Reidblog [The Reid Report blog]

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Thursday, March 16, 2006
Duke residue
From TPM Muckraker:

Here's an interesting -- but overlooked -- detail of the Rep. Randy "Duke" Cunningham (R-CA) saga: one of the crooked contractors who bribed the Duke Stir was apparently involved in a Total Information Awareness-like data-mining operation that looked at U.S. citizens' data.

Mitchell Wade, former CEO of MZM Inc., pleaded guilty to several conspiracy and bribery charges a few weeks ago in connection with the Cunningham scandal. But a little-noticed piece of his history goes into one of the most sensitive domestic spying operations we have heard of to date: the Pentagon's Virginia-based Counterintelligence Field Activity office (CIFA).

Wade got over $16 million in contracts with CIFA by bribing Duke Cunningham, who forced earmarks in to Defense appropriations bills on his behalf. Furthermore, Wade's second-in-command was a consultant to the Pentagon on standing up the operation.
So what did CIFA do?

Here's what we know: After the 9/11 attacks, the Pentagon used its massive budget and urgent sense of mission to push into areas of intelligence it had once left to others. Domestic intelligence was one of those areas. DoD created CIFA in 2002 to become a joint center for "force protection" intelligence work at DoD, mainly anti-terrorism.

What's "force protection?" Pentagonese for "carte blanche." In encompasses protection for bases, troops and equipment. And the water supply. The electrical grid. Highways. Contractors, their suppliers -- the list goes on. Which leaves CIFA with a mandate to gather information on, well, just about anything and anybody it wants.
Read the Defense Dept authorization for CIFA here. More on the Cunningham-CIFA connection from WaPo's Walter Pincus here. An exerpt:

Federal investigators are looking into contracts awarded by the Pentagon's newest and fastest-growing intelligence agency, the Counterintelligence Field Activity, which has spent more than $1 billion, mostly for outsourced services, since its establishment in late 2002, according to administration and congressional sources.

The review is an outgrowth of the continuing investigation that resulted in charges against Randy "Duke" Cunningham (R-Calif.), who resigned from Congress in November and is scheduled to be sentenced today after pleading guilty to tax evasion and conspiracy to take $2.4 million in bribes.

In pre-sentencing documents filed this week, prosecutors said that in fiscal 2003 legislation, Cunningham set aside, or earmarked, $6.3 million for work to be done "to benefit" CIFA shortly after the agency was created. The contract went to MZM Inc., a company run by Mitchell J. Wade, who recently pleaded guilty to conspiring to bribe Cunningham.

Also this week, prosecutors released a letter dated Feb. 24, 2004, from Cunningham to CIFA Director David A. Burtt II, in which the former member of the House defense appropriations subcommittee and the House Permanent Select Committee on Intelligence thanked the CIFA staff for supporting another multimillion-dollar program that involved MZM.
Perhaps Bill Nelson should ask Kathy Harris what she knew about this stuff at their first Senatorial debate...

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posted by JReid @ 11:41 AM  


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