WASHINGTON RULES: The Revolving Door Continues

07 Other Atrocities, Budgets & Funding, Commerce, Corruption, Cultural Intelligence, Government, Methods & Process, Money, Banks & Concentrated Wealth, Policies, Power Behind-the-Scenes/Special Interests
Chuck Spinney Recommends....

… in the Hall of Mirrors that is Versailles on the Potomac

ps … good report, notwithstanding the fact that Politico is one of those slimy publications that thrives on the bottom-feeding cocktail circuit of Washington, which is funded by … who?

Obama administration's revolving door

By: Kenneth P. Vogel, Politico

January 18, 2011 04:43 AM EST

Candidate Barack Obama repeatedly pledged on the campaign trail that working in his administration would not be “about serving your former employer, your future employer or your bank account.”

But with his administration at its midpoint, a traditional time for personnel turnover, it’s clear that despite Obama’s avowals, a longtime truism of Washington life — that a prestigious-sounding administration post can be a lucrative career enhancer — remains unchanged.

NIGHTWATCH Extract: Tunesia & USA Politics

07 Other Atrocities, 11 Society, Budgets & Funding, Civil Society, Corruption, Cultural Intelligence, Government, Misinformation & Propaganda, Money, Banks & Concentrated Wealth, Power Behind-the-Scenes/Special Interests

Phi Beta Iota: If one reads the Winner Take All Politics book review by Retired Reader first, and then the analytic comments here, one is struck by the raw nearly identical nature of the corrupt politicians and the dysfunctional political system.  Third World America, indeed.

Tunisia: Politics. The Speaker of the Parliament is the new temporary President of Tunisia, in accord with the constitutional succession and as announced by Prime Minister Ghannouchi two days ago.

Local television broadcast on 17 January the formation of the new government — the national unity government. The cabinet includes the defense, finance and foreign ministers when Ben Ali was president. Three leaders of opposition parties are included in the cabinet for the first time.

Prime Minister Ghannouchi created three high-level panels, for political reform, to investigate the recent violence and to investigate reform. He also ordered political prisoners released.

Security

Some gun shots were fired on the 17th but the worst of the fighting occurred over the weekend when Army soldiers and armed citizen groups fought gun battles with Presidential guards from the Ben Ali regime.

The government announced that 78 people died in the past week of violence.

About 1,000 protesters who assembled near the Interior Ministry called for the ruling party to relinquish power. News services reported the protesters chanted: “Out with the RCD!” and “Out with the Party of the Dictatorship!”

Comment: The government appears to be in transition from a strong presidency to a government led by parliament. The Prime Minister, not the temporary president, is leading the political metamorphosis. The announcement of a unit government has quieted conditions in Tunis, by most accounts, but its adequacy and genuineness are questionable.

The uprising was not fundamentally political and not a challenge to authority, until the government made it such. The demonstrations primarily were about economic conditions – the price and availability of food, according to contacts in Tunis, and unemployment, according to the international press. As yet the new government has made no statements about its plan to tackle either.

In other words, the mismatch between public grievances and government remedies portends more unrest that may yet usher in a revolution – a change of government system not just a change in the head of government. At this point no revolution has occurred. The leaders of the pre-existing regime are maintaining themselves in office and that looks like political deception. [Emphasis Added.]

Continue reading “NIGHTWATCH Extract: Tunesia & USA Politics”

WikiLeaks VI: 2,000 Offshore Bank Account Names

Civil Society, Commerce, Commercial Intelligence, Corruption, Cultural Intelligence, Money, Banks & Concentrated Wealth
Rudolf Elmer Home Page

WikiLeaks to Publish Data From Ex-Julius Baer Banker

Bloomberg, 17 January 2010

WikiLeaks plans to release data on about 2,000 cross-border bank accounts provided by a former Julius Baer Group Ltd. employee, who says they may have been set up to evade taxes.

Rudolf Elmer, who was dismissed as chief operating officer by Julius Baer Bank & Trust Company Ltd. in the Cayman Islands in December 2002, handed over the information today, including data on 40 politicians, to WikiLeaks founder Julian Assange.

“There will be a full revelation,” Assange told reporters today in London, adding that the data will take at least two weeks to check and disseminate. Elmer “is a whistleblower and he has important things to say,” he said.

. . . . . . .

http://duckduckgo.com/?q=Douglas+Johnson+faith+religion
Structured Web Hits

“I was an expert in the offshore business,” Elmer told reporters at the meeting. “I am against the system. I want to let society know what I do know, and how this system works, because it’s damaging society.”

Elmer will be tried on Jan. 19 in Zurich, charged with several counts of attempted duress, including threats to Julius Baer and its employees, as well as breaching Switzerland’s banking secrecy laws.

The former employee “embarked in 2004 on a personal intimidation campaign and vendetta against Julius Baer,” the Zurich-based bank said in a statement. “He also used falsified documents and made death threats against employees.”

Also of Note:

WikiLeaks Kills Off Tunisian Tyranny (With Facebook, Twitter, Blogger Help)

Earlier WikiLeaks Rolling Updates:

Wikileaks III-V Rolling Update CLOSED

Wikileaks Round II (Iraq) Rolling Update 20101105

Other Postings About Wikileaks Impact at Phi Beta Iota (about 45)

Reducing Afghan Corruption Through Mobile Payments to National Police

08 Wild Cards, Budgets & Funding, Commerce, Corruption, Ethics, microfinancing, Military, Mobile, Money, Banks & Concentrated Wealth, Non-Governmental, Open Government, Technologies, Waste (materials, food, etc)

M-Paisa: Ending Afghan Corruption, one Text at a Time

Monty Munford Oct 17, 2010

Afghanistan supplies 92% of the world’s opiates. According to the latest available figures, the country produced 8,200 tons of heroin in 2008, more than double the the amount three years earlier.

But even being the heroin capital of the world, bringing in more money than most Afghans can dream of, the on-going war and rampant corruption means the money goes to the wrong people and the country has no infrastructure. There are no decent roads, no railways… But they do have mobile phones.

Four months ago, the Afghan National Police began to pay salaries through mobiles (using a text and Interactive Voice Response system), rather than in cash. The platform used was based on the M-Pesa service that has become highly successful in Kenya. Branded M-Paisa in Afghanistan, it was introduced by the operator Roshan in partnership with the Ministry of the Interior (MOI) and had an immediate effect.

Full article

Thanks to Vinod Khosla via his Twitter feed.

Related: Could Tiny Somaliland Become the First Cashless Society?

Also see: Afghanistan War Wealth + Corruption Cycle (Opium, Hashish, Minerals, Past Pipeline Attempts)

Gerald Celente: Forecasted Panic in Dec 2007; EIN PDB forecasted crash in Oct 2007

03 Economy, Corruption, Misinformation & Propaganda, Money, Banks & Concentrated Wealth, Power Behind-the-Scenes/Special Interests, Videos/Movies/Documentaries

Trend Research Homepage

Comment: In October 2007, Earth Intelligence Network's Public Daily Brief (PDB) stated “Economy: Nothing significant, US continues to be bankrupt. Real estate crash in January 2009.” See it for yourself (pdf)

High Speed Rail in America: Identifying Mega-Regions

03 Economy, 11 Society, Budgets & Funding, Civil Society, Commerce, Government, Money, Banks & Concentrated Wealth, Policy, Waste (materials, food, etc)
see the report and maps

A new study released today by America 2050 identifies the high-speed rail corridors with the greatest potential to attract ridership in each of the nation's megaregions.  Corridors connecting populous regions with large job centers, rail transit networks, and existing air markets scored best. The study also recommends that the federal government adopt a quantitative approach to evaluating future investment in high-speed rail.

Download the press release.

The 56-page study, entitled, “High-Speed Rail in America,” cites ridership potential as the number one factor in determining if a corridor is suitable for investment, identifies the specific conditions that generate ridership demand, and scores each corridor according to strength in those areas.  The top performing corridors in each region determined to have the greatest potential demand for high-speed rail ridership include corridors such as: New York-Washington, DC; Chicago-Milwaukee; Los Angeles-San Diego; Tampa (via Orlando) to Miami; Dallas-Houston; Atlanta-Birmingham; Portland-Seattle; and Denver-Pueblo.

More Bank Equity Is Needed and Not Socially Costly

03 Economy, Money, Banks & Concentrated Wealth, Policy

Much More Bank Equity Is Needed
and Is Not Socially Costly

Text of Letter Published in Financial Times

November 9, 2010

The Basel III bank-regulation proposals that G20 leaders will discuss fail to eliminate key structural flaws in the current system. Banks’ high leverage, and the resulting fragility and systemic risk, contributed to the near collapse of the financial system. Basel III is far from sufficient to protect the system from recurring crises. If a much larger fraction, at least 15%, of banks’ total, non-risk-weighted, assets were funded by equity, the social benefits would be substantial. And the social costs would be minimal, if any.

Some claim that requiring more equity lowers the banks’ return on equity and increases their overall funding costs. This claim reflects a basic fallacy. Using more equity changes how risk and reward are divided between equity holders and debt holders, but does not by itself affect funding costs.

Tax codes that provide advantages to debt financing over equity encourage banks to borrow too much. It is paradoxical to subsidize debt that generates systemic risk and then regulate to try to limit debt. Debt and equity should at least compete on even terms.

Proposals to impose a bank tax to pay for guarantees are problematic. High leverage encourages excessive risk taking and any guarantees exacerbate this problem. If banks use significantly more equity funding, there will be less risk taking at the expense of creditors or governments.

Debt that converts to equity, so-called “contingent capital,” is complex to design and tricky to implement. Increasing equity requirements is simpler and more effective.

Continue reading “More Bank Equity Is Needed and Not Socially Costly”