(http://msnbc.com/news/403435.asp?cp1=1)
NEW YORK - Newly unearthed documents, mostly letters from
the CIA to Congress, lay out evidence of an intensive intelligence effort
to help U.S. corporations win contracts overseas. The documents, all
published during the Clinton administration, appear to confirm reports
that America’s electronic eavesdropping apparatus was involved in
commercial espionage.
THE DOCUMENTS reveal the extent of Washington’s effort to promote
U.S. business, detailing how often the United States acted on evidence
of "unfair" competition by foreign contractors.
European officials, including the European Parliament, have expressed
their fears regarding a massive U.S. intelligence apparatus, code-named
Echelon, believed capable of scooping up vast amounts of economic
and personal data from the world’s communications links.
The United States, while neither confirming nor denying the existence of
Echelon, has admitted that it regularly tracks bribery attempts by foreign
companies in competition with U.S. firms for overseas contracts - and
uses that information to help U.S. companies win those contracts.
Washington has use of a network of eavesdropping facilities it operates
with countries like Britain, Canada, Australia and New Zealand.
MSNBC.com has previously reported that in 1993 and 1994, the U.S.
intelligence community helped U.S. firms win $16.5 billion in overseas
contracts by alerting the governments in Third World countries that
ministers and others were "on the take." Among the U.S. companies
that have benefited are Raytheon, Boeing and Hughes Network
Systems. The intelligence community has clamped down on the
release of such data since then.
The CIA and the National Security Agency have always denied that they
engage in "industrial espionage," the gathering of commercial and industrial
data for use by U.S. companies, saying it is against U.S. policy. Indeed, the
U.S. intelligence community has regularly accused foreign governments of
doing just that, in particular noting that France has been heavily engaged in
economic and technological intelligence gathering against the United States.
Still, the new documents indicate at least a blurring of the line between
what the intelligence community admits and what it denies.
INTENSIVE U.S. EFFORT
Among the information newly found in an NBC News review of congressional
and declassified intelligence documents are several that provide an outline
of the program’s beginnings and the depth of the effort.
* Prior to the Clinton administration’s decision to aggressively pursue
foreign bribery allegations, it reviewed what the NSA and other intelligence agencies
had picked up in the normal course of their business. That 1993 review show-
ed that between 1986 and 1992 - before the United States began seriously
capitalizing on its intelligence-gathering capabilities - spy agencies "had
identified about 250 cases of aggressive lobbying by foreign governments
on behalf of their domestic industries that are competing against U.S. firms
for business overseas." The review proved to the U.S. government that the
intelligence community could be tasked to pick up commercial intelligence.
Once the administration decided to become aggressive, it proved that it
could succeed. In the first 17 months of the Clinton administration, 72 cases
of unfair competition were identified and acted on, leading to a February
1995 National Security Strategy statement that noted "collection and
analysis can help level the economic playing field by identifying threats
to U.S. companies from foreign intelligence services and unfair trading
practices."
While CIA officials now say they focus primarily on overseas companies
that bribe foreign officials to win a contract, the newly found evidence
indicates that U.S. intelligence has not limited itself to gathering
information solely on criminal activities like bribery, but has been on the lookout for
legal activities the U.S. views as "aggressive." Among the activities of
foreign companies tracked by U.S. intelligence were "lobbying," "linking
financial aid to contract awards." and "the use of insider information and
disinformation against U.S. firms." On their face, none would appear to be
illegal.
While U.S. intelligence agencies did not directly inform U.S. companies
that their competitors were involved in bribery and other "unfair" behavior,
senior officials admitted that sanitized intelligence was passed on to U.S.
firms by other U.S. agencies and that it was done "aggressively."
In all but the last case, which came out of 1996 congressional testimony by
the CIA Director John Deutch, the information came in letters from the CIA
and the Office of the Director of Central Intelligence to the Senate Select
Committee on Intelligence. The letters were published by the committee
from 1993 to 1996.
DISCLOSING LESS OVER TIME
And while much of this information - including the dollar value of contracts
won as a result of U.S. intelligence operations - was freely if not widely
disclosed during the first few years of the Clinton administration, there has
been no significant disclosure since, and attempts to gain more recent
data have failed. Both the CIA and the Commerce Department, the lead
agency for inter-agency cooperation on economic intelligence, admit the
efforts continue and say they have been successful.
Indeed, the Commerce Department’s Advocacy Center openly, if
subtly, encourages U.S. companies to inform the government about
foreign competitors’ misdeeds, stating on its Web site: "Contracts
pursued by foreign firms that receive assistance from their home
governments to pressure a customer into a buying decision; unfair
treatment by government decision-makers, preventing you from a
chance to compete; tenders tied up in bureaucratic red tape,
resulting in lost opportunities and unfair advantage to a competitor.
If these or any similar export issues are affecting your company, it’s
time to call the Advocacy Center."
There has been little U.S. criticism of the U.S. efforts, but it has created
a firestorm in Europe, much of it centered in the European Parliament.
The European Parliament actions, many spurred by French represen-
tatives, have elicited contempt by many in the U.S. intelligence community.
"It’s hard to get morally exercised about French complaints about economic
espionage," said one high-ranking U.S. intelligence official.
MONEY OVER ETHICS
Duncan Campbell, the British intelligence expert who authored the European
Parliament Report on Echelon, said the latest documents shows that the
United States and its allies in the British Commonwealth are concerned
more about contracts than uncovering bribery.
"It’s all well and good that they uncover bribery by European companies,
but their response is extralegal. Why not make it public and prosecute it.
The U.S. appears to be saying, ‘If it’s terrorism, evidence is turned over
and people are prosecuted. If it’s a commercial interest, we do it differently."
Campbell pointed to U.S. documents that detail just how the intelligence
is carried out by using the vulnerability of corporate communications to
electronic interception.
In a general discussion of "specialized technical operations" in a July
1995 report to Congress, the CIA’s National Counter Intelligence Center
noted "because they are so easily accessed and intercepted, corporate
telecommunications - particularly international telecommunications -
provide a highly vulnerable and lucrative source for anyone interested in
obtaining trade secrets or competitive information."
The report continued: "Because of the increased usage of these links for
bulk computer transmission and electronic mail, intelligence collectors find
telecommunications intercepts cost-effective."