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Agency of Fear

Opiates and Political Power in America

By Edward Jay Epstein

Chapter 30 - The Consolidation of Power



In March, 1972, the domain of the White House had been effectively extended
over all elements of the narcotics program except those in the Treasury
Department. The Nixon strategists had succeeded through the creation of new
offices in divorcing most of the domestic operations of BNDD agents from the
control of Ingersoll, who had been reduced through these maneuvers to little
more than a public spokesman for his own bureau. Rossides, however, still
remained to be dealt with at the Treasury Department. Ehrlichman and Krogh
thus planned, at the March 28 meeting of the Cabinet Committee on
International Narcotics Control, to emasculate what remained of Rossides's
power by announcing a presidential decision to curtail the overseas
operations of customs agents and place them under the direct control of the
cabinet committee, of which Krogh was executive director (and which, for all
practical purposes, he ran single handedly). Rossides, however, was not to be
so easily defeated: he persuaded Secretary of the Treasury Connally to
intervene. The day of the meeting, Connally "pulled an end play," according
to Krogh, by walking straight past Ehrlichman into the president's office and
then emerging arm in arm with him later. In the few minutes that intervened
Connally had persuaded the president to reverse the entire decision urged on
him by Elirlichman and Krogh. At the opening of the meeting the president
announced that Customs was to be allowed to send additional agents overseas
to investigate narcotics cases, and that the earlier guidelines restricting
Customs were to be eased. Krogh realized that he had seriously underestimated
the determination of Rossides, but it was only a minor defeat for the
Domestic Council and a Pyrrhic victory for the Treasury Department.

Claiming that the narcotics program was again fragmented among the Bureau of
Customs, the Internal Revenue Service, the Bureau of Narcotics and Dangerous
Drugs, and the new offices, the White House ordered plans to be drawn up for
a new superagency into which all the competing law-enforcement agencies
involved in the drug program could be merged. In effect, this new agency
would be little more than an expansion of the ODALE concept: the
investigative agents of the Bureau of Customs and the Bureau of Narcotics and
Dangerous Drugs would be merged into this new agency along with prosecutors
who handled narcotics cases. The Office of National Narcotics Intelligence
would also be folded into this new agency. In size, it would resemble a
smaller version of the Federal Bureau of Investigation; it would have both
extraordinary search authority (deriving from that of customs agents) and
electronic-surveillance powers. It would also have liaisons with the
target-selection committee of the Internal Revenue Service and the Central
Intelligence Agency. Reorganization Plan Number Two, as the new scheme was
officially called, would also allow the White House to replace all the top
civil servants and careerists with White House loyalists. Not only would this
new agency be free of bureaucratic restraints but it would be headed by
Ambrose, according to some speculation. It was also assumed by certain
members of the White House staff that Sullivan, Liddy, and Hunt would play
important roles in the intelligence gathering activities of this new unit.

Rossides foresaw that the creation of this new superagency would eliminate
all the checks and balances that traditionally limited law enforcement
operations in the field of narcotics, and, although nominally located in the
Department of Justice, it would give the White House de facto control over
strike forces and investigative agents. In the battle of memoranda that
followed, Rossides argued that ODALE "was ill conceived, alienated local
enforcement officials and was counterproductive," and that "consolidating
these vast powers destroys traditional checks and balances (and] violate[s]
the fundamental American criminal justice concept of separation of the
investigating function and the prosecuting function." The White House,
however, moved ahead with its consolidation. A three-man hearing board was
set up to hear the objections of Rossides, Ingersoll, and others, but since
two of its members, Donald Santarelli and Geoffrey Sheppard, were close
colleagues of Krogh's and committed to the "reorganization," all objections
were easily overridden. (The third member of the panel, Mark Alger, a staff
member of the Office of Management and Budget, also approved the
consolidation on grounds that it was more "efficient"-which no doubt it was.)
To be sure, Congress had the power to veto an executive reorganization plan,
but in an election year few Congressmen were willing to oppose a new federal
effort to reduce the national heroin epidemic. Without effective resistance
the White House would be in control of a major investigative agency soon
after the election.

Moreover, the reorganization plan would abolish John Ingersoll's position as
director of the Bureau of Narcotics and Dangerous Drugs. Furthermore,
Connally, who was resigning as secretary of the treasury to head the
Democrats for Nixon committee, reluctantly agreed to replace Rossides as
assistant secretary of the treasury for law enforcement with one of Krogh's
young staff assistants on the Domestic Council, Edward Morgan. It was also
planned that Caulfield, who had helped plan the "private detective agency"
for the White House, would be given a controlling position in the Alcohol,
Tobacco and Firearms enforcement unit of the Treasury Department. Vernon
"Mike" Acree, a former IRS official who had shown a willingness to cooperate
with the White House, was chosen to succeed Ambrose as commissioner of
customs. A number of other loyalists from the Office of Management and Budget
(OMB) were selected for other key positions in the Treasury Department. And
the key position of director of the new investigative superagency for "drug
enforcement" could be tendered to someone who could be closely counted on by
the White House.

On May 2, 1972, J. Edgar Hoover died, and Clyde Tolson, who had been Hoover's
right-hand man, offered to resign. The White House immediately saw a
possibility of realizing its long-term ambition of controlling that crucial
investigative agency and appointed L. Patrick Gray, a former office manager
of the Nixon election campaign, as acting director of the FBI. There were
still powerful inspectors and executives in that bureau whom the Nixon
administration could not count on, but with the help of William Sullivan the
White House strategists hoped that after the election campaign was concluded,
these men would be replaced by loyalists. Thus, by the spring of 1972, the
Nixon administration approached its objective of controlling the
investigative agencies of the government, and consolidating power.

 -----
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Em Hotep, Peace Be,
All My Relations.
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Amen.
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