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$Unique_ID{bob01022}
$Pretitle{}
$Title{Iran-Contra Affair: The Report
Chapter 4C Channell-Miller Network - The Operation}
$Subtitle{}
$Author{Various}
$Affiliation{}
$Subject{north
channell
nepl
miller
fischer
contras
president
o'boyle
artiano
money}
$Date{1987}
$Log{}
Title: Iran-Contra Affair: The Report
Author: Various
Date: 1987
Chapter 4C Channell-Miller Network - The Operation
White House Briefings and Hay-Adams Gatherings
The North briefing in June 1985 served as the blueprint for other similar
briefings during the next year for NEPL contributors or potential
contributors. These group briefings occurred on October 17, 1985, November
21, 1985, January 30, 1986, and March 27, 1986.
The White House briefings were meticulously planned by NEPL, IBC, North,
and White House personnel. Internal White House memorandums obtained by the
Committees show that North was the switching point for arranging and
coordinating the briefings with White House liaison, White House Counsel, and
White House security.
NEPL prepared and sent invitations to persons selected by Channell and
his associates. A typical invitation to a briefing stated in pertinent part:
You are one of a small group of dedicated Americans who has stood by President
Reagan . . . in support of his agenda . . . . It will be a pleasure to meet
you in Washington on [date] when you attend our special security briefing
followed by a working dinner . . . . Please be reminded that your
accommodations at the Hay-Adams Hotel are taken care of and there is no
expense to you.
For those who attended, NEPL met them at the airport with a limousine and
escorted them to the Hay-Adams Hotel, where all expenses were paid by NEPL.
The group typically was taken from the Hay-Adams to a reception room in
the Old Executive Office Building, where they were introduced to North and
other White House personnel. Other than North, among those who participated
in these briefings were Patrick Buchanan, White House Communications Director;
Mitch Daniels, Political Assistant to the President; Linas Kojelis, Special
Assistant to the President for Public Liaison; Linda Chavez, Deputy Assistant
to the President and Director of the Office of Public Liaison; and Elliott
Abrams, Assistant Secretary of State for Inter-American Affairs. For the
January 30 briefing, David Fischer - a former Special Assistant to the
President who became a highly paid consultant to NEPL and IBC - even arranged
for a Presidential "drop-by."
North always delivered the principal speech and slide presentation along
the lines of the June 1985 briefing. While he was an effective speaker, North
generally was careful not to ask for money, often telling the audience that he
could not solicit funds because he was a Federal employee. He did, however,
suggest that persons interested in contributing funds for the Contras should
speak with Channell. At least one attendee at these briefings recalled
North's stating that there were certain matters he could not discuss with them
"on this side of Pennsylvania Avenue" but that Channell would raise later "on
the other side of the street," a reference to the Hay-Adams Hotel.
An account of North's presentation was provided at the public hearings by
an eventual contributor in attendance at the March 1986 briefing, William
O'Boyle:
[North] described the military and political situation in Nicaragua. He had
photographs of an airport in Nicaragua that had been recently built; the
purpose of the airport was ostensibly commercial, but it was in fact a
disguised military airport. One of the uses for which the airport was
intended was to recover the Russian Backfire bombers after they made a nuclear
attack on the United States.
Another possible use of this airport was to fly a certain kind of mission that
was currently being flown out of Cuba, up and down the east coast of the
United States. Apparently every day a Russian plane leaves Cuba, as I recall,
and goes right up the 12-mile limit, has some kind of large device on the
outside of the plane . . . . This Nicaraguan air base would allow the
Russians to fly the same kind of mission up the west coast to the United
States . . . .
He described the refugee problem . . . and we could look forward in the next
few years to millions of refugees flooding across our borders as this
happened . . . .
He showed photographs which indicated that the Nicaraguan government officials
were indicated in smuggling dope . . . . He also told an anecdote about some
Nicaraguan agents that were recently caught with dope and money and so forth
and disguised as American agents.
O'Boyle indicated also that North furnished him with classified information
designed to show that the Soviets were managing the diplomacy of the
Nicaraguans before the United Nations.
After the briefings, Channell, Miller, and their associates hosted a
cocktail party and dinner at the Hay-Adams, often attended by Contra leaders
and some U.S. Government officials. During the reception and dinner, NEPL and
IBC employees attempted to determine which attendees were the most likely
contributors. The enticement of purchasing lethal supplies for the Contras
was often used with potential contributors. Those persons who expressed a
serious interest in contributing money for the Contras were offered the
opportunity to meet one-on-one with North, and, if they gave enough, a meeting
with the President. Large contributors to NEPL uniformly received thank you
letters from North (and often from the President) for their support of the
President's policies in Central America, although without specific reference
to any contribution.
North's Involvement in Solicitations Intended for the Purchase of Lethal
Supplies
In his public testimony, North testified that "I do not recall ever
asking a single, solitary American citizen for money." He readily admitted,
however, that "I showed a lot of munitions lists" to Contra contributors or
potential contributors "in response to questions about the cost of lethal
items." The Committees received evidence on North's activities that shed
light on these statements.
1. "Big Ticket Items" and "Ollie's New Purchase" Lists.
In the late fall or early winter of 1985, Channell asked Miller to have
North prepare and provide a list of "big ticket items" to be used in
soliciting contributions for the Contras. At Miller's request, North recited
a list that included heavy lifting of cargo by aircraft (approximately
$675,000 worth); training and outfitting of an "urban tactics unit"; the
resupply of a Contra fighting unit known as the "Larry McDonald Brigade" (a
Contra unit); and probably missiles of some kind.
Miller typed the list onto his computer, printed a single copy, gave that
copy to Channell, and deleted the computer entry. Channell used this list,
which totalled approximately $1.2 million, to solicit contributions. An
apparently different "big ticket items" list was prepared by North and used by
him and Channell in a solicitation of Nelson Bunker Hunt. Handwritten notes
produced by Miller indicate other conversations with North about fundraising
for lethal supplies. A note dated September 18, 1985, contains entries
reading "$415,000 - Weapons, C4, M79" and "520,000 MAUL." "C4" refers to an
explosive, "M79" likely refers to a grenade launcher, and "$520,000 MAUL"
refers to the cost of eight Maule airplanes. Miller testified that North
provided this information to him with the understanding that it would be used
for fundraising.
Another handwritten note of Miller's contains the entry "Ollie's new
purchase list." The note is dated February 5, 1986. Miller does not recall
the derivation of this entry.
2. North's Special Appeals.
As North testified publicly, he met with scores of potential contributors
to convey the plight and needs of the Contras. Insofar as North's actual
role, the more revealing of these meetings are th