3rd Military Aide’s Refusal to Testify Angers Chairman

A third White House military aide refused Friday to testify in a closed Senate committee hearing on the Iran arms sale operation, prompting the panel’s chairman to angrily denounce President Reagan’s contention that one of the three men is a “national hero.”

“I haven’t seen any heroism from any of these three,” said Sen. Dave Durenberger (R-Minn.), chairman of the Senate Intelligence Committee. “If they are such heroes, then why are they deserting the country when they are finally being put to the true test of their commitment?”

He said that without the testimony of the three--all active-duty military officers--it will be impossible for Congress to determine whether the President had any role in the decision to divert profits from the Iranian arms sales to the Nicaraguan rebels.

Durenberger called upon the three men to reconsider, and suggested that Reagan should encourage them to cooperate.

“Maybe he can help them define ‘national hero,’ ” he said. “Somebody is going to have to define for them what ‘national hero’ means. It doesn’t mean you come in here and you stiff the whole country.”

The witness refusing to testify Friday was Marine Lt. Col. Robert Earl, an employee of the National Security Council staff and former deputy to Marine Lt. Col. Oliver L. North, a central figure in the scandal. Committee members were hoping Earl could tell them how profits from the Iranian arms sales were transferred to the contras-- something the committee has yet to establish.

In a Nov. 25 interview with Time magazine, Reagan called North “a national hero,” even though he was fired by the President for allegedly arranging the secret profits transfer to help the contras while a congressional ban on U.S. military aid to them was in place.

Durenberger noted that unlike North and former National Security Adviser John M. Poindexter--both of whom cited their Fifth Amendment rights against possible self-incrimination when they declined to testify before several congressional committees--Earl is still employed by the President, who has promised full cooperation with the investigation.

“He’s going from here back to a desk in the White House,” he said.

Durenberger said that Earl, North and Poindexter, who is an admiral, had “put their narrow personal interest and maybe their misplaced loyalty to some of their friends ahead of the national interest that they are sworn to uphold.”

“This committee is no threat to any of these soldiers,” he said. “They have nothing to fear from this committee. Hopefully they have nothing to fear from the facts if in fact they are so heroic.”

Cites Sixth Amendment

Durenberger said that Earl, who received a summons from the committee a week ago, declined to testify on grounds that he had not been given sufficient time to prepare his testimony and had been denied his Sixth Amendment right to adequate counsel.

Earl refused to be represented by a lawyer provided by the White House, and instead insisted upon representation by a private attorney who lacked the necessary top-secret clearances to participate in the case.

The chairman indicated he was angered not only by Earl’s refusal to testify but also because he was accompanied by an attorney “who read us the riot act on the Sixth Amendment of the Constitution.”

Another committee member, who declined to be identified, said Earl appeared apprehensive about testifying. “People are scared,” the senator said.

Earl was one of three National Security Council aides called to testify on Friday. The other two were Howard Teicher, who as head of the political-military affairs office was North’s immediate boss, and Craig P. Coy, who worked for North as deputy director of political-military affairs.

Testimony Rescheduled

Coy was described by Durenberger as “very helpful.” But Teicher’s testimony was rescheduled for next Tuesday when he told the committee members that his private attorneys would have top-secret security clearance by then.

If Poindexter, North and Earl do not testify, Durenberger said that Congress will never be able to satisfy all the questions that remain about the Iranian arms shipment and the diversion of profits to the contras.

The Administration has said Poindexter, who resigned last month, and his predecessor, Robert C. McFarlane, had some general knowledge of the controversial funds diversion, but that no other officials were apparently involved. Reagan repeatedly has denied any knowledge of the diversion.

“The problem for all of us is going to be what did the President know about it--what was the President’s exact role in this process and why did all of this happen,” he said. “And that kind of evidence can only come from these three--the admiral and the two colonels.”

Meanwhile, it was reported that CIA Director William J. Casey had told the House Foreign Affairs Committee earlier this week that he had been assured by North last October that no funds from the Iranian arms sales were being diverted anywhere. Casey is expected to appear before the Senate Intelligence Committee in secret session next Tuesday.

Businessman’s Testimony

Roy M. Furmark, a New York businessman, told the committee on Thursday that he had informed Casey on Oct. 7 that some of the money was being diverted to the contras, according to sources. Casey has testified that the Oct. 7 conversation with Furmark raised questions in his mind about the arms sale operation, but that he did not “learn” of the diversion until it was disclosed publicly by Atty. Gen. Edwin Meese III on Nov. 25.

Rep. Larry Smith (D-Fla.) was quoted by United Press International as saying that Casey contacted North after hearing from Furmark and North denied any diversion of funds to the contras. He said North also reportedly told Casey there was no CIA involvement in the matter.

“North said ‘no’ to both and that satisfied Casey,” Smith said.

Furmark testified that he heard of the diversion from a group of Canadian investors who had put up millions of dollars to help finance the Iranian arms sales in hopes of earning a profit when the arms were sold to Iran. Durenberger said the testimony has apparently upset the Canadian ambassador to the United States, Alan Gotleib.

“The nervous ambassador calls everybody on the committee and says, ‘What’s going on? Is there anything more to come?’ ” Durenberger said. He added that committee members assured Gotleib that there is no evidence of Canadian government involvement in the matter. “We said, ‘Forget about it. It’s not a problem for you. Go to the race track. It’s not a big deal.’ ”