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Here's what the 9/11 Commission has to say on this issue. There were some things they couldn't deny, since author Peter Lance testified before the commission, but in the end they minimized it and elsewhere in their report concluded the 9/11 plot wasn't hatched until 1998:
After 9/11, some Philippine government officials claimed that while in Philippine custody in February 1995, KSM’s Manila air plot co-conspirator Abdul Hakim Murad had confessed having discussed with Yousef the idea of attacking targets, including the World Trade Center, with hijacked commercial airliners flown by U.S.-trained Middle Eastern pilots. See Peter Lance, 1000 Years for Revenge: International Terrorism and the FBI—the Untold Story (HarperCollins, 2003), pp. 278–280. In Murad’s initial taped confession, he referred to an idea of crashing a plane into CIA headquarters. Lance gave us his copy of an apparent 1995 Philippine National Police document on an interrogation of Murad. That document reports Murad describing his idea of crashing a plane into CIA headquarters, but in this report Murad claims he was thinking of hijacking a commercial aircraft to do it, saying the idea had come up in a casual conversation with Yousef with no specific plan for its execution. We have seen no pre-9/11 evidence that Murad referred in interrogations to the training of other pilots, or referred in this casual conversation to targets other than the CIA. According to Lance, the Philippine police officer, who after 9/11 offered the much more elaborate account of Murad’s statements reported in Lance’s book, claims to have passed this added information to U.S. officials. But Lance states the Philippine officer declined to identify these officials. Peter Lance interview (Mar. 15, 2004). If such information was provided to a U.S. official, we have seen no indication that it was written down or disseminated within the U.S. government. Incidentally, KSM says he never discussed his idea for the planes operation with Murad, a person KSM regarded as a minor figure. Intelligence report, interrogation of KSM, Apr. 2, 2004.
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This commission account also denies widespread reporting that Murad gave the names of numerous other al-Qaeda agents being trained in the US at the time. For instance, this Fox News report from 2002:
Murad, who later claimed he was tortured during his interrogations, also told Filipino authorities how he and a Pakistani friend had crisscrossed the United States, attending flight schools in New York, Texas, California and North Carolina on his way to earning a commercial pilot's license. He identified to Filipino police approximately 10 other Middle Eastern men who met him at the flight schools or were getting similar training.
One was a Middle Eastern flight instructor who came to the United States for more training; another a former soldier in the United Arab Emirates. Others came from Sudan, Saudi Arabia and Pakistan. None of the pilots match the names of the 19 hijackers from Sept. 11.
The U.S. officials said the FBI interviewed people at the flight schools named by Filipino police, but did not find evidence that any Middle Easterners other than Murad were plotting anything. With no other evidence to go on, they took no further action, the officials said. FBI agents descended upon the flying schools in 1995, and returned to some of those locations immediately after Sept. 11.
"There were several of them here. At one point three or four were here," said Laura Flynn, an assistant manager at Richmore Flight School in Schenectady, N.Y., where Murad and a friend attended in the mid-1990s. "Supposedly they didn't know each other before, they just happened to show up here at the same time. But they all obviously knew each other," she said.
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I guess the 9/11 Commissioners didn't read the newspapers!
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