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He looked at me as if a sudden thought had occurred to him.

"Now, perhaps if you were to approach the Admiralty on our behalf to ask for assistance on their open vote..."

This was my initiation into the bizarre method of handling Intelligence Services finance. It was a problem which was to plague me until well into the 1960s. Instead of having resources adequate for their technical requirements, the Intelligence Services were forced to spend most of the postwar period begging from the increasingly reluctant Armed Services. In my view, it was this more than any other factor which contributed to the amateurism of British Intelligence in the immediate postwar era.

But, as bidden, I set out to persuade the Admiralty to carry the development costs of the new microphone. I made an urgent appointment to see Brundrett's successor as Chief of the Naval Scientific Service, Sir William Cook. I knew Cook quite well. He was a wiry, redhaired man with piercing blue eyes and a penchant for grandiose schemes. He was a brilliant organizer and positively bubbled with ideas. I had first dealt with him after the war when he asked me to work under him on a prototype Blue Streak project, which was eventually cancelled when Sir Ben Lockspeiser, then Chief Scientist at the Ministry of Supply, had a crisis of conscience. Ironically, Cook himself came to share a suspicion about nuclear weapons, though more for practical and political reasons than moral ones. He felt that Britain was being hasty in the production of the A-Bomb, and feared that as modern rocketry developed, the Navy would inevitably lose out. He realized too, I suspect, that our obsession with the bomb was faintly ludicrous in the face of growing American and Russian superiority. This, incidentally, was a view which was quite widely held by scientists working at a lower level in the Services in the 1950s.

I explained to Cook that the new microphone might have as yet unforeseeable intelligence advantages, from which the Navy would obviously benefit if they agreed to fund the project. He smiled at this transparent justification but by the end of the meeting agreed to provide six Navy scientists from his staff and to finance a purpose-built laboratory at Marconi to house the work.

Within eighteen months we were ready to demonstrate the first prototype, which was given the code name SATYR. Kemp and I presented ourselves at the front door of MI5 headquarters at Leconfield House. Hugh Winterborn met us and took us up to a spartan office on the fifth floor and introduced a tall, hunched man wearing a pin striped suit and a lopsided smile.

"My name is Roger Hollis," he said, standing up from behind his desk and shaking my hand stiffly. "I am afraid the Director-General cannot be with us today for this demonstration, so I am standing in as his deputy."

Hollis did not encourage small talk. His empty desk betrayed a man who believed in the swift dispatch of business. I showed him the equipment without delay. It comprised a suitcase filled with radio equipment for operating SATYR, and two aerials disguised as ordinary umbrellas which folded out to make a receiver and transmitter dish. We set SATYR up in an MI5 flat on South Audley Street with the umbrellas in Hollis' office. The test worked perfectly. We heard everything from test speech to the turn of the key in the door.

"Wonderful, Peter," Hollis kept on saying, as we listened to the test. "It's black magic."

Cumming tittered in the background.

I realized then that MI5 officers, cocooned throughout the war in their hermetic buildings, had rarely experienced the thrill of a technical advance. After the test was over, Hollis stood behind his desk and made a formal little speech about what a fine day this was for the Service and how this was just what Brundrett had in mind when he formed his working party. It was all rather condescending, as if the servants had found the lost diamond tiara in the rose garden.

SATYR did indeed prove to be a great success. The Americans promptly ordered twelve sets and rather cheekily copied the drawings and made twenty more. Throughout the 1950s, until it was superseded by new equipment, SATYR was used by the British, Americans, Canadians, and Australians as one of the best methods of obtaining covert coverage. But more important to me, the development of SATYR established my credentials as a scientist with MI5. From then on I was consulted on a regular basis about an increasing number of their technical problems.

I still dealt exclusively with Cumming but I began to learn a little about the structure of his Department - A Branch. He controlled four sections. A1 provided resources for MI5, ranging from microphones to lockpicks. A2 was the technical department, which contained personnel like Hugh Winterborn who used the resources of A1. A3 was police liaison with the Special Branch and A4 was the growing empire of Watchers, responsible for tailing foreign diplomats and others around the streets of London.

Cumming had one fundamental flaw when it came to technical matters. He felt A Branch should run science, rather than the other way around. Consequently the Service as a whole was denied long-overdue modernization. As long as we were discussing specific technical requirements, our relationship was fruitful. But sooner or later we would move into an area in which I could not advise MI5 unless he or Winterborn took me fully into his confidence. For instance, Winterborn often asked if I had any ideas on telephone interception. I explained that it was impossible to work on the problem unless I knew what current techniques were employed.

"Well, of course, now we are coming onto an area which is highly classified and I rather feel we should steer away from it," Cumming would say, slapping the table nervously, much to Winterborn's irritation.

The same thing happened with the Watchers. The main problem facing MI5 during the 1950s was how to detect and follow the increasingly large number of Russians through the streets of London without giving themselves away.

"Have you any ideas, Peter?" asked Cumming, as if I might have a solution in my top pocket. I suggested that at the very least I would need to see at first hand the scale of the watching operation. Cumming said he would see what he could arrange, but I heard nothing more.

But, despite the difficulties, it was clear that MI5 found me useful. By 1954 I was spending two full days a week at Leconfield House. After one lengthy session, Cumming invited me to lunch at his club. We walked together across St. James's Park and made our way down Pall Mall to the In and Out Club, Cummings swinging the umbrella he habitually carried.

As we sat down at our table I realized that, even though I had been dealing with Cumming for five years, this was the first time we had ever socialized. He was a short man, not overly endowed with intellectual skills but intensely loyal to MI5. Like the policemen in John Buchan novels, he seemed as likely to be chasing the hero as the villain. He had been a Rifle Brigade Officer and belonged to the long military tradition inside MI5 which stretched back to the founder, Vernon Kell. He was related to the first Chief of MI6, Captain Mansfield Cumming, a fact which he made sure I knew almost as soon as I had met him. He had also been responsible for recruiting the present Director-General of MI5, Sir Dick Goldsmith White. They had taken a party of boys on a camping holiday together in the 1930s. White was not happy as a schoolteacher and Cumming persuaded him to apply to MI5. White proved a brilliant, intuitive intelligence officer and soon far outstripped his mentor, but the debt he owed Cumming served the latter well in the 1950s.

Cumming was wealthy in his own right. He owned a large estate in Sussex. In the country he played the squire, while in town he became the spy. It appealed to the boy scout in him. In fact most of his career had been spent doing MI5's books and other routine administration and he had coexisted uneasily with the gifted university elite who were drafted into Intelligence during the war. But Cumming did have one astonishing talent. He maintained a legendary number of contacts. These were not just clubland cronies, of which he had many. He maintained them in all kinds of bizarre places. If the office wanted a one-legged washerwoman who spoke Chinese, Cumming could provide her. When the A Branch directorship became vacant, Cumming was the obvious man to fill it.