Apple, China and iCloud Data Safety?

Primer: Pegatron, the factory at the corner of Xiu Yan and Shen Jiang roads is one of the most secretive facilities at the heart of iPhone production and covers an area equal to almost 90 football fields. In the center is a plaza with a firehouse, police station and post office. There are shuttle buses, mega-cafeterias, landscaped lawns and koi ponds. The grey and brown-hued concrete buildings are meant to evoke traditional Chinese architecture. The brand-new Shanghai Disneyland, which opens its doors in June, is a 20-minute drive away.

Inside, the factory still hides a secret, according to China Labor Watch. Base pay remains so low that workers need overtime simply to make ends meet, the advocacy group said. It said 1,261 pay stubs from Pegatron’s Shanghai facility from September and October 2015 show evidence of excessive overtime. Pegatron, an Asustek spinoff, is the world’s biggest contract electronics manufacturer after Foxconn, according to Bloomberg Intelligence. More here.

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This Wednesday, Apple will be making some significant changes to how data is stored for users of its iCloud service in China – raising major concerns that the Chinese authorities will now be able to freely monitor Apple’s users in China. This may be quite worrying for he population and may remind you of the iCloud breach on 31 August 2014. Ever since then, people have been very sceptical of storing precious information online and have been purchasing services from businesses like http://www.thefinalstep.co.uk/ to protect their data from any hackers.

Apple has a reputation for being a powerful advocate for privacy and security. The company uses strong encryption by default in its services and grabbed headlines when it appealed a US court order that would allow the FBI to get around the phone’s security. Apple CEO Tim Cook even sent all Apple consumers a personal letter explaining the importance of privacy.

With China, however, a different story has emerged. Apple has been criticised for blocking Chinese users’ access to the Apple News app and for removing VPN apps from the App Store in China. The changes being made to iCloud are the latest indication that China’s repressive legal environment is making it difficult for Apple to uphold its commitments to user privacy and security. What do these changes mean and what options do Apple’s customers have to protect themselves?

  1. What is happening to Apple’s iCloud service in China?

On 28 February, Apple will transfer operation of its iCloud service for Chinese users to a Chinese company, Guizhou-Cloud Big Data Industry Development Co., Ltd (“GCBD”). The concept of iCloud and other Cloud computing services can be quite confusing to some, especially if it is something completely new to you. It is very interesting to look into. As many of us use services like this to store our files and photos, it makes sense to know what this is all about. Why not look into a site like https://www.salesforce.com/what-is-cloud-computing/ to stay informed.

The move will affect any photos, documents, contacts, messages and other user data and content that Chinese users store on Apple’s cloud-based servers. New Chinese legislation enacted in 2017 requires cloud services to be operated by Chinese companies, meaning companies like Apple must either lease server space inside China or establish joint ventures with Chinese partners.

  1. How does storing user data in China put individuals at risk?

Domestic law gives the Chinese government virtually unfettered access to user data stored inside China without adequate protection for users’ rights to privacy, freedom of expression or other basic human rights. Chinese police enjoy sweeping discretion and use broad and ambiguously constructed laws and regulations to silence dissent, restrict or censor information and harass and prosecute human rights defenders and others in the name of “national security” and other purported criminal offences. As a result, Chinese Internet users can face arrest and imprisonment for merely expressing, communicating or accessing information and ideas that the authorities don’t like.

Furthermore, China’s Cyber Security Law requires network operators to provide “technical support and assistance” to law enforcement and state security agents. That means that when the authorities come to GCBD requesting information about an iCloud user for the purposes of a criminal investigation, the company has a legal obligation to provide it and few, if any, viable legal avenues to challenge or refuse the request.

  1. Apple says it has control over encryption keys and that it won’t allow backdoors. Won’t that protect users in China?

It all depends on the circumstances under which the company will allow GCBD – and the Chinese authorities – access to intelligible decrypted data on iCloud users. When users accept the terms of service for iCloud in China, they agree to allow their information and content to be turned over to law enforcement “if legally required to do so”. Significantly, from now on Apple will store the encryption keys for Chinese users in China, not in the US – making it all but inevitable that the company will be forced to hand over decrypted data so long as the request complies with Chinese law.

Given that many provisions of Chinese law offer inadequate protection to privacy, freedom of expression and other rights, simply checking whether government information requests comply with Chinese law doesn’t address whether complying with the request might contribute to human rights violations. Apple hasn’t confirmed whether or how it will assess whether government information requests might violate users’ human rights. We won’t really know how Apple will respond until it’s put to the test, and unfortunately that’s probably just a matter of time.

As for “backdoors”, or technical measures that would allow law enforcement or other government agencies to access unencrypted user data without having to ask for it, Apple’s commitment to prevent their use is admirable. But the commitment is meaningless if law enforcement can get the companies to decrypt user information simply by saying that it is for a criminal investigation.

  1. What should iCloud users inside China do to protect themselves?

The best way to protect your personal information from being accessed by the Chinese government is to avoid storing it on servers inside China. Users with a credit card and billing address outside China can use those to register their accounts and keep storing their iCloud data outside China. Otherwise, the only option available to Chinese users is to delete their iCloud accounts and permanently opt out of the service. (Apple has provided instructions for how to do so here.) Individual users should seriously consider the risks involved and come to their own decision, but Apple should protect Chinese users by switching iCloud off by default and giving users very clear warnings about the risks they may face by opting in to the service.

  1. How can ICT companies act responsibly when operating in China?

Companies have a responsibility to respect all human rights wherever they operate in the world. Users of their products and services need to be given clear and specific information about risks they might face to their privacy and freedom of expression in China, and what action the company is taking in response. Companies should carry out regular and verifiable human rights impact assessments and demonstrate publicly that they have oversight, due diligence and accountability measures in place to ensure respect for human rights. Finally, companies should do everything they can to influence the Chinese government to protect and respect human rights and speak up and challenge government actions when they threaten human rights. If a company finds that it is unable to mitigate the high risk of human rights violations, it may be forced to decide not to operate in China.

Apple’s official website declares: “At Apple, we believe privacy is a fundamental human right.” It remains to be seen whether Apple can put its words into action.

Sessions DoJ Sues California

California, Gov. Jerry Brown and state Attorney General Xavier Becerra as co-defendants in the DoJ lawsuit.

Attorney General Jeff Sessions on Wednesday attacked the mayor of Oakland, California for warning residents about impending immigration raids, one day after filing a lawsuit against the state alleging it obstructs federal immigration enforcement.
“How dare you needlessly endanger the lives of law enforcement just to promote your radical open borders agenda,” Sessions said of Oakland Mayor Libby Schaaf.

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In his remarks, Sessions noted “worrisome” trends as violent crime increased in 2014 and 2015, particularly a surge in homicide and drug availability. He said that a lawful immigration system was part of tackling such trends.

Sessions said that while America admits the highest number of legal immigrants in the world, the American people deserve a legal, rational immigration system that protects the nation and preserves the national interest.

“It cannot be the policy of a great nation to reward those who unlawfully enter its country with legal status, Social Security, welfare, food stamps, and work permits and so forth. How can this be a sound policy?” he asked.

“Meanwhile, those who engage in this process lawfully and patiently and wait their turn are discriminated against, it seems, at every turn.”

Turning to California, he described “open borders” policies that refuse to apprehend and deport illegal immigrants as a “radical, irrational idea that cannot be accepted” and rejected the right of states to obstruct federal immigration law.

“There is no nullification. There is no secession,” he said. “Federal law is the supreme law of the land. I would invite any doubters to go to Gettysburg, or to the tombstones of John C. Calhoun and Abraham Lincoln.”

He then tore into Oakland Mayor Libby Schaaf, who tipped off the public to an immigration raid in the San Francisco Bay Area last week — a move he said led to as many 800 illegal immigrants evading capture and put both residents and law enforcement at risk. More here.

The 18 page complaint is here.

The lawsuit, filed in federal court in the state capital of Sacramento, challenges three specific laws:

— SB 54, which restricts law enforcement officials from notifying federal immigration agents about the release dates for prisoners in their custody who have been convicted and therefore face deportation. It also prohibits local officials from transferring those prisoners to federal custody.

As a result, the Justice Department says, immigration agents face greater danger in re-arresting the former prisoners once they’re back on the streets.

— AB 450, which forbids private employers from cooperating with immigration agents who conduct worksite enforcement operations. The law also requires employers to tell their workers when federal agents are coming to conduct inspections.

The Justice Department said a committee of the state legislature described the law as an effort to frustrate “an expected increase in federal immigration enforcement actions.”

— And AB 103, which requires the state to inspect detention facilities where federal authorities are holding immigrants who face deportation.

 

CFIUS, what is Worse than Uranium One?

When Douglas Campbell, the FBI informant and Uranium One whistle-blower says that Obama himself approved the deal, he was right. Campbell has delivered in February, written testimony annexed with full evidence to three congressional committees. Further, he was provided an monetary award/reward for his remarkable work as an informant. For the full summary and details, go here.

Campbell’s lawyer of record, Victoria Toensing has sent a letter to Attorney General Jeff Sessions to further investigate the matter and the media smearing of Campbell himself including committee leaks. That letter is found here.

AG Sessions has not responded at the time of this post.

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Related reading: Cfius, Powerful and Unseen, Is a Gatekeeper on Major Deals

Meanwhile, looking deeper into Obama and CFIUS….

By law, CFIUS, Committee on Foreign Investment in the United States, does not publicly disclose information provided to CFIUS by parties to a transaction, nor does it reveal the fact that the parties have submitted the transaction for review. If CFIUS determines that the transaction poses national security concerns that cannot be resolved, it will refer the transaction to the President which the President has 15 days after completion of CFIUS’s investigation to decide. The President must publicly announce his decision.

CFIUS provides an annual report to Congress, but the last report was dated 2015. This report is in accordance with section 721(m) of the Defense Production Act of 1950 and the amended section of the Foreign Investment and National Security Act of 2007.

The Process  

During the review period, CFIUS members examine the transaction in order to identify and address, as appropriate, any national security concerns that arise as a result of the transaction. CFIUS concludes action on the preponderant majority of transactions during or at the end of the initial 30-day review period.  In certain circumstances defined in section 721 and at § 800.503 of the regulations, CFIUS may initiate a subsequent investigation, which must be completed within 45 days.  In certain circumstances described at section 6(c) of Executive Order 11858, as amended, and § 800.506 of the regulations, CFIUS may also refer a transaction to the President for decision.  In such case, section 721 requires the President to announce a decision with respect to a transaction within 15 days of CFIUS’s completion of the investigation. If CFIUS finds that a covered transaction presents national security risks and that other provisions of law do not provide adequate authority to address the risks, then CFIUS may enter into an agreement with, or impose conditions on, parties to mitigate such risks or may refer the case to the President for action.

Where CFIUS has completed all action with respect to a covered transaction or the President has announced a decision not to exercise his authority under section 721 with respect to the covered transaction, then the parties receive a “safe harbor” with respect to that transaction, as described in § 800.601 of the regulations and section 7(f) of Executive Order 11858, as amended.

Rejection

During the entire term of President, he only got one referral that he rejected. President Obama blocked a privately owned Chinese company from building wind turbines close to a Navy military site in Oregon due to national security concerns, and the company said it would challenge the action in court.

Ralls Corp, which had been installing wind turbine generators made in China by Sany Group, has four wind farm projects that are within or in the vicinity of restricted air space at a naval weapons systems training facility, according to the Obama administration.

“There is credible evidence that leads me to believe” that Ralls Corp, Sany Group and the two Sany Group executives who own Ralls “might take action that threatens to impair the national security of the United States,” Obama said in issuing his decision.

Industry Sectors

From 2009-2015, 75% of the foreign transactions included finance, information, mining, utilities and transportation. From 2013-2015, China was the largest country with transactions by far with manufacturing being the majority of the transactions. If there are concerns with any part of the transaction, CFIUS will work on mitigation measures as they relate to national security such that CFIUS earnestly wants the transaction(s) to occur. CFIUS offers onsite compliance, assigns additional staff and offers tracking systems as well as instructions and procedures from in-house expertise to meet stipulations and standards where on other issues, waivers can be designated if compliance is too difficult or adverse to national security standards and law.

Review Concerns

Expanded conditions for national security considerations include vulnerabilities, cyber, sabotage and exploitation. Further, if any transaction leads to complications to critical infrastructure or energy production or would affect the U.S. financial system and would in some conditions have access to sensitive government information, classified material or in any manner threaten a government employee, involve activities related to weapons, munitions, aerospace, satellite or radar system(s), these items would impair the approval process or under the CFIUS review, mitigation procedures would be applied.

Little is of consequence when a foreign company that under cover is actually controlled by a foreign government which is a terrifying condition. A 2011 Office of the National Counterintelligence Executive report to Congress stated that the pace of foreign economic collection and industrial espionage activities against major U.S corporations and U.S. government agencies is accelerating.

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Are we sure we want China, Russia or any Middle Eastern country investing in any form or part in the United States when we have the likes of Warren Buffet or Bill Gates and those billions?

Sens. Tom Cotton (R-Ark.) and Marco Rubio (R-Fla.) introduced legislation on Wednesday to prevent the U.S. government from using products from certain Chinese telecommunications firms.

The impetus for Cotton and Rubio’s legislation is concern over the Chinese government using hypothetical backdoors in ZTE and Huawei phones to spy on U.S. government officials.

“Huawei is effectively an arm of the Chinese government, and it’s more than capable of stealing information from U.S. officials by hacking its devices,” Cotton said in a statement. “There are plenty of other companies that can meet our technology needs, and we shouldn’t make it any easier for China to spy on us.”

Uranium One violated all conditions set forth in the CFIUS law. China is yet a larger security issue and all agency members of CFIUS are aware of this and the history of both Russia and China.

The risks and violations of law are well known in Congress and legislation has been introduced to address major concerns, yet still the United States is and has sold out to at least 2 rogue countries and no security assessments have been published.

 

 

 

DACA and the Temporary Protected Status Back in Play, Check Houston

How about some White House officials visit Houston…

More than 100 countries are represented in Houston. Routinely ranked top in the country for job growth, with a school system where 80 percent of students are disadvantaged. For details, go here.

Lee High School for instance has 1700 students, a Vietnamese principal and student are from 40 different countries.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Illegal immigrant “Dreamers” said they staged a sit-in to block the entrance to the Democratic National Committee’s offices in Washington on Monday in order to show they blame Democrats as well as Republicans for missing President Trump’s March 5 deadline for action.

Immigrant-rights activists who are U.S. citizens and who are supporting the Dreamers will also cancel their membership in the Democratic Party in order to make their point, the organizations said.

Monday marked six months since Mr. Trump announced a phaseout of the Obama-era DACA deportation amnesty. The president had said Congress should use the phaseout period to approve a new plan, with full congressional authorization, to grant DACA recipients legal status.

Mr. Trump offered a middle-ground approach, but the security enhancements went too far for Democrats, while his proposed amnesty for illegal immigrants went too far for many Republicans, and the bill stalled.

While Democrats have blamed the GOP, activists made clear Monday they will pin some of the blame on Democrats.

“The Democrats made the calculation to kick the can down the road and allow hundreds of thousands of us undocumented youth to live in uncertainty. We are anxious and we are scared of being torn away from their homes and our community”, said Maria Duarte, one of 683,000 people covered by DACA.

DNC Chairman Tom Perez, though, said Mr. Trump is the problem, calling his phaseout “cruel and reckless.”

“Donald Trump’s decision to end DACA created an unnecessary crisis that has left hundreds of thousands of Dreamers uncertain about their future. And now his arbitrary deadline has passed without any action from the president or Republicans in Congress,” Mr. Perez said in a statement.

The protesters Monday were part of the Seed Project, which staged a march from New York to Washington late last month, in anticipation of the March 5 deadline.

The protesters said they expect Congress to pass a “clean” bill granting perhaps 2 million illegal immigrants citizenship rights — without agreeing to any other provisions such as Mr. Trump’s planned border wall or changes to legal immigration policy.

Work permits expiring March 31 are automatically extended through Sept. 27

WASHINGTON—Current beneficiaries of Temporary Protected Status (TPS) under Syria’s designation who want to maintain their status through Sept. 30, 2019, must re-register between March 5, and May 4, 2018. Re-registration procedures, including how to renew employment authorization documentation, have been published in the Federal Register and on the USCIS website.

All applicants must submit Form I-821, Application for Temporary Protected Status. Applicants may also request an Employment Authorization Document (EAD) by submitting a completed Form I-765, Application for Employment Authorization, when they file Form I-821, or separately at a later date. Both forms are free on USCIS’ website at uscis.gov/tps.

USCIS will issue new EADs with a Sept. 30, 2019, expiration date to eligible Syrian TPS beneficiaries who timely re-register and apply for EADs. However, given the timeframes involved with processing TPS re-registration applications, USCIS is automatically extending the validity of EADs with an expiration date of March 31 for 180 days, through Sept. 27.

To be eligible for TPS under Syria’s current designation, individuals must have continuously resided in the United States since Aug. 1, 2016, and have been continuously physically present in the United States since Oct. 1, 2016, along with meeting the other eligibility requirements.

On Jan. 31, Secretary of Homeland Security Kirstjen M. Nielsen announced her determination that the conditions supporting Syria’s TPS designation continue. The secretary made her decision after reviewing country conditions and consulting with appropriate U.S. government agencies. Before the 18-month extension ends, the secretary will review conditions in Syria to determine whether its TPS designation should be extended again or terminated.

UN Declares Sadness and Desperation in Venezuela is About Food

Except for the U.S. ambassador to the United Nations, Nikki Haley that is.

Amid growing food insecurity and rising malnutrition among children on the back of a protracted economic crisis in Venezuela, the United Nations Children’s Fund (UNICEF) on Friday called on all actors for rapid and coordinated assistance efforts to reach those most in need.

“While precise figures are unavailable because of very limited official health or nutrition data, there are clear signs that the crisis is limiting children’s access to quality health services, medicines and food,” said the UN agency in a news release, Friday, underlining the severity of the situation.

According to UNICEF, national reports in 2009 (the most recent official figures) showed that the prevalence of wasting (low weight to height ratio) in children under five was, at the time, 3.2 per cent.

However, more recent non-official studies indicate “significantly higher rates” of as much as 15.5 per cent, and an additional 20 per cent of children at risk of malnutrition.

Similarly, the State of Food Security and Nutrition in the World 2017 (a comprehensive report on the subject prepared by a number of UN agencies) suggested that undernourishment – a measure of hunger indicating the proportion of population with inadequate energy consumption – in Venezuela rose from 10.5 per cent in 2004-2006 to 13 per cent in 2014-2016.

In response, the Venezuelan Government has implemented measures to mitigate the impact of the crisis on the country’s children, including providing regular food packages at affordable prices to the most vulnerable families, cash transfers, and strengthening of nutritional and recuperation services.

“But more needs to be done to reverse the worrisome decline in children’s nutritional wellbeing,” said UNICEF, calling for the rapid implementation of a short-term response to counter malnutrition, based on disaggregated data and coordinated between the Government and partners.

On its part, the UN agency is working with the Ministry of Health, National Institute of Nutrition and the civil society to strengthen and expand nutritional surveillance at the community level and provide nutritional recuperation services through partners organizations.

The efforts are being implemented through activities such as nutrition screening days aiming to reach over 113,000 children, provision of supplementary and therapeutic foods when required, training programmes and communication campaigns, added UNICEF.

Venezuela has been mired in a socio-economic and political crisis since 2012 and has witnessed rising consumer prices even as the overall economy has contracted.

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Some 3 million Venezuelans—a tenth of the population—have left Venezuela since late leader Hugo Chavez started his socialist revolution in 1999. More than 500,000 have fled to Colombia—many illegally—hoping to escape grinding poverty, rising violence and shortages of food and medicine in the once-prosperous nation.

Photographer Jaime Saldarriaga joined Reuters journalists at the Paraguachón border crossing to document the exodus from Venezuela, which is now on a scale echoing the departure of Myanmar’s Rohingya people to Bangladesh.

Venezuela Colombia exodus Venezuelans line the street at the border between Venezuela and Colombia, in the city of Cúcuta. Jaime Saldarriaga/Reuters

Hundreds of migrants lugging heavy suitcases and overstuffed backpacks walk along the road to the Colombian border town of Maicao, beneath the blazing sun. The Venezuelans arrive hungry, thirsty and tired, often unsure where they will spend the night—but they are relieved to have escaped the calamitous situation in their homeland.

The broken line snakes back eight miles (13 km) to the border crossing, where more than a hundred Venezuelans wait in the heat outside the migration office.

Venezuela Colombia exodus Venezuelans walk along a highway in Colombia after crossing the border at Paraguachón. Jaime Saldarriaga/Reuters

Money-changers sit at tables stacked with wads of bolívares—Venezuela’s currency—made nearly worthless by hyperinflation under President Nicolas Maduro’s socialist government.

Venezuela Colombia exodus A money changer uses a calculator at the Paraguachón border crossing between Colombia and Venezuela. Jaime Saldarriaga/Reuters

“It’s migrate and give it a try or die of hunger there. Those are the only two options,” Yeraldine Murillo, 27, who left her six-year-old son behind in the Venezuelan city of Maracaibo, told Reuters. “There, people eat from the trash. Here, people are happy just to eat,” she said, adding she hopes to find work in Colombia’s capital, Bogotá, and send for her son.

Migrants told Reuters they were paying up to 400,000 bolívares for a kilo of rice in Venezuela. The official monthly minimum wage is 248,510 bolívares—around $8 at the official exchange rate, or $1.09 on the black market.

Food shortages, which many migrants jokingly refer to as the “Maduro diet,” have left people noticeably thinner than in photos taken years earlier for their identification cards.

Mechanic Luis Arellano and his children were among the lucky ones who found beds at a shelter in Maicao run by the Catholic diocese with help from the U.N. refugee agency. The 58-year-old said his children’s tears of hunger drove him to flee Venezuela. “It was 8 p.m. and they were asking for lunch and dinner and I had nothing to give them,” he said, spooning rice into his 7-year-old daughter’s mouth. He raised his children’s spindly arms and said: “[These aren’t] the size they should be.”

Read More: Venezuela Must Stop Presidential Elections

The shelter, where bunk beds line the walls of the bedrooms, provides food and shelter for three days and, for those joining family already in Colombia, a bus ticket onwards. It will soon have a capacity for 140 people a night—a fraction of the daily arrivals.

At another shelter in the border city of Cucuta, some 250 miles (400 km) to the south, people regularly spend the night on cardboard outside, hoping places will free up. The largest city along the frontier, Cucuta, has borne the brunt of the arriving migrants.

 

About 30,000 people cross the pedestrian bridge that connects the city with Venezuela on daily entry passes to shop for food.

The mass migration is stirring alarm in Colombia. A migration official told Reuters as many as 2,000 Venezuelans enter Colombia legally through the border crossing at Paraguachón each day, up from around 1,200 late last year. But officials estimate as many as 4,000 people cross illegally every day.

Colombia is letting the migrants access public health care and send their children to state schools. Santos is asking for international help to foot the bill, which the government has said runs to tens of millions of dollars.

Under pressure from overcrowded frontier towns such as Maicao, Colombian President Juan Manuel Santos announced a tightening of border controls this month, deploying 3,000 additional security personnel. But the measures are unlikely to stem the flow of illegal migrants pouring across the 1,379-mile (2,219 km) frontier.

While many feel a duty to welcome the migrants, in part because Venezuela accepted Colombian refugees during that country’s long civil war, others fear losing jobs to Venezuelans being paid under the table. After locals held a small anti-Venezuelan protest last month, police evicted 200 migrants who were living on a sports field, deporting many of them.

Migrants are verbally abused by some Colombians who refuse them work when they hear their accents, said Flavio Gouguella, 28, from Carabobo. “Are you a Veneco? Then no work,” he said, using a derogatory term for Venezuelans.

Locals also worry about an increase in crime and support police efforts to clear parks and sidewalks. They already have to cope with smuggled subsidized Venezuelan goods damaging local commerce, and have grown tired of job-seekers and lending their bathrooms to migrants. Spooked by police raids, migrants in Maicao have abandoned the parks and bus stations where they had makeshift camps, opting to sleep outside shuttered shops. Female migrants who spoke to Reuters said they were often solicited for sex.

Despairing of finding work, some entrepreneurial migrants turn the nearly worthless bolivar currency into crafts, weaving handbags from the bills and selling them in Maicao’s park. “This was made from 80,000 bolivars,” said 23-year-old Anthony Morillo, holding up a square purse featuring bills with the face of South America’s 19th-century liberation hero Simon Bolivar. “It’s not worth half a bag of rice.”

Despite four months of violent anti-government protests last year, Chavez’s successor Maduro is expected to win a fresh six-year term at elections on April 22. The opposition, whose most popular leaders have been banned from running, are boycotting the vote. Go here for more photos.