Hookergate sprawls out: Goss & Foggo leave the CIA; NSA's Hayden tapped to replace; strange dance of 'deep politics' continues

Anonymous CIA guy on "Dusty" Foggo, in an email to ex-CIA dude Larry Johnson:
"Guys who hate him pretty much do so because they wish they had the moxie to get as much poontang as they think he is getting."

It is pretty satisfying when five days after I introduced our dear readers to the Hookergate/Watergate scandal and posted a Porter Goss pimp image I whipped up, Goss abruptly resigned as CIA director and his #3, Foggo, goes under criminal investigation for shady Duke-related contracts. The timing is just too damn good, and by all indications this mess is sprawling out into a sizable summer scandal. Therefore we are issuing an updated image of Mr. Goss.

More and more of this story has come out in the press & various websites last week. Obviously, there are a lot of rumors and speculation, which have only grown since Goss abruptly resigned last Friday afternoon. Here is a darn good summary of the main rumors about why Goss resigned, from Kevin Drum at the Washington Monthly blog Political Animal: Why did Goss Go?

• Laura Rozen #2: I hear that when Porter Goss went to meet with Negroponte today, he didn't know he was going to be leaving the job. And that it would have been the President's decision, not Negroponte's. And that this may have to do with how Goss handled a management issue concerning Foggo.
• Justin Rood: I've heard it a bit more bluntly: Goss was told to fire Kyle "Dusty" Foggo, his troublesome Executive Director, and Goss refused. That's what we're hearing now from knowledgeable sources. But there's a lot of contradictory information.
• John Podhoretz: If Goss were somehow implicated in matters relating to Duke Cunningham, say, there's no way on earth Bush would have made such a friendly show of his departure. Seems more likely to me that there was some kind of showdown between Goss and Negroponte and Negroponte said, "Either he goes or I go," and there Goss went.
• Time magazine: The sudden and unexpected resignation of Porter Goss as Director of the Central Intelligence Agency on Friday highlights a long bureaucratic battle that's been going on behind the scenes in Washington. Ever since John Negroponte was appointed Director of National Intelligence a year ago and given the task of coordinating the nation's myriad spy agencies, he has been diluting the power and prestige of the CIA....Earlier this week, in a little noticed move, Negroponte signaled that he would be moving still more responsibility from the CIA to his own office, including control over the analysis of terrorist groups and threats.

We're gonna riff through the material available right now, but first, it's going to take a special chart to get the general outline of this scandal out there. Time to illuminate the cast of characters: "Dusty" Foggo, Duke, Brent Wilkes, and the rest of the gang. Enjoy!

Hope that helps. I think this is a basically accurate outline of the scandal's major components, though of course it could turn out wrong.

Goss as the Neo-Con Stalinist: Keep in mind that Porter Goss tried to purge rebellious Democrats from the CIA, as he (and his deputies) saw them. As the LA Times put it, Goss Leaves a Weakened CIA, Agency Officials Say:

Four former deputy directors of operations once tried to offer Goss advice about changing the clandestine service without setting off a rebellion, but Goss declined to speak to any of them, said former CIA officials who are aware of the communications. The perception that Goss was conducting a partisan witch hunt grew, too, as staffers asked about the party affiliation of officers who sent in cables or analyses on Iraq that contradicted the Defense Department's more optimistic scenarios.

"Unfortunately, Goss is going to be seen as the guy who oversaw the agency victimized by politics," said Tyler Drumheller, a former chief of the European division. "His tenure saw the greatest loss of operational experience" in the operations division since congressional hearings on CIA domestic spying plunged the agency into crisis, he said.

The media's main Goss storyline has nothing to do with Hookergate: he allegedly just quit because National Intelligence Director John Negroponte had taken too much of his power away, and it pissed Goss off. Certainly, as Time reported, the CIA is getting gutted, with many analysts moving into Negroponte's new ODNI entity created by the recent "intelligence reforms". However, this process could go all wrong, as the CIA could be shredded and the ODNI becoming some sort of weird & monstrous new bureaucracy. This is a separate issue, but important to the whole country. The CIA's Existential Crisis on POGOblog (from the Project on Gov't Oversight) has a really good explanation of how the intelligence bureaucracy is being restructured.

It's too damn weird to see the CIA director quit right as stories about a pretty massive sex scandal are looming. Every reporter in town is all over it. Here is Josh Marshall's basic backstory explanation of how Goss, Foggo, Wilkes and Cunningham fit together, from a TPM post last Friday afternoon:

The hookers in Hookergate are, of course, the sizzle. But there's a bigger story. It stems directly from the Randy "Duke" Cunningham bribery scandal, which many had figured was over. But it's not. You may have noticed that while Duke Cunningham is already in jail and Mitchell Wade has already pled guilty to multiple charges, Brent Wilkes has never been touched. Wilkes is the ur-briber at the heart of the Cunningham scandal, you can see pretty clearly by reading the other indictments and plea agreements. Wade was Wilkes' protege. Now, on the surface one might surmise that the prosecutors are just taking their time, putting together their best case. I hear different.

Wilkes has deep ties into the CIA. The focal point of those ties is to Kyle "Dusty" Foggo, the man Porter Goss appointed to the #3 position at CIA when he took over the Agency last year. Remember, Wilkes' scam was getting corrupt contracts deep in the 'black' world of intelligence and defense appropriations, where there's little or no oversight. Foggo was in the contracting and procurement field at the CIA. So you can see how he and Wilkes, who have been friends since high school, had plenty to talk about.

The CIA wasn't the only place Wilkes and his protege Wade plied their corrupt trade. There were also in the mix contracting on the Bush Pentagon's extra-constitutional spying operations. And I am told that senior appointees at the DOD knew about their corruption but overlooked it.

Now, since the Cunningham scandal got under, and particularly of late, there's been a big tug of war between federal law enforcement and the CIA over whether to really go after Wilkes. Probably a little more specificity is in order there, folks at CIA in the orbit of Foggo and presumably Goss.

Now, how does Goss know Foggo? That's how we get into the other part of this story -- those 'hospitality suites', that moveable feast of food, poker and love, Brent Wilkes ran in Washington for maybe fifteen years. We hear that's how Goss got to be friends with Foggo, whom he later promoted to executive director of the CIA, the number 3 post at the Agency.

Now, last week, Goss denied he had attended any of Wilkes' parties, in answer to a question from TPMmuckraker. Foggo admitted attending the parties but claimed he'd never seen the hookers.

Now, corrupt contractors saucing up Agency officials and members of Congress to get contracts and free money. Hospitality suites where the saucing takes place. Hookers in the mix. It's going on for more than a decade, various members of the key committees in the mix. Goss, former member of one of those committees, appoints one of the key players in all this mess as the number three guy at CIA? The feds leaning hard on the limo company owner who probably knows all the details and already has a long rap sheet and can't afford another conviction?

Walter Shapiro in Salon summarized the case:

Porter Goss' spooky demise: For those practiced in connecting the dots, little artistic training is needed to speculatively link Goss' here's-your-hat-what's-your-hurry departure with the bribery scandal surrounding jailed former GOP Rep. Randy "Duke" Cunningham. NBC News reported Thursday night that the CIA is investigating whether a top agency official, Kyle "Dusty" Foggo, improperly steered a $2.4 million contract to his close college friend Brent Wilkes, a defense contractor implicated in the Cunningham case. Wilkes reportedly supplied prostitutes to Cunningham at poker parties that Foggo also attended, though the CIA official denies seeing the female entertainment.

There is no obvious connection between Goss and Cunningham, aside from their having served together in the House for 13 years. But the real mystery is how Foggo became the CIA's executive director, the official in charge of day-to-day operations at the entire agency: He was a midlevel field officer with a procurement background when Goss appointed him in 2004. A CIA spokeswoman, who did not want her name used, said Thursday that the two men met when Foggo testified before the House Intelligence Committee, which Goss chaired from 1997 until 2004, when Bush made him the CIA director. No date was provided for Foggo's testimony before Goss' committee.

Of course, the Foggo-Wilkes connection may have nothing to do with the sudden change in Goss' career arc. Daalder posed the speculative question, "Was there an intelligence blunder that we don't know about -- and that we may never know about?"

The shady intelligence contracts and their security consequences: Laura Rozen in January wrote “Duke” of Deception: The overlooked security implications of the Cunningham scandal for the American Prospect magazine.

Viewed as a corruption case, the Cunningham matter has an arc that suggests the possibility of more high-profile indictments to come. But looked at from a counterintelligence angle, it is even more disturbing. The case is still more worrying if it is turned around, and focused not only on the congressman for sale, but on the defense contractors and foreign-linked financiers who cultivated Cunningham -- and potentially other lawmakers -- precisely because of their position on the Intelligence and Appropriations Committees.

Cunningham has admitted taking $2.4 million in bribes from two men who sought and received not only U.S. government contracts, but particular types of contracts. They were awarded defense and intelligence contracts, including counterintelligence and counterterrorism programs so sensitive their precise details are confined to those with security clearances. As Cunningham himself bragged in a February 8, 2001, letter to defense contractor executives after he was appointed to the Intelligence Committee, “I feel fortunate to represent the nation’s top technological talent in the ‘black’ world,” the San Diego Union Tribune first reported.

Lots more gory details in there, and another story back in December too. Cunningham set up a lot of contracts that infest the whole system: the Pentagon's "newest and fastest-growing intelligence agency", the Counterintelligence Field Activity (CIFA) agency had major contracts with MZM set up by Cunningham. WaPo reported in March, 'Pentagon Agency's Contracts Reviewed':

...[Cunningham] prosecutors said that in fiscal 2003 legislation, Cunningham set aside, or earmarked, $6.3 million for work to be done "to benefit" CIFA shortly after the agency was created. The contract went to MZM Inc., a company run by Mitchell J. Wade, who recently pleaded guilty to conspiring to bribe Cunningham.... CIFA, whose exact size and budget remain secret, was established in September 2002 to coordinate policy and oversee the counterintelligence activities of units within the military services and Pentagon agencies. In the past three years, it has grown to become an analytic and operational organization with nine directorates and widening authority focused primarily on protecting defense facilities and personnel from terrorist attacks. The agency was criticized after it was revealed in December that a database it managed held information on Americans who were peacefully protesting the war in Iraq at defense facilities and recruiting offices.

So this is one of those Pentagon agencies that spies on America. Hi, guys.

The San Diego Union-Tribune has pushed along the Cunningham story from the beginning. This story about Wilkes from last December, Contractor 'knew how to grease the wheels', has the goods about his payoffs to DeLay, how ACDS got government contracts, and it had the earliest hints about Wilkes running a "hospitality suite, with several bedrooms, in Washington – first in the Watergate Hotel and then in the Westin Grand near Capitol Hill." (Photo from the Muckers, who reported the Watergate has been subpoenaed)

House Intel Committee Chair "Not Surprised" Duke Slept with Hookers.

The American Progress Action Fund Progress Report (a liberal organization obviously) had a really good summary of the whole case on May 4 (also posted on Alternet). Go check that out for lots more material on Wilkes, the poker parties, Foggo's involvment there, Goss, the Limo service and the "Defense Appropriations Committee 'Cabal'." It ends with:

Wilkes was reportedly set to receive a contract to "create and run a secret plane network" for the CIA before his links to Cunningham were made public. The roots of this scandal may be as much in profiteering as they are in "this club's conviction that the law is an impediment to the national security cause, that the way to run things is through these informal networks."

Who was Nine Fingers? There is some CIA agent in the poker party mix nicknamed "Nine Fingers", whose role may become clearer, as Newsweek identified him as Brant Bassett, an agent in Operations Directorate. TPMMuckrakers on the case:

"Another player was a CIA agent known as 'Nine Fingers,' so named because he lost one of his digits while on assignment," the San Diego Union-Tribune reported over a week ago in what appeared to be an almost throwaway bit of color.

The Mafia-esque moniker has attracted attention and jokes -- but little new information, until now: Newsweek magazine is the first to identify Nine Fingers as Brant Bassett, whom they also say is "a former Goss aide." He may be a more central character in our story than the SDUT made him out to be.

Bassett is reported to have been a case officer with the CIA's Directorate of Operations, where Foggo worked. Their paths crossed a number of times over the years and they became friendly, I'm told, which isn't a stretch, given that two publications now put Bassett in poker games with Foggo and Wilkes.

An enduring mystery to this fiasco is why Porter Goss promoted "Dusty" Foggo to the very top of the CIA. Now, informed sources are speculating that Bassett may be the link that explains that mystery, at least in part. Bassett, a counsel and staff director for the Human Intelligence panel of Goss' House Intelligence Committee, had ample opportunity to introduce Goss and his close aide Patrick Murray to Foggo. Did he?

Justin Rood and the Talking Points Memo Muckrakers have been all over Hookergate from the beginning - and isn't it nice that the Internet lets this things get legs so fast now? Hit their Hookergate archives for more, including investigations about the corrupt Shirlington Limousine service that moved the prostitutes around, while under a privileged Homeland Security contract. The NY Times reports that Homeland Security doesn't even do background checks on its contractors.

Maverick / weird DC reporter Wayne Madsen has been covering this and his site had some goodies on it early (he is very anti-Hayden too, so check that out). He said May 6:

Although the White House spun Goss' departure as expected following some sort of "transition," it was clear that what WMR has been reporting for some time -- that Goss and his closest advisers, all GOP political operatives and hacks -- had been implicated in the contractor scandals surrounding Goss' Executive Director Kyle "Dusty" Foggo and ADCS head Brent Wilkes. The scandal involved poker parties at the Watergate Hotel and Westin Grand that reportedly featured prostitutes of both sexes, limousines, and situations in which CIA officials could be subject to potential blackmail. Director of National Intelligence John Negroponte became so concerned about the CIA scandal, he told Goss that it was time for him to go. it is now expected that other members of the Goss team -- including Foggo, chief of staff Patrick Murray, Michael Kostiw (who left the CIA under a cloud in the early 1980s after being arrested for shoplifting a package of bacon from a McLean, Virginia supermarket), Jennifer Millerwise Dyck, and others who Goss brought with him from Capitol Hill -- will be shown the door.

What does Larry Johnson's anonymous CIA friend say happened? Larry is one of the "pissed off CIA dudes" on the Hongpong.com sidebar now. He posted a very interesting email from one of his buddies who used to be in there:

If you want to know, the way these things worked were that once or twice a week, Dusty would host a poker game either at his house in Vienna or Brent’s place at the Watergate, later the Westin. These things went on from the mid 1990’s until Dusty went to Frankfurt in the early 2000’s. Basically, Dusty used these games to take his mind off of his feud with Buzzy Krongaard, which was a minor thing to Buzzy, but weighed pretty heavily on Dusty’s mind. When at Dusty’s place, they were pretty much all Agency guys, except for Brent. Dusty’s wife laid out the food and drink. When downtown, Brent would invite Duke and some other denizens from the Hill, but the majority were always Dusty’s Agency poker buddies. Brent would pop for the drinks and snacks downtown, and the ambiance was kind of like the poker game on The Sopranos. At either location, Dusty was the center of attraction and kind of the host. There was always a lot of bitching about Buzzy, even in front of the Hill guys. These were always all guy things, their weren’t any women there. Dusty is a big cigar aficionado, in fact, he used to have the license plate CIGRMAN on his car. The room was always filled with smoke.

Downtown, it wasn’t unusual for guys to crash in the bedrooms or on the couch before going home at dawn to catch a shower and go in to work. It would not surprise me if Brent used the same rooms at the Watergate and Westin for subsidized Congressional encounters with hookers, but I don’t know this to be the case. If Brent did, I doubt that he would’ve said anything to Dusty about it, because, for all of his judgmental shortcomings, Dusty has enough of a political antenna to realize that he shouldn’t be playing poker in the same room where Duke was availing himself of free hookers. As you probably know, Dusty is the type of guy who people either love or hate. In my experience, women who hate him do so because he is an unabashed chauvinist of the old school. Guys who hate him pretty much do so because they wish they had the moxie to get as much poontang as they think he is getting. So there you have it, at least my take.

Who else to check out? Reporter Laura Rozen has been on the Cunningham case for a long time. The new Washington Babylon blog at Harpers by Ken Silverstein broke some of the limo stuff.

What else? Duke is gay? Uhm, well, there was this one story (noted here): "Duke’s House of cards" Washington Blade By CHRIS CRAIN Dec. 02, 2005. Would be funny, wouldn't it?

What you won’t read about in these mainstream press accounts is the other double life led by the closet case, Duke, the anti-gay conservative. Cunningham, who is married with grown children, has admitted to romantic, loving relationships with men, both during his Vietnam military service and as a civilian. That was the remarkable story that this publication reported two years ago, when Elizabeth Birch, the former Human Rights Campaign leader, inadvertently outed Cunningham at a gay rights forum.

Birch never mentioned Cunningham’s name, but she talked about a rabidly anti-gay congressman who asked to meet privately with her in the midst of a controversy over his use in a speech on the floor of the House the term “homos” to describe gays who have served in the military. Alone with Birch and an HRC staffer, the unnamed congressman shared that he had loved men during his life. In telling the story, Birch offered up a few too many details about the closeted congressman.

CIA Director replacement Hayden is sketchy: This has already gotten overly long, so I will let the Hayden stuff go for now. In the meantime, just ponder, do these fuckers ever actually get around to protecting America?!