November 30, 2009

The truth of UK's guilt over Iraq

"Until he calls upon UN weapons inspectors themselves to deliver testimony before his inquiry, Sir John Chilcot perpetuates the perception that Britain simply can't handle the truth"

By Scott Ritter
guardian.co.uk
November 27, 2009

With its troops no longer engaged in military operations inside Iraq, Great Britain has been liberated politically to conduct a postmortem of that conflict, including the sensitive issue of the primary justification used by then Prime Minister Tony Blair for going to war, namely Iraqi weapons of mass destruction, or WMD.

The failure to find any WMD in Iraq following the March 2003 invasion and subsequent occupation of that country by US and British troops continues to haunt those who were involved in making the decision for war. The issue of Iraqi WMD, and the role it played in influencing the decision for war, is at the centre of the ongoing Iraq war inquiry being conducted by Sir John Chilcot.

Among the more compelling testimonies provided to date has been that of Sir Christopher Meyer, the former British ambassador to the US, who served in that capacity during the lead-up to the invasion of Iraq. Meyer convincingly portrayed an environment where the decision by the US to invade Iraq, backed by Blair, precluded any process (such as viable UN weapons inspections) that sought to compel Iraq to prove it had no WMD. Rather, Great Britain and the US were left "scrambling" to find evidence of a "smoking gun" to prove Iraq indeed possessed the WMD it was accused of having.

In short, Saddam had been found guilty of possessing WMD, and his sentence had been passed down by Washington and London void of any hard evidence that such weapons, or even related programmes, even existed. The sentence meted out – regime termination – mandated such a massive deployment of troops and material that all but the wilfully blind or intentionally ignorant had to know by the early autumn of 2002 that war with Iraq was inevitable. One simply does not initiate the movement of hundreds of thousands of troops, thousands of armoured vehicles and aircraft, and dozens of ships on a whim or to reinforce an idle threat.

President George Bush was able to disguise his blatant militarism behind the false sincerity of his ally Blair and his own secretary of state, Colin Powell. The president's task was made far easier given the role of useful idiot played by much of the mainstream media in the US and Britain, where reporters and editors alike dutifully repeated both the hyped-up charges levied against Iraq and the false pretensions that a diplomatic solution was being sought.

The tragic final act of the farce directed by Bush and Blair was the theatre of war justification known as UN weapons inspections. Having played the WMD card so forcefully in an effort to justify war with Iraq, the US (and by extension, Britain) were compelled once again to revisit the issue of disarmament. But the reality was that disarming Iraq was the furthest thing from the mind of either Bush or Blair. The decision to use military force to overthrow Saddam was made by these two leaders independent of any proof that Iraq was in possession of weapons of mass destruction. Having found Iraq guilty, the last thing those who were positioning themselves for war wanted was to re-engage a process that not only had failed to uncover any evidence Iraq's retention of WMD in the past, but was actually positioned to produce fact-based evidence that would either contradict or significantly weaken the case for war already endorsed by Bush and Blair.

The US and Britain had both abandoned aggressive UN weapons inspections in the spring of 1998. UN weapons inspectors were able and willing to conduct intrusive no-notice inspections of any site inside Iraq, including those associated with the Iraqi president, if it furthered their mandate of disarmament. But the US viewed such inspections as useful only in so far as they either manufactured a crisis that produced justification for military intervention (as was the case with inspections in March and December 1998), or sustained the notion of continued Iraqi non-compliance so as to justify the continuation of economic sanctions. An inspection process that diluted arguments of Iraq's continued retention of WMD by failing to uncover any hard evidence that would sustain such allegations, or worse, sustain Iraq's contention that it had no such weaponry, was not in the interest of US policy objectives that sought regime change, and as such required the continuation of stringent economic sanctions linked to Iraq's disarmament obligation.

The British were never willing (or able) to confront meaningfully the American policy of abusing the legitimate inspection-based mandate of the UN inspectors. Instead, London sought to manage inspection-based confrontation by insisting that before any intrusive inspection could be carried out, it would have to be backed by high-quality intelligence. But even this position collapsed in the face of an American decision, made in April 1998, to stop supporting aggressive inspections altogether.

In the end, the British were left with the role of fabricating legitimacy for an American policy of terminating weapons inspections in Iraq, supplying dated intelligence of questionable veracity about a secret weapons cache being stored in the basement of a Ba'ath party headquarters in Baghdad, which was used to trigger an inspection the US hoped the Iraqis would balk at. When the Iraqis (as hoped) balked, the US ordered the inspectors out of Iraq, leading to the initiation of Operation Desert Fox, a 72-hour bombing campaign designed to ensure that Iraq would not allow the return of UN inspectors, effectively keeping UN sanctions "frozen" in place.

As of December 1998, both the US and Britain knew there was no "smoking gun" in Iraq that could prove that Saddam's government was retaining or reconstituting a WMD capability. Nothing transpired between that time and when the decision was made in 2002 to invade Iraq that fundamentally altered that basic picture.

But having decided on war using WMD as the justification, both the US and Great Britain began the process of fabricating a case after the fact. Lacking new intelligence data on Iraqi WMD, both nations resorted to either recycling old charges that had been disproved by UN inspectors in the past, or fabricating new charges that would not withstand even the most cursory of investigations.

The reintroduction of UN weapons inspectors into Iraq in November 2002 was counterproductive for those who were using WMD as an excuse for war. This was aptly demonstrated when, in the first weeks following their return to Iraq, the inspectors discredited almost all of the intelligence-based charges both the US and Britain had levelled against Iraq, while failing to uncover any evidence of the massive stockpile of WMD that Iraq had been accused of retaining.

The decision for war had been made independently of any viable intelligence information on Iraqi WMD. As such, the work of the UN weapons inspectors inside Iraq following their return in November 2002 was not a factor in influencing the lead-up to the actual invasion of Iraq. Having decided that Saddam was guilty of possessing WMD, the failure of the UN weapons inspectors to uncover evidence of such retention made their efforts not only irrelevant, but undesirable. The inconvenience of the UN weapons inspectors when it comes to the truth about the lead-up to the war with Iraq continues to this day.

The parade of British diplomats and officials appearing before the Chilcot hearings rightly point out the absolute lack of any "smoking gun" concerning Iraq and WMD. But until Chilcot receives testimony from those best positioned to speak about Iraq's WMD programmes, namely the UN weapons inspectors themselves, all the hearings will succeed in doing is sustain the false appearance of well-meaning British officials, stampeded into a war with Iraq by an overbearing American ally, looking in vain for a "smoking gun" that would justify their decision to invade. The evidence needed to undermine any WMD-based case for war, derived from the work of the UN weapons inspectors, was always available to those officials in a position to weigh in on this matter, but either never consulted or deliberately ignored.

There is a big difference between searching for a "smoking gun" and searching for the truth. By ignoring and/or undermining the work of the UN weapons inspectors in the lead-up to the war with Iraq, British officials demonstrated that they were not interested in the truth about Iraqi WMD, a fact that testimony provided by the likes of Sir Christopher Meyer alludes to, but falls short of actually stating.

The search for truth can be an inconvenient process, especially when it threatens to expose potentially illegal activities in the prosecution of an unpopular war. Until he calls upon UN weapons inspectors themselves to deliver testimony before his inquiry, Sir John Chilcot perpetuates the perception that Britain simply can't handle the truth when it comes to uncovering the level of official British culpability in the deliberate fabrication of a case for war against Iraq that everyone knew, or should have known, was false.

‘Arab women need not apply’

By Jonathan Cook
November 30, 2009

NAZARETH // Israel’s finance minister was accused last week of trying to deflect attention from discriminatory policies keeping many of the country’s Arab families in poverty by blaming their economic troubles on what he described as Arab society’s opposition to women working.

A recent report from Israel’s National Insurance Institute showed that half of all Arab families in Israel are classified as poor compared with just 14 per cent of Jewish families.

Yuval Steinitz, the finance minister, told a conference on employment discrimination this month that the failure of Arab women to participate in the workforce was damaging Israel’s economy. Eighteen per cent of Arab women work, and only half of them full time, compared with at least 55 per cent of Jewish women.

He attributed the low employment rate to "cultural obstacles, traditional frameworks and the belief that Arab women have to remain in their home towns", adding that such restrictions were characteristic of all Arab societies.

But researchers and women’s groups pointed out that employment of Arab women in Israel is lower than almost anywhere else in the Arab world, including such employment blackspots for women as Saudi Arabia and Oman.

"Most Arab women want to work, including a large number of female graduates, but the government has refused to tackle the many and severe obstacles that have been put in their way," said Sawsan Shukha of Women Against Violence, a Nazareth-based organisation.

That assessment was supported by a survey this month revealing that 83 per cent of Israeli businesses in the main professions – including advertising, law, banking, accountancy and the media – admitted being opposed to hiring Arab graduates, whether men or women.

Yousef Jabareen, an urban planner at the Technion technical university in Haifa, who has conducted one of the largest surveys on Arab women’s employment in Israel, said the problems Arab women faced were unique.

"In Israel they face a double discrimination, both because they are women and because they are Arabs," he said.

"The average in the Arab world [for female employment] is about 40 per cent. Only women in Gaza, the West Bank and Iraq – where there are exceptional circumstances – have lower rates of employment than Arab women in Israel. That gap needs explaining and the answers aren’t to be found where the minister is looking."

He said a wide range of factors hold Arab women back, many of them the result of discriminatory policies by successive governments to prevent the 1.3-million Arab minority, which comprises one-fifth of Israel’s population, from benefiting from economic development.

These included widespread discrimination in hiring policies by both private employers and the government; a long-standing failure to locate industrial zones and factories in Arab communities; a severe lack of state-supported childcare services compared with Jewish communities; a shortage of public transport in Arab areas that prevented women reaching places of work, and a lack of training courses aimed at Arab women.

According to a study by Women Against Violence, 40 per cent of Arab women with degrees are unable to find work.

When interviewed, Mr Jabareen said, 78 per cent of non-working women blamed their situation on a lack of job opportunities.

Maali Abu Roumi, 24, from the town of Tamra in northern Israel, has been looking for a job as a social worker since she finished training two years ago. She said cash-strapped Arab schools, unlike Jewish schools, could not afford to employ a social worker, and that Israel’s Arab minority lacked the equivalent of the welfare institutions and foundations funded by wealthy overseas Jews that offered work to many Jewish social workers.

"Most of the Jews I studied with have found work, while very few of the Arabs on my course have been employed," she said. "When a job comes up, it’s usually part time and there are dozens of applicants."

The Alternative Planning Centre, an Arab organisation that studies land use in Israel, reported in 2007 that only 3.5 per cent of the country’s industrial zones were in Arab communities. Most attracted such small businesses as workshops for car repairs or carpentry that offered few opportunities for women.

"Israel’s private sector is almost entirely closed to Arab women because of discriminatory practices by employers who prefer to employ Jews," Mr Jabareen said. He added that the government had failed to provide leadership: among governmental workers, less than two per cent were Arab women, despite repeated pledges by ministers to increase Arab recruitment.

Ms Shukha said: "The civil service is a major employer, but many of these jobs are in the centre of the country, in Tel Aviv or Jerusalem, a long way from the north where most Arab citizens live."

She noted that there were no regular buses from Nazareth, the largest Arab town in the country, to Jerusalem. "The transport situation is even worse in the villages where most Arab women live."

In addition, she said, most could not travel long distances to find work because of the scarcity of child-care provision. Only 25 government-run daycare centres have been established for preschool children in Arab communities out of 1,600 operating across the country. Ms Shaukha also criticised the trade and industry ministry, saying that, although it had invested heavily in training for Jewish women, only six per cent of Arab women were attending courses, and then mostly for sewing and secretarial work.

Mr Jabareen said Arab men faced massive discrimination, too, but found work because they filled a need in the economy by doing hard manual labour that most Jews refused, often travelling long distances to work on construction sites. "Women simply don’t have that option," he said. "They cannot do that kind of work and they need to stay close to their communities because they have responsibilities in the home."

Source

U.S.: Release of secret reports delayed

By Bryan Bender
November 30, 2009

President Obama will maintain a lid of secrecy on millions of pages of military and intelligence documents that were scheduled to be declassified by the end of the year, according to administration officials.

The missed deadline spells trouble for the White House’s promises to introduce an era of government openness, say advocates, who believe that releasing historical information enforces a key check on government behavior. They cite as an example the abuses by the Central Intelligence Agency during the Cold War, including domestic spying and assassinations of foreign officials, that were publicly outlined in a set of agency documents known as the “family jewels.’’

The documents in question - all more than 25 years old - were scheduled to be declassified on Dec. 31 under an order originally signed by President Bill Clinton and amended by President George W. Bush.

But now Obama finds himself in the awkward position of extending the secrecy, despite his repeated pledges of greater transparency, because his administration has been unable to prod spy agencies into conformance.

Some of the agencies have thrown up roadblocks to disclosure, engaged in turf battles over how documents should be evaluated, and have reviewed only a fraction of the material to determine whether releasing them would jeopardize national security.

In the face of these complications, the White House has given the agencies a commitment that they will get an extension beyond Dec. 31 of an undetermined length - possibly years, said the administration officials, who spoke on the condition they not be identified discussing internal deliberations. It will be the third such extension: Clinton granted one in 2000 and Bush granted one in 2003.

The documents, dating from World War II to the early 1980s, cover the gamut of foreign relations, intelligence activities, and military operations - with the exception of nuclear weapons data, which remain protected by Congress. Limited to information generated by more than one agency, the records in question are held by the Central Intelligence Agency; the National Security Agency; the departments of Justice, State, Defense, and Energy; and other security and intelligence agencies.

None of the agencies involved responded to requests for comment, saying they could not discuss internal deliberations.

“They never want to give up their authority,’’ said Meredith Fuchs, general counsel at the National Security Archive, a research center at George Washington University that collects and publishes declassified information. “The national security bureaucracy is deeply entrenched and is not willing to give up some of the protections they feel they need for their documents.’’

The failure to meet the disclosure deadline “does not augur well for new, more ambitious efforts to advance classification reform,’’ said Steven Aftergood, a specialist on government secrecy at the Federation of American Scientists in Washington. “If binding deadlines can be extended more or less at will, then any new declassification requirements will be similarly subject to doubt or defiance.’’

Obama laid out broad goals for reforming the system in May, when he ordered a 90-day review by the National Security Council. Government, he said, “must be as transparent as possible and must not withhold information for self-serving reasons or simply to avoid embarrassment.’’

The review is part of Obama’s efforts to make all government operations more public, including his decision to release White House visitor logs and set up a new office to expedite the release of government files under the Freedom of Information Act.

Among the revisions Obama said he wanted considered were the establishment of a National Declassification Center to coordinate and speed up the process, as well as new procedures to prevent what he called “over classification.’’

But officials said an executive order that has been drafted by the White House to replace a disclosure order that Bush signed in 2003 is meeting resistance from key national security and intelligence officials, delaying its approval.

“The next phase is most crucial,’’ said William J. Bosanko, director of the Information Security Oversight Office at the National Archives and Records Administration, who was appointed by Obama in April 2008 to oversee the government classification system. “It is a bit of a test. You have an administration that has committed to certain things and tried to shape the direction but then you have the bureaucracy which is very adept at resisting change.’’

A key concern among intelligence agencies is that they could lose what amounts to veto power over disclosure of their secrets that are maintained by other agencies, according to several officials who have been privy to the agency comments on the draft executive order.

Also, a turf war has broken out over which spy agency should be represented on a panel set up in 1996 to hear appeals from people who are seeking the release of information. Obama aides want the Office of the Director of National Intelligence, set up in 2005 to oversee all spy agencies, to replace the CIA, much to the consternation of CIA officials, the officials said.

The White House is meeting even more resistance on its position that no information shall remain classified indefinitely. Depending on the type of information involved, the White House is proposing that virtually all classified information - not just some categories - be automatically released 25 years, 50 years, or in the case of records that involve intelligence sources, 75 years after they are created. The draft Obama guidelines, a copy of which were obtained by Aftergood, include an additional five-year extension for the most sensitive documents.

Defense and intelligence information undergoes a more rigorous review before being made public - often decades after it is generated - than more general government files that do not require officials to have special security clearances to handle them. The documents in question are considered part of the nation’s permanent record, and therefore hold special historical significance. Only three percent of government records are so designated.

As the delays mount, so does the backlog of classified data to be reviewed. Aftergood and others worry that if automatic deadlines are not enforced, many documents will never reach the public because the agencies who have custody of them can continue to make the same arguments.

“The only way to get a handle on this is to allow classification to expire at some point,’’ said Aftergood. “This is information that is not just from years ago, but generations ago. The new delay is discouraging because the innovations in the Clinton order are being subverted. That means even bolder reforms that some of us hope for will be that much more difficult.’’

Still, even if such information is eventually declassified, that doesn’t mean that the public will get to see it in a timely manner. Officials estimate that there are 400 million pages of historical documents that have been declassified but remain in government records centers and have not been processed at the National Archives, where the public can view them.



CIA pulls SWIFT one to get peek at your bank records

Press TV - November 30, 2009 02:03:13 GMT


European Union governments have given in to the pressure and appear set to make a last-minute agreement with the United States to allow its intelligence agencies to monitor bank accounts and transactions across the bloc.

Actually, the EU has been clandestinely allowing US intelligence agencies to have access to these financial records since 2001, allegedly to fight terrorism.

However, EU citizens were outraged when this invasion of privacy was revealed in 2006.

Now, however, interior ministers and security officials of the 27-member bloc are going to meet on November 30 to make a decision on legally allowing the United States to have access to bank data across the EU.

According to Spiegel Online, the EU interior ministers gradually succumbed to the “massive” pressure exerted by US Secretary of State Hillary Clinton and US ambassadors in Europe, who pressed governments like door-to-door salespeople.

“They pulled out all the moral and political stops,” one EU foreign minister quipped.

Germany was initially opposed to the agreement but came around this week, and a recalcitrant Austria, one of the last holdouts, followed suit.

German Interior Minister Thomas de Maizière, who is from the new coalition government, told German Justice Minister Sabine Leutheusser-Schnarrenberg, who belongs to the liberal Free Democratic Party (FDP), that he would not block the US proposal in Brussels.

There will not be a German “no” vote, but instead, he will simply abstain, Spiegel Online reported.

In what many Europeans say is a surreptitious move, the final decision on the issue is going to be made one day before the Lisbon Treaty comes into effect on December 1, since the treaty would allow the European Parliament to have a say in the matter.

However, the issue will definitely face opposition in the EU Parliament anyway since a majority of MEPs are opposed to the idea of disclosing the bank data to the US.

The new treaty envisages a host of security measures and has paved the way for many inexperienced but obedient people like Catherine Ashton, a former EU commissioner for trade, to be elevated to the very apex of European politics.

Many analysts view the entire process as an attempt by Washington to realize its security goals.

The US involvement in the EU's banking system started after it illegally got its hands on the private bank data via the Society for Worldwide Interbank Financial Telecommunication or SWIFT.

Over 8,000 financial institutions in over 200 countries are affiliated with SWIFT. The cooperative organization is not a bank and it lacks funds but operates a network of international financial messages.

The firm is registered in Belgium but one of its two major computer servers is located in the US.

In the wake of the 9/11 attacks, the White House decided to intercept the bank data of people suspected of involvement in terrorist activities via the SWIFT server in the US.

The CIA, the FBI, the US government, and major banks all put pressure on SWIFT until the organization “voluntarily” began to hand over millions of pieces of data.

Privacy advocates and liberal politicians are opposed to the “SWIFT agreement” because it would give US intelligence agencies access to the personal information and financial records of all EU citizens.

9,000 Marines Heading to Afghanistan Immediately After Obama Announcement

Aims to Double Marine Presence in Helmand

by Jason Ditz, November 29, 2009

The United States is wasting no time in throwing more troops at the war in Afghanistan. Officials say as soon as President Obama makes his Tuesday announcement of the escalation of the war, 9,000 additional Marines will depart for Afghanistan.

The 9,000 Marines will head to the Helmand Province, roughly doubling the number of marines on the ground in the tense province. It will also be a significant portion of the estimated 34,000 additional troops President Obama will commit to the war.

Defense Secretary Robert Gates had said the escalation would come quickly, despite caution that it was complicated to add so many troops to a war in a landlocked, virtually infrastructure free country on the other side of the globe. Still, most assumed it would be at least January when the troops started arriving.

That the troops are all heading to Helmand will no doubt be troubling news to Pakistan, as Prime Minister Gilani cautioned only two days ago that he was worried a US escalation in Helmand could destabilize the nation’s Balochistan Province.

Source

November 29, 2009

Climate change data dumped

Jonathan Leake, Environment Editor
The Sunday Times
November 29, 2009

SCIENTISTS at the University of East Anglia (UEA) have admitted throwing away much of the raw temperature data on which their predictions of global warming are based.

It means that other academics are not able to check basic calculations said to show a long-term rise in temperature over the past 150 years.

The UEA’s Climatic Research Unit (CRU) was forced to reveal the loss following requests for the data under Freedom of Information legislation.

The data were gathered from weather stations around the world and then adjusted to take account of variables in the way they were collected. The revised figures were kept, but the originals — stored on paper and magnetic tape — were dumped to save space when the CRU moved to a new building.

The admission follows the leaking of a thousand private emails sent and received by Professor Phil Jones, the CRU’s director. In them he discusses thwarting climate sceptics seeking access to such data.

In a statement on its website, the CRU said: “We do not hold the original raw data but only the value-added (quality controlled and homogenised) data.”

The CRU is the world’s leading centre for reconstructing past climate and temperatures. Climate change sceptics have long been keen to examine exactly how its data were compiled. That is now impossible.

Roger Pielke, professor of environmental studies at Colorado University, discovered data had been lost when he asked for original records. “The CRU is basically saying, ‘Trust us’. So much for settling questions and resolving debates with science,” he said.

Jones was not in charge of the CRU when the data were thrown away in the 1980s, a time when climate change was seen as a less pressing issue. The lost material was used to build the databases that have been his life’s work, showing how the world has warmed by 0.8C over the past 157 years.

He and his colleagues say this temperature rise is “unequivocally” linked to greenhouse gas emissions generated by humans. Their findings are one of the main pieces of evidence used by the Intergovernmental Panel on Climate Change, which says global warming is a threat to humanity.

Rothschild appointed to help sell Dubai World assets

Bankers from Rothschild have been appointed to help restructure Dubai World with a mandate to dispose of some of the stricken conglomerate's famous assets.

By Louise Armitstead and Richard Spencer in Dubai
The Telegraph
November 28, 2009

Paul Reynolds, head of Rothschild's advisory operations in the Middle East, was this week asked to work for the Dubai government's chief restructuring officer alongside Aidan Birkett of Deloitte, who was appointed on Wednesday.

The team is tasked with assessing the group's assets, which is likely to result in a large scale sell-off of assets as varied as the QE2 cruise liner; Turnberry, the golf course that hosted this year's Open Championship; and a raft of properties.

A spokesman for the Dubai department of finance confirmed that all options and asset sales would be considered, except for the DP World subsidiary that bought P&O, the British ports company. "I'm sure all of the assets of Dubai World will be reviewed," he said. "The QE2 is one of them. It's part of the restructuring process, though it's too early to say whether there's any sale in mind."

The neighbouring emirate of Abu Dhabi is seen as one of the main buyers of Dubai's assets. Last year when rumours about Dubai's debt problems first started, sources said Abu Dhabi had offered to buy Emirates but Dubai had so far refused to part with its flagship carrier.

Abu Dhabi is also said to be interested in Emaar, the property company that owns the Burj Dubai skyscraper, the Dubai Mall shopping centre, and Dubal, Dubai's aluminium company.

However, the assets in Dubai World are more likely to be sold first. The group's biggest problem area is thought to be Nakheel, its property arm that owns the Palms, the ambitious man-made islands. Nakheel also has two hotel chains, one of which owns the Turnberry Hotel.

Dubai World's venture capital arm, Istithmar, owns stakes in global assets including Barneys, the New York department store; Cirque du Soleil, the South African entrepreneur Sol Kerzner's hotel chain; and Standard Chartered bank. The company has also bought into MGM Mirage, the Las Vegas gambling operation – even though gambling is banned in Dubai – and Troon Golf.

London properties include Adelphi on the Strand and the Grand Buildings in Trafalgar Square.

Rothschild was one of five banks working in recent months to help Dubai World meet its debt obligations. Deutsche Bank was the other lead adviser and they were supported by Citibank, JP Morgan and the Dubai Islamic Bank. When the standstill decision was taken on Wednesday, all the banks were stood down as the mandate had changed.

Rothschild and Deloittes declined to comment.

The Geopolitics Of The Dubai Debt Crisis: It's Iran vs. The United States

Image Credit: Rajeev Raj/Gulf News
John Carney|Nov. 28, 2009

The role of Iran may be the most overlooked in the Dubai debt crisis.

Of all the states of the United Arab Emirates federation, Dubai has maintained the closest ties to Iran. Indeed, as international pressure has built on Iran over the past decade, Dubai has prospered from those ties. It provides critical banking and trade links for Iran, often serving as the go-between for European or Asian companies and financial firms that want to do business with Iran without violating international sanctions.

Abu Dhabi, the wealthiest member of the UAE and a close ally of the US, may be pressuring Dubai to limit its links to Iran. Indeed, this pressure may be behind statements coming from Abu Dhabi about offering “selective” support for Dubai. Companies or creditors thought to be too linked to Iran could find themselves shut out of any bailout.

The United States government, which has remained somewhat taciturn throughout this crisis, is no doubt encouraging Abu Dhabi to apply this pressure. In part because of Dubai’s connections to Iran, US financial institutions are not among the biggest creditors to Dubai World.

It’s not all Iran, of course. The problems in Dubai, the member of the United Arab Emirates that has found itself in a dire financial crisis, closely mirror those behind the global financial crisis.

Over the past decade, the country attempted to diversify its economy away from dependence on its declining oil reserves—and largely succeeded. But, like a Wall Street investment bank attempting to overcome the decline of its traditional businesses by becoming heavily invested in leveraged real estate products, Dubai accumulated huge debt obligations—estimated to amount to some $80 billion. Much of Dubai’s assets were dependent on tourism, shipping, construction and real estate—which have been in trouble during the global economic downturn.

Like its fellow members of the UAE, Dubai is ruled by an expansive royal family. In this case, they are called Al Maktoum family. Exactly what counts as the personal property of ruling family and what is government owned in Dubai is more than a bit fuzzy. The Dubai government owns three companies: the Investment Corporation of Dubai; Dubai Holding, which is run by Mohammed Al Gergawi; and Dubai World, which is run by Sultan bin Sulayem.

Abu Dhabi has been trying to put pressure on Dubai to cut ties to Iran. The split between Abu Dhabi and Iran is in part rooted in an older territorial dispute, fear of Iran’s nuclear ambitions, religious differences between Shiites and Sunnis, and—importantly—Abu Dhabi’s close ties to Washington, DC.

The UAE is close to reaching a nuclear power cooperation deal with Washington, a move that many regional experts say would challenge the traditional Saudi hegemony in the Gulf. One sticking point in the negotiations with Washington has been concerns that Dubai could share US nuclear technology with Iran.

This power struggle between Abu Dhabi and Saudi Arabia is also playing a role. In May, the UAE pulled out of a proposed Gulf monetary union over Saudi insistence that it would host the regional central bank.

Dubai, which is a very open and tolerant place compared to Iran, is viewed by many Iranians as a place to let their hair down. It has a thriving Iranian ex-pat community. Iran is Dubai airport's top destination, with more than 300 flights per week.

More importantly, Dubai is a major exporter to Iran and a major re-exporter of Iranian goods. The trade between Iran and Dubai is one of the principal sources of Tehran's confidence that it can survive US-led sanctions. Iranian investment in Dubai amounts to about US $14 billion each year. US intelligence officials have long suspected that the Iranian government uses Dubai based front companies to get around sanctions.

Some of the banks said to have the largest exposure to Dubai debt have in the past been linked to Iran. Notably, HSBC, BNP Paribas and Standard Chartered came under investigation and pressure from US authorities in recent years to cut ties to Iran. Some US officials have quietly protested that these banks just shifted to doing business with Iran through Dubai. The US may want to see these creditors take losses from their Dubai exposure.

Make no mistake: the US government does not want to see the financial ruin of Dubai. Apart from its ties to Iran, Dubai is widely viewed as a model Islamic country. It has a relatively clean government, and there is a remarkable level of religious tolerance and progressive attitudes toward women for the region. American diplomats have held up Dubai as their model for a new Baghdad—progressive, tolerant, and capitalist.

What is most likely happening is more nuanced. The US and Abu Dhabi are hoping to use Dubai’s financial troubles as a way of finally severing the close ties to Iran. For years, Dubai has enjoyed the benefits of walking the line between its military and economic alliance with the US and economic benefits from banking and trade ties to Iran. The price of a bailout from Abu Dhabi may be having to finally choose to give up the Iran connection.

Source

The danger of a single story

M. Idrees
Pulse Media

This is a superb presentation by Nigerian novelist Chimamanda Adichie. Also see Binyavanga Wainaina’s “How to write about Africa“, and Uzodinma Iweala’s “Stop Trying to ‘Save’ Africa“.

Our lives, our cultures, are composed of many overlapping stories. Novelist Chimamanda Adichie tells the story of how she found her authentic cultural voice — and warns that if we hear only a single story about another person or country, we risk a critical misunderstanding.

About Chimamanda Ngozi Adichie

Chimamanda Adichie

In Nigeria, Chimamanda Ngozi Adichie’s novel Half of a Yellow Sun has helped inspire new, cross-generational communication about the Biafran war. In this and in her other works, she seeks to instill dignity into the finest details of each character, whether poor, middle class or rich, exposing along the way the deep scars of colonialism in the African landscape.

Adichie’s newest book, The Thing Around Your Neck, is a brilliant collection of stories about Nigerians struggling to cope with a corrupted context in their home country, and about the Nigerian immigrant experience.

Religious, secular Israelis hold opposing protests

JERUSALEM, Nov 28 (Reuters) - Several hundred Israelis protested in Jerusalem on Saturday against a campaign by ultra-Orthodox Jews to shutter all businesses in the city on the sabbath.

The protest reflected tensions between Israel's secular majority and an Orthodox minority that wants the Jewish state to follow ancient laws barring driving or working on the sabbath.

Police said there was no violence as hundreds marched in the predominantly Jewish western part of Jerusalem, waving blue and white Israeli flags and holding placards reading "Jerusalem will not fall," and "We are sick of (religious) coercion".

Earlier on Saturday dozens of ultra-Orthodox Jews had protested outside Intel Corp's electronic chip plant in the city, demanding it cease operating on the sabbath.

In a separate protest, dozens of religious Jews demonstrated to demand the authorities shut a public parking lot near the old walled city of Jerusalem on the day of rest, which begins at sundown on Friday.

Protests by the ultra-Orthodox have taken place on nearly a weekly basis, occasionally spilling over into violence, in what appears to be an attempt by some rabbis to reassert influence after a religious mayor lost a hotly contested 2008 election. (Writing by Allyn Fisher-Ilan; Editing by Mark Trevelyan)