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Spy vs. Spy


CIA Lied About Contacts with Wilson


Then covered up the lie with the help of the Dept. of Justice

HOUSTON (AP) -- The Justice Department acknowledged in a court filing made
public Tuesday that the lead prosecutor in the 1983 arms-dealing case against
former CIA officer Edwin P. Wilson introduced inaccurate testimony.

The revelation comes in the government's response to Wilson's appeal of his
conviction for shipping 20 tons of C-4 plastic explosives from Houston's
Intercontinental Airport to Libya. Wilson is serving 52 years in prison.

Wilson, who had retired from the CIA, said the agency had authorized him to
ingratiate himself with the Libyan government for intelligence-gathering
purposes.

The testimony in question concerns an affidavit in court records from CIA
executive director Charles Briggs, then the No. 3 agency official. The
affidavit said ``Wilson was not asked or requested, directly or indirectly,
to perform or provide any services, directly or indirectly, for CIA,'' after
his 1971 retirement.

That affidavit was reread to jurors at their request; an hour later, they
returned a guilty verdict.
Wilson's appeal included dozens of once-classified documents showing CIA
lawyers argued with prosecutors against using the affidavit as then written.

According to the documents, Wilson had 80 contacts with the CIA from his
retirement through 1978 and provided a variety of services at the
government's request, including arranging gun sales to a Saudi Arabian
security agency and the shipment of two desalinization units to Egypt on
behalf of the CIA.

The Justice Department's response doesn't challenge the accuracy of the
documents in Wilson's appeal. In fact, the agency included similar memos
outlining an eight-month discussion between the CIA and Justice Department
over what to do about Briggs' affidavit.

One such memo recounts a discussion between Stanley Sporkin, then the CIA's
top lawyer, and Theodore Greenberg, the lead Wilson prosecutor.

Sporkin told Greenberg ``it was a bad idea to use the declaration. Mr.
Greenberg responded that the use of the declaration was vital to his case and
he intended to use it,'' according to a memo in the government's filing.

Another memo shows that Sporkin argued that ``at minimum, the word
`indirectly' should be removed.''

After the conversation, Greenberg introduced the testimony in court.

The Justice Department's response says ``the objective inaccuracy of a
statement proffered by a government witness or otherwise introduced by the
government does not, itself, provide the defendant a basis'' for the
conviction to be overturned. The prosecutors also said the ``inaccurate''
information was corrected during another appeal by Wilson.

The prosecutors claim Wilson failed to offer any evidence he was specifically
authorized to conduct the Libya deal. ``A mere belief that he was acting in
the interests of the United States did not constitute a legitimate defense,''
the motion reads.

David Adler, a lawyer for Wilson and himself a former CIA officer, said he
was not surprised false evidence was introduced. ``What is surprising is how
well the Justice Department and the CIA documented their efforts to conceal
the lie,'' he said.

Whether Wilson benefits from that extensive documentation -- 800 pages of
which were made public -- remains to be seen. U.S. District Judge Lynn N.
Hughes must decide whether Wilson deserves a new trial.
The Associated Press, January 18, 2000


Digital Society


Can a Virtual Virgin Fly?


Unshagged in cyberspace. Oh, dear.

LONDON - Since he dropped out of school more than 30 years ago to start a
student magazine, Richard Branson has exhibited a penchant for risk.

>From taking on British Airways PLC and Britain's dilapidated train network to
trying unsuccessfully to circle the globe in a hot-air balloon, Mr. Branson
has taken on challenges with a mixture of bravado, humor and a keen sense of
consumer tastes - and often come out on top.
Now, Mr. Branson is trying to circle the globe in a figurative sense by
turning his Virgin Group Ltd. into a leading worldwide brand on the Internet
- a challenge that analysts say could be his toughest yet.

Virgin plans a series of initiatives this year to broaden its on-line
offerings in music, travel and other areas and to reach customers beyond the
British market.

He starts with a severe handicap. Unlike America Online Inc., which used its
highly valued stock to acquire Time Warner Inc., his private company lacks
the currency to do deals on such a scale.
''If we could be worth just half of AOL, I'd be happy,'' he said with a smile
during an interview in his West London home.

Even though Mr. Branson made £600 million ($979 million) by selling 49
percent of Virgin Atlantic Airways to Singapore Airlines in December, that
figure is ''pitiful'' by Internet standards, he noted.
But Mr. Branson is convinced that his own buccaneering image and reputation
for delivering good-value products with flair will ultimately help make
Virgin the consumers' champion on the Internet.

''Brand is going to be all important on the Internet,'' Mr. Branson said.
''Virgin is perhaps the only British brand that can become a global Internet
site.''

Few people doubt Mr. Branson's marketing prowess, but analysts say that he
may find himself at a severe disadvantage by coming late to the Internet
dance - especially in the United States.
''In our view, the battle is over - Yahoo and AOL won,'' said Mark Zohar, an
analyst at Forrester Research in Cambridge, Massachusetts. Yahoo Inc. boasts
100 million users of its portal site, while AOL has 22 million subscribers.
''It's going to be difficult for Branson to get those consumers,'' Mr. Zohar
said.

Even in Britain, where Virgin has focused its Internet efforts and where Mr.
Branson is a national icon, Virgin.com does not rank as one of the 10
most-visited sites, according to MMXI Europe BV, an Internet audience
measurement firm.

Still, Virgin does boast Internet revenues of about £150 million last year.

And a director of Virgin, Will Whitehorn, contended that the business has
been valued at anywhere from £3.5 billion to £6.5 billion by investment
bankers at Goldman, Sachs & Co. Goldman declined to comment.

Talk of valuations raises the possibility of a public offering of stock in
the Internet operations, even if Mr. Branson says he is not contemplating one
now.

Mr. Branson contends that the Internet will enable Virgin to bring together
all of its varied products in a sort of lifestyle offering.

Virgin.com sells tickets on his airline and on his British train company,
music from Virgin Megastores, British banking and mutual fund products from
his Virgin Direct financial services arm, and mobile telephones from his
joint venture with Deutsche Telekom AG's One2One unit.
In coming weeks, it plans to sell cars imported from Continental Europe at
discounts of as much as 25 percent below Britain's inflated sticker prices.

Later this year, he plans to turn the site into a virtual supermarket by
offering products from other suppliers.

Virgin's on-line travel service could even sell plane tickets on its
arch-rival, British Airways, if BA offers the best combination of
destination, time and price.

Mr. Branson believes the strategy plays to Virgin's strengths and makes
comparisons to AOL Time Warner, with its emphasis on news and entertainment
content, inappropriate.

''What we're offering on the Internet is primarily products for sale,'' he
said. ''We don't need to buy Time Warner in order to do that.''

Virgin also may seek to strike alliances with AOL's rivals to share content,
he added, saying it was ''quite possible we could do something with Yahoo.''

Virgin's appeal to U.S. partners was underlined last week when the company
applied to bid for a third-generation mobile telephone license in Britain as
head of a consortium that included the venture-capital funds of the investor
George Soros and Paul Allen, the Microsoft co-founder.
Mr. Branson said he expected that some of those partners would ''stick
together to do things in other parts of the world.''

Virgin hopes to enter the mobile business in Australia in the first half of
this year and in the United States in the second half.

With goals like that, there is little doubt that Mr. Branson retains as much
sense of adventure as ever, despite receiving the ultimate accolade of the
British establishment - a knighthood - in December.

But for such a personalized business empire, the biggest note of caution may
lie with the man himself.

Mr. Branson said that his 1997 takeover of Britain's dilapidated West Coast
rail line from London to Glasgow would rank as his greatest achievement,
assuming Virgin succeeds in raising service standards.

And he is determined to win his nonprofit bid to run Britain's National
Lottery.
For all of its importance to his business, the Internet just doesn't get the
juices flowing in the same way.

''I don't feel as passionately about it,'' he conceded. ''I'm not good at
sitting in front of a screen for hours and hours on end.''
The London Telegraph, January 19, 2000


The Religion Business


Christians and Moslems Kill Each Other in Maluku


You see, if you cut off the head, the body is easier to drag.

FOUR days of fighting between Muslims and Christians have left 250 people
dead in Ambon, the capital of Indonesia's Maluku province, better known as
the Moluccas or Spice Islands.
"It was a war, and we were fighting for our survival," a Christian youth said
after one attack. The recent violence in the Spice Islands - the worst in
disturbances that began a year ago today - is spreading towards the centre of
the country and threatening the reformist government of President Abdurrahman
Wahid.

Police reinforcements were dispatched from Bali to the tourist island of
Lombok yesterday, a day after Muslim gangs ransacked eight churches there
after reading press reports of attacks on their religious brethren in Maluku.
Violence has eased in Ambon but it continues on other islands in the group
and refugees continue to land in the capital, which remains tense and under
army control.

Richard Rowat, field co-ordinator for Médécins Sans Frontières, said: "I have
worked in Sudan, Afghanistan and Cambodia but have seen nothing like this in
terms of confusion and this kind of communal hatred."

At the height of the violence, which began on Boxing Day, a Christian gang
leader marched down Jalan Deponegoro, the street leading to the Protestant
Silo Church, holding a sword victoriously aloft in one hand and dragging a
headless corpse behind him. Several witnesses reported seeing members of the
military, mostly outsiders who belong to the country's 90 per cent Islamic
majority, joining Muslim gangs, and policemen, mostly local Christians,
joining the other side.
The two communities, which had for centuries lived reasonably happily side by
side, are now polarised and fearful. They share a city but never meet.
Neighbourhoods and villages have been "cleansed" of whichever group was in
the minority, a pattern being repeated on outlying islands.
The army has designated a narrow no man's land to separate Muslims from
Christians.
Muslims, who are in a narrow minority, are being denied education and
healthcare, as most schools and hospitals are in the Christian centre. Each
side has its own refugee camps and 200,000 out of the two million population
have left Maluku or been displaced within the province.
The president has blamed "evil hands" for manipulating the conflict.
Community leaders from both sides believe there is a conspiracy by elements
of the army loyal to the former dictator Suharto aghast at the erosion of
military political power. Those elements have, it is argued, found common
cause with radical Muslim leaders opposed to Mr Wahid's moderate form of
Islam.
* Christopher Lockwood, Diplomatic Editor, writes: The Government has
overridden protests from human rights groups and agreed to sell six Hawk
aircraft to Indonesia, despite the escalating violence, it emerged yesterday.
The order was blocked last September because of army-backed violence against
the East Timorese, when the European Union imposed a four-month arms embargo
on Indonesia. The embargo expired on Monday.
The London Telegraph, January 19, 2000
-----
Aloha, He'Ping,
Om, Shalom, Salaam.
Em Hotep, Peace Be,
All My Relations.
Omnia Bona Bonis,
Adieu, Adios, Aloha.
Amen.
Roads End

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