From: anonymous-remailer@shell.portal.com
Date: Wed, 6 Dec 95 20:22:42 PST
To: cypherpunks@toad.com
Subject: Re: [FYI] FBI Training Eastern European Police
Message-ID: <199512070422.UAA22589@jobe.shell.portal.com>
MIME-Version: 1.0
Content-Type: text/plain


Dave Del Torto wrote:


>   FBI School Teaches New Tricks to Old Enemies
      ...
>   In matching navy blue polo shirts, the students sat transfixed as
>   they watched slides showing the destruction of the Oklahoma City and
>   World Trade Center bombings.
> 
>   "God forbid you should ever have anything like this happen over
>   here," American instructor Ed Burwitz told his Central European
>   class, outfitted with headphones for simultaneous translation of the
>   lecture. "It is a tough task for any
>   freedom-loving country to prevent terrorism," he added.
      ...
>   The United States fronted $2.5 million to renovate the campus, which
>   includes a brand-new gym, classrooms, dormitories and one of
>   Hungary's few indoor tennis courts. The Hungarian government
>   contributed $500,000 to renovate the facility,
>   but the U.S. will pay the $3.5 million yearly cost to operate the
>   center, which is modeled after the law enforcement training center in
>   Quantico, Va.
>
>   Students from Hungary, Russia, Poland, the Czech Republic and other
>   Central and Eastern European nations attend ILEA's 8-week sessions,
>   the first of which began in April.
>
>   The idea is to help the Eastern Europeans with their burgeoning
>   crimes problems, as well as to foster cooperation on international
>   crime problems.

This sounds like a capital idea.  

I'm certain that the FBI and other law-enforcement officials might
also learn by living in a city where the East truly meets the West.

Budapest is a beautiful old city of bridges, not just literally but
figuratively.  It's where anyone in the world can find comfort.

Americans, French, German, Syrian ... all can use it for transit.

And the annual Grand Prix is one heck of a car race as well.  An
international grand-luxe congregation opportunity.  Burwitz probably
doesn't consider Budapest a hardship post.  Especially if he found
himself a shack up in the hills of Buda on Rose Hill.

>   "I'm amazed at the freedom of travel that is possible" after the
>   opening up of the Eastern nations, Burwitz said. But "that means
>   criminals can travel as well," he said, allowing them to traffic
>   drugs and contraband. "The more interaction we have with these
>   countries in law enforcement, the better it will be for emerging
>   democracies," Kaciban said.

If Burwitz is concerned with emerging democracies, he might profit
from reading some briefing papers, and leaving some of his
pre-conceptions at the door.  Especially, if he plans on getting full
value from his visit.  True bang for the buck, as it were.

Hungary has always been open to "free travel".  

That's why they had a Hilton and an Inter-Continental in Budapest.  In
fact, the "collapse" of the Berlin Wall -- which was missed by most
intelligence agencies -- was a direct result of free travel on the far
side of the "Iron Curtain".

There was always travel freedom within COMECON.  There had to be.
Truckers as an example traveled throughout the East.  And there were
always family vacations as well.  What was missing was a way to have
large population movements from East to West.  Migration.

Hungary solved that problem when it opened its border with its
historic ally-cum-subjugator, Austria.  Hungary's boldness allowed
East Germans -- skilled East Germans -- to exit in large number to
Austria during their ostensible "vacations" to Hungarian resorts.

They transited Austria to West Germany where they had guaranteed
citizenship, and were assured employment because of their skill-set.
This massive population flow of skilled workers is what ultimately
lead to East German collapse and the subsequent German re-unification.

It was Hungarian and Austrian policy co-operation that allowed Germany
to re-join its two halves.  A co-operation that flowed from an
extended period of Austrian investment in Hungarian enterprise.

(I guess Germany owes Hungary one for that.)  

But the "unification" does lead to some interesting problems, as the
non-migratory East German population -- the ones whose skills were not
as marketable;  or alternatively, those who had valuable skills but
were philosophically aligned with the old regime -- are absorbed into
the Western EU fabric. 

Assimilation can be a very difficult process when attempts are made to
integrate into the German economy those who choose _not_ to migrate
especially if they are either unfit for, or opposed to their
Liberators.  

Eliminating communism did not eliminate the communists.

If Burwitz gets briefed on some history, I'm sure that many things
will fall into context for him, and there will be a greater
understanding of the enemy that he's teaching people to fight.  It's
always good to understand the scope of a problem before you attack it.

That can only help with gaol achievement.

>   Organized crime is doubly damaging to the emerging nations, because
>   it undermines their economies, Kaciban said. Investors are naturally
>   reluctant to dump money into a nation if they believe there is
>   rampant corruption. 

I don't think that "investors" are ever reticent about exploiting
opportunities -- if they are in fact welcome to, and not locked 
out.  Unfortunately many opportunities are only extended by
invitation to a select group of friends and not to an open field.

This is true in Europe as well as anywhere in the world.  Politicians
as an example get access to certain opportunities -- Hillary Clinton's
futures investments, or the Canadian equivalent, Alberta Premier Ralph
Klein's wife's investment in Multi-Corp, as an example.

At it's extreme, Kaciban is correct, this can lead to rampant
corruption, something which is best prevented.  But that is not the
situation we are faced with in the East.  In the East, there is an
understanding that business is about relationships and understandings.

Working relationships.

Anyone that a firm would expect to have a contract with, isn't
probably someone you should be sharing a bed with -- as they say -- in
the first place.

>   Some teachings do not translate for the European
>   students. For example, there is no Russian RICO - the Racketeer
>   Influenced and Corrupt Organizations Act that is one of the strongest
>   American legal tools against organized crime.

Some teachings also probably don't translate well for the American
instructors.  Cultural differences and expectations, as an example,
which are born out of history.

While the idea of a Russian RICO is interesting, it's not overly
realistic.  RICO is meant for a region that has established rules of
engagement -- the breach of which calls for quick "rubber-hose"
justice to ensure the system continues to function.  RICO is best
reserved, in that sense for a litigious America, to make sure that
everyone remembers where their allegiance should lie.

It has very little applicability in a chaotic system.  Not only is
there nothing to "preserve" -- but it truly begs the question of who'd
administer a Russian RICO?  

You can't expect someone who's earning the equivalent of $50/month
not to supplement their official "pay".

>   Eastern European crime syndicates tend not to be based in crime
>   families, instructors said. And organized crime in Russia and Ukraine
>   is so much a part of the society, that it's hard to stop it, said Amy
>   O'Neil, a State Department official not involved in the ILEA.

Yep.  This is a very serious problem.  

Some circles have suggested that the Russian nationalist Zhirinovsky
is involved in some fashion in these syndicates; they've drawn a
parallel to Sinn Fein.

Others think that there is a utilization of KGB remnants (including
those former communists which have now been _absorbed_ into the
"unified" Germany, and continue to hold positions of power there).
They believe that these sympathizers wish to restore and rebuild
Mother Russia and the old social state.  

Some believe that these elements -- those that have a political /
nationalistic allegiance -- are very friendly with the Eastern
European crime syndicates.  A reciprocal arrangement, if you will.

One thing is clear.  Whether or not any of the foregoing hold, or
whether or not this syndicate's motivations are capitalistic or
nationalistic -- their tentacles extend worldwide.  Not only through a
Moscow - St.Petersberg - Frankfurt - Brussels backbone, but even into
the heartland of the United States.

Hard to believe??

The FBI (I think) has identified about 220 "Eurasian" (mostly Russian)
gangs operating in 17 U.S. cities in 14 states.  And I believe they've
identified 5,700 crime gangs in the former Soviet Union (which is up
_significantly_ from the 785 identified in 1991).

The Russian Ministry of Internal Affairs has estimated that gangs in
the former USSR employ about 100,000 _full-time_ members and an
estimated 3,000,000 part-timers.

These gangs' tentacles even by FBI estimates extend worldwide.  

The FBI (again) said that Russian gangs are entrenched in 29 foreign
countries and maintain contacts with nearly 100,000 criminal
enterprises worldwide ranging from illegal alien smuggling rings, and
drug gangs, through the child prostitution trade in China and
Southeast Asia.

If these enterprises are even somewhat loosely organized -- as Sinn
Fein was -- then they probably have access to good crypto.  Very good
crypto.  There can be no question of that.

The belief that this syndicate is composed solely of thugs is actually
contra-indicated.

The ISSA (Information Systems Security Association) has suggested that
these transnational gangs employ out of work or underemployed Russian
scientists, mathematicians and computer experts, who earn as _little_ as
$50 to $100 a month in their legitimate jobs because of inflation of
Russia's currency.  

The ISSA, has written that these specialist scientists penetrate the
Internet's global web of more than 60,000 computer networks.  Radicals
even suggest that this group is unique in having access to their own
constellations and communications systems -- but I personally think
that could only be civilian speculation.

This group is well organized, well financed and has a breadth and
depth of manpower that has never before been confronted.

The idea that those Russians who now winter at St. Tropez and who have
joined Monte Carlo cafe society must simply be very effective
"capitalists" doesn't float.  They are true natural talents who
understand the financial system and its networks -- personal networks,
financial networks, and silicon networks.

The former Russian bankers who managed the countries Gold & Oil Sales,
the ones who achieved understandings with De Beer's, the ones who
managed Soviet international FOREX operations, and the ones who
visited with Armand Hammer, and learned from him personally, probably
had some sophistication in these matters.  

They've "dirtied" their hands with matters of Western finance, before.

If they or their lieutenants have donated their talents to these
enterprises, then Burwitz truly has his work cut out for him in
educating and training at the new FBI School.  

He's not just facing some Caspian caviar smugglers.  He's up against
some of the finest talent available.

>   Both students and teachers said there was a remarkable similarity,
>   however, in the use of evidence and investigatory tools among the
>   countries. Eastern Europeans are very familiar with the use of DNA
>   testing, for example, to identify suspects, although they don't
>   always have the money to do it, Burwitzsaid."There are different
>   orders of laws between the U.S. and here," said a Czech student who
>   would identify himself only as Milan. "But essentially, we have the
>   same methods of investigation."

A far worse scenario can come forward than Milan's.

Let's suppose that the other side not only has complete familiarity
with your arsenal of investigatory and evidentiary tools, but also has
a superior knowledge of your own systems and their vulnerabilities, --
a knowledge that is superior to that you yourself possess.

Let's assume that while you were building your systems, hard and soft
systems, the other side has been studying them -- looking for holes
and vulnerabilities, and quietly documenting them.  

Taking an action, no different than your very own study of their
systems, actually.

Now lets suppose that you destroy the other side's system, and cause
economic collapse, social chaos, and national humiliation, while
preserving your own system.  An attempt at supremacy through "other
means".  Have you not invited a retaliatory attack?  

Some might suggest that you have ...

Not that Eastern syndicate elements might wish to see the disease
which has effected post-Soviet Russia propagate.  A share in the 
taste of it.  They're too busy tasting what was promised to them 
by the Voice of America and living the life of a model 
capitalist -- one of the characters from Dynasty.

Groups such as the Congress of Russian Communities, and the decorated
Afghan war hero, Gen. Alexander Lebed -- who Yeltsin asked to resign
as commander of the 14th Russian Army following Lebed's criticism of
the Kremlin -- certainly would have nothing to gain by retaliating in
kind to the disease introduced into the Motherland.

Striking at the state's head, clearly didn't solve this problem.
The essential "talent" has simply re-organized into a new structure,
one which is not under any central command or control hierarchy or
authority.  Simple chaotic self-interests organizing and emerging.

Certainly upcoming Presidential Elections in June and November won't
play a part in this.

"I treat the word democracy with respect," fourty-five year-old Lebed 
told the newspaper Segodya recently.  "But I am sure democracy will 
not be established within my lifetime.  Our country is such that 
democracy will have to be built by authoritarian methods."

Luckily, for all of us, President Boris Yeltsin is firmly in control.  

He has little to fear.  Some people might be looking for a parallel to
MacArthur / Truman, in this instance.  But I personally wouldn't hang
my hat on that hope.

Lebed certainly wouldn't subscribe to Douglas MacArthur's statement
after he was relieved of command in the Far East, in 1951, when he
said, "I find in existence a new and heretofore unknown and dangerous
concept that the members of our armed forces owe primary allegiance or
loyalty to those who temporarily exercise the authority of the
Executive Branch of the Government rather than to the country and its
constitution which they swore to defend.  No proposition could be more
dangerous."

The April/May ISSA Password had this to say.

     "Unless something is done by law enforcement and private security
     agencies on a global scale to deter these Russian criminals, they
     will be looting banks, corporations, and government agencies of
     billions of dollars -- without using guns or the traditional
     methods.  Their modus operandi will be to rely solely on computer
     keyboards and the Internet.

     In an article published in the February 6, 1995, issue of the
     "Washington Times," international security expert and former
     Times editor-in-chief Arnaud de Borchgrave said: (sic)
     "Cyberspace detectives" report that financial thefts by Russian
     organized crime hackers on the Internet last year exceeded an
     estimated $5 Billion in the United States alone.

     Furthermore, he reports that about $300 million in untraceable
     computer transfers have vanished during the past two months
     (Jan/Feb 95) from banks and securities firms based on the East
     and West coasts of the U.S.

I think in February (1995), the CIA and the National Security Agency
(NSA) warned in a joint security report that, "The security of
information systems and networks is the major security challenge of
this decade and possibly the next century."

Burwitz faces a challenge.  If you face talent, information, money,
and organization, while you can't even get your ducks lined up, if you
can't maintain team discipline, then you might pretty well surrender.

You've already ceded much of the high ground, as Burwitz can probably
attest.

To prevent the accusation of being a "red-baiter" perhaps, I might say
that Mao Tse Tung, himself once noted:

   "Some people are intelligent in knowing themselves but stupid in
   knowing their opponents, and others the other way round; neither
   kind can solve the problem of learning and applying the laws of war."

And to close, a return to de Borchgrave, who according to ISSA
Password, wrote:

     "And it's not juvenile hackers who are committing these crimes.
     "Those doing it for the sheer pleasure of causing chaos on the
     net -- usually very young super-hackers -- have rapidly become
     the minority," one cyber detective told de Borchgrave.
     "Transnational crime gangs operating on several continents at
     almost the speed of light are now the main problems."



Alice de 'nonymous ...               <an455120@anon.penet.fi>


                                  ...just another one of those...


P.S.  This post is in the public domain.
                  C.  S.  U.  M.  O.  C.  L.  U.  N.  E.