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COMMENT: Insight into how what Peter Dale Scott calls “The Amer­i­can Deep State” oper­ates can be gleaned from one of the polit­i­cal deriv­a­tives of CIA-sup­port­ed drug traf­fic in South­east Asia.

U.S. Ambas­sador to Thai­land (and for­mer OSS chief) William “Wild Bill” Dono­van worked with OSS and CIA oper­a­tive Paul Hel­li­well to dis­trib­ute the laun­dered prof­its of Agency-backed drug oper­a­tions to mem­bers of Con­gress, with Dono­van gift­ing Repub­li­cans and Hel­li­well sup­port­ing Democ­rats.

The Amer­i­can Deep State: Wall Street, Big Oil and the Attack on Amer­i­can Democ­ra­cy by Peter Dale Scott; Row­man & Lit­tle­field [HC]; Copy­right 2015 by Pete Dale Scott; ISBN 978–1‑4422–1424‑8; p.126.

. . . . At the time of the Mar­shall Plan slush fund in Europe, the CIA also took steps which result­ed in drug mon­ey to sup­port anti­com­mu­nist armies in the Far East. In my book Amer­i­can War Machine, I tell how the CIA, using for­mer Office of Strate­gic Ser­vices (OSS) agent Paul Hel­li­well, cre­at­ed two pro­pri­etary firms as infra­struc­ture for a Kuom­intang (KMT) army in Bur­ma, an army which quick­ly became involved in man­ag­ing and devel­op­ing the opi­um there. The two firms were Sea Sup­ply Inc. in Bangkok and CAT Inc. (lat­er Air Amer­i­ca) in Tai­wan. Sig­nif­i­cant­ly, the CIA split own­er­ship of CAT Inc.’s planes with KMT bankers in Tai­wan. This allowed the CIA to deny respon­si­bil­i­ty for the flights when CAT planes, hav­ing deliv­ered arms from Sea Sup­ply to the opi­um-grow­ing army, then returned to Tai­wan with opi­um for the KMT. Even after the CIA offi­cial­ly sev­ered its con­nec­tion to the KMT Army in 1953, its pro­pri­etary firm Sea Sup­ply Inc. sup­plied arms for a CIA-led para­mil­i­tary force PARU, that also was financed, at least in part, by the drug traf­fic.

Prof­its from Thai­land fil­tered back, in part through the same Paul Hel­li­well, as dona­tions to mem­bers from both par­ties in Con­gress. Thai dic­ta­tor Phao Sriyanon, a drug traf­fick­er who was then alleged to be the rich­est man in the world; “hired lawyer Paul Hel­li­well . . . as a lob­by­ist in addi­tion to [for­mer OSS chief William] Dono­van [who in 1953–1955 was U.S. Ambas­sador to Thai­land]. Dono­van and Hel­li­well divid­ed the Con­gress between them, with Dono­van assum­ing respon­si­bil­i­ty for the Repub­li­cans and Hel­li­well tak­ing the Democ­rats.” . . . .


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