Article from the August, 1995, issue of Phoenix Letter:


Editor: Antony C. Sutton August 1995


We finally got Waco behind us. (However, see note below.) Legally officials in Department of Justice appear to be guilty of "criminal homicide." This is eloquently argued in the letter printed below from a former Professor of Law Paul N. Savoy.

Attorney General Janet Reno takes the blame for Waco but says, "We would do the same again..." If anyone in Justice is blameless, it is Reno. We suspect a role for Clinton but Reno got terrible advice from permanent Justice Department officials, those we call "the gate keepers." The cover-up artists.

One fact has not yet penetrated officials in Washington. Times have changed. Citizens are awakening. The old way of conning, spinning, cover-up is no longer workable. TODAY A COVER-UP GUARANTEES CONTINUED INTEREST AND MAGNIFIES THE ORIGINAL PROBLEM.

For years we have tracked Washington scandals. Time after time we see cover-up, sometimes blatant (BCCI, Omaha child abuse.) The Billy Sol Estes scandal in the 1960's is the last affair we recall where the conclusion was clean and honest.

Since the 1960's whispers of wrongdoing are virtually always followed by blank-out, only breached with so-called "investigation" if the public screams long and loud. Today the establishment press (following Washington Post and New York Times) has joined the cover-up crowd. Talk radio and TV news magazines have filled the truth gap to some extent. Newsletters have limited circulation but lead the way. C-SPAN has raised the stakes for the Inside the Beltway crowd, "they" have countered with spin control and committee manipulation.

No wonder the public mood is black. Every cover-up promotes the suspicious rebellious mood that blankets this country.

In August 1995, Phoenix Letter introduced a new "cover-up" the Lambros case. A U.S. citizen tortured by Brazilian police with knowledge and aid of U.S. officials. The information available to us is available to Department of Justice. Nothing is done because the first instinct of permanent bureaucrats is concealment, cover-up, lie and distort.

In Lambros the Criminal Division of the Department of Justice (especially Office of International Affairs) is a cess pool of misjustice and this is not the only case mishandled by DIA.

In Lambros, DIA covered up the errors of other government departments (state, CIA, U.S. Special Forces, DEA) and pushed for a mandatory life sentence. The U.S. prosecutor and the U.S. judge ignored the evidence, ignored the law and railroaded Lambros. A weak defense attorney collapsed. (This is the judgment of other attorneys, not only Phoenix Letter.)

There never was a valid extradition case against Lambros.

On March 7, 1991 State Department in Washington sent a RUSH message to American Embassy in Brazil re: Lambros which reads in part: "7. The 1961 U.S.-Brazilian extradition treaty does not cover the jurisdictional aspect of Interstate Commerce or Transportation for U.S. Federal Offenses."

After making this clear admission the State Department asks what could be considered a "crime under the Brazilian Penal Code."

Obviously Washington lawyers couldn't make an extradition case against Lambros, so they wanted the Brazilians to fabricate a case against a U.S. citizen. Sooner or later Mr. Lambros (now in Leavenworth) will find a way to catch the attention of Senator Jesse Helms, a long time enemy of the anti Americans in State Department. (At time of writing TV magazines haven't discovered this story. We can imagine what they will do with a U.S. citizen tortured by Brazilian police to confess a crime he didn't do, so the State Department and DOS have a reason for extradition!

(Note for State Department: file reference for above quotes is 'Unclassified State 071569. ')

The Role of the Gate Keepers

While we were exploring the Lambros case came the latest New Federalist (published by Lyndon La Rouche) with full pay article, ''Time to Clean Out the Justice Department."

This Editor has little use for La Rouche (because of his authoritarian ideas and cult of personality) BUT La Rouche has an excellent research department. Reading the story of the jailing of La Rouche supporters it is clear that the same hands that railroaded La Rouche supporters into jail are also the operators in the Lambros case.

In the La Rouche case, Judge Martin Boestetter found "objective bad faith" and "constructive fraud on the court" by the U.S. La Rouche is free. His associates are in jail. Lambros is in Leavenworth .

The root of the problem is in Criminal Division at Justice Department. We find also that the Office of International Affairs at Justice was once ( 1979-82) headed by Michael Abbell who later worked for the Cali cartel and has recently been indicted. The real gem in the La Rouche article is the chart we reproduce overleaf. It draws your attention to an unusual situation at Justice. Two Deputy Assistant Attorney General slots are permanently filled by civil servants, normally these slots are political appointments. A wise procedure to promote clean hands.

We then made a list of 25 "cover-ups" from the past 15 or so years AND ALL LINK TO OFFICES REPORTING TO THESE TWO PERMANENT OFFICIALS: Mark Richard and John Keeney.

We have a tentative hypothesis that any wrongdoing in Washington can be covered or blocked by these two "gate

keepers." In brief, they have wrongdoers at their mercy. They can institute a cover-up (BCCI, Waco. Mena, Omaha child abuse, Imslaw, Wedtech) or fast track someone into jail (La Rouche, Denjanjuk, Rewald, Lambros.) - they can ignore wrongdoing (Votescam, Captain Russbacher.) On pages 4-5 we list some major cover-ups or suspect Federal Government situations and the link to offices under the PERMANENT control of Keeney and Richard.

What kind of people do we have here? Start with Michael Abbell. At Justice Department. Abbeel made decisions on extradition and related criminal matters, then Abbell goes to work for the Cali cartel. we have a tentative hypothesis that any wrongdoing m Washington can be covered or blocked by these two "gate keepers." In brief, they have wrongdoers at their mercy. They can institute a cover-up (BCCI, Waco, Mena, Omaha child abuse, Imslaw, Wedtech) or fast track someone into jail (La Rouche, Denjanjuk, Rewald, Lambros.) Or they can ignore wrongdoing (Votescam, Captain Russbacher.) On pages 4-5 we list some major cover-ups or suspect Federal Government situations and the link to offices under the PERMANENT control of Keeney and Richard.

What kind of people do we have here? Start with Michael Abbell. At Justice Department. Abbeel made decisions on extradition and related criminal matters, then Akbell goes to work for the Cali cartel.
Source: New Federalist

Didn't anyone in Congress ask for a review of Abbell decisions at DIA? Who was Abbell close to in Justice? If a New York police chief quit and went to work for the Mafia wouldn't anyone get suspicious? INSIDE THE BELTWAY NO ONE EVER GET SUSPICIOUS UNTIL CITIZENS RAISE HELL.

An intriguing aspect is the gate keeper role, acquired and retained by these two permanent officials without oversight, without accountability and without any reputation for open honest conduct. In fact, the opposite. They have created an uproar outside the Beltway, no one believes Washington anymore. We note in the La Rouche case that Judge Bostetter cited "objective bad faith" i.e., the railroading was not undertaken out of personal malice by Justice officials. The information and advice they give cannot be challenged without time and experience. How could Janet Reno challenge a recommendation to use CS gas when she had probably never heard of CS gas and ignorant of its difference to CN (tear gas)? It was Richard who pushed the use of CS at Waco, and Richard controls DIA which railroaded Lambros and framed Demjanjuk (a U.S. court found Office of Special Investigations under Richard had committed fraud on the court.) We also note with interest that no Attorney General has ever taken the precaution of rotating senior DOJ officials. This is standard procedure when the opportunity for corruption is present. Standard procedure in all well run police departments.

When we examine even a partial list of buried scandals and accusations of railroaded individuals, one is faced with an extraordinary dilemma. The Senate and House Judiciary Committees must be aware that top Criminal Division officials have been criticized by the courts, why haven't they investigated? Take a look at the preliminary list we compiled (below.)

In the House, the Chairman of the House Judiciary Committee is Henry Hyde of Illinois. Hyde is the Congressman who boasts that his 'experience" makes term limits unnecessary. Looking at the mess in Justice and Hvde complete silence one wonders what we pay Hyde to do.

What's Gone Wrong?

Our best estimate at this time is that certain elements based in Washington and New York have been overcome with the lust for power. Because so many persons attracted to power gravitate to Washington, D.C. these groups have been able to infiltrate just about every organ of government.

Note we say "elements." The bulk of government knows nothing about this infiltration and is puzzled and angered by citizen statements about "Federal Government out of control.'' When a bureaucrat responds with the ultimate bureaucratic response "you do it because I say so" (i.e., "I have the power of the State behind me.") In many cases he may not even be aware that this is the ultimate in dictatorship. But some are aware.

Within the vast arena of Federal Government, there are individuals and groups who are there to fill their own objectives and well understand what they are doing.

The tragedy is the lack of principle among most of those who are not striving for power. Too many bureaucrats and politicians close their eyes to illegal and immoral activity: "don't rock the boat" is the guiding principle in bureaucratic management as in the academic world. This dynamic corruption is now deep within the system. Not only are honest government employees imprisoned on false charges but corrupt officials are so confident of immunity they will commit illegal instructions to paper.

Their corruption is magnified by a media that is so gullible, fearful and attached to the rewards of "access" that it has forgotten its function is to inform.

Too many in law enforcement are either falling down on the job or involved in corruption. At the top is Department of Justice and DAAG's RICHARD AND KEENEY.

Senate Ethics

The dispute over Senator Packwood has wider aspects than the media is surfacing.

How can a single Senator blackjack the entire Senate into non public hearings?

Why not have public hearings and get this sordid mess out in the open? There is fairly solid evidence that more than "sexual misconduct" is at issue. Add obstruction of justice and conflict of interest at least to the charges.

We suspect unspoken blackmail. Surveillance is so thorough these days that any power hungry operative can acquire enough "dirt" to blackmail a voter sensitive Senator. Remember how the Omaha child abuse case was kept entirely out of the U.S. media? You had to read Phoenix Letter or move to Australia to hear about child abuse in Omaha.

If you read Stich Defrauding America (and you should) you will discover that blackmail is a sizeable industry in Washington.

Writes Stich (page 531.):

"Within the CIA covert operations it is common knowledge that numerous U.S. Congressmen and Senators are implicated in pedophile activities."


To us, the Packwood case is small potatoes, a pitiful case of a weak politician. But apparently Dole, McConnell and the rest of the Senate "leadership" are scared stiff. What are they so worried about?

Times have changed. If cover-up continues, citizen-investigators will ask why. Who knows what lies under other Senatorial rocks? The Packwood case is not going away, there are hundreds out there who will not rest content until this Senator is put out to pasture. And many like this Editor are wondering why Dole is dragging his feet?

Warning: Foreign Passports and Citizenship

Some Americans anxious to escape onerous U.S. taxation and loss of liberty have obtained second passports and foreign citizenship.

U.S. authorities are looking at these dual citizenship cases. Foreign passports are often obtained fraudulently from corrupt officials in foreign countries. Citizens in these countries have unearthed the corruption, we find scathing articles in the foreign press.

In the case of Belize we have copy of a Ministry of Finance letter to the local Immigration Department with a list of foreign persons who have paid funds for passports. These funds go into the pocket of a corrupt official under investigation. Local press is roasting Prime Minister Esquivel. If we can obtain a list, so can U.S. authorities.

Be careful. Many foreign attorneys cannot be trusted and in many countries you would be wise to avoid tangles with the "judicial" system. Under Napoleonic law you are guilty until you prove yourself innocent and that is often a matter of how much money you have rather than factual accuracy.

You might be better off to stay here and fight for repeal of Income Tax Amendment.

Dole, Bilderbergers, Dwayne Andreas and the FBI

When former Prime Minister Margaret Thatcher slashed the Bilderberger group as New World Order fanatics, this was insider confirmation of what many of us suspected, that these global wannabes are up to no good, that New World Order is another device to grab power and money. Empire building ' as Mrs. Thatcher called the Bilderbergers.

Simultaneously a Chicago Grand Jury is looking at the world's largest grain processor, Archer Daniels-Midland, and its Chairman Trilateralist / Bilderberger Dwavne Andreas who uses his New World Order connections to advance ADM by buying Washington influence. Andreas is a master at tapping the public Treasury for the benefit of his companies, a corporate welfare cup-in-hand expert. Not only a double dipper but a multiple dipper.

Among his close Washington friends is President hopeful Senator Robert Dole. Dole is so close to Andreas and his Bilderberoer buddies that if we call Senator D'Amato the Senator from Goldman Sachs, then Dole is the Senator from Archer-Daniels-Midland.

Andreas has substantially financed Dole campaigns, more than several hundred thousand dollars. In 1982 Elizabeth Dole bought an apartment in Florida on favorable terms from Andreas. Ne~ Newsweek estimates that Senator Dole has flown 29 times on ADM corporate jets since 1993, that's more than once a month. Dole reimbursed Andreas (first class commercial fare only, not cost of a corporate jet flight) but it shows an unhealthy relationship between a Senator from a key grain producing state (Kansas) and Andreas the CEO of the world's largest grain processor.

Dole for President? That will take us another step towards New World Order. Given Clinton we at least have a shot at putting Andreas in jail. Evidence of antitrust violations is good. FBI had its mole right at the top of ADM and has hundreds of taped conversations.

Bilderberger-Trilateral Andreas thinks he is smart. Presidential wannabe Dole thinks he is smart to cultivate Andreas. What they don't know is that over decades citizens outside the Beltway Bandit circle have been quietly watching these "smart" operations. Bilderberger Kissinger instructs Newt Gingrich (and make sure it gets front page treatment in New York Times) Bilderberger Andreas buys the Senator from Kansas. And so on.

Neither suspected that the "lron Lady" would disrupt their plans. When they engineered the dumping of the "Iron Lady" as Prime Minister they forgot the lady has the bite of a tigress.

Next step is for Dole to put some distance between himself and Andreas, at least for public consumption

Final Word on Waco

Even if the House Waco Hearings had generated nothing new the eight days of discussion served a valuable purpose.

Our general sense is that Attorney General Janet Reno took the rap for an operation gone wrong. However, if the end result is to reign in the ''cowboys" and remind everyone in Washington that we still live under the "rule of Law" then the hearings will be worth while.

Certainly Treasury Secretary Rubins pre-hearing statement that the Waco Hearings were unnecessary because the "public has already been told the truth" is shown to be elitist self interest. We had not been told the truth. Period.

Moreover, if internal Justice reports had been made public right after the incident the Country would have avoided much anguish. If there is any lesson it is that wrongdoing and mistakes have to be publicly aired. The bureaucratic instinct is to cover up and conceal. The contemporary mood is far too sensitive for their tactic. Let's face it, very few trust Washington anymore. That faith has to be restored and faith isn't restored by soothing words and clumsy cover-ups.

Maybe Washington has got a message. Citizens are disturbed and rightly so. As Wall Street Journal put it, "Law enforcement had better get its act together." There are minor signs that some new procedures are in place.

At CIA a new group of officials has been installed at the top. The most hopeful appointment is that Paul Redmond (the only voice at CIA to call for a serious hunt for an ''Ames") is now counterintelligence chief in the operations directorate. For once the man who rocked the bureaucratic boat has been promoted. Further CIA Director John Deutsch has appointed new directors in covert operations, analysis, administration, science and technology.

At FBI the new No. 2 man is Weldon L. Kennedy. Kennedy is best known for NEGOTIATING an end to the 1987 Atlanta siege when Cuban refugees took 127 hostages. No one died because Kennedy kept his cool and refused to sanction a rescue operation. The rioters surrendered.

In August, the Government settled the Weaver case for 53.1 million and top FBI officials who destroyed documents are under investigation.

Supplementary Information, References and Back-Up Quotes for 25 Cover-Ups List

COVER-UP BCCI DOJ HAD 31 BCCI related cases between 1986 and 1991 and a criminal referral from FRS January 1991. In 1991. DOJ refused to cooperated with Morgenthau investigation in New York, "As we went along the Federal Government grew less and less helpful." (Morgenthau) Washington Post: "evidence indicates that the BCCI investigation was accorded virtually no priority within main Justice" and "Justice was forced to act in response to criticism in the press and rising concern in Congress." (Adams & Frantz, A Full Service Bank, 1992)

BANCA NAZIONALE DEL LAVORO "by fraudulently covering up for the corruption, Justice Department officials and the White House were causing the U.S. Taxpayers to pay billions..." (Stich p. 427).

JOHN DEMJANJUK "fraud upon the court committed by DOJ's Office of Special Investigations in the case of John Demjanjuk who was falsely accused of being the Nazi War Criminal "Ivan the Terrible." (The New Federalist, July 24, 1995)

MENA AFFAIR DOJ is sitting on massive evidence. A dozen investigations have been squashed in Arkansas and Washington. Washington Post suppressed 4,000 word article in 1995. Former Attorney General Hubbell involved. (See Castillo Polederburns)

LYNDON LA ROUCHE U.S. Judge Robert Keaton (Boston) said , ''guilty of Institutional and systematic misconduct" in trial of La Rouche (1988). NY State Supreme Court Judge Stephen G. Crane found "inference of a conspiracy to lay low these defendants at any cost here and in Virginia."

GREGORY LAMBROS U.S. Judge Diane Murphy in Minneapolis under pressure from Office of International Affairs (DOJ) found no evidence of government wrongdoing or physical abuse in the face of abundant, contrary physical and medical evidence. (Court documents.) Faulty extradition by DOJ and State.

WACO DOJ squashed Koresh surrender agreement, pushed Attorney General Reno to use of CS gas and all out assault. (House Hearings, July 1995.)

FRANKLIN (Omaha Child Abuse) DOJ was the coordinator for the cover-up according to Omaha Police Chief Wadman. (See De Camp p. 182, The Franklin Cover-Up)

REWALD CASE CIA money laundering. Dirty tricks operation in Hawaii run by Rewald.

Abandoned by CIA. DOJ falsely charged Rewald, withheld evidence and manipulated the case. (Stich p. 361)

TYSON CHICKEN Counsel Smaltz found evidence of corrupt practices. DOJ ordered halt to investigation.

TERPIL-WILSON CASE Blackmail of members of Congress by CIA/DOJ OPERATION ORWELL covered up. (See Stich Defrauding America pp. 30-4.) "Richard manipulated so as to protect the network around former CIA agents Theodore and Thomas Clines." (New Federalist, July 17, 1995)

MEDELLIN CARTEL Justice ordered seal on Grand Jury proceedings of CIA and White House involvement in Medellin cartel. (New Federalist, July 17, 1995)

NORTH-SECORD 'officials in the Justice Department sought to undermine the attempts by Senator Kerry to have hearings on the allegations." (New Federalist op cit) Reported that most Kerry Committee evidence suppressed but role of Richard not investigated.

RUBY RIDGE Planned in Justice Department. FBI and Justice cover-up wrongdoing. (Late note: U.S. has settled for 3. I million, top FBI officials under investigation for document destruction.)

WHITEWATER Justice has thwarted several investigations. Lost documents.

VOTESCAM John Keeney flatly refuses to consider evidence of vote fraud or order investigation. (See Votescan1 pp. 307-313)

CAPTAIN RUSSBACHER Russbacher was framed by State of Missouri officials (in writing) DOJ aided operation to railroad Russbacher into jail. Stich has considerable material on Russbacher case.

MADISON CASE Attorney Lewis suspended for pushing too hard for investigation of the Madison S & L case.

STICH CHARGES Defrauding America by Rodney Stich is a massive compilation of government wrongdoing. According to Stich, Department of Justice is as corrupt as Central Intelligence Agency. Stich is a former government investigator. Book obtainable from Diablo Western Press Inc., P.O. Box 5, Alamo, CA 94507, $27.50. Contains massive evidence of widespread corruption in Washington government.

INSLAW CASE U.S. Judge rules DOJ has "stolen Promise by trickery, fraud and deceit."

CASOLARO MURDER Casolaro was investigator in Inslaw case. Murdered. DOJ has covered up the murder.

CARADORI MURDER Caradori was investigator in Franklin S & L/pedophile case. (Covered up by DOJ.) Caradori probably murdered (also covered up.)

BLUEGRASS CONSPIRACY Kentucky drug running. Covered up by DOJ.

CIA DRUG IMPORTS In one case CIA admitted to importing ONE TON of pure cocaine from Venezuela. No action taken by CIA or DOJ. Dismissed as a "mistake."

Summary: Washington Cover-ups (25 Cases)





Money laundering / political corruption. Fraud

Buried in Justice Department. (In U.K. BCCI is now in court.)

Banca Nazionale del Lavoro (Atlanta)

Illegal loans. Financing of Iraq.

Justice put blame on Drogoul, local Atlanta manager. Obstruction ofjustice.


World War Il genocide.

Finally released after attempted Justice frame up.

Mena affair

Cocaine trafficking by government.

Justice sitting on evidence. Former Attorney General Hubbell involved.

La Rouche

Mini-Waco attack.

La Rouche free, others railroaded into jail.


Torture by U.S. Agents. Illegal extradition.

Justice suppressed U.S. illegal torture and extradition.


Assault on Branch Davidian eompound.

DOJ quashed Koresh surrender agreement.

Omaha (Franklin)

Extensive child abuse by Washington officials.

Justice suppressed all evidence.


CIA implicated in money laundering.

Justice suppressed evidence. 80 year Rewald sentence. Justice stops investigation by I.C. Smaltz.


Dirty operations and drugs.

Justice manipulated evidence.

Medellin Cartel


Justice ordered seal on grand jury.


Guns for drugs.

Killed and delayed investigations in DOJ. Planned in Justice.

Ruby Ridge

Assault on Weaver.

Planned in Justice. (U.S. settled for $3.1 million.)


Clinton financial ethics.

Justice thwarts several investigations, looses documents.


Civil rights violations.

Reno refuses to act.

Captain Russbacher

False charges.

Russbacher framed in Missouri, DOJ silent.

Madison case

Attorney Lewis suspended.

Lewis pushed DOJ too hard on Madison case.

Stich charges

Fabrication of information.

Stich charges fabrication "routine" at DOJ.

Inslaw case

Computer software stolen by U.S. Government.

Judge rules DOJ had ''stolen Promise by trickery, fraud and deceit.''

Casolaro murder

Islaw investigator.

Criminal division launched cover up (Phoenix Letter October 1991 ) of murder.

Bluegrass conspiracy

Kentucky drug running.

No action taken by DOJ.

CIA imports cocaine

One ton imported from Venezuela bv CIA.

No action taken by DOJ.


Supplies 45 planes to cartel. Launders drug money.

No action taken by DOJ.

Catellus Corp

Political corruption-Feinstein.

No action taken by DOJ.

Who Were Criminals in Waco Assault?
8-7-95 New York Times

To the Editor:

"Judgments on Waco" (editorial, Aug. 3) condemns the assault on the Branch Davidian compound as "imprudent and needless," yet fails to clarify the implications of such a verdict. If there was a lack of prudence on the part of Attorney General Janet Reno and other Government officials, principles of criminal law compel the conclusion they are guilty of criminal homicide. Overwhelming evidence that the Davidians started the fires in which 21 children perished does not preclude a finding that Federal officials were also responsible for the deaths. The law of causation regards A's conduct as the legal cause of B's death if (I) B would not have died but for A's conduct and (2) B's death was reasonably foreseeable by A. For example, if a child is held hostage by a terrorist who threatens to shoot the child if a police officer does not back off, and the terrorist kills the child when the officer approaches, the officer's conduct is a legal cause of the child's death, even if he did not pull the trigger. The Model Penal Code states that when a law enforcement officer would otherwise be justified in using force to effect an arrest, but "recklessly or negligently injures or creates a risk of injury to innocent persons," the justification afforded by the law "is unavailable in a prosecutlon for such recklessness or negligence." If it was reasonably foreseeable that a gas attack on the compound would result in mass suicide, as the evidence suggests, Ms. Reno's failure to appreciate that risk to the children would constitute negligence and justify a verdict of guilty on 21 counts of involuntary manslaughter.

PAUL N. SAVOY Walnut Creek, Calif., Aug. 3,1995 .
The writer is a former prosecutor and law professor.

Phoenix Letter

For more information write (snail mail) JOHN GREGORY LAMBROS directly at:

Prisoner No. 00436-124
U. S. Penitentiary Leavenworth
PO Box 1000
Leavenworth, KS 66048-1000