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Sunday, October 03, 2004 - Page updated at 12:00 A.M.

Goss' choice for CIA post quit under fire in '82

By Walter Pincus
The Washington Post

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WASHINGTON — Michael Kostiw, chosen by CIA Director Porter Goss to be the agency's new executive director, resigned under pressure from the CIA more than 20 years ago, according to past and current agency officials.

While Kostiw — a colonel in the U.S. Army Reserve, longtime lobbyist for ChevronTexaco and more recently staff director of the terrorism subcommittee of the House Permanent Select Committee on Intelligence — has been through the CIA security vetting procedure, final clearance to take the job has not been completed pending review of the allegations. The job is the third-ranking post at the CIA.

In late 1981, after he had been a case officer for 10 years, Kostiw was caught shoplifting in suburban Langley, Va., sources said. During a subsequent CIA polygraph test, Kostiw's responses to questions about the incident led agency officials to place him on administrative leave for several weeks, according to four sources who were familiar with the past events but who asked not to be identified because of the sensitivity of the information.

While on leave, Kostiw told friends he decided to resign. Agency officials at the time arranged for misdemeanor theft charges to be dropped and the police record expunged in return for his resignation and his agreement to get counseling, one former official said.

CIA spokesman Mark Mansfield said yesterday that Kostiw had declined a request for an on-the-record interview. Goss also has refused to discuss the matter with The Washington Post.

The CIA official, citing privacy considerations, refused to confirm or deny the events alleged by the former and current agency officials as the basis under which Kostiw previously left the agency.

It was learned yesterday, however, that final adjudication of Kostiw's situation had not yet been completed, although his swearing-in had been scheduled for Monday, according to a friend of Kostiw.

As executive director, Kostiw would have a major role in budgetary allocations within the agency and personnel matters, including promotions, assignments and discipline.

Copyright © 2004 The Seattle Times Company

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