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China Satellite Waiver; Clinton White House delivers papers to Congress in support of the deal
WASHINGTON (May 22, 1998) -- President Bill Clinton on Friday defended a controversial satellite deal with China, even as White House officials delivered documents to the House International Relations Committee about the arrangement.
The president said the deal to launch U.S. satellites on rockets owned by other nations was "correct" and "based on what I thought was in the national interest and supportive of our national security."
"There was absolutely nothing done to transfer any technology inappropriately to the Chinese as a result of this decision," Clinton said. "I believe it was in the national interest and I can assure you it was handled in the routine course of business, consistent with the 10-year-old policy."
The White House backed up that claim by releasing about 400 pages of declassified documents claiming the presidential waiver was consistent with U.S. policy and had been recommended by the president's national security adviser, the State Department and the Pentagon.
White House legislative liaison Mara Rudman, accompanied by at least one White House lawyer, delivered the documents to the House International Relations Committee Friday morning. Rudman was carrying two folders of papers as she arrived at the committee office, but made no comment.
Congressional critics, both Democrats and Republicans, say the Chinese may have had access to sophisticated U.S. satellite and missile technology during an investigation into a failed launch attempt on a Chinese rocket in 1996.
And Republicans have accused Clinton of jeopardizing national security by granting the waiver to please a high-dollar Democratic donor.
A spokesman told CNN the committee does not expect the papers to include a pivotal document from the Defense Department, purportedly linking a possibly illegal transfer of technology with a cooperative investigation among China and two American defense contractors, Loral Space and Communications and Hughes Electronics.
Rep. Ben Gilman (R-N.Y.) hinted the documents may not be as exculpatory as the White House indicated. "Let me just say that some of the documents do raise troubling questions that will have to be pursued," Gilman said. "They make clear that the president was informed that Loral may have contributed technology to China's ballistic missile program before he decided to grant Loral a waiver on February 18th of this year to permit them to export yet another satellite to China."
But how much do we really know?
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It's a fact Loral Space and Communications hired the Chinese to launch one of their satellites two years ago because Chinese rocket launches are relatively cheap. Technically, that is an export of a U.S. satellite to China.
But Loral says the Chinese never got their hands on the satellite itself. And Pentagon officials confirm sensitive technology was encased in a metal "black box" and watched over from factory to launch pad by Department of Defense employees.
There has been bipartisan support for such launches. President Ronald Reagan first initiated the policy 10 years ago. And President George Bush approved nine while Clinton has approved 11, according to the Congressional Research Service.
But concerns have heated up. To launch satellites, China used "Long March" boosters, the same ones they use for intercontinental nuclear missiles, some said to be aimed at U.S. cities.
They weren't very good. The one carrying Loral's satellite blew up 30 seconds after launch on Feb. 15, 1996, costing Loral's insurance companies about $200 million.
Afterward Loral admits it gave the Chinese a written report about the cause of the rocket failure, without official clearance. A Pentagon office concluded in a still-secret report that "United States national security has been harmed," according to government officials. And Loral confirms it is now under investigation by a federal grand jury as a result.
And one House International Relations Committee source, speaking to CNN on background, said the committee plans to focus its investigation on this cooperation.
Loral's chairman Bernard Schwartz (who lobbied Clinton at a WH dinner) denies Loral did anything illegal. In its own defense, Loral says Chinese engineers found the problem -- the rocket failure was caused by bad solder joints -- without Loral's help. And they say "no 'secret' or 'classified' information was ever discussed with the Chinese or included in any reports provided to the Chinese."
Privately, Pentagon officials minimize the affair. One told CNN that the alleged harm to national security was "not significant or substantial ... about a one or two on a scale of ten."
CNN's Brooks Jackson and Paul Courson contributed to this report.
Yes, I remember.
I also remember that:
Hillary had >900 FBI files, obtained illegally in the White House in private quarters for over 3 years. I am certain that there was enough “background info” contained therein to “persuade” any Clinton opposition / enemies in the Pentagon and State Department to the “Clinton point of view” on such matters.
Of course, IRS audits were usually the first step in the Clinton admin “persuasion” process, followed by regulatory compliance “audits”, then on to...
Bill Clinton changed the rules for technology transfer approval responsibility from the State Department to the Commerce Department in 1996 (to “facilitate” such transfers of technology in exchange for ???):
USA Today 5/19/99 “...In 1996, the Administration transferred the licensing authority for exporting satellite technology from the State Department, which had opposed giving new technology to China, to the Commerce Department, which immediately approved the transfer. Given the green light by the Commerce Department, Loral Corporation provided China with missile technology to improve its satellite launch and guidance systems. This same technology can be used to improve the performance of missiles aimed at the United States. Loral is headed by Bernard Schwartz, one of the largest Democratic donors in the ‘96 election cycle....” National Security
You must also remember that hard nosed former Chicago prosecutor and lifelong democrat David Schippers as Chief Investigative Counsel for the US House Judiciary Committee resigned from the impeachment process because as he basically stated:
“Bill Clinton could rape and murder a women in front of this committee and they would still not impeach him.”
By Peter Baker and Juliet Eilperin
Washington Post Staff Writer
Friday, December 11, 1998; Page A1
Quote David Schippers:
“...The President, then, has lied under oath in a civil deposition, lied under oath in a criminal grand jury. He lied to the people, he lied to his Cabinet, he lied to his top aides, and now he’s lied under oath to the Congress of the United States. There’s no one left to lie to...”