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Nationalization, Bolivian Style: Morales Seizes Electric Grid, Boosts Oil Incentives

By Emily Achtenberg | Rebel Currents | May 10, 2012

On May 1, President Evo Morales seized control of Bolivia’s electric grid from a subsidiary of the Spanish-owned Red Eléctrica de España. In a dramatic ritual now familiar to Bolivians as a hallmark of the Morales government on International Workers’ Day, Bolivian soldiers peacefully occupied the company’s Cochabamba offices and draped the Bolivian flag across its entrance.

Coming on the heels of Argentina’s recent move to expropriate Spanish energy company Repsol’s majority stake in its national gas and oil company, the event has generated more than the usual volume of outrage and dire predictions of capital flight from U.S. business interests.

“It’s crazy to invest in Bolivia, and this is a perfect example why,” says Eric Farnsworth, vice-president of the DC-based Council of the Americas. “He’s taking actions that guarantee that investment will dry up further.”

“The left-wing populist strategy of demonizing the investor class has one big drawback: the law of diminishing (investor) returns,” warns Mary Anastasia O’Grady in the Wall Street Journal. In reality, far from abandoning Bolivia, foreign companies have remained actively engaged in its post- nationalization energy sector. This is due in no small part to Morales’s increasingly investor-friendly policies, including his willingness to boost private incentives to meet domestic energy needs.

The takeover of the electric grid, which was privatized in 1997, is part of Bolivia’s overall strategy to re-nationalize companies that were divested by past neoliberal governments, increasing state control over strategic sectors such as natural resources and basic services. Since 2006, Morales has nationalized the country’s gas fields, oil refineries, pension funds, telecommunications, and main hydroelectric power plants.

According to Morales, Red Eléctrica has invested only $81 million in Bolivia’s electric grid since acquiring it in 2002, while drawing around $100 million in cumulative profits. Three of Bolivia’s nine departments remain isolated from the national network. “The government invested $220 million in electricity generation while others profited, so we’re recovering what was ours,” Morales said.

Apart from these ideological and economic considerations, domestic politics also played a role in the May 1 event. Nationalizations have been highly popular in Bolivia, and this one may help Morales shore up support from disaffected constituencies at a time of heightened civic unrest. Still, the increase in power blackouts since the government took over electricity generation in 2010 serves as a reminder that the move could also backfire politically if the level of service does not meet public expectations.

In any case, despite the theatrics of the May 1 announcement, Bolivia’s most recent nationalization has been relatively non-confrontational, especially when compared to Argentina’s move with Repsol. For one thing, the targeted electric company subsidiary generated just 3% of its parent company’s profits, while Argentina’s YPF accounted for 21% of Repsol’s. In an effort to minimize negative fallout, Morales gave Spain 3 days notice of the takeover, whereas Argentina’s President Cristina Fernández refused to meet with Repsol in advance.

After its initial criticism, Spain has acknowledged the legitimacy of Bolivia’s nationalization decision, which includes a promise of fair compensation. Red Eléctrica expects to reach a friendly agreement with Bolivia on the value of its investment, and the parties have agreed to retain a joint appraiser.

On the same day as the electricity grid takeover, Morales inaugurated a $600 million natural gas processing plant in eastern Bolivia with Repsol that represents the single biggest foreign investment under his government. The plant will triple the amount of gas sold to Argentina. Repsol is one of ten gas and oil multinationals that were forced to renegotiate their contracts with Bolivia in 2006, giving the state majority ownership and vastly increasing taxes and royalties under a relatively modest form of nationalization.

“We have a relation of great trust with Repsol,” said Morales, contrasting Bolivia’s situation with Argentina’s. “Repsol respects all Bolivian rules, and its promised investments are going ahead in a good manner.” At the same time, Morales noted, Bolivia’s experience with Repsol shows that nationalization (Bolivian style)  can be a success, providing an instructive example for Argentina.

As Carlos Arze of Bolivia’s Center for Research on Labor and Agrarian Development (CEDLA) points out, six years after Bolivia nationalized its hydrocarbons reserves, not a single foreign oil and gas company has pulled out of Bolivia. Despite the major shift in revenue splits, the firms’ annual profits have remained about the same in dollar terms ($824 million), due to the vast increase in revenues generated by high commodity prices and natural gas exports. Annual hydrocarbons revenues collected by the state have increased from an average of $332 million prior to nationalization to more than $2 billion today.

Still, there have been major setbacks with oil and gas nationalization. While natural gas production has increased, crude oil production has fallen by more than 20% since 2005. With crude oil prices that the state can pay frozen at $27 per barrel (less than a quarter of today’s world price), companies are unwilling to invest in exploration of new reserves. As a result, Bolivia has become increasingly dependent on fuel imports for domestic consumption, with an escalating annual price tag estimated at $755 million in 2012, to subsidize the cost of imported gasoline and diesel to consumers.

In an effort to reduce this dependency and stimulate energy sovereignty, the government instituted a new policy on April 19, boosting incentives for crude oil production from $10 to $40 per barrel (through a $30 tax credit).

The new policy effectively repositions the ill-fated December 2010 Gasolinazo, when the government tried to accomplish the same goals on the backs of consumers by abruptly cancelling the fuel subsidy and dramatically increasing gasoline prices. That policy was revoked after massive protests, sending shock waves through Bolivia’s social and political sectors that continue to reverberate to this day.

Critics of the new incentive, including Arze, believe that it’s just another form of giveaway to the oil companies which far exceeds their production costs, and will still be paid by the public through taxes foregone from the national treasury. They question where the funds will come from, since the government claims it can’t afford higher salaries for striking health care workers and other disaffected sectors. According to the government, savings from reduced gasoline and diesel imports will more than offset the tax incentive cost (estimated at $358 million over five years).

In any case, it’s clear that Bolivian-style nationalization is far from incompatible with continued private investment, and that the Morales government is willing to underwrite the incentives it believes are necessary to accommodate foreign capital. Whether this investor-friendly approach is the best policy for Bolivia remains to be seen, but it’s a far cry from “demonizing” the private sector.

May 11, 2012 Posted by | Economics | , , , , , , | Leave a comment

Qatar to loan South Sudan $100 million: official

Sudan Tribune | May 10, 2012

KHARTOUM – The government of South Sudan has managed to secure a total of $600 million in loans amid growing fears about how long the new nation’s economy can survive following its decision to halt its entire oil production this year.

Juba retaliated to Khartoum’s move of seizing part of its oil to make up for unpaid oil transportation fees. The two countries have negotiated at length without agreeing on how much landlocked South Sudan should pay for using the north’s oil infrastructure.

Sudan lost three-quarters of its roughly 500,000 bpd of crude oil output when South Sudan gained independence in July 2011 under a 2005 settlement that ended two decades of civil war.

This week the Sudanese finance minister said that Khartoum stands to lose $2.4 billion in revenues this year as a result of the oil dispute. Khartoum’s budget for this year had assumed it would receive around $36 per barrel in oil transit fees from South Sudan. However, Juba refuses to pay more than $1 a barrel.

A confidential document obtained by Sudan Tribune this week showed a senior World Bank official warning that South Sudan’s economy could go bankrupt as early as July due to the depletion of its foreign currency reserves.

But an official in Juba dismissed the fears and said that help is on the way.

South Sudan Deputy Finance Minister Marial Awou Yol told Bloomberg news that his country secured a $100 million line of credit from Qatar National Bank (QNB) and will receive a $500-million loan within a month from an unidentified provider. Loans are also being sought from countries including China.

“We have oil in the ground, we can mortgage this oil for money,” Yol said. Lines of credit will be used to give importers access to foreign currency to buy goods including fuel, and future loans will allow the government to release dollars into the economy to fight inflation, he said.

The official said the value of South Sudan’s pound is being affected by uncertainty about where the government will acquire foreign exchange after losing revenue from oil production.

“The system is being driven by speculation” and adjusting the official exchange rate to bring it in line with the black market would only create more uncertainty, he said. Instead, the government plans to stabilize the currency by injecting foreign exchange into the economy obtained from the loans it’s negotiating.

May 11, 2012 Posted by | Corruption | , , , | 2 Comments

Benzion Netanyahu and the Origins of Bipartisan Support for Israel

By Maidhc Ó Cathail | The Passionate Attachment | May 11, 2012

At the opening of his May 2011 speech to a joint meeting of the U.S. Congress, Benjamin Netanyahu observed that he saw a lot of old and new friends present, laying particular stress on the fact that these “friends of Israel” were comprised of “Democrats and Republicans alike.” No doubt few, if any, members of Congress who rose to applaud the Israeli Prime Minister’s banal remark on their fealty to a foreign state would have been aware of the “surprising and little-known role in American political history” played by Netanyahu’s father in creating what one leading American Jewish activist has not surprisingly called “a welcome tradition of bipartisan support for our friend and ally Israel.”

According to a new book by Rafael Medoff and Sonja Schoepf Wentling, Herbert Hoover and the Jews: The Origins of the “Jewish Vote” and Bipartisan Support for Israel, Benzion Netanyahu was instrumental in forging that “tradition of bipartisan support” that prevails today in Washington. As Medoff and Wentling explain, the Israeli Prime Minister’s father was sent to the United States in the early 1940s by Vladimir Ze’ev Jabotinsky to represent the militant Revisionist Zionism movement there:

Netanyahu divided his time between Revisionist headquarters in New York City and Capitol Hill, where he sought to mobilize congressional backing for the Zionist cause. At the time, mainstream Jewish leaders such as Rabbi Stephen S. Wise were strong supporters of President Franklin D. Roosevelt and stayed away from the Republicans. Netanyahu, by contrast, actively cultivated ties to prominent Republicans such as former President Herbert Hoover, as well as dissident Democrats such as Sen. Elbert Thomas of Utah, a Mormon.

As Lee Smith notes in a Tablet Magazine review of Herbert Hoover and the Jews:

He became such an important figure on Capitol Hill that in helping to draft the Republican political platform in the 1944 presidential campaign, he forced the other party—the one led by FDR—to match it and thereby created a bipartisan consensus on what was at the time called the “Palestine issue.”

In a recent JTA essay, co-author Rafael Medoff explains:

In the months leading up to that year’s Republican national convention, the Revisionists undertook what they called “a systematic campaign of enlightenment” about Palestine among GOP leaders such as Hoover, Sen. Robert Taft, who chaired the convention’s resolutions committee, and Rep. Clare Booth Luce, wife of the publisher of Time and Life magazines.

The GOP adopted an unprecedented plank demanding “refuge for millions of distressed Jewish men, women, and children driven from their homes by tyranny” and the establishment of a “free and democratic” Jewish state. The Republicans’ move compelled the Democrats to compete for Jewish support and treat the Jewish vote as if it were up for grabs. The Democratic National Convention, which was held the following month in Chicago, for the first time endorsed “unrestricted Jewish immigration and colonization” of Palestine and the establishment of “a free and democratic Jewish commonwealth.”

These events helped ensure that support for Zionism and later Israel would become a permanent part of American political culture. Every subsequent Republican and Democratic convention has adopted a similar plank. To do less became politically inconceivable.

As Thomas Friedman reminded Benjamin Netanyahu, the 29 standing ovations he received from Congress last year were “bought and paid for by the Israel lobby.” But the Israeli leader also had someone else to thank for preparing the ground for that bipartisan lovefest — his father, whom Lee Smith fondly remembers as “a practical man of political action who helped pioneer Washington’s Jewish lobby.”

May 11, 2012 Posted by | Ethnic Cleansing, Racism, Zionism, Timeless or most popular | , , , , , , , | Leave a comment

Starving the Syrians for Human Rights

Physicians for Human Rights Supports Tougher U.S. Sanctions

By John V. Walsh | Dissident Voice | May 10th, 2012

The wing of the U.S. human rights movement which targets foreign countries can wind up as a cruel business, aiding the ruthless and violent actions of the U.S. Empire, wittingly or not. For the U.S. all too often uses human rights as a cover for taking action against countries that defy the Empire’s control.

Some weeks back, I decided to look into one such group, Physicians for Human Rights (PHR), an organization I had long refrained from joining out of skepticism. But perhaps, I thought, PHR had sidestepped the dangers inherent in this work. So I joined to find out.

Some days later I received my first email from PHR. I was floored by the heading, “Protect Syrian Citizens: Help Make Sanctions Tougher.” The word “tougher” struck me. The email read in part: “Help us impose tougher sanctions on Pres. Assad’s brutal regime. The Syria Sanctions Act of 2011, S. 1472, will target Syria’s energy and financial sectors. Contact your Senators today and urge them to back S. 1472.” The sponsor of this bill was Kirsten Gillibrand, and among the 12 co-sponsors were two neocon leaders, John McCain and Joe Lieberman, the latter hardly a human rights stalwart when it comes to Palestinians. Did that not ring alarm bells at PHR?

Sanctions Target the Syrian People, Bringing Poverty and Hunger

PHR argues that the sanctions are “targeted” at the oil and financial sectors and therefore are of consequence only for the Syrian elite. Since 25% of the revenue of the Syrian government comes from oil revenues (according to the text of the bill), expenditures providing needed relief to the population, for example, the current price supports for food, will certainly be affected. But it is not only the revenues of the Syrian government that are affected. The Financial Times reports:

The most significant sanctions are on the oil industry, estimated by the International Monetary Fund to have accounted for almost a fifth of gross domestic product in 2010. Analysts estimate that they helped contribute to a contraction of 2-10 per cent to Syria’s economy last year (2011).

The results of the sanctions should be obvious with only a moment’s thought. If the Assad regime is as nefarious as PHR claims, then certainly it will put itself way ahead of the common people as sanctions bite. Such an attitude is the norm not the exception in the world today. But even if the leaders of the human rights community could not figure this out, the impact of the sanctions on ordinary Syrians is hardly a secret, even in the mainstream press. Thus in March the Washington Post ran an article entitled “Syria running out of cash as sanctions take toll, but Assad avoids economic pain.” One did not even need to read beyond the headline to get the point. The article reports as follows:

The financial hemorrhaging has forced Syrian officials to stop providing education, health care and other essential services in some parts of the country, and has prompted the government to seek more help from Iran to prop up the country’s sagging currency.… Revenue from Syrian oil, meanwhile, has almost dried up, with even China and India declining to accept the nation’s crude….. At the same time, President Bashar al-Assad appears to have shielded himself and his inner circle from much of the pain of the sanctions and trade embargoes, which are driving up food and fuel prices for many of the country’s 20 million residents…

The Washington Post is not alone in this assessment. The Financial Times tells us:

A murky broader picture (emerges) suggesting that while some sanctions are hurting the regime of Bashar al-Assad, the president, and its alleged associates, they are also hurting ordinary Syrians … David Butter, a Middle East economic expert, said: ‘If it’s a scrap for limited resources, the regime is still in a position to get the first rights, whether fuel or cash or food. It [the sanctions regime] hurts them but to really cripple them is going to take a long time.

And the effect desired by the U.S. is quite clear. Another article in the Washington Post with the headline “Amid Unrest, Syrians Struggle to Feed Their Families” reports that food prices have risen as the result of sanctions. As a result the Assad government in March “introduced a system of price-fixing for essential foods that has stabilized the cost of bread, sugar and meat — although they remain much higher than they were a year ago. ….. ‘ Despite efforts to mitigate the problem around half of Syrians may live in poverty, said Salman Shaikh of the Brookings Institute in Doha, who argued that this is increasing anti-government feeling.” Regime change is the point. And the pronouncements of Obama and Hillary make this abundantly clear.

The Empire in Desperation Pulls Out all the Stops to bring Syria to Heel

Since Russia and China drew a line in the sand to stop the overthrow of the Syrian regime by the West, the United States appears increasingly desperate. That desperation has grown since the UN-brokered cease-fire has terminated much of the fighting and killing, however imperfectly.

But is not the Assad government to blame for the failures of the cease-fire? If so, it is certainly not alone. Recently the NYT reported: “An explosion killed at least three people in Aleppo, and two blasts hit a Damascus highway on Saturday in further signs that rebels fighting to topple President Bashar al-Assad are shifting tactics toward homemade explosives. Syria’s state news agency said three people had been killed, one of them a child, and 21 had been wounded by a booby-trapped car in the northern city of Aleppo. The Syrian Observatory for Humans Rights, an opposition group based in Britain that relies on information from Syrian activists, said the blast destroyed a carwash in Tal al-Zarazeer, a poor suburb, and killed five people. A member of the rebel Free Syrian Army claimed responsibility for the bombing, saying that the carwash was used by members of a pro-Assad militia.”

A car wash is hardly a target that is focused on the military. And today The Guardian and others reported that a Syrian military convoy protecting the UN observer mission was hit by a roadside explosion, injuring six Syrian soldiers, three badly. When Russian officials accuse the Syrian opposition of “terrorist tactics,” it appears that they have a point.

PHR has certainly done some good things in the past; for example, documenting human rights violations and medical abuses in Gaza and the West Bank – although this work is now solidly in the hands of the Israeli division of PHR, meaning, among other things, that it will get less attention in the U.S. And at no point has PHR called for boycotts against Israel, a regime that has killed untold thousands of Palestinians in what amounts to a long slow genocide. In the eyes of PHR it would appear that official enemies of the U.S. Empire deserve sanctions, whereas allies who violate the most basic human rights get an investigation and a tongue lashing – at most.

In fact, sanctions are the work of our imperial government; and when a “human rights” organization gets into the business of supporting them, it is de facto in the business of supporting the Empire and its drive for domination. 1 Token ruminations about human rights violations by U.S. “allies” or clients do not alter this fact. Such ruminations serve as little more than a cover for the real use of these groups to the Empire. Whether the PHR policy makers understand this or not makes little difference.

So what was this PHR member to do in the face of such a stance by his organization? This writer called the Boston office, the home office, to complain about the decision to back the Sanctions bill. I was given to understand by one staffer that I was not the only member to register dissatisfaction. I inquired who made this decision and how it was made. Initially I was told that such decisions were not made in the home office but at a smaller office in Washington, which works closely with Congress. In a subsequent email I was told that “the policy and program decisions are made by our Executive Management team.” Who is the “Executive Management Team”? This member does not know and has not been told. Furthermore the PHR web site does not contain any information about the Executive Management Team, as far as I can see. Are personnel of the U.S. government consulted in such deliberations? (The PHR membership clearly is not.) And should not such an important decision at least have some input from the members?

But PHR is not alone in providing cover for the designs of the Empire. They are but one example. Other human rights organizations appear to be jumping on the bandwagon. And, of course, the U.S. government is happy to have their support. Syria is clearly the gateway to Iran – and both countries have refused to one degree or another to submit to the will of the U.S. So regime change for both countries is high on the agenda of the West. That is the way of Empire.

PHR started out at its founding in 1978 documenting the abuses of the Pinochet government, a client of the Empire. Today it has descended into an instrument for justifying an attack on one of the official enemies of the U.S. That is the danger of a “human rights” approach if uninformed by an understanding of the designs and ruthlessness of the Empire.

The core of the physicians’ credo is “First do no harm.” Starving a people for the sake of “human rights” as part of a campaign that serves imperial machinations for regime change hardly fits into that injunction. And certainly PHR knows that diseases arising from privation and hunger fall most heavily on non-combatants, children and the elderly especially. That is no secret either. Perhaps PHR is echoing the judgment of Madeleine Albright on Iraq that the human carnage of the sanctions is “worth it.” However, from an ethical viewpoint, that judgment does not belong to citizens of the Empire living in comfort far from the victims in Syria.

  1. It is interesting to read what is necessary for such sanctions to be lifted once imposed. The bill states the following:“Termination will occur “on the date the President submits to Congress a certification that the government of Syria is democratically elected and representative of the people of Syria and a certification under the Syria Accountability and Lebanese Sovereignty Restoration Act of 2003 that the Syrian government has:
    • ceased support for international terrorist groups;
    • ended its occupation of Lebanon;
    • ceased development and deployment of ballistic missiles and biological, chemical, or nuclear weapons and agreed to verification measures; and
    • ceased all support for, and facilitation of, terrorist activities in Iraq.”

    Given that one of the named “terrorist groups” is Hamas, which is the duly elected government in Gaza, and given the murkiness of the other requirements, this is a tall order indeed

John V. Walsh can be reached at john.endwar@gmail.com.

May 10, 2012 Posted by | Wars for Israel | , , , , | Leave a comment

Voices from the Occupation: Hammam and Odai S. – Settler violence

Defense for Children International | May 9, 2012

Names: Hammam and Odai S.
Date of incident: 21 April 2012
Age: 3 and 12
Location: Hebron, West Bank
Nature of incident: Settler violence

On 21 April 2012, a 12-year-old boy and his three-year-old brother go with their father to their land south of Hebron, in the occupied West Bank, where they are attacked by a group of settlers.

“On 21 April 2012, at around 9:00 am, I went with my father and my three-year-old brother, Hammam, to our  land in Khirbet  Shuweika, about seven kilometres from where we live,” explains 12-year-old Odai. “My father started clearing the land; I helped him for a while and then I went to play with Hammam,” he continues.

“At around 1:00 pm, I saw six men approaching us. They were carrying sticks and their faces were covered. I stayed where I was and didn’t feel scared because I didn’t know they were settlers. When they were about 20 metres away, they started throwing stones at us. Four of them attacked my father, and the other two attacked me and my brother. I felt terrified. Hammam started screaming and shivering. He was also terrified.”

Odai’s father tried to defend his children and was hit by stones several times. “A stone also hit me in the left leg and it hurt a lot,” says Odai. “Luckily, Hammam was not hit.” While they were being attacked, Odai’s father called his brothers to come and help them. “When the settlers noticed that two cars had arrived, they fled.”

Odai and his father were taken to the nearest medical centre for treatment. “I was told the settlers were from the settlement of Shim’a, located about one and a half kilometres from Khirbet  Shuweika,” explains Odai. “What happened terrified me and my brother. This is the first time I have had such a terrifying experience,” he adds.

May 10, 2012 Posted by | Ethnic Cleansing, Racism, Zionism, Subjugation - Torture | , , , , , , , | 1 Comment

Embedded NYT Reporter Boosts US War in Honduras (and Why We Shouldn’t Listen)

By Dawn Paley | Upside Down World | May 9, 2012

Sunday’s edition of the New York Times featured a front page story by Thom Shanker about how the US is waging an “Iraq-style” war on drugs in Honduras.

Shanker, a former Senior Writer in Residence with the Centre for New America Security (which the WSJ called a “farm team” for Obama’s national security advisors), has also been the NYT’s Pentagon correspondent, was embedded in Afghanistan, and has reported from Iraq.

The piece, which ran online as US carries lessons of Iraq into Honduras drug war is your classic bit of embedded journalism. The dateline is a U.S. military base (ahem, forward operating location), the sources are soldiers and marines, and the Hondurans — which are included in photos only — are soldiers.

Hey, world, the U.S. is at war with the bad guys in Honduras! Is the gist of the article, but Shanker’s pro-establishment/embedded bias does little to give readers an informed perspective about what is actually taking place in the Central America.

First off, Shanker does his best to set the story up as being all about drugs, even though it is common knowledge that U.S. militarization doesn’t decrease drug production or trafficking. “Forty years of increasingly violent efforts to stamp out the drug trade haven’t worked,” reads a recent piece in Foreign Policy magazine.

Then Shanker slips into a description that is perhaps a little more indicative of the U.S. role in Honduras:

This new offensive, emerging just as the United States military winds down its conflicts in Iraq and Afghanistan and is moving to confront emerging threats, also showcases the nation’s new way of war: small-footprint missions with limited numbers of troops, partnerships with foreign military and police forces that take the lead in security operations, and narrowly defined goals, whether aimed at insurgents, terrorists or criminal groups that threaten American interests.

Is this about drugs, or is it about securing U.S. sweatshops in Honduras? Is it about drugs, or is it about seeing the entire population of Honduras as a latent “criminal” group that could, at any moment, become “illegal” immigrants? Is it about drugs, or is it about controlling insurgents (aka rebels or revolutionaries), namely the members of a massive popular movement that has risen up since the illegal coup d’etat in Honduras in 2009?

You’d be forgiven for reading this piece and not knowing about the coup: Shanker left out that, ahem, little detail in his piece. The U.S. media don’t like to talk about how the coup, carried out by the Honduran army and supported by Honduras’ tiny transnational elite, has sparked a massive popular movement all across the country. But acknowledging that there is a huge (and generally peaceful) popular movement in Honduras makes war boosterism more complicated. Better to stick to the fighting drugs and bad guys, you know the quasi criminal terrorist line…

The re-militarization of Honduras isn’t just about Honduras — it is about the entire region.

Shankar mentions that US anti-drug teams developed in Afghanistan are now active in Honduras to “plan interdiction missions in Central America.” He makes passing reference to how Honduras was used for staging the war against the Sandinistas in Nicaragua, but leaves out the fact that Honduras was also the staging area for the 1954 CIA backed coup in Guatemala, and for US backed wars against the FMLN in El Salvador later on (and on, and on). Looks like the bad old days of the “USS Honduras” are coming back in a big way – this, in a country that already has one of the highest murder rates in the world.

The fact that the New York Times is sending embedded journalists to Central America is gross. Instead of talking to, um, Hondurans, Shanker quotes the Council on Hemispheric Affairs* as a sort of “critical” voice. Check this quote, from Larry Binns of the COHA:

“We know from the Reagan years that the infrastructure of the country of Honduras — both its governance machinery as well as its security forces — simply is not strong enough, is not corruption-proof enough, is not anti-venal enough to be a bastion of democracy.”

The Reagan years!? Excuse me? What about the freaking military coup during Obama’s administration? Sigh.

The implication that what the US did/learned in Iraq was a success alone is obviously beyond problematic for reasons that others can explain far better than I.

Finally, Shanker ends off paraphrasing a money quote from an ex-Navy SEAL, writing “There are ‘insidious’ parallels between regional criminal organizations and terror networks.” I can’t bring myself to unpack this here, but the immediate implication (more war) is obvious, no matter how you understand the world.

Anyhow, some folks might argue that this piece is useful because it reveals the US mission in Honduras. I don’t agree — I think this piece is useful to the Pentagon and the US elite. There’s so little factual, contextual or historical information in here that this piece is near useless even for a critical reader.

May 10, 2012 Posted by | Deception, Mainstream Media, Warmongering | , , , , | Leave a comment

Hillary Clinton’s Iran Weapons Lie Is ‘Tough Talk’

By Peter Hart – FAIR – 05/08/2012

Covering Hillary Clinton’s trip to India, USA Today’s Richard Wolf writes (5/8/12):

Fielding rapid-fire questions at a town-hall-style event in Kolkata, she denounced Iran’s nuclear arms program and urged India to reduce its Iranian oil imports further.

“We appreciate what has been done, and of course we want to keep the pressure on Iran,” she said.

When I read that I thought, “Here we go again, another outlet misstating the basic facts about the Iran debate.”

Then I checked the transcript of the Clinton’s town hall, and that is indeed what she said, in response to a question about U.S. pressuring India to stop buying oil from Iran:

That’s a very good question, and let me give you a little context for that question. When President Obama took over in 2009, we knew Iran’s continuing development of a nuclear weapons program would be very destabilizing in the region, because there would be an arms race with the nations in the region who have pre-existing enmity between themselves and Iran. And it would also cause a great threat to Israel.

USA Today should have noted that there is no evidence that Iran has any nuclear weapons program at all–as U.S. intelligence and the Pentagon secretary have acknowledged. That’s what newspapers should do when politicians mislead. Instead, the paper puts this headline over the piece: “Clinton Wraps Asia Trip with Tough Talk on Iran.”

“Tough talk” is a weak way to describe a government official’s misrepresentation of the facts.

May 9, 2012 Posted by | Deception, Mainstream Media, Warmongering, Wars for Israel | , , , | 1 Comment

10 years on from Nativity Church siege, deportees ‘forgotten’

By Jenny Baboun | Ma’an | May 10, 2012

BETHLEHEM – Ten years after Israel exiled 39 Palestinians taking refuge in Bethlehem’s Nativity Church, deportees say they have been forgotten by Palestinian leaders.

On May 10, 2002, Israeli forces ended a 39-day siege on the church after striking a deal with Palestinian leaders to send 39 people given sanctuary in the church to Gaza and Europe.

When Israeli tanks surrounded Bethlehem on April 2, 2002, around 220 locals — including around 40 priests and nuns — took shelter in the church. Over the next 39 days, eight Palestinians were killed inside the church and 27 others injured.

The siege on the site believed to be Jesus’ birthplace sparked outrage in the Vatican as monks sheltering inside pleaded for international assistance.

Former Bethlehem Governor Salah Tamari headed the negotiations team to end the siege, and told Ma’an TV the deportation deal was reached without his knowledge.

He recalled his shock when Israeli officials told him Palestinians would be exiled, and said he called the office of President Yasser Arafat to resign as chief negotiator.

Israeli officials had demanded a list of names of everyone in the church, Tamari said.

“Since the first moment, we refused to give any names. We told [the Israelis] if you have anyone who’s wanted, give us their names and we’ll see if their charges affect the Palestinian law, we’ll hold them accountable.”

Rafat Obayyat was one of 27 Palestinians injured by Israeli attacks on the church. He is in a wheelchair due to his injuries.

He told Ma’an the grotto was the safest place in the church during the siege. Food was scarce and small amounts of pasta would be rationed between everyone, he added.

After a decade in exile, deportees say they have been abandoned by the Palestinian Authority and all political factions. They have not been allowed to return to their families in the West Bank.

Deportees had planned to demonstrate on Thursday but canceled the protest to stand beside prisoners on hunger strike, spokesman for the group Fahmi Kanan said at a press conference on Monday.

Instead, deportees will go on a 3-day hunger strike on Thursday in solidarity with detainees in Israeli jails, Kanan said.

‘A dangerous precedent’

Former detainee and researcher Abdul Nasser Farwaneh said the deportation deal was a clear violation of international law and human rights.

The Palestinian leadership’s acceptance of the deal to send Palestinians into exile set a dangerous precedent and over the last decade Israel has deported hundreds more Palestinians, Farwaneh said in a statement.

He urged the international community to send a commission of inquiry into Israel’s siege on one of the world’s holiest sites.

He also called for greater efforts to bring the deportees home and said the ongoing failure to bring them back from exile reflected Palestinian indifference to the issue.

May 9, 2012 Posted by | Ethnic Cleansing, Racism, Zionism, Illegal Occupation, Subjugation - Torture, Timeless or most popular, Video, War Crimes | , , , , , | Leave a comment

Protesting NATO

By Margaret Kimberley | Black Agenda Report | May 9, 2012

The North Atlantic Treaty Organization is a cold war relic with no positive use in the 21st century. Its original intent, or so it was claimed, was to protect western nations from a supposedly threatening Soviet block. The Soviet Union collapsed, and now some of the old Soviet bloc states are NATO members themselves. Why does this organization still exist?

The explanation is simple, but not very pretty. NATO is the armed wing for European and American elites who control the destiny not only of the capitalist nations they represent but of people around the world. It is NATO which continues to occupy Afghanistan, and send drones which kill civilians. It is NATO which over threw the Muammar Gaddafi government in Libya and killed an unknown number of civilians in the name of protecting them.

When the United Nations sought to investigate whether NATO committed any crimes against the Libyan civilian population, NATO said quite simply that it hadn’t, and that no one should even suggest otherwise. “We would accordingly request that, in the event the commission elects to include a discussion of NATO actions in Libya, its report clearly states that NATO did not deliberately target civilians and did not commit war crimes in Libya.”

This same NATO, which despite its claims to the contrary, did target civilians in Libya, will soon celebrate its violent triumphs in the city of Chicago. It was meant to be a celebration with its economic and political arm, the G-8, but the possibility of mass protests against the G-8 caused Barack Obama to move the festivities to secluded Camp David, where the pesky masses won’t be allowed to disrupt the party.

Fortunately, activists are not fooled by the sleight of hand of a smaller celebration and are organizing mass protests. NATO’s presence in Chicago must not be seen as acceptance of its activities by the American people. It is vital that peaceful protests be successfully carried out against NATO and against its activities around the world.

NATO’s criminality did not begin with Iraq, Afghanistan and Libya. Its hands have been very dirty in recent history in many different places. In 1999 NATO used the ruse of humanitarianism to kill human beings and destroy the infrastructure of Yugoslavia. Yugoslavs victimized by these acts weren’t silent about them, and in the absence of action anywhere else in the world, convened their own war crimes tribunal against NATO heads of state and military personnel.

Bill Clinton, Tony Blair, Jacques Chirac, Gerhard Schroeder and others were sentenced in absentia to twenty years imprisonment. They were convicted of violating the Geneva Conventions, and the U.N. Charter. In the words of the Yugoslav court, NATO leaders were guilty of the following, “…inciting an aggressive war, war crimes against the civilian population, use of banned combat means, attempted murder of the Yugoslav president, as well as with the violation of the country’s territorial integrity”.

NATO’s trail is a long and bloody one, and the phony festivities are creating risks to the people of Chicago too. They will not only face disruptions and inconvenience as they attempt to go about their daily lives, but their city will also be the place where new Obama administration restrictions on civil liberties will be put into full effect.

The Nobel Peace Prize winning constitutional law professor has decreed, with bipartisan support, that American citizens can be seized and held without charge if they are even suspected of anything the government labels as terrorist activity. Constitutional protections of due process are now a thing of the past.

In addition, the mere proximity of secret service personnel at even peaceful protests can result in arrests and federal felony charges carrying a sentence of up to ten years in prison. This Trespass Bill, as it is called, can be used to charge protestors who are in proximity of the Secret Service – whether knowingly, or unknowingly. Of course, there will be plenty of Secret Service staff on hand in Chicago, and anyone who takes the righteous action of protesting may put themselves in great legal jeopardy.

The NATO meeting is obviously seen as a political plus for the president in his home town in an election year. It should be seen as nothing of the sort, and the activists who attempt to tell the world about NATO’s crimes are doing their country and the world a great service.

Margaret Kimberley’s Freedom Rider column appears weekly in BAR, and is widely reprinted elsewhere. She maintains a frequently updated blog as well as at http://freedomrider.blogspot.com.Ms. Kimberley lives in New York City, and can be reached via e-Mail at Margaret.Kimberley(at)BlackAgendaReport.com.

May 9, 2012 Posted by | Civil Liberties, Illegal Occupation, Militarism, Solidarity and Activism, Timeless or most popular, War Crimes | , , | Leave a comment

The Israel Lobby Never Sleeps

By Philip Giraldi | The Passionate Attachment | May 10, 2012

There has been no media reporting on H.R.4133 — United States-Israel Enhanced Security Cooperation Act of 2012 introduced into the House of Representatives of the 112th Congress on March 5th “To express the sense of Congress regarding the United States-Israel strategic relationship, to direct the President to submit to Congress reports on United States actions to enhance this relationship and to assist in the defense of Israel, and for other purposes.” The sponsors include Eric Cantor, Ileana Ros-Lehtinen, and Howard Berman (all of whom are Jewish) and also Steny Hoyer of Maryland, who is Norwegian but might as well be Jewish given his frequently expressed love for Israel. The bill provides Israel with a blank check drawn on the US taxpayer to maintain its “qualitative military superiority” over all of its neighbors combined. It is scheduled for passage on a “suspension of the rules,” which means it will not actually be voted on and will be approved by consent of Congress.

It is perhaps no coincidence that on Monday the Republicans in the guise of the redoubtable Howard “Buck” McKeon released their proposal for increased defense spending (yes, increased) for 2013. It includes a cool $1 billion for Israel to upgrade its missile defenses. That’s on top of the $3 billion it already receives plus numerous co-production programs that are off the books and defense spending that is not considered to be part of the annual grant. Perhaps “Buck” should consider changing his sobriquet to “Warbucks.” Buck is not Jewish but he is a Mormon, perhaps a sign of what will be coming if we are so unlucky as to vote into office the born again Hawk Mitt Romney. Mitt has a foreign policy team consisting of more than thirty stalwarts, mostly drawn from the Bush Administration, and nearly all of whom are neocons. It features Robert Kaplan, John Bolton, and Dan Senor.

Israel and its partisan hacks in Congress are utterly shameless. At a time when the country is screaming for some measure of restraint in government spending, Israel is the one budget line that only sees increases.

Philip Giraldi is the executive director of the Council for the National Interest and a recognized authority on international security and counterterrorism issues.

May 9, 2012 Posted by | Militarism, Wars for Israel | , , , , , , , | 3 Comments

Sudan says Juba owes over $1 billion, says Heglig oil production to be boosted

Sudan Tribune | May 8, 2012

KHARTOUM – The Sudanese oil Minister Awad Ahmed al-Jaz today reiterated accusations that South Sudan deliberately planned to sabotage his country’s oil infrastructure to hurt its economy.

In a briefing to Sudanese national assembly, al-Jaz said that technical teams are still in the oil-rich town of Heglig assessing damage to oil facilities created by the brief occupation of South Sudan army (SPLA) last month.

He refused to give an estimate of the damages saying that his ministry is keen on providing “accurate and factual” information to lawmakers and prevent confusion among investors.

Nonetheless the oil minister gave some details of the physical damage which he said included fully blowing up the main electricity station, which produced 17 megawatts, by placing explosive devices between each machine and detonating it from a distance.

Al-Jaz also claimed that South Sudan ignited a fire in the main pipeline, destroyed tanks of crude which led to the flow of oil from the main processing center and bombed the main warehouse containing spare parts for machinery and installations.

The work was all done by foreign experts, al-Jaz said, brought by South Sudan government. He said that all the looting and sabotaging has been well documented and will be used in international legal proceedings against Juba.

A South Sudanese official had claimed that Sudan aerial bombardment created a large part of the damage in Heglig oil facilities.

Al-Jaz also informed the parliament that the capacity of Heglig oil field will increase to 80,000 barrels per day (bpd) from its optimal current levels of 55,000.

“We assure you the oil ministry is moving along in its programme for this year, to upgrade production and increase it from blocks 2 and 4, which represent the Heglig area, to a ceiling of 80,000 bpd of crude,” he said.

The government said last week it had begun pumping oil again after partial repairs to the Heglig facility, but it did not say how much oil was flowing or when full production could resume.

In a related issue, the oil minister alleged that South Sudan owes $1 billion for usage of the oil pipelines last year but did not elaborate.

Effective earlier this year, South Sudan shut down its entire oil production to stop Khartoum from seizing part of it to make up for what it calls unpaid fees for transit and use of its facilities. The two sides could not agree on what a fair charge should be for the service.

Khartoum wanted the South to pay $36 per barrel but Juba dismissed the figure and offered around $1.

The landlocked south can only export its crude through Sudan to a Red Sea terminal at port Sudan.

May 9, 2012 Posted by | Militarism | , , , , | Leave a comment

South Darfur town falls to rebel group as Sudan army claims recapture of new area

Sudan Tribune | May 8, 2012

KHARTOUM – Rebel fighters belonging to the faction of Sudan Liberation Army led by Minni Minnawi (SLA-MM) managed to seize the town of Gereida in South Darfur from the hands of government troops, according to Sudanese MP.

Gereida is about 100 kilometers (60 miles) south of Nyala? the South Darfur state capital.

Yacoub Mohamed al-Malik, who represents the town in the national assembly, said that SLA-MM entered using 37 Toyota Land Cruiser vehicles at 3 p.m. inflicting unspecified human and material losses.

SLA-MM fighters attacked from southeast and engaged with an army garrison before proceeding to control the town, he said.

The MP claimed that buildings belonging to local government and police as well as the market were looted in the aftermath.

Eyewitnesses told Sudan Tribune that several people were injured and that the telecommunication tower was destroyed.

South Darfur government spokesperson Ahmed al-Tayeb accused South Sudan of supporting the assailants adding that the army fought fierce battles with SLA-MM.

SLA-MM confirmed the reports and revealed that other rebel groups took part.

“Today our joint troops took control of Gereida after fighting with [Sudan Armed Forces] SAF,” Abdullah Moursal, spokesman for SLA-MM told Agence France Presse.

“From our side there were four people wounded,” Moursal said, adding that the attack took place in conjunction with rebels of the SLA faction headed by Abdel-Wahid Nur (SLA-AW).

The two groups are part of the Sudan Revolutionary Front (SRF) which also includes Darfur Justice and Equality Movement (JEM) and Sudan People Liberation Movement North (SPLM-N).

The umbrella coalition has as its stated goal ??? toppling the Khartoum regime.

In a related issue, SAF has reportedly recaptured Kafan Dibi area in South Darfur on the borders with South Sudan from SRF and South Sudan’s SPLA.

The government sponsored Sudanese Media Center (SMC) website quoted South Darfur government spokesperson as saying that SAF inflicted heavy losses on the rebels.

Kafan Dabi is one of the border areas that are in dispute between Khartoum and Juba.

May 9, 2012 Posted by | Militarism | , , , , , | Leave a comment