Thursday, December 29, 2005

Lincoln Group...Oh My!

The Times December 24, 2005

Godalming geek made millions running the Pentagon's propaganda war in Iraq
By Patrick Foster and Tim Reid in Washington


IT WAS astounding enough for Washington’s political elite: last month they discovered that the man at the heart of a scandal over the planting of US propaganda in Iraqi newspapers was a dapper but unknown 30-year-old Oxford graduate who had somehow managed to land a $100 million Pentagon contract.

What is even more remarkable however, after an investigation by The Times, is that just ten years ago Christian Bailey, whose US company is under investigation for planting fake news stories in Iraqi newspapers, was a nerdy, socially awkward English school-leaver called Jozefowicz.

The transformation of the geeky but ambitious Christian Jozefowicz, who just a few years ago was growing up in a modest terraced house in Godalming, Surrey, to the charming, baby-faced multimillionaire Christian Bailey now rubbing shoulders with some of the most powerful figures in Washington — and who next year will probably face questions on Capitol Hill about his company — is one of the more extraordinary stories to have emerged from the Iraq war.

This month it was revealed that Mr Bailey’s US company, the Lincoln Group, was the recipient of a Pentagon contract to help to fight the information war in Iraq. It then emerged that the company was paying Iraqi journalists to plant optimistic news “stories” in Iraqi papers that had been written by the US military.

Interference with the press touches a raw nerve in America. The fake stories revelation provoked a furore among Republicans and Democrats. President Bush said he was “very troubled” by it. Donald Rumsfeld, the US Defence Secretary, has promised a Pentagon investigation. Congress plans hearings into the scandal.

The journey from the Royal Grammar School, Guildford, which Mr Bailey left in 1994, to the heart of K Street in Washington, the centre of money and influence in the US capital, has been remarkably rapid. Today he has a reputation in Washington for being a socialite with links to influential Republicans. He is a helicopter and aircraft pilot and his home is in a fashionable area.

Through a Lincoln Group spokesman, Mr Bailey answered questions from The Times to help to explain how, at just 30, he landed the Pentagon as an important client. He was born Christian Martin Jozefowicz on November 28, 1975, in Kingston upon Thames, to Jerzy and Anne Jozefowicz.

His father, a Polish architect, died in April 1998. His mother, who has since reverted to her maiden name of Seifert, was born in West Germany. The family lived in East Molesey, southwest London, before moving to Godalming, Surrey.

Mr Bailey’s Royal Grammar School contemporaries recall a business-obsessed, “geeky” individual with few friends. “He was a nerd at school,” one told The Times. Another described him as a “school joke” who told everyone he was going to be a millionaire. He was the first at school to have a mobile phone and was interested in early versions of the personal computer.

He founded a Young Enterprise company, Chameleon, which led to his selection as one of the top six Young Enterprise participants in Britain.

His school yearbook records Christian Jozefowicz as “Mr Business himself” and that he was elected vice-president of the International Student Forum, a business gathering in the US. In 1994 he won a place at Lincoln College, Oxford, where he read economics and management. He kept computers in his room, thought for monitoring the stock markets.

In his third year at Oxford he hired an assistant to help him to run his first proper company, Linck Ltd, which sold self-help tapes. In 1998, he changed his name to Bailey. “Following his father’s death, Bailey assumed the name for family reasons, something which children commonly do,” a Lincoln Group spokesman said. In the late 1990s he moved to San Francisco to try his hand as a dotcom entrepreneur, and then to New York, where he became treasurer of the Oxonion Society, a club for intellectual Anglophiles. He became co-chairman of a networking group for young Republicans. With his Republican contacts growing, Mr Bailey moved to Washington, where he spotted a golden business opportunity: the looming war in Iraq. He formed a partnership with Paige Craig, a former US Marine who served in Iraq.

In early 2003, just before the invasion, Mr Bailey formed a Lincoln subsidiary, the Lincoln Alliance Corp, offering “tailored intelligence services [for] government clients faced with intelligence challenges”. He also formed another subsidiary, Iraqex, which won a $6 million Pentagon contract to launch “an aggressive advertising and PR campaign that will accurately inform the Iraqi people of the c oalition’s goals and gain their support”.

The big breakthrough came in June this year when the Pentagon awarded the Lincoln Group a contract worth up to $100 million over five years to support the US military’s “joint psychological operations”, known as “psyops”.

Lincoln group defended the planting of stories and the company has emphasised that none of them were factually incorrect. “By not speaking through the local media, the coalition would allow a vacuum for rumours and untruths perpetrated by the insurgents’ thuggery and threats,” a spokesman said.
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LIFE AND WORK

November 28, 1975: Born Christian Jozefowicz, Kingston upon Thames

1987-94: Attends the fee-paying Royal Grammar School, Guildford

1993-94: Listed on electoral roll as Christian Jozefowicz-Seifert

1994-97: Obtains a 2:1 in economics and management from Lincoln College, Oxford. While at university, runs Linck Ltd.

October 1998: Founds Linck Corporate Finance under the name of Christian Bailey. Fails to declare previous surname or other directorship

1999: Moves to America

2003: Co-founds Lincoln Group, now subject to investigation into planting of US military propaganda in Iraqi newspapers

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