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Home Page : News: Newspaper Articles

This article appeared online on November 8, 2003

Aviator headed up clandestine venture
AIR AMERICA WAS A FRONT FOR SECRET CIA MISSIONS

HERALD-LEADER STAFF WRITER

Even Kentuckians who are familiar with the state's military history and its many war heroes probably never have heard of Hugh Grundy.

But the Washington County native played a major, though behind-the-scenes, role in one of the most debated periods of American history. Grundy, now 87, was president of Air America, ostensibly a private airline, but in fact a CIA-front operation that flew secret intelligence missions and carried food, ammunition, supplies and even livestock for anti-Communist fighters in Laos, Vietnam and other parts of Southeast Asia from the early 1950s to the early 1970s.

"Air America was the largest of a network of aviation companies that this giant CIA air complex ran under a holding company called Pacific Corp.," says William Leary, the E. Merton Coulter professor of history at the University of Georgia. "It was all classified. And Hugh Grundy basically was the operational head of the entire complex."

The arrangement allowed the U.S. government to secretly do things that it couldn't do openly because of political concerns. For example, the operation flew ammunition and supplies to French forces surrounded at-Dienbienphu in 1954, at a time when the United States officially was staying out of Vietnam.

Later, after the United States entered the war, Air America pilots, such as Lexington's Lee Howell, flew into tiny jungle airstrips, often under fire, to deliver cargo and pick up wounded.

One of the war's most famous photographs shows an Air America helicopter plucking refugees from a Saigon rooftop during the collapse of South Vietnam in 1975.

In recognition of Grundy's service, the Aviation Museum of Kentucky is inducting him tonight into the Kentucky Aviation Hall of Fame. Three other aviation pioneers with Kentucky ties also are being inducted at Blue Grass Airport.

Hired by CAT in China

Grundy earned his pilot's license in Louisville around 1930, beginning an aviation career that would take him around the world.

By 1941, he was in Africa, helping develop a commercial air route for Pan American Airways. After serving as an Air Force major during World War II, Grundy went to work for a Pan-Am affiliate in China. Soon after, however, he was hired as chief engineer for CAT, a civilian airline in China launched by Gen. Claire Chennault, creator of the famous Flying Tigers.

The U.S. government had been contracting with CAT for several years to fly classified missions in China, then being overrun by the Communists. The CIA secretly bought the airline outright in 1950, just about the time Grundy came on board.

"Very few people in the company knew that the CIA owned it," Grundy recalled. "I didn't know myself until I was formally briefed on it about 1953."

Shortly after that, Grundy was named president of the company and suggested a name change to avoid confusion with a similarly named operation. The new name was Air America.

A balancing act

Most of Air America's operations involved straightforward commercial flying, moving cargo and passengers. But revenue from that supported the classified missions that no one talked about.

"It was designed not to cost the CIA anything, so it had to be a profit-making operation," said Leary, who has studied Air America's history. "On the other hand, it wasn't supposed to make enough money to be competition for other American airlines. So, running it was a balancing act.

"The CIA wanted somebody who could run it without drawing attention. And Grundy played that role magnificently."

Working out of offices in Taiwan, Grundy directed an operation that, over the years, involved up to 700 pilots and 10,000 employees. But it was so secret that Grundy's wife, Frankie, never knew the true nature of his work until the CIA openly honored him for his service in 2001.

"I had a boss in Washington who was a CIA person, but also an airline person," Grundy said. "He gave us directions as to what he wanted done, and we tried to carry them out."

But if directing Air America was tough, flying for it was a death-defying adventure.

Pilots loved adventure, pay

Flying slow, unarmed planes, Air America pilots battled long hours, dismal weather conditions and intense enemy fire, landing in spots that barely qualified as landing strips.

"We had one strip in Laos that was about 700 feet long, with a dog-leg in the middle," Grundy said. "It was on the side of a mountain, so part of it was supported by bamboo poles. It's hard to imagine if you never saw it."

Nevertheless, the company attracted a rousing gang of former military fliers, crop dusters and stunt pilots who loved the adventure and the good pay Air America provided. They wore colorful nicknames like Squeaky, Willie Lump Lump and Earthquake McGoon.

"You had a sense of adventure and patriotism, and it was the best flying you would ever do," says Lee "Woo How" Howell of Lexington, an Air America pilot from about 1962 to 1971. "But it was hazardous. We bent up an awful lot of airplanes over there."

Nearly 300 Air America pilots were killed.

The operation ended after South Vietnam collapsed. Grundy returned to the United States and worked in Miami until retiring and returning to Washington County in 1984. Today, he minimizes his contribution.

"I had a lot of good people working with me; the credit goes to them," he said.

The saga of Air America inspired a 1990 movie of the same name, staring Mel Gibson and Robert Downey Jr. But Grundy, like most Air America veterans, didn't think much of it.

"I saw it," he said, "and it was terrible."

This article appeared online on November 8, 2003

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