_ r __ - · _ _ - ' --ic· ·e ·' · -- · · - - • · -· •· - · · _ ·· · · • • Approved for Public Release 8 December 2016 0 '• •• • · · •• • _ - - ' - t · • 'la • s Copy N ber · _ · 4 Ts · 'lQooaq · -_ -_ · A -STAFF REPORT concerning ACTIVITIES OF CERTAIN · FOREIGN INTELLIGENCE AGENCIES IN THE UNITED STATES · submitted to The _S ubcommittee on nternational Operations Conmdttee on Foreign Relations United States Senate · -- -- January 18 1979 · hotocopy Reagan Library Approved for Public Release 8 December 2016 ilP SECRB SENSMW _ - PREFACE The following report is written in the present tense Because of the inherent ebb and flow of the activities discussed certain aspects of the report may now seem outdated 0 especially in light of recent events such as the turmoil ·• in Ira and recpgnition of the People's Republic of China Regardless of these events however its integrity and - relevance remain intact many of the highly questionable activities described herein continue and there now exists no effective institutional structure for controlling them For that reason the reduction or even the cessation of foreign ·- · agent activities by such fGrces as for example the Iranian i' secret police should not be viewed as a ha binger of ' _ the end of these activities rather it may simply have created a vacuum into which othe·r foreign services will be drawn I V f _ hotocopy Reagan Library I i8P SE l PSENSfflW 1 5 1 q l St -- - IIP -•• 11· NfflVI Approved for Public Release 8 December 2016 SUMMARY · • i - I • j · i I' ' i ' I • I• i I i l I 'I i 1 I 1• ' 0 ' ' i · Chi Ze AZ though no in te Z·t igence officer of the Government of Chile apparently is currently stationed in the United $tates such officers have visited the _United States using false hotocopy Reagan library a it llfliPllllf_@l IJn lJ Hd l PI _ Approved for Public Release 8 December 2016 ·-- _ - f · I -··· ·• identification and their activities tiJere not knotiJn· The Chi 7 ean inte7 7 igenae servic_e is a member qf a consortium of Sou h -America nteZZigence services Ope 'ati on Condo ' tiJhiah has in the past pZotted assassinations i fo 'eign countries and maintained· fi7 es on anti-regime a cti vists This serTJice maintains c'Lose_· liaison · with the German Nazi coZ ony o f La 'Dig-n·i dad in SouthePn Chiie which makes its substantiat 'esources avai Zabte i lt P 7 - ---· - '· ·• _ tr • ' · •· ' •··· _· --- - · · •· -· - • • · - • - · -- - · - ·- ·· • 'I Approved for Public Release 8 December 2016 1 · 'I· -1- - ·n r · Ort · ·crz - a · · · be t -A ACTIVITIES OF CERTAIN FOREIGN· INTELLIGENCE AGENCIES · IN THE UNITED STATES - r• ·- ---· · 9 I ·· • · - i ··•· · • -· ··· • • _ • · 2 · - a ·· _ -- ·-· II Approved for Public Release 8 December 2016 ·• · _ ··-· ··- - - - - - - - - Findings A inteZ 1 t- in the l ChiZ e · Atthough no inteZtigence officer of the Government of Chite appa entZy is currently s t a tioned in the United States suah officers have ·v sited the Uni ted $tates using fatse identifiaation and their act lTJi ties 1 ezte not kno A1n The ChiZ ean intelligence se viae is a member of a ·aonsozatium of South Americ·a n· intet· Zi genae services noperation Con4or ti1hich has in the past plotted ·assassinations in f9reign _ c-ountriea and maintai ed fites on anti-r gime acti 1'-i sts This ·seztvioe maintains aZoss Zi aiaon· wi t h the ·o erman Naai cotony of La Dlgn-£ dad ln Southern ChiZe ti1hich makes tts substantial · resources avalZabl e to it i I r II I I I The Directorate of National Intelligence DINA was· estab- lished in early 1974 following the overthrow of the Allende I i r gime It was established · as an arm of the presidency under the direct control of President Pinochet · Colonel Manuel Contreras Sepulveda· a close friend of Pr sident Pinochet was named as Director DINA's initial mission was to identify and · eliminate · subversives in Chile a problem which was regm ded -as a legacy of the Allende- regime DINA consisted largely of former police and army officers· numbering by 1977 some 38 000 - personnel and supported by a - budget of $27 million ·rt - was organi ed in a manner similar to that of other intelligence services · -Short y after -DINA was established Directo Contreras came to the United States to seek American assistance otocopy · · · Approved for Public Release 8 December 2016 -s By 1976· with subversion under control DINA turned ts attention abroad In an effort to monitoT the activities of Chilean dissidents outside 'Chile · DINA bega to station agents in Europe and certain So th American countries Appar- ently no DINA agents ere stationed in the United States although as described below pl s were at one time made to do · so In August 1977 President Pinochet dissolved DINA and replaced it with the Central Nacional de lnformaciones· or CNI ·• The publicly-announced reason was that DINA had completed its mission In fact however the action was likely the result of pressure from within the United· st tes ·where sensitivity to Chilean repression was height ned by the assassination •of Orlando Letelier and also of pressure from within Chile · ' · Church and army- leaders there disliked the _heavy-handedness of Contreras and were concerned about Chile's international image The new Director _i s the fonner chief of ·army ntelligence and former ambassador to U guay Odlanier Mena-Salinas Upon taki ng over -iil 1977 Mena apparently carried out a major shake- - up of the intelligence organization A wholesale dismissal of personnel and a to tal reorganization ¼To avoid confusion DtNA is used o eliea e tert i-n e fere nce · hotocopy Reagan tl6rarl'l l 1 Q o T1 __ · _ · - Approved for Public Release 8 December 2016 -C -9- · NP SECIEi SENSfflVtr · seems to have taken place f CNI 1 s arrest and detention powers were aoolished and plac d in ·the hands of· the uniformed police - CNI' now has no internal police functions but does retain an intelligence --ga thering mission Moreover unlike DINA CNI is not directly un r the President but_is responsible to the Minister of the Interior Quite n improvem ent in the human rights record has occurred in Chile since the shake up he number of illegal detentions and political prisoners d the· amount of torture have decreased -Much of the information in the hands of United· States ·1 telligence and law enforcement agencies regardi g DINA_ activi- ties in the United States relates ·to the assassinatiqn of • Orlando Letelier Much ···thq gh not all of that information the Executive Branch declined to provide he Subcommi tee and _no effort was made to acquire it in the belief that its acqui sit i on ght however inadver_tently interfer_e with the Justice Department's investigation and prosecution of that case • Not- w ths t anding this tm1bargo it was learned ·that Chilean officials ¼The i dictment handed down by_the Grand Jury on February 7 1977 1 charged the then-Director of DI Manuel ontreras · Sepulvada DINA's then-Director 0£ Operations Pedro Espinoza - - and a·DINA agent Michael Townley with conspiring to murder Orlando Letelier Contreras the Grand Jury charged ordered Letelier' s ·assas•s ination and Espinoza conveye_d · tb e order to ·· Townley i otocopy Reagan Library Approved for Public Release 8 December 2016 -10 - -- ·_ have entered the United States purchased bu ging equip ment and p ave brought it out of the United S_tates using bogus passports· • • The 1 976 entry involved the assassination passports were obtained in Paraguay by DINA officers who might have been acting der t he umbrella ·of an organiza- tion known as Operation Condor ' __ · tQ the ·signing ceremony of the Panama Canal Treaty used false _ pas sports · In ·the case ·of one· of thos·e visits the false I of Letelie in 1977 person accompanying President Pinochet ¥ · -· j - hot copy Reagan Library Approved for Public Release 8 December 2016 -11- ' - _ • I Established in 1976 Operation Condor is an international consortium of the intelligence services of Argenti11 a _ B olivia Brazil Chile Paraguay and Uruguay Condor conducts joint operations against common targets in member ·countries for the - • purpose of countering what it regards as terrorism and subversion · Chile has been the center- for-Operation Coridor and · -- der Condor Chilean int lligence has maintained offi c ers in Chilean embassies in all member countries ·- Argentine- and Chilean intelligence officers have agreed_through Condor that if any Chilean ·ts · known to be inv_o lved in an Argentine ·terror- _ - ist group Argentine authorities may kill him upon capture · DIN also maintains an officer in the Chilean embassy in Madric ' _ - who has · responsibil ty for operations · in Western Europe In ·· addition DINA has tried to place representatives in France England _and Wes Germany to monitor· the activities of Chilean leftists in those countries DINA personnel in Condo use - civilian rather than military cover A highly secret dimension of Operation Condor -- the so-called phase three operation _-- involves the formation of · - ·· special teams ·from member countries assigned to travel anywher in the world to non-member countries to ·carry out sanctions'• · including assassination -·- against Condor enemi·e s _According i __ to the plan once a given Condor enemy is determined by a firs ¼Membership has varied from year to year - · hotocopy Reagan Library ' Approved for Public Release 8 December 2016 -12- Condor team to be pres-ent in a certain country a second _team fro ·Condor ·· target is dispatched -to locate and surveil the A third tea DI compos_e d of individuals from one member count y or from several is then issued false documentation from member coun tries of -Condor and dispatched to carry out th actual sanction against· the target Such a phase three operation was planned in 1974 fol' -- - • - · lowing the assassinations of the Bolivian bassador in P a ris - - - · - -··· _- • ' t - ·· v • a Chilean official in the Middle -East nd ·a Uruguayan attache - in Paris · Condor thereupon planned an operation aimed at - as·sassinati ng three well-known European leftists one of whom · was the notorious terrorist Carlos The plot was foiled however when during the first team's search for the three warned _the · _targets it was discovered governments of the countries in which the assassinations were ·- · likely to occur -- France and Portugal -- which in turn warned possible targets aware of the identity only of Carlos and called in representatives of Condor countries to warn them -to-call off the action They did •-- after denying that it had ever bee11 planned The above-described plot is · relevant ·ins ofar · as it pro- vides evidence of Condor's capabilities as well as its possibl1 intentions in planning to open - a station in Miami shorely af te wards unable to determine Condor's -specific ·pur- pose in doing so but hotocopy Reagan Library did discover the plan and inform Approved for Public Release 8 December 2016 - 1 - the Department of State · The Department considered- issuing a formal demarche· to the governments involved bu Secretary Kissinger objected Instead it was decided that· · would inform Condor States disapproved the Miami Condor station was never opened Condor may hav become less active i n _recent months but has not over that period quired any information concerning i'ts activities · Whatever its current posture ' 1 C ' · ·- - r Condor clearly has the otential of _p l_a nning and_ ex cuting • r- drastic covert ·operations Indeed it was barely two- years · ago that · the FBI concluded that it is not beyond the realm of possibility -that the recent assassination ·of Orlando Leteli in Washington D C ··may have been carried out as a third phase · · of 'Operation Co Jdor ' Another eiement with an uncertain relationship to DINA is t· i the Colony • Located in Parral Linarest Province La Dignicls was established by former Nazi Luftwaffe officers at ·the close of World War Two otoc py Rea_gan Library The Colony is registered as a farm property Approved for Public Release 8 December 2016 - - j -- · · - · - t 4- ·c'·- i ' through must ' · Argentina · · T he Colony's leadership maintains good· relations with qhilean military offic i als parti·c ularly officers of he --- ' Chilean Air For c e who have close ties to the Colony's former -- -i ·•· Luftwaffe pilots · The Colony maintain·s complete autonomy over its ·territory lnvestigati ons into its ·a ctivities have always come to an · ·· ' ·' - • ·· 'i ' ·- abrupt halt The Colony• s primary so·u rce of livelihood is a large dairy farm although it also produces other agricultural products and · engages in some mining I t maintains good rela- tions with the local pea-sant population in part because an excellent medical facility maintained by ·the Colony is open • ·• once a week for free medical treatment and medicine to farm families in the area DINA has maintained a detention center · inside the Colony and there are allegations that torture h s taken place there Allegations lso have been made that German personnel who are described as ex Gestapo or ex-SS officers have_given inst-r ucL · tion in torture techniq es and have actually taken part in the ' application of those techniques · · - · '• The Colony has received large amounts of money over he years I -----·· probably from German Nazis P o ocopy Reagan Library DINA which maintains two facilit Approved for Public Release 8 December 2016 nearby makes use of the Colony's national and international contacts · Knowledgeable State Department officials _believe that · they might very well indeed be part_ of the so-called ne rk of German exiles in Latin America l i f i _' i• Precisely w lat actions have been carried out by DINA and Operation Condor and what role the Colony has played are unclett - Our knowledge of DINA operations is almost ni1 the· CIA stated What is ·clear is that DINA and Condor possess both the motive and capability to harm Unit d States resid nts The former director of DINA Manuel Contreras has said DINA has · representatives -in all Chilean emb ssies · '- · ·abroad except behind the Iron Curtain These agents he said t · '· - ' • · served under civilian cover and· their mission included hittin ·Chilean enemies in those countries if necessary to get our enemies he said • _ - ' · -· -- ·- We l4ll go to Australia hotocopy Reagan Library