U.S. spy chiefs warn Senate on many threats to the United States

FBI Director Christopher Wray, CIA Director Gina Haspel, Director of National Intelligence Dan Coats, Defense Intelligence Agency (DIA) Director Gen. Robert Ashley, National Security Agency (NSA) Director Gen. Paul Nakasone and Robert Cardillo, director of the National Geospatial-Intelligence Agency, testify to the Senate Intelligence Committee hearing about "worldwide threats" on Capitol Hill in Washington, U.S., January 29, 2019. REUTERS/Joshua Roberts

By Patricia Zengerle and Doina Chiacu

WASHINGTON (Reuters) – China and Russia pose the biggest risks to the United States, and are more aligned than they have been in decades as they target the 2020 presidential election and American institutions to expand their global reach, U.S. intelligence officials told senators on Tuesday.

The spy chiefs broke with President Donald Trump in their assessments of the threats posed by North Korea, Iran and Syria. But they outlined a clear and imminent danger from China, whose practices in trade and technology anger the U.S. president.

While China and Russia strengthen their alliance, Director of National Intelligence Dan Coats said some American allies are pulling away from Washington in reaction to changing U.S. policies on security and trade.

The directors of the CIA, FBI, National Security Agency and other intelligence agencies flanked Coats at the Senate Intelligence Committee hearing. They described an array of economic, military and intelligence threats, from highly organized efforts by China to scattered disruptions by terrorists, hacktivists and transnational criminals.

FBI Director Christopher Wray, CIA Director Gina Haspel, Director of National Intelligence Dan Coats, Defense Intelligence Agency (DIA) Director Gen. Robert Ashley, National Security Agency (NSA) Director Gen. Paul Nakasone and Robert Cardillo, director of the National Geospatial-Intelligence Agency, testify to the Senate Intelligence Committee hearing about "worldwide threats" on Capitol Hill in Washington, U.S., January 29, 2019. REUTERS/Joshua Roberts

FBI Director Christopher Wray, CIA Director Gina Haspel, Director of National Intelligence Dan Coats, Defense Intelligence Agency (DIA) Director Gen. Robert Ashley, National Security Agency (NSA) Director Gen. Paul Nakasone and Robert Cardillo, director of the National Geospatial-Intelligence Agency, testify to the Senate Intelligence Committee hearing about “worldwide threats” on Capitol Hill in Washington, U.S., January 29, 2019. REUTERS/Joshua Roberts

“China, Russia, Iran, and North Korea increasingly use cyber operations to threaten both minds and machines in an expanding number of ways – to steal information, to influence our citizens, or to disrupt critical infrastructure,” Coats said.

“Moscow’s relationship with Beijing is closer than it’s been in many decades,” he told the panel.

The intelligence officials said they had protected the 2018 U.S. congressional elections from outside interference, but expected renewed and likely more sophisticated attacks on the 2020 presidential contest.

U.S. adversaries will “use online influence operations to try to weaken democratic institutions, undermine alliances and partnerships, and shape policy outcomes,” Coats said.

The intelligence chiefs’ assessments broke with some past assertions by Trump, including on the threat posed by Russia to U.S. elections and democratic institutions, the threat Islamic State poses in Syria, and North Korea’s commitment to denuclearize.

Coats said North Korea is unlikely to give up its nuclear weapons. Trump has said the country no longer poses a threat.

Coats also said Islamic State would continue to pursue attacks from Syria, as well as Iraq, against regional and Western adversaries, including the United States. Trump, who plans to withdraw U.S. troops from Syria, has said the militant group is defeated.

The intelligence officials also said Iran was not developing nuclear weapons in violation of the 2015 nuclear agreement, even though Tehran has threatened to reverse some commitments after Trump pulled out of the deal.

Senators expressed deep concern about current threats.

“Increased cooperation between Russia and China – for a generation that hasn’t been the case – that could be a very big deal on the horizon in terms of the United States,” said Senator Angus King, an independent who caucuses with Democrats.

CHINA BIGGEST COUNTERINTELLIGENCE THREAT

The officials painted a multifaceted picture of the threat posed by China, as they were questioned repeatedly by senators about the No. 2 world economy’s business practices as well as its growing international influence.

“The Chinese counterintelligence threat is more deep, more diverse, more vexing, more challenging, more comprehensive and more concerning than any counterintelligence threat I can think of,” FBI Director Christopher Wray said.

He said almost all the economic espionage cases in the FBI’s 56 field offices “lead back to China.”

Coats said intelligence officials have been traveling around the United States and meeting with corporate executives to discuss espionage threats from China.

He said China has had a meteoric rise in the past decade, adding, “A lot of that was achieved by stealing information from our companies.”

Speaking in Beijing, Chinese foreign ministry spokesman Geng Shuang said he hoped the United States would abandon its zero-sum thinking and work with China, Russia and the rest of the international community to ensure global security.

Tuesday’s testimony came just a day after the United States announced criminal charges against China’s Huawei Technologies Co Ltd [HWT.UL], escalating a fight with the world’s biggest telecommunications equipment maker and coming days before trade talks between Washington and Beijing.

Coats also said Russia’s social media efforts will continue to focus on aggravating social and racial tensions, undermining trust in authorities and criticizing politicians perceived to be anti-Russia.

Senator Mark Warner, the panel’s top Democrat, said he was particularly concerned about Russia’s use of social media “to amplify divisions in our society and to influence our democratic processes” and the threat from China in the technology arena.

The Senate Intelligence Committee is one of several congressional panels, along with Special Counsel Robert Mueller, investigating whether there were any connections between Trump’s 2016 and Russian efforts to influence the election.

Russia denies attempting to influence U.S. elections, while Trump has denied his campaign cooperated with Moscow.

Coats declined to respond when Democratic Senator Ron Wyden asked whether Trump’s not releasing records of his discussions with Russian President Vladimir Putin put U.S. intelligence agencies at a disadvantage.

“To me from an intelligence perspective, it’s just Intel 101 that it would help our country to know what Vladimir Putin discussed with Donald Trump,” Wyden said.

(Reporting by Patricia Zengerle and Doina Chiacu; Additional reporting by Ben Blanchard in Beijing; editing by Mary Milliken and Jonathan Oatis)

Venezuela’s Guaido calls for new protests as pressure on Maduro rises

FILE PHOTO: Venezuelan opposition leader and self-proclaimed interim president Juan Guaido accompanied by his wife Fabiana Rosales, speaks to the media after a holy Mass at a local church in Caracas, Venezuela, Jan. 27, 2019. REUTERS/Carlos Barria/File Photo

By Brian Ellsworth

CARACAS (Reuters) – Juan Guaido, the Venezuelan opposition leader and self-proclaimed president, on Monday called for new street demonstrations as pressure intensified on President Nicolas Maduro and the crisis-stricken OPEC nation.

Countries around the world have recognized Guaido as Venezuela’s rightful leader, and the United States vowed to starve Maduro’s administration of oil revenue after he was sworn in Jan. 10 for a second term that was widely dubbed illegitimate.

Maduro says the United States is promoting a coup against him and promised to stay in office, backed by Russia and China, which have bankrolled his government and fought off efforts to have his government disavowed by the United Nations.

Guaido said opposition sympathizers should take to the streets on Wednesday to pass out copies of a pamphlet proposing amnesty that would give some legal protection to members of the military in hopes they will turn against Maduro.

“We must remain united as active agents of change in every corner of the country,” Guaido tweeted on Monday. “We’re doing well, very well, Venezuela!”

On Sunday, Israel and Australia joined countries backing the 35-year-old Guaido, and U.S. President Donald Trump said his government had accepted Venezuelan opposition figure Carlos Alfredo Vecchio as a diplomatic representative to the United States.

Guaido took advantage of a major street demonstration on Jan. 23 to swear himself in as the country’s rightful leader, accusing Maduro of usurping power following a disputed 2018 re-election that countries around the world described as a fraud.

Guaido is asking for help in getting control of the Venezuelan government’s offshore assets.

In recent days, he urged British Prime Minister Theresa May and Bank of England Governor Mark Carney to block Maduro’s government from collecting more than $1 billion in gold held by the Bank of England.

Venezuela’s once-buoyant socialist economic system has imploded from corruption and mismanagement since the collapse of world oil prices in 2014, pushing inflation to almost 2 million percent and driving millions of Venezuelans to neighboring countries.

Maduro says his government is the victim of an “economic war” led by his political adversaries with the help of Washington, which has levied several rounds of sanctions against the country since 2017.

(Reporting by Brian Ellsworth; Editing by Jeffrey Benkoe)

NATO, Russia fail to agree over missile breach, U.S. to quit treaty

FILE PHOTO: NATO Secretary-General Jens Stoltenberg speaks at a news conference after a NATO defence ministers meeting at the Alliance headquarters in Brussels, Belgium, October 4, 2018. REUTERS/Francois Lenoir/File photo

By Robin Emmott and Vladimir Soldatkin

BRUSSELS/MOSCOW (Reuters) – NATO and Russia failed on Friday to resolve a dispute over a new Russian missile that Western allies say is a threat to Europe, bringing closer Washington’s withdrawal from a landmark arms control treaty.

At a meeting of the NATO-Russia Council in Brussels, envoys from NATO’s 29 members renewed their call on Moscow’s deputy foreign minister to destroy a nuclear-capable cruise missile system before a Feb. 2 deadline.

Without a breakthrough, the United States is set to start the six-month process of pulling out of the 1987 Intermediate-range Nuclear Forces Treaty (INF), having notified it would do so in early December and accusing Moscow of breaching it.

Russia denies violating the terms of the treaty, which eliminated the medium-range missile arsenals of the world’s two biggest nuclear powers.

“The treaty is in real jeopardy,” NATO Secretary General Jens Stoltenberg said. “The sooner Russia comes back into compliance, the better. The treaty has no value if it is not respected, the problem are the Russian missiles in Europe,” he told a news conference after the meeting.

One NATO diplomat said the U.S. ambassador to the alliance told the assembled diplomats and officials that Washington would start the pull-out process from the INF on Feb. 2. The U.S. embassy was not immediately available for comment.

Russian Deputy Foreign Minister Sergei Ryabkov told the closed-door meeting that it was the United States that was breaching the treaty, alliance diplomats said.

Ryabkov, who spoke in both Russian and English, cited the U.S.-built NATO missile defense system in Romania as a treaty breach. NATO says the shield is designed to shoot down rockets from Iran, not from Russia.

Separately, the Russian foreign ministry also accused the United States of reviving a Cold War-era plan to deploy a missile defense system in space.

While NATO diplomats described Friday’s meeting as calm and professional, Stoltenberg said Russia had shown no willingness to compromise. But he and some European nations such as Germany held out hope for diplomatic progress during the six-month withdrawal process.

“PURE SHOW”

Russia stands accused of developing land-based, intermediate-range cruise missiles capable of carrying nuclear warheads and hitting European cities at short notice, breaching the Cold War-era pact that took such rockets out of Europe.

But the Kremlin, which this week displayed its missiles to foreign military attaches in Moscow, says the missiles’ short-range puts it outside the INF treaty. It says the Novator 9M729/SSC-8 rockets have a maximum range of 480 km (298 miles).

NATO diplomats repeated their view that there was no way of verifying that information because the missiles have only been shown publicly in a “static display” that gives no indication of their flying distance. One NATO diplomat said the Russian display on Wednesday was “pure show”.

Some NATO diplomats believe that Russia may have developed the new missile system, which is mobile and easy to hide in forests and other strategic locations, to counter Chinese missile programs, but that did not justify deploying it.

The 1987 treaty requires the United States and Russia “not to possess, produce, or flight-test” a ground-launched cruise missile with a range capability of 500 km to 5,500 km (310-3,420 miles) “or to possess or produce launchers of such missiles”.

Russia, the United States, France, Britain and China – the five permanent members of the United Nations Security Council – are due to meet in Beijing on Jan. 30 to discuss arms control, diplomats told Reuters. But it was not clear if the INF treaty would be on the agenda.

(Additional reporting by Peter Maushagen; Editing by Alissa de Carbonnel and Gareth Jones)

Ex-U.S. marine held in Russia for spying was misled, says lawyer

Former U.S. marine Paul Whelan, who was detained by Russia's FSB security service on suspicion of spying, looks out of a defendants' cage before a court hearing in Moscow, Russia January 22, 2019. REUTERS/Maxim Shemetov

By Andrew Osborn and Tom Balmforth

MOSCOW (Reuters) – The lawyer for a former U.S. Marine accused of spying by Russia said on Tuesday that his client had been misled before his arrest and believed that a thumb drive handed to him in a hotel room had contained holiday snaps rather than secret information.

Russia’s Federal Security Service detained Paul Whelan, who holds U.S., British, Canadian and Irish passports, in a Moscow hotel room on Dec. 28.

Whelan appeared in a Moscow court on Tuesday, where a judge rejected a release on bail. If found guilty of espionage, he could be jailed for up to 20 years.

Whelan, who denies the charges, was detained after receiving a thumb drive containing a list of all the employees of a secret Russian state agency, the Russian online news portal Rosbalt.ru reported this month.

Rosbalt cited an unnamed Russian intelligence source as saying that Whelan had been spying for 10 years, using the internet to identify targets from whom he could obtain information and that the list he was caught with had long been of interest to U.S. spies.

Russian Foreign Minister Sergei Lavrov appeared to support that version of events, later telling reporters Whelan had been “caught red-handed” carrying out “specific illegal actions” in his hotel room.

But Vladimir Zherebenkov, Whelan’s lawyer, said on Tuesday that his client had accepted the information unknowingly.

“Paul was actually meant to receive information from an individual that was not classified,” Zherebenkov told reporters.

“These were cultural things, a trip to a cathedral, Paul’s holiday … photographs. But as it turned out, it (the thumb drive) contained classified information.”

The lawyer said Whelan had not been able to see what was on the thumb drive because he had been detained before he had a chance to do so.

Wearing a blue shirt and dark trousers, he looked calm but somber as he stood inside a glass cage in the courtroom.

The hearing was closed to reporters, but his lawyer said afterward that Whelan had made a 15-minute speech rejecting the allegations against him in detail.

The lawyer declined to clarify if Whelan had known the individual who handed him the information.

He said Whelan had been experiencing some minor health problems in custody and was receiving treatment.

Whelan’s family have said he is innocent and was in Moscow to attend a wedding.

(Additional reporting by Katya Golubkova; Writing by Andrew Osborn; Editing by Christian Lowe and Kevin Liffey)

Israel strikes in Syria in more open assault on Iran

What is believed to be guided missiles are seen in the sky during what is reported to be an attack in Damascus, Syria, January 21, 2019, in this still image taken from a video obtained from social media. Facebook Diary of a Mortar Shell in Damascus/Youmiyat Qadifat Hawun fi Damashq/via REUTERS

By Angus McDowall and Dan Williams

BEIRUT/JERUSALEM (Reuters) – Israel struck in Syria early on Monday, the latest salvo in its increasingly open assault on Iran’s presence there, shaking the night sky over Damascus with an hour of loud explosions in a second consecutive night of military action.

Damascus did not say what damage or casualties resulted from the strikes. The Syrian Observatory for Human Rights war monitor said 11 people were killed. Syria’s ally Russia said four Syrian soldiers had died and six were wounded.

Israeli Prime Minister Benjamin Netanyahu said the air raid had mostly targeted Iranian forces, but also hit Syrians helping them. “We will strike at anyone who tries to harm us,” he said.

The threat of direct confrontation between arch-enemies Israel and Iran has long simmered in Syria, where the Iranian military built a presence early in the nearly eight year civil war to help President Bashar al-Assad’s government.

Israel, regarding Iran as its biggest threat, has repeatedly attacked Iranian targets in Syria and those of allied militia, including Lebanon’s Hezbollah.

With an election approaching, Israel’s government has begun discussing its strikes more openly and has also taken a tougher stance towards Hezbollah on the border with Lebanon. It said a rocket attack on Sunday was Iran’s work.

The Israeli shift comes a month after U.S. President Donald Trump unexpectedly announced a sudden plan to pull the 2,000 U.S. troops from Syria, a move long sought by Assad and his Russian and Iranian allies. Trump’s decision shocked American allies in the region and was opposed by top U.S. officials including Defense Secretary Jim Mattis who quit in response.

The Israeli military said its fighter jets had attacked Iranian “Quds Force” targets early on Monday, including munition stores, a position in the Damascus International Airport, an intelligence site and a military training camp. Its jets then targeted Syrian defense batteries after coming under fire.

It followed a previous night of cross-border fire, which Israel said began when Iranian troops fired an Iranian-made surface-to-surface missile from an area near Damascus at a ski resort in the Israeli-occupied Golan Heights.

Syria said it was Israel that had attacked and its air defenses had repelled the assault. Syria had endured “intense attack through consecutive waves of guided missiles”, but had destroyed most “hostile targets”, state media quoted a military source as saying.

The Russian defense ministry said Syrian air defenses, supplied by Russia, had destroyed more than 30 cruise missiles and guided bombs, according to RIA news agency.

In Tehran, airforce chief Brigadier General Aziz Nasirzadeh said Iran was “fully ready and impatient to confront the Zionist regime and eliminate it from the earth”, according to the Young Journalist Club, a website supervised by state television.

Assad has said Iranian forces are welcome to stay in Syria after years of military victories that have brought most of the country back under his control. Just two big enclaves are still outside Assad’s grip, including the area Trump plans to exit.

Netanyahu, who is hoping to win a fifth term in the April 9 election, last week told his cabinet Israel has carried out “hundreds” of attacks over recent years.

“We have a permanent policy, to strike at the Iranian entrenchment in Syria and hurt whoever tries to hurt us,” he said on Sunday.

“EVERY LAST BOOT”

The Israeli military distributed footage of what it said were missiles hitting the Syrian defense batteries, as well as satellite images showing the location of the alleged Iranian targets. Syrian state media showed footage of explosions.

In a highly publicized operation last month, the Israeli military uncovered and destroyed cross-border tunnels from Lebanon it said were dug by Hezbollah to launch future attacks.

Israel last fought a war with Hezbollah, on Lebanese soil, in 2006. It fears Hezbollah has used its own role fighting alongside Iran and Assad in Syria to bolster its military capabilities, including an arsenal of rockets aimed at Israel.

Tensions have also risen with Israel’s construction of a frontier barrier that Lebanon says passes through its territory.

Washington has sought to reassure allies it still aims to eject Iran from Syria despite pulling its own troops out. U.S. Secretary of State Mike Pompeo, who visited the region this month, has vowed to expel “every last Iranian boot” from Syria.

Israel has sought reassurances from Moscow that Iranian forces in Syria would not be a threat. Israeli military spokesman Lieutenant Colonel Jonathan Conricus said the missile fired at the ski resort was launched from “an area we were promised the Iranians would not be present in”.

 

(Reporting by Ellen Francis in Beirut, Ari Rabinovitch and Dan Williams in Jerusalem and Maria Kiselyova in Moscow; writing by Angus McDowall; Editing by Nick Macfie and Raissa Kasolowsky)

Iran vows to will keep military forces in Syria despite Israeli threats

FILE PHOTO: Iran's Revolutionary Guards commander Mohammad Ali Jafari looks on while attending Friday prayers in Tehran February 10, 2012. REUTERS/Morteza Nikoubazl

LONDON (Reuters) – Iran will keep military forces in Syria, the head of the elite Revolutionary Guards said on Wednesday, defying Israeli threats that they might be targeted if they do not leave the country.

Israeli Prime Minister Benjamin Netanyahu said on Tuesday that Israeli forces would continue to attack Iranians in Syria and warned them “to get out of there fast, because we will continue with our resolute policy”.

FILE PHOTO: Israeli Prime Minister Benjamin Netanyahu attends the weekly cabinet meeting in Jerusalem, January 13, 2019. Ariel Schalit/Pool via Reuters/File Photo

FILE PHOTO: Israeli Prime Minister Benjamin Netanyahu attends the weekly cabinet meeting in Jerusalem, January 13, 2019. Ariel Schalit/Pool via Reuters/File Photo

Rebuffing the threats, Major General Mohammad Ali Jafari, the Revolutionary Guards top commander, was quoted as saying by the semi-official ISNA news agency that “the Islamic Republic of Iran will keep all its military and revolutionary advisers and its weapons in Syria.”

Jafari called Netanyahu’s threats “a joke”, and warned that the Israeli government “was playing with (a) lion’s tail.”

“You should be afraid of the day that our precision-guided missiles roar and fall on your head,” he said.

Iran and Russia have both backed Syrian President Bashar al-Assad in a seven-year war against rebels and militants, and have sent thousands of soldiers to the country.

Israel, increasingly concerned that its enemy Iran may establish a long-term military presence in neighboring Syria, says it has carried out more than 200 attacks against Iranian targets in Syria in the last two years.

Netanyahu said on Sunday that Israeli warplanes carried out an attack on what he called an Iranian arms cache in Syria.

(Reporting by Bozorgmehr Sharafedin in London with additional reporting by Dan Williams in Jerusalem; Editing by Mark Heinrich)

Russia extends detention of jailed Ukrainian sailors: agencies

Detained crew members of Ukrainian naval ships, which were seized by Russia's FSB security service in November 2018, stand inside a defendants' cage as they attend a court hearing in Moscow, Russia January 15, 2019. REUTERS/Maxim Shemetov

MOSCOW (Reuters) – A court in Moscow on Tuesday ordered eight Ukrainian sailors seized by Russia last year off the coast of Crimea to be kept in pre-trial detention until April 24, Russian news agencies reported.

Russia seized 24 men and three Ukrainian navy vessels on Nov. 25 near Russian-annexed Crimea. Moscow accuses them of illegally entering Russian waters, something Kiev denies.

The court hearings were closed to the public, but the Ukrainians were shown on state television in the custody of armed security officers in masks.

It was not immediately clear if any others among the 24 would appear in court.

The United States and European Union have called on Russia to release the men, but the Kremlin has said they must be put on trial.

No date has been set for a trial.

Moscow could hand over the men as part of a prisoner swap deal with Ukraine later this year, a Russian diplomatic source was quoted as saying last week by the pro-Kremlin Izvestia newspaper.

(Reporting by Tom Balmforth and Andrey Ostroukh, Editing by William Maclean)

U.S. authorities charge several people in SEC hacking scheme

FILE PHOTO: The U.S. Securities and Exchange Commission logo adorns an office door at the SEC headquarters in Washington, June 24, 2011. REUTERS/Jonathan Ernst/File Photo

(Reuters) – U.S. authorities on Tuesday charged several individuals and companies in a scheme to trade on information in nonpublic corporate press releases by hacking into a U.S. Securities and Exchange Commission database.

In a filing with the U.S. District Court in Newark, New Jersey, the SEC said individuals in the United States, Russia and Ukraine reaped more than $4.1 million in illegal gains by trading on nonpublic filings from its Edgar database, including approximately 157 corporate earnings announcements.

According to the SEC, some of the defendants kicked back some of their trading profits to Oleksandr Ieremenko, a Ukrainian hacker who along with others infiltrated Edgar between May 2016 and October 2016 to obtain thousands of “test filings,” including some containing earnings results.

Ieremenko was charged in 2015 in a similar scheme involving hacking into databases of corporate press release distributors.

It was not immediately clear whether the latest scheme is the subject of a law enforcement action being announced later Tuesday by the SEC and the U.S. Department of Justice. Neither agency immediately responded to requests for comment.

(Reporting by Jonathan Stempel in New York; Editing by Jeffrey Benkoe)

Family of former U.S. marine held by Russia denies reports of Russia visit

FILE PHOTO: Paul Whelan, a U.S. citizen detained in Russia for suspected spying, appears in a photo provided by the Whelan family on January 1, 2019. Courtesy Whelan Family/Handout via REUTERS

MOSCOW/NEW YORK (Reuters) – The brother of ex-U.S. Marine Paul Whelan, who is being held in Moscow on suspicion of spying, denied on Tuesday a Russian media report that said his family planned to visit Russia in an effort to free him.

“Those reports are false,” David Whelan, the ex-Marine’s twin brother, said in an email to Reuters. “Neither his parents nor his siblings are flying to Russia, and we have no plans to fly to Russia.”

The Interfax news agency on Tuesday had cited a lawyer for the Whelan family as saying that they would make such a visit.

Whelan, a former U.S. marine who also holds British, Canadian and Irish passports, was detained by Russia’s Federal Security Service on Dec. 28. His family have said he is innocent and that he was in Moscow to attend a wedding.

(Reporting by Andrey Ostroukh in Moscow and Barbara Goldberg in New York, writing by Tom Balmforth; Editing by Scott Malone and Bernadette Baum)

U.S.-led coalition withdrawing equipment from Syria

FILE PHOTO: Kurdish fighters from the People's Protection Units (YPG) head a convoy of U.S military vehicles in the town of Darbasiya next to the Turkish border, Syria April 28, 2017. REUTERS/Rodi Said/File Photo

By Rodi Said and Phil Stewart

QAMISHLI, Syria/WASHINGTON (Reuters) – The U.S.-led coalition battling Islamic State added to confusion surrounding the U.S. withdrawal from Syria on Friday by declaring that it had started the pullout process but U.S. officials later clarified that only equipment, not troops, had exited the country.

U.S. President Donald Trump’s announcement last month that he had decided to withdraw the 2,000 U.S. troops there stunned allies who have joined Washington in the battle against Islamic State militants in Syria. Senior U.S. officials were shocked too, among them Defense Secretary Jim Mattis, who quit in protest.

U.S. Colonel Sean Ryan, a coalition spokesman, said the coalition “has begun the process of our deliberate withdrawal from Syria.”

“Out of concern for operational security, we will not discuss specific timelines, locations or troop movements,” Ryan said.

After media reports suggesting the departure of U.S. forces had begun, U.S. officials told Reuters that no troops had yet withdrawn and stressed that the battle against Islamic State was continuing as U.S.-backed forces try to capture the group’s last remaining pockets of territory in Syria. The three U.S. officials spoke on condition of anonymity due to the sensitivity of the issue.

But the U.S. officials confirmed that equipment was being moved out of Syria, a sign that despite mixed messages from Washington preparations for a withdrawal of troops was proceeding apace.

Residents near border crossings that are typically used by U.S. forces going in and out of Syria from Iraq said they had seen no obvious or large-scale movement of U.S. ground forces on Friday.

SYRIA UPHEAVAL

The U.S. decision has injected new uncertainties into the eight-year-long Syrian war and spurred a flurry of contacts over how a resulting security vacuum will be filled across a swathe of northern and eastern Syria where the U.S. forces are stationed.

On the one hand, Turkey aims to pursue a campaign against Kurdish forces that have allied with the United States, and on the other the Russia- and Iran-backed Syrian government sees the chance to recover a huge chunk of territory.

U.S. National Security Adviser John Bolton suggested on Tuesday that protecting Washington’s Kurdish allies would be a precondition of the U.S. withdrawal. That drew a rebuke from Turkish President Tayyip Erdogan who called his comments “a serious mistake”.

U.S. Secretary of State Mike Pompeo, who has been touring the Middle East this week to reassure allies of Washington’s commitment to regional security, said on Thursday the withdrawal would not be scuppered despite the Turkish threats.

The Kurdish groups that control the north have turned to Moscow and Damascus in the hope of striking a political deal that will stave off Turkey and shield their autonomy in the north.

Russia, which has deployed forces into Syria in support of the Damascus government, said it had the impression that the United States wanted to stay despite the announced withdrawal of U.S. troops, RIA news agency reported.

RUSSIA URGES DAMASCUS-KURDISH DIALOGUE

Maria Zakharova, a Russian Foreign Ministry spokeswoman, said it was important for Syrian Kurds and the Syrian government to start talking to each other in light of the U.S. withdrawal plans.

She also said the territory previously controlled by the United States should be transferred to the Syrian government.

“In this regard, establishing dialogue between the Kurds and Damascus takes on particular significance. After all, the Kurds are an integral part of Syrian society,” Zakharova said.

Turkey views the U.S.-backed YPG Syrian Kurdish militia as an extension of the Kurdistan Workers’ Party (PKK), which has waged a 34-year insurgency in Turkey for Kurdish political and cultural rights, mostly in southeastern areas near Syria.

A Kurdish politician told Reuters last week the Kurds had presented Moscow with a road-map for a deal with Damascus. Syria’s deputy foreign minister said on Wednesday he was optimistic about renewed dialogue with the Kurds.

Foreign Minister Jean-Yves Le Drian of France, which is part of the U.S.-led coalition, welcomed what he believed was a slower withdrawal by the United States after pressure from its allies.

“President Macron spoke to him (Trump) several times and it seems that there has been a change that I think is positive,” he said in a television interview on Thursday.

In a rare acknowledgment that French troops were also in Syria, he said they would leave when there is a political solution in the country.

(Reporting by Tom Perry in Beirut, John Irish in Paris, Andrey Ostroukh in Moscow and Phil Stewart in Washington; Writing by Tom Perry and Phil Stewart; Editing by Angus MacSwan and James Dalgleish)