Like
nearly everybody else I know, I read New York Times columnist
Paul Krugman twice a week. He is overbearing. He needs to be the
center of attention in whatever game he plays. But he's also unusually
brilliant – he possesses the ability to see things fresh,
often before anybody else. He has done it again and again.
Is he right about the overall ethical environment in Washington?
Week after week, he ascribes only the most base, cynical motives
to those in the upper reaches of the administration. Nobody in
the Republican Party ever gets the least benefit of the slightest
doubt.
The political atmosphere in Washington has become so overheated
that one yearns for an experiment, however modest, that might
demonstrate something absolutely unequivocal about ethical standards
in the Bush administration.
Such a demonstration unfolded last week. It involved the case
of Richard Perle, a civilian foreign policy counselor to the administration.
Some background: As a long-time aide to Sen. Henry "Scoop" Jackson
(D-Wash.) during the 1970s, Perle was instrumental in using trade
agreements to pressure the Soviet Union to allow emigration, mostly
of Jews. The trickle became a flow, and the flow in became a source
of internal debate in Russia which in due course contributed to
the collapse of the communist regime. For six years during the
Reagan administration, he was Assistant Secretary of Defense for
International Security Policy, involved in much Cold War maneuvering.
Out of office in the1990s, Perle became a corporate consultant,
in the manner of Henry Kissinger, mixing high-level business and
political contact. Then, after the election of George W. Bush
in 2000, he returned to power as unpaid chairman of the Defense
Policy Board.
As head of this semi-official Pentagon advisory group, which is
composed of 30 influential business leaders, scientists and retired
military experts who meet regularly for give-and-take with the
Secretary of Defense, Perle was among the most vocal advocates
of the war in Iraq. After 9/11, he also raised a venture capital
fund, to invest in "homeland security" issues.
When journalist Seymour Hersh disclosed in The New Yorker last
March the extent to which the firm, Trireme Partners, might benefit
from the war, Perle resigned his chairmanship of the advisory
group while remaining a member.
And last week, there was more news.
First The Financial Times reported that Boeing Corp. was among
those who, 16 months before, had made an early commitment to the
fund that Perle had raised for Trireme -- $20 million, or (as
The Wall Street Journal reported Friday), around 10 percent of
the total of $250 million in venture funding that the aerospace
giant had scattered around 29 similar start-up companies and funds.
The next day the FT and The Washington Post both reported that
Perle had penned last summer (with another American Enterprise
Institute fellow, Thomas Donnelly), an op-ed piece about Boeing
in the Wall Street Journal – without disclosing his relationship
with the company.
Perle and Donnelly endorsed Boeing's bid for a controversial contract
for the lease of 100 refueling tankers – a deal who generous
terms were thought to be important the company's long-term financial
prosperity. "It takes a special government green-eyeshade mentality
to miss the urgency of the tanker requirement," they wrote.
It will take time to decide whether Perle broke any law by lobbying
for Boeing. Probably not, for he held no decision-making position.
It doesn't take more than an instant to decide that, in failing
to disclose his relationship to Wall Street Journal readers, he
damaged the credibility of the editorial page and shattered his
own, even though he was nearly certain to be exposed.
People do this sometimes. They go haywire, one way or another,
often from some subconscious self-destructive urge. When caught,
they ordinarily suffer the condemnation of the community of which
they're part.
Already Philip Condit has resigned as chairman of Boeing, having
had to fire two senior executives accused of irregularities in
the pursuit of the tanker deal (Boeing hired the Air Force official
who negotiated the contract, which the Pentagon has put on hold)
and force out a third. Condit's departure, while was entirely
appropriate, was also admirable. This was one of America's premier
companies, acknowledging that something had gone seriously wrong,
vowing to change its conduct.
Perhaps next week the editorialists at The Wall Street Journal
will explain to readers what happened and apologize to them as
well; Perle will resign from the Defense Policy Board; the Pentagon
will take in another symbolic tuck in the contract (which already
has been scaled back to an $18 billion lease-buy deal from a $22
billion straight lease) and life will go on. The experiment is
on-going. We will see what happens next.
(So painful apparently is the topic of the embarrassment of their
editorial page to the editors of the newspaper that an otherwise
excellent story Friday, "Boeing Investments Win Potent Friends,"
following and extending the disclosures of The Financial Times,
devoted a meaty final paragraph to the August op-ed piece, but
didn't mention the crucial omission of Perle's business relationship
with the company. Readers learned of it instead on the front page
of that day's FT and in the business section of the Washington
Post!)
But even if he is swiftly dismissed, Perle's conduct has the potential
to become a metaphor of sorts for what the Democrats assert is
going on in Washington. Granted, it is just one instance; but
that instance is now nailed down. Big companies don't disrupt
their succession lightly. America's leading aerospace firm has
been seriously damaged by a corrupt Air Force official and a predatory
influence peddler.
Perhaps in George W. Bush's Washington, things are seriously out
of control. At least in this case, a fundamental respect for truth
has gone by the board.