| Frank Loy |
|Alma mater||UCLA, Harvard Law School|
|Member of||Arthur F. Burns Fellowship/Trustees, Council on Foreign Relations/Members 2|
Frank E. Loy has had multiple careers. He has been employed by US federal government three times, twice in the Department of State; he has also worked as a businessman; has led an American foundation with intelligence ties, and practiced law in Los Angeles.
Educated in Germany, Italy and Switzerland in his early years, Loy went to public schools in Los Angeles from the age of 10. He earned a B.A. degree at the University of California at Los Angeles and an LL.B. at Harvard Law School.
From 1965-1970 he served as Deputy Assistant Secretary of State for Economic Affairs. In that role he negotiated numerous international bilateral air transport agreements, represented the U.S. at meetings of international organizations such as ICAO and IMCO, and was vice-chair of the U.S. delegation to the multinational negotiations that successfully created the present structure of INTELSAT, the organization that operates the space segments of the international communications network. Earlier he had served as Special Assistant to the Administrator of the Federal Aviation Agency and as Director of that agency's Office of Policy Development.
He spent the years 1974 to 1979 as a partner in the turnaround firm that successfully brought the Penn Central Transportation Company out of bankruptcy. It was then the largest industrial bankruptcy in American history. When the bankruptcy terminated, he became president of the successor company, the Penn Central Corporation, listed on the New York Stock Exchange.
From 1980 to 1981 he served as the Director of the State Department's Bureau of Population Refugees and Migration, with the personal rank of Ambassador, Issues included Afghans in Pakistan, Cambodians in Thailand, and numerous African refugee populations. It was also the period of Vietnamese and Haitian boat people seeking safety and asylum, as well as the Mariel boatlift. The period coincides with the US-supported reorganization of the Khmer Rouge as a guerilla force in Thai refugee camps.
German Marshall Fund
From 1981 to 1995 Loy was president of the German Marshall Fund (GMF), (American, despite its name) with close ties to the US intelligence services. The foundations annual budget is over $10 million and it has a capital fund of about $200 million.
Loy increased the funds and energy GMF expended on a network of relationships among present and future transatlantic leaders. He instituted the Marshall Memorial Fellowship, a major traveling fellowship program under which Europeans of potential influence in their fields, principally between the ages of 25 and 35, is selected to come to the United States for periods of three to eight weeks for carefully structured travel or internships focused on the general areas of their interest or expertise.
A GMF history from 2012 later stated that "in 1981 there was a lot of stress in the US-German relationship. Politicians didn’t see eye to eye". Loy's tenure coincided with the removal from office of detente Chancellor Helmut Schmidt, and the replacement with Helmut Kohl in 1982.
In a letter written by Loy soon after taking command, he wrote:
"The headlines of the day make it clear that the sympathetic and understanding relationships between Western Europe and the United States — on which depend both our military security and our economic growth — are being tested severely. Tensions mount. At such times it is the proper role of a Fund such as ours to address the tensions directly, and bring to bear our private, non-governmental status, our funds and talents to help reduce these tensions."
Giving a hint at the "urgent measures" its service for the military-industrial complex, in 1981, a GMF-funded report, “Western Security: What Has Changed? What Should Be Done?,” described a “transatlantic malaise ” The military challenge from the Soviet Union was seen to be on the rise, and the West was dealing with “an increasingly volatile Third World upon which the West will depend more and more for its economic survival ” Yet, at the same time, there was a perceived drift within the West “at the very time when it should be taking urgent measures to improve its economic and military security”.
At the end of the Cold War, the Marshall Fund moved to Eastern Europe, where it established similar programs.
Under Secretary of State for Global Affairs
Loy was Under Secretary of State for Global Affairs from 1998 to January 2001. His portfolio included human rights, the promotion of democracy, refugee issues, international law enforcement and counter-narcotics - all are issues the CIA is interested in. He served as chief U.S. climate negotiator.
He has been chair of numerous non-profit boards, including the Environmental Defense Fund, the League of Conservation Voters, Resources for the Future, and Population Services International, a family planning and health organization operating in almost 60 developing countries, and a number of organizations against climate change.