A Special Report By Leonard G. Horowitz, D.M.D., M.A., M.P.H. December 2001

Background on the Anthrax Vaccine Maker-Bioport

1. In March 16, 1999, Robert C. Myers DVM* Chief Operating Officer of BioPort-America's only anthrax vaccine maker-appealed to a Senate Appropriations Committee for urgent funding for both anthrax and smallpox vaccines. In 1996, in his own words, he “was part of a team of organizations, led by Battelle Memorial Institute, which came together to compete for the [Department of Defense's Joint Vaccine Acquisition Program]] JVAP. Despite there being dozens of potential bioterrorist threats, Dr. Myers stated these two threats were the greatest since anthrax is easy to handle and “because smallpox is highly contagious and probably most of the world is now susceptible. . . .”

He also testified, “Suppose we have a smallpox vaccine stockpile and a manufacturing capability. . . . Funding for adequate security must be included in this program if the threat is to be optimally minimized. Included in these security measures and to prevent against natural disaster, there should be two or more geographical separate manufacturing facilities and two or more facilities for storage of the manufactured vaccine.” He further stated that few companies wished to become involved in the production of anthrax and smallpox vaccines due to the high expense and risks involved in research and development. Today, the only other companies linked to smallpox vaccine production include Baxter, Aventis Hoechst-Rhone Poulenc subsidiary OraVax/Acambis, and Fort Dodge Animal Health as detailed in the accompanying flow chart.(8)

2. The preceding year (September 1998), Bioport Corporation took over a failing anthrax vaccine business from state-owned Michigan Biologic Products Institute. Less than a month later, the company landed an exclusive $29 million contract with the Department of Defense to “manufacture, test, bottle and store the anthrax vaccine.” Admiral William J. Crowe, Jr., a former Chairman of the Joint Chiefs of Staff and close personal aid to President Bill Clinton, with no financial investment of his own, received 22.5% of Bioport's stock to promote, secure, and manage military anthrax vaccine contracts.(9)

3. Bioport's principal investor was Saudi business man Fuad El-Hibri -a close friend of the bin Laden family, and a previous merger and acquisitions manager for the Rockefeller linked Citigroup in New York.(9,10)

4. Bioport shares were also held by The Carlyle Management Group-America's 11th leading defense contractor largely directed by past CIA director Frank Carlucci, James Baker III, and George H.W. Bush, according to several investigators.(11)

5. According to the Associated Press, Past President George H.W. Bush acts as a business agent for the Carlyle Group and wealthy Saudi families including the bin Ladens.(12)

6. Between 1998 and 2000, Bioport successfully negotiated through a steady storm of controversy and illegalities to secure ongoing defense contracts for anthrax vaccine.(9,10,13) ¹⁾