LaRouche Tells President He Will ‘Defend Myself’

While investigators pored over a “gold mine” of evidence seized from his Virginia inner sanctum, political extremist Lyndon H. LaRouche vowed Tuesday in a telegram to President Reagan that “I will not submit passively to an arrest but . . . will defend myself.”

The warning message, released in writing by LaRouche’s office here, was sent as federal and state agents were concluding a search of his international headquarters in Leesburg, Va., 30 miles northwest of Washington. More than 350 agents, backed by aircraft and armored vehicles, swooped down on LaRouche offices at dawn Monday to serve search warrants.

Hours after the raid began, 10 associates and five LaRouche organizations were indicted by a federal grand jury in Boston on charges of credit card fraud, conspiracy and obstruction of justice. Five of those named were arrested Monday, and a sixth, Elliot Greenspan, 37, surrendered Tuesday in Newark, N.J. Four others are believed to be in Germany, where LaRouche maintains extensive operations.

Government attorneys will ask today that bail be denied for key LaRouche aides in custody. Greenspan spent two days in jail last year for contempt of court for refusing to cooperate with the grand jury in Boston. He was released on $33,000 bail.

No charges were filed against LaRouche, although the Boston grand jury said that he directs all the companies, foundations and political committees that espouse his philosophy under the umbrella of the National Caucus of Labor Committees. A source close to the investigation said Tuesday that a “major purpose” of the search was to find evidence linking LaRouche to the alleged crimes.

In his telegram to the White House, LaRouche denied any personal criminal activity and said that any attempt to apprehend him would have historic consequences.

“Any arrest or attempt to arrest me would be an attempt to kill me,” LaRouche said. “. . . The Reagan Administration will be condemned by history if such a scenario comes to pass.”

When asked if the message was a threat, a LaRouche spokesman answered in the group’s oblique style. “No, I think he is saying exactly what he is saying,” replied Warren J. Hamerman, chairman of LaRouche’s National Democratic Policy Committee. “Lyndon LaRouche does not have the mark of the beast on his forehead. And, therefore, Gorbachev and his friends have ordered him killed. He will not submit.”

Cite Gorbachev, AIDS

LaRouche and Hamerman said Tuesday that Soviet leader Mikhail S. Gorbachev ordered their current legal troubles as a precondition to his talks with Reagan in Iceland. “Gorbachev demanded the head of LaRouche on a platter,” Hamerman said. They cited LaRouche’s pronouncements about AIDS as a reason for the actions against him.

White House spokesman Larry Speakes, when asked about LaRouche’s telegram, replied: “I don’t know anything about any of that.”

LaRouche and his supporters, who say the medical community is hiding facts about AIDS, are sponsoring Proposition 64 on the Nov. 4 ballot in California. The measure seeks to force health authorities to identify persons infected with the virus that causes AIDS and ban them from public-contact jobs and schools.

In Leesburg, U.S. Atty. Henry Hudson, whose office is cooperating with the Boston grand jury, called the raid a success because of the high quality of the documents found. He said that agents discovered financial records that LaRouche groups had withheld from the Boston investigation. In all, two truckloads of records, including lists of contributors and computer files, were seized.

In addition, authorities said they found evidence supporting the charge that top LaRouche aides made plans to send members of the group out of the country to evade questioning by the Boston grand jury.

“It’s a gold mine” of information, said one law enforcement source. “Everyone is very happy. They--state and federal people--are toasting each other.”

History of Violence

Federal officials said the unusual display of manpower in the seizures was considered necessary because the LaRouche organization has a history of violence. In recent years, LaRouche followers have also undergone paramilitary training.

Semi-automatic weapons were found in the search, but there were no incidents, Loudoun County Sheriff John Ison said at a press conference Tuesday.

The arrests were greeted with some relief in Leesburg, a quiet historic town where LaRouche supporters run several small businesses, with about 200 people on the payroll. Ison said he has received “a great number of complaints, inquiries and allegations” since the LaRouche groups arrived with armed bodyguards a few years ago. A local businessman received a threat Monday after the raid began, Ison said.

In addition to the federal charges, a search warrant filed in Loudoun County Circuit Court by Virginia officials gives a rare glimpse into the inner financial workings of LaRouche’s fund-raising operation, which is run from Leesburg behind locked doors and bulletproof glass with the aid of a large computer.

‘Boiler Room’

Affidavits filed with the warrant describe a coordinated plan to extract large sums from potential donors. Once a person’s name is obtained, often when he buys an inexpensive piece of literature at an airport stand, he is telephoned repeatedly from a large “boiler room” and pressured to make loans to LaRouche organizations.

The loans are “secured” with illegal promissory notes and are seldom repaid, the affidavit said. The Virginia attorney general is investigating possible charges of securities fraud.

The 117-count federal indictment, returned in Boston on Monday after a two-year investigation, says that some victims of credit card fraud were unaware that they had any contact with LaRouche’s organizers in seven cities, including Los Angeles. Others found large charges on their credit card bills after they made small contributions or purchased LaRouche literature.

Special Bank Accounts

Special bank accounts were established so the fraud could be easily carried out by simply phoning the data centers of the major credit card companies and claiming authorization for telephonic charges, the indictment alleges.

LaRouche, a three-time candidate for President who is called anti-Semitic by his critics, rose to new prominence last spring when two followers won the Democratic nominations for lieutenant governor and secretary of state in Illinois.

Times staff writer Gaylord Shaw in Leesburg, Va., contributed to this story.