Great Oil Sniffer Hoax

Last updated

The complete text of the French Court of Auditors report, published in the Liberation newspaper on January 4, 1984. 1984-01-04 LIBE L'affaire des avions renifleurs - Le texte integral du rapport.pdf
The complete text of the French Court of Auditors report, published in the Libération newspaper on January 4, 1984.

The Great Oil Sniffer Hoax was a 1979 scandal involving French oil company Elf Aquitaine. The company spent millions of dollars developing a new gravity wave-based oil detection system, which was later revealed to be a scam. Elf lost over $150 million in the hoax. In France, the scandal is known as the "Avions Renifleurs" ("Sniffer Aircraft").

Contents

Prior to Elf

Aldo Bonassoli, a telephone-company electrician in Ventimiglia in Italy, invented a new type of desalination system. In 1965, Belgian Count Alain de Villegas became interested in the idea and later said that "We can live without oil, but not without water." [1] When the device did not work as expected, the team turned its attention to a related concept, a "water sniffer" that would find water.

De Villegas was also a member of the Pan-European Union, an anti-communist group headquartered in Brussels. Through contacts in this group, in 1969 he met Jean Violet, a lawyer who worked for the Service de Documentation Extérieure et de Contre-Espionnage (SDECE), the French intelligence agency. Violet, who was an influential behind-the-scenes player in the European anti-communist world, had formed the Pinay Circle in the 1950s around its titular leader, Antoine Pinay.

Violet expressed interest in the water sniffer, and agreed to try and find development funding. An attempt to interest Crosby Kelly in New York failed when Kelly stated he would only put up the money if the device was first proven to work. A friend of Violet's, Italian industrialist Carlo Pesenti, showed more interest and agreed to start funding early development. [1] A new company was formed in Switzerland: Fisalma, Inc. (registered in Panama), under the direction of Philippe de Weck, president of Union des Banques Suisses (later part of UBS AG from the 1990s). [2] Through contacts in Opus Dei, Violet arranged for Spain's tourism minister, Alfredo Sánchez Bella, to put several test sites in Spain at the team's disposal. [1]

Although the tests found the sniffer to be unsuccessful, in the midst of the testing the Yom Kippur War of October 1973 broke out and oil prices quadrupled. De Villegas kept his project alive by announcing that the machines could also detect oil, persuading Pesenti to invest additional funds. Using contacts provided by Pinay, they flew their equipment to South Africa, where they gained government authorization to conduct tests over Zululand. Pesenti's engineers fitted one of the machines into a Douglas DC-3 for the surveys. A site thought to be promising was identified and drilling began, but by the end of 1975 the costs had become so great that Pesenti opted out. The Zululand bore eventually bottomed out at 6,000 meters with a drill stem and no oil. [1]

Elf involvement

Although the details remains unclear to this day, some time in 1976 de Villegas and Bonassoli were introduced to Elf officials, apparently through de Villegas or Violet's connections in the French intelligence services. Bonassoli explained that he had been tinkering with televisions when he hit upon the idea of building a gravity wave detector that could be used to detect masses underwater - not just oil, but submarines as well. He had developed these into two machines: "Delta" which was designed to detect oil reserves from the air and produced a paper report and "Omega" which mapped from a closer range and displayed its output on a TV screen. He was willing to demonstrate the devices, but only if there were no scientists present, claiming that they might steal his ideas. Information about the pair's invention quickly made their way up the French political hierarchy.

In spite of the obvious scientific problems that would have turned up had they been investigated, there is no record of anyone involved having attempted any sort of scientific due diligence. Nor is there any record of any sort of background check, which would have turned up the string of previous failures. Such an obvious oversight on the part of the officials might sound odd, but writers have commented on a sort of political chauvinism that surrounded the project. [1] [2] [3] At the time Elf was almost wholly controlled by the government, as were similar companies in other European nations and Canada. Unlike those companies, Elf had little crude oil supply of its own, and few known deposits for future commercialization. Elf was in danger of losing its status as a producer, at some point becoming nothing more than another refiner. If the devices could find new sources of oil practically anywhere, as was being claimed, France might remain among the small family of oil-producing European nations. This possibility was so attractive that the official involved overlooked any doubts that were expressed, while also keeping the project completely secret.

Between 30 April and 7 May 1976 the devices were demonstrated for Elf officials, who obliged Bonassoli's "no scientists" request. The devices, not much larger than a few photocopiers,[ vague ] were installed in a transport plane behind curtains and flown around over known oil fields. Sure enough the device flashed lights, drew lines on the attached TV, and printed paper with a sort of topographical map on it. The map looked almost identical to previously published public exploration reports. The Elf observers, including company founder Pierre Guillaumat, were completely convinced that the devices were real.

In May 1976 Elf signed a 200 million Swiss Franc (US$80 million) contract for a two-year exclusive use while the device was tested. When this contract was complete, a second would take over in 1978 for an additional 250 million Francs (US$130 million), expenses not included. This was apparently done without Elf's civilian board of directors being made aware of the project. [2]

France's president, Valéry Giscard d'Estaing, was told of the devices in June 1976 and was aware of the development contracts being given to de Villegas' Fisalma. Four months later the new prime minister, Raymond Barre, learned of devices when his signature was required to waive various currency restrictions in order to transfer the funds abroad to the company's Swiss bank account. [2] To keep the project secret, the funds were transferred through previously small Elf bank accounts.

Exposure

In spite of numerous "successful" flights, every attempt to drill at the indicated locations came up empty. In response Bonassoli repeatedly stated that his device appeared to be "too accurate" to be used and required further development. His Elf contacts, however, remained confident in spite of the failures, and happily continued to provide Bonassoli with documentation of previous studies of the fields that were due to be flown over in the tests. These studies were then parroted back through the devices, further convincing the Elf managers that they worked.

Things started to change when management of Elf passed from Guillaumat to Albin Chalandon. Initially a supporter of the project, after examining project documentation, Chalandon was forced to admit that there was not a single usable result from the tests. [3] In May 1979 he arranged for Jules Horowitz, chief of research and development for France's atomic energy agency, to visit the lab and examine "Omega". Instead of examining the device itself, he started asking Bonassoli questions about the Omega's capability to detect various common objects through a wall. After two failures, Bonassoli eventually agreed that it could easily detect a metal ruler. Bonassoli turned on the device, and sure enough out came a piece of paper with a short line on it. Horowitz returned from behind the wall and held up the ruler, which he had bent into a L shape while hidden from view. [2] [3] [4]

Oddly, work continued. A month later another demonstration further revealed the hoax. Omega was shown to be outputting graphics projected from within the box. [5] Further investigation showed that what was inside one cabinet did not simply appear to be a photocopier, but actually was a photocopier. This was the reason the devices' output always looked so similar to previous reports; Bonassoli was hand-copying them, and then simply pressed "copy" to generate output that looked similar, but slightly different, than the originals they had provided. Bonassoli attempted to deflect all criticism by stating that the entire secret of the device was one key component, which was locked in a box that he refused to open. But it was too late, Elf realized it had been hoodwinked.

Even after the hoax was discovered, the government did little to address the problem. Bonassoli managed to successfully return to Italy, where he became something of a folk hero. Elf never completed paying for the final contract, but nevertheless had spent over $150 million in total.

Political scandal

All of France's quasi-public corporations were audited by the Cour des Comptes. In 1979 the magistrate in charge of Elf's audit, François Giquel, asked about the sudden change in certain accounts. These had contained only small amounts of money for many years, around 3 million Francs, and then suddenly grew to hundreds of millions of Francs over the last three years. The President personally informed Giquel that it was a matter of military secret, and he was sworn to secrecy. [2] In 1982, Bernard Beck, president of the Cour des Comptes and a political ally of Giscard d'Estaing, shredded three key documents about the case at the auditor's office, as well as Giquel's office copy. [2]

The story finally broke in December 1983. The junior Secretary for the Treasury publicly accused Beck of forfaiture ("abuse of authority") for destroying the documents. The same week Pierre Péan published a complete history of the story in the satirical magazine Le Canard Enchaîné , apparently tipped off by government insiders. The new president, François Mitterrand, seized on the story to attack his predecessor for his involvement in the "cover up", going on to claim that they had destroyed all of the documents. Giscard d'Estaing responded on television, brandishing another copy of the report which he had in his own possession, and claiming that its existence proved that the entire affair was simply a case of political manoeuvring. [2]

This proved to be a bad idea; the report was seized and subsequently published in full. On 2 January 1984 it was released live on television by the new prime minister, Pierre Mauroy. Mauroy sarcastically accused Barre and Giscard of trying to cover up the embarrassing story. Giscard appeared on television a second time, attacking Mitterrand for "having allowed his predecessor to be attacked". [2] The Economist claimed that Mitterrand used his influence to have a public investigation into Giscard quashed.

Bonassoli reappears

In January 1984, Bonassoli held a press conference in Italy, claiming that he would hand over all the data on his machine to the Italian National Research Council (CNR). He also stated that the Soviets had expressed an interest in the machine. When asked about the claims of fraud, Bonassoli simply replied that the machine had been greatly improved since the 1970s. [4] Nothing ever came of the announcement.

Related Research Articles

<span class="mw-page-title-main">François Mitterrand</span> President of France from 1981 to 1995

François Maurice Adrien Marie Mitterrand was a French politician who served as President of France from 1981 to 1995, the longest holder of that position in the history of France. As a former Socialist Party First Secretary, he was the first left-wing politician to assume the presidency under the Fifth Republic.

<span class="mw-page-title-main">Jacques Chirac</span> President of France from 1995 to 2007

Jacques René Chirac was a French politician who served as President of France from 1995 to 2007. He was previously Prime Minister of France from 1974 to 1976 and 1986 to 1988, as well as Mayor of Paris from 1977 to 1995.

<span class="mw-page-title-main">Valéry Giscard d'Estaing</span> President of France from 1974 to 1981

Valéry René Marie Georges Giscard d'Estaing, also known as Giscard or VGE, was a French politician who served as President of France from 1974 to 1981.

<span class="mw-page-title-main">Central African Empire</span> 1976–1979 monarchy in central Africa, now the Central African Republic

The Central African Empire was established on 4 December 1976 when the then-President of the Central African Republic, Jean-Bédel Bokassa, declared himself Emperor of Central Africa. The empire would be dissolved less than three years later when French and Central African forces overthrew Bokassa and re-established the Central African Republic on 21 September 1979.

<span class="mw-page-title-main">Elf Aquitaine</span> French petroleum brand owned by TotalEnergies

Elf Aquitaine is a French brand of oils and other motor products for automobiles and trucks. Elf is a former petroleum company which merged with TotalFina to form "TotalFinaElf". The new company changed its name to Total in 2003 and TotalEnergies in 2021. Elf has been as a major brand of TotalEnergies since then.

<span class="mw-page-title-main">Gaullism</span> French political stance

Gaullism is a French political stance based on the thought and action of World War II French Resistance leader Charles de Gaulle, who would become the founding President of the Fifth French Republic. De Gaulle withdrew French forces from the NATO Command Structure, forced the removal of Allied bases from France, as well as initiated France's own independent nuclear deterrent programme. His actions were predicated on the view that France would not be subordinate to other nations.

<span class="mw-page-title-main">Rally for the Republic</span> Political party in France

The Rally for the Republic, was a Gaullist and conservative political party in France. Originating from the Union of Democrats for the Republic (UDR), it was founded by Jacques Chirac in 1976 and presented itself as the heir of Gaullist politics. On 21 September 2002, the RPR was merged into the Union for the Presidential Majority, later renamed the Union for a Popular Movement (UMP).

<span class="mw-page-title-main">Union for French Democracy</span> Political party in France

The Union for French Democracy was a centre-right political party in France. The UDF was founded in 1978 as an electoral alliance to support President Valéry Giscard d'Estaing in order to counterbalance the Gaullist preponderance over the political right in France. This name was chosen due to the title of Giscard d'Estaing's 1976 book, Démocratie française.

Robert Hersant was a French newspaper magnate. He was a leader in the pro-Nazi youth movement during the Vichy wartime years, but after prison time built a major newspaper empire and engaged in conservative politics. At the time of his death he operated 40 publications and employed 8,000 people, but failed in his leap into television.

<span class="mw-page-title-main">Roland Dumas</span> French lawyer and politician (born 1922)

Roland Dumas is a French lawyer and Socialist politician who served as Foreign Minister under President François Mitterrand from 1984 to 1986 and from 1988 to 1993. He was also President of the Constitutional Council from 1995 to 1999.

<span class="mw-page-title-main">Jacques Cheminade</span> French-Argentinian politician (born 1941)

Jacques Guy Cheminade is a French politician, activist and former diplomat. He is the head of the Solidarity and Progress (SP) party, the French arm of the LaRouche movement. He has thrice run for President of France, always placing last.

<span class="mw-page-title-main">1974 French presidential election</span>

Presidential elections were held in France in 1974, following the death of President Georges Pompidou. They went to a second round, and were won by Valéry Giscard d'Estaing by a margin of 1.6%. It is to date the closest presidential election in French history.

<span class="mw-page-title-main">1965 French presidential election</span>

Presidential elections were held in France on 5 December 1965, with a second round on 19 December. They were the first direct presidential elections in the Fifth Republic and the first since the Second Republic in 1848. It had been widely expected that incumbent president Charles de Gaulle would be re-elected, but the election was notable for the unexpectedly strong performance of his left-wing challenger François Mitterrand.

<span title="French-language text"><i lang="fr">Françafrique</i></span> Frances sphere of influence in Africa

In international relations, Françafrique is France's sphere of influence over former French and Belgian colonies in sub-Saharan Africa. The term was derived from the expression France-Afrique, which was used by the first president of Ivory Coast, Félix Houphouët-Boigny, in 1955 to describe his country's close ties with France. It was later pejoratively renamed Françafrique by François-Xavier Verschave in 1998 to criticise the alleged corrupt and clandestine activities of various Franco-African political, economic and military networks, also defined as France's neocolonialism.

<span class="mw-page-title-main">1981 French legislative election</span>

Legislative elections were held in France on 14 and 21 June 1981, to elect the seventh National Assembly of the Fifth Republic.

<span class="mw-page-title-main">Robert Boulin</span> French politician (1920–1979)

Robert Boulin was a French politician who served as Minister of Labour in the French Cabinet and was at the centre of a major real-estate scandal that ended only with his death in mysterious circumstances. At the time of his death he was the longest serving minister in post-revolution French history; only Louis XIV's Colbert served longer.

<span class="mw-page-title-main">Chad–France relations</span> Bilateral relations

Chad–France relations are the diplomatic relations between the Republic of Chad and the French Republic. France controlled Chad from 1900 until the country's independence in 1960. Both nations are today members of the Francophonie and the United Nations.

The Grands Projets of François Mitterrand was an architectural programme to provide modern monuments in Paris, the city of monuments, symbolising France's role in art, politics and the economy at the end of the 20th century. The programme was initiated by François Mitterrand, the 21st President of France, while he was in office. Mitterrand viewed the civic building projects, estimated at the time to cost the Government of France 15.7 billion francs, both as a revitalisation of the city, as well as contemporary architecture promoted by Socialist Party politics. The scale of the project and its ambitious nature was compared to the major building schemes of Louis XIV.

<span class="mw-page-title-main">French presidential inauguration</span>

The French presidential inauguration is an event marking the beginning of a new term for the president of France.

Jacques Calvet was a French businessman.

References

Notes

  1. 1 2 3 4 5 Hutchinson, p. 158
  2. 1 2 3 4 5 6 7 8 9 Singer, 1984
  3. 1 2 3 Guisnel
  4. 1 2 Lloyd, pg. 8
  5. Time, 1984

Bibliography

  • Robert Hutchinson, Their Kingdom Come – Inside the Secret World of Opus Dei, pp. 153–158, Doubleday, 1997, ISBN   0-385-40496-4
  • Jean Guisnel, "Als Elf-Erap freudig erbebte", Neue Zürcher Zeitung (in German), January 1994
  • Daniel Singer, "AutoWorkers and 'Sniffing Planes'", The Nation , 25 February 1984
  • "Jean Violet", Lobster: The Journal of Parapolitics , Issue 18, 1989
  • "Big Stink", Time , 30 January 1984.
  • Andrew Lloyd, "Bizarre theories of Bonassoli", New Scientist , 19 January 1984
  • "Foes Blame Giscard for Sniffer Plane Scheme", The New York Times , 22 November 1984.
  • R. T. Naylor, Hot Money and the Politics of Debt, pp. 258–261, McGill-Queen's Press, 2004, ISBN   0-7735-2743-5