The Senator Daniel K. Inouye quote; question

Sorry if this has been posted before(did a search but no good results), and I don't even know if it's the right forum.

There exists a shadowy Government with its own Air Force, its own Navy, its own fundraising mechanism, and the ability to pursue its own ideas of national interest, free from all checks and balances, and free from the law itself

I bet many have read this, and I'm wondering what the story behind the quote is?
Also, is it confirmed that he said this, or is it just a "rumor"?

i *think* its been posted before, but im not sure....

Im not sure if this shadow Government has its own Air Force and Navy, i always believed they used the one me and you see.

Source
Daniel K. Inouye, the third most senior member of the U.S. Senate, is known for his distinguished record as a legislative leader, and as a World War II combat veteran who earned the nation's highest award for military valor, the Medal of Honor.

Although he was thrust into the limelight in the 1970s as a member of the Watergate Committee and in 1987 as Chairman of the Iran-Contra Committee, he has also quietly made his mark as a respected legislator able to work in a bipartisan fashion to enact meaningful legislation.

As the ranking Democrat on the Senate Defense Appropriations Subcommittee, Senator Inouye has been able to focus on defense matters that strengthen national security, and enhance the quality of life for military personnel and their families. This reflects his hope for a more secure world, and his desire to provide the best possible assistance to the men and women who put their lives at risk to protect the United States.

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He has won the Medal of Honor as well as several other medals due to his service in the armed forces. He seems to have had a long and outstanding career in the Military so this statement is rather "odd". I myself have never seen the quote before and I have been searching for any documents where the "full" article is given out.

After after lookimh into Daniel K. Inouye I found some interesting information; let alone did he get back into senate in 2004 he also had just over 70% of the vote for Hawaii and has been elected since 1968. Which is a land slide when up against 4 people. His Government Policy is somewhat of a "Direct Democracy" instead of the normal way; with votes on several state pieces of legislation being done through referendum along with the National Vote. Which I thought hardly happend in America now?

He said this in 1991 during the "Iran Contra" hearings.

Source
In the Iran-Contra Affair (1985-1986) (also known as "Irangate"), United States President Ronald Reagan's administration was involved in the sale of arms to Iran, which was engaged in a bloody war with its neighbor Iraq from 1980 to 1988 (see Iran-Iraq War), and was said to have contributed the proceeds to the Contra rebels who ultimately forced the leftist Sandinista government of Nicaragua out of office in democratic elections. Those sales thus had a dual goal: appeasing Iran, which had influence with militant groups that held several American hostages in Lebanon and supported bombings in Western European countries, and funding a guerrilla war aimed at toppling the pro-Communist Nicaraguan government, which was backed by Cuba and the Soviet Union.

Some Links:
www.sweetliberty.org...
www.politicscafe.com...
members.aol.com...
en.wikipedia.org...
www.raven1.net...
www.cassiopaea.org...

I hope that helps. It seems that since he has said this he has made no comments similar to it or about the "Shadow Government" which I find odd. If he had such a strong belief they did exist unless of course he has been "paid" to shut up. Which I see as likely as he seems far to powerful to be killed off in the modern age and maybe his statements have kept him safe. Only "prooving" the point. But them having their own Army, Air Force and Navy puzzles me. I've never heard of them having their own Armed Forces; apart from the United Nations. Which could be possibly what he was talking about in the statement.