STATEMENT
by Lt.Col James Bo Gritz, USA (Ret)
for U.S. Congress, House Foreign Affairs Committee,
International Narcotics Control Task Force.
Rayburn House Office Building
Washington, D.C.
Tuesday, 30 June 1987

NINE HUNDRED TONS OF HEROIN & OPIUM WILL ENTER THE FREE WORLD FROM SOUTHEAST 
ASIA'S "GOLDEN TRIANGLE" THIS YEAR.  The reason is because U.S. taxpayer
dollars and American equipment have been used to construct a new road that
will allow narcotics to pour out of General Khun Sa's Shan Territories rather
than trickle out by horse and mule as has been the case until the beginning of
this year.

Last year 600 tons of Opiates trafficked from this area.  Press reports 
included as part of this statement argue that it is logistically impossible to
increase the output to 900 toins.  The new road capable of easily handling 10
ton truck convoys signal not only the capability, but the reality.  The
disappointing fact is that this new artery was constructed by the Thai
Government using money, manpower, time and materials furnished by our drug
suppression funds.

Moreover, there are serious implications that elements within the U.S.
Government are Khun Sa's biggest customers.  The facts are that for 15 years
U.S. taxpayers through legislative bodies like this committee and executive
agencies such as have testified here today, have dumped hundres of millions of
dollars into drug suppression programs within Thailand and Burma which have
done nothing but nourish the flow of narcotics from Asia into the United
States.  The proof is statistically clear.  Fifteen years ago the flow of
Opiates was 60 tons; this year it will approach or exceed 900 tons.  The
reasons, while multi)faceted, boil down to one word, "money".

Certain high level Thai and Burmese officials are packing their pockets with 
U.S. supplied drug suppression funds; political pay*offs, and other spin)off
profits like the thousands of Teak trees felled during the Khun Sa road
effort.  Khun Sa has no outlet for teak, but it is a protected and highly
valued commodity in Thailand.  More shameful are the serious allegations
raised by General Khun Sa and his staff that corrupt U.S. officials allow this
travesty and in certain cases are directly involved.

After meeting with General Khun Sa and others, I am convinced that a secret 
combination exists today within the U.S. Government that was officially 
germinated during the Nixon ) Vietnam years and has, through illicit drug 
profits, propagated itself today into a self)serving righteous monster of 
global proportions.  I believe Ed Wilson was a member of this combination and 
that his activities represent only one of many tentacles.  I believe the 
Contra)Iran situation is merely another visible lesion that has emerged 
from this extra)governmental organism.

I say "would be righteous" because those within this secret combination I
believe honestly think they are serving America by offering an established
model of sabotage, subversion, and assassination to areas threatened by
communism.  They are in existence because normal government process is too
cumbersome, time consuming and oft times impotent.  These persons who are
intelligent and well seeded in our governmental structure think they are
smarter than our elected officials and can expedite accomplishment of national
objectives.  They have funded their efforts through drug trafficking because
of a 1960's mind set that anyone who would use opiates is animalistic and the
U.S.A. doesn't really care about them.  They began their drug dealing in
Southeast Asia as a means to fund the secret war in Laos and Cambodia that
Congress was officially unaware of.  Besides my personal experiences, all of
these conclusions are spelled out in the book, THE POLITICS OF HEROIN IN
SOUTHEAST ASIA.

I have good reason to believe that after President Nixon got the U.S. out of
Vietname "with honor", while bringing home "all the POW's" in 1973 that either
with his concurrance, or on the initiative of those "Best and Brightest"
included within the "President's 40", the war continued to be fought through
Project Phoenix.  The insiders knew the North Vietnamese would not abide by
the tri)accord and continue to consolidate their position in Vietnam, Laos,
and Cambodia.  Since the war was over there was no Congressional funding and
home)grown drug trafficking offered the most expedient solution.  Ideally the
communist takeover in 1975 would fall like a house)of)cards since the
infrastructure would be eliminated by extreme prejudice through the Phoenix
operation.  Even so, an estimated 150,000 non)military persons were
terminated, the program failed to meet the expectations of those in charge.

Next, I believe the Phoenix model was moved to help stabilize a toppling Shaw 
who happened to be close to the Administration ) and to people in the secret
combination society, many of whom held high positions within the Executive
Branch.  The Shaw fell.  By this time the model was self)perpetuating.

Rather than shut down after failing in Iran, there was a re*focus on the 
building communist threat in Central America.  The Contra)Iran)Oliver 
North)White House disclosures are only protrusions that have become visible 
because of the extent and intensity of this para)government organization.  
Even as these hearings are underway, representatives of this secret 
combination are at work in the "Philippines, offering "anti)communist 
solutions" to that struggling democracy.  I believe that.

As years and changing administrations have gradually thinned
the society's active duty status within the U.S. Government, I
believe those who still steer the society have become more self*serving, making huge personal profitr the guise of fighting
worldwide communism.  Further, I believe they are maximizing their\j\influence to protect those of ttherhood who still hold active
office in the government.

I have been told for years that U.S. POW's would never be allowed to return 
because they were directly related to illegal drug trafficking by U.S. 
officials.  Until May of 1987, I thought this absurd.  Now, after eight years 
in the POW)Southeast Asian arena, I clearly can see what was hidden except to 
those more sensitive to power politics than myself.  The reason we have met 
the enemy and he is U.S. in our efforts to return POWs while they are still 
alive is simple.  When POWs are returned the first demand by the American
people will be to examine those within the government responsible for their
return.  American will want to know why these individuals failed in their
official capactities; why the burden fell on the private sector; and what took
so long if the POW issue is truly "Top National Priority" as designated by
President Reagan.  Upon investigation it will be revealed that responsible
officials were more interested in actuating their secret society than
accounting for our POW and MIA.

The fact is that all of the Heroin and Opiates could be shut off at the Golden
Triangle if America`s responsible elected and appointed officials would do
their job.  General Khun Sa is recognized as the drug king)pin and controls
the Golden Triangle with a well disciplined army of 40,000 Shan soldiers.  He
has stated to me before three other American witnesses on video tape that he
greatly desires to stop the drug trafficking, but we won't let him.  He has
promised that if we will give him any economic alternative, he will not just
stem, but stop the flow of narcotics through his areas of control.  He has
said for example that for one)tenth the money we now give the Burmese for drug
suppression turned into economic aid and crop substitution, he will use his
force to enforce what we cannot and have not.  In addition, Khun Sa has
stipulated that the Burmese must be stopped from using the 12 Bell Helicopters
and fixed wing aircraft given them by the U.S. to spray the Shan State people,
animals, food and water with Agent Orange and herbicides.  All that I have
presented thus far is backed up by written and recorded documents made
available to the Committee.

It has been reported to me by committee personnel that Khun Sa has made these 
offers before.  They say the CIA has expressed doubt and mistrust that Khun Sa 
will carry out his part of the bargain.  I and three other Americans have met 
with Khun Sa.  We all believe him to be sincere.  Certainly in view of the 
dismal failure of the CIA and DEA to slow, stop or even deter the flood of 
drugs from the Golden Triangle, it seems that a change in dynamics is in 
order.  Especially since Khun Sa has directly implicated persons within the 
CIA as some of his best customers.  The video tapes show testimony of a 
frustrated medical doctor who, under orders from Khun Sa, did everything from 
offer radio links to Khun Sa's headquarters to present a horse that might be 
used to alert DEA of drug movements.  The low level agents supported these 
initatives, but in every case they were rejected at DEA headquarter levels.  
\j\

        I have strived at the invitation of the Executive Branch for eight 
years to convince political skeptics that American POWs are alive in the hands 
of Communist forces in Laos and Vietnam.  I abhore drugs and dopes that are 
users, yet in the past two weeks I've been told by committee staff and others 
that "federal sources and a Los Angeles State Department employee have said 
that I am a "drug trafficker", and I will be in prison before July 4th.  I 
know this level of federal employee would never make such slanderous 
statements unless encouraged by higher)ups.  While following the classic model 
of "deny)defame)divert," it is disappointing that law enforcement agencies
would reveal such low life practices as directly as they have, and then avoid
comment when confronted.

I have tried in every way to cooperate with the committee and its membership.  
I've furnished video tapes, only to be informed that the chairman has blocked 
their distribution.  I've supplied the Suchesk letter to Vice President Bush, 
and requested a written transcript of the file from which Khun Sa's secretary
read from.  I received a letter in the mail last week.  It was from Khun Sa.
The stapled and sealed envelope had been opened.  Inside, the pamphlet, which
had also been stapled shut, had been opened and the contents removed.  I had
asked Khun Sa to translate his record; sign it himself with two additional
witnesses.  I was assured this document was part of the opened package.  I
have requested my contacts furnish me with a FAX of their copy.  It serves to
supplement in writing the verbal and video accounts.

I'm disillusioned that this committee which represents the interest of 240 
million Americans in controling illegal drug trafficking, would take such a
negative and skeptical position on such a critical issue as Khun Sa's proposal
and my deliverance of the information he gave us.  I've been told that I must
"sell my case" to you.  Facts are, I am a citizen who has been twice to see a
warlord who is recognized as the world's most powerful Heroin kingpin.  This
person has shown statistically that our 15 year old drug suppression program
is, at best, "dumb" by anyone's standards.  At best we have millions of US tax
dollars being mishandled; one recipient has made use of U.S. assets to build a
major road, and secures that road from outside infiltration; 900 tons of
opiates entering the free world; rampant corruption of allied officials.  At
worst in addition to the best case, we have officials within the USG who
won't, as Khun Sa says, let him get out of the drug business, because they are
his biggest buyers.

Your business is representing American interest in drug control.  You greatly 
influence how our tax dollars are used and how well the enforcement agencies 
do their job.  My business is bringing home POWs while they are still alive.  
Neither one of us has been able to make much head way because I'm convinced 
there are persons within the government that are opposing us both.  If POWs 
came home, the resulting investigation will expose their drug involvement; if 
the drugs are stopped, their source of income dries up.  I agree that 
communism threatens the liberty of free people everywhere, but in my opinion 
drugs are even a bigger and more immediate threat.  To\j\fuel these 
self)righteous freedom fighters with drug money is to steal, cheat, and 
mislead every American taxpayer, and circumnavigate the greatest governmental 
system in the world.  While it may appear slow, and at times fickle and 
indecisive, still our's is the greatest government in the world.  There aren't 
boat loads of Americans headed for the Soviet Union.  I believe our system was 
divinely inspired.  I believe it will work despite any shortcoming.

As a member of The Church of Jesus Christ of Latter)Day Saints with Temple 
Endowments, I raise my hand to the square and swear before God, Angels, and 
you as witnesses, that this statement is the absolute truth as I know it.  I 
hope you can swear before God that you will execute the responsibilities to 
your constituents with all honesty in thoroughly investigating the proposal 
for eliminating all drug trafficking from the Golden Triangle, and seeing to 
the objective investigation and prosecution of any American officials found to 
be guilty of maliciously dealing in drugs.  I personally don't believe the 
Americans named by Khun Sa as conspiritors in traffickings could pass an 
honest security background check.  I believe if you do your job as our 
representative body, you will uncover and topple those members of this secret 
combination like a line of dominos.  If you give this hearing only a cameo 
appearance, the combination will be strengthened and our nation could be in
for a period like the Vietnam era.  Your positive attention to this matter
should also speed the safe return of our POWs.

I believe we can stop the heroin and opium by working with Kuhn Sa instead of 
against him.  At worst we lose 10 percent of the Burmese Socialist State 
suppression funds.  You don't have to be from Las Vegas to recognize Khun Sa's 
offer as a good bet.  I believe in him and that he will keep his word.  We
can't hardly afford not to take the chance.  I believe the American public
would be outraged to discover we by)passed such an opportunity because people
who are suspect as traffickers say they "don't trust Khun Sa." Their line
should be added to other greats such as, "I'm from the government, I'm here to
help you"; and "your check is in the mail."

The body of this statement contains a chronology of events.  I have attached
germain documents that attest to the allegations made in the video tapes.










   THE SILENT WAR

   We are engaged in a silent war.  Those waging this brutal conflict have
   not the decency to inform their victims ))) who include ourselves and
   almost everyone we know.  Their standard bearers include George Bush and
   David Rockefeller.  As the high priced professional liars in the mass
   media assure us all is well, the common people of the world are being
   crushed ))) like foot soldiers over run by a panzer division.

   And yet, the only real power of these perpetrators derives only from this
   force fed ignorance.  Apart from the power to keep us fighting each
   other, the Monopolists have no power.  If a critical mass of people can
   learn the information contained herein, and what is more important, the
   sources of this information, a global reign of terror will end.

   These articles are taken from my monthly column in MONETARY AND ECONOMIC
   REVIEW.  I am also the Director of Research for INTELLIGENCE CONNECTION a
   speakers agency that arranges events on university campuses for front
   line researchers, like those mentioned in these articles.  My name is
   Brian Quig.


   You can arrange speaking events with any of these legendary people by
   calling

   (602) 945-3858

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