Bank linked to ‘Asia’, C.I.A.

Press, 2 September 1980, Page 8

Bank linked to ‘Asia’, C.I.A.

NZPA London Links between the “Mr Asia” drug ring, the American Central Intelligence Agencv and a collapsed Aus-tralian-based merchant bank have been suggested by the London “Sunday Times’ : newspaper. The police on four continents were trying to find the exact links between drugmotivated deaths, the C.I.A. and the collapse of the Nugan Hand International Bank, it said - . , . , The warrant issued in Melbourne last week for the arrest of the New Zealander Terrence John Clark for murder was “only the latest development in an extraordinary affair” that involved the collapsed bank, the C.EA. arid drug trafficking. Clark is one of five people awaiting trial in England for the .ihurder of “Mr Asia”, Christopher Martin Johnstone, who - the - “Sunday Times” said was one of “he victims , in a “series of mysterious = disappearances and violent .deaths around the world.” ‘ I The bank, which boasted: an annual turnover of more than $l2OO million, was al

banker for heroin, trade, and that there was evidence tha’ the bank was nurtured, and may have even been 'set up by the C.I.A. One of the founders of the bank. Frank .Nugan, was (found shot dead early this year and the other — an I American, Mike Hand, disappeared in June. The bank’s debts were estimated to range up to $6O million, the “Sunday Times” said, but few creditors had publicly appeared to: stake their claims. A reason for that was that Nugan Hand’s chief client was the C.I.A. and; that the bank was set up to, move covert funds into South-Bast Asia. . • The paper said it found it notable that many of {the bank’s associates had intelligence backgrounds,, including Hand, who had served with tbe United States Special Forces tin Vietnam, arid' had had business dealings; with principals from Air America, a C.1.A.-controlled airline working in .South-East Asia. A visiting card found on Nugan’s body .bore the name of William Colby, the director of the C.I.A. from: 1973 “0 1975.