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The Deep State Is A Very Real Thing

This entity is called the civil service, and it was


created to limit the power of the president.
03/15/2017 10:09 am ET Updated Mar 16, 2017

MASSIMO PIZZOTTI VIA GETTY IMAGES


There is something ominous-sounding in the deep


state. It implies that beneath constitutionally
ordained systems and principles, there is a deeper
and more potent power in control of the nation. It
implies a unified force deeply embedded in the
republic that has its own agenda and the means to
undermine the decisions of elected presidents and
members of Congress. Its power derives from
control of the mechanisms of power and being
invisible.
The deep state is, in fact, a very real thing. It is,
however, neither a secret nor nearly as glamorous
as the concept might indicate. It has been in place
since 1871 and continues to represent the real
mechanism beneath the federal government,
controlling and frequently reshaping elected officials’
policies. This entity is called the civil service, and it
was created to limit the power of the president.
Prior to 1871, the president could select federal
employees. He naturally selected loyalists who
would do his bidding. Occasionally, he also would
hire people as a political favor to solidify his base.
And on occasion, he or one of his staff would sell
positions to those who wanted them for a host of
reasons, frequently to make money from the
positions they were given.
Carl Schurz, a German-born Union Army general,
proposed the idea of a nonpolitical civil service. It
would be both a meritocracy and a technocracy –
not his words, but his idea. Civil servants would be
selected by competitive exams measuring their skills
for the job. And the job of civil servants would be to
implement laws passed by Congress in the manner
the president wanted them enforced.
Previously, all government employees – save those
from the two other branches of government – served
at the pleasure of the president. This was no longer
true, and it meant that a civil servant could not be
fired on political whim, but rather with cause, such as
failing to do his job competently or refusing to obey
instructions from the office of the president.
The intent was to limit the president’s power
because the expectation of presidential probity had
proven problematic. But there was another reason.
During and after the Civil War, government laws and
policies had become far more complex with more
long-lasting effects on society. A presidential term
lasted four years; policies could last for generations.
If administrators were replaced every time a
president left office, as previously had been the
case, there would be no continuity in government.
New administrators would constantly have to learn
the complexities of their jobs, and by the time they
mastered it, they would have to leave. Government
operations had outgrown a president’s term.
But a deeper concept was at work here that went
beyond the United States, originating in Europe.
That idea mandated a separation between the
political state and the administrative state. As the
state acquired more responsibility and its tasks
became more complex, government administration
had to be taken away from the politicians, who were
unskilled at the job. This was in many ways the
origins of technocracy, a doctrine that stated that a
government run by experts broadly guided by their
political masters was the only way to correct a
democratic republic’s shortcomings. Elected
politicians provided direction, while technocrats
provided expertise, advice and continuity.
The issue is not that there is a deep government,
but that the deep government is no secret.
On the surface, this was reasonable. It anticipated
the dramatic growth of the federal government and
created a structure to cope with its complexity. While
this evolution was not included in the Constitution, it
was not unconstitutional because the president and
Congress remained in charge. But like all things, it
had unexpected consequences. By stripping the
president of the right to fire those whose
performance did not meet his standards, the solution
posed a problem: If a civil servant could only be fired
for cause and did not serve at the pleasure of the
president, how could the president be certain that
the policies being followed were legislated and
ordered by him?
As the government grew, the solution was to use a
class of administrators appointed by the president.
These were the Cabinet members, whose task it
was to understand the president’s will and verify that
civil servants were doing as they were told. In other
words, a “super” civil service was created that
served at the president’s pleasure and sought to
control a civil service that could not easily be
dismissed for insubordination without a
breathtakingly complex process.
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This super civil service, known as C-List appointees,


was answerable to the president. But because there
were thousands of them, they rarely met with the
president and took their marching orders via a chain
of command. That chain of command began with the
president and continued through the ranks of the
Cabinet, C-List, and finally, civil servants. If you have
ever played the game “Telephone,” you know how
garbled messages can become.
In addition, C-List members, who could and would
be fired if an opposing party won the election, were
constantly engaged in maneuvers to secure different
jobs, promote reputations, and above all, avoid
blame for failures and gain fame for successes.
This was further compounded by the rise of
independent agencies like the Federal Reserve, the
CIA, and countless other autonomous and semi-
autonomous agencies created to protect not only
their permanent staff from political pressure but also
the entire agency. The desire to limit political
pressure – also known as the power of the president
– was intellectually defensible, but in practice
created a system that could not be readily controlled
or even understood. Among the independent
agencies, even decision-making was opaque.
Between the entities reporting to the president, there
was a layer of political appointees, which created
turbulence between the president and the civil
service.
Civil servants do not stage coups – they become
civil servants because the pay is reasonable, job
security is high and benefits are excellent. Many
could earn far more in other fields, but they rationally
decide their preference. And many deeply believe in
their mission. The CIA, which has its own civil
service system, is not manned by massive risk-
takers (apart from a handful who actually do take
risks). Taking control of the government – beyond
leaking a few documents – violates the basic
principle of government service: bureaucratic
caution. For the most part, government civil service
personnel are cautious people who genuinely
believe in their mission – continuing to do tomorrow
what they did yesterday. Their form of resistance is
built around passive resistance. Demands for
change manifest not in an uprising, but in delay,
complexity and confusion.
It exists not because of conspiracy, but because
of the desire to shield government from
politics... but the result has unexpected and
unpleasant consequences.
The issue is not that there is a deep government, but
that the deep government is no secret. It was
created with the purpose of limiting presidential
power, and in part, the will of the people. In
separating politics from administration, the creation
of the civil service weakened the political system
and strengthened the administrative one. That is
what was quite openly intended.
There is a layer of employees in the turbulent
boundary who have ambitions far beyond their jobs.
This layer of employees, particularly those
approaching retirement, also exists in the
independent agencies. The former are bright young
men and women who wreak havoc with ambition;
the latter are men and women who have spent their
careers struggling to do their jobs against a political
system they regard as incapable of understanding
what they do. This is natural given that they also
have spent their careers making what they do
mysterious and incomprehensible. As they age, they
become more conservative (in the sense of
preserving what is) and see themselves as the
guardians of ancient verities. They frequently face a
president who believes that the experts are the
problem, not the solution.
In many countries, this would involve tanks in the
streets. In the United States, it means intense and
creative name-calling, either directly or through leaks
to The Washington Post (for the second rank) and
The New York Times (for the top rank). I recall the
rage in the Department of Labor at President Ronald
Reagan for firing air traffic controllers. I noted the
anger at President John F. Kennedy’s false news
about a missile gap in the military-industrial complex
and the schadenfreude at the Bay of Pigs.
A serious issue arises when an elected president
faces a revolt of those who putatively serve him.
Whatever those people may think, they serve the
president, who is elected according to the
Constitution. The problem is that not serving at the
will of the president and failing to respect election
results – including leaking unverified claims about
the president to the media – is inappropriate. Most
presidents have been cowed by this, but Donald
Trump gives as much nonsense as he gets.
The point is that the idea that there is a deep state
hidden from view that really controls things is
absolutely true, except for the fact that it is not only
visible to everyone who looks but is written into law.
It exists not because of conspiracy, but because of
the desire to shield government from politics. I
understand the logic, but the result has unexpected
and unpleasant consequences. A discussion of the
deep state is possible only by really not
understanding that the U.S. government functions as
it does because the deep state was actually seen as
a good idea.
For someone not wishing to do research on this,
there is a BBC comedy called “Yes Minister,” and its
sequel, “Yes, Prime Minster,” about the battle
between the elected British government and the
permanent government of civil servants. It is
hilarious, and if nothing else, will show you that the
British are as insane as the Americans, but much
more polite.
A Multipolar World?: “Full Spectrum Superiority”, The
Deep State and Global Financial Control
By Richard C. Cook
Global Research, October 24, 2017

Url of this article:


https://www.globalresearch.ca/a-multipolar-world-
full-spectrum-superiority-the-deep-state-and-global-
financial-control/5588919

First published by Global Research in May 2017


Various sources have accused the U.S. of trying to
enforce the model of a unitary world where it alone
dictates to all other nations. The following essay
develops the idea that seeing the world as multipolar
instead is much more in consonance with reality.
Ability to tolerate the diversity implied by a multipolar
world should be seen as a sign not of weakness but
of maturity. Such maturity is urgently needed in
today’s world, where humanity is sliding down a
slippery slope to oblivion. This maturity can only be
found if we stay rooted in our spiritual center.
While the argument is a philosophical one, it has life
or death application to today’s geopolitical conflicts.
Nothing could be more dangerous than the growing
threats and conflicts among nuclear-armed powers
that have lost the ability for self-examination and
mutual respect. It’s as though we are seeing the
Cuban missile crisis playing out on a daily basis.
“FULL-SPECTRUM SUPERIORITY”

In the forefront is what seems increasingly obvious—


the agenda of the U.S. “deep state” is world
conquest. This objective is confirmed through the
open declaration by the U.S. military of its intention to
attain “full spectrum dominance,” also known as “full
spectrum superiority.”
The Department of Defense Dictionary of Military and
Associated Terms, dated March 2017, defines “full
spectrum superiority” as,
“The cumulative effect of dominance in the air, land,
maritime, and space domains, electromagnetic
spectrum, and information environment (which
includes cyberspace) that permits the conduct of joint
operations without effective opposition or prohibitive
interference.” (p.97)
What a world view! If a patient came into a
psychiatrist’s office uttering such thoughts he would
be recognized immediately as delusional, paranoid,
and possibly psychotic. He would be considered an
imminent danger to himself and society. In the
workplace he would be viewed as a maniac, possibly
escorted by security to the front door and told never
to come back.
Yet the people who think and talk this way have been
given an arsenal sufficient to destroy all life on earth
and are stationed on hair-trigger alert in
approximately 150 nations, with actual military
installations in 30. On the high seas, the U.S. Navy
has 273 major “battle force” ships in active service
ready for war at any time. Meanwhile, our supposed
“adversaries” have made it clear that they are not
backing down.
The U.S. quest for “full spectrum superiority”
becomes even more bizarre when we realize that it
must include, above all, nuclear superiority. The
official doctrine therefore abandons any pretense of
maintaining a balance-of-power or mutual
deterrence, which, before the fall of the Soviet Union,
sane people had credited with preventing all-out
nuclear war.
The concept of deterrence began to be abandoned
during the Reagan administration with President
Ronald Reagan’s proposal of his Strategic Defense
Initiative (SDI), derided by its critics as “Star Wars.”
While Reagan touted the system as “defensive,” in
that its aim was to shoot down incoming enemy
missiles, everyone recognized that it would be
grossly destabilizing by removing the fear of
retaliation against the U.S. by the Soviets if the U.S.
decided to launch a nuclear first strike.
One name for deterrence is “MAD”—Mutually
Assured Destruction. Critics referred to SDI as
“Madder than MAD.” But ever since, nuclear
superiority has not meant just bigger and better
bombs, even as the U.S. now plans to spend a trillion
dollars upgrading its aging nuclear arsenal. Since
several nations, including Israel, now possess an
arsenal sufficient to destroy human life, the search for
a decisive edge has meant the building of defensive
systems like those conceived of by SDI planners.
This is why today’s “full spectrum superiority”
involved tearing up the Anti-Ballistic Missile Treaty,
as did the George W. Bushadministration, and now
ringing Russia with batteries of surface-to-air missiles
able to knock Russian nuclear-tipped missiles aimed
at Europe or the U.S. out of the skies.
It is easy to see how a study just released by the U.N.
Institute for Disarmament Research concludes that,
“The threat of a nuclear weapon detonation event in
2017 is arguably at its highest in the 26 years since
the collapse of the Soviet Union.” Such a conclusion
is easy to draw as the U.S. moves its forces in
Eastern Europe to a combat-ready status, according
to recent testimony by U.S. generals before
Congress.
Obviously, “full spectrum superiority” cannot be
attained and maintained without the use of force
against anyone who dares to stand in the way. It can’t
be done by treaty. How, other than by force, can
people who do not trust the benevolence of the U.S.
military be persuaded to go along?
THE “DEEP STATE”
But who is in control of the
U.S. “Deep State” that lies behind these intentions,
and by whom, how, and why are decisions made to
deploy military force? Especially, who controls the
nukes? For three-fourths of a century this has been
recognized as the premier political question of our
time.
Two things are clear:
1) it is not the president of the United States who is
in control. Rather he is presented with decisions that
have already been made by someone else and
handed to him by the national security establishment.
2) The goal of U.S. military action is not to achieve
the stability of a multipolar world. Rather it is to
enforce the will of an entity or entities that want to
bring the world under the control of a unitary
political/economic regime.
This is why every military action carried out by the
U.S. focuses, first and foremost, on “regime change.”
So what really is going on here?
Let’s go back in history. Until World War II, the
nations of the world had fought many wars. But after
armies and navies had been mobilized and a war
fought to its conclusion, the world went back to its
peaceful ways. Whatever changes the war had
wrought may have persisted, but usually the
weapons were put away and life went on.
This has changed with the creation of standing,
permanent armed forces. One of the big changes had
already taken place by the late 19th century with the
construction of a British Navy large enough to
“protect” and control a worldwide empire.
But even after World War I the land armies that
remained were largely demobilized. After World War
II, however, the fighting went on. In the 1950s came
the Korean War, then the Vietnam War in the 1960s-
70s.
Over the next half-century, the situation gradually
worsened. As indicated above, the danger escalated
when Ronald Reagan was elected president. Many
of his controllers came from an organization called
The Committee on the Present Danger that argued
that the power of the Soviet Union required that the
U.S. be placed on a permanent wartime footing.
This was new. Then, after the first Iraq war under
President George H.W. Bush, Reagan’s successor,
today’s doctrine of endless active warfare was
implemented.
Thus, after President Bill Clinton’s attacks on
Yugoslavia and 9/11 under President George W.
Bush, came the “War on Terror.” What this meant in
practice was that any nation the U.S. identified as an
“adversary” could justifiably be conquered and
subjected to regime change as a matter of our
national right.
Obviously there can be no multipolar world under
such conditions. There can only be one rule and one
law anywhere in the world at any time—whatever the
U.S. Deep State decides and enforces through
military action.
ECONOMIC SINKHOLE
Meanwhile, as might have been foreseen, the U.S.
military machine has become the nation’s chief
economic sinkhole. The Department of Defense
budget in 2015 was $598 billion. The U.S. is also the
world’s leading exporter Millions of people work for
this system, including the uniformed services, civilian
employees, contractors, and lobbyists. Then there
are the dependents and pensioners. We can add in
the millions of employees in the service and
manufacturing industries who work directly or
indirectly in meeting the needs of everyday living for
all the people employed by the military machine. This
includes the nationals of other countries who service
the U.S. military abroad.
We might call the system “corporate welfare,” but it
can just as well be termed “military communism,” as
all the managers, employees, and hangers-on get
their livelihood from federal government spending.
These people claim to be defending the “free-
enterprise system,” though they themselves are
effectively on the government payroll for their entire
careers.
The system is leading the U.S. into bankruptcy. It can
only be financed by more government debt through
the T-bond bubble and quantitative easing, both
managed by the Federal Reserve.

Meanwhile, as other nations mature economically,


the U.S. is steadily losing its profit margins from
utilization of the dollar as the international reserve
currency. This utilization is based on the petrodollar
as the denominator of worldwide trade in oil, but that
too is declining in international markets.
In the early 1970s the U.S. abandoned the gold
standard as a medium of international exchange. The
petrodollar became the backing for the dollar,
enforced by military might. Now this house of cards
has begun to crumble. Panic has set in as the U.S.
comes to resemble in its top-heavy inefficiency the
Soviet Union just before that empire collapsed.
This is the soft underbelly of “full-spectrum
superiority.” The shakiness of the system creates an
urgency to complete its mission of total global control
before it comes crashing down or is defeated by one
or more adversaries.
CANCER
To approach these matters comprehensively
requires us to dig deeply into the human psyche. No
other species on earth could even begin to act
according to such blind assumptions as does the U.S.
military machine. In contrast, Nature always seeks
balance and limits in the midst of diversity. When
dinosaurs get too big or voracious they die off. How
can Americans think they are exempt from natural
law?
The only other phenomenon in nature that acts in a
similar manner to “full spectrum superiority” is cancer
cells. If left unchecked, such cells very quickly kill
their host and die themselves.
This doctrine of the U.S. military, and hence that of
the U.S. government which stands behind it, does in
fact resemble cancer.
So indeed does any doctrine that seeks to base its
own survival on the destruction or enslavement of
other human beings. “Full spectrum superiority”
requires worldwide slavery. By extension that means
enslavement to the system the U.S. military is
protecting and extending. This system is that of
international finance capitalism—the full power of
money over human life and values.
Among those who espouse this worldview are some
who view themselves as “chosen people.” So it
doesn’t take long to discover in their cultural
mythology many references to their supposed
religious, racial, cultural, and historical superiority to
others. Nor is there an absence of instances where
they have been slighted, abused, persecuted, etc.,
thereby justifying revenge.
Such an ideology is professed most emphatically and
openly by the leaders of the state of Israel. The rise
of the U.S. military doctrine of “full spectrum
superiority” coincides with the rise of Israel to power
on the world stage and the extension of its influence
over U.S. politics through institutions such as the
Project for the New American Century (PNAC).
In the 1990s, PNAC laid out the doctrine whereby the
U.S military would engage in ongoing warfare for
regime change in the countries surrounding Israel in
the Middle East and Central Asia. The U.S. has been
doing this ever since, with the dismantlement of
Yugoslavia by U.S. bombing of Serbia providing a
prelude. Next came Afghanistan, then Iraq, then
Libya.
PNAC said that for its aims to be achieved a “new
Pearl Harbor” was needed. Curiously, 9/11 took place
soon afterwards.
PNAC assumed that with the fall of the Soviet Union
in the 1990s, U.S. military hegemony involving
nations close to or adjacent with the Russian state
that remained after the collapse would not meet any
serious opposition.
A MULTIPOLAR WORLD?
Russian president Vladimir
Putin has now appeared, however, and proposes
something radical—that we are in fact living in a
“multipolar world.” This is a world conceived as
having more than one power center, one where the
views and interests of many different players must be
taken into account. Naturally, to the proponents of
“full spectrum superiority,” Putin is seen as the devil
himself.
But can it be that this perception—so compellingly
real to those who hold it—is a projection? Can it be
that the aims of “full spectrum superiority” are
themselves diabolical and that unable to face such a
prospect its proponents see what they hate and fear
not in themselves but in what psychology calls “the
Other”? Let’s at least entertain that possibility.
I would like to suggest that the perspective of a
“multipolar world” is more aligned with reality than
that of “full spectrum superiority.”
Humanity is composed of 7.5 billion individuals, a
number that continues to grow. We don’t know why
there are so many, though it no longer surprises us
to hear that a single human body, according to the
late Dr. Linus Pauling, consists of some 10 trillion
cells.
We tend to panic at the size of the human population.
Yet somehow the intelligence of the normal human
body has the ability to nourish and coordinate the
activity of its trillions of cells without getting into a big
worry over it. Why can’t earth do the same with its
human family?
Maybe instead of panicking we should stand in
amazement at the incredible genius of Nature and its
ability to engage in such infinite profusion of life and
its bounty.
What if we saw the earth as a living being that itself
possessed so much energy and intelligence that it
could sustain life for the very long period of time that
planetary creatures have been in existence? I don’t
think earth believes it has to go out and kill a bunch
of other planets out of fear that it will not have enough
to support everything living on it.
Each human individual is a distinct piece of creation
with its own intelligence and spirit. The most
enlightened spiritual teachings have been telling us
for thousands of years that these individuals—of
which we are one—have been created by a Higher
Being, that we live for a time on earth to do certain
work and attain some degree of spiritual maturity, and
that at death our spirit goes off to our next
rendezvous elsewhere.
According to such teachings—and earth has
witnessed many both past and present—we are here
for a purpose. And obviously this purpose must be
sought and found in coexistence with all other
created beings. Clearly this purpose is not to attain
“full spectrum superiority” over everyone and
everything else.
Jesus Christ said the two great commandments were
to love God and our neighbor. The existence of a
neighbor that we should love and respect and whom
we must view as having rights equal to our own points
in fact to a multipolar world.
The idea of equality is stated clearly in the U.S.
Declaration of Independence: “All men are created
equal.” This is the foundation principle of America
and has been replicated in the constitutions of most
of the nations of the world. This principle also
postulates a multipolar world.
These concepts must apply collectively as well as
individually in order to be consistent. It is normal and
natural for each individual to view his own existence
as more important than others, simply because his
own is the only one he is directly conscious of. In
order to fully sense and appreciate the existence of
others he needs either an obvious connection—as
part of a family, for instance—or he needs
consciously to extend himself to take others into
account.
THE UNITED NATIONS
Thus people of wisdom have created social
mechanisms for individuals to come together to share
their views, coordinate their activities, and
compromise their aims for the sake of social
harmony. One such mechanism is the United
Nations, created at the end of World War II. Contrary
to the fears of some within the U.S., the U.N. does
not represent a plot to take away their nation’s
sovereignty as much as it is a forum to adjudicate
differences among nations that arise in a multipolar
world.
The need for orderly world government has long been
recognized by people with vision. This need became
more urgent with the Industrial Revolution, given the
huge changes in transportation and communication
technologies.
The enormous diversity of humanity became ever
more apparent as people of different races, religions,
and geographic locations came into contact.
Technology applied to weapons, however, along with
increased ability to extract resources, created great
temptations for some nations to lord it over others. By
the time of World War II, the potential for world
cataclysm had become clear to everyone, especially
after the U.S. dropped the A-bomb on Japan.

Nuclear weapons created an emergency. In this


emergency, the people who set up the United Nations
recognized the importance of a multipolar world by
establishing a Security Council to be the chief forum
for discussing and then taking action on matters of
worldwide importance.
No one expected the Security Council to be a daily
love fest. But it is there for a purpose. Yet the U.S.
believes that it can take unilateral action, as with its
recent attack on Syria, without reference to the
United Nations or without even a discussion with
other members of the Security Council. Indeed, the
primary function of the U.S. representative to the
U.N., Nikki Haley, seems to be to utter threats, as
when she says, “I don’t think anything is off the table”
in using military force in Syria.
Nor was PNAC ever discussed by the United Nations.
Now, with the resurgence of Russia, a major obstacle
to PNAC exists. The backers of PNAC, both in the
U.S. and Israel, have been trying to arouse fear of
Russia in the minds of the American electorate,
similar to the Cold War. Perhaps an even greater
threat to PNAC is China, which clearly has time on its
side in becoming the world’s greatest threat to U.S.
hegemony.
A showdown is clearly looming. To get ready for the
showdown, the U.S. strategy seems to be to
complete the conquest of Syria, which has begun
with the arming of ISIS and other “rebel” groups by
the U.S. and its allies in the Middle East—Israel,
Turkey, and Saudi Arabia. An attack against Iran is in
the planning stages. North Korea is on the agenda for
elimination as a threat. And preparations are
probably underway for a nuclear first strike against
both Russia and China when the time is right and
sufficient defenses against retaliation have been
deployed.
What would it take to walk back from the brink?
Clearly it would require recognition of the multipolar
world that Putin and many others speak of. Russia,
China, Iran, North Korea, etc., do not show signs of
wanting to conquer the U.S. With the benefit of wise
statesmanship, the U.S., Israel and other nations
could at least attempt to co-exist with these nations
as part of the world community.
The only way to world community lies along the path
of peace, not war and conquest. Trade and scientific
partnership, as with the International Space Station,
have long been recognized as aids to world peace.
THE TESTIMONY OF LANGUAGE
These things require communication. So those who
would unite the world have been talking for a long
time about coming up with a common language.
That’s why Esperanto was invented. Reviving ancient
Greek has been talked about.
But not too many years ago the head of NASA said—
not as a joke—that his motivation for the U.S. taking
the lead in interplanetary travel was so that “my
language” would be spoken on the moon, Mars, and
other planets. Of course English (including
“American” and “tourist” English) is a long way from
“full spectrum superiority” even on earth.
While English is spoken in many countries, and has
become a language of convenience for world trade,
only a fraction of humanity converses in it. According
to nationsonline.org, the following languages are the
most used in the world as a first or second language:
Chinese (including Mandarin or Standard Chinese):
1.34 billion; English: 508 million; Hindi: 487 million;
Spanish: 417 million; Arabic 280 million; Russian:
277 million; Bengali: 211 million; Portuguese: 191
million; German: 128 million; French: 128 million;
Japanese: 126 million; Thai: 100 million; Korean: 78
million. Among language families, 180 million speak
Niger-Congo languages in Africa and 145 million
speak Dravidian languages, mainly in southern India.
Altogether there are over 5,000 languages currently
being spoken on the planet.

It’s probably an ethnocentric illusion that


causes the British and Americans to think English is
so important anyway. In fact, with Brexit looming,
European Commission President Jean-Claude
Juncker says he it going to stop speaking English.
He says,
“Slowly, but surely, English is losing importance.”
It won’t be Anglo-American military might that causes
Juncker to change his mind, even though global unity
is our most urgent need in the nuclear age. But again,
not on the basis of war, control, slavery, and
conquest, and certainly not by demanding that others
give up cultural diversity.
Thus we are a long way from one language, one
religion, one race, indeed if they will ever happen, or
if it is even desirable they happen. But we can still
work together.
After all, diversity keeps the gene pool fluid and
allows discovery and innovation. Competition will
always exist and is both necessary and desirable,
including competition of ideas. The bland uniformity
of the U.S. controlled media, for instance, where
ideas that conflict with the prevailing war-based
ideology is not just unhealthy—it is deadly. Thank
God for the internet.
THE REAL ENEMY: GLOBAL FINANCIAL
CONTROL THROUGH USURY
Whatever movement we take in the direction of world
unity, there is still a requirement for all parties to
recognize that we are in a multipolar world and will
remain so if there is to be a world at all.
Not only does the idea of one world under military
conquest have to be abandoned, so too does that of
one world under global financial control.
The international banking system seeks to unite the
world under a suffocating blanket of usury that diverts
all of the world’s cash flow into the hands of the
monetary controllers. This is what globalism and the
New World Order are all about—worldwide slavery to
materialism and money. It’s a system of totalitarian
control based on violence and greed, but it also uses
tools like entertainment, drugs, and pornography to
corrupt, exhaust, and control the population.
The financial system is even more insidious than
outright military aggression, but it is just as deadly.
“Full spectrum superiority” of international finance is
leading to massive species extinction, drastic climate
change, and a threat to the survival of humanity itself.
Alternatives to the system have been increasingly
researched and discussed. Turning economic power
back to the level of autonomous localities which are
yet part of the worldwide marketplace is urgently
needed. So is the kind of spirituality whereby humans
don’t just escape into their own personal cloud but
take responsibility for the consequences of their
presence on earth.
I believe that creating and facilitating a vibrant
multipolar world that supports a healthy human
freedom is our spiritual duty. Let’s tell that to the
politicians, the militarists, and the financiers. And let’s
ask them to donate their skills and resources to help
bring it about before they destroy us all.
These ideas will be discussed in greater detail in
future articles.
Richard C. Cook is a retired U.S. federal
government analyst and the author of numerous
articles for Global Research and other venues. He
may be reached at monetaryreform@gmail.com.

The State, the Deep State, and the Wall Street


Overworld
By Prof Peter Dale Scott
Global Research, February 11, 2018
The Asia-Pacific Journal, Japan in Focus 10 March
2014
Url of this article:
https://www.globalresearch.ca/the-state-the-deep-
state-and-the-wall-street-overworld/5372843
The concept of the Deep State is at the forefront
of today’s news.
In this March 2014 article published by Asia
Pacific Journal and Global
Research, Professor Peter Dale
Scott analyses the role of “Deep State”, namely
the shadow government integrated by Wall
Street, US intelligence, the military industrial
complex, the Washington think tanks, etc.
This secret government overshadows the official
government, including the White House and the
US Congress.
***
In the last decade it has become more and more
obvious that we have in America today what the
journalists Dana Priest and William Arkin have
called:
two governments: the one its citizens were
familiar with, operated more or less in the open:
the other a parallel top secret government
whose parts had mushroomed in less than a
decade into a gigantic, sprawling universe of its
own, visible to only a carefully vetted cadre –
and its entirety…visible only to God.1
And in 2013, particularly after the military return
to power in Egypt, more and more authors
referred to this second level as America’s “deep
state.”2 Here for example is the Republican
analyst Mike Lofgren:
There is the visible government situated around
the Mall in Washington, and then there is
another, more shadowy, more indefinable
government that is not explained in Civics 101
or observable to tourists at the White House or
the Capitol. The former is traditional Washington
partisan politics: the tip of the iceberg that a
public watching C-SPAN sees daily and which is
theoretically controllable via elections. The
subsurface part of the iceberg I shall call the
Deep State, which operates according to its own
compass heading regardless of who is formally
in power.3
At the end of 2013 a New York Times Op-Ed
noted this trend, and even offered a definition of
the term that will work for the purposes of this
essay:
DEEP STATE n. A hard-to-perceive level of
government or super-control that exists
regardless of elections and that may thwart
popular movements or radical change. Some
have said that Egypt is being manipulated by its
deep state.4
The political activities of the deep state are the
chief source and milieu of what I have elsewhere
called “deep politics:” “all those political
practices and arrangements, deliberate or not,
which are usually repressed rather than
acknowledged.”5
Others, like Tom Hayden, call the deep state a
“state within the state,” and suggest it may be
responsible for the failure of the Obama
administration to follow the policy guidelines of
the president’s speeches:
We have seen evidence of a “state within the
state” before, going back as far as the CIA’s
operations against Cuba. In Obama’s time, the
president correctly named the 2009 coup in
Honduras a “coup”, and then seemed powerless
to prevent it.6
This development of a two-level or dual state
has been paralleled by two other dualities: the
increasing resolution of American society into
two classes – the “one percent” and the “ninety-
nine percent” – and the bifurcation of the U.S.
economy into two aspects: the domestic, still
subject to some governmental regulation and
taxation, and the international, relatively free
from governmental controls.7All three
developments have affected and intensified
each other – particularly since the
Reagan Revolution of 1980, which saw
American inequality of wealth cease to diminish
and begin to increase.8 Thus for example we
shall see how Wall Street – the incarnation of the
“one percent” – played a significant role in
increasing the deep state after World War Two,
and how three decades later the deep state
played a significant role in realigning America for
the Reagan Revolution.
In earlier books I have given versions of this
America-centered account of America’s shift into
empire and a deep state. But another factor to
be mentioned is the shift of global history
towards an increasingly global society
dominated by a few emergent superpowers.
This trend was accelerated after the Industrial
Revolution by new technologies of transport,
from the railroad in the 19th century to the jet
plane and space travel in the 20th.9
In the fallout from this rearrangement we must
include two world wars, as a result of which
Britain ceased to act as the dominant
superpower it had been since Napoleon. Not
surprisingly, the Soviet Union and the United
States subsequently competed in a Cold War to
fill the gap. It was not however predetermined
that the Cold War would be as thuggish and
covertly violent as for decades it continued to be.
For that we should look to more contingent
causes on both sides of the Iron Curtain –
starting with the character of Stalin and his party
but also including the partly responsive
development of the American deep state.
The Deep State, The Shadow Government
and the Wall Street Overworld
The “deep state” was defined by the UK
newsletter On Religion as “the embedded anti-
democratic power structures within a
government, something very few democracies
can claim to be free from.”10 The term originated
in Turkey in 1996, to refer to U.S.-backed
elements, primarily in the intelligence services
and military, who had repeatedly used violence
to interfere with and realign Turkey’s democratic
political process. Sometimes the definition is
restricted to elements within the government (or
“a state-within-the state”), but more often in
Turkey the term is expanded, for historical
reasons, to include “members of the Turkish
underworld.”11 In this essay I shall use “deep
state” in the larger sense, to include both the
second level of secret government inside
Washington and those outsiders powerful
enough, in either the underworld or overworld, to
give it direction. In short I shall equate the term
“deep state” with what in 1993 I termed a “deep
political system:” “ one which habitually resorts
to decision-making and enforcement procedures
outside as well as inside those publicly
sanctioned by law and society.”12
Like myself, Lofgren suggests an ambiguous
symbiosis between two aspects of the American
deep state:
1) the Beltway agencies of the shadow
government, like the CIA and NSA, which have
been instituted by the public state and now
overshadow it, and
2) the much older power of Wall Street, referring
to the powerful banks and law firms located
there.
In their words,
It is not too much to say that Wall Street may be
the ultimate owner of the Deep State and its
strategies, if for no other reason than that it has
the money to reward government operatives
with a second career that is lucrative beyond the
dreams of avarice – certainly beyond the dreams
of a salaried government employee.13
I shall argue that in the 1950s Wall Street was a
dominating complex. It included not just banks
and oil firms but also the oil majors whose cartel
arrangements were successfully defended
against the U.S. Government by the Wall Street
law firm Sullivan and Cromwell, home to the
Dulles brothers. This larger complex is what I
mean by the Wall Street overworld.
The Long History of the Wall Street
Overworld
Lofgren’s inclusion of Wall Street is in keeping
with Franklin Roosevelt’s observation in 1933 to
his friend Col. E.M. House that “The real truth …
is, as you and I know, that a financial element in
the larger centers has owned the Government
ever since the days of Andrew Jackson.”14
FDR’s insight is well illustrated by the efficiency
with which a group of Wall Street bankers
(including Nelson Rockefeller’s grandfather
Nelson Aldrich and Paul Warburg) were able in
a highly secret meeting in 1910 to establish the
Federal Reserve System – a system which in
effect reserved oversight of the nation’s
currency supply and of all America’s banks in the
not impartial hands of its largest.15The political
clout of the quasi-governmental Federal
Reserve Board (where the federal Treasury is
represented but does not dominate) was clearly
demonstrated in 2008, when Fed leadership
secured instant support from the successive
administrations of a Texan Republican
president, followed by a Midwest Democratic
one, for public money to rescue the reckless
management of Wall Street banks: banks Too
Big To Fail, and of course far Too Big To Jail,
but not Too Big To Bail.16
Wall Street and the Launching of the CIA
Top-level Treasury officials, CIA officers, and
Wall Street bankers and lawyers think alike
because of the “revolving door” by which they
pass easily from private to public service and
back. In 1946 General Vandenberg, as Director
of Central Intelligence (DCI), recruited Allen
Dulles, then a Republican lawyer at Sullivan and
Cromwell in New York, “to draft proposals for the
shape and organization of what was to become
the Central Intelligence Agency in 1947.” Dulles
promptly formed an advisory group of six men,
all but one of whom were Wall Street investment
bankers or lawyers.17 Dulles and two of the six
(William H. Jackson and Frank Wisner) later
joined the agency, where Dulles proceeded to
orchestrate policies, such as the overthrow of
the Arbenz regime in Guatemala, that he had
previously discussed in New York at the Council
on Foreign Relations.18
There seems to be little difference in Allen
Dulles’s influence whether he was a Wall Street
lawyer or a CIA director. Although he did not
formally join the CIA until November 1950, he
was in Berlin before the start of the 1948 Berlin
Blockade, “supervising the unleashing of anti-
Soviet propaganda across Europe.”19 In the
early summer of 1948 he set up the American
Committee for a United Europe (ACUE), in
support of what became by the early 1950s “the
largest CIA operation in Western Europe.”20
The Deep State and Funds for CIA Covert
Operations
Wall Street was also the inspiration for what
eventually became the CIA’s first covert
operation: the use of “over $10 million in
captured Axis funds to influence the [Italian]
election [of 1948].”21 (The fundraising had begun
at the wealthy Brook Club in New York; but Allen
Dulles, still a Wall Street lawyer, persuaded
Washington, which at first had preferred a
private funding campaign, to authorize the
operation through the National Security Council
and the CIA.)22
Dulles’s friend Frank Wisner then left Wall Street
to oversee an enlarged covert operations
program through the newly created Office of
Policy Co-ordination (OPC). Dulles, still a
lawyer, campaigned successfully to reconstruct
Western Europe through what became known
as the Marshall Plan.23 Together with George
Kennan and James Forrestal, Dulles also
“helped devise a secret codicil [to the Marshall
Plan] that gave the CIA the capability to conduct
political warfare. It let the agency skim millions
of dollars from the plan.”24
This created one of the earlier occasions when
the CIA, directly or indirectly, recruited local
assets involved in drug trafficking. AFL member
Irving Brown, the assistant of AFL official Jay
Lovestone (a CIA asset), was implicated in drug
smuggling activities in Europe, at the same time
that he used funds diverted from the Marshall
Plan to establish
a “compatible left” labor union in Marseilles with
Pierre Ferri-Pisani. On behalf of Brown and the
CIA, Ferri-Pisani (a drug smuggler connected
with Marseilles crime lord Antoine Guerini), hired
goons to shellack striking Communist dock
workers.25
An analogous funding source for the CIA
developed in the Far East: the so-called
“M-Fund,” a secret fund of money of enormous
size that has existed in Japan [in 1991] for more
than forty years. The Fund was established by
the United States in the immediate postwar era
for essentially the same reasons that later gave
rise to the Marshall Plan of assistance by the
U.S. to Western Europe, including the Federal
Republic of Germany….. The M-Fund was used
not only for the building of a democratic political
system in Japan but, in addition, for all of the
purposes for which Marshall Plan funds were
used in Europe.26
For at least two decades the CIA lavishly
subsidized right-wing parties in countries
including Japan and Indonesia, possibly still
using captured Axis funds.27 (One frequently
encounters the claim that the source of the M-
fund was gold looted by Japan during World War
Two (“Yamashita’s gold”).28
As a general rule the CIA, rather than
assimilating these funds into its own budget,
appears to have left them off the books in the
hands of cooperative allied powers – ranging
from other U.S. agencies like the Economic
Cooperation Administration (ECA. set up in
1948 to administer the Marshall Plan) to oil
companies to powerful drug kingpins.29
The CIA never abandoned its dependency on
funds from outside its official budget to conduct
its clandestine operations. In Southeast Asia, in
particular, its proprietary firm Sea Supply Inc.,
supplied an infrastructure for a drug traffic
supporting a CIA-led paramilitary force,
PARU.30 The CIA appears also to have acted in
coordination with slush funds from various U.S.
government contracts, ranging from the Howard
Hughes organization to (as we shall see) the
foreign arms sales of U.S. defense corporations
like Lockheed and Northrop.31
Lockheed Payoffs and CIA Clients: the
Netherlands, Japan, Italy, Indonesia, and Saudi
Arabia
Through the 1950s
payouts from the M-
fund were
administered by
Kodama Yoshio,
“probably the CIA’s
chief asset in Japan;”
while ”All accounts Kodama Yoshio, war
say that after the end criminal, drug trafficker,
of the occupation, the and purveyor of deep state
fund’s American US funds to Japanese
managers came from politicians. Source.
the CIA.”32 Kodama also received and
distributed millions of funds from Lockheed to
secure military contracts – an operation the CIA
knew about but has never admitted involvement
in.33 Lockheed’s system of payoffs was world-
wide; and one sees CIA involvement with it in at
least four other countries: the Netherlands, Italy,
Indonesia and Saudi Arabia. (Lockheed, the
builder of the U-2, was a major CIA-cleared
contractor.)34
The beneficiary in the Netherlands was Prince
Bernhard, a close friend of CIA directors Walter
Bedell Smith and Allen Dulles, and the organizer
of the Bilderberg Group.35 In the case of Italy,
payments were handled through a contact
(“Antelope Cobbler”) who turned out to be
whoever was the Italian Prime Minister of the
moment (always from one of the parties
subsidized earlier by the CIA).36
In the revealing instance of Indonesia, Lockheed
payments were shifted in May 1965, over the
legal objections of Lockheed’s counsel, to a new
contract with a company set up by the firm’s
long-time local agent or middleman, August
Munir Dasaad.86 This was just six months after
a secret U.S. decision to have the CIA covertly
assist
“individuals and organizations prepared to take
obstructive action against the PKI [Indonesian
Communist Party].” Over the longer term this
meant identifying and keeping tabs on “anti-
regime elements” and other potential leaders of
a post-Sukarno regime.37
Although Dasaad had been a long-time
supporter of Sukarno, by May 1965 he was
already building connections with Sukarno’s
eventual successor, Gen. Suharto, via a family
relative, General Alamsjah, who knew Suharto
and was the beneficiary of the new Lockheed
account.38 After Suharto replaced Sukarno,
Alamsjah, who controlled certain considerable
funds, at once made funds available to Suharto,
earning him the gratitude of the new President.39
While this was happening, Stanvac (a joint
venture of the Standard companies known later
as Exxon and Mobil) increased payments to the
army’s oil company, Permina, headed by an
eventual political ally of Suharto, General Ibnu
Sutowo.Alamsjah is said to have been allied with
Ibnu Sutowo in plotting against Sukarno, along
with a well-connected Japanese oilman,
Nishijima Shigetada.40 After Suharto’s
overthrow of Sukarno, Fortune wrote that
“Sutowo’s still small company played a key part
in bankrolling those crucial operations, and the
army has never forgotten it.”41
We shall deal later with the special case of
Lockheed kickbacks to Saudi Arabia, which
were far greater than those to Japan. It is
important to note, however, the linkage between
Middle East oil and arms sales: as U.S. imports
of Middle East oil increased, the pressure on the
U.S. balance of payments was offset by
increased U.S. arms sales to the region. “In the
period 1963-1974, arms sales to the Middle East
went from 10 per cent of global arms imports to
36 per cent, half of which was supplied by the
United States.”42
Iran in 1953: How an Oil Cartel Operation
Became a Job for the CIA or]
Wall Street, the Dulles Brothers, and the
International Oil Cartel
The international lawyers of Wall Street did not
hide from each other their shared belief that they
understood better than Washington the
requirements for running the world. As John
Foster Dulles wrote in the 1930s to a British
colleague,
The word “cartel” has here assumed the stigma
of a bogeyman which the politicians are
constantly attacking. The fact of the matter is
that most of these politicians are highly insular
and nationalistic and because the political
organization of the world has under such
influence been so backward, business people
who have had to cope realistically with
international problems have had to find ways for
getting through and around stupid political
barriers.43
This same mentality also explains why Allen
Dulles as an OSS officer in 1945 simply evaded
orders from Washington forbidding him to
negotiate with SS General Karl Wolff about a
conditional surrender of German forces in Italy –
an important breach of Roosevelt’s agreement
with Stalin at Yalta for unconditional surrender,
a breach that is regarded by many as helping
lead to the Cold War.44 And it explains why
Allen, as CIA Director in 1957, dealt summarily
with Eisenhower’s reluctance to authorize more
than occasional U-2 overflights of the USSR, by
secretly approving a plan with Britain’s MI-6
whereby U-2 flights could be authorized instead
by the UK Prime Minister Macmillan.45
This mentality exhibited itself in 1952, when
Truman’s Justice Department sought to break
up the cartel agreements whereby Standard Oil
of New Jersey (now Exxon) and four other oil
majors controlled global oil distribution. (The
other four were Standard Oil Company of New
York, Standard Oil of California or Socony, Gulf
Oil, and Texaco; together with Royal Dutch Shell
and Anglo-Iranian, they comprised the so-called
Seven Sisters of the cartel.) Faced with a
government order to hand over relevant
documents, Exxon’s lawyer Arthur Dean at
Sullivan and Cromwell, where Foster was senior
partner, refused: “If it were not for the question
of national security, we would be perfectly willing
to face either a criminal or a civil suit. But this is
the kind of information the Kremlin would love to
get its hands on.”46
At this time the oil cartel was
working closely with the
British Anglo-Iranian Oil
Company (AIOC, later BP)
to prevent AIOC’s
nationalization by Iran’s
Premier Mossadeq, by
instituting, in May 1951, a
48 successful boycott of Iranian
Wall Street, the oil exports.
former headquarters In May 1951 the AIOC
of both Sullivan and secured the backing of the
Cromwell and the J. other oil majors, who had
Henry Schroder every interest in
Banking discouraging
Corporation. Source. nationalisation…. None of
the large companies would touch Iranian oil;
despite one or two picturesque episodes the
boycott held.47
As a result Iranian oil production fell from 241
million barrels in 1950 to 10.6 million barrels in
1952.
This was accomplished by denying Iran the
ability to export its crude oil. At that time, the
Seven Sisters controlled almost 99% of the
crude oil tankers in the world for such export,
and even more importantly, the markets to which
it was going.48
But Truman declined, despite a direct personal
appeal from Churchill, to have the CIA
participate in efforts to overthrow Mossadeq,
and instead dispatched Averell Harriman to
Tehran in a failed effort to negotiate a peaceful
resolution of Mossadeq’s differences with
London.49
All this changed with the
election of Eisenhower
in November 1952,
followed by the
appointment of the
Dulles brothers to be Allen and John Foster
Secretary of State and Dulles, pillars of both the
head of CIA. The state and the deep
Justice Department’s state. Source.
criminal complaint
against the oil cartel was swiftly replaced by a
civil suit, from which the oil cartel eventually
emerged unscathed.50
Eisenhower, an open friend of the oil
industry…changed the charges from criminal to
civil and transferred responsibility of the case
from the Department of Justice to the
Department of State – the first time in history that
an antitrust case was handed to State for
prosecution. Seeing as how the Secretary of
State was John Foster Dulles and the defense
counsel for the oil cartel was Dulles’ former law
firm (Sullivan and Cromwell), the case was soon
as good as dead.51
Thereafter
Cooperative control of the world market by the
major oil companies remained in effect, with
varying degrees of success, until the oil
embargo of 1973-74. That the cooperation was
more than tacit can be seen by the fact that
antitrust regulations were specifically set aside a
number of times during the 1950-1973 period,
allowing the major companies to negotiate as a
group with various Mideastern countries, and
after its inception [in 1960], with the
Organization of Petroleum Exporting Countries
or OPEC.52
Also in November 1952 CIA officials began
planning to involve CIA in the efforts of MI6 and
the oil companies in Iran53 — although its
notorious Operation TP/AJAX to overthrow
Mossadeq was not finally approved by
Eisenhower until July 22, 1953.54
The events of 1953 strengthened the role of the
oil cartel as a structural component of the
American deep state, drawing on its powerful
connections to both Wall Street and the
CIA.55 (Another such component was the
Arabian-American Oil Company or ARAMCO in
Saudi Arabia, which increased oil production in
1951-53 to offset the loss of oil from Iran. Until it
was fully nationalized in 1980, ARAMCO
maintained undercover CIA personnel like
William Eddy among its top advisors.)56 The five
American oil majors in particular were also
strengthened by the success of AJAX, as Anglo-
Iranian (renamed BP) was henceforth forced to
share 40 percent of the oil from its Iran refinery
with them.
Nearly all recent accounts of Mossadeq’s
overthrow treat it as a covert intelligence
operation, with the oil cartel (when mentioned at
all) playing a subservient role. However the
chronology, and above all the belated approval
from Eisenhower, suggest that it was CIA that
came belatedly in 1953 to assist an earlier oil
cartel operation, rather than vice versa. In terms
of the deep state, the oil cartel or deep state
initiated in 1951 a process that the American
public state only authorized two years later. Yet
the inevitable bias in academic or archival
historiography, working only with those primary
sources that are publicly available, is to think of
the Mossadeq tragedy as simply a “CIA coup.”
The CIA, Booz Allen Hamilton, and the Wall
Street Overworld
The “revolving door” also circulates top-level
intelligence officials and the chiefs of the cleared
contractors referred to by Mike Lofgren as part
of the deep state. Tim Shorrock revealed in 2007
that “about 70 percent of the estimated $60
billion the government spends every year
on…intelligence” is outsourced to private
intelligence contractors like Booz, Allen &
Hamilton (now Booz Allen Hamilton) and
SAIC.57 For example Mike McConnell “went
from being head of the National Security Agency
under Bush 41 and Clinton directly to Booz
Allen, one of the nation’s largest private
intelligence contractors, then became Bush’s
Director of National Intelligence (DNI), then went
back to Booz Allen, where he is now Executive
Vice President.” Intelligence officers in
government write the non-competitive contracts
for the private corporations that they may have
worked for and may work for again.58 And over
the years the “revolving door” has also
exchanged personnel between Booz Allen and
the international oil companies served by the
firm.
The original firm of Booz, Allen, & Hamilton split
in 2008 into Booz Allen Hamilton, focused on
USG business, and Booz & Company in New
York, assuming the old company’s commercial
and international portfolio. Booz Allen Hamilton
is majority owned by the private equity firm the
Carlyle Group, noted for its association with
political figures like both presidents Bush.59
Lofgren points to the deep
state importance of Booz
Allen Hamilton, 99 percent
of whose business
dependent on the U.S.
government.60 Booz Allen
Booz Allen Hamilton has been linked in the
Headquarters. Source. media to NSA ever since
its employee Edward
Snowden decamped with NSA records. But
Booz Allen, one of the oldest and largest of the
“cleared contractors,” has been intertwined with
the CIA’s covert operations since Allen Dulles
became CIA Director in 1953.61 In the same
year, Booz Allen began “to take on several
overseas assignments…: a land-registration
system in the Philippines, a restructuring of
Egypt’s customs operations and textile
industries, and work for Iran’s national oil
company.”62 All three assignments overlapped
with CIA covert ops in 1953, including the
Philippine land distribution program which
Edward Lansdale promoted in order to fight a
Huk insurrection, and the CIA’s operation
TP/AJAX (with Britain’s MI6) to rescue the
Anglo-Iranian oil company (later BP).63
But the most important CIA-
Booz Allen cooperation may
have been in Egypt. In March
1953 Miles Copeland, having
resigned from the CIA to join
Booz-Allen, “returned to Cairo
under what was, for all practical
purposes, a joint CIA-BA&H
mission.”64 In addition to Miles Copeland,
offering management advice to Jr., ex-CIA, ex-
the Egyptian government in Booz Allen @
general, and to a private textile Hamilton, ex-
mill, Miles also gave Nasser Khashoggi’s
advice on establishing his private
intelligence service (the CIA. Source.
Mukhabarat), and “soon
became his closest Western advisor” (as well as
his top channel to the USG, more important than
either the local US ambassador or CIA chief)65
Copeland’s role with Nasser did not make him a
shaper of U.S. policy; his pro-Nasser views were
largely subordinated to the pro-British anti-
Nasserism of the Dulles brothers. But they did
establish a bond between Copeland and the
Eisenhower White House. By 1967, when Nixon
was preparing to run for president, Copeland
had taken a leave of absence from Booz Allen to
become a prestigious and well-paid consultant
for oil companies.
The CIA, Miles Copeland, and Adnan
Khashoggi
In 1966 Copeland, while technically on leave
from Booz Allen, made close contact with Adnan
Khashoggi, a young Arab who was in the course
of becoming both a “principal foreign agent” of
the U.S. and also extremely wealthy on the
commissions he earned from Lockheed and
other military firms on arms sales to Saudi
Arabia.66(“To give some sense of the size of the
business, the company acknowledged in the
mid-1970s that it had provided $106 million in
commissions to Khashoggi between 1970 and
1975, more than ten times the level of payments
made to the next most important connection,
Yoshi [sic] Kodama of Japan.”67
By Copeland’s own account in
1989, this encounter with
Khashoggi “put the two of us on
a ‘Miles-and-Adnan’ basis that
has lasted for more than twenty
years of business, parties, and
a very special kind of political
action.”68 Copeland adds that
Adnan Adnan and I, separately had
Khashoggi, been called on by our
shadowy backer respective friends in Langley
of politicians [i.e., CIA] to… have an official
(Time, Jan. 19, [sic], off-the-record exchange of
1987). Source. ideas on the emerging crisis in
the Middle East, and come up with suggestions
that the tame bureaucrats would like to have
made but couldn’t.69
Copeland almost immediately flew to Cairo and
immersed himself in a series of high-level but
ultimately unsuccessful efforts to forestall what
soon became the 1967 Six Day Egyptian-Israeli
Six Day War. By his account, his mission,
though unsuccessful, gave a “tremendous
boost” to his reputation, enabling him “to
accelerate the attempt I had already started to
establish a ‘private CIA’ by use of confidential
arrangements with politically astute members of
the client companies.”70
Copeland’s self-promoting claims are
controversial, and a number of establishment
writers have described his books as
“unreliable.”71 But eyewitness Larry Kolb
corroborates that Copeland was close to
Khashoggi, and that the two of them
had written a white paper… proposing that…
rich countries, including not only the United
States but also the Arab oil states, should
establish a “Marshall Plan” for all the needy
countries of the Middle East, including Israel.
Rewritten with Kolb’s assistance after
consultation with the Reagan White House, the
plan would be backed by a “Mideast Peace
Fund” to which “Adnan was pledging a hundred
million dollars of his own money.”72
The proposal failed, partly because of the Middle
East’s resistance to negotiated solutions, but
also partly because by the 1980s Khashoggi
was no longer as rich and influential as he had
once been. His function as an agent of influence
in the Middle East and elsewhere had been
sharply limited after the United States, by the
Corrupt Federal Practices Act of 1978, outlawed
direct payments by US corporations to foreign
individuals. Henceforward the function of
bestowing money and sexual favors on client
politicians passed primarily from Khashoggi to
another CIA connection, the Bank of Credit and
Commerce International (BCCI).73 A major
shareholder in BCCI was Saudi intelligence
chief Kamal Adham, Khashoggi’s friend and
business partner and (according to the Senate
BCCI Report) “the CIA’s former principal contact
in the Arab Middle East.”74
What the story of the failed “Mideast Peace
Fund” reveals is first, that Khashoggi (like BCCI
after him) was of interest to Washington
because of his ability to negotiate with both
Israel and Arab countries; and second, that
Copeland and what Copeland called his “private
CIA,”75 was in a commanding position as lead
adviser to
Khashoggi, while still on unpaid leave from Booz
Allen Hamilton.
Khashoggi, the CIA’s Asset Edward K. Moss,
and Political Corruption
A powerful connection was formed by combining
Copeland’s political contacts with Khashoggi’s
millions. Copeland may have been responsible
for Khashoggi’s inspired choice of the under-
recognized Edward K. Moss, another man with
CIA connections, as his p.r. agent in
Washington.76
Back in November 1962, the CIA, as part of its
planning to get rid of Castro, decided to use
Moss for the Political Action Group of the CIA’s
Covert Action (CA) staff.77 This was more than a
year after the FBI had advised the CIA that
Moss’s mistress Julia Cellini and her brother
Dino Cellini were alleged to be procurers, while
“the Cellini brothers have long been associated
with the narcotics and white slavery rackets in
Cuba.”78
This FBI report suggests an important shared
interest between Moss and Khashoggi: sexual
corruption. Just as his uncle Yussuf Yassin had
been a procurer of women for King Abdul-Aziz,
so Khashoggi himself was said to have “used
sex to win over U.S. executives.” The bill for the
madam who supplied girls en masse to his yacht
in the Mediterranean ran to hundreds of
thousands of dollars.79 Khashoggi made a
practice of supplying those he wished to
influence with dollars as well as sex.
The CIA of course was
forbidden to use sex
and money in this way
in the United States, or
to make in the United
States the payments to Khashoggi’s Superyacht
right-wing politicians Kingdom 5KR, now
that characterized its owned by Prince Al-
behavior in the rest of Waleed bin
the world. But no such Talal. Source.
prohibition applied to Khashoggi. According to
Anthony Summers,
Khashoggi had courted Nixon in 1967 by putting
a plane at his disposal to tour the Middle East
after the Six-Day War. Soon afterward, using a
proxy, he opened an account at Rebozo’s [Bebe
Rebozo, Nixon’s close confidante] in Florida. He
did so, he explained to Watergate prosecutors,
hoping to “curry favor with Rebozo,” to get an
entrée to the man who might become president,
and to pursue business deals.80
Khashoggi in effect served as a “cutout,” or
representative, in a number of operations
forbidden to the CIA and the companies he
worked with. Lockheed, for one, was
conspicuously absent from the list of military
contractors who contributed illicitly to Nixon’s
1972 election campaign. But there was no law
prohibiting their official representative,
Khashoggi, from cycling $200 million through
the bank of Nixon’s friend Bebe Rebozo.81
(Pierre Salinger heard from Khashoggi that in
1972 he had donated $1 million to Nixon,
corroborating the often-heard claim that
Khashoggi had brought it in a briefcase to
Nixon’s western White House in San Clemente,
and then “forgotten” to take it away.)82
Khashoggi of course did not introduce such
corruption to American politics; he merely joined
a milieu where defense companies had used
money and girls for years to win defense
contracts in Washington and Las
Vegas.83 Prominent in this practice was Howard
Hughes, whom Khashoggi soon joined in
international investments. (After a Senate
investigator on Khashoggi’s trail registered at
the Hughes-owned Sands Hotel in Las Vegas, a
blonde came unexpectedly to his hotel room,
and said, “I’m here for your pleasure.”)84
But Khashoggi’s corruption channels and
targets overlapped with those of others with CIA
connections. In 1972 it was alleged that funds
from the Paradise Island casino in the Bahamas
were being secretly carried to Nixon and his
friend Bebe Rebozo, by a casino employee. This
was Seymour (Sy) Alter, who was both “a friend
of Nixon and Rebozo since 1962” and also an
associate of Edward Moss’s brother-in-law
Eddie Cellini, the casino manager at Paradise
Island. 85 The funds came from the Paradise
Island Bridge Company, a company partly
owned by an officer of Benguet International, a
firm represented in America by Paul
Helliwell. 86 It is likely that Nixon himself had a
hidden interest in the Bridge Company, which
might explain the revelation through Operation
Tradewinds that a “Richard M. Nixon” (not
otherwise identified) had an account at
Helliwell’s Castle Bank.87
Three facts point to a deep state interest in what
might otherwise seem a matter of personal
corruption. The first is that Paul Helliwell had set
up two companies for the CIA — CAT Inc. (Later
Air America) and SEA Supply Inc. in Bangkok —
that became the infrastructure of the CIA’s
covert operations with drug-trafficking armies in
Southeast Asia.88 The second is that Paul
Helliwell’s banking partner, E.P. Barry, had been
the postwar head of OSS Counterintelligence
(X-2) in Vienna, which oversaw the recovery of
SS gold in Operation Safehaven.89 The third is
that for over four decades persons from Booz
Allen Hamilton have been among the very small
group owning the profitable Paradise Island
Bridge Company. (A recent partner in the
Paradise Island Bridge Company is Booz Allen
Senior Vice-President Robert Riegle.)90
Moss, Khashoggi, the
Safari Club, and the
International
Overworld
The Safari Club, now the The power exerted by
Fairmont Mount Kenya Khashoggi and Moss
Safari Club. Source. was not limited to
Khashoggi’s access to
funds and women. By the 1970s, Moss was
chairman of the elite Safari Club in Kenya, where
he invited Khashoggi in as majority owner.91 The
exclusive property became the venue for an
alliance between intelligence agencies that
wished to compensate for the CIA’s
retrenchment in the wake of President Carter’s
election and Senator Church’s post-Watergate
reforms.92
As former Saudi intelligence chief Prince Turki
bin Faisal once told Georgetown University
alumni,
In 1976, after the Watergate matters took place
here, your intelligence community was literally
tied up by Congress. It could not do anything. It
could not send spies, it could not write reports,
and it could not pay money. In order to
compensate for that, a group of countries got
together in the hope of fighting Communism and
established what was called the Safari Club. The
Safari Club included France, Egypt, Saudi
Arabia, Morocco, and Iran.93
Prince Turki’s candid remarks– “your
intelligence community was literally tied up by
Congress. …. In order to compensate for that, a
group of countries got together … and
established what was called the Safari Club.” –
made it clear that the Safari Club, operating at
the level of the deep state, was expressly
created to overcome restraints established by
political decisions of the public state in
Washington.
Obviously the property owned by Khashoggi and
Moss in Kenya should not be confused with the
intelligence operation of the same name. But it
would be wrong also to make a radical
separation between the two: the two men
Khashoggi and Moss would appear to be part of
this supranational intelligence milieu.
Specifically Khashoggi’s activities of corruption
by sex and money, after they too were
somewhat curtailed by Senator Church’s post-
Watergate reforms, appear to have been taken
up by the Bank of Credit and Commerce
International (BCCI), a bank where Khashoggi’s
friend and business partner Kamal Adham, the
Saudi intelligence chief and Safari Club
member, was a part-owner.94
The Safari Club Milieu:
George H.W. Bush, Theodore
Shackley, and BCCI
The usual account of this super-
agency’s origin is that it was
the brainchild of Count
Alexandre de Marenches, the
debonair and mustachioed chief
of France’s CIA. The SDECE BCCI on the
(Service de Documentation cover of Time,
Extérieure et de Contre- July 6,
Espionnage)…. Worried by 1991. Source.
Soviet and Cuban advances in postcolonial
Africa, and by America’s post-Watergate
paralysis in the field of undercover activity, the
swashbuckling Marenches had come to Turki’s
father, King Faisal, with a proposition…. [By
1979] Somali president Siad Barre had been
bribed out of Soviet embrace by $75 million
worth of Egyptian arms (paid for… by Saudi
Arabia)….95
Joseph Trento adds that “The Safari Club
needed a network of banks to finance its
intelligence operations,… With the official
blessing of George Bush as the head of the CIA,
Adham transformed… the Bank of Credit and
Commerce International (BCCI), into a
worldwide money-laundering machine.”.96
Trento claims also that the Safari Club then was
able to work with some of the controversial CIA
operators who were then forced out of the CIA
by Turner, and that this was coordinated by
perhaps the most controversial of them all:
Theodore Shackley.
Shackley, who still had ambitions to become
DCI, believed that without his many sources and
operatives like [Edwin] Wilson, the Safari Club—
operating with [former DCI Richard] Helms in
charge in Tehran—would be ineffective. …
Unless Shackley took direct action to complete
the privatization of intelligence operations soon,
the Safari Club would not have a conduit to [CIA]
resources. The solution: create a totally private
intelligence network using CIA assets until
President Carter could be replaced.97
Kevin Phillips has suggested that Bush on
leaving the CIA had dealings with the bank most
closely allied with Safari Club operations: the
Bank of Credit and Commerce International
(BCCI). In Phillips’ words,
After leaving the CIA in January 1977, Bush
became chairman of the executive committee of
First International Bancshares and its British
subsidiary, where, according to journalists Peter
Truell and Larry Gurwin in their 1992 book ‘False
Profits’ [p. 345], Bush ‘traveled on the bank’s
behalf and sometimes marketed to international
banks in London, including several Middle
Eastern institutions.’98
Joseph Trento adds that through the London
branch of this bank, which Bush chaired,
“Adham’s petrodollars and BCCI money flowed
for a variety of intelligence operations”99
It is clear moreover that BCCI operations, like
Khashoggi’s before them, were marked by the
ability to deal behind the scenes with both the
Arab countries and also Israel.100
It is clear that for years the American deep state
in Washington was both involved with and
protected BCCI. Acting CIA director Richard
Kerr acknowledged to a Senate Committee “that
the CIA had also used BCCI for certain
intelligence-gathering operations.”101
Later, a congressional inquiry showed that for
more than ten years preceding the BCCI
collapse in the summer of 1991, the FBI, the
DEA, the CIA, the Customs Service, and the
Department of Justice all failed to act on
hundreds of tips about the illegalities of BCCI’s
international activities.102
Far less clear is the attitude taken by Wall Street
banks towards the miscreant BCCI. The Senate
report on BCCI charged however that the Bank
of England “had withheld information about
BCCI’s frauds from public knowledge for 15
months before closing the bank.”103
Of course the scope and influence of BCCI
reflected changes in the global superstructure of
finance since the oil price hikes of the 1970s. A
recent study of the dangerously unstable
concentration of ownership in the world showed
only four recognizable Wall Street institutions
among the top twenty: JPMorgan Chase & Co,
the Goldman Sachs Group, Bank of New York
Mellon Corp, and Merrill Lynch.104 Of these,
Bank of New York, the bank heavily involved in
the 1990s looting of Russia, interlocked with
BCCI through the Swiss banking activities of the
international banker Bruce Rappaport, “thought
to have ties to US and Israeli intelligence.”
(Alfred Hartmann, a board member of BCCI, was
both vice-chairman of Rappaport’s Swiss bank,
Bank of New York-Intermaritime, and also head
of BCCI’s Swiss subsidiary, the Banque de
Commerce et de Placements).105
The collapse of BCCI in 1991 did not see an end
to systematic Saudi-financed political corruption
in the U.S. and elsewhere. After a proposed
major arms sale in the 1980s met enhanced
opposition in Congress from the Israeli lobby,
Saudi Arabia negotiated a multi-billion pound
long-term contract with the United Kingdom –
the so-called al-Yamamah deal. It developed
much later that overpayments for the purchased
weapons were siphoned off into a huge slush
fund for political payoffs, including “hundreds of
millions of pounds to the ex-Saudi ambassador
to the US, Prince Bandar bin
Sultan.”106 According to Robert Lacey, the
payments to Prince Bandar were said to total
one billion pounds over more than a decade,
including “a suitcase containing more than $10
million” that went to a Vatican priest for the CIA’s
long-time clients, the Christian Democratic
Party.107
As we saw earlier. the CIA had “laundered over
$10 million in captured Axis funds to influence
the [Italian] election [of 1948].”108These
practices, in other words, survived the legal
efforts to end them.
Conclusion: A Supranational Deep State
The complex milieu of Khashoggi, the BCCI, and
the Safari Club can be characterized as a
supranational deep state, whose organic links to
the CIA may have helped consolidate it. It is
clear however that decisions taken at this level
by the Safari Club and BCCI were in no way
guided by the political determinations of those
elected to power in Washington. On the
contrary, Prince Turki’s candid remarks revealed
that the Safari Club (with the alleged
participation of two former CIA Directors, Bush
and Helms) was expressly created to overcome
restraints established by political decisions in
Washington.
A former Turkish president and prime minister
once commented that the Turkish deep state
was the real state, and the public state was only
a “spare state,” not the real one.109 A better
understanding of the American deep state is
necessary, if we are to prevent it from assuming
permanently the same role.