Latest / Deadly Intentions / Vault 7: How Joshua Schulte Stole the CIA’s Secret Hacking Tools
Transcript
- 0:01This was the most devastating leak in American history.
- 0:07He's already transferred everything over to Wickley. 34
- 0:09terabytes of pretty much every in and out the CIA's ever
- 0:13planned or thinking about planning.
- 0:14His actions cost the agency hundreds of millions of dollars.
- 0:17They characterized it as a digital Pearl Harbor.
- 0:24Joshua Schultz was assigned to the CI as operation support
- 0:33branch. And this is an elite unit that
- 0:39to the extent there's guys that are, you know, quintessential
- 0:42James Bond Q division where they come up with like really clever
- 0:45type by hacking type tools. This is this is those guys.
- 0:51This is. I know that you have not seen
- 0:53it, but this is right up. What there's a there's a there's
- 0:56a series called Lioness and it's kind of it's off.
- 1:00It's all built upon the most elite division of the CIA or
- 1:04they even are like at at times deputize deputized by the FBI.
- 1:09They can be an FBI agent, they can be ACIA agent like the.
- 1:13Normally, people will associate generally referred to as like
- 1:16signals intelligence with the NSA.
- 1:19You know, it was Edward Snowden, who was a contractor for the
- 1:21NSA, who had leaked the disclosure of a program that the
- 1:26numerous programs the NSA were running where they were
- 1:28essentially intercepting every communication in the world, like
- 1:32every e-mail in the United States, every phone call, every
- 1:35text. We have that.
- 1:36I mean, we have. Well, sure, that's what Snowden
- 1:38revealed. Now, of course Snowden did.
- 1:42So irrespective of how you view what he did, it was from his
- 1:45perspective a principled disclosure.
- 1:48He's saying, hey, looking like the American public needs to.
- 1:50Know they need to know this. Because they don't.
- 1:52They didn't know this. And he revealed something that
- 1:54to create a constitutional crisis, saying, hey, look,
- 1:57there's massive spying going on, and obviously he didn't want to
- 2:02go to prison. He fled.
- 2:04Is he still in London? Or no, he's in Russia.
- 2:06He's in Russia. That's.
- 2:07Right, so he. He well, well Russia takes note
- 2:09and said come on in bro, come on in.
- 2:12Well, and they can't touch him in Russia, can they be?
- 2:15We can't get in there. No.
- 2:16And so now the the notion of the principled disclosure, the
- 2:24leaker is something that is not uncommon.
- 2:26You know, earlier, a couple generations ago, we had Daniel
- 2:30Ellsberg with the New York Times and Washington Post leaking at
- 2:33the Pentagon Papers letting the American public know that, hey,
- 2:36the government's lying about the war in Vietnam.
- 2:38And so we've had instances where you had principled individuals,
- 2:42they may have been misguided. But they always came from the
- 2:45journalist side, right? They never came from the within
- 2:48side or they did we ever have some guys within like this guy
- 2:51is Acia well. Sure.
- 2:52No. Snowden himself was a contractor
- 2:54with the NSA, OK, And Ellsberg himself was involved with
- 2:59whatever division he was in. But he actually had access to
- 3:01this classified information that he leaked.
- 3:04And so the government only will prosecute these individuals for
- 3:07leaking the information. That's not Schultz.
- 3:12Schultz was with respect to the CIA, you had this division where
- 3:17you have the science and like Technology Directorate and
- 3:21within there you've got different bureaus and he was
- 3:24part of what was referred to as the OSB, which is the operation
- 3:26support branch. So while the NSA is intercepting
- 3:28signals electronically, these are the guys that create the
- 3:34hack, what they refer to as exploits for human based
- 3:39operations. So for instance, if you wanted
- 3:41to get into a general's computer, like not hooked up to
- 3:46the Internet, referred to as air gapped, well, you're going to
- 3:49have to have an asset. Maybe the guy's chef, maybe the
- 3:52guy's driver, maybe the guy's security.
- 3:54Personnel. Somebody who's going to be able
- 3:56to take what's effectively like a thumb drive, load up the
- 3:59malware and. Put it in.
- 4:02Yeah, little load it up, two seconds out, boom, gone.
- 4:06So now. Like you said, it could be a
- 4:07chef, it could be a gardener, it could be a security personnel.
- 4:09Sure. And so there was numerous
- 4:11different hacking. These are like the cyber
- 4:15offensive arsenal. Now, what type of training would
- 4:18a guy like Schultz have to go through in order, like, to be a
- 4:21part of the CIA with a deep, deep, deep, you know, he.
- 4:24Was an electrical engineer with a specialty in computer
- 4:30engineering so he started off as a software programmer and he was
- 4:34ultimately college obviously certainly yes and he ultimately
- 4:37he was promoted to being a systems engineer so he had what
- 4:42are referred to as administrator privileges.
- 4:45And so he's going to have access to everything within her
- 4:49developmental network referred to as Devlin.
- 4:52And so by having this by, you know, he's obviously entrusted
- 4:57with a tremendous amount of responsibility.
- 4:59And this is where later on when the whole thing blew up, the CIA
- 5:04had to go back. Conductor after action report.
- 5:07How many years did it take the CIA to investigate?
- 5:10This they didn't even know that he had looted the material.
- 5:13Well, First things first, he with respect to the CIA, they
- 5:20had this specific operation support branch that created all
- 5:24these gizmos essentially for their hacking exploits.
- 5:28Now you're essentially talking about young guys, like when he
- 5:32went to work for them, he was a 22 year old kid.
- 5:34Right, he's a young guy. By by by by 24, he's already
- 5:40advancing. He's already almost a senior
- 5:45level operative at the age of 27.
- 5:49And So what you have is. A well plus, I mean, I'm
- 5:52assuming if you're that sharp and you have that skill set that
- 5:56you can quickly escalate within the government, you know, they
- 5:58know we got a good one here. Like we know we got a pretty
- 6:02sharp 1 here. And he was.
- 6:04He was perceived as being one of their most sophisticated
- 6:06programmers. So with that, you probably get
- 6:08escalated pretty quickly, you know?
- 6:10Everybody in that division. So I'm assuming that that that
- 6:14that Joshua is, you know, brilliant when it comes to the
- 6:18skill skill set of being a. But again.
- 6:21Now would he be considered like a hacker or more of a spy or
- 6:23kind of? Well, certainly.
- 6:25Well, he's on the technical side, so yes, he'd be, well,
- 6:30what they would characterize as the systems engineer, but in
- 6:32reality, he was essentially a hacker.
- 6:34And the CIA bought into the Silicon Valley myth that often
- 6:44times the most talented programmers, and this is
- 6:47actually true. These are guys who tend to be a
- 6:49little bit on the spectrum, people who have an element of
- 6:55neuro divergent. Neuro diversions.
- 6:59It's a Pete word for you. Neuro diversions for us stupid
- 7:03guys. What does that mean, Pete?
- 7:05People that are on the spectrum and so like I'm on the spectrum
- 7:10with on the Asperger's side, but there are as it progresses and
- 7:15so is. That what makes you so
- 7:17brilliant, Pete, is that you're just you.
- 7:19Know No, because I miss I miss a lot of social cues.
- 7:23But there's other things that you're honed in on that sure, of
- 7:25course every person is not. Yeah, your ability to focus and
- 7:28get deeply into something, whereas I couldn't, I couldn't
- 7:33change oil on a car for parole. Yeah, for parole.
- 7:37I bet you if they said, Pete, you're done with parole
- 7:40tomorrow, if you can change your soil, you'd be on YouTube with,
- 7:43with, with a, with a Crescent Ridge figuring it out.
- 7:46I promise you that bro. And so they bought into that
- 7:49myth, you know, because in Silicon Valley, of course, it's
- 7:51famous that they'll have like rock climbing walls and
- 7:54meditation rooms and 20 minute nap rooms, little yeah, power
- 7:57nap rooms and stuff like that. And so like aromatherapy, they
- 8:00wanted to 1 be able. These are individuals who have a
- 8:03high skill set, so they could easily be recruited or any one
- 8:06of these other companies. And so they had to compete in
- 8:08the marketplace, and so they had to.
- 8:10And it's, it's high paying too. I mean, it's not, you're not
- 8:12talking about, you know, 15 an hour here.
- 8:14No, these guys are starting at, you know, 200,000.
- 8:17That's that's a good job you. Know and start start at 200
- 8:20starting at 200 G that doesn't and drug.
- 8:22Dealing might be better, but not.
- 8:24Mine that doesn't include all the perks.
- 8:25Well, you'd have to worry about the 30 piece hanging over your
- 8:28head and so but so. The CIA was tolerant.
- 8:31It wasn't a very professional environment.
- 8:33It was more like a frat house and this provides the context.
- 8:38Like all these guys would give themselves nicknames.
- 8:40Like he assigned himself the nickname Badass which a.
- 8:45Little narcissistic. He's a little right.
- 8:46Yeah, of course. I might name myself, you know,
- 8:49chubby or, you know, yeah, fatty or you know, something self
- 8:52deprecating. This is a little bit of a
- 8:53projection on his part, whereas so.
- 8:54He was. I'm a badass, but it my name is
- 8:57badass. Yes, we got the little name tag
- 8:58or the little desk plate. Badass and like nobody else
- 9:02called him badass. They called him Voldemort.
- 9:04Apparently he's a character from Harry Potter story.
- 9:07I'm not familiar with it, but the other nickname he had was
- 9:10Nuclear Option, and he had that that nickname because of his
- 9:14inability to deal with normal disputes, whether it's technical
- 9:21disputes. Personal.
- 9:22So like maybe just day-to-day disputes.
- 9:24He couldn't deal with that. Yeah, he just, he would go
- 9:26Richter. So they called him nuclear
- 9:29because here's. The nuclear option because he
- 9:30would just go from zero to 100. Right off the deep end.
- 9:33Yes, and so. That's what the Co workers.
- 9:35That's what. Yes, that wasn't.
- 9:37That often describes what you really are about.
- 9:39Sure, of course. You know, like the boys, they
- 9:40don't play, they just. That's the consensus of
- 9:43interacting with this knucklehead and so.
- 9:45Where was he based out of peak? Well, the this particular
- 9:48division of the CIA was located in Northern Virginia, right
- 9:51outside of DC. Quantico where all that?
- 9:53They never really disclosed the location of the building, they
- 9:55just said it was in a. But it was a division of the
- 9:57CIA, yes. And it was, you know,
- 9:58nondescript building, the armed guards, you know, it looked like
- 10:03a just a regular office park. But then when you go, once you
- 10:06got inside, it was multiple key cards.
- 10:08You have to go to the biometrics.
- 10:09You have to go past security. It was face recognition.
- 10:12Hold on. They did that.
- 10:13This is like the most sensitive of the US government's cyber
- 10:20arsenal. This is essentially the crown
- 10:22jewels. And it was all under the CIA
- 10:24umbrella. Sure.
- 10:25Because the CIA is responsible for gathering intelligence from
- 10:28foreign countries, utilizing human assets, whether it's our
- 10:34guys going in there and operating in an undercover
- 10:36capacity or turning people from the other side to become spies.
- 10:40Essentially. It's distinguished from the NSA,
- 10:45which is much more technical. Now, this was the guys who said,
- 10:47OK, well, we got to get into that president's computers.
- 10:51So they create a tech. And so one of the programs they
- 10:54had would turn a Samsung television into a.
- 10:59They would essentially convert the speakers into television,
- 11:05into microphones, and then they can transmit it.
- 11:09Like so when they were had a target.
- 11:12Sure. So let's say you had the the,
- 11:13you know, attorney general in Honduras has a television in his
- 11:17office. You make you somehow get in
- 11:19there. Sure.
- 11:20Well, he, like I said, he was an electrical engineer who was very
- 11:22talented with respect to programming.
- 11:24And so now let's say the. Intel so he can build it and and
- 11:28and digitally make it so that only, you know, a guy just needs
- 11:31to put it install. It well, yeah, he whether he
- 11:35actually constructed it, he understood at a abstract level
- 11:39what would need to go into it, and then he would also create
- 11:41the code. This was the most devastating
- 11:45leak in American history. The CIA submitted a packet with
- 11:52respect to the guy sentencing, most highly classified, of
- 11:55course, but here's the cover letter.
- 11:58And it says, as the criminal trial established, this is from
- 12:00the deputy director of CIA. Mr. Schultz is directly
- 12:03responsible for the largest data breach in CIA history and one of
- 12:06the largest unauthorized disclosures of classified
- 12:09information in the history of the United States.
- 12:11His actions cost the agency hundreds of millions of dollars,
- 12:14degrade its ability to collect foreign intelligence against
- 12:17America's adversaries placed directly at risk CIA personnel,
- 12:20programs and assets, and jeopardize US National Security
- 12:23by degrading CIA's ability to conduct its mission.
- 12:27In short, Schultz actions inflicted heavy cost on the
- 12:30United States. The.
- 12:32And so the So when you said we don't really understand how
- 12:38deep, like, look, this is as deep as it gets.
- 12:40They developed the capacity to take over a person's vehicle and
- 12:45so all of a sudden you could be driving and they hijacked
- 12:48control of the car and just drive you right off a bridge or
- 12:52slam you into a center divider. Or your brakes don't work.
- 12:55Or your throttle is stuck. Or yeah.
- 12:57That's the level of technical proficiency is stunning what
- 13:02they were able to achieve. So what was his first if we were
- 13:06to, if we were to start like how did he actually get to that
- 13:09spot? So.
- 13:10We had the frat house mentality, a bunch of young guys in their
- 13:1420s. And the rules are far different
- 13:17from them, yes. Yeah, the the normal officers
- 13:20don't get to operate in this type of an environment.
- 13:22This is the elite of the elite with with secretive like.
- 13:26Sure. And so.
- 13:28Like I'm you think Joshua walked around even with AC?
- 13:30Like he was probably so deep undercover that he didn't even
- 13:33have any credentials necessarily outside of getting inside of a
- 13:38facility. But the way he rolled around, he
- 13:39didn't have a badge or. Anything.
- 13:41No, he these are, they weren't allowed to discuss any aspect of
- 13:43it. And I've known several of these
- 13:45men because they've come through the Veterans Directory program
- 13:48at the prison. One of them was CIA, couple of
- 13:52them were NSA guys. And we can discuss their
- 13:54personal quirk later on also, because they're very similar to
- 13:57him. There's like a, there's a common
- 13:59denominator that I've noticed, which is why I was interested
- 14:01when we were having this conversation off air last week.
- 14:04Like, you know what? We may have to focus on this
- 14:06case because not only is it interesting technically, but it
- 14:09dovetails then with my own personal experiences interacting
- 14:12with. These you've had interaction
- 14:13with these sort of people in these positions and you probably
- 14:17have some, there's some common denominators.
- 14:19You know. Even with this guy, like the
- 14:22people that you met? Wow.
- 14:24So it's just you got to be a certain way to be on this level
- 14:27of. You know, I'm, I'm nearly
- 14:31completed writing a manuscript for a book I've been working on
- 14:34and I had to do essentially a deep dive into various
- 14:40subcultures within Silicon Valley, one of which is
- 14:43generally referred to as the rationalist movement.
- 14:45Another one is for the last decade referred to as the Grey
- 14:49Tribe, and he's a classic Grey tribe.
- 14:52Is that like a sub cult within the Silicon Valley from all the
- 14:56code writers and all the real smart?
- 14:57Dudes, yeah, it's the, you know, the.
- 14:59Like can a guy from Google be a friend from a guy from Apple?
- 15:02And sure, that's. Got nothing to do with it.
- 15:04This is more of political persuasions.
- 15:05Oh, OK. And so there was, you know,
- 15:07generally there's a perception that the country's divided
- 15:09between the conservatives and the liberals, the red and the
- 15:12blue. Well, these are the individuals
- 15:15that don't fit comfortably within the red tribe or the blue
- 15:18tribe. They call themselves the grey
- 15:19tribe. And so they have a tremendous
- 15:23amount of power within Silicon Valley.
- 15:25And so these guys are having this rat house type environment.
- 15:29And they're based out of somewhere outside of.
- 15:30Virginia in Virginia, Northern Virginia outside of DC.
- 15:33And where every federal agencies?
- 15:35And so, you know, they're having rubber bands.
- 15:38How many, how many people are in this elite group with?
- 15:41With he disclosed that it was going to be anywhere from 100 to
- 15:43200. In his little.
- 15:46In his space operation support branch, yes and so.
- 15:50That's a lot of people. Sure, of course then then.
- 15:54But here's The thing is so you've got this collection of
- 15:57young guys, they're having rubber band fights they have
- 16:00they bring nerf guns to to work, they're shooting each other all
- 16:02the time. And so things escalate.
- 16:05But. Things that young smart dudes
- 16:06would be doing, Nerds. Yeah, yeah, exactly.
- 16:09Yeah. And there's nerds gone wild
- 16:10predicting because they have. Nerds gone wild.
- 16:12Yeah, it's essentially. They're not out weightlifting
- 16:14and and doing what I mean. They're they're shooting, you
- 16:16know, the Nerf guns I mean. These are the guys that have
- 16:19essentially unlimited budgets and so.
- 16:22And not probably and probably P not to interrupt you, but
- 16:25probably not necessarily an an overall supervisor at at at the
- 16:30facility that's saying, OK, guys, knock it off, you know
- 16:33like. There is.
- 16:34There was a supervisor. The problem is the supervisors
- 16:36aren't competent to manage. These are guys like herding
- 16:43cats, essentially. Feral cats.
- 16:45Yeah. So like you bring in someone who
- 16:46comes in from any other division and they don't understand what
- 16:51the kids are talking about. Like you're there to make sure
- 16:54that everybody's on time and the projects are being going.
- 16:56Do you call them in? And we're where we at and our,
- 16:58you know, you make sure you're hitting the metrics, but you
- 17:01kind of have to just relinquish. Like just got to do what they
- 17:05want to. Do sure.
- 17:06And so he ends up having a personal dispute where he
- 17:09started out with the rubber bands, the Nerf guns.
- 17:11Then it gets to they were sabotaging each other's desks,
- 17:14like trashing each other's stuff.
- 17:17It escalates into him getting into a physical altercation,
- 17:19like him and Michael come to blow at work, at work.
- 17:22With one of his fellow. Agents.
- 17:23He was one of his colleagues. His colleagues.
- 17:24Excuse me, yes. And so these guys are not
- 17:26agents. They're like tech related
- 17:30officers. They don't actually use the term
- 17:32agent. And so it's more for FBI, I
- 17:34guess. Yeah, the FBI are special
- 17:37agents, whereas these guys are officers.
- 17:39And so the they call the agents, the assets, the people that you
- 17:46recruit from the foreign country is the agent, the officer does
- 17:49the recruiting essentially. And so the knuckleheads here,
- 17:53Schultz and Michael get into a physical altercation.
- 17:55So who's? He getting in a fight with.
- 17:56A guy named Michael, Michael called colleague.
- 17:59So it gets it goes up the chain. You know, obviously you know,
- 18:02the supervisors have to step in like, hey, knock it off.
- 18:05Well, he has a subsequent. While this is going on, he
- 18:08develops a problem with another worker, a mall Amal.
- 18:12So now. He's got Michael and Amal that
- 18:14he's got. While he's going through this
- 18:17disciplinary type administrative review with Michael, things
- 18:20escalate between him and Amal and they go Richter like he goes
- 18:24and reports to his supervisors a false claim that Amal had
- 18:27threatened to unalive them and so now.
- 18:31That's pretty major More. Certainly, yes.
- 18:33And the problem for Scholter is by this point his reputation was
- 18:39already well known throughout the office and the
- 18:42administrative staff are like, OK, well you know what, you're
- 18:45the common denominator between all these issues.
- 18:47So what we're going to do is we're going to separate you and
- 18:52put you. So they move his desk
- 18:53assignment. Just he goes nuts now at this
- 18:55point because he loses his spy. He's got a windowless office.
- 18:58And for insecure men who particularly don't interact well
- 19:04with others, very poor problem solving skills when it comes to
- 19:09interpersonal relationships. He of course gets deeply
- 19:13offended. So now he's got problems with
- 19:15his colleagues, problems with his supervisor.
- 19:17In fact, at one point he actually filed in civil court in
- 19:21Virginia a request to get a restraining order from his Co
- 19:25worker. You can't be filing papers in
- 19:28court. You're you're on.
- 19:29When you're on this elite of a undercover Willie, you can't put
- 19:33this shit out in the public sector because over hurt
- 19:36Felioma, right? Yeah, that's exactly what it
- 19:38was. And so now so.
- 19:39He starts. So now he starts establishing
- 19:40that he is the fucking problem. He is the problem, and so did
- 19:44the administrators said. You know what?
- 19:46We're going to segregate the individual, and we're going to
- 19:49strip him of the administrator privilege that allowed him to
- 19:55have essentially complete access to their developmental network.
- 19:58They call it Devlin, And so he gets infuriated.
- 20:03Not only have they moved his physical relation of his food,
- 20:06but now they're taking various accesses that he has to.
- 20:09No, they did so because it wasn't punitive.
- 20:12It's like, OK, you're no longer working on this project.
- 20:14Everything's compartmentalized. Preventative you.
- 20:18Can't give him that much credit. It was prevented and it was, but
- 20:21they were trying to. They assigned him to a different
- 20:25project, therefore he no longer had necessity to have access to
- 20:30this particular. To the other project.
- 20:32And so now you're going to focus over here.
- 20:33Well, he of course takes umbrage.
- 20:38He now go particularly because he felt, you know, personally
- 20:41invested and so he was able to bullshit one of the other
- 20:45individuals saying hey look, I got word from the one of the
- 20:48supervisors I got access again. So he reinstates his access into
- 20:51each other developmental network and while doing so he creates
- 20:56back door for himself. So he gets ended up, they end up
- 21:00catching. Because he's that guy.
- 21:01Yeah, he's that guy. Shit.
- 21:02So he's a it's a few days later and they discover, hey, like,
- 21:04what are you doing? You're not allowed to have
- 21:05access over here. It's like, OK, they find out
- 21:08about. It So yeah, they find out about
- 21:09it like OK, OK, OK, you're right.
- 21:12And so I got into my feelings. I'll disable everything.
- 21:16Of course he did. Of course.
- 21:18And so now, now at this point, he's developed a tremendous
- 21:21amount of animosity and becomes consumed with vengeance.
- 21:28Does it become like a personal vendetta?
- 21:31Specifically at those two dudes and the agency.
- 21:34Or just kind of superior at the superiors like the two guys were
- 21:37personal disputes. This was he perceived it as a
- 21:40personal betrayal and he was abandoned by his supervisors
- 21:45which suppose to show you just how distorted and what the lack
- 21:51of perspective this individual shows.
- 21:52Now, at the end of the day, would this be the president at
- 21:56the end of the day, the commander in chief, he's in
- 22:00charge of everything. Would this have been anything
- 22:03that the president of the United States would have been briefed
- 22:06on? I mean, whatever, whoever was
- 22:08the president during the majority of this Tom foolery,
- 22:11would that have, do you think the president of the United
- 22:14States, whoever it may have been during this, these acts, was up
- 22:17to speed on this? With respect to the office
- 22:21dispute. No, but like the.
- 22:22Technical capacities. Once it started escalating to
- 22:25when they were really looking into him for some really bad
- 22:28things. Once the well, once the
- 22:32information was leaked, certainly.
- 22:35What president would have that been?
- 22:36It was a Mr. Obama. So it would have been under
- 22:39Obama. Yes, this happened under his.
- 22:41Well, he was sentenced just two years ago.
- 22:43Well, yeah, but that but the. Underlying machinations occurred
- 22:46while Obama was there. For the eight-year term that
- 22:48Obama Yes, so. And so.
- 22:51When did they first arrest him? He was arrested in 2017.
- 22:57OK. And so, and the office disputes
- 23:03occurred in 2016. And so things came to a head in
- 23:08March. A month later, he decides he's
- 23:12going to access the information which was essentially to crown
- 23:15jewels. And he had an because of the way
- 23:21the the Devlin network is set up, it's what was referred to as
- 23:26air gap. So it's not accessible to, it's
- 23:29not hooked up to the Internet and.
- 23:31That's why it's called air gaps and it's how do they access it?
- 23:35Well, he would have a code to be able to access it.
- 23:39And that's a bad part of the problem.
- 23:40It wasn't a backdoor traffic. It was essentially this is be
- 23:43they operate under the assumption that because it
- 23:46wasn't accessible that it was secure, never thinking about
- 23:49someone on the inside doing the leaking.
- 23:52And so when later on after this matter came to head and they had
- 23:56their after action investigation, it turns out that
- 23:59these guys were having like the passwords on post it notes on
- 24:02their computers. Like everybody had acts like
- 24:07everybody out of the 200 men in the unit, everybody had a
- 24:09complete access. There was no effort to
- 24:11compartmentalize. There was no effort to like
- 24:14limit on a need to know basis. They were simply just trusting
- 24:18the kids to go wild. And and so when they accessed
- 24:25the network to retrieve the information, he was able to
- 24:28download the entire archive. It's basically built on similar
- 24:32to like GitHub where the entire history is available, so you got
- 24:37all the manuals along with all of the source code, along with
- 24:41all of the revisions. Now, what was the particular
- 24:44project that they were working on that he accessed that end up
- 24:48being so problematic? Every project, the entire
- 24:53archive, every target, every cyber offensive capability that
- 24:58CIA had developed or we're in or we're in the process of
- 25:03developing, we're accessible. So any Intel?
- 25:07Any. Everything any took some several
- 25:10dozen like over 30 terabytes of data I.
- 25:13Think you said 34. And there was. 34.
- 25:17Terabytes, over 8000 documents along with millions of lines of
- 25:21the actual source code all. Right.
- 25:25So he, he, he. Downloads all of this
- 25:26information and of course he does it in such a manner where
- 25:28he goes back, he eliminates the logs, like the key logs where
- 25:34he's able to cover his tracks. He used an operating system that
- 25:39only prints the RAM, therefore it's not going to leave an
- 25:41imprint on the actual hard drive.
- 25:44And then he transmits it using Tor.
- 25:46So he uses the tail operating system, the Tor network to
- 25:48transmit the information and he leaks it to WikiLeaks.
- 25:52Now WikiLeaks, of course, at that point had already achieved
- 25:55a measure of fuckery. Well yes, on the one hand they
- 25:58were highly esteemed, on the other hand, from the American
- 26:03intelligence community perspective, a lot of fuckery.
- 26:06He takes the entire archive. And and he's still not caught.
- 26:10Right. No, at this point CIA has no
- 26:12idea any of this goal. He's still rolling around.
- 26:14And so he does the exfiltration, transmits it to wiki to wiki.
- 26:21Now, to follow up the point on WikiLeaks, you know, they had
- 26:24achieved, of course, even before Snowden, a significant level of
- 26:31prominence because they were responsible for the disclosures
- 26:34of the information related to the war in Iraq.
- 26:36And the Hillary Clinton and the Hillary Clinton Benghazi.
- 26:39Yeah, sure, a little bit on the road, but that came from Wiki,
- 26:41right? Sure, and you.
- 26:42So yes, Wiki leaks did achieve an even greater level of
- 26:45notoriety when during the 2016 presidential campaign, Trump
- 26:49would always get it at his campaign rallies.
- 26:51I love wiki leaks. This just came out.
- 26:57This just came out WikiLeaks. I love WikiLeaks.
- 27:01That wasn't the sentiment shared by the American intelligence
- 27:05community. And so particularly after the
- 27:09Snowden disclosures and shortly before the Snowden, shortly
- 27:14before Schulte, there was a separate disclosure from the
- 27:17NSA. So they a.
- 27:19Whole nother shitstorm. Or the shitstorm and so.
- 27:21So it came. It came Wiki with Snowden.
- 27:26Fought out with Iraq. With with with Iraq.
- 27:29And then with Snowden. And Snowden.
- 27:31Then Hillary. But no, there was another
- 27:32incident before. Before Benghazi.
- 27:34Then there was another NSA issue, then the Democrat DNC,
- 27:39Hillary emails, and then Schultz.
- 27:45Now where does Schultz rank amongst all?
- 27:47That the worst Extraordinary by far, by far.
- 27:49Schultz revealed the specifics of how we were doing something
- 27:52that everybody already understands because they're all
- 27:54doing the same thing. So like when you heard the US
- 27:56government saying, well, we don't want, you know, Huawei
- 27:59routers being imported from China because they can use it
- 28:02for this, That's because we're already doing that.
- 28:06And so. We don't want anybody else.
- 28:08It's OK for us to do it. When somebody else starts doing
- 28:10it, then it's a shit show. Well.
- 28:11Yeah, because they understand what the capacities are, because
- 28:15they've got units like this particular OSB branch that are
- 28:20dedicated to identifying the weaknesses that they could
- 28:27exploit in any particular system in order to turn it into an
- 28:30intelligence gathering now. With regards to these special
- 28:34divisions of various agencies that are like what we're talking
- 28:37about here with Schultz, are there, I mean, does China have
- 28:40this, this these type of agencies within their Intel does
- 28:43Russia, yeah, yeah. Do all the major players have
- 28:46the the MSS is famous for their and are they where do we stack
- 28:51up with regards to effectiveness?
- 28:53Are we the best? Are we kind of the best, are we
- 28:57or is there other countries as good of us there's?
- 28:59No, there's no. There's no way to to.
- 29:02To to evaluate the metrics, however, look the I had to do I
- 29:09prepare show notes for a friend a few years earlier when I was
- 29:12at the halfway house because he was interviewing the NSA guy
- 29:15formers hacker worked for NSA, worked for CIA.
- 29:18Then he went into the providing cyber defenses and you know our
- 29:25mutual friend and he doesn't know anything about anything
- 29:28related to text. So I had to break down like this
- 29:30is what the Chinese do. This is what the Russians do.
- 29:32This is what the Koreans do, and this is what the Iranians do,
- 29:34and this is what the Israelis do, and every one of them have.
- 29:39A similar division. It's extraordinary capacity.
- 29:42I mean, there's only so much gadgetry and gimmickry that you
- 29:46can come up with. Well, somewhere.
- 29:49They all have probably the same skill set.
- 29:51So with regards to Schultz? So things have escalated with
- 29:55Schultz. He's exfiltrated the
- 29:57information. He's got all the library he's
- 29:59already. Transferred everything over to
- 30:00Wickley. 34 get terabytes of of pretty much every fucking in and
- 30:05out the CI as ever planned or thinking about planning to wiki.
- 30:09The cyber offensive arsenal has been taken worth 100.
- 30:13They they invested hundreds of millions of dollars in building
- 30:16out this capacity. The price tag was essentially
- 30:20you couldn't put a price tag. It's billions of dollars worth
- 30:22of. All the man hours and all the
- 30:24connects and Intel. He could have.
- 30:27He could have contacted the Chinese and offer to sell and
- 30:29they could give him a billion. No big deal.
- 30:32Like this is the kind of thing that I mean.
- 30:35So the Intel he had was potentially worth like a billion
- 30:38dollars billions to a guy like to to China.
- 30:42So what kind of weapons did did did WikiLeaks kind of exposed to
- 30:48the world? And at that point is, is the
- 30:50world looking at us and be like, really, motherfucker, you had
- 30:53this and this and this and this and this plan against me.
- 30:56Is that the problem? Well.
- 30:57Here's The thing is the after the Snowden disclosures a few
- 31:02years earlier, everybody was already looking people at a
- 31:06sideways because it wasn't so much the spying on, you know,
- 31:11China or Russia like adversaries.
- 31:13People expect that because they're doing the same with us.
- 31:15Where it became an issue was it was like, well, we're recording
- 31:18all of the phone calls of the German Chancellor like we're
- 31:21spying on our allies. And Germans like what the fuck?
- 31:24No, she was actually like, OK, let him listen.
- 31:27Like, you know. Well, that has to be the
- 31:29response, but you know, behind. You're like.
- 31:32Motherfucker, what? You know, let's blow a call into
- 31:34the president or let's call. Do you think that governments
- 31:37blue calls into Obama or? I have no doubt that there were
- 31:41at some level diplomatically objections raised and so, but
- 31:48that's so I don't think it was going to change how other
- 31:53countries thought. What was important about this
- 31:56disclosure? Well, at this point it hadn't
- 31:58been yet publicized, so it gets disclosed to WikiLeaks.
- 32:01He continues working for the next 6 months as CIA and
- 32:06administrative problems don't really get resolved.
- 32:08He's continuously making accusations against people.
- 32:10He wrote one famous memo. So even after his WikiLeaks, he
- 32:15still stayed employed with the CIA.
- 32:16For another six months. At this point he's complaining
- 32:19on other employees. Now he's complaining morally
- 32:23against the does. He know that the gig's up.
- 32:25Does he know that? Like at that point when he's
- 32:27still employment, when he releases to WikiLeaks the 34
- 32:30terabytes, the entire library of this whole secret division of
- 32:34that, We don't want anybody to know the most secret thing going
- 32:36on to the point of we're going to turn countries against us.
- 32:40When that happens, how long does it take for us to discover the
- 32:44source? Well, WikiLeaks revealed it.
- 32:48They published it a year later, but they sat on it for
- 32:52essentially 12 months. Did they know he was going to
- 32:54be, for lack of a better term, a dead guy?
- 32:56I mean dead guy walking with regards to the minute that the
- 32:59people know his. Because he was very successful
- 33:02in concealing the manner in which he did the extraction.
- 33:07So wiki could just be like this comes from the CIA doesn't just
- 33:10say who from where. When they made their public
- 33:12disclosure, they refer to it as Vault 7.
- 33:15It was true disclosures. I was wondering how it was.
- 33:17So that's where Vault 7. Sure.
- 33:18They called it the Vault 7 disclosures.
- 33:20Like Vault 7 was essentially the manuals, the disclosure of all
- 33:25of the programs and Vault 8 was the disclosure with respect to
- 33:31what's the actual was referred to as the Hive, which is
- 33:36basically all of the source code.
- 33:37Like it's one thing. And this is where WikiLeaks then
- 33:40gets this identified as a non state hostile intelligence
- 33:45service by the CIA. They went through they were
- 33:47going to go on a live to the head of WikiLeaks.
- 33:49Snowden. Oh no, no, not Snowden, Julian
- 33:52Assange. That's.
- 33:53What I meant, that's what I meant, yes.
- 33:54No, they they got to the point where they go, go get this.
- 33:56Out he was in. At this point he was in London,
- 33:58he was taking up, he was. Telling me he was dating Pamela
- 34:01Anderson. He wanted asylum.
- 34:04He was a being afforded protection in the UK Ecuadorian
- 34:09embassy in London. Correct?
- 34:11Like the CIA was actually developed developing plans to
- 34:13send hitters into the embassy, snatch the guy up and take him
- 34:16out. And then highly illegal.
- 34:19You have no idea this, this was that magnitude of a disclosure.
- 34:23Point where they were going to actually send in operatives to
- 34:27to storm another embassy. Storm the embassy and snatch
- 34:29this guy up in another. Country and fucking what happens
- 34:32happens yeah kill him on on alive him.
- 34:35Yes, this. Here's the thing.
- 34:38On on on Assange. Yes, because.
- 34:41He's the one that invented WikiLeaks, right?
- 34:43Yes. Assange, yes, he was an
- 34:44Australian national. And, you know, here in the
- 34:47United States, a lot of people were saying he's a traitor, he's
- 34:51not American. He has no loyalty to our
- 34:53country. He just exposed our dark side.
- 34:55Yes, well, what and. And none of it was not true,
- 34:59correct? Well, it was disingenuous on his
- 35:02part only because up until even Vault 7, if it when if he had he
- 35:08limited to the disclosing the existence of the programs and
- 35:11like these are the manuals. That's one thing.
- 35:15He actually published code that the CIA had generated with
- 35:22respect to these projects. But now you're arming adversary
- 35:26countries. So now the Iranians and the
- 35:30Russians and the Chinese had this capability.
- 35:34So it's not you saying like in the Snowden context, you know,
- 35:38Snowden had a disclosure whether it's misguided or not, but it
- 35:42was principled in that he wanted to bring the light this to
- 35:45create a but. Bringing the lights one thing
- 35:48showing the code. That's arming the adversaries.
- 35:53That's given your that's given your adversaries a machine gun.
- 35:56That's like, that's where he crossed the line.
- 35:59Assange did, where the CIA director at the time, Pompeo,
- 36:02said. OK, we're going to go get this
- 36:03son of a bitch. So how close were we at one time
- 36:06of getting Assange? And he was in the Ecuadorian
- 36:10Embassy within London. And in London, and they didn't,
- 36:13you know, they were relying more on diplomatic pressure, like
- 36:17they ginned up a, well, allegedly ginned up a case
- 36:20against him in Sweden and then indicted him here in the United
- 36:26States. And so he was able to litigate
- 36:29for years, but the guy ended up spending years trapped inside
- 36:31his. What, what?
- 36:32What? Of all countries, Why Ecuador?
- 36:35Was it because they didn't have any extradition?
- 36:37Well. Ecuador at the time was.
- 36:39And it's in Great Britain, so Ecuador, the Ecuador embassy in
- 36:43London. In London, Ecuador at the time
- 36:45had a very not anti American but just a strong and bias against
- 36:55American, what they perceived as America as imperialism.
- 36:58Who was that guy? I.
- 36:59Don't forgot the name of the Ecuadorian president, but there
- 37:01was a. That was all he was Snowden.
- 37:04I'm sorry Assange was allowed to be in the Ecuadorian embassy
- 37:07because this president was very anti.
- 37:09Yeah, essentially assigned assess gave him asylum in the
- 37:13embassy, but he couldn't leave the grounds.
- 37:14Yeah, like if he would leave the property, he was he, they, they
- 37:17probably had people 24/7 ready to go the minute he hits that
- 37:22sidewalk. Well, we were even planning an
- 37:25attack, maybe. Well, you're unalived a guy, or
- 37:29like we were talking about with the cartel matter.
- 37:31If you take him back, just snatch him up, take him outside
- 37:35and throw him over the fence because the US government
- 37:38doesn't care how the guy gets into our.
- 37:39Court System Vault 7 was the first dump that wasn't as bad.
- 37:43It was over and they did it very dramatically.
- 37:47They did it. Yeah, WikiLeaks did like a 24
- 37:49point, a 24 part drum essentially.
- 37:53Like a part every day. Or like over the course of a six
- 37:55month period and so. That was Vault 7.
- 37:59Yes. And so when he leaves, you know
- 38:03he does the exfiltration. Six months later he leaves.
- 38:06He gets a job working for Bloomberg doing tech related
- 38:09work. So he moves to Manhattan.
- 38:10Oh, Schultz does. Schultz does.
- 38:12So he leaves the DC area. Moves to New York.
- 38:14Does he get fired from the CIA? He will fully resign.
- 38:17Yeah, he steps away. He just takes his job in the
- 38:19private. Sector and at this point when he
- 38:21when he steps away from the CIA, he has no idea.
- 38:23Well, do they even have no idea? Nothing, nothing.
- 38:26Where this where Vault 7? And they have no idea that any
- 38:30of this is taking place. And or that he was behind it.
- 38:33They're probably good riddance. Get out of here, not here.
- 38:35Fucking so then he. Leaves six months later after
- 38:37the theft, transmits it to WikiLeaks six months later, He
- 38:40leaves Six months later, WikiLeaks publishes, blindsides
- 38:44the CIA. And so now this is where the
- 38:51absurdity starts coming in. Because on the one hand, they're
- 38:53trying to figure out who in the hell did this.
- 38:55So they had to bring in the FBI. But the FBI, you know, the CIA
- 38:59didn't want to acknowledge that this information was legit.
- 39:05Because it was so fucking undercover.
- 39:06They don't want to take onus of well.
- 39:08Because here's the thing. They were agreed.
- 39:09Yes, well. Right.
- 39:10I mean, they're like, sure. And this is so fucked up that
- 39:13we're going to be like, we don't even know where this shit came
- 39:14from. Though they're not going to
- 39:15confirm or deny, they're not going to take the, we don't know
- 39:18where it came from. They're just not going to
- 39:19acknowledge. And so they maintain the
- 39:23classification level. So here you've got FBI agents
- 39:27not able to access the information as CIA because
- 39:31they're not cleared. They're literally having to go
- 39:34like buy just, you know, a laptop and swing by the local
- 39:38Starbucks and go on to WikiLeaks to examine them information they
- 39:41can. They can't get from internal.
- 39:44No, it's just the entire. Because internal so say
- 39:46secretive, that they don't want their own government agency to
- 39:51be able to look into the breach because it's so secretive the
- 39:55shit they're dealing. With.
- 39:56So now the government who's investigating this leak has to
- 39:59actually go to WikiLeaks. To try to start running this
- 40:02down as a consumer, yeah. The org yes and then they had to
- 40:07take that laptop and then secure it in a skiff like the the
- 40:09entire process kind of just. And Schultz is in in the
- 40:13private. Sector He's in the private
- 40:14sector in New York. And they probably have no idea.
- 40:17Well, once the leak happens, you have 7.
- 40:20Or 8/7/2017 No Vault 7 or 8. It's Vault 7.
- 40:24Vault 7, yeah. So you had the 24 releases for
- 40:27Vault 7. Vault 8 was the last one, which
- 40:30is the actual source code. Which was the biggest shitstorm
- 40:33of all. Which is the one that was, well,
- 40:35at that point, everything was a shitstorm.
- 40:36But of course, this is it's one thing to disclose the money's
- 40:40counterfeit. It's another thing to teach them
- 40:41how to do it, how to do it. Right.
- 40:43You know, yeah. And so this.
- 40:45And that only validates your, your initial claim.
- 40:48You know, OK, not only do we claim this, but here's how they
- 40:51did it and here's how we did it. And so.
- 40:54And here's how you guys can do it.
- 40:55That's that's where the problem comes in.
- 40:57Yeah, that's what gets the guy the bounty on his head.
- 41:00And so when the FBI, they start interviewing everybody at the
- 41:03office and he immediately come upon Schultz.
- 41:06Yeah, because the common denominator is, man, let me tell
- 41:08you something. Biggest fucking weirdo of all.
- 41:09So not even here anymore, but you guys should.
- 41:11Look at this dude, the disclosure although what
- 41:14happened a year later? The most recent update.
- 41:19Like the guy did the exfiltration in April, the most
- 41:23recent update was in March. So they were the information
- 41:26that was disclosed. The WikiLeaks was the March
- 41:29revision. At 7:00.
- 41:31And so the first seven, yes. And so they were able to say,
- 41:34OK, well, it happened prior to this.
- 41:38Date. They knew that kind of the date.
- 41:40Yes, there's someone who was working after March in the next
- 41:4512 month period. So it could be someone currently
- 41:47employed or someone who was there.
- 41:49So they're like, hey, well, we had this guy who was a fucking
- 41:52headache, blah, blah, blah. So Schultz becomes immediately a
- 41:56person of interest and it just so happens that he was getting
- 42:01ready to, here it is now, March, He's getting ready to go with
- 42:03his brother down to Mexico to go on spring break, Schultz.
- 42:07And so the FBI is like, uh oh, they don't know if he's going to
- 42:10pull a Snowden. And.
- 42:12Trying to get the hell out. Of here get out of the country.
- 42:15So they go, and they snatch him up.
- 42:16Schultz Schultz in New York. In New York, no.
- 42:19They they grab him before he's flying out, presumably.
- 42:23Grab him at the airport or grab him on his way to the airport.
- 42:26And so when they snatch him up, he had his CIA.
- 42:31The the individuals associated with intelligence agencies are
- 42:36provided a black passport as opposed to our standard Blues.
- 42:40Well, he never turned in his passport.
- 42:44And so when they apprehended him, he was traveling under a
- 42:48passport. He was no longer issued issued
- 42:51so he was able to. They didn't arrest the guy but
- 42:54like that probably the basis to stop him from traveling.
- 42:57That was the red flag to make initial contact.
- 43:00Well, there was a black passport.
- 43:01Yeah, they'd already, it was the basis to say you're not getting
- 43:04on this flight. And so they they didn't arrest
- 43:08them. So they stopped the individual
- 43:10from leaving, Schultz from leaving.
- 43:11Meanwhile, they raid his place in Manhattan and of course he's
- 43:17got all his tech there, his computers, and he had his one of
- 43:22his servers where the FBI brings in their tech specialist and he
- 43:30has a virtual machine embedded within his network.
- 43:34And so they're able to like they penetrate through 1 encrypted
- 43:38device and they penetrate to another level of encryption and
- 43:41another level of encryption. And this is our guy, our FBI.
- 43:43Yeah, the FBI guys at this point and so, and they're looking for
- 43:46evidence of Schultz having anything to do with this
- 43:49WikiLeaks. And at this point, he's already
- 43:52in trouble because he had been doing a lot of searches on
- 43:58WikiLeaks with respect to the disclosures.
- 44:03And so it was like he was trying to kind of stay ahead of it a
- 44:05little bit as to who's searching what.
- 44:07He was like the the go go beach guy following the doing the
- 44:10Google searches to see what's the article saying about him.
- 44:13Like a lot of these nutjob. What's the What's the
- 44:16scuttlebutt amongst the ethosphere, if you will?
- 44:19Yes, they derive a sense of satisfaction, or they want to
- 44:25read about themselves and how clever they are and how.
- 44:29Almost a form of narcissism or almost kind of like that.
- 44:31Remember how like I know that you know this too.
- 44:34They say a lot of times with serial unalivors that they'll
- 44:39actually be come back and be a bystander on the scene during
- 44:45the investigation. Like so when the police have the
- 44:47police tape up and they got, you know, and they're investigating
- 44:50all these unalivings and stuff like that, the sometimes the bad
- 44:54guy will be in the crowd of the onlookers kind of blend into the
- 45:01crowd on the onlooker, onlookers almost kind of to have a
- 45:05satisfaction that he created that much drama and there's that
- 45:08much attention to his crime. So is that, is that a thing,
- 45:11Pete, where it's not uncommon for a person to sometimes try to
- 45:15be a a witness to their own crime?
- 45:17It's a malignant narcissism. He was monitoring the
- 45:21developments and he kept, you know, the search queries were a
- 45:25strong indication like at that point that information is easily
- 45:28retrievable. And they detained him.
- 45:30Yes, they were detaining him for.
- 45:32The black passport with. A black passport while the
- 45:35search is taking place, and so they now.
- 45:36They can probably only hold him a certain right when you detain
- 45:39somebody, Pete. What's the rules on that?
- 45:41Yes, you're going to have a like, they can either arrest the
- 45:46guy or slow walk him essentially.
- 45:50OK, we're going to have to take this passport, we're going to
- 45:52have to go through the administrative process, We're
- 45:53going to confiscate this. And so it's enough you're able
- 45:57to delay the process enough to allow the search to take place
- 46:00because before they raid, but he's.
- 46:02Probably after apprehended for the black passport, he's
- 46:05probably not allowed to go back home, right?
- 46:07Because the FBI is raiding. Correct.
- 46:09So the FBI is raiding the house. They're slow playing them.
- 46:12They're slow playing administratively, detaining him.
- 46:15And questioning him once they they had to release him.
- 46:18So he goes and grabs a hotel room.
- 46:20Was smart enough not to go back home well.
- 46:22He couldn't go to the FBI There you saw that the FBI search in
- 46:24your place. As they're detaining him,
- 46:25they're like, hey Schultz, not only will be tainting you,
- 46:27asking you some questions, but the feds are currently.
- 46:29But that means that they already had enough evidence to establish
- 46:32probable cause the raid. You think at that point he knew
- 46:35he was fucked? I think at that point he thought
- 46:38he had sufficient leads here. 16.
- 46:40No, no, this is 1818. Excuse me, this is 17. 17.
- 46:45Yes, April 17. And so I'm thinking that I
- 46:51believe that at this point, he looked one of his
- 46:53characteristics. He always thought he was like
- 46:55the smartest guy in the room and he was very dismissive of people
- 47:04without that technical level of proficiency.
- 47:07Everybody else is stupid. Yeah, no, he and he and this go
- 47:10back to his days in college where he was just obviously, you
- 47:18know, programming prodigy. But he made very disparaging
- 47:22comments, like most Americans already and normal people, just
- 47:26like very highly critical statements, which indicates A
- 47:30profound lack of humility. Like it's one thing to be
- 47:33bright, but it's another thing to think you're going to be
- 47:37smarter than everybody. That's usually when you're, you
- 47:39know, going to break it off in your rear end.
- 47:41You can have a problem at that point and so.
- 47:45I'm sure always somebody bigger, stronger, smarter, richer, like
- 47:48there's always somebody and you know, some of the most
- 47:50successful people are humble enough to know that.
- 47:54Well, it's not just humble. It's so much of what happens are
- 48:01determined by luck. You know, there's a level of
- 48:04randomness that most people don't appreciate.
- 48:08And so, and this is a word, the trap he fell for because he had
- 48:13multiple layers of encryption. And look, he had done an
- 48:17extraordinary job covering his tracks.
- 48:22But when at this point, this is probably the most significant
- 48:26federal law enforcement investigation in the country,
- 48:29and when you've got the full resources of the FBI they bring.
- 48:34And they got the resources of any other agency.
- 48:36Particularly in something of this nature, it is because
- 48:38understand when they made this disclosure, it compromised every
- 48:42ongoing operation. More importantly, it allowed for
- 48:47every other intelligence operation, intelligence agency,
- 48:52whether it's the MSS from China, FSB from Russia, all these
- 48:56groups to be able to say ha, ha, well, we recognize that there
- 48:59was a an exploit, but we didn't know who did it.
- 49:05Or how it was done. So now it was able to for them
- 49:07to reverse engineer and say, OK, it's the Americans and this is
- 49:11how they did it. The Americans don't know that
- 49:14we're this fucking shady. The average American thinks that
- 49:16we're, you know, Johnny Baseball, apple pie, ho hom
- 49:19yapo, You know, America, we're the greatest.
- 49:22I mean, like, you know when we are the greatest, but you know,
- 49:23we would never do anything wrong and we're not shady.
- 49:26Well, particularly it was one of the projects was called
- 49:28Umbridge. And this was particularly
- 49:31damaging because it was a archive where we had compiled
- 49:38the signatures used by foreign and intelligence gathering
- 49:44operations, whether it's the Chinese, the Russians, the
- 49:46Iranians, the the French. And we had created this archive
- 49:51where we would embed it into ours.
- 49:55And so for instance, say it's going to be, we're going to spy
- 49:57on India. What is going to be like 1
- 50:01little errant code where there's a mistake in that there's going
- 50:06to be Chinese characters or it's going to be in Cyrillic.
- 50:14Like they missed the when they did their review, their audit,
- 50:18they missed this one little telltale signature.
- 50:21And so now it creates the impression like, aha, now the
- 50:23Indians are mad at the Chinese. Right, you stir up shit.
- 50:27And so not only did we steal their information, but we framed
- 50:30the other people. Stole it, framed innocent people
- 50:35on their intelligence and then stepped back?
- 50:36We don't know. What's going on exactly?
- 50:39So probably one thing that Schultz miscalculated is that
- 50:42there's somebody that's as good and as smart.
- 50:45As you are when you do that, you have looked at it's the complete
- 50:49cyber arsenal. They characterize it as a
- 50:51digital Pearl Harbor. They were just completely
- 50:54blindsided. It was catastrophic and it
- 50:57allowed what's referred to as attribution.
- 51:01And so all these other agencies who previously had discovered
- 51:05that someone had compromised one of their systems or one of their
- 51:07network were able to say, ha, ha, you guys did it and you
- 51:11framed Iran. I mean just total fucking bad
- 51:14guy shit. Like just really not cool.
- 51:17So when they when they are raided his apartment.
- 51:20So they're going through all these levels of encryption,
- 51:23looking for evidence of the WikiLeaks connection.
- 51:26They get down like 4 or 5 levels of.
- 51:29Encryption, yes. They discover a trove of
- 51:36material involving minors being abused.
- 51:40Children children's stuff preteen on Schultz's 7 layers
- 51:45deep, they find this so not only not only is he not only is he
- 51:50the a. Piece of shit.
- 51:51A piece of shit. Fucking traitor.
- 51:52Piece of shit traitor that's trying to fuck with our
- 51:55potential safety of of our country but now he's a chomo.
- 51:59He's a Cho on top of it all. It doesn't and and on the look
- 52:05all chose are obviously bad. But on the spectrum of chose.
- 52:09Oh, he has to be dangerous. He's he's a terrible fucking
- 52:11Cho. Not only is he a dangerous Cho,
- 52:13but he's also maybe one that can be.
- 52:15Discovered over 10,000 images and videos.
- 52:21He has and. With his technology savvy, it's
- 52:23hard telling who. And he is sort of compiling just
- 52:26while he was in college. He's been a a lifetime show.
- 52:29So he's been a show, not just like this.
- 52:31Is other than a recent show? This is a lifetime show.
- 52:34A lifetime show. He was accessing this material
- 52:39through what's essentially the dark web, and he had amassed
- 52:43this archived as library of thousands of these images and
- 52:46what's bad? And you're like, it's all bad.
- 52:48But these are like. Preteen.
- 52:52Yeah. Like kids.
- 52:53Like, like kids. Like like in the sentencing
- 52:57memorandum, the government discusses some of this.
- 53:01Which we'll get into. Well, and just so like on one of
- 53:04them, it's going to be, you know, they had specifically 3400
- 53:07images and videos. And so like with respect to this
- 53:13one over here in one of the videos and imagine being the FBI
- 53:17agents. So you're looking for all this
- 53:20espionage related material. When you get into this file
- 53:23after multiple layers of encryption, you think you found
- 53:25your. Jackpot.
- 53:26You're already dealing with the complete biggest asshole ever to
- 53:28exist digitally. And what pops up?
- 53:30A video of a 2 year old tied up getting abused and it's like Oh
- 53:41yeah this guy at this point. We're dealing with a fucking.
- 53:45Yeah, yeah, yeah, yeah. I mean it, it, it, it, it.
- 53:47And there's, you know, a second video was a, a 12 year old
- 53:52that's bound by ropes and cables and you have an, an adult male
- 53:58one with a 2 year old with one video a 12 year old had forcing
- 54:02her to perform acts on a dog. It's like like what the and he's
- 54:09got a like and he's got commentary notes.
- 54:12And so now, of course, from the FBI perspective, it's like what
- 54:15we're looking for evidence really into this espionage
- 54:18investigation. As if you know that's not bad
- 54:20enough. Now we got this fucking weirdo
- 54:22doing yeah. Oh yeah.
- 54:24Yeah, at a high level of of encryption and a high level of
- 54:27secrecy, you know, like some of these chomos are just fucking
- 54:30stupid. And you know, the local agency
- 54:32gets them wrapped up in a hey, Will.
- 54:34You say 1 of the undercover things, Yeah.
- 54:36Grady Judd gets them and, and and that's great, and I want
- 54:39them to get all of those people. But then there's got this.
- 54:41This guy's probably so sophisticated that he slipped
- 54:44through every potential, you know, local agency.
- 54:47Yes. And he's, like I said, he
- 54:48compiled this, what the government characterized as 3400
- 54:52independent files. And videos.
- 54:55And videos, yes. And it's just just just
- 54:57horrific. So now the FBI, but they don't
- 55:00charge him. For the chomo stuff because?
- 55:03They don't want to let him know that he got they gotten through
- 55:06his encryption. So it's kind of a cat and mouse,
- 55:09yeah. Like they don't.
- 55:10So he did. They let him know.
- 55:12OK, all's clear. We confiscate your servers.
- 55:14We confiscate your computers. And they continue to detain him
- 55:17they had. No, they let him go without or
- 55:20watching him. Who does he contact They.
- 55:22Were never going to let him out of the country though, probably.
- 55:24No, no, I'm sure at this point just got under 24 hour
- 55:26surveillance, right. And so they they just, they've
- 55:28got the. But they know the chomo, but he
- 55:30they. Got the Cho.
- 55:32He doesn't know that they know. Right, they got the Cho.
- 55:34It's the ultimate wild card trump card.
- 55:37Like if necessary, we could drop the hammer on him at any time on
- 55:39the Cho, but keep the investigation going because
- 55:42we're trying to determine the evidence with respect to the
- 55:44espionage. And so for the next 6 months
- 55:47they watch in the sky and finally they're like, you know
- 55:50what, just to charge him on the Cho.
- 55:52We at least get him for that. Yes, but now they hold him that
- 55:55way because when he was when they raided, they they notified
- 56:01the attorney like, hey, look, he was able to go get an attorney
- 56:04and you're under your subject of an investigation with respect to
- 56:08this, you know, this leaks. And so the attorneys are like,
- 56:11hey, look, charge, you know, charge him or get off the pot.
- 56:15Shit or get off the pot I. Don't know if I could say that,
- 56:18yeah. Yeah, you can shit or get out
- 56:19the pot. And.
- 56:20So that's if you got a big sling and Dick attorney, that's what
- 56:22he comes out with usually, right I.
- 56:24Don't know who the original attorney was, but they're making
- 56:28demands saying, hey, look, you're, you've, you've got this
- 56:31suspicion hanging over his head and it's impacting his life.
- 56:36Charge them or don't charge him. You've got the evidence.
- 56:38Let's move forward so. The feds go OK, well guess what
- 56:41buddy? OK, we're going to drop the
- 56:42hammer on them, use them to use the Cho to Cho to hold them.
- 56:46So now. Which, you know, by public
- 56:50sentiment is like, you know, the worst ever.
- 56:52Like his espionage was probably next level shit and so bad for
- 56:57our country and so bad for us. But.
- 56:59The shows the. Show is what gets America all
- 57:01lathered. Up, sure.
- 57:03And so they arrest. They charge him on the Cho
- 57:05charge. Which is significant.
- 57:07Now he being a tech prodigy was able to say well hold on a
- 57:12second. First of all, that hub was
- 57:16accessible to multiple people. He's like that wasn't his, like
- 57:24they didn't access. Yes, there's a it's a virtual
- 57:30subset within his net servers. Like it wasn't on his.
- 57:34It was accessible through. He was.
- 57:37Like he wasn't hosting. It so 1 of dozens of people
- 57:39could potentially have access to this and so the judge gives them
- 57:42bail. Really.
- 57:46Yeah, he gets these guys get bail.
- 57:48They don't. They don't give drug traffickers
- 57:49bail, but they give these guys. Right.
- 57:50They don't give a guy sling a little bit of crack bail, but
- 57:52they give this motherfucker that's Chomo Willy with a
- 57:55fucking espionage kicker and go ahead, buddy.
- 57:57Fucking go ahead. Live your life.
- 57:59We're going to maybe, maybe we'll come get you.
- 58:00I don't know. Fuck it.
- 58:01So they let the scumbag out. Oh yeah, but what does the worst
- 58:04scumbags go? And.
- 58:06With the restrictions, so like of course he's part of his
- 58:08conditions was you cannot access the Internet.
- 58:12And kills him right there. And so.
- 58:14But that's not going to stop. Him that doesn't stop.
- 58:16Him because he thinks, well, you may not think I'm fucking
- 58:18accessing the Internet, but I'm so fucking good that I can
- 58:21access the Internet and you not know about.
- 58:22Well, not just that it's he can say, OK, well, I'm going to go
- 58:25to my cousin. Hey, Jimmy.
- 58:27Get on. Do this search for me like I'm
- 58:30not doing it Jimmy and SO. And you're looking over Jimmy's
- 58:34shoulder. Sure, of course.
- 58:35And so and he has Jimmy accessing the information via
- 58:39the Tor network. So then he's doing searches
- 58:43vicariously through another person.
- 58:47And then, of course, being the Cho that he was, for his own
- 58:52personal gratification, he was accessing another Cho archive.
- 58:58Others, so not only the one he dabbled in, but otherwise.
- 59:01Supplemental Cho archives so he's while out while out on
- 59:06bail. With a no Internet Willy.
- 59:07With a no accessing more Cho materials and so are.
- 59:13The feds laying on them, they do.
- 59:14They know. Well, sure, because they're not
- 59:16only not only do they ultimately snatch him up for accessing.
- 59:22More tro. More troll material.
- 59:24But when they did so, they grabbed his cell phone.
- 59:28This is like the guy's super bright.
- 59:30He's a fucking Jackass. Why he's so narcissistic?
- 59:33He thought he's on. Touch and so he when they access
- 59:37his phone they discovered photos.
- 59:41He had a female roommate and there was an incident where she
- 59:45was incapacitated saying drunk or whatever and came home drunk
- 59:49as all fuck. Well there's photos of on his
- 59:54phone of her passed out while he was essaying her.
- 1:00:02He's assaulting her. Assaulting her, yes.
- 1:00:04And they didn't have a picture that she's unconscious.
- 1:00:07She's unconscious. Blacked out, whatever.
- 1:00:08Blacked out cold and you know, there's photos of his hands
- 1:00:11touching areas which were inappropriate.
- 1:00:15So now, so now. They have that too.
- 1:00:16FBI goes and they they go talk to the girl like.
- 1:00:19She probably like I had a guy I had.
- 1:00:20No idea what the Hell's going on.
- 1:00:22So now they charge him in state court for the assault.
- 1:00:27SA in state court. So now they have a basis to
- 1:00:29revoke the bail. We put them back in federal
- 1:00:33detention. Hopefully the fucking liberal
- 1:00:35ass judge didn't let him out on bail again.
- 1:00:37So yeah, I don't know who the judge was.
- 1:00:39But I'm just saying. Yes.
- 1:00:40And so he didn't. Well, the Bail Reform Act have
- 1:00:46certain criteria. I'm sure that the judge just
- 1:00:49applied the law. Correct.
- 1:00:51You know, like I said, these guys get treated in the system a
- 1:00:53lot better than drug traffickers.
- 1:00:57For whatever reason. Yeah, and so the but they revoke
- 1:01:01his bail, put him in custody. He's infuriated now, like you
- 1:01:08would. Think at this point he feels
- 1:01:09he's above being a cursor. Not just that, it's just it's,
- 1:01:13you know, when you're in a hole, stop digging.
- 1:01:17And he just couldn't stop. Couldn't stop digging like me
- 1:01:20and Pringles. Once I eat one I can't stop.
- 1:01:22I got to have half the fucking can Or Oreos same way.
- 1:01:25So he. Just I understand sicknesses
- 1:01:27like that I can't stop on Oreos or Pringles.
- 1:01:29So he decides, you know what, he's going to declare war
- 1:01:32against the government. With this fucker.
- 1:01:34Who's fucker? Against the What do you mean
- 1:01:37declare war? Yes, well the the within the
- 1:01:43federal system there are contraband cell phones in
- 1:01:49facility. Burners.
- 1:01:50And so. Right burners.
- 1:01:52He had became buddies with a white collar offender, and the
- 1:01:56white collar offender knew a Latino drug trafficker man named
- 1:02:03Luna who had paid thousands of dollars to get a contraband cell
- 1:02:08phone smuggled into the institution.
- 1:02:09Did the you know, the people he's hanging out with in prison
- 1:02:11know he's a chomo? Because usually those guys don't
- 1:02:14make it. Yes, but here's the thing, he
- 1:02:17was under investigation for the espionage, so I'm sure he didn't
- 1:02:24say anything about each other. He's like, he has his FBI search
- 1:02:27warrant saying, yeah, they're fucking rating me for they think
- 1:02:29I leaked this stuff to Wickley, but I did.
- 1:02:31Yeah, yeah, yeah. So Liberty like, oh.
- 1:02:32They say I'm a chomo and I no. They didn't have to say anything
- 1:02:35about the chomo, right? He wouldn't.
- 1:02:36He would. Just credit the espionage.
- 1:02:38Yeah, he would just say that, yeah, they got me fucking
- 1:02:40espionage here. Here's the search warrant.
- 1:02:41They're gonna see the search warrant.
- 1:02:43It's gonna say, okay, he's targeting for leaking
- 1:02:46confidential CIA information. He can say he's the CIA officer.
- 1:02:49You can tell he's a fucking nerd.
- 1:02:50Just probably. Yeah, they're like, OK, guy's
- 1:02:51just the CIA guy who who leaked information.
- 1:02:53He at that point he wouldn't have had any problems.
- 1:02:56Correct SO. And so now he declares war on
- 1:03:02the government at this point. From jail.
- 1:03:03From jail and so he gets access. Which is stupid move #1.
- 1:03:08Like here's the thing, you get the cell phone, but the cell
- 1:03:11phone, it's challenging to recharge it.
- 1:03:16Yeah. Yeah, but he's an electrical
- 1:03:18engineer, so he rewires, breaks, you know, gets into one of the
- 1:03:24lights and rewires the lighting to be able to draw the energy to
- 1:03:27recharge the phones of. Course.
- 1:03:30Wow, so now he's in the loop. Yeah, so you got the narco who's
- 1:03:34got the phone, but he needs the nerd to recharge it.
- 1:03:38So like, he's going to get free access.
- 1:03:42The middle man, the white collar guy, he's, I'm sure going to get
- 1:03:44free access. So like I'll get 3 hours a day,
- 1:03:47you get 3 hours a day, and then Arco gets 10 hours a day.
- 1:03:50However it. However the breakup is going to
- 1:03:52be, he's going to be given an allotment.
- 1:03:53But they need the nerd to charge it.
- 1:03:55They need the nerd to charge it, and so he now has access to the
- 1:03:58phone. He starts creating various
- 1:04:00Twitter accounts. He starts creating very
- 1:04:02encrypted e-mail accounts. His Twitter handle was a free
- 1:04:06Jason Bourne. And so how fucking brazen.
- 1:04:12Like this knucklehead. So while he's in pretrial
- 1:04:15custody again for his own personal gratification, he
- 1:04:18starts accessing yet another Cho archive.
- 1:04:22From the phone. From the phone in jail.
- 1:04:24But he also starts leaking other confidential information.
- 1:04:31So now he contacts reporters for The Washington Post in The New
- 1:04:34York Times, pretending to be a family member and sends them the
- 1:04:38search warrant application. Then he creates another account,
- 1:04:42and there's a hacking collective known as Anonymous familiar with
- 1:04:47that. OK.
- 1:04:47And so? They scare me actually, very
- 1:04:50scared of them. Yeah, I've known several of
- 1:04:51them. Anonymous guys in prison.
- 1:04:53And so he claims to be Anonymous, a hacker associated
- 1:04:58with Anonymous and he starts leaking information.
- 1:05:01How does that piss off Anonymous?
- 1:05:02Because Anonymous don't fuck around.
- 1:05:03Well, anonymous, but there is no structure to it.
- 1:05:06Anybody can be anonymous, sure and so but the fact is his he's
- 1:05:11representing yourself to be anonymous yet continuing to leak
- 1:05:15information. CI as going fucking nuts.
- 1:05:19Like where? Where's this shit coming?
- 1:05:21Yeah, because it's also creating a defense for him.
- 1:05:25He's like, you guys got me in custody.
- 1:05:26Someone else is leaking. It's not.
- 1:05:28I'm not doing it. It's.
- 1:05:29Not you have another person, you have.
- 1:05:30Like almost you're almost prison as your alibi.
- 1:05:32That's his alibi. I'm in prison.
- 1:05:36Yes, but his malignant narcissism is driven because the
- 1:05:39guy's got a journal and he's documenting in his journal like
- 1:05:43his plan. So he's leaking this
- 1:05:46information, leaked that information, and he actually has
- 1:05:52a his journal indicates that his plan was to blackmail the US
- 1:05:56government for $50 billion. Say I will release all this,
- 1:06:01this this this. So he tries to ransom he.
- 1:06:07Tries to ransom the government, yes.
- 1:06:09So that's the plan billion, billion because he says he's
- 1:06:11aware of as a senior level systems engineer, he's A and
- 1:06:16aware of much more information that would disrupt the US
- 1:06:22diplomatic relationships with numerous other countries
- 1:06:25compromise all this other information.
- 1:06:27So this is like his plan. Well, what he doesn't
- 1:06:31appreciate, and just so people see, like, here's a photograph
- 1:06:35of Schultz in prison using a cell phone.
- 1:06:40Oh yeah, see. He's hiding behind a locker, but
- 1:06:43that's like in case the officer were to walk by, he's the
- 1:06:47locker's open. So you're just behind a locker.
- 1:06:49The Walker walks by. He isn't like at a minimum in
- 1:06:52the cell, you're going to have your cellmate posted up at the
- 1:06:54door. Watch to make sure he doesn't
- 1:06:56come out of the office. If he's out of the office, at a
- 1:06:58minimum you're going to be hiding behind a locker.
- 1:07:01Does your, does your Sally at that point just give you like a
- 1:07:04like, you know, just a, some kind of signal for you?
- 1:07:07To let him know, hey, the guy's out of the office.
- 1:07:09Well, at this point he's got this cockamamie idea.
- 1:07:11Oh, 50 billion? Free Jason Bourne.
- 1:07:13He's got this campaign, Anonymous.
- 1:07:15He's leaking information. He's literally in the process of
- 1:07:18trying to leak the discovery because he's receiving
- 1:07:20information from the government to repair his defense.
- 1:07:24Well, this is all confidential material.
- 1:07:27He's in the process of sending this stuff to WikiLeaks.
- 1:07:31All from prison. And so where he made his huge
- 1:07:36mistake was Luna the narco Is this guy's a get out of jail
- 1:07:44free card. Oh yeah, it's a huge play, Luna
- 1:07:47the narco can say. Listen, motherfucker, what Mr. I
- 1:07:50can serve this guy up on a platter.
- 1:07:51For so like, you know, this is what the CIA guy.
- 1:07:53And they're all cons because so, so you, you can't like, that's
- 1:07:57what Luna should be doing. Well, with respect to a show,
- 1:08:00yeah, no question. Yeah, I mean, I don't, I don't,
- 1:08:04I don't besmirch Luna at all. Now what year is that?
- 1:08:06Approximately this is 2000, between 2000, probably about
- 1:08:102019. Yeah.
- 1:08:13'Cause his first trial was in 2020.
- 1:08:15OK, so he's in pretrial. Status.
- 1:08:17So he's being held here? Yes, at the Manhattan
- 1:08:19corrections scene. And he's doing the, you know,
- 1:08:22Operation Free Jason Bourne. He's got another one of them,
- 1:08:25but it was called Fuck Your Top Secret.
- 1:08:29Oh, as a Twitter account? Yeah.
- 1:08:31Now, are any of these accessible now?
- 1:08:32They've all been taken down. I don't know if they're I didn't
- 1:08:36haven't checked right. And so once he leaks the
- 1:08:41information, that's going to lose its classification.
- 1:08:44But this is where like he starts discussing the particular
- 1:08:47division he's working for. It was 200 guys.
- 1:08:50Like he's giving out information that any foreign adversary can
- 1:08:55use to deconstruct the operation.
- 1:08:59You take this little piece of information, these little
- 1:09:01tidbits of data put together what's referred to as a mosaic,
- 1:09:05right? And he'll give you an A sense of
- 1:09:07the the scope essentially. All right, so he's, he's
- 1:09:11preparing. So he's preparing for first
- 1:09:13first trial circa 2019. Yes.
- 1:09:15And so he has that's. Where the picture of him being
- 1:09:17in the MCC? And so then Luna picks up the
- 1:09:20phone, calls the government through, afraid of Luna I'm
- 1:09:24sure. Calls his attorney's attorney,
- 1:09:25contacts the government. 50 FBI agents raid the fucking prison.
- 1:09:29Because they want to talk to Luna now.
- 1:09:31Well, no, they want to search because they knew about the
- 1:09:33phone and they brought in a canine that was trained for.
- 1:09:37Electronics. Detecting phones.
- 1:09:40And of course, they probably find.
- 1:09:41It right, they find the phone. Now, can they reverse engineer
- 1:09:44it from that point as to what's been on that phone, what's been?
- 1:09:47Yes, because he, well, first of all, he had, like I say, it's
- 1:09:50hidden in his cells. Like you're hooked, you're done.
- 1:09:53And so they were able to, although he was able to clear
- 1:10:00the digital log on a number of his communications, he hadn't
- 1:10:08completed doing so like, and his notes is like go back and clear
- 1:10:11this, clear this. Well, he just hadn't gotten
- 1:10:13around to doing it. Yeah, 'cause he never thought
- 1:10:15he's gonna get caught so he can do it in a week or.
- 1:10:17Two, yes. And so sure enough.
- 1:10:18So they end up getting this information now.
- 1:10:20Now the government goes nuts. They take him from being
- 1:10:25pretrial in general population. They put him in the shoe.
- 1:10:28No, the secured housing unit. All by yourself.
- 1:10:31All by yourself, which is by President Sanders.
- 1:10:33I've I the worst the. Worst.
- 1:10:36So no. He gets put in his shoe, but
- 1:10:38they put him under what's called Sam.
- 1:10:40These are special conditions. So he was in a cell where the
- 1:10:44lights never came off and he was not allowed to have any contact
- 1:10:48with anybody else because he could still relay information
- 1:10:51either through his family or through other inmates.
- 1:10:54So they had him lock the lock. Down with white noise being
- 1:10:58pummeled into the into the cell. They'd have shit like that.
- 1:11:02Like, Oh, yeah, he was allowed to have no contact with any
- 1:11:06other inmate and he was not allowed to listen to anything
- 1:11:09else taking place where you couldn't even hear the officers
- 1:11:11talking to each other because they pipe in white noise or some
- 1:11:14bullshit. Oh yeah, yeah, he was he.
- 1:11:16He became. They say down at Guantanamo Bay
- 1:11:19that they pipe in like rock music and Metallica all hours of
- 1:11:23the night with the lights on, that you think that stuff
- 1:11:26happens. Yeah, of course I have.
- 1:11:27No question they do. Wow all.
- 1:11:28Right. So and so, yeah, yeah, they.
- 1:11:29Put him in Sam. Yes.
- 1:11:31And so now he's he's paralyzed. Well, not just that, he now he's
- 1:11:37just behaving in a manner where like he refuses to participate
- 1:11:42in programming. He'll take him to court and
- 1:11:44he'll shit in a holding cell, like just drop his pants,
- 1:11:47trousers and take a dump right in the middle, you know, And so
- 1:11:52like in this kind of information, like again, the
- 1:11:53guy's just digging a bigger hole.
- 1:11:55That information gets shared with the judge like, hey, he's
- 1:11:57in there. He.
- 1:11:58Just took a shit. Yeah, the judge finds out.
- 1:12:01The judge is like, and so he's getting ready to go to trial and
- 1:12:08his first trial to 2020 trial, he had a a, you know, a federal
- 1:12:12defender and most people you know, federal defenders are
- 1:12:15actually very good attorneys. They actually handle more trials
- 1:12:21than most lawyers because most, no, of course, they handle an
- 1:12:23enormous number of plea bargains.
- 1:12:25And he had turned down a plea offer.
- 1:12:26They offered him 10 years. Oh my God, yeah, 10 years. 10
- 1:12:30years. What you if have you have been
- 1:12:33as counsel to advise Take that, take the fuck you got a chomo
- 1:12:36with an espionage kicker. Get the take the 10.
- 1:12:38Fucking 10. Because 10 is what, 8?
- 1:12:40Yeah, he'd be out in 8 1/2, and at that point he'd already been
- 1:12:43down for two. You're going to be out in 6.
- 1:12:45Time served right, So. In six years, I mean, it's, you
- 1:12:49know. Said he got We're going to get
- 1:12:52what? He got Yeah, because the
- 1:12:53government got his logs, his, his journals extort the
- 1:12:56government for 50 billion. This is what I'm going to do.
- 1:12:59It's like they got your notes out of your fucking cell.
- 1:13:01They got the cell phone out of your cell.
- 1:13:03You got the narco Luna saying yeah, I hooked up the phone and
- 1:13:09I gave it to him and he's using it.
- 1:13:12They got the chain of command on the phone.
- 1:13:13They got the charging deal to. Show how you model.
- 1:13:16You're the one. You're the electrical engineer.
- 1:13:17It's not the narco. The guy with the 3rd grade
- 1:13:18education who rewired the fucking phones.
- 1:13:20Yeah, no. And so the you just I.
- 1:13:23Mean he's done. He's done.
- 1:13:25He turns down to 10 because the Government wanted to condition
- 1:13:28his plea on waiving all appeal rights and for some reason.
- 1:13:34He, well, he's narcissistic and he thinks that he's the he's the
- 1:13:37smartest guy in the room. So he thinks that he probably
- 1:13:40thinks, and he probably thinks Pete in a fucked up way, he
- 1:13:42might be able to beat this shit. Well, he's probably thinking
- 1:13:45that he's going to be able to suppress the evidence.
- 1:13:49And you know, fourth of our claims are notoriously very,
- 1:13:53very difficult to sustain. And so particularly in a case of
- 1:13:58this gravity. With a chomo.
- 1:14:00Well done. Not.
- 1:14:01Not just. Yeah.
- 1:14:02Well, again, you know the with the Tromo.
- 1:14:06Yes, but the Tromo wasn't caught on his servers.
- 1:14:11It was accessible through his servers on a central repository
- 1:14:15off site. So he had a little bit of an
- 1:14:17alibi there. Yeah, little bit.
- 1:14:19But we know he's a dirty. Fucking yeah.
- 1:14:21You don't know because when they got the cell phone Cho, now they
- 1:14:23got oh additional Cho. Right.
- 1:14:25So you're like, OK. Now you're just dead to rights
- 1:14:27on the. Choke.
- 1:14:28Now you're using yourself this cell phone to go to Chobo and.
- 1:14:31So now, but the the public defender did an extraordinary
- 1:14:34job and she got the cases, the charges severed.
- 1:14:37So that meant he was going to go to trial on the espionage
- 1:14:39charges and then the Cho charges.
- 1:14:42That way, the espionage jury isn't tainted.
- 1:14:45Tainted by the OK. By the Cho allegation, which?
- 1:14:47Is price smart? Oh yeah?
- 1:14:48So she maneuvered. To separate them, to separate
- 1:14:52them, try them. Try them separately.
- 1:14:54And, you know, the the government had an incentive to
- 1:14:59plead a case out because no one looks good coming out of this
- 1:15:03situation like the CIA. And the more you get into it,
- 1:15:06the more discovery and you could really start.
- 1:15:10Just validating some of this people understand.
- 1:15:13So now the supervisors have to come in and testify.
- 1:15:16They don't want to disclose these individuals and they don't
- 1:15:19want to have to acknowledge just how woefully and adequate.
- 1:15:23Well, and how complex they really, really are.
- 1:15:25The inner workings of what they do is exposed in court through
- 1:15:28discovery, whereas if we just plead it down or whatever.
- 1:15:31Yeah, he had his defense. The attorney crafted was
- 1:15:35essentially A scapegoat defense because remember early on when
- 1:15:38he had his original dispute with Michael the nerf gun rubber band
- 1:15:42slap fight guy? Well, it turns out that Michael
- 1:15:45had subsequently been himself identified as someone with poor
- 1:15:52work habits. He received like essentially.
- 1:15:56Demarcations and he's trying to use Michael.
- 1:16:01To fade to say look here you've got someone who himself is
- 1:16:05engaged in inappropriate conduct, who himself was
- 1:16:12identified as needed to be removed off this project to put
- 1:16:17him over here. So he essentially he's
- 1:16:20projecting to Michael everything he felt, but it creates A
- 1:16:24scapegoat defense. So he turns down the 10 year
- 1:16:28offer, goes to trial in 2020 under the espionage charge.
- 1:16:34The public defender hangs the jury.
- 1:16:36For real. No.
- 1:16:39She she hung the jury. And it's extraordinary because
- 1:16:42look, when the when there's a case of this magnitude like the
- 1:16:45US attorneys, the the assistant US attorneys that are the actual
- 1:16:48prosecutors in the courtroom, these are the best.
- 1:16:51This is this. This isn't the B team.
- 1:16:53This is not yeah, this is the guys that are the.
- 1:16:55The sharpest of the. Sharpest of the.
- 1:16:57But this sensitive information that you have to navigate
- 1:17:01through. Yeah, the prosecution team was
- 1:17:03the best of the, you know, the. Exactly the governmental dream
- 1:17:07team. Yeah, it was the Jordan Bulls
- 1:17:09era team. Because again, like you said,
- 1:17:10you're going against the best and the of the DOJ.
- 1:17:12Yeah, the the best FBI investigators, the best that are
- 1:17:16tech support. And so the.
- 1:17:18Hung, hung. And so at this.
- 1:17:20Point. So now all they got is chomo.
- 1:17:22Well, no, they're going to retry him on the espionage.
- 1:17:24Oh, that's right. You know the footed.
- 1:17:25Right. He's a hung.
- 1:17:26He was a hung jerk. So they're like, OK, we'll take
- 1:17:28a second shot at. This like a shot at this.
- 1:17:30What is the percentages of when the prosecution gets a second
- 1:17:34bite at the apple like the Melendez brothers, You know,
- 1:17:36they were it hung or they when they retried it the second time
- 1:17:40for the guys out in California. Of course, the the judge was
- 1:17:43different. He didn't allow stuff that the
- 1:17:45first judge did. And and what have you is there
- 1:17:48are the, are the odds skewed like for instance, the Lindsey
- 1:17:51Clancy stuff? Well, of course it's going to be
- 1:17:53skewed in favor of the prosecutor.
- 1:17:55Prosecutor, they've seen your defense.
- 1:17:57So now at this point, normally there's a going to be a
- 1:18:00settlement offer because at this point you've got leverage to
- 1:18:05negotiate a more favorable deal. This Jackass squanders that
- 1:18:11opportunity and as if he couldn't make the situation
- 1:18:17worse, he decides to fire the attorney so that he could
- 1:18:25represent himself. Pro Southeast.
- 1:18:26Pro Southeast. It's Abraham Lincoln that says
- 1:18:29only a fool has something like only a fool represents
- 1:18:33themselves. Only a fool has themselves as a
- 1:18:35as a client or something like that.
- 1:18:37And so you. Know, meanwhile, she's a rock
- 1:18:40star. She fucking did the win against
- 1:18:43against the biggest monster you can go against the federal
- 1:18:45government with unlimited resources and she hung it.
- 1:18:49And so if you would be cool to her, she could probably
- 1:18:52negotiate you a pretty damn good.
- 1:18:53Deal. Yeah, at this point he could
- 1:18:54have. Probably.
- 1:18:55Because the feds don't want to go through tattletale #2 right?
- 1:18:58Well, not only that, because they had to bring in Michael,
- 1:19:00they had to bring in them all. They had to bring in all the
- 1:19:02supervisors. You had to bring in.
- 1:19:03You know they'd have to close the courtroom for a lot of the
- 1:19:06testimony because the information is still classified.
- 1:19:09In camera all the. Kind of things.
- 1:19:11So do you have logistically a very challenging proceeding and
- 1:19:17likelihood of information getting disclosed?
- 1:19:20So if they offered you 10 and you turned it down and you hung
- 1:19:22them, and again, we're just arbitrarily predicting here, you
- 1:19:27got to think that your attorneys got some pretty good leverage.
- 1:19:30You could, you know, hard for seven.
- 1:19:32You could and they probably say OK, but we still got the chomo
- 1:19:35charge, so. Well, The thing is, I'm sure it
- 1:19:38would have been a package deal. Oh, so she could have kind of
- 1:19:42OK. No the problem for him is like
- 1:19:44I'm not familiar with the chomo charges but there may be a
- 1:19:46mandatory minimum like he maybe they couldn't have gone below
- 1:19:5010. Right, with regards to the
- 1:19:52mandatory minimums. Yes, and so.
- 1:19:53But you're in a far better position of negotiation when you
- 1:19:56hung them and you hang on to old girl because she's a fucking
- 1:19:58rock star, of course. And then the most foolish thing
- 1:20:01you'd. Ever fucking do.
- 1:20:02Ever did? Ever.
- 1:20:03Ever. Even you being absolutely one of
- 1:20:05the smart, you would never represent yourself.
- 1:20:08Would you not in a trial like No, of course not.
- 1:20:09No, no. Ask yourself questions and
- 1:20:12answer them. No, I mean it's like how?
- 1:20:14Does that happen when a guy goes pro SE and he wants to ask
- 1:20:17himself a question? He can't.
- 1:20:19He can't get any. But he's able to communicate
- 1:20:21with the jury through his interactions with the witnesses,
- 1:20:26so it's going to give you a level of familiarity that you're
- 1:20:28never going to be able to achieve.
- 1:20:31With with an attorney. Because essentially you're
- 1:20:32questioning provides them with your view.
- 1:20:39The problem is, you know, the application of the rules of
- 1:20:43evidence are very technical, and if there's one thing you know
- 1:20:48any scumbag prosecutor is going to be able to do is manipulate
- 1:20:51the rules. Sure, especially if they've had
- 1:20:53a lot of practice at it and and. These guys are the guys, like I
- 1:20:56said, the guys on this team are just the.
- 1:20:58The Schultz at this point is just a smart code guy.
- 1:21:02He doesn't. He's not an attorney.
- 1:21:04No. And or does know the procedures
- 1:21:07and? The thing that he has however,
- 1:21:09by going pro southeast, means he has to be allowed access to
- 1:21:14discovery to discovery, which meant he had to be given a
- 1:21:17laptop. They had to give him a fucking
- 1:21:22laptop. This motherfucker, this guy's a
- 1:21:26motherfucker. I know he doesn't stop.
- 1:21:29So yeah, yeah, he could have gotten 7 years maybe.
- 1:21:33Yeah, maybe. If there was a if there wasn't a
- 1:21:36mandatory minimum, I'm sure with that he probably could have
- 1:21:39gotten to seven pieces. So we go to trial 2 pro SE,
- 1:21:42representing himself, all the insurance and outs of getting a
- 1:21:45laptop, discovery, whole 9 yards.
- 1:21:47How does he present in front of the jury?
- 1:21:49The jurors? Well, they hang them.
- 1:21:54He gets convicted on the second round on the pro SE and like one
- 1:21:57of the jurors juror #4 who later on was interviewed publicly in
- 1:22:01an article in The New Yorker. So like at 1?
- 1:22:04Point. He laid him out.
- 1:22:04Oh, yes, like at one point the judge was actually, you know, in
- 1:22:09a future life, you may have a, a career as an attorney.
- 1:22:12It's like. Shut the fuck up.
- 1:22:14Like, yeah, easy savvy with respect to the technical aspect,
- 1:22:18and he could probably run circles around the individual.
- 1:22:22He could hold his own with the FBI tech specialist, sure, but
- 1:22:27you come off an extraordinarily condescending manner.
- 1:22:32And. So they so juror 4 was being
- 1:22:34interviewed, you said we got. Yes.
- 1:22:35And Juror Force is like, he's totally arrogant.
- 1:22:38And I mean, we got the notes. And the trial was federal, so it
- 1:22:42wasn't televised. It was artist rendering.
- 1:22:44That's during the that's pro Southeast.
- 1:22:47Pro SE getting ready to get set, but at this point, he's the
- 1:22:49sentencing. We don't know if he was pro
- 1:22:50southeast at sentencing. He was pro southeast at trial,
- 1:22:52at trial, even at trial, there's stand by counsel.
- 1:22:56Yeah, yeah. Because you have to have someone
- 1:22:58at the table, but he essentially is responsible for driving
- 1:23:03because the prosecutors won't talk to.
- 1:23:05Him So when the verdict come down 2020 232023 this thing runs
- 1:23:11itself through the through the court system first trial.
- 1:23:14I think it was 2020 acquittal, hung jury, 2022 conviction on
- 1:23:18the espionage, 2023 conviction on the Cho.
- 1:23:21He goes to the second trial. Does he pro say himself on Cho
- 1:23:24or does he get a attorney for? That I didn't delve into the Cho
- 1:23:28aspect of it only because we're focusing more on the espionage
- 1:23:30and so, but yeah, he gets convicted on the 23 Cho charge
- 1:23:34and then in 24 he gets sentenced.
- 1:23:37And that's where we get the headline here from The New York
- 1:23:40Times. CIA computer engineer who leaks
- 1:23:42secrets and sentenced to 40 years.
- 1:23:44Yes, well he ends up getting 33 years on a espionage.
- 1:23:47Now the government wanted life and by all accounts he should
- 1:23:51have got life. I would think.
- 1:23:53Because he was I. Mean just.
- 1:23:55The the the level 51, it doesn't matter if you're a first time
- 1:23:58offender, that's that's life. Anything over Level 42 is life
- 1:24:02absent A statutory maximum amount of charge.
- 1:24:05The only thing that saved him from the life was the conditions
- 1:24:09of confinement, pretrial with respect to being in the shoe
- 1:24:13with the, you know, the special conditions, the lights never
- 1:24:15turning off, the white noise. Oh, that helped him.
- 1:24:18Yes, that was essentially the, the conditions were so arduous
- 1:24:22that the judge says, you know what, I'm going to give you a
- 1:24:25variance. So although your range under the
- 1:24:28guidelines is level 51, which was subjected to a life sentence
- 1:24:32under Booker and the 3053 A factors didn't give him a
- 1:24:35variance, took him down to 33 for.
- 1:24:40The espionage for. The espionage.
- 1:24:42Then he threw on A7 year kicker. 6 1/2 Well, 33 1/2 for the
- 1:24:45espionage and then 6 1/2 for the Cho.
- 1:24:47And now that I now that he got 6 1/2 on the Cho, that means there
- 1:24:49wasn't a 10 year mandatory minimum.
- 1:24:51He probably could have gotten to seven, you're right.
- 1:24:53You're you're showing now that you know that it got 6 1/2.
- 1:24:55There's no mandatory minimum. He probably in his best day with
- 1:24:59that big badass defense attorney woman that he had probably could
- 1:25:03have got. 7. Yes, that and the government
- 1:25:06probably would have taken that all day because we don't want to
- 1:25:08go do this again. It's just a cost.
- 1:25:11Associated with the trials are enormous.
- 1:25:13And it's just peeling off the Band-Aid that we don't want
- 1:25:15anybody. It's it's tough that we don't
- 1:25:17want to necessarily pound our chest on and defending yes,
- 1:25:22'cause we fucked up. Sure.
- 1:25:23And like nobody came out of this looking good.
- 1:25:26Whether? Did, did, did.
- 1:25:28Did it ever roll uphill? So to speak?
- 1:25:31As we're wrapping this up, did it ever roll uphill?
- 1:25:34The CIA director did it. Did he?
- 1:25:35Did he take any shit for not being?
- 1:25:38Able to. I guess it was so far.
- 1:25:42Removed from the crime and two probably 2 administrations from.
- 1:25:45Well, The thing is the the the program itself, like the unit
- 1:25:50was disbanded. They had to stop all the
- 1:25:52projects that were ongoing and the administrators.
- 1:25:58Had all timed out probably. Those that I'm sure they were
- 1:26:00close to retirement are just going to take their.
- 1:26:02Retirement or with the new administration, because you got
- 1:26:04the Obama administration, then you got the Trump
- 1:26:06administration, then you got the So he was under 3 presidents the
- 1:26:09whole process. The whole process and look at
- 1:26:12any bureaucracy. The guys at the top aren't
- 1:26:15taking the heat, they're going to shit on some mid level
- 1:26:19bureaucrat and I'm sure the people that respect the woman
- 1:26:21that oversaw the OSB program she probably got.
- 1:26:24Early retirement. Or not just that.
- 1:26:26Or maybe she was in charge of national parks.
- 1:26:28From now on you go handle that. Yellowstone National Parks.
- 1:26:32She's running, camping you. Run.
- 1:26:33You run the CIA operation. Is that the fucking right?
- 1:26:37And so that's how the. So this guy will be.
- 1:26:41Will he go to this? 40, Pete.
- 1:26:43Now there's 40 in today's world being 40.
- 1:26:45Well, he's going to have to bring the he got a 40 year
- 1:26:50consecutive, so he's going to do the 33 1/2, then he's got to do
- 1:26:53the 6 1/2 and of course he's in a terrible spot because.
- 1:27:00He's 35, he's 35 now, and he's 3530.
- 1:27:02Five, he caught the charges when he was, I mean, he'll probably
- 1:27:09do 34. So he'll be in his mid 60s when
- 1:27:14he gets released. You would think that he should
- 1:27:16never be fucking. No, I mean look.
- 1:27:19That's how fucked up the system is, Pete.
- 1:27:21They made you almost do every fucking day of your shit.
- 1:27:23And you're I mean, you're you're you're you got a popsicle stand
- 1:27:26compared to this guy. Yeah.
- 1:27:28I mean, you're selling fucking. You're selling ice cream cones
- 1:27:32out the side of a truck compared to this motherfucker.
- 1:27:34Yeah. And so this and you know, God,
- 1:27:37the nature of his charges are bad only particularly because he
- 1:27:40has the enhancements put him in a separate category now like
- 1:27:44he's at ADX right now. He's at Super Max, right?
- 1:27:46He's at the Super Max so. He's in there.
- 1:27:48I in fact I just saw a documentary on ADX and where
- 1:27:51they're in there 20 it's like a 7 by 11 cell you are in there 23
- 1:27:561/2 hours you have. 23 hours a day.
- 1:27:58Yeah, 0 interaction with any other prisoners at all and any
- 1:28:02other any movement at all is belly change, leg shackles and
- 1:28:06the and the. Black and multiple staff of
- 1:28:08course, and but there's as you progress.
- 1:28:10So let's say you get for the first seven years you're going
- 1:28:13to be in those conditions and then there's there's a step down
- 1:28:16program where they're going to let you start interacting with
- 1:28:19other inmates that are already progressing as you make your way
- 1:28:22from the ADX down to a standard maximum security.
- 1:28:25In his particular circumstance, he's prohibited from having
- 1:28:29contact like this may be his whole bid.
- 1:28:31Yeah. Because he's already indicated.
- 1:28:35That he can't go to prison under normal circumstances, he cannot
- 1:28:38be. He can.
- 1:28:39Just talk to an inmate and say, hey, you know what, send out a
- 1:28:41letter. To get me a cell phone.
- 1:28:43Well, yeah, well, you're gonna have a hard time getting a cell
- 1:28:45phone at ADX. But even if it's just
- 1:28:47correspondence, like he can mail out letters.
- 1:28:50Hey, tell your cousin to call this person.
- 1:28:52You can read the messages through phone calls.
- 1:28:54And we're not dealing with the average cookie.
- 1:28:55Here, no. And so, yeah, he's going to have
- 1:28:58a particularly challenging sentence and.
- 1:29:03Do you got, do you got other inmates when he starts getting
- 1:29:05more freedoms? Do you got other inmates that
- 1:29:07know what he did and you know? That's when he's also going to
- 1:29:10be kept in those kind of a circumstances for protective
- 1:29:12custody purposes, like he could walk the line at a standard no
- 1:29:18maximum. Security purpose.
- 1:29:19He'd be done. Now he could maybe get to like
- 1:29:20Tucson, which is the high security level place for chose.
- 1:29:26But the choke, his choke shit. Yeah, his chose.
- 1:29:29The guys at Tucson are even worse than him.
- 1:29:32There's some life for them to take this guy out.
- 1:29:33And well, he's he was a within the Cho community, they call him
- 1:29:38a picture show because he was watching images, whereas they
- 1:29:43seem to distinguish themselves between picture shows and what
- 1:29:46they call hands on. Oh, something like a person that
- 1:29:49actually, yes. So I guess probably within the
- 1:29:52Cho world, a picture Cho isn't as bad as a hands on Cho, but a
- 1:29:56fucking Cho's a Cho. Yeah, the.
- 1:29:57Normal guys don't recognize. If you get turned on by an
- 1:30:00image, you're. Just a Cho, you might as well.
- 1:30:02We don't, we don't, we don't distinct Cho's a Cho.
- 1:30:04Yeah, we don't, we don't, we're not breaking that up.
- 1:30:06And so, but yes, so he is going to be segregated at least at
- 1:30:12least I would assume at least 20 years before his information
- 1:30:15would be of no no value because you know 20 years from now
- 1:30:19everything is so far progressed. Right, so people.
- 1:30:21Are like, well, as of now, like he poses a threat to national
- 1:30:25security. Well, he poses a threat to a lot
- 1:30:27of different shit, you know, so they got to lock him down.
- 1:30:29Hey, man, what a great episode, Pete.
- 1:30:31It was. It was as exciting and dark and
- 1:30:35deep as you had, as you had, as you had said it was going to be.
- 1:30:38You're like when I was talking to Pete and getting some of the
- 1:30:40notes, He's like, man, wait till you fucking hear about this
- 1:30:43dude. This guy might be worse than
- 1:30:45Ramirez. Like this guy's bad.
- 1:30:47Well, you know the the serial guys are terrible, but they
- 1:30:51don't. But their harm is the individual
- 1:30:53that they. Or the geographical area that
- 1:30:56they. Live in that they terrorize like
- 1:30:57this guy. Literally.
- 1:30:59The world was his with regards to his being hooligate effect.
- 1:31:04Yes, it was a deliberate effort to harm the country.
- 1:31:10And then you throw the Joe. Because he's a, you know,
- 1:31:13because he, he lost the slap fight and some guy shot him with
- 1:31:16a nerf gun. Like, are you fucking crazy?
- 1:31:19And that's kind of the the the basis of a lot of this.
- 1:31:22It's all personal vendetta, Yeah, based on this inability to
- 1:31:27resolve a dispute. You know who would be a great
- 1:31:30interview? Pete, if we could get it, would
- 1:31:32be the defense attorney, The woman, I don't know if she would
- 1:31:35grant an interview, but it would be.
- 1:31:36That would be a great. Oh, yeah, that'd be a great
- 1:31:38interview. Yeah, to give you the inner
- 1:31:40workings of her defense and how. Everything would be much of
- 1:31:43that. Was classified or you could
- 1:31:46probably get into how disappointed like what was his
- 1:31:48mindset when he fired you? Like you know what?
- 1:31:51Whatever the attorney-client what it what it be?
- 1:31:54She couldn't say why I recommended.
- 1:31:56Well, it's obvious what she recommended.
- 1:31:57Sure, you could just say like I, I as a standard recommendation.
- 1:32:00I guess she could. Get to file and just go through
- 1:32:02some of her brilliant pleadings and some of the stuff that she
- 1:32:05got. Oh.
- 1:32:05Yes, yeah. I mean, if you wanted to do a
- 1:32:07deeper dive, like I just pulled the sentencing memorandums, I
- 1:32:10pulled the correspondence from the CIA, She.
- 1:32:12Needs to go into the oh, she probably is not just a defender,
- 1:32:16a a a federal defender. She's probably in practice.
- 1:32:20Yeah, this is the kind of case that was land her at Williams
- 1:32:23and Connolly or one of them taking Gump exactly law firm of
- 1:32:26that nature because at that point, like she's earned her
- 1:32:29chops. Deadly Intentions, me and Pete
- 1:32:34please. Pete and I please follow us.
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