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The proposal, which would have risked falling foul of the US constitution if enforced, called on the president to deploy troops to make arrests on American soil for the first time since the Civil War.
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Nobody did anything wrong here. Cheny proposed a way that he could use his people to support national security, and Bush considered it, as well as using the FBI, which has normal jurisdiction over terrorism acts. If you want to be strict about it, any body empowered by the AG can enforce the law. The reporter needed to get the facts straight. Yes, the use of military forces in a police role is illegal. However it is illegal because of a law passed by congress, not because of the Constitution. The Posse Comitatus act also specifically only prevents Army, Air Force and federalized National Guard units. The Navy and Marine Corps are only prevented from doing so by regulation of the DoD, which could have been changed by the president through the Seceratary of Defense. Bassically it would have been legal if he did so and used only Navy, Marine or Coast Guard forces to do so.