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How Reagan's Propaganda Succeeded

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Robert Parry
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Raymond "helped to set up an elaborate system of inter-agency committees," the draft chapter said, adding:

"In the Spring of 1983, the network began to turn its attention toward beefing up the Administration's capacity to promote American support for the Democratic Resistance in Nicaragua [the contras] and the fledgling democracy in El Salvador.

"This effort resulted in the creation of the Office of Public Diplomacy for Latin America and the Caribbean in the Department of State (S/LPD), headed by Otto Reich," a right-wing Cuban exile from Miami.

Stiffing Shultz

Though Secretary of State George Shultz wanted the office under his control, President Reagan insisted that Reich "report directly to the NSC," where Raymond oversaw the operations as a special assistant to the President and the NSC's director of international communications, the chapter said.

"At least for several months after he assumed this position, Raymond also worked on intelligence matters at the NSC, including drafting a Presidential Finding for Covert Action in Nicaragua in mid-September" 1983, the chapter said.

In other words, although Raymond was shifted to the NSC staff in part to evade prohibitions on the CIA influencing U.S. public opinion, his intelligence and propaganda duties overlapped for a time as he was in the process of retiring from the spy agency.

And despite Raymond's formal separation from the CIA, he acted toward the U.S. public much like a CIA officer would in directing a propaganda operation in a hostile foreign country. He was the go-to guy to keep this political action operation on track.

"Reich relied heavily on Raymond to secure personnel transfers from other government agencies to beef up the limited resources made available to S/LPD by the Department of State," the chapter said.

"Personnel made available to the new office included intelligence specialists from the U.S. Air Force and the U.S. Army. On one occasion, five intelligence experts from the Army's 4th Psychological Operations Group at Fort Bragg, North Carolina, were assigned to work with Reich's fast-growing operation. "

"White House documents also indicate that CIA Director Casey had more than a passing interest in the Central American public diplomacy campaign."

The chapter cited an Aug. 9, 1983, memo written by Raymond describing Casey's participation in a meeting with public relations specialists to brainstorm how "to sell a "new product' Central America by generating interest across-the-spectrum."

In an Aug. 29, 1983, memo, Raymond recounted a call from Casey pushing his P.R. ideas. Alarmed at a CIA director participating so brazenly in domestic propaganda, Raymond wrote that "I philosophized a bit with Bill Casey (in an effort to get him out of the loop)" but with little success.

The chapter added: "Casey's involvement in the public diplomacy effort apparently continued throughout the period under investigation by the Committees," including a 1985 role in pressuring Congress to renew contra aid and a 1986 hand in further shielding S/LPD from the oversight of Shultz.

Casey even monitored personnel changes. A Raymond-authored memo to Casey in August 1986 described the shift of S/LPD then run by neoconservative theorist Kagan who had replaced Reich to the control of the Bureau of Inter-American Affairs, which was headed by Assistant Secretary of State Elliott Abrams, another prominent neoconservative.

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Robert Parry broke many of the Iran-Contra stories in the 1980s for the Associated Press and Newsweek. His latest book, Secrecy & Privilege: Rise of the Bush Dynasty from Watergate to Iraq, can be ordered at secrecyandprivilege.com. It's also available at
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