman Paul Gimigliano said late Thursday.
The problem is that al Qaeda suspects and their Taliban supporters don't wear what's normally considered a uniform, which puts American hit teams in potential legal jeopardy for violating Executive Order 12333, which bans the CIA from carrying out assassinations.
The order was signed by President Reagan in 1981 following congressional investigations into alleged CIA assassination plots targeting foreign leaders.
So the teams in Afghanistan have a simple rule of thumb: If the target "looks military," i.e., carrying a weapon or walking in the company of other armed men, he's a legitimate target.
If there's an absence of same, the target is considered a civilian, and the decision gets bucked up the chain of command for further deliberation.
Of course, this may be a distinction without a difference. The CIA-administered Predator drones have been targeting al Qaeda "civilians" for some time now.
On Sept. 17, 2001, President Bush said Osama bin Laden was "wanted dead or alive," prompting a flurry of questions about U.S. assassination policy.
White House spokesman Ari Fleischer said that E.O.12333 remained in effect, The Washington Post reported at the time, noting that Presidents Gerald R. Ford and Jimmy Carter had issued their own executive orders on the subject, numbers 11905 and 12306, respectively.
While the directives forbid assassination, they do not define the term, Post reporter Barton Gellman noted.
Fleischer declined four times to interpret the text, he reported.
"I'm going to just repeat my words and others will figure out the exact implications of them, but it does not inhibit the nation's ability to act in self-defense," Fleischer said.
UPDATE: The CIA ground team veteran had emphasized that the agency and its operatives took care to operate within the law, a point that could have been made more clear in the first version of this story.
A CIA spokesman, for example, thought it had portrayed the agency badly.
"This report is truly bizarre, an apparent part of the cottage industry dedicated to portraying the agency as careless and slapdash," CIA spokesman Paul Gimigliano said late Thursday.
Word hasn't leaked yet, but I wouldn't be surprised if President-elect Barack Obama has already figured out that when he wants quick answers to what's going on in the world, the last person to ask is the head of U.S. intelligence.
The steady deterioration of personnel and standards of intelligence analysis, especially at the CIA, has been going on for decades, a number of former top intelligence officials I know say.
The tip of the rot surfaces from time to time, such as with the 9/11 surprise and the gimcrackery reports on Iraq's weapons of mass destruction.
The dogs howl and the caravan moves on. Nothing changes, many well placed former intelligence officials have been telling me. But the current, possibly fatal dangers we face demand the problems be fixed.
We've been spending too much time chattering about the operations side of intelligence lately, they say, in particular whether Leon Panetta, the former OMB head and chief of staff to President Clinton, is up to handling the spies and back-alley guys and gals.
But officials have been reminding me that it was the dismally poor analysis of intelligence that enabled President Bush to lead the nation into the disastrous invasion of Iraq -- not faulty espionage (such as it was).
And it's the analysis served up by the CIA and other spy agencies, they point out, that will guide President Obama's decisions on Iraq, Iran, Afghanistan, Pakistan and North Korea, among other front-burner emergencies.
And that, say many rueful former officials, is where the agencies need a severe spanking.
Can Obama do it where so many of his predecessors have failed? One can only hope that the erstwhile professor, forged by the Socratic methods of his Harvard Law School instructors, will lay the lumber on his intelligence chiefs and briefers, asking them harder questions than they're used to.
Such as, "How do you know that?"
Now, this is a staple of a good newsroom. It's a question editors ask reporters, and good reporters ask sources, all the time. I like to think that an old-fashioned city editor would have laughed the pre-war intelligence on Iraq out of their newsrooms.
But the melancholy truth, according to my well placed sources, is that even after the intelligence disasters of 9/11 and Iraq, President Obama has a better chance of getting up-to-the-minute information on, say, Hamas, from newspapers than he does the PDB - the President's Daily Brief - served up by the Directorate of National Intelligence and CIA.
"So," I asked a former intelligence agency head over seafood this week, "if I'm President Obama, and I call Leon Panetta into the Oval office and ask him to tell me how Hamas leaders are holding up under the Israeli assault, will he be able to tell me?"
The former official shook his head, nearly blushing.
No. "That's not the kind of information" they focus on.
"Well, what do they focus on?" I asked.
If the viability of Hamas isn't important right now, what is?
He said the CIA, State Department and Pentagon intelligence agencies do have people specializing on the Palestinians, and even Hamas. But it's not likely they would have up-to-the-minute information on whether, say, in response to Israeli military pressure, its leaders are fighting among each other, unifying, or even where they are.
They just don't have that kind of stuff, he said.
Wow.
What about the NSA? I asked. Could the CIA's Hamas guy call his NSA counterpart and get cell phone intercepts from Gaza to help fill in some holes?
"They won't give it to him, because they don't want their information to help CIA look good."
Right.
And the National Intelligence Directorate, which was set up to put an end to that kind of horse play?
A work in progress, he smiled.
Ok then: What can CIA briefers tell Obama about Hamas next Wednesday morning?
"They would tell them what they know," said, like squids squirting ink, until they could get back to headquarters and ask around.
But even then, said this former official, Panetta or Adm. Dennis Blair, the incoming head of National Intelligence, would probably not have anyone on staff to answer such specific questions.
Unbelievable, even to me.
He agreed: Unbelievable.
He nodded. "You tell people this and they don't believe it."
This from a man who has devoted his entire adult life to U.S. intelligence.
But doesn't the CIA have guys like Robert Redford in "Three Days of the Condor"? I asked, half joking, guys who read books, who specialize in more or less arcane things?
Doesn't it have people immersing themselves in subjects like Hamas, as intelligence intellectuals? A CIA version of New York Times columnist and author Thomas Friedman, to name just one of the better known?
Not so much any more, he said. There was a time when the CIA and other agencies hired and encouraged analysts to drill down deeply in, say, Chinese wheat harvests.
But no longer, he insisted. And there's little intellectual curiosity in the analyst ranks today, he maintained. A roguish kind of independence among the best journalists is neither sought, nor encouraged, in U.S. intelligence these days, he said.
Everyone in the spy agencies is feverish about "current intelligence," writing reports that might get the attention of their bosses, maybe even the President of the United States, he said.
But isn't the current leadership structure of Hamas - I kept coming back to that - "current intelligence"?
No, not necessarily, he said. "Current intelligence" is the big-picture stuff that CIA chiefs like to show off to the president -- "what we know about Iran," usually larded with sexy secrets -- not necessarily what the president needs to know.
It's quite likely that the analysts' bosses might not have asked them to track the state of Hamas, he said. And when their bosses haven't tasked them with such a challenge, the analysts then to be "passive," fixating on a hot piece of secret information that came in over the transom, no matter how incidental to the more critical question: what's Hamas up to?
After much resistance, CIA and DNI finally did set up an Open Source Center with analysts, some of whom don't even have security clearances, working from unclassified material. And they've proved to be very good, some experts say, giving the spy agency a fresh view on developments ranging from Iran to North Korea. The final verdict is far from in, but one well informed former official said that on at least one subject he was familiar with, the regular CIA analysts "couldn't hold a candle" to the Open Source Center's product.
But of course, that begs the question of exactly what the 16 agencies of the so-called U.S. intelligence community -- who still hoard information like children at day care, according to most accounts -- are actually doing with $65 billion a year.
And what, especially, should be done to fix the CIA, with all those floors upon floors of people scattered across Northern Virgina gathering and analyzing secret information?
"Blow up the place," my lunchtime guest said, "and start over."
Unfortunately, that's not a new idea, either.
The steady deterioration of personnel and standards of intelligence analysis, especially at the CIA, has been going on for decades, a number of former top intelligence officials I know say.
The tip of the rot surfaces from time to time, such as with the 9/11 surprise and the gimcrackery reports on Iraq's weapons of mass destruction.
The dogs howl and the caravan moves on. Nothing changes, many well placed former intelligence officials have been telling me. But the current, possibly fatal dangers we face demand the problems be fixed.
We've been spending too much time chattering about the operations side of intelligence lately, they say, in particular whether Leon Panetta, the former OMB head and chief of staff to President Clinton, is up to handling the spies and back-alley guys and gals.
But officials have been reminding me that it was the dismally poor analysis of intelligence that enabled President Bush to lead the nation into the disastrous invasion of Iraq -- not faulty espionage (such as it was).
And it's the analysis served up by the CIA and other spy agencies, they point out, that will guide President Obama's decisions on Iraq, Iran, Afghanistan, Pakistan and North Korea, among other front-burner emergencies.
And that, say many rueful former officials, is where the agencies need a severe spanking.
Can Obama do it where so many of his predecessors have failed? One can only hope that the erstwhile professor, forged by the Socratic methods of his Harvard Law School instructors, will lay the lumber on his intelligence chiefs and briefers, asking them harder questions than they're used to.
Such as, "How do you know that?"
Now, this is a staple of a good newsroom. It's a question editors ask reporters, and good reporters ask sources, all the time. I like to think that an old-fashioned city editor would have laughed the pre-war intelligence on Iraq out of their newsrooms.
But the melancholy truth, according to my well placed sources, is that even after the intelligence disasters of 9/11 and Iraq, President Obama has a better chance of getting up-to-the-minute information on, say, Hamas, from newspapers than he does the PDB - the President's Daily Brief - served up by the Directorate of National Intelligence and CIA.
"So," I asked a former intelligence agency head over seafood this week, "if I'm President Obama, and I call Leon Panetta into the Oval office and ask him to tell me how Hamas leaders are holding up under the Israeli assault, will he be able to tell me?"
The former official shook his head, nearly blushing.
No. "That's not the kind of information" they focus on.
"Well, what do they focus on?" I asked.
If the viability of Hamas isn't important right now, what is?
He said the CIA, State Department and Pentagon intelligence agencies do have people specializing on the Palestinians, and even Hamas. But it's not likely they would have up-to-the-minute information on whether, say, in response to Israeli military pressure, its leaders are fighting among each other, unifying, or even where they are.
They just don't have that kind of stuff, he said.
Wow.
What about the NSA? I asked. Could the CIA's Hamas guy call his NSA counterpart and get cell phone intercepts from Gaza to help fill in some holes?
"They won't give it to him, because they don't want their information to help CIA look good."
Right.
And the National Intelligence Directorate, which was set up to put an end to that kind of horse play?
A work in progress, he smiled.
Ok then: What can CIA briefers tell Obama about Hamas next Wednesday morning?
"They would tell them what they know," said, like squids squirting ink, until they could get back to headquarters and ask around.
But even then, said this former official, Panetta or Adm. Dennis Blair, the incoming head of National Intelligence, would probably not have anyone on staff to answer such specific questions.
Unbelievable, even to me.
He agreed: Unbelievable.
He nodded. "You tell people this and they don't believe it."
This from a man who has devoted his entire adult life to U.S. intelligence.
But doesn't the CIA have guys like Robert Redford in "Three Days of the Condor"? I asked, half joking, guys who read books, who specialize in more or less arcane things?
Doesn't it have people immersing themselves in subjects like Hamas, as intelligence intellectuals? A CIA version of New York Times columnist and author Thomas Friedman, to name just one of the better known?
Not so much any more, he said. There was a time when the CIA and other agencies hired and encouraged analysts to drill down deeply in, say, Chinese wheat harvests.
But no longer, he insisted. And there's little intellectual curiosity in the analyst ranks today, he maintained. A roguish kind of independence among the best journalists is neither sought, nor encouraged, in U.S. intelligence these days, he said.
Everyone in the spy agencies is feverish about "current intelligence," writing reports that might get the attention of their bosses, maybe even the President of the United States, he said.
But isn't the current leadership structure of Hamas - I kept coming back to that - "current intelligence"?
No, not necessarily, he said. "Current intelligence" is the big-picture stuff that CIA chiefs like to show off to the president -- "what we know about Iran," usually larded with sexy secrets -- not necessarily what the president needs to know.
It's quite likely that the analysts' bosses might not have asked them to track the state of Hamas, he said. And when their bosses haven't tasked them with such a challenge, the analysts then to be "passive," fixating on a hot piece of secret information that came in over the transom, no matter how incidental to the more critical question: what's Hamas up to?
After much resistance, CIA and DNI finally did set up an Open Source Center with analysts, some of whom don't even have security clearances, working from unclassified material. And they've proved to be very good, some experts say, giving the spy agency a fresh view on developments ranging from Iran to North Korea. The final verdict is far from in, but one well informed former official said that on at least one subject he was familiar with, the regular CIA analysts "couldn't hold a candle" to the Open Source Center's product.
But of course, that begs the question of exactly what the 16 agencies of the so-called U.S. intelligence community -- who still hoard information like children at day care, according to most accounts -- are actually doing with $65 billion a year.
And what, especially, should be done to fix the CIA, with all those floors upon floors of people scattered across Northern Virgina gathering and analyzing secret information?
"Blow up the place," my lunchtime guest said, "and start over."
Unfortunately, that's not a new idea, either.
And statistics. Yesterday's numbers showing the skewed priorities of the Treasury Department in throwing more investigative resources at petty violations of the Cuba embargo than uncovering illicit financial channels to Iran and al Qaeda were incomplete.
It turns out that the data, as presented by Ann Louise Bardach in an opinion piece in Sunday's Washington Post that I cited approvingly, was not quite up to date.
Bardach rightly noted a 2007 government study which found that 61 percent of the investigations carried out by the Treasury Department's Office of Foreign Assets Control (OFAC) since 2000 had "been aimed at just one target: Cuba," and that "between 2000 and 2005, OFAC penalties for violations of the Cuban embargo represented more than 70 percent of all the penalties the office imposed."
As Max Baucus, the Montana Democrat who chairs the Senate Finance Committee wondered out loud at a hearing last year, "Is the office setting its priorities correctly?"
His questions were directed mainly at Stuart A. Levey, Treasury's Undersecretary for Terrorism and Financial Intelligence.
In written answers to Baucus's queries - which I just discovered yesterday, thanks to Andrew Cochran and Douglas Farah at The Counterterrorism Blog - a more complete picture of Treasury's efforts emerged.
The statistics Levey produced show the department has begun to shift its priorities to where they belong. Partly that's because of bureaucratic changes at the department, which in 2004 created the Terrorism and Financial Intelligence section.
As Farah informed me, the TFI office brought over the terrorism experts and their cases from the Office of Foreign Assets Control, including the Iran account. Since OFAC only designates terrorist entities and doesn't actually investigate cases anymore, its stats showed skewed and wasted resources spent on Cuba.
Or, as Levey put it to Baucus:
The number of OFAC cases against Cuba violations, Levey said, had dropped from a peak of 587 in 2004 to 32 in 2007.
Levey conceded that in 2003, OFAC had 21 fulltime employees administering and implementing cases against violations of the Cuba trade sanctions. Since 2004, though, "most of OFAC's Cuba-related work has been centered in its Licensing Division ... processing applications for travel to Cuba to market and sell agricultural products."
Of the office's 155 fulltime employees, he said, six in Washington and five in Miami "are devoted full-time to the Cuba program."
To me, that's still about 10 too many, 10 financial sleuths who should be working on al Qaeda instead of this relic of the cold war, Cuba.
But the numbers don't lie -- or do they?
It turns out that the data, as presented by Ann Louise Bardach in an opinion piece in Sunday's Washington Post that I cited approvingly, was not quite up to date.
Bardach rightly noted a 2007 government study which found that 61 percent of the investigations carried out by the Treasury Department's Office of Foreign Assets Control (OFAC) since 2000 had "been aimed at just one target: Cuba," and that "between 2000 and 2005, OFAC penalties for violations of the Cuban embargo represented more than 70 percent of all the penalties the office imposed."
As Max Baucus, the Montana Democrat who chairs the Senate Finance Committee wondered out loud at a hearing last year, "Is the office setting its priorities correctly?"
"In 2003, the Committee learned that two employees were assigned to go after Saddam's missing funds. And two employees were assigned to go after Osama Bin Laden's money. But 21 employees were assigned to go after those who violate Cuba sanctions," Baucus noted caustically.
His questions were directed mainly at Stuart A. Levey, Treasury's Undersecretary for Terrorism and Financial Intelligence.
In written answers to Baucus's queries - which I just discovered yesterday, thanks to Andrew Cochran and Douglas Farah at The Counterterrorism Blog - a more complete picture of Treasury's efforts emerged.
The statistics Levey produced show the department has begun to shift its priorities to where they belong. Partly that's because of bureaucratic changes at the department, which in 2004 created the Terrorism and Financial Intelligence section.
As Farah informed me, the TFI office brought over the terrorism experts and their cases from the Office of Foreign Assets Control, including the Iran account. Since OFAC only designates terrorist entities and doesn't actually investigate cases anymore, its stats showed skewed and wasted resources spent on Cuba.
Or, as Levey put it to Baucus:
"OFAC has adopted new strategies with respect to sanctions violations in recent years that have resulted in a significant reduction in Cuba penalty cases. Enforcement resources committed to Cuba are being reduced and enforcement efforts are being targeted in a more effective way by concentrating on those facilitating illegal travel to Cuba."
The number of OFAC cases against Cuba violations, Levey said, had dropped from a peak of 587 in 2004 to 32 in 2007.
Levey conceded that in 2003, OFAC had 21 fulltime employees administering and implementing cases against violations of the Cuba trade sanctions. Since 2004, though, "most of OFAC's Cuba-related work has been centered in its Licensing Division ... processing applications for travel to Cuba to market and sell agricultural products."
Of the office's 155 fulltime employees, he said, six in Washington and five in Miami "are devoted full-time to the Cuba program."
To me, that's still about 10 too many, 10 financial sleuths who should be working on al Qaeda instead of this relic of the cold war, Cuba.
But the numbers don't lie -- or do they?
A scatttering of dots spilled in two seemingly unconnected stories over the weekend adds up to a dispiriting conclusion about one of the most important programs in the our post-9/11 national security arsenal: tracking the movement of money through banks and charities to terrorist groups may be way out of whack.
The first dots fell out of an interesting piece by Ann Louise Bardach in the Sunday Washngton Post's "Outlook" section, about prospects for changes in U.S. policy toward Cuba in the Obama administration.
One of the "losers" under the new regime, Bardach speculates, will be the Cuban program in the Treasury Department's Office of Foreign Assets Control (OFAC).
"OFAC's chief mandate is to enforce sanctions against countries harboring terrorists," writes Bardach, author of "Cuba Confidential" and the forthcoming "Without Fidel: A Death Foretold in Miami, Washington and Havana."
"But a 2007 government study found that 61 percent of the office's investigations since 2000 had been aimed at just one target: Cuba," Bardach reports. "Between 2000 and 2005, OFAC penalties for violations of the Cuban embargo represented more than 70 percent of all the penalties the office imposed."
Hello? Can anyone here spell I-r-a-n?
Bardach notes that a 2004 congressional hearing revealed that tax dollars earmarked for the war on terrorism were spent on tracking unauthorized travelers to Cuba.
"At the hearing, OFAC acknowledged that it had just four employees searching for the funds of Osama bin Laden and Saddam Hussein, as opposed to more than 20 full-time investigators charged with hunting down suspected violators of the embargo."
Among the uses of your taxpayer dollars: "OFAC's prosecution of a 75-year-old grandmother from San Diego who took a bicycling trip to Cuba, an Indiana teacher who delivered Bibles and the son of missionaries who traveled to the island to spread his parents' ashes at the site of the church they'd founded 50 years before."
Good lord.
Now turn to a story in yesterday's New York Times, in which reporters Vikas Bajaj and John Eligion report that:
"Iranian banks illegally shifted billions of dollars through American financial institutions in recent years, and authorities suspect some of the money may have been used to finance Iran's nuclear and missile programs."
Oh, really? Maybe the feds were too busy tracing Grandma's purchase of a Cuban postcard to notice.
The main culprit, the Lloyds TSB Group, in Britain, was so darn tricky, prosecutors told the the reporters.
"It 'stripped' information that would have identified the transfers in order to deceive American financial institutions, which are barred from doing business with Iranian banks ..."
According to Robert M. Morgenthau, the Manhattan district attorney, "money in one transaction was used to buy a large amount of tungsten, an ingredient for making long-range missiles. He said he suspected that other funds might have been used to finance Iran's nuclear program."
Our friend Doug Farah says that the ongoing investigation suggests that the Iranians have learned much from the nuclear smuggling ring organized by Pakistani scientist A.Q. Khan.
"This is the pipeline at its best. One simply has to shift addresses, at least on paper, the companies go again, and the pipeline is unclogged and continues to carry its vital products. The flexibility of the pipeline and its ability to adapt and reroute itself in a very short period of time is one of its greatest strengths."
As for terrorist finance investigations, Farah concludes: "Iran, with years of experience in the game, is unlikely to be knocked much off its stride in the acquisitions game."
Especially when OFAC is spending time so much time and effort looking at Cuba, methinks.
CIA legend Charles E. Allen is departing the Department of Homeland Security on Jan. 20, according to a colleague, drawing an end to a 50-year career in government intelligence work.
"Charlie," as he is universally known, joined the CIA in 1958 and spent the next 47 years climbing the ladder through a variety of analytical and managerial roles, culminating in his appointment as the agency's assistant director for collection.
In 2005 he joined DHS with the title of chief intelligence officer, the department's first, reporting directly to Homeland Security Secretary Michael Chertoff. He is also its undersecretary for intelligence and analysis.
A source close to Allen, 72, said he would be retiring Jan. 20 and immediately report back to the CIA for its 90-day retirement debriefing process. He disclosed the news to his staff.
DHS spokesman William R. Knocke initially said he was not aware of Allen's retirement plans, but late Friday confirmed his departure on Jan. 20.
"Every American has benefited from Charlie's remarkable service, and we all owe him a deep debt of gratitude," Knocke said in a statement.
Sen. Joseph I. Lieberman, I-Conn., called Allen "an unsung American hero."
"Although he will be returning to the CIA, his departure from DHS is a great loss," said Lieberman, chairman of the Senate Homeland Security and Governmental Affairs Committee, in a statement.
Rep. Jane Harman, D-Calif. who chairs the House Homeland Security subcommittee on intelligence, also praised Allen.
"Charlie Allen was legendary at the CIA, and his extensive experience proved invaluable in putting DHS's Intelligence & Analysis function on the map," Harman said.
"Now that the office is established, his successor needs to do some heavy lifting to ensure real participation by state and local personnel and far better two-way information sharing."
In Dec. 2007 Chertoff awarded Allen, a native of North Carolina, the Secretary's Gold Medal, DHS' top employee award.
Lieberman said the nation is safer because of Allen's work as DHS intelligence chief.
"Our nation is more secure today as a result of his lifetime of service," Lieberman said. "He ... leaves the (intelligence) division in excellent readiness for his successor. I wish him the best of luck and warmest regards for the future."
But John Rollins, the first chief of staff of intelligence under DHS Secretary Tom Ridge, said Allen's legacy would be mixed.
"In all fairness, Charlie inherited an organization lacking focus, personnel, and resources," Rollins said.
But "many detractors will point to the Office of Intelligence's inability to provide timely and relevant terrorism related information to state, local and private sector entities."
"With that said," Rollins added, "my biggest concern is the office's continued lack of progress in cultivating and assessing domestic threat information. As the primary customer and contributor to DHS' mission, my hope is that individuals with state, local, and private sector experience will assume senior leadership positions in the Department, thus improving the quality of the Office of Intelligence's products and services."
"Charlie," as he is universally known, joined the CIA in 1958 and spent the next 47 years climbing the ladder through a variety of analytical and managerial roles, culminating in his appointment as the agency's assistant director for collection.
In 2005 he joined DHS with the title of chief intelligence officer, the department's first, reporting directly to Homeland Security Secretary Michael Chertoff. He is also its undersecretary for intelligence and analysis.
A source close to Allen, 72, said he would be retiring Jan. 20 and immediately report back to the CIA for its 90-day retirement debriefing process. He disclosed the news to his staff.
DHS spokesman William R. Knocke initially said he was not aware of Allen's retirement plans, but late Friday confirmed his departure on Jan. 20.
"Every American has benefited from Charlie's remarkable service, and we all owe him a deep debt of gratitude," Knocke said in a statement.
Sen. Joseph I. Lieberman, I-Conn., called Allen "an unsung American hero."
"Although he will be returning to the CIA, his departure from DHS is a great loss," said Lieberman, chairman of the Senate Homeland Security and Governmental Affairs Committee, in a statement.
Rep. Jane Harman, D-Calif. who chairs the House Homeland Security subcommittee on intelligence, also praised Allen.
"Charlie Allen was legendary at the CIA, and his extensive experience proved invaluable in putting DHS's Intelligence & Analysis function on the map," Harman said.
"Now that the office is established, his successor needs to do some heavy lifting to ensure real participation by state and local personnel and far better two-way information sharing."
In Dec. 2007 Chertoff awarded Allen, a native of North Carolina, the Secretary's Gold Medal, DHS' top employee award.
Lieberman said the nation is safer because of Allen's work as DHS intelligence chief.
"Our nation is more secure today as a result of his lifetime of service," Lieberman said. "He ... leaves the (intelligence) division in excellent readiness for his successor. I wish him the best of luck and warmest regards for the future."
But John Rollins, the first chief of staff of intelligence under DHS Secretary Tom Ridge, said Allen's legacy would be mixed.
"In all fairness, Charlie inherited an organization lacking focus, personnel, and resources," Rollins said.
But "many detractors will point to the Office of Intelligence's inability to provide timely and relevant terrorism related information to state, local and private sector entities."
"With that said," Rollins added, "my biggest concern is the office's continued lack of progress in cultivating and assessing domestic threat information. As the primary customer and contributor to DHS' mission, my hope is that individuals with state, local, and private sector experience will assume senior leadership positions in the Department, thus improving the quality of the Office of Intelligence's products and services."
When Pamela Constable says things are going bad in Afghanistan, you have to listen.
Constable has spent years in the region. In 2004 she authored a deeply personal book about her experiences there, Fragments of Grace: My Search for Meaning in the Strife of South Asia.
Now she's back in Kabul for The Washington Post, from where a few days ago she filed an ominous piece about Gaza's impact on Afghanistan's Muslims that deserves closer attention.
"(T) he Israeli attack on Gaza, widely seen here as an act of aggression enabled by the United States, has become conflated in the minds of some Afghans with U.S. motives and actions in Afghanistan," she wrote on Jan. 5.
"Taliban propaganda and sermons by conservative clerics," she adds, 'have contributed to a notion of the United States as an occupying power that seeks to subjugate the Muslim world."
Mehrabuddin Ali, a baker in a working-class Kabul district, tells her:
"We have cable TV, and we know what the Americans are doing. First they attacked Iraq. They didn't find any nuclear weapons, but they killed a lot of Muslims. Now they are supporting Israel in killing innocent Palestinians. If they have come here to help us, we will welcome them. But if they come to destroy us, we will drive them out like we drove out the Russians. Real Muslims only need the protection of God."
Now comes an equally disturbing piece from UPI's estimable Homeland and National Security Editor Shaun Waterman.
In an analysis for ISN Security Watch, Waterman raises serious doubts about a little-noticed U.S. plan to arm Afghan militias to fight the Taliban, outside of army channels, much like the American tactic of pitting Sunni tribes in Iraq against al Qaeda guerrillas.
What worked in Iraq -- and only temporarily, most say -- cannot be exported to Afghanistan, some reputable experts tell Waterman.
"At best, it would be a tactical gain, but also an immense strategic loss," said Ali Jalali, a former Afghan interior minister and now a visiting professor at the National Defense University, noting that by fragmenting power and undermining the authority of the central government, the strategy in the long run could actually worsen the instability it sought to ameliorate.
He called this "effort to gain peace through manipulating tribal dynamics" a "colonial approach."
Waterman also quotes retired Marine Corps Col. Daniel Curtis, also a professor at the National Defense University, as saying "it would be throwing kindling on this [fire] [...] to pay people who are already unwilling to relinquish power."
The West has been down this road before, reminds former U.S. ambassador to Afghanistan James Dobbins, author of a recent book on state-building efforts in the war-beaten country.
"There are precedents," he tells Waterman, "and the precedents are not terribly hopeful."
This is disturbing, must reading.
Am I the only person who sees some irony in the demands of some key Democrats that Steve Kappes be kept at the CIA as the price of their support for Leon Panetta to run the spy agency?
To be sure, Kappes, now the CIA's No. 2, is "highly regarded," as everyone keeps saying, inside and outside the CIA. He has been a station chief in Moscow and Kuwait and in recent years pulled off a Hollywood-like secret operation to get Libya's Muammar el-Qaddafi to ditch his nuclear weapons program. His subordinates virtually gush over him.
He has been called "the best spy to emerge from the CIA in a generation."
Former CIA operative Gary Berntsen, who led one of the first teams into Afghanstan, said Kappes is "probably the finest man I've worked for in my career. You would know what he wanted from you but it was clear that people would have the flexibility and the lattitide to make those difficult decisions on your own, which is what we need."
But if the choice of Panetta is meant to signal a complete break with the Bush administration's CIA, why would Democrats like Sen. Diane Feinstein, D-Calif., the incoming chairwoman of the Senate Intelligence Committee, intimate that her price for supporting Obama's pick of Panetta was to keep Kappes as his deputy?
One reason is obvious: Outside of listening in on intelligence briefings as Bill Clinton's chief of staff, and reviewing CIA spreadsheets as OMB director, Panetta can't seriously be said to have "intelligence experience," no matter how furious the Obama team's spinning.
But Panetta's reputation as a top-notch manager is unchallenged. Wags joke that he was the first adult to join the Clinton White House in 1994 and clamp down on the dorm-like late-night bull sessions that passed as staff meetings. The idea is that he'll bring intellectual, organizational and fiscal rigor to a CIA badly in need of it, while Kappes rides herd on the spies.
But will Kappes be Panetta's loyal consigliore, or double-dealing protector of the way things are?
Can he be said to be the new leader's agent of "change," implementing a break from the agency's record as obedient servant on water-boarding, secret extraditions to foreign dungeons and warrantless wiretapping?
Kappes' resistance to the regime of Porter J. Goss, the Florida Republican congressman Bush chose to run the agency in 2004, is notorious.
But Goss' defenders maintain that the public never got the whole story.
"He was certainly a good ops officer," a former top CIA official during the Goss era, which ended in 2006 with a near mutiny in the operations ranks, said of Kappes.
"It wasn't that that we had a problem with that, it was his management," the official said, saying Kappes had repeatedly ignored pleas by Goss' imported congressional staff -- derided as the "Gosslings" -- to find someone to head the agency's New York office during a heightened terrorist alert against the city.
The lionization of Kappes among ops veterans at the CIA still rankles some officials from that era, who think Goss got a raw deal.
"I would say that if Kappes is kept on," said one, still bitter, "Panetta will need to watch out for the first time he crosses him. There will be more nasty leaks and innuendo and 'experienced' officers leaving in a huff."
Many close observers of the agency have cautioned that Panetta should avoid bringing along an outside retinue to staff his executive offices at Langley, like Goss did when he imported his staff from the House Intelligence Committee, where he was chairman.
For that reason alone, Feinstein and others say Panetta needs "experienced intelligence professionals" to show him the ropes.
But even one of Kappes's many admirers thinks not.
"They need someone with experience but who is not associated with the last few years," offered this person, a senior CIA manager during the reign of George Tenet. "Steve or anyone else from the current group will waste a ton of time explaining why what they have done is good."
But another official who had a box seat at CIA during the Goss stint suggests another, darker reason for keeping Kappes on: Finding someone else could be the NFL fielding replacement players during the strike years back.
When Goss came in, "Talented officers refused to take on leadership roles simply because they were annoyed that their choice for DCI, John McLaughlin, was not chosen by the President," he said.
Which all means Panetta is going to get a quick education in the CIA's culture even before he turns to the Global War on Terror.
Panetta, argues another official from the Goss era, "is doomed with this arrangement, one way or the other.
"He should be insisting, if 'change' is really what the Obama administration wants at CIA, that he gets to clean house," the official said.
"Otherwise, he will be managing and working against cross purposes with those who carried out the very policies they believe to be inhumane and improper."
Feinstein press secretary Phil LaVelle said the senator is confident that national security officials in the Obama administration will dictate a break from Bush-era practices at the CIA.
"Senator Feinstein is quite clear that the abuses of the past were illegal and unacceptable, and she's introduced legislation to prevent them from occurring in the future," Lavelle said in a response to a query.
"Senator Feinstein also expects that President-elect Obama will dictate changes from the past, and she expects any CIA director to carry out that direction."
A Vietnam veterans group is suing the CIA for "thousands of secret experiments to test toxic chemical and biological substances under code names such as MKULTRA.," its attorneys said today.
The suit was filed in federal court in northern California on behalf of the Washington-based Vietnam Veterans of America, Inc., and six aging veterans with multiple diseases and ailments "tied to a diabolical and secret testing program, whereby U.S. military personnel were deliberately exposed, by government and military agencies, to chemical and biological weapons and other toxins without informed consent," the Morrison & Foerster law firm said in a press release.
The firm said the alleged CIA research program was launched in the early 1950s and continued through at least 1976 at the Edgewood Arsenal and Fort Detrick, Md., as well as universities and hospitals across the country contracted by the CIA.
Defendants include the CIA, the Department of the Army, the Department of Defense and various government officials responsible for these agencies.
"The CIA secretly provided financing, personnel, and direction for the experiments, which were mainly conducted or contracted by the Army," the suit says.
According to the veterans, the experiments, conducted over a 25 year period, included:
· the use of troops to test nerve gas, psychochemicals, and thousands of other toxic chemical or biological substances, and ... the insertion of septal implants in the brains of subjects in ... mind control experiments that went awry, leaving many civilian and military subjects with permanent disabilities;
· the failure to secure informed consent and other widespread failures to follow the precepts of U.S. and international law regarding the use of human subjects, including the 1953 Wilson Directive and the Nuremberg Code;
· a ... refusal by the DoD, the CIA, and the Army to ... locate the victims of their ... experiments or to provide health care or compensation to them;
· the destruction by the CIA of evidence and files
The plaintiffs have scheduled a news conference Wednesday at the San Francisco offices of the Morrison & Foerster firm.
UPDATE: CIA spokeswoman Marie Harf said the agency would have no comment "on specific matters before the court."
But, she added, "CIA activities related to MK-ULTRA have been thoroughly investigated, and the CIA fully cooperated with each of the investigations. In addition, tens of thousands of pages from documents related to the program have been declassified and released to the public.
Several books have been written about the CIA drug experiments, which began with a Korean War-era mind-control race with Soviet and Chinese scientists. The idea was to create an American version of "The Manchurian Candidate," or drug-controlled assassin.
The suit was filed in federal court in northern California on behalf of the Washington-based Vietnam Veterans of America, Inc., and six aging veterans with multiple diseases and ailments "tied to a diabolical and secret testing program, whereby U.S. military personnel were deliberately exposed, by government and military agencies, to chemical and biological weapons and other toxins without informed consent," the Morrison & Foerster law firm said in a press release.
The firm said the alleged CIA research program was launched in the early 1950s and continued through at least 1976 at the Edgewood Arsenal and Fort Detrick, Md., as well as universities and hospitals across the country contracted by the CIA.
Defendants include the CIA, the Department of the Army, the Department of Defense and various government officials responsible for these agencies.
"The CIA secretly provided financing, personnel, and direction for the experiments, which were mainly conducted or contracted by the Army," the suit says.
According to the veterans, the experiments, conducted over a 25 year period, included:
· the use of troops to test nerve gas, psychochemicals, and thousands of other toxic chemical or biological substances, and ... the insertion of septal implants in the brains of subjects in ... mind control experiments that went awry, leaving many civilian and military subjects with permanent disabilities;
· the failure to secure informed consent and other widespread failures to follow the precepts of U.S. and international law regarding the use of human subjects, including the 1953 Wilson Directive and the Nuremberg Code;
· a ... refusal by the DoD, the CIA, and the Army to ... locate the victims of their ... experiments or to provide health care or compensation to them;
· the destruction by the CIA of evidence and files
The plaintiffs have scheduled a news conference Wednesday at the San Francisco offices of the Morrison & Foerster firm.
UPDATE: CIA spokeswoman Marie Harf said the agency would have no comment "on specific matters before the court."
But, she added, "CIA activities related to MK-ULTRA have been thoroughly investigated, and the CIA fully cooperated with each of the investigations. In addition, tens of thousands of pages from documents related to the program have been declassified and released to the public.
"MK-ULTRA was investigated in 1975 by the Rockefeller Commission and the Church Committee, and in 1977 by the Senate Select Committee on Intelligence and the Senate Subcommittee on Health and Scientific Research," Harf added.
Several books have been written about the CIA drug experiments, which began with a Korean War-era mind-control race with Soviet and Chinese scientists. The idea was to create an American version of "The Manchurian Candidate," or drug-controlled assassin.
A retired senior CIA operations officer who quit last summer after 20 years tracking terrorists says the rank-and-file reaction to President-elect Obama's choice of Leon E.Panetta to run the spy agency has been "overwhelmingly negative."
Charles "Sam" Faddis, who led a CIA team into northern Iraq before the 2003 invasion, says he had "already heard from a large number of rank and file within CIA on this choice, and the reaction has been overwhelmingly negative."
Faddis added:
"These are people who are sweating blood everyday to make things happen and living for the day that somebody is going to come in, institute real reform and turn the CIA into the vital, effective organization it should be. To them this choice just says that no such changes are impending and that all they can look forward to is business as usual."
A number of field operatives have voiced similar sentiments to me since word spread Monday that Obama had chosen Panetta, a former chief of staff to President Bill Clinton known for his budget expertise, to run the CIA. Panetta was also a Democratic congressman from the Monterey area of California from 1977 to 1993.
"His credentials do not warrant the appointment, especially in a wartime footing," said one CIA operative who has been pursuing al Qaeda in Afghanistan, in a typical remark.
Faddis, who was working on nuclear nonproliferation issues when he left the agency in May after 20 years as a covert operator, called Panetta "a disappointing choice."
"I am a big supporter of President-Elect Obama," Faddis added, "but Panetta is not the guy we need to run CIA right now. He may be a very good man. (But) he knows nothing about intelligence, particularly human intelligence" -- recruiting and managing spies.
"The central problem at CIA is that it is not doing a very good job of collecting the information it was created to collect," Faddis said.
"To fix that you need to get down in the weeds and really address the nuts and bolts of how CIA is performing its mission. You cannot do that unless you understand the business, and, frankly, you probably can't do it unless you have been out on the street doing the work yourself."
In contrast to the field operatives, a numer of former top CIA officials have been telling me that Panetta, 70, could be a very good CIA director, despite his lack of experience.
In particular they cite his highly regarded tenure as Clinton's Chief of Staff and familiarity with intelligence issues through his stewardship of the House Budget Committee and White House Office of Management and Budget (OMB).
As a longtime Washington powerbroker, he'll also have the "juice" to get President Obama's ear, they say.
"While intelligence experience is obviously desired, it is not absolutely essential," said former CIA Deputy Director John McLaughlin, by e-mail from London.
"Other qualities are capacity to make decisions when there are no easy options and to take responsibility for them, situational awareness about the secondary and tertiary consequences of those decisions, good judgment about what is right, true, or advisable when presented with conflicting assessments -- a common situation in a field where you are almost always dealing with incomplete information. An instinct for dealing with people -- at the core of the job. The capacity to communicate clearly to a work force that needs an understanding of the larger picture in order to fit their discrete jobs into the broader mission."
McLaughlin concluded, "From what I know of Panetta, he should be good at most of these things."
Running the CIA, said another top former official, is not "neurology or rocket science."
But voices from below decks insist that's not enough to get a grip on what they call a self-serving, insular corps of middle managers in the clandestine service, which, they say, has become hidebound and risk adverse.
"When Panetta ends up sitting in a room with the senior 'spooks' from the agency, and they start with the smoke and mirrors and obfuscation, how is he going to cut through that?" Faddis asked, echoing a common view. "He's not."
"No matter how well intentioned he is or how intelligent, he does not have the background. He does not even speak their language. He will end up like Porter Goss did, sitting in an office, talking on the phone, and, at ground level, nothing will change," Faddis maintained.
Goss, a onetime CIA case officer, was a Republican congressman from Florida and chairman of the House Intelligence Committee when President Bush picked him in 2004 to head the CIA. His two-year tenure was marked by clashes with senior CIA management.
Many CIA veterans and their friends in Congress are generally groaning over the choice of Leon Panetta over an "intelligence professional" to run the nation's premier spy agency.
"The message is, 'I don't want to hear anything out of the CIA. Make it go away. No scandals. Keep it quiet,'" a former senior CIA manager told Laura Rozen for her new Foreign Policy.com blog.
Lamented another former top CIA officer, one who was hoping to get Obama's nod: "So much for a professional at the top."
"I find the choice of Leon Panetta to head the CIA a curious one," another former spy told Wired's Noah Shachtman at the Danger Room.
Speaking of which, my CQ colleague Tim Starks drew frosty responses about Panetta from Sen. Dianne Feinstein, D-Calif., the incoming chair of the Senate Select Committee on Intelligence, and the man she is replacing, John D. "Jay" Rockefeller IV of West Virginia.
Likewise, Rockefeller was worried that Panetta "has no intelligence experience," an aide told Starks, "because he has believed this has always been a position that should be outside of the political realm."
Panetta's limited intelligence experience demands that his deputy "be an insider and must have strong internal management skills," a senior retired operative told me.
I, too, was one of those who thought the president-elect should find someone who knows their way around the Langley labyrinths well enough to fend off self-serving bureaucrats and whip that place into shape, especially by getting rid of mid-level managers who are routinely described to me as unimaginative and overcautious.
But the public, and by extension, Obama, obviously doesn't share as high a regard for "intelligence professionals" as we inside-the-Beltwayers.
Indeed, to many people, "intelligence" and "professional" hardly belong in the same sentence after the surprise attacks of 9/11, the Iraq WMD fiasco, the continuing success of Osama Bin Laden in eluding capture, and, of course, the false confessions of top bin Laden lieutenants under torture.
The infamous "Curveball" episode, in which CIA bosses took the word of a lone informant they never even talked to as the main basis for declaring Saddam Hussein had biological weapons, showed the agency's standards of accuracy "were lower than a tabloid newspaper's," in the words of one disgusted CIA operations veteran.
Among Washington's big hitters, moreover, running the CIA was no longer considered a plum, I was told, since the creation of the National Intelligence Directorate displaced the agency as the President's daily briefer and primus inter pares in the spy community.
People who might've jumped at the chance to run it in the past now saw it as second seat in the violin section, some longtime intelligence observers were telling me.
"I wish I could say that I disagree, but I can't. It's spot on," said one top former intelligence agency head, reflecting a sentiment I heard from others.
But if the "intelligence professionals" take a deep breath, they may find that Obama's choice is the best thing that could happen to the CIA, at least in one regard: the former White House budget director, chief of staff, congressman, onetime Republican (a Nixon appointee) and longtime Washington power broker is hardly likely to play second fiddle to a mere general or admiral occupying the DNI's chair.
One way to look at the not-yet-announced appointment is that Obama is putting his own man at the top of a very sensitive agency, one that could make or break his presidency, in the same way that JFK installed his brother Bobby at the Justice Department.
Adm. Dennis Blair, the all but officially announced DNI nominee, is not likely to miss that.
Harry B. "Skip" Brandon, a former deputy head of counterintelligence at the FBI, compared Obama's selection of Panetta to Jimmy Carter's appointment of federal judge William H. Webster to run a troubled FBI in 1978. Nine years later, President Ronald Reagan turned to Webster to take over an even more troubled CIA, which was caught up in the so-called Iran-Contra, arms-for-hostages scandal.
And as more than one close observer put it, "No one's saying Leon who?"
By all accounts, moreover, Panetta was a strong manager and effective chief of staff in the Clinton White House, "an honest, straight shooter," in the words of one Obama booster who asked not to be named.
And from his stints as OMB director, and before that, chairmanship of the House Budget Committee, "he knows the entire scope of the intelligence budget," this person added. As chief of staff, he also sat in on the President's daily intelligence brief.
More recently, Panetta was a member of the bipartisan Iraq Study Group, which recommended a timetable with U.S. troop withdrawals.
But it's not likely he'll get a free pass in his confirmation hearings.
As I wrote earlier today, Panetta's nomination is likely to give Republicans fresh ammunition to reopen questions about the Clinton administration's counterterrorism record, which Republican critics maintain was lackluster at best after the first terrorist attack on the World Trade Center, in 1993.
Panetta was budget director and later chief of staff during the first Clinton term.
Considering the Republicans had the White House when the 9/11 hijackers came calling, of course -- and by most accounts sloughed off warnings headlined "Bin Laden determined to strike in US" -- there's only so far they can take that line of attack.
But if only one thing is clear from the Panetta nomination, it's this: President Obama intends to make a clear break with the intelligence policies and personnel of the Bush administration.
"We need the CIA to collect reliable, actionable intelligence in ways that respect American values and honor the Constitution," Holt added.
"Mr. Panetta's background and reputation indicate he would serve the intelligence community, the President, and the country well."
"The message is, 'I don't want to hear anything out of the CIA. Make it go away. No scandals. Keep it quiet,'" a former senior CIA manager told Laura Rozen for her new Foreign Policy.com blog.
"They put over there a guy who is a political loyalist, who will keep everything nice and quiet, but who won't know a good piece of intelligence from a shi**y piece of intelligence, and wouldn't know a good intelligence officer" from a bad one."
Lamented another former top CIA officer, one who was hoping to get Obama's nod: "So much for a professional at the top."
"I find the choice of Leon Panetta to head the CIA a curious one," another former spy told Wired's Noah Shachtman at the Danger Room.
"On the one hand, if you are looking to pick a nation's top spook, it is generally a good idea to pick someone with more than a cursory exposure to the intelligence business. It is also more than a little annoying that we can't seem to find a CIA chief that hasn't spent all of their adult life playing politics."
Speaking of which, my CQ colleague Tim Starks drew frosty responses about Panetta from Sen. Dianne Feinstein, D-Calif., the incoming chair of the Senate Select Committee on Intelligence, and the man she is replacing, John D. "Jay" Rockefeller IV of West Virginia.
"I was not informed about the selection of Leon Panetta to be the CIA director. I know nothing about this, other than what I've read," she said in a written statement in response to a query from Starks. "My position has consistently been that I believe the agency is best-served by having an intelligence professional in charge at this time."
Likewise, Rockefeller was worried that Panetta "has no intelligence experience," an aide told Starks, "because he has believed this has always been a position that should be outside of the political realm."
Panetta's limited intelligence experience demands that his deputy "be an insider and must have strong internal management skills," a senior retired operative told me.
I, too, was one of those who thought the president-elect should find someone who knows their way around the Langley labyrinths well enough to fend off self-serving bureaucrats and whip that place into shape, especially by getting rid of mid-level managers who are routinely described to me as unimaginative and overcautious.
But the public, and by extension, Obama, obviously doesn't share as high a regard for "intelligence professionals" as we inside-the-Beltwayers.
Indeed, to many people, "intelligence" and "professional" hardly belong in the same sentence after the surprise attacks of 9/11, the Iraq WMD fiasco, the continuing success of Osama Bin Laden in eluding capture, and, of course, the false confessions of top bin Laden lieutenants under torture.
The infamous "Curveball" episode, in which CIA bosses took the word of a lone informant they never even talked to as the main basis for declaring Saddam Hussein had biological weapons, showed the agency's standards of accuracy "were lower than a tabloid newspaper's," in the words of one disgusted CIA operations veteran.
Among Washington's big hitters, moreover, running the CIA was no longer considered a plum, I was told, since the creation of the National Intelligence Directorate displaced the agency as the President's daily briefer and primus inter pares in the spy community.
People who might've jumped at the chance to run it in the past now saw it as second seat in the violin section, some longtime intelligence observers were telling me.
"I wish I could say that I disagree, but I can't. It's spot on," said one top former intelligence agency head, reflecting a sentiment I heard from others.
"Everybody wants to run the whole show, especially since it gives them 'player' status in Washington, and the opportunity to hobnob with the President. Never mind that the [intelligence] community they preside over is broken, long overdue for an overhaul, and mainly turns out crap."
But if the "intelligence professionals" take a deep breath, they may find that Obama's choice is the best thing that could happen to the CIA, at least in one regard: the former White House budget director, chief of staff, congressman, onetime Republican (a Nixon appointee) and longtime Washington power broker is hardly likely to play second fiddle to a mere general or admiral occupying the DNI's chair.
One way to look at the not-yet-announced appointment is that Obama is putting his own man at the top of a very sensitive agency, one that could make or break his presidency, in the same way that JFK installed his brother Bobby at the Justice Department.
Adm. Dennis Blair, the all but officially announced DNI nominee, is not likely to miss that.
Harry B. "Skip" Brandon, a former deputy head of counterintelligence at the FBI, compared Obama's selection of Panetta to Jimmy Carter's appointment of federal judge William H. Webster to run a troubled FBI in 1978. Nine years later, President Ronald Reagan turned to Webster to take over an even more troubled CIA, which was caught up in the so-called Iran-Contra, arms-for-hostages scandal.
"He could bring a bipartisan credibility to the CIA," Brandon said of Panetta, "and calm the troubled waters there." He could also be "an honest broker on Capitol Hill," Brandon said.
And as more than one close observer put it, "No one's saying Leon who?"
By all accounts, moreover, Panetta was a strong manager and effective chief of staff in the Clinton White House, "an honest, straight shooter," in the words of one Obama booster who asked not to be named.
And from his stints as OMB director, and before that, chairmanship of the House Budget Committee, "he knows the entire scope of the intelligence budget," this person added. As chief of staff, he also sat in on the President's daily intelligence brief.
More recently, Panetta was a member of the bipartisan Iraq Study Group, which recommended a timetable with U.S. troop withdrawals.
But it's not likely he'll get a free pass in his confirmation hearings.
As I wrote earlier today, Panetta's nomination is likely to give Republicans fresh ammunition to reopen questions about the Clinton administration's counterterrorism record, which Republican critics maintain was lackluster at best after the first terrorist attack on the World Trade Center, in 1993.
Panetta was budget director and later chief of staff during the first Clinton term.
Considering the Republicans had the White House when the 9/11 hijackers came calling, of course -- and by most accounts sloughed off warnings headlined "Bin Laden determined to strike in US" -- there's only so far they can take that line of attack.
But if only one thing is clear from the Panetta nomination, it's this: President Obama intends to make a clear break with the intelligence policies and personnel of the Bush administration.
"Having served in Congress in the wake of Watergate and the domestic surveillance abuses that surfaced during the 1970s, Mr. Panetta understands how a democratic government should operate," said Rep. Rush Holt, D-N.J., a member of the House Intelligence Committee and chair of its oversight Panel since 2007.
"We need the CIA to collect reliable, actionable intelligence in ways that respect American values and honor the Constitution," Holt added.
"Mr. Panetta's background and reputation indicate he would serve the intelligence community, the President, and the country well."
President-elect Obama's selection of former congressman and White House official Leon E. Panetta to run the CIA is likely to give Republicans fresh ammunition to reopen questions about the Clinton administration's counterterrorism policies.
Critics have long maintained that Clinton was uninterested in intelligence issues and slow to come to grips with the threat of Islamist terrorism, even after the first attack on the World Trade Center, in 1993.
Panetta was budget director and later chief of staff during the first Clinton term.
In an interview three months after the 9/11 attacks, Panetta said that senior Clinton aides viewed terrorism as just one of many pressing global problems.
"Clinton was aware of the threat and sometimes he would mention it," Panetta told the New York Times. But the "big issues" in the president's first term, he said, were "Russia, Eastern bloc, Middle East peace, human rights, rogue nations and then terrorism."
"When it came to terrorism, Clinton administration officials continued the policy of their predecessors, who had viewed it primarily as a crime to be solved and prosecuted by law enforcement agencies," the Times said.
Information gathered through grand jury investigations by the Justice Department after the 1993 bombing pointed to overseas, but the information was not shared with the CIA because of the "wall" that existed then between intelligence and law enforcement operations.
As for Afghanistan, the CIA virtually abandoned the region in 1989 after defeating the Red Army, and the Clinton administration (and Congress) did nothing to reverse that policy, leaving the spy agency with few sources to follow the emergence of al Qaeda.
Another Clinton aide back then, George Stephanopoulos, said he believed the 1993 attack did not gain more attention because, in the end, it "wasn't a successful bombing."
"It wasn't the kind of thing where you walked into a staff meeting and people asked, what are we doing today in the war against terrorism?" he added.
It wasn't until a truck bomb tore into the Alfred P. Murrah Federal Building in Oklahoma City on April 19, 1995, killing 168 people, that plans to reorganize the government's counterterrorism efforts were revived, Panetta said.
If Oklahoma City could be hit, a terrorist attack could "happen at the White House," Panetta said.
Two months after the bombing, the Times reported, "Mr. Clinton ordered the government to intensify the fight against terrorism. The order did not give agencies involved in the fight more money, nor did it end the bureaucratic turf battles among them."
Three years later, Clinton responded to the 1998 bombings of two U.S. embassies in Africa with cruise missile strikes on Sudan and Afghanistan, moves that drew caustic comments from Republican presidential aspirant George W. Bush during the 2000 campaign.
Panetta was appointed chief of staff to Clinton in 1994, and served in that position until 1997.
In 1996 he was handed the duty of informing then-CIA Director John M. Deutch that his appointment would not be renewed in the second administration.
He was a Democratic congressman from California's 17th district from 1977 to 1993.
Panetta was also a member of the bipartisan Iraq Study Group, which recommended a timetable for the withdrawal of U.S. troops.
He is firmly on the record against the use of torture to interrogate terrorist suspects.
"We cannot and we must not use torture under any circumstances. We are better than that," Panetta wrote in The Washington Monthly last spring.
Critics have long maintained that Clinton was uninterested in intelligence issues and slow to come to grips with the threat of Islamist terrorism, even after the first attack on the World Trade Center, in 1993.
Panetta was budget director and later chief of staff during the first Clinton term.
In an interview three months after the 9/11 attacks, Panetta said that senior Clinton aides viewed terrorism as just one of many pressing global problems.
"Clinton was aware of the threat and sometimes he would mention it," Panetta told the New York Times. But the "big issues" in the president's first term, he said, were "Russia, Eastern bloc, Middle East peace, human rights, rogue nations and then terrorism."
"When it came to terrorism, Clinton administration officials continued the policy of their predecessors, who had viewed it primarily as a crime to be solved and prosecuted by law enforcement agencies," the Times said.
Information gathered through grand jury investigations by the Justice Department after the 1993 bombing pointed to overseas, but the information was not shared with the CIA because of the "wall" that existed then between intelligence and law enforcement operations.
As for Afghanistan, the CIA virtually abandoned the region in 1989 after defeating the Red Army, and the Clinton administration (and Congress) did nothing to reverse that policy, leaving the spy agency with few sources to follow the emergence of al Qaeda.
Another Clinton aide back then, George Stephanopoulos, said he believed the 1993 attack did not gain more attention because, in the end, it "wasn't a successful bombing."
"It wasn't the kind of thing where you walked into a staff meeting and people asked, what are we doing today in the war against terrorism?" he added.
It wasn't until a truck bomb tore into the Alfred P. Murrah Federal Building in Oklahoma City on April 19, 1995, killing 168 people, that plans to reorganize the government's counterterrorism efforts were revived, Panetta said.
If Oklahoma City could be hit, a terrorist attack could "happen at the White House," Panetta said.
Two months after the bombing, the Times reported, "Mr. Clinton ordered the government to intensify the fight against terrorism. The order did not give agencies involved in the fight more money, nor did it end the bureaucratic turf battles among them."
Three years later, Clinton responded to the 1998 bombings of two U.S. embassies in Africa with cruise missile strikes on Sudan and Afghanistan, moves that drew caustic comments from Republican presidential aspirant George W. Bush during the 2000 campaign.
Panetta was appointed chief of staff to Clinton in 1994, and served in that position until 1997.
In 1996 he was handed the duty of informing then-CIA Director John M. Deutch that his appointment would not be renewed in the second administration.
He was a Democratic congressman from California's 17th district from 1977 to 1993.
Panetta was also a member of the bipartisan Iraq Study Group, which recommended a timetable for the withdrawal of U.S. troops.
He is firmly on the record against the use of torture to interrogate terrorist suspects.
"We cannot and we must not use torture under any circumstances. We are better than that," Panetta wrote in The Washington Monthly last spring.
