The Cox Report documents the disgraceful lengths that military contractors will go to to make a buck at the expense of the national security of the United States. As to the Bush stock holdings, I recall reading this in a secondary source, which I cannot now find. The matter of stock holdings by power elite families is subject to great opacity and difficult to document although generally it is well understood by historians and political scientists that the Bush family is primarily interested in the arms and defense contracting business.
http://www.sfgate.com/cgi-bin/article.cgi?file=/chronicle/archive/2003/01/01/MN153988.DTLThe Justice Department spent years on a criminal investigation of the companies and a third one involved in similar activity in China, Loral Space & Communications. But several months ago, federal prosecutors informed the firms that they would not file any criminal charges.
Last January, Loral laid to rest the allegations against it by agreeing with the State Department to pay a $14 million fine and to spend $6 million on internal reforms dedicated to stopping overseas technology transfer.
The charging document said Hughes and Boeing had committed 123 violations of the Arms Export Control Act or the International Traffic in Arms Regulations.
"The department has had several rounds of discussion with Hughes and Boeing to explore a resolution similar to the one with Loral," said State Department spokesman Jay Greer. "We can note that unlike Loral, Hughes and Boeing have both failed to recognize the seriousness of the violations and have been unprepared to take steps to resolve the matter, or to ensure no recurrence of violations in the future."
http://www.cnn.com/ALLPOLITICS/resources/1999/cox.report/overview/pg3.htmlHughes had important commercial interests in the PRC at the time it engaged in the failure investigations. These interests included future sales of satellites to the PRC or to parties serving the PRC market, and reducing the cost and improving the safety of launching satellites in the PRC.
ii. In 1996, Loral and Hughes showed the PRC how to improve the design and reliability of the guidance system used in the PRCÌs newest Long March rocket.
LoralÌs and HughesÌ advice may also be useful for design and improved reliability of elements of future PRC ballistic missiles.
Loral and Hughes acted without the legally required license, although both corporations knew that a license was required.
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The information and assistance conveyed by Loral and Hughes led to improvements to the guidance system of the PRCÌs Long March 3B rocket. While the launch that failed was commercial, the information transmitted by Loral and Hughes was useful, as well, for military space launch purposes.
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Neither Loral nor Hughes disclosed to export control officers of the U.S. Government their unlicensed activities until after they were contacted by U.S. Government licensing officials demanding an explanation for their conduct. The U.S. Government officials became aware of the improper activities through an article in a widely-read industry publication. This article also came to LoralÌs attention prior to LoralÌs disclosure to the U.S. Government.
See the chapters PRC Missile and Space Forces, Satellite Launches in the PRC: Hughes, and Satellite Launches in the PRC: Loral for more detailed discussion of the Select CommitteeÌs investigation of these matters.