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Moscow blames radicals for deadly clashes in Ukraine, EU leaders ponder sanctions against government

RT | February 19, 2014

Moscow believes the deadly clashes in Kiev were an attempt at a coup by radicalized protesters. EU leaders have quite an opposite view, calling for sanctions against Ukrainian government officials.

In a statement issued on Wednesday, Russia’s Foreign Ministry described the violence in Ukraine as an attempt at a coup d’etat and a “brown” revolution, accusing European politicians and institutions of “refusing to admit that all of the responsibility for the actions of radical forces in Ukraine rests with the opposition.”

“The Russian side is demanding the leaders on the streets to stop the violence in their country, immediately resume dialogue with the lawful government without threats and ultimatums,” the statement reads.

The Kremlin has also interpreted the violence in Ukraine as a coup attempt. President Putin’s spokesman said that “from the point of view of the Russian leadership”, all of the responsibility for the bloodshed could be laid at the door of “the extremist forces.”

Twenty-six people were killed overnight in the most violent clashes yet to have occurred between security forces and protesters since the opposition took to the streets of Kiev in November 2013. Ten of the casualties are Ukrainian police officers, who died of gunshot wounds, as did the rest of the victims, the Interior Ministry reported.

It added that up to 700 people were injured, more than 70 of those being policemen.

The Ukrainian Health Ministry officially confirmed that a journalist from the local Vesti newspaper, Vyacheslav Veremey, died in Kiev after a gunshot wound.

The Ukrainian Ministry of the Interior believes the casualties in the clashes could have been killed by the radicals, because the police do not use fire arms.

“Taking into consideration the nature of the dead civilians’ wounds and also the nature of the weapons, which have been confiscated, we can assume that these wounds were inflicted by violent protesters,” a statement at the Ministry’s website says. “Police officers and interior troops do not use fire arms. Law enforcers are only using non-lethal weapons.”

Some of the European leaders have not been convinced and have been quick to lay the blame for the violence on the Ukrainian president. The Swedish Foreign Minister said on Twitter that blood was on Yanukovich’s hands.

British Foreign Secretary William Hague was less emotional, but also accused the government of allowing the bloodshed to happen.

Several EU leaders have already spoken of introducing sanctions against the Ukrainian leadership, who they view as responsible for the crisis.

Germany, which previously refused to back Washington’s calls for sanctions against Ukraine’s government, could soon have a change of heart, according to German Foreign Minister Frank-Walter Steinmeier .

“Whoever is responsible for decisions that lead to bloodshed in the center of Kiev or elsewhere in Ukraine will need to consider that Europe’s previous reluctance for personal sanctions must be rethought,” he said, according to AP.

Polish Prime Minister Donald Tusk said on Wednesday he would be pressing European Union leaders to impose sanctions on Ukraine’s government.

“I will today hold talks with the leaders of the biggest EU countries and institutions, and persuade them to impose sanctions – personal and financial,” Tusk told a special session of the Polish parliament, Reuters reports. “I hope that such a stance from Poland will help the EU as a whole in taking fast decisions.”

Belgian Foreign Minister Didier Reynders has also supported sanctions against the Ukrainian government, according to Itar-Tass.

Earlier, US Ambassador to Ukraine Geoffrey R. Pyatt blamed Viktor Yanukovich for the escalation of the crisis.

“From this moment on, the USA holds Yanukovich responsible for everything that happens in Ukraine,” he told the Zerkalo Nedeli newspaper, following a meeting with Foreign Minister Leonid Kozhara.

Moscow believes that this accusatory position of the US could have, in fact, contributed to the escalation of violence Kiev has been witnessing, and, holding the president solely responsible for the crisis, is giving carte blanche to extremist radical forces out on the streets.

The Russian Foreign Ministry said on Tuesday it considered the crisis “a direct result of the permissive policy exercised by those western politicians and European structures, who from the very beginning turned a blind eye to the aggressive actions of the radical forces in Ukraine.”

February 19, 2014 Posted by | Video | , , , , , | Leave a comment

Victoria Nuland’s ‘Ukraine-gate’ Deceptions

349910_Victoria Nuland

By Daniel McAdams | Ron Paul Institute | February 9, 2014

“That’s some pretty impressive tradecraft,” said Assistant Secretary of State Victoria Nuland of the interception and leak of her now-infamous call to US Ambassador to Ukraine Geoff Pyatt. The call consisted of the two plotting to install a US puppet government in Ukraine after overthrowing the current, democratically elected government.

Tradecraft means “spycraft.” In other words, Nuland was crediting a foreign intelligence service with impressive use of technology to be able to hack into her call to the ambassador. Everyone knew she was talking about Russia, partly because the Administration had been blaming Russia from the moment the recording was made public.

However, Nuland knew all along that this was not the case, and she did nothing while the Administration continued to escalate the accusations against Russia.

Jay Carney, White House Spokesman, “It says something about Russia,” that they would tap the telephone call. State Department Spokeswoman Jan Psaki was even harsher, calling it “a new low in Russian tradecraft.”

But the telephone call between the two, we learned yesterday, was not conducted on a secure, encrypted telephone line that the State Department requires for such sensitive conversations and communication. Rather, the call was made over unsecured cell phones and thus easily intercepted with basic equipment that is widely available to anyone. Therefore it was not “impressive tradecraft” at all that led to the capture and release of the conversation.

Nuland and Pyatt obviously knew that at the time, being the two parties to the call. They then either sat by and allowed US government official one after the other accuse Russia of going to great lengths to hack the call without admitting this fact, or they did inform their superiors but Administration officials decided to ignore this critical fact and push accusations against Russia anyway. You never want a serious crisis to go to waste, as it is said.

RPI contacted a former State Department official to clarify security procedures for such a telephone conversation between high-level personnel. The official was clear:

I know well the seriousness of using an open line (aside from anodyne conversation) for high-level classified information that would clearly be embarrassing, if not damaging, not only for the US but also the EU. For using an open line for discussing highly sensitive national security matters, both [Nuland and Pyatt] should be reprimanded, at the very least.

So this was a serious security violation.

The former official continued:

Assuming the telecon was made on insecure line, I find it curious, if not thought provoking, that Nuland’s profanity has managed to overshadow both the apparent security violation as well as the potential damage to national security of the substance of the conversation itself.

Indeed, the fallout from “Ukraine-gate” is astounding but sadly not surprising. The mainstream media in the US has focused solely on the Russian angle (now discredited) and on the salty language and particularly the false supposition that Nuland was using sailor’s language to indicate a serious rift with the EU on Ukraine policy. In fact, US and EU policy toward Ukraine is identical: regime change. The dispute is merely over velocity and is therefore cosmetic rather than substantive: should we travel 100 miles per hour or only 75 miles per hour toward regime change?

As far as we have seen, there has been virtually no discussion of the substance of the telephone conversation in the US media. But the conversation was a confirmation of all theretofore denied accusations of US involvement in the current unrest in Ukraine. It was not simply US well-wishing toward the opposition parties. It was not simply a bit of advice and a wink toward the opposition. It was wholesale planning and brokering a post-regime change governing coalition in Ukraine, with the UN being ordered to come in and “glue” the deal.

More precisely, as the Oriental Journal points out:

They agreed to nominate Bat’kyvshchina Party leader Arseniy Yatseniuk as Deputy Prime Minister, to bench Udar Party leader Vitaly Klitschko from the game for a while and to discredit neo-Nazi Svoboda party chief Oleh Tiahnybok as “Yanukovych’s project”

Shortly after “Ukraine-gate” broke, Sergei Glazyev, advisor to Russian president Putin claimed that the US was spending $20 million per week on the Ukrainian opposition, including supplying the opposition with training and weapons.

Nuland replied that such claims are “pure fantasy.”

Perhaps, but that is just what Nuland had said previously about claims that the US was meddling in the internal affairs of Ukraine. And then the tape came out. That was just what she said about Russia’s “impressive tradecraft” in intercepting the telephone call. Then we discover that she was discussing highly sensitive issues over completely unsecured telephones.

Is the US training and funding the Ukraine opposition? Nuland herself claimed in December that the US had spent $5 billion since the 1990s on “democratization” programs in Ukraine. On what would she like us to believe the money had been spent?

We know that the US State Department invests heavily — more than $100 million from 2008-2012 alone — on international “Internet freedom” activities. This includes heavy State Department funding, for example, for the New Americas Foundation’s…

…Commotion Project (sometimes referred to as the “Internet in a Suitcase”). This is an initiative from the New America Foundation’s Open Technology Initiative to build a mobile mesh network that can literally be carried around in a suitcase, to allow activists to continue to communicate even when a government tries to shut down the Internet, as happened in several Arab Spring countries during the recent uprisings.

“Commotion Project.” What an appropriate name for what is happening in Ukraine.

It is not a far leap from the known billions spent on “democratization” in Ukraine, to the hundreds of millions spent on developing new tools for regime-changers on the ground to use against authorities in their home countries, to the State Department from the US embassy in Kiev providing training and equipment to those seeking the overthrow of the Ukrainian government.

The apparent goal of US policy in Ukraine is to re-ignite a Cold War, installing a US-created government in Kiev which signs the EU association agreement including its NATO cooperation language to effectively push the Berlin Wall all the way to the gates of Moscow and St. Petersburg.

NATO has expanded to central Europe, despite US assurances in the 1980s that it would not do so. The US rolled over Russia in its deceptive manipulation of a UN Security Council resolution on Libya to initiate an invasion. The US continues to arm jihadists seeking to overthrow the secular Assad government in Russia-allied Syria. The US and EU have absorbed the Baltics, leaving their large ethnic Russian populations to dangle in non-person limbo. The US and EU had all but absorbed Georgia. Now the US is clearly in the process of absorbing Ukraine, with its strategic importance to Russia, its proximity, and its nearly 10 million ethnic Russian minority.

Surely there is a point to where Russia will take steps to concretely limit its losses. In December Russian president Vladimir Putin said in a meeting with his Ukrainian counterpart Viktor Yanukovich that Russia and Ukraine should resume comprehensive military cooperation. Other bilateral defense agreements are already in place.

What would have to happen to trigger a Ukrainian request to its close neighbor for assistance putting down a bloody and illegal coup d’etat instigated by foreign governments? Will serious US miscalculation of Russian resolve over Ukraine lead to a tragedy of almost inconceivable proportions? What if this time Russia does not blink?

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February 9, 2014 Posted by | Deception, Progressive Hypocrite | , , , , , | Leave a comment

A Tale of Two Cities: Kiev and Washington

By Daniel McAdams | Ron Paul Institute | February 7, 2014

Euromaidan Nazi

In Kiev:

Violent protestors last month occupied three cabinet ministry buildings as they sought to overthrow the Ukrainian government. Protestors physically blocked the speaker of the Ukrainian parliament from taking his seat at the speaker’s podium for weeks. Then they blockaded the speaker of parliament in his own office, forcing him to escape out the window.

As the Ukrainian authorities attempted to restore order and evict protestors from government buildings, the US government threatened sanctions and more if the legally-elected government of Ukraine moved against those occupying government buildings.

Senator John McCain last week threatened unspecified “concrete” US action against Ukraine if there is any “brutal repression of the demonstrations.” In other words, if police forcibly remove those who have taken control of cabinet ministry buildings and blocked the main square of the capitol, McCain implies that “all options are on the table.”

Meanwhile in Washington:

A man attempted to climb the fence surrounding the White House today and was immediately apprehended. The White House complex was placed in full lockdown mode. According to press reports, “the area around the White House was shut down and reporters were not allowed to leave through one of the gates because of the incident.”

Last October, a distraught woman traveling with her one year old daughter bumped into a barricade in front of the White House before driving quickly and erratically toward Capitol Hill. She did not attempt to occupy any government buildings, but once she stopped her car, police shot her dead.

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February 9, 2014 Posted by | Deception | , , , | Leave a comment

US focused on destabilizing Ukraine: Ex-US official

Press TV – February 8, 2014

Having long displayed a “habit” of attempting to overthrow democratic governments, the United States now seems focused on destabilizing Ukraine, says a former US official, Press TV reports.

“The control freaks in Washington think that only the decisions that Washington makes and imposes on other sovereign countries are democratic,” wrote Paul Craig Roberts, who is a former assistant secretary of the US Treasury for economic policy, in an article on Press TV’s website on Friday.

“The world has witnessed this American self-righteousness for eons as Washington overthrows one democratic government after the other and imposes its puppet,” Roberts said, adding that “for the moment, Washington is focused on destabilizing Ukraine.”

Ukraine has been seeing anti-government protests since about two months ago. The unrest began after Ukrainian President Viktor Yanukovych refrained from signing a political and trade deal with the European Union (EU).

Clashes erupted several times between Ukrainian protesters and police forces during anti-government demonstrations. Arrests were made in the course of the protests as well.

In an effort to calm the political unrest, President Yanukovych invited all parties, including the opposition, to engage in dialog. However, the Ukrainian opposition leaders turned down his offer of negotiations.

He also offered top government positions to the opposition leaders, which they rejected. Yanukovych also pledged to change the constitution to reduce the president’s powers, following another decision to scrap an anti-protest law.

The unrest, nevertheless, continues unabated in Ukraine.

“Of all the violent protests that we have been witness to, the Ukrainian one is the most orchestrated,” Roberts said. “Ukraine has a democratically-elected government, but Washington doesn’t like it because Washington didn’t pick it.”

“Ukraine – or the western part of it – is full of Washington-funded NGOs, whose purpose is to deliver Ukraine into the clutches of the EU, where US and European banks can loot the country, as they looted, for example, Latvia,” he said, adding that, “The NGOs financed by Washington are committed to delivering Ukraine into Washington’s hands, where Ukrainians can become American serfs.”

On Thursday, Russian President Vladimir Putin’s economic advisor Sergey Glazyev described the situation in Ukraine as an attempted coup.

“According to our information, American sources spend $20 million a week on financing the [Ukrainian] opposition and rebels, including on weapons,” Glazyev told the Ukrainian edition of Russian newspaper Kommersant.

February 8, 2014 Posted by | Corruption, Deception | , , , | Leave a comment

‘F**k the EU’: Senior US State Dept. official caught in alleged phone chat on Ukraine

RT | February 7, 2014

A senior US State Department official has allegedly been caught giving an unexpected message to the EU while discussing Ukrainian opposition leaders’ roles in the country’s future government. The phone call was taped and posted on YouTube.

“F**k the EU,” Assistant Secretary of State for Europe Victoria Nuland allegedly said in a recent phone call with US ambassador to Ukraine Geoffrey Pyatt, as the two were discussing a deal to end the crisis in Ukraine.

The four-minute video – titled ‘Maidan puppets,’ referring to Independence Square in Ukraine’s capital – was uploaded by an anonymous user. The origin of the recording is not clear. The video was first reported in the Kyiv Post.

The US State Department did not deny the authenticity of the video and stressed that Nuland had apologized for the “reported comments.”

The conversation is mainly focused on Ukraine’s government and President Viktor Yanukovich’s offer last month to make opposition leader Arseniy Yatsenyuk the new prime minister and Vitaly Klitschko deputy prime minister.

“I don’t think that Klitschko should go into the government. I don’t think it is necessary. I don’t think it is a good idea,” a female voice – allegedly Nuland – said.

“In terms of him not going into the government, just let him stay out and do his political homework,” a male voice – believed to be Pyatt – replied. “In terms of the process moving ahead, we want to keep the moderate democrats together,” he said.

As Nuland sees it, Ukrainian opposition leader Arseniy Yatsenyuk should be in charge of the new government and Klitschko would not get along with him. “It’s just not going to work,” she said.

Nuland added that she has also been told that UN chief Ban Ki-moon is about to appoint the former Dutch ambassador to Kiev, Robert Serry, as his representative to Ukraine.

“That would be great I think to help glue this thing and have the UN glue it and you know, f**k the EU,” she said in apparent reference to their differences over policies.

“We’ve got to do something to make it stick together, because you can be pretty sure that if it does start to gain altitude the Russians will be working behind the scenes to try to torpedo it,” Pyatt replied.

US State Department spokeswoman Jen Psaki declined to comment on the tape’s contents, but did not deny its authenticity.

“I did not say it was not authentic,” she said, adding that Nuland had apologized to her EU counterparts for the reported comments.

Meanwhile, White House spokesman Jay Carney alleged that the fact that it had been “tweeted out by the Russian government, it says something about Russia’s role.”

In the conversation, it sounds like the two officials are playing a game of chess; strategizing on how to put together the government of another country, RT’s Marina Portnaya said while commenting on the report.

Foreign policy expert Nebojsa Malic told RT that even though Nuland apologized for the reported comments, she did not admit her fault in trying to overthrow the government in Ukraine.

“What she hasn’t apologized for is the plans to midwife a new government in Ukraine. In other words, she is apologizing for cussing up the EU, but she is not apologizing for trying to overthrow the government in Kiev, calling it popular democracy,” Malic said. “I don’t think anybody in the US establishment is sorry for what they are trying to do. I think they are very proud of it and they are going to pursue it.”

The leaked chat fuels earlier allegations that Washington is heavily meddling in the Ukrainian political crisis by manipulating the pro-EU opposition and helping it in its efforts to oust President Viktor Yanukovich.

Back in December, Victoria Nuland was spotted in the cradle of the anti-government protests – Kiev’s landmark Independence Square – distributing cookies to demonstrators. Later in the month, Senator John McCain arrived in Kiev to show his support for the opposition. Addressing protesters on Independence Square, he stated that Ukraine’s future was with Europe, adding that the country would “make Europe better.”

February 7, 2014 Posted by | Deception, Video | , , , | Leave a comment

Gunmen from Kiev attempted to seize Crimea’s Interior Ministry overnight – Russia

RT | March 1, 2014

Unknown armed men from Kiev have tried to seize the Crimean Interior Ministry overnight, Russia’s Foreign Ministry said in a statement. It’s as Crimea’s PM urges Russia to help cope with the crisis, ensuring “peace and calm” in the region.

“Thanks to the decisive action of self-defense squads, the attempt to seize the building of the Interior Ministry was derailed. This attempt confirms the intention of prominent political circles in Kiev to destabilize the situation on the peninsula,” the statement added.

“We believe it is extremely irresponsible to further pressure the already tense situation in the Crimea,” the ministry stated stressing its concerns over the latest developments in the region.

Earlier, Crimea’s Prime Minister Sergey Aksyonov declared that firearms have been used in the clashes in the region, Itar-Tass news agency reported. The PM said the local Ministers’ Council and Supreme Court came under an attack.

He said he would temporarily manage all national security forces in the region, including police, emergency services and the Interior Ministry.

“All chiefs of staff should follow my orders. As for those who disagree, I ask them to leave the service,” Aksyonov said in an urgent statement to the region’s security forces.

Aksyonov said he had asked Russia’s President Vladimir Putin to “help ensure peace and calm on the territory of the autonomous region.” The request, the premier said, was due to “the understanding of the responsibility for the life and safety of the residents.”

Russian MPs urge Putin to react to Crimea crisis

A source in the Kremlin administration replied, “Russia won’t ignore that address,” Russian news agencies reported. Later in the day, both chambers of the Russian parliament asked Putin to take measures to ensure stability in Crimea.

“The Duma Council adopted an appeal to the president of Russia, in which parliamentarians are calling on the president to take measures to stabilize the situation in Crimea and use all available means to protect the people of Crimea from tyranny and violence,” said Lower House speaker Sergey Naryshkin.

The State Duma also said that currently it is impossible to conduct legitimate and democratic elections in Ukraine due to actions of “radical forces.”

The Upper Chamber of the Russian Parliament admitted a limited number of Russian troops could be brought to Crimea to ensure safety, speaker Valentina Matvienko said.

“It’s possible in this situation, complying with a request by the Crimean government, even to bring a limited contingent of our troops to ensure the safety of the Back Sea Fleet and the Russian citizens living on the Crimea territory. The decision is for the president, the chief military commander, to make of course. But today, taking the situation into account, even that variant can’t be excluded. We need to protect the people,” Matvienko said.

In their turn, Ukraine’s self-proclaimed authorities urged Moscow to “withdraw troops and comply with bilateral agreements” and “resolve the crisis peacefully and politically,” interim President Arseny Yatsenyuk said.

This comes despite Russia’s repeated statements that all military operations in the region fall within in the framework of the agreement that concerns the Russian naval base in the Black Sea.

Although Western politicians and the media have expressed concern over Russia’s alleged involvement in Crimea, they have not been able to produce any solid evidence. A US State Department spokeswoman told a press conference they have no confirmation of “intervention” in Crimea.

So far, Moscow and the Crimean authorities have agreed to guard objects belonging to the Russian Black Sea Fleet, whose main base is located in Sevastopol, according to RIA Novosti.

Crimeans began protesting after the new self-proclaimed government in Kiev introduced a law abolishing the use of other languages in official circumstances in Ukraine. More than half the Crimean population are Russian and use only this language for their communication. The residents have announced they are going to hold a referendum on March 30 to determine the fate of the Ukrainian autonomous region.

February 1, 2014 Posted by | Aletho News | , , | Leave a comment

Ukraine PM Azarov submits resignation to ease tensions

Press TV – January 28, 2014

Ukrainian Prime Minister Mykola Azarov has tendered his resignation in an attempt to help resolve a two-month political crisis in the country.

“I have taken a personal decision to ask the president of Ukraine to accept my resignation from the post of prime minister with the aim of creating an additional possibility for a political compromise to peacefully resolve the conflict,” he said.

World boxing champion and opposition leader Vitali Klitschko said Azarov’s announced resignation was only “a step to victory”.

Moments ahead of the news, Ukraine’s parliamentarians began holding a special session over a controversial anti-protest law, which has sparked a wave of clashes between protesters and police forces over the past weeks.

In a televised statement, Justice Minister Olena Lukash said the lawmakers would discuss the government’s responsibility in the crisis, signaling that a cabinet reshuffle could be imminent.

Earlier on Monday, in a meeting between the government and the opposition, Ukrainian President Viktor Yanukovych and the opposition agreed to scrap the anti-protest law.

Yanukovych also pledged an amnesty for detained demonstrators if the barricades set up by them on the streets are taken down.

In a bid to resolve the crisis, the Ukrainian president also offered to bring the opposition into the government. Leaders of the opposition, however, have rejected the offer.

Ukraine has been rocked by anti-government protests since Yanukovych refrained from signing the Association Agreement with the European Union at the third Eastern Partnership Summit in the Lithuanian capital, Vilnius, on November 29, 2013.

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January 28, 2014 Posted by | Aletho News | , , , | Leave a comment

Ukrainian president intends to sign EU deal: Ashton

Press TV | December 12, 2013

EU High Representative for Foreign Affairs and Security Policy Catherine Ashton says Ukrainian President Viktor Yanukovych “intends to sign” an agreement with the European Union to enhance economic and political relations with the bloc.

Ashton said on arrival for a meeting in Brussels on Thursday after her visit to Kiev that Yanukovych “made it clear to me that he intends to sign the association agreement.”

She added that the short-term economic and financial issues Ukraine faces could be “addressed by the support that not only comes from the EU institutions, but actually by showing that he has a serious economic plan in signing the association agreement.”

Ashton also said that the signature of the deal would help to bring in the kind of investment that the Ukrainian president is in need of.

The executive body of the European Union had said on December 9 that Ashton would travel to Ukraine on December 10 on a two-day visit, with a European Commission spokesperson noting that the visit aims to “support a way out of the political crisis in Ukraine.”

Last month, Kiev refused to sign the agreement with the bloc in a move that triggered major street protests by the opposition supporters, who want Ukraine to become closer to the EU and distance itself from Russia.

Clashes erupted several times between the anti-government protesters and police forces during the demonstrations. Several arrests were made in the course of the protests as well.

In an effort to calm the political unrest, President Yanukovych invited all parties, including the opposition, to engage in dialog. However, Ukrainian opposition leaders on Wednesday turned down his offer of negotiations, calling for dismissal of his government and release of the detained protesters.

On the same day, the US State Department said it is considering sanctions against Ukraine if security forces intensify the crackdown on anti-government protesters in the country.

Ukrainian Prime Minister Mykola Azarov and Interior Minister Vitaly Zakharchenko had vowed earlier that police would not act against peaceful protesters.

December 12, 2013 Posted by | Economics | , , , , | Leave a comment

Ukraine Rejects The Brussels Club, Opts For Trade Over Empty Promises

By Daniel McAdams | Ron Paul Institute | November 22, 2013

On Thursday the Ukrainian parliament reject a final set of laws designed to pave the way for  Ukraine to join the EU’s “Eastern Partnership” program as an associate EU member. The surprise move cast a shadow on the Eastern Partnership signing ceremony scheduled to take place in Vilnius, Lithuania next week.

With this move, Ukraine has signaled an end to its interest in further formal association with the European Union and a preference for participation in the Customs Union of Belarus, Kazakhstan and Russia.

Perhaps sensing that a relationship with the EU would also involve endless meddling in internal Ukrainian affairs, the last straw for the Ukrainian parliament was a package of Brussels-demanded legislation which would have released from custody former prime minister Yulia “Gas Princess” Timoshenko, serving time on corruption charges.

The Western media marches nearly in lock-step condemning Russia’s role in “bullying” Ukraine into stepping away from the EU agreement. The Western media’s near-universal claim is that Ukraine is missing out on the deal of a century. But as usual there is far more to the story.

As European asset manager Eric Kraus points out, Ukraine opted for a reliable trading partner next door rather than an EU that is neither interested in importing Ukrainian products nor has the financial means to provide support for modernization of Ukraine’s economy.  So despite deceptive and biased Western reporting, Ukraine has settled on guaranteed trade rather than empty suggestions of possible aid.

Western media and governments cannot understand why Ukraine would not drop everything to join the Western club, the EU, but as Kraus explains in the above-linked interview:

The EU offers lots of words…what they don’t offer is what Ukraine needs, which is money…. Ukraine is not vital to the EU. It is part of a geopolitical chess game and they’d like to take that piece. But they are not going to spend a lot of money for it. They can’t. They’ve got Portugal, they’ve got Greece, pretty soon they’ve got France.

As a recent RPI report pointed out in detail, Westernized politicians from the former East like Poland’s Radek Sikorski pretend that their countries have benefited from EU membership when in fact it is predominantly the elites in these countries — often with nomenklatura ties — who have done particularly well for themselves while their countries’ economies have disintegrated. Sikorski’s Poland, for example, “enjoys” a 30 percent youth unemployment rate and a population whose only hope for the future is emigration to the UK.

As RPI contributor Christine Stone points out in the above recent report:

Cheap labour and cut-price prostitution will be Ukraine’s major exports if the Polish or Baltic model of European integration is anything to go by. Poland’s main ‘export’ is cash remittances from almost three million migrants scattered across the western EU, especially in Britain. Maybe Foreign Minister Sikorski hopes that Ukraine will replace Poland as the mega-El Salvador of Europe if it accedes to a visa-free association with the EU?

With Ukraine out of the EU’s “Eastern Partnership” program, the association includes just Georgia and Moldova, both economic basket-cases that make even Ukraine look like Switzerland. Good luck with that, Brussels.

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November 25, 2013 Posted by | Corruption, Deception, Economics | , , , , | Leave a comment

Greece intercepts mystery ship with 20,000 Kalashnikovs on board

RT | November 10, 2013

The Greek Coastguard has intercepted a Sierra Leone-flagged cargo ship with around 20,000 Kalashnikov assault rifles on board. The intended destination of the vessel, halted near the Imia islets in the eastern Aegean, remains unknown.

The cargo ship Nour M, intercepted on Thursday night, was taken to the island of Symi the following morning under the escort of Coastguard vessels, where it was soon thereafter led to the island of Rhodes.

The vessel’s Turkish captain and seven crew members, two of whom were Turkish and five of whom were Indian, were placed under arrest, coastguard sources told the Athens-Macedonian News Agency (ANA-MPA).

The cargo was both larger than that declared on the ship’s manifest, and the ship did not have the proper UN documents to deliver cargo to a conflict zone. The Greek Coastguard issued a statement saying attempts to catalogue the firearms and munitions on board were ongoing.

“The exact destination of the arms and ammunition has yet to be verified,” the coastguard statement read. Apart from the large quantity of firearms, the ship was also allegedly carrying a “large” quantity of explosives. A probe determined the ship had previously been used for drug trafficking.

Sources told ANA-MPA that the vessel had set sail from Ukraine, although the ship’s final destination remains unclear. Although the ports of Tartus in Syria and Tripoli in Libya had both been declared as destination ports to marine traffic systems, the Turkish Mediterranean port city of Iskenderun was declared as the destination port by the ship’s captain.

Ukraine’s Foreign Ministry said they are attempting to determine if the Nour departed from the country.

Maritime expert Mikhail Voitenko told Ukraine’s Vesti that the ship likely picked up its cargo in Istanbul.

“I think it was there for no other purpose than to get the weapons. It is also strange that it took the ship two weeks to get from Nikolaev [Ukraine] to Greece when the trip takes a maximum of five days. What it was doing and where it was doing it at the time: that is the question.”

Voitenko said the vessel was likely detained as the result of a tip-off.

“That we have this ship sailing through the Black Sea is strange, but through Greek [territorial] waters it went in a straight line, so police had no reason to detain the ship,” he said.

November 11, 2013 Posted by | Militarism | , , , , | Leave a comment

Ukraine: Europe’s Partner or Puppet?

By Christine Stone | Ron Paul Institute | October 20, 2013

As the second most populous former Soviet republic, Ukraine has seemed uncomfortable with its independence since 1991 and less than committed to making it work. The fundamental issue has always been, does the country remain entwined with its larger neighbour Russia, or does it succumb to the blandishments of the West and distance itself completely from a country with which it was co-joined for over 1000 years?

Within the USSR Ukraine was an economic power house with a large heavy industrial sector and flourishing agriculture based on its excellent ‘black soil’. To Western eyes, the typical Ukrainian was Nikita Khrushchev — a plump, jolly fellow; a bit crude, perhaps, but a good, stolid Soviet citizen. When Gorbachev arranged a referendum on preserving a reformed Soviet Union in March 1991, 76 percent of voters in Ukraine supported remaining in the USSR. Yet only eight months later 90 percent of them voted for independence. Some might say, how capricious! Could things have changed so quickly? They obviously did, meaning that the Communist apparatchiki jumped the sinking ship and the sheep followed.

Since then, the country has been ruled by a mixture of ex-Soviet officials and Komsomolski joined by a growing band of oligarchs, some who have grown rich from the oil and gas transportation business. Typical of this genre is Yulia Timoshenko, the former prime minister, now serving a prison sentence for embezzlement and therefore regarded as a saintly martyr by the EU oligarchs who regard ripping off the peasantry as far less of a sin than being imprisoned for it.

Making matters worse is the fact that Washington and its European allies have repeatedly involved themselves in Kiev’s dysfunctional politics for their own purposes not the country’s well-being. The country is a strategic linchpin mainly because of its Black Sea coast where the Russians still maintain an important military base in the Crimea, rented from Ukraine.

The Curse of Orange

In 2004, large sums of Western money were poured into Kiev to overturn the results of the country’s presidential election which had been won by Viktor Yanukovich, a mundane but competent bureaucrat from the more Russian-leaning eastern Ukraine. Fears were that he might be less amenable to the ‘reform agenda’ pushed by Brussels and Washington. For several weeks hordes of young people camped in a tent city in central Kiev alleging fraud and claiming that their chosen candidate, Viktor Yushchenko, was the real winner of the poll. They were joined by members of the European Parliament and supported by the U.S. embassy mainly in the form of orange paraphernalia – scarves, flags, T-shirts – which gave the movement its name: the Orange Revolution. At the time, Western-sponsored, allegedly spontaneous ‘colour revolutions’ were all the rage in the former USSR.

By fair means (and certainly foul) the Oranges prevailed. A repeat election was held and Viktor Yushchenko – inevitably – was the winner. He became president and Mrs Timoshenko, also a heroine of the Orange Revolution, was appointed his prime minister. The youth melted away from Kiev now that the free food and drink, provided by the revolution’s western funders, had disappeared. But, soon, all was not well. Yushchenko and his prime minster fell out and she was dismissed a year later, in 2005.

The falling out inside the Orange camp was a symptom of the fractious and feuding nature of Ukraine’s post-Communist elite. The Ukrainian parliament (Verkhovna Rada) was another woeful example of institutional failure. Increasingly dominated by supporters of the defeated (or deposed) President Yanokovich, as the Orange factions fell out and lost support in fresh parliamentary elections, it was the scene of regular fisticuffs and brawls between different factions – all shown on television. Mrs Timoshenko’s supporters were usually the first to throw the punches. It seemed that the Orange team’s promise of Western-style, cutting edge politics was a forlorn dream.

In 2010 the reviled Yanukovich was elected president – again. Allegations of his 2004 election fraud were forgotten. The U.S. and its European friends had made little attempt to rescue their Orange protégées, still, the fear lurked that the new president would lurch perilously towards Moscow. But, surprisingly, his first post-election visit was to Brussels and he seemed keen to pursue closer ties with the EU. However, relations with Russia did improve and Yanukovich began to contemplate Ukraine’s possible participation in the Russian-Belarusian-Kazakh Customs Union, a rival organisation to the EU – certainly when it came to seducing former Soviet republics into the fold. It is at this point that the latest Ukrainian drama – potentially, its most consequential – begins to unfold.

Enter Salvation: the EU beckons

The European Union aware that its members were enlargement weary came up with the idea of a ‘Union Lite’ –  the Eastern Partnership – to ease the remaining post-Soviet orphans into the club but, sort of, through the back door. Unveiled in 2009, the idea was heavily promoted by Poland, whose Foreign Minister, Radislav Sikorski, promised all sorts of free trade and other economic benefits to the six potential ‘partners’, including Ukraine – the main one being closer contact with the economic paradise inhabited by their neighbours, the Poles. In truth, any ‘economic benefits’ that did emerge would go to the West rather than the poverty-stricken ‘partners’ who would find that Brussels’ largesse was restricted to its cronies.

Like the rest of the bloc, Ukraine’s economy had suffered during the 1990s as its Soviet markets disappeared. Things began to improve during Leonid Kuchma’s presidency (and Yanukovich’s premiership). Although courted by the west, Kuchma did not completely shut down the country as required by the ‘Washington consensus’. In fact, with economic boom in places like China, Ukraine’s raw materials (iron and steel from the east) were in strong demand. The country’s agricultural base had survived and its farms were productive – unlike the Polish version in Sikorski’s Euro-paradise.

Immediately, things started to go wrong as the Orange team began their time in office by interfering in the gas transit arrangements with Russia. In early 2006, after much provocation, Moscow cut off gas supplies to the West through the Ukrainian pipeline system due to Kiev’s arrears of payment as well as its aberrant behaviour. Negotiations with Moscow followed, and fed up with the debts and messing around, the Russians started to charge the Ukrainians more for their domestic supplies of gas. This impacted the country’s energy-dependent, heavy industrial base which was about to be hit anyway by the economic collapse in 2008 which resulted in less global demand for iron and steel.

Despite a change of government in 2010 rather than cease trouble making and find a solution to disagreements with Moscow, it seems that the apparat in Kiev has decided to walk away and accept the West’s somewhat poisoned chalice. Even the apparently, Moscow-friendly Yanokovich. In August 2013, his government indicated that it would sign the partnership agreement in November 2013 during the forthcoming European summit in Lithuania (another lucky beneficiary of the European project).

Tug of War: Moscow Reacts

The Russians have reacted angrily, stating that Ukraine cannot be a member of both customs unions. Ukraine’s economy is heavily dependent on Russia which takes 35 percent of Ukrainian exports. As Vladimir Putin’s envoy Sergei Glazyev points out: “Millions of people working in the industrial sector, with which we cooperate and which has thousands of ties with Russia, want [Ukraine’s accession to the Customs Union]. These are rocket constructors, shipbuilders, chemists, metallurgists, and especially farmers and producers of food, whose products are not in demand anywhere else except Russia,” Glazyev said in an interview published in the Russian-language Ukrainian newspaper Vesti.[1]

If the agreement is finally signed, Moscow says it will impose tariffs on Ukrainian goods which are likely to be ‘dumped’ in Russia as Ukraine is flooded with imports from the EU. But, the Ukrainian elites aren’t worried by any of this. They yearn to belong to the Euro club with its juicy perks and prospects for further self-enrichment. As Glazyev noted: “Numerous political scientists and experts, who have fed on European and American grants for 20 years … are doing a certain political job on their clients’ behalf. In addition, a whole generation of diplomats and bureaucrats has appeared after the years of the ‘orange’ hysteria, who are carrying out an anti-Russian agenda”.[2]

Having embraced several economic basket-cases (including the over-hyped Poland) since 2004, what is in the deal for Europe? Yes, they can flood Ukraine with food and drink (thus destroying the country’s still productive agricultural base) and they can – for a price – plaster the country with European super and hyper markets. For Tesco, Aldi & co. a population of 48 million is virgin territory – a boost for Tesco whose eastern European outlets have lost money in the last few years. Otherwise, after 22 years of ‘freedom’ there is precious little left for the much vaunted ‘strategic foreign investor’ to gobble up.

Cheap labour and cut-price prostitution will be Ukraine’s major exports if the Polish or Baltic model of European integration is anything to go by. Poland’s main ‘export’ is cash remittances from almost three million migrants scattered across the western EU, especially in Britain. Maybe Foreign Minister Sikorski hopes that Ukraine will replace Poland as the mega-El Salvador of Europe if it accedes to a visa-free association with the EU?

For Ukraine’s future, the immediate and most troubling issue is energy: the country is haunted by its fragile status as a transit route to Western Europe and its own parlous ability to pay the world market price for fuel .

In 2010 a joint Russian-German pipeline began to carry Russian gas to Europe under the Baltic sea. Moscow’s decision to redirect energy exports to the west had been driven by ongoing problems with the Ukrainian route, mainly caused by the Orange politicians (and encouraged by the west). By 2013 Ukraine’s revenues for transporting Russian gas to Europe had nearly halved. Meanwhile, under pressure to ‘distance’ themselves from their evil neighbour, in 2012 Ukraine started to import some gas (at subsidised prices) from Germany’s Ruhrgas. Presumably, this was Russian gas going on a rather roundabout journey but, for good, geopolitical reasons.

Ukraine: an economic basket case?

However, the much promoted energy independence might be achieved – at least, sometime in the future. In 2013, with hubris at fever pitch, various regions in Ukraine began signing contracts with companies like Chevron and Royal Dutch Shell for shale gas exploration. Initial tests have indicated large deposits around the country. Perhaps, finally, the Ukrainians would be free from Russian imports, although exactly when is unknown (2050 is one date bandied about). And, will the domestic customer benefit from lower prices, especially when the profits will go to Chevron & co.? None of this concerns the greedy mix of energy companies and Ukrainian politicos, noses already in the trough and snouts sniffing for more kickbacks.

But, maybe the Europeans have failed to take note of some of the risky business practises encountered by Western investors in Ukraine. According to the Financial Times “Swissport, for example, claims to have spent much of this year struggling to reverse a court ruling that stripped it of a 70 per cent stake in Ukraine’s largest air cargo handler. It won a victory in Ukraine’s highest commercial court on October 2, but could face further legal challenges. London & Regional Properties recently lost management control over Globus one of Ukraine’s top shopping malls. Even McDonalds has been caught up. The fast food giant claims that raiders are trying to seize ownership of one of its 75 local restaurants. Other investors whose assets have faced legal threats in Ukraine steelmaker ArcelorMittal , the biggest foreign investor in the country.[3]

Sometimes, pressures appear to be applied by state law enforcement itself. In two separate incidents last month, fraud investigators raided and temporarily paralysed the local subsidiary of Italy’s Unicredit bank; at Vitmark Ukraine, a juice manufacturer owned by private equity fund Horizon Capital, documents, computers and other items were seized.

On top of this, Ukraine is in debt and, again, poised to go cap in hand to the IMF for further loans. At the end of September the cost of insuring 3-year Ukrainian debt hit a three year high. Among emerging markets, the country has one of the biggest burdens of short-term external debt relative to foreign exchange reserves. Its reserves fell by about 30 per cent to less than $20bn in the year to the end of August. According to Moody’s, this provides 2.3 months’ import coverage. The ratings agency said in its downgrade note”.[4]

Bizarre, then, that while he was in Germany in May 2013, President Yanukovich boasted that the Partnership Agreement “will have a substantial positive influence on the European economic situation and will help Europe emerge from the crisis”. As one commentator pointed out “even without any trade liberalization Ukraine is buying more and more German goods, but it essentially has nothing to export there. Under these circumstances, offering itself as the “saviour of Europe” is a bit presumptuous”.[5] Germany isn’t going to promote anything in Ukraine that might smack of competition (in heavy industry, for example). Instead various ‘green’ projects were floated around at the May meeting.

So, Ukraine is broke; its goods are of an inferior quality and unlikely to appeal to the European consumer; its business practices (including their legal underpinning) are dubious. Why bring the EU closer to such a place when over twenty years of western involvement has not led to any improvement? The answer, as everyone really knows, is political. This is the first really promising opportunity to drag Ukraine away from Russia, a country with which is shares a long border, a common language and historical experience as well as family and religious ties. But, the hatred felt in the west for Mr. Putin has only intensified with his intervention to stop an attack on Syria. Sealing Ukraine’s ties with Europe are a good way of giving him a bloody nose.

The deal still needs to be finalised and this seems to pivot upon Yanukovich agreeing to Brussels’ demand that Yulia Timoshenko, jailed in 2011 for embezzlement and abuse of office, be freed. The Europeans see her plight as a human rights tragedy almost on a par with Nelson Mandela’s incarceration on Robben Island, ignoring the fact that this is the second time she has been imprisoned for economic crimes – in 1994 she was convicted of money laundering and extortion. Many Ukrainians find this sanctification hard to take. They are more likely to accept Matthew Brzezinski’s description of her modus operandi as the ‘gas princess’ in his book Casino Moscow.[6] The incarceration of a rich and powerful lady with a shady past is what seems to separate the Ukrainians from economic nirvana in the EU’s embrace.

As of this writing, Timoshenko’s release looks to be imminent, as Yanukovich has indicated his support for parliamentary action to allow her to be released from prison and sent to Germany, ostensibly for medical treatment.

Why does all this matter? Several basket cases have been absorbed into the EU already but with many negative repercussions, never mentioned by politicians like Sikorski. As people in former Soviet Bloc countries have fled the poverty resulting from membership of the EU, Ukrainians will also flee to western Europe once the ‘free trade’ rules kick in and visa rules are liberalised. How much more migrant labour can countries like Britain support? The Russians seem to be much angrier by Ukraine’s European aspirations than they were when the Baltic States joined NATO and EU. At the recent Yalta Conference where old globalist hands like Tony Blair and Bill Clinton urged Ukraine forward to the promised land, Putin’s envoy, Glazyev (also present) warned that signing the pact – rather than entering a Russian customs union – could tip Ukraine into default.

If the EU’s embrace of Ukraine precipitates a crisis in the debt-laden country with its currency worthless and Russia breathing down its neck, won’t Brussels feel obliged to ‘rush forward’ to save Ukraine by offering immediate entry into the EU? In the past, admission to NATO has preceded EU accession in ex-Communist countries. But when Ukrainians have been polled on joining an anti-Russian alliance, with them in the front-line, they have rejected the idea. So now the double-headed Western political monolith in Brussels is pushing EU accession first, to be followed by membership of NATO down the road.

With its shaky economy and political turmoil in several EU and euro member states, is this what the European Union really needs? With Russia now showing a more robust approach to what it sees as its ‘national interest’ who knows whether what seems on the surface to be an economic spat could lead to something deadlier. The EU’s claim to be a stabilising force for peace on the European continent looks set to collide with its geo-political ambition to do down the Russian state regardless of the costs to ordinary people inside the EU, Ukraine and Russia itself.

[1] “Putin’s aide calls opinion that all Ukrainians want European integration “sick self-delusion”” Interfax, 21st August, 2013  http://www.interfax.co.uk/ukraine-news/putins-aide-calls-opinion-that-all-ukrainians-want-european-integration-sick-self-delusion-2/

[2] ibid

[3]Roman Olyarchik: “EU beckons but investors still getting a rough ride”  Beyond Brics Blog, Financial Times, 3rd October, 2013 http://blogs.ft.com/beyond-brics/2013/10/03/ukraine-eu-beckons-but-investors-still-getting-a-rough-ride/#ixzz2gfuGquIJ

[4] [4]Luke Smolinski “Ukraine:investors get nervous” Beyond Brics Blog, Financial Times, 26th September, 2013http://blogs.ft.com/beyond-brics/2013/09/26/ukraine-investors-get-nervous/#ixzz2gfuSIfSP

[5] Natalya Meden, “What Lies Behind the Idea of the EU-Ukraine Association Agreement”  Strategic Culture Foundation,  26th June, 2013  http://www.strategic-culture.org/news/2013/06/26/what-lies-behind-idea-eu-ukraine-association-agreement.html

[6] For, Matthew Brzezinski on Timoshenko, see for example: “City reaps benefits of native sons. Dnepropetrovsk is home to 220 national politicians. That is too cozy — and too influential — a relationship to suit many Ukrainians.” Wall Street Journal, 28th February, 1997

Christine Stone is a UK-based lawyer and journalist. She was Director of the British Helsinki Human Rights Group. She is the author most recently (with RPI Academic Advisor Mark Almond) of Post-Communist Georgia: A Short History.

October 21, 2013 Posted by | Economics, Militarism, Timeless or most popular | , , , , , , | Leave a comment

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