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May 15th, 2006 - Intelligence: Goss Goes Out - But the CIA’s Struggles Go On

News article by Newsweek

Profile of Kyle Foggo

Intelligence: Goss Goes Out - But the CIA’s Struggles Go On

 

By Mark Hosenball, Evan Thomas and Michael Isikoff

Newsweek

May 15, 2006

 

If there was one government agency that needed to improve after 9/11, it was the CIA. Apparently, however, the spy agency has only weakened. Forced out last week as CIA director, Porter Goss leaves an outfit that has far more resources than it did five years ago, but still seems to be struggling with low morale and turf battles. Emblematic of the CIA's woes is its number-three man, Executive Director Kyle (Dusty) Foggo. His story is a depressing tale of reform gone awry.

 

After 9/11 and the intelligence fiasco over Iraqi WMD, the CIA bureaucracy was thought to be leaky and rebellious by many White House officials. A former junior case officer at the CIA who had become chairman of the House intelligence committee, Goss replaced an embattled George Tenet two years ago. His first move was to bring in several of his top Hill aides to clean house. They quickly became known as the Gosslings by resentful agency staffers. Foggo was an old CIA hand, but not a member of the elite Clandestine Service running foreign agents. Rather, he was a logistics expert well known to junketing congressmen who visited Frankfurt, Germany, where Foggo was based.

 

At the agency, Foggo soon became embroiled in a turf struggle between the agency's Counterterrorist Center and the newly created National Counterterrorism Center under the control of the new director of National Intelligence, John Negroponte. (Ironically, the DNI was set up by post-9/11 intel reformers to help end turf battles.) Negroponte complained to President George W. Bush, who was also hearing loud grumbles about Goss's poor leadership of the CIA from old intel hands and experts on the president's Foreign Intelligence Advisory Board. Though Bush had once been friendly with Goss, a fellow Yale man, he was persuaded to let Goss go, offering only a few words of faint praise at an Oval Office farewell for the cameras.

 

But the agency's problems may only get worse, and one reason is Foggo. Federal investigators are looking at the ties of the CIA's "Ex Dir" to a congressional bribery scandal. Foggo was a high-school football teammate and college buddy of Brent Wilkes's, a defense contractor who was identified as an unindicted co-conspirator when former San Diego congressman and ex-Navy air ace Randy (Duke) Cunningham pleaded guilty. The CIA has acknowledged that its internal watchdog is investigating if Foggo helped steer any contracts to Wilkes. According to three sources who declined to be identified commenting on the details of a government probe, there are also indications that the Feds are interested in Foggo's role in the wider Cunningham bribery scandal. Recent news reports have alleged that Wilkes (who has not been charged with any crime) sponsored poker parties at the Watergate and other expensive Washington hotels, and that he may have been involved in a scheme to provide prostitutes to the disgraced Cunningham. Wilkes has reportedly denied the allegation through his attorney.

 

Former Texas congressman Charlie Wilson told NEWSWEEK that he attended two or three poker games with federal contractor Wilkes and his cronies at the Watergate, but saw no hookers and quit going to the games because he was bothered by the cigar smoke. An eyewitness (who asked not to be identified commenting on sensitive matters) told NEWSWEEK that in 1999, Foggo, Cunningham and a former Goss aide and ex-CIA official known as Nine Fingers (identified to NEWSWEEK as Brant Bassett) attended an all-male Wilkes poker party at the Westin Grand Hotel in Washington. (Bassett and lawyers for Wilkes and Cunningham declined to comment; CIA spokesman Paul Gimigliano told NEWSWEEK: "Mr. Foggo maintains that government contracts for which he was responsible were properly awarded and administered. If he attended occasional card games with friends over the years, Mr. Foggo insists they were that and nothing more.") The White House is expected to move quickly to replace Goss. The leading candidate appeared to be Air Force Gen. Michael Hayden, currently Negroponte's deputy intel czar. That might calm some of the squabbling between the DNI and the CIA. But Hayden could face a rough confirmation fight in the Senate. As chief of the National Security Agency, Hayden was a principal architect of warrantless electronic eavesdropping on Qaeda suspects inside the United States.

 

Old CIA hands were not sorry to see Goss go. But Defense Secretary Donald Rumsfeld may miss his former bureaucratic rival. The Pentagon has increasingly horned in on the CIA's territory, using Special Forces to run covert operations and gather intel. According to a former senior administration official who did not wish to be identified discussing high-level meetings, Rummy was only too glad to let Goss brief policymakers. Goss often appeared uncertain of his facts and tended to fumble and wander in his presentations. The more tangled up Goss became, the more Rumsfeld sensed he could steal the CIA's thunder.

 

External link: http://www.msnbc.msn.com/id/12666396/site/newsweek/

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