How Financially Rabid is the DNC Leadership?

DNC Shared Its Donor Appointment List With White House

New details have emerged about a possible “pay-to-play” scheme that surfaced in the Democratic National Committee documents released by Wikileaks last week.

DailyCaller: The Democratic National Committee’s national finance director sent a White House official who handles personnel matters a list of Democratic donors that the DNC hand-picked for appointments to federal boards and commissions.

The Daily Caller reported earlier this week that Jordan Kaplan, the DNC finance director, sought guidance from his colleagues on what donors to choose for federal appointments. Names were collected, and a spreadsheet entitled “Boards and Commissions” was created.

(RELATED: Leakes DNC Documents Show Plans To Reward Big Donors With Federal Appointments)

Following up on that report, OpenSecrets, the blog of the Center for Responsive Politics, which monitors political spending, found an email from Kaplan to Amanda Moose, a special assistant to the President for presidential personnel, which appears to show coordination about the appointments between the DNC and the White House.

“For your review,” Kaplan wrote to Moose in an April 26 email which had the “Boards and Commissions — Final” spreadsheet attached.

As TheDC reported, most of those included on the list are major Democratic party donors. Most have donated to Hillary Clinton’s campaign. None contributed to Bernie Sanders.

“That is unethical, if not illegal,”Ken Boehm, the chairman of the National Legal and Policy Center, told TheDC earlier this week of the apparent DNC quid pro quo.

One entry on one iteration of the DNC donor spreadsheet is telling as it suggests that one party donor expressed his desire to someone at the DNC about an appointment to the U. S. Postal Service’s board of governors.

Next to the name of Democratic donor David Shapira is the acronym “USPS.” The CEO of Giant Eagle, Inc., a supermarket chain, Shapira was nominated by Obama to the USPS board of governors last year. The pick was blocked by Congress, however.

TheDC emailed Kaplan asking whether Shapira specifically asked anyone at the DNC to be nominated again for the USPS position or if DNC officials assumed that he would want that position given his previous nomination.

The finance chief did not respond. DNC communications director Luis Miranda did not respond to multiple requests for comment.

Other emails contained in the Wikileaks trove show that Kaplan and Moose likely discussed donor appointments over the phone.

Scott Comer, the DNC’s finance chief of staff, informed Kaplan on April 28 that he had missed a call from Moose. Kaplan asked for the number.

On May 3, Comer emailed Kaplan again saying that Moose wanted to set up a time “for a 20-minute conversation.”

In a comment to OpenSecrets, White House spokesman Eric Schultz denied that donors are given roles in the administration because of their political donations.

“Being a donor does not get you a role in this administration,” Schultz said, adding “nor does it preclude you from getting one.”

“We’ve said this for many years now and there’s nothing in the emails that have been released that contradicts that.”

The Obama administration has been accused of providing plush federal jobs — including appointments to federal boards and ambassadorships — for major Democratic and Obama donors.

As a presidential candidate in 2007, Obama specifically said that political patronage would be eradicated from his administration.

“The cynics and the lobbyists and the special interests have turned government into a game that only they can afford to play,” he said at the time. “They write the checks and you get stuck with the bills. They get the access when you get to write a letter. The time for that politics is over.”

As OpenSecrets notes, none of the donors picked by the DNC have been appointed to federal spots since Kaplan provided the spreadsheet to Moose.

Moose did not respond to TheDC’s request for comment.

Yup, there is more of course.

DWS Donor Convicted of Wire Fraud Relating to Horse Murder Not Allowed to Give to DNC

Hacked emails show George Lindemann Jr.’s past eliminated him as a DNC donor

FreeBeacon: A major donor to Rep. Debbie Wasserman Schultz (D., Fla.) was forbidden from giving to the Democratic National Committee due to a past conviction on three counts of wire fraud following his electrocution of a horse to collect an insurance payout.

George Lindemann Jr., a Miami-based real estate developer and son of billionaire New York investor George Lindemann, was vetted earlier this year as a possible donor to the committee and to attend an event with President Barack Obama, according to an exchange contained within the latest batch of hacked DNC emails released by Wikileaks.

Clayton Cox, the DNC’s regional finance director in Florida, Georgia, and the Midwest, asked for a background check into Lindemann Jr. on May 9.

The same day, Chadwick Rivard, a senior research and compliance supervisor for the DNC, returned an extended report into Lindemann Jr.’s checkered past.

Lindemann Jr., a former equestrian who had Olympic aspirations, hired a man named Tommy Burns in 1990 to kill his horse, named “Charisma,” by electrocution so he could cash out on an insurance policy worth hundreds of thousands of dollars.

The insurance company ruled that the horse had died from natural causes. The plan had temporarily worked, as he was issued the $250,000 policy for the horse’s life.

However, federal investigators later uncovered a conspiracy between Burns and another person, named Barney Ward, to kill numerous horses for money. The practice allowed the horse’s owner to then collect the insurance policy, as Lindemann Jr. had done.

Burns provided information to the FBI on Lindemann Jr. It was discovered during this process that a man named James Druck had taught Burns how to electrocute horses to cash in on the insurance payout. Druck was the father of Rielle Hunter, the former mistress of John Edwards, who was born Lisa Druck.

During the trial, Lindemann’s defense argued that the $250,000 insurance payout did not matter to Lindemann Jr. given his family’s net worth. A U.S. attorney later described Lindemann Jr. as a “a very wealthy kid that has a toy that he doesn’t like or gets mad at and throws it on the floor and stomps on it.”

Lindemann Jr. was convicted on three counts of wire fraud in 1995 for his role in Charisma’s death. The judge presiding over Lindemann Jr.’s case ordered him to pay $500,000 in fines and $250,000 in restitution. He was sentenced to 33 months in prison, the maximum sentence.

Alan Reed, another DNC compliance officer, responded to the email chain saying, “I vote fail….again.”

Wasserman Schultz, who recently resigned as chair of the DNC following the release of the Wikileaks emails, accepted tens of thousands in donations from Lindemann Jr. to her leadership PAC and campaign committees in recent years.

Lindemann Jr. gave a $5,000 donation to Democrats Win Seats PAC, the leadership PAC of Wasserman Schultz, in February 2014. More than a year later, in April 2015, he contributed another $5,000 to the PAC.

Additionally, he gave $2,600 to Wasserman Schultz’s primary campaign in 2014 and added another $2,400 to her general election. He also combined to give $3,500 to the Democratic Executive Committee of Florida that year.

Lindemann Jr. donated $2,700 to Wasserman Schultz’s primary in 2015 and contributed $2,700 to her general, the maximum amounts allowed by law per election.

Lindemann Jr. has donated to both political parties throughout the years. He had failed previous background checks from the committee.

Wasserman Schultz’s office did not return a request for comment on the donations by press time.

 

 

 

 

Euro Arms Pipeline to Middle East

Making a Killing: The 1.2 Billion Euro Arms Pipeline to Middle East

An unprecedented flow of weapons from Central and Eastern Europe is flooding the battlefields of the Middle East.

Lawrence Marzouk, Ivan Angelovski and Miranda Patrucic BIRN Belgrade, London, Sarajevo

BalkanInsight: As Belgrade slept on the night of November 28, 2015, the giant turbofan engines of a Belarusian Ruby Star Ilyushin II-76 cargo plane roared into life, its hull laden with arms destined for faraway conflicts.

Rising from the tarmac of Nikola Tesla airport, the hulking aircraft pierced the Serbian mist to head towards Jeddah, Saudi Arabia.

It was one of at least 68 flights that in just 13 months transported weapons and ammunition to Middle Eastern states and Turkey which, in turn, funnelled arms into brutal civil wars in Syria and Yemen, the Balkan Investigative Reporting Network, BIRN, and the Organized Crime and Corruption Reporting Project, OCCRP, has found. The flights form just a small part of €1.2 billion in arms deals between the countries since 2012, when parts of the Arab Spring turned into an armed conflict.


Belgrade Airport | BIRN

Meanwhile, over the past two years, as thousands of tonnes of weapons fly south, hundreds of thousands of refugees have fled north from the conflicts that have killed more than 400,000 people. But while Balkan and European countries have shut down the refugee route, the billion-euro pipeline sending arms by plane and ship to the Middle East remains open – and very lucrative.

It is a trade that is almost certainly illegal, according to arms and human rights experts.

“The evidence points towards systematic diversion of weapons to armed groups accused of committing serious human rights violations. If this is the case, the transfers are illegal under the ATT (United Nations’ Arms Trade Treaty) and other international law and should cease immediately,” said Patrick Wilcken, an arms-control researcher at Amnesty International who reviewed the evidence collected by reporters.

But with hundreds of millions of euros at stake and weapons factories working overtime, countries have a strong incentive to let the business flourish. Arms export licences, which are supposed to guarantee the final destination of the goods, have been granted despite ample evidence that weapons are being diverted to Syrian and other armed groups accused of widespread human rights abuses and atrocities.

Robert Stephen Ford, US ambassador to Syria between 2011 and 2014, told BIRN and the OCCRP that the trade is coordinated by the US Central Intelligence Agency, CIA, Turkey and Gulf states through centres in Jordan and Turkey, although in practice weapon supplies often bypass this process.

BIRN and the OCCRP examined arms export data, UN reports, flight records, and weapons contracts during a year-long investigation that reveals how thousands of assault rifles, mortar shells, rocket launchers, anti-tank weapons, and heavy machine guns are pouring into the troubled region, originating from Bosnia and Herzegovina, Bulgaria, Croatia, the Czech Republic, Montenegro, Romania,  Serbia and Slovakia.

Read all the documents used in the investigation at BIRN’s online library BIRN Source.

Since the escalation of the Syrian conflict in 2012, these eight countries have approved the shipment of weapons and ammunition worth at least 1.2 billion euros to Saudi Arabia, Jordan, United Arab Emirates, and Turkey.

The figure is likely much higher. Data on arms export licences for four out of eight countries were not available for 2015 and seven out of eight countries for 2016. The four recipient countries are key arms suppliers to Syria and Yemen with little or no history of buying from Central and Eastern Europe prior to 2012. And the pace of the transfers is not slowing, with some of the biggest deals approved in 2015.

Eastern and Central European weapons and ammunition, identified in more than 50  videos and photos posted on social media, are now in use by Western-backed Free Syrian Army units, but also in the hands of fighters of Islamist groups such as Ansar al-Sham, Al Qaeda-affiliated Jabhat al-Nusra, the Islamic State of Iraq and the Levant, ISIS, in Syria, factions fighting for Syrian President Bashar-al Assad and Sunni forces in Yemen.

On April 7, 2016, twitter User @bm27_uragan, who monitors the spread of weapons in the Syrian conflict, posted a video apparently of Free Syrian Army rebel using Serbian made Coyote M02 heavy machine gun in Southern Aleppo in Syria. The Coyote M02 has been independently identified as a Coyote M02.

Markings on some of the weapons identifying the origin and date of production reveal significant quantities have come off production lines as recently as 2015.

Out of the 1.2 billion euros in weapons and ammunition approved for export, about 500 million euros have been delivered, according to UN trade information and national arms export reports.

The frequency and number of cargo flights – BIRN and the OCCRP identified at least 68 in just over one year – reveal a steady flow of weapons from Central and Eastern Europe airports to military bases in Middle East.

The most commonly used aircraft – the Ilyushin II-76 – can carry up to 50 tonnes of cargo or approximately 16,000 AK-47 Kalashnikov rifles or three million bullets. Others, including the Boeing 747, are capable of hauling at least twice that amount.

But arms and ammunitions are not only coming by air. Reporters also have identified at least three shipments made by the US military from Black Sea ports carrying an estimated 4,700 tonnes of weapons and ammunition to the Red Sea and Turkey since December 2015.

One Swedish member of the EU parliament calls the trade shameful.

“Maybe they –[Bulgaria, Slovakia and Croatia] – do not feel ashamed at all but I think they should,” said Bodil Valero, who also served as the rapporteur for the EU’s last arms report.“Countries selling arms to Saudi Arabia or the Middle East-North Africa region are not carrying out good risk assessments and, as a result, are in breach of EU and national law.”.

OCCRP and BIRN talked to government representatives in Croatia, Czech Republic, Montenegro, Serbia, and Slovakia who all responded similarly saying that they are meeting their international obligations. Some cited that Saudi Arabia is not on any international weapons black lists and other said their countries are not responsible if weapons have been diverted.

A question of legality

The global arms trade is regulated by three layers of interconnected legislation — national, European Union, EU, and international – but there are no formal mechanisms to punish those who break the law.

Beyond the blanket ban on exports to embargoed countries, each licence request is dealt with individually.

In the case of Syria, there are currently no sanctions on supplying weapons to the opposition.

As a result, the lawfulness of the export approval hinges on whether countries have carried out due diligence on a range of issues, including the likelihood of the arms being diverted and the impact the export will have on peace and stability.

Bosnia and Herzegovina, Bulgaria, Croatia, the Czech Republic, Montenegro, Romania, Serbia and Slovakia are signatories of the UN’s Arms Trade Treaty, which entered into force in December 2014, and lists measures to prevent the illicit trade and diversion of arms.

Member states of the EU are also governed by the legally-binding 2008 Common Position on arms exports, requiring each country to take into account eight criteria when accessing arms exports licence applications, including whether the country respects international human rights, the preservation of “regional peace, security and stability” and the risk of diversion.

As part of their efforts to join the EU, Bosnia and Herzegovina and Montenegro have already accepted the measures and have amended their national law. Serbia is in the process of doing so.

Weapons exports are initially assessed based on an end-user certificate, a key document issued by the government of the importing country which guarantees who will use the weapons and that the arms are not intended for re-export.

Authorities in Central and Eastern Europe told BIRN and the OCCRP that they also inserted a clause which requires the buyer to seek approval if they later want to export the goods.

Beyond these initial checks, countries are required to carry out a range of other risk assessments based on national and EU law and the ATT, although conversations with, and statements from, authorities revealed little evidence of that.

OCCRP and BIRN talked to government representatives in Croatia, Czech Republic, Montenegro, Serbia, and Slovakia who all responded similarly saying that they are meeting their international obligations. Some cited that Saudi Arabia is not on any international weapons black lists and other said their countries are not responsible if weapons have been diverted. The three other countries did not respond to requests for comment.

The Czech Foreign Ministry was the only public body to directly address concerns about human rights abuses and diversions, saying it took into account both when weighing up an export licence and had blocked transfers on that basis.

How legal are these arms sales to the Middle East? Find out more here

Saudi Arabia – The weapons king

The Central and Eastern European weapons supply line can be traced to the winter of 2012, when dozens of cargo planes, loaded with Saudi-purchased Yugoslav-era weapons and ammunition, began leaving Zagreb bound for Jordan. Soon after, the first footage of Croatian weapons in use emerged from the battleground of Syria.

According to a New York Times report from February 2013, a senior Croatian official offered the country’s stockpiles of old weapons for Syria during a visit to Washington in the summer of 2012. Zagreb was later put in touch with the Saudis, who bankrolled the purchases, while the CIA helped with logistics for an airlift that began late that year.

While Croatia’s government has consistently denied any role in shipping weapons to Syria, former US ambassador to Syria Ford confirmed to BIRN and the OCCRP the New York Times account from an anonymous source of how the deal was hatched. He said he was not at liberty to discuss it further.

This was just the beginning of an unprecedented flow of weapons from Central and Eastern Europe into the Middle East, as the pipeline expanded to include stocks from seven other countries. Local arms dealers sourced arms and ammunition from their home countries and brokered the sale of ammunition from Ukraine and Belarus, and even attempted to secure Soviet-made anti-tank systems bought from the UK, as a Europe-wide arms bazaar ensued.

Prior to the Arab Spring in 2011, the arms trade between Eastern Europe and Saudi Arabia, Jordan, the United Arab Emirates, UAE, and Turkey – four key supporters of Syria’s fractured opposition – was negligible to non-existent, according to analysis of export data.

But that changed in 2012. Between that year and 2016, eight Eastern European countries approved at least 806 million euros worth of weapons and ammunition exports to Saudi Arabia, according to national and EU arms export reports as well as government sources.

Jordan secured export licences worth 155 million euros starting in 2012, while the UAE netted 135 million euros and Turkey 87 million euros, bringing the total to 1.2 billion euros.

Qatar, another key supplier of equipment to the Syrian opposition, does not show up in export licences from Central and Eastern Europe.

Jeremy Binnie, Middle East arms expert for Jane’s Defence Weekly, a publication widely regarded as the most trusted source of defence and security information, said the bulk of the weapon exports from Eastern Europe would likely be destined for Syria and, to a lesser extent, Yemen and Libya.

“With a few exceptions, the militaries of Saudi Arabia, Jordan, the UAE and Turkey use Western infantry weapons and ammunition, rather than Soviet-designed counterparts,” said Binnie. “It consequently seems likely that large shipments of such materiel being acquired by – or sent to – those countries are destined for their allies in Syria, Yemen, and Libya.”

BIRN and the OCCRP obtained confidential documents from Serbia’s Ministry of Defence and minutes from a series of inter-ministerial meetings in 2013. The documents show the ministry raised concerns that deliveries to Saudi Arabia would be diverted to Syria, pointing out that the Saudis do not use Central and Eastern European stock and have a history of supplying the Syrian opposition. The Ministry turned down the Saudi request only to reverse course more than one year later and approve new arms shipments citing national interest. Saudi security forces, while mostly armed by Western producers, are known to use limited amounts of Central and Eastern European equipment. This includes Czech-produced military trucks and some Romanian-made assault rifles. But even arms exports destined for use by Saudi forces are proving controversial, given their involvement in the conflict in Yemen.

The Netherlands became the first EU country to halt arms exports to Saudi Arabia as a result of civilian deaths in Yemen’s civil war, and the European Parliament has called for an EU-wide arms embargo.

Supply Logistics: Cargo flights and airdrops

Weapons from Central and Eastern Europe are delivered to the Middle East by cargo flights and ships. By identifying the planes and ships delivering weapons, reporters were able to track the flow of arms in real time.

Detailed analysis of airport timetables, cargo carrier history, flight tracking data, and air traffic control sources helped pinpoint 68 flights that carried weapons to Middle Eastern conflicts in the past 13 months.  Belgrade, Sofia and Bratislava emerged as the main hubs for the airlift.

Most frequent were flights operated from Belgrade, the capital of Serbia. The flights were either confirmed as carrying weapons, were headed to military bases in Saudi Arabia or the UAE or were carried out by regular arms shippers.

The Middle East Airlift 

At least 68 cargo flights from Serbia, Slovakia, Bulgaria and the Czech Republic have carried thousands of tons of munitions in the past 13 months to Saudi Arabia, the United Arab Emirates, and Jordan, three key suppliers of the Syrian rebels.

These were identified through detailed analysis of airport timetables, cargo carrier history, flight tracking data, leaked arms contracts, end user certificates, and air traffic control sources.

Cargo flights from Central and Eastern Europe to the Middle East, and particularly military bases, were extremely uncommon before late 2012, when the upsurge in weapons and ammunition purchases began, according to EU flight data and interviews with plane-spotters.

The most commonly used aircraft – the Ilyushin II-76 – can carry up to 50 tonnes of cargo or approximately 16,000 AK-47 Kalashnikov rifles or three million bullets. Others, including the Boeing 747, are capable of hauling at least twice that amount.

Of the 68 flights identified, 50 were officially confirmed to have carried arms and ammunition:

  • Serbia’s Civil Aviation Directorate confirmed that 49 flights departing or passing through Serbia were carrying arms and ammunition from June 1, 2015 to July 4, 2016. The confirmation came following weeks of refusal to comment on grounds of confidentiality and after BIRN and the OCCRP presented its evidence, including photographs showing military boxes being loaded onto planes at Belgrade’s Nikola Tesla Airport on four different occasions.
  • An official at the Bulgarian National Customs Agency confirmed one flight, operated by Belarussian cargo carrier Ruby Star Airways, was carrying arms from the remote Bulgarian Gorna Oryahovitsa Airport to Brno–Turany Airport, the Czech Republic, and on to Aqaba, Jordan.
  • An additional 18 flights were identified as very likely to have been carrying arms and ammunition based on one of three variables: the air freight company’s history of weapons supplies; connections to earlier arms flights; or a destination of a military airport:
    • Ten flights were made to Prince Sultan Air Base in Al Kharj, Saudi Arabia and Al Dhafra Air Base in Abu Dhabi, United Arab Emirates, indicating the likely presence of weapons or ammunition. Additionally, 14 flights to Prince Sultan and Al Dhafra air bases are confirmed as having carried weapons during the same period by Serbia’s Civil Aviation Directorate.
    • Seven flights were operated from Slovakia and Bulgaria by Jordan International Air Cargo, part of the Royal Jordanian Air Force, which were revealed to have carried weapons and ammunition from Croatia to Jordan in the winter of 2012. Bulgarian retired colonel and counter-terrorism expert Slavcho Velkov, who maintains extensive contacts with the military, told BIRN and the OCCRP that the Sofia-Amman flights “were transporting weapons to Saudi Arabia, mostly for the Syrian conflict.” Additionally, one other flight operated by this airline is confirmed as having carried weapons during the same period by Serbia’s Civil Aviation Directorate.
    • One flight was operated by a Belarussian cargo carrier TransAVIAexport Airlines, which has a long history of transporting weapons.  In 2014, the airline was hired by Serbian arms dealer Slobodan Tesic to transport Serbian and Belarussian weapons and ammunition to air bases in Libya controlled by various militant groups. The United Nations, UN, Sanctions Committee investigated the case and found potential breaches of UN sanctions, according to a 2015 UN report. Additionally, five flights operated by this airline are confirmed as having carried weapons during the same period by Serbia’s Civil Aviation Directorate.

Many of these flights made an additional stop in Central and Eastern Europe – meaning they were likely picking up more weapons and ammunition – before flying to their final destination.

EU flight statistics provide further evidence of the scale of the operation. They reveal that planes flying from Bulgaria and Slovakia have delivered 2,268 tons of cargo – equal to 44 flights with the most commonly used aircraft – the Ilyushin II-76 – since the summer of 2014 to the same military bases in Saudi Arabia and UAE pinpointed by BIRN and OCCRP.

Distributing the weapons

Arms bought for Syria by the Saudis, Turks, Jordanians and the UAE are then routed through two secret command facilities – called Military Operation Centers (MOC) – in Jordan and Turkey, according to Ford, the former US ambassador to Syria.

These units – staffed by security and military officials from the Gulf, Turkey, Jordan and the US – coordinate the distribution of weapons to vetted Syrian opposition groups, according to information from the Atlanta-based Carter Center, a think tank that has a unit monitoring the conflict.

“Each of the countries involved in helping the armed opposition retained final decision-making authority about which groups in Syria received assistance,” Ford said.

A cache of leaked cargo carrier documents provides further clues to how the Saudi military supplies Syrian rebels.

According to the documents obtained by BIRN and the OCCRP, the Moldovan company AeroTransCargo made six flights in the summer of 2015 carrying at least 250 tonnes of ammunition between military bases in Saudi Arabia and Esenboga International Airport in Ankara, the capital of Turkey, reportedly an arrival point for weapons and ammunition for Syrian rebels.

Pieter Wezeman, of the Stockholm International Peace Research Institute, a leading organisation in tracking arms exports, said he suspects the flights are part of the logistical operation to supply ammunition to Syrian rebels.

From the MOCs, weapons are then transported by road to the Syrian border or airdropped by military planes.

A Free Syrian Army commander from Aleppo, who asked to remain anonymous to protect his safety, told BIRN and OCCRP that weapons from Central and Eastern Europe were distributed from centrally controlled headquarters in Syria. “We don’t care about the county of origin, we just know it is from Eastern Europe,” he said.

The Saudis and Turks also provided weapons directly to Islamist groups not supported by the US and who have sometimes ended up fighting MOC-backed factions, Ford added.

The Saudis are also known to have airdropped arms and equipment, including what appeared to be Serbian-made assault rifles to its allies in Yemen.

Ford said that while he was not personally involved in negotiations with Serbia, Bulgaria and Romania over the supply of weapons to Syria, he believes that the CIA is likely to have played a role.

“For operations of this type it would be difficult for me to imagine that there wasn’t some coordination between the intelligence services, but it may have been confined strictly to intelligence channels,” he said.

The US may not have just played a role in the logistics behind delivering Gulf-sponsored weapons from Eastern Europe to the Syrian rebels. Through its Department of Defense’s Special Operations Command (SOCOM), it has also bought and delivered vast quantities of military materiel from Eastern Europe for the Syrian opposition as part of a US$500 million train and equip programme.

Since December 2015, SOCOM has commissioned three cargo ships to transport 4,700 tons of arms and ammunition from ports of Constanta in Romania and Burgas in Bulgaria to the Middle East likely as part of the covert supply of weapons to Syria.

The shipments included heavy machine guns, rocket launchers and anti-tank weapons – as well as bullets, mortars, grenades, rockets and explosives, according to US procurement documents.

The origin of arms shipped by SOCOM is unknown and the material listed in transport documents is available from stockpiles across Central and Eastern Europe.

Not long after one of the deliveries, SOCOM supported Kurdish groups published an image on Twitter and Facebook showing a warehouse piled with US-brokered ammunition boxes in northern Syria SOCOM would not confirm or deny that the shipments were bound for Syria.

US procurement records also reveal that SOCOM secured from 2014 to 2016 at least 25 million euros (27 million dollars) worth of Bulgarian and 11 million euros (12 million dollars) in Serbian weapons and ammunition for covert operations and Syrian rebels..

A Booming Business

Arms control researcher Wilcken said Central and Eastern Europe had been well positioned to cash in on the huge surge in demand for weapons following the Arab Spring.

“Geographical proximity and lax export controls have put some Balkan states in pole position to profit from this trade, in some instances with covert US assistance,” he added. “Eastern Europe is rehabilitating Cold War arms industries which are expanding and becoming profitable again.”

Serbian Prime Minister Aleksandar Vucic boasted recently that his country could produce five times the amount of arms it currently makes and still not meet the demand.

“Unfortunately in some parts of the world they are at war more than ever and everything you produce, on any side of the world you can sell it,” he said.

Arms manufacturers from Bosnia and Herzegovina and Serbia are running at full capacity with some adding extra shifts and others not taking new orders.

Saudi Arabia’s top officials – more used to negotiating multi-billion-dollar fighter-jet deals with Western defence giants – have been forced to deal with a handful of small-time arms brokers operating in Eastern Europe who have access to weapons such as AK-47s and rocket launchers

Middlemen such as Serbia’s CPR Impex and Slovakia’s Eldon have played a critical role in supplying weapons and ammunition to the Middle East

The inventory of each delivery is usually unknown due to the secrecy surrounding arms deals but two end-user certificates and one export licence, obtained by BIRN and the OCCRP, reveal the extraordinary scope of the buy-up for Syrian beneficiaries.

For example, the Saudi Ministry of Defence expressed its interest in buying from Serbian arms dealer CPR Impex a number of weapons including hundreds of aging T-55 and T-72 tanks, millions of rounds of ammunition, multi-launch missile systems and rocket launchers. Weapons and ammunition listed were produced in the former Yugoslavia, Belarus, Ukraine, and the Czech Republic.

An export licence issued to a little-known Slovakian company called Eldon in January 2015 granted the firm the right to transport thousands of Eastern European rocket-propelled grenade launchers, heavy machine guns and almost a million bullets worth nearly 32 million euros to Saudi Arabia.

BIRN and OCCRP’s analysis of social media shows weapons that originated from the former states of Czechoslovakia and Yugoslavia, and Serbia, Croatia and Bulgaria are now present on the battlefields of Syria and Yemen.

While experts believe the countries continue to shirk their responsibility, the weapons pipeline adds more and more fuel to a white hot conflict that leads to more and more misery.

“Proliferation of arms to the region has caused untold human suffering; huge numbers of people have been displaced and parties to the conflict have committed serious human rights violations including   abductions, executions, enforced disappearances, torture and rape,” said Amnesty’s Wilcken.

Additional reporting by Atanas Tchobanov, Dusica Tomovic, Jelena Cosic, Jelena Svircic, Lindita Cela, RISE Moldova and Pavla Holcova.

This investigation is produced by BIRN as a part of Paper Trail to Better Governance project.

 

What About Those Lawyers Hired by the DNC?

Perkins Coie’s Myriad Roles Raise DNC Conflict Questions

Beck/Law.com: Perkins Coie’s domination of the Democratic federal election scene has long been a point of pride for the firm and the envy of its competitors.

But now, with the uproar triggered by the release of emails hacked from the Democratic National Committee, the firm’s multiple roles for Democratic committees and candidates have raised questions about potential conflicts, and whether these conflicts contributed to the DNC’s troubles.

Since at least March 2015, Perkins Coie partner Marc Elias, chair of the firm’s political law practice, has been lead outside counsel to Hillary Clinton for America, the presidential candidate’s campaign entity. Elias’ partner, Graham Wilson, has worked with him for the Clinton campaign. (For her ill-fated 2008 presidential campaign, Clinton did not use Perkins Coie, having instead relied on Lyn Utrecht of Washington, D.C.’s Utrecht, Kleinfeld, Fiori, Partners.)

In another corner of Perkins Coie’s office in Washington, D.C., is partner Robert Bauer, a former White House counsel to President Barack Obama. Bauer now serves as lead outside counsel to the DNC.

Since March 2015, the Clinton campaign has paid the firm $905,219.93, according to Federal Election Commission filings.

Perkins Coie has also earned at least $1,318,375.92 from DNC affiliates, including $657,340.20 from the Democratic Congressional Campaign Committee and $661,035.72 from the DNC Services Corp. (Expenditure filings for the Democratic Senatorial Campaign Committee are not available electronically.)

A review of DNC emailsposted online by WikiLeaks raises questions about whether Perkins Coie lawyers blurred the lines between its clients. Elias, the Clinton campaign’s lead counsel, was included in several email exchanges in which DNC staffers discussed strategy. In one email, Elias urged DNC officials to attack Vermont Sen. Bernie Sanders for allegedly lying when he accused the DNC of improperly using campaign money in a “Joint Victory Fund” to help Clinton.

Both Bauer, counsel to the DNC, and Wilson, counsel to the Clinton campaign, are included in other email discussions about how to defuse this issue with the press.

“I can understand why the Sanders’ campaign might be uncomfortable with this,” said Lawrence Noble, general counsel of the nonprofit Campaign Legal Center, about Perkins Coie’s multiple roles. Noble, a former general counsel at the FEC, also previously worked in the political law group at Skadden, Arps, Slate, Meagher & Flom. “If Perkins Coie represents the party people, and you’re not represented by Perkins Coie, you may feel you’re at a disadvantage,” Noble said.

The Sanders campaign, which has now publicly thrown its support behind Clinton at the Democratic National Convention this week in Philadelphia, declined to comment on the matter. Perkins Coie did not return requests for comment.

Two lawyers who do political work and asked not to be named said Perkins Coie’s near monopoly on federal Democratic politics has drawn criticism before this scandal erupted. One said it wasn’t a good idea for the DNC to be advised by the same firm that’s representing one of the party’s candidates. “You really do have to be careful about appearances as well as actual conflicts,” this person said.

The leaked emails have roiled the Democratic Party nomination process because they indicate that some DNC officials tried to sabotage Sanders’ presidential campaign. Sanders supporters heckled DNC chairman Debbie Wasserman Schultz, who resigned Sunday as a result of the controversy, during an appearance Monday that showed some Democratic disunity in the City of Brotherly Love.

The DNC has professed publicly that it did not favor Clinton before she became the party’s official nominee. On Monday it issued a statement offering “a deep and sincere apology” to Sanders, his supporters and the Democratic Party “for the inexcusable remarks made over emails.” The organization added: “These comments do not reflect the values of the DNC or our steadfast commitment to neutrality during the nominating process.”

The Republicans have not concentrated so much of their work in one law firm. The Republican National Committee is using more than a dozen firms, according to FEC filings, with no firm earning more than $45,000 in the month of May, the most recent month for which data is available. The RNC is relying on at least one major firm that also represents nominee Donald Trump—it paid $13,367.46 in May to Jones Day, but that was not the RNC’s largest payment to a law firm.

Katelyn Polantz and Meghan Tribe contributed to the reporting of this story.

**** As a reminder going back to 2008, Bob Bauer worked for the Obama campaign and was for a time White House counsel. His wife, Anita Dunn –> Anita Dunn: A corruptocrat flack and a Mao cheerleader  Oh and another item from history, Shore Bank.

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Attorney Robert Bauer has been mentioned as a possible pick for White House Counsel in an Obama administration. The ABA Journal recently assessed his chances:

HuffPo: As a partisan regular with a street-fighter’s zeal, Bauer has earned a reputation among some Republicans as the “focus of all evil.” But they weren’t all that crazy about him in the Hillary Clinton campaign either. In March, Bauer crashed a Clinton campaign conference call with reporters, calling into question a charge that Obama workers had violated Texas party rules during post-primary caucuses. An early Obama supporter, Bauer is a regular contributor to the Huffington Post website.

He helped represent Minority Leader Tom Daschle during the Senate impeachment trial of Bill Clinton and was general counsel to Bill Bradley’s presidential campaign. He’s considered one of the nation’s top experts on the intricacies of campaign finance and writes about it regularly on More Soft Money Hard Law, a law blog devoted to campaign finance.

Bauer has also blogged for HuffPost. Read his work here.

IRS/FBI Get Clinton Foundation Referral, No DNC?

While this is a very positive step that IRS Commissioner Koskinen has approved an audit of the Clinton Foundation, what is the timeline? Further, a referral has also been made to the FBI and the Federal Election Commission.

Then, the former top attorney general and the Department of Justice told us during his talk at the Democrat convention in Philadelphia that he has known Hillary for 25 years. Ah, so he knows all but, ‘facts don’t matter’, do they? Nah and Holder went on to talk about criminal justice reform. Is all this talk about criminal justice reform really to head off any future prosecution of the powerbrokers in DC? Hah!

The Daily Caller has reported, “The Exempt Organization Program is the division of the IRS that regulates the operations of public foundations and charities. It’s the same division that was led by former IRS official Lois Lerner when hundreds of conservative, evangelical and tea party non-profit applicants were illegally targeted and harassed by tax officials.”  The House referral letter is found here with evidence.

Two particular areas of focus of the requested audit include Laureate Education and Uranium One. Read the complete details here from Daily Caller.

**** So what about the Federal Election Commission and the IRS auditing the entire DNC? Seems lawyers were quite busy as noted here by Free Beacon:

Democratic Party lawyers had to step in repeatedly to prevent illegal or prohibited political fundraising by a new Democratic National Committee group designed to coordinate legal strategy with hundreds of friendly attorneys, internal documents show.

Multiple proposed fundraising pitches by the new Democratic Lawyers Committee (DLC) invoked the names of high-ranking administration officials in what would have been violations of federal laws and White House policies against political activity by administration officials, according to emails between the group’s top staffers and their attorneys.

The hacked emails, released by the group WikiLeaks last week, provide a detailed narrative of the DLC’s formation and its hectic first few months, which saw celebrity attorney Gloria Allred micromanaging the group’s self-described “propaganda,” a senior DNC staffer admonishing colleagues for nearly spoiling its rollout with illicit fundraising asks, and DNC staffers pretending to be then-chair Debbie Wasserman Schultz on email in order to land a venue for a high-dollar fundraiser.

“The stated goal of the DLC is to organize the legal community and [we] must arm them with the information, contacts, and inspiration they need to provide significant support for the Democratic Party’s fight to maintain control of the White House and help elect Democrats up and down the ballot in 2016,” according to talking points circulated internally. More to the story here.

The comes the White House collaborating with the DNC and concocting an event for foreign money. Ya don’t say huh?

“Hi Vet Team, we would like to do a finance event at Hogan Lovells US LLP … on June 14th with White House Political Advisor David Simas and DNC CEO Amy Dacey,” Chalupa wrote in an email. “Can you let us know if this venue passes vet? Thanks!”

One day later, Alan Reed, the DNC’s compliance director, responded to the request by saying that he saw “no real issues.” Reed wanted to make sure everyone was fine with using the venue given the “significant lobbying” that they perform.

Attached to the email was the background check for the firm, which noted, “Hogan Lovells lobbies the federal government on behalf of a number of U.S. groups and organizations.” It contained a list of departments the firm lobbies, which included the House and the Senate along with the Departments of Defense, Energy, Health and Human Services, Homeland Security, State, and Interior, among others.

The event was given the go-ahead.

The background check said Hogan Lovells did not appear in the Justice Department’s Foreign Agents Registration Unit (FARA).

However, the firm does appear on the FARA database and is currently registered to work on behalf of both the Royal Embassy of Saudi Arabia and the government of Japan in 2016, FARA disclosures show. Free Beacon has additional information here.

So, what about the collusion between the DNC and the Clinton Foundation? Ah glad you asked.

Taken in part from the Washington Examiner: A hacker who claims to have infiltrated the Democratic National Committee’s server posted documents on Tuesday he says came from the party’s digital files. Many of the new documents contained information about how the Clinton campaign and its allies should respond to criticism of the Clinton Foundation’s revenue sources given controversy over the fact that the philanthropic network accepted donations from foreign entities while Clinton served as secretary of state. More here.

 

Guccifer 2.0 DNC Clinton files: 2016er Attacks by Washington Examiner on Scribd

Hey FBI, the Investigation into the DNC Hacking is Over Here

Anyone ever see that Jack Ryan movie ‘Shadow Recruit’? It is playing out in a more nefarious form in real time.

May 2016: Director of National Intelligence James Clapper said today that presidential campaigns are a target for cyber intruders and that this political season has already seen some attempted hacks.

“We have already had some indications of that,” he said in response to a question about campaign website hacking, after speaking at the Center for Bipartisan Policy in Washington, D.C.

“I anticipate as the campaigns intensify, we will probably have more of it,” he added. He did not provide specifics about any attacks, but it has been reported that some hacking groups, such as Anonymous, have threatened to launch “total war” against Donald Trump‘s presidential campaign. Read more from ABC here.

Related reading: Clinton Foundation Said to Be Breached by Russian Hackers 

**** So –>> Director of National Intelligence James Clapper says the FBI is helping campaigns tighten up to protect against the threat and how has that worked out so far?

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Via ThreatConnect: In our initial Guccifer 2.0 analysis, ThreatConnect highlighted technical and non-technical inconsistencies in the purported DNC hacker’s story as well as a curious theme of French “connections” surrounding various Guccifer 2.0 interactions with the media. We called out these connections as they overlapped, albeit minimally, with FANCY BEAR infrastructure identified in CrowdStrike’s DNC report.

Now, after further investigation, we can confirm that Guccifer 2.0 is using the Russia-based Elite VPN service to communicate and leak documents directly with the media. We reached this conclusion by analyzing the infrastructure associated with an email exchange with Guccifer 2.0 shared with ThreatConnect by Vocativ’s Senior Privacy and Security reporter Kevin Collier. This discovery strengthens our ongoing assessment that Guccifer 2.0 is a Russian propaganda effort and not an independent actor.

Analyzing the Headers from Guccifer 2.0 Emails

On June 21, 2016, TheSmokingGun reported they communicated with Guccifer 2.0 via a French AOL account. We examined the French language settings observed in Guccifer 2.0’s Twitter metadata as well as a pattern of Twitter follows that suggested Guccifer 2.0’s account was created from a French IP address. We hypothesized at the time that Guccifer 2.0 might be using French infrastructure to interact with the media.

During the Email Import process ThreatConnect analyzes an email message header and highlights indicators of interest with a color code that reveals if the indicators already exist within the platform. This helps overburdened eyes or greenhorn analysts quickly understand what they are seeing. At the same time ThreatConnect excludes legitimate or benign details that are not of value to our investigation.

ThreatConnect Research Guccifer 2.0: All Roads Lead to Russia 1

As we can see here within ThreatConnect, Guccifer 2.0’s AOL email message reveals the originating IP address as 95.130.15[.]34 (DigiCube SaS – France). This is the IP address of the host which authenticated into AOL’s web user interface and sent the email. We can also tell this IP was not spoofed because the metadata was added by AOL when sent from within their infrastructure with appropriate DomainKeys Identified Mail (DKIM) configurations.

The fact that Guccifer 2.0 is indeed leveraging a French AOL account stands out from a technical perspective. Very few hackers with Guccifer 2.0’s self-acclaimed skills would use a free webmail service that would give away a useful indicator like the originating IP address. Most seasoned security professionals will be familiar with email providers that are more likely to cooperate with law enforcement and how much metadata a provider might reveal about their users. Taken together with inconsistencies in Guccifer 2.0’s remarks that make his technical claims sound implausible, this detail makes us think the individual(s) operating the AOL account are not really hackers or even that technically savvy. Instead, propagandist or public relations individuals who are interacting with journalists.

Drilling into Guccifer 2.0 Infrastructure: Picture of a VPN Starts to Emerge

As we focused in on IP Address 95.130.15[.]34 we queried public sources such as Shodan as well as Censys to discover what services might be enabled on this host. The goal of this was to better understand if this infrastructure is owned and operated, leased or co-opted by Guccifer 2.0 and how the infrastructure might be used to create space between an originating “source” network and investigators, or curious journalists.

ThreatConnect Research Guccifer 2.0: All Roads Lead to Russia 2According to Shodan, OpenSSH (TCP/22), DNS (UDP/53) and Point-to-Point Tunneling Protocol (PPTP) (TCP/1723) services have been enabled on this host. Secure shell (SSH) and point-to-point tunneling protocol services strongly suggest a VPN and/or a proxy, both of which would allow the Guccifer 2.0 persona to put distance between his originating network and those with whom he is communicating.

The SSH fingerprint can be used as an identifier, linking other IP addresses that use the same SSH encryption key. The SSH fingerprint for 95.130.15[.]34 (DigiCube SaS – France) is Fingerprint: 80:19:eb:c8:80:a1:c6:ea:ea:37:ba:c0:26:c6:7f:61. Searching for other servers that share this fingerprint at the time of writing, we discovered six additional IP Addresses over the course of our research (95.130.9[.]198; 95.130.15[.]36; 95.130.15[.]37; 95.130.15[.]38; 95.130.15[.]40;  95.130.15[.]41).

Each IP address falls within the 95.130.8.0/21 network range. This range is assigned to Digicube SAS, a French hosting provider which is assigned the Autonomous System AS196689. An IP address is analogous to the apartment numbers in an apartment building. The entire building is owned and operated by AS196689, but certain IP addresses may be let out to other companies and organizations.

ThreatConnect Research Guccifer 2.0: All Roads Lead to Russia fingerprint

The fact that Guccifer 2.0 would use a proxy service is not surprising, and our first stop was to check with various TOR proxy registration sites. None of these seven IP addresses are part of reported TOR infrastructure from what we were able to uncover. Read the full comprehensive detailed cyber investigation as published here by ThreatConnect.

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Meanwhile: FAS: The headquarters complex of the Foreign Intelligence Service (SVR) of the Russian Federation has expanded dramatically over the past decade, a review of open source imagery reveals.

Since 2007, several large new buildings have been added to SVR headquarters, increasing its floor space by a factor of two or more. Nearby parking capacity appears to have quadrupled, more or less.

The compilation of open source imagery was prepared by Allen Thomson. See Expansion of Russian Foreign Intelligence Service HQ (SVR; Former KGB First Main Directorate) Between 2007 and 2016, as of July 11, 2016.

Whether the expansion of SVR headquarters corresponds to changes in the Service’s mission, organizational structure or budget could not immediately be learned.

Russian journalist and author Andrei Soldatov, who runs the Agentura.ru website on Russian security services, noted that the expansion “coincides with the appointment of the current SVR director, Mikhail Fradkov, in 2007.” He recalled that when President Putin introduced Fradkov to Service personnel, he said that the SVR should endeavor to help Russian corporations abroad, perhaps indicating a new mission emphasis.

Russian intel buildings Russian intel from airPhotos courtesy of FAS