Loudoun's scandal-plagued Sheriff John Isom finds himself in hot water again about his involvement with the bizarre paramilitary organization that he cofounded, the Armored Response Group U.S. (ARGUS, U.S. White Militia Group).
Mr. Isom, in the middle of a hotly contested election campaign, had his relation to ARGUS and its soon-to-be-jailed cofounder, J.C. Herbert Bryant, Jr., brought up in a closed-door debate before members of the Sheriff's Association Oct. 16, according to sources close to the Department. Outside the scrutiny of the media, the Sheriff defended ARGUS, a group with which he was ordered to sever all relations back in 1992 by an angry Board of Supervisors; Isom charged that its critics were ill-informed.
He even tried to pass off the pseudo-lawman Herb Bryant, the stepson of Greenway millionairess Magalen Ohrstrom Bryant, as having done a service to the community, despite the fact that Bryant has been convicted of impersonating a federal officer and is widely regarded among people in the Department as a dangerous kook.
This performance shocked some who heard it and who are familiar with ARGUS. Even more shocking are the highly irregular dealings of ARGUS with federal and state tax and charities authorities, for which irregularities Mr. Isom, as an officer of ARGUS, could be held responsible.
ARGUS was officially established in 1986 as a paramilitary training organization with an ostensible mission of providing local law enforcement with specialized armored equipment and training for use in terrorist and other crisis situations. J.C. Herbert Bryant, Jr. served as president. Loudoun Sheriff Isom served as its secretary. Both were members of its executive board, which managed its daily affairs.
However, an examination of the larger context within which ARGUS operated places it in the orbits of various ``privatized'' or ``asteroid'' intelligence operations of the same networks who ran George Bush's Iran and Contra drug- and gun-running operations. It was through these intelligence-linked channels that ARGUS obtained an array of used military equipment that went far beyond the needs of local police departments, which needs could easily be serviced in other ways.
An indication of the type of extra-legal operations for which ARGUS (U.S. White Militia Group) and its ``Rambo-like'' operatives are known, is found in the deployment of some of its equipment as ``backup'' for what was an intended assassination of Loudoun resident and political figure Lyndon LaRouche, during the now-infamous October 1986 raid by federal, state, and local agencies here. Although that assassination was called off only by the intervention of President Reagan, the mindset of the ARGUS ``Rambos'' was still that they were above the law since they had the apparent blessing of British-linked sections of the intelligence community and the wealthy families that control them, including some from this area.
That mindset may have contributed to the bizarre manner in which ARGUS reported its financial activity to federal and state regulators.
According to the Internal Revenue Service, the ARGUS Foundation was initially granted tax-exempt status in 1986 under its old name, the Law Enforcement Assistance Foundation. However, it only filed the required annual Form 990 returns in 1990 and 1991.
Virginia organizations granted tax exempt status by the IRS, are required by state law to also file copies of the Form 990 they've filed with the IRS, with the Charities Division of the Virginia Department of Consumer Affairs in Richmond. That agency's records show that ARGUS filed copies {with them} of purported Form 990 filings (only one actually signed) for 1986 through 1990. This news service has obtained copies of those filings. The IRS says it has no evidence that such documents (with the exception of the 1990 return) were ever filed with the IRS. If, in fact, ARGUS did not file with the IRS for those years, the filings with the State of Virginia may be fraudulent, and the Attorney General's office may choose to investigate and prosecute those responsible for the filings.
Furthermore, according to an IRS spokesman, the IRS can penalize a tax-exempt organization for not filing its annual returns. ARGUS may be fined $10 per day for up to $5,000 per filing.
In addition, according to the office of the State Corporation Commission of Virginia (SCC), ARGUS was terminated as a registered corporation on Sept. 1, 1993 when it failed to respond to a written notice of pending termination. The notice had been sent by the SCC when ARGUS failed to file an annual report for 1993. They also failed to file in any subsequent year.
According to the office of the Charter Commissioner of the SCC, under a Virginia statute (Code section 13.1-613), it is a Class One misdemeanor offense if ARGUS continued to do business after its 1993 termination by the state. The office further stated that enforcing such a matter is to be handled by the Loudoun County Commonwealth Attorney's office, whose current occupant is Mr. Isom's crony, Bill Burch.
Up through the end of last month, ARGUS maintained a public telephone, listed for 69 Southall Court, a residential townhouse in Sterling. This news service attempted to reach ARGUS for comment on its investigation, but no one answered the calls. The phone number is no longer in service.
According to the Charter Examiner's office, the Code of Virginia 13.1-752 details that upon termination of a corporation, ``...its properties and affairs shall pass automatically to its directors as trustees in liquidation. The trustees shall then proceed to collect the assets of the corporation: sell, convey and dispose of such...; pay, satisfy, and discharge its liabilities and obligations; and do all other acts required to liquidate its business affairs.'' There is no indication that ARGUS has followed this section of the Code.
According to the Charter Examiner's office, the liquidation and final reporting is governed by the IRS since ARGUS is a ``not-for-profit'' foundation. An IRS official detailed that, if ARGUS did cease to exist as a corporation in 1993, or any time thereafter, it had to file a special filing with the IRS, known as a final filing. Such a filing must include a copy of the documents of dissolution filed with the State of Virginia (which do not exist), and a statement showing the disposition of assets on hand.
According to the IRS, no filings were made past the 1991 filing.
All of this raises the question of what exactly happened to all of ARGUS's military surplus equipment, including a C-120 transport aircraft. Loudoun County has indicated that it disposed several years ago of various smaller pieces of equipment, which Sheriff Isom, without the approval of any County authorities, had had the County assume title for. However, much of the ARGUS equipment remains unaccounted for; certainly, there is nothing on file with the state or federal authorities that clears up this mystery.
Reliable federal law enforcement sources report that one piece of equipment that was reportedly a favorite of John Isom and Herb Bryant, an armored ferret (personnel carrier), is being stored for Herb Bryant in Sterling. These sources report that Sheriff Isom is aware of this.
Sheriff Isom has repeatedly refused to comment on record about his role with ARGUS, Herb Bryant, or Warren County, Miss. Sheriff Paul Barrett, another ARGUS founder who was recently indicted by federal authorities for perjury and other crimes. He has also refused to give an accounting of ARGUS's equipment.
copyedited mhk
Sheriff John Isom, who is currently campaigning for reelection, has refused to comment publicly on the ongoing controversy surrounding ARGUS (Armored Response Group, U.S.). Isom served as the official secretary of ARGUS and was its vice president. He was also a member of its board of directors and executive board.
As Sheriff of Loudoun County, Mr. Isom secretly purchased equipment for ARGUS using County funds, and gave ARGUS the use of Sheriff's Department facilities.
The Armored Response Group U.S. was created in 1986 with funds and participation from two Hunt Country families--Magalen Ohrstrom Bryant and private investment banker John W. Hanes. ARGUS's official mission was to acquire special armored equipment for use in anti-terrorist, anti-drug, and other crisis situations; and to provide both equipment and paramilitary training to law enforcement in the Mid-Atlantic region. To build its respectability, support was arranged from several U.S. Senators, including John Warner (R-Va.) and Strom Thurmond (R-S.C.).
But career intelligence officers have suggested that ARGUS fits the profile of a private intelligence ``asteroid,'' an established business entity which provides cover for off-line, private intelligence operations. When this news service attempted to investigate ARGUS's financial filings with the state of Virginia and IRS, there were numerous possible violations of reporting.
Mr. Isom's secret patrons, Magalen Ohrstrom Bryant and John W. Hanes, were the money bags for ARGUS. According to IRS documents, during 1986-1989 alone, ARGUS received a quarter of a million dollars from the combined wealth of both families.
Mrs. Ohrstrom Bryant and Mr. Hanes were more than financial patrons. Both played an active role in directing ARGUS's affairs. Mrs. Ohrstrom Bryant was a founding member of the board of directors. Hanes served as CEO of the executive board and board of directors. Annual board meetings were convened at his shooting club in West Virginia, and his Belle Haven Country Club in Alexandria, Virginia. Most important, Mr. Hanes was the treasurer of ARGUS.
Like the Ohrstrom family, private investment banker John W. Hanes, is a leading member of an exclusive political and financial elite which operates on behalf of the British Royal Family. Mr. Hanes is a member of the 1001 Club, a private club created by Prince Philip, the Duke of Edinburgh, and the Royal Consort, to fund the affairs of the World Wildlife Fund and its successor, the World Wide Fund for Nature.
Mr. Hanes, a leading member of the old North Carolina tobacco and cotton family which has always had ties to Wall Street and London, is no stranger to political intrigue and private intelligence. In 1950, after graduating from Harvard, he was sent to work for private investment banker and leading Eastern Establishment figure John J. McCloy in the office of the High Commissioner of Germany. By 1958, Mr. Hanes was placed as the Assistant Secretary of State for Security and Consular Affairs in the Eisenhower administration, a post under the control of Allen Dulles's CIA.
In 1986, while creating ARGUS, both the Hanes Foundation and the Ohrstrom Foundation were funding a myriad of ``off-line'' private intelligence projects, including George Bush's secret drug and weapons project known as Iran-Contra. The Ohrstrom Foundation funded PRODEMCA (for a related article, see page 5), while the Hanes Foundation funded the National Endowment for the Preservation of Liberty (NEPL), both support operations for Ollie North and the Contras.
In recent years, the Hanes Foundation has been a major funder of the {American Spectator,} the U.S. neo-conservative journal which has attempted to collapse the Presidency of Bill Clinton on direct orders of the British.
Sheriff John Isom, who is currently campaigning for re- election, has refused to comment publicly on the ongoing controversy surrounding ARGUS (Armored Response Group U.S.) Isom served as the official secretary of ARGUS and was its vice president. He was also a member of its board of directors and executive board.
As Sheriff of Loudoun County, Isom secretly purchased equiptment for ARGUS using county funds and gave ARGUS the use of Sheriff's department facilities.
In 1993, it was leaked to the press that the FBI was investigating Isom and ARGUS. At the same time, the Loudoun board of supervisors held hearings on ARGUS. John Isom testified. As a result of their findings, the board demanded that all county departments sever its ties to ARGUS.
The board, under the direction of Hunt country puppet George Barton, never thought to censure Isom for his arrogant misuse of county money and facilities. When the FBI subsequently raided Isom's office and seized documents, the board never asked Isom for a public explanation.
Private investment banker John W. Hanes, is a leading member of an exclusive political and financial elite which operate on behalf of the British Royal family. Hanes, like the Kleinwort family which handles the Ohrstrom Foundation, is a member of the 1001 Club, a private club created by Prince Philip to fund the affairs of the World Wildlife Fund and its successor, the World Wide Fund for Nature. Membership is exclusive; one is asked to join and pay an initial membership fee of $10,000!
Hanes, a leading member of the old North Carolina tobacco and cotton family which has always had ties to Wall Street and London, is no stranger to political intrigue and private intelligence. He was trained by some of the top financial and intelligence hands of the Anglo-American elite.
In 1950, after graduating Harvard, Hanes was sent to work for private investment banker and leading eastern establishment figure, John J. McCloy in the office of High Commissioner of Germany.
By 1958, Hanes was placed as the Assistant Secretary of State for Security and Consular affairs in the Eisenhower administration, a post under the control of Allen Dulles' CIA.
Why would such a high level operative be the CEO and treasurer of a law enforcement foundation like ARGUS? The clue may lie in the activities of the Hanes Foundation. In 1986, while creating ARGUS, both the Hanes Foundation and the Ohrstrom Foundation were funding a myriad of 'off-line" private intelligence projects including George Bush's secret drug and weapons project known as Iran Contra. The Ohrstrom foundation funded PRODEMCA (see section on Ohrstrom family foundations "..."), while the Hanes foundation funded the National Endowment for the Preservation of Liberty (NEPL), both support operations for Ollie North and the Contras.
In recent years, the Hanes Foundation has been a major funder of the American Spactator, the U.S. neo-conservative journal which has attempted to collapse the Presidency of Bill Clinton on direct orders of the British. The journal has been the leading leak-sheet for the so-called Whitewater scandal, Clinton's alleged sexual misconduct, and the alleged cover-up of the Vincent Foster suicide.
This news service attempted to reach Hanes about his involvement in ARGUS and some of its questionable activities. His secretary took the message and line of inquiry, but we have still not heard from Mr. Hanes.
Armored Response Group U.S. was created in 1986 by Toll Road czar Magalen Ohrstrom Bryant and private investment banker John W. Hanes. ARGUS' official mission was to acquire special armored equipment for use in terrorist, anti-drug, and crisis situations and to provide both equipment and paramilitary training to local law enforcement in the mid-Atlantic region. To build respectability, it gained support from several U.S. Senators including John Warner and Strom Thurmond.
But career intelligence officers have suggested that ARGUS fits the profile of a private intelligence 'asteroid', an established business entity which provides cover for off-line, private intelligence operations. When this news service attempted to investigate ARGUS' financial filings with the state of Virginia and IRS, there were numerous possible violations of reporting. Could ARGUS have been used for services other than its stated purpose?
A close look at the creators of ARGUS is most revealing. Isom's secret patrons, Magalen Ohrstrom Bryant and John W. Hanes were the money bags for ARGUS. According to IRS documents, during 1986-1989 alone, ARGUS received a quarter of a million dollars from the combined wealth of both families.
Ohrstrom Bryant and Hanes were more than financial patrons. Both played an active role in directing ARGUS' affairs. Mrs. Ohrstrom Bryant was a founding member of the board of directors. Hanes served as CEO of the executive board and board of directors. Annual board meetings were convened at his shooting club in West Virginia and his Belle Haven Country Club in Alexandria, Virginia. Most importantly, Hanes was the treasurer of ARGUS.
WP2CMU.WPM 4/18/95 copyedited mhk