STAR WARS - 'COMPANY' CONTROL
Companies involved in the HAARP project are both interesting and
mysterious. The evolution of the HAARP contract is a story within
Atlantic Richfield Company (ARCO) created a subsidiary called
Power Technologies Incorporated (APTI) which was based in
Washington, D.C. The company had reported annual sates of $5 million
and had 25 employees as late as 1992.134 ARCO, the parent company,
is the second largest private employer in Alaska, primarily involved
in the North Slope oil fields where it controls trillions of cubic
feet of natural gas and billions of barrels of oil.
The natural gas
on the North Slope has been reinjected into the earth rather than
"flared" off or produced for use as it is in most other parts of the
world. The gas has been reinjected in order to maintain oil field
pressure for enhanced production while pumping up to two million
barrels of crude oil a day out of the ground. No market for this
natural gas currently exists, although a $20 billion pipeline
remains on the drawing boards.
Finding a market for the gas is in
the interests of ARCO. The site where the HAARP project has been
built is close to an already granted right-of-way for a future
TransAlaska Gas Pipeline. All of the significant regulatory hurdles
have been passed for constructing the gas line should markets be
HAARP at its present stage does not represent a high energy consumer
in terms of input power. The first two phases of the project might
not consume more than one to ten megawatts of power. In the future,
however if the project continues to grow the way that project
planners want it to or expands to involve other facilities, power
demands would sharply increase. ARCO originally hoped to find a
large consumer for their presently unmarketable natural gas. It was
this market search which brought Dr. Eastlund together with
the mid 1980's, and his inventive genius gave birth to APTI.
Eventually ARCO was able to cluster twelve patents that would
provide the basis for new markets for their North Slope natural gas.
The possibility of not even having to transport the gas far from the
source was an even more promising possibility - a possibility which
would put ARCO in the Star Wars business.
How does a small subsidiary company like APTI get a military
contract for such a project?
The contract with APTI was more than
five times the organization's projected annual sales 135. We
believe that the only way a virtually unknown company, in the
military contracting environment, could get a contract like this is
if they possessed proprietary information of use in the project
(i.e., the twelve APTI patents).
This fact was recently confirmed by
Dr. Eastlund who was interviewed by Jeane Manning. He said APTI was
formed a year after he made his discovery while under contract to
ARCO to find a use for their gas. The company was formed to develop
his patent by encouraging the military to test and eventually build
134 America's Corporate Families. 1993, Volume I, page 156.
has continued to deny the connection between Eastlund, APTI and
HAARP throughout the project. However, the three Eastlund patents
were all assigned to APTI. 136 The other nine patents, according to
the Patent Office records, were also assigned to APTI by their
inventors. This begins to unravel the disinformation spin of the
APTI won the contract to build HAARP, while bidding
against an experienced government contractor with a strong success
record - Raytheon. Raytheon was number 52 on the Fortune 500 list for
1993 and is one of the biggest defense contractors in the world. In
the bid rating process with the military the only thing that APTI
had going for it was a set of twelve compelling patents.
APTI's twelve patents are discussed in another chapter. These
patents were used in the HAARP project and some of their inventors
were listed as "key personnel" in the HAARP contract with APTI.
Also, according to the contract if APTI switched any of the key
personnel they could lose the entire project.
After the contract was awarded, APTI was sold to E-Systems of
Dallas, Texas. The June 10, 1994 sale was transacted under
undisclosed terms, APTI had shown no net income since it opened in
the late 1980's, which made the sale particularly interesting. 137
It was reported that APTI was involved in research financed by
government grants. E-Systems changed the name of the company to
Advanced Power Technologies Incorporated, and assumed control of the
patents and the HAARP project. 138
E-Systems reported annual sales
of $1,9 billion a year, had 18,662 employees 139 (1992) and is one
of the largest intelligence contractors in the United States. So why
would E-Systems buy a company with no net income and no major assets
except for the twelve patents and an unfunded second phase of a
construction contract? The only real value was the contract, and the
technology in the package of patents.
E-Systems was the subject of a lengthy article in the Washington
Post by staff writer John Mintz. He disclosed that E-Systems'
technologies were "part of the central nervous system for the
nation's intelligence community." $1.8 billion of their $2.1 billion
in sales was for classified projects. A large part of the projects
came from the National Security Agency (NSA) and Central
Intelligence Agency (CIA) and other intelligence organizations.
of the company employees are former personnel from the NSA, CIA and
military retirees. People with highly technical backgrounds and a
history of working in government intelligence circles are hired by
the company almost automatically, according to the Washington Post
article. Retired Navy Admiral William Raborn, CIA director under
Lyndon B. Johnson, for years served on the board of directors, 140
E-Systems was one of the featured stories in a CBS, 60 Minutes
segment was aired February 26, 1995, The report echoed the
assertions which were made in the Washington Post article.
United States Patent Numbers 4686605; 4712155; 5038664.
"E-Systems Buys ARCO Power Technologies", The New York Times, June 30, 1994.
139 America's Corporate Families. 1993, Volume I, page
140 The Secret's Out; Covert E-Systems Inc. Covets Commercial
Sales", by John
Mintz, Washington Post, October 24,1994, pg, A1, A10.
The company was described as an organization operating in the "black
world" - an area so secret that employees are not permitted by law to
discuss anything about their work except with those individuals who
have an official "need to know" classification. Of the company's
annual sales, 85 percent was for classified work, with an estimated
$800 million involved in projects so sensitive that the government
denies that the projects even exist. The story went on to paint a
picture of an organization which thrives on contracts issued by the
CIA, NSA and military intelligence organizations.141
In the CBS, 60 Minutes segment, the secret relationship with the
United States government was illustrated by describing one of
E-Systems more public law suits. In the course of the law suit, a
court order was issued which forbad the disclosure of E-Systems'
classified relationship to the United States government.
unusual part of the order was that none of the parties to the suit
could even disclose that the order existed or that the government
had even sought such an order. Even more revealing about this
shadowy organization was that no one was allowed to have a copy of
the document. They could only view it for a few moments in the
United States Attorney's office. They were not allowed to take notes
or in any way record their comments about the order, and they were
forbidden from even talking about the existence of the document,
under threat of incarceration.
The order was so secret that even the
judge could not have a copy of it, and could only view it upon
special request. The secrecy of the document was appealed all the
way to the United States Supreme Court where a ruling was issued
which allowed the parties to talk about the order. Even now, nobody
can get a copy of the document itself. 142
According to the E-Systems 1994 annual report to stockholders, their
business mission is clear.
"Our core business activities continue to
be focused on intelligence, reconnaissance and surveillance."
report they describe a number of their most promising prospects for
increases in profits. They also describe the purchase of APTI from
ARCO, although they do not indicate the amount paid. 143
The technologies that E-Systems developed are awesome. They include
systems for law enforcement which can intercept faxed messages,
telephone calls, modem transfers, and video transmissions on a
single system in eavesdropping by the government.
Positioning System (GPS) technologies (satellite based) can locate
objects anywhere in the world within one foot of the object's actual
location. The refitting of aircraft for border monitoring and
defense purposes are also disclosed in the report. The company's
operations are mostly hidden, and the annual reports seem to be one
of the few sources for information on the organization. 144
As this book was in its final days of writing, another twist to the
corporate tangle occurred. Raytheon Corporation bought out E-Systems
for $2.3 billion. 145
141 "E-Systems", 60 Minutes, CBS News, N.Y, N.Y,, February 26,1995.
143 "E-Systems, Inc. Nineteen ninety-four Annual Report to
Stockholders"; March 10,1995.
145 "Raytheon to Acquire E-Systems for $64 a Share, or $2.3 Billion;
Offer is 41% Premium Over
Friday's Close; Rival Bid is Unlikely" by Steven Lipin and Jeff
Cote, The Wall Street Journal, April
3, 1995, pges A1, A3 and A16.
The entire E-Systems' board of directors were kept as advisors for
five years with full pay. The article went on to describe the
company's main activities as super secret projects operated out of
the Pentagon. Raytheon's profits mostly came from their government
contracts, according to the same article.
So who is Raytheon, and why would they acquire E-Systems?
They are a
$10 billion a year organization, ranked number 52 among the Fortune
500 with more than 60,000 employees. They were also one of the
original bidders on the HAARP project, and now they have the patents
and the Phase-Two contract on the project. Buying E-Systems will
give Raytheon a significant increase in annual sales and cut
competition in an environment of shrinking defense budgets.
combination of these two organizations' resources will create one of
the most powerful intelligence contractors in the world. The systems
that these companies can now develop, as a single organization, will
make those old Jules Verne stories look like Mother Goose. Those
little grains of information on E-Systems appearing in their annual
reports will cease to exist, as their existence is buried in the
depths of their new owner's corporate identity.
APT1, when it was owned by ARCO, was relatively easy to keep track
of because it was small. The patent records and the data surrounding
ownership could be traced. Its purchase by E-Systems raised eyebrows
and began to mask the assets behind a clouded corporate structure.
With the takeover, it seemed that the HAARP project would go into
the black world of hidden programs. HAARP was now at the bottom of
the sea of the corporate structure of one of the largest private
companies in the world.
Besides their newly acquired HAARP contract, E-Systems had developed
a number of other technologies. They have developed clustered
computer networks called EMASS systems which can store five trillion
pages of text - a file pile that would reach a hundred and fifty
miles high - from the surface of the Earth right into the ionosphere.
Their computer can sort data at lightning speed, and has
applications in the oil industry for storing and sorting seismic
information. 146 They also control once secret remote sensing
equipment capable of mapping the Earth's underground formations. 147
These technologies, coupled with what APT1 brought together in their
patents, formed an incredible technology package for one of the most
profound weapon systems yet conceived. Could the marriage of
technologies in these companies create the possibility of those
types of uses contemplated in intelligence circles as necessary for
the ultimate control of mankind through bloodless warfare and
manipulation of mental functioning? E-Systems had amassed huge
capabilities for the most secret organizations in the country, and
had gained control of the HAARP technologies.
Now that it controls E-Systems and APT1 assets, Raytheon can develop
even the most bizarre ideas of the military and intelligence
communities. The integration of the patents, resources and
capabilities into this huge organization can now produce even the
most machiavellian dreams of "national security" thinkers...
146 "The Secret's Out: Covert E-Systems inc. Covets Commercial Sales", by John
Mintz, Washington Post, October 24,1994, pg. A1, A10.