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Israel Aerospace Industries: a company profile

By Tom Anderson | Corporate Watch | February 5, 2015

Israel Aerospace Industries is one of Israel’s biggest arms companies. Founded in 1953 as Bedek, IAI has long been at the forefront of Israel’s arms production and export. It also develops systems for commercial aircraft. In 2013, 73% of IAI’s sales revenues came from exports.

IAI and Israel’s drone wars

IAI was one of the earliest developers of drone technology and launched its first surveillance drone, the IAI Scout, in 1979. Since then the company has launched a number of drone models (see below). Drone development is handled by IAIs MALAT divisions. IAI describes its unmanned aerial systems as ‘combat proven’ and writes on its website of its drones’ “unsurpassed track record of over 1,200,000 operational flight hours for over 50 users on five continents”. According to Drone Wars UK, IAI has exported their UAVs, sometimes through joint venture agreements, to various European countries as well as South America, Australia, Canada and India and the company has a growing market in Africa.

IAI and Gaza

Most of IAI’s unmanned aerial vehicle (UAVs) are surveillance drones, but the Heron 1 and Heron TP both have strike capabilities and have been used in Gaza. According to Human Rights Watch (HRW),i the Heron can fly up to 40 hours and can carry four Spike missiles. It is also used for surveillance and to identify targets on the ground.

Drone Wars UKii reports that Israel was deploying armed Heron 1 drones during the Operation Summer Rains attack in Gaza in 2006.

The IAI Heron TP is Israel’s biggest drone, with a wing span of 26 metres. It was first used during Operation Cast Lead in Gaza during 2008-2009.iii When the Heron TP is marketed as ‘combat proven’ it means that it has been tried out on the people of Gaza with fatal consequences.

Attacks on Lebanon:

IAI’s Searcher and Scout drones were both used for surveillance in Israel’s attacks on Lebanon in the 1990s and early 2000s. It is believed that armed Heron drones were used in the assault on Lebanon in 2006iv

IAI and the US:v

During the first Gulf War, IAI Pioneer drones were used by the US navy to guide shells fired from battleships.

Industry:

A ‘defence’ company which develops and produces a variety of products for both military and commercial markets in Israel and around the world, including unmanned aerial vehicles (UAVs), fighter jets and naval and ground defence systems. In 2013, military equipment accounted for 73% of the company’s sales, with only 27% going to commercial markets.vi

Traded on: TASE

Revenues/Assets/Sales: In 2013 the company reported an operating income of $84 million, the company recorded total assets of over $5 billion and net sales of over $3.5 billion – to view the company accounts click here.

Employees: 16,000

Subsidiaries:

ELTA Systems Ltd (Israel)

ELTA North America (based in Maryland, US)

European Advanced Technology (EAT)

Addresses:

Website: www.iai.co.il

Head quarters: Ben Gurion International Airport, 70100, Israel. Phone: 00972-3-9353111 Email: corpmkg@iai.co.il

Representatives: The company has representatives around the world, including in Asia, Australia, Brazil, Colombia, Korea, North America and Russia.

Ownership: IAI is fully owned by the Israeli state. It is the largest state owned defence and aerospace company in Israel.

Drones manufactured by IAIvii

IAI Scout, Bird Eye 400, Mini Panther, Mosquito 1, Mosquito 1.5, Panther, Harpy, Searcher I, I-View-150, Searcher II, Searcher III, B-Hunter, Heron 1 (Shoval), Heron TP (Eitan).

Countries IAI has exported to:viii

Angola, Australia, Azerbaijan, Belgium, Brazil, Canada, China, Ecuador, France, Germany, India, Indonesia, Russia, Singapore, South Korea, Spain, Sri Lanka, Taiwan, Thailand, Turkey, United States, UK.

Resistance:

In 2011 a Palestinian civil society call demanded a two way embargo on arms sales to and from the Israeli state and Israeli companies.

In October 2014, activists from London Palestine Action occupied the London offices of Airbus over its involvement with IAI. The two companies are working together on the Harfang drone for the French Air Force. The Harfang drone is based on the IAI Heron.

Background

The battlefields of Israel’s militarism and occupation have proved effective testing grounds for new types of weaponry. Israel’s constant state of warfare has ensured a reliable marketplace for Israeli arms manufacturers. According to Drone Wars UK, surveillance drones were first used in Egypt in the lead up to the Yom Kippur War. The first recorded use of an Israeli drone to help piloted warplanes bomb targets (target acquisition) was in 1982 in the run up to the Israeli invasion and occupation of Lebanon. According to the Al Mezan Centre for Human Rights, the first recorded use of an armed drone by Israel was in 2004. The experience gleaned during years of military repression has made Israel the largest exporter of drone technology in the world. Israeli arms companies have sold drones to over 50 countries.

According to Human Rights Watch (HRW): “the missile fired from a drone has its own cameras that allow the operator to observe the target from the moment of firing. The optics on both the drone and missiles include imaging infrared cameras that allow operators to see individuals at night as well as during the day. With these visual capabilities, drone operators should have been able to tell the difference between fighters and others directly participating in hostilities, who are legitimate targets, and civilians, who are immune from attack, and to hold fire if that determination could not be made. If a last-second doubt arises about a target, the drone operator can use the missile’s remote guidance system to divert the fired missile, steering the missile away from the target with a joystick.”

Despite this, the number of deaths (as a proportion of total deaths) caused by drone strikes has been increasing. During our 2013 visit to Gaza, Corporate Watch interviewed several survivors of Israeli drone attacks who had not involved in any fighting before they were targeted, many of those killed by drone attacks are children. The Gaza based Al Mezan Centre for Human Rights provided Corporate Watch with these shocking figures for the years 2000-2012:

Year

Total recorded number of people killed by Israeli attacks in Gaza

Number of people killed by Israeli drones in Gaza (% of total)

2000

123

0 (0%)

2001

243

0 (0%)

2002

472

0 (0%)

2003

398

0 (0%)

2004

646

2 (0.3%)

2005

99

0 (0%)

2006

534

91 (17%)

2007

281

98 (34.9%)

2008

769

172 (22.4%)

2009

1058

461 (43.6%)

2010

72

19 (26.4%)

2011

112

58 (51.8%)

2012

255

201 (78.8%)

 

Israeli drone strikes are carried out from the Palmachin and Tel Nof air force bases.xxii
Endnotes:

i Human Rights Watch (2009), Section 4

iiDrone Wars UK (2014), page 10

iiiT. Goldenburg, Huffington Post, Israel Unveils New Drone Fleet that can reach Iran (2010)

ivDrone Wars UK (2014), page 10

vDrone Wars UK (2014), page 7

viIAI – http://www.iai.co.il/Shared/UserControls/Print/PopUp.aspx?lang=en&docid=45888

viiDrone Wars UK (2014), page 7

viiiDrone Wars UK (2014), page 19

February 6, 2015 Posted by | Economics, Militarism, War Crimes | , , , , | Leave a comment

Syriza-led Greek parliament ‘will never ratify TTIP’

At an anti-TTIP demonstration in Berlin last month. (Photo: Uwe Hiksch/flickr/cc)
By Sarantis Michalopoulos | EurActiv | February 2, 2015

The newly-elected government in Athens has always been suspicious of the Transatlantic Trade and Investment Partnership (TTIP) and will use its Parliament majority to sink the EU-US trade pact, claims a former Syriza MEP now turned minister.

After making its voice heard in the debate over sanctions on Russia, the new government in Athens is now making its opposition known to the EU-US trade deal, TTIP.

Georgios Katrougkalos, a former influential Syriza MEP who quit his European Parliament seat to become deputy minister for administrative reform in the leftist Greek government, said the new leadership in Athens will use its veto to kill the proposed trade pact – at least in its current form.

Just before the January elections, he told EurActiv Greece that a Syriza-dominated Greek parliament would never ratify the EU-USA trade deal.

Asked by EurActiv Greece whether the promise still holds now Syriza is in power, Katrougkalos replied:

“I can ensure you that a Parliament where Syriza holds the majority will never ratify the deal. And this will be a big gift not only to the Greek people but to all the European people”.

Double veto power

The leftist Syriza party may not have an absolute majority in Parliament but its junior coalition partner seems to share the same views on the EU-US trade pact.

Syriza, which won a stunning victory at snap elections a week ago (25 January) formed a coalition with the right-wing anti-austerity Independent Greeks party, which is intent on opposing laws seen as too favourable to big business.

The coalition agreement gives the new Greek leadership an effective veto power over TTIP and other deals submitted to Parliament ratification.

Indeed, once the pact is negotiated – a process which may still take over a year –, it will be submitted for a unanimous vote in the European Council, where each of the 28 EU national governments are represented.

This means that one country can use its veto power to influence the negotiations or block the trade deal as a whole, an opportunity Syriza will no doubt use.

And even if the pact makes it past this first stage, it will then be submitted to ratification by all parliaments of the 28 EU Member States, offering opponents a second opportunity to wield a veto.

Welfare state under threat

Like many other leftists and social democrats in Europe, Katrougkalos raised serious concerns about the Investor State Dispute Settlement mechanism, or ISDS, contained in the pact.

The mechanism is designed to protect companies’ foreign investments against harmful or illegal rulings in the countries where they operate. It gives them the chance to take legal action against a state whose legislation negatively impacts their economic activity.

Katrougkalos  underlined the uncertainty surrounding the ISDS negotiations, saying the European Commission’s precise mandate was unclear.

“An undemocratic practice of lack of transparency has prevailed from the very beginning of the negotiations,” he claimed.

The newly-appointed minister understands that TTIP’s objective was not to reduce tariffs, which are already “very low” but to make an adjustment to the rules governing other sectors. “It contributes to the elimination of some bureaucratic procedures on exports, helping this way the economic efficiency,” he said.

But he made clear that the danger lies in the fact that in most economic fields the regulatory rules are different in the EU and the US. For him, multinational companies stand to benefit the most from lower regulatory barriers, citing banks and brokerage firms, which are subject to weaker supervision in America than in Europe.

“For example we [the EU] don’t permit GMOs, data protection is significantly more important as well as the protection of national health systems,” he said, adding that any consolidation in these rules “will undermine the way the welfare state is organised in the EU.”

Independent Greeks take the same line

Meanwhile, Syriza’s coalition partner, the right-wing anti-austerity Independent Greeks party, takes a similar stance against TTIP.

In a statement issued on 4 November 2014, the then-opposition party said the deal will not live up to its promise of relaunching economic activity.

“It is supposed to be an agreement that will boost the real economy, but its main supporters are international bankers and lobbies,” emphasised Marina Chrysoveloni, a spokesperson for Independent Greeks.

“In simple words, the speculative capital will have even more freedom to move […] in a huge single market with eight hundred million people,” she concluded.

On Syriza’s side, Katrougkalos admitted there was uncertainty about how the talks will conclude but said he was confident that the trade pact “will be approved by the European Parliament”.

“The social democrats have objections on ISDS [investor-state dispute settlement] mechanism but it seems they accept the trade deal’s logic,” Katrougkalos said. In his view, the centre-right European People’s Party and the Liberal ALDE “have a safe majority in Parliament”.

Read:

Tsipras promises radical change, markets tumble

Greek leftist scores victory over austerity

February 2, 2015 Posted by | Economics, Solidarity and Activism | , , , , | Leave a comment

Ruble slump won’t damage trade with China – ambassador

RT | February 2, 2015

Li Hui, Ambassador Extraordinary and Plenipotentiary of the People's Republic of China to Russia (RIA Novosti/Andrey Stenin)

Li Hui, Ambassador Extraordinary and Plenipotentiary of the People’s Republic of China to Russia (RIA Novosti/Andrey Stenin)

China’s ambassador to Moscow Li Hui says even though the ruble has lost more than 17 percent of its value this year it won’t significantly affect China-Russia trade and cooperation.

“It is understandable that the devaluation and volatility of the ruble have a certain influence on Chinese-Russian trade, especially with the considerable exchange rate risks for export companies that have signed agreements in Russian rubles, but the devaluation of the ruble doesn’t have much effect on the large-scale trade partnership between China and Russia,” Li Hui told RIA Novosti in an interview.

The value of the Russian ruble started to slide again after the Central Bank of Russia decided on Friday to cut the key rate by 200 basis points to 15 percent. The currency was trading at 70 against the US dollar on the Moscow Exchange at 2:00PM MSK Monday.

In 2014, the ruble lost almost a half its value against the dollar due to plummeting oil prices and Western economic sanctions.

According to Li, regardless of the devaluation of the ruble and falling oil prices, Russia and China still believe in “growth despite existing trends.”

“I believe that we can contain and increase the volume of our bilateral trade by using the joint efforts of our government organs and businesses,” Li added.

Russian Deputy Prime Minister Igor Shuvalov suggests that after the dramatic depreciation the Russian currency would start recovering soon.

The Chinese ambassador said that trading in yuan is very forward thinking, and Russian businessmen are ready to trade in the Chinese currency.

In late 2014, Russia and China agreed a national currency swap deal to shore up the depreciating ruble and said they are working to increase the number of mutual payments in rubles and yuan.

China is Russia’s second-biggest trading partner after the EU, which hit a record $59 billion in the first half of 2014. The two countries are planning to increase bilateral trade to $200 billion by 2020.

READ MORE:

Russia-China trade hits record $59bn in first half of 2014

Russia’s Central Bank unexpectedly slashes rate to 15%, ruble reels

Ruble-yuan settlements will cut energy sales in US dollars – Putin

February 2, 2015 Posted by | Economics | , , , , | Leave a comment

Hundreds of thousands join Madrid anti-austerity rally

Wake Up From Your Slumber | January 31, 2015

At least 100,000 people poured into the streets of Madrid on Saturday in a huge show of support for Spain’s new anti-austerity party Podemos, riding a wave of popularity after the election success of its Greek hard-left ally Syriza.

A sea of demonstrators chanted “Yes we can!” and carried signs reading “The change is now” as they made their way from Madrid city hall to the central Puerta del Sol square in the first major march called by Podemos, which has surged ahead in opinion polls in a crucial election year.

Many in the crowd also waved Greek flags and the red and white flags of Syriza, an equally radical party whose stunning win at the polls last week has buoyed Podemos and its anti-establishment message.

“The wind of change is starting to blow in Europe,” Podemos leader Pablo Iglesias, a pony-tailed former university professor, said in Greek and Spanish as he addressed supporters at the so-called “March for Change”. “We dream but we take our dream seriously. More has been done in Greece in six days than many governments did in years,” the 36-year-old said.

Syriza beat mainstream Greek parties with vows to end painful austerity measures and corruption and Podemos hopes to emulate its success with a similar message in Spain’s general election due in November.

Organisers put the turnout in Madrid at 300,000 while police said some 100,000 people had massed in the Spanish capital.

February 1, 2015 Posted by | Economics, Solidarity and Activism | , | Leave a comment

Paradise Stolen

February 1, 2015 Posted by | Economics, Militarism, Timeless or most popular, Video | | Leave a comment

‘Ukraine is pretext for US lobby to go on with sanctions against Russia’

RT | January 30, 2015

Anti-Russian sanctions are imposed as a hard neo-conservative lobby in America puts pressure on some European countries to go along with these sanctions, and to persuade other countries to do the same, journalist Neil Clark, told RT.

RT: The EU has extended individual sanctions but refrained from new economic restrictions. Why haven’t they gone further do you think?

Neil Clark: Well, it’s interesting, isn’t it? I think this reveals to us the split that there is within the EU. Because what we’ve got really, we’ve got the hard-line countries led unfortunately by Britain, countries like Poland, Lithuania and some others who really want an extension of sanctions. And then we’ve got the more realistic members, the countries that actually want to see these sanctions lifted. Of course, we remember just three weeks ago Francois Hollande, the French President, said that the EU hoped that sanctions would soon be lifted. And of course that would have caused a lot of horror among the anti-Russian camp. So I think what we saw [on Thursday] is the evidence of a real split. We haven’t had these measures that some people wanted, for example some of the more anti-Russian elements have been calling for Russia to be banned from the SWIFT banking system. And what we’ve seen is an extension of the existing sanctions so I think that this reflects the split within the EU at the moment.

RT: Russia’s been under American and European sanctions since last March. How much has it helped resolve the Ukrainian crisis?

NC: Well I think it’s very important to realize…Ukraine is really a pretext for these sanctions. What we’ve got is an anti-Russian lobby, a neo-conservative lobby in America which has for years wanted to sanction Russia. You go back to 2003 and you got neocons calling for Russia to be sanctioned. …This campaign for Russia to be sanctioned stepped up after the events in Syria in 2013 when Russia blocked a war against Syria…And then the Ukrainian situation kicked off as it were.

So I think it’s very important to realize it really that it has really nothing to do with the situation in Ukraine. These sanctions are being imposed, I’m afraid, because of a hard anti-Russian lobby in America and pressure’s been put on certain European countries that are very close to America to go along with these sanctions and to persuade other countries to go along with these sanctions.

It’s interesting, isn’t it, that when we talk about Ukraine the offenses launched by the Ukrainian government forces coincided with visits of high-ranking US officials. And I think that there would have been quite a lot of concern among this anti-Russian lobby in Washington when Francois Hollande did say three weeks ago that he would like to see sanctions lifted.And then what happens? American officials go to Ukraine and we get another offensive against the people in the East. Then the fighting there is used as a pretext for continuing on with the sanctions.

RT: There have been calls for the West to arm the Ukrainian army. Is that on the cards?

NC: It all really depends on what happens in Europe. It is actually crucial at the moment. We saw last night that vote at the Council of Europe – just how divided it was: 35 to 34. So I think there are certain countries in Europe… Poland has been called the 51st state of America, Poland is following the American line, and Britain unfortunately is. But there are other countries, Austria for example, who don’t really want to go down this road, who want to have a return to proper working relations with Russia, because Europe needs Russia. Europe needs a good working economic relationship with Russia. So it’s all a battle going on within the European Union now as to which fraction will actually prevail… So I think the hawks would love to see hard weaponry going to Ukraine, would love to see this conflict continue. But the more sensible countries in Europe want to see an end to it and get back to normal relations with Russia which is in Europe’s interest.

RT: On Wednesday two Russian bombers were detected flying over the Channel which provoked an outcry in the British media as they supposedly ‘disrupted UK aviation’, though these bombers didn’t violate other countries’ borders. What do you think about this situation?

NC: Well I think it’s very interesting, isn’t it, that this big news story happened when the EU was discussing the issue of sanctions with Russia. And I think it happened before, when we had…this debate about whether to extent or deepen sanctions, increase sanctions on Russia…And headlines that come up, you know “Russian bombers over the Channel”, but then we found out that it wasn’t exactly as it was first reported. So I think that in this anti-Russian climate we‘ve got to be careful when we look at the news headlines. There is an agenda going on, there is anti-Russian lobby in the West unfortunately which wants to keep this going and to keep more excuses and pretexts for the sanctions on Russia. So I think we have got to keep cool heads and you know look at bigger context of the stories and it seems quite interesting that every time we are getting these discussions about sanctions on Russia, that this sort of incidents seem to occur.

READ MORE:

UK fighter jets scrambled to intercept Russian bombers

EU foreign ministers extend sanctions against Russian officials, E. Ukraine rebels

EU Parliament wants to keep Russia sanctions, set ‘benchmarks’ for lifting them

Follow Neil Clark on Twitter

January 31, 2015 Posted by | Deception, Economics, Mainstream Media, Warmongering | , , , , , , , , | Leave a comment

US Company’s Rice Plantation Pushes out Nigerian Communities

teleSUR | January 29, 2015

After years of working with the government to develop a sustainable community agriculture system, over 40,000 Nigerians will now have to fend for themselves after their land was given away to U.S. food company Dominion Farms, international human rights groups told teleSUR Thursday.

“The land in question is taken from the farmers,” Raymond Nyayiti Enoch from the Center for Environmental Education and Development (CEED) Nigeria told teleSUR via email.

“Added still, they will have no alternative fertile land of food production because the Federal Government Agency, the Upper Benue River Basin Development Authority (UBRBDA) have spent years developing the land and working with the farmers to boost food production in the way and manner beneficial to the farmers and their community,” he said.

A report was released Wednesday detailing a land grab case in the Gassol community in Nigeria’s northeastern Tabara State, where Dominion Farms has taken over a large swath of fertile community land in order to develop a 300-square-kilometer rice plantation.

The move comes as a shock to the communities, who were kept in the dark about the development decision and who had previously been working with the government to develop small-scale, community agriculture that they could depend on for food.

For years, the federal government has been trying to increase international investment in Nigeria’s agriculture sector in order to increase local food production and become a food exporter in order to increase GDP.

However, according to Enoch, potential economic benefits for the country come at a high price. The secretive way in which the government carried out the transaction with Dominion Farms could cause internal conflict, not only between the federal government and the tens of thousand of Nigerians affected by the sudden loss of land, but also with the government-led UBRBDA who the federal bodies involved excluded from the deal.

“It poses a potential conflict that would mar the production process even before its started,” said Enoch, who added that this will make it hard to attract further international investment.

Ange David, member of GRAIN, an international rights group that supports small farmers, said the government is taking the wrong tactic if its trying to improve its economy.

“Nigeria has a target to resolve the problem of employment, so how [will it] resolve it by this kind of ‘investment’ who will put more than 40,000 persons on the street or push [them] to leave their village and to join the urban zone like Abuja or Lagos,” David told teleSUR in an email, referring to two of the most populous cities in Nigeria that experience high poverty rates.

“As we know, the major occupation of the people of Taraba is agriculture,” said David. “So how can we imagine that this land grab can help that communities who will lose the land for ever.”

According to Enoch, this is the first major land grab in Nigeria, with several others “looming” across the country, including in the same state of Tabara.

Nigeria is one of the many countries around the world being affected by U.S. multinational companies and their land grabbing strategies.

In Sierra Leone, a western African nation embattled by Ebola, the people have joined forces to combat another virus, that of “multinational companies,” which have recently taken advantage of the poverty stricken communities to buy up their lands at negligible prices. This only benefits the corporations, leaving the population without the possibility of cultivating their own land.

Also see: Paraguay: Big Business Want to “Eliminate Farmers and Indigenous Communities” Says Activist

And: ​Israel, Land-Grabs and the ‘Wild West’

January 30, 2015 Posted by | Civil Liberties, Economics | , , , | Leave a comment

Cuba Détente

By ROBERT SANDELS and NELSON P. VALDÉS | CounterPunch | January 28, 2015

“I do not expect the changes I am announcing today to bring about a transformation of Cuban society overnight.”

— Barack Obama, Dec. 17, 2014

President Obama’s Dec. 17 statement announcing changes in U.S. Cuba policy was a mixture of historical truths and catch phrases drawn from the catalog of myths about Cuba and U.S. policy goals.

The first round of rule changes, announced by Jan. 16 by the Office of Foreign Assets Control (OFAC), was significant in the areas of trade and banking. At the same time, much of the language is drawn from the old justifications for regime change. (Let us put aside the hypocrisies in Obama’s speech such as the instruction — coming from a country where labor unions have been systematically destroyed — that “Cuban workers should be free to form unions.”)

In his speech, Obama reworked Einstein’s famous definition of insanity to support his partial abandonment of the half-century attempts to destroy the Cuban revolution. “I do not believe we can keep doing the same thing for over five decades and expect a different result,” said Obama. (If he means that the policy he has supported for six years is insane, what does that say about him?)

Nowhere in the speech did Obama renounce the longstanding U.S. commitment to regime change in Cuba or even acknowledge that it ever existed. While implicitly recognizing that the use of sanctions to achieve political results had failed, he continues to pursue them in Korea, Russia and elsewhere. One day after making the Cuba speech, he signed a bill imposing sanctions on Venezuela alleging that the government of President Nicolas Maduro had violated the human rights of protestors during violent anti-government demonstrations last February. The demonstrations were led by right-wing representatives of the Venezuelan elite who have long been backed by the United States.

We should note that the phrase about doing the same thing for over five decades and expecting a different result is incorrect. True, five decades ago the  Eisenhower administration broke diplomatic relations with Cuba, but since then his 10 successors, who account for 14 presidential terms, tried a variety of other “things” besides cutting diplomatic relations. There were the commando raid things launched from U.S. territory by Cuban exiles burning cane fields and sugar mills and the CIA-trained underground blowing up movie theaters and shopping centers. Then of course, there was the Bay of Pigs invasion thing by an exile expeditionary force landing in a swamp. That was a really big thing. With that failure came Bobby Kennedy’s Operation Mongoose thing, which was expected to be a let’s-get- it-right-this-time do-over of the Bay of Pigs disaster.

Since the 1962 Missile Crisis, there have been endless “democracy promotion” things financed by CIA front organizations. There have been clandestine anti-Cuban shortwave things broadcast from all manner of conveyances — yachts, balloons, zeppelins, airplanes. Leaflets, books and pamphlets of every kind were surreptitiously sent to Cuba in tourist luggage, in diplomatic pouches, hidden in hollow trees and even dropped from airplanes. Then there were the hit-and-run attacks from speedboats shooting up Russian ships, Cuban fishing boats, coastal hotels and hamlets.

Alan Gross, pretending to bring computer equipment to synagogues in Cuba that didn’t need them, is only a recent and not the last example of the often ludicrous plotting of various U.S. government agencies. Currently, the U.S. Agency for International Development (USAID) is at the forefront of the regime-change program. Obama did not mention the Gross thing but revealed that he would have proposed détente earlier had Cuba not imprisoned him.

Obama has it backwards. It’s not the “thing” that needs to be changed but the desired “result.” His new policy direction does not promise to end imperial bullying or to accept Cuban independence and sovereignty. Why else would he say the new thing he has in mind “will promote our values through engagement”?

Making the crime fit the punishment

To justify the long hostility toward Cuba, the United States has created a Cuba that never existed; a tropical gulag of indiscriminate terror where hordes of political prisoners rot while a cartoon dictator recites hours of his political poetry to a captive audience.

It is not surprising that the external and domestic opponents of the Cuban government, whether or not they are paid by the United States or its European partners, do not have their own vision of what a post-Castro society would look like. They and Obama are bound by the official blueprint drawn up by Congress in the Helms-Burton law of 1996, which essentially calls for a non-Cuban Cuba.

What would happen to employment, housing, health care and education in the new Cuba of Washington and Miami invention? Why is it that regime change is couched in fuzzy terms like “freedom” devoid of any economic, social or cultural content? And why is it that Obama criticizes the old policy because it “failed to advance our interests” without acknowledging what those interests really are?

Nothing in Obama’s speech corrects the half-century assault on truth. Many of the media commentaries on the Obama speech recite from the fantasies concocted over the years to mask the insanity of the policy. Here is just a sampling:

-Seventy-five Cubans dissidents were arrested in April 2003 in what is called the Black Spring. Ever since then they have been referred to as political prisoners or freedom fighters.

Actually, they were tried and convicted in a Cuban court for operating as paid agents of the pretend dissident movement funded by the United States. Roger Noriega, former assistant secretary of state for Western Hemisphere Affairs, conspired with James Cason, then head of the U.S. Interest Section in Havana, to openly encourage local dissidents hoping that the Cuban government would kick Cason out and give George W. Bush an excuse for closing the Cuban Interest Section in Washington and worsening bilateral relations. The scheme is what got the 75 arrested.

Among the 75 were journalists, few of whom ever practiced journalism. There also were pretend independent librarians paid by the United States to pose as part of a pretend grassroots defiance of a pretend Cuban control of what people could read.

A report to the American Library Association in 2001 described how one of the “independent” libraries in Cuba “consisted of four or five dusty shelves of books.” A woman in one of these libraries said, “No books had ever been confiscated [and] that she was not being intimidated or threatened by the government as a result of having this collection….The woman receives many of her books as well as payment for her activities from the U.S. and Mexico but would not identify individual sources. She said she was asked to operate the library because she is a dissident.”

-Cuba always blocks U.S. efforts to improve relations.

The example often cited is the shooting down in 1996 of two private exile planes near the Cuban coast. But Fidel Castro did not plot with well-known terrorist José Basulto, founder of Brothers to the Rescue, to have him organize provocative flights over the Cuban capital; Basulto did that on his own. It was the shootdown that led to enactment of the Helms-Burton law, which now prevents Obama from lifting the blockade. So, was it Fidel Castro or Helms, Burton and Basulto who torpedoed some supposed improvement in bilateral relations?

– The Cuban Five were spies.

Nearly every news outlet continues to refer to the five Cuban agents imprisoned in 1998 as “spies.” (The last three were released as part of the Obama opening.)

Actually, they were Cuban agents who infiltrated Brothers to the Rescue and other counterrevolutionary groups in Florida and then alerted the FBI to their plans for attacks against Cuba from the United States in violation of U.S. law.

– Alan Gross, who, was released from prison on “humanitarian grounds” as part of the Obama opening, was unjustly imprisoned in Cuba.

Actually, he was a sub-contractor working under a USAID grant and sent on five trips to Cuba to set up clandestine electronic networks as part of the U.S. subversion obsession and therefore correctly imprisoned. People who do that sort of thing in the United States can be tried as unregistered agents of a foreign power and sent to prison, just like Alan Gross.

Where did all those doctors come from?

The president’s positive comment on Cuba’s contribution to fighting Ebola in Africa has been noted as one of the inducements for change. Good, but Obama needs to explore what Cuba’s worldwide medical missionary program says about the island.

Imagine what it would take for the mythical Cuba the United States created, with its tiny population of the impoverished and the oppressed, to produce such quantities of surplus doctors, nurses and medical technicians who are now working in 66 countries. If Obama could admit that his mythical Cuba could never have done that, he might start setting the historical record straight and maybe ask the Cubans to advise him on Obamacare.

Today Cuba has 75,000 physicians or one per 160 inhabitants. Approximately 132,000 medical/health professionals have provided medical and dental attention to poor people abroad. At present, there are over 50,000 medical workers and no less than 25,000 doctors working outside of Cuba. In 2013, the health sector had 322,627 health professionals and technicians – that is, 28.9 per 1000 inhabitants — 76,836 physicians and 14,964 dentists as well as 88,364 nurses.

All of these accomplishments at home and abroad have taken place while the U.S. government persisted in enticing doctors, nurses and other professionals to leave Cuba. Remember, it was the people of Cuba who, we are incessantly told, make only $20 a month, who paid for their education even as Cuba confronted relentless U.S. financial and economic obstruction. Does Obama intend to reimburse the Cubans?

The United States calls the maze of economic and commercial sanctions an embargo. (The Cubans, referencing international law, call it a blockade.) Obama cannot unilaterally put an end to this kind of warfare but must wait for Congress to act. While the executive branch has the constitutional power to define foreign policy, Bill Clinton signed the Helms-Burton bill transferring control of Cuba policy to Congress. This was the second time he relinquished executive power over Cuba policy. The first was in 1992 when, running against George H.W. Bush, he announced his support for the Torricelli Act, which severely tightened trade restrictions. Obama’s Democratic predecessor made it necessary for him to go before Congress in his recent State of the Union message and ask Republicans to give back his foreign policy powers.

New rules

Clearly, the old rules lacked consistency. For example, when OFAC travel and remittance rules affecting Cuban-Americas were relaxed in the past, the justification was always to promote democracy and to separate Cubans from dependence on their government. But, when the same rules were made more severe, as under George W. Bush, the justifications were the same.

OFAC’s new regulations will materially ease the sanctions. Some of the changes sound like attempts through administrative regulations, to overturn fundamental sanctions in the Helms-Burton law. These include new rules allowing direct interbank transfers with the U.S. banking system, the use of U.S.-issued credit and debit cards and the elimination of “cash and carry,” which was a burdensome requirement for Cuba in paying for imports in convertible currencies.

Nevertheless, other changes may conflict with old practices. For example, will the U.S. Treasury Department protect credit/debit card companies from lawsuits by U.S. nationals seeking compensation from the Cuban government? The logistics of these transactions remains to be clarified.

Travel to Cuba can now be insured by U.S. companies and U.S. airlines could fly to Cuba from any city if market demand is sufficient instead of from a few government-selected cities. The major airlines could then reduce the advantage that the smaller companies enjoyed until now.

The travel ban has been relaxed even as OFAC preserves the principle of controlling travel for political purposes. The 12 categories of allowable travel remain in place although now without requiring a written specific license and organized travel and tours will be opened to more players.

Still, restrictions remain. Those who will be able to travel more freely are prohibited by a watchful government from having fun. New categories of travel are authorized under the new rules, “provided that the traveler’s schedule of activities does not include free time or recreation in excess of that consistent with a full-time schedule.”

Picking winners for a Cuban market economy

Trade sanctions have always had the effect of indirectly “managing” the Cuba economy. The new rules can determine who gets to invest in or trade with Cuba and which Cuban sectors will receive the most benefit. The majority of U.S. firms will be left out of the great Cuban market economy as envisioned in Washington.

Until now only agricultural and some medical and educational materials could be sold to Cuba. The new regulations allow for an increase in the kinds of goods that Cuba can import from the United States such as construction and agricultural tools and machinery. However, these can only be sold to non-state sectors such as co-ops and private entrepreneurs. Thus, certain sectors of the U.S. corporate world will be given preferential treatment.

OFAC is also giving Cuban entrepreneurs in the private sector an advantage over the state, but the Obama administration also wants U.S. information technology corporations to invest in Cuba’s telecommunications infrastructure, which means selling services, software and equipment to the Cuban government.

Rules applied to the banking sector raise significant questions. Financial institutions will be allowed to open accounts in Cuban banks to simplify transactions that are authorized by the United States and Cuba. But will Cuban banks be allowed to do the same in the United States?

Are these U.S. banks going to open dollar accounts in Cuban banks? Are they going to be held liable for breaking the restrictions that the United States Treasury Department imposed on dozens of banks for doing the same thing? Less than 24 months, ago the Bank of Nova Scotia, Commerzbak, Credit Suisse and many others were charged with billions of dollars in fines. Will the new rules be retroactively applied or is this a case of sorry — bad timing?

Since 1962, any ship that called on a Cuban port was prohibited from entering a U.S. port for at least six months. Now, ships transporting food, medicine, medical equipment and other materials may, in case of some emergency in Cuba, go to Cuba and then enter any U.S. port without prejudice as can any other ship owned by the same company. But Cuba is still not permitted to use U.S. currency in international transactions or purchase of technologies that might have more than 10 percent of U.S. components.

Some U.S. companies shall not suffer

Obama appears to have come around to where former Secretary of State Henry Kissinger was in 1972 when he limited the scope of economic sanctions to protect the interests of selected U.S. corporations. In April of that year, Kissinger approved export licenses for three U.S. automakers with subsidiaries in Argentina permitting them to sell cars to Cuba. The State Department issued a statement that read in part, “Our policy toward Cuba is unchanged. We did not wish to see these U.S. companies suffer as a result of U.S. policy.”

Stifling trade and financial transactions in Cuba by withholding all the utilities of capitalism was inconsistent with promoting a free market, which is mentioned 13 times in Helms-Burton.

Do the new regulations show that Obama is rejecting the old insanity and striking out toward true respect for Cuban sovereignty? While there is symbolic importance in resuming formal diplomatic relations, there is nothing in normal diplomacy that prevents Obama from carrying on regime change schemes by other means. As he said Dec. 17, “we can do more to support the Cuban people and promote our values through engagement.”

Relaxing the restrictions on travel is fine but does anyone find Obama’s reasoning for doing so a little suspicious? “Nobody represents America’s values better,” said Obama, “than the American people, and I believe this contact will ultimately do more to empower the Cuban people.”

Obama wants to transfer information technology to Cuba. Good. He could also transfer to dissidents the supplies of military-grade microchips that Alan Gross was imprisoned for doing.

The day for celebration should be postponed until we see whether the true potential of Cuba’s social and political experiment can proceed unobstructed by an enraged superpower and whether the United States is ready to work with Cuba in bringing a more constructive future to both countries. Maybe by then Cuba can show the United States how to form labor unions.

Robert Sandels lives in Mexico and writes on Cuba and Mexico.

Nelson P. Valdés is Professor Emeritus, University of New Mexico. For more information on Cuba visit: http://www.cuba-l.com

January 30, 2015 Posted by | Economics, Progressive Hypocrite | , , , , , , , | Leave a comment

New Greek govt furious over EU ‘unequivocal’ anti-Russia statement

RT | January 28, 2015

The new Greek government has spoken out against the EU partners over the statement that lays the blame for Saturday’s fatal attack on the Ukrainian city of Mariupol on Russia. Hungary, Slovakia, and Austria voiced similar objections earlier.

The government, headed by Prime Minister Alexis Tripras, said in a press release on Tuesday that “the aforementioned statement was released without the prescribed procedure to obtain consent by the member states, and particularly without ensuring the consent of Greece.”

“In this context, it is underlined that Greece does not consent to this statement,” Tsipras added.

He voiced his “discontent” in a phone call to EU foreign relations chief Federica Mogherini.

The EU statement was published on Tuesday morning, saying that all 28 EU leaders had agreed that Russia bears “responsibility” for a rocket attack on the city of Mariupol that left 30 people dead on Saturday.

Brussels objected that the Greek government had been informed about the statement on Russia and Ukraine, but no one had contradicted it until Tuesday.

European Council President Donald Tusk initiated the EU statement, and claimed he had called Tsipras and the “sherpas” – top officials taking care of EU issues in each leader’s office.

One EU diplomat reportedly said that Greece had attempted to remove the line blaming Russia for the Mariupol killing. Also, Austria, Hungary, and Slovakia tried, and failed, to “water down” the communiqué, the EU Observer website stated.

It’s the first time that such a situation – a retroactive abjuration of an EU line – has happened, EU Council official stressed.

Foreign affairs analyst Serja Trifkovich told RT that other countries might follow suit and oppose Brussels’ policies on the Ukrainian crisis.

“It’s very difficult in the EU to break the ranks. Now that Greece has made a move, I confidently expect that the Hungarians in particular, but perhaps also Slovakia and Cyprus, will [find] the courage to say no to the dictate from Brussels.”

The EU statement on Russia and Ukraine also urged for more sanctions, for considering “any appropriate action” against Moscow.

One of the measures being mulled is to block Russia from the global interbank SWIFT payment system.

Economist Max Fraad Wolff told RT that this would be a drastic measure.

“Let’s be fair and honest here: if you’re cut off from SWIFT, your ability to have any kind of normal business flow with the global commerce community is hampered.”

However, what he envisages is that “cooler heads will prevail” and that “we won’t see Russia cut off from the SWIFT system,” as it is “in very few parties’ long-term interests.”

January 28, 2015 Posted by | Economics, Video | , , , , | Leave a comment

1.5 Million Lifted Out of Poverty in Ecuador under Correa

teleSUR | January 25, 2015

The Ecuadorean National Secretariat for Planning and Development announced on Friday that between the years 2007 and 2014, more than 1.5 million people have been lifted out of poverty in the South American country. These years coincide with the administration of Rafael Correa and the policies of what is known as the Citizen’s Revolution, which recently celebrated 8 years of government.

“The model of government has radically changed,” said Pabel Muñoz, the national secretary for planning and development. The government of Rafael Correa has also dramatically reduced inequality in the country, with the gap between the richest and poorest in the country shrinking. In 2007 the richest earned 42 times that of the poorest, while in 2014 that was reduced to only 22 times.

The 1.5 million lifted out of poverty represents a drop of 14 percent in the poverty rate in the country, with extreme poverty dropping 8 points from 16.5 percent to 8.6 percent.

“Ecuador is a successful country because while reducing poverty, it reduces the gap between the rich and the poor. It has allowed for an increase in consumption and has not registered drops in social indicators. Instead people have climbed the social ladder,” said Muñoz.

These figures were published by the National Secretariat for Planning and Development.

Ecuador has also seen the biggest decrease in the region in the Gini coefficient — a figure that measures inequality in a country — dropping from 0.55 in 2007 to 0.48 in 2012, whereas the rest of Latin America saw a drop from 0.52 to 0.50.

The country has also seen important progress in the field of education, with primary school attendance increasing from 92 percent in 2007 to 96 percent in 2014. There has also been an increase of approximately 1 million more Ecuadoreans enrolled in public education.

Ecuador is now a leader in public investment in the region. Whereas in 2006 social investment constituted the equivalent of 3.6 percent of GDP, social investment is now the equivalent of 11 percent of GDP.

“This is just an example of the achievements of our government, which have been made possible because we have put capital at the service of the people and not the other way around,” said Muñoz.

January 26, 2015 Posted by | Economics | , , | Leave a comment

EU’s bailout program for Greece ‘dead’ – Syriza economist

RT | January 26, 2015

The bailout program, which the outgoing Greek government signed with the EU, is dead and will be renegotiated, Yiannis Milios, chief economy policy maker at the leftist anti-austerity party Syriza said after it won the country’s parliamentary election.

European Union Finance Ministers are scheduled to meet in Davos on Monday, but Milios said that Greece’s current finance minister, Gikas Hardouvelis, will attend the gathering only to “close pending cases of technical matters.”

“This program, which was agreed by Mr. Hardouvelis as representative of Mr. Samaras, is now dead,” he explained.

Syriza won over 36 percent of the vote on Sunday, forcing New Democracy – the party of Greek prime minister – Antonis Samaras, to settle for second with 28 percent.

Celebrating the victory, the party’s leader Alexis Tsipras announced to the cheering crowd that the era of ‘Troika’ debt inspectors is “over” for Greece.

“This is a historic victory of the Greek people. A new page has turned. It is a historic moment for the entire Europe. We turn a new page in our country. The Greek people take their future into their own hands,” Milios was also cited by ANA-MPA news agency.

The majority of Greek voters entered the election angry at the Samaras’s government for agreeing to the terms of 240 billion euro EU bailout, which included the severe cuts and tax hikes.

Syriza blamed austerity for deepening Greek recession, which pushed one third of the country’s population into poverty.

Before the vote, the leftist party’s leader, Alexis Tsipras, said that the terms of the bailout program must be renegotiated to give Greek economy more breathing space.

According to Milios, Syriza will form “the government of national salvation, is the government that will promote, defend and consolidate the interests of social majority but, at the same time, it is not just a message.”

Syriza has become the first anti-austerity party to form a government in Europe, with a Syriza economist saying that “it is the beginning of a major change for the entire” continent.

“Europe cannot continue with the deflation, recession, the rising unemployment and excessive debt. Greece leads the way, our country, our people are the pioneers of a huge change. We are all very emotional and happy,” he added.

READ MORE:

Greece’s anti-austerity Syriza party officially wins parliamentary elections

January 25, 2015 Posted by | Economics | , , , | Leave a comment

Anti-austerity Syriza wins Greek parliamentary election: Exit polls

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Leader of Greece’s left-wing Syriza party, Alexis Tsipras, casts his ballot at a polling station in Athens, January 25, 2015
Press TV – January 25, 2015

Exit polls show anti-austerity party, Syriza, has won Greece’s general election, which can affect the course of austerity policies in the European country.

The exit polls announced on Sunday suggest that the radical leftist party, Syriza, has won some 35.5 percent of the votes in the Greek parliamentary election.

The sweeping victory would enable the party to rule on its own, obviating the necessity of forming a collation with other smaller parties.

This is while Prime Minister Antonis Samaras’ conservative party, New Democracy, has secured around 25 percent.

Syriza is a fierce opponent of Greece’s bailout deal with the International Monetary Fund and eurozone countries, and has vowed to reconsider the austerity measures that have caused mounting dissatisfaction in the country.

The polls showed that the leftist party’s popularity has increased by 25 percent in the last seven years of the spiraling financial collapse.

Samaras had earlier warned that it would be crazy to elect Syriza as it “will turn all of Europe against Greece…. They don’t understand Europe, they don’t believe in Europe.”

Greece nearly went bankrupt in 2010. It survived, however, on international rescue packages. Athens has received 240 billion euros (USD 330 billion) in international loans in return for the enforcement of austerity measures.

January 25, 2015 Posted by | Economics | , , | Leave a comment