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Israel
launching a war against Egypt. Then, once Egypt began defending itself, England
and France would go in as "peacekeepers." As part of the
"peace," the canal would be taken from Egypt and kept by Britain and
France. Israel would capture the Sinai from Egypt. It was a deceitful plan,
which smacked of a return to the worst days of colonialism. Nevertheless, it
was fully agreed to by Israeli prime minister David Ben-Gurion, defense
minister Shimon Peres, and armed forces chief Moshe Dayan. Britain's prime
minister, Anthony Eden, informed of Israel's planned key role, likewise gave
his country's approval. For all involved in the cabal, it was essential to keep
the precise details of the elaborate conspiracy hidden from Washington. At the
same time, however, it was also essential to win Washington's support once the
hostilities began.
    As the
crisis quietly grew, the American intelligence community began turning its eyes
and ears on the Middle East. On Monday, August 6, Secretary of State John
Foster Dulles sat alongside the president's desk and brought to Eisenhower's
attention NSA's latest intercepts from Spain and Syria, revealing their
attitudes and intentions following the seizure. From Israel, however, there was
nothing.
    NSA's
expensive machine was not working. It had only two settings: Communist Europe
and Communist Asia. Under the postwar United Kingdom—USA (UKUSA) Communications
Intelligence Agreement, the world had been divided into spheres of interest.
Through its listening posts in England and on Cyprus, GCHQ, NSA's longtime
British partner, was to monitor much of Western Europe and the Middle East. But
now, to hide from Washington its invasion plans, GCHQ was passing on only
selected intercepts.
    Deceived
by its partner, NSA could do little by itself. The agency had few Arabic or
Hebrew linguists and it was not equipped to eavesdrop on British, French, or
Israeli military communications. All NSA knew was that traffic analysis
indicated that "communications between Paris and Tel Aviv were extremely
heavy," as were those between Britain and France.
    To make
matters worse, the agency was in the middle of moving from Washington to a new
headquarters twenty-five miles north, at Fort Meade in Maryland. Files, people,
and equipment were scattered among Arlington Hall in Virginia, where the main
codebreaking and analysis were done; the Naval Security Station in Washington,
which served as headquarters and was responsible for codemaking; and the new
building at Fort Meade where operations were to be consolidated. Communications
among the various areas were jury-rigged and couriers were required to move
intercepted traffic between locations four times a day. Adding to the
confusion, General Canine was clearing his desk and getting ready to retire. As
one NSA analysis later acknowledged, "1956 was a bad time for NSA to get
involved in a crisis."
    As the
full extent of the elaborate French-Israeli-British plot became clear,
Eisenhower grew outraged. He told Britain and France that they should expect no
American assistance with their adventure. Over the phone, Dulles told
Eisenhower the action was "about as crude and brutal as anything [I] have
ever seen" and called the Anglo-French ultimatum "unacceptable."
"Expect the Russians to be in on this," Eisenhower said. Allen
Dulles, at the CIA, called his brother. "It was the gravest situation
between our countries in years," Allen said.
    The issue
of what action to take against Israel was hotly debated. "It would be a
complete mistake for this country to continue with any kind of aid to
Israel," Eisenhower argued, "which was an aggressor." Harold
Stassen objected but John Foster Dulles answered, "One thing at least was
clear: We do not approve of murder. We have simply got to refrain from
resorting to force in settling international disputes. ... If we stand by in
this crisis, the whole United Nations will go down the drain." Eisenhower
agreed.
    In London,
the heavy pressures