On December 21, 1988 Pan Am Flight 103 blew up over Lockerbie, Scotland. When President Bush was sworn into office a month later, he blamed the terrorist act on two Libyans- Abdel Basset Ali al-Megrahi and Lamen Khalifa Fhimah.
Bush imposed sanctions on Libya. President Bill Clinton later called for an international boycott of Libyan oil. In 2000 the Libyans were convicted by a Scottish court set up in The Hague. The evidence was flimsy. Numerous independent investigations of the incident paint a much different picture.
Interfor, a New York City-based corporate intelligence firm hired by Pan Am’s insurance company found that a CIA cell in Frankfurt, Germany was protecting a Middle Eastern heroin smuggling operation which used Pan Am’s Frankfurt baggage service as a transshipment point for its smack.
Interfor pinpointed Syrian national Manzar al-Kassar as the head of the smuggling operation.  A separate investigation by Time magazine came to the exact same conclusion. It went further, finding that al-Kassar was also part of a super-secret CIA cell code-named COREA.
Another group of CIA agents working to free the five CIA hostages held by William Buckley’s Hezbollah murderers, discovered that al-Kassar was allowed to continue smuggling heroin despite high-level CIA knowledge of his activities. The Beirut hostage team had written and called CIA headquarters in Langley to file complaints about the al-Kassar ring. They got no response. So they decided to fly back to the US and inform their CIA bosses in person. All six agents were on Pan Am 103 when it blew up. 
Within an hour of the bombing CIA operatives arrived at the crash site wearing Pan Am uniforms. The agents removed a suitcase that belonged to one of the agents who died along with 269 others. The suitcase most likely contained incriminating evidence regarding the involvement of both al-Kassar and the CIA’s COREA unit in the Syrian heroin smuggling ring. It may also have contained a videotape of CIA Beirut Station Chief William Buckley’s confessions to his Hezbollah torturers, which could have further revealed CIA involvement in the Middle East drug trade.
Retired Air Force investigator Gene Wheaton thinks Colonel Charles McKee and the five other honorable CIA agents were the bomber’s primary targets. Wheaton stated, “A couple of my old buddies in the Pentagon believe the Pan Am bombers were gunning for McKee’s hostage rescue team”. Wheaton suspects CIA involvement in another plane crash that occurred shortly after the Pan Am bombing. In that incident, 248 US soldiers returning from duty in Europe were killed when an Arrow Air military transport plane crashed near Gander, New Foundland.
Wheaton believes Arrow Air was a CIA airline and that the crash was related to a “covert operations deal gone bad” between the CIA and BCCI. The day Arrow Air crashed two plainclothes men arrived on the scene and carried off a 70-pound duffle bag. Wheaton thinks the bag was stuffed full of cash which BCCI had provided the CIA for a covert operation. He thinks the CIA caused the crash to make it look to BCCI like the money burned, then arrived at the site to steal it, having wrapped it in fireproof material. The CIA could then go to BCCI and shake them down again. A short time later, BCCI/CIA relations soured. CIA prepared to jump a sinking BCCI ship and stick the Third World poor with a Rothschild Bank of England shutdown.
The German Federal Police (BKA) raided a suspected terrorist safe house two months prior to the Lockerbie bombing. They found a bomb identical to the one used on Flight 103. All but one of the prisoners jailed after the raid were mysteriously released. On the day of the bombing a BKA surveillance agent assigned to watch baggage noticed a different type of drug suitcase being used by al-Kassar’s people. He informed his superiors who relayed the information to a CIA unit in Frankfurt. Al-Kassar contacted the same CIA unit to them to let them know that McKee and the five other agents were flying home that day. The CIA Frankfurt unit’s response to the BKA report was, “Don’t worry about it. Don’t stop it. Let it go.”
The US Embassy in Finland received a warning of a possible airline bombing for that day. They shrugged it off despite another warning from the FAA. A PBS Frontline investigation found evidence that the bomb was actually planted while Flight 103 stopped over at London’s Heathrow Airport. A suitcase belonging to CIA agent Matthew Gannon, one of the five others on Colonel McKee’s team, was switched with bag at Heathrow. Frontline believes Gannon’s suitcase may have contained information linking the Damascus-based COREA CIA cell with al-Kassar’s drug ring, so the suitcase was stolen and one containing the bomb was substituted for it.
According to the German newsweekly Stern, a Pan Am security official in Frankfurt was caught back-dating the critical warning which the FAA issued as soon as he received it. Pan Am was fined $600,000 by the FAA after the bombing. The agency cited lax security in Pan Am’s baggage handling operations. According to the Interfor investigation these baggage operations were more than inept. They had been taken over by al-Kassar. In June 2007 Spanish police arrested al-Kassar for arms trafficking.
Pan Am has a long history of cozy relations with CIA. Its international advisory board read like a Who’s Who in the Caribbean drugs for guns trade. Members included Ronald Joseph Stark, the P-2 connected Brotherhood of Eternal Love LSD pusher; Sol Linowitz of Carl Lindner’s United Brands; Carter Secretary of State Cyrus Vance of the Lindner-controlled Gulf & Western Corporation; and Walter Sterling Surrey, OSS China hand who helped launch Hernandez-Cartaya’s World Finance Corporation.
Both the US and Britain have engaged in a cover-up of the facts. Columnist Jack Anderson reported a telephone conversation between President Bush Sr. and British Prime Minister Margaret Thatcher after the crash in which both agreed that the investigation should be limited, so as not to harm the nations’ intelligence communities. Paul Hudson, an Albany, NY attorney who heads the group “Families of Pan Am 103/Lockerbie”, lost his 16-year-old daughter in the crash. “It appears that the government either has the facts and is covering them up, or doesn’t know all the facts and doesn’t want to know”, says Hudson. In April 1990, the group’s British counterpart “U.K. Families-Flight 103” sent angry letters to both Bush and Thatcher which cited, “entirely believable published accounts…Both of you have decided to deliberately downplay the evidence and string out the investigation until the case can be dismissed as ancient history.”
Abdel Basset Ali al-Megrahi, one of the Libyans made patsy for the bombing, appealed his conviction in February 2002. Central to his lawyer’s argument was new evidence that the baggage department at London Heathrow had been broken into the night before the bombing.  In 2010 the Libyans were suddenly released, amid rumors of a BP oil deal with Libya.
Dean Henderson is the author of five books: Big Oil & Their Bankers in the Persian Gulf: Four Horsemen, Eight Families & Their Global Intelligence, Narcotics & Terror Network, The Grateful Unrich: Revolution in 50 Countries,Das Kartell der Federal Reserve, Stickin’ it to the Matrix & The Federal Reserve Cartel. You can subscribe free to his weekly Left Hook column @www.hendersonlefthook.wordpress.com