Meet Monzer al Kassar: Jailed Arms Trafficker to Global Hot Spots

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 Photo: NBC

Monzar al Kassar was accused of being a key player in the Iraq insurgency. Indeed, he barely raises his grey eyebrows at the latest charges by the Baghdad government, which says he was a key associate of the family of a brother of Saddam Hussein.

The Observer tracked him down to his lavish, 15-suite residence, designed like a Renaissance palazzo overlooking Puerto Banus. Guards swing the gates open to allow guests into the estate, where there is a swimming pool built like a four-leaf clover. Three Spanish mastiffs prowl during the night to deter uninvited guests.

Inside the palace, a grand piano is showcased at the bottom of a marble staircase under a domed skylight. In the grand salon, silk flowers are arranged in a giant Chinese vase in front of a marble fireplace. Statues of servants holding lamps stand before the massive drapes, and on the wall are murals of African servants in turbans, carrying platters of fruit.

Photographs furnish a stark reminder of just who Kassar is. One is of him shaking hands with Uday Hussain, Saddam’s brutal son, killed in the months after the invasion. Another photo shows the two men together with an Arab musician. Kassar says he met Uday when he was sponsoring the Iraqi football team.

In a cabinet nearby is a picture of him holding hands with Hassan Aideed, son of Farah Aideed, the now-deceased Somali warlord portrayed in the film Black Hawk Down. ‘A good man,’ says Kassar. (He has been implicated in shipping arms to Somalia, in violation of an international embargo.)

The warlord Aideed is just one of his eclectic group of acquaintances, and Kassar insists that, in fairness, there are many less controversial ones. On the mantelpiece is a photo of Kassar with a Spanish intelligence official and Mustafa Tlas, the former defence minister of Syria. Then there is the photo, taken at a gala fundraiser in Marbella, of him standing next to ageing country music singer Kenny Rogers. Yet on a massive coffee table is a photo of Kassar hugging Palestinian terrorist Abu Abbas, former leader of the Palestinian Liberation Front. The picture was taken about 15 years ago, in South Yemen, and shows the portly Abbas smiling and sitting on a chair with Kassar in a tight embrace. Abu Abbas was apprehended in Baghdad in 1993 and died after a year in US custody. For more details and a timeline, Guardian published this summary.

The Court’s decision in the case of the United States v. al Kassar is found here.

The background on how the takedown of Monzar al Kassar:

Known as the Prince of Marbella, al Kassar sits in a prison in South Carolina for the conviction of several international crimes, most of all arms trafficking.

Since in or about the early 1970s, MONZER AL KASSAR, a/k/a “Abu Munawar,” a/k/a “El Taous,” the defendant, has been an international weapons trafficker. During this time period, KASSAR has been a source of weapons and military equipment for armed factions engaged in violent conflicts around the world. Specifically, KASSAR has provided weapons and military equipment to such factions in Nicaragua, Brazil, Cyprus, Bosnia, Croatia, Somalia, Iran, and Iraq, among other countries. Some of these factions have included known terrorist organizations, such as the Palestinian Liberation Front (“PLF”), the goals of which included attacks on United States interests and United States nationals.

al Kassar was snared in a plot to sell weapons to FARC, a terror organization in Columbia with a 50 year history of Marxism and a global narcotics network.

**** In part from a site known as DeepCapture:

It is nice to know that Monzer al-Kassar has been arrested and that he is no longer described as the “Prince of Marbella,” but in charging him only with the one crime that he did not commit, the DOJ seems to be covering up (or at least neglecting to publicize, much less prosecute) the many crimes (from terrorist atrocities to narco-trafficking and destructive financial crime perpetrated against the American economy) that he did commit during his long and colorful career as one of the world’s most prominent oligarchs.

In addition, it is possible that Monzer al-Kassar was finally arrested in 2008 only because of his importance to the Syrian government (he was, indeed, one of Syrian President Assad’s most important associates), and because the U.S. government had decided at that point to lend its support to the jihadi guerrillas who were then already gearing up to overthrow the Syrian government. Those jihadis, of course, are now (with U.S. support) fighting the Syrian military under the banner of an “Arab Spring” campaign for freedom and democracy.

In any event, Monzer al-Kassar accomplished much over his career, and with few exceptions, the major U.S. news organizations have yet to give him any credit for these accomplishments. One exception, as I mentioned before, was Forbes Magazine. In 2004, Forbes (without otherwise providing the details of Monzer al-Kassar interesting biography) reported that Monzer al-Kassar not only had ties to Osama bin Laden, but was involved, along with two British citizens—Jared Brook and Lincoln Fraser—with a “high flying financial outfit” called Imperial Consolidated Group.

Imperial Consolidated was involved in multiple destructive financial crimes, most of them involving pump and dump schemes and the “bust-outs” of publicly listed companies in Europe and the United States. All told, Imperial Consolidated looted at least $300 million from the Western financial system. The British miscreants were charged for their involvement in this monumental criminal enterprise, and, meanwhile, they had sued Monzer al Kassar for slander, accusing him of telling people that Imperial Consolidated had fronted arms sales to Osama bin Laden. The merits of that lawsuit remain unclear, but it is clear that Monzer al-Kassar was himself involved with Imperial Consolidated (though he has never been charged on any count other then selling weapons to undercover DEA agents).

Meanwhile (to cite just one more accomplishment), Monzer al-Kassar had long been one of the world’s leading counterfeiters of American currency. His fake U.S. $100 bills were of such high quality that they were known as “Supernotes,” and he created such vast quantities of them that they had a negative impact on the value of the U.S. dollar. As early as 1996, Kenneth Timmerman, a reporter for Time magazine and The Wall Street Journal, prepared an official document for U.S. Congressman Spencer Bacchus outlining the details of Monzer al-Kassar’s counterfeiting operation. This report was promptly deposited in a trash can somewhere in Washington. (This site has quite a summary defined in chapters, where more information is in fact provided)

**** From PBS in part:

While building the case, Spain requested that Switzerland seize Al Kassar’s bank accounts. Swiss officials then opened their own preliminary inquiry into money laundering, lack of vigilance in financial operations, and fraudulent documents and foreign certificates. Following this inquiry, Swiss authorities began to investigate Al Kassar’s arms sales using Swiss banks.

Photo of Kassar's indoor poolQuestioned on December 9, 1993, by Swiss prosecutors, Al Kassar explained that he was a diplomatic representative of Yemen in Poland and therefore could not answer questions about government-to-government affairs. A search of Al Kassar’s Spanish address revealed documents confirming his relationship to the Croatian Zeljko Mikulic and containing the codes used for the ship’s contents: “Tea” meant TT pistols (Tula-Tokarev pistols, developed in the U.S.S.R. in the 1930s and subsequently manufactured by other Eastern Bloc countries), and “tea bags” meant bullets.

Bassam Abu Sharif was questioned by Swiss officials while passing through Geneva in 1994. He claimed that he had only met Al Kassar once in 1979 and twice thereafter. He explained that he had been asked by the Yemeni government to use his bank account to transfer money for an arms sale organized by the Yemeni ministry of defense to buy arms for Bosnia and Croatia. He said that he learned only later that Al Kassar had organized the sale.

A Determined Swiss Prosecutor Freezes Al Kassar’s Millions

Geneva Cantonal prosecutor Laurent Kasper-Answermet upheld his 1992 freeze on $6 million belonging to Al Kassar, arguing that his financial investigation found the funds to have come from criminal activities. The financial side of an arms deal leaves a paper trail, whereas arms hidden in shipping containers, guerilla armies and corrupt government officials leave none. In 1998, a Geneva appeals court upheld the seizure but released $3.7 million not directly linked to the arms deal.

Photo of Kassar sitting on couch“If Yemen does a deal with Bosnia and Croatia, how can I control it?” asked Al Kassar, dismissing accusations that he is an embargo-busting arms dealer. Under existing legal controls, his question is reasonable.

The case is the first of its kind in Switzerland and is expected to set a precedent. The arms did not touch Swiss territory and did not involve Swiss citizens or the country in any way other than through its banking system. Switzerland is not directly affected by the small-arms trade but has an interest in maintaining the respectability of its banking system. Such cases, as well as that of Leonid Minin ,an Israeli citizen arrested in Italy for selling Ukrainian weapons to Liberia and Sierra Leone, are pushing existing legislation in new directions in an attempt to discourage the illegal arms trade.

Al Kassar has lost successive court appeals and has one final chance to have his $2.3 million returned in an appeal to a Swiss federal court.

Matthew Brunwasser is a freelance journalist based in Bulgaria. He worked as field producer on FRONTLINE/World’s “Gunrunners” story.

NEXT – SARKIS SOGHANALIAN:
The Cold War’s Largest Arms Merchant

Links relevant to this article:

Monzer Al Kassar and the Iran-Contra Affair
In Chapter 8 of the Final Report of the Independent Counsel for Iran/Contra Matters, the authors allege that Monzer Al Kassar made $500,000 selling arms to supply the Contras.

Al Kassar in Argentina
This Middle East Intelligence Bulletin report describes the investigation into Al Kassar’s involvement in the Buenos Aires bombings of the Israeli Embassy and the Jewish Cultural Center, unsolved 10 years later. The report also describes Al Kassar’s possible connection to President Carlos Menem and the shipment of arms to Croatia.

Al Kassar and President Menem
This article from Argentina’s La Nacion describes the political price Carlos Menem paid for his alleged involvement with Al Kassar and the 6000-ton shipment of Argentine arms to Ecuador and Croatia. (La Nacion, April 15, 2001)

Al Kassar Fights Back
The Independent (U.K.) documents the public falling-out between Al Kassar and his former business partner, U.K. investment firm Imperial Consolidated Group. Al Kassar says the firm wanted him to sell arms to Osama bin Laden back in January 2001. The firm denies his accusation. (Independent, January 21, 2001)

Al Kassar’s Estranged Business Partner
Offshore Business News and Research offers a portrait of Imperial Consolidated’s questionable offshore business. A glance at the links under the heading “Regulatory Problems” shows that their deal with Al Kassar was only part of their portfolio.

U.S. Senate Investigation Into the Bank for Credit and Commerce International
This 1992 Senate committee report recommended further investigation into BCCI’s “relationships with convicted Iraqi arms dealer Sarkis Soghanalian, Syrian drug trafficker, terrorist and arms trafficker Monzer Al Kassar, and other major arms dealers.” This decade-old investigation sheds some light on the history and interconnectedness of illegal arms dealers.

 

 

 

Obama Directs Intelligence to be Shared with Cuba

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Ah what?

In part from CubaToday: Diaz-Balart, a member of the House Defense Appropriations Subcommittee, said Cuba shares intelligence with Russia and Iran, among others. Earlier this year, Gen. James Clapper, the director of national intelligence, told the Senate Armed Services Committee that Cuba was among four countries that pose the greatest espionage threat to the United States. The others were Russia, China and Iran.

“The threat from foreign intelligence entities, both state and non-state, is persistent, complex and evolving,” Clapper testified in a February hearing on “Worldwide Threats.” “Targeting collection of U.S. political, military, economic and technical information by foreign intelligence services continues unabated.”  

Over the course of five decades, Fidel Castro built one of the world’s most active intelligence services, whose missions included spying on U.S. military facilities in South Florida and infiltrating leading Cuban exile organizations in Miami. More here.

Previously on this site, it was published that Cuba’s largest source of revenue is stealing and selling intelligence and secrets to enemies of the United States.

Now it appears, Barack Obama is not finished with his new friends in Cuba and handing off gifts to them.

Today, I approved a Presidential Policy Directive that takes another major step forward in our efforts to normalize relations with Cuba. This Directive takes a comprehensive and whole-of-government approach to promote engagement with the Cuban government and people, and make our opening to Cuba irreversible.  Read more here.

It gets worse…..

China and Russia have maintained a sophisticated spy base in Cuba for many years.

The White House
Office of the Press Secretary
For Immediate Release
October 14, 2016

Presidential Policy Directive — United States-Cuba Normalization

October 14, 2016

 

SUBJECT: United States-Cuba Normalization

I. Introduction

On December 17, 2014, I announced that the United States would chart a new course with Cuba, ending an outdated policy that had failed to advance U.S. interests and support reform and a better life for the Cuban people on the island over several decades. Under the new policy, the United States expands and promotes authorized engagements with Cuba to advance cooperation on areas of mutual interest, and increase travel to, commerce with, and the free flow of information to Cuba. The objective of the new policy is to help the Cuban people to achieve a better future for themselves and to encourage the development of a partner in the region capable of working with the United States to confront regional challenges, such as climate change, disease, and illicit trafficking.

Endogenous changes underway in Cuba offer opportunities to advance U.S. interests and shift away from an embargo, which is an outdated burden on the Cuban people and has impeded U.S. interests. My Administration has repeatedly called on the Congress to lift the embargo. United States policy is designed to create economic opportunities for the Cuban people; promote respect for human rights; further advances on regional security and defense issues, such as health, law enforcement, and migration; and pursue cooperation with the Cuban government that can strengthen our leadership in the hemisphere. We recognize Cuba’s sovereignty and self-determination and acknowledge areas of difference. We seek to address such differences through engagement and dialogue, and by encouraging increased understanding between our governments and our peoples.

The large Cuban-American community in the United States has an integral role to play in normalization, and in reconciliation between members of the diaspora who left Cuba and those who remain on the island. Normalization necessarily extends beyond government-to-government rapprochement — it includes rebuilding bridges between individuals and families.

This directive: (1) describes the U.S. vision for normalization with Cuba and how our policy aligns with U.S. national security interests; (2) assesses progress toward normalization; (3) describes the current and foreseen strategic landscape; (4) describes priority objectives for normalization; and (5) directs actions required to implement this PPD.

II. Vision for United States-Cuba Normalization

The vision of the United States for U.S.-Cuba normalization is guided by the following national security interests, as described in the 2015 National Security Strategy:

  • The security of the United States, its citizens, and U.S. allies and partners.
  • A strong, innovative, and growing U.S. economy in an open international economic system that promotes opportunity and prosperity.
  • Respect for universal values at home and around the world.
  • A rules-based international order that promotes peace, security, and opportunity.

Our vision for U.S.-Cuba normalization reflects my Administration’s support for broad-based economic growth, stability, increased people-to-people ties, and respect for human rights and democratic values in the region. In the long-term, the United States seeks the following end-states:

1. Enhanced security of the United States and U.S. citizens at home and abroad. We seek to ensure U.S. citizens traveling to Cuba are safe and secure and the United States is protected from: those seeking to exploit increased connectivity for illicit ends, irregular migration, and natural or man-made hazards. Our policy advances bilateral cooperation in areas of mutual interest, including diplomatic, agricultural, public health, and environmental matters, as well as disaster preparedness and response, law enforcement, migration, and other security and defense topics. Our policy also supports increased cooperation with Cuba on regional initiatives on behalf of these interests.

2. A prosperous, stable Cuba that offers economic opportunities to its people. Increased travel and economic interconnectedness supports improved livelihoods for the Cuban people, deeper economic engagement between our two countries, as well as the development of a private sector that provides greater economic opportunities for the Cuban people. Efforts by the Cuban authorities to liberalize economic policy would aid these goals and further enable broader engagement with different sectors of the Cuban economy. United States policy helps U.S. businesses gain access to Cuban markets and encourages the sustainable growth of the Cuban economy. The U.S. private sector, scientific and medical researchers, agriculture industry, foundations, and other groups have new avenues for collaboration that can provide opportunities for Cuban entrepreneurs, scientists, farmers, and other professionals. At the same time, increased access to the internet is boosting Cubans’ connectivity to the wider world and expanding the ability of the Cuban people, especially youth, to exchange information and ideas. The United States is prepared to support Cuban government policies that promote social equality and independent economic activity.

3. Increased respect for individual rights in Cuba. Even as we pursue normalization, we recognize we will continue to have differences with the Cuban government. We will continue to speak out in support of human rights, including the rights to freedoms of expression, religion, association, and peaceful assembly as we do around the world. Our policy is designed to support Cubans’ ability to exercise their universal human rights and fundamental freedoms, with the expectation that greater commerce will give a broader segment of the Cuban people the information and resources they need to achieve a prosperous and sustainable future. In pursuit of these objectives, we are not seeking to impose regime change on Cuba; we are, instead, promoting values that we support around the world while respecting that it is up to the Cuban people to make their own choices about their future.

4. Integration of Cuba into international and regional systems. We seek Cuban government participation in regional and international fora, including but not limited to, those related to the Organization of American States (OAS) and Summit of the Americas to advance mutually held member objectives. We believe that a Cuba that subscribes to the purposes and standards of such fora will benefit, over time, from bringing its domestic economic and political practices in line with international norms and globally accepted standards. Our policy strengthens the U.S. position in international systems by removing an irritant from our relationships with our allies and partners and gaining support for a rules-based order.

III. Progress Toward United States-Cuba Normalization

Since the United States announced on December 17, 2014, that it would chart a new course with Cuba, we have re-established diplomatic relations and have made progress toward the normalization of our bilateral relationship. We opened our respective embassies, six U.S. cabinet secretaries visited Havana, four Cuban ministers visited the United States, and I became the first sitting U.S. President to visit Cuba since 1928. We established a Bilateral Commission to prioritize areas of engagement, and we concluded non-binding arrangements on environmental protection, marine sanctuaries, public health and biomedical research, agriculture, counternarcotics, trade and travel security, civil aviation, direct transportation of mail, and hydrography. We launched dialogues or discussions on law enforcement cooperation, regulatory issues, economic issues, claims, and internet and telecommunications policy.

Given Cuba’s proximity to the United States, increased engagement by U.S. citizens, companies, and the nongovernmental sector holds extraordinary promise for supporting our national interests. Bearing in mind the limits imposed by the Cuban Liberty and Democratic (LIBERTAD) Solidarity Act of 1996 (“Libertad Act”) and other relevant statutes, the Departments of the Treasury and Commerce implemented six packages of regulatory amendments to the Cuba sanctions program, easing restrictions on travel, trade, and financial transactions. United States individuals, firms, and nongovernmental organizations are availing themselves of these regulatory changes to visit Cuba, and authorized travel to Cuba increased by more than 75 percent from 2014 to 2015. Future U.S. citizen travel will be supported by scheduled air service, which began in August 2016, and the first U.S. cruise liner visited Cuban ports in May 2016. We also commenced direct transportation of mail between our two countries, and U.S. telecommunications firms established direct voice and roaming agreements with Cuba. For its part, the Cuban government has continued to pursue incremental economic reforms and launched more than 100 public Wi-Fi hotspots across the island.

These developments lay the foundation for long-term engagement with Cuba that advances U.S. interests. But we have a great deal more to do to build on that foundation based on a realistic assessment of the strategic landscape surrounding normalization.

IV. Strategic Landscape

Cuba is experiencing several transitions in areas such as leadership, the economy, technological development, civil society, and regional and global integration. Cuba’s leaders recognize the need to transition to the next generation, but they prioritize gradual, incremental changes to ensure stability.

Cuba has important economic potential rooted in the dynamism of its people, as well as a sustained commitment in areas like education and health care. Yet the Cuban government faces significant economic challenges, including eliminating its dual-exchange-rate system, making its state-run enterprises more efficient and transparent, developing a financial system that provides expanded services to individuals and the private sector, and reducing its reliance on foreign subsidies. Cuba remains highly dependent on food and energy imports, yet must cope with limited sources of hard currency to pay for import needs. Significant emigration of working age Cubans further exacerbates Cuba’s demographic problem of a rapidly aging population.

A series of statutes limits U.S. economic engagement with Cuba, precluding a complete lifting of restrictions on U.S. travel to Cuba, prohibiting United States Government export assistance and the provision of U.S. credit for Cuban purchases of agricultural commodities, and requiring that the embargo not be suspended or terminated unless the President determines that a transition or democratically elected government has come to power in Cuba.

Due to Cuba’s legal, political, and regulatory constraints, its economy is not generating adequate foreign exchange to purchase U.S. exports that could flow from the easing of the embargo. Even if the U.S. Congress were to lift the embargo, Cubans would not realize their potential without continued economic reform in Cuba. Cuban government regulations and opaque procurement practices hamper transactions with U.S. companies that would be permitted under U.S. law.

Normalization efforts have raised Cubans’ expectations for greater economic opportunities. With an estimated 1 in 4 working Cubans engaged in entrepreneurship, a dynamic, independent private sector is emerging. Expansion of the private sector has increased resources for individual Cubans and created nascent openings for Cuban entrepreneurs to engage with U.S. firms and nongovernmental organizations. We take note of the Cuban government’s limited, but meaningful steps to expand legal protections and opportunities for small- and medium-sized businesses, which, if expanded and sustained, will improve the investment climate.

Cuba is not a member of international financial institutions (IFIs), such as the International Monetary Fund, the World Bank, and the Inter-American Development Bank, which could provide expertise and potentially finance economic reforms and viable investment projects.

Although Cuba has reached agreement with several creditor nations on bilateral debt relief through restructuring and forgiveness, it remains in default to the United States Government on pre-Cuban revolution bilateral debts and does not participate in international capital markets. Cuba and the United States are both members of the World Trade Organization (WTO); however, neither country applies the agreement to the other because of the U.S. embargo toward Cuba.

Rapprochement has enabled us to increase our engagement with Cuba on regional issues such as the Colombia peace process and healthcare in Haiti, and has undermined an historic rallying point for regimes critical of the United States. Although Cuba has expressed no interest in participating in the OAS, it did attend the Summit of the Americas in 2015. We also welcome engagement between Cuba and other U.S. allies from around the world, including our European and Asian treaty allies. At the same time, we recognize that Cuba and the United States will continue to have differences on many regional and global issues.

U.S. engagement with the Cuban government will also be constrained by Cuba’s continued repression of civil and political liberties. We anticipate the Cuban government will continue to object to U.S. migration policies and operations, democracy programs, Radio and TV Marti, the U.S. presence at the Guantanamo Bay Naval Station, and the embargo. The United States Government has no intention to alter the existing lease treaty and other arrangements related to the Guantanamo Bay Naval Station, which enables the United States to enhance and preserve regional security.

In this strategic environment, the policies and actions the United States pursues to advance our vision for U.S.-Cuba normalization will significantly shape the future of bilateral and regional relations, as well as our shared security and prosperity.

V. Six U.S. Objectives for the Medium-Term U.S.-Cuba Relationship

To advance the four end-state goals associated with our strategic vision for U.S.-Cuba normalization, the United States will move concurrently on the following six priority objectives:

1. Government-to-Government Interaction

We will continue high-level and technical engagement in areas of mutual interest, including agriculture, the economy and small businesses, transportation, science and technology, environment, climate, health, law enforcement, migration, national security, disaster preparedness and response, and counterterrorism. Through the Bilateral Commission, we will identify and prioritize areas of collaboration and engagement that advance our end-state goals. Stronger diplomatic ties will enable constructive engagement on bilateral differences, including our democracy and broadcasting programs, while protecting our interests and assets, such as the Guantanamo Bay Naval Station. We will utilize engagement to urge Cuba to make demonstrable progress on human rights and religious freedom. As the United States and Cuban governments build trust through more frequent engagement, we will increasingly conduct working-level interactions between Cuban ministries and U.S. agencies and departments that lessen the need for high-level conversations on routine matters. Given the lack of diplomatic relations over the past several decades, we will seek broad engagement across the Cuban government, including ministries and local officials. When appropriate and legally available, we will engage with Cuba to normalize trade relations fully.

2. Engagement and Connectivity

The United States will continue to encourage people-to-people linkages through government and privately sponsored exchanges, including those involving educational, cultural, business, science, environment, technology, and sports. As permitted by law, we will continue to support the development of scheduled and chartered air service and maritime links, including ferries. An ongoing partnership with the Cuban-American community is of particular importance given Cuban-Americans’ strong family and socio-cultural ties, as well as their natural role as citizen-ambassadors. We will facilitate opportunities for Cuban-Americans to rebuild and create new bonds with family to support reconciliation. To facilitate Cuba’s goal of increasing its internet access from 5 percent to 50 percent of the population by 2020, we will seek the establishment of a bilateral working group to expand internet connectivity. We will seek opportunities that enable U.S. foundations and universities to establish linkages with Cuba.

3. Expanded Commerce

The United States Government will seek to expand opportunities for U.S. companies to engage with Cuba. The embargo is outdated and should be lifted. My Administration has repeatedly called upon the Congress to lift the embargo, and we will continue to work toward that goal. While the embargo remains in place, our role will be to pursue policies that enable authorized U.S. private sector engagement with Cuba’s emerging private sector and with state-owned enterprises that provide goods and services to the Cuban people. Law enforcement cooperation will ensure that authorized commerce and authorized travelers move rapidly between the United States and Cuba. Although we recognize the priority given to state-owned enterprises in the Cuban model, we seek to encourage reforms that align these entities with international norms, especially transparency.

United States regulatory changes have created space for the Cuban government to introduce comparable changes. In tandem with the Department of the Treasury’s regulatory change to expand Cuba’s access to the U.S. financial system and U.S. dollar transit accounts, the Cuban government announced in early 2016 plans to eliminate the 10 percent penalty on U.S. dollar conversion transactions, subject to improved access to the international banking system. We will sustain private and public efforts to explain our regulatory changes to U.S. firms and banks, Cuban entrepreneurs, and the Cuban government.

4. Economic Reform

While the Cuban government pursues its economic goals based on its national priorities, we will utilize our expanded cooperation to support further economic reforms by the Cuban government. Recent exchanges among financial service institutions and regulators have provided greater mutual understanding of our respective financial system and economic priorities. We will undertake government-to-government dialogues to discuss options for macro- and microeconomic reform, with the goal of connecting the changes in U.S. policy with Cuban reforms in a manner that creates opportunity for U.S. firms and the Cuban people.

If and when the Congress lifts the embargo, my Administration will engage with the Congress and stakeholders on preparatory commercial and economic exchanges and dialogues. My Administration would then similarly engage the Congress on the substance and timing of a new bilateral commercial agreement to address remaining statutory trade requirements.

5. Respect for Universal Human Rights, Fundamental Freedoms, and Democratic Values

We will not pursue regime change in Cuba. We will continue to make clear that the United States cannot impose a different model on Cuba because the future of Cuba is up to the Cuban people. We seek greater Cuban government respect for universal human rights and fundamental freedoms for every individual. Progress in this area will have a positive impact on the other objectives. We will encourage the Cuban government to respect human rights; support Cuba’s emerging, broad-based civil society; and encourage partners and nongovernmental actors to join us in advocating for reforms. While remaining committed to supporting democratic activists as we do around the world, we will also engage community leaders, bloggers, activists, and other social issue leaders who can contribute to Cuba’s internal dialogue on civic participation. We will continue to pursue engagements with civil society through the U.S. Embassy in Havana and during official United States Government visits to Cuba. We will seek to institutionalize a regular human rights dialogue with the Cuban government to advance progress on human rights. We will pursue democracy programming that is transparent and consistent with programming in other similarly situated societies around the world. We will utilize our increased ability to engage regional partners, both bilaterally and through regional bodies, to encourage respect for human rights in Cuba. We will consult with nongovernmental actors such as the Catholic Church and other religious institutions. Finally, we will work with the European Union and likeminded international organizations and countries to encourage the Cuban government to respect universal values.

6. Cuban Integration into International and Regional Systems

We will expand dialogue with Cuba in the organizations in which it already holds membership, such as the WTO and the World Customs Organization (WCO), and we will encourage Cuba to move toward rules-based engagement, subject to statutory requirements. We will encourage Cuba to bring its legal framework, particularly its commercial law, in line with international standards. We will encourage Cuba to meet WCO standards for supply chain security. To the extent permitted by and consistent with applicable law, we will facilitate integration into international bodies, including through the use of technical assistance programs. We will pursue cooperation with Cuba on regional and global issues (e.g., combating the Ebola outbreak and the Colombia peace process). Ending the embargo and satisfying other statutory requirements relating to trade will allow the United States to normalize trade relations with Cuba.

VI. Policy Implementation

1. Roles and Responsibilities

To facilitate the effective implementation of this directive, departments and agencies will have the following roles and responsibilities, consistent with the relevant legal authorities and limits:

The National Security Council (NSC) staff will provide ongoing policy coordination and oversight of the implementation of this PPD and the overall Cuba strategy as necessary.

The Department of State will continue to be responsible for formulation of U.S. policy toward and coordination of relations with Cuba. This includes supporting the operations of Embassy Havana and ensuring it has adequate resources and staffing. Other responsibilities include the issuance of nonimmigrant and immigrant visas, refugee processing, promotion of educational and cultural exchanges, coordination of democracy programs, and political and economic reporting. State will continue to lead the U.S.-Cuba Bilateral Commission and coordinate a number of dialogues, such as the Law Enforcement Dialogue, annual migration talks, and meetings to resolve outstanding claims.

State will continue to co-lead efforts with the U.S. Agency for International Development to ensure democracy programming is transparent and consistent with programming in other similarly situated societies. State will coordinate efforts to advance science and technology cooperation with Cuba. State will support telecommunications and internet access growth in Cuba and provide foreign policy guidance to the Departments of Commerce and the Treasury on certain exports, financial transactions, and other license applications.

The U.S. Mission to the United Nations (USUN), in coordination with State, will oversee multilateral issues involving Cuba at the United Nations. USUN will identify areas of possible collaboration with Cuba that could help foster a more collaborative relationship between the United States and Cuba at the United Nations. The USUN will also participate in discussions regarding the annual Cuban embargo resolution at the United Nations, as our bilateral relationship continues to develop in a positive trajectory.

The Department of the Treasury is responsible for implementation of the economic embargo restrictions and licensing policies. The Treasury will continue its outreach to help the public, businesses, and financial institutions understand the regulatory changes. The Treasury will continue to review and respond to public questions and feedback on regulations and public guidance that could be further clarified and to discuss with State any novel license requests that the Treasury receives from the public to determine whether such requests are consistent with the regulatory changes and existing law. The Treasury will make use of available channels for bilateral dialogue to understand Cuba’s economic and financial system and encourage reforms and will continue to engage in dialogue with the Cuban government about our regulatory changes.

The Department of Commerce will continue to support the development of the Cuban private sector, entrepreneurship, commercial law development, and intellectual property rights as well as environmental protection and storm prediction. If statutory restrictions are lifted, Commerce will promote increased trade with Cuba by providing export assistance to U.S. companies. In the meantime, Commerce will continue a robust outreach effort to ensure that U.S. companies understand that U.S. regulatory changes provide new opportunities to obtain licenses or use license exceptions to increase authorized exports to Cuba, including to Cuban state-owned enterprises that provide goods and services to meet the needs of the Cuban people. Additionally, Commerce will continue to engage in dialogue with the Cuban government about our regulatory changes, as well as the need for simplification of the Cuban import process, transparency in Cuban business regulations, and other steps that will lead to full realization of the benefits of our regulatory changes.

The Department of Defense (DOD) will continue to take steps to expand the defense relationship with Cuba where it will advance U.S. interests, with an initial focus on humanitarian assistance, disaster relief, and counternarcotics in the Caribbean. The DOD will support Cuba’s inclusion in the inter-American defense system and regional security and defense conferences, which will give Cuba a stake in hemispheric stability. The DOD will continue to make contingency preparations and support the capacity of the Department of Homeland Security and State to address mass migration and maritime migration issues pursuant to Executive Orders 12807 and 13276 and consistent with other applicable interagency guidance and strategy.

The Department of Homeland Security (DHS) will engage, together with the Department of Justice, with the Cuban government to combat terrorism and transnational organized crime. In support of U.S. security and foreign policy objectives, DHS will develop protocols for investigative cooperation with Cuba in coordination with other departments and agencies. The DHS will strengthen the security and efficiency of cross-border supply chains and travel systems in support of people-to-people engagement and authorized U.S. trade with the Cuban private sector. The DHS will safeguard the integrity of the U.S. immigration system, to include the facilitation of lawful immigration and ensure protection of refugees. The Secretary of Homeland Security, the United States Government lead for a maritime migration or mass migration, with support from the Secretaries of State and Defense, will address a maritime migration or mass migration pursuant to Executive Orders 12807 and 13276 and consistent with applicable interagency guidance and strategy.

The Department of Justice (DOJ) will engage, together with DHS, with the Cuban government to combat terrorism and transnational organized crime. The DOJ will work with Cuba to expand security and law enforcement cooperation, increase information sharing, and share best practices with Cuban counterparts. This work will build upon, and strengthen, current law enforcement cooperation with Cuba under the umbrella of the U.S.-Cuba Law Enforcement Dialogue and its various working groups, which focus on counterterrorism, counternarcotics, cybercrime, human trafficking, and other areas of criminal activity.

The Small Business Administration (SBA) will continue to engage with the Cuban government, entrepreneurs, small businesses, and cooperative enterprises. The SBA will support exchanges with the Cuban government in areas of mutual interest, particularly on formalization of small businesses and to spur the growth of new enterprises.

The Office of the United States Trade Representative will provide trade policy coordination in international fora and, consistent with statutory requirements and restrictions, prepare for negotiations to normalize and expand U.S.-Cuba trade.

The Department of Agriculture (USDA) will work to increase U.S. food and agricultural exports to Cuba by building market opportunities, improving the competitive position of U.S. agriculture, and building Cuba’s food security and agricultural capacity, while protecting plant, animal, and human health. USDA will work with the Government of Cuba to advance cooperation outlined in the U.S.-Cuba agricultural memorandum of understanding signed in March 2016. The USDA will build the U.S.-Cuba trade and development relationship to the extent permitted by and consistent with applicable law.

The Department of Health and Human Services (HHS), in accordance with the June 2016 memorandum of understanding between HHS and the Ministry of Public Health of the Republic of Cuba, will collaborate with Cuban counterparts in the areas of public health, research, and biomedical sciences, including collaboration to confront the Zika virus, dengue, chikungunya, and other arboviruses. The HHS will promote joint work, such as development of vaccines, treatments, and diagnostics; partner with Cuba to prevent, detect, and respond to infectious disease outbreaks; collaborate in the field of cancer control, treatment programs, and joint research; and exchange best practices related to access to healthcare.

The United States Agency for International Development (USAID) will coordinate with departments and agencies the United States Government’s response to unplanned environmental occurrences, such as natural or manmade disasters. The USAID will co-lead efforts with State to ensure that democracy programming is transparent and consistent with programming in other similarly situated societies.

The Department of Transportation (DOT) will continue to develop air and surface transportation links between the United States and Cuba in support of transportation providers, authorized travelers, and commerce, while providing required regulatory and safety oversight of transportation providers and systems.

The Office of the Director of National Intelligence (DNI) will support broader United States Government efforts to normalize relations with Cuba, with Intelligence Community elements working to find opportunities for engagement on areas of common interest through which we could exchange information on mutual threats with Cuban counterparts.

The Department of the Interior (DOI) will continue cooperation with Cuba on marine protected areas and continue to engage Cuban counterparts to finalize arrangements on wildlife conservation, terrestrial national protected areas, and seismic records.

2. Congressional Outreach

Strong support in the Congress for U.S.-Cuba normalization would contribute to the speed and success of the aforementioned goals, particularly with respect to the embargo and adequate embassy staffing. We will seek to build support in the Congress to lift the embargo and other statutory constraints to enable expanded travel and commerce with Cuba and accelerate normalization. We will regularly engage with Members of Congress and staff on challenges and opportunities in Cuba, advocate for United States Government policies and sufficient staff and resources to implement the aforementioned goals and policy priorities, and encourage and facilitate congressional travel to the region.

3. Monitoring and Oversight

The Interagency Policy Committee (IPC), or its future equivalent, will have primary responsibility for coordinating and overseeing the implementation of this policy. The NSC staff will convene regular IPC and Deputies Committee meetings as necessary to monitor implementation and resolve obstacles to progress. The following departments and agencies will designate senior individuals responsible for managing policy implementation in their agency: State, the Treasury, Commerce, DOD (Office of the Secretary of Defense and Joint Staff), DHS, DOJ, USDA, HHS, DOT, USUN, the Office of the United States Trade Representative, USAID, SBA, and DNI.

4. Previous Guidance

Executive Order 13276, Delegation of Responsibilities Concerning Undocumented Aliens Interdicted or Intercepted in the Caribbean Region, dated November 15, 2002, and Executive Order 12807, Interdiction of Illegal Aliens, dated May 24, 1992, remain in effect.

BARACK OBAMA

Former NSA Contractor Stole 50,000 Gigabytes of Data

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NYT’s/WASHINGTON — Investigators pursuing what they believe to be the largest case of mishandling classified documents in United States history have found that the huge trove of stolen documents in the possession of a National Security Agency contractor included top-secret N.S.A. hacking tools that two months ago were offered for sale on the internet.

The criminal complaint filed September 13, 2016 is here.

They have been hunting for electronic clues that could link those cybertools — computer code posted online for auction by an anonymous group calling itself the Shadow Brokers — to the home computers of the contractor, Harold T. Martin III, who was arrested in late August on charges of theft of government property and mishandling of classified information.

Harold T. Martin III and his wife Deborah Shaw in an undated photo. Deborah Shaw

But so far, the investigators have been frustrated in their attempt to prove that Mr. Martin deliberately leaked or sold the hacking tools to the Shadow Brokers or, alternatively, that someone hacked into his computer or otherwise took them without his knowledge. While they have found some forensic clues that he might be the source, the evidence is not conclusive, according to a dozen officials who have been involved in or have been briefed on the investigation.

All spoke on condition of anonymity because they were not authorized to discuss it publicly.

An anonymous hacker group, calling itself the Shadow Brokers, announced in August a sale of computer codes stolen from the National Security Agency.

Mr. Martin, an enigmatic loner who according to acquaintances frequently expressed his excitement about his role in the growing realm of cyberwarfare, has insisted that he got in the habit of taking material home so he could improve his skills and be better at his job, according to these officials. He has explained how he took the classified material but denied having knowingly passed it to anyone else.

 

“As a contractor, he gets to see a slice of the overall picture,” said one person familiar with the exchanges, summarizing Mr. Martin’s explanation. “He wanted to see the overall picture so that he could be more effective.”

Mr. Martin’s home in Glen Burnie, Md., with car parked outside. Nate Pesce for The New York Times

The material the F.B.I. found in his possession added up to “many terabytes” of information, according to court papers, which would make it by far the largest unauthorized leak of classified material from the classified sector. That volume dwarfs the hundreds of thousands of N.S.A. documents taken by Edward J. Snowden in 2013 and exceeds even the more voluminous Panama Papers, leaked records of offshore companies obtained by a German newspaper in 2015, which totaled 2.6 terabytes. One terabyte of data is equal to the contents of about one million books.

Image result for harold t martin nsa  NBCNews

F.B.I. agents on the case, advised by N.S.A. technical experts, do not believe Mr. Martin is fully cooperating, the officials say. He has spoken mainly through his lawyers, James Wyda and Deborah Boardman of the federal public defender’s office in Baltimore. They declined to comment before a detention hearing set for Friday in federal court.

Investigators discovered the hacking tools, consisting of computer code and instructions on how to use it, in the thousands of pages and dozens of computers and data storage devices that the F.B.I. seized during an Aug. 27 raid on Mr. Martin’s modest house in suburban Glen Burnie, Md. More secret material was found in a shed in his yard and in his car, officials said.

The search came after the Shadow Brokers leak set off a panicked hunt at the N.S.A. Mr. Martin attracted the F.B.I.’s attention by posting something on the internet that was brought to the attention of the N.S.A. Whatever it was — officials are not saying exactly what — it finally set off an alarm.

The release of the N.S.A.’s hacking tools, even though they dated to 2013, is extraordinarily damaging, said Dave Aitel, a former agency employee who now runs Immunity Inc., an information security company.

“The damage from this release is huge, both to our ability to protect ourselves on the internet and our ability to provide intelligence to policy makers and the military,” Mr. Aitel said.

The N.S.A.’s hacking into other countries’ networks can be for defensive purposes: By identifying rivals’ own hacking methods, the agency can recognize and defend against them, he said. And other countries, with some of the N.S.A.’s tools now in hand, can study past hacks and identify the attacker as the N.S.A., learn how to block similar intrusions, or even decide to retaliate, Mr. Aitel said.

Mr. Martin, 51, a Navy veteran who was completing a Ph.D. in information systems at the University of Maryland, Baltimore County, has worked for several of the contracting companies that help staff the nation’s security establishment. After stints at the Computer Sciences Corporation and Tenacity Solutions, where he was assigned to the Office of the Director of National Intelligence, he joined Booz Allen Hamilton in 2009. He worked on that firm’s N.S.A. contract until 2015, when he was moved to a different Pentagon contract in the area of offensive cyberwarfare.

He has long held a high-level clearance and for a time worked with the N.S.A.’s premier hacking unit, called Tailored Access Operations, which breaks into the computer networks of foreign countries and which developed the hacking tools later obtained by the Shadow Brokers. According to one person briefed on the investigation, Mr. Martin was able to obtain some of the hacking tools by accessing a digital library of such material at the N.S.A.

theshadowbrokers @shadowbrokerss

@cyberwar@guardian@VICE@mashable@wired@kaspersky@symantec Equation Group – Cyber Weapon Auction http://pastebin.com/NDTU5kJQ 

****

One possibility investigators are considering is that Mr. Martin did not knowingly share the Shadow Brokers material but that it was physically stolen from him — conceivable given the descriptions of the chaos of his house, shed and car — or more likely, grabbed by hackers. But the forensic examination of Mr. Martin’s computers has so far turned up no evidence that he was hacked, officials say.

The F.B.I. is considering whether he might have sold the hacking tools or other materials for money. His annual salary in recent years has exceeded $100,000 and he owns his house without a mortgage. But he has long bought expensive suits and Rolex watches, according to an old acquaintance, and a person familiar with his finances says he has struggled with debt. Court records show one past lien, an $8,997 state tax bill imposed in 2000 and not paid off until 2014.

Some people who know Mr. Martin favor a psychological motive for taking the documents home — one that echoes what he is himself telling investigators: a drive to distinguish himself and prove that his computer knowledge was equal to that of the N.S.A.’s top operators.

“He always thought of himself like a James Bond-type person, wanting to save the world from computer evil,” said a person who knows him well but would not speak about him on the record for fear of being pulled into the criminal case.

Last year, commenting online on an article on the future of computer warfare, Mr. Martin struck a martial and patriotic tone.

“The battles ahead will require a special breed of warrior,” he wrote. “It’s really a calling, and something the individual has to want to do as a profession, due to the sacrifices required to be top flight in this new, electronic, version of the great game.”

Mr. Martin’s tone of confidence reflected his comfort in the world of computer experts. Mr. Aitel, who runs a popular email list on computer security called Daily Dave, said Mr. Martin regularly emailed the list and him privately, usually expressing his enthusiasm for a technical achievement: “Outstanding! You rock!” he wrote about one exploit, Mr. Aitel said.

For years, Mr. Martin struggled with obesity, and then had gastric bypass surgery and lost a lot of weight, according to acquaintances who did not want to be named because they also did not want to drawn into the investigation. But within a decade, he had gained most of it back, they said.

Not long before his arrest, Mr. Martin exchanged emails with Mr. Aitel about attending Mr. Aitel’s annual security conference, called Infiltrate, scheduled for April in Miami.

“He sounded completely normal,” Mr. Aitel said. “Making plans for the future.”

Courtesy of WikiLeaks: Here Comes Obama’s Emails

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WikiLeaks Releases First Batch Of Barack Obama’s Emails

WikiLeaks has released a new batch of leaked emails, containing messages sent to and from Barack Obama prior to his inauguration.

The emails were sent from what WikiLeaks claims is a secret address, “[email protected].”

****

Breitbart: The top email in today’s leak contains a message from John Podesta about a potential invitation from President George W. Bush to the “President-Elect.” Podesta sent the email while votes were still being cast on November 4th.

The emails show a transition plan being worked on before the 2008 election had taken place. According to an attached memo in one of the emails, Obama was already discussing his transition to office with members of the Bush Administration, including then-Treasury Secretary Hank Paulson, prior to the election.

As you have observed in your interactions with Secretary Paulson, he is apparently eager to involve you and your transition team extensively in his policy choices following the election.

Another attached memo acknowledges that it was unusual to start the transition process so soon.

We are now at the point of deciding how to staff economic policy during the transition, who should be the point of contact with Treasury and how to blend the transition and campaign economic policy talent.

Normally these decisions could be made after the election, and ideally after the selection of a National Economic Advisor, but, of course, these are not normal times.

One of the emails, from Citigroup executive and later Assistant to the President Michael Froman, shows a proposed “diversity list” for the cabinet. In Froman’s own words, the lists consist of :

A list of African American, Latino and Asian American candidates, divided between Cabinet/Deputy and Under/Assistant/Deputy Assistant Sectetary levels, as well as lists of senior Native Americans, Arab/Muslim Americans and Disabled Americans. We have longer lists, but these are candidates whose names have been recommended by a number of sources for senior level jobs in a potential Administration.

A list of women, similarly divided between candidates for Cabinet/Deputy and other senior level positions.

The lists can be viewed in full at the “attachements” tab here.

Subject: Re: G-20
2008-11-04 22:05 2016-10-19 [email protected] [email protected]
Subject: RE: G-20
2008-11-04 21:59 2016-10-19 [email protected] [email protected]
Subject: G-20
2008-11-04 21:39 2016-10-19 [email protected] [email protected]
Subject: Diversity
2008-10-06 22:38 2016-10-18 [email protected] [email protected]
Subject: Economic Staffing Decisions
2008-10-30 19:17 2016-10-17 [email protected] [email protected]
Subject: Re: Economic Staffing Decisions
2008-10-31 01:47 2016-10-17 [email protected] [email protected]
Subject: Contact Information
2008-10-06 15:41 2016-10-13 [email protected] [email protected]
What is curious however is the domain of Ameritech.com…..seems there may be a connection here…..thoughts?
ameritech

ABOUT US

Our vision takes into account a broad range of solution that improve healthcare by focusing on the physicians. In today’s $1.6 trillion healthcare market, 80% of all healthcare costs are the direct result of physician-driven decision. The best way for healthcare providers to improve their revenue by developing a strong relationship with an information partner whom they can trust… and also can help them to manage their entire information infrastructure.

We provide easy-to use, affordable, intuitive interface, scalability solution. It automates and supports the administrative, billing and business process of the practices, which helps to increase your revenue and reduce your cost by providing comprehensive list of services. Ameritech provide fill comprehensive solutions to all aspects of the healthcare industry.

US Office

Ameritech Inc
1 Rockefeller Plaza
New York
NY–10020.

Tel: 917-639 4063
 Fax: 917-639 4005

Dubai Office

Ameritech Inc
Dubai Airport Free Zone East Wing 3, 4th Floor, P.O. Box 54620, Dubai, UAE.

Indian Office

Amerimedtech India Pvt. Ltd.
Tek Towers, Ground Floor,
11, Rajiv Gandhi Salai (OMR),
Okkiyam Thoraipakkam,
 Chennai – 600 097.

Tel: 044-30226600, 044-30439900, 044-30439901, 044-30439902, 044-30439903+ 91-44-64500233

Dirty Production of NHS Drugs Helps Create Superbugs

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Drug resistance

Revealed: How dirty production of NHS drugs helps create superbugs

by Andrew Wasley and Madlen Davies

TheBureau: The NHS is buying drugs from pharmaceutical companies in India whose dirty production methods are fuelling the rise of superbugs, and there are no checks or regulations in place to stop this happening.

The busy intensive care unit at Gandhi Hospital in Hyderabad, a state-run hospital with 1,200 beds

The emergency room at a hospital in Hyderabad, India, where antibiotic resistance is a public health crisis.     Photo by Jagan. S

The growth in superbugs – infections which are resistant to antibiotics – is one of the biggest public health crises facing the world today, and pollution in drug companies’ supply chains is one of its causes. Yet the Bureau of Investigative Journalism has established that firms with a history of bad practice and pollution are supplying the NHS, and environmental standards do not feature in NHS procurement protocols.

New tests on water samples taken outside pharmaceutical factories in India which sell to the NHS found they contained bacteria which were resistant to the antibiotics made inside the plants.

This suggests industrial waste containing active antibiotic ingredients is being leaked into the surrounding environment. Studies have shown how this causes nearby bacteria to develop immunity to the drugs – creating “superbugs” – and that those resistant bacteria then spread around the world.

Responding to the Bureau’s findings, the Department of Health (DoH) said it would consider bringing in new rules for antibiotic factories which export drugs to Britain.

The Bureau’s investigation also established that at least three companies licensed to supply the NHS have not signed up to a new roadmap put in place following a recent United Nations antibiotic resistance summit, in which 13 global pharmaceutical firms pledged to review manufacturing and supply chains to make sure the release of antibiotics into the environment was being properly controlled.

Economist Lord Jim O’Neill, who conducted a major review into global antibiotic resistance, also known as antimicrobial resistance (AMR), told the Bureau the results of the tests were “deeply troubling”. His government-commissioned study found superbugs would kill more people than cancer by 2050 if no action is taken, and cited pollution in pharmaceutical supply chains as a major problem.

The Medicines and Healthcare Regulatory Authority (MHRA) – which licenses companies to make drugs for the UK market and carries out audits of factories – told us it currently has no regulations around waste, and neither does the European Medicines Agency.

Both agencies require manufacturers to meet Good Manufacturing Practices (GMP), a set of rules companies must meet to show their drugs are safe to be sold in the European Union (EU) or the UK. But GMP standards do not cover environmental emissions.

The influential purchasing power of national health services and authorities means they have the ability to bring about significant change in the way drugs are sourced and produced, said Natasha Hurley from the pressure group Changing Markets, which commissioned the water sample testing.

“Purchasers of antibiotics such as the NHS must immediately blacklist pharmaceutical companies with manufacturing practices that contribute to the spread of AMR, and to implement procurement policies that include environmental criteria,” she said.

Changing Markets tested water samples collected at 36 locations across India – including sites adjacent to drug manufacturing plants as well as rivers and wastewater treatment plants – and found 16 contained antibiotic resistant E.coli bacteria.

The highest level of drug resistant bacteria was found in water samples originating from a factory in India run by multinational drug company Aurobindo Pharma.

Freedom of Information requests reveal Aurobindo, through its UK subsidiary Milpharm Ltd, has supplied antibiotics to  NHS trusts across England during the past three years – including the UK’s biggest, Barts Health NHS Trust in East London. Aurobindo also has a £450,000-a-year contract supplying every NHS health region in Scotland with antibiotics including flucloxacillin, metronidazole and meropenem.

The company exports to more than 150 countries around the globe and 87% of its profits – which last year totalled about £200 million – are made from international operations, according to its most recent annual report.

Analysis of water originating inside the perimeter of the company’s plant near the Indian city of Hyderabad found that 70% of E.coli bacteria present were resistant to fluoroquinolones – a class of antibiotics classified by the World Health Organisation (WHO) as being critically important to human medicine.

Fluoroquinolones are manufactured at the plant and despatched all over the world – though the Bureau does not know if drugs made at this particular factory are exported to Britain. However the factory was inspected and certified as meeting the EU’s GMP standards in 2013 – meaning it is authorised to supply the UK.

This graph shows the percentage of resistant bacteria found in or near these sites in India in tests supervised by Dr Mark Holmes at the University of Cambridge. The samples taken from outside Aurobindo’s pharmaceutical factory in Hyderabad are on the far left. They show the highest levels of resistance for all the classes of antibiotics tested in all of the sites visited. This included cefepime, cefpodoxime, ceftazidime and cefotaxime – which are all cephalosporin antibiotics, a class used to treat a wide range of infections. It also included ciprofloxacin, a fluoroquinolone antibiotic and ertapenem, a carbapenem antibiotic. Fluoroquinolones are made at the plant and penicillin-type antibiotics are despatched from them. The tests cannot confirm the resistant E.coli are present as a result of antibiotic manufacturing. Mylan says it operates a zero discharge policy, so antibiotic-related material found in the lake near its Unit 1 cannot have come from there. The Bureau also contacted Hetero and Orchid Pharma, who are licensed to supply the US and UK markets, about the results, who did not respond or declined to comment.

Various studies have found “high levels of hazardous waste” and “large volumes of effluent waste” being dumped into the environment surrounding factories in India and China, where most of the world’s antibiotics are produced. Active ingredients used in antibiotics get into the local soil and water systems, leading to bacteria in the environment becoming resistant to the drugs.

Once established in the environment, the bacteria can exchange genetic material with nearby germs. They can then spread around the world through air and water, and by travellers visiting countries where the bacteria are prevalent.

Aurobindo was caught breaking pollution laws in 2012. The Andhra Pradesh Pollution Control Board ordered closure of two Aurobindo facilities (along with ten other pharmaceutical plants in Hyderabad) “in the interest of protecting public health and the environment”.

The company did not respond to the Bureau’s request for comment.

Changing Markets’ findings follow stark warnings in O’Neill’s review that a failure to tackle pollution from antibiotic production would exacerbate the spread of global superbugs.

The release of untreated waste products from substandard antibiotic factories “acts as a driver for the development of drug resistance, creating environmental ‘reservoirs’ of antibiotic-resistant bacteria,” said the report.

One major 2007 study found “shocking” levels of active antibiotic ingredients being discharged into a river in India, and concentration of the commonly-used antibiotic ciprofloxacin in the water exceeded levels toxic to some bacteria by 1000-fold.

Responding to the new findings, O’Neill told the Bureau: “Reports of this type of untreated antibiotic waste being released into the environment are deeply troubling, and it is the responsibility of all manufacturers – and their suppliers – to ensure that negligent or irresponsible practices do not add fuel to the fire of rising drug resistance”.

O’Neill backed a recent initiative by 13 global pharmaceutical companies to produce an industry “roadmap” to combat antibiotic resistance, pledging to reduce environmental impact of antibiotic production.

The pledge, signed ahead of a high-level UN meeting on AMR last month, included promises to review manufacturing and supply chains to make sure they adhered to good practices and were not releasing antibiotics into the environment. Aurobindo and Milpharm were not among the list of signatories to the document.

Aurobindo also sells antibiotics from the Hyderabad plant in the USA and supplies drugs for the American pharmaceutical company McKesson.

The DoH told the Bureau that emissions from antibiotic factories were a growing concern and one where strong international action was needed.

A spokesperson said: “Although manufacturing practices of companies that supply the NHS are closely monitored by the MHRA, there are no current rules around antibiotic supply. This is something we will consider carefully as our world-leading work on antimicrobial resistance continues.”

O’Neill’s review stressed that it was local populations whose health was most harmed by pharmaceutical pollution. India has become the epicentre of the global antibiotic resistance crisis, due to rampant overuse and misuse of the drugs in human medicine and livestock farming, as well as bad practice by factories.

A study published in the Lancet medical journal last year estimated the deaths of 58,000 newborn Indian babies a year were attributable to blood poisoning from infections resistance to antibiotics.

Dr J.V. Reddy, the chief doctor at Gandhi Hospital in Hyderabad, a state-run hospital with 1,200 beds, told the Bureau that half of all samples sent for testing, including blood and urine samples taken from patients seeking treatment, contained drug-resistant bacteria.

This included Methicillin-resistant Staphylococcus aureus (MRSA) bacteria and E.coli, Klebsiella and Pseudomonas bacteria – most of which contained enzymes which can break down penicillin and cephalosporin antibiotics.

Some E.coli and Klebsiella found were also resistant to carbapenems, last resort antibiotics given when bacteria have become resistant to other types. “Every three days a patient at the hospital dies of sepsis, with antibiotic resistance contributing to these deaths,” Dr Reddy said.

Overuse of antibiotics, the drugs being given for the wrong illnesses, and multiple types being given in one go exacerbates the problem, as well as patients using them irregularly.

By the time they arrive at Gandhi hospital, most people have already been prescribed several antibiotics, he said.

Resistance spreads from India back into the rest of the world. An enzyme called NDM-1, which makes bacteria resistant to carbapenems, was first detected in 2008 in a patient who had been treated in a New Delhi hospital. It has now spread to countries across the world, including the UK.

dsc_0103

‘I was blinded in one eye by an infection resistant to antibiotics’

Anji Reddy, a former farmer, was one of 13 people to lose vision in one of their eyes after an outbreak of a resistant infection. The 70-year-old, from a village near Hyderabad, went to the city’s Sarojini Devi Eye Hospital on June 30 for a cataract operation on his right eye.

A few days after the surgery, doctors removed his bandages and found his eye red, swollen and seeping with pus. Tests revealed it was infected with Klebsiella and E.coli bacteria that was resistant to antibiotics.

It is believed the solution used to irrigate his eyes during the surgery was contaminated. Three months later, Mr Reddy is still in constant pain and can no longer work to provide for his family.

‘I cannot do anything,’ he told the Bureau. ‘Earlier I used to tend to farm animals, clean the litter. I used do some digging. But now I cannot even see the path to walk”.

Thousands like Mr Reddy fall ill with drug resistant infections every year in India.