From Foreign Policy:
A series of CIA memos describes how Israeli Mossad agents posed as American spies to recruit members of the terrorist organization Jundallah to fight their covert war against Iran.
BY MARK PERRY | JANUARY 13, 2012
Buried deep in the archives of America's intelligence services are a series of memos, written during the last years of President George W. Bush's administration, that describe how Israeli Mossad officers recruited operatives belonging to the terrorist group Jundallah by passing themselves off as American agents. According to two U.S. intelligence officials, the Israelis, flush with American dollars and toting U.S. passports, posed as CIA officers in recruiting Jundallah operatives -- what is commonly referred to as a "false flag" operation.
Jundallah is supposedly a Sunni terrorist group from Baluchistan, the desert on both sides of the Iran-Pakistan border, that blows up people in Iran to show their opposition to Iran being a Shi'ite state. Perry goes on:
The memos, as described by the sources, one of whom has read them and another who is intimately familiar with the case, investigated and debunked reports from 2007 and 2008 accusing the CIA, at the direction of the White House, of covertly supporting Jundallah -- a Pakistan-based Sunni extremist organization. Jundallah, according to the U.S. government and published reports, is responsible for assassinating Iranian government officials and killing Iranian women and children.
But while the memos show that the United States had barred even the most incidental contact with Jundallah, according to both intelligence officers, the same was not true for Israel's Mossad. The memos also detail CIA field reports saying that Israel's recruiting activities occurred under the nose of U.S. intelligence officers, most notably in London, the capital of one of Israel's ostensible allies, where Mossad officers posing as CIA operatives met with Jundallah officials.
The officials did not know whether the Israeli program to recruit and use Jundallah is ongoing. Nevertheless, they were stunned by the brazenness of the Mossad's efforts.
"It's amazing what the Israelis thought they could get away with," the intelligence officer said. "Their recruitment activities were nearly in the open. They apparently didn't give a damn what we thought."
Interviews with six currently serving or recently retired intelligence officers over the last 18 months have helped to fill in the blanks of the Israeli false-flag operation. In addition to the two currently serving U.S. intelligence officers, the existence of the Israeli false-flag operation was confirmed to me by four retired intelligence officers who have served in the CIA or have monitored Israeli intelligence operations from senior positions inside the U.S. government.
... The [2008 CIA] report then made its way to the White House, according to the currently serving U.S. intelligence officer. The officer said that Bush "went absolutely ballistic" when briefed on its contents.
"The report sparked White House concerns that Israel's program was putting Americans at risk," the intelligence officer told me. "There's no question that the U.S. has cooperated with Israel in intelligence-gathering operations against the Iranians, but this was different. No matter what anyone thinks, we're not in the business of assassinating Iranian officials or killing Iranian civilians."
Israel's relationship with Jundallah continued to roil the Bush administration until the day it left office, this same intelligence officer noted. Israel's activities jeopardized the administration's fragile relationship with Pakistan, which was coming under intense pressure from Iran to crack down on Jundallah. It also undermined U.S. claims that it would never fight terror with terror, and invited attacks in kind on U.S. personnel.
"It's easy to understand why Bush was so angry," a former intelligence officer said. "After all, it's hard to engage with a foreign government if they're convinced you're killing their people. Once you start doing that, they feel they can do the same."
A senior administration official vowed to "take the gloves off" with Israel, according to a U.S. intelligence officer. But the United States did nothing -- a result that the officer attributed to "political and bureaucratic inertia."
"In the end," the officer noted, "it was just easier to do nothing than to, you know, rock the boat." Even so, at least for a short time, this same officer noted, the Mossad operation sparked a divisive debate among Bush's national security team, pitting those who wondered "just whose side these guys [in Israel] are on" against those who argued that "the enemy of my enemy is my friend."
The debate over Jundallah was resolved only after Bush left office when, within his first weeks as president, Barack Obama drastically scaled back joint U.S.-Israel intelligence programs targeting Iran, according to multiple serving and retired officers. ...
What has become crystal clear, however, is the level of anger among senior intelligence officials about Israel's actions. "This was stupid and dangerous," the intelligence official who first told me about the operation said. "Israel is supposed to be working with us, not against us. If they want to shed blood, it would help a lot if it was their blood and not ours. You know, they're supposed to be a strategic asset. Well, guess what? There are a lot of people now, important people, who just don't think that's true."
In tribute to Obama, you gotta figure that this realization probably wasn't as big of a surprise to him as it was to Bush.
Anyway, lately, I have a hard time getting too worked up over this kind of thing. It's a little bit like when some college football team puts together a dynasty and then, surprise, surprise, gets suspended by the NCAA (e.g., USC). They just kind of wanted it more. These days, Israel just kind of wants to win at the Great Game more. It's their hobby.