Vice President George H. W. Bush’s Deep State

Family of Secrets
by Russ Baker

“At the time, the CIA was in the process of creating plausible deniability as it began what would be a series of efforts to topple “unfriendly” regimes around the world, including those in Guatemala and Iran. Since the CIA’s charter severely constrained the domestic side of covert operations, agents created a host of entities to serve as middlemen to support rebels in countries targeted for regime change. During the early days of Dresser in Dallas — and of Zapata Petroleum — Dulles was just beginning to experiment with “off the books” operations. Eventually, by the seventies and eighties, when Poppy Bush ran the CIA and coordinated covert operations as vice president, hundreds, perhaps thousands, of such entities had been created . . .

The ‘deep state’ in the Reagan administration
by Phil Ebersole

“Bush’s team sent out special Marine and Delta Force teams to kill drug lords, Soviet agents and terrorists, based names provided by the CIA from the files of the Drug Enforcement Administration, Justice Department and National Security Agency—just as the Joint Special Operations Command does today.

President Reagan knew nothing of this. Neither did CIA Director William Casey, who the team regarded as reckless, uninformed and overly read to talk to the press. The press itself never caught on. The only member of Congress who was told was Rep. Dick Cheney, R-Wyoming.

“One of the team’s efforts was an abortive plot to assassinate Libya’ Muammar Qaddafi. Another was support of the Contra rebels in Nicaragua, which was forbidden by Congress.

This is what is meant by a “deep state”—a decision-making center within government that is hidden from the public, not accountable to the public, but greatly affects the public welfare for good ill.

LRB · Seymour M. Hersh · The Vice President’s Men
by Seymour M. Hersh

“There was another view of Bush: the one held by the military men and civilian professionals who worked for him on national security issues. Unlike the president, he knew what was going on and how to get things done. For them, Reagan was ‘a dimwit’ who didn’t get it, or even try to get it. A former senior official of the Office of Management and Budget described the president to me as ‘lazy, just lazy’. Reagan, the official explained, insisted on being presented with a three-line summary of significant budget decisions, and the OMB concluded that the easiest way to cope was to present him with three figures – one very high, one very low and one in the middle, which Reagan invariably signed off on. I was later told that the process was known inside the White House as the ‘Goldilocks option’. He was also bored by complicated intelligence estimates. Forever courteous and gracious, he would doodle during national security briefings or simply not listen. It would have been natural to turn instead to the director of the CIA, but this was William Casey, a former businessman and Nixon aide who had been controversially appointed by Reagan as the reward for managing his 1980 election campaign. As the intelligence professionals working with the executive saw it, Casey was reckless, uninformed, and said far too much to the press.

Bush was different: he got it. At his direction, a team of military operatives was set up that bypassed the national security establishment – including the CIA – and wasn’t answerable to congressional oversight. It was led by Vice-Admiral Arthur Moreau, a brilliant navy officer who would be known to those on the inside as ‘M’. He had most recently been involved, as deputy chief of naval operations, in developing the US’s new maritime strategy, aimed at restricting Soviet freedom of movement. In May 1983 he was promoted to assistant to the chairman of the Joint Chiefs of Staff, General John Vessey, and over the next couple of years he oversaw a secret team – operating in part out of the office of Daniel Murphy, Bush’s chief of staff – which quietly conducted at least 35 covert operations against drug trafficking, terrorism and, most important, perceived Soviet expansionism in more than twenty countries, including Peru, Honduras, Guatemala, Brazil, Argentina, Libya, Senegal, Chad, Algeria, Tunisia, the Congo, Kenya, Egypt, Yemen, Syria, Hungary, East Germany, Czechoslovakia, Bulgaria, Romania, Georgia and Vietnam.

“Moreau’s small, off-the-record team, primarily made up of navy officers, was tasked with foreign operations deemed necessary by the vice president. The group’s link to Bush was indirect. There were two go-betweens, known for their closeness to the vice president and their ability to keep secrets: Murphy, a retired admiral who had served as Bush’s deputy director at the CIA; and, to a lesser extent, Donald Gregg, Bush’s national security adviser and another veteran of CIA covert operations. Moreau’s team mostly worked out of a room near the National Military Command Centre on the ground floor of the Pentagon. They could also unobtrusively man a desk or two, when necessary, in a corner of Murphy’s office, which was near Bush’s, in the Old Executive Office Building next to the White House. […]

We came to realise that the American intelligence community needed the threat from Russia to get their money. Those of us who were running the operations were also amazed that the American press was so incompetent. You could do this kind of stuff all over the world and nobody would ask any questions.’

Congress, and the constitution, were at first no more of an obstacle to Bush and Moreau’s covert operations than the press. The one member of Congress who knew what was going on was Dick Cheney, a close friend and confidant of Bush’s from their days together in the Ford administration. In 1976, in the aftermath of the Church Committee’s inquiry into CIA abuses, standing intelligence committees had been set up in both the Senate and the House, charged with holding the CIA and other intelligence agencies to account. But it was understood by all those involved in the vice president’s secret team that these committees could be bypassed, even though the laws governing covert intelligence activities had been stiffened: there was now a legal requirement that all covert CIA and military intelligence operations had to be made known to the committees through a formal, written document known as a ‘finding’. But there was a big loophole in the legislation, in the view of the vice president’s men. ‘There was no requirement for a finding for merely asking questions,’ the officer said, ‘and so we’d make routine requests for intelligence assessments from the CIA through the Joint Chiefs and the National Security Council. Our basic philosophy was that we were running military’ – not intelligence – ‘operations and therefore did not have to brief Congress. So we could legally operate without a finding.’ He was describing an ingenious procedure for getting around the law: one that would be put into use again after 9/11, when Cheney, by then vice president, triggered the unending war on terror. ‘The issue for Moreau was how do we take advantage of what the CIA has to offer – its people, with their language skills and its networks and assets overseas,’ the officer said. ‘The disadvantage was if we used the CIA in an intelligence context, we had to get a finding. We decided to get around the law by using agency people in what we claimed was a “liaison capacity”.’ The next step was ‘to attach the CIA operators to military units as liaison who were working for Moreau. Casey knew his CIA was being cut out and so he became more active where he could – in Latin America.’ As a precaution, the team prepared written findings when CIA men or information were being made use of – but they were put ‘in a safe’, to be produced only if anyone in Congress found out what was going on.

“Moreau was contemptuous of Casey and ‘thought the CIA was a crazy organisation that had no concern about the consequences of its covert actions’, according to the officer. He remembered Moreau telling his subordinates on the secret staff: ‘I’m accountable to the vice president and you motherfuckers are accountable to me. The agency is not accountable to anybody – not the president, not Congress, not the American people. They will do whatever they want to support their mission, which is defined by them.’ Cutting out the CIA leadership – though using their resources where needed, partly through the good offices of Dan Murphy, who had many connections inside the agency – was key to Moreau’s operations. ‘From the beginning our philosophy was no publicity,’ the officer said. Enlisting the agency formally would involve findings, and relying on ‘the CIA’s knuckle-draggers’ – paramilitary units – ‘who were seen as too dumb and too incompetent. But by using only the military we inadvertently laid the groundwork for what we have now – a Joint Special Operations Command essentially out of civilian control.’

Fascist Tax Foundation

“This deliberate fraud — because that’s what it has to be — is an example of the reasons knowledgeable people don’t trust the Tax Foundation.”
~ Paul Krugman, Stocks, Flows, and Fuzzy Math

On tax issues, a regularly cited source is the Tax Foundation. Someone mentioned it to me recently. I’d heard of it before, but curiosity led me to look into it.

It’s a right-wing think tank. But it is also well respected by many in the mainstream. Its right-wing bias is inseparable from its mainstream bias. It was founded on a predetermined conclusion and has been dedicated ever since to confirm that bias. It has a single purpose, to justify the status quo of wealth and power and to further the agenda of the ruling elite. As such, it presents itself as neutral, for it is well within the mainstream — that is in terms of the dominant centers of corporate influence and political opinion, and indeed it is based in Washington, DC. Only in that sense is it non-partisan, as it sometimes gets described.

According to SourceWatch, the Tax Foundation “is the oldest non-profit tax think tank in the country, founded in 1937”. It has ties to other right-wing organizations, corporate interests, funding sources, and individuals: American Legislative Exchange Council (ALEC), Koch Foundation, Earhart Foundation, PricewaterhouseCooper, Eli Lilly, etc. It’s a part of an ever growing and ever shifting web of special interest, lobbyist, and front groups that have been seeking to shape public opinion and influence politics for about a century now.

As RationalWiki colorfully explains,

The Tax Foundation is a non-partisan wingnut (un)think tank which publishes slanted economic papers about politically charged issues to push a libertarian perspective. The Foundation was founded by and for corporate interests by its own admission,[2] and advocates global warming denialism,[3] tax protester theories about the legality of taxation,[4] and other neoconservative talking points. Many of their reports have been thoroughly debunked by economists,[5][6][7] and even by popular outlets like Forbes.[8]

None of this is surprising. It’s a standard propaganda operation. One interesting thing about it is that it’s so old, having been founded almost 80 years ago. It shows how little has changed over time. You have to give the Tax Foundation credit for being so consistent for so long.

What really caught my attention was the year it was started, 1937. That was slightly less than two decades after the ending of World War I. Also, it was two years before the beginning of World War II and four years before the United States officially entered the war, after the bombing of Pearl Harbor. This interwar period was a time of restructuring and growth, and national interests were given primacy. It was a moment of temporary peace, although also a time of struggle and sacrifice. It was paid for with increasing taxes.

In the years following Franklin D. Roosevelt’s 1933 election to the presidency, the Great Depression waned and a recovery followed. The Great Depression had a major impact worldwide and, besides, many countries were still rebuilding after the catastrophe of World War I. FDR’s New Deal was one response. Another popular response in Europe was fascism. Both included elements of corporatism, in seeking to align private interests with the public good, although FDR’s version was much softer than that of Hitler’s. Much of the wealthy elite complained about FDR’s policies, but many of them also were among the largest beneficiaries. Big ag in California at that time, for example, was dependent on big government infrastructure-building and subsidies provided by the New Deal (Fascism, Corporatism, and Big Ag) — not that this stopped these corporatists from complaining about meager protections given to farm labor.

The criticisms of FDR’s New Deal made by these corporatists clearly wasn’t that it was corporatist. They loved that part of it just fine. If anything, the corporatism was too little and too weak. What many of them wanted was full corporatism of the hard fascist variety, where big biz and big gov worked hand in glove. At least some of those who organized and have been involved with the Tax Foundation were economically and politically connected to fascist organizations and governments (e.g., Alfred P. Sloan). With the 1936 landslide re-election of FDR, these plutocrats realized they needed to get more serious in their influencing policy and public opinion here in the United States. One presumes that is why the Tax Foundation was created the following year in 1937, the year FDR’s second term began.

Outwardly, the Tax Foundation was focused on taxes, both tax laws and the use of tax funds. During WWII, they argued that the US government should lessen its spending at home (i.e., eliminate the welfare state) in order to spend more on fighting the war. After all, wars tend to be profitable for big biz and patriotic fervor helped incite the worst union-busting in US history (FDR himself attacked public unions). Yet, during and after the war, many of the key figures maintained their old ties to fascists, including former Nazis. Related to this, three members of the Bush family across three generations are implicated in this, all of them having been businessmen and politicians, two of them having been presidents, and one of them having been a CIA director. There have been a number of people with connections to both the Bush family and the Tax Foundation.

You’d think the fascist ties to US corporations, the Tax Foundation, the Bush family, and alphabet soup agencies would raise eyebrows in respectable company, but it usually doesn’t. This is business as usual, as it remains US policy to support and promote fascist regimes in regions such as Central and South America. Besides, only conspiracy theorists rant about such things. Not even a ‘liberal’ Democratic politician who cares about his professional career would dare to speak openly about it, at least not in the context of the actual practice of politics, although I’m sure all of this is well known in the circles of power. Books that detail this history of connections sometimes get reviewed in the MSM (e.g., The Brothers: John Foster Dulles, Allen Dulles, and Their Secret World War by Stephen Kinze), as it is fine to discuss it in historical abstraction now that most of the original actors are dead or senile.

Obviously, corporatism and soft fascism are alive and well within the United States economic-political system. It’s seen in the military-industrial complex and the intelligence-police state, the big biz Tax Foundation and the pay-to-play Clinton Foundation. The crony ties among the elite are a complex global network and the deep state has become entrenched over many generations. The person who referenced the Tax Foundation also told me, in another discussion, that fascism is no longer fresh in people’s memories, that it’s no longer a real concern. That may be the case for the type of person that references the Tax Foundation, but for damn sure fascism is fresh in our shared reality, in the world around us, and among those who rule over us. In fact, it’s once again growing in popularity, as recent politics demonstrates here and abroad.

At times like these, we should look carefully at those that seek to influence our society. The world they want to create may not be the world most of us would want to live in.

* * *

Tax Foundation is AFP
by Cody Oliphant, One Wisconsin Now

Tax Foundation’s Dubious Attempt to Debunk Widely Known Truths about Corporate Tax Avoidance Is Smoke and Mirrors
by Steve Wamhoff, Tax Justice Blog

Tax Foundation–up to its usual nonsense
by Dan Crawford, Angry Bear

Intentionally misleading data from Scott Hodge of the Tax Foundation
by Cathy O’Neil, mathbabe

Tax Foundation propaganda revealed, again: Moran
by Thom Moran, NJ.com

Tax Foundation Figures Do Not Represent Typical Households’ Tax Burden
by Chuck Marr, Chloe Cho, Che-Ching Huang, CBPP

The Greek Menace
by Paul Krugman, The New York Times

Tax Foundation and Competitive Environments: more bunk!
by Linda M. Beale, ataxingmatter

“The Disappearing Tax Foundation Blog Post”
by Mark Thoma, Economist’s View

Bernie Sanders Is Right and the Tax Foundation Is Wrong: The U.S. Has Very Low Corporate Income Taxes
Citizens for Tax Justice

American Corporations Tell IRS the Majority of Their Offshore Profits Are in 12 Tax Havens
Citizens for Tax Justice

Tax Foundation State Rankings Continue to Deceive
Citizens for Tax Justice

A few words of warning about The Tax Foundation
by Carroll Quigley