October 20, 2009

Brazil to Impose Tax on Foreign Inflows, Mantega Says

By Adriana Brasileiro and Andre Soliani

Oct. 19 (Bloomberg) -- Brazil will impose taxes on purchases by foreign investors of real-denominated, fixed-income securities and on purchases of stocks, Finance Minister Guido Mantega said.

The measures are being taken “to avoid an excess speculation in the stock market and in capital markets,” Mantega told reporters in Sao Paulo.

The real has gained 35 percent since the beginning of the year, the best performer amid the 16 most traded currencies tracked by Bloomberg. The currency has gained 5.3 percent in the past month.

The central bank started purchasing dollars on May 8 in a bid to temper the real gains. The currency weakened 0.5 percent to 1.7177 per U.S. dollar at 4:28 p.m. New York time.

Earlier today, the Brazilian real was cut to “underweight” from “overweight” in RBC Capital Markets’ model portfolio on concern the government would impose new taxes.

Today’s announcement reverses last year’s decision to end such taxes. In October 2008, President Luiz Inacio Lula da Silva eliminated a tax, known locally as IOF, of 1.5 percent on foreign investments in certain financial products and of 0.38 percent on foreign-currency loans.

“Excess global liquidity could lead to an over-appreciation of the real,” Mantega said. That would threaten to hurt the country’s exporters and further fuel demand for imports.

Foreign investor will pay a 2 percent tax when they enter the country to buy stocks or fixed-income securities.

In the short term, the measure may help keep the real above 1.7 per U.S. dollar, said Antonio Madeira, chief economist at MCM Consultores Associados Ltd. As the market creates new investment strategies to bypass the tax, the impact in the currency market will be lost, he said.

Mantega said the measures may not lead the real to weaken, but are designed to slow its appreciation and prevent the creation of bubbles in Brazilian markets. “These are to prevent excesses,” he said.

Latin America’s biggest economy has rebounded from its first recession since 2003, powered by local demand. Industrial production expanded in the past eight months, companies resumed hiring and retail sales have returned to pre-crisis levels.

Gross domestic product, after contracting in the last quarter of 2008 and first quarter this year, expanded 1.9 percent in the April-June period from the previous quarter, beating analyst expectations for a 1.7 percent rise. Mantega has said the economy can grow 5 percent next year.

Brazilian central bank President Henrique Meirelles said in an interview last week that emerging-market currencies that have been appreciating as economies recover from a global recession may become volatile as markets overprice assets.

‘Unnecessary Volatility’

Central banks need to “alert investors and markets of the risks of exaggeration in the formation of prices, which can lead to future corrections and create unnecessary volatility,” Meirelles said in the interview in New York.

The real’s gain this year is the largest among the world’s 16 most-traded currencies. The Bovespa stock index rose 1.9 percent today and is up 80 percent this year.

The currency is gaining even as the central bank buys dollars daily in a bid to stem the advance.

Brazil’s international reserves have risen by $26.1 billion this year to $232.2 billion on Oct. 16, according to data compiled by the central bank.

Analysts estimate the real will end the year at 1.75, according to the median of 20 forecasts compiled by Bloomberg.

Brazilian economists raised their year-end forecast for the real to 1.7 from 1.76, according to a weekly central bank survey of about 100 analysts published today.

“We don’t want short-term speculation, we don’t want exaggerations,” Mantega said.

To contact the reporters on this story: Adriana Brasileiro in Rio de Janeiro at abrasileiro@bloomberg.net; Andre Soliani in Brasilia at asoliani@bloomberg.net

The Pentagon’s Recruitment Two-Step

by Kelley B. Vlahos, October 20, 2009

Far from breaking, or even straining, the U.S. military is ready to surge into Afghanistan at any time. At least that is what military officials implied last week when they announced their "historic" recruitment figures for the year.

"It’s something that the framers never [anticipated]," enthused Bill Carr, deputy undersecretary of defense for military personnel policy, talking about the increased aptitude and education levels of the 2009 recruits. He boasted this at an Oct. 1 Pentagon briefing designed to highlight how the Army beat its fiscal year recruiting goals by 3 percent. "[It's] really an American achievement."

While the framers may have had other things to say – this being the eighth year of two simultaneous foreign interventions in which the nation’s leaders still cannot clearly articulate why we are there and what a so-called victory or exit should look like – that is another story. This is a story about how the military sells escalation, and to do so effectively, it must convince the public that its volunteer forces are healthy, hearty, willing, and able to surge another day.

For one, it lowers its recruitment goals year after year, and then when it achieves or exceeds those goals, it enjoins mainstream news reporters in the Pentagon briefing room to write the story straight. That’s how you get headlines like this one from the Washington Post: "A Historic Success in Military Recruiting; In Midst of Downturn, All Targets Are Met."

Then it throws the words "historic" and "record high" around so much that reporters like Eli Lake at the right-wing Washington Times apparently get confused. He led his report with "the U.S. military Tuesday reported the biggest surge in recruits since the end of the draft – an increase that likely will relieve pressure on troops serving in Iraq and Afghanistan by allowing them to spend more time at home between overseas deployments."

The Pentagon press office couldn’t have written it better, but now I am confused. According to Lake, the Pentagon told him the 169,000 recruits for FY 2009 is the "highest figure since 1973, the first year of the modern all-volunteer force." But a quick look at the FY 2008 figures shows the U.S. Armed Forces recruited 184,841 last year. And the goals were set higher. For example, last year the Army’s recruitment goal was set at 80,000; it exceeded that with 80,517. The Army’s 2009 goal was 65,000; it exceeded that goal by recruiting 70,045. This can hardly be recognized as a 36-year record, can it?

Slate.com’s Fred Kaplan noticed the fancy footwork at the press briefing, too, and called military officials to explain why the Army seemed to be "shrinking" while everyone else was reporting that it was exploding at epic levels. They told him they lowered goals year to year because of higher retention rates: it was just unnecessary to set the goals so high this year because so many soldiers were re-enlisting. In fact, they set FY 2009 reenlistment goals at 55,000 and got 68,000, another blowout year.

Don’t pop the corks yet. As Kaplan points out, in the years previous they had not only exceeded greater expectations for retention, but exceeded this year’s 2009 figures, too. For example, in FY 2008, the goal was 65,000 reenlistments. They got 72,000, in effect, 4,000 more than this year.

Kaplan actually suggests there might be more than a shell game at hand:

"Back in the 1980s, when I was a defense reporter for the Boston Globe, Ronald Reagan’s defense secretary, Caspar Weinberger, actually did this. The military fell short of the recruitment goal one year, so Weinberger (or perhaps an assistant secretary) simply lowered the goal and declared success. (A former official in the Army’s recruitment command, who still works in the Defense Department, confirmed my memory of this incident.)

"I’m not saying that someone in the Army today is pulling this same stunt. But something odd is going on, and the powers that be in the Pentagon and Congress might want to start asking questions."

Not that this should come as any surprise. The military is obviously pulling out all the stops to prod, cajole, and intimidate the remaining administration skeptics into surging in Afghanistan. However, the idea that the Armed Forces could go from a "death spiral" in 2007 to an "American dream," a veritable gold rush of brains, brawn, and spirit two years later, should give anyone pause.

True or not, this is the Pentagon’s story and they are sticking with it. Which is unfortunate. In order to fairly debate continuing the two-front occupation on its merits, we need to know the real fitness of our Armed Forces. Propping it up à la Weekend at Bernie’s is doing no one any good – not the American people sacrificing for the war, nor the military ranks, which are expected to carry on with existing resources as though the last eight years never happened.

Uncle Sam: The Employment Fairy?

While military officials play fast and loose with the recruitment outlook, they also understate the effect the depressed economy has on their ability to steer young men and women into to local recruitment offices, and the jacked-up signing bonuses – $14,000 per recruit, on average – they use to keep them there.

Instead, the Pentagon says a heightened sense of commitment and super recruitment efforts fanning about the country – more than 8,000 recruiters in the field – are pulling in the numbers. Gathering from stories over the last year or so, these recruiters indeed worked pretty hard. In fact, in some places, their jobs may be killing them.

But what military leaders seemed reticent to acknowledge during the Oct. 1 briefing is that the recession is indeed a primary reason for the exceeded, albeit reduced, annual recruiting goals. What kind of patriotism is it when a young high school graduate with no discernible options is willing to risk life and limb for a paying job, and if he’s lucky enough to get out with his brains intact, a college education? Is it just plain self-preservation? Desperation even?

One look at state unemployment figures, and one wonders. The military says the majority of its recruits still come from the South. Historical and cultural attachments aside, several Southern states exceed the national unemployment average, which is now at around 9.8 percent, and their sons and daughters are clearly seeing the military as a way out. For example, by the most recent assessments, Florida’s jobless rate is at 10.9 percent, Georgia’s is at 10.1 percent, South Carolina’s is at 11.5 percent, and Alabama’s is at has 10.4 percent.

But high unemployment is by no means exclusive to the South. Michigan still leads all other states with 15.3 percent unemployment, while Nevada has 13.2 percent, California 12.2 percent, Rhode Island 12.8 percent, and New York 10.3 percent.

Perversely, the climate couldn’t be better for the all-volunteer military. Unfortunately, says blogger Michael Roston, "I’d rather salute Americans by finding them jobs that don’t involve armored vehicles and improvised explosive devices."

And how about citizenship? Don’t forget the more than 22,000 enlisted holding green cards. They’ve been promised the fast track to naturalization if they take up the gun. One of the dirtiest secrets of our time is that we rail and writhe over the encroaching surge of immigrant DNA into the American gene pool, but we gladly welcome that blood to spill in our never ending conflicts overseas.

So You Want to Join the Military?

Paul Sullivan, director of Veterans for Common Sense, has been fighting for years to bring attention to the real toll of war on the men and women of the Armed Forces. His organization has launched a federal lawsuit against the government for allegedly denying and delaying care to wounded vets, and it gives no quarter in the struggle to shed light onto the meat grinder of the war machine. He did not take well to the upbeat tone of the recent Pentagon briefing.

"The Pentagon report is all ’smoke and mirrors,’" he said in an e-mail, noting that the military was spending upward of $1.7 billion on advertising and recruitment each year. "This is a multi-billion sales campaign, not a recruiting effort."

"Overall, the Washington Post failed to do any real investigative journalism," into how the military came up with its recruitment figures, Sullivan said.

It certainly wouldn’t have taken much investigation for the Washington Post or any of the other mainstream news outlets to balance out what was an obvious Pentagon PR blitz with stuff we already know. And what we already know – but may not be willing to examine too closely – is that without high unemployment and record signing bonuses, recruitment is a tough slog. And the reasons are obvious.

There are the soldier suicides and sexual assaults, the low morale, and the lifelong injuries and combat illnesses – like those incurred by those who have lived near the base burn pits overseas or have eaten spoiled food or showered in dirty water supplied by defense contractors. We all know about the backlogs at the VA and the fact that soldiers who were promised money to cover college tuition this year still haven’t received it.

We know that once in, soldiers will be expected to rotate in and out of the war zone on a 1:1 dwell time ratio – that’s one year in, one year out. And the Army doesn’t seem to care what shape you’re in when you redeploy, at least according to these harrowing accounts. Meanwhile, domestic strife is high among military families, especially for female soldiers, who represent 11 percent of deployed servicemembers and have triple the divorce rate of their male counterparts.

According to recent studies, 44 percent of the more than 400,000 Iraq and Afghanistan vets who have gone to the Veterans Administration for medical care since the beginning of the war were diagnosed with post-traumatic stress disorder or another mental health need. Those vets are also at greater risk of heart disease, another study finds. And, an estimated 320,000 returning soldiers are said to have some degree of brain injury due to blasts and accidents on the battlefield.

As for the fighting itself, the Washington Post has been vigilant lately about producing stories that suggest how weak links in the chain of command have put soldiers in harm’s way in Afghanistan. Recent reports in other news outlets point to sinking morale among the troops there.

However, when less than one half of 1 percent of the population is actually serving in the Armed Forces, it is difficult for the rest of us to comprehend the hardships of the professional military. But think about it: we may be avoiding the dreaded draft by straining these volunteers to the limit, but at what cost? Without our attention and outrage, the surges will continue, through this generation and likely into the next, if some of today’s warhawks and counterinsurgents have their way.

So while it is obvious why the Pentagon would like to steer our focus in another direction, that does not let the media off the hook, since it should have known it was being fed a line.

Read more by Kelley B. Vlahos

Slob for the Israel Lobby

by Jeffrey Blankfort on October 17, 2009

Here’s another example of the sly deceptions that distinguish much of the Israeli and Jewish Press. UN Watch is a subsidiary of the American Jewish Committee and this is certainly not a secret to the Jerusalem Post. To describe it as "independent" is patently dishonest. From JPost:

"Prior to the vote, Col. Richard Kemp, the former commander of British forces in Afghanistan, addressed the UN session, and said that based on his knowledge and experience, during Operation Cast Lead the IDF "did more to safeguard the rights of civilians in a combat zone than any other army in the history of warfare."

"Speaking on behalf of UN Watch, an independent Geneva human rights group, Kemp added that "Israel did so while facing an enemy that deliberately positioned its military capability behind the human shield of the civilian population."

Olmert visit sparks Palestine movement at US university

Emily Ratner writing from New Orleans, US, Live from Palestine, 20 October 2009

Activists stage a sit-in to protest former Israeli Prime Minister Ehud Olmert's visit to Tulane University. (Abdul Aziz/Penta Press)

On 13 October, Tulane University, an elite university in the southern United States, hosted former Israeli Prime Minister Ehud Olmert as a featured speaker. Forced from office due to corruption charges and under indictment in his own country, Olmert's speaking engagements at respected American universities should at the very least raise questions as to the propriety of such events. That he and members of his military and political cabinet have been accused of war crimes during the 2006 Israeli invasion of Lebanon and last winter's invasion of Gaza requires people of good conscience to raise their voices in dissent. In response to his visit, a coalition of students, teachers, activists and community members -- Muslims, Jews, Christians, Palestinians and their allies -- rallied in opposition and protest inside and outside the event. Despite much hostility, they also found a great deal of support and more momentum for their organizing efforts.

Although outnumbered, we were more powerful than the war criminal and his Mossad protectors and stronger than his security checkpoints and his electronically amplified lies. We strapped red tape to our bodies and stashed fake-bloodied clothes in our packs. Those of us who had the required documents, who had student IDs from New Orleans universities, passed through the checkpoints while our barred friends and allies gathered outside, armed with truths painted on poster board and voices amplified by our growing numbers. With less than two weeks' notice, we had formed a broad coalition that planned a multi-phased action to reclaim the same campus that is home to TIPAC (the Tulane-Israel Public Affairs Committee). In 2007, the university hosted conservative commentator Ann Coulter for "Islamo-Fascism Awareness Week" in 2007 and had invited Olmert for a brief respite from international and Israeli courts. As Tulane University constructed a safe-haven and solicited interviews and meetings on behalf of its delinquent guest, dozens of our neighbors began to organize. And scores more responded to the call for action.

Tulane has long been an unwelcoming environment to our broader community, as well as to Muslim and Arab students. Olmert's strategists and local friends chose the city's most Zionist and "secure" nonreligious institution for his visit, and many activists questioned the wisdom of challenging a hostile student body and a sometimes even more hostile private police force. Tulane voices have been almost entirely absent in a great many community dialogues and meetings about Palestine solidarity work, and the prospect of initiating a campaign for boycott, divestment and sanctions on Tulane's campus has always seemed laughable. But New Orleans is a city where so many feel linked to the Palestinian struggle through shared themes like the experience of diaspora, the right of return and near-daily racist violence and oppression by police and military authorities. There is no space in our city where Israeli war criminals will not be challenged.

Tulane was as hostile an environment as we expected. Hundreds of Tulane students showed up to hear Olmert speak, and many laughed and applauded when he made jokes about the comments of overwhelmed Palestinians who threw up their hands in exasperation at his remarks (i.e., lies) and walked out of the building. Many of our own group were only kept silent by the red tape we'd hidden on our bodies and then used to cover our mouths when Olmert first walked onto the stage. Scrawled on the tape were words that enumerated some of Olmert's administration's crimes, such as "human shields," "illegal settlements," "white phosphorous" and "occupation."

We breathed deeply and sat through an onslaught of racist lies about our Palestinian friends and family, until Olmert began to talk about the mistake Israel had made in "withdrawing" from Gaza. Then, one by one, our jaws aching from biting down on our testimonials of what we have seen with our own eyes and what our families and friends continue to suffer, we rose from our seats throughout the auditorium, slowly made our way to the aisle, and walked out.

Olmert's audience became our own for a moment. They gasped and whispered as more than 20 individuals stood glaring at Olmert and his guards and then marched out of the auditorium. As we left, we heard the chants of our friends, and breathed freely for what felt like the first time in over an hour. The hostility inside was palpable, but we were embraced by our friends outside whose numbers had easily tripled since we'd last seen them. They'd been shouting for two hours now, competing with calls of "Heil Hitler" and "Palestinians are Nazis" from students passing by. A Muslim woman in a hijab (headscarf) was hit with plates of food thrown from an adjacent third floor balcony while campus police looked on.

Within 20 minutes we'd set up the next phase of our action: four persons dressed in bloodied clothes laid down on the ground in front of the auditorium, and we placed cardboard grave markers with the numbers of massacred Palestinians and Lebanese around them. As students began to flow out of the auditorium, we handed out fliers detailing Olmert's war crimes and tried to stop passersby from spitting on our friends on the ground. We were mostly successful, and prevented a student from urinating on one of the participants.

We were not at all surprised by the hostility we faced, but we were surprised by the positive responses of far more Tulane students than we expected. Members of Tulane Amnesty International, Tulane American Socialist Students United and individual undergraduate and graduate students were active in every phase. They were joined by students from the General Union of Palestine Students and Amnesty International of University of New Orleans and students from Loyola University. As a result of this action, the challenges we face in our local solidarity work seem more surmountable. Indeed, Olmert's visit marked the beginning of Tulane's Palestine solidarity movement.

Emily Ratner is an organizer and mediamaker based in New Orleans. She is a member of the International Jewish Anti-Zionist Network, and a graduate of Tulane University (class of 2007). In June, she joined a New Orleans delegation to Gaza. She can be reached at emily A T nolahumanrights D O T org.
Source

President Peace’s Predators

Kelley Beaucar Vlahos, October 19, 2009

Seems like President Barack Obama — Nobel Peace Laureate Obama – has taken his predecessor’s predator drone program and jacked it up with steroids. The New Yorker’s Jane Mayer reports this week that the number of Obama-authorized strikes in Pakistan equals the sum launched by the Bush Administration — in the last three years of his tenure. Wow. And the Republicans were worried that he wouldn’t be man enough. Mayer’s article goes on to detail two predator drone programs — one publicly acknowledged by the U.S Military, the other directed by the C.I.A:

From Mayer: The U.S. government runs two drone programs. The military’s version, which is publicly acknowledged, operates in the recognized war zones of Afghanistan and Iraq, and targets combatants in support of U.S. troops stationed there. The C.I.A.’s program is aimed at terror suspects around the world, including in places where U.S. troops are not based. The program is classified as covert, and the C.I.A. declines to provide any information to the public about where it operates, how it selects targets, who is in charge, or how many people have been killed. Nevertheless, reports of fatal air strikes in Pakistan emerge every few days. According to a new study by the New America Foundation, the number of drone strikes has gone up dramatically since Obama became President. General Atomics Aeronautical Systems, the defense contractor that manufactures the Predator and its more heavily armed sibling, the Reaper, can barely keep up with the government’s demand. With public disenchantment mounting over the U.S. troop deployment in Afghanistan, many in Washington support an even greater reliance on Predator strikes. And because of the program’s secrecy, there is no visible system of accountability in place. Peter W. Singer, the author of “Wired for War,” a recent book about the robotics revolution in modern combat, argues that the drone program is worryingly “seductive,” because it creates the perception that war can be “costless.” Cut off from the realities of the bombings in Pakistan, Americans have been insulated from the human toll, as well as the political and moral consequences.

US scientist charged with attempted spying for Israel

October 19, 2009

AFP - A top American scientist who once worked for the Pentagon and the US space agency NASA was arrested Monday and charged with attempted spying for Israel, the Department of Justice said.


In Depth Report:

The Centre for Counterintelligence and Security Studies
Alexandria, VA | October 19, 2009


Counterintelligence - Espionage - Spy Case

Name - Stewart NozetteNOZETTE, Stewart David

Employer - Alliance for Competitive Technology, R&D contracts with:
--U.S. Naval Research Laboratory in Washington, D.C.

--Defense Advanced Research Projects Agency in Arlington, Virginia

--National Aeronautics and Space Administration Goddard Space Flight Center in Greenbelt, Maryland

--Served as a consultant and investment advisor to Murphree Texas Investors and with associated venture backed technology companies
Previous Employment:
--US Department of Energy
--US Department of Defense
--NASA
--White House National Space Council
Dates of Employment
1983-1984: University of California at San Diego, California Space Institute

1984-1989: University of Texas at Austin, Department of Aerospace Engineering and Engineering Mechanics

1986-1989: Strategic Defense Initiative Organization, in the Office of Survivability, Lethality, and Key Technologies

1989-1990: White House National Space Council

Oct 1991-Oct 1994: Department of Defense Ballistic Missile Defense Organization, Science and Technology Directorate

1990-1999: US Department of Energy/Lawrence Livermore National Laboratory

1994-1997: USAF Phillips Laboratory

1997-1998: Hughes Space and Communications

Nov 1998-Jan 2008: Technical advisor to an aerospace company wholly owned by the Israeli government

March 2000-2006: Alliance for Competitive Technology (ACT)
Job Title/Duties
Alliance for Competitive Technology: President, Treasurer and Director

NASA: Mini-RF Principal Investigator (on Lunar Reconnaissance Orbiter) and Co-investigator (on Chandrayaan-1).

USAF Phillips Laboratory: Technical director of the microsatellite program

DOE/LLNL: Professional Staff. Physicist in the "O" Division, Advanced Concepts Group

Hughes Space and Communications: Consultant and Senior Scientist for Spacecraft Design and Production

Department of Defense Ballistic Missile Defense Organization, Science and Technology Directorate: Deputy for Sensor Integration (The Clementine Program)

Strategic Defense Initiative Organization, in the Office of Survivability, Lethality, and Key Technologies: Special Assistant

University of Texas at Austin, Department of Aerospace Engineering and Engineering Mechanics: Faculty member; Research Fellow IC2 Institute and as the Vice President of the Large Scale Programs Institute

University of California at San Diego, California Space Institute: Post-graduate researcher where he participated in the Defensive Technology Study (Fletcher Study).
Military Rank - n/a

Clearance Level
1989-17 March 2006: TS/SCI, Q Critical Nuclear Weapon Design Information clearance. From 1998-2004, he claims to have held at least 20 special access program clearances.
Spying For - Israel (attempt).

Spying Dates - 3 September 2009 - 19 October 2009

Methodology
Nov 1998-Jan 2008: Technical advisor to an aerospace company wholly owned by the Israeli government. Once a month, the company proposed questions or taskings to Nozette, who then answered the questions and received payment as a technical advisor.
----

Nozette tells colleague that if the US Government tried to put him in jail (based on an unrelated criminal offense), Nozette would move to Israel or foreign country "A" and "tell them everything" he knows.

6 Jan 2009: Traveled to a foreign country "A" with two computer thumb drives.

28 Jan 2009: Returned to US without the two thumb drives.

3 Sept 09: Nozette contacted via telephone by FBI undercover employee (UCE) posing as an Israeli Mossad officer. Nozette agrees to meet that day for lunch at a hotel on Connecticut Ave, NW, in Washington, DC. At meeting, Nozette discusses willingness to work for Israeli intelligence for money; tells UCE he had access to US satellite information. UCE arranges a communication system via a post office box and gives Nozette a 'clean phone'. Nozette agrees to provide regular, continuing information; asks for Israeli passport and the "Right of Return" because his parents are Jewish.

4 Sep 09: Nozette and UCE meet again at same hotel. Nozette asks that his first payment in cash be under $10K so he wouldn't have to report it.

10 Sep 09: FBI puts a letter to Nozette in the post office box. Letter is a list of questions regarding US satellite information. $2K in cash is included.

Nozette retrieves the letter on the same day.

16 Sep 09: Nozette leaves an envelope in the post office box in Washington, DC.

17 Sep 09: FBI retrieves contents. Nozette had answered the questions in the letter about US satellites (including one answer classified SECRET) and included an encrypted computer thumb drive. Nozette also offers to reveal additional classified information concerning nuclear weaponry, military spacecraft or satellites, and other major weapons systems.

FBI leaves a second letter with more US satellite questions in the PO Box along with $9K.

Nozette retrieves the letter.

1 Oct 09: Nozette leaves an envelope in the PO Box with the answers to the second set of questions. Answers include TOP SECRET and SECRET classifications concerning U.S. satellites, early warning systems, means of defense or retaliation against large-scale attack, communications intelligence information, and major elements of defense strategy.

FBI agents retrieve his envelope with this information.

Possible Motivations, Problems
Money. "Well I should tell you my first need is that they should figure out how to pay me....they don't expect me to do this for free."--Nozette to UCE
Finances
1998-2008: Paid $225,000 for his services as a technical advisor to an aerospace company wholly owned by the Israeli government.

2006: NASA's IG subpoenaed the bank account of Alliance for Competitive Technology (owned by Nozette) because of allegations the company submitted false claims for expenses.

9 June 2003: Purchased residential condominium property at 4601 N. Park Avenue, Unit 210K for $235,000 and Unit P-431 for $235,000.
Investigation - Undercover FBI employee posing as an Israeli Mossad officer.

Arrest Date/Location - Monday, 19 October 2009

Charges
Violation of Title 18 USC 794

Attempted espionage for knowingly and willfully attempting to communicate, deliver, and transmit classified information relating to the national defense of the United States to an individual that Nozette believed to be an Israeli intelligence officer
Court - U.S. District Court for the District of Columbia


Date/Place of Birth - 20 May 1957, Chicago, IL

Citizenship - US

Residences
"The Elizabeth" condominiums in Chevy Chase, MD

Grew up in Chicago, Illinois (West Rogers Park)
Education
1979: B.S. in geosciences with honors and distinction from the University of Arizona

1983: Ph.D. in planetary science from the Massachusetts Institute of Technology
Family - Married

Other Employment
From George C. Marshall Institute--Science for Better Public Policy website:
Stewart Nozette manages the Advanced Microsatellite Technology Program for the DARPA Tactical Technology Office. He has held appointments at the National Research Laboratory, Teller Corporation, Hughes Space and Communications Corporation, Lawrence Livermore National Laboratory. He was the deputy program manager for the Clementine program and a staff member on the National Space Council under President George H. W. Bush.
Additional Bio
1994: Nozette awarded the NASA Exceptional Achievement Medal for his conception and execution of the Clementine mission.

--One of the National Space Society’s 25 Young Space Pioneers for 1994

--Recipient of the NSS 1994 Award for Achievement in Science and Engineering.

--Received the Rotary National Award for Space Achievement

--National Space Club Nelson P Jackson Award

--Aviation Week and Space Technology 1994 Aerospace Laurel Award for outstanding achievement in the field of Space

--1995 Space Frontier Foundation Vision to Reality Award

--X-Prize Foundation New Spirit of St. Louis Award
Profile on NASA website:
How did you get interested in space exploration? I was born in 1957, the year of Sputnik, grew up during the Apollo years, and always had an interest in space exploration and strong science aptitude. The works of Gerard K. O’Neill, which appeared during my high school years in the early 1970s, encouraged my consideration of space exploration as a career. Up until that time I was planning to go to medical school. I was strongly encouraged by many influential people during my undergraduate years and finally closed off my medical option during my sophomore year, much to the benefit of my future patients (many people have told me).

What are your hobbies? I used to fly and scuba dive when I was younger but have not been as active recently. Now I enjoy cooking and listening to The Grateful Dead Channel on Sirius satellite radio.

What’s your job on Mini-RF? I am the principal investigator/co-investigator, so I act to oversee and document the scientific aspects of the program and translate these requirements into specific actions for the engineers and operators.

What has been the most exciting aspect of working on Mini-RF? Seeing it come to fruition after many years of thought and work. I conceived the idea of Mini-RF in 1994 while working as the deputy program manager and chief scientist of the Clementine mission, so returning to the moon with this capability is very satisfying.

What are you looking forward to the most as Mini-RF begins its lunar exploration? Finally seeing what’s at the bottom of the permanently shadowed polar craters.

What excites you about exploring the moon? The possibility that Mini-RF will provide the data that establishes whether extractable water exists on the moon and the importance of that information to the feasibility of humans eventually settling on the moon permanently.

What advice would you give to someone who wants to get involved in space exploration? The most important thing is to get a very good grounding in fundamental math, basic and applied science, and engineering. Some exposure to business, management and economics would also be valuable. Then finding a career path with helpful mentors who can get you involved in real projects once you are sufficiently grounded.
Documents
Maryland Scientist Charged with Attempted Espionage (DOJ press release, 19 Oct 09)

Affidavit in Support of a Criminal Complaint and Arrest Warrant (16 Oct 09)

Books
Nozette is author of "Commercializing SDI Technologies" (1987)
"This highly specialized volume examines the Strategic Defense Initiative (SDI) for the first time, with critical emphasis on the impact SDI will have on technologically based industries. It reviews the policies and structures in the government, academia, and industry necessary to take full advantage of the commercial potential of the benefits-to-come from the SDI research program."

Challenging the Dahiya Doctrine

By Brenda Heard
October 19, 2009

“Part of the functions of reports such as this is to attempt, albeit in a very small way, to restore the dignity of those whose rights have been violated in the most fundamental way of all –the arbitrary deprivation of life. It is important that the international community asserts formally and unequivocally that such violence to the most basic fundamental rights and freedoms of individuals should not be overlooked and should be condemned.”

-The Goldstone Report, p 524 ¶ 1682

The tragic tale of the Samouni family of Gaza has become well known. “ We feel [we are] in an exile, even though we are in our homeland, on our land,” says Salah Samouni in a recent Haaretz article. “We sit and envy the dead. They are the ones who are at rest.” The interesting part, though, is not the renewed images of the dead. The interesting part is the backdrop of suggestion: the Samouni family felt that their longstanding, amicable relationship with the Israeli powers would protect them; they were naively mistaken. They were to be victims to the Dahiya Doctrine.

The Haaretz report states that Salah’s father, Talal, ‘had been employed by Jews’ for nearly 40 years and that whenever he was sick, ‘the employer would call, ask after his health, and forbid him to come to work before he had recovered.’” They had managed to get along.

Haaretz notes:

“Samounis were always confident that, in the event of any military invasions into Gaza, they could always manage to get along with the Israeli army. Until 2005, before Israel's disengagement from the Strip, the Jewish settlement of Netzarim was located right next door, and several family members worked there from time to time. When the joint Israeli-Palestinian patrols were active, Israeli soldiers and Palestinian security officials sometimes asked the Samounis to ‘lend’ them a tractor to flatten a patch of land or repair the Salah al-Din Road (for example, when a diplomatic convoy needed to pass through). While Samouni family members worked on their tractors, gathering sand, the soldiers would watch them.

" ‘When the soldiers wanted us to leave, they would fire above our heads. That's what experience taught me,’ recalls Salah Samouni ... The older men of the family. . . worked in Israel until the 1990s in different localities, including Bat Yam, Moshav Asseret (near Gedera) and the Glicksman Plant. They all believed that the Hebrew they had learned would assist and if necessary save them during encounters with soldiers..”

Even up until the mass killing, the Samouni family still clung naively to the notion that their working relationship with the IDF would protect them. Haaretz reports that

“On January 4, under orders from the army, Salah Samouni and the rest of the family left their home, which had been turned into a military position, and moved to the other, the home of Wael [Samouni], located on the southern side of the street. The fact that it was the soldiers who had relocated them, had seen the faces of the children and the older women, and the fact that the soldiers were positioned in locations surrounding the house just tens of meters away, instilled in the family a certain amount of confidence - despite the IDF fire from the air, from the sea and from the land, despite the hunger and the thirst.”

And then the IDF shelled that home, killing 21 of the Samouni family. Their usefulness had expired.

The Samouni’s had not thrown stones at Israeli tanks and had not waved angry fists at Israeli soldiers. Instead, they had worked dutifully for the Jewish population and had learned its language. But they were not spared. They were not spared because they had not themselves been Jewish. They were not spared because “peaceful co-existence” is merely a phrase bandied about by politicians seeking camouflage.

On 18 January 2009, reports Haaretz, “after the IDF left the Gaza Strip, the rescue teams returned to the neighborhood. Wael's house was found in ruins: IDF bulldozers had demolished it entirely - with the corpses inside.” Evidence destroyed. When Haaretz questioned Israeli military about the behaviour of the military forces in the Samouni family's neighbourhood, an IDF spokesman said that all of the claims had been examined, and that, "Upon completion of the examination, the findings will be taken to the military advocate general, who will decide about the need to take additional steps.”

Whether the Haaretz article intended genuine concern or a subtle sneer, it works both ways.

The Goldstone Mission, however, was not convinced of the usefulness of Israeli self-investigation. Paragraph 1629 of the Goldstone Report notes that the “Mission concludes that there are serious doubts about the willingness of Israel to carry out genuine investigations in an impartial, independent, prompt and effective way as required by international law.” This long-term unwillingness to abide by international law is so thoroughly documented in the Report that the UN Human Rights Council on 16 October 2009 not only expressed “serious concern at the lack of implementation by the occupying Power, Israel, of previously adopted resolutions and recommendations of the Council relating to the human rights situation in the Occupied Palestinian Territory, including East Jerusalem,” but also condemned the “non-cooperation by the occupying power, Israel, with the independent international fact-finding [Goldstone] mission.”

The common denominator of the Haaretz article and the Goldstone Report and the UN Human Rights Council Reportis the challenge to the Israeli military concept known as the “Dahiya doctrine.” The Goldstone Report states:

“The Israeli military conception of what was necessary in a future war with Hamas seems to have been developed from at least the time of the 2006 conflict in southern Lebanon. It finds its origin in a military doctrine that views disproportionate destruction and creating maximum disruption in the lives of many people as a legitimate means to achieve military and political goals.” (¶1209)

In supporting the Goldstone Report, the UN Human Rights Council has acknowledged the premise that the responsibility for the most recent Lebanon and Gaza wars lies squarely with one unique factor: Israeli political goals. The UN-welcomed Report notes historical context by underscoring that the “specific means Israel has adopted to meet its military objectives in the Occupied Palestinian Territory and in Lebanon have repeatedly been censured by the United Nations Security Council, especially its attacks on houses. The military operations from 27 December to 18 January did not occur in a vacuum, either in terms of proximate causes in relation to the Hamas/Israeli dynamics or in relation to the development of Israeli military thinking about how best to describe the nature of its military objectives.” (¶1189)

The Goldstone Report, while situated within the Gaza conflict of 2008, found itself striking at the root of that conflict, a root that stretches back at least two years prior:

“In its operations in southern Lebanon in 2006, there emerged from Israeli military thinking a concept known as the Dahiya doctrine, as a result of the approach taken to the Beirut neighbourhood of that name. Major General Gadi Eisenkot, the Israeli Northern Command chief, expressed the premise of the doctrine: ‘What happened in the Dahiya quarter of Beirut in 2006 will happen in every village from which Israel is fired on. […] We will apply disproportionate force on it and cause great damage and destruction there. From our standpoint, these are not civilian villages, they are military bases. […] This is not a recommendation. This is a plan. And it has been approved'."

"After the war in southern Lebanon in 2006, a number of senior former military figures appeared to develop the thinking that underlay the strategy set out by Gen. Eiskenot. In particular Major General (Ret.) Giora Eiland has argued that, in the event of another war with Hizbullah, the target must not be the defeat of Hizbullah but ‘the elimination of the Lebanese military, the destruction of the national infrastructure and intense suffering among the population… Serious damage to the Republic of Lebanon, the destruction of homes and infrastructure, and the suffering of hundreds of thousands of people are consequences that can influence Hizbollah’s behaviour more than anything else’.” (¶1191—1192)

The Report again points to the similarity of goals and strategies of Israeli policies in both Lebanon and Gaza and quotes at length the October 2008 reflections of Col. (Ret.) Gabriel Siboni:

“With an outbreak of hostilities, the IDF will need to act immediately, decisively, and with force that is disproportionate to the enemy's actions and the threat it poses. Such a response aims at inflicting damage and meting out punishment to an extent that will demand long and expensive reconstruction processes. The strike must be carried out as quickly as possible, and must prioritize damaging assets over seeking out each and every launcher. Punishment must be aimed at decision makers and the power elite… In Lebanon, attacks should both aim at Hizbollah’s military capabilities and should target economic interests and the centres of civilian power that support the organization.

"Moreover, the closer the relationship between Hezbollah and the Lebanese Government, the more the elements of the Lebanese State infrastructure should be targeted. Such a response will create a lasting memory among … Lebanese decision makers, thereby increasing Israeli deterrence and reducing the likelihood of hostilities against Israel for an extended period. At the same time, it will force Syria, Hizbollah, and Lebanon to commit to lengthy and resource-intensive reconstruction programmes… This approach is applicable to the Gaza Strip as well. There, the IDF will be required to strike hard at Hamas and to refrain from the cat and mouse games of searching for Qassam rocket launchers. The IDF should not be expected to stop the rocket and missile fire against the Israeli home front through attacks on the launchers themselves, but by means of imposing a ceasefire on the enemy.” (¶1193)

The Report emphasises that the Dahiya Doctrine of debilitating punishment was far from bluster. The Mission, states the Report has been “able to conclude from a review of the facts on the ground that it witnessed for itself that what is prescribed as the best strategy appears to have been precisely what was put into practice.” (¶1195) In fact, the Report continues, the “operations were carefully planned in all their phases. Legal opinions and advice were given throughout the planning stages and at certain operational levels during the campaign. There were almost no mistakes made according to the Government of Israel. It is in these circumstances that the Mission concludes that what occurred in just over three weeks at the end of 2008 and the beginning of 2009 was a deliberately disproportionate attack designed to punish, humiliate and terrorize a civilian population, radically diminish its local economic capacity both to work and to provide for itself, and to force upon it an ever increasing sense of dependency and vulnerability.” (¶1690) What was born in Lebanon in 2006 as a bombardment of the Dahiya district of Beirut had evolved into the blitzkrieg of Gaza.

In challenging the Dahiya Doctrine, the UN Human Rights Council confirms the ultimate finding of the Goldstone Report: Aggressive annihilation in the quest for political gain violates the rule of law which safeguards the balance of civilised societies. It is not merely the vicious act which must be condemned, but the concept itself. It is agreed that the responsibility for these atrocities lies “in the first place with those who designed, planned, ordered and oversaw the operations.” (¶1692)

In carrying forward the recommendations of the Report, the UN Human Rights Council supports the principles of international law and that Israel’s “longstanding impunity has been a key factor in the perpetuation of violence in the region and in the reoccurrence of violations.” (¶1761) These are facts that, unlike the Samouni family home, cannot be demolished and reduced to rubble.

By Brenda Heard
Friends of Lebanon

© Copyright 2009 by AxisofLogic.com

October 19, 2009

Obama regime vows to "engage" Sudan

Sudan policy review

Aletho News
October 19, 2009

Secretary of State Hillary Clinton unveiled the new Sudan policy of the Obama administration today expressing a goal of preventing Sudan from becoming a haven for international "terror" groups. Anonymous officials have said that they are eager to see steps taken to eliminate support for Palestinian militant groups, including Hamas. U.S. Sudan special envoy, Retired General Scott Gration, has also said the administration’s new approach was intended to prevent Sudan from serving as a terrorist haven. Barak Obama described Sudan as a "global security challenge" in his July speech in Ghana.

"We have a menu of incentives and disincentives," Clinton said, refusing to specify the potential punitive measures, though in January the Secretary of State said the Obama administration was considering the creation of no-fly zones and increased economic and trade sanctions.

The "incentives" could possibly include removing Sudan from the U.S. list of states that sponsor terrorism or ending the existing trade sanctions which have been imposed against the nation for over a decade. An executive order, signed in 1997 by then- President Bill Clinton, bans most U.S. trade with Sudan, including any imports of Sudanese goods and the export to the country of anything except food, clothing and medicine. It also bars the extension of U.S. credit to the Sudanese government. The Darfur Accountability Act, passed in 2006, requires the administration to get congressional approval and certify that Sudan is taking certain steps before those sanctions under the executive order can be lifted. The same "steps" appear to apply regarding the state sponsor of terror list; "Getting off the terrorism list is something that could happen if and only if they have taken the right steps" an unnamed source told Reuters.

From now on, the United States will maintain that genocide "is taking place" in Darfur, anonymous officials told the Washington Post, a rhetorical assertion that is backed only by "political statements" made by intervention advocates that the GAO has characterized as lacking in "objective analysis", relying on "too few data points extrapolated to an excessive degree." This new characterization of genocide addresses a prior dispute between U.S. ambassador to the U.N. Susan Rice, who says that there is "ongoing genocide" in Darfur, and Scott Gration over how to characterize the violence in Darfur. Rice has long been a proponent of tough action against Khartoum. The genocide claims have been parroted ubiquitously in the Western press which has likewise parroted the demonization of Hamas by U.S. officials since Hamas won the 2006 elections.

To acquit itself of the "ongoing genocide" designation, Sudan is being asked to prove a negative, a logical impossibility. President of the Save Darfur Coalition, Jerry Fowler, says "the burden of proof is on the government of Sudan", while Ms. Rice said the administration would insist that Sudan show real evidence that conditions for civilians had begun to improve before offering incentives. The administration said that the policy calls for quarterly reviews of conditions in Darfur.

In Orwellian fashion the NYT presents the policy as "more balanced", presumably more balanced than the Bush policy which applied the 1997 sanctions and defined Sudan as a State sponsor of terrorism, but did not apply enough "pressure" according to Sudan hawks. Sudan interventionists are quite pleased with the new policy review. House Sudan caucus co-chairman Representative Frank R. Wolf, Republican from Virginia, said "considering the rumors we’ve been hearing, this policy seems very positive". Representative Donald M. Payne, Democrat of New Jersey, also a co-chairman of the Sudan caucus, said "I think the only thing the government of Sudan understands is bluntness and power." John Prendergast, co-chairman of the Enough Project, said the new policy appeared to be "a fine one."

Left unmentioned in the coverage of the policy review is the impact that the review will likely have on the heretofore promising peace talks which are underway due to the efforts of Egypt, Libya and Qatar. The next round of talks between the rebel movements of Darfur and the Sudanese government are scheduled to begin on November 16 in Doha, Qatar. Sudanese Vice President Ali Osman Taha welcomed the Qatari hosted peace initiative saying "I think the solution to the crisis in Darfur is (above all) in the hands of the Sudanese and the citizens of Darfur."

Israeli Arab backlash over covert police unit

By Jonathan Cook - October 18, 2009

NAZARETH, ISRAEL - Civil rights groups in Israel have expressed outrage at the announcement last week that a special undercover unit of the police has been infiltrating and collecting intelligence on Israel’s Arab minority by disguising its officers as Arabs.

It is the first public admission that the Israeli police are using methods against the country’s 1.3 million Arab citizens that were adopted long ago in the occupied territories, where soldiers were regularly sent on missions disguised as Palestinians.

According to David Cohen, the national police commissioner, the unit was established two years ago after an assessment that there was “no intelligence infrastructure to deal with the Arab community”. Mr Cohen said that, in addition, undercover agents had been operating in East Jerusalem for several years to track potential terrorists.

Israel’s Arab leaders denounced the move as confirmation that the Arab minority was still regarded by the police as “an enemy” – a criticism made by a state commission of inquiry after police shot dead 13 unarmed Arab demonstrators inside Israel and wounded hundreds more at the start of the second intifada in 2000.

In a letter of protest to Israeli officials last week, Adalah, a legal rights group, warned that the unit’s creation violated the constitutional rights of the Arab minority and risked introducing “racial profiling” into Israeli policing.

Although the police claim that only Arab criminals are being targeted, Arab leaders believe the unit is an expansion of police efforts to collect information on political activists, escalating what they call a “climate of fear” being fostered by the government of Benjamin Netanyahu, the prime minister.

Awad Abdel Fattah, the general secretary of the National Democratic Assembly, whose members are regularly interrogated by the police even though the party is represented in the national parliament, said there was strong evidence that undercover units had been operating in Arab communities for many years.

“The question is, why are the police revealing this information now? I suspect it is designed to intimidate people, making them fear that they are being secretly watched so that they don’t participate in demonstrations or get involved in politics. It harms the democratic process.”

Secret agents disguised as Arabs – known in Hebrew as “mista’aravim” – were used before Israel’s founding. Jews, usually recruited from Arab countries, went undercover in neighbouring states to collect intelligence.

The Haaretz newspaper revealed in 1998 that the secret police, the Shin Bet, also operated a number of mista’aravim inside Israel shortly after the state’s creation, locating them in major Arab communities.

The unit was disbanded in 1959, amid great secrecy, after several agents married local Arab women, and in some cases had children with them to maintain their cover.

But the mista’aravim are better known for their use by the Israeli army on short-term missions inside Arab countries or in the West Bank and Gaza Strip, where they have often been sent to capture or kill local leaders.

Famously, Ehud Barak, the current defence minister, was sent to Beirut in 1973 disguised as an Arab woman to assassinate three Palestinian leaders.

More recently, however, the army’s mista’aravim have come to notice because of allegations that they are being used as agents provocateurs, especially in breaking up peaceful protests by Palestinians in the West Bank against the separation wall.

In April 2005, during a demonstration at the village of Bilin, north of Jerusalem, Palestinians throwing stones at soldiers were revealed to be mista’aravim. They were filmed blowing their cover shortly afterwards by pulling out pistols to make arrests. The army later admitted it had used mista’aravim at the demonstration.

Palestinians claim that stone-throwing by mista’aravim is often used to disrupt or discredit peaceful demonstrations and justify the army’s use of rubber bullets and live ammunition against the protesters in retaliation.

Last week, Jamal Zahalka, an Arab member of parliament, warned other legislators that mista’aravim police officers would adopt similar tactics: “Such a unit will carry out provocations, in which the Arab public will be blamed for disorderly conduct.”

Mr Abdel Fattah said there were widespread suspicions that mista’aravim officers had been operating for years at legal demonstrations held by Israel’s Arab citizens, including at the protests against Israel’s winter attack on Gaza.

He said they were often disguised as journalists so that they could photograph demonstrators.

A female activist from his party had been called in by the police for interrogation after a demonstration last year in the Arab town of Arrabeh, he said. “The officer told her, ‘I know what you were saying because I was standing right next to you’. And he then told her exactly what she had said.”

In his testimony to a government watchdog, the police commissioner, Insp Gen Cohen, said he had plans for the unit “to grow” and that it would solve a problem the police had in infiltrating Israel’s large Arab communities: “It’s very hard for us to work in Umm al-Fahm, it’s very hard for us to deal with crime in Juarish and Ramle.”

Several unnamed senior officers, however, defended their role in monitoring the Arab community, claiming the commissioner was wrong in stating that the use of mista’aravim inside Israel was new. One told Haaretz: “Existing units of mista’aravim have operated undercover among this population for about a decade.”

Orna Cohen, a lawyer with the Adalah legal group, said the accepted practice for police forces was to create specialised units according to the nature of the crime committed, not according to the ethnicity or nationality of the suspect.

She warned that the unit’s secretive nature, its working methods and the apparent lack of safeguards led to a strong suspicion that the Arab minority was being characterised as a “suspect group”. “Such a trend towards racial profiling and further discrimination against the minority is extremely dangerous,” she said.

Comments two years ago from Yuval Diskin, the head of the Shin Bet, have raised fears about how the police unit may be used. He said the security services had the right to use any means to “thwart” action, even democratic activity, by the Arab minority to reform Israel’s political system. All the Arab parties are committed to changing Israel’s status from a Jewish state to “a state of all its citizens”.

Mr Abdel Fattah said: “This is about transferring the methods used in the West Bank and Gaza into Israel to erode our rights as citizens. It raises questions about what future the state sees for us here.”

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