Archive | October 15th, 2013




Palestinian Children Protest the Release of Youth Arrested by Jordanian Police.

After 2 Palestinian youth ages 14 & 16 are released after 10 days of being in Jordan Police custody. Their tales of treatment are bringing an outrage within citizens, human rights activist from all over the world. Claims of torture during their arrest include denial of food & bathroom usage if this is not bad enough for teenage youth to go through without claims by one of the youth is that Jordanian Police host him by the feet and shoved a shoe in his mouth to scare him.

Along with these young men there were also adults who were arrested by the Jordan Police after clashes between the Jordan Police and Gaza Camp Citizens. The older adult men also claiming torture of electric shock by Police.

Document of charges against the children who was arrested by the Jordan Police from the Gaza Camp

Along with misconduct by the Jordanian Police we had an interview with Siraj Davis, Miles Shelley, and Waseem Salamaeh about the misconduct of the Jordanian Police on October 5th the day that clashes took place. Illegal use of tear gas that was labeled with an expiration date, Direct targets from rooftops by Jordanian police onto protesters with rubber coated bullets causing major injuries to not only protesters but innocent bystanders who had nothing to do with the protest.


On November 17, 2013 we will interview LIVE on Luna Live Media Network the children who was arrested by Jordanian police. We will show the injuries sustained to the youth and hear their experiences of what really happen while they was in Jordanian Police Custody. You can tune in Live with us here . The world must not turn their back on the children, elders, men and women of the Gaza Refugee Camp in Jordan. We will have updates on the conditions their and bring awareness to the suffering of innocent people of the Gaza Camp. Join us on the 17th to hear from the citizens of the Gaza Camp for yourself.

Tear Gas Jordan Police used on Protesters in the Gaza Camp. Clearly a Made in Brazil but no date of when the product was made nor an expiration date.



British teacher, 24, ‘murdered in Qatar after leaving hotel nightclub with group of men’

  • Lauren Patterson went missing after last seen at Doha hotel on Saturday
  • Believed to have left five-star nightclub with a group of Qatari men
  • Boyfriend James Grima launched online appeal to find her over weekend
  • He later posted message saying she had died, but gave no further details
  • Sources say Doha police have identified her body from a distinctive tattoo
  • Mother pays tribute to ‘remarkable girl. My rock, always there for everyone’


'Truly amazing'‘Truly amazing’: British teacher Lauren Patterson has been found dead in Qatar after she went missing over the weekend

A British teacher is believed to have been murdered in Qatar hours after flying back to the Middle East from her grandmother’s funeral.

Friends of primary school teacher Lauren Patterson, 24, said she was last seen at a nightclub in the capital, Doha, with two Qatari men, one of whom was an ex-boyfriend.

Sources say police have found her body and were able to identify her from a distinctive tattoo, according to The Sun.

A friend said the ex-boyfriend had since gone to Saudi Arabia and Doha police had taken the other man, who had a bruised lip, in for questioning.

Last night there were suggestions from friends that Miss Patterson had left a nightclub at five-star hotel La Cigale with a group of Qatari men and had texted friends to say she was being taken to the wrong house.

One close friend posted a message on Twitter saying: ‘Lauren was raped and brutally murdered. Her body was found in the dumpsters behind La Cigale.’

The £180-a-night hotel has three nightclubs. Its website boasts ‘welcome to the best party in Doha’.

Miss Patterson was last seen outside La Cigale at 1.20am on Saturday, but it is not clear what happened next.

The man who was arrested, a friend of Miss Patterson’s ex-boyfriend, claimed he got his bruised lip after a fight with a taxi driver.

He claims the driver had dropped Miss Patterson at the wrong address. Police searched the man’s apartment but he was later released.

After Miss Patterson disappeared, her family and boyfriend launched a frantic campaign on Facebook and other social media to find her.

But 40 hours later, her boyfriend, James Grima, posted a message saying she was dead.

It was followed by dozens of other tributes, praising a ‘truly amazing’ young woman.

'You were the brightest star and always will be': Grieving boyfriend James Grima took to Facebook to confirm that Lauren had died‘You were the brightest star and always will be’: Grieving boyfriend James Grima took to Facebook to confirm that Lauren had died.

Sad time: Lauren had just returned to Doha from the UK last Friday where she had attended the funeral of her grandmother (pictured)Sad time: Lauren had just returned to Doha from the UK last Friday where she had attended the funeral of her grandmother (pictured).

Clues: Friends suggested that Miss Patterson had left the nightclub at five-star hotel La Cigale (pictured) with a group of Qatari men and had texted friends to say she was being taken to the wrong houseClues: Friends suggested that Miss Patterson had left the nightclub at five-star hotel La Cigale (pictured) with a group of Qatari men and had texted friends to say she was being taken to the wrong house.

Yesterday, her mother Alison left her own online tribute, writing: ‘Thank you so much to everyone for all their wonderful words about Lauren.

‘She was a truly remarkable girl, my rock, always there for everyone. I know she’s in heaven now in her Daddy’s arms.’

Miss Patterson, who flew back from her grandmother’s funeral on Friday, was a primary teacher at Newton British School in Doha.

Her mother, a widow, lives with her other children Georgia, 16, and David, 14, in Kent.

They had moved back to Britain only recently, after living in Luxembourg for seven years.

'A truly remarkable girl'‘A truly remarkable girl’: Lauren (pictured with two unidentified children), originally from Chislehurst in south east London, was working at the Newton British School in the Qatari capital.

Her mother, a reflexologist, is believed to be flying out to Qatar. Neighbours were unaware of the apparent tragedy.

On Sunday, Miss Patterson’s boyfriend Mr Grima, an IT technician and DJ based in Malta, posted an appeal to track her down after becoming concerned about her whereabouts.

The alert went viral as hundreds joined the search for her but hours later Mr Grima announced that she had died.

On Facebook he said: ‘I can’t believe that it had to end this way Lauren, I really don’t.

‘I was so happy that I had finally found someone that could change my life so much, and in such a positive way too…

Tragedy: Lauren with boyfriend John Grima, who had posted an appeal on Facebook after she went missingTragedy: Lauren with boyfriend John Grima, who had posted an appeal on Facebook after she went missing.

Popular destination for British expats: The primary school teacher disappeared in the early hours on Saturday in the Qatari capital of Doha (above)Popular destination for British expats: The primary school teacher disappeared in the early hours on Saturday in the Qatari capital of Doha (above)

‘Rest In Peace babe … I will always look up at the sky cause you always were the brightest star and always will be.’

Mr Grima added: ‘I love you so much babe, I really do and I can’t get over the fact that you were taken away so cruelly, it really breaks my heart to think about it. I know you’re watching over us, wherever you are, and I know that I will meet you again one day.’

The Foreign Office said it was aware of reports that a body had been discovered but were unable to comment further.

A spokesman said: ‘We are aware of a British national, Lauren Patterson, reported missing in Qatar.

‘We are providing the family with consular assistance.’

Qatar, which will host the World Cup in 2022, is considered to be one of the safest spots in the Middle East for expatriates.

But last November an American pre-school teacher, 40-year-old Jennifer Brown, was allegedly killed there by a Kenyan security guard.

He will face trial next month and could be given the death penalty if convicted.

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JORDAN: SHAMELESS KINDOM هجوم عنيف على طاهر المصري


المصري رني – شن النائب محمد هديب هجوما عنيفا على من وصفهم بالقيادات التاريخية الأردنية من أصل فلسطيني، وعلى رأسهم رئيس مجلس الأعيان طاهر المصري.
 ووصف هديب في تصريحات لصحيفة البوابة تلك القيادات بالمهترئة والضعيفة والغير قادرة على حماية المكون الأردني من أصل الفلسطيني، وقال: “إنها قيادات مهترئة وتهادن على حساب مصالح
الفقراء والمساكين”.
وجاء هجوم هديب الذي ينحدر من أصول فلسطينية، لتلك القيادات على خلفية مشاجرة شهدها مخيم “غزة” في محافظة جرش 45 الأسبوع الماضي، مع إحدى البلدات المجاورة، ونجم عنها إحراق لممتلكات وسيارات تعود لأهل المخيم، وحملة إعتقالات طالت مايقارب 16 شخصا بينهم ثلاثة أحداث.
واتهم النائب هديب قوات الدرك بالتحيز ضد أبناء المخيم الذي يبلغ عدد سكانه مايقارب ال 26 الفا، وإستعمال القوة المفرطة بحقهم، وانحيازهم للطرف الآخر من المشكلة على حساب أهالي المخيم –حسب قوله-. واضاف هديب: “إتصلت شخصيا برئيس مجلس الأعيان، لمحاولة التدخل من قبله لتهدئة الأمور والإفراج عن المعتقلين من ابناء المخيم، لكن دون جدوى ولم يحرك ساكنا لتدارك
تداعيات ماحصل”.
وأشار هديب إلى أن تحيز قوات الدرك ظهر جليا بإعتقال أبناء المخيم فقط، دون إعتقال أي شخص من
الطرف الآخر من المشكلة. وقال هديب: “وضعت وزير الداخلية حسين المجالي الثلاثاء بصورة ماحدث، من خلال إتصال مطول معه، ووعد بدوره بنقل كل تلك التفاصيل لرئيس الوزراء عبدالله النسور، ومحاولة الإفراج عن المعتقلين”.

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The Piper Report

The Piper Report Oct 14, 2013

by crescentandcross



Download Here


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Eid Mubarak to you and your family.






India in Karachi


Akhtar Balouch, also known as the Kiranchi Wala, ventures out to bring back to’s readers the long forgotten heritage of Karachi. Stay tuned to this space for his weekly fascinating findings.

It all happened when I was the Provincial Coordinator of the core groups at the Human Rights Commission of Pakistan (HRCP). The commission’s office is situated in the ILACO House, State Life building on Abdullah Haroon Road.

Our kind teacher Hussain Naqi sahib had come from Lahore and was at the HRCP office. He was trying to tell someone the commission’s address over the phone: “Come onto the Victoria Road. On the other side there is the Elphinstone Street. Our office is inside the Indian Insurance building.” The person on the other side of the phone was probably not getting any of this.

I politely asked Naqi sahib if I could take over the navigation. He gave me the phone. I told the person in search of the office that if he was coming from Clifton, he should get on the Abdullah Haroon Road, whence he should move to Zainab Market, cross the traffic signal and enter State Life building number five. Considering that the person might not be coming from Clifton, I continued, “If you are coming from the Saddar area, then come onto the Zaibunnisa Street, turn left after crossing the signal and enter the State Life building number five.” Keenly taking mental notes of my navigational instructions perhaps, he took a deep breath and hung up.

Naqi sahib smirked and asked, “So now that is what these roads and streets are called?” I replied, “Yes, sir.” He never agreed that the office was not in the Indian Life Insurance building. I took it as a memory problem, usually a symptom of old age and the matter was forgotten for the time.

One day, when I was trying to find the Victoria Museum on the Elphinstone Street (Zaibunnisa Street), I saw HRCP’s Kashan Kashif enter the ILACO House. It was a Saturday, not an HRCP working day. I thought of going in and meeting Kashan sahib.

The building echoed with the silence of desolation – a typical weekend aura there. I thought, before I go see Kahsan sahib, I should take a look at the building itself. It, too, was an old building and hence could not be saved from my obsession of finding any traces of the Victoria Museum.

Inside the building there were old, wooden stairs on the right which lead to old rooms. A few more steps and I saw an old gate. There was a stone board on the gate. It was too old to be read in a glance. I gave it a careful look, and read “Indian Life Insurance” embossed on it. In an instant, I brought the camera in my hand to life and took a picture. Suddenly, a man, identifying himself as the building’s security guard, came forward and stopped me from taking any pictures. Later, it was revealed that the guard resided in an old apartment on the upper floor of the Indian Life Insurance building. He was afraid that if the building was declared cultural heritage he might lose his home.

I, for one, was embarrassed that I doubted Naqi sahib’s memory.

Some time ago Tayyab Jajvi, a young teacher at the Department of Journalism, Urdu University, Abdul Haq Campus, who also reads my blog regularly, told me that the college where his sister is a student has an old board. His sister told him that the board had a Briton’s name written on it. Tayyab said he had given his sister his cellphone so that she could bring some photos of the board, but the pictures were not that good.

I took the address of the college from him. It was located on Burns Road, where Justice Maqbool Baqir, a senior judge of the Sindh High Court survived an assassination attempt recently. The place is not far from where I live. However, since the electronic media hordes are not fanatical over so-called sting operations across the country, especially in the metropolis of Karachi, it is no longer easy to visit a historical place and click pictures without locals giving you a glare and suspecting what not.

When I spoke of this during a conversation with a journalist friend of mine, Ashraf Khan, he laughingly replied, “My dear brother, the people who stop [you] from taking pictures also have one or another interest against it. Also, media persons are adopting too aggressive attitudes.”

I recalled Ahmed Faraz’s couplet:

Kuchh tau hotay hain muhabbat main junoo’n kay aasaar Aur kuchh log bhi deewana banaa detay hain

(Love has some traces of madness in it / While people do the rest in turning one mad).

I thought of visiting the college when it is closed. One can easily ‘settle matters’ with the gatekeeper and take as many pictures as one wants.


One evening I was accidentally passing by the college building when I saw a small entrance open adjacent to the central gate. I hesitantly entered the building. There was no one there. I kept moving forward, counting my steps and there it was in front of me: the board. I quickly took the camera out snapped some pictures.

Done with the board, I now started taking a look around. Suddenly, I saw a young man coming in my direction. He came and inquired about the reason of my visit in a soft tone. I told him I write on old archeological buildings and that is why I was there. He shrugged and went off, allowing me to breathe a sigh of relief. I resorted to click a few more pictures of some other boards quickly before leaving.

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Anti-Syria Zionist Propaganda: A week of welcoming Syrian refugees in Milan


by Mary Rizzo 


WRITTEN BY Sirin Bekdash, translated by Mary Rizzo

Refugees #1

“How old are you? You look very young.”

She smiles at me in a way that it seems she has not gotten love for years, “24, 4 of these are my children. My husband has gone to a better world.”

Her eyes are green, they are not deep, but they sparkle. They say that suffering becomes light in the eyes of those who have tried it, I’ve just seen proof of that.

Refugees #2

“Take off your hood so I can fit you with this sweatshirt.”

“But my hair is a mess.”

“Well what does it matter now, it’s not important.”

“Then how should I expect to get married? I’m at the right age for it… I have to look good, I could put on my best clothes, but they fell into the sea already 3 times and the suitcase is soaking wet. I’ve been rescued each time, but the gel gets lost…”

“Don’t worry, girls like tussled hair. Tell me, is there anything else you need?”

“Yes, how many years separate us in age?”

But his was that innocent kind of questioning that is the sweetest thing that exists in the world.

Refugees #3

I learned in a week of life more than I have 3 years. You don’t learn about history by reading what’s in the newspapers, but in the eyes of the people, they have the power of incinerating paper.

Refugees #4

I stroked her fragile legs, I forced a hug, I placed a sweater over her shoulders.

I gave her a chocolate but she did not close her fist and it fell to the ground.

I asked her to choose a toy but with a chilling stare, her mouth dirty or maybe even wounded, in short, crusted, she looked beyond.

“Are you hungry little one?” She did not answer.

“Are you cold?” She did not answer.

“Are you afraid?” She lowered her gaze.

Can I die of fright in her place?

Please God

Refugees #5

This sounds terribly selfish I know, but I need those refugees more than they need me. I depend on them much more than they depend on me.

Refugees #6

There are those who wonder how you fall asleep without love, tonight I ask myself only how fall asleep in a station.

Refugees #7

Certain phrases on the walls touch my soul.

“No human being is illegal”

Refugees #8

An elderly woman with a scarred face. I do not know why, I just know that I look at you and I think that the more valuable a vase is, the more noticeable its scars will be.

Refugees #9

Slender, a back broken from 120 days of travel, 2 children in tow.

It makes me think of bamboo plants, incredibly thin trunks that are able to be tall and resilient, it leaves an impression on me.

Refugees #10

A “shukran” uttered by you has the power of reconciling myself with the world.

Refugees #11

They arrived at their destination, refugees do not put limits on Divine Providence.

Refugees #12

My mother has never had to scold me or spank me, she would tell me something was not to be done and I did not do it.

But these myopic laws…no, you cannot respect them. Mine is not an invitation to disorder but a call to demand those rights that even we one day might need.

Refugees # 13

“I’ve been travelling for two months, may daughter and I. The two of us alone.”

I prayed so that my mother would not die, she is not sick , she’s fine alhamdulillah. Then I cried silently for such a sad prayer.

Refugees #14

“What’s your name habibty?”


Nomen Omen, what the ancients said in Latin; your name is an omen, your destiny.

Refugees #15

I’ll reveal a work that combines mysticism and action: helping others.

Refugees #16

Probably the pages of history books will not give testimony to all the blood that Arabs have offered for free. But no matter, liber scriptus proferetur, in quo totum continetur. “A written book will be brought forth, in which everything shall be contained.”

Refugees  #17

“It’s all because of that Tunisian Bouazizi! Is it not true that it’s only his fault that all this has happened? I just wanted to live in safety and before there was safety.”

I was clamping my hands over my ears until they began to hurt. It’s a lie, an atrocious lie. But with what courage can I say that to those who have lost everything in war?

Refugees  #18

It took only a little to give me euphoria and just as little to make me sad, a goodbye. When you talk of fingerprints I seem to see you running with ankle weights. When you talk of Sweden you seem like a sunflower that stands proud and tries to get close to the sun.

Posted in SyriaComments Off on Anti-Syria Zionist Propaganda: A week of welcoming Syrian refugees in Milan

The Shutdown of the U.S. Government and “Debt Default”: A Dress Rehearsal for the Privatization of the Federal State System?

Global Research


The “shutdown” of the US government and the financial climax associated with a deadline date, leading to a possible “debt default” of the federal government is a money making undertaking for Wall Street.

Several overlapping political and economic agendas are unfolding. Is the shutdown –implying the furloughing of tens of thousands of public employees– a dress rehearsal for the eventual privatization of important components of the federal State system?

A staged default, bankruptcy and privatization is occurring in Detroit (with the active support of the Obama administration), whereby large corporations become the owners of municipal assets and infrastructure.

The important question: is a process of “State bankruptcy” –which is currently afflicting local level governments across the land– possible in the case of the central government of the United States of America?

This is not a hypothetical question. A large number of developing countries under the brunt of IMF “economic medicine” were ordered by their external creditors to dismantle the State apparatus, fire millions of public sector workers as well as privatize State assets. The IMF Structural Adjustment Program (SAP) has also been applied in several European countries.

Will this gamut of deadly macro-economic reforms engineered by Wall Street and the Federal Reserve be conducive towidespread civil disorder across the United States?

While the declaration of a national emergency or martial law is not envisaged, reports confirm that the Department of Homeland Security (DHS) is currently “engaged in acquiring heavily armored tanks, which have been seen roaming the streets.” In the words of Ellen Brown, “somebody in government is expecting some serious civil unrest…”

Fiscal Collapse

Flash back to the meltdown of Wall Street in September 2008. In the wake of the economic crisis, a process of fiscal collapse was initiated.

The evolving fiscal crisis had set the stage. It has a direct bearing on the issue of shutdown of the federal government and “debt default”.

The Bush and Obama bank bailouts had led to the appropriation of $1.45 trillion of US tax revenues. This money was channeled to Wall Street under Bush’s Troubled Assets Relief Program (TARP) and Obama’s bailout program initiated at the outset of his first term. This money was transferred to the banks.

Meanwhile, “defense expenditure” in support of a war economy had spiraled: 740 billion dollars had been allocated (FY 2010) to fund a vast process of militarization including America`s wars in the Middle East and Central Asia.

“Black Budgets”

Of significance, there were several other unreported shadowy multibillion dollar bailouts which do not appear in government accounts, not to mention the Pentagon’s black budgets which are not included in the official expenditure accounts of the Department of Defense.

According to Aviation Week in a 2009 report:

“the Pentagon’s ‘black’ operations, including the intelligence budgets nested inside it, are roughly equal in magnitude to the entire defense budgets of the UK, France or Japan, and 10 per cent of the total.” (see Big Increases for Intelligence and Pentagon “Black” Programs in 2010 By Tom Burghardt, May 13, 2009

“War and Wall Street”: Spiraling Public Debt

In the wake of the 2008 financial crisis, a new structure of public indebtedness had been created. Without accounting for the “black budgets” and “shadowy bank bailouts”, reported defense expenditures plus the bank bailouts amounted to a staggering 2.35 trillion dollarsTotal revenue in FY 2010 was of the order of $2.38 trillion.

In other words, these two categories of expenditure, namely War and Wall Street “had eaten up” (together with interest payments on the public debt) the totality of federal government revenues.

The $2.35 trillion included the handouts to the banks plus military expenditure and the funding of the multibillion dollar DoD contracts with Lockheed Martin, Raytheon, Northrop Grumman, British Aerospace, et al.

No Money Left Over From the Public Purse to Fund Regular Government Programs

What this warped budgetary structure implied (in FY 2009 and 2010) was that there was no money (i.e. residual funds) “left over” from the public purse (tax revenues and other sources of federal government revenue) to fund regular government programs.

All other categories of expenditure including medicare, medicaid, social security as well as public investments in infrastructure, etc. had to be financed through debt creation (emission of Treasury bills and government bonds), namely through a dramatic increase in the public debt from $9.9 trillion in FY 2008 to 16.7 trillion (October 2013), a staggering increase of almost 70 percent.

FRED Graph

Widening Budget Deficit

In essence, the federal government has been financing it own indebtedness through generous handouts to Wall Street and the military industrial complex.

These developments are inevitably also characterized by a widening budget deficit in the wake of the 2008 financial crash. See CBO graphs below, which indicate the figures for the budget deficit as well as the forecast for 2012-2022.

The Congress Budget Office (CBO) contends that the “estimates” for 2013-2022 are based on revised historical values of Gross Domestic Product by the Bureau of Economic Analysis (BEA). This is a nonsensical statement.

The Congress Budget Office (CBO) acknowledges that “the federal budget deficits [2013-2022] are now expected to shrink dramatically”. These are not our words but those of the CBO. And these “forecasts” have nothing to do with revised historical values of GDP. The have to do with austerity measures and macro-economic policy.


Budgetary Shift: “Economic Shock Therapy”

In a matter of three years, according to the CBO forecast, the budget deficit will be reduced from 7 percent of GDP in 2012 to 2 percent in 2015.

A budgetary shift of this nature can only be implemented by “economic shock therapy” leading to socially devastating cuts in public expenditure, which will inevitably result in a wave of civil unrest.

What is behind these “estimates” is the presumption that drastic austerity measures leading to major cuts in government spending will be implemented over a ten year period (2013-2022) thereby reducing the size of the budget deficit as well as its percentage ratio to GDP.

Medicare, Medicaid, Social Security

The so-called CBO “estimates” for 2013-2022 are based on the assumption that austerity measures (which have not yet been formally adopted) will lead to the downsizing, phasing out and/or privatization of a large number of State programs including medicare, medicaid and social security. How else would it be possible to slash the budget deficit from 7 to 2 percent of GDP in 3 fiscal years?

Medicare, Medicaid and Social Security represented in FY 2012, 45 percent of total government expenditure (See CBO Chart on Federal Government Spending for FY 2012, below).

It is highly unlikely that the budget of the Department of Defense (19 percent) will be used to reduce the budget deficit.

Quantitative Easing: “Keeping the Ship Afloat”

In a bitter irony, while the Wall Street financial institutions were the recipients of the bailouts, they are also the creditors of the federal government, which had been precipitated into a structure of deficit financing controlled by Wall Street. This deficit financing –which was facilitated by Quantitative easing– is distinct from the Keynesian framework. It is controlled by the creditors. It does not create employment, it is not expansionary. It has little bearing on the real economy.

This post 2008 fiscal structure has had a fundamental impact on the process of debt formation. Tax and other federal government revenues had been assigned in 2008-2009 to bailing out the banks while relentlessly funding the war economy including the financing through black budgets of a growing number of Private military and security companies (PMSC).

The public debt has increased by almost 70 percent in five years, from 9.9 trillion in 2008 to 16.7 trillion in 2013 (October 2013 estimate of the debt ceiling, see graphs above).

The various phases of Quantitative Easing (QE) throughout the Obama presidency were largely intended by Wall Street to keep the ship afloat, with an increasingly larger share of the debt owned by the Federal Reserve (in the form of Treasury bills). The Fed has largely been involved in propping up its assets.

Under QE, tens of billions of dollars are injected into financial markets. Quantitative easing has not resulted in a positive stimulus of the real economy. “The real goal of the Federal Reserve is to guarantee the continual profitability of Wall Street and the personal incomes of the super-rich.”

The Fed is not a publicly owned central bank; it is a network of 12 private US banks, with the New York Federal Reserve Bank playing a key role. Operating under a semi-secret veil, major Wall Street financial institutions (including the big four) are the “stakeholders” of the Federal Reserve, which ultimately call the shots on Capitol Hill. At the outset of the Obama administration in 2009, The Federal Reserve Banking system (which is an unaccountable private entity) has been granted increased authority in its management of the US economy, overshadowing the prevailing system of public regulation of the financial system, as well as reinforcing the subordinate role of the US Treasury in relation to Wall Street.

Policies pertaining to the shutdown of the government and the statutory debt ceiling are determined by Wall Street and the Federal Reserve, the US government’s largest creditor. The Federal Reserve banks currently holds $2.1 trillion of US public debt. Japan and China respectively own 1.1 trillion and 1.3 trillion of the US public debt. Based on Jun 2012 figures, The Federal Reserve owns 16 percent of the Federal Debt held by the Public.

The New York Federal Reserve Bank (the largest of the Federal Reserve banks) holds a significant portion of the total holdings of the Federal Reserve system composed of 12 constituent banks.


Were the Federal Reserve to be a publicly owned central bank, quantitative easing would have an entirely different dynamics: the government rather than the Fed (acting on behalf of Wall Street) would be calling the shots. Under a publicly owned central banking arrangement, two trillion dollars worth of public debt could be cancelled, thereby creating conditions for the funding of social programs.

The result of these macroeconomic reforms has been mass unemployment. The American people –including the middle class– have been impoverished by the Wall Street establishment, which ultimately decides on debt default and the statutory ceiling placed on the public debt.

Under pressure from Wall Street and the Federal Reserve, the choices of the US government are limited to the following options:

State programs can either be downsized, phased out or transferred out of the public purse to the private corporate sector, implying in all cases the layoff of tens of thousands of public employees.

No major reforms of the structure of indebtedness are contemplated by the US Congress, which could meaningfully change the government’s relationship to the Federal Reserve and its Wall Street handlers. The creditors ultimately decide.

What is contemplated are marginal modifications of the status quo including legislation to push the debt limit to December 31st 2014.

This token arrangement would temporarily increase the federal government’s borrowing ability through the issuing of Treasury bills and government bonds by about one trillion dollars. Under this scheme, however, the powers of the Wall Street Banks and the New York Federal Reserve would not only be maintained they would be reinforced.

The ultimate objective is to develop a full-fledged proxy State under the helm of the financial establishment. Both the Executive as well as the US Congress are to remain under the control of Wall Street.

The Privatization of the American State?

The inevitable scenario established in the wake of the 2008 crisis is fiscal collapse, leading to:

the possible phasing out and/or curtailment of social programs, the privatization of large sectors of public sector activity.

The fiscal ceiling having now been reached, possibly with a deadline, the government is being pressured by its Wall Street handlers –who control decision-making in the US Congress– to curtail and downsize social programs as well as initiate the transfer of public assets and institutions into the hands of private corporations. There is also a movement to cut as well as privatize Social Security and Medicare.

The privatization of public monuments, museums, national parks, the post office, etc. has been raised in recent media reports as a possible “solution” to the debt crisis. But let us not be misled: the process of acquisition of federal public property including infrastructure and State institutions is likely to go much further.

The public sector is up for grabs. Wall Street will eventually go on a buying spree picking up State owned assets at rock bottom prices.

Ironically, the money transferred by the US government to Wall Street under the bailouts in 2008-2009 can now be used by Wall Street to buy out state property and assets. What this means is that the federal government not only finances its own indebtedness, it is also financing the privatization program (at tax payers expense), leading to the demise of federal government programs.

This process of privatization of the State is nothing new, it has been applied in developing countries under the helm of the IMF whereby state corporations are auctioned off and transferred into the hands of foreign corporations. It has also been applied in Eastern Europe as well more recently in several countries of the European Union

The proceeds of the privatization program are channeled to the State Treasury to meet outstanding debt obligations. In Brazil in the 1990s, important state assets in mining and forestry were purchased by Citi Group, which was Brazil’s largest foreign creditor bank. Ironically, the proceeds of the privatization of the assets purchased by Citi Group were channeled back to Citi Group in the form of debt servicing.

Existing state programs are transferred to private corporations either through outright sale of state assets or through outsourcing of government services to the private sector.

Large numbers of government employees would be laid off as a result of restructuring and privatization. Government services would be sold to the public at a much higher price.

The Privatization of American Cities

The takeover of State assets in America is well under way largely at the municipal and state level. We recall Orange county which went bankrupt in 1994, Jefferson County, Alabama which filed for Chapter 9 bankruptcy in 2011, and more recently Detroit in 2013. In these and other county/municipal bankruptcies, public assets, lands and infrastructure are sold off to private investors. Across the US, more than 100 municipalities are facing bankruptcy:

All over the United States, politicians are selling off key pieces of infrastructure to foreign investors and big Wall Street banks like Goldman Sachs are helping them do it. State and local governments across the country that are drowning in debt and that are desperate for cash are increasingly turning to the “privatization” of public assets as the solution to their problems. Pieces of infrastructure that taxpayers have already paid for such as highways, water treatment plants, libraries, parking meters, airports and power plants are being auctioned off to the highest bidder. Most of the time what happens is that the state or local government receives a huge lump sum of cash up front for a long-term lease (usually 75 years or longer) and the foreign investors come in and soak as much revenue out of the piece of infrastructure that they possibly can. The losers in these deals are almost always the taxpayers. Pieces of America are literally being auctioned off just to help state and local governments minimize their debt problems for a year or two, but the consequences of these deals will be felt for decades. (Michael Snyder, American Dream, July 6, 2011)

The bankruptcies of local level governments immediately backlash on pension funds:

In California, the Orange County Employees Retirement System is estimated to have a 10 billion dollar unfunded pension liability….

How in the world can a single county be facing a 10 billion dollar hole?

The state of Illinois is facing an unfunded pension liability of more than 77 billion dollars. Considering the fact that the state of Illinois is flat broke and on the verge of default, it is inevitable that a lot of those pension obligations will never be paid.

… Pension consultant Girard Miller told California’s Little Hoover Commission that state and local government bodies in the state of California have $325 billion in combined unfunded pension liabilities.

That comes to about $22,000 for every single working adult in the state of California. (See Vanishing Pensions: All Over America Old Age Pensions Are Being Slashed or Eliminated, Global Research, March 14, 2012)

The privatization of federal State assets on a significant scale as well as the take over and privatization of public services is the next stage of this socially devastating economic restructuring process.

Speculative Onslaught

There is another related agenda, which will be the object of a forthcoming article.


The uncertainty underlying the government shutdown and debt default is the object of a wave of speculative activity on major markets.

Wall Street financial institutions not only exert a decisive influence in the formulation of the Administration’s fiscal and monetary agenda, they also control the movement of currency markets, commodity and stock markets through large scale operations in derivative trade.

Most of the key actors in the US Congress and the Senate involved in the shutdown debate are controlled by powerful corporate lobby groups including, of course, Wall Street. The latter are those which ultimately decide on the outcome. They are not only in a position to influence the results of the Congressional process, they also have foreknowledge of the nature and timing of key decisions and they are in a position to reap multibillion dollar speculative gains in the derivative markets by speculating on policy outcomes of which they have advanced knowledge.

Those who determine the government’s debt policy, namely the Wall Street creditors, also have “inside information” or prior knowledge of the chronology and outcome of the government shutdown impasse. will make billions of dollars in windfall profits

While Wall Street is instrumental in triggering the debt ceiling impasse, major financial institutions will also be placing their bets in large scale speculative transactions.

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France’s Hollande assures Naziyahu that Paris will maintain pressure on Iran



French President Francois Hollande assured Prime Minister Binyamin Netanyahu on Friday that Paris would remain “tough” on Iran despite the Islamic Republic’s efforts to get sanctions eased against its controversial nuclear program, AFP reported.

Hollande telephoned Netanyahu to give him assurances that France was committed to keeping up pressure on Iran following a media blitz by the prime minister on Thursday in which he warned against succumbing to Iran’s charm offensive in a number of interviews to European news outlets.

According to AFP, Hollande told Netanyahu that France would maintain pressure on Iran until Iranian President Hassan Rouhani backed up his diplomatic overtures with actions on the ground.

Netanyahu’s interviews on Thursday to media outlets in France, Britain and Germany came ahead of talks between Tehran and the P5+1 group of world powers scheduled to take place next week in Geneva. The P5+1 consists of the five permanent members of the UN Security Council – the US, Russia, China, Britain and France – as well as Germany.

One government official said that Netanyahu felt the need to speak to the European media, and not just European leaders, because the European public has also been the target of Rouhani’s charm offensive.

Netanyahu said of Rouhani’s current diplomatic efforts: “This regime is smiling, and coming and saying, ‘you know what, let me keep enrichment. I’ll make some tactical cosmetic concessions, you reduce the sanctions.’”

But Netanyahu warned that if the sanctions are relieved, the whole sanctions regime will collapse.

“So they’ll get everything, and we – the collective we – will get nothing. If it falls on me to say something that everybody understands, I’ll say it. And don’t say I didn’t warn you.”

Netanyahu said he expects Europe to “do the right thing” and not fall into an Iranian “trap.” His message to the European journalists was similar to his message to US media outlets last week.

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Malala Yousafzai meets the Obamas at the White House


The Obama family met with Malala Yousafzai at the White House after she missed out on the Nobel Peace Prize

Malala Yousafzai: President Barack Obama, First Lady Michelle Obama, and their daughter Malia meet with Malala Yousafzai, the young Pakistani schoolgirl who was shot in the head by the Taliban a year ago, in the Oval Office: Malala Yousafzai meets the Obamas at the White House

President Barack Obama, First Lady Michelle Obama, and their daughter Malia meet with Malala Yousafzai, the young Pakistani schoolgirl who was shot in the head by the Taliban a year ago. Photo: AFP/GETTY.

By Josie Ensor, and agencies

US President Barack Obama and his wife Michelle welcomed Pakistani schoolgirl activist Malala Yousafzai to the Oval Office on Friday.

Mr Obama met with Malala on the same day the Nobel Peace Prize was awarded to the Organization for the Prohibition of Chemical Weapons.

The Pakistani teen had been considered a front-runner for the prize and was in Washington to speak at two events.

The teen said in a statement after the meeting that she was honored to meet with the president, who is a Nobel Peace Prize recipient.

“I thanked President Obama for the United States’ work in supporting education in Pakistan and Afghanistan and for Syrian refugees. I also expressed my concerns that drone attacks are fueling terrorism. Innocent victims are killed in these acts, and they lead to resentment among the Pakistani people. If we refocus efforts on education it will make a big impact,” she said.

She called for greater cooperation between the governments of the United States and Pakistan.

The White House said in a statement that Malala met with the president and first lady in the Oval Office where the president signed a proclamation to mark Friday as the International Day of the Girl.

The proclamation says in part that “on every continent, there are girls who will go on to change the world in ways we can only imagine, if only we allow them the freedom to dream.”

Malala was shot in the head in October 2012 while she was going home from school. She was flown to a hospital in Britain, where she now lives. Her memoir “I am Malala” was published Tuesday.

On Friday she spoke at a World Bank event and was scheduled to speak at a book event at the Sidwell Friends School, which Obama’s daughters attend.

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