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The '''Iran-Contra Affair''' ('''Operation Black Eagle''' and also sometimes called '''Iran-gate''') was the result of an arms deal between the [[United States]], [[Iran]] and the Nicaraguan [[Contras]], an anti-communist guerilla group operating against the [[Marxist]] government of [[Nicaragua]]. Essentially, arms were sold to Iran despite an international embargo which was spearheaded just years earlier by the United States. The proceeds from this arms sale were then used to purchase additional arms for the Contras operating in the mountains of Nicaragua.  When these transactions became public, [[Donald Regan]], Chief of Staff to President Ronald Reagan resigned, and a Special Prosecutor Lawrence Walsh was appointed.  Walsh then prosecuted a number of high-level Reagan Administration officials.  Although not generally known at the time, two future Presidents, George H. W. Bush and Bill Clinton, were also involved.  The matter ended later with President George H. W. Bush pardoning the key players on the eve of their trial.

The '''Iran-Contra Affair''' ('''Operation Black Eagle''' and also sometimes called '''Iran-gate''') was the result of an arms deal between the [[United States]], [[Iran]] and the Nicaraguan [[Contras]], an anti-communist guerilla group operating against the [[Marxist]] government of [[Nicaragua]]. Essentially, arms were sold to Iran despite an international embargo which was spearheaded just years earlier by the United States. The proceeds from this arms sale were then used to purchase additional arms for the Contras operating in the mountains of Nicaragua.  When these transactions became public, [[Donald Regan]], Chief of Staff to President Ronald Reagan resigned, and a Special Prosecutor Lawrence Walsh was appointed.  Walsh then prosecuted a number of high-level Reagan Administration officials.  Although not generally known at the time, two future Presidents, George H. W. Bush and Bill Clinton, were also involved.  The matter ended later with President George H. W. Bush pardoning the key players on the eve of their trial.

While the [[foreign policy]] of the United States is explicitly the purvue of the President, Congress nonetheless retains the power of the purse. President Reagan wished to actively oppose the [[Soviet]] and [[Cuba]]n fomented violence and [[Marxist]] [[revolution]] in [[Central America]], and their active material support of the [[communist]] regime of [[Daniel Ortega]] and the Nicaragua [[Sandinista]]s. The [[Boland Amendment]] however, forbid the use of any US federal funds to overthrow the Nicaraguan communist regime. Sources of funding were sought elsewhere.<ref>http://articles.chicagotribune.com/1987-05-06/news/8702030597_1_gen-richard-secord-anxiety-and-ignorance-supply-effort </ref>

While the [[foreign policy]] of the United States is explicitly the purvue of the President, Congress nonetheless retains the power of the purse. President Reagan wished to actively oppose the [[Soviet]] and [[Cuba]]n fomented violence and [[Marxist]] [[revolution]] in [[Central America]], and their active material support of the [[communist]] regime of [[Daniel Ortega]] and the Nicaragua [[Sandinista]]s. The [[Boland Amendment]] however, forbid the use of any US federal funds to overthrow the Nicaraguan communist regime. Sources of funding were sought elsewhere.<ref>http://articles.chicagotribune.com/1987-05-06/news/8702030597_1_gen-richard-secord-anxiety-and-ignorance-supply-effort</ref>

CIA Director William Casey masterminded an arrangement through private, non-governmental entities and international arms sellers to raise funds and arm the Contras. A split-off policy followed to sell arms to [[Iran-Iraq war|Iran in its war]] with [[Saddam Hussein]] which Iran was badly losing. Arms sales to Iran also hopefully would improve US-Iranian relations which hit a low and broke off during the [[Carter administration]].

CIA Director William Casey masterminded an arrangement through private, non-governmental entities and international arms sellers to raise funds and arm the Contras. A split-off policy followed to sell arms to [[Iran-Iraq war|Iran in its war]] with [[Saddam Hussein]] which Iran was badly losing. Arms sales to Iran also hopefully would improve US-Iranian relations which hit a low and broke off during the [[Carter administration]].

Governor [[Bill Clinton]] of [[Arkansas]] responded to the official foreign policy directive of the United States in support of overthrowing the Sandinista regime by sending contingents of the Arkansas [[National Guard]] to [[Honduras]] to assist in training the Nicarauguan Contras.<ref>http://www.upi.com/Archives/1986/08/26/The-nations-governors-disagreed-sharply-Tuesday-over-the-Pentagons/5836525412800/ </ref>

Governor [[Bill Clinton]] of [[Arkansas]] responded to the official foreign policy directive of the United States in support of overthrowing the Sandinista regime by sending contingents of the Arkansas [[National Guard]] to [[Honduras]] to assist in training the Nicarauguan Contras.<ref>http://www.upi.com/Archives/1986/08/26/The-nations-governors-disagreed-sharply-Tuesday-over-the-Pentagons/5836525412800/</ref>

==Mena, Arkansas==

==Mena, Arkansas==

:''Main article:'' [[Mena airport]]

:''Main article:'' [[Mena airport]]

The Mena Airport in Arkansas became the logistical point for implementation of US Central American policy.<ref>https://youtu.be/g_epmurfIk8 ; see also Bill Plante & Michael Singer, ''Still a Strong Scent on the Mena Trail'', Letter to the Editor, [[Wall Street Journal]], 5/3/94. </ref> Gross value of the illegally imported [[narcotic]]s at Mena is said to have reached $100 million per month at its height, nearly ten times its cost of delivery in trade and arms.

The Mena Airport in Arkansas became the logistical point for implementation of US Central American policy.<ref>https://youtu.be/g_epmurfIk8 ; see also Bill Plante & Michael Singer, ''Still a Strong Scent on the Mena Trail'', Letter to the Editor, [[Wall Street Journal]], 5/3/94.</ref> Gross value of the illegally imported [[narcotic]]s at Mena is said to have reached $100 million per month at its height, nearly ten times its cost of delivery in trade and arms.

On 5 October 1986, a C-123 transport plane delivering weapons to the Nicaraguan Contras was shot down by a surface-to-air shoulder launched missile. Two U.S. pilots and a Nicaraguan radio operator were killed, while [[Eugene Hasenfus]], the "cargo-kicker" survived. The plane was carrying "60 collapsible [[AK-47]] rifles, 50,000 AK-47 rifle cartridges, several dozen [[RPG-7]] grenade launchers and 150 pairs of jungle boots".<ref name=Lange>Timothy Lange, ''Daily Kos'', 27 December 2009, [http://www.dailykos.com/story/2009/12/27/819675/-Blast-from-the-Past-Gene-Hasenfus-December-1986 Blast from the Past. Gene Hasenfus: December 1986]</ref> The plane had been owned by the now deceased [[Barry Seal]], and based in Mena, Arkansas.<ref>http://www.wsj.com/articles/SB920421328276427000 </ref> Hasenfus's captured phone book contained the names of Barry Seal, Oliver North, and Felix Rodriguez<ref>Felix Rodriguez, a legendary figure, is known as [[Che Guevara]]'s assassin. http://news.bbc.co.uk/2/hi/7027619.stm  According to ''[[60 Minutes]]'' producer Leslie Cockburn, Rodriguez persuaded the Medellin Cartel to contibute $10 million to aid the Contras.</ref> which the Sandinista's used to attract American media attention and expose the Mena operation.

On 5 October 1986, a C-123 transport plane delivering weapons to the Nicaraguan Contras was shot down by a surface-to-air shoulder launched missile. Two U.S. pilots and a Nicaraguan radio operator were killed, while [[Eugene Hasenfus]], the "cargo-kicker" survived. The plane was carrying "60 collapsible [[AK-47]] rifles, 50,000 AK-47 rifle cartridges, several dozen [[RPG-7]] grenade launchers and 150 pairs of jungle boots".<ref name=Lange>Timothy Lange, ''Daily Kos'', 27 December 2009, [http://www.dailykos.com/story/2009/12/27/819675/-Blast-from-the-Past-Gene-Hasenfus-December-1986 Blast from the Past. Gene Hasenfus: December 1986]</ref> The plane had been owned by the now deceased [[Barry Seal]], and based in Mena, Arkansas.<ref>http://www.wsj.com/articles/SB920421328276427000</ref> Hasenfus's captured phone book contained the names of Barry Seal, Oliver North, and Felix Rodriguez<ref>Felix Rodriguez, a legendary figure, is known as [[Che Guevara]]'s assassin. http://news.bbc.co.uk/2/hi/7027619.stm  According to ''[[60 Minutes]]'' producer Leslie Cockburn, Rodriguez persuaded the Medellin Cartel to contibute $10 million to aid the Contras.</ref> which the Sandinista's used to attract American media attention and expose the Mena operation.

Even when Mena's gun-running operation was shut down after 1986, Mena continued to be used for illegal narcotics smuggling into the United States and the profits were pocketed by locals under then Governor [[Bill Clinton]].<ref>http://www.arktimes.com/ArkansasBlog/archives/2016/08/26/the-boys-on-the-tracks-are-back </ref> In 1989 Clinton received petitions from Arkansas citizens demanding he convene a state grand jury and investigate Mena.<ref>[http://bondiviewertest.azurewebsites.net/DataView/Article/HT?issueKey=19920501&articleKey=19920501021 Clinton Turned Blind Eye to Arkansas Contra Connections], ''High Times'', May 1992, p. 21 </ref> Winston Bryant made Mena an issue in his successful bid for Arkansas [[Attorney General]] in 1990. A year later Bryant turned over state files involving Mena to Iran-Contra special prosecutor Lawrence Walsh, but Walsh did nothing with the reams of evidence.

Even when Mena's gun-running operation was shut down after 1986, Mena continued to be used for illegal narcotics smuggling into the United States and the profits were pocketed by locals under then Governor [[Bill Clinton]].<ref>http://www.arktimes.com/ArkansasBlog/archives/2016/08/26/the-boys-on-the-tracks-are-back</ref> In 1989 Clinton received petitions from Arkansas citizens demanding he convene a state grand jury and investigate Mena.<ref>[http://bondiviewertest.azurewebsites.net/DataView/Article/HT?issueKey=19920501&articleKey=19920501021 Clinton Turned Blind Eye to Arkansas Contra Connections], ''High Times'', May 1992, p. 21</ref> Winston Bryant made Mena an issue in his successful bid for Arkansas [[Attorney General]] in 1990. A year later Bryant turned over state files involving Mena to Iran-Contra special prosecutor Lawrence Walsh, but Walsh did nothing with the reams of evidence.

==The fair-haired boy==

==The fair-haired boy==

By March of 1986, the CIA had already decided to begin extricating itself from Bill Clinton's Arkansas and move the operation to [[Mexico]] largely based upon two factors (1) the bust of Clinton's brother Roger and others close to Clinton on cocaine charges, and (2) the looting of cash, which was the government's property, by the Clinton's Arkansas political machine. A general air of sloppiness and corruption pervaded the Clinton end of the operation.

By March 1986, the CIA had already decided to begin extricating itself from Bill Clinton's Arkansas and move the operation to [[Mexico]] largely based upon two factors (1) the bust of Clinton's brother Roger and others close to Clinton on cocaine charges, and (2) the looting of cash, which was the government's property, by the Clinton's Arkansas political machine. A general air of sloppiness and corruption pervaded the Clinton end of the operation.

A few weeks after Barry Seal a meeting was held in a bunker at Camp Robinson in North Little Rock. The participants were Bill Clinton, Clinton's aide Bob Nash, Terry Reed, Felix Rodriguez, Oliver North, resident CIA agent Akihide Sawahata and an unidentified man in charge (possibly [[Robert Gates]] or William Barr) who represented himself as the emissary of CIA Director Bill Casey.  

A few weeks after Barry Seal a meeting was held in a bunker at Camp Robinson in North Little Rock. The participants were Bill Clinton, Clinton's aide Bob Nash, Terry Reed, Felix Rodriguez, Oliver North, resident CIA agent Akihide Sawahata and an unidentified man in charge (possibly [[Robert Gates]] or William Barr) who represented himself as the emissary of CIA Director Bill Casey.  

Casey's emisary spoke directly to Clinton,  

Casey's emissary spoke directly to Clinton,  

{{Cquote|The deal we made was to launder our money through your bond business but what we didn't plan on was you and your ***** ******* here start taking yourselves seriously and purposely shrinking our laundry.}}

{{Cquote|The deal we made was to launder our money through your bond business but what we didn't plan on was you and your ***** ******* here start taking yourselves seriously and purposely shrinking our laundry.}}

The emissary stated intelligence agencies have the same problem drug traffickers have, laundering cash and finding a bank willing to break the law by not filing required documentation. The bond business gave the state a cash flow that would allow dirty and clean money to co-mingle. The CIA was lacking a dirty banker willing to ignore federal banking laws, but they found it in the Clinton administration. The banker was the [[Arkansas Development Finance Authority]] (ADFA), which was created by and directly under the control of Governor Bill Clinton. Additionally, more than $100,000 was paid by ADFA to the [[Rose Law Firm]] in legal fees, to which his wife [[Hillary Clinton]] was partner.

The emissary stated intelligence agencies have the same problem drug traffickers have, laundering cash and finding a bank willing to break the law by not filing required documentation. The bond business gave the state a cash flow that would allow dirty and clean money to co-mingle. The CIA was lacking a dirty banker willing to ignore federal banking laws, but they found it in the Clinton administration. The banker was the [[Arkansas Development Finance Authority]] (ADFA), which was created by and directly under the control of Governor Bill Clinton. Additionally, more than $100,000 was paid by ADFA to the [[Rose Law Firm]] in legal fees, to which his wife [[Hillary Clinton]] was partner.

==Iran-Contra vs the War on Drugs==

==Iran-Contra vs the War on Drugs==

The most controversial factor exposed in Iran/Contra is the inherrent contradiction in US policy of allegedy fighting to control the import of illegal narcotics into the United States, while at the same time elements within the US government secretly sought, and some claim continue, to profit or gain from controlling the supply of illegal narcotics brought into the United States. The public debate on drug legalization in the United States is now more than 35 years old. With the creation of the DEA and the War on Drugs in 1974 some thought interdiction and enforcement of distribution and possession violations was the solution. However, law enforcement at all levels, from federal to local, maintained 85% still got through to the end users. Some cited the failure of [[Prohibition]] in the 1920s as evidence of the fruitlessness of interdiction and enforcement.

The most controversial factor exposed in Iran/Contra is the inherrent contradiction in US policy of allegedly fighting to control the import of illegal narcotics into the United States, while at the same time elements within the US government secretly sought, and some claim continue, to profit or gain from controlling the supply of illegal narcotics brought into the United States. The public debate on drug legalization in the United States is now more than 35 years old. With the creation of the DEA and the War on Drugs in 1974 some thought interdiction and enforcement of distribution and possession violations was the solution. However, law enforcement at all levels, from federal to local, maintained 85% still got through to the end users. Some cited the failure of [[Prohibition]] in the 1920s as evidence of the fruitlessness of interdiction and enforcement.

Barring a national consensus, beginning with the National Conference of State Legislators up to the federal government, legalization is unlikely, and the War on Drugs will remain official policy, despite wide recognition of it as a failure. The flipside of keeping narcotics illegal however, the argument from experience goes, only makes gangsters and criminals rich. Similiar to lotteries, which at one time were run by organized crime known as "racketeering", state governments now are involved in the "numbers rackets" and reap the profits.

Barring a national consensus, beginning with the National Conference of State Legislators up to the federal government, legalization is unlikely, and the War on Drugs will remain official policy, despite wide recognition of it as a failure. The flipside of keeping narcotics illegal however, the argument from experience goes, only makes gangsters and criminals rich. Similar to lotteries, which at one time were run by organized crime known as "racketeering", state governments now are involved in the "numbers rackets" and reap the profits.

In the interests of [[national security]], a president would have the legal authority, by ''executive fiat'' (ordering prosecutors and customs officials to stand down), to bypass laws on the books in an effort to fight organized crime and take the profit out of illegal narcotic smuggling and distribution. Later "seizure laws" were added under Pres. George H.W. Bush to take down domestic distribution kingpins ''after'' they made their sales and converted their drug wealth into cash or other property.

In the interests of [[national security]], a president would have the legal authority, by ''executive fiat'' (ordering prosecutors and customs officials to stand down), to bypass laws on the books in an effort to fight organized crime and take the profit out of illegal narcotic smuggling and distribution. Later "seizure laws" were added under Pres. George H.W. Bush to take down domestic distribution kingpins ''after'' they made their sales and converted their drug wealth into cash or other property.

The relationship between the CIA and Bill Clinton's Arkansas had been strained, but the bust of Clinton's brother Roger and the main pivot of the money laundering operation, chief [[ADFA]] bond trader [[Dan Lasater]], on [[cocaine]] charges in 1985, caused CIA's decision to leave Arkansas and move the operation to Mexico. The shoot-down of Eugene Hasenfus on October 5, 1986 hastened CIA's exit. Not quite 30 days later a story was leaked to the [[Lebanese]] newspaper ''Al-Shiraa'' that the US sold arms to Iran. The narrative spin quickly became that a few weapons shipment deliveries to Iran over the previous 18 months had funded the Contra supply operation for the previous 5 and half years.

The relationship between the CIA and Bill Clinton's Arkansas had been strained, but the bust of Clinton's brother Roger and the main pivot of the money laundering operation, chief [[ADFA]] bond trader [[Dan Lasater]], on [[cocaine]] charges in 1985, caused CIA's decision to leave Arkansas and move the operation to Mexico. The shoot-down of Eugene Hasenfus on October 5, 1986 hastened CIA's exit. Not quite 30 days later a story was leaked to the [[Lebanese]] newspaper ''Al-Shiraa'' that the US sold arms to Iran. The narrative spin quickly became that a few weapons shipment deliveries to Iran over the previous 18 months had funded the Contra supply operation for the previous 5 and half years.

The first direct transfer of arms did not occur until May of 1986 when National Securuty Adviser Robert McFarlane and Lt.Col. Oliver North secretly delivered arms and equipment to [[Teheran]] with a diplomatic note to the [[Ayatollah Khomeini]] from President Reagan along with other gifts. Prior to this direct contact, some weapons had been delivered through [[Israel]]i surrogates, in an effort to foster goodwill and relations between Iran and Israel. But at the same time, President Reagan was accused of trading ''arms for hostages'', not ''arms for cash to support the Contras''.<ref>http://blogs.cfr.org/zenko/2016/08/03/revisiting-president-reagans-iran-arms-for-hostages-initiative/ </ref> Only after the Hasenfus shoot-down occurred did the official story become Iranian arms sales supported the Contra war for 7 years.

The first direct transfer of arms did not occur until May 1986 when National Securuty Adviser Robert McFarlane and Lt.Col. Oliver North secretly delivered arms and equipment to [[Teheran]] with a diplomatic note to the [[Ayatollah Khomeini]] from President Reagan along with other gifts. Prior to this direct contact, some weapons had been delivered through [[Israel]]i surrogates, in an effort to foster goodwill and relations between Iran and Israel. But at the same time, President Reagan was accused of trading ''arms for hostages'', not ''arms for cash to support the Contras''.<ref>http://blogs.cfr.org/zenko/2016/08/03/revisiting-president-reagans-iran-arms-for-hostages-initiative/</ref> Only after the Hasenfus shoot-down occurred did the official story become Iranian arms sales supported the Contra war for 7 years.

[[File:Handshake300.jpg|right|750px|thumb|[[Rumsfeld]] arranges weapons sales to [[Saddam]] during the [[Iran-Iraq war]]; the [[Contras|Contra war]] was exclusively funded by dope smuggling through Bill Clinton's Arkansas political machine at this time.]]

[[File:Handshake300.jpg|right|750px|thumb|[[Rumsfeld]] arranges weapons sales to [[Saddam]] during the [[Iran-Iraq war]]; the [[Contras|Contra war]] was exclusively funded by dope smuggling through Bill Clinton's Arkansas political machine at this time.]]

This same contradiction in the narative was revisited in 2003 when the US invaded Iraq to oust [[Saddam Hussein]] and force regime change. A much publicized photo from 1982 of [[Donald Rumsfeld]] shaking hands with Saddam was circulated, recalling a time when the US supposedly was selling arms to Iran. Critics of the Reagan policy swallowed the CIA cover story hook-line-and-sinker, that a few belated arms shipments to Iran had funded the entire Contra war for the better part of a decade, and not [[Bill Clinton]]'s Arkansas drug running operation.

This same contradiction in the narative was revisited in 2003 when the US invaded Iraq to oust [[Saddam Hussein]] and force regime change. A much publicized photo from 1982 of [[Donald Rumsfeld]] shaking hands with Saddam was circulated, recalling a time when the US supposedly was selling arms to Iran. Critics of the Reagan policy swallowed the CIA cover story hook-line-and-sinker, that a few belated arms shipments to Iran had funded the entire Contra war for the better part of a decade, and not [[Bill Clinton]]'s Arkansas drug running operation.

After the US dropped Saddam as a client, the first transfer occurred covertly on August 20, 1985, when Israel sent 100 TOW missiles to Iran through an arms dealer named Manucher Ghorbanifar. The US agreed in advance to resupply Isreal's stockpile, so the sale was indirect. Subsequently, on September 14, 1985, 408 more TOW missiles to use against Saddam's airforce were delivered. Payment by Ghorbanifar was made through the [[Bank of Credit and Commerce International]] (BCCI).<ref>http://www.umsl.edu/~thomaskp/khashoggi.htm </ref> As part of the deal, Iran supposedly would use their "good offices" to influence [[terrorist]] groups holding 7 American hostages. On September 15, 1985, following the second delivery, Reverend Benjamin Weir was released by his captors, the Islamic Jihad Organization.<ref>[http://www.presidency.ucsb.edu/PS157/assignment%20files%20public/TOWER%20EXCERPTS.htm#PartII luence "Excerpts from the Tower Commission's Report"], January 26, 1987.</ref> Ultimately two hostages in total were released, but two more were taken, with net gain of zero being released.

After the US dropped Saddam as a client, the first transfer occurred covertly on August 20, 1985, when Israel sent 100 TOW missiles to Iran through an arms dealer named Manucher Ghorbanifar. The US agreed in advance to resupply Israel's stockpile, so the sale was indirect. Subsequently, on September 14, 1985, 408 more TOW missiles to use against Saddam's airforce were delivered. Payment by Ghorbanifar was made through the [[Bank of Credit and Commerce International]] (BCCI).<ref>http://www.umsl.edu/~thomaskp/khashoggi.htm</ref> As part of the deal, Iran supposedly would use their "good offices" to influence [[terrorist]] groups holding 7 American hostages. On September 15, 1985, following the second delivery, Reverend Benjamin Weir was released by his captors, the Islamic Jihad Organization.<ref>[http://www.presidency.ucsb.edu/PS157/assignment%20files%20public/TOWER%20EXCERPTS.htm#PartII luence "Excerpts from the Tower Commission's Report"], January 26, 1987.</ref> Ultimately two hostages in total were released, but two more were taken, with net gain of zero being released.

Following the delivery of the shoulder launched missiles to Iran, an assistant to [[Attorney General]] [[Ed Meese]] found a memorandum written by Lieutenant Colonel Oliver North documenting diversion of the proceeds of the sale to aid the Contras. When President [[Ronald Reagan]] was informed, he met with representatives of both houses of Congress to disclose their findings; he then asked for the appointment of an independent counsel.<ref>''An American Life, The Autobiography of Ronald Reagan, pg. 530''</ref>

Following the delivery of the shoulder launched missiles to Iran, an assistant to [[Attorney General]] [[Ed Meese]] found a memorandum written by Lieutenant Colonel Oliver North documenting diversion of the proceeds of the sale to aid the Contras. When President [[Ronald Reagan]] was informed, he met with representatives of both houses of Congress to disclose their findings; he then asked for the appointment of an independent counsel.<ref>''An American Life, The Autobiography of Ronald Reagan, pg. 530''</ref>

==Sources==

==Sources==

*[http://www.usdoj.gov/oig/special/9712/ch04p2.htm The CIA-Contra-Crack Cocaine Controversy: A Review of the Justice Department's Investigations and Prosecutions], December 1997

*[http://www.usdoj.gov/oig/special/9712/ch04p2.htm The CIA-Contra-Crack Cocaine Controversy: A Review of the Justice Department's Investigations and Prosecutions], December 1997

*[https://archive.org/details/Kerry-Report-Drugs-Contras Drugs, Law Enforcement and Foreign Policy]. US Senate Committe on Foreign Relations. Subcommittee on Terrorism, Narcotics and International Operations (Kerry Committee). GPO. Washington DC. December 1988.

*[https://archive.org/details/Kerry-Report-Drugs-Contras Drugs, Law Enforcement and Foreign Policy]. US Senate Committee on Foreign Relations. Subcommittee on Terrorism, Narcotics and International Operations (Kerry Committee). GPO. Washington DC. December 1988.

==References==

==References==