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The Spokesman-Review Newspaper
Spokane, Washington  Est. May 19, 1883

Alleged spies’ lives distinctly American

They valued careers, families, homes

 The door at right is a residence owned by Donald Heathfield and Tracey Foley, arrested Sunday by the FBI.  (Associated Press)
Bob Drogin Los Angeles Times

MONTCLAIR, N.J. – Richard and Cynthia Murphy grew lettuce in a backyard garden, walked their daughters to the school bus each morning, and swapped Christmas cards with old neighbors who had moved to Texas.

Their modest three-bedroom house sported maroon shutters and a wrap-around porch, and sat on a winding street in a well-heeled suburb across from Manhattan. They drove a green Honda Civic.

To all appearances, the Murphys were a typical, child-obsessed American family – not deep-cover Russian spies straight from a Cold War novel.

Their arrests, along with those of nine other alleged Russian spies, has exposed a surprising side to modern espionage: The group led mundane lives far from the James Bond image. Instead of car chases and shootouts, they paid taxes, haggled over mortgages, and struggled to remember computer passwords.

As a result, the 11 – the biggest alleged spy ring ever broken by the FBI – blended into American society for more than a decade. They joined neighbors at block parties, school picnics and bus stops. Four of the couples were married, and at least three had young children.

One suspect wrote columns for a Spanish-language newspaper in New York. Another ran an international consulting and management company in Boston, while his wife sold high-priced real estate near Harvard University. Yet another drove a shiny blue BMW to his investment banking job in Seattle; he regularly updated his status on LinkedIn, a social networking site.

If their cover jobs were ordinary, their secret lives had a humdrum side that sometimes seems more like Woody Allen than John LeCarre.

One suspect, Anna Chapman, bought a Verizon cell phone in Brooklyn, N.Y., with a patently false address: 99 Fake Street. She also posted sultry photos of herself on Facebook and videos on YouTube. Another, Juan Lazaro, used a payoff from Moscow to pay nearly $8,000 in overdue county and city taxes, according to court documents.

Donald Howard Heathfield and Tracey Lee Ann Foley, the alleged spies in Boston, filed regular expense reports to Moscow Center, headquarters for Russia’s foreign intelligence agency, called the SVR.

“Got from Ctr. 64500 dollars, income 13940, interest 76. Expenses: rent 8500, utilities 142, tel. 160, car lease 2180, insurance 432, gas 820, education 3600,” plus medical, lawyers’ fees, meals and gifts, mailboxes, computer supplies, and so on, they wrote in one, according to an FBI affidavit.

And the lettuce-growing Murphys of Montclair repeatedly argued with Moscow Center in encrypted computer messages last summer about who should legally own their $400,000 house – them or the SVR.

“From our perspective, purchase of the house was solely a natural progression of our prolonged stay here,” the Murphys explained, apparently after being reprimanded. “It was a convenient way to solve the housing issue, plus to ‘do as the Romans do’ in a society that values home ownership.”

The group allegedly attended one of Moscow’s most elite spy schools before landing in America. Their mission was spelled out, somewhat awkwardly, in a 2009 message to the Murphys from Moscow Center.

“You were sent to USA for long-term service trip,” the message read, according to the FBI affidavit. “Your education, bank accounts, car, house etc. – all these serve one goal: fulfill your main mission, i.e, to search and develop ties in policymaking circles in US and send intels (intelligence reports) to C (Center).”

It’s unclear whether they were successful at that. But they did seem to succeed in adapting to life in America.

The Murphys appeared devoted their tow-headed, blue-eyed daughters, Katy, 11, and Elizabeth, 9.

Most mornings, according to neighbors, it was the mom, Cynthia, a blonde woman who favored long flowing skirts, who walked up Marquette Street to catch the commuter bus to Manhattan.

Or at least that’s where everyone assumed she went.

“I think she was in financial services but who knows now?” said Elizabeth Lapin, who lives on the same street.

“If you were to look at everybody on this street,” added Lapin, “she’d be the last person you’d suspect as a spy.”

Richard Murphy was the “stay-at-home dad,” said Denise Capone, 38, who lives across the street.

Murphy walked his daughters to the school bus in the morning and trailed after them in the late afternoon while they rode their bikes around the cul-de-sac at the end of their street.

Richard also tended the backyard vegetable garden and flower pots on the back deck. He wasn’t as friendly as his wife – though he sometimes shared a morning coffee with other stay-at-home parents.

“Whatever they were doing as spies, when you think about it, that was just their jobs,” said Denise’s husband, Steve, who works as a bartender near Lincoln Center in Manhattan.

“The guy stayed at home and sent e-mails and had secret meetings or whatever he did in his spy work. But then he was done he was like everybody else – he took care of the kids, he worked the yard, he carried bikes.

“The only difference is that his main office was in Moscow,” Steve said.

Most of the 11 alleged spies, like the Murphys, seemed to pass their lives in mundane, suburban anonymity. But being low-key was apparently not a prerequisite of being a covert agent.

According to the FBI, defendant Vicky Pelaez worked as a both a print and television journalist for decades. She had risen to become a columnist for the prominent New York Spanish-language newspaper, El Diario/La Prensa.

In her column, she voiced strong criticism of U.S. foreign policy in Latin America in weekly pieces.

Gerson Borrero, a former editor in chief of El Diario, described Pelaez as soft-spoken but forceful in her opinions and stridently ideological. She stood out too, because she liked to wear traditional Peruvian garb to the office.

“She’s emotional and passionate about what she believes in, which makes her a great columnist,” Borrero said.

Many of the defendants, ironically, were perhaps most distinguished by their successful pursuit of the American Dream.

Defendants Michael Zottoli, 40, and Patricia Mills, who is about 31, both graduated from the Bothell campus of the University of Washington in 2006 with degrees in business administration.

Ufuk Ince, a former professor, recalled that the couple concentrated on finance, and that Zottoli excelled.

He called Zottoli personable and charming. “He was not overbearing. Understated, smiling face, engaged, interested. … It was a pleasant thing to be around this person. There was a permanent smile on his face.”

John Evans, manager of the building where the couple last lived in Seattle, said Zottoli drove off each morning in a late model blue BMW to a job at an investment bank. He said Zottoli’s wife told him she planned to go back to school. They appeared devoted to a toddler named Kenny.

“Michael and Patricia were a very nice young couple,” Evans recalled. “They were so family oriented, you would never think they would be involved in something like, what are they saying, espionage?”