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A Bigger Scandal: Illegal U.S. Funding of Sharon's Likud

by Anton Chaitkin

EIR's recent series of exposés tracing the dirty money behind Prime Minister
Ariel Sharon and the Likud party, have helped fuel the roaring political scandal
threatening to wreck what was once thought to be a certain Sharon win in the
upcoming Jan. 28 election. Since the series began, Israeli and American
journalists and researchers have provided revealing information concerning the
Likud's most important foreign funders, which, upon investigation, has proven to
be accurate.

Israeli law has, since 1994, prohibited foreign donations to Israeli election
campaigns. Yet tens of millions of dollars have continued to pour in from abroad,
financing the radical-right Likud political apparatus which is driving the mideast
and the world into religious-ethnic warfare. One prominent Israeli jurist told EIR,
"Talking about illegal foreign money flows into Israeli elections is like talking
about illegal booze in Chicago during Prohibition. Everybody does it, or you just
don't survive."

But in the case of the money propping up the Sharon regime, its legal prohibition
is made more sinister by its sources, primarily in the United States. They include
heirs of the Meyer Lansky/ Moe Dalitz mafia syndicate; Michael Milken's junk-
bond "monsters," corporate predators, and looters; and the sponsors of
terrorists such as Meyer Kahane and the Armageddon-theme racial and
religious provocateurs.

According to knowledgeable Israeli sources, the following names are at or near
the top of the list of perpetrators, whose covert funding of the Likud has brought
the Mideast to the brink of disaster.

The Lansky-Dalitz Legacy
The most important Likud sources are associates of Michael Milken's multi-
billion dollar scams of the 1980s and early 1990s, and of mob bosses Meyer
Lansky's and Moe Dalitz's Las Vegas:

Jay Zises: (pronounced "zee-sees"), a Likud funder with his wife Nancy. As of
2000, Jay was President of "Friends of the Israeli Defense Forces in the United
States."

Jay Zises and his brother Selig founded Integrated Resources, a hyper-
leveraged tax shelter. The Zises debt pyramid blew out in 1989, defaulting on
$955 million. The scheme was financed by Drexel Burnham Lambert's junk-
bond kingpin Michael Milken and his family, and by those backing Milken,
including Zises' former boss Saul Steinberg, and executives of Carl Lindner's
dope-running United Fruit/Chiquita Banana. A Federal judge ruling on a lawsuit
against Integrated said, "This case arises from the ashes of what is regarded by
some as the most spectacular scam of the 1980s."

Milken and others were jailed, but the Zises brothers escaped with a fortune,
bought out by Milken's cousin Stanley Zax shortly before Milken was indicted
and Integrated collapsed.

Jay Zises created the Roundtable Political Action Committee, a U.S. election
campaign-financing arm of the Milken clique, operating from Integrated's New
York office. His brother Seymour Zises was president of the coordinating
"National PAC," which operated from Washington. Run in tandem with AIPAC
(American- Israel Public Affairs Committee), these are the PACs which
established, in America, the pattern of dirty- money election financing which
rules Israel today.

Contributors to Jay Zises' Roundtable included members of the Meshulam Riklis
family. Riklis, a mobster go- between for dope-runner Robert Vesco, Vesco's
lawyer Kenneth Bialkin, and the Milken group, was Ariel Sharon's personal
financial angel. Riklis donated the ranch where Sharon lives today, and where
Sharon, Henry Kissinger, Riklis, Bialkin and others planned the West Bank
settlement land-scam and rightist offensive.

Other Roundtable contributors included convicted Wall Street swindler Ivan
Boesky; Saul Steinberg's family; the Milstein family, partners in United Fruit; and
the family of Laurence Tisch (of Loews Corp. and Lindner's United Fruit
apparatus).


Marc Belzberg: Canadian funder of the Likud/West Bank settlers covert nexus.
Marc's father and partner, the notorious predator Sam Belzberg, was part of the
inner core of the Drexel/Michael Milken junk bond operation, and a sponsor of
corporate raider T. Boone Pickens. The Belzbergs bought up large blocks of
stocks, and took "greenmail" from companies wanting to avoid their hostile
takeovers. Marc Belzberg and his family holding company First City Financial
were sued by the SEC in 1986 and forced to disgorge $2.7 million in profits, for
"stock parking" with banker Bear Stearns in a takeover-scam against Ashland
Oil.

The Belzbergs were partners in Zises' Integrated Resources, and arbitrage
partners of Roundtable PAC co- founder James Tisch, son of Lawrence Tisch.

Marc Belzberg is a director of the Jerusalem Post, the right-wing daily controlled
by the Anglo-Canadian rightist Hollinger Corp. of Canadian-born British Lord
Conrad Black.

Belzberg is a major backer of Ateret Cohanim, the Sharon-linked Jerusalem
yeshiva which is purporting to train the first "priesthood" for the Third Temple,
which they plan to build on Jerusalem's Temple Mount, the site of two of the
holiest sites in Islam. Belzberg was personally involved in the scheme to open
up tunnels under the Temple Mount, with the aim of causing religious warfare
over the intended destruction of the Al Aqsa mosque on the Mount.


Ira Rennert: a heavy donor to Likud political campaigns. A partner in the giant
Milken/Zises Integrated Resources scam, Rennert parlayed his loot into his
current Renco Group conglomerate in Rockefeller Center, New York; his net
worth is about $500 million. Since the collapse of Integrated, Rennert has
siphoned off funds from numerous businesses.

Besides right-wing Israeli policies, Rennert's loot has paid for a Long Island
home with 29 bathrooms and a 100-car garage. Benjamin Netanyahu is often a
guest at Rennert's house in Jerusalem.

Ira Rennert and his wife Ingeborg finance the Western Wall Heritage
Foundation. As Prime Minister, Netanyahu gave this New York-based group of
fanatics physical control over the tunnel entrance to the complexes underneath
the Temple Mount, putting Rennert's foundation in charge of screening and
admitting visitors.


Marvin Josephson: Likud sponsor and longtime owner of the Hollywood and
literary agency ICM (International Creative Management). Josephson has been
chairman of "Friends of the Israeli Defense Forces." He was chairman of the
National PAC, under its founding president Seymour Zises.

Josephson is a cousin to Murray Wilson, a Lansky Syndicate money-launderer
and soldier for the Genovese crime family, who linked up the Russian Mafia with
the Marc Rich apparatus in New York.

Marvin Josephson has a few personal clients, including Henry Kissinger. He was
the agent for Kissinger's recent book, Does America Need A Foreign Policy?


Henry Kravis: sponsor of the right wing in Israel and U.S. Republican Party.
Kravis's ties to the Bush family, apprenticeship at Bear Stearns (Caribbean
banker for Meyer Lansky, and the casinos), and multi- billion schemes with
Milken, have ballooned into Kohlberg Kravis Roberts' total investment assets of
over $85 billion.

KKR used leveraged buyouts, forcing debt on the takeover target, selling
worthless bonds to state pension funds, insurance companies, banks and $20
billion to Milken's Drexel Burnham. It was the very model for the bankrupting of
the U.S. economy over the past quarter century. Kravis's $25 billion takeover of
RJR Nabisco (R.J. Reynolds Tobacco) was the subject of the bestselling book
and movie, Barbarians at the Gate. The echoes of that gangsterism are still
heard: In December 2002, the European Union charged RJR Nabisco with
money laundering in a suit filed in U.S. Federal Court. The E.U. complaint says
the firm has "engaged in and facilitated organized crime by laundering the
proceeds of narcotics trafficking and other crimes.... Defendants have laundered
the illegal proceeds of members of Italian, Russian, and Colombian organized
crime through financial institutions in New York City, including The Bank of New
York, Citibank, N.A., and Chase Manhattan Bank."


Steven Wynn: tough-guy casino owner and Likud backer. Steve Wynn started in
Las Vegas in 1967, with a small interest in the Frontier Hotel casino, then
controlled by the Detroit mob. He later took control of the Golden Nugget. In
1980, with financial backing from Drexel Burnham Lambert, Wynn built the
Golden Nugget casino in Atlantic City, where Meyer Lansky's Resorts
International had opened the first casino in 1978. Wynn sold the Atlantic City
casino and took more from Milken's Drexel to build the massive Mirage in Las
Vegas, which opened in 1989. Drexel also funded other casinos, pumping
billions of hot dollars into Vegas as part of Dope, Inc.'s transformation of its
money laundering center from a city run by the old- style Mob, into a resort
center with the organized crime activities hidden behind slick corporate fronts.
Wynn is a personal friend of Milken, his neighbor in Lake Tahoe.

The mid-1990s book, Running Scared: The Life and Treacherous Times of Las
Vegas Casino King Steve Wynn, by the famous Las Vegas Review-Journal
reporter John L. Smith, alleged that Wynn was a front for the New York
Genovese organized crime family. Wynn sued the publisher for libel and won.
Wynn is deeply feared in Las Vegas.

A biography of Steve Wynn on the Milken Institute website says "Wynn is widely
credited with transforming Las Vegas into a world-renowned resort destination";
and he is on the the Advisory Board (chaired by Paul Volcker) at the Center for
Strategic and International Studies in Washington, a trustee of the University of
Pennsylvania, and a member of the board of the George Bush Presidential
Library.


Mervyn Adelson: of Hollywood, Vegas and Tel Aviv, an investment partner of
Dalitz and top donor and friend to Netanyahu. The former husband of TV
journalist Barbara Walters and former chairman of Lorimar- Telepictures,
Adelson is an investment manager in Los Angeles.

Cleveland mobster Moe Dalitz, who opened up Las Vegas with Lansky, teamed
up with Mervyn Adelson to create the Rancho La Costa resort in California.
Adelson and Dalitz spent a decade suing Penthouse magazine over an article
claiming that this Adelson investment had become the favored hangout for
American gangsters, where murders were planned in luxury and confidence.
Jimmy "The Weasel" Frattiano testified that he met there to plan the murder of
Desi Arnaz. The suit was dropped after Penthouse apologized to Adelson, but
not to Dalitz.

Merv Adelson's former attorney, Yaakov Ne'eman, became Israel's Finance
Minister under Prime Minister Netanyahu, and is one of Netanyahu's closest
advisors on law, donations and investment subjects. As the scandal over Likud
gangsterism has broken wide open, the governor of the Bank of Israel (central
bank) has criticized Sharon's policies; Sharon has responded by threatening to
make Adelson's man, Ne'eman, the Bank's governor instead.


Sheldon Adelson: casino mogul, one of four foreigners named by the Jerusalem
Post as contributing over $100,000 to the Likud's 1996 election campaign (the
other three were Ronald Lauder, Joseph Gutnick, and Irving Moscowitz).
Sheldon and Mervyn Adelson are not related.

Sheldon Adelson bought out the Las Vegas Sands Hotel, pioneered by Lansky,
Moe Dalitz and Bugsy Siegel. Adelson developed the massive Venetian
Hotel/casino, its themes carefully modeled on the historical center of oligarchy,
tyranny and corruption, Venice. He has fought a long, bitter battle against the
workers and labor unions in Las Vegas, and is a central player in the casino
domination of politics— ownership of politicians—in Nevada.

Sheldon Adelson has poured huge sums into Israeli politics. He has sought
approval to build casinos in Israel itself—as did Meyer Lanksy—but has so far
not succeeded. Adelson finances the Lubavitcher cult, which operates a right-
wing political and dirty-money empire from Russia to New York's diamond
district, to Israel. The Lubvitchers, who agitated against the Oslo peace accords,
are emerging as the dominant force in the Jewish community in Las
Vegas—despite mainstream Jewish revulsion at their tactics and politics.

Last year Adelson was granted one of three gambling licenses (Steve Wynn
also got one) in Macao, China, the former Portuguese colony near Hong Kong.
Adelson says what Macao needs is a Vegas-style Strip, which he envisions
building.
The Dirty Millions for Armaggedon
Irving I. Moscowitz: casino owner, Likud funder and warmonger. Time
magazine's Sept. 29, 1997 issue profiled Moscowitz as a major danger to the
Middle East peace process, in the article entitled "The Power of Money:
American Millionaire Irving Who?? Sets Off Seismic Jolts in Israel": "It was his
[Moscowitz's] bingo-parlor proceeds that financed the Jewish zealots who set up
house in an Arab neighborhood in East Jerusalem, nearly provoking violent
confrontation with the Palestinians and casting a blight over the peace
process.... His money helped prompt the opening of a new exit to an
archeological tunnel in East Jerusalem a year ago that sparked a bloody three-
day gun battle between Israeli and Palestinian security forces in which 76 people
died. Trust between Israeli and Palestinian leaders has never recovered."

Moscowitz made money selling hospitals to conglomerates, and in 1968 set up
the Irving I. Moscowitz Foundation, which funds groups dedicated to expanding
Jewish settlements in the territories occupied by Israel after the 1967 war. This
dollar stream increased markedly after 1968, when officials in Hawaiian
Gardens, California, asked his Foundation to take over a failing bingo hall that
was a crucial source of local tax revenue. Within three years the take on the
parlor grew to $33 million a year. While Moscowitz paid some to the
impoverished company town, most of the money went to the Jewish settlers. He
launched a movement called the Third Way, which subsequently became a
political party in the Likud's ruling coalition 1996-1999. The head of the Third
Way, Public Security Minister Avigdor Kahalani, was the man through whom
Moscowitz negotiated the opening of the tunnel in which 76 died. In an Israeli
newspaper interview in August, 1997, Moscowitz said he had helped Netanyahu
financially, stating: "Yes, not much, and in the framework of the law, from my
private funds." He added: "Every time Netanyahu asked for advice, I helped. We
are friends."

The current Intifada started after Sharon made a visit to al-Haram al-Sharif
(Temple Mount) and other holy sites in East Jerusalem, where Moscowitz had
funded the building of a 132-unit apartment building for Jewish settlers in Ras al-
Amud. Sharon fully backs this project, and he had himself, in October 1987,
rented a flat in the Muslim Quarter of the Old City. Sharon draped an Israeli flag
on the building, sparking a riot as he entertained 700 prominent Israelis. And
when tension was further increased through a Panamanian front company
purchasing St. John's Hospice in the Old City's Christian quarter so that 150
settlers could take possession of it, Sharon paid them a visit.

Behind both these incidents was Ateret Cohanim, which is training the
priesthood for the apocalyptic Third Temple with major funding from Moscowitz.
In 2000 alone, the Irving I. Moscowitz Foundation gave $85,000 to Ateret
Cohanim; $90,000 to Old City Charities, for settlers in the Muslim Quarter of
East Jerusalem; $105,000 for the Hebron Fund (a hotbed of Kach Party
terrorism, as in the case of mass- murderer Baruch Goldstein); and similar large
sums to U.S.-based political groups (such as the American Enterprise Institute,
and the Zionist Organization of America) promoting war with Muslims.


Joseph Gutnick: the Australian mining magnate and corporate predator,
reputedly the richest man in the ultra-orthodox Jewish world. Following the Nov.
4, 1995 assassination of Israeli Prime Minister Yitzhak Rabin, Gutnick poured
over $1 million of his personal funds into the Likud election campaign of
Benjamin Netanyahu. Gutnick also financed a 5,000-person "get out the vote"
effort by the Lubavitcher Chabad cult. Netanyahu had a razor-thin margin of
victory over Labor Party leader Shimon Peres. Since then, Gutnick has poured
additional millions into building Jewish settlements in occupied Palestine, and
has constantly agitated for conflict with the Palestinians.

Writing in the Australian daily, The Age, on Feb. 3, 2001, reporter David
Bernstein played down Gutnick's financial contribution to Ariel Sharon's 2001
election campaign: "Gutnick—mining magnate, the Lubavitcher Rebbe's Special
Emissary for the Integrity of the Land of Israel and the president of the
Melbourne Football Club —is in the Holy City [Jerusalem] and on the campaign
trail.... Gutnick is doing everything he can to ensure a Sharon victory, even
though, given Sharon's huge lead in the polls, Gutnick has not needed to
bankroll an advertising blitz, as he did in 1996 to help elect Netanyahu.

"Four years before his death in 1994, Rabbi Menachem Schneerson, head of
the Lubavitcher sect of Orthodox Jewry, entrusted Gutnick with ensuring that
Israel is always ruled by a right-wing government committed to the territorial
integrity of the Biblical Land of Israel. To achieve that, Gutnick uses his wide-
ranging political contacts and considerable influence with Israel's large ultra-
Orthodox community, to which he has donated many millions over the years.

"Gutnick's campaign in 1996—widely seen to have been decisive in Netanyahu's
election—came under close scrutiny from Israeli authorities, with claims of
improper funding. An investigation later cleared him of any wrongdoing in both
the 1996 and 1999 elections.

"'It'll be wonderful to have a right-wing government back in power,' Gutnick said
by phone this week...."

Former Prime Minister Netanyahu visited Australia in August, 2001, as Gutnick's
guest, promoting Australian backing for Likud's war policy, and officially opening
the $3 million replica of the New York headquarters of the Lubavitcher
movement, that Gutnick built in a Melbourne suburb.

Joseph Gutnick amassed a half billion dollars by the late 1990s, speculating in
and manipulating stocks of mining companies, with backing from the British
Privy Council's raw materials apparatus, such as Anglo American/DeBeers and
Rio Tinto Zinc, and in partnership with the megaspeculator George Soros.
Gutnick's fortunes were later somewhat deflated—while many stockholders in
his companies have been wiped out from the collapse of Gutnick's Centaur
Mining Company.

The Asian Journal of Mining for July/August 1997, reported that Gutnick's
organization was buying up the Wafangdian diamond mine in Lianing province
and the Mengyin diamond mine in Shandong province. With these acquisitions,
the cult leader Gutnick would control approximately one half of the national
diamond output of China.

Gutnick is now suing Dow Jones, publisher of the Wall Street Journal and
Barron's, claiming a Barron's article defamed him implicating him in an
Australian money laundering scandal. Gutnick claims that Barron's implied he
had laundered large amounts through the now-jailed Melbourne money
launderer Nachum Goldberg, and then "bought Nachum Goldberg's silence so
as to conceal his identity as one of Goldberg's customers." Gutnick also alleged
the article implied he was "masquerading as a reputable citizen when he was, in
fact, a tax evader who had laundered large amounts of money through Nachum
Goldberg." Nachum Goldberg was jailed in June after pleading guilty to
laundering at least $42 million in black cash through Israel, for unidentified tax
evaders, using an account at the ANZ Bank. Goldberg is described as an
"influential" member of the ultra-orthodox Addas Israel community.

Geoffrey Robertson, the Australian barrister representing Dow Jones in the
case, told the Victorian Supreme Court on June 4, 2001, that he found it bizarre
that "the article accuses the plaintiff of a series of offenses, stock manipulations,
classic stock scams and frauds and connections with money- laundering," but
that it was only the money-laundering connection that had become the subject of
defamation proceedings. There are "seven reasons [given in the article] why
[Gutnick] should be investigated by American regulators, the tax service ... and
why investors should beware of him when he comes in the guise of religious
philanthropist, because of his record of exploiting religious charities for these
purposes."


Stephen L. Friedman and Menachem Atzmon: partners in Likud money-
laundering, with implications in the Sept. 11, 2001 terrorist attacks.

A Philadelphia lawyer, Friedman was the general counsel in the United States
for the Likud party of Israel from 1984 (or, officially, 1988) to 1999. Friedman is a
close friend of the Netanyahu family; he grew up in Wyncote, Pennsylvania,
around the corner from Benjamin and his father Benzion Netanyahu, the senior
aide to avowed fascist Vladimir Jabotinsky.

Israeli plutocrat Menachem Atzmon was co-treasurer of the Likud, along with
Jerusalem Mayor Ehud Olmert, during and after the 1988 Israeli elections. In
August 1988, Atzmon worked with Olmert and two other men to collect illegal
contributions for the Likud from corporations, against Israel's party funding law,
by providing fictitious advertising services to the contributors. Atzmon was later
convicted in that campaign finance fraud, while Olmert was acquitted.

Up until his 1996 conviction, Atzmon was president of the Israel Development
Fund (IDF), a U.S. tax- exempt foundation funneling money illegally to the Likud.
IDF is one entity in a cluster of such false-front Likud money spigots, all run by
Philadelphia attorney Steven L. Friedman, a partner in the Dilworth, Paxson firm.

Friedman has overseen the Likud's U.S. fundraising since 1984, when he began
arranging Netanyahu's broadcasts and meetings with American leaders.
Netanyahu first met Mervyn Adelson at that time, and brought him into his inner
circle along with Friedman and Ron Lauder. Friedman is a key leader of the
Republican Jewish Coalition, founded and run by Detroit Purple Gang mobster
Max Fisher, a longtime chairman of dope-running United Fruit. The Coalition
finances and corrupts the U.S. Republican Party.

Friedman created a network of tax-exempt U.S. organizations tied to Likud. The
first entity, Israel Development Fund (IDF), began in 1989. According to Internal
Revenue Service tax records, IDF gave money directly to the Likud, directly
countering the purpose of the U.S. tex exemption laws.

In The Jewish Week for Feb. 19, 1999, reporter Lawrence Cohler-Esses wrote:
"Several former Netanyahu cronies say the Israel Development Fund, which
over six years raised about $1.5 million, was of indirect help to Netanyahu.
Another source claims that the fund helped finance Netanyahu's jaunts to the
U.S. The fund did allocate several grants to youth programs, as it was originally
set up to do; but only about half of its expenditures were for such programs.
According to the fund's tax reports, it granted $16,000 to 'Lichud'—evidently a
distortion of Likud. Other donations include $9,000 to "Shood
Harabanim"—apparently a mutation of the name "Ichud Harabanim," a group of
West Bank rabbis who have called on Israeli soldiers to refuse to obey orders if
the Israel Defense Forces redeploy in the West Bank; $13,000 to the settlers'
journal Nekuda; another $13,000 to 'Gagner Aliyah,' a contortion of "Gesher
Aliyah"—a charitable organization supervised by Avigdor Lieberman, former
director-general of the Prime Minister's bureau, a body later subjected to
criminal investigation.

Cohler-Esses obtained a list of IDF donors from 1989 through 1992, which
included "[Irving] Moskowitz; New York businessman Joseph Mermelstein;
Reuben Mattus, the late founder of Haagen Dazs ice cream, and his widow,
Rose; and Manfred Lehmann, the late philanthropist and right-wing activist who
defended Dr. Baruch Goldstein's murder of 29 Palestinians in Hebron in 1994....
In 1995 [tax reports] ... Moskowitz's foundation [was reported as giving] 5,000 to
IDF and 5,000 to the Likud party through Friedman. When questioned about
this, Friedman, in the only brief interview he agreed to, said the listing of the
political donation to Likud was 'a mistake.' Soon after the interview, Friedman
filed an amendment to his Justice Department filing stating that the 1995
Moskowitz donation to Likud was, in fact, to the charity IDF."

Menachem Atzmon resigned as president of Friedman's IDF following his 1996
conviction for Israeli election campaign finance fraud. But his later U.S. activities
would prove to be much more disturbing.

Atzmon and his business partner Ezra Harel are the majority owners (57%) of
ICTS—International Consultants on Targeted Security, run by "former [Israeli]
military commanding officers and veterans of government intelligence and
security agencies" according its Web site. In 1999, Atzmon's Netherlands-
based firm took over management of security at Logan Airport in Boston,
Massachusetts, through ICTS' subsidiary Huntleigh USA.

This convicted Likud criminal's firm was in charge of security at Logan
Airport—inspecting the validity of passports and visas, searching cargo,
screening passengers—when two airliners were hijacked from there on Sept.
11, 2001, and demolished the World Trade Center towers in New York.

Is it possible that Steven L. Friedman's exalted position in U.S. and Israeli
politics lent influence to help accomplish this seemingly difficult task?—vetting a
man with Atzmon's past as the principal figure in security at Logan, and other
American and European airports as well. (Atzmon's firm also advises the U.S.
and other governments on airport security.)
Zionist Establishment Funds Likud
Ronald Lauder: heir of his mother Estée Lauder's cosmetic billions, rightist
ideologue, and leading Likud contributor and funding coordinator. Ronald Lauder
is treasurer of the World Jewish Congress and a Trustee of the Special Reserve
Fund of the Anti-Defamation League (ADL) of B'nai B'rith. His Ronald S. Lauder
foundation, operating in the former East Bloc, paid for the ADL to open an office
in Vienna, Austria, where Lauder was U.S. Ambassador in the 1980s. One of the
WJC and ADL's top priorities in Central and Eastern Europe is the protection of
hedge fund operator George Soros. The Lauder Foundation works in tandem
with Soros's Open Society Institute, which advocates legalization of all narcotics
and support for the Columbian FARC and other narco-terrorist agencies. After
serving as U.S. Ambassador to Austria in the 1980s, Lauder personally became
a major investor in "privatized" Eastern European properties.

Lauder was named (by Secretary of State Sir Lawrence Eagleburger, former
President of Kissinger Associates), to head the Central European Development
Corporation (CEDC) that was created under a Federal act to function as a kind
of pig trough for those with influence around the diplomatic community. CEDC is
a consortium that mingles U.S. Congress-appropriated monies with those from
private businessmen. With offices in Berlin and Budapest, CEDC invests in
"privatized" Eastern European businesses for a nickel on the dollar.

A cover story in the Jan. 29, 1996 issue of New York's The Jewish Week
reported that Lauder funded Benjamin Netanyahu's campaign for Prime Minister
in that year. This created a scandal and crisis for Lauder, who was running for
chairman of the "politically neutral" Council of Presidents of Major American
Jewish Organizations (CPMAJO). Within the CPMAJO, 20-odd leaders who
favored the Oslo Accords peace process decided to protest Lauder's
nomination.

The report, that had been put together by investigative reporters of Jewish Week
and Ha'aretz, charged that there was the "possible existence of flows of cash
and indirect support from Lauder to Netanyahu's political activities." The article
was bolstered by the staff-swapping between Lauder and Netanyahu, including
the Prime Minister's loaning of his 1996 American campaign strategist, Arthur
Finkelstein, who then served as Lauder's consultant during Lauder's failed 1989
run for the New York Mayor's office.

The 1996 article, and the 1999 Jewish Week article about the Philadelphia
money laundering, both spotlighted Lauder's boss role with the rightist think-
tank, von Hayek feudalist economics propaganda unit and Likud campaign nest,
the Shalem Center in Jerusalem.

Lauder was Shalem Center's chairman, founder and funder. Shalem's executive
director and fund-raiser Steven Schneier, worked as an aide on Netanyahu's
campaign, raising money for the Likud. But Schneier was previously the paid
full-time director of Philadelphia lawyer Steven Friedman and Menachem
Atzmon's tax-exempt charity, the "IDF." From 1990 to 1994, leading up to and
immediately after Netanyahu's primary campaign, Schneier received a total of
$220,000 from IDF.

Then in 1994, Ron Lauder contributed $36,415 to Steven Friedman's other
Philadelphia tax-exempt front, the "Israel Research Foundation." In 1995 and
1996, Friedman's Schneier went on the payroll of Lauder's Shalem
Center—where he worked for the Likud election campaign.

Both the "IDF" and the "IRF" tax-exempt charities were dissolved on the same
day in 1997.


Mortimer Zuckerman: real estate kingpin, media baron, promoter of Likud and
war. Zuckerman owns U.S. News & World Report weekly magazine, and the
New York Daily News. In his own U.S. News column, he agitates for war against
Saudi Arabia and other targets of Sharon's rage. Zuckerman's Boston
Properties firm owns nearly 150 expensive offices—including Citicorp Center,
hotels, and industrial sites in Boston, Manhattan, San Francisco, and
Washington.

Zuckerman is a director of "Friends of the Israeli Defense Forces."

A few years ago, the powerful media boss sought the honor of succeeding Ron
Lauder as chairman of Council of Presidents of Major American Jewish
Organizations (CPMAJO), to take over in 2001 when Lauder's term as chairman
was to end. In Jewish organizational circles, this position is known familiarly as
"King of the Jews." But Mort Zuckerman ran into trouble. It seems his marriage
to a non-Jew, art curator Marla Prather, was deemed non-Kosher by the racists
in the Council. This was disposed of: in Summer 2000, Zuckerman divorced
Prather. He was advanced to the head of the line of candidates, and took over
as CPMAJO chairman in July, 2001.


Morton Klein: president of the Zionist Organization of America (ZOA), a right-
wing lobby and Likud promotion agency. ZOA campaigned actively against the
peace policies of Israel's Rabin government, as part of the U.S.-based agitation
which led to Rabin's assassination. Among Klein's financial backers are
Moscowitz, and leading supporters of the Meyer Kahane and Kach Party
terrorists.

In July, 2001, U.S. intervention moved Israel to block a catastrophic religious
provocation at Jerusalem's Temple Mount. The next day—July 30,
2001—Armageddonist "Evangelicals" and their right-wing Jewish Zionist allies
converged on the White House. Klein and other participants in that secretive
meeting later told EIR that the "end-timers" conveyed a chilling blackmail
message to President Bush: approve an all-out war on Palestinians by the Israeli
regime, or your Evangelical Christian political supporters will desert you. They
said, according to the participants, that there are about 70 million Evangelical
Christians. If only 10% of them are solidly behind the extremists settlers'
agenda, that is an enormous force that could swing the balance of U.S. political
power and destroy the Bush Presidency.

Others at the White House that day, meeting Bush liaison Tim Goeglein,
included representatives of Pat Robertson's Christian Broadcasting Network, the
"International Christian Embassy in Jerusalem"; end-of- the-world sects seeking
to rebuild Solomon's Temple; and a Jewish ally of Klein's. The same day, before
delivering their blackmail message, the group met at a luncheon with Sharon's
Ambassador David Ivry, to discuss what they would tell the Bush Administration.


Joe Marmelstein: New York watch importer and big Likud donor. Marmelstein is
affiliated with the end- timesAteret Cohanim, and with JDL terrorist circles,
according to sources.

Why did Netanyahu provoke Muslim horror and anger by opening the tunnel at
the Temple Mount? The Miami Herald reported, "Sources in Netanyahu's Likud
and former Labor government officials cite a political payoff to several key
American campaign contributors, including Irving Moscowitz, one of the top
bankrollers of Jewish settlements in the West Bank and Gaza Strip, American
watch importer Joe Marmelstein and Canadian Mark Belzberg [who] pressured
Netanyahu to open the tunnel."


Rose Mattus: ice cream empress and funder of thugs in America and Israel. She
and her late husband made a fortune from owning the Scandinavian-sounding
Haagen Dazs ice cream company. A heavy contributor to the Likud, Rose
Mattus was an early sponsor of Rabbi Meyer Kahane, founder of the terrorist
Jewish Defense league. She reportedly opposed Kahane's move to Israel, but is
a leading sponsor of the memorialization of the genocide-promoting Kahane as
a Jewish hero.


Aish HaTorah organization: Likud money conduit and propaganda agency.
Posing as an Orthodox Jewish religious group, Aish HaTorah is a sophisticated
psychological center garnering major contributions for the Likud/extreme right
apparatus. Among important donors are actor Kirk Douglas and talk show host
Larry King. Aish HaTorah's headquarters is in East Jerusalem, and it has offices
in New York and Los Angeles. According to the Israeli Labor Party's current
General Secretary, Knesset Member Ofir Pines-Paz, Aish HaTorah is suspected
of acting as a secret channel illegally funding Netanyahu.

Aish HaTorah runs HonestReporting.com, a McCarthyite Internet police
organization created to attack American critics of the Likud war policies. This
operation mobilized hard and fast to kill the 2001 "Israeli art students" espionage
scandal related to the Sept. 11 attacks, after that story was broken by EIR and
by Fox News in December 2001.

One aspect of the Aish HaTorah money flow is the group's Jerusalem Fund,
created in 1992 in conjunction with Jersualem Mayor Ehud Olmert. It is part of
Olmert's complex of dirty-money Likud front organizations, including his own
New Jerusalem Fund, which raises political cash from Armageddon-seeking
Christians in America.
Research assistance was provided by Scott Thompson, Steven Meyer and John
Hoefle.


CLICK BELOW FOR ADDITIONAL ARTICLES Written by Anton Chaitkin of
EIR--Posted 1/13/2003
Click Here For More...







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