Despite Obama Statements, Justice Dept. Ranked Mortgage Fraud as Low Priority
By Noel Brinkerhoff | AllGov | March 17, 2014
The U.S. Department of Justice (DOJ) has treated mortgage fraud cases as a low priority, even though President Barack Obama promised to crack down on such crimes in the wake of the 2008 financial crisis.
DOJ also greatly exaggerated its success in prosecuting mortgage fraud, according to an investigation by the department’s Office of the Inspector General (IG).
Attorney General Eric Holder Jr. declared four years ago that mortgage fraud crimes had “reached crisis proportions,” and promised his agency would be “fighting back” in response.
But the IG’s report (pdf) shows the Federal Bureau of Investigation (FBI) put mortgage fraud at the bottom of its criminal priority list—after receiving extra funding ($196 million from the 2009 to 2011) to address this problem. In some major cities, mortgage fraud wasn’t even on the FBI’s radar as any kind of a priority.
“Despite receiving significant additional funding from Congress to pursue mortgage fraud cases, the FBI in adding new staff did not always use these new positions to exclusively investigate mortgage fraud,” the report states.
A “significant backlog of unaddressed and pending mortgage fraud investigations” was disclosed by supervisors interviewed by IG investigators. In fact, important fraud cases were completely shut down by the FBI, not due to a lack of resources, but because the Bureau’s resources were diverted to other operations that were given higher priority, according to the report.
Just as disturbing was the fact that Justice inflated its numbers to make it appear prosecutors were doing more than they actually were.
In 2012, Holder announced his lawyers had charged 530 people during the previous year with mortgage fraud that had cost homeowners more than $1 billion.
In truth, the numbers were more like 107 people charged in cases totaling only $95 million, the IG found. Even after the figures were proven to be incorrect, the DOJ continued to cite the false statistics for nearly a year.
“The inspector general’s report sheds light on what looks like an attempt by the Justice Department to pull the wool over the public’s eyes with respect to its efforts to go after the wrongdoers involved in mortgage fraud,” Senator Charles Grassley (R-Iowa), the ranking member on the Senate Judiciary Committee, said in a statement. “According to the inspector general, the department wasted time cooking the numbers about the cases it pursued, when it should have been prosecuting cases.”
The IG offered numerous recommendations to the department, most of which involved fixes to DOJ’s recordkeeping system that had produced such inaccurate figures.
The Justice Department objected to the IG’s conclusions, citing prosecutors doubling the number of mortgage fraud indictments from 2009 to 2011.
“The facts regarding the department’s work on mortgage fraud tell a much different story than this report,” Ellen Canale, a department spokeswoman, told The New York Times. “As the report itself notes, even at a time of constrained budget resources, the department has dedicated significant manpower and funding to combating mortgage fraud.”
Mortgage fraud—through falsification of documents by lenders and brokers—was one of the catalysts of the 2008 financial collapse. Fraud involving mortgage-backed securities, said to be larger in scope and also a contributing factor to the collapse, is considered by the FBI to be securities fraud and was not addressed by the IG report.
To Learn More:
U.S. Criticized for Lack of Action on Mortgage Fraud (by Matt Apuzzo, New York Times)
Mortgage Fraud Efforts Fell Short, Justice Department Inspector General Concludes (by Jeffrey Benzing, Main Justice)
Audit of the Department of Justice’s Efforts to Address Mortgage Fraud (U.S. Department of Justice, Inspector General) (pdf)
Justice Dept. Sues Bank of America over Prime Mortgage Fraud (by Noel Brinkerhoff, AllGov)
Big Banks Slither out of Mortgage Fraud Review with Minor Costs (by Noel Brinkerhoff, AllGov)
How to rob a bank: William Black
TEDx Talks | March 3, 2014
William Black is an associate professor of economics and law at UMKC. He has held many prestigious positions, including executive director for Fraud Prevention. He recently helped the World Bank develop anti-corruption initiatives and served as an expert for OFHEO in its enforcement action against Fannie Mae’s former senior management. He is a criminologist and former financial regulator.
KPFA interviews:
Guns and Butter | April 4, 2012
Download this clip (mp3, 10.28 megabytes)
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“Formula For Fraud” with William K. Black from the first Italian economic Summit on Modern Money Theory in Rimini, Italy. How to become a billionaire – the four necessary ingredients in the recipe for fraud; the three sure consequences of banking control fraud; gutting of the underwriting process; Gresham’s Law; The Business Roundtable; hyperinflation of a bubble. – link
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Guns and Butter | February 29, 2012
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“The Greatest Bank Robbery Ever” with William K. Black. Banks, intensifying financial crises; money manager capitalism; sovereign currency; crony capitalism; theoclassical economists; control fraud, Commodities Future Modernization Act of 2000; S&L Liars’ Loan Crisis of 1990-91; Reinventing Government Movement; deregulation, desupervision and defacto decriminalization; fraud incentives; looting; subprime; Enron; Parmalat; BofA; Citigroup; Ameriquest; Washington Mutual; systemically dangerous institutions; Financial Accounting Standards Board (FASB); faux stress tests; European austerity crisis; Mario Draghi, President of the ECB. – link
What A Destructive Wall Street Owes Young Americans
By Ralph Nader | March 14, 2014
Wall Street’s big banks and their financial networks that collapsed the U.S. economy in 2008-2009, were saved with huge bailouts by the taxpayers, but these Wall Street Gamblers are still paid huge money and are again creeping toward reckless misbehavior. Their corporate crime wave strip-mined the economy for young workers, threw them on the unemployment rolls and helped make possible a low-wage economy that is draining away their ability to afford basic housing, goods, and services.
Meanwhile, Wall Street is declaring huge bonuses for their executive plutocrats, none of whom have been prosecuted and sent to jail for these systemic devastations of other peoples’ money, the looting of pensions and destruction of jobs.
Just what did they do? Peter Eavis of the New York Times provided a partial summary – “money laundering, market rigging, tax dodging, selling faulty financial products, trampling homeowner rights and rampant risk-taking – these are some of the sins that big banks have committed in recent years.” Mr. Eavis then reported that “regulators are starting to ask: Is there something rotten in bank culture?”
The “rot” had extended long ago to the regulators whose weak laws were worsened by weak enforcement. Veteran observer of corporate criminality, former Texas Secretary of Agriculture and editor of the Hightower Lowdown newsletter, Jim Hightower writes:
“Assume that you ran a business that was found guilty of bribery, forgery, perjury, defrauding homeowners, fleecing investors, swindling consumers, cheating credit card holders, violating U.S. trade laws, and bilking American soldiers. Can you even imagine the punishment you’d get?
How about zero? Nada. Nothing. Zilch. No jail time. Not even a fine. Plus, you get to stay on as boss, you get to keep all the loot you gained from the crime spree, and you even get an $8.5 million pay raise!”
Hightower was referring to Jamie Dimon, the CEO of JPMorgan Chase, “the slick CEO who has fostered a culture of thievery during his years as a top executive at JPMorgan, leading to that shameful litany of crime.”
Shame? Dimon doesn’t know how to spell it. “I am so damn proud of this company. That’s what I think about when I wake up every day” he said in October, 2013.
Millions of young Americans (called Millennials, between ages 18 and 33) should start agitating through demonstrations, demand petitions and put pressure on the bankers and members of Congress. First the plutocrats and their indentured members of Congress should drop their opposition to a transaction tax on Wall Street trading. A fraction of a one percent sales tax on speculation in derivatives and trading in stocks (Businessweek called this “casino capitalism”) could bring in $300 billion a year. That money should go to paying off the student debt which presently exceeds one trillion dollars. Heavy student debt is crushing recent graduates and alarming the housing industry. For example, people currently between the ages of 30 to 34 have a lower percentage of housing ownership than this age group has had in the past half century.
A Wall Street transaction tax was imposed in 1914 and was more than doubled in 1932 to aid recovery from the Great Depression before it was repealed in 1966. But the trading volume then was minuscule compared to now with computer-driven trading velocity. A tiny tax – far less than state sales taxes on necessities – coupled with the current huge volume of trading can free students from this life-misshaping yoke of debt.
Some countries in Europe have a securities transaction tax and they also offer their students tuition-free university education to boot. They don’t tolerate the same level of greed, power and callous indifference to the next generation expressed by the monetized minds of the curled-lipped Wall Street elders that we do.
What about young people who are not students? The Wall Street tax can help them with job-training and placement opportunities, as well as pay for tuition for technical schools to help them grow their skills.
A good many of the thirty million Americans stuck in a wage range lower than the minimum wage in 1968, adjusted for inflation, (between $7.25 and $10.50) are college educated, in their twenties and thirties, and have no health insurance, no paid sick leave and often no full-time jobs.
A youth movement with a laser-beam focus, using traditional forms of demonstration and connecting in person, plus social media must come down on Wall Street with this specific demand. Unfortunately, while Occupy Wall Street started an important discussion about inequality, they did not advance the transaction tax (backed vigorously by the California Nurses Association), when they were encamped near Wall Street and in the eye of the mass media in 2011. A missed opportunity, but not a lost opportunity. Fighting injustice has many chances to recover and roar back.
It is time for, young Americans to act! Push Congress to enact a Wall Street speculation tax to help roll back your student debt and give you additional opportunities that are currently denied to you by the inside bank robbers who never had to face the sheriffs. They owe you.
As William C. Dudley, the eminent president of the Federal Reserve Bank of New York recently said of Wall Street – “I think that they really do have a serious issue with the public.” Yes, penance and future trustworthiness enforced by the rule of law.
nowhere.
Young America, you have nothing to lose but your incessant text messages that go nowhere.
Start empowering yourselves, one by one, and then connect by visiting Robin Hood Tax.
Hypocrisy and the Surveillance Stand-Off
Feinstein and the CIA
By Binoy Kampmark | Dissident Voice | March 15, 2014
Senator Dianne Feinstein’s blistering attack on the CIA’s conduct in searching the computers used by the Senate Select Committee on Intelligence was deemed a remarkable salvo. The search was engendered by the Committee’s official request for a final version of the named “Internal Panetta Review”. The Review had been created for internal use by the CIA as a record of assessing what documents should be turned over to the Committee in connection with its investigation of the torture program. Once the CIA got wind that their precious internal documentation was finding its way into the hands of the committee, the hackers got itchy.
Senator Feinstein herself charged the CIA with violating the Fourth Amendment, the Computer Fraud and Abuse Act, and Executive Order 12333. This raises the first problem. The CFAA is a legislative creation that exempts authorised law enforcement and intelligence activities. Legal commentary from former Chief Counsel for the House Permanent Select Committee for Intelligence, Chris Donesa at Lawfare (March 12) puts the question as whether “the CIA’s investigation and search was in fact ‘lawfully authorised’ or merely a pretext for deliberate efforts to obstruct or interfere with the SSCI investigation.”
The point is valid – after all, the CIA may well have been doing what it is empowered to do – snoop, hack and conduct “counter” intelligence activities, even against a Congressional committee. A gray area exists in the CFAA as to the rights of access set by the owner and operator of the necessary computers. The Washington political establishment have only themselves to blame if that was the case. The demon is merely consuming its creators.
One thing Donesa is willing concede is that the agreement and understanding between the CIA and the SSCI was significant in its violation. In so doing, it has raised questions touching on the separation of powers “and, more importantly, the budget and authorities of any Agency that dares to breach it.” He is concerned, in fact, that the SSCI was also rather cheeky, scurrying off with documents at points befitting the CIA’s own conduct. A subpoena might have been sought, but was conspicuously lacking. Feinstein herself alluded to such behaviour, largely because the CIA had shown form in destroying evidence, notably videotapes.
There have been occasional remarks that the CIA would have been justified in chasing down the source of leaks in the event that a confidential document had found its way into “unauthorised” channels. Sometime in 2010, Feinstein claims that SSCI staff accessed documents connected with the Panetta Review. Feverish speculation is making its way around the intelligence traps as to whether that access was warranted, the result of intentional disclosure by the CIA, or an illicit revelation of a whistleblower.
Given the CIA’s well established reputation for gold medal incompetence, it might very well be that the agency enabled, quite unwittingly, the Committee access to the Review documents. The jury may well be out on that one for some time to come. In either case, be it the whistleblower thesis, or that of unwitting disclosure, the episode has brushed up, if not scraped, a good deal of constitutional gunk. James Madison would not so much be turning as standing up in his grave.
Not all have warmed to Feinstein’s agitated response. A split has developed in Senate ranks. Republicans are concerned, but many would prefer to await the findings of a full investigation into the matter. Senator Lindsey Graham (R-SC) was particularly concerned. “If what they’re saying is true about the CIA this is Richard Nixon stuff. This is dangerous to democracy. Heads should roll. People should go to jail, if it’s true.” Senator Saxby Chambliss (R-Ga.) was less certain. “Right now we don’t know what the facts are” (NPR, March 11).
Neither Feinstein, nor the CIA, can claim much of a high ground in this debate. The SSCI was the subject of a hacking enterprise, a snooping venture that would have been appropriate for the Senator in other cases. In fact, the rationale employed by the CIA was the very one that she has been defending with almost manic determination. If classified documents find their way into certain hands (that is, the likes of Edward Snowden), revealing the extent of state abuse, the messenger is the one at fault.
Given Feinstein’s legislative efforts to shore up the surveillance state, and her inflexible stance in limiting reform to the intelligence community, this would have come as a rude, yet richly deserved rebuke. In Snowden’s own words on the episode, this involved “an elected official [who] does not care at all that the rights of millions of ordinary citizens are violated by our spies” only to be scandalized “when a politician finds out the same thing happens to them.”
Binoy Kampmark was a Commonwealth Scholar at Selwyn College, Cambridge. He lectures at RMIT University, Melbourne and can be reached at: bkampmark@gmail.com.
Law Enforcement Agencies All Over California Have Been Secretly Using Stingray Devices
By Tim Cushing | Techdirt | March 14, 2014
More documents have been uncovered (via FOI requests) that show local law enforcement agencies in California have been operating cell phone tower spoofers (stingray devices) in complete secrecy and wholly unregulated.
Sacramento News10 has obtained documents from agencies in San Jose, Oakland, Los Angeles, San Francisco, Sacramento and Alameda County — all of which point to stingray deployment. As has been the case in the past, the devices are acquired with DHS grants and put into use without oversight or guidelines to ensure privacy protections. The stingrays in use are mainly limited to collecting data, but as the ACLU points out, many manufacturers offer devices that also capture content.
Some of these agencies have had these devices for several years now. Documents obtained from the Oakland Police Dept. show the agency has had stingrays in use since at least 2007, citing 21 “stingray arrests” during that year. This is hardly a surprising development as the city has been pushing for a total surveillance network for years now, something that (until very recently) seemed to be more slowed by contractor ineptitude than growing public outrage.
The device manufacturer’s (Harris) troubling non-disclosure agreement (which has been used to keep evidence of stingray usage out of court cases as well as has been deployed as an excuse for not securing warrants) rears its misshapen head again, mentioned both in one obtained document as well as by a spokesperson reached for comment. One document states:
“The Harris (REDACTED) equipment is proprietary and used for surveillance missions,” the agreement reads. “Its capabilities can only be discussed with sworn law enforcement officers, the military or federal government. This equipment’s capabilities are not for public knowledge and are protected under non-disclosure agreements as well as Title 18 USC 2512.”
The Sacramento County Sheriff’s Dept. had this to (not) say when asked about its stingray usage:
“While I am not familiar with what San Jose has said, my understanding is that the acquisition or use of this technology comes with a strict non-disclosure requirement,” said Under sheriff James Lewis in an emailed statement. “Therefore it would be inappropriate for us to comment about any agency that may be using the technology.”
Law enforcement agencies are conveniently choosing to believe a manufacturer’s non-disclosure agreement trumps public interest or even their own protection of citizens’ Fourth Amendment rights.
The devices aren’t cheap, either. Taxpayers are shelling out hundreds of thousands of dollars for these cell tower spoofers, and the agencies acquiring them are doing very little to ensure the money is spent wisely. ACLU’s examination of the documents shows that many of the agencies purchased devices without soliciting bids.
It’s hard to know whether San José or any of the other agencies that have purchased stingray devices are getting good value for their money because the contract was “sole source,” in other words, not put out to competitive bidding. The justification for skirting ordinary bidding processes is that Harris Corporation is the only manufacturer of this kind of device. (We are aware of other surveillance vendors that manufacture these devices, though a separate Freedom of Information Request we submitted to the Federal Communications Commission suggests that, as of June 2013, the only company to have obtained an equipment authorization from the FCC for this kind of device is Harris.)
With Harris effectively locking the market down, buyers are pretty much ensured prices far higher than the market would bear if opened to competition. (Not that I’m advocating for a robust surveillance device marketplace, but if you’re going to spend taxpayers’ money on products to spy on them, the least you can do is try to get the best value for their money… ) Using federal grants also allows these departments to further avoid public scrutiny of the purchase and use by circumventing the normal acquisition process.
Beyond the obvious Fourth Amendment concerns looms the very real threat of mission creep. These agencies cite combating terrorism when applying for federal funds, but put the devices to use for ordinary law enforcement purposes. The documents cite stingray-related arrests, but since so little is known about the purchase, much less the deployment, there’s really no way to tell how much data and content totally unrelated to criminal investigations has been collected (and held) by these agencies.
Ecuadorian Fugitives Gave Large Sums of Money to US Politicians
Prensa Latina | March 13, 2014
Washington – Ecuadorian bankers Roberto and William Isaias, current fugitives, donated large sums of money to campaigns of U.S. politicians, the press revealed today.
Reports underline that the Federal Bureau of Investigation (FBI) is investigating cases that involve Congressional Republican Senator Marco Rubio, Democrat Robert Menendez and Republican Representative Ileana Ros-Lehtinen, among other politicians.
New York’s NBC network says the FBI suspects that Menendez, through phone calls and recommendation letters to the Department of State and other bodies, helped the Ecuadorian brothers establish themselves in the U.S. in exchange for donations to his reelection campaign.
Journalist and blogger Alberto Padilla claims he can confirm that, since they arrived to live in Miami, the Isaias have financed an active lobbying campaign against the Rafael Correa administration in Ecuador and have also aided senators, in exchange for being allowed to remain in the United States.
The Isaias were sentenced in absentia to eight years of imprisonment on April 11, 2012 by the National Court of Justice after a judicial process that lasted 13 years and in which 54 judges participated.
In the Ros-Lehtinen case, the Daily Beast website assured that she recently received money from the former bankers in exchange for help.
The Isaias had donated at least $23,700 USD to Ros-Lehtinen during the 2010, 2012 and 2014 electoral cycles, according to federal contribution campaign registers.
The Isaias also contributed to the campaign funds of Florida’s Senator Bill Nelson, and Congresswoman and also President of the National Democrat Committee Debbie Wasserman-Schultz and Representative Joe Garcia.
Related article
The Arseniy Yatsenyuk Foundation has disappeared
The Occidental Observer | March 11, 2014
Editor’s Note: This article by Freeman shows that, despite the presence in the new Ukraine government of the Svoboda nationalists, its president, Arseniy Yatsenyuk (who has three ethnically Jewish grandparents) is firmly affiliated with neocons, Western economic interests, and prominent figures associated with hostility toward Russia.
Second Editor’s Note, 3/12: The website for Open Ukraine (http://openukraine.org/ua) has reappeared but without the list of partners that so clearly show its sympathies with the neocons and Western NGOs and financial institutions.
By Freeman, translated from German by Michael Colhaze
Since the 27th of February 2014 Arseniy Yatsenyuk is “prime minister” of the present and entirely illegal regime of Ukraine. As we have learned from the intercepted Nuland – Pyatt telephone conversation, he is the preferred candidate of Victoria “Fuck the EU” Nuland, which is the reason why the US State Department made him the top echelon of its coup.
Did you know that Mr. Yatsenyuk owns an organization called “Open Ukraine Foundation”? If you do, you might be surprised to learn that all traces of this foundation have been eradicated from the internet. The website of the Arseniy Yatsenyuk Foundation (openukraine.org) and its Facebook page (https://www.facebook.com/pages/Open-Ukraine-Foundation) have simply disappeared. The Wikipedia entry still exists, but the links lead nowhere.
As we know, the Internet forgets nothing and therefore a screen-shot of the website is still on hand. And what do we see there? A list of the foundation’s partners, and looking at it, you may say with some awe that it is an exceptionally impressive collection of the usual suspects. Which, we strongly suspect, must be the reason why the foundation is now defunct and its tracks have been obliterated.
What follows is an extract from the list of partners:
– Black Sea Trust for Regional Cooperation (A Project of the German Marshall Fund)
– Chatham House
– NATO Information and Documentation Centre
– State Department of the United States of America
– NED National Endowment for Democracy
– Horizon Capital
– Swedbank
With such partners, and in this present scenario, it is small wonder that the page has been deleted. Because it can be clearly seen who stands right behind Mr. Arseniy Yatsenyuk and the coup.
Let us start with the German Marshall Fund, whose Chairman is Guido Goldman. His father, Nahum Goldman, was co-founder of the World Jewish Congress, Chairman of the Jewish Agency and president of the World Zionist Organization. Guido studied at Harvard and one of his teachers was the former presidential security adviser Zbigniew Brzezinski. Henry Kissinger later supervised Guido’s doctoral thesis. The money for the Fund has been approved by the former German finance minister Alex Möller. Who, on occasion of the 25th anniversary of the Marshall Plan, funded the organization with 150 million German marks for the next 15 years, ostensibly to promote relations between Europe and the U.S.
This context alone is revealing, since it cites some of the most virulent Russia Haters around.
But let us look at Chatham House. The Foundation, established in 1920, known until 2004 as the Royal Institute of International Affairs, is a private and world-leading British think tank based in London, whose members engage in study programs, working groups, roundtable conferences and seminars current issues and political events on an international level. The expertise and recommendations created there are circulated by the international members worldwide. Some key projects are funded and sponsored by the Rockefeller Foundation, the Bill & Melinda Gates Foundation, the Konrad Adenauer Foundation, NATO or the EU. In addition to the corporate members, consisting of 75 large corporations, plus investment banks, energy companies and 263 other companies, Chatham House currently has 2770 prominent personalities from 75 countries as members, all employed in business, diplomacy, science, politics and the media. A patron of Chatham House is Queen Elizabeth II.
This would sound like an absurd joke, were it not so truly awesome. Because now we understand clearly why the upheaval in Ukraine took place: the supreme fat-cats of the so-called World Elite wanted it to happen.
The NATO chiefs wanted the incorporation of Ukraine into this particular war club, so that missiles can be deployed even closer to Russia. In 2008 NATO secretary general Jaap de Hoop Scheffer paid a visit to Arseniy Yatsenyuk and his Foundation.
The U.S. State Department has been instrumental in the coup, as already mentioned with regard to Victoria Nuland and her now famous injunction. Doling out massive funds, it determined which puppets could join the regime and which not. Whereby that goof Vitali Klitschko got the short straw, just as the abominable noodle Nuland wanted it to happen.
The NED or National Endowment for Democracy is an American foundation with the stated objective to promote democracy worldwide. It is a [neocon front group that] was established in 1983 by the U.S. Congress, and receives its annual funding from the U.S. federal budget. Thus money directly milked from the U.S. taxpayer is diverted for the illegal regime change in Ukraine and many other countries.
This backdrop is very revealing. When Hedge Funds and banks such as Horizon Capital and Swedbank are affiliated with Yatsenyuk’s foundation, it is clear that they are the vultures who are waiting to plunder Ukraine.
Saakashvili and Yatsenyuk at an Open Foundation Meeting
A good friend of Arseniy Yatsenyuk and his Foundation is Mikheil Saakashvili, the puppet installed by Washington [see here and here], who was allowed to play the President of Georgia from 2004 to 2013. The latest news concerning his person seem to prove that he is also a murderer. According to the Georgian newspaper Asawal – Dasawali he has been involved in the death of former Prime Minister Zurab Zhvania of Georgia. The Prosecutor’s Office of Tbilisi has discovered proof of Saakashvili’s direct complicity, the newspaper writes, citing a source within the investigation authority where a secret recording with the audible voice of Saakashvili can be heard ordering: “Get the corpse out of the way and do everything as agreed.”
Yes, such a fine “partner” used to be a guest of honour in the now defunct Arseniy Yatsenyuk Open Ukraine Foundation. Unusual is that even in the Google cache nothing about it can be found anymore.
Now we understand why Arseniy Yatsenyuk has been installed by Merkel and Co, the EU, the NATO and Washington as head of the Ukrainian “government.” He is simply the new puppet intended to implement their interests in Ukraine, but certainly not the interests of the Ukrainian people.
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Bringing SOPA to the Trans-Pacific Partnership
Robert Holleyman in the Seat
By Binoy Kampmark | Dissident Voice | March 6, 2014
The machinery to dominate global intellectual property by American fiat was further tightened by the announcement of Robert Holleyman as deputy US trade representative. President Obama’s announcement is just another reminder of what sources of inspiration are governing the drive by Washington to control the downloading and dissemination of information via the Trans-Pacific Partnership. After all, Holleyman was a former lobbyist of the Stop Online Piracy Act (SOPA), the bill introduced by US Rep. Lamar S. Smith (R-Tx) to gift US law enforcement authorities with the means to combat copyright infringements.
Indeed, Holleyman’s own blurb as an author for The Huffington Post considers him as “one of the 50 most influential people in the intellectual property world”, an individual who “was instrumental in putting into place the global policy framework that today protects software under copyright law.” Such is the nature of mislabelled internationalism – Washington’s policy by another name.
Holleyman has also been heavily involved as a former president of the Business Software Alliance, a body representing the main software vendors including Apple, IBM, and Microsoft. Through the consortium, Holleyman unintentionally put the problems of SOPA, and its sister legislation, PROTECT-IP, in the bright spotlight. He found himself fighting, at least for a time, a losing battle. Protest against them was extensive, with January 18, 2012 featuring the “largest online protest in history”. Congress took heed, shelving the bills. The vendors pondered the next move.
SOPA’s reach would have been global, enabling US law enforcement the means to target websites and individuals outside its jurisdiction. The carceral provisions of the bill were also hefty – five year prison terms for downloading unauthorised content.
It would have also been a rather formidable mechanism to insinuate censorship into the Internet. The legislation would allow the content provider or the US Justice Department to block sites hosting material supposedly in breach of copyright. Having such a provision would effectively overburden internet service providers to err on the side of caution and “over-block” material. If ever you want to enshrine censorship, a fine way of doing so is frightening the hosts into censoring themselves.
The secret negotiations of the TPP have proven to be a feast of select company. The negotiators themselves, such as Stefan Selig, nominee for under-secretary for international trade at the Commerce Department, have a direct line to the Bank of America. Selig’s accounts have been inflated to the tune of $9.1 million in bonus pay and $5.1 million in incentive pay. Happy is the bank that can sue for diminished assets and target governments in courts of law.
The clubbable ones are the software demons who have been “cleared” to have briefings, some 700 “stakeholders”. The “cleared advisors” also represent groups such as the Pharmaceutical Research and Manufacturers of America, the Entertainment Software Association, and the Recording Industry Association of America.
While the premise of having such vendors involved is ostensibly to protect innovation, the converse is true. The world of innovation does not matter to those who claim they have the ideas and want to protect them at cost. That is a recipe for sloppiness and envy.
The anti-democratic slant in the TPP process has also impressed itself upon observers. The press, and even members of Congress, have been kept at bay. Till parts of the treaty were published by WikiLeaks, elected officials could only view the document on visiting the Trade Representative Office. They would not be able to reproduce or transcribe it.
While SOPA and its twin PIPA were shelved indefinitely, the Obama administration has decided to shop in other forums to enforce some of their provisions. One way of doing so is through the faulty premise of free trade, which is simply another way of making some trade freer than others. The American firm features prominently in that guise of freedom.
Aspects of the leaked intellectual property chapter of the TPP so far indicate a model with SOPA trimmings. Provisions, for example, holding ISPs liable for hosting copyright infringement, have been preserved. The life of certain, corporate-owned copyrights will also be extended. In other words, this is SOPA by stealth, a process that “could not [be] achieved through an open democratic process.”
The fact that the Obama administration has also sought to sideline Congress in the debate is indicative of that. As Henry Farrell observed, “The United States appears to be using the non-transparent Trans-Pacific Partnership negotiations as a deliberate end run around Congress on intellectual property, to achieve a presumably unpopular set of policy goals.” Senate Democrats have been mindful of their shrinking role, and have blocked the president’s attempt to obtain “fast-track authorisation”.
The effect of such authorisation would give the administration scope to limit congressional consultation while using its prerogative powers. Congress would become, in effect, a chamber of marionettes. Appointments such as Holleyman’s show little change of heart away from that policy. The copyright vanguard, along with the dance of secrecy, is digging its heels in.
Binoy Kampmark was a Commonwealth Scholar at Selwyn College, Cambridge. He lectures at RMIT University, Melbourne and can be reached at: bkampmark@gmail.com.
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Washington’s Hysteria Towards Russia Hides US Regime Change
By Finian Cunningham | Strategic Culture Foundation | March 6, 2014
Legally, Washington and its European allies haven’t a leg to stand on. Both can be rightly accused of violating international law from their gross interference in Ukrainian sovereign affairs – from the instigation of violent street protests that led to the sacking of an elected president and government, to the subsequent climate of lawlessness and fear sweeping across Ukraine and felt in particular by the majority Russian ethnic population in the east and south of the country.
The latest revelations that killings in Kiev’s Maidan Square among protesters and police were covertly carried out by snipers working for the Western-backed agitators are further proof that a coup d’état was orchestrated. A leaked phone call between EU foreign affairs chief Catherine Ashton and Estonian foreign minister, Urmas Paet, dated February 25, indicates that snipers were used as provocateurs during the demonstrations, with the intention of heightening violence and blaming it on the government of President Viktor Yanukovych.
In the phone call, reported by Russia Today, Paet is heard to say: «There is now stronger and stronger understanding that behind the snipers, it was not Yanukovych, but it was somebody from the new [Western-backed] coalition».
Ashton replied: «I think we do want to investigate. I mean, I didn’t pick that up, that’s interesting. Gosh».
The evidence for Western-sponsored subversion in Ukraine is so glaring – from the parade of American and European politicians over the past four months whipping up protesters in Kiev, to documented infiltration of civic organizations by the CIA, USAID, National Endowment for Democracy, Freedom House, the Adenauer Foundation, among others, to their own words of admission from the likes of State Department official Victoria Nuland on the desired formation of a new governing administration in Kiev – that in order to distract from this mountain of damning evidence, the Western governments and their servile media are trying to shift the terrain of discourse away from the panoramic obvious.
The latest revelation of snipers used as provocateurs adds a new sinister twist.
However, against all the evidence, it is not the West that is in violation over Ukraine; it is Russia – so they claim.
More than this, the Western leaders and media have gone into hysterical mode, accusing Russia of «brazen aggression» and «bringing the region to the brink of war». Ironically, given the astounding denial of reality by the West, it is now turning around and accusing Russia of peddling propaganda over recent events in Ukraine. One France 24 headline read: «The fanciful claims of Russian propaganda».
Never mind fanciful claims, how about just some hard facts – facts that Western media are in abject denial of?
Apart from the above litany of outrageous Western interference in Ukrainian politics, the fact is that President Viktor Yanukovych was ousted in a violent putsch at the end of last month.
Yanukovych was elected in 2010; and in a constitutional democracy his removal from office requires a vote by the electorate, not the diktats of a bunch of gun-wielding paramilitaries. We may not have liked Yanukovych’s alleged authoritarian style of governance or accusations of cronyism, but the only legal way to correct that would have been for an orderly constitutional process of elections or some other form of due process.
Yanukovych signed a national unity deal with political opponents on February 21, which European Union ministers had been involved in brokering. But his opponents immediately trashed the deal with threats of violence unless Yanukovych stood down.
Russian President Vladimir Putin is therefore correct when he told a press conference this week that what has happened in Kiev is «an unconstitutional coup» and «an armed seizure of power».
Legally speaking, and even under the terms of the EU-brokered national unity accord signed on February 21, Viktor Yanukovych is still the lawful president of Ukraine. When Yanukovych subsequently sent a formal letter to Putin requesting military assistance in the light of unconstitutional and violent upheaval, the Russian Federation had a legal and moral mandate to enter into Ukrainian territory.
The differing responses to the February 21 «event» are instructive. Both Washington and Brussels immediately recognized the new office holders in Kiev as the «legitimate government» of Ukraine with its self-declared president Oleksandr Torchynov and prime minister Arseniy Yatsenyuk. The new cabinet, comprising members of the fascist Svoboda party who had been previously waging street war, was also conferred with official Western recognition. The Western media have since gone on to use euphemisms like Kiev’s «fledgling government».
A more accurate definition of the new administration in Kiev is an unelected, self-imposed junta. But the violent, unconstitutional means of taking political power has not stopped British foreign secretary William Hague coming to Kiev this week, followed by US secretary of state John Kerry, to shake hands with the junta. Brussels also invited the mob rulers in Kiev to a ministerial summit this week.
By contrast, Russia is calling for a return to the national unity deal signed on February 21 – a deal which recognizes Yanukovych as the president in office until mutually agreed constitutional reforms are worked out and mandated by the entire electorate of Ukraine – as the legal starting point for any future political settlement. This is the most reasonable and constitutionally legal way forward. Let the people decide whom they want in government by voting, that is by democracy, which, pointedly, Western leaders do not seem able or willing to countenance. The latter prefer imposing governance by force according to their diktat because the real agenda is the economic pillaging of Ukraine by Western capital, an outcome that the Ukrainian people would not vote for if they truly had a democratic choice in the matter.
Given the self-publicized threats of aggression towards ethnic Russians in Ukraine and other perceived political opponents issued by Svoboda and its Right Sector paramilitaries, together with documented acts of recent violence in Kiev, it is was eminently legal and appropriate that Moscow embarked on defensive security measures in Ukraine. Securing military bases and a majority Russian-speaking population in the autonomous southern republic of Crimea this week – at the written requests of President Yanukovych and the Crimean regional prime minister Sergei Aksyonov, as well as under the legal terms of a long-standing bilateral agreement with Ukraine – all that gives Moscow an irrefutable mandate to do so.
Yet, with frothing hysteria, the Western governments and their media have turned reality upside down. There is not a mention of the unlawful Western interference and subversion in the Ukraine or of its hand-in-fist association with neo-Nazi street mobs in executing a violent putsch in Kiev. US ambassador to the United Nations Samantha Power brazenly denied reality earlier this week when she accused Moscow of citing «imaginary threats» in Ukraine. The bitter irony of that is that Samantha Power is one of the cheerleaders for the so-called «responsibility to protect» which has given her country the fictitious cover to illegally intervene and militarily overthrow governments in former Yugoslavia, Iraq, Libya and anywhere else the US deems desirable for regime change.
In a feat of sheer doublethink, the West has accused Russia of «illegal invasion» in Ukraine and of using «pretexts for acts of aggression». This hysterical rhetoric is being used to cover up the West’s own glaring transgressions in Ukraine and to shift the blame for the turmoil.
Unabashed by its unequivocal involvement in engineering regime change in Ukraine, American and European leaders are demanding that Russia withdraw troops from Crimea or face sanctions. Washington’s top diplomat John Kerry said the US would isolate Russia «economically, politically and diplomatically» if it did not reverse security measures, or as Kerry put it «aggression».
Meanwhile, there is not a scintilla of indication that the Americans and Europeans have any intention of reversing their unlawful interference in Ukraine. Far from it, Kerry on his visit to the junta in Kiev this week said that the US was offering $1 billion in loan guarantees. The New York Times explained: «The purpose of the loan guarantees is to support Ukraine’s efforts to integrate with the West».
European Union ministers this week somehow found reserves of €11 billion for the new «Western friendly» administration in Kiev – against the backdrop of millions of EU citizens suffering from unemployment and deprivation. The International Monetary Fund is also drawing up a lure (loan) of $2 billion.
With pro-Western, pro-capitalist Yatsenyuk now at the helm in Kiev (as Nuland prescribed), Ukraine is being steered inexorably into debt bondage by the West. This bondage, facilitated by an unelected junta, will entail an austerity assault on Ukrainian workers, beginning with swingeing cuts in public spending, wages and subsidies on fuel. It will also lead to privatization of Ukrainian oil and gas industries and the full take over of other prodigious Ukrainian natural resources, such as its wheat agriculture, by Western capital. Yatsenyuk, who talks with pride about being willing to commit political suicide for the sake of pro-Western reforms, that is Western subjugation, is exactly the kind of ideologue the West want and need in Kiev, as Nuland duly recognized.
Interestingly, this week the new Ukrainian ambassador to Belarus, Mykhailo Yeshel, admitted in a media interview that loans (lures) from Washington were being offered on condition of the Ukraine permitting the deployment of American missile systems on its territory – right on the border with Russia.
The emerging picture is clear. Despite all the hysterical nonsense being spouted by Western leaders and their media propaganda machine, demanding Russia to «back off» from Ukraine, the Western regime-change operation in that country is not just being consolidated – it is being ramped up.
CIA Probed for Possibly Spying on Congress
ACLU | March 5, 2014
WASHINGTON – The CIA’s inspector general is investigating whether the agency may have been monitoring the computer usage of Senate Intelligence Committee staff members, according to articles today by The New York Times and McClatchy. The inspector general’s office has reportedly referred the matter to the Justice Department for criminal investigation.
Christopher Anders, senior legislative counsel with the American Civil Liberties Union, had this reaction:
“If it turns out that the CIA was spying on the Senate committee that oversees the agency, it would be an outrageous violation of separation of powers. The CIA is prohibited from spying in the United States itself, and there can be few greater violations of that rule than spying on congressional staff carrying out the constitutional duty of being a check on the CIA’s powers. CIA surveillance of Congress would be another sign that the intelligence community has come to believe that they are above the law, and should get only deference from the other branches of government, not the meaningful oversight that’s required by the Constitution. Checks and balances, especially for agencies like the CIA and NSA that have many secret operations, are essential for democratic government. At the very least, these reports should spur the committee to vote quickly for the declassification and release of its full report into the CIA’s torture program so the American people can see what it is that the CIA is so eager to hide.”
In December 2012, the committee adopted a 6,000-page report on the CIA’s Bush-era rendition, secret detention, and torture program. The report concluded that abusive methods were ineffective, and the CIA wrote an extensive response, countering many of the Senate report’s conclusions. There is also a secret CIA report commissioned by former CIA Director Leon Panetta, which is reportedly consistent with the Senate report findings and contradicts the CIA’s response to the Senate report. All three reports are classified.
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Rule by oligarchs: Kiev appoints billionaires to govern east
RT | March 3, 2014
The self-proclaimed government in Kiev has appointed two of Ukraine’s richest men to govern large industrial regions in the defiant east. One of the reasons for the Maidan protest was the influence the rich have on politics in the country.
The appointments of new governors of Donetsk and Dnepropetrovsk Regions are among 18 made on Sunday by Kiev, which is struggling to consolidate power after the coup which ousted President Yanukovich last month.
The newly-appointed Dnepropetrovsk governor is Igor Kolomoysky, Ukraine’s third-wealthiest man, with an estimated fortune of $2.4 billion. He co-owns the informal commercial group Privat, which includes Ukraine’s largest bank Privatbank, which Kolomoysky heads, as well as assets in the oil, ferroalloys and food industries, agriculture and transport.
A former ally of Yulia Tymoshenko, Kolomoysky reportedly had a falling out with her and refused to finance her election campaign in 2010, which the ex-prime minister subsequently lost to Yanukovich. Kolomoysky was reported to be a principal sponsor of the UDAR party, which is one of the three fueling the street campaign to oust Yanukovich. Kolomoysky has a dual Ukrainian-Israeli citizenship and controls his business empire from Switzerland.
The new governor of Donetsk Region is Sergey Taruta, who is estimated to worth around $2 billion, putting him among the top-10 wealthiest people in Ukraine. He heads ISD, one of the biggest mining and smelting companies in the world, and also own Donetsk-based Metallurg Football Club.
Not a stranger to politics, he used to sponsor Viktor Yushchenko, who came to power in Ukraine after the Orange Revolution of 2004. Among his personal habits is a reputed love for luxurious jewelry and ostentatious gold statues, reports RT’s Peter Oliver.
The appointments will have “a positive effect on the regional aspect,” believes Vladimir Groisman, who was appointed vice-president for regional development in the self-installed government.
“They are well-known and wealthy people. They had a choice – they could buy a plane ticket or fly their own plane and go to another country and wait for the developments there. Or they could take responsibility. I respect their choice,” he said.
Among the accusations mounted on Yanukovich by protesting crowds in Kiev was the charge that he used his presidential power to take over assets of Ukrainian businessmen and make an illegal fortune for himself and his allies. Some Ukraine observers suggested that the oligarchs, threatened by presidential greed, financed the Maidan protests, seeing them as leverage on the government.
After his ouster, photos from Yanukovich’s opulent residence of gilded furniture and a private zoo in suburban Kiev made headlines worldwide. There is little doubt that many of those who sought to topple him for being corruptly enriched would eye the appointment of affluent businessmen to offices of power with a deal of suspicion.
The feeling is palpable in many comments in Ukrainian media.
“That’s good news. I’m tired of those businessmen in power,” said one sarcastic commenter at the site of the Ukrainskaya Pravda a leading online news service.
“It’s OK. The oligarchs have been controlling the regions anyway. I think they will provide order, because only they have the authority, unlike some middle-rank appointees,” soothes another one.
“Are they handing out fiefs? I’m sick of it. Is that what the people died for at the Maidan?” another commenter says.
There is also the regional aspect, which Groisman mentioned. The better-developed industrial east of Ukraine depends on business ties with Russia and would be hurt badly by the EU association agreement, which the new government wants to sign as soon as possible. Mistrust towards Kiev is growing in the east, with several regions already declaring they would not be taking orders from the capital.
The defiant regions seek greater autonomy from the central authorities. Having the right to elect their own governors, as opposed to have them appointed in Kiev, is one of the demands regularly voiced at the protest rallies in eastern and southern Ukraine.
Violence and Vulnerability in Buenaventura, the Dark Side of Development
By Margaret Boehme | Red Hot Burning Peace | February 24, 2014
From the tenth-floor balcony of our hotel in Buenaventura, we sit with community leader Miguel Duarte and watch as the sunset over the Pacific Ocean streaks the sky with peach and mauve before fading to a shroud of lavender-gray and darkness. Below us, teenage girls chase a soccer ball. A few hundred yards away, a patch of the island is covered with tree tops like the heads of broccoli. “Take a photo of that island,” says Duarte, pointing at the tree line. “There are thousands of dead bodies buried on it.”
“We need a commission from the Attorney General’s office to count the bodies,” he continues. “The island is controlled by paramilitaries.”
The violence in Buenaventura is staggering, yet reliable statistics are hard to attain: official documentation is lacking and it’s left to community leaders, like 18-year-old Jesús, to try to compile the data independently. At our meeting, he pulls out his notebook and begins reading off his handwritten list of victims from a recent massacre. He gets to the end of his list, glances up, and says, “Children were cut up and heads were found in barrios Santa Monica and Campo Alegro. Last night Alberto’s cousin was killed in a confrontation. That one made the newspaper.”
According to a report issued in January 2014, the city sees two-to-three murders and three-to-six forced disappearances daily. In November 2013 alone, fighting between different armed groups displaced 2,500 families in Buenaventura.
“We’re convinced of one thing,” says Duarte. “This pressure is so that people leave.”
On the heels of shoot-outs in waterfront neighborhoods, city officials arrive and ask residents if they’re ready to sign documents in which they agree to vacate the zone. On February 5 and 6, local security forces staged an elaborately orchestrated tsunami drill for neighborhoods near the port, with armed men blocking off streets and redirecting traffic into the night. According to Colombian Process of Black Communities (PCN), the exercise was yet another effort to brainwash Buenaventura’s Bajamar residents into believing that it’s not safe to live in the area and that they should be ready to evacuate at a moment’s notice.
Many point out that Buenaventura is dangerous for people who live in neighborhoods slated for commercial development but that, paradoxically, these same areas are safe for tourists. Below our hotel, a seafood fusion-sushi bar does slow business just yards from a neighborhood where armed groups recently did battle.
It’s Friday night in this commerce town, and clubs cater to weekend carousers with pockets full of pesos. Against a backdrop of giraffe-like cranes, half-built high-rises sprouting rebar, and a balmy breeze dispersing salsa beats, Duarte explains that 15 or 20 years ago, people began to talk about megaprojects in the region: port expansion, a cargo terminal, a tourist boardwalk, and an international airport in nearby Cali. Those conversations coincided with the beginning of the market liberalization process, as the port changed from public to private ownership.
Over the past 15 years, as the armed conflict arrived to nearby rural areas, many residents fled their farming communities at the outskirts of Buenaventura and settled in ocean-front neighborhoods near the city center, joining communities of Afro-Colombians who had arrived generations ago. In 2005, the FARC and Colombian military battled in Buenaventura. In 2006, paramilitaries entered the urban zone to protect businesses and terrorize the local population.
The first interurban displacement in Buenaventura—in which people fled from one neighborhood to another within the city—was in 2009. Today, ground zero for violent displacement coincides perfectly with zones marked for port expansion, a coal warehouse, a massive container storage area, and a tourist promenade. The violence, PCN states, is “part of the war strategy to control territory and clean out the zone to bring in projects.”
Residents in vulnerable neighborhoods are not opposed to the city’s economic growth, per se. But many feel that projects should benefit all people in the area, not bring prosperity to few while forcing misery on most.
That’s what Remedios’ husband, Eduardo believed. Their home in Caucana, about 45 minutes from the port, is along the road being widened to facilitate port expansion and accompanying projects in order to make Buenaventura competitive for Free Trade Agreement projects.
The old road is narrow, windy, and unpaved, meaning that it currently takes a truck seven or eight hours to make the trip from Buenaventura to Bugalagrande, a town along the Pan-American Highway. The new road will reduce the journey to about an hour.
Eduardo opposed the road expansion through their community because small children play there, and the project was contaminating their air and bad for people’s health. Remedios said, “He’d been looking to strengthen the community. He didn’t want to leave people in misery.” He’d been advocating for the community’s right to Free Prior and Informed Consent for new projects on their land guaranteed under Law 70, or the “Law of Black Communities.”
One morning Eduardo got a call that warned him he’d be killed if he ran in upcoming community council elections. For months he lived under the dark cloud of death threats, and on February 23, 2013, he was murdered. A year later, despite the efforts of his wife and other community members to seek justice, the government has made no progress in the investigation of his death.
“It has left me desperate, my kids too. They’re struggling at school. They don’t remember their vowels, just sleep, play, fight, scream….My children want to know why their father was murdered. They’re small, thinking bad thoughts, seeking vengeance. I’m asking for help because I don’t want my kids to become bad people.”
While we are in Buenaventura, a death threat is circulated, naming as military targets indigenous groups, campesinos, Marcha Patriotica members, protestors who block roads, and “guerilla-defending” NGOs—the name often used by paramilitaries to refer to NGOs that work on human rights issues.
Back on the tenth-floor balcony, a man whose community is surrounded by illegal armed groups looks out over the port, past the island of dead bodies, to the green lights blinking at the edge of the bay. He says, “If we don’t act quickly in Buenaventura, there will be more deaths.”
Margaret Boehme is a member of the Witness for Peace Colombia team based in Bogotá.
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Biden’s Closed Circle on Russia
An excerpt from ‘The Great Betrayal’
By James W. Carden | The Realist Review | June 14, 2026
Joe Biden’s presidency may ultimately come to be seen as a cautionary tale. Here was a president who showed little interest in entertaining arguments that might have contradicted his most deeply held assumptions.[1] And there were precious few within the upper ranks of the administration who might have attempted to do so, after all, only policy hands and political operatives who had come up through the ranks of the Clinton and Obama administrations or had longstanding ties to the citadels of the foreign policy community were invited into the fold. … continue
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