THE AUTHORS PRESENT THE SYMPTOMS OF ORGANIZATIONAL PARANOIA THAT DEVELOP, DISCUSS THE ORGANIZATIONAL ANTECEDENTS PECULIAR TO A CORRECTIONS SYSTEM AND A STATE BUREAUCRACY, AND THEN OUTLINE THE APPROACH USED TO ADDRESS THE CONFLICT, AS WELL AS ITS ABRUPT TERMINATION. THE RELATIVE MERITS OF CONSULTANT CONSENSUS AND DISSENSUS APPROACHES ARE DISCUSSED AND SOME RADICAL THEORY BUILDING IS PRESENTED FOR CONSULTANTS WORKING WITH CLIENTS IN HIGHLY POLITICAL STATE HUMAN-SERVICE SYSTEMS. CERTAINLY THE ADMINISTRATORS AND STAFF ARE LOSERS IN SUCH A CONFLICT SITUATION, THE AUTHORS CONCLUDE, BUT IT IS THE TAXPAYERS AND PRISONERS WHO ARE THE REAL LOSERS. (AUTHOR ABSTRACT)...MSP