A few words are appropriate to describe DynCorp and its former Chairman and
lead investor, Herbert S. Pug Winokur. Pug and his investment operation
Capricorn Holdings were later to come under scrutiny when Pug resigned from the Harvard
Corporation board at a time of controversy regarding his role as board member and
chairman of the Finance Committee of Enron. Pug was serving on the board when Enron
went bankrupt, after a period during which Harvard Endowment (where Pug was also on
the board) was aggressively and profitably selling Enron stock. This raised questions
as to whether the Endowment had the benefit of insider information. The
extent of Harvard's investments in Capricorn and its funds, if any, are unknown. On
several occasions, Harvard and Capricorn have invested side by side.
Pugs company Capricorn Holdings was based in Greenwich Connecticut. He and
John Birkelund were long time board members of NacRe, a reinsurance company based
in the Greenwich area that Dillon had been instrumental in helping to start. Breaking
with the pattern of Dillon leaders being from New Jersey, John Birkelund lived in
Connecticut and seemed very much part of the group in and around Greenwich. This group
included Robert G. Stone, Jr., considered a leading light for many years behind the
Harvard Endowment, particularly its oil and gas portfolio that invested in Harken
Energy, a company made famous by George W. Bush's role and stock profits. Like many
other people in this story, both Birkelund and Winokur shared membership in the Council
on Foreign Relations.
When Capricorn Holdings reduced its investment position in 1997, DynCorp appeared
to be doing well. In addition to significant information systems contracts and subcontracts
for DOJ and HUD, including lead contractor with a $60 million per year contract on
the DOJ Asset Forfeiture Fund (working with the U.S. Marshals who manage forfeited
assets for DOJs Asset Forfeiture Fund), DynCorp won new systems and litigation
support contracts from DOJ in 1995 and 1996. This included the Justice Consolidated
Network (J-Con) contract to run the consolidated network systems for parts of Justice.
According to Inslaw President Bill Hamilton, DynCorp had been one of the successor
contractors on managing the PROMIS system after DOJ had stolen it from Inslaw.
One of the contractors chosen with DynCorp to provide litigation support to DOJ
was CACI, the leading provider of Geographic Information Systems to the federal government.
Richard Armitage, a high-ranking official at Defense during the Reagan Administration
and at the State Department during the Bush II Administration, was a consultant and
member of CACIs board from 1999 to 2001.
After DynCorp personnel were later the subject of several lawsuits related to pedophilia
and sex slave trafficking in partnership with local mafia in Eastern Europe,
Armitage as a senior official at the U.S. State Department would write a letter in
support of large new sole source contracts to DynCorp based on the theory that a company
should not lose contracts as a result of the conduct of a few employees. In short,
sex slave trafficking and pedophilia in its ranks did not prevent DynCorp from winning
significant new contracts, including a $500 million sole-source contract to run police,
enforcement, courts and prisons in Iraq.
Courtesy: Kelly O'Meara,
Letter from Deputy Secretary Richard Armitage re: Award of Sole Source Contract
to DynCorp to Provide Police, Judiciary and Prisons in Iraq:
I came to look into DynCorp when I was contacted years later by a retired member
of CIA covert operations who alleged that:
(i.) DynCorp was helping to manage the PROMIS software system through its J-Con
System at DOJ; and
(ii) the project manager for DynCorp on the J-Con contract had falsified evidence
against me using the PROMIS system and that is what got the investigation against
The Hamilton Securities Group and me going. I e-mailed the project manager at DynCorp,
however he never responded.
It is hard to find reliable information on the PROMIS software system and alleged
successor systems. However, I believe that understanding the use of such digital information
weaponry and its ability to compromise private and public financial and banking systems
(including transactions such as the HUD loan sales) as well as governmental enforcement
and military systems is integral to understanding the manipulation of the US federal
credit and financial markets and the centralization of political and economic power.
the story ...