Nemesis: The Last Days of the American Republic (19 page)

Chile was certainly not the first instance in which the United States government used its clandestine services to manipulate, undermine, or overthrow a fellow democracy. It had done so in many other places, including Italy in 1947-48, Iran in 1953, Guatemala in 1954, Indonesia in 1957-58, Brazil from 1961 to 1964, Greece from 1964 to 1974, South Korea from 1961 to 1987, and the Philippines in every year since it gained its independence from the United States in 1946. But Chile provides us with the first written record of a U.S. president ordering the overthrow of a democratically elected government—namely, the handwritten notes of CIA director Richard Helms reflecting the orders given to him by President Richard Nixon in the White House on September 15, 1970.
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Even the heavily censored CIA documents released to the Church Committee in 1975 led Senator Church to produce his own definition of “covert action.” It is a “semantic disguise for murder, coercion, blackmail, bribery, the spreading of lies, and consorting with known torturers and international terrorists.”
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From the moment the Kennedy administration came to power in 1961 until the overthrow and death of Chile’s president Salvador Allende on September 11, 1973, the CIA spent some $12 million on a massive “black” propaganda campaign to support Allende’s primary political opponent, Eduardo Frei, the candidate of the Christian Democratic Party, and to denigrate Allende as a stooge of the Soviet Union. In addition, the International Telephone and Telegraph Corporation (which owned the Chilean telephone system) and other American-owned businesses in Chile gave the CIA an extra $1.5 million to help discredit Allende. ITT properties in Chile, including two Sheraton Hotels, were worth at least $153 million. In July 1970, two months before Allende was elected president, John McCone, director of central intelligence from 1961 to 1965 and in 1970 a member of the board of directors of ITT, set up an appointment with then DCI Richard Helms. He offered money and cooperation from ITT “for the purpose of assisting any [U.S.] government plan ... to stop Allende.” ITT presented a plan “aimed at inducing economic collapse” in Chile.
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In the 1964 election, the CIA directly underwrote more than half of Frei’s campaign expenses. It spent more than $2.6 million in support of the election of the Christian Democratic candidate. More sinister was the agency’s disinformation campaign, which it later held up as a model of how to do it. The Church Committee reported, “Extensive use was made of the press, radio, films, pamphlets, posters, leaflets, direct mailings, paper streamers, and wall painting. It was a ‘scare campaign,’ which relied heavily on images of Soviet tanks and Cuban firing squads and was directed especially to women.”
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The CIA placed radio spots that featured the sound of a machine gun, followed by a woman’s cry: “They have killed my child—the communists.” One poster, printed in the thousands, showed children with a hammer and sickle stamped on their foreheads. Juanita Castro, Fidel’s anticommunist sister, said on the radio, “If the Reds win in Chile, no type of religious activity will be possible.... Chilean mothers, I know you will not allow your children to be taken from you and sent to the Communist bloc, as in the case of Cuba.”
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The CIA boasted that it produced and planted in various media around the world some 726 stories against an Allende presidency. Most of these appeared first in Latin American newspapers and were later reprinted in Chilean ones; some appeared in the CIA’s own secret outlets,
which included
Der Monat
in Germany,
Encounter
in Britain, the
Daily American
of Rome, and the
South Pacific Mail
of Santiago. Some seeped into the
New York Times
and the
Washington Post,
including the idea that Allende was a paid agent of the USSR.
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In 1964, these “dirty tricks” produced the desired results. Frei received 56 percent of the vote to Allende’s 39 percent, an unprecedented and almost statistically impossible outcome, given Chile’s multiparty electoral system. The targeted scare tactics worked well. While Chilean men voted for Allende by a plurality of more than 67,000, women gave Frei 469,000 more votes than Allende.
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As a reward and an insurance policy, the U.S. government promptly began to pay off Frei. Under the U.S.’s Alliance for Progress, a scheme to prevent the spread of leftist views in Latin America, “Chile received more American aid per capita than just about any other country in the world—Vietnam excepted.”
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The next presidential election was scheduled for September 4, 1970. Even though the CIA kept up its blistering disinformation campaign, Chilean voters had become warier of the increasingly preposterous American propaganda and its “false flag” agents who tried to convince Chilean business and military elites that “an Allende victory means violence and Stalinist repression.” As a matter of fact, there was no issue of potential Soviet influence in Chile. Allende was not a communist and, in any case, after he came to power in 1970 the Soviet Union wisely urged him to “put his relations with the United States in order.”
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In August 1970, Henry Kissinger had ordered a special national intelligence estimate to answer the question “What would happen in the event of an Allende victory?” It concluded: “An Allende election carried no military, strategic, or regional threat to U.S. interests in security and stability.”
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In the September 4 election, Allende finally won a plurality, but not a majority, of the vote. However, he confidently expected that on October 24 the Chilean Congress would choose him to be president—normal parliamentary practice.

In an attempt to prevent this, the Nixon White House and the CIA sprang into action. On October 16, 1970, CIA headquarters dispatched a secret “eyes only” cable to Henry Hecksher, the CIA Santiago station chief. The actual sender, presumably DCI Helms, is blacked out in the text. “It is firm and continuous policy that Allende be overthrown by a coup. It would be much preferable to have this transpire prior to 24 October, but
efforts in this regard will continue vigorously beyond this date. We are to continue to generate maximum pressure toward this end utilizing every appropriate resource. It is imperative that these actions be implemented clandestinely and securely so that the USG [United States government] and American hand be well hidden.”
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For months, the CIA had been sounding out senior Chilean military officers on the issue of a coup, promising extensive help to any who agreed to participate. The agency’s operatives soon discovered that the main obstacle was the commander in chief of the army, General Rene Schneider, who represented what the CIA called “the apolitical, constitution-oriented inertia of the Chilean military.”
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Therefore, the CIA set out to find and arm dissident Chilean forces who would assassinate him. One group it approached asked for submachine guns, ammunition, and $50,000 to do the job, and the agency obliged, shipping the weapons from Washington to Santiago in the regular diplomatic pouch.
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Local CIA agents then delivered them to the plotters at 2 a.m. on October 22, 1970; at 8 a.m. the assassins surrounded General Schneider’s chauffeur-driven car, knocked out the rear window, and fatally wounded him. He died in a hospital three days later.

The CIA went to great lengths to cover its tracks, including paying hush money to the conspirators and driving to a general’s home to retrieve the guns they had given him. Colonel Paul Wimert, the military attaché in the U.S. embassy in Santiago, had to pistol-whip the general to force him to comply.
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The agency then dumped the machine guns in the ocean to ensure that they could not be traced back to the U.S. government.

But Washington and the CIA had overplayed their hands. “Far from fostering a coup climate,” Peter Kornbluh, the chief Chilean specialist at the National Security Archive in Washington, D.C., writes, “the Schneider shooting produced an overwhelming public and political repudiation of violence and a clear reaffirmation of Chile’s civil, constitutional tradition.”
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The Chilean Congress voted 153 to 57 to ratify Allende as president, with all seventy-four senators and congressmen from the Christian Democratic Party voting with Allende’s own party. This result did not, however, even begin to slow down Washington’s venomous campaign. For the next three years, the Nixon administration tried in every way to undermine Allende by producing economic chaos in Chile, and the CIA worked tirelessly to find a suitable general to put in power. They finally identified a
likely candidate in the summer of 1971—the cruel, ruthless, and corrupt General Augusto Pinochet.

The Chilean military under Pinochet finally moved against Allende on “the other 9/11”—September 11, 1973. During the attack on La Moneda, the presidential palace, Pinochet’s forces offered Allende an airplane to fly him and his family into exile. (Pinochet was taped giving radio instructions to his troops, in which he says, “That plane will never land.”
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) Allende apparently took his own life rather than agreeing to any offer or allowing himself to be captured. He was found dead of gunshot wounds in his office around 2 p.m. on September 11.

Thus began Pinochet’s seventeen-year dictatorship and reign of terror—sponsored and paid for by the U.S. government. During this period, the Chilean military was responsible for the murder, disappearance, or death by torture of some 3,197 citizens, according to the postdictatorship
Report of the Chilean National Commission on Truth and Reconciliation,
released in 1991. In November 2004, the National Commission on Political Imprisonment and Torture, chaired by Monsignor Sergio Valech, published a twelve-hundred-page report that documented more than 27,000 confirmed cases of political imprisonment and “the most grotesque forms of torture.”
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Pinochet’s major instrument of oppression was the army’s Directorate of National Intelligence (DINA), headed by Colonel Manuel Contreras. In addition to carrying out fierce repression within Chile, Contreras was the creator of Operation Condor, which a top-secret CIA report describes laconically as “a cooperative effort by the intelligence/security services of several South American countries to combat terrorism and subversion.”
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It was, in fact, a conspiracy among the intelligence services of Chile, Argentina, Paraguay, Uruguay, and Bolivia, subsequently joined by Brazil, and backed by the Nixon administration, to hunt down and assassinate leftists within these countries and, in particular, those living abroad in exile. Kornbluh describes Condor as “the most sinister state-sponsored terrorist network in the Western hemisphere, if not in the world.”
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John Dinges, a Columbia University professor and author of
The Condor Years,
estimates that Condor agents killed at least 13,000 people in the six participating countries.
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Among its trademark atrocities were the car-bomb killings of the exiled general Carlos Prats and his wife—Prats had been General Schneider’s
successor—in Buenos Aires on September 30, 1974, and of Orlando Letelier, Allende’s ambassador to Washington and later foreign minister, and his twenty-six-year-old American colleague, Ronni Karpen Moffitt, on a street in Washington, D.C., on September 21, 1976. Both assassinations were carried out by the most famous member of DINA’s foreign branch, Michael Vernon Townley, an American born in Waterloo, Iowa. The killing of Letelier and an American citizen in the nation’s capital was one of the most flagrant acts of international terrorism carried out in the United States prior to September 11, 2001. It set off a furious FBI investigation that ultimately led Chile to turn over Townley, who confessed to his role in the crime. During this period, the CIA was notoriously passive, lacking all signs of interest in the Letelier case—even though on August 25, 1975, the agency had hosted a luncheon for Colonel Contreras in Washington and that same year put him on its payroll, making a personal payment to him of $5,000.
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The CIA has, to date, never been directly connected to the Letelier murder, but many of the most critical documents about the case remain secret and many questions remain about the full scope of the agency’s role in Chilean politics.

In reaction to the Letelier case, the Carter administration imposed sanctions on Chile, but these were quickly lifted when Ronald Reagan came to power. Pinochet’s regime was a particular favorite of both Reagan and British prime minister Margaret Thatcher. The end of the military dictatorship came only when the passive resistance of the people of Chile forced Pinochet to hold a plebiscite. On October 5, 1988, with 98 percent of eligible Chileans turning out, 54.7 percent voted to end the dictatorship. Pinochet left office and electoral politics were hesitantly restored, but the military thoroughly protected itself through various amnesty laws and other measures.

Pinochet was ultimately discredited by two events. On October 16, 1998, while he was visiting London for medical treatments, a British judge signed a warrant for his arrest after a Spanish judge sought his extradition to face trial for the torture of Spanish citizens in Chile. Held under house arrest near London for 503 days, he was finally returned to Chile, where the international controversy over the arrest of a former head of state for human rights violations made it increasingly impossible for the Chilean courts to continue to honor the immunity he had essentially granted himself.
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Public opinion in Chile finally turned decisively against him when a
U.S. Senate committee, investigating money laundering by the Riggs Bank of Washington, D.C., revealed that between 1974 and 1997 various countries around the world had paid Pinochet some $12.3 million. In 1976, the U.S. government alone contributed some $3 million. Pinochet and his wife had siphoned off between $4 million and $8 million of these funds and hired the Riggs Bank to hide the money for them in secret, frequently moved accounts. On December 24, 2004, a Chilean special investigation into Pinochet’s wealth determined that between 1985 and 2002, he had actually hidden $16 million—twice the previously reported amount—at Riggs. The revelation that, with so much money stashed away, he was still receiving a monthly pension of $2,000 utterly destroyed his claim that he had done everything “for the good of Chile.”
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