CIA using Macau casinos to recruit Chinese officials, says report

Sands casino in Macau ChinaOfficials in China think that United States spy agencies are using casinos in Macau to entrap Chinese government employees, according to a report produced on behalf of an American-owned casino chain in the former Portuguese colony. The report was produced by a private investigator and was commissioned by Sands China, the Macau branch of a casino venture owned by American gambling magnate Sheldon Adelson. Its goal was to investigate why the Chinese-appointed authorities in Macau were hostile to the gambling industry in general and Sands China in particular.

The report is dated June 25, 2010, and includes a warning that it should not be shared with Chinese officials in Macau or in mainland China. It cites several unnamed officials in China’s Liaison Office, which governs Macau and Hong Kong, as well as sources in China’s Ministry of Foreign Affairs, and Chinese businessmen with close ties to the government in Beijing. It suggests that Beijing is weary of the damage caused to its public image by thousands of its employees gambling away an estimated $2 billion each year in Macau. Additionally, says the report, the central government in Beijing is hostile to the foreign-owned gambling industry in Macau because it believes that it collaborates with Western intelligence agencies. Sands China establishments in Macau, in particular, are believed by the Chinese government to be recruiting grounds for the United States Central Intelligence Agency, says the 2010 report.

Citing “well-placed sources” in the Chinese capital, the report suggests that the fear of espionage is “the primary subject” that causes Beijing’s hostility toward Sands China. It notes that “many of the [Chinese] officials we contacted were of the view that US intelligence agencies […] have penetrated and utilized the casinos [in Macau] to support their operations”. It adds that Chinese counterintelligence agencies have “evidence” that CIA operatives “monitor mainland government officials” who visit Macau to gamble, paying particular attention to those losing large amounts of money, or those visiting Macau without the knowledge of their superiors. They then “lure and entrap” them, forcing them “to cooperate with US government interests”.

The report was uncovered by the Investigative Reporting Program of the University of California Berkeley’s Graduate School of Journalism and published on Wednesday in British broadsheet The Guardian. The paper said the report was among a set of documents filed with a court in Las Vegas, where the former head of Sands’ Macau casinos is suing the company for wrongful dismissal. The Guardian contacted the Sands Company, which rejected the contents of the report as “a collection of meaningless speculation”. Its senior vice president for global communications and corporate affairs, Ron Reese, also dismissed the report as “an idea for a movie script”.

Author: Joseph Fitsanakis | Date: 23 July 2015 | Permalink: http://intelnews.org/2015/07/23/01-1741/

Cold War files show secret war between CIA and KGB in Canada

Natalie (Natalka) BundzaA set of declassified intelligence documents from the 1950s and 1960s offer a glimpse into the secret war fought in Canada between American and Soviet spy agencies at the height of the Cold War. The documents were authored by the United States Central Intelligence Agency and declassified following a Freedom of Information Act request filed on behalf of the Canadian newspaper The Toronto Star. According to the paper, they show that Toronto was a major hub of a prolonged espionage conflict fought between the CIA and the Soviet KGB.

Much of the espionage activity by the two spy agencies concentrated on Toronto’s sizable Eastern European expatriate community, especially on immigrants with Ukrainian and Polish roots. In one document dating from 1959, a CIA officer details the profiles of 18 Canadian citizens, most of them Toronto residents, who were suspected by Langley to be working for the KGB. Most of them were believed to be non-official-cover operatives, or NOCs, as they are known in the US Intelligence Community. The term typically refers to high-level principal agents or officers of an intelligence agency, who operate without official connection to the diplomatic authorities of the country that employs them. The declassified document explains that the suspected NOCs had secretly traveled to the USSR after being recruited by the KGB. They were then trained as spies before returning to Canada years later under new identities.

Others, like a naturalized Canadian identified in the documents as Ivan Kolaska, were believed by the CIA to have immigrated to Toronto as part of a broader KGB effort to infiltrate the ranks of the anti-communist Eastern European expatriate community in Canada. Some of these infiltrators were able to settle in Canada, marry locals, get jobs and have families, while living a double life. The Star spoke to one Ukrainian immigrant to Canada whose name features in the declassified CIA files. Natalie Bundza, now 78, worked as a travel agent in 1950s’ Toronto and regularly led tourist groups to communist countries. She was a Ukrainian nationalist and anticommunist, but the CIA believed she was pretending to have these beliefs in order to infiltrate the Ukrainian expatriate community in Toronto. The American agency kept tabs on her and was able to compile a sizable file with information about Bundza’s friends and associates, her travel itineraries, and even the contents of her suitcases she took with her on international trips.

Author: Ian Allen | Date: 3 July 2015 | Permalink: http://intelnews.org/2015/07/03/01-1728/

In surprise move, US Congress may slash funding for CIA ops in Syria

CIAAmerican Congressional lawmakers have voted to cut funding for the Central Intelligence Agency’s secret operations in Syria, in a surprise move that indicates growing concern on Capitol Hill with Washington’s strategy on the Syrian Civil War. The CIA’s involvement in the Syrian Civil War began in 2012, when US President Barack Obama issued 1 a classified presidential finding that authorized Langley to arm and train opposition militias. The clandestine program was initially based in training camps in Jordan, before eventually expanding to at least one location in Qatar. Currently, the CIA’s secret involvement in the Syrian conflict is said 2 to be among the Agency’s most extensive covert operations in the world, and comes at an annual cost that is nearing $1 billion.

But this amount may be cut by as much as 20 percent if the Permanent Select Committee on Intelligence of the US House of Representatives has its way. According to The Washington Post 3, the Committee recently voted to reduce the Agency’s classified funds for the Syria operation as a way of expressing its “concern with [US] strategy in Syria”. It is perhaps indicative of the displeasure on Capitol Hill with Washington’s current policy on Syria that the Committee voted unanimously to slash the CIA’s funding. The Post even quoted the ranking Democrat on the Committee, Adam B. Schiff (CA), who said there was “growing pessimism” among Committee members, who felt that the US would not be in a position to “help shape the aftermath” of the conflict in Syria.

The surprise move by the Congressional intelligence panel will need to be ratified by the House, which will vote on a preliminary intelligence-spending bill this week. The Post said that the measure “provoked concern” in the White House, while CIA officials warned that slashing the CIA’s funding for its Syria operations could seriously hurt rebel groups that are being backed by the US. One unnamed US intelligence official told the paper that Russia and China would continue to fund the regime of Syrian President Bashar al-Assad, even as Congress decided to defund the CIA’s operations in the war-torn Middle Eastern country. The White House declined to respond to questions about the vote.

Author: Joseph Fitsanakis | Date: 15 June 2015 | Permalink: http://intelnews.org/2015/06/15/01-1714/


  1. J. Fitsanakis “Obama authorizes CIA to conduct ‘non-lethal covert action’ in SyriaintelNews [03aug2012] 
  2. G. Miller and K. DeYoung “Secret CIA effort in Syria faces large funding cutThe Washington Post [12Jun2015] 
  3. G. Miller and K. DeYoung “Secret CIA effort in Syria faces large funding cutThe Washington Post [12Jun2015] 

CIA chief paid secret visit to Israel ahead of Iran nuclear deal

John BrennanThe director of the United States Central Intelligence Agency visited Israel in secret last week to discuss the Jewish state’s refusal to endorse an emerging deal with Iran over its nuclear program. Citing “two senior Israeli officials”, the Tel Aviv-based Israeli newspaper Haaretz said on Tuesday that CIA Director John Brennan arrived in Israel last Thursday. Although he was officially hosted by Tamir Pardo, director of Israeli intelligence agency Mossad, Brennan used the opportunity to hold secret meetings with several senior Israeli officials, said Haaretz. Among them were Prime Minister Benjamin Netanyahu, National Security Adviser Yossi Cohen, as well as Major General Hartzl Halevi, who heads Israel’s Military Intelligence Directorate.

According to Haaretz, Brennan’s visit to Israel had been planned “long ahead of time”, and should not be interpreted as a sudden diplomatic move from Washington. However, it came just weeks ahead of a deadline for a far-reaching settlement next month between Iran and six world powers over the Islamic Republic’s nuclear program. If successful, the much-heralded deal will mark the conclusion of ongoing negotiations between the Islamic Republic and a group of nations that have come to be known as P5+1, representing the five permanent members of the United Nations Security Council plus Germany. Israel, however, has strongly criticized the negotiations, referred to as ‘the Geneva pact’. Last year, the Israeli Prime Minister called the pact a “historic mistake” that would enable “the most dangerous regime in the world” to get closer to “attaining the most dangerous weapon in the world”.

It is not known whether Brennan brought with him a message from US President Barack Obama addressed to the Israeli Prime Minister, said Haaretz. On Monday, just 72 hours after Brennan’s departure, another senior American official landed in Tel Aviv —openly this time. It was General Martin Dempsey, Chairman of the US Joint Chiefs of Staff, who was hosted by his Israeli counterpart, General Gadi Eisenkot. Like Brennan before him, General Dempsey met with Prime Minister Netanyahu and Minister of Defense Moshe Yaalon. Haaretz contacted the CIA about Brennan’s secret visit to Israel, but an Agency spokesperson refused to comment.

Author: Joseph Fitsanakis | Date: 10 June 2015 | Permalink: http://intelnews.org/2015/06/10/01-1712/

Al-Qaeda still a more serious threat than ISIS, says ex-CIA official

Al-Qaeda in YemenAl-Qaeda and its affiliates continue to pose the most serious unconventional threat to American security, despite the meteoric rise of the Islamic State of Iraq and al-Sham, according to a former senior official in the United States Central Intelligence Agency (CIA). Michael Morell, who was deputy director of the CIA, and served twice as the Agency’s acting director, did not deny that the Islamic State, also known as ISIS, poses a significant threat to the security of the US. However, the militant group “is not the most significant threat to the homeland today”, he said. Morell made the comment while speaking on Monday at the National Press Club in Washington, DC, while promoting his new book, The Great War of Our Time: An Insider’s Account of the CIA’s Fight Against Al Qa’ida.

The former CIA official told his audience that the most serious unconventional threat to the US continues to come from three al-Qaeda groups, all of which remain far cogent and willing to engage the US on its home soil. According to Morell, the three groups consist of the so-called ‘al-Qaeda Central’ in Afghanistan and Pakistan, as well as its Syrian branch, known as the Khorasan Group, and its Yemen affiliate, which goes by al-Qaeda in the Arabian Peninsula (AQAP). He added that the last three serious efforts to strike the US with the intent of causing mass casualties all came from AQAP. Morell was referring to the 2009 so-called ‘underwear bomber’ and the 2010 ‘ink-cartridge bomb plot’, as well as the ‘plastic suicide vest bomb pot’ in 2012, all of which were unsuccessful. The former CIA official said that, unlike ISIS, al-Qaeda has “the ability to bring down an airliner in the US tomorrow”. Most importantly, he added, unlike ISIS, al-Qaeda has shown willingness to confront America on its home soil.

Morell’s argument echoed similar comments expressed in September 2014 by the then-Director of the US National Counterterrorism Center, Matthew Olsen. Olsen, who held the US’ most senior counterterrorism post until his retirement last year, opined at a forum in Washington that ISIS did not currently pose a direct threat to America or Western Europe. He added that the risk of a “spectacular, al-Qaeda-style attack” on American or European targets by ISIS was negligible, saying that ISIS was “significantly more limited than al-Qaeda”, especially in the run-up to 9/11.

German spies helped US find bin Laden, claims German newspaper

BND headquarters in BerlinBy JOSEPH FITSANAKIS | intelNews.org
German intelligence gave the United States a tip of “fundamental importance” about the whereabouts of al-Qaeda founder Osama bin Laden, which helped the Americans locate him in Pakistan, according to a German media report. Germany’s leading tabloid newspaper, Bild am Sontag, said in its Sunday edition that the tip allowed the Central Intelligence Agency to corroborate separate intelligence tips pointing to the possibility that the wanted Saudi terrorist may have been hiding in the Pakistani city of Abbottabad. Citing an unnamed “American intelligence official”, Bild said the tip was given to the CIA by its German equivalent, the Bundesnachrichtendienst, known in Germany as BND. It said the critical information originated from an agent handled by the BND inside Pakistan’s Inter-Services Intelligence directorate (ISI). The agent was an officer of the ISI but had secretly worked as an agent of the BND “for years”, said the German newspaper.

The tip was eventually communicated by the Germans to the CIA, and was used by the American agency to corroborate information from a number of other sources, which eventually led to the decision to send a Special Forces team to kill the al-Qaeda leader. According to the German paper, the CIA was already leaning toward the view that bin Laden was hiding in Abbottabad. However, the BND tip was “of fundamental importance” in enabling the CIA to make up its mind as to bin Laden’s whereabouts, said Bild. Moreover, the BND’s Pakistani agent allegedly told the German agency that the ISI leadership was protecting bin Laden while holding him under house arrest. If true, the Bild information would seem to confirm allegations made by American reporter Seymour Hersh and security expert R.J. Hillhouse that Pakistani leaders had secretly imprisoned the al-Qaeda founder in Abbottabad. The Bild article goes on to claim that German intelligence used its Bad Aibling Station listening posts to monitor the Pakistani government’s communications so as to help ensure that the planned American attack on bin Laden’s compound was not being anticipated by Islamabad.

However, in reporting on Bild’s allegations, German newsmagazine Der Spiegel questions the validity of the tabloid newspaper’s argument. Why, it asks, would the BND’s Pakistani agent approach his German handlers with the information about bin Laden’s whereabouts, instead of going directly to the Americans? Had the agent followed the latter course of action, he or she could have been able to claim the lucrative reward offered by the US Department of State in exchange for information that would help locate the al-Qaeda founder.

Macau authorities deny CIA tried to assassinate Snowden

PLA Macao GarrisonBy JOSEPH FITSANAKIS | intelNews.org
Authorities in the Chinese region of Macau have denied news reports that Chinese Special Forces averted an attempt by the United States Central Intelligence Agency to kill or capture American defector Edward Snowden. The reports were initially published on March 8 on the website of China News Service, China’s second-largest state-owned news agency after Xinhua. The news agency, which serves China’s Special Administrative Regions of Hong Kong and Macau, said that a secretive unit of the Chinese People’s Liberation Army held a private function to celebrate its success against an alleged attempt by the CIA to kill Snowden. The American former computer expert worked for the CIA and the National Security Agency before defecting to Russia in the summer of 2013. Prior to arriving in Russia, however, Snowden first sought refuge in Hong Kong, where he stayed until June 23.

According to Chinese media reports, the US sent a CIA assassination squad to Hong Kong in mid-June 2013, in an effort to either abduct or kill Snowden. However, the defector’s life was allegedly saved by men from the so-called “Sharp Swords” Special Forces unit of the PLA’s Macao Quick Reaction Platoon. The latter, which is part of the PLA’s Macau Garrison, had reportedly been urgently dispatched to Hong Kong by the Chinese government, in order to guard the high-profile American defector. Some reports suggest that a fierce firefight took place between the Chinese Special Forces troops and the CIA hit squad, which eventually left four CIA officers dead, including “a senior member of the CIA’s network in Hong Kong”. When Snowden transferred to Russia, the PLA unit returned to its base in Macau, where it remains today. Chinese news media alleged that a special “special event” was held in honor of the PLA unit, during which several of its members received “first-class merit awards” for protecting Snowden and neutralizing the alleged CIA operatives.

On Monday, however, the First Secretary of the Security Office of Macau, Wong Sin Chat, told local media that the reports of a PLA award ceremony were “nothing more than rumors”. He added that there had been no attempt by anyone to assassinate Snowden, and noted that, on behalf of Macau’s state authorities, he could “absolutely confirm” that the news reports had been inaccurate. Washington has yet to comment on the allegations.

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