(Covers information from the S.D. Perry novels)
Tom Kurtz was the Assistant Director of the S.T.A.R.S. organization, operating at the S.T.A.R.S. Home Office in New York. Despite his high-ranking position, Kurtz was considered trustworthy by many in the organization.
Following the Mansion Incident, when the surviving members of Raccoon City S.T.A.R.S. made their report to New York on what transpired and what they learned about the illegal activities of the Umbrella Corporation, their superiors told them to stay in the area, with Kurtz himself promising to do some investigating to get back to them.
After 11 days, there was still no word, Barry Burton placed several calls to various S.T.A.R.S. branches to see if any word had come from the Home Office about the tragedy that occurred in Raccoon.
Among the people he contacted was Captain David Trapp, an old friend of his. Trapp was surprised, as to him it was the first he had heard of the subject. Since then, Trapp had found out that the Home Office hadn't contacted anyone about their discovery (no warnings, memos etc.), and even discovered nothing had been issued to the S.T.A.R.S. regarding the Umbrella Corporation.
The day after Barry called, Trapp spoke to Kurtz himself. Trapp decided not to tell Kurtz of him being in contact with Burton, only that he'd heard a rumor of a problem in Raccoon, and wanted to know if it had any merit. Kurtz wouldn't tell Trapp anything outright, instead telling Trapp that he should remain quiet about it until official word came down from the Home Office. What Kurtz would say was that there had been a helicopter crash in Raccoon City - and what he implied was that the surviving S.T.A.R.S. were trying to lay blame on Umbrella, angry over some sort of funding dispute. Trapp knew this was clearly not true, but Kurtz assured Trapp there was no conspiracy, and ended their meeting.
After constantly thinking over what was said during the meeting; Trapp concluded that there were only two possibilities; that the organization had been misled, or that (similar to Captain Albert Wesker) members of S.T.A.R.S., including Kurtz, either through bribery or blackmail, were now working for Umbrella. It was the latter.