Brazil: Worker’s Struggle Trumps Sports Spectacle
By James Petras :: 06.03.2014
Introduction
For decades social critics have bemoaned the influence of sports and entertainment spectacles in ‘distracting’ workers from struggling for their class interests. According to these analysts, ‘class consciousness’ was replaced by ‘mass’ consciousness.
They argued that atomized individuals, manipulated by the mass media, were converted into passive consumers who identified with millionaire sports heroes, soap opera protagonists and film celebrities.
The culmination of this ‘mystification’ – mass distraction –were the ‘world championships’ watched by billions around the world and sponsored and financed by billionaire corporations: the World Series (baseball), the World Cup (soccer/futbol), and the Super Bowl (American football).
Today, Brazil is the living refutation of this line of cultural-political analysis. Brazilians have been described as ‘football crazy’. Its teams have won the most number of World Cups. Its players are coveted by the owners of the most important teams in Europe. Its fans are said to “live and die with football” . . . Or so we are told.
Yet it is in Brazil where the biggest protests in the history of the World Cup have taken place. As early as a year before the Games, scheduled for June 2014, there have been mass demonstrations of up to a million Brazilians. In just the last few weeks, strikes by teachers, police, construction workers and municipal employees have proliferated. The myth of the mass media spectacles mesmerizing the masses has been refuted – at least in present-day Brazil.
To understand why the mass spectacle has been a propaganda bust it is essential to understand the political and economic context in which it was launched, as well as the costs and benefits and the tactical planning of popular movements.
The Political and Economic Context: The World Cup and the Olympics
In 2002, the Brazilian Workers Party (PT) candidate Lula DaSilva won the presidential elections. His two terms in office (2003 – 2010) were characterized by a warm embrace of free market capitalism together with populist poverty programs. Aided by large scale in-flows of speculative capital, attracted by high interest rates, and high commodity prices for its agro-mineral exports, Lula launched a massive poverty program providing about $60 a month to 40 million poor Brazilians, who formed part of Lula’s mass electoral base. The Workers Party reduced unemployment, increased wages and supported low-interest consumer loans, stimulating a ‘consumer boom’ that drove the economy forward.
To Lula and his advisers, Brazil was becoming a global power, attracting world-class investors and incorporating the poor into the domestic market.
Lula was hailed as a ‘pragmatic leftist’ by Wall Street and a ‘brilliant statesman’ by the Left!
In line with this grandiose vision (and in response to hoards of presidential flatterers North and South), Lula believed that Brazil’s rise to world prominence required it to ‘host’ the World Cup and the Olympics and he embarked on an aggressive campaign. . . Brazil was chosen.
Lula preened and pontificated: Brazil, as host, would achieve the symbolic recognition and material rewards a global power deserved.
The Rise and Fall of Grand Illusions
The ascent of Brazil was based on foreign flows of capital conditioned by differential (favorable) interest rates. And when rates shifted, the capital flowed out. Brazil’s dependence on high demand for its agro-mineral exports was based on sustained double-digit economic growth in Asia. When China’s economy slowed down, demand and prices fell, and so did Brazil’s export earnings.
The PT’s ‘pragmatism’ meant accepting the existing political, administrative and regulatory structures inherited from the previous neo-liberal regimes. These institutions were permeated by corrupt officials linked to building contractors notorious for cost over-runs and long delays on state contracts.
Moreover, the PT’s ‘pragmatic’ electoral machine was built on kick-backs and bribes. Vast sums were siphoned from public services into private pockets.
Puffed up on his own rhetoric, Lula believed Brazil’s economic emergence on the world stage was a ‘done deal’. He proclaimed that his pharaonic sports complexes – the billions of public money spent on dozens of stadiums and costly infrastructure – would “pay for themselves”.
The Deadly ‘Demonstration Effect’: Social Reality Defeats Global Grandeur
Brazil’s new president, Dilma Rousseff, Lula’ protégé, has allocated billions of reales to finance her predecessor’s massive building projects: stadiums, hotels, highways and airports to accommodate an anticipated flood of overseas soccer fans.
The contrast between the immediate availability of massive amounts of public funds for the World Cup and the perennial lack of money for deteriorating essential public services (transport, schools, hospitals and clinics) has been a huge shock to Brazilians and a provocation to mass action in the streets.
For decades, the majority of Brazilians, who depended on public services for transport, education and medical care, (the upper middle classes can afford private services), were told that “there were no funds”, that “budgets had to be balanced”, that a “budget surplus was needed to meet IMF agreements and to service the debt”.
For years public funds had been siphoned away by corrupt political appointees to pay for electoral campaigns, leading to filthy, overcrowded transport, frequently breaking down, and commuter delays in sweltering buses and long lines at the stations. For decades, schools were in shambles, teacher rushed from school to school to make-up for their miserable minimum-wage salaries leading to low quality education and neglect. Public hospitals were dirty, dangerous and crowded; under-paid doctors frequently took on private patients on the side, and essential medications were scarce in the public hospitals and overpriced in the pharmacies.
The public was outraged by the obscene contrast between the reality of dilapidated clinics with broken windows, overcrowded schools with leaking roofs and unreliable mass transport for the average Brazilian and the huge new stadiums, luxury hotels and airports for wealthy foreign sports fans and visitors.
The public was outraged by the obvious official lies: the claim that there were ‘no funds’ for teachers when billions of Reales were instantly available to construct luxury hotels and fancy stadium box seats for wealthy soccer fans.
The final detonator for mass street protest was the increase in bus and train fares to ‘cover losses’ – after public airports and highways had been sold cheaply to private investors who raised tolls and fees.
The protestors marching against the increased bus and train fares were joined by tens of thousands Brazilians broadly denouncing the Government’s priorities: Billions for the World Cup and crumbs for public health, education, housing and transport!
Oblivious to the popular demands, the government pushed ahead intent on finishing its ‘prestige projects’. Nevertheless, construction of stadiums fell behind schedule because of corruption, incompetence and mismanagement. Building contractors, who were pressured, lowered safety standards and pushed workers harder, leading to an increase in workplace deaths and injury. Construction workers walked out protesting the speed-ups and deterioration of work safety.
The Rousseff regime’s grandiose schemes have provoked a new chain of protests. The Homeless Peoples Movement occupied urban lots near a new World Cup stadium demanding ‘social housing’ for the people instead of new five-star hotels for affluent foreign sports aficionados.
Escalating costs for the sports complexes and increased government expenditures have ignited a wave of trade union strikes to demand higher wages beyond the regime’s targets. Teachers and health workers were joined by factory workers and salaried employees striking in strategic sectors, such as the transport and security services, capable of seriously disrupting the World Cup.
The PT’s embrace of the grandiose sports spectacle, instead of highlighting Brazil’s ‘debut as a global power’, has spotlighted the vast contrast between the affluent and secure ten percent in their luxury condos in Brazil, Miami and Manhattan, with access to high quality private clinics and exclusive private and overseas schools for their offspring, with the mass of average Brazilians, stuck for hours sweating in overcrowded buses, in dingy emergency rooms waiting for mere aspirins from non-existent doctors and in wasting their children’s futures in dilapidated classrooms without adequate, full-time teachers.
Conclusion
The political elite, especially the entourage around the Lula-Rousseff Presidency have fallen victim to their own delusions of popular support. They believed that subsistence pay-offs (food baskets) to the very poor would allow them to spend billions of public money on sports spectacles to entertain and impress the global elite. They believed that the mass of workers would be so enthralled by the prestige of holding the World Cup in Brazil, that they would overlook the great disparity between government expenditures for elite grand spectacles and the absence of support to meet the everyday needs of Brazilian workers.
Even trade unions, seemingly tied to Lula, who bragged of his past leadership of the metal workers, broke ranks when they realized that the ‘money was out there’ – and that the regime, pressured by construction deadlines, could be pressured to raise wages to get the job done.
Make no mistake, Brazilians are sports minded. They avidly follow and cheer their national team. But they are also conscious of their needs. They are not content to passively accept the great social disparities exposed by the current mad scramble to stage the World Cup and Olympics in Brazil. The government’s vast expenditure on the Games has made it clear that Brazil is a rich country with a multitude of social inequalities. They have learned that vast sums are available to improve the basic services of everyday life. They realized that, despite its rhetoric, the ‘Workers Party’ was playing a wasteful prestige game to impress an international capitalist audience. They realized that they have strategic leverage to pressure the government and address some of the inequalities in housing and salaries through mass action. And they have struck. They realize they deserve to enjoy the World Cup in affordable, adequate public housing and travel to work (or to an occasional game) in decent buses and trains. Class consciousness, in the case of Brazil, has trumped the mass spectacle. ‘Bread and circuses’ have given way to mass protests.
NUCLEAR: Obama throws ailing reactors a potential lifeline
By Hannah Northey | Greenwire | June 2, 2014
The Obama administration today threw a potential — and limited — lifeline to the country’s ailing nuclear industry, highlighting the ability of existing reactors to help states curb emissions.
U.S. EPA unveiled a proposal for curbing emissions from existing power plants that pointed to the United States’ fleet of about 100 reactors as playing a critical role — alongside ramping up efficiency and shifting to natural gas and other low-carbon alternatives — in cutting the utility sector’s greenhouse gas emissions by 30 percent compared with 2005 levels by 2030.
At issue is EPA’s finding in the proposal that preventing the closure of “at-risk” existing reactors could avoid up to 300 million metric tons of carbon dioxide during the initial compliance phase of 10 years.
“Policies that encourage development of renewable energy capacity and discourage premature retirement of nuclear capacity could be useful elements of CO2 reduction strategies and are consistent with current industry behavior,” the agency said. “Costs of CO2 reductions achievable through these policies have been estimated in a range from $10 to $40 per metric ton.”
The U.S. nuclear industry is facing a host of challenges, including stiff competition from cheap natural gas, low wholesale energy prices, increasing fixed operation and maintenance costs, and high upfront capital costs for building new units.
EPA noted that units have recently closed in California, Florida and Wisconsin, and additional closures have been announced in Vermont and New Jersey. EPA also noted that the U.S. Energy Information Administration in its most recent annual energy outlook projected that an additional 5.7 gigawatts of capacity — about 6 percent of the country’s current capacity — is at risk of retiring.
EPA pointed to a February 2013 Credit Suisse report that found nuclear plant operators may be experiencing a $6-per-megawatt-hour shortfall in covering operating costs with electricity sales.
“Assuming that such a revenue shortfall is representative of the incentive to retire at-risk nuclear capacity, one can estimate the value of offsetting the revenue loss at these at-risk nuclear units to be approximately $12 to $17 per metric ton of CO2,” the agency wrote. “EPA views this cost as reasonable.”
The agency went on to propose that emission reductions from retaining 6 percent of each state’s historical nuclear capacity should be factored into each state’s goals. EPA also asked for comments on whether the cost of completing new reactors in Georgia, South Carolina and Tennessee should be considered in the states’ compliance plans.
Steve Clemmer, the Union of Concerned Scientists’ director of energy research and analysis, said it’s reasonable for EPA to include existing nuclear generation in the baseline and to credit states for new reactors, adding that the agency’s modeling of the rule doesn’t project the construction of new reactors beyond the five currently being built. But Clemmer questioned EPA’s methodology and finding that 6 percent of the nation’s existing fleet is at-risk economically and applying that percentage equally across the states, noting that factors playing into each plant’s closure varies.
“In states where existing plants aren’t economically vulnerable, they could get a windfall profit by getting extra credit,” he said, noting that the industry already receives generous subsidies.
The EPA proposal is already emboldening the industry’s focus on state compliance plans.
Marv Fertel, the Nuclear Energy Institute’s president and CEO, said in an interview that the U.S. nuclear industry in coming months and years will be pushing states with merchant nuclear plants to value those units for avoiding emissions. States must submit compliance plans by June 30, 2016, or ask for an extension by April 1, 2016. The rule is slated to be finalized next June.
“We have a bunch of states that have renewable portfolio standards; we think you ought to be basically looking at in the state maybe a clean energy standard … and you should be including nuclear as a part of that,” Fertel said.
Fertel said state policies could bolster nuclear units — just as they currently boost wind and solar.
“It would work the same way it’s working for renewables right now. You have to meet the renewable standard, so you’re driving renewables into certain portfolios in the state; this would say that you ought to be looking not only to drive nuclear by either updates or whatever, but value the existing nuclear for the attribute of no emissions, as well as all it does for reliability,” Fertel said.
The current fleet of reactors avoids 600 million metric tons of carbon dioxide each year, equivalent to removing 113 million cars from the road, Fertel added.
The Obama administration in recent months has highlighted the link between climate mitigation and nuclear power. Pete Lyons, the Energy Department’s assistant secretary for nuclear energy, said earlier this year that a rash of premature U.S. reactor closures could threaten the country’s climate goals.
EPA Administrator Gina McCarthy in prepared remarks for an event in Washington, D.C., today placed nuclear power on par with solar and wind, saying states have the opportunity to “shift to ‘no’ carbon sources like nuclear, wind, and solar.” McCarthy went on to say that the nation’s nuclear reactors continue to “supply zero carbon baseload power. Homegrown clean energy is posting record revenues and creating jobs that can’t be shipped overseas.”
The administration earlier this year finalized $6.5 billion worth of loan guarantees for the country’s first U.S. reactors in decades without requiring developers to pay a “credit subsidy fee” — money that protects taxpayers should the developers default (Greenwire, April 21).
The nuclear industry has stepped up its campaign efforts in recent months, with Exelon Corp. taking the lead, partially funding a new front group called Nuclear Matters. The group’s members include former White House climate adviser and former EPA Administrator Carol Browner, former Sens. Evan Bayh (D-Ind.) and Judd Gregg (R-N.H.), former Energy Secretary Spencer Abraham, and former Commerce Secretary and Obama Chief of Staff Bill Daley.
Doug Vine, a senior fellow at the Center for Climate and Energy Solutions (C2ES), said EPA is setting base lines over the country’s total generation mix, and a state’s job becomes more difficult if a reactor retires. Vine said C2ES has seen two approaches that could benefit nuclear plants, including the clean energy standard that Fertel mentioned and carbon pricing.
Kyle Aarons, a senior fellow at C2ES, said the rule could act to incentivize states to keep current reactors running.
“It’s certainly going to change states’ thinking,” Vine said. “It’s going to put a more long-term focus on nuclear.”
China and Russia to establish joint rating agency
RT | June 3, 2014
No more Fitch, Moody’s, or Standard & Poor’s for Russia and China, as they have agreed to establish a rating agency on joint projects, and later, international services, Russian Finance Minister Anton Siluanov said Tuesday.
“The establishment of an independent rating system is being discussed. Many countries would like to have more objectivity in the assessment of rating agencies,” Siluanov said.
“There will be a Russian-Chinese rating agency, which will use the same tools and criteria for assessing countries and regional investments that existing rating agencies use,” the minister said.
USA Freedom Act has Nothing to Do With Freedom
By Alfredo Lopez | This Can’t Be Happening! | May 28, 2014
It just wasn’t a very good week for phones or for freedom.
Last week’s obscene joke of a bill coughed up by a Congress [1] wheezing with immobilizing congestion morphed an already compromised law about data collection into a green light to spy on everyone.
The bill passed the House last Thursday and is now heading to the Senate where the chances of getting a better bill are pretty slim. The President has endorsed this House bill; after all, it endorses his policies.
Sponsored by Wisconsin Republican Jim Sensenbrenner (the author of the Patriot Act), the ironically named USA Freedom Act’s most salient feature is that, contrary to the bluffery about how it’s going to rein in the government on phone surveillance, it has now made massive phone data capture legal and public. The NSA and related agencies under this supposed “reform” bill would gain full authority to collect all information from phone companies and, what’s more, the bill mandates that the companies hold on to that information (apparently permanently).
The House obviously caved. Not that the first edition of this bill was very good to start with. The government obviously is not going to limit its own power. But the bill as passed by the House is much weaker and, in a “blink if you don’t believe it” moment, many Democratic Congressional leaders are actually congratulating themselves. Even John Conyers (D-Mich.), Detroit’s traditionally progressive Democrat, supported this bill: “We stand poised to end domestic bulk collection across the board,” he said not making clear where he was standing or when domestic bulk collection was going to end. It certainly didn’t end with this bill.
On the other hand, a few Congresspeople did express concern, including Sensenbrenner himself, who called the new law “an abuse” of the Patriot Act. One is left wondering what the Wisconsin lawmaker expected from the draconian nightmare he authored.
While that little humorless comedy was playing out, we got another glimpse of how phone surveillance is being used. Wikileaks revealed that the NSA has been collecting phone data on virtually all phones in Afghanistan. This comes on the heels of revelations a few days earlier about such mass phone call collection in the Bahamas, Mexico, Kenya and the Philippines. The punch-line to this gross violation of people’s rights is that the bill passed last week doesn’t even mention international phone call capture — that’s still left completely unregulated.
There’s a lot wrong with the bill passed through the House [2] and that’s obvious from the scenario of “permitted activity” that the bill is based on. Essentially, phone companies have to hold records for an unspecified period of time. The government can’t collect them indiscriminately as it had previously done. But that “reform” is meaningless because government agencies can acquire data from any phone company by using either a specific court order through the Foreign Intelligence Surveillance Act (FISA) court (the NSA’s rubber stamp in robes) based on “selectors,” or on the basis of an emergency situation defined according to NSA criteria.
The problem lies in the definition of “selectors” — the filters used to determine whether or not specific information is captured or requested. Previously, the NSA would capture the phone data and then run it through its “selectors” to determine what gets pulled or retained. Now, they can either ask the telephone company to run the selectors or go in and run it themselves. Before doing that, the spy agency must present the selection set to the FISA court. Since the court is going to approve anything NSA requests (it has rejected less than one percent of all requests up to now), the definition of the selectors is important because they are the only element of restraint in the entire collection process.
The bill requires that a selector be “a discrete term, such as a term specifically identifying a person, entity, account, address, or device”. How much is included under that umbrella? It’s probably better to ask what isn’t included. With that list, under this law, the NSA is allowed to access the records of almost all Americans.
But we still won’t know how many records have been accessed because this version strikes provisions in the original draft that would have forced phone companies to tell us how many records they’ve had to release to the NSA. Under the just-passed version of the bill, if the company wants to tell us, it can’t until six months after it has received a request. If it’s a start-up, it can’t do a report for two years.
In short, the law puts an automatic gag order on phone companies in this country.
In the guise of protecting our privacy or limiting surveillance power, the bill also continues to allow “about searches” in which an international conversation is scanned for names of people who then become targets of investigation. That particularly nasty practice makes any provisions protecting Americans useless. If a person in another country mentions your name, you are a legitimate target. In the original bill, any “reverse targeting” of this type was outlawed, but that protective provision has been eliminated from the version the House just passed.
This type of “foreign connection” is looming more important with recent revelations about international phone capture. This week, several publications released the information [3] about the complete capture of phone data in several countries but refused to name one of them (for national security reasons). Wikileaks, in response to that weak-kneed journalism, then named it: Afghanistan. (Even Glenn Greenwald, who broke the international capture story based upon some of NSA whistleblower Edward Snowden’s documents, honored a government request not to name Afghanistan.)
While fans of spy-craft will defend this practice of massive spying on international phones, under the curious but oft-repeated theory that our rights only pertain to people in this country, this sweeping capture program goes way beyond any traditional spying. In fact, phone data capture bears no resemblance to espionage or traditional spying (which is selective in its targeting) and is much closer to the activities of a police state. When done to another country, it’s a lot like trying to police the other country: a virtual act of virtual war.
It’s grotesque to consider that, after over 12 years of war waged on Afghanistan, our government is now waging a war of information capture against its people. But that revelation is proof of what many have been saying about this country’s intentions in that beleaguered and battered nation: we have absolutely no intention of pulling out of Afghanistan, no matter what President Obama says.
In fact, the phone data captured targets not only Afghans but phone calls from U.S. diplomatic and military personnel. In short, the NSA is spying on the military and the diplomatic core, including even the CIA. This is truly the stuff of a police state.
The entire phone capture controversy underscores another important political fact: the cell phone is now the most popular access to the Internet among people in developing countries and among young people and people of color in this country. These are also the people who are going to provide the sharpest and most aggressive challenges to the world’s governments in the coming years of deepening crisis. If our government wants to control anybody, it’s these people. The USA Freedom Act demonstrates one way they are planning to do that.
Abbas: Security cooperation with Israel is ‘sacred’
MEMO | May 29, 2014
Palestinian Authority (PA) President Mahmoud Abbas said on Wednesday that security cooperation with Israel is “sacred” and will continue despite the political differences.
While speaking in Ramallah to about 200 Israeli activists, including academics and economists, Al-Arabi Al-Jadid news website quoted Abbas as saying: “The PA wants to return to negotiations, but based on conditions that have to be accepted by the Israeli government.”
These conditions, according to Abbas, are: the release of the fourth batch of veteran Palestinian prisoners in Israeli jails; nine months negotiations with priority given to security and border issues; and discussing other issues, such as water, Jerusalem and the settlements.
Abbas insisted that he understands Israel’s security needs. “Security cooperation is sacred and it will continue despite the political differences,” he said.
Regarding the recent Palestinian developments, he stressed: “We will continue with the internal reconciliation, with our hand also extended to negotiations.” He called for everyone to follow the peaceful pathway of resistance.
“There is no other way to be taken,” he noted, “we do not have any pathway rather than peaceful negotiations that lead to peace between the Palestinians and the Israelis.”
He explained further: “We are not hostile to Jews or Judaism. The one who thinks thus is an infidel according to our beliefs.”
Regarding the settlements, he pointed out that there are 12 international resolutions considering them illegal and called for a settlement freeze for three months until an agreement is reached between the PA and Israel.
Regarding the Israeli rejection of the rapprochement with Hamas, he said: “Reconciliation was done through the formation of an independent government, which will continue until the elections are held.” He expressed his hope that Israel will continue the talks “because stopping is a mistake”.
Abbas pointed out that although Israel boycotted the PA after the reconciliation was announced, it has nevertheless continued with the security cooperation.
Study: Median CEO pay in US crosses $10 million for first time
Press TV – May 28, 2014
The median pay package for a chief executive officer (CEO) in the United States rose above $10 million for the first time in 201, according to a new Associated Press/Equilar pay study, while worker pay stagnates.
A typical American CEO at an S&P 500 company earned a record $10.5 million in 2013, an increase of 8.8 percent from $9.6 million in 2012, the study showed.
Chief executives, generally the most senior position in a large public company, now make 257 times the average worker’s salary, up sharply from 181 times in 2009.
Last year was the fourth straight that CEO compensation rose following a decline during the Great Recession. The median CEO pay package has climbed more than 50 percent since the recession.
“We are still dealing with a situation where CEO compensation has spun out of control and CEOs are being paid extraordinary levels for their work,” says Gary Hewitt, director of research at GMI Ratings, a corporate governance research firm.
The highest paid CEO was Anthony Petrello of oilfield-services company Nabors Industries, who made $68.3 million in 2013. The second-highest paid CEO among companies in the S&P 500 was Leslie Moonves of CBS. Moonves’ total compensation rose 9 percent to $65.6 million in 2013.
Freeport-McMoRan Copper & Gold CEO Richard Adkerson received a total payment of $55.3 million, making him the third-highest paid CEO last year.
CEO pay remains a divisive issue in the US. The 8.8 percent increase in total pay that CEOs got last year dwarfed the average raise a US worker received.
The Bureau of Labor Statistics said average weekly wages for US workers rose 1.3 percent in 2013. At that rate an employee would have to work 257 years to make what a typical S&P 500 CEO makes in a year.
According to a study released earlier this month by the Federal Reserve Bank of Minneapolis, the growing income inequality in the United States has reached a 50-year high.
EU Safety Institutions Caught Plotting an Industry “escape route” Around Looming Pesticide Ban
By Jonathan Latham, PhD | Independent Science News | May 26, 2014
EU documents newly obtained by the nonprofit Pesticide Action Network of Europe reveal that the health commission of the European Union (DG SANCO), which is responsible for protecting public health, is attempting to develop a procedural “escape route” to evade an upcoming EU-wide ban on endocrine disrupting pesticides. Endocrine disrupting chemicals (EDCs) are those that alter hormonal regulation at very low doses to cause effects on behavior, reproduction, and gender, as well as cancer and birth defects.
In 2009, under the European Union’s then-new chemical REACH legislation, a continent-wide ban on endocrine disrupting pesticides was agreed. The European Commission (EC) was charged with taking various steps to protect public safety. These included officially defining what constitutes an endocrine disrupting effect and designating acceptable chemical detection methods. The deadline to present these criteria for ensuring protection against endocrine disrupting pesticides expired on December 14, 2013.
Instead of providing the needed safety guidance, however, the EU’s Health Commission (DG SANCO) appears to be drafting a procedural “escape route” around the endocrine disrupting ban. This legal maneuvering is being done behind closed doors and with the collaboration of some EU member states and the European Food Safety Authority (EFSA, an independent EU agency created to assess food risks for the Commission).
As initially revealed by the Pesticides Action Network of Europe (PAN Europe), only Sweden is opposing this escape route, which they consider to be an abandonment of the original democratic mandate. According to a report by Agence France Presse (AFP) Sweden is now going to sue the EU due to mounting evidence that harmful impacts of endocrine disruption are already being felt. AFP quotes Swedish environment minister Lena Ek:
“In some places in Sweden we see double sexed fish. We have scientific reports on how this affects fertility of young boys and girls, and other serious effects.”
The documents obtained by PAN Europe show that the lobbying to undermine the ban is being led by EFSA. This is in direct conflict with the missions of both EFSA and DG SANCO which are to protect public health.
The crisis has come about because EDCs are the subject of a large body of independent academic research showing that certain synthetic chemicals are already causing developmental disabilities and cancer among humans and wildlife through non-traditional (i.e. hormonal) toxicological routes. This evidence is why the ban was instigated. Because of the strength of the evidence and the low doses involved (Vandenberg et al 2012), any rigorous and effective rules to protect the public are likely to result in widespread bans and restrictions on commonly used industrial, agricultural, and household chemicals. This is one reason why AFP also reported the Swedish Minister as saying that EU commissioners were under strong industry pressure.
Tony Tweedale, a Brussels-based independent consultant to NGOs, explained to Independent Science News, there is a second reason for industry pressure:
“That hormones are often disrupted at very low doses threatens to upset industry’s decades-long total control of risk assessment which is based, for example on insensitive tests.”
While missing their mandated December deadline for providing safety rules, DG SANCO and EFSA chose to perform an economic impact assessment of potential regulations instead. Now this economic impact assessment is itself 9 months late. Sweden and others have interpreted these delays as stalling a collectively agreed action.
Before the Swedish lawsuit was announced Sweden had already expressed its concerns to the European Commission in letters to DG SANCO (published on the PAN Europe website). These letters reveal that Sweden believes the failure of DG SANCO to proceed according to the rules is deliberate and that DG SANCO is instead focused on drafting the illegal escape clause. This, believes Sweden, would likely take the form of a general derogation for pesticides that may be endocrine disruptors (1). It would be a legal technicality that effectively allowed pesticides which would have been banned to be exempt from the ban (2).
Simultaneous with Sweden’s announcement to take the European Commission to court, PAN Europe uncovered a letter from a representative of the EFSA Scientific Committee (which is helping to draw up the new scientific criteria). In this letter, which is addressed to advisors of Jean-Manuel Barroso (head of the European Commission), the EFSA official says that the permanent science advisors to EFSA are opposing the ban and aim to use traditional risk assessment to undermine it. Traditional risk assessment is the approach favoured by the pesticide industry.
Also in the letter, the EFSA science advisor complains of the pesticide legislation having no “control route” or “socio-economic route” to save endocrine disrupting pesticides from a ban. The anonymous writer suggests that an existing ‘negligible exposure’ option (EC 1107/2009, Annex II, 3.6.5) can be manipulated to keep such pesticides on the market. It is use of this ‘negligible exposure’ option that is opposed by Sweden, which believes that because negligible exposure is not well defined it is in danger of becoming a generic exemption (i.e. a derogation) for the use of endocrine disrupting chemicals.
The existence of this letter confirms Sweden’s interpretation of the intentions of EFSA and DG SANCO; the ‘negligible exposure’ option is indeed being lined up as a loophole for avoiding likely science-based bans on endocrine disruptors.
In the view of PAN Europe:
“By unilaterally changing the rules, DG SANCO is sidelining the EU Parliament and choosing economic interests over their own mission to protect people and the environment.”
Science Director of The Bioscience Resource Project, Allison Wilson, concluded:
“The public will be astounded and appalled to find that the institutions tasked with protecting them are secretly working against them. EFSA has shown itself to be untrustworthy and should be disbanded. Deep rethinking appears necessary since it is not only the EU that has failed to construct institutions capable of safely regulating toxic substances. Perhaps we should question the wisdom of economies dependent on synthetic chemicals and high risk products.” (3)
Footnotes
(1) A derogation is a partial or temporal suspension of a law.
(2) The list of pesticides Sweden thinks likely to be banned can be found here.
(3) See: Robinson C., Holland N., Leloup D., Muilerman H. (2013) Conflicts of interest at the European Food Safety Authority erode public confidence. J Epidemiol Community Health 2013;67:717-720 doi:10.1136/jech-2012-202185
References
Vandenberg LN, Colborn T, Hayes TB, Heindel JJ, Jacobs DR Jr et al. (2012) Hormones and endocrine-disrupting chemicals: Low-dose effects and nonmonotonic dose responses. Endocr Rev 33: 378-455.
China to ditch US consulting firms over espionage suspicion
RT | May 26, 2014
State-owned Chinese companies will cease to work with US consulting companies like McKinsey and Boston Consulting Group over fears they are spying on behalf of the US government.
US consulting companies McKinsey, BCG, Bain & Company, and Strategy&, formerly Booz & Co., will all be snubbed by state-owned Chinese companies, the Financial Times reported, citing sources close to senior Chinese leaders.
“The top leadership has proposed setting up a team of Chinese domestic consultants who are particularly focused on information systems in order to seize back this power from the foreign companies,” a senior policy adviser to the Chinese leadership was quoted by the FT as saying.
“Right now the foreigners use their consulting companies to find out everything they want about our state companies,” the adviser said.
Last Thursday China announced that all foreign companies would have to undergo a new security test. Any company, product or service that fails will be banned from China. The inspection will be conducted across all sectors – communications, finance, and energy.
China has already banned Microsoft’s Windows 8 operating system from government computers, according to Chinese state media agency Xinhua.
“Under President Xi Jinping, technology and implementation will look to be converging, so foreign tech firms should be very worried about their prospects,” Bill Bishop, an independent consultant based in Beijing, told the FT.
Chinese officials have said that government ministries, companies, universities, and telecoms networks are victims of US hacking, and will try to avoid using US technology in order to protect “public interest”.
The dictate follows the US Justice Department’s indictment of five Chinese military officers it suspects of committing cyber crimes against a number of major US companies, including US Steel, Westinghouse and Alcoa. The US accused the army officers of stealing trade secrets and even published their photos.
Beijing responded by calling the US a ‘robber playing cop’, and more recently said the US is a “mincing rascal” and involved in “high-level hooliganism”.
The US-China fallout came after revelations made by NSA contractor Edward Snowden that the US uses economic cyber espionage to spy on international competitors, including China.
The dispute is only the latest setback in relations between the world’s two largest economies. Issues like Ukraine, Syria, and North Korea have been divisive topics between the two superpowers.
New Obamacare Loophole Shows Failure of For-Profit Health System: Critics
By Sarah Lazare | Common Dreams | May 16, 2014
The Obama administration earlier this month quietly handed the insurance industry another loophole in the Affordable Care Act—infuriating advocates for universal coverage who say this shows that an insurance-driven health system is doomed to fail.
Announced on May 2, the provision opens the door to “reference pricing,” which allows insurance companies to set a price for medical procedures. If a patient receives a treatment that costs more, he/she will simply have to pay out of pocket. The measure is slated to apply to a majority of work-based health insurance plans and exchanges under the Affordable Care Act (also known as “Obamacare”), according to the Associated Press.
Many worry that reference pricing will force patients to bear the burden of a costly and difficult-to-navigate medical system.
“We don’t need reference pricing—we need “right pricing” under a single-payer program,” Don McCanne, M.D., senior health policy fellow at Physicians for a National Health Program told Common Dreams. “This is merely another way in which insurance companies are going to chisel down payment for care, shifting a greater share of the cost onto patients.”
“This new rule to limit payments for needed medical procedures is a reminder of everything that is wrong with our profit-driven healthcare system,” Jean Ross, RN, co-president of National Nurses United, told Common Dreams. “Rather than crack down on price gouging by hospitals—some of who set their charges as high as 12 times their costs — the administration is enacting a rule to ration care for patients.”
Critics charge that the ruling even violates one of the Affordable Care Act’s key tenets: To end “lifetime and yearly dollar limits on coverage of essential health benefits.”
In its own fact sheet, the Department of Labor acknowledges concerns that “such a pricing structure may be a subterfuge for the imposition of otherwise prohibited limitations on coverage, without ensuring access to quality care and an adequate network of providers.”
According to Ross, “A Commonwealth Fund study last November comparing Americans to 10 other developed countries found that U.S. adults are by far the most likely to not get the treatment their doctor recommends, as well as forgoing doctor visits or filling prescriptions, because of the high cost. All that this rule will do is increase those medical disparities and further brand our dysfunctional healthcare system as one based on ability to pay rather than on patient need.”
Argentina to appeal recent court ruling over AMIA case
Press TV – May 16, 2014
Argentina has vowed to appeal a decision by a federal court that rejected an agreement between the Latin American country and Iran over a joint probe into a bombing of a Buenos Aires Jewish center.
On Thursday, an Argentinean federal court struck down a 2013 agreement between the South American country and Iran to jointly investigate deadly attacks on a Jewish center in Argentina in 1994.
Alberto Nisman, a prosecutor in the investigation of the AMIA center explosion, in which 85 people were killed, had argued in his appeal to the court that the 2013 agreement constituted an “undue interference of the executive branch in the exclusive sphere of the judiciary.” The ruling by the federal court against the agreement said that it was illegal and ordered Argentina not to go ahead with it, according to the Reuters.
After the decision was announced, Argentina’s Foreign Minister Hector Timerman said that the ruling was “a mistake” and that the government will take the case to the country’s Supreme Court of Justice.
“I would like to say that the judges take stock in what their mistake means at a national level and at an international level,” Timerman said. “Regarding the decision, Argentina will appeal the mistake and, if necessary, take it to the nation’s Supreme Court of Justice,” he added.
Meanwhile, Justice Minister Julio Alak also said that a final decision was left to the Supreme Court. “The ultimate interpreter of the constitution will be the Supreme Court,” he said.
Under intense political pressure imposed by the US and Israel, Argentina formerly accused Iran of having carried out the 1994 bombing attack on the AMIA building. AMIA stands for the Asociacion Mutual Israelita Argentina or the Argentine Israelite Mutual Association.
Iran has categorically and consistently denied any involvement in the terrorist bombing.
Last January, Tehran and Buenos Aires signed a memorandum of understanding to jointly probe the 1994 bombing.
New questions in FBI Boston bombing witness killing
By Dave Lindorff | This Can’t Be Happening | May 14, 2014
Almost a year after an FBI agent shot and killed, under suspicious circumstances, a crucial witness in the Boston Marathon bombing case during a botched midnight interrogation in an Orlando apartment, serious questions are being raised about the FBI agent who fired seven shots into Chechen immigrant Ibragim Todashev last May 22.
Two investigations, one by the FBI itself and one by the Florida Attorney General’s office, exonerated the FBI in the shooting death, claiming the agent, never identified, had been acting in self-defense, when Todashev allegedly ran at him with a raised broom handle.
Now, in an excellent piece of investigative journalism, the Boston Globe has uncovered the identity of the agent, 41-year-old Aaron McFarlane, who joined the Bureau in 2008 after retiring on a $52,000 lifetime annual disability pension from a short stint as an officer in the Oakland Police Department.
Aside from the question of why someone who passed through the rigorous training program the FBI runs for its recruits at Quantico, VA would also qualify for a lucrative pension, it turns out that McFarlane also has a pretty checkered past at Oakland’s Police Department — a police department that has such an extraordinary record of corruption and brutality, that since 2012 it has been operated under the supervision of a federal court “compliance director,” whose job is to see that officers don’t brutalize residents or violate their civil rights.
McFarlane, the Boston Globe reported, did more than that as an Oakland cop. The paper reports that during his four years with the Oakland Police, he was the subject of two police brutality lawsuits and four internal affairs investigations. the paper found also that McFarlane, as a defense witness in a corruption trial, pleaded the Fifth Amendment against self-incrimination in refusing to answer questions from the prosecutor in that case, which involved officers.
The trial in question was the biggest corruption scandal in Oakland’s history. Filed in 2000, the case involved four police officers who called themselves the “Riders,” who were accused of beating and kidnapping people, making false arrests, planting evidence and falsifying police reports. The case ended up being short-circuited with no convictions under a settlement that had the city of Oakland paying damages of $10.9 million to some 119 victims of Oakland Police officer’s abuse and deceit, and with the whole department going into receivership.
According to the Globe’s report, the court transcript shows that when prosecutor David Hollister tried to ask McFarlane on the witness stand about a police report he had filed which appeared to have been falsified in order to “drum up a reason to arrest a man,” McFarlane pleaded the Fifth. Hollister told the Globe that the report in question “at first blush certainly appears to be criminal. I think on its face, Officer McFarlane should probably have some concerns about whether or not he violated Section 118.1 of the Penal Code in filing a false police report.”
Hollister also questioned McFarlane about another arrest he had made the same night of a man who suffered an unexplained head injury while being transported to jail. McFarlane said he “did not know” how the man in his charge was injured.
The city of Oakland also paid two settlements, for $22,500 and $10,000, in brutality cases brought against McFarlane and a fellow officer by two men who claimed they had been badly beaten by the two officers.
McFarlane’s record of apparent brutal behavior as a cop in Oakland is relevant to the Todashev case because it could explain why Todashev, who had agreed to talk with McFarlane in Todashev’s apartment, but later, according to Agent McFarlane, jumped up, ran to the front of the apartment, and then allegedly returned from the foyer brandishing a broomstick.
Unmentioned in the FBI’s story line of what happened, which was accepted at face value in the investigation conducted by the Orlando Florida State’s Attorney Jeffrey Ashton, was a bruise and a bloody contusion noted by the Orlando coroner on Todashev’s left cheek, right on the outside of the eye socket. The coroner said that injury was evidence of a “hard blow” to the head.
Was McFarlane, in that midnight interview, resorting to the behavior that got him in trouble in the Oakland Police Department?
As I wrote earlier, the pattern of bullets that McFarlane fired at Todashev — three to the upper middle of his back, one to the chest, two to the upper left arm and one into the top of the head, slightly to the rear of the crown, suggest not that he was shot in defense while charging at McFarlane and a Boston State Trooper also in the room, but that he was shot in the back multiple times while in the foyer attempting to flee the apartment — perhaps from a brutal beating.
As a police detective I showed the coroner’s report to pointed out, the bullets to the raised arm suggest that Todashev, hit three times in the back, may have realized he could not escape, and that he had turned, raising his left arm either defensively (he was a skilled martial arts expert and was right-handed), or along with his other arm in a sign of surrender. The last two shots had to have been the one to the chest, which blew out his aorta and would have been instantly fatal, and the shot to the head, which went straight through the center of the brain lodging in the cerebellum area — also a shot that would have been instantly fatal.
Neither Ashton nor the FBI are commenting on the Globe’s article. Ashton never did actually interview McFarlane or the other FBI agent who, inexplicably and in violation of FBI procedure, was not even in the apartment, but was outside during the entire interrogation, keeping a friend of Todashev’s from witnessing anything that was going on with his friend. Ashton instead had to rely on written answers about what happened provided by the FBI from the two men.
Hassan Shibly, a lawyer and executive director of the Council on Islamic American Relations (CAIR) Florida office, said he has sent a letter today to the US Department of Justice, the FBI and the Florida State’s Attorney’s office, demanding to know “whether the extensive history of substantial allegations of police corruption, misconduct, abuse, and civil rights violations made against the FBI agent who shot and killed” Todashev were known to them, as well as “why the state and federal investigations failed to mention” that McFarlane “had a history of settlements and allegations against him regarding misconduct under color of law.”
Clearly if McFarlane resorted to the Fifth Amendment to avoid testifying under oath about apparent falsification of evidence against a suspect he had arrested, and had been the subject of brutality suit settlements as a cop, it would raise grave questions about the integrity of his account of what happened late on May 21 in Todashev’s apartment, when he was being interrogated by McFarlane.
As Shibly writes in his letter (a copy of which was provided to TCBH!):
“How do we know that the officer and FBI agent did not engage in misconduct that ultimately led to the killing of IbragimTodashev?
“How credible and thorough are the DOJ and State Attorney’s investigations-which relied heavily on testimony given by individuals who may have engaged in police misconduct, civil rights abuses, and evidence falsification-particularly when the DOJ and State Attorney’s investigations make no mention of the questionable history of the officer and agent involved?
Shibly also asks the FBI to explain whether it simply did not know about McFarlane’s Fifth Amendment plea in a corruption case and about his violent history in the Oakland Police Department, in which case “how can the public trust that the FBI is doing a competent job when hiring agents on whom the liberty and security of our nation depends?” Alternatively, he asks, if the FBI did know McFarlane’s history and didn’t see a problem with hiring him, he asks, “How then can the public trust the liberty and security of our nation to an agency that allows individuals with questionable backgrounds into sensitive positions.”
It’s a good question. In a real democracy, there would be a Senate investigation into this case.
Certainly the death of Todashev, whom the FBI claims was the closest friend of the elder brother suspected of having masterminded the Boston bombing, Tamerlan Tsarnaev, was a serious blow to the investigation of that case.
But there is a darker possibility: that Todashev was being pursued and pressured, and was ultimately killed by the FBI, because he had information about the elder Tsarnaev’s relationship with the FBI–information that at a minimum could have embarrassed the Bureau, or that might even have shown the FBI to have been involved in some kind of “sting” operation gone wrong in Boston. The FBI, after all, has had undercover agents or informants involved in some 40 purported “terror” plots that it has “disrupted” since September 11, 2001. Was the Boston bombing supposed to have been another?
Shibly notes that CAIR, which is conducting its own investigation of the Todashev shooting, had already been aware of McFarlane’s identity, and knew about his checkered history of brutality and possible corruption as an Oakland cop, but he says the organization “but did not publicly release any such information to avoid jeopardizing any possible government investigations.”
Elena Teyer, Todashev’s mother-in-law, believes that McFarlane, a relatively inexperienced FBI agent who was dispatched from the Boston office to follow and question Todashev in Florida, was selected for the job precisely because of his police record of brutality and corruption, which she says meant he was “on the hook in order to save his job” at the FBI.
She says further evidence that there was a plan to kill her son-in-law was that the Bureau arranged for the arrest by the Immigration and Customs Enforcement agency (ICE), on a bogus charge of visa violation, of Todashev’s live-in girlfriend, visiting Russian college student Tatiana Gruzdeva a fews days prior to the killing, and that a second agent physically removed a witness from the area outside the apartment half an hour before the killing of Todashev. That witness, a Green Card-holding legal Chechen immigrant named Husain Taramov, was barred by the US from returning to the US after he returned to Russia for Todashev’s funeral. (With both Taramov and Gruzdeva, who was deported to Russia last fall, removed permanently from the US, there were no witnesses for Ashton or the Justice Department to interview about the shooting except the agent who fired the shots and the Boston State Trooper who had been with him.)
Teyer, a Russian immigrant, US citizen, and retired veteran of the US Army, suggests the FBI wanted Todashev killed because he knew too much about Tsarnaev and his relationship with the “corrupted FBI.”
Is the Special Tribunal for Lebanon covering up the bribery of witnesses?
Al-Akhbar | May 15, 2014
The Special Tribunal for Lebanon (STL) does not miss an opportunity to undermine its credibility and damage its image. This behavior is not restricted to the public prosecutor’s office, but to the trial chamber itself, which is supposed to be keen on implementing justice and presenting a positive image of the tribunal to the public.
The latest development is a decision issued by the tribunal’s First Chamber, which is in charge of trying the defendants in the assassination of former Lebanese Prime Minister Rafik Hariri. The decision stipulated concealing the amount of money that the public prosecutor’s office pays to witnesses under the rubric of “expenses.” On May 9, the tribunal issued a decision granting the prosecution’s office the right to conceal the amount from the defense teams.
The decision came after the defense team for Hussein Oneissi requested that the tribunal order the prosecution’s office to disclose information it has on whether two of the public prosecution’s witnesses or members of their families were paid money from the office itself, from the international investigation committee or from the Lebanese authorities. Oneissi’s defense team argued that the issue is relevant to its defense strategy since it casts doubt on the credibility of some of the witnesses the public prosecutor is going to present to the court. After deliberations, the court decided to keep the matter a secret and not force the public prosecutor to disclose the information.
According to the decision, the tribunal reviewed similar cases in other international courts whereby it became evident that courts cover the expenses and costs of witnesses living in the Netherlands. Besides, some international courts (and national ones, according to the STL’s First Chamber) have developed clear standards under which they pay the “expenses of the witnesses.” It added that some courts pay the witness a monthly stipend in lieu of their salary that they were receiving as compensation for moving to the Hague to testify. The amount is equivalent to the minimum wage that a United Nations employee earns in the country where the witness comes from. The tribunal pointed out that it reviewed the amounts that the prosecution’s office paid as expenses to the witnesses and found them “reasonable.” It added that the defense team did not present proof that the two witnesses received sums beyond what is deemed reasonable. Therefore there is no need to reveal how much was paid as expenses to them.
But neither the prosecution nor the tribunal were able to rule out whether the two witnesses or one of them or members of their families received money from parties other than the prosecution’s office. This will continue to be a point of contention in the future because of how deeply it affects the credibility of the witnesses’ testimonies, especially those that the public prosecution is going to present as witnesses to be relied on to convict the defendants even though their testimonies have changed from one stage of the investigation to another.
In another matter, the public prosecutor gave a bizarre excuse for not giving the defense team of one of the defendant’s documents it requested that include information on students at one of Lebanon’s universities between the years 2004-2005 in addition to information about specific individuals at the same university in 2006. The public prosecution’s office had received this information from the Lebanese authorities which never denied any of the former’s requests. The public prosecutor cited several reasons for turning down the defense team’s request including the claim that this information would enable the defense team to breach the confidentiality of one of its witnesses.
But the most bizarre and most laughable excuse is the public prosecutor’s claim, in his letter to the tribunal on May 9, 2014, that handing over this information to the defense team might “violate the privacy of these students.” Let’s remember that the public prosecution’s office had insisted on getting the Lebanese people’s telecom data, health records, university records, travel records, insurance records and market licenses and – as experience has shown – was unable to protect its records and prevent them from being leaked. This same office is now claiming to care for the privacy of Lebanese students in order to prevent the transfer of information about them to their own colleagues – the defense lawyers – at the tribunal.

