European Stars And Stripes (Newspaper) - January 12, 1987, Darmstadt, Hesse                                Page 2 the stars and stripes monday january 12, 1987 Israel denies initiating arms sales Tel Aviv Israel a israeli Lead in on Sunda rejected allegations thai Israel initiated the . Arms sales Toiran but la Cabinet members demanded an internal probe of Israel s role in the affair. The allegation is remained in a memorandum to president Reagan published Friday by the White House. The memo dated january 1986, outlined an israeli proposal to open contacts with iranian moderates by Selling them . Arms. Publication of the document has been viewed in tej Aviv As a Clear attempt tomake Israel a Scapegoat for Reagan for eign policy fiasco. It came amid new re ports that Israel had suggested the United Stile Siphon profits from the arms Tab to the near Guan rebels fighting to topple the leftist sandinista government. What was published is far from the truth of contradicts reality prime minister Yitzhak Shamir said sunday on Israel army radio. Most of the thing published in this report to 1 Beard it in the Media Are not True and All that was blamed upon Israel it Basdes he said. The Premier consulted sunday with foreign minister Shimon Peres and de sense minister Yizhak Rabin about the latest revelations from Washington government official said. The subject also was raised at the weekly Cabinet meeting. Trade and Industry minister Ariel Sharon demanded a full explanation of Wisnel t role in the Iran affair and communications min ister Amnon Rubinstein called for an official inquiry. "1 am absolutely sure the position taken by the three ministers. I the truth from their Point of View Rubinstein told reporters referring to Shamir Peres and Rabin. I Don t think in i even conceivable that they would agree on a version which is false and i have total Trust in their denials. But it is conceivable that they did t get the right information be added. His Comra eni appeared to be a oblique reference to Amiram Nir the prime minister s counter terrorism adviser who became the israeli Contact with the United states in the arms Dealin january 1986. Rubinstein suggested publication of the White mouse memo May have Keenan attempt by some us. Officials to shirk responsibility and shift the Llamelo somebody else. Israeli officials involved i the Arm Deal have said i Hal Robert Mefs Lane a former . National Security adviser told Israel the United states would disa vow any knowledge of the arms Sale if it were disclosed at a certain stage it was said explicitly that Israel was going to be made the Scapegoat Rubinstein said. An unidentified government official told the Jerusalem Post the ils. Allegations were incredible and strange at tempt to Shin blame onto Israel. The official said israeli Tad . Officials routinely Exchange ideas and proposals but it is a breach of Trust if Ameri can officials reveal confidential israeli proposals Lor reasons of Domestic expediency the Frog link Frap a daily re ported. But officially the government appeared determined to refrain from a Campaign of recriminations with Washington. I Don t think we re being blamed or Are guilty of anything. It is by not an internal american  said thed rec Lor of israels foreign minister. Yob Beilin. Who spoke on Issei radio. Be Fin who is going 10 the United tales on monday is expected to meet with senator Daniel Inouye a of bin. Bead of the Senate intelligence coach Lee investigating the Iran Contra scandal. The Dairy Davir said that net bad rejected a request to allow . Investigators to question the israelis involved in the operation. Ii keeping with previously stated intention red said it Woad Only submit Wrilen statements from the key officials to the United states the newspaper said the Dairy Abo reported fat Mefter Lane and former foreign ministry director David Kimche met in London More ii Arm merchant Yanatov Nimrod with iranian parliament speaker  a Sfanjani reportedly banded them list of so moderates a Iran no could be approached by the United states. Included on the list was Ahmed Khomeini Theson of the iranian Leader. Iran sales fattened arms dealers paper says Washington up Telephone conversations intercepted by the nation Al Security Agency Asa show arms dealers involved in sales of weapons to Iran squabble Over late payments but nevertheless kept millions of dollars in interest and profits the Washington Post temperatures l h s 9 to tit ii � 1z 17 41 s3 it 4s 43 s4 Awn 41 hmm a so Bax Augot 17 j3 Blu h 41 s 3tm a 3 4tii � 1 4a v Siha if 10 43u a s 40 i Ejon a a a30 u 44 s5 he 3 42 4rll 44 54  � m x 34ri � u � h 44 s33 j1 w in in Izaj a in a 5 2 4i a Ujj 41 ? b 40 be it re emf � 41 so iwo 3 3 s4uut3 by s4t1tpos b it $mlhuc4y 42 h 40 is in 71 14m 40 11 a 34 5t 74 21 34 � is a x � x 41a a u 43 reported sunday. An informed source told the newspaper thai congressional investigators have assembled a suck of Asa intercepts that show millions of dollars either missing or slipping through the cracks in the israeli and los. Arms shipments to Iran. The congressional investigators were surprised that the White House would share information about one of is mos secret operations with arms deafen and middlemen while refusing to inform intelligence committees in the House of representatives and the Senate the Post said. The conversations monitored by then a show that from the beginning in september 1985 there were financial problems and unhappiness galore one source said. Manucher Ghorbani far for a while the iranian go Between who was Proba Bly the key player in arranging the begin Ning of the arms transactions was among those whose conversation were intercepted the report said. The monitoring of the conversations was requested in the tall of 1985 by it. Col Oliver North in aide for the National Security Council who was suspicious of the middlemen the paper said. North was fired nov. 25. One example of the intercepted information was that Ghorbani far charged s3 million in interest on $15 million advanced to fact Lillar one shipment of arms a rate of 20 percent a month the report said. Another transaction tracked in the intercepts shows that arabian businessman Adnan Khash Oggi deposited Ujj million in an israeli Swiss account As a loan and that he was eventually repaid and that Iran paid at least $6 million for anti tank missiles in the Deal but that Israel received Only $2,5 million of the amounts reimbursement. Ghorbani far and israeli middlemen earned at East $3.5 million profit on the Deal the newspaper said. In a november 1985 shipment of 120 air paper says Portugal sold arms to Secord european weather tit Kukulta Uff hmm to no tna9m #4 hot my Povy it Btry u4t w Tow a Mnew of in fwd we Gutty. -. 4 48 ova Tun if b 20 Tubac Lor to aider. 1m la pm for Douds a of pm a. Mav for wifi we tnothir4 a m 4ttm � 44m 4pm 44m 4prt 4 &4  t i s1s it Ftp kit u 11 u m it now. P � 27h 31 m44. I id 10 i t10 a to m t mid ,99 14 Unco. .11 m Cho. 147 77 Tomorta r 2 4 it is Lisbon Portugal a a Lisbon newspaper saturday said a company owned by retired . Air Force . Richard Secord ordered arms from Portugal that were supplied to Contr rebel fighting the nicaraguan govern ment. The express newspaper an Independent weekly said arms ordered by Secord t Energy resources International company were part of More than $8 Mil lion Worth of weapons and ammunition supplied to the Contra by portuguese arms manufacturers from 1984 to 1986. Secord an associate of 14. Col Oliver North has declined to testify it us. Congressional hearings into the Sale of us. Arms to Iran and the diversion of he proceed to the nicaraguan rebels on the grounds that doing k might incriminate him. Portugal also has been used As a Tran sit Point for shipments of israeli and Easl bloc arms to the rebels in Nicara Gua the newspaper reported. The espresso que Liuz. Unnamed in formed source in us Btu said the Sale of portuguese arms to the Contra was made through a Lisbon based company called Defex Portugal which specialize sin the import and Export of military  Aid end user certificates Defex presented to the portuguese government showed the arms were destined for Guatemala. Bin they were in last hand Dover to the .-backed guerrillas in Nicaragua the paper said. The express said a guatemalan army general Cesar Catena Rojas had signed some of the end user certificates. To general reportedly Haa told the is. Tele vision network lbs that the signature Are false lbs reported Peconta company or dered 10.000 rifles 10,000 hand Gre Nade and five was of explosive fro Defex in february 1985, presenting Doc menu listing Guatemala As their Desti nation according to express. The newspaper said it bad confirmed these order were made. It said there were slight discrepancies in the Quanti ties of weapons reported by lbs and it sown information. Hawk missiles the sources told the Post Iran put up about 142 million Bat onjr$18 million found its Way to Israel which supplied the weapons. A of mid december 1985, 124 Mil lion was in a Swiss account and invest Gaton have been unable to find oat what happened to it the report Laul a source told the newspaper thai Asa analyst at the time found nothing particularly unusual in the intercepts became millions of dollars frequently � spooned off in comr Guions and other payments when Large quantities of  Are sold. The intercepted conversation one re viewed by investigator work with at Torney general Edwin Meese. They the became suspicious that something my usual was happening with the Money Meetie revealed the presence of the intercepts in his nov. 25 news conference at which he disclosed that some of the Money was apparently made available to the nicaraguan rebels the same Day North was fired. News update poisoning trial Madrid Spain ufos forty one people win stand Tim March 30 in connection with thew Rutx largest mass poisoning in distal authorities have said. The 41 Are accused of setting contaminated cooking Oil in i98i which killed 54 people and Poi soned More than 21,000. A National court spokesman said Moie than 2jjoo witnesses a Fol be called to testily in tbec2x, rapeseed scandal which is expected to last four months. The vast evidence gathered bythe prosecution is contained in a 100, dossier. The deaths occurred in untie syndrome among people who bought cheap cooking Oil that con tailed rapeseed of treated Tor Industrial use. Thousands of survivors continue to suffer paralysis and crippling illnesses. A state prosecutor Tuu asked for jail sentences of More Ihan c 0,000 years each for the eight allege Leaden of the mass swindle