Our global, super-rich, elite "cabal" have at least $21 TRILLION tax-free stashed away

truly staggering but not at all surprising... merely a confirmation of  what we have already assumed to be true...
 
from the guardian (emphases added)...

A global super-rich elite has exploited gaps in cross-border tax rules to hide an extraordinary £13 trillion ($21tn) of wealth offshore – as much as the American and Japanese GDPs put together – according to research commissioned by the campaign group Tax Justice Network.

James Henry, former chief economist at consultancy McKinsey and an expert on tax havens, has compiled the most detailed estimates yet of the size of the offshore economy in a new report, The Price of Offshore Revisited, released exclusively to the Observer.

He shows that at least £13tn – perhaps up to £20tn – has leaked out of scores of countries into secretive jurisdictions such as Switzerland and the Cayman Islands with the help of private banks, which vie to attract the assets of so-called high net-worth individuals. Their wealth is, as Henry puts it, "protected by a highly paid, industrious bevy of professional enablers in the private banking, legal, accounting and investment industries taking advantage of the increasingly borderless, frictionless global economy". According to Henry's research, the top 10 private banks, which include UBS and Credit Suisse in Switzerland, as well as the US investment bank Goldman Sachs, managed more than £4tn in 2010, a sharp rise from £1.5tn five years earlier.

The detailed analysis in the report, compiled using data from a range of sources, including the Bank of International Settlements and the International Monetary Fund, suggests that for many developing countries the cumulative value of the capital that has flowed out of their economies since the 1970s would be more than enough to pay off their debts to the rest of the world.

Oil-rich states with an internationally mobile elite have been especially prone to watching their wealth disappear into offshore bank accounts instead of being invested at home, the research suggests. Once the returns on investing the hidden assets is included, almost £500bn has left Russia since the early 1990s when its economy was opened up. Saudi Arabia has seen £197bn flood out since the mid-1970s, and Nigeria £196bn.

"The problem here is that the assets of these countries are held by a small number of wealthy individuals while the debts are shouldered by the ordinary people of these countries through their governments," the report says.

The sheer size of the cash pile sitting out of reach of tax authorities is so great that it suggests standard measures of inequality radically underestimate the true gap between rich and poor. According to Henry's calculations, £6.3tn of assets is owned by only 92,000 people, or 0.001% of the world's population – a tiny class of the mega-rich who have more in common with each other than those at the bottom of the income scale in their own societies.

"These estimates reveal a staggering failure: inequality is much, much worse than official statistics show, but politicians are still relying on trickle-down to transfer wealth to poorer people," said John Christensen of the Tax Justice Network. "People on the street have no illusions about how unfair the situation has become."

the bottom line is that our super-rich elites owe allegiance to no one... their citizenship is merely a formality maintained for appearances and to facilitate crossing those pesky borders... the rule of law and accountability is for the unwashed masses...

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Chomsky: Our super-rich elites are perfectly happy if your "significant other" is a TV set

from the guardian...

Noam Chomsky: 'The Occupy movement just lit a spark'

'If you're rich and powerful you never have enough'. In this full-length interview, Gary Youngetalks to US historian and philosopher Noam Chomsky about why the Occupy movement is so important, where it goes from here, and how it will affect the election.

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Given the travesty that is American justice, WikiLeaks' founder is entitled to seek asylum and well-advised to fear extradition

more on julian assange from glenn's op-ed in the guardian...

For several reasons, Assange has long feared that the US would be able to coerce Sweden into handing him over far more easily than if he were in Britain. For one, smaller countries such as Sweden are generally more susceptible to American pressure and bullying.
For another, that country has a disturbing history of lawlessly handing over suspects to the US. A 2006 UN ruling found Sweden in violation of the global ban on torture for helping the CIA render two suspected terrorists to Egypt, where they were brutally tortured (both individuals, asylum-seekers in Sweden, were ultimately found to be innocent of any connection to terrorism and received a monetary settlement from the Swedish government).

[...]

Assange's fear of ending up in the clutches of the US is plainly rational and well-grounded. One need only look at the treatment over the last decade of foreign nationals accused of harming American national security to know that's true; such individuals are still routinely imprisoned for lengthy periods without any charges or due process. Or consider the treatment of Bradley Manning, accused of leaking to WikiLeaks: a formal UN investigation found that his pre-trial conditions of severe solitary confinement were "cruel, inhuman and degrading", and he now faces capital charges of aiding al-Qaida. The Obama administration's unprecedented obsession with persecuting whistleblowers and preventing transparency – what even generally supportive, liberal magazines call "Obama's war on whistleblowers" – makes those concerns all the more valid.

No responsible person should have formed a judgment one way or the other as to whether Assange is guilty of anything in Sweden. He has not even been charged, let alone tried or convicted, of sexual assault, and he is entitled to a presumption of innocence. The accusations made against him are serious ones, and deserve to be taken seriously and accorded a fair and legal resolution.

But the WikiLeaks founder, like everyone else, is fully entitled to invoke all of his legal rights, and it's profoundly reckless and irresponsible to suggest, as some have, that he has done anything wrong by doing so. Seeking asylum on the grounds of claimed human rights violations is a longstanding and well-recognized right in international law. It is unseemly, at best, to insist that he forego his rights in order to herd him as quickly as possible to Sweden.

the u.s. could much better use its resources to indict and prosecute the criminal bankers who are plundering our country and the planet... 

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Greece: If there had not been an explosion of anger, I would have felt adrift in a sea of depression

john holloway in the guardian via information clearing house......

Greece shows us how to protest against a failed system

I do not like violence. I do not think that very much is gained by burning banks and smashing windows. And yet I feel a surge of pleasure when I see the reaction in Athens and the other cities in Greece to the acceptance by the Greek parliament of the measures imposed by the European Union. More: if there had not been an explosion of anger, I would have felt adrift in a sea of depression.

The joy is the joy of seeing the much-trodden worm turn and roar. The joy of seeing those whose cheeks have been slapped a thousand times slapping back. How can we ask of people that they accept meekly the ferocious cuts in living standards that the austerity measures imply? Do we want them to just agree that the massive creative potential of so many young people should be just eliminated, their talents trapped in a life of long-term unemployment? All that just so that the banks can be repaid, the rich made richer? All that, just to maintain a capitalist system that has long since passed its sell-by date, that now offers the world nothing but destruction. For the Greeks to accept the measures meekly would be to multiply depression by depression, the depression of a failed system compounded by the depression of lost dignity.

The violence of the reaction in Greece is a cry that goes out to the world. How long will we sit still and see the world torn apart by these barbarians, the rich, the banks? How long will we stand by and watch the injustices increase, see the health service dismantled, education reduced to uncritical nonsense, the water resources of the world privatised, communities wiped out and the earth torn up for the profits of mining companies?

The attack that is so acute in Greece is taking place all over the world. Everywhere money is subjecting human and non-human life to its logic, the logic of profit. This is not new, but the intensity and breadth of the attack is new, and new too is the general awareness that the current dynamic is a dynamic of death, that it is likely that we are all heading towards the annihilation of human life on earth. When the learned commentators explain the details of the latest negotiations between the governments on the future of the eurozone, they forget to mention that what is being negotiated so blithely is the future of humanity.

boy, does he get that right... money has taken over the world...

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The power-brokers in the global economy are finally realising that something has gone badly awry

a thoughtful, well-written op-ed in yesterday's guardian...

We can now see the true cost of globalisation

The worldwide public realises there is something deeply wrong with today's world economic system

i particularly like the closing comment...

[A]s we sift through the wreckage of the Great Recession, perhaps it's finally time to heed Marx's words, and stand up for workers everywhere.

i would re-word that just a bit to "it's time to stand up for the common good of all peoples everywhere"...

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Egyptian army major: I’m supposed to die for these people, not them die for me

it makes sense that there would come a point when even the most establishment and status quo among us can longer stand by while our fellow citizens are brutally repressed... i'm wondering when that realization will fully hit our militarized police here in the u.s...

the guardian...

Speaking next to an open window that looks out on to Tahrir Square, Major Tamer Samir Badr says he now feels it is his duty to protect 'these people who are fighting for our rights'. The 37-year-old claims many officers have been attending the protests secretly in civilian clothes.

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What's next for OWS

from the guardian...

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When Obama looks in the mirror in the morning, I don't think he sees a reflection

there's no reflection because there's nobody there...

glenn in the guardian...

Barack Obama is gutting the core principles of the Democratic party

[...]

[I]t is now beyond dispute that President Obama not only favours, but is the leading force in Washington pushing for, serious benefit cuts to both social security and Medicare.

This week, even as GOP leaders offered schemes to raise the debt ceiling with no cuts, the White House expressed support for the Senate's so-called "gang of six" plan that includes substantial cuts in those programmes.

The same Democratic president who supported the transfer of $700bn to bail out Wall Street banks, who earlier this year signed an extension of Bush's massive tax cuts for the wealthy, and who has escalated America's bankruptcy-inducing posture of Endless War, is now trying to reduce the debt by cutting benefits for America's most vulnerable – at the exact time that economic insecurity and income inequality are at all-time highs.

Where is the "epic shitstorm" from the left which Black predicted? With a few exceptions – the liberal blog FiredogLake has assembled 50,000 Obama supporters vowing to withhold re-election support if he follows through, and a few other groups have begun organising as well – it's nowhere to be found.

Therein lies one of the most enduring attributes of Obama's legacy: in many crucial areas, he has done more to subvert and weaken the left's political agenda than a GOP president could have dreamed of achieving. So potent, so overarching, are tribal loyalties in American politics that partisans will support, or at least tolerate, any and all policies their party's leader endorses – even if those policies are ones they long claimed to loathe.

This dynamic has repeatedly emerged in numerous contexts. Obama has continued Bush/Cheney terrorism policies – once viciously denounced by Democrats – of indefinite detention, renditions, secret prisons by proxy, and sweeping secrecy doctrines.

He has gone further than his predecessor by waging an unprecedented war on whistleblowers, seizing the power to assassinate U.S. citizens without due process far from any battlefield, massively escalating drone attacks in multiple nations, and asserting the authority to unilaterally prosecute a war (in Libya) even in defiance of a Congressional vote against authorising the war.

And now he is devoting all of his presidential power to cutting the entitlement programmes that have been the defining hallmark of the Democratic party since Franklin Roosevelt's New Deal. The silence from progressive partisans is deafening – and depressing, though sadly predictable.

The nature of American politics is that once a policy is removed from the partisan wars – once it is adopted by the leadership of both parties – it is removed from mainstream debate and fortified as bipartisan consensus. That is why false claims in the run-up to the Iraq war, endorsed by both parties, received so little mainstream journalistic scrutiny. And it's why the former Bush lawyer and right-wing ideologue Jack Goldsmith – back in May 2009 – celebrated in The New Republic the fact that Obama was doing more to strengthen Bush/Cheney terrorism policies than his former bosses could have ever achieved: by embracing the very terrorism approach he once denounced, Obama was converting it from rightwing radicalism into into the official dogma of both parties, and forcing his supporters to defend what were, until 2009, the symbols of rightwing evil.

Identically, Obama is now on the verge of injecting what until recently was the politically toxic and unattainable dream of Wall Street and the American right – attacks on the nation's social safety net – into the heart and soul of the Democratic party's platform. Those progressives who are guided more by party loyalty than actual belief will seamlessly transform from virulent opponents of such cuts into their primary defenders.

And thus will Obama succeed – yet again – in gutting not only core Democratic policies, but also the identity and power of the American Left.

it's really astounding to me how this whole thing works...

watching this phenomenon called barack obama blatantly demonstrating that there is literally NO daylight between the two parties in our so-called two-party system, not only doggedly upholding but vigorously extending the worst excesses of the nightmarish years under dubya, determinedly selling out every principle i believe in, and then seeing almost NOBODY pushing back, is reducing me to abject despair...

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Mexico's war is how the future will look - global government by multinational banks

a truly grim but nonetheless brutally accurate vision of capitalism run amok...

from the guardian...

Mexico's carnage is that of the age of effective global government by multinational banks – banks that, according to Antonio Maria Costa, the former head of the UN Office on Drugs and Crime, have been for years kept afloat by laundering drug and criminal profits. Cartel bosses and street gangbangers cannot go around in trucks full of cash. They have to bank it – and politicians could throttle this river of money, as they have with actions against terrorist funding. But they choose not to, for obvious reasons: the good burgers of capitalism and their political quislings depend on this money, while bleating about the evils of drugs cooked in the ghetto and snorted up the noses of the rich.

Mexico's war is how the future will look, because it belongs not in the 19th century with wars of empire, or the 20th with wars of ideology, race and religion – but utterly in a present to which the global economy is committed, and to a zeitgeist of frenzied materialism we adamantly refuse to temper: it is the inevitable war of capitalism gone mad. Twelve years ago Cardona and the writer Charles Bowden curated a book called Juarez: The Laboratory of Our Future. They could not have known how prescient their title was. In a recent book, Murder City, Bowden puts it another way: "Juarez is not a breakdown of the social order. Juarez is the new order."

i hadn't framed what was going on in mexico in these terms but, i must admit, they make a tremendous amount of sense, albeit horrifying...

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Bill Keller and Wikileaks

as good an analysis as i've read anywhere...

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Remember, the fear must be sustained if the resources are to flow

i signed off the previous post with my own solid advice - "don't give in to the fearmongers"... not more than an hour later, i'm faced with former intelligence director, currently a booz allen defense contractor vp and ace fear-monger mike mcconnell shoveling it out as fast as he can...

Speaking at the Washington Ideas Forum at the Newseum in Washington, D.C., former Director of National Intelligence and Director of the National Security Agency Mike McConnell said that the U.S. is unprepared for a cyberattack and must overhaul its defenses.

"The warnings are over. It could happen tomorrow," he said of a large-scale cyberattack against the U.S., which could impact the global economy "an order of magnitude surpassing" the attacks of September 11. McConnell, in a panel with Bush administration Homeland Security Adviser Fran Townsend and Washingtonian reporter Shane Harris, called cybersecurity "the wolf at the door."

McConnell and Townsend both argued that the U.S. should overhaul how it defends against cyberattacks. Townsend warned that U.S. intelligence and security agencies lack the organizational ability and authorization to prevent and respond to cybersecurity threats.

never mind that mcconnell and booz have gazillions of dollars at stake based on how much fear they can stoke in the administration, congress and the american public... never mind that the atlantic can't be bothered to identify mcconnell in his current role as a senior vp at booz allen... the message is all about fear...

could a sophisticated cyber weapon like the stuxnet worm be developed, directed at the u.s. internet infrastructure and possibly shut it down...? why, sure... i don't doubt that it's a possibility... but, fercryinoutloud, is it necessary for someone like mcconnell to pop up every six months with his patented chicken little routine, particularly when our esteemed news media aren't even interested in giving us the rest of the story...?

fortunately, a commenter writing in the uk guardian hasn't taken leave of his senses...

There is now an extensive police and industrial lobby in Britain dependent for its resources on maintaining a high level of public fear. The lobby thrives on its own failures. The incidents in America on 9/11 (2001) and in London on 7/7 (2005) saw the greatest ever peacetime growth in spending on security. Unlike most forms of public spending, this one could by its nature demand cash with menaces and with no account of value for money.

The fear must be sustained if the resources are to flow.

as in britain, as in the us - as always, follow the money...

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The US has exported an economic model with the idea that everyone can organise themselves under that model

how horribly embarrassing when a united nations special rapporteur, banned from exercising her duties in the united states by the bush administration, finally gets to do her job and discovers that, under the capitalist rock, the rock at the centerpiece of the "shining city on the hill," are all sorts of creepy-crawlies...

Raquel Rolnik, the UN special rapporteur for the right to adequate housing, who has just completed a seven-city tour of America, said it was shameful that a country as wealthy as the US was not spending more money on lifting its citizens out of homelessness and substandard, overcrowded housing.

"The housing crisis is invisible for many in the US," she said. "I learned through this visit that real affordable housing and poverty is something that hasn't been dealt with as an issue. Even if we talk about the financial crisis and government stepping in in order to promote economic recovery, there is no such help for the homeless."

She added: "I think those who are suffering the most in this whole situation are the very poor, the low-income population. The burden is disproportionately on them and it's of course disproportionately on African-Americans, on Latinos and immigrant communities, and on Native Americans."

equally shameful is that the major media exposure on this story - no surprise, unfortunately - comes via the uk guardian...

and equally shocking - again, if not surprising - is this...

"One of the first meetings I had at the state department they clearly told me: here, adequate housing is not a human right," [Rolnik] said.

the mindset that has been assiduously fostered in the united states, through an endless stream of propaganda, is that if you're poor, it's your own goddam fault... by definition, you must be lazy and no damn good... and yet my country has taken this bogus philosophy and is pushing it down the throats of people around the world... it's people like rolnik, who is, after all only doing her job, that can blow the whistle on this patent bullshit...

rolnik's conclusion...

"The US has exported an economic model with the idea that everyone can organise themselves under that model. It's very important for the rest of the world to know who fits in to this model and who is excluded," she tells her audience.

damn straight...

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Steve Bell's depiction of Karzai

it's been absolutely forever since i've posted a steve bell cartoon but i simply couldn't resist his rendering of karzai in today's guardian...

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Rumors and denials swirl around Karzai

hmmmmm... as i sit at my desk here in kabul and read the following article from the guardian, i have to ask myself, what's next...? karzai can't be overly thrilled with this, but, on the other hand, afghanistan is crying out for leadership and karzai ain't steppin' up...

The US and its European allies are ­preparing to plant a high-profile figure in the heart of the Kabul government in a direct challenge to the Afghan president, Hamid Karzai, the Guardian has learned.

The creation of a new chief executive or prime ministerial role is aimed at bypassing Karzai. In a further dilution of his power, it is proposed that money be diverted from the Kabul government to the provinces. Many US and European officials have become disillusioned with the extent of the corruption and incompetence in the Karzai government, but most now believe there are no credible alternatives, and predict the Afghan president will win re-election in August.

A revised role for Karzai has emerged from the White House review of Afghanistan and Pakistan ordered by Barack Obama when he became president. It isto be unveiled at a special conference on Afghanistan at The Hague on March 31.

As well as watering down Karzai's personal authority by installing a senior official at the president's side capable of playing a more efficient executive role, the US and Europeans are seeking to channel resources to the provinces rather than to central government in Kabul.

A diplomat with knowledge of the review said: "Karzai is not delivering. If we are going to support his government, it has to be run properly to ensure the levels of corruption decrease, not increase. The levels of corruption are frightening."

Another diplomat said alternatives to Karzai had been explored and discarded: "No one could be sure that someone else would not turn out to be 10 times worse. It is not a great position."

ok...? got that...? now check the official denial...

The State Department Monday rejected as nonsense a published report that says the United States and key allies want to create a new senior post in the Afghan government to bypass President Hamid Karzai. The comments came as the Obama administration neared completion of a review of U.S. Afghan policy.

Officials here are not volunteering any ringing endorsements of the way President Karzai is handling his job, but they are rejecting the notion that the United States and European allies will push for creation of a new executive post in the Afghan government - a prime minister or a similar mandate - to dilute Mr. Karzai's powers.

this story didn't make it into the guardian because it sprang fully-formed from somebody's vivid imagination... oh, and, btw, the official denial comes from - wait for it - voice of america news...! mmmm-hmmmm...

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"FORN PEOPLE!"

it's been WAY TOO LONG since i've posted a steve bell cartoon...

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Internet cable cuts

given what's now up to five cuts to internet cables serving the middle east, egypt, and the indian subcontinent and the rampant speculation that's gone with it, the uk guardian obliges by offering this most informative graphic detailing undersea communication cables around the world, their capacity, and internet usage by country, among other interesting details...


Click on graphic for larger version

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More on Sibel Edmonds: our worthless AND complicit U.S. news media

i've been convinced for some time that there may be nothing more important than getting a full public hearing for sibel edmonds... you can go here to see my efforts...

the real hero, however, is luke ryland... here's his most recent post at let sibel edmonds speak...

The UK's Guardian is running a piece, "US journalists ignore Sunday Times scoop on FBI nuclear scandal," criticizing the US media for not picking up on the latest revelations by their competitor, the UK's Times, in the case of former FBI translator Sibel Edmonds.

The author of the piece is the Guardian's media commentator, Roy Greenslade, a Professor of Journalism and former Managing Editor of the Times. He writes:

It looks to me as though the Sunday Times has landed a genuine world exclusive that should surely have been broken ages ago by US-based reporters.

I agree entirely. Consider what any journalist in the US has known, or should have known, for years.

Sibel's case broke as an espionage story in June 2002 in the Washington Post and an October 2002 CBS' 60 Minutes segment (youtube) where we learnt that foreign operatives had spies working for them in both the Pentagon and the State Department.

Simply following the names and associations of the people known to be involved, any journalist should have been able to piece together the broad outlines of the story simply from public sources.

[...]

Roy Greenslade, Professor of Journalism and the Guardian's media commentator, first notes that the story "should surely have been broken ages ago by US-based reporters" then adds that the latest revelations in the Times's latest series (1, 2):

.. looks to me like a very hot story indeed that should surely have been taken up by mainstream newspapers in the United States

not only is our media a laughingstock in the rest of the world, they're also a huge embarrassment to themselves...

btw, the above is only a small excerpt...

in the full post, luke offers this speculation...

US journalists have been either too lazy, or complicit, to report on anything but the most trivial of Sibel's claims...

[...]

For one reason or other - incompetence or complicity - not a single American journalist followed up on the important issues in the 60 Minutes report and the Washington Post, and we didn't learn about any of this in the US media in 2002. Instead, we are 'learning' it in 2008 from the British press - and still the US media refuses to publish it, which leads me to believe that the American media is not 'incompetent' but rather 'complicit.'

i passed the point of no return on "complicity" quite some time ago, pretty much the same time i came to the conclusion that "incompetence" on the part of the bush administration was nothing but an acceptable myth, helping us avoid the most unpleasant reality that our government is deliberately trying to screw us to the wall...

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Follow up to Mettle's post on Naomi Wolf

i put this post up back last april, excerpting naomi wolf's article in the guardian... it's the shorter version of the youtube video on mettle's earlier post...

From Hitler to Pinochet and beyond, history shows there are certain steps that any would-be dictator must take to destroy constitutional freedoms. And, argues Naomi Wolf, George Bush and his administration seem to be taking them all

1. Invoke a terrifying internal and external enemy [Islam, war on terror, al Qaeda]

2. Create a gulag [Guantánamo, CIA black sites, military tribunals, Military Commissions Act, suspension of habeas]

3. Develop a thug caste [Blackwater, security contractors who are immune from prosecution in Iraq]

4. Set up an internal surveillance system [the Patriot Act, warrantless domestic wiretapping]

5. Harass citizens' groups [conduct surveillance on environmental, anti-war, animal rights, and other activist groups]

6. Engage in arbitrary detention and release ["no-fly" list, "terrorist watch" list]

7. Target key individuals [Sibel Edmonds, Richard Clarke, Joseph Wilson, Valerie Plame, Nancy Pelosi, Howard Dean]

8. Control the press [criminal complaint against Greg Palast, attacking al Jazeera, firing on unembedded reporters in Iraq, Fox News, O'Reilly, Limbaugh]

9. Dissent equals treason [accusations against Harry Reid, Nancy Pelosi, the New York Times, open-ended definition of "enemy combatant"]

10. Suspend the rule of law [John Warner Defense Authorization Act of 2007, violation of the Posse Comitatus Act, possibility of the declaration of federal martial law]

and there ya have it...

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"The first week we were in Baghdad, we lost two guys in our battalion"

thanks to lithiumcola at daily kos...

The Guardian's award-winning photographer and filmmaker Sean Smith spent two months embedded with US troops in Baghdad and Anbar province. His harrowing documentary exposes the exhaustion and disillusionment of the soldiers.

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Bush in Prague

it's been too long since i've posted something from one of my favorite political cartoonists, steve bell at the guardian...

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