Monthly Archives: May 2012

Russian Police Make First Arrests Under New Anti-Gay Law

open quoteRussian police have detained two people in St. Petersburg for breaching a new law banning homosexual propaganda, the first arrests since the city’s legislature passed the controversial legislation in February.

The two gay rights activists were arrested on April 5 after holding placards reading “It’s normal to be gay.”

A court hearing is scheduled for April 6.

Under the new law, people convicted of promoting homosexuality or pedophilia among minors can be fined up to 5,000 rubles ($172) and organizations can be fined up to 500,000 rubles ($17,200).close quote (Read more)

Many U.S. Immigrants’ Children Seek American Dream Abroad

open quoteMany of these Americans have been able to leverage family networks, language skills and cultural knowledge gleaned from growing up in immigrant households.

Jonathan Assayag, 29, a Brazilian-American born in Rio de Janeiro and raised in South Florida, returned to Brazil last year. A Harvard Business School graduate, he had been working at an Internet company in Silicon Valley and unsuccessfully trying to develop a business.

“I spent five months spending my weekends at Starbucks, trying to figure out a start-up in America,” he recalled.

All the while, Harvard friends urged him to make a change. “They were saying: ‘Jon, what are you doing? Go to Brazil and start a business there!’ ” he said.

Relocating to São Paulo, he became an “entrepreneur in residence” at a venture capital firm. He is starting an online eyewear business. “I speak the language, I get the culture, I understand how people do business,” he said.

Calvin Chin was born in Michigan and used to live in San Francisco, where he worked at technology start-ups and his wife was an interior decorator. Mr. Chin’s mother was from China, as were his paternal grandparents. His wife’s parents were from Taiwan.

They are now in Shanghai, where Mr. Chin has started two companies — an online loan service for students and an incubator for technology start-ups.close quote (Read more)

Canada and U.S. singled out at summit over drugs, Cuba

open quoteCanada and the United States are finding themselves at odds with Latin American countries on two thorny issues — the war on drugs and the exclusion of Cuba — at a summit of hemispheric leaders in Colombia.

The event’s host, Colombian President Juan Manuel Santos, delivered a frank speech Saturday to the assembled heads of state and government in which he said it would be “unacceptable” to hold another Summit of the Americas without Cuba. The communist country was suspended from the Organization of American States, the main organizing body for the summits, in 1962.

Canada and the United States are the only two countries in the organization that have not lobbied to invite to Cuba to the events.close quote (Read more)

The Eurozone: A Moral-Hazard Morass by Philipp Bagus

Very comprehensive & insightful:

open quoteThe Misconstruction of the Euro

In the eurozone, there are fiscally independent sovereign governments coexisting with one (central) banking system. This is a unique construction as normally there is one government with its own banking system.

Governments can finance their deficits through the banking system and money creation. When governments spend more than they receive in tax revenues, they typically issue government bonds. The financial system buys an important part of these bonds by creating new money. Banks purchase these bonds because they can use them as collateral for new loans from the European Central Bank (more precisely the European System of Central Banks).

New money flows to governments that monetize their deficits indirectly. The cost of the indirect monetization is born by all users of the currency in the form of a reduced purchasing power, i.e., inflation. If there is one government per central-banking system, the whole nation bears the cost of the deficit monetization. However there are in the eurozone several governments running their own budgets.

Imagine that all governments but one have a balanced budget. The one deficit government can then externalize onto other nations part of the costs of its deficit in the form of higher prices. This monetary redistribution is the already-existing transfer union in the EU.

A government like the Greeks’, with high deficits, prints government bonds bought and monetized by the banking system. As a consequence, there is a tendency for prices to rise throughout the monetary union. The higher the deficit of a government in relation to the deficits of other countries, the more effectively it can externalize the costs of a deficit. The incentives of this setup are explosive as governments benefit from deficits higher than those of their eurozone neighbors.

The Stability and Growth Pact designed to contain these incentives utterly failed because governments themselves judge whether sanctions are imposed on them.

. . . .

The EMU provokes conflicts between otherwise peacefully cooperating nations. Redistribution is always a potential cause of social stress. The monetary redistribution in the EMU was not understood by the bulk of the population and, thus, did not cause conflicts. The bailouts, the rescue fund, and the interventions of the ECB that were ultimately caused by the setup of the EMU have made the redistribution between countries more obvious.
Murphy, Robert P.

$25.00 $22.00

Germans do not like maintaining the Greek welfare state. In the German media Greeks are called “liars” and “lazy.” The Greek media, in turn, demanded reparations for World War II. While the Germans do not like paying for the periphery, people in peripheral countries blame Germans for austerity measures. They feel that the unpopular measures are imposed on them by foreign (German) pressure. Within the EMU, these clashes and conflicts will continue and probably increase. Remaining in the EMU implies living in such an atmosphere and the risk of escalation.

To make an understatement, the costs of the Eurosystem are high. They include an inflationary, self-destructing monetary system, a shot in the arm for governments, growing welfare states, falling competitiveness, bailouts, subsidies, transfers, moral hazard, conflicts between nations, centralization, and in general a loss of liberty. In addition, these costs and risks are rising day by day. Considering all this, the project of the euro is not worth saving. The sooner it ends, the better. Alternatives exists. A return to sound money such as the gold standard would boost responsibility, harmony, and wealth creation in Europe.close quote (Read more)

the Cato Institute’s supposed “independence”

Professor Hoppe refers to their type as “beltway libertarians.”

open quoteMark Ames’s article in The Nation that mocks the Cato Institute’s supposed “independence” from its donors provides a few examples (among hundreds more, one can be sure) of what it takes to be a beltway “libertarian.” These include:

– Put the notorious John Yoo, defender of torture and the abolition of civil liberties during Bush’s “war on terra” on your Supreme Court Review editorial board.
– Publicly attack critics of the neocon “war on terra” as “terrorism’s fellow travelers.”
– Call for yet another war by invading Pakistan.
– Call for expanded FBI spying on Americans through warrantless wiretapping.
– Call on Congress to expand and strengthen the odious PATRIOT Act.
– Fire any genuine anti-interventionists on your foreign policy studies staff and force others to resign.
– Hobnob with the likes of Tom DeLay and Dick Armey.
– Pretend to be a “Gay Rights” organization while kissing up to people like Dick Armey who once called Barney Frank “Barney Fag.”
– Boast of how many of your former employees got appointments in the Bush administration.
– Consider the placement of the chief funder of the neocon movement and all of its warmongering, Rupert Murdoch, on your board to be the coup of the century.
– Have employees who give loads of money to Republican Party politicians.
– Hire many former GOP political hacks to pretend to be “policy analysts.”

Two things missing from Ames’s list are: “Wage a vicious and malicious smear campaign against Ron Paul”; and, “After ignoring Ron Paul, the most prominent critic of the Fed in the past thirty years, at your annual monetary conference for 29 years, you finally get around to inviting him to speak there since he has become so enormously popular and will attract a crowd to your boring and predictable conference that no one cares about.” Note: Dozens, and perhaps hundreds, of Fed bureaucrats have spoken at Cato’s annual monetary conference over the years.close quote (Read more)

a CIA official is able to publish a book glorifying his illegal acts

open quotehe New York Times reported that the CIA “in 2005 destroyed at least two videotapes documenting the interrogation of two Qaeda operatives in the agency’s custody, a step it took in the midst of Congressional and legal scrutiny about its secret detention program.” Documents obtained when the ACLU asked a federal judge to hold the CIA in contempt of court — for destruction of evidence which that judge had ordered be produced — subsequently revealed that the agency had actually “destroyed 92 videotapes of terror-suspect interrogations.” The videotapes recorded interrogations of detainees who were waterboarded and otherwise tortured. The original NYT article, by Mark Mazzetti, reported that “the decision to destroy the tapes was made by Jose A. Rodriguez Jr., who was the head of the Directorate of Operations, the agency’s clandestine service” (the NYT later reported that some White House officials had participated in the deliberations and even advocated the tapes’ destruction).

Destruction of these tapes was so controversial because it seemed so obviously illegal. At the time the destruction order was issued, numerous federal courts — as well as the 9/11 Commission — had ordered the U.S. Government to preserve and disclose all evidence relating to interrogations of Al Qaeda and 9/11 suspects. Purposely destroying evidence relevant to legal proceedings is called “obstruction of justice.” Destroying evidence which courts and binding tribunals (such as the 9/11 Commission) have ordered to be preserved is called “contempt of court.” There are many people who have been harshly punished, including some sitting right now in prison, for committing those crimes in far less flagrant ways than was done here. In fact, so glaring was the lawbreaking that the co-Chairmen of the 9/11 Commission — the mild-mannered, consummate establishmentarians Lee Hamilton and Thomas Kean — wrote a New York Times Op-Ed pointedly accusing the CIA of “obstruction” (“Those who knew about those videotapes — and did not tell us about them — obstructed our investigation”).

In 2008, Attorney General Michael Mukasey appointed a Special Prosecutor to determine if criminal charges should be filed. When I was writing my last book about the legal immunity bestowed on political elites even for egregious crimes, I actually expected that Rodriguez would be indicted and that his indictment would be an exception to the rule of elite immunity which I was documenting. As I wrote in my book, “even our political class, I thought, couldn’t allow lawbreaking this brazen to go entirely unpunished.” But I was quite wrong about that.

In November, 2010, the Obama DOJ — consistent with its steadfast shielding of Bush-era criminals from all forms of accountability — announced that the investigation would be closed without any charges being filed. Needless to say — given how subservient federal judges are to the Executive Branch in the post-9/11 era — the federal judge who had ordered the CIA to preserve and produce any such videotapes, Alvin Hellerstein, refused even to hold the CIA in contempt for deliberately disregarding his own order. Instead, Hellerstein — who, like so many federal judges, spent his whole career before joining the bench as a partner for decades in a large corporate law firm serving institutional power — reasoned that punishment for the CIA was unnecessary because, as he put it, new rules issued by the CIA “should lead to greater accountability within the agency and prevent another episode like the videotapes’ destruction.”

In other words, as I put it in a Guardian Op-Ed about Hellerstein’s CIA-protecting decision: the CIA has promised not to do this again, so they shouldn’t be punished for the crimes they committed. Aside from how difficult it is, given the agency’s history, to make that claim without triggering a global laughing fit, it is also grounded in a principle of leniency rarely applied to ordinary citizens. After all, most criminal defendants caught up in the life-destroying hell of a federal prosecution are quite unlikely to repeat their crimes in the future, yet that fact is no bar to punishing them for the illegal acts they already committed. But the CIA, of course, operates under a different justice system: one in which they are free to deliberately break laws and violate court orders with impunity.

Protected by the DOJ and Judge Hellerstein from any and all accountability for what he did, the CIA official who ordered the videotapes’ destruction, Jose Rodriguez, is now enjoying the fruits of his crimes. He just published a new book in which he aggressively defends his decision to destroy those tapes (“The propaganda damage to the image of America would be immense. But the main concern then, and always, was for the safety of my officers . . .I was just getting rid of some ugly visuals that could put the lives of my people at risk”). He also categorically justifies the CIA’s use of torture (“I am certain, beyond any doubt, that these techniques … shielded the people of the United States from harm and led to the capture of killing of Usama bin Ladin”) as well as the agency’s network of black sites (“Why not bring the detainees to trial?,” asks The Washington Post‘s Dana Priest in a review today of the book; Rodriguez’ answer in the book: “because they would get lawyered up, and our job, first and foremost, is to obtain information”). The title of the book: “Hard Measures: How Aggressive CIA Actions After 9/11 Saved American Lives.”

Rodriguez thus joins a long line of Bush officials — Bush, Cheney, Rumsfeld, Rice, Wolfowitz, et. al — who not only paid no price for the crimes they committed, but are free to run around boasting of those crimes for profit.close quote (Read more)

WikiLeaks lawyer, on ‘inhibited person’ travel list, stopped at airport

open quoteAustralian human rights lawyer and WikiLeaks supporter Jennifer Robinson appears to have been placed on a travel watch list and was prevented from leaving the UK this morning until approval was secured from the Australian High Commission.

Robinson was returning to Australia to speak at the same conference as Attorney-General Nicola Roxon tomorrow — the Commonwealth Lawyers’ Association’s Regional Law Conference — on the apt subject of “Lawyers in the firing line”. Roxon is giving an address on human rights.

Robinson was stopped when checking in at Heathrow early this morning Australian time and told she was an “inhibited person” and that approval from the Australian High Commission would be needed before she was allowed to proceed. She tweeted

Security guard: “you must have done something controversial” because we have to phone the embassy. “Certain government agencies” list.

Intriguingly, however, no Australian agency uses the term “inhibited person”. A DIAC spokesman told Crikey “the only mechanism that would restrict uplift of a person to Australia is the Movement Alert List (MAL).”close quote (Read more)

Congressional Report: US Stockpiling Weapons in Israel

open quoteA U.S. Congressional report reveals that the America military has stockpiled in Israel $800 million worth of Israeli weapons for emergencies, and the amount may grow by 50 percent.

The report from the U.S. Congressional Research Service was obtained by Israel Defense.

The equipment in the emergency reserves includes Israeli-made missiles, armored vehicles, and artillery ammunition.

The report noted that Israel and the United States have agreed to increase “strategic cooperation” since the 1980s, with the United States storing military equipment in Israel.close quote (Read more)

Cops Take School Kids’ DNA in Murder Case

open quoteSamples of DNA were collected without parental consent from students at a Sacramento, Calif., middle school in connection with the murder of an 8 th grade student who was found stabbed, strangled and beaten to death near the dugout of a local park.

The Sacramento Sheriff’s Department, which has been spearheading the investigation into the murder of Jessica Funk-Haslam, 13, said parental consent was not required in the DNA collection and interview of minors, several of whom were taken out of class during the day last week at Albert Einstein Middle School.

“These are interviews, not interrogations,” Sheriff’s Deputy Jason Ramos told ABCNews.com. “They are all consensual. Once it’s done, there is a mechanism in place for school administrators to notify parents.”

Ramos said the DNA collection was done at the time of the interview so efforts didn’t have to be “duplicated.” Ramos cautioned that the collection did not necessarily mean authorities had a DNA profile of the suspect.close quote (Read more)