The social revolutions of the 60s terrified the CIA. James Jesus Angleton, chief of counter-intelligence and a truly paranoid man, was convinced the Soviets had masterminded the entire antiwar movement. FBI Director J. Edgar Hoover shared this conviction. The CIA had spied on student groups throughout the 60s, but in 1968 President Johnson dramatically stepped up the effort with Operation CHAOS. This initially called for 50 CIA agents to go undercover as student radicals, penetrate their antiwar organizations and root out the "Russian spies who were causing the rebellion. Tellingly, they never found a single spy. The agents also began a campaign of wire-tapping, mail-opening, burglary, deception, intimidation and disruption against thousands of protesting American civilians.
By the time Operation CHAOS wound down in 1973, the CIA had spied on 7,000 Americans, 1,000 organizations and traded information on more than 300,000 persons with various law agencies.14 When academia learned of this, its outrage grew.
The loss of academia was only the first blow for the CIA. Other disasters quickly followed; in the early 70s, the CIA was trying desperately to stave off a growing number of scandals. The first was Watergate.
The CIA's Fingerprints Were All Over Watergate
First, we should note the CIA had clear motives for helping oust Nixon. He was the ultimate "outsider," a poor California Quaker who grew up feeling bitter resentment towards the elite "Eastern establishment." Nixon, for all his arch-conservatism, was surprisingly liberal on economic issues, infuriating businessmen with statements like, "We are all Keynesians now." He created a whole host of new agencies to regulate business, like the FDA, EPA and OSHA. He signed the Clean Air and Clean Water Acts, which forced businesses to clean up their toxic emissions. He imposed price controls to fight inflation, and took the nation fully off the gold standard. Nixon also strengthened affirmative action. Even his staffers were famously anti-elitist, like Kevin Philips, who would eventually write the bible on inequality during the 1980s, The Politics of Rich and Poor. Add to this Nixon's withdrawal from Vietnam, and DÃ tente with China and the Soviet Union. Nixon and his Secretary of State, Henry Kissinger, had not only tried to remove control of foreign policy from the CIA, but had also taken measures to bring the CIA itself under control. Not surprisingly, Nixon and his CIA Director, Richard Helms, couldn't stand each other. (Nixon fired him for failing to cover up Watergate.) Clearly, Nixon was at cross-purposes with the CIA and the nation's elite.
As it turns out, the CIA had inside knowledge of Nixon's dirty work. Nixon had created his own covert action team, "The Committee to Reelect the President," more amusingly known by its acronym, CREEP. The team consisted of two CIA agents " E. Howard Hunt and James McCord " as well as former FBI agent G. Gordon Liddy. They also employed four Cubans with long CIA histories. In fact, a CIA front called the Mullen Company funded their activities, which ranged from disrupting Democratic campaigns to laundering Nixon's illegal campaign contributions.
The CIA not only had intimate knowledge of Nixon's crimes, but it also acted as though it wanted the world to know about them. When the FBI began investigating Watergate, Nixon tried using the CIA to cover up for him. At first the CIA half-heartedly complied, telling the FBI that the investigation would endanger CIA operations in Mexico. But a few weeks later it gave the FBI a green light again to proceed again with their investigation.
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