|
|
|
|
By Juliet Eilperin The hearings will focus on Clinton's decisions to allow two U.S. aerospace companies, Loral Space and Communications Ltd. and Hughes Electronic Corp., to export satellites to be launched atop Chinese rockets. The Justice Department has been investigating a report that Loral improperly gave China advice to upgrade the guidance systems on its rockets after a failed launch in 1996 destroyed a Loral satellite. Both House Speaker Newt Gingrich (R-Ga.) and Senate Majority Trent Lott (R-Miss.) have taken an active interest in the congressional probes, in part because the aerospace firms have been major contributors to the Democratic Party. Loral's chief executive officer, Bernard L. Schwartz, was the single largest donor to the Democratic Party in 1996. Republican lawmakers are attempting to find a link between the financial contributions and a decision by Clinton earlier this year that they say effectively undercut the criminal investigation of Loral. The decision allowed Loral to launch another satellite and to provide China with the same type of information that was the subject of the Justice Department inquiry. White House officials have denied any political influence on satellite policy, which they say has limited weapons proliferation by encouraging commercial cooperation with China dating back to the 1980s. "Our policy specifically excludes the transfer of sensitive U.S. technology," said National Security Council spokesman P.J. Crowley. "We believe there are adequate safeguards in place that preclude U.S. companies from providing assistance to China with respect to the design, development, operation, maintenance, modification, or repair of launch vehicles." Though House Republicans and Democrats have sparred on campaign finance issues in recent days, senior GOP members regard the allegations surrounding the satellite policy and China as the most potentially explosive issue this year. After months of investigating contributions to the Democratic Party, Republicans said, the incident may illustrate how corporate donations shaped the administration's policy in a way that threatens U.S. security. The issue stems from the desire of U.S. space firms to save time and money by launching their satellites on Chinese rockets. Under sanctions imposed after the 1989 anti-democracy crackdown in Tiananmen Square, Presidents Clinton and George Bush have issued waivers for firms to export satellites under strict guidelines designed to safeguard U.S. technology. After Hughes and Loral received an export waiver in 1996, China launched a $200 million Loral satellite on a rocket that crashed. Subsequently, scientists from the two companies advised China on how to improve its guidance systems for future launches. According to a secret May 1997 Pentagon report, first disclosed by the New York Times last month, this advice also strengthened China's nuclear capability. The Pentagon report concluded that "United States national security has been harmed" by the exchange, the article said. A Justice Department investigation sparked by the Pentagon report is still ongoing. But Clinton's decision in February to approve the export of another Loral satellite to China, and permitting the kind of advice that is reportedly at the heart of the Justice Department's investigation, effectively deflated the probe, according to critics. Rep. Dana Rohrabacher (R-Calif.), who chairs the House Science subcommittee on space and aeronautics, said that he has been authorized by Gingrich to take the lead in the congressional investigation. He charged in a speech on the floor Thursday night that "President Clinton and his administration have been doing everything they can to quash the investigation of this possible violation of law, this betrayal of our country." Gingrich "is very focused on this issue," Rohrabacher added in an interview. "He believes it's going to emerge as an issue far more important than any White House sex scandals. It's embarrassing to talk about a sex scandal. There's nothing embarrassing about calling the president to task about the giveaway of American technology to the Red Chinese." Rep. Richard K. Armey (R-Tex.) said at his weekly press briefing, "We now have revelations that we had special dispensation given to a defense contractor to sell to the Chinese the technology that would enable them to effectively target their nuclear weapons to the United States." Armey added, "This is a matter of consequence when that contractor is a substantial contributor to the Democratic Party. These things need to be investigated and people need to come through." According to the Center for Responsive Politics, Schwartz gave $632,000 in "soft money" donations in the 1995-96 cycle and another $421,000 in the current electoral cycle, nearly all of which went to Democrats. Loral has denied any wrongdoing in connection with the case. "Our employees acted in good faith. The company initiated an independent examination of the incident and concluded that there was no violation of the export control laws," said Thomas B. Ross, vice president of government relations at Loral. "We shared the results with the State Department and have fully cooperated with the government." Both the Senate and House investigations would span a swath of committees. In late April, Gingrich met with chairmen of the House International Relations, National Security, and intelligence committees, while Lott met with members of Senate panels, including Governmental Affairs and Foreign Relations. "This is a national security issue, and it has to be cleared up in the next couple weeks," Gingrich said yesterday, adding that it would be "absolutely intolerable" if Clinton's satellite policy were changed to reward a donor. House and Senate investigators have asked the administration to hand over information concerning the waivers. On May 20, the Senate Governmental Affairs subcommittee on international security, proliferation and federation services will hold a hearing on how commercial satellite transfers can benefit long-range missile programs. The distinction between commercial and military satellites is important, because different rules govern the exports of the two technologies. Clinton eased the way for the export of satellite technology when he delegated most of the administration's licensing duties from the State Department to the Commerce Department, which promotes the sale of U.S. products abroad, a move now criticized by Republicans.
© Copyright 1998 The Washington Post Company
Go to Campaign Finance Report | Go to Politics Section
|
|||||||
|
|
|
||
|
|
|
|
|
