I I DIAIAPPR 255-78 38f Anao pout pp mp INTELLIGENCE - ITALY 1 I - REORGANIZATION 0F INTELLIGENCE AN 9 pf- 01 I II I SERVICES - - W- 1 i 2 Luz I a I 15 NOVEMBER 1978 - I I - 41Hid-1 H- 1 if - L -- Haw- 1321- '1 n'n' nu ITALY REORGANIZATION OF INTELLIGENCE AND SECURITY SERVICES U Summary U Three new intelligence agencies created by the intelligence reorgani zation law were officially established last The Intelligence Service for Military Security SISMI replaced the Defense Intelligence Service SID while the Intelligence Service for Democratic Security SISDE took the place of the Security Service SISMI and SISDE are responsible to the Ministers of Defense and Interior respectively The operations of these new agencies are to be coordinated by the civilian-led Executive Committee for Intelligence and Security Services CESIS which reports directly to the Prime Minister U Under the reform law the Prime Minister is directly responsible for the supervision of all intelligence and security matters To assist him an Interministerial Commission for Intelligence and Security CIIS composed of various ministers has been created Finally legislative oversight of the intelligence reorganization is being provided by a parliamentary com- mittee U SISMI assumes most of the functions previously held by SID while the new civilian-oriented SISDE has been assigned responsibility for all domestic counterintelligence efforts including such functions previously handled by SID Since SISDE is limited to intelligence collection and has no police powers however a new organization has been established in the Ministry of the Interior to share responsibility for domestic antisubversive and antiterrorist activities This body the Central Office for General Investigations and Special Operations UCIGOS is responsible for investi- gatory security and judicial police actions in support of SISDE The functions of the Operational Intelligence and Situation Services of the army navy and air force continue as before but they are defined by law and must be conducted in strict coordination and liaison with SISMI which is the overall director of military intelligence efforts not been firmly established Moreover its form is evol with that ecif_ied in the re orm law 15 Nov 78 BM Intelligence Appraisal Page I - I In addition Prime _H ister 1'1 ea as ed a govermnental decree that creates the post of co- ordinator for all antiterrorist activity in Italy and provides the President gwith a consultant on public security and terrorism the policy level CESIS has not deveIOped the degree of I in uence and con 1 over the intell once a encies that was contem r mthereiecm 10 Discussion Background U All intelligence and security service personnel were traditionally designated soldiers of the King and assigned to military or paramilitary national organizations With the fall of the Italian monarchy the made cosmetic evolutions through name changes and minor adjustments but they continued to operate under many traditional regulations Since these organizations have never had systematic personnel recruiting or training programs cronyism and nepotism have played large roles in acquiring new people The staffs have tended to be strongly conservative and have been viewed with suspicion by leftists and some centrist political parties Moreover strongwilled directors have periodically used their posts for personal gains thereby damaging the public standing of the lchS In recent years several scandals have erupted and their exposure has coincided with a rise in the political power of the left particularly the Communist Party PCI This laid the groundwork for another overhaul of the structure 15 Nov 78 BM Intelligence Appraisal Page 2 U The October 1977 reform law was developed by a gparliamentary commission organized on a proportional political party basis The majority of its members represented the Christian Democratic Party DC How- ever the PCI was the next largest delegation and the law re ects some Communist doctrine particularly regarding centralization of police powers The law also offers the PCI several possibilities to infiltrate influence and perhaps eventually control the 16 55 More generally the law represents a compromise solution that permits the SID military organization to remain largely intact as the SISMI but the measure creates the parallel civilian- dominated to take responsibility for domestic counterintelligence 'It also theoretically subordinates all elements to the Prime Minister and the legislature 1 Furthermore the reform law establishes qualifications fori lass personnel that are so vague they can be interpreted to accommodate the political beliefs of the adjudicating authority it specifies that persons whose actions raise questions of their fidelity to values of the republican' and antifascist constitution are ineli 'ble to oin the intelligence set- ees EarliEr this year ofEll persoT I el into government service including the 45 55 based solely on qualification and without regard fori political beliefs I ch5 Structure U The Prime Minister is responsible for the organization function direc- tion and coordination of all intelligence and security activities Advising the Prime Minister on fundamental objectives of intelligence and security i policy is the Interministerial Committee for Intelligence and Security This group is chaired by the Prime Minister and composed of the Ministers of Foreign Affairs Interior Justice Defense industry and Finance The Prime Minister may also request the participation of other ministers the directors of SISMI and SISDE and other civilian and military authorities U Directly subordinate to the Prime Minister is the CESIS This organi zation is charged with providing the Prime Minister with the information necessary to coordinate the activities of the and to analyze their intelligence to produce studies of domestic and international situa- tions and to coordinate liaison with foreign intelligence agencies The Prime Minister appoints a civilian as Secretary General of CESIS and 15 Nov 78 DIA Intelligence Appraisal Page 3 $3953 determines its membership the directors of SISMI and are permanent members of this committee Others currently include the Chief of the Defense Staff and representatives from the Ministries of Interior and Foreign Affairs U A parliamentary committee consisting of four senators and four depu- ties nominated by the representative parliamentary presidents on the basis of proportional representation exercises control over the implementation and application of the intelligence reorganization law The committee can request the Prime Minister and CESIS to provide information on the structure and activities of SISMI and SISDE If the Prime Minister believes the committee does not have the need to know he can refuse to furnish information The committee can refer the matter to both houses of the Parliament This new parliamentary committee and its role in IchS legislation policy and review and control matters constitute an area of concern regarding possible access by the PCI as well as hostile intelligence interests to sensitive data passed to the Italian though NATO or other channels The parliamentary committee cunently includes four Christian Democrats three Communists and one Socialist The SISMI is I directly subordinate to the Minister of Defense U Two organizations responsible for antiterrorist and antisubversion activities are under the Minister of Interior The 51505 is directly sub- ordinate to the Minister of the Interior It retains some of the functions of the old Antiterrorist Inspectorate but is now apparently limited to a clandestine collection role Investigatory security and judicial-police actions will be the responsibility of UCIGOS which is under the Direc torate General of Public Security Similar activities within the military remain the province of SISMI Key IchS Personalities U The principal officials involved in directing and overseeing the 1ch5 via the CH5 include Prime Minister Andreotti Defense Minister Ruffini and Minister of Interior Rognoni All are DC The parliamentary oversight committee includes the Chairman Erminio Pennacchini Deputy Chairman Ugo Pecchioli and the Secretary Alberto Cipellini of the Socialist Party PSI 15 Nov 78 DIA Intellii'enie Page 4 military officials include Lt Gen Guisene Santovito Dirsw Fulvio Martini has been Deputy Director of both and duringufhgiggarliggjion period sm Gen Giulio Grassini a carabinieri officer assumed the directorship of SISDE last February cul- minating a frustrating search for a qalified official to head this new office 15 Nov 78 DIA Intelligence Appraisal Page 5 U After only a few months of existence the CESIS has already had a leadership change Gaetano Napoletano resigned as Secretary General in April and has been succeeded by Walter Pelosi Pelosi is 57 years old has been in public service since 19% and has spent most of his career in the Interior Ministry in security-related work In addition however he has served in high-level adminstrative positions in the Office of the Prime Minister and has worked directly for the current Prime Minister Andreotti Intelligence Reforms U Implementation of the new structure has occurred in the highly charged public atm05phere created by the murder-kidnaping of former Prime Minister Aldo Moro by the terrorist Red Brigades This tragic affair dominated the media and focused attention on the Italian security services This has led to serious questioning of their effectiveness at the time of reduced efficiency caused by reorganization 15 Nov 78 DIA Intelligence Appraisal Page 6 Under the 1 83 73 raw SISDE was re- stricted to intelligence gathering Without the powers of arrest detention i search or interrogation required to function comprehensively in the anti- I iterrorism field UCIGOS was established within the Interior Ministry to i' provide these capabilities in support of SISDE but as the latter has been slow in organizing and in developing a nationwi _abilit UCIGOS has _become_the_ de facto 6 55 antiterrorism arm Italian 16 55 counterterrorism organization and activities are affected by Prigne_Minister Andreotti's recent decree The decree established the office of Special oor nator or - terrorism and named carabinieri Maj Gen Carlo dalla Chiesa to that post Dalla Chiesa reports directly to the Interior Minister and is res nsible for icoordinatin all antiterrorist activities 15 Nov 78 DIA Intelligence Appraisal Page 7 Outlook The Italian 6 55 is in a state of flux and at least temporarily damaged'by reorganization and legal considerations The legality of the is acknowledged and PCI membership cannot be used as a legal barrier to government employment or positions with access to classified informa- tion Increased participation in critical areas of government is evidenced in the newly formed Parliamentar Oversight Committee whic has 1 15 Nov '73 nm Intelligence Appraisal Page 9