POLITICS: Rumsfeld's Dirty Bomb

Secretary of Defense, Donald Rumsfeld, sat on the board of ABB Combustion Engineering from 1990 through 2000. During seven of these ten years, ABB aggressively sought to secure a contract with North Korea to build nuclear reactors. During this same period of time, in a blatant conflict of interest, Donald Rumsfeld headed the Rumsfeld Commission which looked into the growing ballistic missile threat.

In 1993, ABB entered bids to build two nuclear reactors in Yonggwang-kun, a southern province in North Korea. In 1996, the U.S. Department of Energy approved ABB-CE to participate in the construction of two "light-water" nuclear reactors in North Korea. In 1997, the first three contracts between ABB and North Korea were signed. These involved technology agreements, and the "design and manufacture of advanced pressurized water reactor systems technology".

In 1999, ABB was voted one of the world's 100 Best-Managed Companies by IndustryWeek. This was a momentous occasion for ABB since no technology and engineering company had ever made the list before. The criteria on which the company was selected is indicative of a management team and board who are making appropriate decisions for sustained company growth.

In January 2000, ABB won the contract worth $200 million (USD) to build two light-water nuclear reactors on the east coast of North Korea. The years of negotiation and partnering had paid off.

But during this same period of time (1997/98) Donald Rumsfeld was heading the Rumsfeld Commission to analyze the growing threat of ballistic missile use against the U.S. In the final report issued by Mr. Rumsfeld's commission, the following statements are made:

Concerted efforts by a number of overtly or potentially hostile nations to acquire ballistic missiles with biological or nuclear payloads pose a growing threat to the United States, its deployed forces and its friends and allies. These newer, developing threats in North Korea, Iran and Iraq are in addition to those still posed by the existing ballistic missile arsenals of Russia and China, nations with which we are not now in conflict but which remain in uncertain transitions.

The extraordinary level of resources North Korea and Iran are now devoting to developing their own ballistic missile capabilities poses a substantial and immediate danger to the U.S., its vital interests and its allies. While these nations� missile programs may presently be aimed primarily at regional adversaries, they inevitably and inescapably engage the vital interests of the U.S. as well. Their targeted adversaries include key U.S. friends and allies. U.S. deployed forces are already at risk from these nations� growing arsenals. Each of these nations places a high priority on threatening U.S. territory, and each is even now pursuing advanced ballistic missile capabilities to pose a direct threat to U.S. territory.

a. North Korea

There is evidence that North Korea is working hard on the Taepo Dong 2 (TD-2) ballistic missile. The status of the system�s development cannot be determined precisely. Nevertheless, the ballistic missile test infrastructure in North Korea is well developed. Once the system is assessed to be ready, a test flight could be conducted within six months of a decision to do so. If North Korea judged the test to be a success, the TD-2 could be deployed rapidly. It is unlikely the U.S. would know of such a decision much before the missile was launched. This missile could reach major cities and military bases in Alaska and the smaller, westernmost islands in the Hawaiian chain. Light-weight variations of the TD-2 could fly as far as 10,000 km, placing at risk western U.S. territory in an arc extending northwest from Phoenix, Arizona, to Madison, Wisconsin. These variants of the TD-2 would require additional time to develop and would likely require an additional flight test.

North Korea has developed and deployed the No Dong, a medium range ballistic missile (MRBM) using a scaled-up Scud engine, which is capable of flying 1,300 km. With this missile, North Korea can threaten Japan, South Korea, and US bases in the vicinity of the DPRK. North Korea has reportedly tested the No Dong only once, in 1993. The Commission judges that the No Dong was operationally deployed long before the U.S. Government recognized that fact. There is ample evidence that North Korea has created a sizable missile production infrastructure, and therefore it is highly likely that considerable numbers of No Dongs have been produced.

In light of the considerable difficulties the Intelligence Community encountered in assessing the pace and scope of the No Dong missile program, the U.S. may have very little warning prior to the deployment of the Taepo Dong 2.

North Korea maintains an active WMD program, including a nuclear weapon program. It is known that North Korea diverted material in the late 1980s for at least one or possibly two weapons. North Korea�s ongoing nuclear program activity raises the possibility that it could produce additional nuclear weapons. North Korea also possesses biological weapons production and dispensing technology, including the capability to deploy chemical or biological warheads on missiles.

North Korea also poses a major threat to American interests, and potentially to the United States itself, because it is a major proliferator of the ballistic missile capabilities it possesses-missiles, technology, technicians, transporter-erector-launchers (TELs) and underground facility expertise-to other countries of missile proliferation concern. These countries include Iran, Pakistan and others. [Emphasis added]

In February, 2003, the Swiss news agency Swissinfo reported on this conflict of interest. Wolfram Eberhardt, spokesman for ABB, informed Swissinfo that Rumsfeld had been present at "nearly all the board meetings" during his tenure on ABB's Board of Directors. But would not confirm nor deny that the seven years of negotiations, contracts and work with North Korea on nuclear reactors had ever "been before the board".

In May of 2003, the Guardian wrote an article on Mr. Rumsfeld's former position on ABB's board. When Rumsfeld's office was asked about his knowledge of the contract signed in 2000 between ABB and North Korea, his spokesperson stated:

...the de fence secretary did not "recall it being brought before the board at any time".

References

1. 1993 ABB Bids for North Korean Reactor Construction
2. 1996 Government Approval for ABB
3. 1997 Agreements Signed
4. ABB Selected by IndustryWeek
5. 2000 ABB Signs Agreement with North Korea
6. Rumsfeld Commission Report
7. 2001 Rumsfeld Resigns ABB Board Position
8. SwissInfo Article
9. Guardian Article

Related News Articles

Fortune Magazine (subscription required)

[edit on 9-17-2004 by Valhall]

Good coverage Valhall!

So Rumsfeld's prior business interests may have contributed to making the War on Terror harder regarding North Korea?

If nothing else, the recent hyper focus on the potentially hypocritcal backgrounds of Kerry and Bush have certainly prompted some to look deeper in the past of several officials.

In keeping with the theme of corporate conflicts of interest in the backgrounds of those prosecuting an increasingly difficult War on Terror, a new American Prospect Exclusive details a very similar conflict in the background of Dick Cheney.

The Greed Factor: Cheney and Terrorist Regimes

As Secretary of Defense under George H.W. Bush, Cheney helped lead a multinational coalition against Iraq and was one of the architects of a post-war economic embargo designed to choke off funds to the country. He insisted the world should �maintain sanctions, at least of some kind,� so Saddam Hussein could not �rebuild the military force he�s used against his neighbors.�

But less than six years later, as a private businessman, Cheney apparently had more important interests than preventing Hussein from rebuilding his army. While he claimed during the 2000 campaign that, as CEO of Halliburton, he had �imposed a �firm policy� against trading with Iraq,� confidential UN records show that, from the first half of 1997 to the summer of 2000, Halliburton held stakes in two firms that sold more than $73 million in oil production equipment and spare parts to Iraq while Cheney was in charge. Halliburton acquired its interest in both firms while Cheney was at the helm, and continued doing business through them until just months before Cheney was named George W. Bush�s running mate.

Perhaps even more troubling, at the same time Cheney was doing business with Iraq, he launched a public broadside against sanctions laws designed to cut off funds to regimes like Iran, which the State Department listed as a state sponsor of terrorism. In 1998, Cheney traveled to Kuala Lumpur to attack his own country's terrorism policies for being too strict. Under the headline, �Former US Defence Secretary Says Iran-Libya Sanctions Act �Wrong,�� the Malaysian News Agency reported that Cheney �hit out at his government" and said sanctions on terrorist countries were "ineffective, did not provide the desired results and [were] a bad policy.�

Two years later, Cheney traveled to another country to demand America weaken restrictions on doing business with Iran�s petroleum industry, despite Clinton administration warnings that Iranian oil revenues could be used to fund terrorism. �We're kept out of [Iran] primarily by our own government, which has made a decision that U.S. firms should not be allowed to invest significantly in Iran,� he told an oil conference in Canada. �I think that's a mistake.�

Now new reports suggest Cheney�s desire to do business with Iran may have amounted to more than words. Details of Halliburton�s activities in Iran have been investigated by the Treasury Department and were recently forwarded to the U.S. attorney in Houston. Such an action is taken only after Treasury finds evidence of �serious and willful violations� of sanctions laws. Halliburton already admits one of its subsidiaries �performs between $30 [million] and $40 million annually in oilfield service work in Iran.� (more)

Sounds like Cheney AND Rumsfeld have some explaining to do regarding their previous roles in supporting terrorist regimes and weakening US Security.

[edit on 17-9-2004 by RANT]

Yeah, the difference is those oilfield parts probably aren't near as dangerous as the nuclear reactors.

Here is what I think the biggest issue is on this, RANT. The one that BEGS an answer:

WHY...oh why, after the Commission report, did Rumsfeld stay involved in this transaction for two more years??? WHY...oh why, did he stick with it till the pay-off?

There's really no explaining that final two years on the board...not in my mind. I'm going to go look and see when he dumped his stock.

From yahoo financials:

finance.yahoo.com...

TOP INSIDER AND RULE 144 HOLDERS

Holder Shares Reported
No Top Insider info Available for ABB

From CNN-Money:

Insider Info on ABB

Insider information is not available for symbol you have entered.

Etrade:

us.etrade.com...

Data not available

Who is really surprised but this anymore? Everyone knows what these people are. What are you waiting for?

Originally posted by Valhall
WHY...oh why, after the Commission report, did Rumsfeld stay involved in this transaction for two more years??? WHY...oh why, did he stick with it till the pay-off?

There's really no explaining that final two years on the board...not in my mind. I'm going to go look and see when he dumped his stock.

You'll get no argument from me there's a serious problem here, and you may have just stumbled on a coverup.

But reading those recommendations from the Rumsfeld commission in '98 and seeing his payoff in 2000 for contributing to the NK nuclear program he warned us about smacks more of plain old crazy to me than anything.

He's been speculated to be an eyesore to Bush re-election since Abu Gharib, but there's obviously even more of a reason to keep him in the closet.

I just immediately saw the similarities to Cheney, because as some would say there's always a conflict of interest in flipping between government roles and multi-national contractor roles and in some cases back again, rendering the whole situation particularly inbred (if not borderline treasonous).

Plus I've always identified the major problems with the Bush administration (from my perspective) as Cheney and Rumsfeld. And there's speculation even Powell agrees citing the "crazies" as Cheney, Rumsfeld and Wolfowitz.

You're wondering why? Why in the world would Rumsfeld do this?

Doesn't plain old "crazy" pretty much sum it up?

Okay, it's absolutely nowhere. I have searched the deep dark orifices of ABB's own page, including their SEC filings and insider trading is no where.

Oh! Well, this is just getting richer. ABB is the Enron of Europe!

www.freeindiamedia.com...

In 2000, at the peak of the stock curve, ABB's market capitalisation-its total share value-was estimated at $25 billion, while shares were priced at $37. By October 2001 share prices had collapsed to $6, giving a market value of $4.16 billion, after the company had been forced to shift to what was termed "generally accepted accounting practices". This move revealed that 28 percent of what had been claimed as operating income was in fact from one-off sales. After corrections, the company showed a loss of $691 million and $6 billion of debts. In addition, the purchase of US based Combustion Engineering came with asbestosis liabilities of up to $3 billion.

This February it emerged that ex-chairman Percy Barnevik had been given, or had given himself, a severance package of $78 million, without the full knowledge of the ABB board, while fellow board member Goran Lindahl came out with a pension of $160 million. Exposure of the payoffs, huge even by US standards and awarded when the company was in the process of dismissing 12,000 workers, caused a furore in Sweden. Lindahl was forced to resign in disgrace from the Global Compact organisation, set up by United Nations Secretary General Kofi Annan to mollify anti-capitalist protest.

The exposure of Barnevik and Lindahl's handouts came during a feud between Investor-the family firm of the Wallenbergs-and billionaire Martin Ebner, who was posing as the friend of small shareholders. Barnevik was also the chair of Investor, which holds controlling shareholdings in a swathe of Swedish corporations, including Electrolux Gambro, Astra-Zeneca, Ericsson and ABB, by means of special shares with amplified voting rights. Ebner wants Investor broken up to maximise its components' share value and has bought up 12 percent of ABB shares.

By April 2002, ABB's credit rating was downgraded and the company faced a liquidity crisis. Although bailed out by the banks, ABB was forced to sell its financial services arm. At the same time, Barnevik, by this time pushed out from Investor, and Lindahl grudgingly gave back a portion of their payouts. Suggesting that more revelations are afoot, ABB earlier this week sacked several managers in its London office, claiming that they had covered up losses in the 1999-2000 period.

**PLEASE NOTE THAT RUMSFELD GOT OUT END OF 2000, BEGINNING OF 2001**

[edit on 9-17-2004 by Valhall]

Heres some Bling-Bling



Hey isn't Martha Stewart doing time for about $400,000 less?
His list is Amazing, Im sure any money he may have received was not disclosed.


Don't know how I missed this...

51 ABB Ltd. $250,001-$500,000 Stock Energy Services

[edit on 17-9-2004 by TrickmastertricK]

Current ABB stock.

Last Trade: 6.07
Trade Time: 2:48PM ET
Change: Up 0.05 (0.83%)
Prev Close: 6.02
Open: 6.00
Bid: N/A
Ask: N/A
1y Target Est: 5.45

Day's Range: 5.99 - 6.09
52wk Range: 4.65 - 6.55
Volume: 87,600
Avg Vol (3m): 340,470
Market Cap: 12.50B
P/E (ttm): 33.54
EPS (ttm): 0.181
Div & Yield: N/A (N/A)

Soure: Yahoo! Finance

I get pretty good research through my Schwab account and could not come up with any insider trading activity either. They are Swiss based, maybe the rules on insider trading is different.

Equity Report Card�

ABB Ltd (ABB) Last Updated: 09/16/2004

Overview
Price as of 09/16/2004 $6.02


52 Week price range $4.65 - $6.55


Industry Heavy Electrical Equipment


Asset Class Large Cap



Year-to-date Results: Second Quarter Results --NEW YORK (Standard & Poor's)--Aug 10, 2004, ABB Ltd., announced 2Q earnings per ADS $0.10 vs. loss of $0.01 and 6 mos. earnings per ADS $0.06 vs. $0.01.

Business Summary: Provides products and systems incorporating advanced technologies and innovative applications of those products and systems, specializing in automation and power technologies for industrial and commercial customers. Operates in more than 100 countries.

Insider Activity: Company Insiders include officers and directors of the company who may have access to information not available to the general public. Insider activity is not available for ABB
Third Party Opinions
Standard & Poor's does not have an opinion




Current Consensus Opinion (I/B/E/S)


Analysts' Opinion No. of Ratings


Buy
0

Buy/Hold
0

Hold
1

Weak Hold
1

Sell
1

No Opinion
0

Total 3

Anybody catch this small snippet?

His largest stock holding where he was a director was for Gilead Sciences, a biotechnology firm of which Rumsfeld owns as much as $30 million in stock.

Probably nothing, though. Gilead Sciences website shows they are into HIV type pharmaceuticals.

Racketeering Charges filed for knowingly marketing a deadly neurotoxic drug for human consumption, NutraSweet/Aspartame/Equal/Spoonful, and stumbling the public into believing it to be a safe additive

San Francisco, CA (PRWEB) September 17, 2004 -- A RACKETEER INFLUENCED & CORRUPT ORGANIZATIONS
As evidence, an explosive affidavit from a former translator for the G.D. Searle Co - the developer of aspartame - will be made public at a National Press Conference on Thursday, September 16 at 11:00 a.m. at the Sheraton Grand Sacramento Hotel, 1230 J Street, Sacramento, California 95814, phone (916) 447-1700.

For 16 years, the FDA denied approval of aspartame because of compelling evidence of its contributing to brain tumors and other serious disabilities. Donald Rumsfeld, present Secretary of Defense in the Bush Administration, left President Ford's administration as Chief of Staff to become the CEO of aspartame producer G D Searle Co. in 1981. Shortly after, Rumsfeld became the CEO, and the day after President Reagan took office, aspartame was quickly approved by FDA Commissioner Arthur Hayes over the objections of the FDA's Public Board of Inquiry. Hayes had been recently appointed by the Reagan Administration. Shortly after aspartame's approval by the FDA, Hayes joined NutraSweet's public relations firm under a ten year contract at $1,000 a day.

Aspartame/NutraSweet was the product of the G. D. Searle Co. In January 1977, the FDA wrote a 33 page letter to U.S. Justice Department Attorney
Sam Skinner: "We request that your office convene a Grand Jury investigation into apparent violations of the Federal Food, Drug and Cosmetic Act." Skinner allowed the Statute of Limitations to run.

Three FDA Commissioners and eight other officers and Skinner took jobs in the aspartame industry.

The Food and Drug Administration once listed 92 adverse reactions from 10,000 consumer complaints and would send the list to all inquirers. In 1996 the FDA stopped taking complaints and now denies existence of the report. Seizures, blindness, sexual dysfunction, obesity, testicular, mammary and brain tumors and death, plus dozens of other dread diseases named in the suit arise from the consumption of this neurotoxin.

Defendant Moser, past CEO of NutraSweet, is cited for misrepresenting facts to public and commercial users with full knowledge of the deceptions. The toxin is sold to Bayer, Con Agra Foods, Dannon, Smucker, Kellogg, Wrigley, PepsiCo, Kraft Foods (Crystal Light), Conopco (Slim-Fast), Coke, Pfizer, Wal-Mart and Wyeth (to name a few), who use it in some of their products, including children's vitamins. These entities are named in other suits now in California Courts.

Defendant American Diabetes Association's mission is to care for diabetics. A 35 year ADA member, world famous diabetic specialist H.J.Roberts, M.D., discovered aspartame can precipitate diabetes and reacts harmfully with insulin. ADA rejected his report which was then published in a prestigious medical journal.

The seven count indictment includes charges for violation of California Consumers Legal Remedies Act, Fraud, violations of California Civil Code �1780-1784 and Injunctive Relief: that Defendants be enjoined from future use/sale of aspartame.

www.emediawire.com...

Donny isn't exactly kosher it seems.

Certainly not to dismiss the implications of the far ranging scope of Rumsfeld's dirty corporate dealings, but the emphasis on his Nuclear ties to North Korea is the real issue I'm seeing here, yet it's being reported nowhere else today.

Is this a bona fide scoop?

Again, excellent work Valhall and who do we tell about it?

Conversely, the related Cheney/Halliburton scandal is plastered all over the news. Mainstream coverage on CNN of Kerry picking up the charge and even a bizarre little nod from FoxNews covering the 'Kerry response' to trailing in polls as a Halliburton Ad?

Okay, well the American Prospect article I cited was just the focus of today's Crossfire with the entire debate being on Cheney's Halliburton dealings with Iraq and Iran.

My sincere question is are we onto something bigger here with Rumsfeld that will eventually break and overshadow the Cheney controversy? Or merely behind the curve on Cheney?

It could be both.

Well, SO was the one that thew this out in bullpen. He linked to a teaser in Fortune, but I could not get the full article, nor can I tell when that article was written. He may be able to fill in the blanks on that.

www.fortune.com...

That's what he gave me...so I had to go off and investi-ma-gate.

[edit on 9-17-2004 by Valhall]

Originally posted by TrickmastertricK
Heres some Bling-Bling


Donald H. Rumsfeld
Defense; Secretary
Rumsfeld has served on a variety of corporate boards, including Amylin Pharmaceuticals, nuclear energy company Asera Brown Boveri, Allstate, RAND Corp. ]

HUMMMM.
Does any one remember that RAND is the thinktank that created a proposal for OUR HOMELAND DEFENSE PLAN (almost verbatum to how it came to be) in case of a terrorist event like a plane hijacking being used as a bomb, about 9 months before 9-11 (in febuary of the same year).
It would give some credence to Alex jones theory that the White house administration knew about 9-11 before it happened if Rumsfield was on the board of RAND in febuary. actually, now that i think about it, he could have quit and still been connected....
also

Did you know that any company that so much as gave Iran a piece of steel, during those years, could be indicted on charges of violation of sanctions...
I didn't hear about any customs or treasury agent raids on Cheneys house...
I do, however, know a company that gave a sample auto gear to an iranian at an international tradeshow (they didn't know he was iranian) ... and had a waco assault team, armed with assualt rifles, in their offices soon after, copying every computer and every file in the company...
guess they didn't know the right people...

Some info on RAND



RUMSFELD TAKES LEAVE FROM RAND BOARD WHILE SERVING DOLE CAMPAIGN


Be back with more

Hey theres like 137 of these most in .pdf, if any one wants to help.,...

Rand.or g


[edit on 17-9-2004 by TrickmastertricK]

Brilliant work Val. I think you just owned the Secretary of Defense

How can anyone consider giving this administration 4 more years?