Lippo Group – From Betrayal – How the Clinton Administration Undermined
American Security, by Bill Gertz:
Who was the biggest contributor to the Clinton-Gore ticket in 1992? Not a
corporation, not a labor union, not a Hollywood mogul, but Indonesian businessman
James Riady and his wife, who gave $450,000 to elect Bill Clinton. . . .
During the final weeks of the campaign, the Riady family, its associates, and
executives at Riady companies gave an additional $600,000 to the DNC and
Democratic state parties….
The patriarch of the business empire is Mochtar Riady . . .Of his three sons,
James was a permanent resident of the United States, Stephen was educated
here, and Andrew worked in California . . . All, however, have fled the United
Only John Huang, the family’s former U.S. operative, remains in the United States
— and he has pleaded the Fifth Amendmennt…
The Riady empire, centered on itsLippo Group, is, as one financial analysis in
Jakarta describes it, “a carefully balanced house of cards.”…
In 1977, Mochtar Riady tried to buy the National Bank of Georgia. He failed, but
one of the brokers in the deal was Jackson Stephens of Little Rock, Arkansas, who
tried to interest a disappointed Riady in joining Stephens, Inc., one of America’s
largest private investment banks outside of Wall Street. . . . Mochtar Riady
agreed, and his son James, then aged twenty, arrived to intern at Stephens, Inc….
Through Jackson Stephens, James Riady met a rising politician, Arkansas
Attorney General Bill Clinton. Thus began a friendship that has lasted twenty
years, and has spread a web of intrigue, financial corruption, and foreign
influence into American government….
* * *
From The Progressive Review – Clinton Scandal Clips Part 15 –
WALL STREET JOURNAL: … The FBI questioned Huang extensively about
whether Lippo fronted in the U.S. for Chinese government interests because of
business ties between the company and government-controlled China ResourcesCorp.…
In 1985, the FBI interrogation record says, China Resources allegedly paid for a
Lippo-organized trip to Asia by then-Arkansas Governor Clinton….
The FBI says … that China Resources was controlled by the Ministry of Foreign
Trade and Economic Cooperation, the primary lobbying agent for most-favored-nation trade status for China.
Lockheed Martin – From The Laundrymen, by Jeffrey Robinson:
Crooks aren’t the only ones who launder money.
Corporations do it to avoid or evade taxes, to defraud their shareholders, to get
around currency control regulations, and to bribe prospective clients. . . .
The Lockheed Corporation laundered $25.5 million through a Liechtenstein trust
to pay off Italian politicians.
Lockheed also subscribed to the laundry facilities of Deak-Perera, then an
important American foreign exchange dealer, to bribe Japanese politicians.
As Lockheed’s behest, Deak put $8.3 million into the washing cycle, then brought
it out in 15 untraceable payments to a Spanish priest in Hong Kong, who hand-carried the cash in flight bags and orange crates to Lockheed’s customers in
* * *
From Year of the Rat – How Bill Clinton Compromised U.S. Security for
Chinese Cash, by Edward Timperlake and William C. Triplett II:
THE LOCKHEED-MARTIN AFFAIR
On May 30, 1998, a Chinese Long March rocket sent up a Lockheed-Martin
telecommunications satellite called “ChinaStar1.”….
Over the course of the past eight years there has been a steady trend in satellite
operators from Australians, to legitimate commercial interests in Hong Kong, to
COSTIND in civilian clothes in Hong Kong, to something mysterious in Singapore,
and now to a Beijing-registered, PRC government-owned firm, China Orient
Satellite Telecommunications (COSAT). According to published reports, COSAT is
a joint venture between the Chlinese Ministry of Posts and Telecommunications,
Polytechnologies is the problem. It is owned by the General Staff Department
of the PLA and headed by Deng Xiaoping’s son-in-law.
POLY IS CHINA’S LEADING ARMS SMUGGLER AND THE CONDUIT FOR
RUSSIAN ARMS TRANSFERS TO CHINA.
POLY WAS ALSO ONE OF TWO CHINESE ARMS SMUGGLERS CAUGHT BY
U.S. CUSTOMS AGENTS TRYING TO SELL FULLY AUTOMATIC MACHINE
GUNS TO U.S. DRUG GANGS IN 1996.
* * *
With regard to ChinaStar, Poly is alleged to have arranged with Lockheed to
ensure that the satellite downlinks “passed through missile launching sites” in
The operating assumption is that this is going to be primarily a command and
control satellite for the PLA and for PLA business interests….
If it was known to a foreign wire service as early as 1995 that COSAT was a
front for the notorious Polytechnologies, why did the Clinton administration
grant approval for the deal?
* * *
From If the Gods Had Meant Us to Vote They Would Have Given Us
Candidates, by Jim Hightower:
Far from opposing the mating dances of corporate Goliaths, Washington actively
In 1995, for example, the Pentagon was so pleased that the giant weapons makerLockheed was going to take over competitor Martin Marietta that it ponied up
nearly a billion of our tax dollars to pay for merger costs, including shelling out
some $3 million in a bonus to Lockheed CEO Norman Augustine and $31 millionmore in bonuses to other top executives who engineered the merger– a
combination that cost nineteen thousand workers their jobs.
The government payouts to Augustine and the other executives were orchestrated
by then-Secretary of Defense William Perry and his deputy John Deutch— both
of whom had previously been highly compensated consultants to Martin Marietta
and had a close personal relationship with Augustine.
(An interesting footnote to this government-induced merger is that one fellow who
lost his job as a result of it went away with a big grin on his face: Lamar
Alexander–the hapless candidate for the Republican presidential nomination! He
had been a well-paid, ex-board member. The merged company wanted a smaller
board, so it paid Lamar $236,000 for agreeing not to serve on the new
Lockheed Martin board.)
* * *
In June, 2000, it was announced that Secretary of Commerce William Daley
was resigning his post to become AL GORE’S campaign manager. (Like being
Gore’s campaign manager is more important to the country’s welfare than
completing his term as Secretary of Commerce???)
A few days later, PRESIDENT CLINTONannounced that NORMAN MINETAwas his choice for the new Secretary of Commerce.
Loral Space Systems – FromYear of the Rat –How Bill Clinton
Compromised U.S. Security for Chinese Cash, by Edward Timperlake and William
C. Triplett II:
In the early morning hours of February 15, 1996, a Chinese Long March 3B space
launch rose a short distance off the launch pad and then fell over onto a local
village with an incredible explosion. According to an Israeli engineer who witnessed
the disaster, “thousands of corpses were loaded in dozens of trucks and buried
in mass graves.”…
Loral Space Systems, the builder of the February 15 satellite, had a problem. So
did the Chinese launchers, who had such a poor reputation for reliability that they
were uninsurable. Without insurance, Loral and the other U.S. firms could not use
Chinese rockets to launch their satellites. Something had to be done to make the
Chinese rockets more reliable if the satellite makers were going to save a
dollar or two on launch fees. . . .
On April 14, 1998, the New York Times ran a major story by investigative reporter,
Jeff Gerth — “Grand Jury Probes Two Firms’ Ties to China Missile Program” —
that linked Loral and its partner, Hughes Electronics, to China….
Under pressure from Congress, the National Security Council was forced to
release a series of documents it would have preferred to keep secret. The
substance of the allegations is as follows:
>> Without obtaining a proper license from the State Department, engineers
for Loral and Hughes helped the Chinese make their rockets reliable. Not only did
the engineers solve the immediate cause of the February 15 accident, they also
recommended improvements to other areas of weakness in the Long March.
>> In May 1966, after the federal government found out about this, the U.S. Air
Force did a classified study of the event and concluded that “United States
national security has been harmed.”
>> After a number of delays, the Justice Department began a federal grand jury
>> In February 1998 the Justice Department was closing in on Loral and Hugheswhen President Clintonapproved a waiver allowing the free transfer to China of
the same technology that Loral and Hughes were accused of transferring under
the table. This severely undercut Justice’s case.
National Security Council documents show that, although at the time of the
February waiver National Security Adviser Sandy Berger knew Loral’s conduct
was “criminal, likely to be indicted, knowing and unlawful,” he did not recommend
against what amounted to a get-out-of-jail-free card for Loral.
>> Adding to the overall concern, the encoded portion of the Loral satellite was
missing when the Chinese returned the debris from the February 1996
explosion. NBC has shown pictures of PLA soldiers picking through the crash site
while U.S. officials were kept away for five hours.
Finally, after the Loral-Hughes fixes, the Chinese launch program now has a
perfect record for reliability.
Then there is the question of the money. Loral Chairman Bernard Schwartz claims
that it is only a “coincidence” that he, his family, and his employees were large
donors to the Clinton-Gore cause and subsequently received favorable treatment
from the administration …
After Clinton and Gore were elected, they had something Schwartz wanted. In
the summer of 1994 he wrote a check to the Democrats for$100,000.
Two months later he was on Ron Brown’s trade delegation to China. Brownarranged meetings between Schwartz and Chinese officials.
In the 1993-1994 cycle, Schwartz contributed a total of $112,000 to the
Then, in the 1995-1996 cycle, three things came together: (1) Clinton desperately
needed money for Dick Morris’s TVadvertising blitz, (2) Schwartz needed
antitrust approval from the Clinton administration’s Justice Department for his
spinoff of some parts of Loral to aerospace giant Lockheed, and (3) Schwartz
desperately needed Clinton support (and later, cover) for his China satellite
He wanted granting-authority for the export licenses he needed transferred to
the user-friendly Commerce Department. He also wanted regular waivers of the
Tiananmen sanctions on satellites, and, to avoid the proliferation sanctions, he had
to persuade the Clinton administration to ignore Chinese missile sales to Iran….
Everyone got what he wanted.
Bernie wrote a lot of checks. His personal contributions rose to an amazing
$586,000in the Clinton-Gore reelection cycle of 1995-1996. As of May 1998
Schwartz had contributed $421,000to the Democrats’ 1997-1998 campaign
cycle. That makes him the number one contributor to the Democrats in both the
1995-1996 and 1997-1998 campaign cycles. Between 1992 and 1998 he has given
the Democratic Party $1,131,000. His family, his companies, and his executives
have given another $881,565 to Democratic candidates. Finally, he has
contributed $217,000to the Democratic Leadership Conference, a Clinton-associated think tank.
Grand total: More than$2.2 millionto the Clinton-Gore ticket.
Bernie got his antitrust exemption for Loral.
On March 12, 1996, Clinton overturned an October 1995 decision by Secretary of
State Warren Christopher and transferred authority for satellite export licenses
to the Commerce Department.
Tiananmen waivers became routine for Clinton….
America’s first line of defense against missile proliferation was dismantled. Loralwould have gotten off the hook with the February 1998 Clinton waiver if somebody
hadn’t tipped off Jeff Gerth of the New York Times….
Equally important, Clinton andGorewere reelected.…
* * *
From: Betrayal –– How the Clinton Administration Undermined American
Security: . . .
President Clinton has turned upside down President Dwight D. Eisenhower’s
warning about a too-powerful military-industrial complex. Using the end of the Cold
War as cover, and to please corporate bigshots targeted for campaign
contributions, Clinton has loosened export controls on several high-technology
sectors, including U.S. high-speed computer manufacturers, software makers, and
communications satellite makers who want to sell to China. . . .
Two such companies are Loral Space & Communications, Ltd.and Hughes
Electronics, both the subject of a federal investigation to determine how they
passed embargoed militarily-useful rocket technology to Beijing without
At the time of the weapons technology transfers, Loral was headed by Bernard
Schwartz, who has given hundreds of thousands of dollars to Clinton and the
Shortly after the “decontrols” took place, American supercomputers began
showing up in both Chinese and Russian nuclear weapons development centers –– helping to build nuclear arms that might one day be turned against the
United States…* * *
From The Buying of the President 2000, by Charles Lewis and The Center for
t’s one thing to macromanage the national political party from the White House in
unprecedented fashion, and unabashedly sell access to the White House, Air Force
One, Camp David, and so forth, to the party’s biggest patrons….
But what if a President’s naked malleability, his willingness to bend policies to
money, actually violates and jeopardizes our national security? What if a U.S.
company headed by the Democratic Party’s most generous individual patron in the
1990s violates federal laws involving national security? And after this happens,
what if the company continues to get government contracts and even an export
waiver signed by the President himself, worth millions of dollars– over the
objections of the Justice Department prosecutors?
All of this did in fact occur, against a backdrop of espionage and intrigue, of
dozens of illegal campaign contributions from foreign nationals with no real
assets, of nuclear secrets systematically stolen from our most advanced
laboratories over many years, and all of it led back to one country – China….
In 1992, after President Bush had approved a waiver, and an American satellite
was subsequently launched on a Chinese rocket, several senators, including Al Gore,
wrote to the Bush Administration to complain that China was using the launchings
to “gain foreign aerospace technology that would be otherwise unavailable to it.” …
Unfortunately, far more than Chinese leaders were coddled by the Clinton-Gore
Administration and the Democratic Party, under vastly more serious
circumstances. . . . In its first four years, the Clinton Administration awarded ten
waivers to China, one more than Bush. But the number of waivers in not really the
Almost as soon asClinton and Gore took office in January 1993, the Chinese and
U.S. corporations doing business in China began lobbying intensely to “educate” the
new administration to look beyond the country’s poor human-rights record. In the
1992 election, dozens of U.S. companies active in China had given millions of dollars
to the Democratic Party.
By May 1993 the President reversed his campaign posture and awarded China
most-favored-nation trade status….
One of the most aggressive of those companies was Loral Space and
Communications Ltd., which manufactures satellites and is headed by Bernard
Schwartz. Loral and Schwartz have contributed at least $1.9 million to the
Democratic Party since 1991…
In 1994, Schwartz was awarded one of the coveted seats on the late Commerce
SecretaryRonald Brown’s trade mission to China. Brown helped Loral seal a
multimillion-dollar mobile telephone satellite network deal in Beijing….
During the 1990s the Chinese government courted companies like Loral to launch
its satellites. Both Chinese and American companies wanted the U.S. government to
loosen its export licensing rules regarding satellites. Specifically, they wanted
satellite export licensing decisions to be made by the Commerce Department,
not the more restrictive State Department.
Billions of dollars were at stake — an estimated 14 commercial communications
satellite launchings annually, each costing several hundred million dollars.
C. Michael Armstrong, then the CEO of Hughes Electronics Corporation … met
with then-Secretary of State Warren Christopher, and requested that satellites
be regarded as commercial, as opposed to military, goods. Christopher agreed to
conduct a detailed interagency review with officials from the Defense
Department, the National Security Agency, the CIA, and other agencies.
Soon, however, a majority of the interagency group, including Christopher, had
concerns about the security ramifications; disagreeing with Loral, Hughes, and the
aerospace industry generally. They thus recommended that satellites continue to
be categorized as military on the State Department’s munitions list.
Commerce Secretary Brown, a former chairman of the Democratic National
Committee and a prolific fund-raiser, appealed the decision to the President.
Clinton sided with Loral and the industry, in a decision that was publicly announced
in March 1996.
The Commerce Department thus was entrusted with the national security
issues surrounding satellite technology.
Worse, weeks earlier a Chinese rocket carrying a $200 million Loral satellite had
crashed seconds after liftoff in southern China, killing and injuring civilians on the
ground. The China Great Wall Industry Corporation– the Chinese government’s
missile, rocket, and launch provider– asked Loral to help pinpoint the cause of the
In the collaboration that ensued, engineers from Loral and other companies
identified potential causes that the Chinese engineers had overlooked. As a
result, China may be able to improve the accuracy of its intercontinental
ballistic missiles (ICBMs), 12 of which are aimed at U.S. cities (including
Honolulu and Pearl Harbor?)
The Pentagon and the CIA found that both Loral and Hughes had “greatly
damaged U.S. national security.” The State Department warned White House
aides that Loral had engaged in “unlawful” and “criminal” activity. . . . The
Justice Department began a formal criminal investigation into the matter.
Amid all this, in the chutzpah department, Loral had another satellite deal pending
with the Chinese, and once again wanted a waiver from the President. “Sandy”
Berger, Clinton’s national security adviser, and other administration officials
recommended that Loral be given the green light, although they acknowledged in a
memo to Clinton that such a decision might be perceived as letting Loral “off the
hook on criminal charges for its unauthorized assistance to China’s ballistic missile
program.” Meanwhile, Justice Department prosecutors warned that approving the
waiver request would seriously jeopardize the Loral investigation.
On Feb 18, 1998, the President approved the deal and signed the waiver….
The wheeling and dealing were not occurring in a vacuum. Months earlier, in
July 1997, the President had been briefed that China, through years of spying
and outright theft, had obtained some of the most sensitive U.S. military
technology, including nuclear weapons design.
And the Democratic Party was deeply embroiled in scandal over illegal
contributions from China, part of a systematic campaign to influence the 1996
U.S. presidential election. The Senate Governmental Affairs Committee had
recently found “strong circumstantial evidence that the Government of the
People’s Republic of China was involved in funding, directing, or encouraging
some of these foreign contributions.”
Clinton had been criticized for months for repeatedly stonewalling requests from
the Senate committee and the news media for information, and more than 45
witnesses had fled the country or invoked the Fifth Amendment. The President
and his administration, the Senate committee found, “took no action whatsoever to
persuade such individuals to cooperate.”
More foreboding, 80 percent of the illegal foreign contributions had been raised
by two longtime Clinton friends, John Huang and Charlie Trie. Huang took the
Fifth and Trie fled to China. (Huang later decided to cooperate with the Justice
Dept and pleaded guilty to one felony charge. Trie voluntarily surrendered to U.S.
authorities in Feb 1998 and pleaded guilty to violating federal campaign finance
laws the following May.)
At the very least, it strains credulity that any President, including Clinton, would
have approved the multimillion-dollar waivers to this company under all these
troubling circumstances in no money had passed into the party coffers. In fact,
well over $1 million was lavished upon the Democratic Party….
In 1999, a select House committee chaired by Representative Christopher Cox, a
Republican from California, produced an 872-page report that was unanimously
approved by its five Republican and four Democratic members…
The committee found that China’s “acquisition efforts [of American military
technology] over the past two decades” had been a “serious, sustained”
The committee specifically criticized Loral and Hughes for passing “illegally
transmitted” information to the Chinese that was “useful for the design and
improved reliability” of future Chinese ballistic missiles.
The report said that the Clinton Administration’s policy of permitting businesses
to police their own technology sales abroad has not worked, because the national
security interest “simply may not be related to improving a corporation’s ‘bottom
But it sure worked well for the companies, China, and the Democratic Party….
# # #
NOW, IF ALL THIS IS NOT ENOUGH TO RUFFLE YOUR FEATHERS — DID
YOU KNOW THAT FRANCE’S
AXA FINANCIAL COMPANY
IS THE #1INSTITUTIONAL INVESTOR IN
LORAL SPACE AND COMMUNICATIONS ?
AND THAT, AFTER MORE THAT A HALF-CENTURY,
INVESTIGATIONS HAVE REVEALED THAT
MAY HAVE OBTAINED MUCH OF ITS WEALTH AT
THE EXPENSE OFNAZI HOLOCAUST VICTIMS!
AND, FINALLY, DID YOU KNOW THAT AXA FINANCIAL
IS ALSO THE #1 INVESTOR IN
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~ ~ ~
SINOPEC – From American City Business Journals, Inc. – March 27, 2001:
Chinese corruption probe targets
DALLAS — Six months after China-based oil company Sinopec made a $3.5 billion
offering to foreign investors, a top executive has been suspended and is under
investigation on corruption allegations related to “economic problems,” The Wall
Street Journal reported Tuesday.
Among the key investors in the company, also known as China Petroleum &
Chemical Corp., is Irving-based ExxonMobil Corp., BP Amoco P.L.C. and Royal
Dutch Shell Group.
The Journal said their combined investment in the IPO of the Chinese oil venture
exceeded $1.8 billion.
The Journal quoted a spokesman with Sinopec as saying 59-year-old Han Qingzhi,
the general manager of wholly owned subsidiary Sinopec Sales Co., was relieved of
his duties more than a week ago.
The company official did not elaborate on the focus of the investigation, which
reportedly has drawn the attention of Chinese government graft inspectors.
The top official ofHubei Xinghua Co., another Sinopec subsidiary, was given a
suspended death sentence last year for embezzling $600,000 from the oil
company,The Journal reported.
– Copyright 2001 American City Business Journals Inc.
During her term as Attorney General, Janet Reno steadfastly refused to appoint a
special counsel to look into the 1996 Clinton/Gore fund-raising campaign because
“in her opinion” she saw no credible evidence of any intentional wrongdoing. Gore
was merely UNAWARE that the Buddhist temple “OUTREACH EVENT” was a
Norman Mineta was confirmed as Clinton’s Secretary of Commerce, and China
received its ‘most-favored-nation’ trade status.
At the beginning of his term as President of the United States of America in 2001,
George W. Bush, Jr. (R), in a highly unusual move, selected Norman Mineta(D) as
his Secretary of Transportation.
History might remember Mr. Mineta as being in charge of our nation’s
transportation safety on September 11, 2001, when terrorists hi-jacked four
airline passenger jets and delivered the most devastating attacks on American
soil ever, crippling our nation’s transportation systems and our way of life to
an extent never before imagined.
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