Taiwan frets over US 'spy crisis'
By Mac William Bishop

TAIPEI - When the news of the arrest of senior US diplomat Donald W Keyser first broke in Taiwan, the results were comical. A series of sensational articles ran in Chinese-language dailies reporting everything from love triangles to a political purge in the US State Department of pro-China figures, according to some reports, and of pro-Taiwan figures, according to others.

Keyser, 61, a highly respected "China hand", has not been accused of spying for Taiwan, but that didn't stop Taiwan's media from hyperventilating over the US-Taiwan "spy crisis" and what it might portend for the future of ties between the two. Some officials even expressed fears the arrest signaled that the United States was backing away from its long-standing commitment to the island.

Keyser was arrested by Federal Bureau of Investigation (FBI) agents after he was seen allegedly "passing documents" to two Taiwanese intelligence agents on September 4 in a restaurant in the US state of Virginia. According to the charges filed by the authorities, Keyser is accused of violating State Department regulations for his failure to properly report a visit he made to Taipei last year - but not spying.

The Taiwanese agents were Lieutenant-General Huang Kuang-hsun and Cheng Nien-tse, representatives of Taiwan's National Security Bureau (NSB). Huang is the official head of the NSB in the US. It is common for governments to have open intelligence representatives in foreign countries (even China has non-clandestine intelligence agents in the US), to facilitate the exchange of information and enhance dialogue. Diplomats, military officials and intelligence officers regularly meet with their counterparts and "talk shop" as part of their duties. Such open intelligence exchanges are governed by the Vienna Convention on Diplomatic Relations and Optional Protocols of 1961.

A 32-year veteran of the US Foreign Service, Keyser's career peaked last January when he was designated principal deputy assistant secretary for East Asian and Pacific Affairs. Virtually every US government official this correspondent spoke to in Taiwan knew Keyser personally and expressed a favorable opinion of him, his professionalism and honesty. One diplomatic source described Keyser as "a very smart man with an acid tongue".

One of the most curious aspects of the Keyser case is the fact that he has never been considered pro-Taiwan, and several news reports quoted colleagues as saying Keyser was "balanced and prudent", "neutral in his views", "a polished diplomat" possessing "complete integrity".

Such comments have led many observers to question the veracity of the case against Keyser, and the ambiguous and unimpressive nature of the FBI's charges only further the overall dissatisfaction felt by many US foreign-policy officials who interact with Taiwan.

No charge of spying or revealing secrets
The documents Keyser handed over to the Taiwanese agents were described by the FBI as "derived from material to which Keyser had access as a result of his employment with the Department of State". As this phrase covers a good deal of ground without saying much at all, it is not surprising that Keyser has neither been charged with espionage nor with mishandling documents or revealing government secrets.

Keyser has denied any wrongdoing and, according to the New York Times, he said the documents he handed over were merely a compilation of topics he wished to discuss with the Taiwanese representatives. The FBI confirmed that one document was labeled "Discussion Topics".

Therefore, the emphasis of the case apparently has now shifted to the "side trip" that Keyser reportedly made to Taipei last year. According to some reports, Keyser was on an official trip to Tokyo and Beijing, and at some point in his travels, he apparently spent at least three days in Taipei. The FBI alleges that Keyser traveled to Taipei from September 3-6 last year.

However, one senior US government source, speaking on condition of anonymity, told Asia Times Online that at least one of Keyser's trips to Taipei last year was undertaken with the full knowledge of his superiors.

"I believe Don came to Taiwan to deal with a counter-narcotics operation dealing with North Korea," the source said. "Taiwan serves as a regional hub for Pyongyang's drug-smuggling and money-laundering operations, and Don was here to work with the Taiwanese in an anti-drug effort."

Circumstantial evidence does support such a claim, as does correspondence from the US Embassy in Japan.

In May 2003, Australia seized a North Korean vessel, the freighter Pong Su, off the coast of Queensland. The ship contained about US$50 million worth of heroin. This seizure was a major step forward in regional efforts to curb North Korea's drug-smuggling operations. Japan, the US and Australia began an intensive diplomatic offensive involving regional law-enforcement organizations, and Taiwan was one of their most important focal points.

Keyser, having taken up the post of deputy assistant secretary for the region, was directly involved in these efforts, a senior US government source said.

US Embassy confirmed Keyser reported Taipei trip
A message from the US Embassy in Tokyo, published in the Nelson Report - a private newsletter sent to US diplomats involved in Asian affairs - confirms that Keyser reported at least one trip to Taipei in July 2003.

"Don was in Tokyo last summer and we knew he was heading to Taipei - the unclassified itinerary drawn up by [the US Embassy] clearly says '17 July, Thursday 0940: Depart on China Air for Taipei'," says the Nelson Report, obtained by Asia Times Online. 

Because of the provisions of the US Taiwan Relations Act - the law that governs US relations with Taiwan - American diplomats often have to undertake creative contortions in their efforts to conduct business with their counterparts in Taiwan. Officially, the US recognizes Beijing as the government of China - which under the "one China" policy is often interpreted as including Taiwan - but it maintains unofficial ties with Taiwan and US President George W Bush has pledged to come to its defense against mainland China if necessary.

The US security source said it was "very likely" Keyser had tacit permission from his superiors at the State Department to travel to Taiwan on several occasions, but because of the seniority of his position, he could not have done so officially.

This distinction between "official" and "unofficial" travel status has been cited by some observers as a possible source of confusion between the State Department and the FBI. As the court hearing in the Keyser case will not be held until October 13, it is not yet clear precisely what Keyser may or may not have done wrong.

If Keyser did travel to Taiwan, officially or not, he would have to file a report disclosing his trip and identifying the various people he met while in Taipei - a standard procedure for US government and military officials.

It is here that Keyser seems to have slipped up - intentionally or not. Keyser acknowledged that he may have been "sloppy" in filing the necessary paperwork regarding the trip, according to the New York Times.

Such a paperwork foul-up is not unusual. But the amount of publicity the case has received and the FBI's behavior - one US diplomatic source here described it as "complete bullshit" - is.

Media reports of spy rings, love triangles
Taiwan, especially, has taken extraordinary, even undue notice of the case. The Chinese-language papers here were plastered with accusations of spy rings, political intrigue, love triangles and fears that the case signaled a major change in supportive US policy toward the self-governed island.

The NSB was particularly enthralled by the unfolding "drama". Officials at the bureau began telling journalists that they believed the case demonstrated that the US Central Intelligence Agency had "penetrated" their organization - how else could the US have such "detailed" information about Keyser's "secret" trip? Apparently, it has not yet occurred to these overreacting officials that the US knew such details of Keyser's trip because it knew of the trip beforehand.

All it took was one newspaper to start using the word "spy", and the pundits and editors in Taiwan went to town. Taiwan's Apple Daily - charitably described as a tabloid - ran a full front page detailing an alleged love affair between Keyser and one of the two Taiwanese intelligence agents he met in Virginia.

Some of the details included in the court documents filed by the FBI could be interpreted as evidence of a possible love affair but such speculation at this point is nothing short of idle rumor-mongering.

Aside from the entertainment value of the case, there is a more serious element to the Keyser circus: the belief by some Taiwanese officials that this arrest was a precursor to a US policy shift to the detriment of Taiwan. Foreign Minister Mark Chen was dispatched to the US the night after the Keyser story broke, ostensibly "just passing through" on his way to Grenada to provide Hurricane Ivan disaster relief. But it was common knowledge among most Taiwanese officials that he was going to the US for "damage control".

What this indicates is a very serious lack of understanding about the US foreign-policymaking process. The Democratic Progressive Party (DPP), which currently rules Taiwan, has been criticized in the past for its inept diplomacy and public relations efforts. One foreign observer described the DPP's presence in Washington as "almost non-existent" and said its ability to gather the most basic information about what US officials think about cross-strait affairs was severely lacking.

The United States' support for Taiwan will undoubtedly continue long after the "Keyser affair" is forgotten, but if the DPP's reaction is any indication of the future, there are much bigger misunderstandings in store for US-Taiwan relations.

Mac William Bishop is a journalist based in Taipei. Comments or queries may be sent to mwbtaiwan@hotmail.com.

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