Modern History Project

"A little learning is a
dangerous thing"

George Bush: The Unauthorized Biography


The rise of the Bush dynasty and the political career of George H.W. Bush
-- by: Webster Tarpley and Anton Chaitkin, 1991, source: Tarpley.net
MHP hypertext version for non-profit educational use only

22.1  Bush Takes the Presidency (part 1)


Bush as a weak candidate with strong backers

>> Click names in text for timelines and related articles

Bush in Reagan's Shadow

George Bush's quest for the summit of American political power was so sustained and so unrelenting that it is impossible to assign the beginning of his campaign for President to any specific date. It is more accurate to report that his entire tenure as vice president was consumed by the renovation and expansion of his personal and family network for the purpose of seizing the presidency at some point in the future. During this phase, Bush was far more concerned with organizational and machine-building matters than with ideology or public relations. For most of the 1980's, it was convenient for Bush to cultivate the public profile of a faithful and even obsequious deputy to Reagan, while using the office of the vice president to build a national-electoral and international-overt/covert power cartel.

This arrangement worked very well for Bush, since it gave the Bush camarilla considerable power in the inner councils of the second Reagan administration. But as the 1987-1988 period approached. it also became clear that Bush's public toadying to the Reagan mystique had been so exaggerated as to give rise to his notorious "wimp" problem. Bush could easily have refuted these charges by citing the long series of brutal and bloody covert and semi-covert interventions he had directed in his role as boss of the Special Situation Group, but he judged this impolitic.

Bush started with the knowledge that he was a weak candidate. Reagan had embodied the popular ideology in such a flawless way as to remind everyone of their favorite uncle; whatever the crimes of his administration, whatever the decline of their living standards, the masses could not hate him; this was why Reagan was such an ideal facade for [a] regime that kept getting nastier. Reagan also had an ideological following of people who would support him almost without regard to what he did: Reagan was the beneficiary of the fully justified ideological backlash against the Democrats and Carter [and] against the Rockefeller-Ford liberal Republicans.

But Bush had none of this. He had no regional constituency in any of the half-dozen places he tried to call home; his favorite son appeal was diluted all over the map. He had no base among labor, blacks, or in the cities, like the Kennedy apparat. Blueblood financiers gravitated instinctively to Bush, and his lifeline to the post-Meyer Lansky mob was robust indeed, and these were important factors, although not enough by themselves to win an election. Bush's networks could always tilt the media in his favor, but the Reagan experience had provided a painful lesson of how inadequate this could be against a clever populist rival. Otherwise, Bush's base was in the government, where eight years of patient work had packed the executive branch, the Congress and its staffs, and the judiciary with Bushmen. This would give Bush's effort undoubted power, but also an aroma of a modern Bonapartism of a special kind: of a regime in which the government asserts the imagined interests of government itself against the population, a vindictive and tyrannical government set above the people and in direct conflict with them. That would work well as long as the population were atomized and passive, but might backfire if they could find a point of coalescence against their tormentors.

Nor was it only that Bush lacked a loyal base of support. He also had very high negatives, meaning that there were a lot of people who disliked him intensely. Such animosity was especially strong among the ideological Reaganite conservatives, whom Bush had been purging from the Reagan Administration from early on. There would prove to be very little that Bush could do to lower his negative response rate, so the only answer would be to raise the negatives of all rival candidates on both sides of the partizan divide. This brutal imperative for the Bush machine has contributed significantly to the last half decade's increase in derogation and villification in American life. Bush's discrediting campaigns would be subsumed within the "anything goes" approach advocated by the late Lee Atwater, the organizer of Reagan's 1984 campaign who had signed on with Bush well in advance of 1988.

Elements of Reagan's success posed a very real threat to Bush. There were for example the Reagan Democrats, many of them ethnic, Catholic, and blue collar workers in the midwest and Great Lakes states who had turned their backs on the Democrats in disgust over the succession of McGovern, Carter, and Mondale and were now supporting Reagan. These voters were not likely to show up in the Republican primaries, but any that did so would hardly vote for Bush. In the general election, there was a real danger that they would be repelled by Bush and return to their traditional Democratic home, as squalid as that had become. Bush would need heavy camouflage to pass muster with these voters. The Bushmen recalled that before they had been Reagan Democrats, many of these intensely frustrated voters had flirted with Wallace in 1968 and 1972. The flag, the death penalty, and an appeal to racism might provide an ideological smokescreen for the patrician Bush.

Bush could not model his effort on Reagan's campaigns from 1968 on. For him, the closest model was that of Gerald Ford in 1976, a weak liberal Republican with powerful network and masonic support, but no issues, no charisma, and no popular appeal. Ford's defeat highlighted many of the pitfalls that Bush faced as he prepared for 1988. Ford and Carter had been locked in a virtual dead heat as the voters went to the polls. An honest count would have given Ford the election, but ballot-box stuffing by the Democratic machines in Ohio and New York City had given Carter the palm. Bush therefore had to pay attention to any marginal factors that might tilt a close race in his favor. Was it a conincidence that, during 1985 and 1986, the Democratic machines in Ohio and New York were decimated by scandals and indictments, much to the dismay of Ohio mob banker Marvin Warner, and Stanley Friedman and the late Donald Mannes, the corrupt borough presidents of the Bronx and of Queens? For Bush, these reckonings were simply the most elementary precautions, and a harbinger of what would befall rival candidates as the primaries drew nearer.

Bush also had to look back at his performance in the 1984 campaign, hardly an epic effort. Bush had gotten in some trouble because he had refused categorically to rule out a tax increase in terms as adamantine as Reagan's. Bush tried to wiggle out of press onferences where this came up: "No more nit-picking. Zippity doo-dah. Now it's off to the races," was his parting shot as he sought to exit one press conference where he was being grilled. Otherwise Bush was the ultra-orthodox Reagan cheerleader, judged "fawning" by Witcover and Germond: "he had the reputation of being a bootlicker, and his conduct in office did nothing to diminish it." [1] Columnist Joseph Kraft wrote of Bush: "the patrician has tried to be a populist. He comes across, in consequence, as puerile." [2]

Bush's big moment was his vice presidential debate with Geraldine Ferraro. During the debate, Bush remarked that the Marines who had been killed in the bombing of their Beirut, Lebanon barracks in October, 1983 had "died in shame." On the morning after the debate, Bush went to Elisabeth, New Jersey for a rally with longshoremen. He said to a man in the crowd that "we tried to kick a little ass" in the debate with Ferraro. Then he saw that a microphone suspended from a boom was within earshot. "Whoops! Oh, God, he heard me! Turn that thing off," said the tough guy of the royal "we". Barbara Bush got into the act with her quip that Ferraro was a "four million dollar --- I can't say it but it rhymes with rich." Britisher Teeley added that Ferraro was "too bitchy." [3] In the most stupefied election of modern times, these slogans were the stuff of which great issues were made.

The Washington Post went after Bush as "the Cliff Barnes of American politics," a reference to a character in the soap opera Dallas whom the Post found "blustering, opportunistic, craven, and hoplessly ineffective all at once." Others, foreshadowing the thyroid revelations of 1991, talked about Bush's "hyperkinesis." Even the unsavory George Will commented that "the optimistic statement 'George Bush is not as silly as he frequently seems' now seems comparable to Mark Twain's statement that Wagner's music is better than it sounds." [4]

Bush's Foreign Diplomacy

There was thus very little hope that Bush could help himself by campaigning effectively. But did George have any new achievements in his resume that he could point to?

There were few that he would or could talk about. In the context of his "you die, we fly" role as Reagan's official surrogate at state funerals, he had met the new Soviet leader Yuri Andropov at Brezhnev's funeral for a "spook to spook" conversation, as Bush said. He had then met Michael Gorbachev at Andropov's funeral in the spring of 1985. But Bush would not want to play up his role in turning the "evil empire" Reagan of the first term into the summit-going "useful idiot of Soviet propaganda" of the second term, since this would stir up problems along Bush's right flank.

All Bush could talk about were his foreign trips. When Brezhnev died in November, 1982, Bush had been in Africa, whence he diverted to Moscow. This was a trip to seven black African states, including Nigeria and Kenya. When he got back to Washington he tried to capitalize on the African junket, which was undertaken in the spirit of the Reagan Administration's "constructive engagement", meaning in practice offering various rewards and inducements to the Pretoria regime while gently prodding them to withdraw from Namibia. In both Lagos and Nairobi, Bush was denounced for establishing a U.S.-sponsored linkage between the departure of Cuban forces from Angola and the termination of the South African protectorate over Namibia. [5]

In the summer of 1983, Bush went to Scandinavia, accompanied by scores of Secret Service agents and aides, bulletproof limousines, and White House communications equipment. Bush's staff were trying to plan photo opportunities and television perspectives in the tradition of Michael Deaver and Dr. Goebbels. During a visit to a memorial to the monument to Denmark's World War II resistance fighters, a U.S. Navy officer on Bush's staff instructed the Danish protocol chief that Danish Prime Minister Schluter and other Danish offocials had to be "herded" to one side as Bush strode toward the momument: a boorish insult, to say the least. (Bush's travelling entourage has gotten progressively uglier over the years, as we are reminded by the Bush party's clash with Swiss security officers at Geneva Airport during Bush's meeting with Hafez Assad in the fall of 1990. Hyperthyroid at the top infects the people further down the line.)

In Iceland, Bush gave a speech so generic that it was not clear if he had lost track of what country he was in. In Stockholm, he clashed heatedly with Swedish Prime Minister Olof Palme over the U.S. "contra" covert action programs in Central America. A few years later Palme was to be assassinated, and many attribute his death to his very detailed knowledge of the European dimension of Iran-Contra. But for Bush the trip was a big success: he got to play tennis doubles with Bjorn Borg, and went fishing off Iceland. [6]

In May of 1984, Bush was off to India and Pakistan. Indira Gandhi was rightly suspicious of Bush, and had recently commented about bad US-Indian relations: "What can be done? The problem is the orientation of the [U.S.] administration." [7] The policy which Bush presented to Mrs. Gandhi included sharp cutbacks in residual U.S. aid and U.S. sabotage of loans to India by the international agencies. In November, 1984, Mrs. Gandhi was assassinated.

In March, 1985, Bush's handlers staged a globetrotting photo opportunity to begin building up their man for 1988. Bush flew to the Sudan, to Niger, and to Mali, where he was overtaken by word of the death of Konstantin Chernenko, the Soviet leader. Bush's "you die, we fly" operation took him at once to Moscow, where he met with Gorbachev, Nakasone of Japan, Helmut Kohl of Germany, Margaret Thatcher, Rajiv Gandhi, and Zia ul-Haq of Pakistan. Then it was on to post-invasion Grenada, followed by Bush's appearance at the inauguration of the new civilian government of Brazil. Here Bush dodged Danny Ortega, the leader of the Nicaraguan Sandinista regime, who wanted to confront Bush on U.S. policy in the region. The ninth and last stop on Bush's junket was Honduras, where Bush visited with President Roberto Suazo Cordova, a key player in the world of contra policy. [8]

Naturally, there was more to each one of these stops than met the eye. The insipid platitudes of Bush's public speeches were matched more often than not with vicious covert activity. Often the verbiage was at variance with the real policy, or soon would be. In 1981, Bush had been Reagan's envoy to an inauguration of President Marcos of the Philippines. Bush's toast to Marcos, "We love your adherence to democratic principle and to the democratic process" had been castigated by the liberal press (the New York Times called it "a real clanger"), but when the line changed and it was time for the U.S. government to overthrow Marcos, it was the Bush apparatus that did it with the "people power" of the U.S.-guided enrages of Manila.

One small window on the real dimensions of Bush's vice presidential travel agenda is provided by the visit to the Sudan just mentioned. During this trip, Bush was accompanied by televangelists Pat Robertson and Jerry Falwell, two Elmer Gantries of the video ether, each with strong intelligence connections. Robertson made the trip with Bush, while Falwell was already in the country on a mission of his own in the framework of the ongoing famine in the Sahel region. Robertson brought a camera crew from his CBN network, which got a demagogic shot of Bush and Robertson slowly descending from Air Force Two in Khartoum while the band played "Hail to the Chief." Robertson was bringing relief supplies. On March 6, 1985, he told CBN that he was working with the genocidal U.S. Agency for International Development on relief projects. Reliable Sudanese sources report that U.S. AID policies are designed to exacerbate mortality in areas where they are applied.

Bush's urgent purpose was to arrange the overthrow of the President of the Sudan, Jaafar Nimiery, whom Wall Street wanted deposed. Bush seems to have some difficulty in planning and executing a swift and effective coup d'etat. His response to the Moscow putsch of August, 1991, "Coups can fail," reflected his own bitter experience in Panama in October 1990 and in the case in point in the Sudan. The CIA was backing a group of junior officers who wanted to take power, but they dawdled too long. They waited until Nimiery left the country on a one-week visit to the United States. Then, instead of seizing the obvious nodal points, they spent a full week in orchestrating a typical CIA "people power" upsurge, with demonstrations in the streets of the capital and a strike by 10,000 doctors, teachers, bankers, and judges. Nimiery was by now flying back from the U.S. This inordinate delay allowed a group of senior officers who were not U.S. puppets plenty of time to develop their own plan for a pre-emptive seizure of power. The senior group, led by General Abdul Rahman Swareddahab, acted decisively on April 6, 1985, catching Bush's junior officer clique flat-footed. [9] The lustre was gone from Bush's reputation as a golpista, and it has never really returned.

Bush's trip to Khartoum was also designed to serve the Israeli Mossad. During his visit, Bush secured the consent of Nimiery to an Israeli airlift known as "Operation Moses," which transferred thousands of Ethiopian Jews from the Sudan to Israel. The Israeli presence was linked to the plan to topple Nimiery.

Reagan Remains Lukewarm

In July, 1985, Bush was President for a Day, when Reagan transferred his powers to the vice president before undergoing anesthesia in the course of an operation to remove an intestinal polyp. Bush had flown to Kennbunkport on July 12, the same day that Reagan was admitted to Bethesda naval hospital for an examination. When it was found that Reagan would require an operation the next day, Bush flew back from Kennbunkport to get his hands on the long-awaited levers of power. At 10:32 AM, Reagan signed letters to House Speaker Tip O'Neill and Senate President Pro Tempore Stron Thurmond passing the helm to Bush. Reagan's operation began slightly before noon, and Bush was acting president when he arrived at Andrews Air Force Base about half an hour later. Bush got to his home at the Naval Observatory and spent the rest of the day there. His staff said that nothing presidential happened before Reagan awoke from his anesthesia at 7:22 PM and signed a paper resuming his powers.

Had nothing presidential really happened? As Jack Anderson wrote some years later, it was really "nothing...unless you're talking to former president Gerald R. Ford, the king of pratfalls." It appears that Bush, doubtless overcome by the euphoria of power, had slipped while playing tennis and hit his head rather seriously. According to some high-level White House officials polled by the Jack Anderson column, the manic Bush had actually been "unconscious" for a time, but never "incapacitated". "It wasn't serious enough to be checked," according to a Bush aide, and Bush "slept it off." [10] Not much here for a campaign speech celebrating Bush's experience, which now included a brief encounter with the dizzy apex of power itself.

For Reagan's State of the Union message in January, 1986, Bush's handlers worked hard to prevent him from "squirming, yawning, slumping, gazing into space and mostly looking...bored by his president." Bush was drilled into rapt attention for the Great Communicator's words by viewing embarrassing film clips of himself presiding over earlier joint sessions of the Congress. [11] Otherwise, Bush had won some notoriety for changing his watchbands to match his suit. [12]

More than anything, Bush wanted an early endorsement from Reagan in order to suppress or at least undercut challenges to his presumptive front-runner status from GOP rivals in the primaries; it was already clear that Senator Bob Dole might be the most formidable of these. Bush feared Dole's challenge, and desperately wanted to be annointed as Reagan's heir-apparent as soon as possible before 1988. But Reagan had apparently not gotten over the antipathy to Bush he had conceived during the Nashua Telegraph debate of 1980. According to a high-level Reagan Administration source speaking in the summer of 1986, "more than once the president [told Bush], 'Obviously, I'm going to stay neutral until after the convention, and then I'm going to work for whichever candidate comes out on top." [13] Despite Bush's "slavish devotion," Reagan wanted to keep the door open to his good friend, Senator Paul Laxalt of Nevada, whom Reagan apparently thought was getting ready to run for president. One can imagine Bush's rage and chagrin.

As the months went by, it became clear that there was no love lost on Bush by Reagan. Bush was running much of the administration, but he was not running Reagan in certain matters, and this seemed to be one of them. In the late summer of 1987, Reagan granted a magazine interview in which he seemed to praise Bush: "I don't know that there has ever been a vice president who has been more completely involved in all that goes on than this vice president." In the middle of Iran-Contra, that might not have been exactly what Bush wanted. The Reagan was asked to cite examples. "I can't answer in that context," replied Reagan. Bush had grown up in the liberal GOP paradise of the Eisenhower years, and he could not help remembering old Ike's disparaging answer to a similar question that had invited him to name some decisions Vice President Nixon had participated in. "If you give me a week, I might think of one," quipped Ike. [14]

Reagan stubbornly refused to come out for Bush until the endorsement could no longer help him in the Republican primaries. Reagan chose to wait until Super Tuesday was over and the rest of the Republican field had been mathematically eliminated. Reagan actually waited until Bob Dole, the last of Bush's rivals, had dropped out. Then Reagan ignored the demands of Bush's media handlers and perception-mongers and gave his endorsement in the evening, too late for the main network news programs. The scene was a partisan event, a very large GOP Congressional fundraising dinner. Reagan waited to the end of the speech, explained that he was now breaking his silence on the presidential contest, and in a perfunctory way said he would support Bush. "I'm going to work as hard as I can to make Vice President George Bush the next president of the United States," said old Ron. There were no accolades for Bush's real or imagined achievements, no stirring kudos. Seasoned observers found Reagan's statement "halfhearted...almost grudging." [15]

Some day we may know how much of the public denigration of Reagan in accounts both true and invented, including studies showing mental impairment that surfaced in late 1987 and early 1988, was due to the efforts of a Bush machine determined to create the impression that a president who refused enthusiastically to endorse Bush was a mental incompetent. Had the Discrediting Committee been unleashed against the President of the United States? It would not be the first time.

Bush Perceived as Reagan's 'Errand Boy'

Reagan's endless reticence meant that Bush had to work especially hard to pander to the right wing, to those people which he despised but neverthless needed to use. Here Bush stooped to boundless public degradation. In December, 1985 Bush went to Canossa by accepting an invitation to a dinner in Manchester, New Hampshire held in honor of the late William Loeb, the former publisher of the Manchester Union Leader. We have already documented that old man Loeb hated Bush and worked doggedly for his defeat in 1980 (see Chapter 16). Still, Bush was the "soul of humility," and he was willing to do anything to be able to take power in his own name. Bush gave a speech full of what the Washington Post chose to call "self-deprecating humor," but what others might have seen as grovelling. Bush regaled 500 Republicans and rightists with a fairy tale about having tried in 1980 to woo Loeb by offering rewards of colored watchbands, LaCoste shirts and Topsider shoes to anyone who could win over Bill Loeb. The items named were preppy paraphernalia which Loeb and many others found repugnant.

Bush quoted what Loeb had said about him: "hypocrite...double-standard morality, involved up to his neck in Watergate...unfit to be the Republican nominee...incompetent; liberal masquerading as a conservative; a hypocrite...a spoon-fed little rich kid who has been wet-nursed to success," and so on from the series of 1979-1980 editorials. Bush then praised the author of these words as a man of "passionate conviction and strong belief...In never mincing his words or pulling his punches, Bill Loeb was part of a great tradition of outspoken publishers." Some of the assembled right-wingers repeated the line from the Doonesbury comic strip according to which Bush "had placed his manhood in a blind trust." Loeb's widow Nackey Scripps Loeb was non-commital. "We have decided on a candidate for 1988--whoever best fights for the Reagan agenda," she announced. "Whether that person is here tonight remains to be seen," she added. [16]

Lawfully, Bush had earned only the contempt of these New Hamsphire conservatives. In October, 1987, when the New Hampshire primary season was again at hand, Mrs. Loeb rewarded Bush for his grovelling with a blistering attack that featured reprints of Bill Loeb's 1980 barbs: "a preppy wimp, part of the self-appointed elite," and so forth. Mrs. Loeb wrote, "George Bush has been Bush for 63 years. He has been Ronald Reagan's errand boy for just the last seven. Without Ronald Reagan he will surely revert to the original George Bush."

Mrs. Loeb repeated her late husband's 1980 advice: "Republicans should flee the presidential candidacy of George Bush as if it were the black plague itself." [17]

Displays of this type began to inspire a more general public contempt for Bush during 1987. Bush was coming across as "deferential almost to the point of obsequiousness," "too weak, too namby-pamby." George Will, anxious to pick a winner, began to ridicule Bush as a "lapdog." The "wimp factor" was beginning to torment Bush. Old Bill Loeb was still making Bush squirm. Two veteran observers pointed out:

"Reagan's own physical presence and self-confidence made Bush in contrast seem even weaker, and Bush's penchant for the prissy remark at times cast him as the Little Lord Fauntleroy of the campaign trail.."

Bush said he was running a negative campaign so as not to leave the Democrats a monopoly on "the naughty stuff." [18]

All of this culminated in the devastating Newsweek cover story of October 19, 1987, "Fighting the 'Wimp Factor.'" The article was more analytical than hostile, but did describe the "crippling handicap" of begin seen as a "wimp." Bush had been a "vassal to Kissinger" at the United Nations and in Beijing, the article found, and now even Bush's second term chief of staff said of Bush, "He's emasculated by the office of vice president." To avoid appearing as a television wimp, Bush had

"...tried for the past 10 years to master the medium, studying it as if it were a foreign language. He has consulted voice and television coaches. He tried changing his glasses and even wearing contact lenses. [...] Bush's tight, twangy voice is a common problem. Under stress, experts explain, the vocal cords tighten and the voice is higher than normal and lacks power."

According to Newsweek, 51% of Americans found that "wimp" was a "serious problem" for Bush. The magazine offered various sophomoric psychological explanations of how Bush got that way, mainly concentrating on his family upbringing. Here Bush was allegedly taught to conceal his sociopathic drives beneath a veneer of propitiation and sharing, as in his childhood nickname of "Have Half" George.

The Newsweek "wimp" cover soon had Bush chewing the carpet at the Naval Observatory. Bush's knuckle-dragging son George W. Bush called the story "a cheap shot" and added menacingly: "...I'd like to take the guy who wrote that headline out on that boat", i.e., the Aronow-built Fidelity in which Bush was depicted on the Newsweek cover, which sounded very much like a threat. George W. Bush also called Newsweek Washington bureau chief Evan Thomas to inform him that the Bush campaign had officially cut off all contact with Newsweek and its reporters. The decision to put Newsweek out of business was made by candidate Bush personally, and aborted a plan by Newsweek to publish a book on the 1988 campaign. The press got the message: portray Bush in a favorable light or face vindictive and discriminatory countermeasures.

Robert Mosbacher and the Texas Oilmen

Bush campaigns have always advanced on a cushion of money, and the 1988 effort was to push this characteristic to unheard-of extremes. In keeping with a tradition that had stretched over almost three decades, the Bush campaign finance chairman was Robert Mosbacher, whose Mosbacher Energy Corporation is one of the largest privately held independent oil companies in Texas. Mosbacher's net personal worth is estimated at $200 million. During the 1988 campaign, Mosbacher raised $60 million for the Bush campaign and $25 million for the Republican National Committee. It was Mosbacher who formed the Team 100 corps d'elite of 250 fatcats, among whom we have seen Henry Kravis. The trick was that many of these $100,000 contributors were promised ambassadorial posts and other prestigious appointments, a phenomenon that would reach scandalous proportions during 1989. In 1984, Mosbacher's son Rob, Jr. ran a strong but losing race for the senate seat vacated by John Tower.

Mosbacher by the mid-1980's had become a director of the biggest bank in Houston, and a member of the most exclusive clubs in the city. He was a central figure of that cabal of financiers and oil men which in the postwar years was called "the Suite 8F crowd," and which has since evolved into new forms. Mosbacher, Baker, and Bush are now at the center of the business oligarchy that runs the state of Texas.

Mosbacher was also a celebrity. When he was between his second and third marriages during the early 1980's, he was billed as Houston's most eligible bachelor. His third wife Georgette, a cosmetics entrepreneur, was the star of the Bush inaugural as far as the photographers were concerned. The Mosbachers habitually flew around the country in their own private jet, and maintained homes in New York, Washington DC, and the expensive River Oaks section of Houston.

During the mid-1980's, Mosbacher reportedly lined his pockets to the tune of $40 to $50 million through a scam called the Houston Grand Parkway. Mosbacher's gains derived from the Texas Transportation Corporation Act, which provided for the de facto privatization of highway building in conformity with the ideological tenets and fast-buck mentality of the Reagan-Bush economic climate. Local landowners were empowered to set up "transportation corporations" which would solicit donations of the rights-of-way of new roads, and which would fund the engineering studies for the roads. If right-of-way and design plans were approved, the state would proceed to actually build the roads.

In practice this became a gigantic speculation at the center of which lay Mosbacher's Cinco Ranch, a property he had acquired for $5 million in 1970. One provision of the bill was that many small landowners in the general area of the proposed rods would be hit by special road assessment tax levies of up to eight times the value of their property. Mosbacher cashed in by selling off his Cinco Ranch for $84 million, the highest price in Houston's history. The leap in the value of the land was made possible by the Grand Parkway passing right through the center of Mosbacher's ranch, a route that had been designed by a Mosbacher old boy network that reached into the Texas highway department. [19]

Mosbacher's network for the Houston Grand Parkway caper included Harris County Commissioner Robert Y. "Big Bob" Eckels, whose personal friendship and close political ties with George Bush were well known. [20] Eckels was a landowner who stood to benefit from the new road-building projects permitted under the new law. Eckels was also a dedicated GOP activist who made the Harris County government into a de facto arm of the Reagan-Bush campaign in 1984. In 1985, Houston press reports showed that Big Bob Eckels had deployed county government employees, county government telephones, and county computer equipment to organize and service a group calling itself National Conference of Republican County Officials which, according to Roanoake County, Virginia Treasurer Fred Anderson, functioned as "a working arm for the White House and the national [Republican] party." [21] Eckels later admitted that he had also spent at least $20,000 of his own funds for "a world" of mailings for the Reagan-Bush ticket and had not reported these expenditures to the Federal Election Commission. Eckels was convicted on misdeamenaor charges of accepting a gift from a county contractor in the form of a road on his Austin County tree farm. Eckels had been indicted six times while still in office, on various charges.

By June, 1989, Eckels was in semi-retirement on his tree farm, but was telling the press that he was working on his autobiography which he assured a reporter would not be just a "muck-raking deal." [22] This book project was widely viewed in Houston as an attempt by Eckels to develop a retaliatory capability to ward off possible further attacks by his own former partners.

Big Bob Eckels may have been serving George Bush in other ways as well. In the spring of 1985, Houston attorney Douglas Caddy says he was told by Richard Brown of the International Intelligence Network Corporation that "a secret Reagan-Bush campaign fund" with "$1.5 million in it" had been uncovered follwing the 1984 presidential campaign. Caddy alleged that Brown told him the fund was "controlled by Harris County Commissioner Bob Eckels." According to Caddy, Brown further alleged that "IRS Criminal Intelligence knows about it." According to Caddy, Brown was a person with links to both the FBI and the IRS. Caddy also asserts that a report of the existence of the secret fund was also repeated to him by private investigator Clyde Wilson. [23] During May 1988 and June 1989, Caddy wrote to the FBI and the FEC [Federal Election Commission] on the matter. The FEC declared the allegations Matter Under Review (MUR) 2925, but later decided in February 1991, despite "reason to believe" Caddy's charges, to take no action. [24] During 1989, Caddy was hit by an Internal Revenue Service audit which led to an IRS assessment of hundreds of thousands of dollars of penalties against him, a lien on his property, and other measures. In Caddy's view, this audit was a retaliation against his having raised the issue of the $1.5 million Reagan-Bush campaign fund.

Further investigation of this potentially embarrassing complex of allegations was greatly hindered by the death of Robert Y. Eckels on December 24, 1989.

Bush's big money campaigning was especially dependent upon Texas oilmen, whose largesse he required to stoke his political machine. Bush was running a political action committee called the Fund for America's Future which raised $3.9 million in off-year 1985, a hefty sum. Of that take, about a fifth was raised from 505 Texas donors, with Texans giving more than the residents of any other state. $135,095 of Bush's money harvest came from persons who could be clearly identified as oil industry figures, and the rakeoff here was probably much greater. When the price of a barrel of oil fell during this period from $39 to $12, Bush had a big problem. His donors began to squawk.

Overall, the collapse of the oil price, itself a result of the world-wide industrial depression, was a boon to the bankrupt U.S. dollar. The insolvent greenback was shored up by this new subsidy, which restored a little of the currency's ability to command some real commodities in the real world. But for Bush's immediate cronies and money-minded political base, it was a disaster. "You've got to figure George was getting banged around by all his oil friends, particularly the drillers, who have been hurt the most," a Congressional Bushman told the Washington Post. [25]

Sure enough, Bush's old pal Bill Liedtke, now the president of POGO Producing in Houston, a drilling company, confirmed that his man was highly attuned to the issue:

"George understands very well that you're going to lose a certain percentage of production permanently if the price goes too low. Ever since I have known him, back to the Eisenhower era, he has been very sensitive to the connection between a strong [oil] industry and national security." [26]

Robert Mosbacher, Bush's moneybags, confirmed this view in spades: "I always find that when I talk to George about the oil and gas business, he's up to speed. He has two sons in the business, and he stays in touch through them."

The collapse of the oil price posed a real problem that should have been answered by introducing an oil tariff with a trigger price of $25 per barrel, so that the domestic price of oil would never fall below that figure, as was proposed at the time by a few spokesmen for the oil patch. That would have been the equivalent of setting up a parity price for oil, and would have given domestic producers solid certainties for long-term development and planning. But the Reagan Administration in general was still wedded to the president's irrational fetishism of "the magic of the marketplace," and would violently oppose anything smacking of dirigism or re-regulation.

Bush was not interested in a parity price for oil. He rather took advantage of a scheduled trip to the Middle East, during which he was supposed to be discussing regional security matters, to talk up the price of oil with his long-time crony King Fahd of Saudi Arabia. Bush expressed his concern about "the free fall" of oil prices and talked with Fahd about "how [the Saudis] feel there can be some stability to a market that certainly can't be very happy to them." He denied that he had come to Saudi Arabia on a "price-fixing mission," but invoked national security. Bush lectured Saudi Oil Minister Zaki Yamani about the saturation of the world oil market. The implication was clear: the Saudis were supposed to cut back their production. [27] It was a few weeks later that the U.S. bombed Libya.

Bush sanctimoniously claimed that his remarks had nothing to do with the quest for political advantage. His performance may have played well in the oil patch, but reviews elsewhere were not laudatory. A White House official said that "poor George" had committed "a gaffe" that was sure to hurt him in New Hampshire. Reagan was still very committed to free market forces setting the price of oil, was the word in this quarter. Up in the rust bowl, the Detroit News headlined: "Bush to Michigan: Drop Dead." A Dole spokesman gloated that "given Bush's background, the last thing he needs to be doing is carrying water for the oil industry and the international banks....It was as if his whole resume was talking."

Once again, as so frequently in his career, politics was proving unkind to the hopes of George Bush. By the spring of 1987, Bush was "catching the dickens" out on the hustings for his Iran-Contra activities (see Chapter 18).

Notes

1. Jack W. Germond and Jules Witcover, Wake Us When It's Over: The Presidential Politics of 1984 (New York, 1985), p. 489.

2. Joseph Kraft, "The Real George Bush," Washington Post, October 18, 1984.

3. Wake Us When It's Over, p. 522.

4. George Will column, January 30, 1986, in Will, The Morning After, p. 254.

5. Philip Geylin, "Makings of a Success in Africa," Washington Post, December 10, 1982.

6. "Bush Makes Few Waves at Home, Creates Big Splash in Sandinavia," Washington Post, July 12, 1983.

7. "Bush Ends Trip to Subcontinent With U.S. Ties Largely Unaltered," Washington Post, May 19, 1984.

8. "Globe-Spanning Mission Strengthens Bush for '88," Washington Post, March 24, 1985.

9. See Sara Diamond, Spiritual Warfare, pp. 72 and 254.

10. Jack Anderson and Dale Van Atta, "Bush's Day at the Helm," Washington Post, January 27, 1988.

11. "Bush is Counseled to Look Sharp Tuesday," Washington Post, January 26, 1986.

12. Maxine Cheshire,"VIP," Washington Post, April 25, 1981.

13. Jack Anderson and Dale Van Atta, "Bush Waits and Hopes for Reagan Nod," Washington Post, August 18, 1986.

14. "Reagan Won't Cite Issues Bush Affected," Washington Post, September 12, 1987.

15. Jack W. Germond and Jules Witcover, Whose Borad Stripes and Bright Stars: The Trivial Pursuit of the Presidency, 1988 (New York, 1989), p. 156.

16. "Bush Proves Successful in Ticklish Appearance." Washington Post, December 12, 1985.

17. "New Hampshire Chill," Washington Post, October 11, 1987.

18. Whose Broad Stripes and Bright Stars, pp. 71-72 and 366.

19. Joe Conason, "Robert Mosbacher's Grand Scheme," Texas Observer, April 28, 1989.

20. Ibid., p. 12.

21. "County resources utilized by Eckels to boost the GOP," Houston Post, February 8, 1985.

22. Houston Chronicle, June 2, 1989.

23. Douglas Caddy, letter to FBI Director William Sessions, May 2, 1988.

24. Federal Election Commission Bulletin, Volune 17, Number 2, February, 1991, p. 11.

25. Washington Post, April 9, 1986.

26. Washington Post, April 14, 1986.

27. Washington Post, April 7, 1986.