From an article by  Duncan Campbell, which appeared in the 
New Statesman on  August 12, 1988 
They've got it taped. In the booming  surveillance industry they spy on whom they wish, when they wish, protected by  barriers of secrecy, fortified by billions of pounds worth of high, high-tech  technology. Duncan Campbell reports from the United States on the secret  Anglo-American plan for a global electronic spy system for the 21st century  capable of listening in to most of us most of the time. 
American, British and Allied  intelligence agencies are soon to embark on a massive, billion-dollar expansion  of their global electronic surveillance system. According to information given  recently in secret to the US Congress, the surveillance system will enable the  agencies to monitor and analyse civilian communications into the 21st century.  Identified for the moment as Project P415, the system will be run by the US  National Security Agency (NSA). But the intelligence agencies of many other  countries will be closely involved with the new network, including those from  Britain, Australia, Germany and Japan - and, surprisingly, the People's Republic  of China. 
New satellite stations and monitoring  centres are to be built around the world, and a chain of new satellites  launched, so that the NSA and its British counterpart, the Government  Communications Headquarters (GCHQ) at Cheltenham, may keep abreast of the  burgeoning international telecommunications traffic. 
The largest overseas station in the  Project P415 network is the US satellite and communications base at Menwith  Hill, near Harrogate in Yorkshire. It is run undercover by the NSA and taps into  all Britain's main national and international communications networks (New  Statesman, 7 August 1980). Although high technology stations such as Menwith  Hill are primarily intended to monitor international communications, according  to US experts their capability can be, and has been, turned inwards on domestic  traffic. Menwith Hill, in particular, has been accused by a former employee of  gross corruption and the monitoring of domestic calls. 
The vast international global  eavesdropping network has existed since shortly after the Second World War, when  the US, Britain, Canada, Australia and New Zealand signed a secret agreement on  signals intelligence, or SIGNIT. It was anticipated, correctly, that electronic  monitoring of communications signals would continue to be the largest and most  important form of post-war secret intelligence, as it had been through the war.  
Although it is impossible for analysts  to listen to all but a small fraction of the billions of telephone calls, and  other signals which might contain "significant" information, a network of  monitoring stations in Britain and elsewhere is able to tap all international  and some domestic communications circuits, and sift out messages which sound  interesting. Computers automatically analyse every telex message or data signal,  and can also identify calls to, say, a target telephone number in London, no  matter from which country they originate. 
A secret listening agreement, called  UKUSA (UK-USA), assigns parts of the globe to each participating agency. GCHQ at  Cheltenham is the co-ordinating centre for Europe, Africa and the Soviet Union  (west of the Ural Mountains). 
The NSA covers the rest of the Soviet  Union and most of the Americas. Australia - where another station in the NSA  listening network is located in the outback, coordinates the electronic  monitoring of the South Pacific, and South East Asia. 
With 15,000 staff and a budget of over  รค¸500 million a year (even without the planned new Zircon spy satellite), GCHQ  is by far the largest part of British intelligence. Successive UK governments  have placed high value on its eavesdropping capabilities, whether against  Russian military signals or the easier commercial and private civilian targets.  
Both the new and existing surveillance  systems are highly computerised. They rely on near total interception of  international commercial and satellite communications in order to locate the  telephone or other messages of target individuals. Last month, a US newspaper,  the Cleveland Plain Dealer, revealed that the system had been used to target the  telephone calls of a US Senator, Strom Thurmond. The fact that Thurmond, a  southern Republican and usually a staunch supporter of the Reagan  administration, is said to have been a target has raised fears that the NSA has  restored domestic, electronic, surveillance programmes. These were originally  exposed and criticised during the Watergate investigations, and their closure  ordered by President Carter. 
After talking to the NSA, Thurmond  later told the Plain Dealer that he did not believe the allegation. But  Thurmond, a right-wing Republican, may have been unwilling to rock the boat.  Staff members of the Permanent Select Committee on Intelligence said that staff  were "digging into it" despite the "stratospheric security classification" of  all the systems involved. 
The Congressional officials were first  told of the Thurmond interception by a former employee of the Lockheed Space and  Missiles Corporation, Margaret Newsham, who now lives in Sunnyvale, California.  Newsham had originally given separate testimony and filed a lawsuit concerning  corruption and mis-spending on other US government "black" projects. She has  worked in the US and Britain for two corporations which manufacture signal  intelligence computers, satellites and interception equipment for NSA, Ford  Aerospace and Lockheed. Citing a special Executive Order signed by President  Reagan, she told me last month that she could not and would not discuss  classified information with journalists. But according to Washington sources  (and the report in the Plain Dealer) she informed a US Congressman that the  Thurmond interception took place at Menwith Hill, and that she personally heard  the call and was able to pass on details. 
Since then, investigators have  subpoenaed other witnesses and asked them to provide the complete plans and  manuals of the ECHELON system and related projects. The plans and blueprints are  said to show that targeting of US political figures would not occur by accident,  but was designed into the system from the start. 
While working at Menwith Hill, Newsham  is reported to have said that she was able to listen through earphones to  telephone calls being monitored at the base. Other conversations that she heard  were in Russian. After leaving Menwith Hill, she continued to have access to  full details of Menwith Hill operations from a position as software manager for  more than a dozen VAX computers at Menwith which operate the ECHELON system.  
Newsham refused last month to discuss  classified details of her career, except with cleared Congressional officials.  But it has been publicly acknowledged that she worked on a large range of  so-called "black" US intelligence programmes, whose funds are concealed inside  the costs of other defence projects. She was fired from Lockheed four years ago  after complaining about the corruption, and sexual harassment.  
Lockheed claimed she had been a pook  [as written] timekeeper, and has denied her charges of corruption on "black"  projects. But the many charges she is reported to have made - such as the use of  top secret computers for football pools, or to sell a wide range of merchandise  from their offices, and deliberate and massive overcharging and waste by the  company - are but small beer in a continuing and wider scandal about defence  procurement. Newsham's testimony about overcharging by contractors is now the  subject of a major congressional inquiry. 
From US sources not connected with  Margaret Newsham, we have obtained for the first time a list of the major  classified projects in operation at Menwith Hill. The base currently has over  1,200 staff, more than two thirds of them Americans. Other than the ECHELON  computer network, the main projects at Menwith Hill are code-named SILKWORTH,  MOONPENNY, SIRE, RUNWAY and STEEPLEBUSH. The station also receives information  from a satellite called BIG BIRD. 
Project SILKWORTH is, according to  signals intelligence specialists, the code-name for long-range radio monitoring  from Menwith Hill. MOONPENNY is a system for monitoring satellite  communications; RUNWAY is thought to be the control network for an eavesdropping  satellite called VORTEX, now in orbit over the Soviet Union. The base earlier  controlled a similar series of satellites called CHALET. The new STEEPLEBUSH  control centre appears connected with the latest and biggest of the overhead  listening satellites. These are code-named MAGNUM, according to US intelligence  sources. 
BIG BIRD, which is not usually  connected with Menwith Hill, is a low-orbiting photographic reconnaissance  satellite. But investigators have worked out, from details of the clearances  necessary to know about BIG BIRD, that this satellite - and indeed, many other  satellites, variously disguised as "weather satellites" - also carry listening  equipment. One such SIGNIT package is said to have been aboard the doomed space  shuttle Challenger, despite its ostensibly civilian purpose. 
Recently published US Department of  Defense 1989 budget information has confirmed that the Menwith Hill spy base  will be the subject of a major $26 million expansion programme. Information  given to Congress in February listed details of plans for a four-year expansion  of the main operation building and other facilities at Menwith Hill. Although  the testimony referred only to a "classified location", the base can be  identified because of references to STEEPLEBUSH. According to this testimony,  the new STEEPLEBUSH II project will cost $15 million between now and 1993. The  expansion is required to avoid overcrowding and "to support expanding classified  missions". 
During the Watergate affair, it was  revealed that the NSA, in collaboration with GCHQ, had routinely intercepted the  international communications of prominent anti-Vietnam war leaders such as Jane  Fonda and Dr Benjamin Spock. Another target was former Black Panther leader  Eldridge Cleaver. Then in the late 1970s, it was revealed that President Carter  had ordered the NSA to stop obtaining "back door" intelligence about US  political figures through swapping intelligence data with GCHQ Cheltenham.  
Among important stations being  developed in the new P415 network, sources indicated, are Bude in Cornwall,  mainly run by GCHQ, Bad Aibling in Germany, and two sites in the People's  Republic of China (which are used only for monitoring the USSR). The western  intelligence agencies have not yet resolved the question of how to replace the  recently upgraded British intelligence listening station at Chung Hom Kok in  Hong Kong (which at the moment listens to China itself) when the colony is  handed back to China next decade. 
In Australia three months ago, New  Zealand Defence Minister Bob Tizard revealed that two Australasian interception  stations planned for the early 1990s will be targeted on new communications  satellites launched by third world countries such as India and Indonesia. The  new satellite spy bases are at Geraldton in northern Australia and Blenheim, New  Zealand. The similar British spy base at Morwenstow, near Bude, Cornwall, has  been continuously expanded throughout the 1980s, including the provision of  massive US analysis computers. 
If Margaret Newsham's testimony is  confirmed by the ongoing Congressional investigation, then the NSA has been  behaving illegally under US law - unless it can prove either that Thurmond's  call was intercepted completely accidentally, or that the highly patriotic  Senator is actually a foreign spy or terrorist. Moreover NSA's international  phone tapping operations from Menwith Hill and at Morwenstow, Cornwall, can only  be legal in Britain if special warrants have been issued by the Secretary of  State to specify that American intelligence agents are persons to whom  information from intercepts must or should be given. This can not be  established, since the government has always refused to publish any details of  the targets or recipients of specific interception warrants. 
When the Menwith Hill base was first  set up there was no British law controlling phone tapping, or making  unauthorised interception (such as by foreign intelligence agencies) illegal.  Now there is, and telecommunications interception by the Americans from British  territory would clearly be illegal without the appropriate warrant.  
When the new Interception of  Communications Act was passed in 1985, however, it was obviously designed to  make special provision for operations like ECHELON or Project P415 to trawl all  international communications to and from Britain. A special section of the Act,  Section 3(2), allows warrants to be issued to intercept any general type of  international messages to or from Britain if this is "in the interests of  national security" or "for the purpose of safeguarding the economic well-being  of the United Kingdom". Such warrants also allow GCHQ to tap any or all other  communications on the same cables or satellites that may have to be picked up in  order to select out the messages they want. So whether or not a British  government warrant can legally allow American agents to intercept private  British communications, there is no doubt that British law as well as British  bases have been designed to encourage rather than inhibit the booming industry  in international telecommunications surveillance. 
Both British and American domestic  communications are also being targeted and intercepted by the ECHELON network,  the US investigators have been told. The agencies are alleged to have  collaborated not only on targeting and interception, but also on the monitoring  of domestic UK communications. 
Special teams from GCHQ Cheltenham  have been flown in secretly in the last few years to a computer centre in  Silicon Valley near San Francisco for training on the special computer systems  that carry out both domestic and international interception. 
The centre near San Francisco has also  been used to train staff from the "Technical Department" of the People's  Liberation Army General Staff, which is the Chinese version of GCHQ. The  Department operates two ultra-secret joint US-Chinese listening stations in the  Xinjiang Uighur Autonomous Region, close to the Soviet Siberian border.  Allegedly, such surveillance systems are only used to target Soviet or Warsaw  Pact communications signals, and those suspected of involvement in espionage and  terrorism. But those involved in ECHELON have stressed to Congress that there  are no formal controls over who may be targeted. And I have been told that  junior intelligence staff can feed target names into the system at all levels,  without any check on their authority to do so. Witnesses giving evidence to the  Congressional inquiry have discussed whether the Democratic presidential  contender Jesse Jackson was targeted; one source implied that he had been. Even  test engineers from manufacturing companies are able to listen in on private  citizens' communications, the inquiry was told. 
But because of the special Executive  Order signed by President Reagan, US intelligence operatives who know about such  politically sensitive operations face jail sentences if they speak out - despite  the constitutional American protection of freedom of speech and of the press.  And in Britain, as we know, the government is in the process of tightening the  Official Secrets Act to make the publication of any information from  intelligence officials automatically a crime, even if the information had  already been published, or had appeared overseas first.
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