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Allegations Regarding Vince Foster, the NSA, and Banking Transactions Spying, Part II

by J. Orlin Grabbe

Upon hearing of the alleged connections between Vincent Foster, the NSA, and its subsidiary Systematics--since renamed ALLTEL Information Services (4001 N. Rodney Parham Rd., Little Rock, Arkansas 72212-2496, phone 501/220-5100)-- ALLTEL Corp. (1 Allied Dr., Little Rock, Arkansas 72202, phone 501/661-8000) hired a San Francisco libel attorney named Charles O. Morgan (450 Sansome Street, 13th Floor, San Francisco, CA 94111-3382, phone 415/392-2037) to threaten journalists who made such allegations.

ALLTEL feared the economic consequences of the charges made against its private subsidiary: "Banking and financial institutions are clients of ALLTEL. The irresponsible and false statements . . . have and will cause my client substantial damage" (letter from Charles O. Morgan to Agora Inc., March 28, 1995).

Published news articles in the American Banker and elsewhere show that Systematics' (ALLTEL Information Serivces') customers have included Home Bank, Manufactuers Hanover (now merged with Chemical), Vboss, Southwestern Bell, various overseas military bases, City National, California Federal Bank, Federal Home Loan Bank of San Francisco, Guaranty Federal Savings Bank, River Forest Bankcorp, First Busey Corp, Decatur Federal Savings and Loan, Republic National Bank of New York, Anchor Savings Bank, Integra Financial Corp, Banc One, Nations Bank, Citicorp, Vermont National Bank, CNB Bancshares, Liberty Bancorp of Oklahoma City, First Union, First National Bank of Maryland, Amcore Financial, Horizon, Oxford First Corp, Navy Federal Credit Union, People's National Bank, Drung Thai Bank Ltd., Bank of Commerce Berhad, Unisys Corp, Corestates Financial Corp, Novorosiysk Industrial Commercial Ecobank, Royal Bank of Trinidad and Tobago, United Overseas Bank (Singapore), Soneri Bank Ltd (Pakistan), Banco National Ultramarino SA (Macao), BMJ Financial Corp, Security Bank (Arkansas), Hiberia National Bank, Glendale Federal Bank, First Alabama Bancshares, Union Bank of Manila, First Pacific National Bank, Pine Bluff National Bank, Consolidated Bank (Miami), Citibank of Australia, Savings Bank of the Russian Federation, Family Bank, Sabine State Bank & Trust, Central Bank, Chemical Bank, Citibank, Moscow Savings Bank, National Home Mortgage Company, Barclays Bank PLC, Keycorp, Bank IV Kansas, Borel of California, Dime Bancorp, and Bellsouth Cellular Corp.

According to John E. Steuri, Chief Executive Officer, President, and Chairman of the Board of Systematics: "Today, we have banking, financial services, cellular telephone and hospital clients in thirty-six (36) countries outside the United States" (memo from John Steuri to Jim Norman, March 8, 1995, with the subject listed as "Systematics").

Attorney Charles O. Morgan sent threatening letters to, among others, Agora Inc., publisher of Strategic Investment (824 East Baltimore Street, Baltimore, MD 21202-4799), to David Fondiller and Jim Norman of Forbes (62 Fifth Avenue, New York, NY 10011), and to Bill Hamilton of Inslaw Inc. (1125 15th St. N.W., #300, Washington D.C. 20005-2707, phone 202/828-8600).

In denying various allegations, Charles O. Morgan makes personal claims of knowledge that border on the supernatural. For example, Strategic Investment had written in its March 22, 1995, issue: "Several years ago, investigative reporter Danny Cassalario [sic] spent many months investigating the Inslaw case. He told associates that his probe had revealed an astonishing tale of corruption that he intended to reveal in a story entitled 'The Octopus.' He was days away from completing his story when he was found dead, allegedly a 'suicide.' "

In his March 28, 1995, letter to Agora, Inc., Charles O. Morgan makes the blanket assertion:

"Systematics was not in any way involved in any investigation by Danny Cassalario [sic]" (page 2).

How could Charles O. Morgan possibly know what topics Danny Casolaro, a private journalist, was investigating at the time of Casolaro's death?

Was Charles O. Morgan in close communication with Danny Casolaro at the time of Casolaro's death?

Did Charles O. Morgan examine Casolaro's papers and notes following Casolaro's death, to determine if there were any references to Systematics?

Or did Charles O. Morgan rely on statements by the FBI/Justice Department regarding the topic of Casolaro's investigations? If so, he was relying on a biased source, for according to the "Executive Summary" of a document supplied by Inslaw to each member of the House Judiciary Committee:

The Office of Special Investigations' (OSI's) "publicly- declared mission is to locate and deport Nazi war criminals. The Nazi war criminal program is, however, a front for the Justice Department's own covert intelligence service, according to disclosures recently made to INSLAW by several senior Justice Department career officials. ....

"According to written statements of which INSLAW has obtained copies, another undeclared mission of the Justice Department's covert agents was to insure that investigative journalist Danny Casolaro remained silent about the role of the Justice Department in the INSLAW scandal by murdering him in West Virginia in August 1991. INSLAW has acquired copies of two relevant written statements furnished to a veteran investi- gative journalist by a national security operative of the U.S. Government, several months after Casolaro's death. ..."

Finally, did instead Charles O. Morgan simply rely on Sytematics' assertions that it was not the subject of investigation by Danny Casolaro? If so, why would Systematics make such an assertion? Who would suppose there was a connection between Systematics and the death of Danny Casolaro?

Charles Morgan's denials suggest to me that an important part of the Kenneth Starr investigation into matters related to Whitewater should focus on the relationship between the death of Danny Casolaro and the death of Vincent Foster.

And Kenneth Starr should question Charles O. Morgan with respect to his personal knowledge of the topics of Danny Casolaro's investigation which led to Casolaro's death.

[to be continued]

First Posted to the Internet July 2, 1995
Web Page: http://www.aci.net/kalliste/