Word: contras
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Amid the turmoil, accusations began to surface that there may be yet another shock to come: that some of the profits of the arms-for-hostages deal may have ended up financing pro-contra political advertisements and perhaps even the campaigns of pro-contra congressional candidates. That charge is being made publicly by Democrats who have little evidence and obvious axes to grind, but it is a suspicion that is being voiced within the Executive Branch as well. According to one Government source, the Iranian arms profits were diverted into a political slush fund. According to another source close...
...closed-door testimony to the House Foreign Affairs Committee -- which promptly leaked -- Casey disclosed that Furmark had indeed warned him that there were irregularities involving the profits from the Iranian arms deals. Casey got this tip on Oct. 7, more than a month before the contra diversions were publicly revealed by Meese. Casey promptly took the information to Poindexter and, one of his aides says, suggested that "he get himself a lawyer...
...these revelations, nothing like the full story of the Iranian arms deals and contra fund diversions has yet emerged. The main obstacle: many of the congressional witnesses who could be most enlightening persisted in pleading their right under the Fifth Amendment to refuse to answer questions. North, who was fired from the NSC staff when the scandal broke, and his former boss Poindexter, the National Security Adviser, who resigned at the same time, have repeatedly been identified as prime movers in the whole mess; they reiterated their refusal to testify last week. Others who did the same: Richard Secord...
...diplomatic eyes were on Shultz. The Secretary's agenda listed a variety of arms-control issues, but he was clearly there to hold European hands and soothe European fears about the stability of American foreign policy in the wake of the Iran-contra arms scandal. "I have a rebuilding job to do," he told reporters. Shultz, who has made his dissent from the Iran policy well known, had the unenviable task of persuading the allies that the investigations have not seriously hampered President Reagan's ability to manage U.S. foreign policy...
Following congressional restrictions on contra funding, NSC Aide Oliver North reportedly devises a plan to use private U.S. citizens and other countries to funnel aid to the Nicaraguan rebel forces. President Reagan is said to approve the plan, although former National Security Adviser Robert McFarlane last week denied the existence of such a plot...