Big Libya $$ in the UK, Interpol Red Notice

Primer:

Sanctions on ODAC were lifted in 2013

Clinton Burned up the telephone lines with the Brit Counterparts

Drumheller to Blumenthal to Hillary for Business Ventures

Interpol Tripoli

There may be no associations but following the money, the organizations and the long term objectives begs certain questions.

    ODAC projects in Libya

Gaddafi insider accused of using state cash to buy luxury Scottish hotels

Libyan prosecutors ask UK officials for help in investigating claims Ali Ibrahim Dabaiba laundered proceeds of embezzlement in England and Scotland

Guardian: Scottish police are investigating claims by Libyan authorities that a powerful member of Muammar Gaddafi’s inner circle used money meant for hospitals and housing to buy luxury hotels in the Highlands and a string of multimillion pound homes.

The allegations were made in confidential documents sent to Scotland’s lord advocate in a request for legal assistance by the Libyan attorney general in 2014. Extracts of these have been shown to the Guardian.

One of an elite group of Gaddafi insiders known as “companions of the leader”, Ali Ibrahim Dabaiba is suspected by Libyan prosecutors of embezzling millions from public funds during his two decades as head of the country’s major infrastructure commission.

Dabaiba may have awarded contracts worth more than £200m to companies that he ultimately controlled, Libyan prosecutors claim. They allege he then laundered the proceeds in England and Scotland. They say he may have been helped by his sons, his brother, and a group of British associates based in Dunfermline, near Edinburgh.

The Dabaiba family have dismissed the allegations as baseless. They maintain that they are not under investigation in Libya, and their lawyer claims they are “not wanted by any judicial, financial or security bodies”. Their alleged associates did not respond to repeated requests for comment.

Companies the Dabaibas appear to control, according to Libyan prosecutors, have invested in at least six prestigious properties in England with a current value of more than £25m. In London these include a £16.5m flat in Mayfair, a £1m flat in Marylebone, a £7m house in Hampstead; Land Registry records also show two £1m homes in Surrey.

Dabaiba’s salary at ODAC was equivalent to just £12,000 a year. His declared earnings were not, according to Libyan prosecutors, sufficient to allow him to own these properties.

Officers from Police Scotland’s serious organised crime division are understood to be actively pursuing their own investigation. A Scottish Crown Office spokesman said: “We can confirm we have received a request for mutual legal assistance from the Libyan authorities. As this relates to an ongoing investigation it would not be appropriate to comment further.”

**** Reports have also filtered through social media that one of those arrested is Ali Dabaiba, a former Gaddafi official who is wanted by Interpol for crimes including embezzlement and abuse of office. Dabaiba, formerly in charge of the Libyan Organisation for Development of Administrative Centres, turned against the Gaddafi government and provided financial support for the 2011 uprising that eventually overthrew the former dictator.

Related reading: The Hillary Spy Network

WSJ: 2014, LONDON—Libyan authorities are seeking international help in apprehending a former senior official in Moammar Gadhafi’s government who has been under investigation for alleged crimes including embezzlement and abuse of office.

Interpol last week published a so-called Red Notice seeking Ali Dabaiba, who ran Libya’s main government-contracting office for decades during the Gadhafi era. The notice, posted on Interpol’s website, said Mr. Dabaiba is “wanted by the judicial authorities of Libya for prosecution/to serve a sentence.”

A lawyer for Mr. Dabaiba had no immediate comment. An Interpol spokeswoman said the notice was published on Thursday at the request of Libyan authorities. Officials in the office of Libya’s attorney general weren’t available to comment.

The Interpol notice says the allegations against Mr. Dabaiba, 68 years old, include embezzlement, money laundering, abuse of power and other crimes. The notice didn’t address whether Mr. Dabaiba has been criminally charged in Libya.

Interpol’s Red Notice system is designed to help law-enforcement authorities in one country get assistance from other countries to track down and apprehend suspects. Interpol’s website says that the alerts are “to seek the location and arrest of wanted persons with a view to extradition or similar lawful action,” and that the notices are issued “on the basis of a valid national arrest warrant.”

As Libyan authorities try to recoup tens of billions of dollars in assets they believe were looted during Gadhafi’s reign, Mr. Dabaiba’s family has been one focus, according to the investigators and documents submitted to British law-enforcement authorities. Mr. Dabaiba is on a long list of individuals whose assets are restricted in Libya pending further investigation.

Unlike some former government officials who are under investigation, Mr. Dabaiba hasn’t been subject to restrictions on him leaving the country, according to both Libya’s asset-freeze law and the Libyan attorney general’s office.

Among the Dabaiba family’s investments Libyan investigators have been scrutinizing is a 2011 investment in a posh British real-estate agency, Chesterton Humberts, according to people familiar with the investigation and a person close to the family. That investment was the focus of a recent article in The Wall Street Journal.

Chesterton Humberts said on Twitter this month that the Dabaiba family “are not shareholders” and that the company has “never been approached by Libyan government or any law-enforcement agency.” The tweets didn’t address whether the Dabaiba family previously invested in Chesterton Humberts.

As recently as April, Mr. Dabaiba was living in the Libyan port city of Misrata, although he regularly left the country, said people who know him.

Libya’s audit agency said it found multiple questionable financial decisions at Libya’s Organization for Development of Administrative Centers when Mr. Dabaiba was in charge.

Supporters of Mr. Dabaiba say his family’s financial support for the 2011 revolution that ultimately overthrew Gadhafi makes up for any alleged misdeeds during his years at ODAC

Dabaiba ran the Organisation for Development of Administrative Centres (ODAC) for two decades until moving to London in 2011, the year Gaddafi was toppled and killed. During that time, ODAC spent an estimated £28bn of public money on building projects in the oil-rich state.

In his request for assistance from Scotland, the recently retired attorney general Abdulkader Radwan claimed “huge amounts of money” may have been “illegally transferred to the banks in Britain and Scotland”. His prosecutors were investigating whether Dabaiba was involved in embezzlement of public money, money laundering, “illicit gain” and abusing an official position.

The information originally came to light through the Panama Papers. A network of more than 100 companies in the British Virgin Islands (BVI), Malta, Liechtenstein and Britain connected to the Dabaibas and their suspected associates has been identified by asset trackers appointed by the Libyan government. More than 40 of them are in Scotland.

Dabaiba’s suspected assets include the 500-year-old Kenmore hotel on the banks of the river Tay, which claims to be Scotland’s oldest inn. The Kenmore is managed by the Aurora Hotel Collection, a small but growing portfolio of boutique Scottish hotels.

Coolbillboards, which places posters on trucks for Morrisons and Homebase, is among a number of businesses in Britain which Libyan prosecutors also suspect may ultimately belong to Dabaiba.

The request for assistance states Kenmore’s controlling companies, Coolbillboards and the Aurora group “may contain assets belonging to the State of Libya”.

Aurora and Coolbillboards did not respond to requests for comment.

On the British register of company directors, Dabaiba has given as his London address an opulent five-bedroom home at Lowndes Court, a short stroll from Harrods in Knightsbridge. It was advertised for sale in 2013 at £16.5m. The flat has been owned for at least five years a BVI company called Panthino Property SA.

An estate agent photograph of the Lowndes Court apartment.
An estate agent photograph of the Lowndes Court apartment. Photograph: Zoopla

BVI regulators forwarded information to Libyan prosecutors in November 2013 which showed an individual called Ali Dabaiba of Misrata, Libya, was the beneficial owner on Panthino. The company is also listed on the Land Registry as having paid £2.9m for a period detached house in Prince Arthur Road in Hampstead in 2006. The property has a market value of £7m today.

Libyan prosecutors claim a Liechtenstein entity called Cirrus Establishment is also ultimately controlled by the family. Cirrus is a former parent company of Coolbillboards. According to the Land Registry it previously owned a plush London apartment at Dorset House, Gloucester Place, in Marylebone, which Dabaiba’s son Al gave as his address in company filings. And in 2014 the Land Registry shows Cirrus bought two large homes in Surrey valued at £1m each.

Dabaiba was also found by Libyan prosecutors to have purchased a property in an imposing terrace on the upmarket Heriot Row in Edinburgh in 1998, paying £475,000, before selling it in 2006 for more than £1m.

Radwan’s letter cited a number of suspected frauds, including alleged overpayments for building housing units.

Later in 2014 his department sent a longer 76-page dossier, compiled by a team of asset trackers including New York-based investigator Ann Marlowe on behalf of the Libyan litigation department.

The dossier also calls for help in investigating taxpayer-funded deals worth more than 437m Libyan dinars (now £225m) for consultancy work on hospital and archaeology projects in Libya, allegedly awarded in 2008 by Dabaiba to companies controlled by twin brothers Malcolm and Andrew Flinn and their associate Steven Turnbull, who operate from an office at Dunfermline.

The directors appear to have little or no experience in these sectors.

Filings show Marco Polo Storica, a Scottish company awarded two contracts for planning restoration work at ancient Greek and Roman sites along the Libyan coast, was originally wholly owned by the Flinns, whose background is in banking; Turnbull, who is a business graduate; and Walter Calesso, an Italian living in Scotland whose previous work was in interior design, according to a biography he posted on one company website. Calesso is named as the signatory for the ODAC contracts, as is Dabaiba.

The Libyan legal assistance request claims: “It is likely that Marco Polo Storica was set up … to misappropriate Libyan state funds in violation of both Libyan and Scots law” and requires investigation.

The same claim is made of Evergreen Consulting Ltd, based in Malta. Part owned by Calesso, the Flinns and Turnbull, according to the Libyan litigation department, from 2008 until 2010, Evergreen signed six contracts with ODAC for supervising construction work on a series of hospitals.

In UK company filings, Turnbull and the Flinns appear as directors and shareholders in dozens of concerns. Of these companies, 35 shared the same address: 16 Comely Park in Dunfermline.

The Libyan prosecutors claim: “In many, if not all, of these companies, they appear to be acting in some capacity on behalf of Ali Ibrahim Dabaiba.”

The Flinn brothers, Turnbull and Calesso did not respond to requests for comment.

China Has Militarized the S. China Sea

China Is ‘clearly militarizing’ The South China Sea

The U.S. confirmed that China recently deployed fighter jets to Woody Island.

China is “clearly militarizing the South China (Sea),” said Admiral Harry Harris, head of the U.S. Pacific Command, adding: “You’d have to believe in a flat Earth to think otherwise.”

Harris said he believed China’s deployment of surface-to-air missiles on Woody Island in the South China Sea’s Paracel chain, new radars on Cuarteron Reef in the Spratlys and its building of airstrips were “actions that are changing in my opinion the operational landscape in the South China Sea.”

Soon after he spoke, U.S. government sources confirmed that China recently deployed fighter jets to Woody Island. It was not the first time Beijing sent jets there but it raised new questions about its intentions.

“The question is whether they might stay this time,” said Gregory Poling, director of the Asia Maritime Transparency Initiative at the Center for Strategic and International Studies.

But U.S. and Chinese foreign ministers signaled that despite disagreements over the South China Sea, they were near agreement on a U.N. resolution against North Korea for its recent nuclear and missile tests and stressed their cooperation on economic and other issues. More from Huffington Post here.

****

China dismisses US report of its so-called military threat in South China Sea

China’s defense ministry criticized a U.S. report assessing its island-building efforts in the South China Sea, saying it “hyped up” China’s so-called military threat.

The U.S. Defense Department’s annual report on China’s military activities had “wilfully distorted China’s national defense policy,” said ministry spokesman Yang Yujun, adding that the U.S. was too suspicious.

China expressed its “strong dissatisfaction and firm opposition” to the Pentagon report, Yang said.

“China follows a national defense policy that is defensive in nature,” he said. “China’s deepening military reforms and its strengthening of weapons and equipment building are aimed at maintaining sovereignty, security and territorial integrity and guaranteeing China’s peaceful development.”

The report to the U.S. Congress on Friday said that China was focused on developing and weaponizing the islands it has built in the disputed waters of the South China Sea so it will have greater control over the maritime region without resorting to armed conflict.

It accused China of “increasingly assertive efforts to advance its national sovereignty and territorial claims” and a lack of transparency about its growing military capabilities that are causing tensions with other countries in the region.

Yang said it was the United States that had been “frequently sending military aircraft and warships to the South China Sea to make a show of force.”

****

In part from FreeBeacon: The construction indicates China “is attempting to bolster its de facto control by improving military and civilian infrastructure in the South China Seas.”

The airfields, harbors, and resupply facilities will allow China to “detect and challenge” rival claimants to the island and increase the military capabilities available to China and short their deployment times.

The report shows before-and-after pictures of seven disputed Spratly islands, including Fiery Cross Reef where a major buildup took place on 663 new acres of the island.

fierycrossreef

China’s missile buildup is one of the most prominent features of the PLA arsenal with new missiles and the addition of multiple warheads on both new and older systems.

The report also revealed that China is planning a new long-range stealth bomber that would give Beijing a nuclear triad along with ground- and sea-based strategic missiles.

China “is developing and testing several new classes and variants of offensive missiles, including a hypersonic glide vehicle; forming additional missile units; upgrading older missile systems; and developing methods to counter ballistic missile defenses,” the report said.

Several new attack and ballistic missile submarines also have been built and are continuing to be deployed.

China is also building up its space warfare capabilities, and last year, it advanced work on an anti-satellite missile tested in July 2014.

A section of the report on China’s energy strategy reveals that China will remain heavily dependent on foreign oil. Sixty percent of its oil was imported in 2015, and by 2035, Beijing will be importing 80 percent of its oil.

Energy supplies are vulnerable to disruption as some 83 percent of China’s oil currently passes through the South China Sea and Strait of Malacca.

Land pipelines are being built from Russia and Kazakhstan as part of efforts to maintain a supply chain that is less susceptible to disruption.

The report described China’s development of long-range precision attack capabilities as “extraordinarily rapid.”

Ten years ago China’s military had a limited capability to strike targets beyond the 100-mile-wide Taiwan Strait. “Today, however, China is fielding an array of conventionally armed short-range ballistic missiles (SRBMs), as well as ground- and air-launched land-attack cruise missiles (LACMs), special operations forces (SOF), and cyber warfare capabilities to hold targets at risk throughout the region,” the report said.

precisionstrike

“U.S. bases in Japan are in range of a growing number of Chinese [medium-range ballistic missiles] as well as a variety of [land-attack cruise missiles],” the report said, adding that Guam could be targeted by long-range cruise missiles on H-6K bombers that conducted the first flights into the Pacific last year.

The DF-26 missile also was unveiled at a military parade and can conduct precision attacks on Guam, a major U.S. military hub and a key base for the Pentagon’s pivot to Asia.

Land-attack cruise missiles also are far more accurate and can strike enemy airbases, logistic centers, communications, and other ground-based infrastructure.

In a future conflict, the PLA plans to attack supply centers and power projection capabilities that are used in coordinating transportation, communications, and logistics.

China’s military spending was estimated in the report to be greater than $180 billion but could be larger because of Chinese secrecy. The report estimates the budget will grow to $260 billion by 2020.

The report contains a section explaining that the PLA remains a politicized “Party army” rather than a traditional national armed force.

Chinese state media rejects the notion of an apolitical national army because Chinese leaders regard the Soviet Communist Party lack of control over the military as a key factor in the 1991 collapse of the Soviet Union.

One new reform was creating a Political Work Department within the PLA to maintain party control. “The PLA’s political work system is the primary means through which the CCP ‘controls the gun’ in accordance with Mao Zedong’s famous dictum that ‘political power grows out of the barrel of a gun,’” the report says.

Control mechanisms include political commissars, a Party committee system, and Party investigative units.

The Pentagon’s policy, according to the report, seeks to “deepen practical cooperation” while managing differences, a policy that critics say has led to misunderstanding China’s growing official animosity toward the United States.

The solution offered in the report for dealing with the increasing Chinese military threat is to “monitor and adapt” to the buildup and encourage Beijing to end the secrecy of its strategy and arms buildup.

The report made no mention of China’s growing anti-American stance as reflected in both state-run media and official military writings.

In 2013, China’s Communist Party-affiliated newspaper Global Times published a detailed report on future nuclear attacks on the western United States showing how the strikes would kill 12 million Americans through blast and radiation.

The Obama administration and Pentagon made no condemnation of the unprecedented nuclear threat. Read more here.

The Clinton’s and Panama Papers Friends

There has been a constant recent argument that if you are a conservative and don’t vote Trump then you are effectively voting for Hillary. That is a straw man argument when the matter is twofold.

 

Newt Gingrich argued with Congressman Huelskamp over the weekend and admitted Trump is not a ‘Reagan conservative’ but he is better than Hillary. Of course that statement is true. The other matter is why are the Trump fans so fearful that Hillary will get the nomination? Of course she will. Are Republicans so terrified that Hillary cannot be defeated in the general election? If so, then where is the mettle and fire in the belly and force multiplier and a voting army defeat Hillary? If the will is there, the achievement can be so great such that no Democrat will successfully take over the Oval Office for perhaps up to 3 election cycles and it should that way given the last 8 years.

In case this argument needs more ammunition, here are some more political arrows for the quiver relating to the elitist circle of the Clintons. This demonstrates the alternate universe of collusion, money and favors.

Inside Panama Papers: Multiple Clinton connections

Washington/McClatchy:

Hillary Clinton recently blasted the hidden financial dealings exposed in the Panama Papers, but she and her husband have multiple connections with people who have used the besieged law firm Mossack Fonseca to establish offshore entities.

 

Among them are Gabrielle Fialkoff, finance director for Hillary Clinton’s first campaign for the U.S. Senate; Frank Giustra, a Canadian mining magnate who has traveled the globe with Bill Clinton; the Chagoury family, which pledged $1 billion in projects to the Clinton Global Initiative; and Chinese billionaire Ng Lap Seng, who was at the center of a Democratic fund-raising scandal when Bill Clinton was president. Also using the Panamanian law firm was the company founded by the late billionaire investor Marc Rich, an international fugitive when Bill Clinton pardoned him in the final hours of his presidency.

The ties are both recent and decades old, not surprising

for the Democratic presidential front-runner and her husband, who have been in public life since the 1970s.

Each is listed in the massive leak of data from Mossack Fonseca, a law firm with expertise in registering offshore companies, which can have legitimate business purposes, but can also be used to evade taxes and launder money. Several heads of state were found in the leak, leading to the departure of the leader of Iceland and investigations in several other countries.

McClatchy Newspapers and about 350 other journalists working under the umbrella of the International Consortium of Investigative Journalists have searched an archive containing more than 11.5 million Mossack Fonseca documents, including passports, financial records and emails. After a series of articles earlier this month revealed how business owners and politicians used offshores, authorities raided the law firm’s offices in Panama. The law firm has denied all accusations of wrongdoing.

Hillary Clinton condemned what she called “outrageous tax havens and loopholes that super-rich people across the world are exploiting.”

“Now, some of this behavior is clearly against the law, and everyone who violates the law anywhere should be held accountable,” she said, speaking at the AFL-CIO convention recently. “But it’s also scandalous how much is actually legal.”

The Clintons themselves do not appear to be in Mossack Fonseca’s database, nor does it appear that their daughter, Chelsea, or her husband, Marc Mezvinsky, who co-founded a hedge fund, are listed. But Bill and Hillary Clinton’s connections to people who have used offshores is fuel for her Democratic rival, Bernie Sanders.

Clinton has struggled throughout her campaign to show that she can relate to working Americans, while Sanders has cast her as a wealthy out-of-touch Washington insider who has accepted hefty paychecks for speeches and received millions of dollars in campaign contributions from those tied to big businesses. Her connection to the Panama Papers, even if indirect, could magnify that perception.

Lee Miringoff, director of the Marist Institute for Public Opinion in New York, said it would draw voters’ attention once again to Clinton’s ties to big money. “It certainly would play into Sanders’ narrative,” he said.

Sanders said Clinton’s support of a free-trade agreement between the U.S. and Panama – one that he claims has allowed the wealthy to avoid paying taxes – should disqualify her from being the Democratic nominee for president.

“I don’t think you are qualified if you supported the Panama free trade agreement, something I very strongly opposed, which has made it easier for wealthy people and corporations all over the world to avoid paying taxes owed to their countries,” Sanders said recently.

To be sure, a long life in politics has allowed the Clintons to accumulate relationships to wealthy people and businesses across the globe.

One such connection is to Jean-Raymond Boulle, a one-time diamond miner from the volcanic island nation of Mauritius whose company was once based in Bill Clinton’s hometown of Hope, Ark. In the mid 1990s, Boulle was listed as a director of Auk Limited, a British Virgin Islands offshore company, and Gridco Limited, a Bahamas offshore company.

After two meetings with Boulle, Bill Clinton, then-governor of Arkansas, signed legislation allowing his company to engage in exploratory mining in the state. Later, Boulle and his wife attended Clinton’s first inauguration. Boulle’s company did not respond to a message.

“Obviously there’s no wrongdoing – it’s a question of perception and values,” said Meredith McGehee, policy director at the Campaign Legal Center, a nonpartisan, nonprofit organization. “They’ve been in public life so long; when you enter that sphere you have these connections.”

Clinton campaign spokesman Brian Fallon declined to answer specific questions about her connections but referred to Clinton’s earlier comments that criticized the behavior last week. Bill Clinton’s office and the Clinton Foundation declined to comment.

Also among the Clinton connections is Fialkoff, now a senior adviser to New York Mayor Bill de Blasio and director of the city’s Office of Strategic Partnerships. She, her brother, Brett, and her late father, Frank, are listed as shareholders of UPAC Holdings Ltd, a British Virgin Islands offshore company incorporated in June 2012.

Gabrielle Fialkoff said in an email that she has “no knowledge” of the company and referred questions to her brother.

Brett Fialkoff, who serves as chief operating officer at his family’s business, Haskell Jewels, a New York-based designer, marketer and distributor of costume jewelry, initially told McClatchy he didn’t know why his family would be in the documents. Later, he said that someone must have opened an account in their names.

Still, later, he said he set up an offshore company to export accessories from China to the United States. The documents indicate the company’s files are registered in Beijing.

But, he said, he abandoned the new business to give more attention to his family’s jewelry company. He said there’s no money in any bank account overseas and declined to provide details about his compliance with U.S. tax laws.

“I have news for you: There is no money,” he said in a phone interview. “We’re not like Vladimir Putin, trying to hide money.”

The most recent Mossack Fonseca information of December 2015 shows the company remains active, registered on behalf of the Fialkoffs in the British Virgin Islands by a Hong Kong-based consulting company on June 6, 2012. Brett Failkoff acknowledged the company is still “legally alive” but said it does not – nor has it ever – conducted any business.

Gabrielle Fialkoff, a longtime friend of de Blasio, was finance director for Clinton’s 2000 Senate campaign, which de Blasio managed. After serving as Haskell’s president and chief operating officer, she chaired de Blasio’s inauguration and led New York’s unsuccessful bid to host the Democratic National Convention in 2016.

She has been a regular donor to Democratic candidates, including Clinton, according to the Center for Responsive Politics, which tracks money in politics. She also donated between $250 and $1,000 to the Clinton Foundation. Her father donated to Clinton as well. Her brother contributed money to Republicans, including presidential candidates Ben Carson and Rand Paul.

Another connection is Giustra, the director of UrAsia Energy Ltd, a British Virgin Islands offshore company registered in May 2005.

The company wanted to “conduct uranium exploration, development, production and marketing operations and related activities in Kazakhstan and Kyrgyzstan,” according to a draft of the shareholders’ agreement.

UrAsia, based in British Columbia, Canada, finalized a deal in September 2005 to buy uranium mines for $500 million in Kazakhstan, according to published reports.

The deal came after Giustra joined Bill Clinton in Kazakhstan for the launch of a Clinton Foundation health initiative and dined with him and Kazakhstan’s president, among others. The timing prompted questions about whether Bill Clinton played any role in the agreement. Giustra denied that, saying it came after months of negotiations.

The following year, Giustra, who is also involved in filmmaking and founded Lionsgate Entertainment, made a donation of more than $30 million to the Clinton Foundation, according to published reports.

In total, Giustra has committed $100 million to the foundation, according to at least one report, though foundation records don’t give an exact amount, saying only that he is one of the largest individual donors giving more than $25 million. In 2007, he started an affiliated charity that bears his name and initially kept its donors secret despite a 2008 agreement between the Clintons and the Obama administration to make public foundation contributors.

Bill Clinton has flown around the globe on Giustra’s plane, sometimes with him, including to Kazakhstan.

Giustra’s attorney David S. Brown wrote in a letter to McClatchy that his client “had no dealing with the law firm of Mossack Fonseca.”

He also said the use of a company such as UrAsia Energy Ltd. is common in international mining transactions and was used at the direction of an international accounting firm.

“Far from being secretive, opaque or clandestine, UrAsia Energy Ltd. BVI was fully disclosed to the public and to the applicable regulators in 2005 _ to be clear, there was absolutely nothing untoward in the use of this entity,” he wrote.

He declined to answer additional questions.

Former fugitive billionaire Marc Rich’s name doesn’t appear in the Panama Papers, but his company does. The Bahamas offshore Industrial Petroleum Limited was registered in 1992, established by the commodities firm Glencore International in Switzerland, inactivated in 2001.

The allegations against Rich, who died in 2013, ranged from tax evasion to trading with Iran despite bans to selling oil to South Africa’s apartheid government. He fled to Switzerland in 1983, but before the pardon, his ex-wife Denise made a $450,000 donation to Clinton’s presidential library in Little Rock.

Rich’s business partners appear in the data too. And they also give generously to the Clinton Foundation.

Sergei Kurzin, a Russian engineer and investor, appears in a draft shareholders agreement in partnership with Giustra in the British Virgin Islands offshore UrAsia Energy Ltd. Kurzin worked closely with Rich in the 1990s looking for opportunities in the former Soviet Union when it was opened to mining and oil investment.

Kurzin, who has given the Clinton Foundation between $50,000 and $100,000, appears in the Panama Papers as the director and chairman of various oil companies. Kurzin was also a partner in the uranium deal involving Giustra.

In a 2009 interview with Forbes, the British-Russian dual citizen boasted of giving generously to a Clinton-Giustra initiative, noting: “I wrote a check for a million dollars. I don’t think you can call it a small amount.”

Messages left for Kurzin were not returned this weekend.

Also in the Panama Papers is Ronald Chagoury, who along with brother Gilbert leads the Chagoury Group, a Nigerian family-run construction business. The brothers were associated with Nigerian dictator Sani Abacha, who died in 1998, and did business with Glencore and Rich, according to news reports.

Ronald Chagoury appears in the Panama Papers as the main shareholder of Echo Art Ltd. in the British Virgin Islands.

In 2009, the Chagoury Group pledged $1 billion in coastal erosion projects to the Clinton Global Initiative, an offshoot of the foundation, according to the initiative’s website.

The Chagoury Group is building Eko Atlantic, a peninsula city adjacent to Lagos that will be reclaimed from the Atlantic Ocean. The company’s website cites the Clinton Global Initiative’s praise for it as an “environmentally conscious city” under construction.

Gilbert Chagoury’s ties to the Clintons stretch back years. He has given to Bill and Hillary Clinton’s campaigns and has donated between $1 million to $5 million to Clinton Foundation, foundation records show. In 2003 he organized a trip to the Caribbean where Bill Clinton was paid $100,000 for a speech.

Messages left for the Chagourys were not returned this weekend.

Another businessman in the Panama papers, Ng, is listed as a shareholder of two British Virgin Islands companies – South South News International Group Ltd in May 2010 and GOLUCK Ltd. in 2004.

He leads a real estate development company in Macau, China, and is one of the world’s wealthiest people. He was accused in 1996 of sending more than $1.1 million to a Little Rock restaurant owner who then contributed hundreds of thousands of dollars to the Democratic National Committee, according to a 1998 Senate committee investigation.

The restaurant owner, Charlie Trie, pleaded guilty to violating campaign finance laws. Ng was not charged. Another congressional report criticized Ng and others for failing to cooperate during the investigation.

Published reports say Ng visited the White House 10 times from 1994 to 1996, had his photograph taken with Bill and Hillary Clinton, sat beside Bill Clinton at an event at a Washington hotel, and rode in an elevator with Hillary Clinton.

Last year, Ng was charged with bribing a United Nations official and lying about what he was doing with $4.5 million in cash he brought into the U.S. over two years. Investigators say instead of spending it at casinos or on art, antiques or real estate, he used the money for bribes as he sought investments in Antigua and China. Another man listed in the same criminal complaint is president of the New York-based South South News, the same name of the British Virgin Islands company.

Ng’s lawyer, Kevin Tung, has said that his charges are based on a misunderstanding. Tung, Benjamin Brafman and Hugh Mo, two others who are or have represented Ng, did not respond to requests for comment.

In 2011, Sanders predicted in a Senate speech that the Panama trade deal would make it easier for the wealthy to hide their cash in Panama.

“I wish I had been proven wrong about this, but it has now come to light that the extent of Panama’s tax avoidance scams is even worse than I had feared,” he said in a statement earlier this month.

Hillary Clinton had opposed the deal in 2008 when she was running for president. But later, as secretary of state, she helped push the agreement through Congress. Her supporters, however, say that the trade pact did not open the door to additional tax evasion.

A Democrat-controlled Senate approved the trade deal. In October 2012, then-Senate Finance Committee Chairman Max Baucus, D-Mont., lauded the deal’s “strong language to crack down on tax evasion and money-laundering in Panama.”

Both Clinton and Sanders have vowed to go after Americans who try to hide their wealth.

Clinton said she would shut down what she called the private tax system for the wealthy while Sanders has said he would end the trade deal with Panama within six months and investigate U.S. banks, corporations and individuals stashing their cash in Panama to avoid taxes.

“We’re going after all these scams and make sure that everyone pays their fair share here in America,” she said. “I’m going to hold them accountable, and we’re going to have a special effort to track all these resources wherever they might lead.”

McClatchy has much more here and it is worth the long read to understand more not only on the Clintons but of the elites around the world that our own elites entertained, manipulated, approved of and how some laws and sanctions were waived.

Millennium Challenge Corporation, Billions go Offshore

President’s Budget Includes $1.25 Billion for Millennium Challenge Corporation

The current Millennium Challenge Corporation CEO is Dana Hyde.

Hyde grew up in a small town in eastern Oregon and received her undergraduate degree in political science from UCLA.

From 1989 to 1991, Hyde served as a legislative assistant for the American Israel Public Affairs Committee (AIPAC). She subsequently worked on President Bill Clinton’s first campaign for the White House. After Clinton’s inauguration, Hyde served as special assistant to the president in the White House Office of Cabinet Affairs, coordinating policy initiatives with the chiefs of staff of national security agencies. She remained in that post until 1995. She later served as special assistant to the Deputy Attorney General in the Clinton Justice Department.

She received her law degree from Georgetown and passed the bar in 1997. From 1998 to 2000, Hyde worked as an attorney at the law firm Zuckerman, Spaeder. Then, from 2001 to 2002, she practiced law as part of the international arbitration group at WilmerHale. She also worked in London for the firm of Wilmer, Cutler & Pickering.

One of Hyde’s most prominent roles was as counsel to the 9/11 commission, where she served from 2003 to 2004. She focused on crisis management issues and the immediate response of the White House, the Pentagon, and the Federal Aviation Administration to the attacks.

After leaving the commission, Hyde was executive director of the Partnership for a Secure America. This organization has as its goal the advancement of bipartisan work on national security and foreign policy issues.

In 2009, after serving on the Obama-Biden transition team, Hyde was named a senior advisor for management and resources at the State Department. Then, in 2011, Hyde moved to the Office of Management and Budget, becoming associate director for general government programs.

Justification document for Congress

Where We Work

MCC forms partnerships with poor countries that show they are committed to good governance, economic freedom, and investing in their citizens. Click here to see the countries and then remind yourself about the terror and corruption in each.

Initiatives

Since its creation in 2004, MCC has been advancing and accelerating the conversation on aid effectiveness.

MCC is committed to helping our partner countries adapt to climate change and mitigate emissions through climate resilient, low carbon economic development.

Country ownership—or country-led development—has been broadly embraced by the international donor community as a critical element of international development aid.

One of MCC’s core principles is that aid is most effective in countries with a sound commitment to accountable and democratic governance.

MCC has been at the forefront of transparency in delivering aid.

MCC works with partner countries to integrate internationally-accepted principles of environmental and social sustainability into the design and implementation of compacts.

Controlling corruption a key indicator in selecting countries for compact eligibility and throughout the compact lifecycle. MCC—with the MCAs—promotes measures to prevent, detect and combat corruption before it occurs and to address problems after they emerge.

With its partner countries in the lead, the MCC portfolio of investments has been on the forefront of addressing food security priorities since MCC’s first compact in 2005.

MCC recognizes that gender and social inequality are significant constraints to economic growth and poverty reduction.

MCC leads the charge to uncover the best data available to fight corruption by partnering with experts to form a Governance Data Alliance. MCC and the alliance are committed to filling the gaps for measuring governance.

MCC has obligated nearly $3 billion for trade capacity building in AGOA countries on infrastructure like roads and power, on upping productivity of small and medium-size businesses and export-heavy sectors, and leveraging policy and regulatory reforms.

Through its compacts in partner countries, MCC has committed approximately $1.5 billion to support Power Africa, the U.S. Government’s effort to double access to electricity in sub-Saharan Africa.

MCC supports its partner countries in their efforts to achieve the SDGs and improve the lives of their people by fighting poverty through inclusive economic growth.

MCC applies the principles of economic growth, strong policies, country-led plans and rigorous evaluation to create a more stable and prosperous future for the world’s poor.

Development needs around the world will not be met by foreign assistance alone. Official development assistance must increasingly catalyze other resources to finance development – including private-sector investment. Here’s one way MCC is doing just that.

In selecting partner countries, MCC relies on independent public data that captures as clearly as possible the actions governments take to fight corruption. MCC is seeking improved and expanded indicators from the institutions that produce this data.

NGO consultations are at the core of MCC’s compact development process. By listening to the voices and experience of the broader NGO community, MCC leverages all available expertise from others to maximize our investments.

MCC has been at the forefront of transparency in delivering aid.

MCC and other U.S. Government agencies have joined together to coordinate Partnership for Growth (PFG), a partnership between the United States and a select group of high-performing developing countries to accelerate and sustain broad-based economic growth.

Smart Aid Series

Since its founding, MCC has sought innovative ways to reduce poverty through economic growth. Smart Aid brings together development practitioners and MCC staff to share best practices, lessons learned, and engage in a dialogue to effectively move aid forward.

Country Scorecards

The country scorecards consolidate an individual country’s scores for each of the policy indicators MCC uses to determine eligibility for its assistance programs. By using information collected from independent, third-party sources, MCC allows for an objective comparison of all candidate countries.

 Filter by

100 Years old, Sykes Picot Debate Heats Up

The Islamic State (IS) group wilfully defies any frontier blocking its route to an Islamic caliphate. According to Tarek Osman, author of Islamism, we are only part-way through a revolution with no clear endgame.“Sykes-Picot was a pillar of a system in the Middle East that we are watching fall apart today, as something new is being formed. Right now, we’re in a fluid, chaotic phase and a new system will not emerge for a number of years,” Osman told Middle East Eye. More from MiddleEastEye.

More on Sykes-Picot: The Agreement as Written

As I noted in my first post on the Sykes-Picot Agreement, which was concluded a century ago this month, “Sykes-Picot” has become a convenient shorthand for the entire constellation of agreements and understandings that contributed to the postwar settlement, agreements spread out from as early as 1915 to as late as 1939, or even later if we include the partition of Palestine. In coming days I’ll be dealing with the actual agreements, but first let’s look at the real Asia Minor Agreement negotiated between Sir Mark Sykes and M. François Georges-Picot in 1916 and what borders it actually envisioned.

Britain and France began discussions of a post-Ottoman settlement on November 23, 1915, with Georges-Picot negotiating with Sir Arthur Nicolson, soon replaced by Sir Mark Sykes,. At that time efforts by David Lloyd George and Herbert Samuel to promote a Jewish state in Palestine were already under way, and Sir Henry McMahon in Egypt was already committing Britain to support an independent Arab state in correspondence with Sharif Hussein of Mecca. Another round of negotiations took place in December, and in February 1916 Sykes visited Petrograd to meet with Russian Foreign Minister Segey Sazonov. Negotiations with the Zionists and the commitments to Sharif Hussein were known to Sykes.

Sir Mark Sykes
F. Georges-Picot

The basic text was ready by May. On May 9, French Ambassador to London Paul Cambon transmitted it in a letter to British Foreign Secretary Sir Edward Grey, who returned it  with approval on May 16. Signed May 19 and with a formal exchange of notes May 2, the precise date that should be “celebrated” as the centenary is a little slippery.

The agreement’s text is below after the map. Although the agreement gives lip service to the idea of an “independent” Arab stste, it would be subordinate to British and French zones of influence, and both had zones in which they claimed direct control. Britain and France made a umber of guarantees to each other (Palestine would be under international control but with Britain controlling Haifa, Acre, a railway to Egypt and a future railway to Iraq.)

Both parties seemed to recognize that the agreement had potential conflicts, but it was a secret agreement, and intended to remain so. As I’ve tried to make clear, I’m not defending Sykes-Picot, which was imperialist arrogance at its worst;I’m simply saying that, except for a general roe for France in Syria (but then including Mosul) and Britain in Iraq. The status of Mosul and Palestine would be among the first things to change, and of course the whole disposition of Anatolia would change.

One thing that would speed the unraveling of the details of  Sykes-Picot was its sudden revelation by the Bolsheviks in November 1917, which we’ll discuss in Part 3.

Text of Sykes-Picot Agreement

It is accordingly understood between the French and British governments:
That France and Great Britain are prepared to recognize and protect an independent Arab states or a confederation of Arab states (a) and (b) marked on the annexed map, under the suzerainty of an Arab chief.
That in area (a) France, and in area (b) great Britain, shall have priority of right of enterprise and local loans. That in area (a) France, and in area (b) great Britain, shall alone supply advisers or foreign functionaries at the request of the Arab state or confederation of Arab states.

That in the blue area France, and in the red area great Britain, shall be allowed to establish such direct or indirect administration or control as they desire and as they may think fit to arrange with the Arab state or confederation of Arab states.

That in the brown area there shall be established an international administration, the form of which is to be decided upon after consultation with Russia, and subsequently in consultation with the other allies, and the representatives of the Shariff of Mecca.
That great Britain be accorded (1) the ports of Haifa and Acre, (2) guarantee of a given supply of water from the Tigris and Euphrates in area (a) for area (b). His majesty’s government, on their part, undertake that they will at no time enter into negotiations for the cession of Cyprus to any third power without the previous consent of the French government.

That Alexandretta shall be a free port as regards the trade of the British empire, and that there shall be no discrimination in port charges or facilities as regards British shipping and British goods; that there shall be freedom of transit for British goods through Alexandretta and by railway through the blue area, or (b) area, or area (a); and there shall be no discrimination, direct or indirect, against British goods on any railway or against British goods or ships at any port serving the areas mentioned.

That Haifa shall be a free port as regards the trade of France, her dominions and protectorates, and there shall be no discrimination in port charges or facilities as regards French shipping and French goods. There shall be freedom of transit for French goods through Haifa and by the British railway through the brown area, whether those goods are intended for or originate in the blue area, area (a), or area (b), and there shall be no discrimination, direct or indirect, against french goods on any railway, or against French goods or ships at any port serving the areas mentioned.
That in area (a) the Baghdad railway shall not be extended southwards beyond Mosul, and in area (b) northwards beyond Samarra, until a railway connecting Baghdad and Aleppo via the Euphrates valley has been completed, and then only with the concurrence of the two governments.
That Great Britain has the right to build, administer, and be sole owner of a railway connecting Haifa with area (b), and shall have a perpetual right to transport troops along such a line at all times. It is to be understood by both governments that this railway is to facilitate the connection of Baghdad with Haifa by rail, and it is further understood that, if the engineering difficulties and expense entailed by keeping this connecting line in the brown area only make the project unfeasible, that the French government shall be prepared to consider that the line in question may also traverse the Polygon Banias Keis Marib Salkhad Tell Otsda Mesmie before reaching area (b).

For a period of twenty years the existing Turkish customs tariff shall remain in force throughout the whole of the blue and red areas, as well as in areas (a) and (b), and no increase in the rates of duty or conversions from ad valorem to specific rates shall be made except by agreement between the two powers.

There shall be no interior customs barriers between any of the above mentioned areas. The customs duties leviable on goods destined for the interior shall be collected at the port of entry and handed over to the administration of the area of destination.
It shall be agreed that the french government will at no time enter into any negotiations for the cession of their rights and will not cede such rights in the blue area to any third power, except the Arab state or confederation of Arab states, without the previous agreement of his majesty’s government, who, on their part, will give a similar undertaking to the french government regarding the red area.
The British and French government, as the protectors of the Arab state, shall agree that they will not themselves acquire and will not consent to a third power acquiring territorial possessions in the Arabian peninsula, nor consent to a third power installing a naval base either on the east coast, or on the islands, of the Red Sea. This, however, shall not prevent such adjustment of the Aden frontier as may be necessary in consequence of recent Turkish aggression.
The negotiations with the Arabs as to the boundaries of the Arab states shall be continued through the same channel as heretofore on behalf of the two powers.
It is agreed that measures to control the importation of arms into the Arab territories will be considered by the two governments.
I have further the honor to state that, in order to make the agreement complete, his majesty’s government are proposing to the Russian government to exchange notes analogous to those exchanged by the latter and your excellency’s government on the 26th April last. Copies of these notes will be communicated to your excellency as soon as exchanged. I would also venture to remind your excellency that the conclusion of the present agreement raises, for practical consideration, the question of claims of Italy to a share in any partition or rearrangement of turkey in Asia, as formulated in Article 9 of the agreement of the 26th April, 1915, between Italy and the allies.

His Majesty’s Government further consider that the Japanese government should be informed of the arrangements now concluded.