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5 South Vietnam: Narcotics in the Nation’s Service



The Politics of Heroin in Southeast Asia

1.
The
Pentagon Papers, Senator Gravel Edition (Boston: Beacon Press, 1971),
vol. 1, pp. 221-222.

2.

Robert Scheer, „Hang Down Your Head Tom Dooley,“ in A Muckraker’s Guide
(San Francisco: Ramparts Magazine, 1969), p. 18.

3.
The
Pentagon Papers, Senator Gravel Edition, vol. 11, p. 22.

4.
Ibid.,
vol. 1, p. 240.

5.

Philippe Devillers and Jean Lacouture, End of a War (New York: Frederick
A. Praeger, 1969), p. 377.

6.

Thomas A. Dooley, M.D., Deliver Us from Evil (New York: Farrar,
Straus and Cudahy, 1956), pp. 41, 60.

7.

Ibid., p. 71.

8.

Ibid., p. 159; for a description of American moralism in this period
see Chester L. Cooper, The Lost Crusade (T~ew York: Dodd, Mead &
Company, 1970), pp. 1214.

9.

Edward G. Lansdale, In the Midst of Wars (New York: Harper & Row,
1972), p. ix.

10.
David
Halberstam, The Making of a Quagmire (New York: Random House, 1964),
p. 42.

11.
Lt.
Col. Lucien Conein was one of Lansdale’s chief assistants during the 1955
battles which put Diem in power, and he was the CIA liaison man with the
coup plotters who overthrew Diem in November 1963. Interestingly, Diem’s
two key supporters in the 1955 fighting-Gen. Mai 14uu Xuan and Gen. Duong
Van Minh-were two of the leaders of the 1963 coup group.

12.

Interview with Col. Roger Trinquier, Paris, France, March 25, 1971.

13.
Fred.
W. Riggs, Thailand: The Modernization of a Bureaucratic Polity (Honolulu:
East-West Center Press, 1966), p. 245.

14.
The
New York Times, The Pentagon Papers (New York: Quadrangle Books,
1971), p. 235.

15.

Interview with Bernard Yoh, Washington, D.C., June 15, 1971. (Bernard Yoh
was an adviser to President Ngo Dinh Diem during the 1950s.)

16.

Interview with Lt. Col. Lucien Conein, McLean, Virginia, June 18, 1971.

17.
Gen. Mai Huu
Xuan claims that most of Nhu’s dealings with the Chinese syndicates and business
community were conducted through a Chinese businessman named Ma Tuyen (interview
with Gen. Mai Huu Xuan, Saigon, Vietnam, July 19, 1971). Following the November
1963 coup, Diem and Nhu hid in Ma Tuyen’s house in Cholon just prior to their
murder (The New York Times, November 4, 1971, p. 8).

18.

Stanley Karnow, Time-Life Editorial Reference Files (unpublished manuscript,
April 1963).

19.

Interview with Lt. Col. Lucien Conein, McLean, Virginia, June 18, 1971.

20.
Ibid.

21.
The
Can Lao was a clandestine organization formed by Ngo Dinh Nhu shortly after
President Diem took office. Party members were recruited from every branch of
the military and civil bureaucracy, but were usually conservative Catholics. The
party functioned as a government within the government, and through it Nhu was
able to exercise direct control over every aspect of the government. Its
membership list as kept secret to enable party cadres to spy more effectively on
their coworkers.

22.

Interview with an exiled Vietnamese army colonel, Paris, France, March 25, 1971.

23.

Interview with an exiled Can Lao party official, Paris, France, April 1 1971.

24.
Denis
Warner, The Last Confucian (London: Angus & Robertson, 1964), p.
224; for one U.S. official’s opinion of Dr. Tuyen see Chester L. Cooper, The
Lost Crusade
, p. 205.

25.
The
New York Times, The Pentagon Papers, p. 19.

26.

Interview with Bernard Yoh, Washington, D.C., June 15, 1971.

27.

Interview with an exiled Can Lao party official, Paris, France, April 1, 1971.

28.
Ibid.;
interview with Tran Van Dinh, Washington, D.C., April 30, 1971.

29.

Interdepartmental Task Force, „A Program of Action for South Vietnam,“ in The
New York Times, The Pentagon Papers, p. 129.

30.
A
number of sources have confirmed the fact that Col. Ky was hired to fly these
missions: interview with Col. Phan Phung Tien, Tan Son Nhut Air Base, South
Vietnam, July 29, 1971 (Colonel Tien is commander of the Fifth Air Division, the
air transport division); interview with Lt. Col. Lucien Conein, McLean,
Virginia, June 18, 1971; interview with Bernard Yoh, Washington, D.C., June 15,
1971.

31.
S. M.
Mustard, letter to Senator Ernest Greuning (March 9, 1968); The New York
Times,
April 19, 1968, p. 11.

32.

Interview with Col. Do Khac Mai, Paris, France, March 29, 1971. (Col. Do Khac
Mai was commander of the Vietnamese air force in 1963.)

33.
The
New York Times, The Pentagon Papers, p. 9t.

34.
Cablegram from Elbridge Durbrow, United States Ambassador to Sou

Vietnam, to Secretary of State Christian A. Herter, September 16, 1960, in ibid., p. 122.

35.

Marguerite Higgins, Our Vietnam Nightmare (New York: Harper ∧ Row,
1965), p. 241.

36.
Interview
with Lt. Col. Lucien Conein, McLean, Virginia, June 18, 1971; Chester L. Cooper,
The Lost Crusade, p. 247.

37.
The
Pentagon Papers,
Senator Gravel Edition, vol. 11, pp. 522-523.

38.
Ibid.,
p. 524.

39.
The
New York Times, The Pentagon Papers, p. 347.

40.
Ibid.,
p. 410.

41.
Robert
Shaplen, The Road from War (New York: Harper & Row, 1970), pp. 22-23.

42.
The
Pentagon Papers,
Senator Gravel Edition, vol. 11, pp. 525-526.

43.

Interview with an exiled Can Lao party official, Paris, France, April 1, 1971.

44.

Interview with Nguyen Xuan Vinh, Ann Arbor, Michigan, June 22, 197 1. (Nguyen
Xuan Vinh was commander of the Vietnamese air force from 1958 until 1962.)

45.

Interview with Col. Do Khac Mai, Paris, France, March 29, 1971. (According to
Colonel Mai, Mrs. Ly had raised prices and was grafting from the base food
budget. Air force officers complained to the high command, and Ky was removed
from command of Tan Son Nhut after an investigation by a ranking army general.)

46.
George
McTurnan Kahin and John W. Lewis, The United States in Vietnam (New York:
The Dial Press, 1967), p. 241.

47.

Interview with Nguyen Xuan Vinh, Ann Arbor, Michigan, June 22, 1971.

48.
The
New York Times,
April 22, 1966, p. 22.

49.

Interview with Lt. Col. Lucien Conein, McLean, Virginia, June 18, 1971.

50.
Ibid.

51.
Ibid.

52.

Interview with Charles Sweet, Washington, D.C., May 1971. (Charles Sweet was an
adviser to Air Vice-Marshal Ky when he was minister of sports and youth in 1965.
Mr. Sweet later served as an assistant to Gen. Edward G. Lansdale in the senior
liaison office attached to the U.S. Embassy in Saigon.)

53.

Shaplen, The Road from War, p. 185.

54.

Interview with Charles Sweet, Washington, D.C., May 1971.

55.

Interview with a Vietnamese intelligence official, Saigon, Vietnam, July, 1971.

56.

Interview with Tran Van Dinh, Washington, D.C., February 16, 1971. (Tran Van
Dinh is former South Vietnamese ambassador to the United States.)

57.

Vietnam Guardian (Saigon), August 18, 1966.

58.

Interview with a Vietnamese intelligence official, Saigon, Vietnam, July 1971;
Shaplen, The Road from War, pp. 36-37, 53.

59.
George
Roberts, Report to Robert R. Johnson, Public Administration Ad Hoc Committee on
Corruption in Vietnam (November 29, 1967).

60.
George
Roberts, Report, October 5, 1967.

61.
Los
Angeles Times,
February 29, 1968.

62.
George
Roberts, Report, December 6, 1967.

63.
Ibid.

64.
George
Roberts, Report to Robert R. Johnson (November 29, 1967).

65.
U.S.
Congress, Senate, Congressional Record 114, no. 16 (February
5, 1968).

66.
The
Christian Science Monitor, March 9, 1968.

67.
The
New York Times, April 19, 1968, p. 11.

68.

Interview with a Vietnamese intelligence official, Saigon, Vietnam, July
1971.

69.

Interview with Lt. Col. Lucien Conein, McLean, Virginia, June 18,
1971.

70.

„Nationalist Politics in Viet-Nam,“ Report of the Senior Liaison Office,
U.S. Embassy, Saigon, Vietnam (May 1967), p. 11. (Those who prepared this
report were Edward G. Lansdale, David E. Hudson, Calvin E. Mehlert, and Charles
F. Sweet.)

71.

George Roberts, Report, October 5, 1967.

72.

Kahin and Lewis, The United States in Vietnam, pp. 347-348.

73.

Keesing’s Research Report, South Vietnam: A Political History,
1954-1970
(New York: Charles Scribner’s Sons, 1970), pp. 124-125.

74.

Kahin and Lewis, The United States in Vietnam, p. 358.

75.

Shaplen, The Road from War, pp. 156-157.

76.

„Nationalist Politics in Viet-Nam,“ Report of the Senior Liaison Office,
P. 9.

77.

Ibid., pp. 11, 15.

78.

Ibid., p. 10.

79.

George Roberts, Report, December 6, 1967.

80.
Ibid.

81.

Ibid.

82.

George Roberts, Report, January 19, 1968.

83.

Interview with Col. Tran Vam Phan, Saigon, Vietnam, July 23, 1971.
(Colonel Phan is information officer for the National Police.)

84.

Interview with Col. Phan Phung Tien, Tan Son Nhut Air Base, Vietnam, July
29, 1971.

85.

Interview with Col. Tran Van Phan, Saigon, Vietnam, July 23, 1971.
(Colonel Phan was then assistant to the director-general of the National
Police for personnel training. He suffered a serious leg wound in the accident
and was hospitalized for three months.)

86.

Keesing’s Research Report, South Vietnam: A Political History,
1954-1970
, p. 138.

87.

Richard Critchfield, The Long Charade (New York: Harcourt, Br ce and
World, 1968), p. 387.

88.

Keesing’s Research Report, South Vietnam: A Political History,
1954-1970
, p. 138.

89.

Interview with a senior MACCORDS official, Saigon, Vietnam, July,
1971.

90.

Most of the visible corruption in the National Assembly seems to be the work
of lower house members. As in many European parliaments, the Senate has less
nominal authority and its members are generally more reserved, more austere.

91.

„Nationalist Politics in Viet-Nam,“ Report of the Senior Liaison Office,
pp. 1920.

92.

Interview with a lower house representative, Saigon, Vietnam, July,
1971.

93.
„Nationalist
Politics in Viet-Nam,“
Report of the Senior Liaison Office, P. 18.

94.
The
Washington Post,
September 8, 1968.

95.
The
New York Times,
June 6, 1971, p. 2.

96.
Capt.
Gary C. Lulenski (MC), Capt. Larry E. Alessi (MC) and Sp4c Charles E. Burdick,
„Drug Abuse in the 23rd Infantry Division (Americal)“ (September 1970), p. 9.

97.
Major
Richard H. Anderson (MC) and Sp4c Wade Hawley, „Subject: Analysis of 482
Questionnaires on Illicit Drug Use in an Engineering Battalion in Vietnam“
(November 11, 1970), p. 6.

98.
The
New York Times,
May 16, 1971, p. 1.

99.
„The
Drug Abuse Problem in Vietnam,“ Report of the Office of the Provost Marshal,
U.S. Military Assistance Command Vietnam (Saigon, 1971 ), p. 4. (Emphasis
added.)

100.

Ibid., p. 6.

101.
For
an analysis of the impact of the army’s marijuana suppression campaign, see
Norman E. Zinberg, „GIs and OJs in Vietnam,“ The New York Times Magazine
(December 5, 1971), p. 120. Dr. Zinberg says the crackdown on marijuana
began in 1968. Since large numbers of GIs did not start using heroin until
spring 1970, it is obvious that the crackdown on marijuana is only a
contributing factor in the switch to heroin.

102.

Interview with Captain Higginbotham, Can Tho, Vietnam, July 23, 1971. (Captain
Higginbotham is a medical doctor working in the IV Corps amnesty program.)

103.

The Washington Post, July 13, 1971.

104.

Interview with Maj. Gen. John H. Cushman, Can Tho, Vietnam, July 23,
1971.

105.

The New York Times, May 18, 197 1, p. ~10.

106.

„The Drug Abuse Problem in Vietnam,“ Report of the Office of the Provost Marshal, p.
3.

107.

Interview with U.S. Rep. Robert H. Steele, Washington, D.C., June 16, 1971.

108.

Milford Citizen (Milford, Connecticut), June 29, 1971. (The paper carried
a UPI dispatch from Phnom Penh that said, „Since its inclusion in the Indochina
War 15 months ago Cambodia has become a small but growing ‚way station‘ for hard
drugs bound for American Servicemen in Vietnam.“)

109.

Interview with an agent, Washington, D.C., October 21, 1971. (Huu Tim
Heng’s involvement in the heroin traffic has been confirmed by the U.S. Bureau
of Narcotics and Dangerous Drugs, October 21, 1971.)

110.

Telephone interview with Richard J. Hynes, USAID/Laos, Vientiane, Laos,
September 7, 1971.

111.

Interview with an agent, U.S. Bureau of Narcotics and Dangerous Drugs,
Washington, D.C., October 21, 197 1.

112.

Interview with Vietnamese residents of Vientiane, Laos, August 1971; interview
with a Vietnamese intelligence official, Saigon, Vietnam, September 1971;
interview with Estelle Holt, London, England, March 1971 (Estelle Holt is
a former foreign correspondent in Laos); inter

view with an
agent, U.S. Bureau of Narcotics and Dangerous Drugs, New Haven, Connecticut, May
3, 1972.

113.

Interview with an agent, U.S. Bureau of Narcotics and Dangerous Drugs, Saigon,
Vietnam, July 27, 1971.

114.

The New York Times, August 30, 1971, p. 1.

115.

Interview with a U.S. customs adviser, Saigon, Vietnam, July 16, 1971.

116.

Interview with the U.S. air force adviser to the Fifth Air Division, Tan Son
Nhut Air Base, Vietnam, July 1971.

117.
Ibid.

118.
On
June 29, 1971, United Press International reported, „Vietnamese air force C 119
flying boxcars or C 123 providers, which fly military cargo to Cambodia, return
to Saigon empty, except for the drug shipments, sources claim“ (Milford
Citizen
[Milford, Connecticut], June 29, 1971).

119.

The New York Times, August 30, 1971, p. 1.

120.

Interview with the U.S. air force adviser to the Fifth Air Division, Tan Son
Nhut Air Base, Vietnam, July 1971; interview with a Vietnamese intelligence
official, Saigon, Vietnam, July 1971.

121.

The Washington Post, July 21, 1971.

122.

Ibid., July 17, 1971.

123.

Ibid., July 18, 1971.

124.

„Corruption in Vietnam,“ memo from Bill Marmon, Saigon, to Time World, New York
(July 23, 1969).

125.

Shaplen, The Road from War, pp. 88, 125.

126.

„National Politics in Viet-Nam,“ Report of Senior Liaison Office, p. 12.

127.

Interview with a senior MACCORDS official, Saigon, Vietnam, July 1971.

128.
Ibid.

129.

The New York Times, August 8, 1971, p. 1.

130.

Interview with a Vietnamese intelligence official, Saigon, Vietnam, July 1971.

131.

The New York Times, May 11, 1970, p. 1.

132.

The Washington Post, May 11, 1970.

133.

The New York Times, May 12, 1970, p. 1; The Washington Post, May
13, 1970.

134.

Interview with Vietnamese naval officers, Saigon, Vietnam, July 1971.

135.
The
floods were some of the worst in central Vietnam’s recent history. The typhoon
rains killed five thousand people and left thousands homeless (Don Luce and John
Sommer, Vietnam: The Unheard Voices [Ithaca, N.Y.: Cornell University
Press, 19691, pp. 243-244). Admiral Cang’s grafting outraged the residents of
central Vietnam, and the I Corps commander, Gen. Nguyen Chanh Thi, initiated an
official investigation of the affair. It was largely due to General Thi’s
persistent demands for punishment that Rear Admiral Cang was removed from
command (interview with Gen. Nguyen Chanh Thi, Washington, D.C., October 21,
1971.)

136.

Vietnamese navy records show that Rear Adm. Chung Tan Cang has held the
following positions since he was removed from command in 1965:

(1) 1966, special assistant to the joint generals
staff.

(2)
December 1, 1966-August 14, 1969, commander of the Military Academy.

 

(3) August
14, 1969-July 1, 1970, detached to the Ministry of Defense.

 

(4) July
1, 1 970-July 1, 197 1, detached as a research assistant.

137.

Interview with Vietnamese naval officers, Saigon, Vietnam, July 1971.

138.

Vietnamese naval records show that Commo. Lam Nguon Thanh reached the position
of deputy commander in chief of the navy before being sent to the U.S. Naval War
College in Newport, Rhode Island, in 1966. From 1966 until August 1970 he served
successively as assistant to the chief, Political Warfare Directorate and
Commandant, Political Warfare College in Dalat.

139.

Interview with Vietnamese naval officers, Saigon, Vietnam, July 1971.

140.
Ibid.

141.
All
of the following information is based on extensive interviews with Redactor Ly
Ky Hoang, chief of the Narcotics Bureau of the National Police (interviews with
Redactor Ly Ky Hoang, Saigon, Vietnam, August 5 and 12, and September 11, 1971).
Agents of the U.S. Bureau of Narcotics and Dangerous Drugs who participated in
the raids were unwilling or unable to be interviewed. The Thai official
involved, Col. Pramual Vanigbandhu, was out of the country when we were in
Bangkok.

142.
Pacific Stars and
Stripes,
July 30, 1971.
(Emphasis added.)

143.

Competition between the Vietnamese and Thai police created complications in the
investigation and arrests. Redactor Hoang is openly resentful of the Thai police
for the haughty, commanding attitude they displayed at the various planning
meetings. Redactor Hoang told the authors „the whole story“ because,~“the Thais
are claiming all the credit“ (interview with Redactor ~y Ky Hoang, Saigon,
Vietnam, August 12, 1971).

144.

Vietnamese navy records show that Capt. Nguyen Huu Chi was transferred from
command of Task Force 213/DP to an unspecified post on August 9, 1971.

145.

Interview with Redactor Ly Ky Hoang, Saigon, Vietnam, September 11, 1971.

146.

Interview with a senior MACCORDS official, Saigon, South Vietnam, August 1971.

147.
Corps
commanders have been a key feature of the Vietnamese corruption system since the
early 1960s. In a report prepared for Ambassador Ellsworth Bunker in May 1968,
Gen. Edward G. Lansdale of the CIA described how the corps commanders have
tended to become corrupt warlords:

„. . . the civil apparatus and Armed Forces
in most of the country have operated more on the basis of a system of the
patronage revolving around each corps commander under which . . . each has
appointed and replaced virtually all province and district chiefs and to a
considerable degree division and regimental commanders in the Corps Tactical
Zone. As a result, these officers are more responsive to the corps commander
than to the central government . . . and not infrequently the corps commander’s
policies differ from those of Saigon. Certain facets of this system have also
led to considerable corruption within the government“
(„Nationalist Politics in Viet-Nam,“ Report of the Senior Liaison Office, p. 6).

148.
The
competition between General Dzu and Gen. Lu Lan sparked a major controversy in
South Vietnam during the summer of 1971. In a widely publicized speech in early
1971, General Dzu claimed that he could not clean up the 11 Corps drug traffic
because he had inherited the problem from his predecessor, Gen. Lu Lan. After
U.S. Congressman Robert Steele (R., Conn.) accused Ngo Dzu of being one of the
chief drug traffickers in South Vietnam, Gen. Lu Lan, who had since been
promoted to inspector general of ARVN, announced gleefully that he was
undertaking a full investigation of the charges. General Dzu counterattacked,
accusing Lu Lan of being the man responsible Congressman Steele’s allegations (Auchincloss, Johnson and Lynch,
Newsweek
dispatch [Saigon
Bureau], July 9, 1971;
The New York Times, July 8, 1971, p. 1; July 10, 1971, p. 2). In his
report to Ambassador Bunker cited above, General Lansdale reported that „General
Lu Lan is personally loyal to Thieu“ and implied that Gen. Lu Lan was fast
becoming another corrupt warlord. („Nationalist Politics in Viet-Nam,“ Report of
the Senior Liaison Office, p. 6.)

149.

Interview with a high-ranking police-intelligence official, Saigon, Vietnam,
July 1971.

150.
The
U.S. army’s Criminal Investigation Division (CID) also filed three reports on
Gen. Ngo Dzu’s involvement in the drug traffic.

 

1. Dated
January 6, 1971. SQurce reported to CID that General Dzu and his father were
involved in narcotics trafficking. This source said that General Dzu was
cooperating with a number of other individuals, including the ARVN provost
marshal in Qui Nhon, certain South Vietnamese navy officers, and an officer in a
South Korean division.

 

2. Dated
May 12, 1971. Source reported that Gen. Ngo Dzu’s father, Ngo Khoung, was
trafficking in heroin with an ethnic Chinese. According to this source General
Dzu’s father is working with a former special assistant to President Thieu.

 

3. Dated
July 10, 1971. Source alleged that General Dzu co trolled a sizable heroin ring
through a number of associates, including his mistress, Mrs. Tran Thi Khanh.

151.

Dispatch News Service
International
(weekly
Asian release), August 16, 1971.

152.

Interview with U.S. army enlisted men, Operation Crossroads Rehabilitation
Center, Long Binh, Vietnam, July 1971.

153.

Dien Tin
(Saigon), March 23,
1971.

154.
D.
Gareth Porter, „Saigon National Assembly Racked by Corruption and Smuggling,“
Dispatch News Service
International,
April
19, 1971.

155.

Dien Tin,
May 1-2, 1971.

156.

Cong Luan
(Saigon), May 19, 1971.

157.

Porter, „Saigon National Assembly Racked by Corruption and Smuggling.“

158.

Hoa Binh
(Saigon), March 29,
1971.

159.
The
bloc committee chairman and their committees, as of June 12, 1971, are as
follows:

1.
Rep. Tran Quy Phong, Communications and Public Works

2.
Rep. Nguyen Dinh Ly, Economics

3.
Rep. Pham Hun Giao, Foreign Affairs

4.
Rep. Hoang Thong, Interior

5.
Rep. Le Van Dien, Information and Open Arms

6.
Rep. Truong Dinh Tu, Public Health.

Also, a
former Independence Bloc member, Rep. Tran Kim Thoa, was chairman of the Labor,
Social Welfare, and Veterans Committee.

160.

Interview with a lower house representative, Saigon, Vietnam, July 1971;
Tin Sang
(Saigon), May 19, 1971.

161.

Cong Luan,
May 19, 1971;
Chinh Luan
(Saigon), May 19, 1971.

162.

Tin Sang
(Saigon), April 18,
1971.

163.

Porter, „Saigon National Assembly Racked by Corruption and Smuggling.“

164.

Cong Luan,
May 17, 1970.

165.

Porter, „Saigon National Assembly Racked by Corruption and Smuggling.“

166.

Dien Tin,
January 31, 1971.

167.
„The
Drug Abuse Problem in Vietnam,“ Report of the Office of the Provost Marshal, p.
13.

168.

Interview with a Vietnamese customs official, Saigon, Vietnam, July 22, 1971.

169.

Announcement from the residence of the prime minister, Republic of Vietnam,
March 19, 1971.

170.
„The
Drug Abuse Problem in Vietnam,“ Report of the Office of the Provost Marshal, p.
13.

171.

Saigon Post,
March 25, 1971.

172.

Vietnam Guardian
(Saigon), March 25,
1971.

173.

Ibid., March 24, 1971.

174.

Bao Den (Saigon), March 24, 1971.

175.

Dien Tin
(Saigon), March 22,
1971.

176.

General Khiem has an interesting political history: During the November 11, 1960
coup against President Diem, he advanced on Saigon from the delta telling both
sides that he was coming to help them. When it was apparent that the coup group
was weakening, he ordered his troops to attack the rebels, delivered the
decisive blow, and took credit for saving the Diem regime. Three years later he
allied with General Duong Van Minh to topple President Diem, but only three
months after that he played a key role in the coup which overthrew General
Minh’s government. Although he occupied a number of important positions in
succeeding governments, he was one of the architects of a coup against the new
regime in February 1965. This last coup is nerhaps General Khiem’s most
remarkable achievement; be organized it from the Vietnamese Embassy in
Washington, D.C., nine thousand miles from Saigon (Kahin and Lewis,
The United States in Vietnam,
p. 173).

177.

The New York Times,
May 18, 1971, p. 10.

178.

Interview with a U.S. customs adviser, Saigon, Vietnam, July 16, 1971.

179.
„The
Drug Abuse Problem in Vietnam,“ Report of the Office of the Provost Marshal, p.
10.

180.

Ibid., p. 10.

181.

„Excerpts from Report of Customs Advisor Joseph R. Kvoriak; Date: February 8, 197
1,“ United States Government Memorandum, to James E. Townsend, chief of
party/customs, from Joseph R. Kvoriak, customs adviser, on the subject „Lack of
Controls and Enforcement, Tan Son Nhut,“ (Februarv 25, 1971 ), p. 1.

182.

Ibid., p. 2.

183.

Ibid., pp. 4-5. (Emphasis added.)

184.
„The
Drug Abuse Problem in Vietnam“
, Report of the Provost Marshal, p. 7.

185.

The New York Times, August 30, 1971, p. 1.

186.

The New York Times, April 22, 1971, p. 1.

187.

Interview with a U.S. Embassy official, Saigon, Vietnam, July 1971.

188.

Announcement, from the residence of the prime minister, Republic of Vietnam,
March 19, 1971.

189.

Lap Truong (Saigon), May 29, 1971.

190.

Interview with a Vietnamese customs official, Saigon, Vietnam, July 1971.

191.

The New York Times, August 8, 1971, p. 1.

192.

Lap Truong, May 31, 1971.

193.

Interview with a Vietnamese intelligence officer, Saigon, Vietnam, July 1971.
(Some other sources report that Colonel Binh was a member of Khiem’s army
faction during the early 1960s. These sources feel that Colonel Binh may still
be a member of the Khiem faction today, even though he is Mrs. Thicu’s nephew.)

194.

The New York Times, August 8, 197 1, p. 1; interview with a U.S. customs
adviser, Saigon, Vietnam, July 1971.

195.

Interview with John Warner*, Washington, D.C., October 14, 1971; other U.S.
officials including Representative James H. Scheuer, the Comptroller General of
the United States, and the Assistant Secretary of State for East Asia and
Pacific Affairs have observed this shift to Southeast Asia. (U.S. Congress,
House Committee on Foreign Affairs, International Aspects of the Narcotics
Problem,
92nd Cong., Ist sess., 1971, pp. 61, 119, 149.)

196.

Interview with Police Col. Smith Boonlikit, Bangkok, Thailand, September 17,
1971.

197.

Cabled dispatch from Shaw, Vientiane (Hong Kong Bureau). to Time Inc., received
September 16-17, 1965.

198.

Interview with Gen. Edward G. Lansdale, Alexandria, Virginia, June 17, 1971.

199.

Interview with Lt. Col. Lucien Conein, McLean, Virginia, June 18, 1971.

200.

French commercial shipping companies still maintain regular schedules between
Saigon and France. In August 1971, for example, there were four scheduled
departures from Saigon:

Leave Arrive
Arrive Company Ship
Saigon

Le Havre
Marseille
Messageries Maritimes Godavery — August 9 October 8
Chargeurs Réunis Tobago
August 6 September 24
Nausicaa — August 22 October
9

Toscana — August 26
October 26

201.

Interview with Lt. Col. Lucien Conein, McLean, Virginia, June 18, 1971.

202.
Ibid.

203.
In
September 1965 General Lansdale’s Senior Liaison Office began advising the
Vietnamese Central Rural Construction Council, headed by Premier Ky, on
pacification and social reform. (Kahin and Lewis, The United States in
Vietnam
, p. 242.)

204.

Interview with Norma Sullivan, Singapore, September 24, 1971. (Norma Sullivan is
a special assistant to William Crum, and has worked in Saigon business circles
since the early 1960s.)

205.
Ed
Reid, The Grim Reapers (Chicago: Henry Regnery Company, 1969), appendix
111, chart 8.

206.
U.S.
Congress, Senate Permanent Subcommittee on Investigations, Committee on
Government Operations, Fraud and Corruption in Management of Military Club
Systems-Illeqal Currency Manipulations A flecting South Vietnam,
91 st
Cong., 2nd sess., 92nd Cong., I st sess., 1971, pt. 4, p. 1017.

207.

Ibid., Report, pp. 28, 34.

208.

Ibid., Report, p. 68.

209.

Ibid., Report, p. 43.

210.

Ibid., pt. 3, p. 637.

211.

Ibid., Report, pp. 12-13.

212.

Ibid., Report, p. 73.

213.

Ibid., pt. 5, p. 1045.

214.

Ibid., pt. 2, pp. 478-479.

215.

Ibid., pt. 5, pp. 1046-1047.

216.
Fine
Foreign Foods Ltd., described as the „restaurant proprietor“ of the San
Francisco Steak House (Ground floor, 67 Peking Road, Kowloon), registered with
the Inland Revenue Department, Hong Kong, on August 1, 1967.

217.

Senate Permanent Subcommittee on Investigations, Committee on Government
Operations, Fraud and Corruption in Management of Military Club
Systems-Illegal Currency Manipulations Aflecting South Vietnam,
91st Cong.,
2nd sess., 92nd Cong., Ist sess., Report, pp. 75-77.

218.

Ibid., p. 85.

219.

Ibid., p. 86.

220.

According to corporate records filed with the Hong Kong government, Frank Carmen
Furci resigned from his position as director of Fine Foreign Foods Ltd. on March
18, 1970. He transferred 1,667 shares to James Edward Galagan, his partner for
the last few years, and 1,666 shares to Setsui Morten on March 25, 1970. Since
the corporate report filed in 1969 showed that Frank Carmen Furci owned 3,333
shares, it is presumed that these events marked the end of his connection with
the company and its restaurant.

221.

Senate Permanent Subcommittee on Investigations, Committee on Government
Operations, Fraud and Corruption in Management of Military Club
Systems-Illegal Currency Manipulations Aftectinq South Vietnam,
91st Cong.,
2nd sess., 92nd Cong., Ist sess., pt. 2, p. 279. This testimony before the
committee was given by Senate investigator Carmine Bellino, „conceded to be the
best investigative accountant in

the country“
(Victor S. Navasky, Kennedy Justice [New York: Atheneum, 1971, p. 53.)

222.
Reid,
The Grim Reapers, p. 296.

223.

Interview with a U.S. Embassy official, Saigon, Vietnam, July 1971.

224.
Hank
Messick, Lansky (New York: G. P. Putnam’s Sons, 1971), p. 241.

225.

Interview with an agent, U.S. Bureau of Narcotics and Dange ous Drugs,
Washington, D.C., November 18, 1971.

226.

The New York Times, January 9, 1972, p. 25.

227.

The Evening Star (Washington, D.C.), January 6, 1972~ U.S. Coneress,
Senate Committee on Appropriations, Foreign Assistance and Related Programs
Appropriations for Fiscal Year 1972,
92nd Cong., Ist sess., 1971, p. 614.
This and other evidence contradict Secretary of State William Rogers‘ assertion
that the narcotics problem in Southeast Asia is being dealt with effectively.
(Sec. of State William Rogers, Testimony Before the Foreign Operations
Subcommittee of the Senate Appropriations Subcommittee, Uncorrected Transcript,
May 15 1972.)

228.

The New York Times, April 19, 1968, p. 11.

229.

The Washington Post, July 17, 1971.

230.

The Saigon Post, July 25, 1971. (Emphasis added.)

231.
The
army CID filed reports detailing Gen. Ngo Dzu’s involvement in the heroin
traffic on January 6, May 12, and July 10, 1971. These reports and other
information gathered by the U.S. Bureau of Narcotics and Dangerous Drugs
convinced several of its ranking agents that General Dzu was clearly
involved.

232.

The New York Times, July 8, 1971, p. 1.

233.

Ibid., July 10, 1971, p. 2; whether by design or by accident the U.S. Embassy
failed to forward these reports on General Ngo Dzu’s involvement in the heroin
traffic to the State Department in Washington. Testifying in July 1971, the
Assistant Secretary of State for East Asia and Pacific Affairs, Marshall Green,
said that he had „no information“ on Gen. Ngo Dzu’s involvement in the traffic.
(U.S. Congress, House Committee on Foreign Affairs, International Aspects of
the Narcotics Problem
, p. 157.)

234.

The New York Times, December 19, 1971, p. 1.

235.

The Washington Post, August 3, 1971.

236.

Pacific Stars and Stripes, August 7, 1971.

237.

The New York Times, June 24, 1971, p. 4.

238.

Interview with Maj. Richard A. Ratner, Long Binh Rehabilitation Center, Vietnam,
July 22, 1971.

239.

Interview with Sp4c. James Baltz, Long Binh Rehabilitation Center, Vietnam, July
22, 1971.

240.

Pacific Stars and Stripes, July 19, 1971.

241.

The New York Times, May 19, 1971, p. 6.

242.

Ibid., December 19, 1971, p. 1.

243.

The Washington Post, August 3, 1971.

244.

The New York Times, June 16, 1971, p. 21.

245.

The Washington Post, August 20, 1971.

246.

Interview with a U.S. serviceman, Long Binh Rehabilitation Center, South
Vietnam, July 22, 1971.

247.
The Washington Post, August 19, 1971.

248.
Morgan F. Murphy and Robert H. Steele, The World Heroin Problem, 92nd Cong., Ist sess. (Washington,
D.C.: U.S. Government Printing Office, 1971), p. 20.

249.
Telephone interview with Jerome Hollander, Los Angeles, California, June 25, 1971. (Jerome Hollander is the
public information officer, U.S. Customs Regional Commission.)

250.

Murphy and Steele, The World Heroin Problem, p. 20,

251.
The New York Times, August 11, 1971, p. 1.

252.

Ibid., November 12, 1971, p. 93.



 

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