AIPAC is embroiled in a court battle with its former director of foreign-policy issues, Steven Rosen, who claims the committee first unfairly fired then slandered and libeled him for not exhibiting “the conduct that AIPAC expects from its employees.” He is seeking damages totaling $20 million.
AIPAC has successfully limited the case to the defamation charge, but attempts to have the suit dismissed outright have failed. Defeat for AIPAC could have serious consequences beyond a sudden shortage of donors—including increasing demands that the group register as a foreign lobby. Even criminal charges related to passing classified information to Israel, an offense under the Espionage Act, could be in the offing. There is some prospect that the trial could spin out of control, with proliferating charges and counter-charges leading to the effective dismantling of AIPAC.
The betting is that Rosen might accept an out-of-court settlement for most of the money he is seeking. But there are also reports that relations between Rosen and his former employer have become so poisonous that reconciliation is impossible. AIPAC is trying to discredit Rosen completely and is gathering a defense fund of between $5 and $10 million in an attempt to salvage its reputation among the well-heeled donors who have until recently provided the group’s $70 million annual budget.
Rosen and his AIPAC colleague Keith Weissman were charged under the Espionage Act in 2003 after the FBI made the case that they had obtained classified information from Pentagon employee Larry Franklin and passed it on to Israeli diplomats and to journalist Glenn Kessler of the Washington Post. In 2005, the two men were fired by AIPAC in spite of the group’s initial pledges of support. The espionage trial dragged on until May 1, 2009, when it was finally dismissed after the government could not make its case in the face of adverse decisions by presiding judge T.S. Ellis, possibly acting under pressure from the White House to end the proceedings.