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-----

Spy vs. Spy


The Spy Who Runs Russia


Stealing Western technology through East Germany.

DRESDEN, Germany - First of two parts

In a gray villa at No. 4 Angelikastrasse, perched on a hill overlooking the
Elbe River, a young major in the Soviet secret police spent the last half of
the 1980s recruiting people to spy on the West.

Vladimir Putin looked for East Germans who had a plausible reason to travel
abroad, such as professors, journalists, scientists and technicians, for whom
there were acceptable ''legends,'' or cover stories.

The legend was often a business trip, during which the agents could covertly
link up with other spies permanently stationed in the West.

According to German intelligence specialists who described the task of Mr.
Putin, now acting president of Russia, the goal was to steal Western
technology or NATO secrets.

A newly revealed document shows that Mr. Putin was trying to recruit agents
to be trained in ''wireless communications.''

But what purpose such training would serve is not clear.

To this day, Mr. Putin defends the Soviet-era intelligence service. In recent
comments to a writers' group in Moscow, he even seemed to excuse its role in
Stalin's brutal purges, saying it would be ''insincere'' for him to assail
the agency where he had worked for so many years.

Fiercely patriotic, Mr. Putin once said he would not read a book by a
defector because ''I don't read books by people who have betrayed the
motherland.''

Such is the professional background of the man who emerged unexpectedly at
the end of December to take over from President Boris Yeltsin.

As acting president, Mr. Putin is the clear favorite to win the March 26
elections for a four-year presidential term. A review of his career shows
that Mr. Putin previously thrived in closed worlds, first as an intelligence
operative and later in municipal government in St. Petersburg.

Until he was picked in August by President Yeltsin to become prime minister,
Mr. Putin had never been a public figure. He spent 17 years as a mid-level
agent in the KGB's foreign intelligence service, rising only to the rank of
lieutenant colonel. Later, as an aide to a prickly and controversial mayor of
St. Petersburg, Russia's second-largest city and Mr. Putin's home town, he
made a point of staying in the background.

Yet Mr. Putin's career also suggests that he witnessed firsthand the
momentous finale of the Cold War. From the front line in East Germany, Mr.
Putin saw how the centrally planned economies of the East staggered to
disintegration.

In St. Petersburg, he had a taste of the ragged path of Russia's early
transition to a free-market, democratic system.

What Mr. Putin has taken from these experiences is not entirely clear. He has
embraced the conviction that ''there is no alternative'' to market democracy,
and soberly acknowledged Russia's economic weaknesses.

But he also has expressed enthusiasm for reasserting the role of a strong
state. He has said the Russian economy had been ''criminalized,'' but so far
only hinted that he would tackle the powerful tycoons who lord over it.

Mr. Putin has vowed that Russia will not revert to totalitarianism, but he
has not demonstrated much skill in working with Russia's fledgling
competitive political system.

Mr. Putin has never campaigned for office and he told an interviewer two
years ago that he found political campaigns distasteful. ''One has to be
insincere and promise something which you cannot fulfill,'' he said. ''So you
either have to be a fool who does not understand what you are promising, or
be deliberately lying.''

Mr. Putin, an only son, was born in Leningrad, now back under its original
name of St. Petersburg, to a factory foreman and his wife in 1952, the year
before Stalin's death. He entered the Leningrad University School of Law in
1970.

Valeri Musin, then a university lecturer, said the Law School was mainly a
training ground for the KGB, the regular police and the bureaucracy.

Mr. Putin later recalled that the KGB had targeted him for recruitment even
before he graduated in 1975. ''You know, I even wanted it,'' he said of
joining the KGB. ''I was driven by high motives. I thought I would be able to
use my skills to the best for society.''

After a few years spying on foreigners in Leningrad, Mr. Putin was summoned
to Moscow in the early 1980s to attend the elite foreign intelligence
training institute, and then was assigned to East Germany.

He arrived in Dresden at the age of 32, when East Germany was a major focus
of Moscow's attention. The German Democratic Republic was a base for 380,000
Soviet troops, tanks, aircraft and intermediate-range nuclear missiles.
Berlin was a constant source of Cold War tensions and intrigue.

At the time, several thousand KGB officers reported to a headquarters at
Karlshorst, outside Berlin. Soviet military intelligence also was stationed
in East Germany. But the biggest intelligence operation was the East German
secret police, the Stasi, who monitored hundreds of thousands of citizens and
kept millions of documents on file.

The broad Stasi network was often used by the KGB and the unevaluated
intelligence material was sent directly to Moscow. The East German
dictatorship, headed in those years by Erich Honecker, remained steadfastly
rigid even as the Soviet leader, Mikhail Gorbachev, was beginning to
experiment with political and economic reforms at home.

In Dresden, the KGB outpost at No. 4 Angelikastrasse was located directly
across the street from the city's main Stasi headquarters. The Stasi poked
into every aspect of life.

There is little information about Mr. Putin's specific tasks in Dresden, but
specialists and documents point to several assignments, including recruiting
and preparing a-gents. The work likely involved Robotron, a Dresden-based
electronics conglomerate that was the Soviet bloc's largest mainframe
computer maker and a microchip research center.

At the time, a major KGB effort was under way to steal Western technology.

The presence of Robotron may have provided Mr. Putin with ''legends'' for
sending technicians to the West, or for recruiting Westerners who came to
East Germany from such large electronics companies as Siemens or IBM.

Mr. Putin may also have been interested in military electronics and
intelligence about NATO from informers.

The KGB was known to the Stasi as ''the friends,'' and it relied on the Stasi
for support. For years, the Stasi prepared fake passports and driver's
licenses for ''the friends'' to create cover stories for agents. Tens of
thousands of people in East Germany were ''registered,'' or marked in the
secret files of the Stasi, as being ''of interest'' to the KGB.

According to the German specialist, some were marked because the KGB was
searching for people with plausible cover stories for trips abroad.

''You needed a guy with a background that looked good, a professor who had to
go to an international conference or had to do business in the West,'' he
said. ''You needed such a legend.''

Mr. Putin also turned to the Stasi for help with routine logistics, such as
obtaining a telephone - they were strictly controlled - and apartments. He
was formally assigned to run a Soviet-German ''friendship house'' in Leipzig
and he carried out those duties. But this assignment was apparently his own
''cover story'' as a reason to be abroad.

Intelligence specialists and political scientists said Mr. Putin may have had
a political assignment to make contact with East Germans who were sympathetic
to Mr. Gorbachev, such as the Dresden party leader, Hans Modrow, in case the
Honecker regime collapsed.

Mr. Putin's work with the Stasi won him a bronze medal in November 1987 from
the East German security service, but the reasons for the award are unknown.

It was described by one source as the next level up from the lowest basic
award for service.
International Herald Tribune, January 31, 2000


The Puzzle Palace


NSA Down for Four Days


Oh, dear. All those Echelon messages unread.

>From Monday evening through early Friday morning last week, the main
computers of the National Security Agency failed, causing an unprecedented
blackout of information at Fort Meade, where signals intelligence intercepted
around the world is processed, officials said last night.
As a result, NSA analytical reports from Fort Meade that turn intercepted
foreign telephone, cable and radio messages into meaningful data for the
government were halted for four days, a senior intelligence official said.
"Other NSA analysis kept flowing from other parts of the world," he added,
"but this was not a trivial failure."

The computer shutdown, which was first reported yesterday by ABC News, was
caused by a "system overload," one source said, and was not the result of a
Y2K problem, sabotage or hackers invading the system. Another official, who
described it as a "software anomaly," put knowledge of the cause more
cautiously. "As of now," he said, "there is no evidence other than this was a
system stressed to meet day-to-day operational pressures."

Most of the data that were not processed were stored, and that backlog is now
being worked on to see what may have been missed, according to intelligence
sources.

"There was a significant loss of processing, but collection continued
unaffected," the senior intelligence official said. "We may have lost
timeliness, but we have not lost intelligence."
Almost immediately after a signals intelligence officer Monday night saw that
the system had crashed, he turned to other parts of the NSA worldwide system
to pick up the processing responsibility, officials said.

To keep current on key early warning issues during the NSA failure, sources
said the U.S. intelligence community turned to other NSA electronic intercept
assets in the hands of the CIA and the military. In addition, NSA regularly
exchanges information with allied intelligence organizations.

Early Friday morning, after calling in various contractors and having
personnel work around the clock, fixes had "brought the operation back to
operational stability," the senior official said. As of yesterday, processing
had largely been restored to 90 percent to 95 percent of operational
capability, the senior official said.

To bring the system back up to that level, NSA spent nearly $1.5 million
adding new equipment to build up the "backbone" of the system, making fixes
and having personnel work thousands of hours of overtime.

NSA has been sharply criticized by congressional intelligence committees over
the years for failing to modernize quickly enough as telecommunications
capabilities have accelerated with new technologies.

Two years ago, the House intelligence committee marginally increased the
allocation for intelligence services, particularly in areas where
technological advances or lack of emphasis had weakened U.S. capabilities.
The Washington Post, January 30, 2000
-----
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Amen.
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