Estonian Spy Scandal Shakes NATO and EU

For years an Estonian government official has apparently been collecting the most intimate secrets of NATO and the EU -- and passing them on to the Russians. The case is a disaster for Brussels.

Communications between the suspected top spy and his commanding officer seemed like a throwback to the Cold War. Investigators allege that in order to send messages to his Russian contact, Herman Simm, 61, used a converted radio which looked like a relic from yesteryear's world of consumer electronics. But there was nothing old-fashioned about what Simm, a high-ranking official in the Estonian Defense Ministry in Tallinn, reportedly transmitted to Moscow over the years. It was the very latest intelligence information.

Although Simm was arrested with his wife Heete in the Estonian capital Tallinn on Sept. 21, this spy story -- which has been largely kept under wraps until now -- primarily concerns the European Union and NATO based in faraway Brussels. Since Simm was responsible for dealing with classified information in Tallinn, he had access to nearly all documents exchanged within the EU and NATO. Officials who are familiar with the case assume that "virtually everything" that circulates between EU member states was passed on to the Russian Foreign Intelligence Service, the SVR -- including confidential analyses by NATO on the Kosovo crisis, the war in Georgia and even the missile defense program. Investigators believe that Simm was a "big fish."

Meanwhile, a number of investigative teams from the EU and NATO have flown to Tallinn to probe the extent of the intelligence disaster. The investigation is being led by the NATO Office for Security, which is headed by an American official. As investigators pursue their work, they continue to unearth mounting evidence pointing to the enormity of the betrayal. A German government official has called the situation a "catastrophe," and Jaanus Rahumägi, a member of Estonia's national parliament who heads the parliamentary oversight committee for the government security agency, fears "historic damage." More