16 February 1965 | i MEMORANDUM FOR: ‘wH/ego mS a | , | SUBJECT : -LIONION Project 1. LIONION is a new project which is submitted in the amount of $10,478. This is a photographic surveillance opera— tion targetted against the Cuban Embassy in Mexico ity. Two agents are involved: ON-1, a young Cuban in exile, ‘and LIONION~2, The agents act as servers and photographers. “LIONION=2 ji LIEMBRACE surveillance team to cover individuals associated with this target.._These agents. were previously used in connection with the unilateral tele- phone tap Operation against the Cuban Embassy. The current of 1962, The operation a, ta for the identification of Cuban Embassy personnel and visitors, and on their patterns of action and personal associations, é 2. The security of this operation, agent's cover for status and the communic appear reasonably sound. Both a working for AIS, and LIONION-1_was successfully_FLUTTERED _in October 1963. However, LITAMIL-7/ and LITAMIL-9/ particularly the ations arrangements, gents know that they are ? “9; who are penetrations of the Cuban Embassy; are aware of tHis activity, as they are used to help identify individuals photographed, , 3. Approval for the. LIONION It is requested that, in order to evaluation, project reporting incl furnished, and examples of leads d GERARD DROLLER HC/WH/POA 4 O-~ Bank // Bin grace,
PROJECT LIONION A. Identification, This is a technical (primarily Photographic) surveillance Operation against the PBRUMEN Embassy in Mexteo City, B. Objectives, The operation is designea to (a) furnish Photographie coverage | during daylight hours of the entrances of the target installation, (2) dispatch Physical Surveillance teams against Persons &8s80clated with the te _ The target installation is the PRRUMEN Embassy compoung (inel: Consulate) in Mexico City. The above-listed objectives are. accompli shea by two trained, full-time nivel Sianee agents who live across the Street from C. Rac Ound. This Project, herewith Presented for &pproval for the first time, LIONION a, they are routinely shown, LT ‘9 has to date made the largest number of identifications. The Photes have Proven of &reat value, Within hours of the arrival of a new Subassy starr member his Photograph is in the hands Of the Station,. In addition to the iden ification of Staff ang visitors, the Photos (accompanied by a log kept by. the LIONION agents) reveal Patterns of action with the target, the vicinity, the Station's mob target » hence the need for LIO; Rater Aah eee Pass Se eae earths
D. rath en sane hehe erie atone Operational Assets (Personnel). LIONION-1 is a young PBRUMEN in exile. He left PERUMEN in 1960, planning to continue on via Mexico to~ “the United States where he resided in his early_years. His two brothers are American citizens, one a desk officer in the in Washington, the other a-police official in. orida. While in México LIONION-1 was recruited, as LILILY-1, to a_taste of clandestine » decided to remain in Mexico. LIONION-2 “perform PBRUMEN operational support services for the Station and, once aE [was recruited as LILILY-2, as a basehouse occupant and sratoy in the LIFEAT ODE te peration aimed at’ the J mbassy. At this same time LIONIGN=l-also phased into LIFEAT/LIERODE work and -“the-two worked together as a teams In 1962 LIONION-1 and LIONION-2 worked together in processing the take of, the LIFEAT/LIERODE/MKTRAP installation, now - known as LIOMEN. At this time their eryptonyms were changed from LILILY-1 and 2 to LIFEUD-22 and 23, respectively. In the latter part of 1962 the two agents began the present photographic surveillance operation. LIONION-1 was granted an OA én 18 May 1962 by HMW-10664. He vas LCFLUITERED on 8 October 1963, HMNW-12064. mo LIONION-2 was granted an OA i" 16 May 1962 by HMMW- 10660. LIONION-1 is the mainstay of the operation. LIONION-2 ‘acts as his assistant and fill-in at such times as he ig absent from the observation post. Both serve principally as observers and photographers. LIONION-1 also acts as a dispatcher for the LIEMBRACE surveillance team from which he is compartmented. Dispatching is done by radio using pre~arrenged. innocuous code terminology; the team does not know LIONION-1 or his precise location. LIONION-1 also processes on the premises all photographic coverage of the. main Embassy gate through final printing, cropping and mounting. Photographic coverage of the Consulate gate is processed through the negative development stage. / . ! Control is primarily financial buttressed by the nowledge » on the part or the agents, that as PBRUMEN refugees they are vulnerable to pressure which might be brought upon them by KUBARK through the Mexican government should they get out of line. Motivation is. a combination of financial necessity and violent aversion to, and determination to bring about the downfall of, the AMTHUG regime. An additional motivating factor is that both agents actually enjoy what for many would be monotonous work. Psychologically, they are ideally suited to this sort of work. i Both agents realize that they are working for PBPRIME intelligence; LIONION=1 appears to be aware that he is working for KUBARK. The cover_utilized by LIONION~2 is that of __LIONION-1 passes as a would-be ‘who can afford to_dabble wWithout-notable success because. of family Iandholdings in Florida (inherited from his deceased father), which enable him to live as @ “rentista," one who lives on income from sources other than gainful employment. His rentista status is registered with the Mexican government. In October 196) - this cover successfully withstood intensive investigation by Mexican authorities checking on persons of questionable status fa tax collection purposes. The Station_plans to bolster the cover with supporting documents from a in New York City; these will be requested in separate correspondence
Commnication is primarily with LIONION@-1; with LIONION-2 only in his absence. Meetings, pre-arranged or signalled by innocuous phone calls (calls from LIONION-1 go through a telephone cut-out), are usually held at the LIONION-1 safe apartment. This apartment, which would appear to be a LIONION=-1 love nest, is in another area of town. The Station KURIOL technician, _. Hugh T. FRANCOTTE, meets with LIONION-1 at least once a week. The Case Officer, _ Lawrence F. BARKER, meets with him less frequently. Whereas LIONION-1 knows the true name of the Case Officer, he does not know FRANCOITE's true identity. E. Security Evaluation. If either of the LIONION agents are uncovered by Mexican authorities as engaged in operations against the target, they have been briefed. . to indicate that they are working for an exile organization based in the JMWAVE area on a voluntary, non-paid, patriotic basis and to stick to the story covering their income. This would probably hold up unless they were caught in flagrante with the KURIOT automatic pulse camera on the premises. This camera is of such. OE refinement and complexity as to be difficult to ascribe to an exile organization. Hl In any event, LIONION-1 has a close relationship with an official of the Mexican . president's office. This connection, developed by LIONION-1 for his own protection, enabled him to weather the tax investigation and can be used by him to overcome any future difficulties with Mexican authorities. . , REET TENE er hie FROME D ED Pt Pere - ‘Under Mexican law, the principal (photographic) activity of the project is not illegal, therefore uncovering of the photographic operation would not of itself result in arrest or prosecution. {Tt is usually possible to stave off 7 investigation or house search for a period of time sufficient to remove compromis- ing material from the premises. The LIONION base house Was once cleaned completely in one evening and could agein be cleaned, probably in less time, if circumstances . should warrant. ~  Y . . The target installation is aware that photo surveillance is a probability. On one occasion AMKNOB-1, a JMWAVE asset, was shown a nearby building (not the LIONION base) by a PERUMEN Embassy officer and told that it was a KUBARK photo pase. , , LIONION-1 is known by sight to some PBRUMEN Enbassy staff personnel who have observed him in the neighborhood. ‘Presumably they believe he is a Mexican. To. avoid operational compromise, he. cannot renew his expired passport at the PBRUMEN Consulate. For this reason the Station will request | —r a aed j 1 H i Security measures employed in‘ this operation are designed to make it virtually impossible for any opposition service to link LIONION personnel with the Station. F. Coordination. Coordination with other PBPRIME elements or the Mexican government is not necessary at this time and none is envisaged.
G. Costs. ‘The total annual cost of Project LIONION is $10,478, distributed pects. as shown below: . Lo FY 65 FY 66 Total LIONION-1 Salary 13 months @ $320 - $1920 - gaan $4160 LIONION-2 salary | a | 13 months @ $150 900 1050, 1950 Real estate rentals: LIONTON Basehouse 600 600 1200 LIONION Safehouse - | 26h 26 528 Utilities on both houses | 150 agg 300 Supplies 7 T° ug 23h0 (Photographic filn, Paper, chemicals, and miscellaneous) Totals - $500k $5474 — $10h-78 Salaries for LIONTON-1 and -2 include the customary Year end - oo i cae bonus of One month's Salary. LIONION-1's5 Sdary Was raised fron $200 to : $320 monthly in 196k to compensate in part for his renunciation of a Sales position in order that he might devote his full time to the LIonron . eration. LIONION-2' 5 Salary has retained at $150 per month since her recruitment in 1961. -No Salary changes are contemplated during the Project year, ; . pint geek am 1S Sr AL ie her fee