News you may have missed #561

Francis Gary Powers

Francis G. Powers

►►US to phase out U-2 spy plane after 50 years. After more than 50 years gathering intelligence 13 miles above the ground, the United States’ U-2 spy planes will be phased out and replaced by unmanned drones by 2015, according to reports this past week. The classified U-2 program came to light in 1960, when a Soviet surface-to-air missile brought down a U-2 flown by CIA pilot Gary Powers, who parachuted to safety but was soon captured.
►►Security company unearths ‘massive’ cyberespionage operation. A widespread cyberespionage campaign stole government secrets, sensitive corporate documents, and other intellectual property for five years from more than 70 public and private organizations in 14 countries. This is according to Dmitri Alperovitch, vice president of threat research at the cyber-security firm McAfee, who uncovered the alleged plot. The operation, dubbed SHADY RAT, targeted the United Nations and the United States, among other national and international entities.
►►South Korea expands spy ring investigation. South Korean authorities have expanded the controversial investigation into the alleged Wangjaesan spy ring, to include Read more of this post

News you may have missed #560 (new books edition)

Khalil al-Balawi

Khalil al-Balawi

►►New book on CIA’s Khost bomb disaster. Washington Post reporter Joby Warrick has authored a new book, examining the December 31, 2009, killing of seven CIA operatives by Jordanian doctor Humam Khalil al-Balawi in Khost, Afghanistan. In the book, entitled The Triple Agent, Warrick quotes several “anonymous” sources from within CIA and Jordan’s General Intelligence Department (GID), which was involved in running al-Balawi. Aside from blaming GID, Warrick says the CIA’s Amman station chief was partly responsible for the botched operation.
►►Hollywood producer was Mossad spy, says new book. The book Confidential: The Life of Secret Agent Turned Hollywood Tycoon Arnon Milchan, says that Milchan was a full-fledged operative for Israel’s now-defunct intelligence agency, Lakam. The agency, which was also known as Israel’s Bureau of Scientific Relations, collected scientific and technical intelligence abroad. It was disbanded in 1986 following the arrest of US Navy analyst Jonathan Pollard for engaging in espionage on behalf of Israel. The book’s authors, Meir Doron and Joseph Gelman, argue that Milchan, who produced such movies as Love and Other Drugs and Knight and Day, worked for Israeli intelligence by supervising government-backed accounts and front companies that financed “the special needs of the entirety of Israel’s intelligence operations outside the country”.
►►Book alleges US-Russian spy swap deal. In 2010 the CIA considered a swap deal that would have delivered to Moscow two Americans currently imprisoned in the US for spying for Russia. This information is included Read more of this post

News you may have missed #559

Manuel Noriega

Manuel Noriega

►►Why did Pakistani spy chief secretly visit China? Reports reveal Lt. Gen. Ahmed Shuja Pasha, head of Pakistan’s main military intelligence agency, the ISI, flew on a secret mission to Beijing for urgent talks this Monday. China’s ties with Pakistan have traditionally been tense, and have become worse in recent years, because China accuses Pakistan of harboring secessionist Chinese Muslim militants. Some observers suggest that Pasha’s trip may have been more of a summons than a visit.
►►France to extradite Manuel Noriega to Panama. France has confirmed it will extradite Manuel Noriega to Panama, where he is wanted over human rights violations during his rule in the 1980s. The former Panamanian military leader is currently serving a prison sentence in France for money laundering. Speaking during his trial in Paris last year, the former US ally claimed that millions of dollars he deposited in several French bank accounts were CIA payments for his services, not income from illicit drug sales.
►►US intel budget drops by $500 million. More than $500 million would be cut from US intelligence agencies under a bill authorizing programs and spending for spying operations next year, Read more of this post

Ex-CIA counterterrorist chief says al-Qaeda to turn to computer hacking

Cofer Black

Cofer Black

By JOSEPH FITSANAKIS | intelNews.org |
The strategic retreat currently being experienced by al-Qaeda will force the group to concentrate on inflicting damage on its enemies through the Internet. This is the opinion of Cofer Black, the straight-talking CIA veteran who retired in 2002 as Director of the Agency’s Counterterrorism Center. Black, who is known for his hawkish views on Washington’s ‘war on terrorism’, gave the keynote speech on Wednesday at the Black Hat Technical Security Conference in Las Vegas, Nevada. He told an audience of nearly 7,000 conference participants that “the natural thing” would be for al-Qaeda in the post-bin-Laden age to continue to engage in terrorism by “fall[ing] back to things that are small and agile”, with computer hacking being an ideal candidate. Black, who since 2002 has worked for private contractors, including Blackwater/Xe, illustrated his point by referring to Stuxnet, the elaborately programmed computer virus that targeted electronic hardware in Iran’s nuclear energy program in July of 2010. “The Stuxnet attack is the Rubicon of our future”, said the former CIA official, adding that it was the computer virus designed to cause “physical destruction of a national resource”. Black is rightly revered by intelligence observers for having warned US government officials of a large-scale terrorist attack in August of 2001, one month prior to the September 11 hijackings. Having said this, it is not exactly prophetic to state, as he did, that “cyber will be a key component of any future conflict”. Read more of this post

News you may have missed #558

Amrullah Saleh

Amrullah Saleh

►► US government says Iran aids al-Qaeda. The US Treasury Department has accused the Iranian authorities of aiding al-Qaeda, saying Tehran had entered into financial agreements with six people believed to be al-Qaeda operatives in Iran, Kuwait, Qatar and Pakistan. According to Treasury officials, one of the six “is believed to have recently ascended to the No. 2 position in Al Qaeda, reporting directly to the organization’s new leader, Ayman al-Zawahri”.
►►Interview with Afghan spy chief. CNN has an exclusive interview with Amrullah Saleh, the –usually media-shy– former head of Afghanistan’s National Directorate for Security. The interview is essentially one long attack on Pakistan, which Saleh blames for destabilizing Afghanistan, hiding and sheltering al-Qaeda members, and providing funding and arms to the Taliban.
►►Sudan’s spy chief secretly visited France in June. The director of Sudan’s National Security and Intelligence Services (NISS), Mohamed Atta al-Moula Abbas, secretly traveled to Paris last June. He held talks there with Read more of this post

High-level spy-ring arrests send shockwaves in S. Korea

Lim Chae-jung

Lim Chae-jung

By JOSEPH FITSANAKIS | intelNews.org |
South Korean prosecutors have indicted or are questioning dozens of alleged members of a North Korean spy ring, in what is said to be the country’s largest espionage case in over a decade. Seoul’s political establishment has been rocked by the espionage scandal, which allegedly involves several trade unionists, academics, and at least ten members of the country’s opposition Democratic Party. According to security officials, the suspects were members of an underground organization called Wangjaesan, after Mount Wangjae which is a revered national monument in North Korea. The official indictment claims that Wangjaesan was handled by operatives of Office 225 of the North Korean Workers’ Party Korea, which is tasked with overseeing the activities of sleeper agents operating in South Korea. The organization was allegedly headed by a man identified only as ‘Kim’, who owned a South Korean electronics import-export company, and routinely traveled to China and Japan, where he purportedly met his North Korean handlers. Aside from ‘Kim’, South Korean counterintelligence investigators are reportedly questioning close to ten senior members of the Federation of Korean Trade Unions, several academics, as well as at least a dozen opposition political figures. Among the latter are members of South Korea’s leftwing Democratic Labor Party, widely considered as the political wing for the Korean Confederation of Trade Unions. Read more of this post

News you may have missed #557 (‘CIA getting away with stuff’ edition)

CIA HQ

CIA HQ

►►Judge dismisses CIA mind-control lawsuit. A court has dismissed a federal lawsuit against the CIA by the Vietnam Veterans of America (VVA) for allegedly subjecting US military personnel to chemical, biological and mind control experiments from 1953 until 1976. According to the presiding judge, the veterans can’t sue the CIA because they can’t prove they took “secrecy oaths” administered by the Agency. But the lawsuit continues to apply against the US Department of Defense and other government entities and individuals.
►►Judge absolves CIA for destroying torture tapes. In 2007, the US Justice Department began an investigation into the destruction by the CIA of videotapes, which reportedly showed acts of torture committed during interrogations of terrorism detainees. It concluded that the CIA destroyed the tapes on purpose, after it was instructed to deliver them to the DoJ for examination. But, in a move that hardly surprised observers, a judge on Monday ruled that the CIA did not act in contempt when it destroyed videotapes.
►►Norway quietly drops US spy activities investigation. Back in November of 2010, Norway, Sweden and Denmark launched official investigations into media reports that accused US embassies in their countries of operating illegal intelligence-gathering networks. Read more of this post

‘We killed Iranian scientist’ claims Israel intel source

Daryoush Rezaei

Daryoush Rezaei

By JOSEPH FITSANAKIS | intelNews.org |
A source in Israeli intelligence has told a quality German newsmagazine that Israel was behind the recent killing of an Iranian physicist in Tehran. The 35-year-old physicist, Darioush Rezaei, was shot twice in the throat on July 23, by two men on a motorcycle, as he and his wife were picking up their four-year-old daughter from kindergarten. Iranian authorities dismissed early reports that Rezaei was a nuclear academic, saying that there had been “some confusion” about the dead man’s identity, and that Rezaei was simply studying for a masters’ degree in electronics. It later became clear, however, that Rezaei’s electronics expertise was in the use of high-voltage switching systems for triggering nuclear warheads explosions. Rezaei was the fourth Iranian physicist or nuclear expert to be assassinated since 2007, after Ardeshire Hassanpour,  Masoud Ali Mohammadi and Majid Shahriari. Another nuclear scientist, Fereydoon Abbasi, who was injured in a separate bomb attack on the same day Dr Shahriari was killed, now heads Iran’s Atomic Energy Organization. There is little doubt in intelligence circles that the attacks on the Iranian researchers are part of a wider Western and Israeli covert action program that includes —apart from assassinations— sabotage and cyberwarfare. Now an article in German quality newsmagazine Der Spiegel quotes an unnamed “Israeli intelligence source” as saying that Rezaei’s July 23 assassination “was the first serious action taken by the new Mossad chief Tamir Pardo”. Read more of this post

News you may have missed #556

David Irvine

David Irvine

►►Australian computer networks spied ‘massively’. Cyberespionage is being used against Australia on a “massive scale” and some foreign spies are using Australian government networks to penetrate the cyberdefenses of allies such as the United States. This according to the Director of the Australian Security Intelligence Organisation (ASIO) David Irvine. Speaking at a business forum, Mr. Irvine said that “it seems the more rocks we turn over in cyberspace, the more [cyberespionage] we find”.
►►US to give Iraq wiretapping system. The US will give the government of Iraq a wiretapping system that will allow it to monitor and store voice calls, data transmissions and text messages from up to 5,000 devices simultaneously. The system is to be installed with the acquiescence of the three current cellular communications providers in Iraq, according to the US Air Force. A similar system was set up by a US contractor three years ago in Afghanistan.
►►Judge says NSA whistleblower faced ‘tyrannical’ US government. This blog has kept an eye on the case of Thoma Drake, a former US National Security Agency employee  who was taken to court for leaking secrets about the agency to a journalist. But the judge in his case, Richard D. Bennett, refused Read more of this post

Former US spy chief questions ‘war on terrorism’ logic, tactics

Dennis Blair

Dennis Blair

By JOSEPH FITSANAKIS | intelNews.org |
America’s former top intelligence official has publicly questioned the logic and methods informing Washington’s “war on terrorism”, and called for the CIA unmanned drone assassination program in Afghanistan and Pakistan to be grounded. Dennis C. Blair, who was Director of National Intelligence (DNI) until May of 2010, was speaking last week at the Aspen Security Forum in Colorado.  In an hour-long forum conversation with television journalist Leslie Stahl, Blair —a retired Admiral— explained that, in his view, America’s “war on terrorism” is misconceived, strategically counterproductive and ludicrously expensive. Speaking on the CIA’s unmanned drone war in Afghanistan and Pakistan, Admiral Blair agreed that the drone attacks have killed some “mid-level” Taliban or al-Qaeda operatives, but said that the strikes have had a negligible overall impact on American security. As a terrorist outfit, al-Qaeda has shown that it is able to easily “sustain its level of resistance to an air-only campaign”, said Blair. Additionally, the former DNI said that unilateral air strikes are legally questionable and have proven strategically damaging, by “alienating the countries concerned” and dominating Washington’s relations with key nations such as Pakistan, Yemen and Somalia (click here to read intelNews’ criticism of American raids in Somalia). In doing so, the drone attacks tend to “threaten the prospects of long-term reform” in those countries, said the retired Admiral. Earlier in the conversation, Blair had questioned the economic basis of America’s “war on terrorism”, telling his audience that the US intelligence and security establishment currently spends around $20 million a year for each member of al-Qaeda scattered around the world. Read more of this post

News you may have missed #555

IARPA logo

IARPA logo

►►US spy agencies want to use photos to trace people. In announcement for its new Finder research program, IARPA, the US intelligence community’s research arm, says that it is looking for ways to “geolocate images” by extracting data and metadata from the images themselves and using this to make guesses about where they were taken.
►►Norway to reassess domestic intelligence gathering. Norway’s main domestic intelligence agency, the Police Security Service (PST), is facing questions over whether its focus on Islamic radicalism caused it to miss a rising threat from far-right extremists, such as Anders Behring Breivik, who killed 77 people on July 22. But PST Director Janne Kristiansen says it would have been hard to stop Breivik even if more attention had been focused on far-right groups.
►►CIA pulls second station chief from Pakistan. For the second time in seven months, the CIA is replacing its station chief in the Pakistani capital of Islamabad, citing “medical reasons” for the move. Last time this happened, Read more of this post

Computer hacking reveals Italian spying on Russia, India

CNAIPIC emblem

CNAIPIC emblem

By JOSEPH FITSANAKIS | intelNews.org |
Documents posted online by an anonymous hacker group point to extensive Italian espionage against Russian and Indian defense and energy deals. The hacked documents contain raw data and intelligence reports authored by officials in Italy’s National Anti-Crime Computer Center for Critical Infrastructure Protection (CNAIPIC), an electronic security outfit operating under the auspices of the Italian National Police. It appears that Italian National Police servers were recently hacked by a group of international hackers calling itself Anonymous Hackers for Antisec Operation. On July 26, the group published over eight gigabytes of hacked CNAIPIC documents on various subjects, ranging from reports on Egypt’s Ministry of Transportation to information about the Vietnam Oil and Gas Group (PetroVietnam). Among the documents are reports that seem to point to systematic intelligence-gathering operations by CNAIPIC against Russia’s government-owned energy and defense industries. Some of the information contained in the reports appears to have been stolen from the embassy of India in Moscow, probably through cyberespionage. The stolen information would suggest that CNAIPIC has had access since late 2009 to confidential correspondence between the Indian embassy and a number of Russian military aircraft industries, including Aviazapchast, Ilyushin Aircraft, and NPO Saturn. Read more of this post

News you may have missed #554

Bat Khurts

Bat Khurts

►►UK and US tried to delay Pakistan nuclear weapons program. We have written before about attempts by the CIA to delay or stop Pakistan’s nuclear program. Now newly declassified documents show that the United States and Great Britain undertook a coordinated secret diplomatic campaign between 1978 and 1981 to prevent Pakistan’s attempted covert purchasing of “gray area” technology for its nuclear weapons program.
►►FBI monitoring new phone technologies. According to an internal FBI document, obtained by the Federation of American Scientists through a FOIA request, the FBI continuously monitors the surveillance challenges posed by new mobile phone technologies. The document highlights the Bureau’s concerns that that 4G will require agencies to “deal with significantly higher data rates than in current wireless network intercepts”.
►►Mongolian ex-spy chief to be extradited to Germany. Britain has decided to extradite Bat Khurts, former director of the General Intelligence Agency of Mongolia, to Germany. Read more of this post

News you may have missed #553 (Canada edition)

Northrop Frye

Northrop Frye

►►Analysis: Are Chinese spies getting an easy ride in Canada? Carl Meyer, of Embassy magazine, asks why Canada’s counterintelligence agencies are unwilling or unable to bring Chinese spies to court in recent years. Readers of this blog may recall controversial comments made last year by the director of CSIS, Richard Fadden, who claimed that some Canadian politicians work for foreign powers.
►►Canadian agency ‘illegally spying on Canadians’. Canada’s ultra-secret Communications Security Establishment, which engages in electronic communications interception, is prohibited from spying on Canadian citizens. But a new Canadian government report appears to instruct it to engage in mining ‘metadata’ from digital communications of Canadians. Readers of this blog may remember that, in 2009, a court permitted for the first time the CSE and the Canadian Security Intelligence Service to eavesdrop on Canadian nationals traveling overseas.
►►RCMP spied on Canadian academic Northrop Frye. Speaking on spying on Canadians… Read more of this post

News you may have missed #552

Nikolai Kuznetsov

Nikolai Kuznetsov

►►This just in: South Korea arrests five for spying for North. South Korean prosecutors have arrested five people on charges of “setting up an underground communist group on the instructions of an espionage unit of North Korea’s ruling Workers Party”, a report from South Korea’s Yonhap news agency said on Friday. According to the report, South Korean authorities are “investigating about 20 other people including union activists and opposition party members”. We will publish more information as it comes in.
►►Some US intel analysts believe al-Qaeda near collapse. Citing classified intelligence reports and closed-door Capitol Hill briefings from the CIA, the National Counterterrorism Center and other agencies, some US officials are telling The Washington Post that bin Laden’s death has “pushed al-Qaida to the brink of collapse”. One official told the paper that al-Qaeda is now “largely incapable” of mass-casualty attacks against the United States. Could the ‘Leon Panetta Legacy Committee’ be the source of this report?
►►Russia and Ukraine commemorate legendary Soviet spy. Russia and Ukraine are celebrating 100 years from the birth of legendary Soviet spy Nikolai Kuznetsov. Kuznetsov, who operated in Nazi-occupied Ukraine, uncovered Read more of this post