Very Serious Losses

As the Navy spy scandal spreads, officials assess the damage

He had retired from the U.S. Navy, and he had quit spying for the Soviet Union. But he was miserable. Unemployed and living on his $1,200-a-month service pension, the former chief radioman kept house in an olive-colored trailer in Davis, Calif., while his wife pursued her Ph.D. in hopes of helping to support them both. He listened to classical music, yet it did not soothe him. Referring to his decision to stop dealing in Government secrets, he wrote to his spymaster boss: "I realize this doesn't fit in with your advice and counseling over the years. In all honesty, I was...

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