50. Telegram 90244 From the Department of State to the Embassy in Libya1

90244. Subject: Libyan Diplomatic Note on C–130’s. Ref: A. State 83386, B. Tripoli 464, C. Cairo 4824.

1. Embassy is authorized to deliver following diplomatic note to the LARG Min For Affairs: Begin text: The Embassy refers to the note dated April 1, 1976, from the Embassy of the Libyan Arab Republic in Washington which requested information and assurances from the Government of the United States of America concerning the C–130 aircraft purchased from Lockheed by the Libyan Arab Republic. The Embassy wishes to assure the Government of the Libyan Arab Republic that the eight C–130 aircraft sold to that government by Lockheed which are the subject of export license application numbers 94113 and 94114 (Lockheed contract numbers GLX–221 of September 13, 1972, and GLX–230 of November 27, 1972) belong solely to the Libyan Arab Republic Government. They may not be sold or delivered to other parties without the agreement of the owner unless by order of a court of competent jurisdiction to discharge a legal obligation of the owner. The Embassy’s request for other information concerning sales of these aircraft is under consideration by the Department of State.

2. Department is still exploring question of how to proceed with LARG request for information (Ref A) but agrees that reply to note should be made through Embassy Tripoli for reasons suggested Ref B. The LARG Embassy in Washington will be informed of contents of para 1 on afternoon April 15.

3. FYI: Munro of Lockheed informed DeptOff that Libyan Chargé made oral request March 29 for information similar to that in Ref A. Lockheed asked that request be made in writing and Chargé submitted [Page 132] letter April 1 (being pouched to Embassy). Letter asked specifically for information on Muhayshi and quote Egyptian Min State for Foreign Affairs who together contacted the company unquote. (Munro said there was no such Egyptian present.) Lockheed has not yet decided how to reply to LARG Embassy request. Washington Post April 8 carried report that Lockheed had agreed to respond to Congressional subpoena for “full information on firm’s questionable payments overseas” (copy being pouched).

4. Munro also informed DeptOff that company had brought up possibility of sale of aircraft to Egypt in course of long presentation to LARG officials in 74/75 concerning alternate courses of action should LARG decide to abandon attempts to obtain export permission. Egypt was one of many countries mentioned as possibly interested in these aircraft. End FYI. He was provided with background on current Qadhafi/Muhayshi war of words and with copies from FBIS of Qadhafi’s speeches which refer to Lockheed.

Kissinger
  1. Summary: The Department instructed Carle to deliver the U.S. response to the April 1 Libyan diplomatic note concerning the sale of C–130 aircraft to Huni.

    Source: Ford Library, National Security Adviser, National Security Council Operations Staff for the Middle East and South Asia Affairs, Box 18, Country File, Libya (2). Confidential; Immediate. Repeated priority to Cairo. Drafted by King in NEA/AFN; cleared in substance in NEA/RA, in L/NEA, and NEA/EGY; and approved by Wieslogel. In telegram 454 from Tripoli, April 6, the Embassy briefly summarized a speech by Qadhafi, indicating RCC member Umar Muhayashi had been recruited by “international intelligence,” and suggested Muhayashi had been bribed by Lockheed. (National Archives, RG 59, Central Foreign Policy Files) Telegram 4824 from Cairo, April 12, reported on a meeting between Senator James George Abourezk (D–S.D.) and an unidentified Libyan control officer regarding Lockheed payments to Libyan officials. (Ibid.) In telegram 519 from Tripoli, April 15, the Embassy reported that the diplomatic note was delivered that morning. (Ibid.)