Last Revised:  10/15/2002

1        Alex. Brown, Inc. has some interesting connections.

a         The current executive director of the CIA is a former chairman of Alex. Brown & Sons. 

i     Summary.

(A)   The current executive director of the Central Intelligence Agency, A.B. �Buzzy Krongard,� was Chairman and CEO of Alex. Brown & Sons from 1991-1997.  [CIA website; CIA 3/16/01; Washington Post 3/17/01]

 

ii     Background of A.B. �Buzzy� Krongard.

(A)   Chronology.

(1)     1937.  A.B. �Buzzy� Krongard was born.

(2)     1958.  Krongard graduated with an A.B. degree from Princeton University.  [CIA website; CIA 3/16/01]

(3)     1971.  Krongard joined Alex. Brown & Sons as a finance associate.  [Princeton University 11/4/98]

(4)     1975.  Krongard received a Juris Doctor degree with honors from the University of Maryland School of Law in 1975.  [CIA website; CIA 3/16/01]

(5)     1991. Krongard became Chief Executive Officer at Alex. Brown & Sons, the oldest investment banking firm in the U.S.  [CIA website; CIA 3/16/01]

(6)     1994.  In addition to continuing his position as CEO of the company, he was elected Chairman of the Board.  [CIA website; CIA 3/16/01]

(7)     1996.  While at Alex. Brown & Sons, Krongard served as Chairman of the Securities Industry Association.  [CIA website; CIA 3/16/01]

(8)     In Sept. 1997, Alex. Brown merged with Bankers Trust Corporation where Krongard became the VP of its board.   [CIA website; CIA 3/16/01]

(9)     In Feb. 1998, Krongard became Counsel to the Director of the CIA. [CIA website; CIA 3/16/01]

(10)  On March 26, 2001, Krongard was appointed Executive Director of the CIA, the third highest position in the CIA. [CIA website; CIA 3/16/01; Washington Post 3/17/01]

(B)    Other.

(1)     He enjoys fox hunting and scuba diving and has a black belt in martial arts.  [CIA website]

 

(C)    Note:

(1)     There is no evidence to suggest that Krongard was in anyway involved in the attacks of Sept. 11.  He is mentioned here for the sole purpose of establishing a CIA/Alex. Brown link, which upon further investigation may, or may not, prove to be significant.

 

iii     Other

(A)   CIA/Wall Street historical connections.

(1)     Michael Ruppert (has illustrated the historical connections between Wall Street and the CIA. [From the Wilderness 10/9/01]

(2)     Krongard, current executive director of the CIA told The Washington Post, that the CIA�s precursor, the Office of Strategic Services, �was really nothing but Wall Street bankers and lawyers.�  [Washington Post 3/17/01]

 

b         The bin Laden family had money in Deutsche Bank.

i     The bin Laden family had money in Deutsche Bank.

(A)   The bin Laden family had accounts worth some $100 million in Deutsche Bank.  [Guardian 10/1/2002]

 

ii     The bin Laden family was close to the Bush family.

(A)   The bin Laden family was connected to the Bush family through their mutual investments in The Carlyle Group private investment firm  [Wall Street Journal 9/27/01] and indirectly through George W. Bush�s former company, Arbusto.  [In These Times 11/12/02]

(B)    Bush�s family and many of Bush�s associates within and outside of his administration have friendly relations with the bin Laden family. [Wall Street Journal 9/27/01]

 

iii     Observations.

(A)   This by itself proves nothing, but is nonetheless noteworthy.

 

c         Heroin money linked to the CIA was laundered through this bank.

i     Summary.

(A)   The Financial Times (Asian edition) reported that retired Pakistani ISI chief Brig. Imtiaz �was convicted by a court on July 31,2001, and jailed for eight years.  According to evidence produced in the court by the National Accountability Bureau (NAB),� explained the magazine, �Brig. Imtiaz had foreign exchange bearer certificates worth US $20.08 million, a Pakistani rupee account in the Union Bank with a balance of Rs.2.13 billion, a US $ account in the Deutsch Bank with a balance of US $ 19.1 million, five residential houses, five commercial units and three shops. This huge wealth was allegedly accumulated by him through heroin smuggling.� [Financial Times 8/10/01]  The same author, writing in a different publication the previous year, had noted that in �the 1980s, at the instance of the Central Intelligence Agency (CIA),� the ISI, under Brig. Imtiaz, had �started a special cell for the use of heroin for covert actions.�  [South Asia Analysis Group 6/8/01]

 

2        The NYSE and SEC investigations into the suspicious �insider trading� prior to 9-11 at Deutsche Bank are problematic.  (See section on Investigations below)

a         Summary.

i      �European reporters found that most of the suspicious pre-attack trades passed through Deutsche Bank and especially via CIA Executive Director A.B. Krongard�s former Alex Brown investment division by means of a procedure called portage, which assures the anonymity of individuals making the transactions.�  (Flocco 7-16-2002) Read More . . .

 

3        A Deutsche Bank executive was convicted for money laundering shortly before 9-11

e         The defendant, Kevin Ingram.

i     Biographical information

(A)   He worked at Goldman Sachs from 1988 � 1996 overseeing the trading of mortgage and asset-backed securities.  [Sun-Sentinel, 8/23/01; Jersey Journal, 6/20/01; AP, 12/1/01; New York Times, 6/16/01]

(B)    He began working for Deutsche Bank in 1996, first as the head of their mortgage-backed securities department and then for their global securities division.   In 1999, he resigned under pressure after his department suffered serious losses.  [New York Times, 6/16/01]

(C)    His clients were high net worth individuals.  [From the Wilderness 12/11/02]

(D)    He was a prot�g� of Jon Corzine.  [From the Wilderness 12/11/02]

(1)     Biographical information

(a)     Corzine is a former CEO of Goldman Sachs  [US Senate, Jon Corzine website]

(b)     Corzine is New Jersey senator who sits on the Senate Banking Committee.  [US Senate, Jon Corzine website]  The Senate Banking Committee is the committee that should be investigating the suspicious trading of put options prior to 9-11.  [From the Wilderness 12/11/02]

(E)     He was a former associate of Robert Rubin  [From the Wilderness 12/11/02]

(1)     Former CEO of Goldman Sachs  [Citigroup website]

(2)     Former Treasury Secretary under Bill Clinton.  [Citigroup website]

(3)     Currently on the Citigroup Board of Directors. [Citigroup website]

(a)     Also sitting on the board is the former CIA director John Deutch.  [Citigroup website]

 

ii     Description his crimes.

(A)   1999 money laundering.

(1)     In 1999, Kevin Ingram and Diaa Mohsen, an Egyptian National from Jersey City, had laundered money via two wire transactions � one for $100,000 and the other for $200,000 - from the United States to an account in London, each time taking a 9% cut.  [New York Times, 6/16/01; Jersey Journal, 6/20/01; Sun-Sentinel, 8/23/01]

(B)    2001 agreement to launder money as part of an arms sale.

(1)     Money laundering.

(a)     On June 12, 2001, Kevin Ingram and Walter Kapij were arrested in Fort Lauderdale, Florida, on charges of money laundering.  Ingram was busted by undercover agents after agreeing to launder $2.2 million in proceeds that he had been told would come from the sale of night vision goggles, Beretta machine pistols, M-16 machine guns with silencers, rocket-propelled grenade launchers, mortars, surface-to-air missiles (SAMs), TOW anti-tank missiles, and Stinger missiles to an unnamed foreign buyer.  Ingram had arranged for a pilot, Walter Kapij, of Weathersfield, Conn., to take the money to Amsterdam via a chartered Lear jet. The two men were told that they would receive a 25% cut of the total transaction.  Also arrested in the bust, were two men from Jersey City, Diaa Mohsen, an Egyptian national, and Mohammed R. Malik, a native of Pakistan, who were to buy the aforementioned weapons on behalf of an unnamed former military official in an undisclosed foreign country.   [New York Times, 6/16/01; AP, 12/1/01; Jersey Journal, 6/20/01; Sun-Sentinel, 8/23/01] 

 

4        Head of the bank resigned under suspicious circumstances

b         Summary.

i      September 15, 2001. The New York Times reported that Mayo Shattuck III had resigned on September 12, �effective immediately�, from a 3-year $30 million contract as head of the Alex (A.B) Brown unit of Deutsche Bank.  [New York Times 9/15/01]

 

c         Background information on Mayo Shattuck III

i      Chronology.

(A)   He was born in 1954 in Massachusetts.  [Constellation Energy Group 10/26/01]

(B)    1985 � 1991.  Mayo Shattuck was co-head of Alex. Brown & Sons� corporate finance division.  He had an office in San Francisco.  [Stanford Business School website]

(C)    1991-1997.  Mayo Shattuck III was president and Chief Operating Officer of Alex. Brown & Sons.  [Constellation Energy Group 10/26/01]

(D)    1997.  Alex. Brown & Sons merged with Bankers Trust Corporation where Shattuck became �Vice Chairman as well as Co-Chairman and Co-CEO of BT [Bankers Trust] Alex. Brown, the bank's investment banking and capital markets subsidiary.� [Constellation Energy Group 10/26/01]

(E)     1999. Bankers Trust merged with Deutsche Bank and Shattuck and Shattuck became Chairman of Deutsche Banc Alex. Brown. While there he was also CEO of the Americas for the bank's Private Client and Asset Management Group and had numerous responsibilities at the bank, including Global Head of Investment Banking and Global Head of Private Banking.  [Constellation Energy Group 10/26/01]

(F)     Sept. 12, 2001.  Shattuck ended his decade-long career with Alex. Brown.  [New York Times 9/15/01]

(G)    October 26, 2001.  Shattuck was elected President and CEO of Constellation Energy Group.  [Constellation Energy Group 10/26/01]

(H)    November 1, 2001.  Shattuck assumed his position as President and CEO of Constellation Energy Group.  [Constellation Energy Group 10/26/01]

 

ii      Other.

(A)   Shattuck received an MBA from the Stanford University Graduate School of Business as an Arjay Miller Scholar.  [Constellation Energy Group 10/26/01]

 

iii      Note:

(A)   While the above information may raise suspicions about Shattuck and a possible association between him and the unclaimed UAL put options that were placed through DB Alex. Brown, Inc., it does not indicate that he was involved in or that he had foreknowledge of the Sept. 11 attacks.  The information is mentioned here for the sole purpose of establishing a base for further investigation.

 

5        Deutsche Bank had connections to Enron.

a         Summary.

iii      According to CFO.COM, an online resource for business executives, �Deutsche Bank was a limited partner in either LJM or Chewco,� two of the Special Purpose Entities (SPE) that Enron used to conceal its debt and inflate its earnings.  CFO.COM also explained, �A former Enron employee who claims to have helped prepare . . . [an] SEC filing told CFO.com that General Electric Capital Corp., Deutsche Bank, and Dresdner Bank had been identified in an early draft of the document. The source asserts that the names of those three investors were deleted from the version sent to the commission. That deletion, the ex-employee alleges, was made at the behest of William McLucas. McLucas, a former director of the SEC's enforcement division, was hired by the Houston-based energy trader on October 31 to help an Enron special board committee comply with an inquiry launched by the commission into the company's finances. McLucas is now a partner in the Washington, D.C., law firm of Wilmer, Cutler & Pickering. The former employee also claims to have received instructions to destroy the draft of the filing containing the names of the three companies.�  [CFO.com 1/28/02]