Arnon Milchan, Israel's Oscar Winning Weapons Smuggler

In 1983, Milchan was suspected by the FBI of smuggling American nuclear “krytron” triggers. One year later, he was off to Rome producing the Robert De Niro flop Once Upon A Time In America. That particular cinematic train wreck grossed a measly U.S.$5.3 million, but cost $30 million to produce. His films up until that point fared no better at the box office. 

Though he was a suspected arms dealer, Milchan had the ability to carry large feature film production equipment, world-famous actors and film crews across borders around the globe unfettered. This speaks volumes to the true power that was financing his operation…the government of Israel. Haaretz even described Milchan as Israel’s largest arms dealer and Milchan was once hired by Raytheon, the giant U.S. defense contractor. https://www.haaretz.com/.premium-did-hollywood-help-israel-buy-arms-1.5292948 

A former business partner, Richard Kelly Smyth, at MILCO, was arrested by U.S. customs for the nuclear detonators, but Milchan was never charged by then FBI director, and current Homeland Security Advisory Council Chair, William Webster. Webster, 94, also had a stint under Poppy Bush as Director of Central Intelligence. Richard Kelly Smyth was released on bail and soon fled the country with his wife and they remained at large until captured in Malaga, Spain in July of 2001, after Smyth applied for Social Security benefits. https://en.wikipedia.org/wiki/1985:_The_Year_of_the_Spy#Richard_Kelly_Smyth 

Milchan was deeply involved with LAKAM, a covert “Israeli science bureau” outfit created by Israel’s Likud party. He primarily used this position to set up straw accounts most notably, with his business partner and current Prime Minister of Israel, Benjamin Netanyahu, at MILCO. Netanyahu at the time was also a rising star in the Jewish state’s many clandestine and highly illegal activities, but the ultimate goal seemed to be building Dimona; Israel’s secretive nuclear weapons facility. https://www.theguardian.com/world/2014/jan/15/truth-israels-secret-nuclear-arsenal 

“A 2011 biography called “Confidential: The Life of Secret Agent Turned Hollywood Tycoon Arnon Milchan” claims Milchan was recruited into Israel’s LAKAM economic espionage unit in his 20′s and became a key operative for Benjamin Blumberg (head of LAKAM), and Rafi Eitan (who ran Jonathan Pollard and infiltrated NUMEC). 

Milchan was the confidant of Shimon Peres and now Benjamin Netanyahu. According to the book, Blumberg taught Milchan how to establish front companies and secret bank accounts to launder millions in commissions obtained during LAKAM and Mossad transactions. Milchan encouraged Smyth in 1972 to incorporate MILCO to share profits on export sales with his Tel Aviv-based Milchan Brothers company. Milchan Brothers, involved in concrete, plastics, and explosives, received purchase orders from Blumberg and sent them via secure telex to Smyth. 

MILCO did 80 percent of its business with Milchan, including transfers of other US technologies useful to Israel’s secretive nuclear weapons programs. (Gyroscopes, neutron generators, high-speed oscilloscopes, computerized flight control systems.)” http://israellobby.org/krytons/