The next few posts consist of an investigation into the Foster death
by New York Post investigative reporter Christopher Ruddy reprinted in
the August 1994 issue of Strategic Investment newsletter.

* * *

Obtain Ruddy's full report

While star investigative reporter Christopher Ruddy's whole report is
too lengthy to be printed here, you can obtain a complete postage paid
copy for $19.95 from Strategic Investment, 10 East Chase Street,
Baltimore, Maryland 21202 or call Melisa at (410)576-0900. For faster
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STRATEGIC INVESTMENT (ISSN 1042-4237), is owned by Strategic
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(ABRIDGED) By Christopher Ruddy

(Editor's note: What follows is a highly abbreviated version of
Christopher Ruddy's Special Report on the Fiske Investigation. As a
reporter for The New York Post, Ruddy authored a series of articles
that began to draw public attention to the short-comings of the
official account of the death of Vincent Foster. Ruddy's articles are
generally credited with prompting calls for a probe by a special
prosecutor. The full, updated version of Ruddy's report analyzes 15
separate areas of cover-up and inconsistency in the Fiske report,
including a long section showing that the Park Police report places
Foster's body in a different location from where he was originally
found by paramedic Sgt. George Gonzalez. Because these long sections
are full of evidence and difficult to abridge, they are not reprinted
here. The full text is available, however, to any SI subscriber. Send
$19.95 to Strategic Investment, 10 E. Chase Street, Baltimore,
Maryland 21202. (410) 576-0900. For faster service, you may receive
the full text of Ruddy's report by fax on a credit card for $29.95.


The cover-up

When Sgt. George Gonzalez, a paramedic, reported for duty at Fairfax
County (Va.) Fire & Rescue Station No. 1, on July 20, 1993, little did
he know that fate would make him privy to one of the biggest cover-ups
in American history. Just hours later on that sweltering evening,
Gonzalez, and as many as 20 other officials, would have intimate
knowledge of the spot where Vincent Foster's body was found in Ft.
Marcy Park--and the subsequent knowledge that the Park Police
participated in a cover-up by changing the location, in their reports,
by several hundred feet.

What Gonzalez and fellow officials know could incriminate many of the
federal officials involved in investigating the death of Foster, then
deputy White House Counsel. There is powerful evidence that these
officials obstructed justice. Revelation of this cover-up would also
seriously impugn the credibility of the U.S. Park Police, whose
forensic and physical evidence constituted a major part of the Special
Prosecutor's report on Foster's death.


The cornerstone of the investigation

Robert Fiske's conclusions that Foster committed suicide rely heavily
on an autopsy performed by the Virginia medical examiner, Dr. James
Beyer. Nearly half of Fiske's almost 200-page report is made up of 91
pages of resumes trumpeting the qualifications of his medical and
pathology team. The actual report on Foster's death is only 58 pages.
Even more incredibly, the one resume that really counts is missing:
that of Beyer himself.

A number of newspapers, including The New York Post, The Washington
Times and several Virginia newspapers, have seriously challenged
Beyer's credentials and abilities. Beyer, 76, has been under fire for
two "suicides" he ruled on. In one case, medical evidence suggested
the deceased had been attacked, and in the other case someone actually
confessed to the murder. That confession came about after the family
of 21-year-old Tim Easley challenged Beyer's findings that the young
man had taken his own life. At his funeral, the family noted and
photographed a cut on Easley's hand that Beyer had not noted on the
autopsy report.

"The cut on the hand is definitely ante mortem [before death], and I
cannot understand how any competent forensic pathologist would miss
it," said Dr. Bonnell, who reviewed the case. Bonnell is chief deputy
medical examiner of San Diego, California. "It is a classic 'defense'
wound suffered while trying to avoid [a] knife attack." Beyer admitted
during an interview with me, that he saw the cut, and that he failed
to note it. He said it was "consistent with a needle mark." (Would,
say, a needle mark on Foster's body have been important enough to
note?) Bonnell also challenged Beyer's assertion that Easley could
have stabbed himself, noting that the trajectory of the knife was
"inconsistent" with a self-inflicted wound.

In the other case--one that has striking parallels to the Foster
matter--Beyer ruled that 21-year old Tommy Burkett's death was
"consistent with suicide." Burkett, like Foster, was found dead of an
apparent gun shot through the mouth. After Burkett's survivors noticed
that Beyer had failed to note a "bloody and disfigured ear" on his
autopsy, they had the young man's body exhumed for a second autopsy,
which was performed by Dr. Erick Mitchell, former chief of pathology
for Syracuse, N.Y. Mitchell found not only trauma to the ear, but
other crucial evidence that Beyer failed to note: a fractured lower
jaw, which indicated that the deceased may have been beaten first.
That second autopsy also revealed that Burkett's lung had not been
dissected, as Beyer claimed in his report.

Beyer, in several interviews with me, emphasized that the U.S. Park
Police ruled the death of Foster a suicide. He did not. His autopsy
report doesn't say that the wound was self-inflicted; rather that the
cause of death is simply stated: "Perforating gun shot wound mouth-
head."

Nevertheless, Beyer's report is the basis for Fiske's independent
pathology report--signed off by four prominent pathologists: "The
post-mortem findings demonstrated in this case are typical and
characteristic of such findings in deaths due to intentional, self-
inflicted intra-oral gunshot wounds."

The pathologists determined certain critical findings based almost
exclusively on Beyer's notations: that there was no sign of struggle
or injury on Foster's body; that the bullet path described by Beyer
was accurate in that it passed through Foster's brain stem and out the
upper-rear of Foster's head, disabling the brain stem and causing
instantaneous death (clinical death followed shortly after) with
cardiovascular activity ceasing immediately; and that toxicology tests
were accurate, and no drugs had incapacitated Foster.

Two critical issues--the legitimacy of the Park Police's original
investigation and the integrity of the autopsy report--seriously
undermine the credibility of the Fiske report on Foster's death.
Despite blatant discrepancies pointing to a cover-up, there has been
no indication that Fiske took any of the normal steps to resolve the
case such as exhuming the body or placing witnesses under oath.


Other problems in Fiske's findings

The Fiske report raises, and either casually dismisses or ignores
other serious questions:

According to the evidence, Foster's head had to have assumed four
distinct positions after his supposed instantaneous death. (The
pathologists believe Foster's heart stopped almost immediately, which
would explain the lack of visible blood on the front of his body.) 1)
There was a blood stain on Foster's right cheek, presumably from
touching his shirt, which the report said was blood-soaked on the
shoulder. 2) The report said the head was tilted to the right because
blood tracks had run from the right side of his mouth and nose. 3) The
report also said because blood had run from the nose to where it was
seen on the temple area above the ear--in the sloping position in
which he was perched on the steep berm-the head would have had to be
tipped slightly backward. 4) Finally, the report notes the Polaroid
photo shows the head to be looking generally "straight-up." Fiske
accepts the premise that Foster's head was touched by what he believes
to be an early observer. Even if this occurred, the evidence of four
different head positions is ignored.

Why, despite the claim that the investigation was thorough, weren't
rudimentary investigative practices followed? Standard police
procedure calls for questioning neighbors, passersby and everyone else
in the vicinity of deaths that are even remotely suspicious.
Apparently, Fiske's staff failed to do this.

Early this summer, The London Telegraph reported that it had canvassed
the many homes abutting and near Ft. Marcy Park. The newspaper
discovered that neither the Park Police nor Fiske's staff had ever
conducted a house-to-house canvass. (The Fiske report notes only that
it interviewed security personnel at the Saudi ambassador's residence,
which is directly across the street from the rear entrance to the
park. The Fiske report refers to the rear entrance as a "pedestrian"
one, but motorists frequently park on the shoulder of the road and
then enter the park.)

Why were key observations by the emergency workers left out of their
Fairfax official reports? In a footnote, Fiske states that both
Fairfax EMS workers Gonzalez and Richard Arthur doubted the suicide
ruling because they believed they saw additional wounds on Foster's
head and neck. Yet no mention was made, in their Fairfax County
reports, of such wounds. Why does a lab report attached to Beyer's
autopsy findings indicate no drugs were found-yet an FBI analysis
found traces of an antidepressant, as well as Valium?

Did the Park Police ever conduct a search for the bullet? Tab "55" of
the Park Police indicates a search was conducted for the bullet and
none was found-yet, 9 months later when an FBI team searched the area
near the second cannon where the police claim the body was discovered,
12 contemporary bullets and 58 metal Civil War artifacts were found.
In March, 1994, Park Police told Congressman Robert Dornan that it
conducted a thorough sweep of the are with sophisticated metal
detectors. Why was the FBI able to find so much metal in an area the
Park Police said they had swept?

Why did Fiske's staff accept the allegation that a note allegedly
written by Foster was found in a briefcase in his office--when the
Park Police themselves, as reported in The New York Times, claimed
they searched his briefcase and found no such note, seriously
challenging the White House account.

Why did Foster checkout a White House beeper if he did not plan on
returning? Who tried to contact him? The Washington Post reported that
it is not standard practice to carry a White House beeper, yet
Foster's was found at Ft. Marcy. The Fiske report states that the
beeper was found on Foster's person, but an official at Ft. Marcy that
night had told me the beeper was on the passenger car seat. The Fiske
report states that the beeper was found in the off position. Yet a
statement by Major Robert Hines, spokesman for the Park Police,
directly contradicts the Fiske report.

"He [Foster] hadn't been answering it [his beeper]," Major Robert
Hines told media critic Reed Irvine in a taped interview on March 9.
Hines also admitted that the White House "had been on that day [he
died]" trying to contact Foster. Curiously, the beeper is not listed
on the official list of evidence of items handed over by the Park
Police to Fiske's FBI staff.

How did Foster's glasses "bounce" 13 feet? The police and Fiske say
Foster's eyeglasses were found 13 feet below Foster's body on the
berm. Because gunpowder was found on Foster's glasses, the Fiske
report concludes that Foster's eyeglasses "were dislodged [from
Foster's head or shirt pocket] by the sudden backward movement of
Foster's head when the gun was fired, after which the glasses bounced
down the hill" -all of this happened, mind you, while Foster was in a
sitting position. A visit to the berm will show that it would have
extremely difficult for the glasses to bounce 13 feet through the
dense foliage.

* * *

The explanations in the Fiske report still leave the public with a
high number of unusual occurrences, or a "preponderance of
inconsistencies," as Gene Wheaton, former Army Criminal Investigations
Division agent calls them. Among them: the gun still in Foster's hand;
a gun still not positively identified by his family; a gun with only
two bullets (no matching ammunition was found in Foster's home or
anywhere among his effects); the lack of visible blood and the
unusual, immediate cessation of the heart; the neat position of
Foster's body; the lack of powder burns in Foster's mouth; no broken
teeth despite the barrel having been placed deep into his mouth; the
fact that Foster, a devoted family man, made no arrangements for his
family, or even said a good-bye; the fact that no one heard a shot;
the fact that Foster was found in a park he had never visited before;
and the fact that no soil was found on his clothes or shoes.

* * *

The Dog That Didn't Bark - James Davidson, Strategic Investment, Aug.
17,1994.

"Science is not simply receiving what one is told, but the
investigation of causes." - Albertus Magnus, c.1200-1280

The death of Vincent Foster ought not to have become a shadow hanging
over markets. Unfortunately, it has. Even if you haven't a smidgen of
morbid curiosity about how Foster came to lose his life, you cannot
afford to be indifferent to the report issued by Special Prosecutor
Robert B. Fiske, Jr. and the fallout it could have for your
investments. The reason is simple. Questions over Foster's death will
not go away. Not because Jerry Falwell or conservative talk show hosts
spread groundless rumors or ask insensitive questions. And even less
because remorseless Enemies of Bill in Congress refuse to let the dead
rest in peace.

If there is a culprit keeping the Foster story alive, it is someone
like Albertus Magnus, the philosopher who started teaching Western
civilization to think in terms of scientific explanation 750 years
ago. Albertus championed understanding of cause and effect. He had
little patience with illogic. Before Albertus, even Popes had issued
official calendars marred by gross errors of arithmetic. Albertus
believed that not even God Almighty could make two and two equal five.
What was true of God in the Middle Ages is true of Robert B. Fiske,
Jr. in 1994. Little wonder he has been removed as Special Prosecutor
by a 3-judge panel. His report on Foster's death does not add up. Even
if heaven and earth depended on it being accepted as gospel, it won't
be.


"See no evil, hear no evil"

To see why, read the analysis in this issue. If you are still
skeptical, get a copy of Fiske's report and compare what he says with
the facts. The inescapable conclusion is that Fiske begged the
questions he was meant to answer. His investigation was no
investigation at all, merely a restatement of a foregone conclusion. A
cover-up.

The little light that Fiske does shed on what may have happened to
Foster escaped incidentally and inadvertently. Publication of his
report led to release of previously secret evidence that further
reinforces suspicions that Foster met with foul play. As this seeps
out you can expect the U.S. dollar, bond and equity markets to suffer
negative effects.


"Simply receiving what one is told"

This is not yet understood because the news media in the United States
have so far uncritically accepted Fiske's findings at face value. Why?
A number of factors conspire to make for at least a temporary silence.
Not the least of these is laziness. It is a job of work to analyze a
long report like Fiske's, notice the contradictions and lapses, and
run various leads to ground. Few journalists have the stomach for it.
Many are afraid to raise questions with the implications the Foster
story entails. They are reluctant to challenge authority, or don't
want to appear to be in the company of "extremists" who have been most
vocal in alleging that Foster was murdered. Still others are afraid
personally. Or fear that if they raise questions, they or their
publications will be subject to tax audits or regulatory retribution.

Apart from that, there are political reasons why some of the media are
not telling you everything they know or could find out. Many believe
that further investigation of the Foster death will embarrass the
Clinton Administration, or hamper passage of new health care
entitlements, which they support. The Wall Street Journal, has still
other reasons for silence. The Journal was cited by Fiske as having
provoked Foster's "suicide" with a critical editorial. This is
nonsense. Nonetheless, Journal editors may feel that it would be
unseemly for them to take the lead in criticizing Fiske's findings.


The Untold Story

Normally, the media compete to be the first to tell what they know.
But the Arkansas suicides are part of a strange class of story in
which the normal journalistic imperatives are reversed. Rather than
wishing to be the first to appear with a scoop, the conventional news
outlets sit on what they know, ready to reveal it only if someone else
goes first.

In discussing the murder of Jerry Parks and other mysterious deaths in
Arkansas, the Wall Street Journal editors have admitted that they
waited months before going into print. In the event, they only
published after the story appeared in the Economist in early July. You
could have read many of the same details six months earlier in
Strategic Investment intelligence bulletins. This shows yet again why
your subscription to Strategic Investment is a valuable resource. You
cannot depend upon conventional information sources to tell you what
you need to know. They may hold back stories that could have a
profound effect upon markets until they are published elsewhere. Even
the Wall Street Journal, which is supposed to cater to investors, has
by its own admission withheld stories for months.

Beyond all these mincing considerations, it probably seems incredible
to most assignment editors and reporters that Robert B. Fiske, Jr.
would risk his reputation by certifying an obvious falsehood. Everyone
assumes that he must have done a professional job of answering the
troubling questions that cast doubt upon the original verdict of
suicide.


A real investigation ahead?

Unfortunately, that assumption happens to be wrong, as the world will
be stunned to learn. Fiske's sudden dismissal as Special Prosecutor
will open the door to new questions about his verdict in the Foster
case. Even tight-lipped newspapers like the Washington Post may
reluctantly begin to investigate Foster's death. So long as Fiske
remained, there was no prospect that a further investigation would re-
open the Foster case and expose the flimsy reasoning that the media,
no less than Fiske himself, have dignified as gospel. Now the new
independent counsel, Kenneth W. Starr, has been empowered with a wide
mandate to investigate allegations or evidence of all crimes developed
during Fiske's investigation or arising out of it.

The possibility that Starr may re-open the Foster investigation, with
embarrassing consequences for those who "simply received what they
were told," will stimulate much closer scrutiny of Fiske's report.
When that happens, the lid will blow off. But don't take my word for
it. Read the list of unanswered questions spelled out below. Think
about the implications of the evidence. And take a close look at the
astonishing Special Report on the Fiske Investigation by one of
America's foremost investigative reporters, Christopher Ruddy. For
your benefit, we publish a much-abbreviated version of Ruddy's
findings in this issue.


Unmasking a hoax

In case you don't know about Ruddy's background, he is one of the more
tenacious and clever investigators in the U.S. today. It was he who
exposed a hoax documentary aired several times on PBS entitled "The
Liberators." The theme of this program was that Dachau and Buchenwald,
the notorious German concentration camps, had been liberated by heroic
black U.S. troops in World War II.

It made a fine story, with a political message that PBS fondly wished
to reinforce. Unfortunately, as Ruddy showed, the heart of the story
was untrue A total hoax. There were no black units in action either in
Dachau or Buchenwald. The hoax exposed, PBS had no choice but to
withdraw "The Liberators."

Ruddy has brought the same investigative rigor that enabled him to
unmask a completely bogus history to analyzing the Fiske
Investigation. The information he has assembled will shock you as it
will eventually shock markets when its implications come to be
understood.


The problem of staged homicides

Before I detail some of the specific issues I believe will trouble
markets in the months to come, I want to underscore an important
principle of police procedure. Due to growing numbers of murders
contrived to look as though the victim has taken his own life, police
are trained to treat every suicide as a homicide first. As Vernon
Geberth writes in Practical Homicide Investigation, "All death
investigations should be handled as homicide cases until the facts
prove differently." The issue is not "Could this conceivably have been
a suicide?" It is "Could this conceivably have been a murder?"

This is the only logical procedure for distinguishing staged murders
from suicides. If the police were to assume without further inquiry
that an apparent suicide was not murder, then other evidence and leads
at the scene would never be followed up and murders would go
undetected.

This is exactly what happened in the case of Vincent Foster. The U.S.
Park Police and the later Fiske investigation never treated the death
of Foster as if it might have been murder. To the contrary The White
House made an announcement that Foster had died by his own hand
shortly after his body was found. The conclusion was announced even
before an autopsy had been performed. Fiske continued to presume that
Foster was a suicide, which is doubly astonishing because Foster's
death had already become an issue of controversy by the time Fiske's
investigation began.

This reversal of normal investigative procedure is merely one in a
list of almost 40 obvious lapses, contradictions, illogical
conclusions and unanswered questions that mar Fiske's account of the
death of Vincent Foster. If these issues were all trivial, there would
be no reason to attach importance to them. But they are far from
trivial. The small portion of Ruddy's report published in this issue
details a number of these discrepancies. A further catalog is spelled
out below:

* Foster's body was found in a suspicious position, lying feet own on
the side of a hill, in Ft. Marcy Park in McLean, Virginia. Sgt. George
Gonzalez, the paramedic who found his body after a 911 call to police
reported that every limb was straight, as if Foster were "ready for
the coffin."

* Police report finding a pistol in Foster's right hand. It is rare
for a suicide victim to be found still gripping a gun. Normally the
gun would be found lying near the body, but could be thrown as far
away as 20-30 feet due to recoil. This unusual circumstance was
attributed to the trigger guard being caught on Foster's right thumb.

* The Boston Globe reported that Foster was left-handed. Yet neither
the police nor the Special Prosecutor seems to have found anything out
of the ordinary in a left-handed man shooting himself with his right
hand.

* There was no visible blood on the gun and only trace amounts of DNA
material were found by later analysis. Yet the Fiske report states
that the barrel was placed in contact with the soft palette so far at
the back of Foster's mouth that he would have gagged on it. Normally,
such suicides are a bloody mess. Yet there was little blood at the
scene. The lack of blood on the gun suggests that Foster was shot
after he was already dead.

* Gunpowder residues were found on the web of Foster's right hand and
on his right index finger. Ruddy points to the findings of Massad
Ayoob, a gun expert who reviewed the Fiske report. Ayoob concluded
that for Foster to have fired the gun into his mouth in a way
consistent with the pattern of powder burns would have required "an
extremely unnatural and awkward grasp, totally inconsistent with what
both experience and logic show us to expect of a suicidal person with
a gun in his hand...."

* The gun itself was untraceable, an antique Colt made up of pieces
assembled from other guns. It could not be identified as having ever
been in Foster's possession. Yet neither the Park Police nor the
Special Prosecutor appear to have been troubled by blandly assuming
that a senior White House lawyer was in possession of an unregistered
"drop gun" of the sort normally used by professional criminals.

* The scene as set required that Foster had to have been shot where
his body was found. A berm behind his head ought to have contained the
bullet had he fired it there. Yet no skull fragments were recovered in
the earth behind his head, nor was the bullet. The Park Police said
they conducted a search for the bullet, but did not find it. A later
search by Fiske's staff turned up scores of metal fragments, some
dating to the Civil War, but no bullet that could have been fired from
the gun found with Foster.

* The Foster autopsy was performed by Dr. James Beyer. As Ruddy
details in his report, Dr. Beyer is a medical examiner with a history
of overlooking evidence of murder to reach a verdict of suicide. This
has been proven in at least two recent cases. Beyer's autopsy report
indicates that x-rays were taken of Foster. But the Fiske report
contradicts this, saying that no x-rays exist because the x-ray
machines in Fairfax County Hospital were inoperative at the time. This
strains credibility. Fairfax County Hospital is one of the better
equipped urban hospitals in the United States. It had at least three
portable x-ray machines that could have been used. The servicing
company that maintains the x-ray machine in Dr. Beyer's office states
that his machine was never serviced between June and October, 1993.
Meanwhile, the Park Police report clearly declares, "Dr. Beyer stated
that x-rays indicated that there was no evidence of bullet fragments
in Foster's head." These contradictions indicate suspiciously sloppy
work, yet Fiske took no steps to have the body exhumed for careful
analysis.

* Blond hairs, not his own, were found on Foster. Fiske made no effort
to identify from whom these hairs came, saying that there were too
many potential people to investigate. But he did not need to
investigate the whole human race, only the people with whom Foster was
in contact in the final day of his life. Who were they? Neither the
Park Police nor Fiske made any attempt to find out.

* Foster and his clothing were covered with carpet fibers of various
colors. They were found all over his pants, under his belt, even on
his underclothes. No effort was made to match the fibers with carpets
in his home, office, and car, nor to otherwise identify their source.
Neither the Park Police nor Fiske showed any curiosity at all about
why a dead man in an expensive suit would be covered with carpet
fibers. The implication that he may have been wrapped in a carpet for
transport after he was dead is too obvious to ignore, yet first the
Park Police and then Fiske ignored it completely. Particularly
significant is the fact that Foster's car was not suctioned for carpet
fibers, a procedure that might have proven that he did not drive his
car to Fort Marcy Park.

* Foster's car and personal effects, including his White House beeper,
were not checked for fingerprints or other evidence.

* Although Foster's body was found hundreds of feet into the woods,
with dirt everywhere, no soil was found on Foster's shoes, only trace
amounts of mica particles.

* No foot impressions around Foster's body were taken, nor was other
basic analysis of the crime scene prepared.

* Neither the Park Police nor Fiske made any effort to locate and
interview "CW," the construction worker who allegedly first stumbled
on to Foster's body. When CW was brought forward through the efforts
of talk show host G. Gordon Liddy, he was accepted as a genuine
witness by Fiske, who nonetheless ignored crucial parts of CW's
testimony that, if true, make it impossible that Foster was a suicide.

* CW claimed that there was no gun in Foster's hand when he found him.
He has since reaffirmed his initial impressions. He states that he
bent down over the body and looked closely. He is adamant that
Foster's hands were turned palm up and that he saw no gun. The FBI
interviewers asked him whether he could have missed seeing the gun if
it had fallen underneath Foster's hand and the thumb with the trigger
guard around it had been obscured by foliage. After this question was
repeated more than 25 times, CW at last said that this was possible--
which was good enough for Fiske. His report cites this statement as
confirmation that the evidence and eyewitness testimony were in
agreement. But astonishingly, this all allegedly transpired without CW
having ever seen the Polaroid photo of Foster showing the position of
the gun in his hand. This clearly shows Foster's hand palm down with
the gun. When CW was shown this photo by a member of Congress, he
stated absolutely that this was not what he saw and that the body or
at least the arm had been moved and a gun placed in Foster's hand.

* CW also testified that when he found Foster's body, a Bartles and
James wine cooler was sitting on the ground nearby. No such bottle was
found at the scene, and Fiske completely ignores this potentially
telling detail.

* As Ruddy explores in his full report, there are serious
contradictions concerning the location in which the body was found
within Ft. Marcy Park. If CW is an honest witness, the body was moved
between the time he saw Foster and the time the medics arrived.

* No credible evidence was brought forth either by the Park Police or
by Fiske to indicate that Foster was suicidal. If he was depressed or
agitated, he obviously had good reason to be. His mood may well have
been related to whatever dispute or difficulty led to his death. The
so-called suicide note indicates nothing of the sort. The text is
merely a list. A photocopy of the handwritten version has never even
been released. Fiske reports no evidence that it was checked for
fingerprints or analyzed for authorship by independent handwriting
analysts. Nor does Fiske account for published reports quoting Park
Policemen as challenging the White House claim that the torn note was
found in Foster's office briefcase.

During the 1980's, while he was Governor of Arkansas, Bill Clinton has
knowledge of and profited from the importation of large quantities of
drugs into the United States with Arkansas being a drop-off point. The
drug importation scheme was concocted by corrupted elements with the
Central Intelligence Agency, the FBI and the DEA and was exercised
under the cover of the covert campaign to aid the Nicaraguan "Contras"
during the Reagan Administration. The drug importation scheme has
continued to this day and is an integral part of George Bush's and
Bill Clinton's political past.

The next series of posts are taken from Strategic Investments' August
and October 1994 issues. More extensive information can be obtained
from the whistle-blowing book, "COMPROMISED: Clinton, Bush and the
CIA", written by Terry Reed and John Cummings (Terry Reed is a former
Air Force intelligence officer caught up in the events in Arkansas and
now in hiding after attempts on his life).


Behind the Lines - by Jack Wheeler (Aug. 94 Strategic Investment)

The Redneck Mafia

Time was the redneck mafias in the South used to confine themselves to
running moonshine. Then they figured out they could make a lot more
money with cocaine. So much money that a number of investigators
suspect that the secret bigger than Whitewater is that the Redneck
Mafia has a compromised friend in the White House. We have been told
by these investigators that the amount of drug money laundered through
the Arkansas Development and Finance Authority (every dollar approved
by Bill Clinton when Governor) so far uncovered is $1.3 billion. ADFA
bonds of $350 million in 1985 alone were run through the Arkansas
Housing Authority and hardly a house was built. These well-informed
sources claim that the Redneck Mafia's drug money accounts in the
Cayman Islands Fuji Bank are well in excess of a billion dollars.

All attempts by the DEA to investigate the matter have been blocked.
Clinton has drastically slashed the Customs Departments and the Coast
Guard's budgets for drug interdiction, and has terminated the
Pentagon's radars in Colombia and Peru which spot drug flights. The
White House has put the drawbridge down and more cocaine is pouring
into the country than ever. Even the infamous Mena airstrip is back in
operation. Last month, local Arkansas officials reported that two Lear
jets flew into Mena loaded with kilos of white powder.

Numerous eye witnesses are now testifying regarding parties they
attended where Governor Clinton snorted line after line and had sex
with underage girls. It is also believed that his drug suppliers
financed his campaigns. Clinton has been compromised. When all this
comes out - and it will (I'll explain why next month)--it will
precipitate the greatest domestic crisis America has faced since the
Civil War. is America has faced since the Civil War.

* * *

Drug Lords - James Davidson (Oct. 94 Strategic Investment)

The Arkansas connection

This "new form of politics" is hardly confined to Mexico. The
assassination of Mr. Rutz Massieu, like the "crook pac" organized by
the Gangster Disciples in Chicago, is merely another in a recent
flurry of stories that offer revealing glimpses of the growing power
of drug lords. Former Washington Mayor Marion Barry, having returned
from jail on a cocaine conviction, is about to disgrace the capital of
the United States by returning as Mayor. This must dismay thinking
people. Barry won the Democratic nomination by organizing overwhelming
support in those areas of the city most heavily influenced and
controlled by drug dealers.

By far the most chilling recent news report deals with the wholesale
drug trade that flourished in Arkansas when Bill Clinton was Governor.

"I feel like I live in Russia, waiting for the secret police to pounce
down. A government has gotten out of control. Men find themselves in
positions of power and suddenly crimes become legal." - Russell Welch,
former Arkansas State Police investigator, who was poisoned while
trying to investigate drug smuggling in Arkansas. Sunday Telegraph of
London, October 9, 1994.

The October 9 issue of the Sunday Telegraph of London published an
extensive expose of the activities of Bill Clinton's friends and
supporters in importing illegal drugs into the United States during
the 1980s. It alleges that some of the leading figures in the Arkansas
establishment were active participants in wholesale drug trafficking
and money laundering. In the words of Ambrose Evans-Pritchard, "there
was an epidemic of cocaine, contaminating the political establishment
from top to bottom." Among the specific allegations:

* Current and former law enforcement investigators, including Arkansas
State Police Criminal Intelligence Division detectives, IRS agents,
and others, testify to numerous, thwarted attempts to investigate and
prosecute highly placed individuals in Arkansas believed to have been
active in drug trafficking.

* "Memoranda that circulated in the Criminal Intelligence Section of
the Arkansas State Police show that [a Clinton associate] was under
suspicion of drug dealing from the early 1970s until the late 1980s."

* This alleged drug trafficker was an early financial supporter of
Bill Clinton, who gave crucial financial backing to Clinton's first
campaign for Governor. This Clinton associate also helped enrich
Hillary Clinton by hiring the Rose Law firm, in which she was a
partner. This Clinton associate also contributed thousands of dollars
to a secret political fund controlled by Clinton when he was Governor.

* "Federal Prosecutor Michael Fitzhugh expressed interest in pursuing
a criminal conspiracy charge against a highly placed Arkansan,
involving a 'combined investigation team of the FBI, DEA, IRS, and the
State Police.' " But the Arkansas State Police smothered the
investigation. Fitzhugh says, the ball was in their court. For
whatever reason, I never heard another word from them about the
thing."

* Former State Police investigator J. N. Delaughter, who gathered
evidence that convicted another Clinton patron, Dan Lasater, of
cocaine distribution, was demoted to the highway patrol when he
suggested prosecuting this case. He] was pulled off the case after
being warned by his department not to hammer 'the nails in his own
coffin.'"

* Between 1980 and 1986, drug smuggler Barry Seal brought billions of
dollars worth of illegal drugs into Mena, Arkansas. Surviving records
indicate that "his team of pilots smuggled in 36 metric tons of
cocaine, 104 tons of marijuana, and three tons of heroin."

* At his death, Seal left a number of operational bank accounts. One
of them, at the Cayman Islands branch of the Fuji Bank, currently has
an interest-earning balance of $1,645,433,000."

* There were various attempts to investigate the Mena smuggling ring.
All of them were obstructed. The first was a joint investigation by
the Arkansas State Police and the U.S. Treasury's Internal Revenue
Service... The IRS investigator, Bill Duncan, says that there was a
cover-up in which crucial evidence was withheld from the federal grand
jury."

* Seal, murdered in February 1986 while in federal custody and
awaiting trial for cocaine smuggling, was a contract pilot who was
utilized by the CIA to ferry guns to the Contras after Congress
prohibited direct CIA activities on their behalf. Seal evidently
seized the opportunity of flying under CIA cover to expand his drug
smuggling operations.

* "'The CIA didn't realize that Seal had synergized their covert
operation with the Dixie Mafia. They didn't figure it out until they
were in the quicksand, and by then it was too late... The regional
drug cartel thought that it had acquired a sort of federal immunity
for drug trafficking, and behaved accordingly."

<<< According to former CIA man Terry Reed, in his book "Compromised:
Bush, Clinton and the CIA", Barry Seal was a CIA agent operating
undercover as a drug smuggler, and that his activities were known by
the CIA and the DEA, and that he had the assistance of those agencies
in smuggling drugs into the country for profit. He makes clear the
case that those agencies have been thoroughly corrupted and co-opted
by the illegal drug-smuggling industry. >>>

* The nightlife of the Clinton coterie was worthy of Caligula. Dan
Lasater, a self-made restaurant tycoon and money-man for Governor
Clinton, gave parties at which cocaine would be served like hors
d'oeuvres and sex was rampant. Some of this was documented in police
records. Bill Clinton was in frequent attendance."

* "The DEA kept a file on Lasater. A memo from March 1984 names Patsy
Thomasson, Lasater & Co executive vice-president, as a designated
passenger on private flights with Lasater to Latin America. Thomasson
is now Director of Administration at the White House."

* "The FBI is trying to determine whether Lasater's brokerage firm
used client accounts to launder drug profits. In particular, they are
looking at transactions worth $107 million that were put through the
account of an unsuspecting court clerk in Kentucky." As reported in
the Economist, that clerk's name was Dennis Patrick. At the time, he
had a total net worth of at most $60,000. In the year after the
trading activity stopped, four men were arrested by federal agents on
charges relating to plots to kill Patrick. The Telegraph story ties
the money laundering close to Bill Clinton, and his hip pocket bank,
the Arkansas Development Finance Authority. Clinton created ADFA in
1985 just as the drug profits really began to flow. The authorizing
legislation was drawn by former assistant U.S. Attorney General,
Webster Hubbell, then of the Rose Law firm. ADFA issued more than $1.3
billion of bonds. In spite of the huge size of these transactions,
proper records were never kept. Or if kept, are no longer available.
ADFA cannot now account for who bought the bonds, or where the money
went. Thus the Telegraph comment:

* "There have been many allegations that ADFA served as a 'laundromat'
for dirty money. In December 1988 it wired $50 million to the Fuji
Bank in the Cayman Islands. Investigators will be looking for proof
that the money--all of it--returned to Arkansas for its intended
purpose of building family homes."


These explosive revelations were not printed in a supermarket tabloid,
but in one of Britain's leading newspapers. They come as close as any
establishment publication has yet approached to sketching an outline
of the dark secrets whose trail stretches from Arkansas to the White
House door. Too many people, who were and are close to the President,
are implicated in truly sinister activities. In light of these
revelations, those who have said that Whitewater is nothing are surely
correct. It is nothing compared to ADFA and Clinton's links to the
Arkansas drug cartel. If the Telegraph allegations are even half
right, the story they tell should alarm every thinking investor,
American or not. This is especially true when you consider that the
full truth must be worse than the allegations that the Telegraph felt
it could publish in light of Britain's very strict libel laws.

We have been told that former federal agents who investigated drug
trafficking in Arkansas believe that at least one and possibly two
large offshore accounts were established for Clinton's benefit under
the name of "Chelsea Jefferson." A rumor to this effect has been
reported in The New York Post. But put that aside. Most of the
information in the Telegraph story is not guesswork about what might
have happened, even guesswork based upon solid research by Ambrose
Evans-Pritchard himself. To the contrary. Most of the allegations the
Telegraph reports have been brought forward by frustrated former
Arkansas police and federal investigators. While it is possible that
some of what the former investigators allege is not true, their
charges are backed up by statements of witnesses and literally
thousands of pages of documents, investigators' notes and files.

Plainly, on the most favorable assumptions, it must now be clear that
Bill Clinton has had close dealings with drug criminals. This must
raise concerns about the integrity of the Justice Department and the
other federal agencies including those charged with investigating the
very crimes which may be traced to Mr. Clinton and his cronies. As
many examples of "Arkansas suicides" detailed in The Economist and
elsewhere show, when the integrity of the police, medical examiners,
and the justice system are in doubt, it is literally possible for the
drug lords to get away with murder. This used to happen frequently in
Mexico. Now it is happening in the United States. The death of Calvin
Walraven, reported in the intelligence bulletins, is yet another
timely reminder of how sinister this can be.


Clinton's FBI

Still another Intelligence Bulletin in this issue reports concern
about steps taken by the Clinton Administration to place the FBI under
tight control of his version of the Justice Department. The current
FBI director, Louis Freeh, is highly regarded. He was appointed on the
urging of Robert Fiske, who was also highly regarded. Yet Fiske, who
was appointed by Janet Reno to investigate Whitewater and the death of
Vincent Foster, apparently failed to notice more than 40 clues and
contradictions suggesting that Foster did not commit suicide.

It is also interesting to note that the former FBI director, William
Sessions, was fired abruptly the night before Vincent Foster died.
That may be a coincidence, but once Clinton's close ties to the drug
cartel are understood, it is difficult to look on coincidences and
otherwise puzzling policy blunders as entirely innocent. As we have
detailed in previous issues, the appearance that Foster was murdered
is too obvious to ignore. The official ruling that it was a suicide
raises the question of how much the system has already been corrupted.
This takes on added significance in light of reports from our
intelligence sources who say that FBI field agents in Arkansas are
under orders from Washington not to investigate ADFA.


Aristide and the drug lords

Equally, published revelations of a DEA report that indicates exiled
Haitian President Jean Bertrand Aristide was in the pay of the drug
cartel add another curious dimension to what is certainly one of the
more puzzling foreign policy initiatives in American history. I am
unable to imagine any possible advantage that any outsider, even the
drug lords, could gain in changing the regime in Haiti. The most
likely explanation for the Haiti policy was leaked by UN officials,
namely the perceived need on the part of the Clinton Administration to
create some theater in which to provide a demonstration of "strong
leadership" before the impending elections. This seems to be confirmed
by the equally puzzling re-emergence of the Iraq crisis, just as the
potential for Clinton to appear "presidential" over Haiti fizzled out.
It will be difficult, as long as Clinton remains as President, to
fathom which of his policies are aimed at forwarding the national
interest of the United States, and which involve the foreign or
domestic policies of the drug lords. His connections to the multi-
billion wholesale trade in illegal drugs that flourished in Arkansas
during his governorship cannot be ignored, and can no longer be
covered up.

It is a disgrace that America's many news organizations have so
studiously kept their silence. They have left it to the British press
to reveal one of the more shocking stories of the century. Any
American paper could have told this story, simply by indicating a
willingness and commitment to tell the truth. That was all that was
necessary to ecourage dozens and then scores of witnesses to deluge
British reporters with evidence of a kind that has never before been
brought forward against any sitting President. Much to their regret,
the American press will be obliged to report this information. It is
already widely disseminated on the Internet, and discussed on many
radio talk shows. It will either leach out gradually, the way news
used to pass in whispers in the former Soviet Union, or you will wake
one morning to find it in The New York Times. I rather hope the latter
happens, because if The New York Times continues to bury the story, it
will simply discredit itself. This would be most unwise, both from the
point of view of the Times and the country. As evidence of the
President's involvement with drugs spreads, a lot of good people, some
of them Democrats embarrassed for their party as well as their
country, will insist that Clinton go. We will need honest voices of
authority to help reassure and guide the public through such a crisis.


Drug Lords - James Davidson (Oct. 94 Strategic Investment)

The New Form of Politics: Drug Lords and Waning of the Nation State

"I got a political action committee... I got an organization called
21st Century VOTE.... That's the folks in the projects, the poor
people. You got them dope fiends and wineys, we can get the vote out.
We got the army." - Larry Hoover, Gangster Disciples leader, and
reported power behind 21st-Century VOTE


Crook Pac

Politics can be a dirty business. The Chicago Tribune and ABC News
have illustrated this once again with reports on the activities of
21st Century VOTE, a new political action committee, reportedly funded
by Chicago dope dealers. Already, the committee has paid out more than
$114,899 to state and local politicians.

They range from Joseph Gardner, a candidate for Mayor of Chicago, to
John Stroger, a Cook County Commissioner and Democratic nominee for
board president. They and many others came calling for support from
21st Century VOTE, an organization whose founding director is under
indictment for murder. He faces trial in the death of a woman first
sexually molested with a pipe and then suffocated under a block of
concrete. Other officials of 21st Century VOTE include a convicted
murderer, and another felon convicted of attempted murder.


Barbarians within the gates

These drug gangsters compare unfavorably to the barbarian gangs who
terrorized and sacked the Roman Empire 15 centuries ago. It says
something disquieting about America that politicians welcome support
from a political action committee funded and run by such people. To a
greater extent than the world has yet realized, drug dealers have
become one of America's more politically powerful constituencies.

The drug lords have incentives like almost no else to become involved
in the political process. And they have the ready cash to buy what
they want. What they want is more corruption. They want to buy
exemption from the law.


Why criminals buy politicians

Politicians ultimately control both policing and the judicial process.
They determine who is in command of the police department and who
becomes a judge. The politicians frequently have a major influence on
which crimes and whose crimes are investigated. If drug dealers can
control the politicians who select police officials, hire and fire
prosecutors and appoint judges, they can make millions, and even
billions, unmolested by the law.

Further, drug dealers can use political programs as cover to carry out
their schemes. The Washington Post reports that the same gang that
sponsors 21st Century VOTE spawned a do-good, not-for-profit
organization that was supposed to make "prisons more 'humane and
fair.'" Police suspect that the group's actual objective was
"funneling cocaine and marijuana for the Disciples into Statesville
Correctional Center in Joliet."

So it is hardly surprising that drug dealers like Larry Hoover of the
Gangster Disciples try to elect their favorite politicians. The bad
boys from Chicago's bad neighborhoods have only been doing what comes
naturally to drug dealers--buying political influence and protection.
What is extraordinary is that they disclosed it.

Normally, drug gangs are not detained by the niceties of campaign
finance laws. When it comes time to buy politicians, they simply buy
them. Cash or a wire transfer to an offshore account is usually the
preferred method of payment. Drug dealers tend not to register their
payments with election officials in triplicate.

The fact that the Gangster Disciples are so brazen as to bring even
part of their influence-buying into the open is both comic and
chilling. First of all, it says something amazing about the
willingness of politicians to accept the support of gangsters, and
their estimate of catering to a block vote of "folks in the projects,
the poor people.... dope fiends and wineys." It also warns about the
extent to which even local drug retailers have the resources to
corrupt the political system.


Small-time dealers, big-time money

This should not be underestimated. Newspaper reports indicate that the
Gangster Disciples gross about $300 million a year, mostly from retail
sale of illegal drugs. This is not only a lot of money, it is even
more than it seems. Especially if you compare $300 million in the
hands of a drug gang and the influence it buys to the political
activities of a legitimate business with the same gross receipts.

Because the drug dealers sell into an addicted market in which the
government suppresses normal competitive forces, they have profit
margins that cannot be duplicated in the legal economy. If you
invented a cure for cancer, your profit margins would be a lot smaller
than the Gangster Disciples enjoy by peddling cocaine to welfare
mothers. What is more, the pre-tax profits of the drug gangs don't
vanish into taxes. Drug gangs don't pay taxes.

The only officialdom they support are the public officials they buy
directly. And they can buy quite a few. If only one percent of the
revenues of the Gangster Disciples were earmarked for payoffs, that
would be $3 million a year. A police investigator or a prosecutor or a
medical examiner can collect the equivalent of several years pay--just
for looking the other way at the right moment.

For those unwilling to be bought, the drug dealers can offer worse. A
large fraction of every dollar they gross is available to finance
whatever sinister activities are necessary to enable them to get their
way. Unlike a legitimate business, the drug cartels operate in an
almost entirely clandestine fashion. They must. Murder is part of
their business. Where they cannot buy a police investigator or bribe a
witness who has incriminating evidence, they frequently resort to
violence.


Assassins and the drug trade

Hired assassins are part of every retail drug gang. If you live in a
big city you know this already. Many nights, I have lain awake in
Baltimore, especially in the summer, listening to gun shots ring out
over the city. Most of the firing is the work of hired assassins
settling turf wars between drug gangs.

What should be sobering is the realization that these guys are the
small-timers. The retail drug dealers are high school drop outs who
started stealing cars when they were 12. The real drug lords are the
wholesalers. If Larry Hoover is dealing with hundreds of millions in
the south side of Chicago, the importers and wholesalers are dealing
in billions. The real drug lords are not buying aldermen, they are
buying governors and congressmen and the leaders of countries. Or
shooting them.


Jose Francisco Rutz Massieu, R.I.P.

Mr. Rutz Massieu was almost the leader of a country, before he was
gunned down in Mexico City on September 28. He was secretary-general
of the PRI, the political party that has ruled Mexico since 1929. He
was also married to the sister of Mexican President Carlos Salinas de
Gortari. A member of the lower house of the Mexican Congress, the
House of Deputies, he was slated to become the Majority Leader when it
reconvened. Not coincidentally, Rutz Massieu's brother, Mario, is
Deputy Attorney General of the Republic and the man in charge of the
fight against drug trafficking.

Francisco Rutz Massieu's assassin, caught at the scene, later
confessed to the murder. He implicated another leading member of the
Mexican Congress as having ordered the killing. According to the
assassin, the drug lords were worried that Mr. Rutz Massieu was
committed to cleaning up corruption. They were afraid his reforms
would pinch their operations or even cut off the shipment of drugs
from Mexico to the United States.

The wholesale drug dealers worry about things like that. Their
staggering profits depend upon keeping the transit lanes open for drug
distribution. That means buying protection on a large scale. And
paying a lot for it. There was a time when the drug lords could
probably depend on the leaders in Mexico to be easily corruptible.
Mexico was a one-party state for a long time. The state prosecutors
and police were not independent, but under the domination of an old-
guard political machine that protected its own.


"The new form of politics"

The reformers in Mexico have begun to threaten that closed system that
made corruption so easy to get away with and so hard to stop. And the
drug dealers have fought back. Two of the top Mexican reformers have
been assassinated in the past seven months. This year's first PRI
candidate for President, Luis Donaldo Colosio, was pumped full of
bullets in Tijuana on March 23rd of this year. Now Mr. Rutz Massieu
has been shot dead.

When their bodies hit the pavement, a message was delivered to each of
their successors. Anyone in power who is intent on cleaning up the
system will certainly be aware that his life is in peril. As Mexican
author, Homero Aridij put it, "This has become the new form of
politics."

We will need honest voices of authority to help reassure and guide the
public through such a crisis.


Then what?

The question is whether a quiet resignation will be enough to put the
system on a sound footing for the future. I doubt it. I am convinced
that this whole issue must be aired in a thorough way, so that the
American people have a chance to understand how pervasive the power of
the drug lords is. Without that understanding, effective reform is
unlikely. And unless it is flushed clean, the American political
system in its present form will be lucky to survive. A quiet departure
for Clinton, therefore, may not be in the best interest of the
country, especially if it leaves persons friendly to the interests of
the drug lords in control of the Justice Department and highly placed
in law enforcement agencies, and perhaps even in the CIA.

As the Aldrich Ames case makes amply clear, the CIA's internal
controls were insufficient to prevent individuals within that
clandestine organization from doing anything they pleased--even
selling out other agents to be killed for money. If blatant treason of
that kind could go undetected, it is a fair bet that Barry Seal may
not have been the only person to blend covert activities with drug
dealing. Given the fact that the bankrupt Soviet Union bought the
cooperation of Aldrich Ames for a few thousand dollars at a time,
organized crime, with the lure of billions, could have penetrated the
CIA. With political institutions already under stress, the wealthy
barbarians within the gates, the drug lords, are obvious candidates to
seize additional power--just as the armed barbarians within the
crumbling Roman Empire grabbed what they pleased from the vastly more
numerous, but disarmed Roman population.


Barbarians, then and now

The mechanism by which this happened should be sobering to anyone who
understands how organizations like the Gangster Disciples function
today, much less how criminal free-lancers within the CIA might
function. Like the barbarian warriors of the late 5th century, they
operate within society, but outside the law. Much of the strength of
the barbarian tribes was due to the fact that they controlled greater
force at the local level than the magistrates and officials of the
crumbling Roman state. The primitive character of their kin
relationships bound them together in a way that blood oaths sworn by
the Mafiosi are meant to bind its members. As historian C.W. Previte-
Orton said of the barbarian kinship group, "even men of rank largely
depended on their kindred for their power."

This rested on the duty of the kindred to exact blood revenge on the
perpetrator of any wrong against one of them. As the effectiveness of
Roman law enforcement dwindled, the barbarians prospered from three
crucial advantages they enjoyed over the Roman population:

1) The threat of blood feuds and reciprocal revenge made it
increasingly risky for Roman authorities to enforce Roman law against
any barbarian--just as it does against drug dealers today. If a
barbarian were arrested or convicted, or his property were taken in a
civil judgment, the officials who executed the law, as well as their
families, were subject to violent revenge.

2) The weakening of the law and social order, to which the barbarians
contributed so much, left them less exposed in the resulting chaos.
They had alternative mechanisms for protecting their own lives and
property. In effect, the barbarian groups enforced their own law at a
time when the very wealthiest of Romans were only able to protect
themselves by hiring troops of private bodyguards, the bucellarii.

3) While the wealthy Roman might hire his protection, the leading
barbarians were able to field bands of warriors, known in Latin as
gasindi, by drawing on kinship ties. These barbarian gangs were
cheaper than bucellarii, and fought together with greater solidarity.
Thus the scale of wealth required by a barbarian to command effective
military power was much smaller than that required of his Roman
counterpart. Because the barbarians were all well armed, while the
vastly larger Roman population was mostly disarmed, the barbarians
soon controlled the preponderance of force.

In short, they had raw power. The consequences were just what you
would expect if you have read Blood in the Streets, or The Great
Reckoning. The barbarians used their raw power in predictable ways to
enrich themselves. First of all, they seized other people's property.
Later, they seized what was left of the state itself, installing one
of their own in place of the Roman Emperor. While pretending fealty to
the old Roman institutions, the barbarians overwhelmed them with
physical force, ignoring the law and acting as they pleased because no
one could stop them.

When all was said and done, barbarians ended up seizing most property
worth stealing. The few Romans who did manage to preserve their
estates did so not by any help from the law, but because they were
able to levy a significant military force of private guards for their
own protection. Only a few of the wealthy were able to field and
sustain a large enough force of bucellarii to discourage attack on
their estates, and yet remain sufficiently inconspicuous as to avoid
attracting an even larger force of barbarians to overcome them. When
law and order broke down, it was difficult for anyone other than the
barbarians to reach old age with his life and property intact.

History does not always repeat itself. But it is worth looking over
one's shoulder at the Fall of Rome as we think of drug lords with
billions in profits and friends in high places. The Fall of Rome 15
centuries ago is history's most spectacular example of a major
transition when the scale of government was collapsing, as it is
today. That said, it is also important to clarify one crucial
advantage that Americans have today that the Romans lacked. We can
dissolve the drug organizations with a single step in a way that was
never possible with the barbarian kindred bands. A change of law would
do it. But before this can happen, people must understand why it is
necessary.

That probably requires that the Republican Party take control of one
or both houses of Congress. This is the route most likely to lead to a
proper Congressional investigation that can clarify how the billions
of illegal drug profits are financing the corruption of America's
institutions. Unless the full dimensions of this problem are clear in
the public mind, public opinion will oppose the one reform that could
make the most difference in flushing the system clean.


Hope that Republicans win the Congress

While there is evidence of bipartisan involvement and embarrassment in
the scandalous activities of the drug dealers, Democrats are totally
in control in Washington and in most of the Southern states where the
drug dealers are most active in buying political influence,
particularly among governors. If the Democrats remain in control of
both houses of Congress, I suspect as Lord Rees-Mogg does, that they
are unlikely to tolerate an honest airing of the facts for fear of the
political consequences. If the public does not understand the true
power of the drug lords, a power that leads right to the White House,
and perhaps even has compromised the CIA, there will be no stomach for
the drastic actions I believe are necessary to prevent the Gangster
Disciples in their various incarnations from completely taking over
the country.


Take the profit out

1) Drastic step number one is that the sale of drugs, but not their
use, must be legalized. This is the only way to take the profit out of
drug distribution and break the power of the criminal gangs. As we
wrote in The Great Reckoning, "Without the many billions a year of
illegal drug profits that line the pockets of drug lords and criminal
gangs, they would be less able to corrupt, subvert, and terrorize
society."


Lure them above ground

2) Drastic step number two is amnesty. As unpalatable as it may seem,
there should be a conditional amnesty for the drug lords in respect to
every crime to which they confess in a six month grace period. This
type of negotiated "peace" would go far to help restore and preserve
civil society. It would give the drug lords an incentive to move
completely out of organized crime, and take away the strong motive
they now have to subvert the legal system. The mistake was made after
Prohibition of not encouraging criminal organizations founded on
bootlegging profits to go legitimate. This has cost America dearly as
the Mafia families continue to expand their illegal activities.

The American system today is more corrupt and therefore vulnerable
than we commonly suppose. More than any past President, Clinton has
made his compromises with the drug lords. Only he knows precisely how
this happened. Perhaps he was ready for it all along. Perhaps he was
blackmailed. Perhaps he just slipped into an untenable situation while
using drugs and found it difficult to extricate himself. Be that as it
may, he has contributed to the growing power of the drug lords.

If drug sales are not legalized, and soon, you can expect all the
worst consequences. The barbarians are within the gates. They are
armed, wealthy and thoroughly ruthless practitioners of the new form
of politics." With every day that passes, their fortunes compound, and
therefore their capacity to corrupt the law and bend it to their own
ends increases as well. Let them do their work unimpeded for a few
more years, and we will learn to our sorrow as we bow that they are
not called "Drug Lords" for nothing.

* * *

James Davidson, Strategic Investment, Oct. 26, 1994. STRATEGIC
INVESTMENT (ISSN 1042-4237), is owned by Strategic Investment LLC, a
limited liability company. It is published monthly for US$109 per year
(C$140 in Canada) by Agora Inc., 824E. Baltimore St., Baltimore, MD
21202-4799.

Buy arrangment with the sysops of this BBS, the preceeding and
following posts in this sub will not roll-over and delete with time.
For the time being, please refrain from posting in this sub (more
posts in this series forthcoming)

The text of "The Murder of Vince Foster" series is contained within
the text file "SI - Foster Murder" and the text of "Clinton's Drug
Past" and "Drug Lords: series is contained within the text file "SI -
Drug Lords", both of which are free downloads here on Real American.

The next series of posts, entitle "Clinton's Victims" will eventually
be uploaded in their entirety as "21Murder.txt", hopefully within the
week.

* * *

The following series of posts is reprinted from material sent to
investors by financial analyst and former Arkansas businessman
Nicholas A. Guarino, who edits the investment newsletter THE WALL
STREET UNDERGROUND and formerly hosted television's "Commodities
Week".

This material and a sample issue of the newsletter may be obtained
free by asking for them at the local offices of TWSU: call 890-3553.
Faxes may be sent to Mr. Guarino at 895-5526 where they will be
forwarded to him.

* * *

VICTIM No. 1. On September 26, 1993, Luther "Jerry" Parks enjoyed a
nice dinner at a Mexican restaurant in Little Rock.

On the way home, his car was forced to a stop and he was mowed down by
unfriendlies with nine-millimeter semiautomatic pistols.

The coroner pulled nine bullets from Jerry's body. I believe we can
safely rule out suicide in this one. And it doesn't sound like your
typical drive-by shooting, either. In fact, witnesses claim the hit
man was a former state trooper who was very close to Bill Clinton.

Jerry was the owner of American Contract Services, which supplied the
guards for Clinton's presidential campaign and transition
headquarters. (Clinton still owed him $81,000.) So he knew a lot about
Clinton's comings and goings.

As a matter of fact, Jerry had quietly been compiling a major study of
Clinton's sexual affairs for about six years. Not quietly enough,
though. Shortly before his demise, his home was broken into and the
study's backup files - filled with photos and names - were stolen,
according to his widow, Jane,... after the security alarm was
skillfully cut.

His big mistake: "He threatened Clinton," Jane said, "saying he'd go
public if he didn't get his $81,000." And then came the end. The
London Sunday Telegraph quoted Jerry's son Gary, 23, stating the
obvious:

"...they had my father killed to save Bill Clinton's political
career."

After a long investigation, Little Rock police detective Sergeant
Clyde Steelman gave his character endorsement: "The Parks family
aren't lying to you"

[It is now known that Parks was able to send a copy of his records to
federal law enforcement agencies before his death. Whether those
records will lead to investigations of Clinton, or whether that
federal agency has been corrupted and was responsible for blowing
Parks' cover is not yet know.]


VICTIM No. 2. You must understand the central fact about the
Whitewater Development Corporation: It was NOT the main crime.

Whitewater was only a pretext set up by Jim McDougal and the Clintons
to milk millions from the SBA, banks, Arkansas Development Finance
Authority, and the Madison Guaranty Savings & Loan (which was later
bailed out by us taxpayers to the tune of $65 million).

The Resolution Trust Corporation people eventually figured out that
their investigation of Madison wasn't getting anywhere because it was
based in Kansas City, where Clinton's people had stymied it. So Jon
Parnell Walker, a Senior Investigation Specialist in the RT's
Washington office, began a campaign to get the case moved to DC.

Soon after, Jon was looking over a possible new apartment in Lincoln
Towers in Arlington, Virginia, when reportedly he suddenly decided to
climb over the balcony railing and jump.

Jon's friends, family and co-workers all agree on one fact: This man
was NOT depressed. Maybe he was just impulsive.


VICTIM No. 3. You remember the name Danny Ferguson. He is the Arkansas
patrolman who once said he brought Paula Jones to Bill Clinton's hotel
room.

Kathy, 38, his wife at the time, blabbed a lot about such things. She
told friends and co-workers about how Bill had gotten Danny to bring
women to him, and stand watch while they had sex.

(Altogether, Bill had hundreds of women brought to him, sometimes
several a day. Young women pulled over for speeding or whatever would
be offered a choice between a jail sentence of a trip to see Bill.)

Part of Danny's job was to make sure that each woman was ready and
willing when Bill met her. Kathy told people that Bill was REALLY mad
when Paula Jones wouldn't "put out." Bill hates to be refused.

On May 10, Kathy was found dead with a pistol in her hand. A suicide,
the police said. Only three problems with this:


a. Women rarely use guns to kill themselves.

b. I can't find anyone who has ever heard of a nurse shooting herself.
(Why would they? They know all the right dosages for pills, and they
have access to them.)

c. I've talked to three of the six nurses who worked most closely with
Kathy at Baptist Memorial in Little Rock. They gave me, in no
uncertain terms, a loud message to convey to you: "NO WAY did Kathy
Ferguson kill herself." They are irate.

Footnote to story: About three weeks later, Danny reversed his story,
saying he didn't lead Paula Jones to Clinton's room after all.

Second footnote: Bill Shelton, Kathy's new boyfriend (since her
separation from Danny), was loudly critical of the suicide story and
complained to many people about it. Bill was found dead on June 9.
They're calling this a suicide too. (Perhaps it was. I haven't checked
it out yet.)


VICTIM No. 4. Vincent Foster, who was Clinton's counsel for
Whitewater, was the highest government official to meet an untimely
death since the Kennedys.

He could have killed himself on July, 20, 1993, as Robert Fiske,
Clinton's "independent" counsel claimed. But it's rather doubtful. The
story line concocted by Fiske has about 20 major holes in it - which
partly explains his replacement by Kenneth Starr. A few examples:

* Official photos show the alleged suicide gun in Vince's right hand.
Trouble is, he was left-handed. (Of course, a hit man wouldn't have
known that.) Fiske ignored this in his report.

* Vince went out and hired tow lawyers on July 19. As Clinton's point
man in charge of covering up Whitewater, he had failed badly and could
see everything was about to unravel (which it began to do in Arkansas
the next day). Question: Why pay for a lawyer to launch a defense and
then shoot yourself a day later? Fiske ignored this.

* After a somewhat hurried lunch in his office July 20, Vince grabbed
his jacket and left the White House with the words, "I'll be back."
And then we are supposed to believe, apparently, that he picked up a
White House beeper, drove to his Georgetown townhouse, got a gun,
drove to a lonely park in Arlington, walked 200 yards to a steep
slope, went down in some thick bushes, shot himself and THEN threw his
glasses 13 feet away through heavy brush, and wound up lying down
supine and perfectly straight, legs together, with arms straight down
at his sides, the guns STILL in his hand, and trickles of blood
running from his mouth in several directions, including uphill. What's
wrong with this picture?

* Where's the bullet? None was ever found even after a massive search
and excavation. Could it be that the police and FBI looked in the
wrong place? Sgt. George Gonzalez (the first paramedic on the scene)
and his boss both insisted they found Foster 200 feet from the
official spot. If they're right, then why was the body moved?

* Where are the fingerprints on the gun? There were none!

* Where are the skull fragments? None were ever found. Normally, a .38
will blow out a 4" to 5" hole, with blood and brains everywhere.
Because of the mess and the noise, most sophisticated hit men today
repack their cartridges with a half charge. This explains the tiny,
one inch hole in the back of Vince's head. Fiske skipped this.

* Who is the mystery blond whose hairs were found on Vince? And why
did Fiske not mention that carpet fibers and semen were found on his
shorts? In this age of detective movies, how could anyone think such
clues unworthy of mention in a serious report?

Sadly, the real reason that Fiske was sacked by that 3-judge panel was
not to preserve an "appearance of impartiality," as the papers said.
They were simply tipped off that Fiske was rapidly burying everything
he could. For instance, when David Hale's trial judge refused to keep
Bill Clinton's name entirely our of Hale's testimony, Fiske
immediately stopped the trial and changed his charge from a huge
felony to a small misdemeanor - with a vastly reduced sentence!

* Where the suicide note? Vince wrote an unsigned outline of a
resignation letter, which Clinton's counsel Bernard Nussbaum kept for
six days, tore into 27 pieces (without leaving a singe fingerprint -
try that!) then changed his mind and let the brightly yellow pieces
strangely appear in Vince's briefcase, which the police and FBI had
already inspected and found empty. But this suicide note says nothing
about suicide, of course. And the final letter is missing.

* Fiske quoted reports - even anonymous ones - from visitors to the
part that day. But some witnesses also saw "a menacing-looking
Hispanic man" by a white van with its big door open near Vince's car
just before the body was found. Fiske left that out.

* Instead of allowing Vince's office to be sealed after his death, top
Clinton staffers Bernie Nussbaum, Patsy Thomasson, and Maggie Williams
frantically rifled it for "national security matters" (read:
incriminating Whitewater documents) and carted them off to Hillary's
closet upstairs. In a stunning display of chutzpah, they even made the
park police and FBI agents sit in the hallway for two hours while they
did it. And Nussbaum later claimed it was only ten minutes! (An FBI
agent disclosed to me that a file was opened for obstruction of
justice, but Bill had it closed.)

Why would anybody want a nice, gentle fellow like Vince Foster killed
and his body dumped in a park? For some excellent reasons, which I
detail in my book, The Impeached President. But the #1 reason is that
Vince knew far too much and he had to go because he was about to crack
-and that would have ended the Clinton presidency right then and
there.

Suppose, however, it WAS a suicide. Suppose Whitewater was becoming
such a horror that suicide seemed better than facing the music. What
then?


Then the only logical explanation is scenario #2, as follows:

* Vince's Whitewater cover-up was coming apart. Facts were popping up
in the press and people were talking. For instance, Clinton's partner
in Whitewater, Jim McDougal, had gone to Little Rock attorney and 1990
Republican gubernatorial candidate Sheffield Nelson and made a taped
statement which I have heard, saying: "I could sink [the cover-up]
quicker than they could lie about it if I could get in a position so I
wouldn't have my head beaten off. And Bill knows that."

* So sensitive was Vince to criticism that he was still bothered about
the heat he was getting for his role in Travelgate. In fact, Fiske
stated that those close to Vince thought that "the single greatest
source of his

distress was the criticism ... he received following the firing of
seven employees from the White House Travel Office. Vince had to keep
Whitewater details bottled up inside - even at home.

* On the day Vince shot himself, he received a shocking phone call
from an attorney at Arkansas' Rose Law Firm saying that FBI Director
William Sessions was about to subpoena the documents of Judge David
Hale. Hale was a Clinton appointee who charged that Clinton forced him
to give fraudulent SBA loans of millions of dollars to Clinton's
friends. In the Senate hearings, Clinton's people denied suck a call
took place, but I know for a definite fact that it did. And I'm backed
up by the Rose phone billings and Vince's phone log. Also, Sen./
Christopher Bond (R. Mo.) later confirmed that the call was from "an
old friend" at Rose.

* About this time, Clinton fired his FBI Director - a step so
desperate that no President had ever taken it.

* Vince realized that the genie was out of the bottle. He had confided
to his brother-in-law, former congressman Beryl Anthony, that he was
very worried that Congress itself was about to launch a criminal probe
into his affairs. (In this scenario, the "suicide note" was actually
the "opening argument for the defense" before Congress - a defense
which Vince told his wife he wrote on July 11.)

* He was sure that in such a probe, the easy-going David Hale would
spill the beans and drag in Gov. Tucker, Steve Smith, Madison
Marketing, Castle Grande, Whitewater, Vince himself - and inevitably,
Bill Clinton. He mentally added up the fines and prison terms he would
face for concealing Bill's crimes - many of which he had taken a
supporting role in. The total were horrendous. And the thought of
being a central figure in America's first presidential impeachment was
too much for his quiet mind to bear. He told his wife and sister that
he was thinking of resigning. (But he still couldn't let on about the
Whitewater crises.)

* He was cracking up. Everyone around him agreed he looked and sounded
terrible. The Desyrel prescribed by his doctor didn't help. So when
the call came about Hale's supoena, he had to go home and think things
over. But there, alas, he could think of no way out. So he put two
bullets in his revolver, drove across the Potomic to the first quiet
spot he found, hid in some bushes where he could pray in solitude, and
pulled the trigger.

That's the most PROBABLE suicide scenario. Unfortunately for Clinton,
it's as damning as the murder scenario.

Today everyone - from Vince's family to the press in the White House -
professes to be baffled by Vince's death. "How on earth," they wonder,
"could such a typical Washington flap as Travelgate cause Vince to be
so depressed?"

Under either scenario, the plain answer is: It didn't.


VICTIMS No. 5 & 6.

Then you have the small-plane crashes, which are fairly easy events to
stage. Hit men commonly use any of five quick, simple techniques.

One method was used on the first two victims, C. Victor Raiser II, the
former finance co-chairman of Clinton's presidential campaign, and his
son, Montgomery. Their plane crashed in good weather near Anchorage,
Alaska, on July 30, 1992. I respected Raiser as a man on of integrity,
but he was caught up in the shenanigans of the campaign - though he
didn't like them. Eventually, he soured on Clinton and thus became a
potential major leak and a big threat to Bill's presidency.


VICTIM No. 7.

Herschel Friday was another member of Raiser's committee and a heck of
a nice guy. His plane dropped out of sight and exploded as he
approached his own private landing strip in Arkansas in a light
drizzle on March 1, 1994. Herschel was a top-notch pilot and his strip
is better than those in most cities. (I know because I had to use it
once when my own plane's carburetor started backfiring.)


VICTIM No. 8.

Just two days later, Dr. Ronald Rogers, a very vocal dentist from
Royal, Arkansas, was on his way to reveal some dirt on Clinton to
Ambrose Evans-Pritchard, a reporter from the London Sunday Telegraph,
when his twin engine Cessna crashed with a full tank of gas in clear
weather south of Lawton, Oklahoma. His pilot had just radioed that he
was having trouble and needed to refuel at Lawton. (I'm 98% sure of
the technique that killed both Rogers and Friday; it drops your fuel
gauge to "empty," then cuts off your fuel when you tilt forward to
land -and leaves no trace of a clue for investigators.)

There have been six other air crash deaths of former Clinton intimates
and advisors, but I believe they were true accidents. In fact, in the
course of 50 radio/TV interviews, I've talked with a number of people
who blame every accident since the Titanic on Clinton. This
foolishness distresses me greatly because it discredits the actual
known murders. Yes, there are likely hundreds of deaths among people
connected in some remote way to Clinton's scandals, but the probable
murders are pretty much limited to those you see in this special
report - and even some of these could be accidents. Your complimentary
copy of my books, The Impeached President, will let you judge for
yourself.


VICTIM No. 9.

But Barry Seal's death was no accident. His story is so exciting that
Hollywood made it into a movie (Double-Crossed), staring Dennis Hopper
and Adrianne Barbeau.

Barry made about $50 million as a pilot and plane supplier in
Clinton's incredibly elaborate and successful drug-running operation
in Mena, Arkansas.

Iran-Contra was conceived as a simple scheme to use the Ayatollah's
money to send guns to the Contra freedom fighters. But from that
humble, Ollie North beginning, it blossomed into the great Arkansas
dream. Virtually every load of Chinese AK-47s (plus light machine
guns, grenades and other small ordnance) taken from Mena to Nicaragua
was matched by a return load of dope and cash flown in from Columbia
via Panama or the Cayman Islands on "black flights" that Customs
officials and air traffic controllers were instructed to ignore.

According to an exhaustive, top-selling new book entitled COMPROMISED,
by Terry Reed and John Cummings (which I found highly accurate),
pilots were bringing back and air-dropping over $9 million a week in
cash, which was properly laundered and then went into Arkansas
industries owned by friends of Gov. Clinton. (NOT into Clinton's
pockets - he didn't usually do that kind of thing except to pay off
campaign debts and favors.) And in case you're wondering why Bill
needed his land schemes when he had all that money available, the
answer is, the drug operations came later.

Incidentally, the money was laundered through such sterling banks as
BCCI. Remember them? I discussed BCCI's involvement extensively with
its Panamanian president.

Five or six of the CIA subcontractor pilots running the gun-drug loop
under Barry Seal have said that Nella (near Mena) was chosen as the
base for training Contra soldiers mainly because its terrain and
foliage were so similar to Nicaragua. Many local residents still
recall camouflaged Latinos holding maneuvers in the countryside - but
they all agree it's not healthy to talk about it too much.

Iran-Contra was an impressive operation on both ends. I still remember
standing on the deck of a flat-bottom supply boat used to run guns
upriver to the Contras in Nicaragua. It was loaded to the gunwales
with Russian-made rifles, machine guns, rocket-propelled grenades,
etc., in Chinese-marked boxes. The captain and his partner, a German
arms dealer, invited me to sample the merchandise, so I pried the lids
off a couple of the wooden cases, took out some AK-47s, and sprayed a
few clips around the woods. (Very nice guns, but I wasn't in the
market.)

In case this is beginning to sound like a far-right hallucination, you
should know that some liberal groups (ever opposed to CIA tricks)
concur. For instance, The Wall Street Journal said on June 29:

There is even one public plea that Special Counsel Robert Fiske should
investigate possible links between Mena and the savings-and-loan
association involved in Whitewater. The plea was sounded by the
Arkansas Committee, a left-leaning group of former University of
Arkansas students who have carefully tracked the Mena affair for
years.

I wish them luck. And good health. The Arkansas Attorney General, the
IRS, and the state police have been met for fifteen years with "a wall
of obfuscation and obstruction" erected by the Clinton circle of power
which is EVERYWHERE in Arkansas. According to Penthouse, which is not
exactly noted for being a far-right magazine:

He [Clinton] controlled virtually all the 2,000 hand-picked appointees
to an array of boards and committees that effectively rule the
state.... Anyone seeking to do business with the state - and that
included just about everybody running a business - learned to expect
direct solicitations by Clinton campaign finance managers.

Polk County Prosecutor Charles Black, to his credit, once even sat
down with Clinton himself and pleaded for a state investigation of
Mena!

Bill said that "he would get a man on it and get back to me," Black
recalls. That was in 1988. Black is still sitting by his phone. (I'm
sure Bill got a kick out of that interview. I recall him grinning as
he made some comment about "dumb Arkies" one afternoon at the
brokerage I owned in Harrison - one of a dozen or so occasions when we
spent time together.)


But at the risk of sounding as bad as Bill, I must remind you that,
after all, this IS Arkansas.... where:

* One governor before Clinton had every concrete and steel bridge in
the state insured for fire (yes, fire). Guess who owned the insurance
company.

* Another governor, being indicted for fraud, simply canned the judge
and replaced him with the town drunk, who then dismissed the grand
jury.


So just think of Bill as a traditional, Arkansas kind of politition.

But I digress. Barry Seal was eventually arrested by the Federal Drug
Enforcement Administration. To get off the hook, he turned state's
evidence and fingered several big drug dealers. He even managed to
take clandestine photographs of major Columbian and Panamanian
figures, one of which President Reagan showed proudly in a nationwide
TV speech.

But in the end, the DEA betrayed the flamboyant Barry by allowing him
to be sentenced to a halfway house, where a few days later he was a
sitting duck for three Columbian avengers with Uzi and Mac-10
submachine guns with silencers. The ending wasn't pretty, but it made
a hard-hitting movie.

Why did the DEA dump Barry? Perhaps because, as Clinton observed to
Terry Reed, "Seal just got too damn big for his britches and that scum
basically deserved to die, in my opinion..."

I'm not saying Bill ran Iran-Contra. He didn't - not even the Arkansas
half of it. But five men in the Mena operation (sorry, I can't reveal
their names to you) have affirmed that he provided their cover as
governor and "rode herd" on them through the Intelligence Division of
the state police. Other high officials helped. Why? Because the
Arkansas state bonds program (ADFA) received 10% of the net profits -
plus the USE of 100% of the gross in their banks as they laundered it.
Quite a boost to the economy!

At least that was the deal cut with Clinton. But the mena operations
(code- named Centaur Rose and Jack Bridge by Reagan's CIA Director Wm.
Casey) finally had to be yanked from Arkansas and moved to Mexico
under the name Operation Screw Worm. Simple reason: Bill and his
friends just couldn't resist putting Arkansas' hand deeper into the
till than they were supposes to.

In fact, eyewitness Reed details at length the tense meeting in which
William P. Barr - later President Bush's Attorney General - breaks the
bad news to a very angry Clinton. (Sorry, I must condense the
conversation greatly. You've got to read his book!)

On a March night in 1986, they met with Reed, Oliver North, and two
other CIA men in a musty, poorly-lit World War II ammunition bunker at
Camp Robinson outside Little Rock.

After several sharp exchanges and traded insults, Barr said, "The deal
we made was to launder our money through your bond business. What we
didn't plan on was you ... shrinking our laundry.... That's why we're
pulling the operation out of Arkansas. It's becoming a liability for
us. We don't need live liabilities."

"What do ya' mean, live liabilities?" Clinton demanded.

"There's no such thing as a dead liability. It's an oxymoron, get it?
Oh, or didn't you Rhodes Scholars study things like that?" Barr
snapped.

"What! Are you threatenin' us? Because if ya' are...."

From that point on, Barr was able to smooth things out, and he [Terry
Reed] concluded with the most eye-opening passage of the book:

"You and your state have been our greatest asset. The beauty of this,
as you know, is that you're a Democrat, and with our ability to
influence both parties, this country can get beyond partisan gridlock.
Mr. Casey wanted me to pass on to you that unless you f--- up and do
something stupid, you're No. 1 on the short list for a shot at the job
you've always wanted [meaning the Presidency]. That's pretty heady
stuff, Bill. So why don't you help us keep a lid on this and we'll all
be promoted together.

You and guys like us are the fathers of the new government. Hell,
we're the new covenant."

An amazing statement, wasn't it? Especially for 1986.


VICTIMS No. 10 & 11.

 Kevin Ives and Don Henry, two Bryant, Arkansas, teenagers, apparently
were a bit too snoopy about the air drops of dope and cash they had
observed in the nearby countryside at night (part of the Mena
operation).

They were found on the morning of August 23, 1987, having been run
over by a train. "They had fallen asleep on the tracks," according to
state medical examiner Fahmey Malak, a Clinton appointee who had
earned the anger of the locals by pulling such stunts before.

(Remember when Clinton's late mother, anesthesia nurse Virginia Kelly,
caused the deaths of two patients by neglect? Malak was the one who
cleared her. Malak once even declared that a decapitated man had died
of "natural causes," a ruling Clinton defended as a mere symptom of
overwork.)

Malak's opinion caused a big ruckus locally. Eventually, the boy's
irate parents managed to get a second coroner's opinion, and the
official causes of death were changed to being stabbed in the back
BEFORE the train came.

At this point.... (see next post)


VICTIMS No. 12 though 17.

(At this point...) ...six local people came forward independently,
each claiming to have some special knowledge about the deaths of the
boys on the track.

All were slain before their testimony could do any good. Police
involvement is suspected in most cases, but not all:

* Keith Coney had been slashed in the neck and was fleeing for his
life when his motorcycle slammed into the back of a truck. "A traffic
fatality," police said.

* Gregory Collins was found shot in the face by a shotgun.

* Keith McKaskle was brutally stabbed at home - 113 times. (He knew he
was doomed, and had told his friends and family goodbye.)

* The burned body of Jeff Rhodes was found in the city dump, shot in
the head - and with his hands, feet and head partly cut off.

* Richard Winters was killed by a man with a 12-gauge sawed-off
shotgun.

* Jordan Ketelson died of a shotgun blast to the head and was found in
the driveway of a house in Garland County. "A suicide," the sheriff
said.


Do you see a pattern here?


All in all, after ten years of Mena operations, not one arrest was
ever made, an accomplishment that is possible only when someone
controls the whole state like a collie controls sheep.


VICTIM No. 18:

Danny Casolaro was a reporter who was investigating the connections
between Mena, BCCI, Iran-Contra, Reagan's "October Surprise," Park-on-
Meter Co. (which made dope-storage nose cones for the airplanes at
Mena), and the ADFA (Clinton's billion-dollar state bonds racket). He
affectionately called this network "The Octopus". On August 10, 1991,
just as he was about to receive information linking Iran-Contra to the
Inslaw scandal, Danny was found with his wrists slit in the bathtub of
a hotel room in West Virginia. What a coincidence.


VICTIM No. 19.

Paul Wilcher, a Washington D.C., lawyer, was deeply investigating Mena
and other scandals. He was scheduled for a meeting with Danny
Casolaro's former attorney, but on June 22, 1993, was found dead in
his apartment, sitting on his toilet. (The bathroom killer strikes
again?)


VICTIM No. 20.

Ed Willey, the manager of Clinton's presidential campaign finance
committee who, according to a reliable source in Texas, was involved
with shuffling briefcases full of cash, supposedly shot himself on
November 30, 1993.


VICTIM No. 21.

John A. Wilson, a ruggedly honest city councilman in Washington, D.C.,
knew a lot about Clinton's dirty tricks. According to my sources, he
was preparing to come forward and start talking about them. But then
on May 19, 1993, he just decided to hang himself instead.

There are other possible victims, like Paula Gober, Jim Wilhite,
Stanley Heard, Steven Dickson, Timothy Sabel, William Barkley, Scott
Reynolds, Brian Hassey, and so on. But my evidence about them isn't
convincing, and I refuse to join those who call every Clinton-related
death a murder.

What IS convincing is just the sheer numbers of untimely deaths in the
Clinton circle of influence - plus a long string of threats, attacks,
beatings, break-ins, wiretaps, and other intimidation. For example: *

Dennis Patrick of Kentucky has survived three attempts on his life so
far - and is now in the Federal Witness Protection program. (Hang in
there, Dennis - and never forget who's in charge of that program!)

He was the unwilling customer of Lasater & Company in Little Rock,
where tens of millions of dollars were traded (read: laundered) in his
account in 1985 and 1986. Only two problems: He never knew what the
trades were ... and it wasn't his money! (Coincidentally, the trading
stopped when Barry Seal was killed on February 19, 1986.)

And that's not even the scary part of the story. The fact that may
make your hair stand on end is that Dan Lasater is:

- Bill Clinton's second-best friend.

- a convicted cocaine dealer.

- a noted host of lavish cocaine parties featuring very young women.

- the employer of Bill's brother.

- and the head of Lasater & Co., which issued all $1 billion of
Arkansas' state bonds in the '80s (but only if each bond beneficiary
first made a huge donation to Clinton's operations or put Hillary on
retainer.)

It is also alleged that Lasater laundered hundreds of millions of drug
dollars through that firm. But the day after Dan's release from prison
only six months later, Bill pardoned him! Plus, while Dan was still in
detention, he gave power of attorney to run the company to Patsy
Thomasson, who was one of Bill's top administrative aides, and Bill
continued to funnel all the state's bonds through the company -
another $664 million worth!

Lasater & Company was the major source of brokered deposits in Madison
Guaranty S&L.

And Patsy is now director of the White House Office of Administration.
God help us all.

* According to a sophisticated journal called Heterodoxy, journalist
L.J. Davis spent a week nosing around some sensitive areas in Arkansas
last February. Then on the 14th, as he entered his Little Rock hotel
room to dress for dinner, he was knocked cold. When he awoke on the
entry floor four hours later, his wallet was intact, but his notebook
and skull weren't. And there was no furniture within falling distance
to account for the damning egg-size lump over his left ear.

Three weeks later, he sent a draft of his story to The New Republic by
modem. Three hours after that, the phone rang. A rich baritone voice
began, "What you're doing makes Lawrence Walsh look like a rank
amateur."

"Who is this?" Davis demanded.

"Seems to me, you've gotten your bell rung too many times. But did you
hear what I just said?" (click)

Says Davis now, "I used to laugh at things like this - until I ended
up on the [explicative] floor."


If all this sounds like tabloid trash to you, you're absolutely right.
And there's a very good reason: The people behind these crimes ARE
tabloid trash.

* Then there's the arson stuff A nasty little blaze broke out in the
Little Rock offices of Peat Marwick, way up in the fourteenth floor of
Worthen Tower at midnight, January 24, 1994, just four days after
Fiske's start as Whitewater investigator. It wasn't a BAD fire, you
see, just bad enough to consume the area that held their 1986 audit of
Madison Gauranty. A former Peat Marwick executive tells me that the
word came down from Clinton, and they were most definitely FORCED to
destroy the documents.

And remember the flap about the medical records that Bill refused to
release? Word is, all that cocaine finally destroyed his nasal
passages. ("Allergies," Bill says.) He spent huge amounts of time
flying around the country with Dan Lasater in his cocaine-laden jet
and went to numerous parties thrown by Lasater and others, some of
which featured "blizzards of cocaine," accordingly to participants.

Brother Roger recently admitted to doing six to eight grams a day (and
being a dealer for Lasater), but Bill's usage was probably much less.
Alas, we'll never know. His doctor's office files went up in flames.
(Tsk, tsk. Those medical offices. You KNOW what a firetrap they are.)

Speaking of drugs: Sally Perdue, a former Miss Arkansas and popular
talk show hostess, has told the London Sunday Telegraph that during
her 1983 affair with Gov. Clinton (verified by state trooper L.D.
Brown), Bill would usually smoke (AND inhale) two or three ready-made
marijuana joints drawn from his cigarette case in a typical evening.

On one occasion he pulled out a baggie of cocaine and prepared a
"line" right on her table. "He had all the equipment laid out like a
real pro," she recalls. (A mid-level Democratic Party leader warned
Sally, before a witness, that if she didn't keep quiet, he "couldn't
guarantee what might happen" to her "pretty little legs" when she went
out jogging.)

I've also talked with others who say they "got high with Bill" many
times - including his personal drug supplier, who is now being held
incommunicado in Leavenworth by Janet Reno. When the time comes, they
will all speak out. In fact, the main problem may be half of Arkansas
trying to get their names in the headlines!

* For a change of pace, here's an incident that's non-violent - but
does involve the President himself.

Little Rock attorney Cliff Jackson, an acquaintance of Bill's from his
Oxford days, was approached in July, 1993, by Larry Patterson and
Roger Perry, two members of Bill's Arkansas security detail. They
wanted to discuss blowing the whistle on his sex escapades. (Other
troopers backed up the stories.)

As told to New American magazine, Jackson was discussing their stories
on the phone in August with another attorney, Lynn Davis (not related
to the above Davis, when....

...he became suspicious that the phone had been tapped. He suggested
to Davis that they meet in a nearby restaurant. "The whole time we
were there, this suspicious-looking guy kept his eye on us," Jackson
recalls. "After we left, we were followed by this dark Suburban with
darkened windows and a Texas license plate." Davis noted the vehicle's
license number and ran a check on it; no such license number existed.

You've heard of unlisted numbers? Welcome to the phantom surveillance
world of unlisted license plates!

Just a few days later, the troopers received phone calls from both
Clinton and Buddy Young, former head of Gov. Clinton's security
detail. You can hear the borderline tone of Young's calls in this
sample:

I represent the President of the United States. Why do you want to
destroy him over this? ... This is not a threat, but I wanted you to
know that your own actions will bring about dire consequences.

Clinton's calls were no big secret, either, For instance, journalist
Gwen Ifill noted in the New York Times:

It turns out that some of the calls that were overworking the White
House switchboard operators [in the fall of '93] were going not to
Capitol Hill but to Arkansas state troopers [to discuss] potentially
embarrassing charges about his marital fidelity.

The troopers related that Bill asked about the pending allegations and
offered them plush jobs. I think what he wanted most was the kind of
loyal silence and amnesia he gets from people like Buddy Young, whom
he appointed to a $93,000-a-year FEMA job (not a bad promotion for a
cop).

Indeed, there was a lot to be silent about. In addition to numerous
one-night ladies, Bill had long-term affairs with six. One was a real
bellringer: The Los Angeles Ties sifted through thousands of pages of
state phone bills and found 59 calls to her, including eleven on July
16, 1989. On one government trip, he talked to her from his hotel room
from 1:23 to 2:57 a.m., then was back on the phone with her at 7:45
that morning.

Bill's fallback defense is always that, as he claimed on National
Public Radio, "The only relevant questions are questions of whether I
abused my office and the answer is no."


Well, what do YOU say?

* By far the unluckiest [living!] guy in Arkansas is lawyer Gary
Johnson, 53, who was peacefully living at Quapaw Towers in Little Rock
when Gennifer Flowers moved in next door to him.

Now, Clinton denied on 60 Minutes that he ever visited Gennifer. But
Gary had a home security system that included a video camera pointed
at his door. Unfortunately, it also covered Gennifer's door. and after
awhile he had several nice visits on tape, showing Bill letting
himself in with his own key.

Either Bill finally noticed the camera, or the grapevine told Bill's
aides about it, because on June 26, 1992, three weeks before the
Democratic nomination, Gary got a loud knock at the door. It was three
husky, short-haired state trooper types, and they slugged him as they
barged in, demanding the tape.

Gary promptly gave it to them, but they continued punching him,
breaking both his elbows, perforating his bladder, rupturing his
spleen so badly that doctors had to remove it, beating him
unconscious, and leaving him to die.


Now here's a question for you: Do you think Bill Clinton actually
picked up a phone and initiated this attack?

And here's a better question: What difference does it make?

For obvious reasons of liberal loyalty, no one in the major media
wants to stick his neck out and be the first to do a major piece that
pins all these murders and attacks on the President of the United
States.

But sooner or later, the damn will break. The weight and scope of the
crimes are just too massive. Even if only HALF of these incidents turn
out to be accidents or true suicides, Bill will find it impossible to
wiggle out from being implicated in the rest, When some indicted hit
man or functionary sees the evidence piling up against him, he will
sing like a sparrow to save his own tail feathers. And you will know
all the facts before the tidal wave hits - if you'll accept a free
copy of my book.

Remember, it took a year for Whitewater to become media fodder after
its discovery. But when it did, the crises of confidence in Nixon
rattled the stock market to its foundations, and U.S. shareholders
lost almost half of their money in the biggest drop in 40 years. The
U.S. then suffered the worst recession since the great depression.


Speaking of big money, here's....

How to Make $2 Million Developing a God-Forsaken Tract of Land Without
Selling One Square Foot of It.

When the media folk tell you about Whitewater, they left out a few
amusing details. So, is a spirit of altruistic service and public
education, I'm going to let you in on the secrets of how to pull off a
land scam. Pay attention, because you've never heard this before.

A. Real estate developing is more fun when you can borrow all the
capital without having to pay it back ... or even sell any land. So to
get started, you need two friends: one an appraiser, one a banker.

B. Next, you find some dirt-cheap dirt. Anywhere in the boondocks will
do. In the Whitewater case, it was 230 acres of land along the White
River for about $90,000. (Some housing tract! It was 50 miles to the
nearest grocery store.)

C. Then you get your appraiser friend to do a bloated appraisal. Hey,
what are friends for? Let's say he pegs it at $150,000.

D. You go to the bank and get the usual %80 loan. You now have
$120,000, so you pay off the land, and you still have $30,000 left in
your pocket. You're on a roll.

E. You pay $5,000 to subdivide it and bulldoze in a few roads. (Or if
you know the ropes, you get the state to do it, as Bill did to get a
$150,000, two- mile access road.)

F. Viola! You are now the proud owner of a partly developed luxury
estate community. So you call up your appraiser friend again, and he
re-evaluates it at a cool $400,000.

G. You hustle back to the bank and get a new 80% loan based on the new
value. (Nothing out of line so far. An 80% loan is standard, right?)

H. You draw up plans for some fine houses (which will never be built).

I. You get a new appraisal.

J. You get a new loan.

K. You make two or three phony homesite sales to friends. You shuffle
the funds among your shell corporations and bounce it back to your
friends - plus a little extra for their help.

L. You get a new appraisal.

M. You get a new loan.

N. You do a "land flip," selling the whole thing to Company X for
$800,000, which sells it to Company Y for a million, which sells it
back to you for $1.25 million. (All of these companies are your
friends.) And yes, this kind of thing DID happen in Whitewater and
Madison. In fact, Whitewater figures David Hale and Dean Paul once
flipped Castle grand back and forth from $200,000 to $825,000 in ONE
DAY!

O. You get a new appraisal.

P. You get a new loan.

Q. Finally, your development corporation declares bankruptcy, and the
bank has to eat your loans because the money is all gone, and since
the record- keeping is so poor, nobody knows where it went.

But weep not for the bankers. You pay then nicely - perhaps a third of
the $2 to $3 million you skim off. Weep for the taxpayers who bail out
their banks.

Which is to say, in the case of Whitewater, weep for yourself.

Does this actually WORK?

Whitewater was just the first of a series, like a pilot for a sitcom.

Using Whitewater as a prop, Bill and his partner Jim McDougal milked -
by my rough estimate - several million dollars from the SBA and at
least five or six banks and S&Ls, starting with the bank of Kingston.

But their later ventures, bringing in Steve Smith and now-Gov. Jim
Tucker, did ever better. Campobelo started with about $150,000 in
property and squeezed over $4 million in loans from banks in about two
years. Castle Grande began with $75,000 worth of swamp land and
cleared over $3 million. The only human artifacts on it today are a
few old refrigerators and mattresses.

Why do I have information you haven't seen before? Because my firm had
$10 million in Madison Guaranty S&L, and I was thinking of buying the
Bank of Kingston. (I was already worth millions at that time.) When I
saw Kingston's financial statement, however, I ran like a scalded cat.

And Madison was worse. You didn't have to be a Philadelphia CPA to
spot their money laundering, dead real estate liabilities proudly
listed as assets, huge amounts of 24-hour deposits from brokers, and
$17 million in insider loans. It was a nightmare.

Whitewater Development Corp. has at least an appearance of sincerity.
It even had TV commercials, starring Jim's striking young wife, Susan,
in hot pants, riding a horse. Another one showed her behind the wheel
of Bill's restored '67 Mustang.

But after Whitewater, the deals began dropping their frills like a
hooker in a hurry to get things over with. The RTC criminal referral
that Bill suppressed during his presidential campaign cites such later
corporations as Tucker-Smith-McDougal, Smith-Tucker-McDougal, and
Smith-McDougal. Catchy, eh? If it were me, I would have called them
Son-of-Whitewater, Whitewatergate, and Whitewater & Ponzi, L.P.

On their 1979 income tax, Hillary valued Bill's used undershorts -
donated to charity at the end of their action-studded tour of duty -
at two dollars a pair.

Plainly, we are dealing here with a couple that gives loving attention
to detail in matters of deductions.

As you may recall, however, Clinton has proclaimed over and over how
he simply "forgot" to deduct about $68,000 he claims he lost in
Whitewater. Commentators have been mystified by the paradox.

But it's no mystery to me. The reason is obvious: Bill didn't deduct
the $68,000 because he didn't lose a dime on Whitewater, and he didn't
want to do time for tax fraud. Period.

Jim McDougal put up all the money except for $500 - and Bill borrowed
even THAT.

But weep not for Jim. Not only was he Bill's partner in Whitewater, be
he owned Madison Guarantee S&L, which was the designated milk cow that
provided most of the inflated loans. Weep instead for the taxpayers -
like you and me - who picked up the $66 million dollar tab when
Madison folded.

The Paperless Office Is Pioneered by the Rose Law Firm

Will Bill and Hillary go to jail for masterminding all the land deals
that fall under the label Whitewater?

I expect they will - not because of existing documents, but because of
the testimony of subpoenaed people.

The few remaining documents will play a supporting role, but frankly,
friend, there aren't many left. According to grand jury testimony: On
February 3, 1994, right after Fiske became special counsel for
Whitewater, the nice folks at the Rose Law Firm fired up their high-
speed Ollie-o-Matic paper shredder and ordered courier Jeremy Hedges
to slice 'n dice his way into the history books full of Whitewater
documents. As far as anyone knows, Rose now has no more Whitewater
records than you do.

Actually, a lot of the usual documents were never created in the first
place. For instance, there was no written partnership agreement (don't
try this at home). No transactions were written up, even though
Clinton's real estate agent says there were $300,000 in sales. No
deeds were ever recorded. And if any interest was paid on bank loans,
the payment checks are missing.

Plus, after Whitewater, Bill got very smart and kept his name
completely out of every subsequent deal he cut. But the Whitewater
moneys, probably several million, ricocheted from shell company to
shell company like the basketball in a Harlem Globetrotters warm-up
drill, and every dollar wound up in the proper pocket. Beneficiaries
included many of the biggest names in Arkansas - like Gov. Tucker,
Seth Ward, and some very powerful executives from outfits like Wal-
Mart and Tyson's Chicken -Clinton campaign backers all. (Campaign
records for 1982 and 1984, the most suspicious years, have also been
studiously shredded.)

And Bill, who entered public office with nothing but debts, and who
never made over $35,000 a year as governor, is now worth about four to
five million. A real rags-to-riches, American success story, isn't it?
Kind of puts a lump in your throat.

But there's another reason for Bill's success. In a word, Hillary.
Prepare to be shocked as you learn...

Why the Feds Settled for $1 Million on $60 Million in Debts

You'll find this one hard to believe, so read carefully.

ITEM: When Madison Guaranty folded, it was somewhere between $47 and
$68 million in the hole. The tab was settled at $65 million.

ITEM: One of the biggest defaults was $600,000 in loans to one of
Madison's own directors, Seth Ward, who is the father-in-law of Webb
Hubble. Webb happened to be Hillary's law partner until April was the
No. 3 man at the Justice Department - and assigned to investigate
Whitewater!

ITEM: When the RTC cleanup crew took over Madison, Hillary had been on
retainer to Madison for many months.

Got is so far? OK. Now, the RTC lawsuit sought $60 million from
Madison's debtors. But here's what happened:

1. Hillary negotiated the RTC down from $60 million to $1 million.
What a talker!

2. Hillary then got the RTC to forgive the $600,000 debt Seth Ward
owed the RTC - every penny of it - thus leaving the RTC with $400,000.

3. But wait! Hillary did these two deeds as the counsel for RTC, not
Madison! Incredible as it sounds to those of us who have to live in
the real world, Hillary got herself hired by the RTC, and in THAT
position, from the government side, she talked them down to $1
million.

4. Her fee for the RTC job was (pure coincidence) $400,000. Which left
the government with $400,000 minus $400,000 ... or in technical
accounting terms, zippo.

5. And who do you suppose was the mastermind who conned the RTC into
hiring Madison's own Hillary to prosecute Madison? It was none other
than the late Vince Foster! When he made his pitch to the RTC, he
neglected to tell them about Hillary's retainer with Madison. In fact,
he even wrote them a letter stating that the Rose Law Firm didn't
represent thrifts.

Vince and Hillary were, by the way, very, uh, close. Not only were
they partners at Rose, but there's no shortage of people who saw