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http://www.thestar.com/thestar/back_issues/ED20000902/opinion/20000902NAR01_NR
-SPIES2.html
Click Here: <A
HREF="http://www.thestar.com/thestar/back_issues/ED20000902/opinion/20000902NA
R01_NR-SPIES2.html">The Toronto Star - OP-ED Story:  The imperfect …</A>
-----
September 2, 2000

 The imperfect spies
RAFFI ANDERIAN/TORONTO STAR

The current scandal over a rigged computer program is just the latest
evidence that Canada's intelligence agencies are vulnerable and sometimes
laughable

By Allan Thompson and Valerie Lawton
Toronto Star Ottawa Bureau

OTTAWA - SOME OF the bizarre allegations at the centre of the spy scandal
being probed by the RCMP would be more at home in the pages of a John Le
Carre novel or the shadowy netherworld of conspiracy theorists and spooks:

*   The RCMP and Canadian Security Intelligence Service (CSIS) unwittingly
using rigged software designed by two of our closest allies.

*   Foreign spies hacking into top-secret Canadian computer files using a
hidden trap door.

*   Israel's Mossad agents peddling computer programs in Canada through
mysterious front companies.

But while the allegations might sound like they come from some paranoid mind,
intelligence experts say they have at least an air of plausibility.

If true, the stories would make a mockery of Canada's ability to protect its
secrets.

They would also be a massive blow to the country's beleaguered spy service,
which has already suffered a string of embarrassing leaks and Keystone-Kop
mishaps in the last year or so.
Many analysts contend that the current spy scandal reflects the long-standing
weakness of Canada's security and intelligence apparatus.

``Yes, there's vulnerability there,'' says York University professor Reg
Whittaker, an expert on national-security issues.

``Canadian intelligence is particularly susceptible to potential manipulation
by its allies in as much as we are dependent to a substantial degree on
intelligence exchanges.''

Whittaker says Canada has long been dependent on other countries - most
notably the United States - to provide foreign-intelligence information.

That's because Canada does not have a foreign-intelligence agency of its own.

``We end up quite dependent, mainly on the Americans, but on others like the
Brits and, in a regional sense, the Israelis,'' Whittaker says.

``We're essentially borrowers of foreign intelligence and, above all, from
United States agencies,'' says Peter Russell, who was head of research for a
royal commission that led to the creation of CSIS.

And Whittaker says that dependence may extend beyond the information we
obtain, to the tools Canadian intelligence officers use to do the job.

``The newer twist that's added is as intelligence goes increasingly
high-tech, are we developing a new level of dependency here since we're
unlikely to have the resources to develop very sophisticated software?''

The current spy scandal revolves around allegations that foreign agents
shattered Canada's national security by penetrating secret case-management
databases at the RCMP and CSIS.

Sources claim Promis software used by the Mounties and CSIS to co-ordinate
secret investigations was rigged with a ``trap door'' that allowed American
and Israeli agents to eavesdrop.

The Promis software was at the centre of a major U.S. scandal a decade ago,
when Bill and Nancy Hamilton, owners of Washington-based Inslaw Inc., alleged
the U.S. government had stolen their software and peddled pirated versions to
intelligence agencies around the world.
Later, a former Israeli spy also alleged the software had been fitted with
the electronic trap door to allow American and Israeli agents to spy on those
who used the software.

In his book, Gideon's Spies, Welsh author Gordon Thomas recounts the tale of
how Rafi Eitan, former deputy director of operations at Mossad, claimed both
Israel and the United States had sold modified Promis software to Canada and
other countries through front companies.
CSIS adamantly denies ever possessing the software.

The RCMP won't comment, except to confirm the existence of the investigation
and to say that, so far, no evidence of a breach of national security has
been found.

One source claimed last weekend that the trap door had been discovered and
rectified in 1994, but others contest that, saying it operated later and
might even still be active.

The most withering commentary on the current scandal is the joke that foreign
spies didn't need to bother rigging software to find out Canada's
intelligence secrets - they could just as easily have picked up some
top-secret files sitting in a parked car, or computer disks left behind in a
phone booth.

In the past year, CSIS has been plagued by clumsy mishaps, information leaks
and poor morale.
In April, an agent was suspended after granting a media interview during
which he described the agency as a ``rat hole.''

Also this spring, CSIS suffered an embarrassing security breach when the
identities of newly appointed intelligence officers were leaked to The Globe
and Mail. Agents' identities are supposed to be secret.

Last October, thieves stole confidential CSIS documents left in a car by an
agent who'd parked outside the Air Canada Centre to go to a Leafs game.

Three alleged drug addicts broke into the car and took what CSIS described as
an ``annual operational report,'' which contained detailed information about
national security.

A month after the document snafu, news broke that in 1996, a Toronto man
found a CSIS computer disk loaded with the names of confidential informants,
spying targets and covert operations, on a shelf in a phone booth on Yonge
St.

The disk had apparently been misplaced by a CSIS intelligence officer who was
moving from one office to another.

The RCMP has also been embarrassed by a security breach of its own. In 1995,
a Mountie lost a briefcase filled with sensitive material in British
Columbia.

CSIS was born of scandal - created on the recommendation of the royal
commission that probed allegations of wrongdoing by the RCMP's security
service.

The inquiry, known as the McDonald commission, heard details including the
burning of a barn in Quebec, hundreds of break-ins without warrants, and the
monitoring of election candidates.

In the end, it recommended the creation of a new civilian agency that would
operate separately from the Mounties.

CSIS came into existence in 1984.

In the ensuing 16 years, Canada's reputation for intelligence gathering has
been spotty, says John Thompson, an intelligence expert at the Mackenzie
Institute.

``We're seen as having good people. Collectively we're seen as being quite
shoddy in a lot of respects.

``Individually, we've got a lot of really, very good people. A good
reputation. And that we will co-operate, usually fairly easily, with another
country.

``On the other hand, Canada generally is seen as being wide open, porous and
nave. This relates to all sorts of problems. We have RCMP officers who might
be hard on the trail of, say, organized crime. And then the investigation is
held up because they're out of money.''

And Thompson says CSIS and the RCMP don't have much clout internationally,
because they can't operate outside of Canada's borders without the
co-operation of another agency.

The McDonald commission had urged a public debate on whether Canada should
create its own foreign-intelligence agency. But that has not happened.

Russell says there's no question some of the problems identified two decades
ago still exist.
``We are vulnerable to our intelligence allies because we're very dependent
on them for collecting foreign intelligence on common threats.''

Russell, and other national-security analysts, say the allegations Canada was
spied on by two of its closest allies shouldn't be dismissed out of hand.

``We can't be off-limits to our allies. There's no way you can run a big
foreign-intelligence agency for a big country like the United States or a
little one with huge international worries, like Israel, and say that one
place you won't pursue or have a source is Canada.''

``The whole intelligence game is a dirty game. We don't play it, but we use
our allies' products.''

``I give total credibility to the allegations, 100 per cent,'' says Mike
Frost, a former employee of the secretive Canadian Security Establishment
(CSE), and the author of Spy World.

Allies frequently spy on each other, and for each other, he says.

In his book, Frost suggests the United States had eavesdropping devices on
the roof of its embassy in Ottawa and that Canada also spied on its allies
from posts abroad.

``This Promis thing is just one of the ways of finding out what people are
doing,'' he says.

Whittaker says Israel is more likely to have engaged in such activity than
the U.S. ``It's certainly not beyond the capability of the Israelis because
they're in it for themselves.

``We already know that Jonathan Pollard was spying for Israel against their
good ally the United States. I certainly wouldn't put it past them if they
had the opportunity.''

(Canada and Israel were at loggerheads in late 1997 when Mossad agents who
made a botched attempt to assassinate a Hamas leader in Jordan used forged
Canadian passports.)

``I find it a little less plausible that the Americans would be doing that
against Canada, given that there would be little that would be withheld from
them anyway,'' Whittaker says.

But, in a post-Cold War era when economic espionage is coming to the fore,
even close political allies who co-operate in some fields still spy on each
other as economic rivals, he says.

David Harris, former chief of strategic planning at CSIS and now president of
his own research firm in Ottawa, acknowledges that anything is possible in
the world of security and intelligence.

``In today's world, with the reliance on cybertech security and intelligence,
organizations everywhere are haunted by the spectre of trap doors and
penetration of their computer systems.''

Harris says he doesn't know if CSIS had ever used the Promis software.

And while he stresses that he does not presume the allegations are true, he
says there is plenty in Canada's secret files that a foreign intelligence
agency would be interested in.

``A sophisticated intelligence service would want to see what they might be
able to get in terms of intelligence reports - indications of who might be
working for whom and where.''

David Rudd, executive-director of the Canadian Institute of Strategic
Studies, says the RCMP investigation into a possible breach of national
security is a serious concern, not least because of possible damage to
Canada's international standing.

``Canada's reputation is an important matter because governments want to show
they can safely hold on to sensitive information, since we are in the
intelligence-sharing business.''

    Ipperwash: The death that won't stay buried
    Legal Notice
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