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These articles were downloaded from the web site of the Seattle Times, since the San Jose Mercury News has removed the entire series from their web site. Gary Webb's career as a professional journalist was destroyed shortly after these articles were published. Tragically, Gary was suicided December 13th, 2004 |
Cocaine pipeline financed rebels
Evidence points to CIA knowing of high-volume drug network
by Gary Webb
San Jose Mercury News
The same day the Mercury News requested official permission to interview Miranda, he disappeared.
Salvador air force linked to cocaine flights, Nicaraguan contras, drug dealer's supplier
Drug king free, but black aide sits in jail
How cheap cocaine became the scourge of the inner city
How Web fueled story of CIA, crack
Difference in format a problem, says editor
Mercury News retraction won't stop drug probe
from http://www.parascope.com/mx/articles/garywebb/garyWebbSpeaks.htm:
Dark Alliance author Gary Webb gave a fascinating talk on the evening of January 16, outlining the findings of his investigation of the CIA's connection to drug trafficking by the Nicaraguan contras. Approximately 300 people, crowded into the First United Methodist Church in Eugene, Oregon, listened with rapt attention as Webb detailed his experiences. Webb's riveting speech was followed by an intense question-and-answer session, during which he candidly answered questions about the "Dark Alliance" controversy, his firing from the San Jose Mercury News, and CIA/contra/cocaine secrets that still await revelation.
It was a fascinating exchange packed with detailed information on the latest developments in the case. Webb spoke eloquently, with the ease and confidence of an investigator who has spent many long hours researching his subject, and many more hours sharing this information with the public. ParaScope will have a full report on Webb's talk on Wednesday, January 20.In the meantime, you get another opportunity to see a ParaScope
article come together from scratch, from behind the scenes. So check
back with us soon for the latest additions as this piece is
developed.
[Last update 1:40 a.m. EST 1/21. Video clips and hypertext
annotations coming soon.]
Gary Webb: I look like an idiot up here with all these mikes, the CIA agents are probably behind one or the other... [laughter from the audience]. It's really nice to be in Eugene -- I've been in Madison, Wisconsin talking about this, I've been in Berkeley, I've been in Santa Monica, and these are sort of like islands of sanity in this world today, so it's great to be on one of those islands.
One of the things that is weird about this whole thing, though, is that I've been a daily news reporter for about twenty years, and I've done probably a thousand interviews with people, and the strangest thing is being on the other side of the table now and having reporters ask me questions. One of them asked me about a week ago -- I was on a radio show -- and the host asked me, "Why did you get into newspaper reporting, of all the media? Why did you pick newspapers?" And I really had to admit that I was stumped. Because I thought about it -- I'd been doing newspaper reporting since I was fourteen or fifteen years old -- and I really didn't have an answer.
So I went back to my clip books -- you know, most reporters keep all their old clips -- and I started digging around trying to figure out if there was one story that I had written that had really tipped the balance. And I found it. And I wanted to tell you this story, because it sort of fits into the theme that we're going to talk about tonight.
I think I was fifteen, I was working for my high school paper, and I was writing editorials. This sounds silly now that I think about it, but I had written an editorial against the drill team that we had for the high school games, for the football games. This was '71 or '72, at the height of the protests against the Vietnam War, and I was in school then in suburban Indianapolis -- Dan Quayle country. So, you get the idea of the flavor of the school system. They thought it was a cool idea to dress women up in military uniforms and send them out there to twirl rifles and battle flags at halftime. And I thought this was sort of outrageous, and I wrote an editorial saying I thought it was one of the silliest things I'd ever seen. And my newspaper advisor called me the next day and said, "Gosh, that editorial you wrote has really prompted a response." And I said, "Great, that's the idea, isn't it?" And she said, "Well, it's not so great, they want you to apologize for it." [Laughter from the audience.]
I said, "Apologize for what?" And she said, "Well, the girls were very offended." And I said, "Well, I'm not apologizing because they don't want my opinion. You'll have to come up with a better reason than that." And they said, "Well, if you don't apologize, we're not going to let you in Quill & Scroll," which is the high school journalism society. And I said, "Well, I don't want to be in that organization if I have to apologize to get into it." [More laughter from the audience, scattered applause.]
They were sort of powerless at that point, and they said, "Look, why don't you just come down and the cheerleaders are going to come in, and they want to talk to you and tell you what they think," and I said okay. So I went down to the newspaper office, and there were about fifteen of them sitting around this table, and they all went around one by one telling me what a scumbag I was, and what a terrible guy I was, and how I'd ruined their dates, ruined their complexions, and all sorts of things... [Laughter and groans from the audience.] ...and at that moment, I decided, "Man, this is what I want to do for a living." [Roar of laughter from the audience.] And I wish I could say that it was because I was infused with this sense of the First Amendment, and thinking great thoughts about John Peter Zenger and I.F. Stone... but what I was really thinking was, "Man, this is a great way to meet women!" [More laughter.]
And that's a true story, but the reason I tell you that is because it's often those kinds of weird motivations and unthinking consequences that lead us to do things, that lead us to events that we have absolutely no concept how they're going to turn out. Little did I know that twenty-five years later, I'd be writing a story about the CIA's wrongdoings because I wanted to meet women by writing editorials about cheerleaders.
But that's really the way life and that's really the way history works a lot of times. You know, when you think back on your own lives, from the vantage point of time, you can see it. I mean, think back to the decisions you've made in your lifetimes that brought you to where you are tonight, think about how close you came to never meeting your wife or your husband, how easily you could have been doing something else for a living if it hadn't been for a decision that you made or someone made that you had absolutely no control over. And it's really kind of scary when you think about how capricious life is sometimes. That's a theme I try to bring to my book, Dark Alliance, which was about the crack cocaine explosion in the 1980s.
So for the record, let me just say this right now. I do not believe -- and I have never believed -- that the crack cocaine explosion was a conscious CIA conspiracy, or anybody's conspiracy, to decimate black America. I've never believed that South Central Los Angeles was targeted by the U.S. government to become the crack capitol of the world. But that isn't to say that the CIA's hands or the U.S. government's hands are clean in this matter. Actually, far from it. After spending three years of my life looking into this, I am more convinced than ever that the U.S. government's responsibility for the drug problems in South Central Los Angeles and other inner cities is greater than I ever wrote in the newspaper.
But it's important to differentiate between malign intent and gross negligence. And that's an important distinction, because it's what makes premeditated murder different from manslaughter. That said, it doesn't change the fact that you've got a body on the floor, and that's what I want to talk about tonight, the body.
Many years ago, there was a great series on PBS -- I don't know how many of you are old enough to remember this -- it was called Connections. And it was by a British historian named James Burke. If you don't remember it, it was a marvelous show, very influential on me. And he would take a seemingly inconsequential event in history, and follow it through the ages to see what it spawned as a result. The one show I remember the most clearly was the one he did on how the scarcity of firewood in thirteenth-century Europe led to the development of the steam engine. And you would think, "Well, these things aren't connected at all," and he would show very convincingly that they were.
In the first chapter of the book on which the series is based, Burke wrote that "History is not, as we are so often led to believe, a matter of great men and lonely geniuses pointing the way to the future from their ivory towers. At some point, every member of society is involved in that process by which innovation and change come about. The key to why things change is the key to everything."
What I've attempted to demonstrate in my book was how the collapse of a brutal, pro-American dictatorship in Latin America, combined with a decision by corrupt CIA agents to raise money for a resistance movement by any means necessary, led to he formation of the nation's first major crack market in South Central Los Angeles, which led to the arming and the empowerment of LA's street gangs, which led to the spread of crack to black neighborhoods across the country, and to the passage of racially discriminatory sentencing laws that are locking up thousands of young black men today behind bars for most of their lives.
But it's not so much a conspiracy as a chain reaction. And that's what my whole book is about, this chain reaction. So let me explain the links in this chain a little better.
The first link is this fellow Anastasio Somoza, who was an American-educated tyrant, one of our buddies naturally, and his family ruled Nicaragua for forty years -- thanks to the Nicaraguan National Guard, which we supplied, armed, and funded, because we thought they were, you know, anti-communists.
Well, in 1979, the people of Nicaragua got tired of living under this dictatorship, and they rose up and overthrew it. And a lot of Somoza's friends and relatives and business partners came to the United States, because we had been their allies all these years, including two men whose families had been very close to the dictatorship. And these two guys are sort of two of the three main characters in my book -- a fellow named Danilo Blandón, and a fellow named Norwin Meneses.
They came to the United States in 1979, along with a flood of other Nicaraguan immigrants, most of them middle-class people, most of them former bankers, former insurance salesmen -- sort of a capitalist exodus from Nicaragua. And they got involved when they got here, and they decided they were going to take the country back, they didn't like the fact that they'd been forced out of their country. So they formed these resistance organizations here in the United States, and they began plotting how they were going to kick the Sandanistas out.
At this point in time, Jimmy Carter was president, and Carter wasn't all that interested in helping these folks out. The CIA was, however. And that's where we start getting into this murky world of, you know, who really runs the United States. Is it the president? Is it the bureaucracy? Is it the intelligence community? At different points in time you get different answers. Like today, the idea that Clinton runs the United States is nuts. The idea that Jimmy Carter ran the country is nuts.
In 1979 and 1980, the CIA secretly began visiting these groups that were setting up here in the United States, supplying them with a little bit of money, and telling them to hold on, wait for a little while, don't give up. And Ronald Reagan came to town. And Reagan had a very different outlook on Central America than Carter did. Reagan saw what happened in Nicaragua not as a populist uprising, as most of the rest of the world did. He saw it as this band of communists down there, there was going to be another Fidel Castro, and he was going to have another Cuba in his backyard. Which fit in very well with the CIA's thinking. So, the CIA under Reagan got it together, and they said, "We're going to help these guys out." They authorized $19 million to fund a covert war to destabilize the government in Nicaragua and help get their old buddies back in power.
Soon after the CIA took over this operation, these two drug traffickers, who had come from Nicaragua and settled in California, were called down to Honduras. And they met with a CIA agent named Enrique Bermúdez, who was one of Somoza's military officials, and the man the CIA picked to run this new organization they were forming. And both traffickers had said -- one of them said, the other one wrote, and it's never been contradicted -- that when they met with the CIA agent, he told them, "We need money for this operation. Your guy's job is to go to California and raise money, and not to worry about how you did it. And what he said was -- and I think this had been used to justify just about every crime against humanity that we've known -- "the ends justify the means."
Now, this is a very important link in this chain reaction, because the means they selected was cocaine trafficking, which is sort of what you'd expect when you ask cocaine traffickers to go out and raise money for you. You shouldn't at all be surprised when they go out and sell drugs. Especially when you pick people who are like pioneers of the cocaine trafficking business, which Norwin Meneses certainly was.
There was a CIA cable from I believe 1984, which called him the "kingpin of narcotics trafficking" in Central America. He was sort of like the Al Capone of Nicaragua. So after getting these fundraising instructions from this CIA agent, these two men go back to California, and they begin selling cocaine. This time not exclusively for themselves -- this time in furtherance of U.S. foreign policy. And they began selling it in Los Angeles, and they began selling it in San Francisco.
Sometime in 1982, Danilo Blandón, who had been given the LA market, started selling his cocaine to a young drug dealer named Ricky Ross, who later became known as "Freeway" Rick. In 1994, the LA Times would describe him as the master marketer most responsible for flooding the streets of Los Angeles with cocaine. In 1979, he was nothing. He was nothing before he met these Nicaraguans. He was a high school dropout. He was a kid who wanted to be a tennis star, who was trying to get a tennis scholarship, but he found out that in order to get a scholarship you needed to read and write, and he couldn't. So he drifted out of school and wound up selling stolen car parts, and then he met these Nicaraguans, who had this cheap cocaine that they wanted to unload. And he proved to be very good at that.
Now, he lived in South Central Los Angeles, which was home to some street gangs known as the Crips and the Bloods. And back in 1981-82, hardly anybody knew who they were. They were mainly neighborhood kids -- they'd beat each other up, they'd steal leather coats, they'd steal cars, but they were really nothing back then. But what they gained through this organization, and what they gained through Ricky Ross, was a built-in distribution network throughout the neighborhood. The Crips and the Bloods were already selling marijuana, they were already selling PCP, so it wasn't much of a stretch for them to sell something new, which is what these Nicaraguans were bringing in, which was cocaine.
This is where these forces of history come out of nowhere and collide. Right about the time the contras got to South Central Los Angeles, hooked up with "Freeway" Rick, and started selling powder cocaine, the people Rick was selling his powder to started asking him if he knew how to make it into this stuff called "rock" that they were hearing about. This obviously was crack cocaine, and it was already on its way to the United States by then -- it started in Peru in '74 and was working its way upward, and it was bound to get here sooner or later. In 1981 it got to Los Angeles, and people started figuring out how to take this very expensive powdered cocaine and cook it up on the stove and turn it into stuff you could smoke.
When Ricky went out and he started talking to his customers, and they started asking him how to make this stuff, you know, Rick was a smart guy -- he still is a smart guy -- and he figured, this is something new. This is customer demand. If I want to progress in this business, I better meet this demand. So he started switching from selling powder to making rock himself, and selling it already made. He called this new invention his "Ready Rock." And he told me the scenario, he said it was a situation where he'd go to a guy's house, he would say, "Oh man, I want to get high, I'm on my way to work, I don't have time to go into the kitchen and cook this stuff up. Can't you cook it up for me and just bring it to me already made?" And he said, "Yeah, I can do that." So he started doing it.
So by the time crack got ahold of South Central, which took a couple of years, Rick had positioned himself on top of the crack market in South Central. And by 1984, crack sales had supplanted marijuana and PCP sales as sources of income for the gangs and drug dealers of South Central. And suddenly these guys had more money than they knew what to do with. Because what happened with crack, it democratized the drug. When you were buying it in powdered form, you were having to lay out a hundred bucks for a gram, or a hundred and fifty bucks for a gram. Now all you needed was ten bucks, or five bucks, or a dollar -- they were selling "dollar rocks" at one point. So anybody who had money and wanted to get high could get some of this stuff. You didn't need to be a middle-class or wealthy drug user anymore.
Suddenly the market for this very expensive drug expanded geometrically. And now these dealers, who were making a hundred bucks a day on a good day, were now making five or six thousand dollars a day on a good day. And the gangs started setting up franchises -- they started franchising rock houses in South Central, just like McDonald's. And you'd go on the streets, and there'd be five or six rock houses owned by one guy, and five or six rock houses owned by another guy, and suddenly they started making even more money.
And now they've got all this money, and they felt nervous. You get $100,000 or $200,000 in cash in your house, and you start getting kind of antsy about it. So now they wanted weapons to guard their money with, and to guard their rock houses, which other people were starting to knock off. And lo and behold, you had weapons. The contras. They were selling weapons. They were buying weapons. And they started selling weapons to the gangs in Los Angeles. They started selling them AR-15s, they started selling them Uzis, they started selling them Israeli-made pistols with laser sights, just about anything. Because that was part of the process here. They were not just drug dealers, they were taking the drug money and buying weapons with it to send down to Central America with the assistance of a great number of spooky CIA folks, who were getting them [audio glitch -- "across the border"?] and that sort of thing, so they could get weapons in and out of the country. So, not only does South Central suddenly have a drug problem, they have a weapons problem that they never had before. And you started seeing things like drive-by shootings and gang bangers with Uzis.
By 1985, the LA crack market had become saturated. There was so much dope going into South Central, dope that the CIA, we now know, knew of, and they knew the origins of -- the FBI knew the origins of it; the DEA knew the origins of it; and nobody did anything about it. (We'll get into that in a bit.)
But what happened was, there were so many people selling crack that the dealers were jostling each other on the corners. And the smaller ones decided, we're going to take this show on the road. So they started going to other cities. They started going to Bakersfield, they started going to Fresno, they started going to San Francisco and Oakland, where they didn't have crack markets, and nobody knew what this stuff was, and they had wide open markets for themselves. And suddenly crack started showing up in city after city after city, and oftentimes it was Crips and Bloods from Los Angeles who were starting these markets. By 1986, it was all up and down the east coast, and by 1989, it was nationwide.
Today, fortunately, crack use is on a downward trend, but that's something that isn't due to any great progress we've made in the so-called "War on Drugs," it's the natural cycle of things. Drug epidemics generally run from 10 to 15 years. Heroin is now the latest drug on the upswing.
Now, a lot of people disagreed with this scenario. The New York Times, the LA Times and the Washington Post all came out and said, oh, no, that's not so. They said this couldn't have happened that way, because crack would have happened anyway. Which is true, somewhat. As I pointed out in the first chapter of my book, crack was on its way here. But whether it would have happened the same way, whether it would have happened in South Central, whether it would have happened in Los Angeles at all first, is a very different story. If it had happened in Eugene, Oregon first, it might not have gone anywhere. [Restless shuffling and the sounds of throats being cleared among the audience.] No offense, but you folks aren't exactly trend setters up here when it comes to drug dealers and drug fads. LA is, however. [Soft laughter and murmuring among the audience.]
You can play "what if" games all you like, but it doesn't change the reality. And the reality is that this CIA-connected drug ring played a very critical role in the early 1980s in opening up South Central to a crack epidemic that was unmatched in its severity and influence anywhere in the U.S.
One question that I ask people who say, "Oh, I don't believe this," is, okay, tell me this: why did crack appear in black neighborhoods first? Why did crack distribution networks leapfrog from one black neighborhood to other black neighborhoods and bypass white neighborhoods and bypass Hispanic neighborhoods and Asian neighborhoods? Our government and the mainstream media have given us varying explanations for this phenomenon over the years, and they are nice, comforting, general explanations which absolve anyone of any responsibility for why crack is so ethnically specific. One of the reasons we're told is that, well, it's poverty. As if the only poor neighborhoods in this country were black neighborhoods. And we're told it's high teenage unemployment; these kids gotta have jobs. As if the hills and hollows of Appalachia don't have teenage unemployment rates that are ten times higher than inner city Los Angeles. And then we're told that it's loose family structure -- you know, presuming that there are no white single mothers out there trying to raise kids on low-paying jobs or welfare and food stamps. And then we're told, well, it's because crack is so cheap -- because it sells for a lower price in South Central than it sells anywhere else. But twenty bucks is twenty bucks, no matter where you go in the country.
So once you have eliminated these sort of non-sensical explanations, you are left with two theories which are far less comfortable. The first theory -- which is not something I personally subscribe to, but it's out there -- is that there's something about black neighborhoods which causes them to be genetically predisposed to drug trafficking. That's a racist argument that no one in their right mind is advancing publicly, although I tell you, when I was reading a lot of the stories in the Washington Post and the New York Times, they were talking about black Americans being more susceptible to "conspiracy theories" than white Americans, which is why they believe the story more. I think that was sort of the underlying current there. On the other hand, I didn't see any stories about all the white people who think Elvis is alive still, or that Hitler's brain is preserved down in Brazil to await the Fourth Reich... [laughter from the audience] ...which is a particularly white conspiracy theory, I didn't see any stories in the New York Times about that...
The other more palatable reason which in my mind comes closer to the truth, is that someone started bringing cheap cocaine into black neighborhoods right at the time when drug users began figuring out how to turn it into crack. And this allowed black drug dealers to get a head start on every other ethnic group in terms of setting up distribution systems and trafficking systems.
Now, one thing I've learned about the drug business while researching this is that in many ways it is the epitome of capitalism. It is the purest form of capitalism. You have no government regulation, a wide-open market, a buyer's market -- anything goes. But these things don't spring out of the ground fully formed. It's like any business. It takes time to grow them. It takes time to set up networks. So once these distribution networks got set up and established in primarily South Central Los Angeles, primarily black neighborhoods, they spread it along ethnic and cultural lines. You had black dealers from LA going to black neighborhoods in other cities, because they knew people there, they had friends there, and that's why you saw these networks pop up from one black neighborhood to another black neighborhood.
Now, exactly the same thing happened on the east coast a couple of years later. When crack first appeared on the east coast, it appeared in Caribbean neighborhoods in Miami -- thanks largely to the Jamaicans, who were using their drug profits to fund political gains back home. It was almost the exact opposite of what happened in LA in that the politics were the opposite -- but it was the same phenomenon. And once the Miami market was saturated, they moved to New York, they moved east, and they started bringing crack from the east coast towards the middle of the country.
So it seems to me that if you're looking for the root of your drug problems in a neighborhood, nothing else matters except the drugs, and where they're coming from, and how they're getting there. And all these other reasons I cited are used as explanations for how crack became popular, but it doesn't explain how the cocaine got there in the first place. And that's where the contras came in.
One of the things which these newspapers who dissed my story were saying was, we can't believe that the CIA would know about drug trafficking and let it happen. That this idea that this agency which gets $27 billion a year to tell us what's going on, and which was so intimately involved with the contras they were writing their press releases for them, they wouldn't know about this drug trafficking going on under their noses. But the Times and the Post all uncritically reported their claims that the CIA didn't know what was going on, and that it would never permit its hirelings to do anything like that, as unseemly as drug trafficking. You know, assassinations and bombings and that sort of thing, yeah, they'll admit to right up front, but drug dealing, no, no, they don't do that kind of stuff.
Unfortunately, though, it was true, and what has happened since my series came out is that the CIA was forced to do an internal review, the DEA and Justice Department were forced to do internal reviews, and these agencies that released these reports, you probably didn't read about them, because they contradicted everything else these other newspapers had been writing for the last couple of years, but let me just read you this one excerpt. This is from a 1987 DEA report. And this is about this drug ring in Los Angeles that I wrote about. In 1987, the DEA sent undercover informants inside this drug operation, and they interviewed one of the principals of this organization, namely Ivan Torres. And this is what he said. He told the informant:
"The CIA wants to know about drug trafficking, but only for their own purposes, and not necessarily for the use of law enforcement agencies. Torres told DEA Confidential Informant 1 that CIA representatives are aware of his drug-related activities, and that they don't mind. He said they had gone so far as to encourage cocaine trafficking by members of the contras, because they know it's a good source of income. Some of this money has gone into numbered accounts in Europe and Panama, as does the money that goes to Managua from cocaine trafficking. Torres told the informant about receiving counterintelligence training from the CIA, and had avowed that the CIA looks the other way and in essence allows them to engage in narcotics trafficking."
This is a DEA report that was written in 1987, when this operation was still going on. Another member of this organization who was affiliated with the San Francisco end of it, said that in 1985 -- and this was to the CIA -- "Cabezas claimed that the contra cocaine operated with the knowledge of, and under the supervision of, the CIA. Cabezas claimed that this drug enterprise was run with the knowledge of CIA agent Ivan Gómez."
Now, this is one of the stories that I tried to do at the Mercury News was who this man Ivan Gómez was. This was after my original series came out, and after the controversy started. I went back to Central America, and I found this fellow Cabezas and he told me all about Ivan Gómez. And I came back, I corroborated it with three former contra officials. Mercury News wouldn't put it in the newspaper. And they said, "We have no evidence this man even exists."
Well, the CIA Inspector General's report came out in October, and there was a whole chapter on Ivan Gómez. And the amazing thing was that Ivan Gómez admitted in a CIA-administered polygraph test that he had been engaged in laundering drug money the same month that this man told me he had been engaged in it. CIA knew about it, and what did they do? Nothing. They said okay, go back to work. And they covered it up for fifteen years.
So, the one thing that I've learned from this whole experience is, first of all, you can't believe the government -- on anything. And you especially can't believe them when they're talking about important stuff, like this stuff. The other thing is that the media will believe the government before they believe anything.
This has been the most amazing thing to me. You had a situation where you had another newspaper who reported this information. The major news organizations in this country went to the CIA, they went to the Justice Department, and they said, what about it? And they said, oh, no, it's not true. Take our word for it. And they went back and put it in the newspaper! Now, I try to imagine what would happen had reporters come back to their editors and said, look, I know the CIA is involved in drug trafficking. And I know the FBI knows about it, and I've got a confidential source that's telling me that. Can I write a story about that? What do you think the answer would have been? [Murmurs of "no" from the audience.] Get back down to the obit desk. Start cranking out those sports scores. But, if they go to the government and the government denies something like that, they'll put it in the paper with no corroboration whatsoever.
And it's only since the government has admitted it that now the media is willing to consider that there might be a story here after all. The New York Times, after the CIA report that came out, ran a story on its front page saying, gosh, the contras were involved in drugs after all, and gosh, the CIA knew about it.
Now you would think -- at least I would think -- that something like that would warrant Congressional investigation. We're spending millions of dollars to find out how many times Bill Clinton had sex with Monica Lewinsky. Why aren't we interested in how much the CIA knew about drug traffic? Who was profiting from this drug traffic? Who else knew about it? And why did it take some guy from a California newspaper by accident stumbling over this stuff ten years later in order for it to be important? I mean, what the hell is going on here? I've been a reporter for almost twenty years. To me, this is a natural story. The CIA is involved in drug trafficking? Let's know about it. Let's find out about it. Let's do something about it. Nobody wants to touch this thing.
And the other thing that came out just recently, which nobody seems to know about, because it hasn't been reported -- the CIA Inspector General went before Congress in March and testified that yes, they knew about it. They found some documents that indicated that they knew about it, yeah. I was there, and this was funny to watch, because these Congressmen were up there, and they were ready to hear the absolution, right? "We had no evidence that this was going on..." And this guy sort of threw 'em a curve ball and admitted that it had happened.
One of the people said, well geez, what was the CIA's responsibility when they found out about this? What were you guys supposed to do? And the Inspector General sort of looked around nervously, cleared his throat and said, "Well... that's kind of an odd history there." And Norman Dix from Washington, bless his heart, didn't let it go at that. He said, "Explain what you mean by that?" And the Inspector General said, well, we were looking around and we found this document, and according to the document, we didn't have to report this to anybody. And they said, "How come?" And the IG said, we don't know exactly, but there was an agreement made in 1982 between Bill Casey -- a fine American, as we all know [laughter from the audience] -- and William French Smith, who was then the Attorney General of the United States. And they reached an agreement that said if there is drug trafficking involved by CIA agents, we don't have to tell the Justice Department. Honest to God. Honest to God. Actually, this is now a public record, this document. Maxine Waters just got copies of it, she's putting it on the Congressional Record. It is now on the CIA's web site, if you care to journey into that area. If you do, check out the CIA Web Site for Kids, it's great, I love it. [Laugher from the audience.] I kid you not, they've actually got a web page for kids.
The other thing about this agreement was, this wasn't just like a thirty-day agreement -- this thing stayed in effect from 1982 until 1995. So all these years, these agencies had a gentleman's agreement that if CIA assets or CIA agents were involved in drug trafficking, it did not need to be reported to the Justice Department.
So I think that eliminates any questions that drug trafficking by the contras was an accident, or was a matter of just a few rotten apples. I think what this said was that it was anticipated by the Justice Department, it was anticipated by the CIA, and steps were taken to ensure that there was a loophole in the law, so that if it ever became public knowledge, nobody would be prosecuted for it.
The other thing is, when George Bush pardoned -- remember those Christmas pardons that he handed out when he was on his way out the door a few years ago? The media focused on old Caspar Weinberger, got pardoned, it was terrible. Well, if you looked down the list of names at the other pardons he handed out, there was a guy named Claire George, there was a guy named Al Fiers, there was another guy named Joe Fernández. And these stories sort of brushed them off and said, well, they were CIA officials, we're not going to say much more about it. These were the CIA officials who were responsible for the contra war. These were the men who were running the contra operation. And the text of Bush's pardon not only pardons them for the crimes of Iran-contra, it pardons them for everything. So, now that we know about it, we can't even do anything about it. They all received presidential pardons.
So where does that leave us? Well, I think it sort of leaves us to rely on the judgment of history. But that is a dangerous step. We didn't know about this stuff two years ago; we know about it now. We've got Congressmen who are no longer willing to believe that CIA agents are "honorable men," as William Colby called them. And we've got approximately a thousand pages of evidence of CIA drug trafficking on the public record finally.
That said, let me tell you, there are thousands of pages more that we still don't know about. The CIA report that came out in October was originally 600 pages; by the time we got ahold of it, it was only 300 pages.
One last thing I want to mention -- Bob Parry, who is a fine investigative reporter, he runs a magazine in Washington called I.F. Magazine, and he's got a great website, check it out -- he did a story about two weeks ago about some of the stuff that was contained in the CIA report that we didn't get to see. And one of the stories he wrote was about how there was a second CIA drug ring in South Central Los Angeles that ran from 1988 to 1991. This was not even the one I wrote about. There was another one there. This was classified.
The interesting thing is, it was run by a CIA agent who had participated in the contra war, and the reason it was classified is because it is under investigation by the CIA. I doubt very seriously that we'll ever hear another word about that.
But the one thing that we can do, and the one thing that Maxine Waters is trying to do, is force the House Intelligence Committee to hold hearings on this. This is supposed to be the oversight committee of the CIA. They have held one hearing, and after they found out there was this deal that they didn't have to report drug trafficking, they all ran out of the room, they haven't convened since.
So if you're interested in pursuing this, the thing I would suggest you do is, call up the House Intelligence Committee in Washington and ask them when we're going to have another CIA/contra/crack hearing. Believe me, it'll drive them crazy. Send them email, just ask them, make sure -- they think everybody's forgotten about this. I mean, if you look around the room tonight, I don't think it's been forgotten. They want us to forget about it. They want us to concentrate on sex crimes, because, yeah, it's titillating. It keeps us occupied. It keeps us diverted. Don't let them do it.
Thanks very much for your attention, I appreciate it. We'll do questions and answers now for as long as you want.
[Robust applause.]
Question and Answer Session
Gary Webb: I've been instructed to repeat the question, so...
Voice From the Audience: You talked about George Bush pardoning people. Given George Bush's history with the CIA, do you know when he first knew about this, and what he knew?
Gary Webb: Well, I didn't at the time I wrote the book, I do now. The question was, when did George Bush first know about this? The CIA, in its latest report, said that they had prepared a detailed briefing for the vice president -- I think it was 1985? -- on all these allegations of contra drug trafficking and delivered it to him personally. So, it's hard for George to say he was out of the loop on this one.
I'll tell you another thing, one of the most amazing things I found in the National Archives was a report that had been written by the U.S. Attorney's Office in Tampa -- I believe it was 1987. They had just busted a Colombian drug trafficker named Allen Rudd, and they were using him as a cooperating witness. Rudd agreed to go undercover and set up other drug traffickers, and they were debriefing him.
Now, let me set the stage for you. When you are being debriefed by the federal government for use as an informant, you're not going to go in there and tell them crazy-sounding stories, because they're not going to believe you, they're going to slap you in jail, right? What Rudd told them was, that he was involved in a meeting with Pablo Escobar, who was then the head of the Medellín cartel. They were working out arrangements to set up cocaine shipments into South Florida. He said Escobar started ranting and raving about that damned George Bush, and now he's got that South Florida Drug Task Force set up which has really been making things difficult, and the man's a traitor. And he used to deal with us, but now he wants to be president and thinks that he's double-crossing us. And Rudd said, well, what are you talking about? And Escobar said, we made a deal with that guy, that we were going to ship weapons to the contras, they were in there flying weapons down to Columbia, we were unloading weapons, we were getting them to the contras, and the deal was, we were supposed to get our stuff to the United States without any problems. And that was the deal that we made. And now he double-crossed us.
So the U.S. Attorney heard this, and he wrote this panicky memo to Washington saying, you know, this man has been very reliable so far, everything he's told us has checked out, and now he's saying that the Vice President of the United States is involved with drug traffickers. We might want to check this out. And it went all the way up -- the funny thing about government documents is, whenever it passes over somebody's desk, they have to initial it. And this thing was like a ladder, it went all the way up and all the way up, and it got up to the head of the Criminal Division at the Justice Department, and he looked at it and said, looks like a job for Lawrence Walsh! And so he sent it over to Walsh, the Iran-contra prosecutor, and he said, here, you take it, you deal with this. And Walsh's office -- I interviewed Walsh, and he said, we didn't have the authority to deal with that. We were looking at Ollie North. So I said, did anybody investigate this? And the answer was, "no." And that thing sat in the National Archives for ten years, nobody ever looked at it.
Voice From the Audience: Is that in your book?
Gary Webb: Yeah.
Voice From the Audience: Thank you.
Audience Member #1: Well, first of all, I'd like to thank you for pursuing this story, you have a lot of guts to do it.
[Applause from the audience.]
Gary Webb: This is what reporters are supposed to do. This is what reporters are supposed to do. I don't think I was doing anything special.
Audience Member #1: Still, there's not too many guys like you that are doing it.
Gary Webb: That's true, they've all still got jobs.
[Laughter, scattered applause.]
Audience Member #1: I just had a couple of questions, the first one is, I followed the story on the web site, and I thought it was a really great story, it was really well done. And I noticed that the San Jose Mercury News seemed to support you for a while, and then all the sudden that support collapsed. So I was wondering what your relationship is with your editor there, and how that all played out, and when they all pulled out the rug from under you.
Gary Webb: Well, the support collapsed probably after the LA Times... The Washington [Post] came out first, the New York Times came out second, and the LA Times came out third, and they started getting nervous. There's a phenomenon in the media we all know, it's called "piling on," and they started seeing themselves getting piled on. They sent me back down to Central America two more times to do more reporting and I came back with stories that were even more outrageous than what they printed in the newspaper the first time. And they were faced with a situation of, now we're accusing Oliver North of being involved in drug trafficking. Now we're accusing the Justice Department of being part and parcel to this. Geez, if we get beat up over accusing a couple of CIA agents of being involved in this, what the hell is going to happen now? And they actually said, I had memos saying, you know, if we run these stories, there is going to be a firestorm of criticism.
So, I think they took the easy way out. The easy way out was not to go ahead and do the story. It was to back off the story. But they had a problem, because the story was true. And it isn't every day that you're confronted with how to take a dive on a true story.
They spent several months -- honestly, literally, because I was getting these drafts back and forth -- trying to figure out how to say, we don't support this story, even though it's true. And if you go back and you read the editor's column, you'll see that the great difficulty that he had trying to take a dive on this thing. And he ended up talking about "gray areas" that should have been explored a little more and "subtleties" that we should have not brushed over so lightly, without disclosing the fact that the series had originally been four parts and they cut it to three parts, because "nobody reads four part series' anymore." So, that was one reason.
The other reason was, you know, one of the things you learn very quickly when you get into journalism is that there's safety in numbers. Editors don't like being out there on a limb all by themselves. I remember very clearly going to press conferences, coming back, writing a story, sending it in, and my editor calling up and saying, well gee, this isn't what AP wrote. Or, the Chronicle just ran their story, and that's not what the Chronicle wrote. And I'd say, "Fine. Good." And they said, no, we've got to make it the same, we don't want to be different. We don't want our story to be different from everybody else's.
And so what they were seeing at the Mercury was, the Big Three newspapers were sitting on one side of the fence, and they were out there by themselves, and that just panicked the hell out of them. So, you have to understand newspaper mentality to understand it a little bit, but it's not too hard to understand cowardice, either. I think a lot of that was that they were just scared as hell to go ahead with the story.
Audience Member #1: Were they able to look you in the eye, and...
Gary Webb: No. They didn't, they just did this over the phone. I went to Sacramento.
Audience Member #1: When did you find out about it, and what did you...
Gary Webb: Oh, they called me up at home, two months after I turned in my last four stories, and said, we're going to write a column saying, you know, we're not going ahead with this. And that's when I jumped in the car and drove up there and said, what the hell's going on? And I got all these mealy-mouthed answers, you know, geez, gray areas, subtleties, one thing or another... But I said, tell me one thing that's wrong with the story, and nobody could ever point to anything. And today, to this day, nobody has ever said there was a factual error in that story.
[Inaudible question from the audience.]
Gary Webb: The question was, the editors are one thing, what about the readers? Um... who cares about the readers? Honestly. The reader's don't run the newspaper.
[Another inaudible question from the audience regarding letters to the editor and boycotts of the newspaper.]
Gary Webb: Well, a number of them did, and believe me, the newspaper office was flooded with calls and emails. And the newspaper, to their credit, printed a bunch of them, calling it the most cowardly thing they'd ever seen. But in the long run, the readers, you know, don't run the place. And that's the thing about newspaper markets these days. You folks really don't have any choice! What else are you going to read? And the editors know this.
When I started in this business, we had two newspapers in town where I worked in Cincinnati. And we were deathly afraid that if we sat on a story for 24 hours, the Cincinnati Inquirer was going to put it in the paper, and we were going to look like dopes. We were going to look like we were covering stuff up, we were going to look like we were protecting somebody. So we were putting stuff in the paper without thinking about it sometimes, but we got it in the paper. Now, we can sit on stuff for months, who's going to find out about it? And even if somebody found out about it, what are they going to do? That's the big danger that everybody has sort of missed. These one-newspaper towns, you've got no choice. You've got no choice. And television? Television's not going to do it. I mean, they're down filming animals at the zoo!
[Laughter and applause.]
Audience Member #2: I assume you have talked to John Cummings, the one that wrote Compromised, that book?
Gary Webb: I talked to Terry Reed, who was the principal author on that, yeah.
Audience Member #2: Well, that was a well-documented book, and I had just finished reading this when I happened to look down and see the headlines on the Sunday paper. And he stated that Oliver North told him personally that he was a CIA asset that manufactured weapons.
Gary Webb: Right.
Audience Member #2: When he discovered that they were importing cocaine, he got out of there. And they chased him with his family across country for two years trying to catch him. But he had said in that book that Oliver North told him that Vice President Bush told Oliver North to dirty Clinton's men with the drug money. Which I assumed was what Whitewater was all about, was finding the laundering and trying to find something on Clinton. Do you know anything about that?
Gary Webb: Yeah, let me sum up your question. Essentially, you're asking about the goings-on in Mena, Arkansas, because of the drug operations going on at this little air base in Arkansas while Clinton was governor down there. The fellow you referred to, Terry Reed, wrote a book called Compromised which talked about his role in this corporate operation in Mena which was initially designed to train contra pilots -- Reed was a pilot -- and it was also designed after the Boland Amendment went into effect to get weapons parts to the contras, because the CIA couldn't provide them anymore. And as Reed got into this weapons parts business, he discovered that the CIA was shipping cocaine back through these weapons crates that were coming back into the United States. And when he blew the whistle on it, he was sort of sent on this long odyssey of criminal charges being filed against him, etcetera etcetera etcetera. A lot of what Reed wrote is accurate as far as I can tell, and a lot of it was documented.
There is a House Banking Committee investigation that has been going on now for about three years, looking specifically at Mena, Arkansas, looking specifically at a drug trafficker named Barry Seal, who was one of the biggest cocaine and marijuana importers in the south side of the United States during the 1980s. Seal was also, coincidentally, working for the CIA, and was working for the Drug Enforcement Administration.
I don't know how many of you remember this, but one night Ronnie Reagan got on TV and held up a grainy picture, and said, here's proof that the Sandanistas are dealing drugs. Look, here's Pablo Escobar, and they're all loading cocaine into a plane, and this was taken in Nicaragua. This was the eve of a vote on the contra aid. That photograph was set up by Barry Seal. The plane that was used was Seal's plane, and it was the same plane that was shot down over Nicaragua a couple of years later that Eugene Hasenfus was in, that broke open the whole Iran-contra scandal.
The Banking Committee is supposed to be coming out with a report in the next couple of months looking at the relationship between Barry Seal, the U.S. government and Clinton's folks. Alex Cockburn has done a number of stories on this company called Park-On Meter down in Russellville, Arkansas, that's hooked up with Clinton's family, hooked up with Hillary's law firm, that sort of thing. To me, that's a story people ought to be looking at. I never thought Whitewater was much of a story, frankly. What I thought the story was about was Clinton's buddy Dan Lasater, the bond broker down there who was a convicted cocaine trafficker. Clinton pardoned him on his way to Washington. Lasater was a major drug trafficker, and Terry Reed's book claims Lasater was part and parcel with this whole thing.
Voice From the Audience: Cockburn's newsletter is called Counterpunch, and he's done a good job of defending you in it.
Gary Webb: Yeah, Cockburn has also written a book called Whiteout, which is a very interesting look at the history of CIA drug trafficking. Actually, I think it's selling pretty well itself. The New York Times hated it, of course, but what else is new?
Audience Member #2: Well I just wanted to mention that he states also -- I guess it was Terry Reed who was actually doing the work -- he said Bush was running the whole thing as vice president.
Gary Webb: I think that George Bush's role in this whole thing is one of the large unexplored areas of it.
Audience Member #2: Which is why I think Reagan put him in as vice president, because of his position with the CIA.
Gary Webb: Well, you know, that whole South Florida Drug Task Force was full of CIA operatives. Full of them. This was supposed to be our vanguard in the war against cocaine cartels, and if those Colombians are to be believed, this was the vehicle that we were using to ship arms and allow cocaine into the country, this Drug Task Force. Nobody's looked at that. But there are lots of clues that there's a lot to be dug out.
Audience Member #3: Thank you, Gary. I lost my feature columnist position at my college paper for writing a satire of Christianity some years ago, and...
Gary Webb: That'll do it, yeah. [Laughter from the audience.]
Audience Member #3: And I lost my job twice in the last five years because of my activism in the community, but I got a job [inaudible]. But my question is, I knew someone in the mid-'80s who said that he was in the Navy, and that he had information that the Navy was involved in delivering cocaine to this country. Another kind of bombshell, I'd like to have you comment on it, I saw a video some years ago that said the UFO research that's being done down in the southwe