Thursday Reads: Crisis in Cyprus, The End of the “Creative Class” Dream, the Grand Betrayal, and Other News

coffee break

Good Morning!!

There’s quite a bit of news on the Cyprus crisis this morning. But first, last night Joe Weisenthal posted this assessment of how bad things had already gotten: In Just Days A Modern Economy Has Been Set Back 50 Years, And It May Never Be The Same Again. That’s a quote from Ciaran O’Hagan of Société Générale in Paris. Weisenthal writes:

According to reports, Cyprus will try again tomorrow to cobble together some kind of bank bailout bill that can pass parliament.

Cyprus needs to raise another 5.8 billion euros, which it could do from some combination of deposit taxes, Russian money, and pension nationalization.

None of the options are good, but until it’s done, banks will likely have to remain closed, a situation that can’t go on much longer.

This is a stunning turn of events for a modern Eurozone nation.

This morning, the news broke that the European Central Bank (ECB) has given Cyprus an ultimatum. Bloomberg reports:

The European Central Bank said it will cut Cypriot banks off from emergency funds after March 25 unless the Mediterranean island agrees on a bailout with the European Union and International Monetary Fund.

“The Governing Council of the European Central Bank decided to maintain the current level of Emergency Liquidity Assistance, ELA, until Monday, 25 March 2013,” the Frankfurt- based ECB said in an e-mailed statement today. “Thereafter, ELA could only be considered if an EU/IMF program is in place that would ensure the solvency of the concerned banks.”

The Cypriot parliament this week rejected a proposed levy on bank deposits to raise 5.8 billion euros ($7.5 billion), which euro-area finance ministers backed as a condition for the country’s bailout. A bank holiday in Cyprus has been extended to March 25, giving policy makers until Monday to find a compromise to prevent a collapse of the country’s banks.

“With this statement, the ECB put even more pressure on European finance ministers and the Cypriot government to come up with a deal,” said Juergen Michels, chief euro-area economist at Citigroup Inc. in London. “But we’ll have to see whether they’ll actually follow through with their threat if there’s no deal by Monday and policy makers decide to further extend the bank holiday.”

Read the rest of this entry »


The Audacity of Unrepentant War Criminals

Rumsfeld tweetThe Elephants of the Republican Party don’t seem to have very good memories. Diaper Dave Vitter, Ralph Reed, and even Mark Sanford seem to have continuing careers despite basic transgressions of civility and law. Words fail me on the convenient memories of the perpetrators of one of America’s greatest sins on its 10th anniversary.

The media and the Bush administration led a whole lot of people–never me–down a garden path filled with imaginary WMDs, mushroom clouds, and Al Quaida Terrorists to support its NeoCon Agenda which has cost this country precious lives and treasure. You’d have to ask the Iraqis if they feel ‘liberated’.  Too bad we can’t poll all the dead innocents because I’m sure they’d have something to say about Rumsfeld and Cheney’s War of Ideological Convenience too. It’s hard to believe they even have the audacity to pop their heads up like some Neo Con Ground Hog Day Rodents let lone make statements like the one above.  None of them can take vacations in Europe any more because most countries realize they belong in the justice system with the other War Criminals. There is nothing like the hubris of absolute gall.

There are so many things that are wrong with the lead-up and the shock-and-awe of the Iraq War that we should make yesterday a national holiday to remember the criminal enterprise that brought us the likes of Cheney, Rumsfeld, Paul Wolfowitz, Richard Perle and all the other murderous chicken hawks of the Republican Party.  Voters should be made to remember that Jeb Bush was also a signatory to neocon documents that became policies of the of group of folks that were disgruntled that Poppy Bush didn’t take the initiative to get us into Iraq after the Kuwait Invasion.  That’s another resurrection that shouldn’t happen. PNAC and all its signatories and enablers should go down in history as a list of War Criminals. Judith Miller and various other ‘journalists’ should be added to the list of enablers of war crimes too.

But, back to the absolute mistake and horror that became the Iraq invasion and occupation via Beltway Bob who mentions he got all caught up in the propaganda and complicity of the press at the time too. Even then he was showing signs of the gullibility trait that we like to kid him for around here.   Hence, his nickname. He spoke to Ken Pollack who is one of those people that should shrink into permanent obscurity.

I supported Ken Pollack’s war, which led me to support George W. Bush’s war. Both were wrong. The assumptions required to make them right — Hussein had WMDs, Hussein was truly crazy, Hussein couldn’t be contained, American military planners and soldiers could competently destroy and then rebuild a complex, fractured society they didn’t understand — were implausible.

But saying, in retrospect, that I shouldn’t have supported the Iraq War is easy. The harder question is how to avoid a similarly catastrophic misjudgment in the future.

So here are some of my lessons. First, listen to the arguments of the people who will actually carry out a project, not the arguments of the people who just want to see the project carried out. Who manages a project can be as important as what the project is.

Second, don’t trust what “everybody knows.” There is, perhaps, nothing more dangerous than a fact that everyone thinks they know, because it shuts down critical thinking. In a retrospective for Foreign Policy, Stephen Hadley, Bush’s national security adviser, said, “It never occurred to me or anyone else I was working with, and no one from the intelligence community or anyplace else ever came in and said, ‘What if Saddam is doing all this deception because he actually got rid of the WMD and he doesn’t want the Iranians to know?’ Now, somebody should have asked that question. I should have asked that question. Nobody did. It turns out that was the most important question in terms of the intelligence failure that never got asked.”

People that were that gullible and wrong do not need to be interviewed.  We need a day each year to point and laugh at them and spread national loathing in their general direction. However, I frankly believe that Dick Cheney and Donald Rumsfeld knew there were no WMDS.  They need a completely different sort’ve of treatment. The kind of treatment the court at The Hague dishes and serves cold.  I’m not sure if the President knew because frankly, at that time, he appeared at his most clueless on a scale of almost infinite cluelessness.  But, if you read the current writings of some of the men that should be standing in front of judges at The Hague, you would think that  the now well-known absence of WMDS isn’t even historically relevant. By the way, many Republicans still believe the Iraqis had them so when I say “well-known’ I leave out the cult of cluelessness that is the core Republican base.  Try this rationalization and excuse for size from HuffPo.  Richard Perle says  ‘Not A Reasonable Question’ To Ask Whether Iraq War Was Worth It.

NPR “Morning Edition” host Renee Montagne asked, “Ten years later, nearly 5,000 American troops dead, thousands more with wounds, hundreds of thousands of Iraqis dead or wounded. When you think about this, was it worth it?”

“I’ve got to say, I think that is not a reasonable question. What we did at the time was done in the belief that it was necessary to protect this nation. You can’t, a decade later, go back and say, ‘Well, we shouldn’t have done that,'” Perle responded.

Perle’s refusal to evaluate the question seems to underscore just how little those who made decisions in the lead-up to the invasion want to go back and re-evaluate a choice that most Americans think was a mistake.

The war hawk made some spectacularly wrong predictions and proclamations prior to the Iraq war. Mother Jones reported that Perle claimed Saddam Hussein had ties to Bin Laden days after 9/11, suggested that war with Iraq would be easy (requiring only about 40,000 troops), and claimed that Hussein was “working feverishly” to acquire nuclear weapons. Perle also said that Iraqis could finance their own reconstruction.

Elsewhere in Wednesday’s interview, Monagne asked Perle if it ever crossed anyone’s minds that Iraq’s deception about its chemical weapons could have been directed towards, say, Iran — with which the country fought an eight-year war — rather than the United States.

“I’m sorry to say that I didn’t achieve that insight,” Perle replied.

Perle also cast the toppling of Hussein’s reign of nearly 24 years without any centralized authority as an opportunity. “You can say we left it broken. I think we left it open for opportunity. And then we closed our own opening by moving into an occupation,” he said.

If you really want to be appalled, go read John Yoo who justifies the war by saying “We shared the benefits with the Iraqis“. Why is UC Berkely paying this man to pollute young minds?

And isn’t that what we did in Iraq? We spent billions of dollars in Iraq as damages. We did so not because the war was wrong, but because it was right — and we shared the benefits of the war with the Iraqi people by transferring some of it in the form of reconstruction funds.

It’s at these times when I understand the appeal of an almighty deity that will firmly send such folks to eternal suffering for all their hubris, ignorance, and murderous acts. However, I’d just like to see a little justice done to them here on Earth while we can.  It could start with never, ever letting them show up as experts on anything and absolute excoriation when they try to redefine their mistakes.  I know it’s too much to think the Justice Department would deliver their arrogant asses to a court.  But, I would like to think the court of opinion and the press could treat them with the contempt they deserve.  It galls me to think that they’re moving around press circles trying to spread more lies and resurrect themselves.  What they should be doing is Public Service for the rest of their lives to make living tolerable for Iraqi veterans, their families, and for Iraqis.  None of them should live any kind of life of ease nor should any of us ever let them try to forget that they are Unrepentant War Criminals.


Cyprus Parliament Unanimously Rejects Bailout Plan

Cyprus bailout Cypriots

Well, they did it. Matthew Boesler at Business Insider:

The Cypriot parliament has voted against the controversial bank bailout deal hatched with the EU over the weekend, reports Bloomberg.

36 voted no.

19 abstained from voting.

No one voted in favor of it.

The vote was held in a show of hands.

The big part of the bailout plan that has everyone up in arms: a controversial decision to apply haircuts to depositors, which essentially amounts to an expropriation of a certain percentage of money from everyone’s bank account.
That includes insured depositors – those with up to 100,000 euros in the bank – whose funds, up to now, were widely considered sacrosanct.

Now what? Your guess is as good as mine.

I imagine Russia is likely to play a role in this situation going forward, so I found some reactions to the bailout proposal from Vladimir Putin at The Brisbane Times. He wasn’t happy with the deal, which would have removed around 10% of the value of accounts held by many Russians.

Russia’s President Vladimir Putin called the proposed levy ”unfair, unprofessional and dangerous”, and his finance minister suggested Moscow could withdraw a €2.3 billion loan made to Cyprus in 2011. The bank levy was partly intended by Brussels and Berlin to prevent European Union taxpayers spending billions propping up the ill-gotten gains of Russia’s super-rich in Cypriot accounts.

Russian deposits in Cyprus, which offers attractive interest rates and asks few questions, are estimated at €20 billion, meaning Russian corporate and individual investors could lose up to €2 billion in one fell swoop.

Russia’s Finance Minister Anton Siluanov said: ”We had an agreement with colleagues from the eurozone that we’d co-ordinate our actions. So, we will consider the issue of restructuring of the loan taking into account our participation in the co-ordinated actions with the European Union to help Cyprus.”

Other Russian officials tried to allay fears by publicly announcing that whatever happens in Cyprus, the Russian financial system will remain stable.

Merkel stole

I guess Angela Merkel is going to have to come up with another plan or else dream up some better threats.

Obviously this is a fast-moving story, but I’ll include links to the very latest headlines below and then post updates in the comments.

Financial Times: Stocks fall as Cyprus uncertainty mounts

Miamai Herald: Give Cyprus more time, Greece tells EU

Bloomberg: S&P 500 Falls for Third Day as Euro Weakens on Cyprus

Bloomberg: German Stocks Decline Before Cyprus Votes on Bank Levy

Guardian UK: Crisis deepens as Cyprus MPs reject savings tax


Surprise Surprise. New Pope Made Little Effort To Stop Pedophile Priests in Argentina

130313160112-03-pope-franicis-balcony-0313-story-top

 

The Washington Post’s Nick Miroff reports that Pope Francis was “often quiet on Argentine sex abuse cases” when he was Archbishop.

Miroff focuses the article mostly on a charismatic priest named Julio Cesar Grassi, who formed a foundation ironically called Felices los Niños, “Happy Children,” as well as raising money “schools, orphanages and job training programs for poor and abandoned youths, winning praise from Argentine politicians and his superior, Archbishop Jorge Mario Bergoglio.” But in 2009 Grassi was convicted

Today, Grassi is a convicted sex offender who remains free on a conditional release after being sentenced to 15 years in prison in 2009 for molesting a prepubescent boy in his care.

Yet in the years after Grassi’s conviction, Bergoglio — now Pope Francis — has declined to meet with the victim of the priest’s crimes or the victims of other predations by clergy under his leadership. He did not offer personal apologies or financial restitution, even in cases in which the crimes were denounced by other members of the church and the offending priests were sent to jail.

Julio Cesar Grassi

Julio Cesar Grassi

Grassi was reportedly very close to Archbishop Bergoglio; that is troubling to Argentinian child advocates because Grassi is still a priest and has managed to stay out of prison with the help of the Archdiocese.

…[C]hurch officials led by Bergoglio commissioned a lengthy private report arguing that Grassi was innocent.

The report was submitted as part of the priest’s legal appeal, which is pending, and prosecutors say the document has helped Grassi avoid jail time so far. A court has granted him a provisional release that allows him to continue residing across the street from the classroom and dormitories of Happy Children.

The school/orphanage is now closed and in a state of disrepair.

“He gave with one hand, but he took away with the other,” said neighbor Sabina Vilagra, whose husband worked as a janitor at the foundation and was called to testify in the trial.

“He had his favorites — always boys,” said her daughter, Florencia Vilagra, who also worked at Happy Children at the time.

“He would give them bicycles or toys and would designate one as his special ‘secretary,’ ” she said.

There were three accusers in the trial — given the names “Ezequiel,” “Gabriel” and “Luis” to protect their identities — who ranged from ages 9 to 13 at the time of the abuse, according to prosecutor Juan Pablo Gallego.

Child abuse experts say that Bergoglio “evolved” over the years, and he doesn’t appear to have been involved in any cover-ups; in fact he may have been the one to tell a Grassi accuser to contact the police. But the same experts say that other cases slipped through the cracks, including that of Mario Napoleon Sasso, who after being accused of abusing children in the “early 1990s,” was

sent to a private rehabilitation center for wayward clergy, La Domus Mariae (the House of Mary), north of Buenos Aires. He lived for two years at the center and was then reassigned to work in a soup kitchen for poor children in a town outside the capital. There, he went on to sexually abuse girls as young as 3.

“His bedroom was adjacent to the cafeteria, and it had the only bathroom in the chapel,” said Moreau, the attorney for the victims’ families.

Moreau said that in 2003 he accompanied two nuns and a priest who had denounced Sasso, along with the victims’ families, to a meeting with the Vatican emissary in Buenos Aires. He said the families were told to be “patient” and were offered gifts of rosaries “blessed by the pope.”

Sasso was finally convicted in 2007.

Sadly, I can’t say I’m surprised to learn that the new Pope–like his predecessors–is implicated in the Catholic Church’s endless child abuse scandals.


Tuesday Reads: SCOTUS and Voting Rights, Iraq War Buildup, and Reno Saccoccia

morning paper cat dog

Good Morning!!

There’s a great big sloppy white mess outside my house this morning–something like 6 or 7 inches of heavy, wet snow. I’m not sure how I’ll get out of here; I may have to try to hire someone to dig me out. Anyway, I’m resigned to being stuck in the house for today at least.

Soooo… let’s see what happening in the news.

I’m going to start out with some news from the Supreme Court. Yesterday the court debated another voting rights case, and once again Sonya Sotomayor went toe-to-toe with right-wing judicial activist Antonin Scalia. This time it was a case from Arizona over whether a state can require proof of citizenship beyond what is required by federal voter registration forms. Here’s some background from Spencer Overton at HuffPo:

The latest case involves the simple question of whether Arizona can refuse to accept a federal voter registration form. But the stakes are much higher. A victory for Arizona could accelerate a nationwide trend of political operatives attempting to manipulate election rules for political gain, and could undermine the power of Congress to protect voting rights.

The National Voter Registration Act requires that all states “accept and use” a single, uniform voter registration form for federal elections. States can still use their own registration forms, but they must also accept and use the Federal Form. The purpose of the Federal Form is to increase participation by preventing states from erecting barriers to voter registration.

The Federal Form requires that prospective voters check a box and sign the form affirming they are U.S. citizens under penalty of perjury. Arizona, however, adopted a state law requiring “satisfactory proof” of U.S. citizenship to register, such as a birth certificate, U.S. passport, or state driver’s license that shows citizenship.

As a result, Arizona initially rejected over 31,000 voter registration applications — including citizens who registered using the Federal Form. Community-based registration drives were hit especially hard, because they rely on approaching individuals who may not be carrying a birth certificate or similar documentation (or unwilling to give a photocopy of these sensitive documents to a registration-drive volunteer). For example, community-based registration drives in Arizona’s largest county — Maricopa County — dropped 44%.

chair_sonia_sotomayor1

Obviously, if Arizona wins the case, other red states would pass similar laws that would trump federal voting regulations. Yesterday, Sotomayor and Scalia “clashed” over the Arizona law. Talking Points Memo:

Much as they did weeks ago during arguments over the constitutionality of the Voting Rights Act, the two justices on Monday each led the charge on opposite sides of the case — Scalia for less federal involvement in states’ ability to set their voting laws, and Sotomayor for broad national authority to protect citizens’ right to vote.

Sotomayor’s opening volley began immediately after Arizona Attorney General Thomas C. Horne stepped up to defend his state’s law. She fired off a series of questions, which she would continue asking in different flavors throughout his argument, about inconsistencies between Arizona’s Prop 200 and the NVRA.

“If I see the purpose of the NVRA to simplify registration, how are Arizona’s provisions consistent with that objective and purpose, given that … many people don’t have the documents that Arizona requires?” Sotomayor said. She asked Horne why he thinks Congress would have required states to accept a voter registration form if states can then turn around and require additional information like a passport or birth certificate.

“Why isn’t that just creating another form?” she demanded. Arizona, she said, may object to the fact that proof of citizenship isn’t required, but “that’s what Congress decided.”

As for Scalia:

The conservative jurist wasn’t convinced requiring people to attest under oath was sufficient.

“So it’s under oath — big deal,” Scalia said. “If you’re willing to violate the voting laws, I suppose you’re willing to violate the perjury laws.” He posited that only “a very low number” of voters would be harmed by a requirement to submit proof of citizenship.

Well that makes sense–not. Why bother having witnesses swear to tell the truth in court cases then?

Of course Anthony Kennedy was his usual waffling self. Again from TPM:

At one point, Kennedy wrestled with whether Arizona’s proof-of-citizenship requirement crosses a line. He asked the state’s attorney general, who was defending the law, whether states may also require proof of one’s address or date of birth when registering to vote. If so, he posited, then the federal requirement “is not worth very much.”

At another point, he launched a defense of Arizona’s actions in principle and took issue with some of the reasoning by the Ninth Circuit Court of Appeals, which ruled against Arizona.

“The state has a very strong and vital interest in the integrity of its elections,” Kennedy said, “even when those, and perhaps especially when those are elections of federal officials. And it seems to me the Ninth Circuit’s new test did not give sufficient weight to that interest.”

Roberts is apparently “leaning slightly” toward Arizona’s point of view. It’s really frightening that voting rights are in the hands of this conservative court. Thank goodness for Sotomayor’s willingness to be vocal in her arguments. Here are couple more interesting tidbits:

“Let me give you this example,” Alito said. “A person rides up to a place to register on a bicycle and gets out and hands in the federal form. This boy looks like he is 13 years old and he is carrying school books, he is wearing a middle school t-shirt, but he has filled out the form properly. Are they required to register him?”

Retired Justice Sandra Day O’Connor, a native Arizonan who in 2010 ruled against her statein this case from a lower court on which she occasionally sits, was present in the chamber.

In the final moments, Scalia warned the Obama administration’s lawyer, who was arguing against Arizona, that if the constitutionality of the NVRA form is challenged in broader terms, “You’re going to be in bad shape — the government’s going to be.”

There was a little bit of good news from the Court yesterday, according to HuffPo: Supreme Court Refuses To Hear Goldman Sachs’ Appeal To Financial Crisis Lawsuit.

Goldman Sachs Group Inc suffered a defeat on Monday as the U.S. Supreme Court let stand a decision forcing it to defend against claims it misled investors about mortgage securities that lost value during the 2008 financial crisis.

Without comment, the court refused to consider Goldman’s appeal of a September 2012 decision by the 2nd U.S. Circuit Court of Appeals in New York. Goldman shares sank more than 2 percent.

That court let the NECA-IBEW Health & Welfare Fund, which owned some mortgage-backed certificates underwritten by Goldman, sue on behalf of investors in certificates it did not own, but which were backed by mortgages from the same lenders.

Goldman and other banks have faced thousands of lawsuits by investors seeking to recoup losses on mortgage securities.

The bank has said that letting the 2nd Circuit decision stand could cost Wall Street tens of billions of dollars.

{{applause}}

David Frum posted a fascinating article at The Daily Beast late yesterday on the lead-up to the Iraq War. Frum was a speechwriter for George W. Bush at the time. You should read the whole thing, but I’ll just quote this one intriguing portion:

The first time I met Ahmed Chalabi was a year or two before the war, in Christopher Hitchens’s apartment. Chalabi was seated regally at one end of Hitchens’s living room. A crowd of nervous, shuffling Iraqis crowded together at the opposite end. One by one, they humbly stepped forward to ask him questions or favors in Arabic, then respectfully stepped backward again. After the Iraqis departed, Chalabi rose from his chair and joined an engaged, open discussion of Iraq’s future democratic possibilities.

The last time I saw Chalabi was in his London apartment, on the very eve of war. My little group arrived past midnight. Chalabi was listening to the evocative strains of Sufi music. He showed me a black-and-white photograph of seven men, wearing the clothes of the 1940s. They were the board of directors of a company his father had founded: a mixed group of Sunni, Shiite, and Christian, and even a Jew. Chalabi remarked that this picture was taken while Europe was tearing itself apart in genocidal violence. He didn’t add that it was taken shortly after British forces defeated a pro-Axis coup in Baghdad—but failed to prevent a murderous pogrom against Baghdad’s Jewish population.

I was less impressed by Chalabi than were some others in the Bush administration. However, since one of those “others” was Vice President Cheney, it didn’t matter what I thought. In 2002, Chalabi joined the annual summer retreat of the American Enterprise Institute near Vail, Colorado. He and Cheney spent long hours together, contemplating the possibilities of a Western-oriented Iraq: an additional source of oil, an alternative to U.S. dependency on an unstable-looking Saudi Arabia.

You might imagine that an administration preparing for a war of choice would be gripped by self-questioning and hot debate. There was certainly plenty to discuss: unlike the 1991 Gulf War, there was no immediate crisis demanding a rapid response; unlike Vietnam, the U.S. entered the war fully aware that it was commencing a major commitment.

Yet that discussion never really happened, not the way that most people would have imagined anyway. For a long time, war with Iraq was discussed inside the Bush administration as something that would be decided at some point in the future; then, somewhere along the way, war with Iraq was discussed as something that had already been decided long ago in the past.

I’m running out of space, so I’ll leave you with this follow-up to the Steubenville rape trial.

Reno

From Deadspin: Fire This Asshole: Why Does Steubenville’s Football Coach Still Have His Job?

Reno Saccoccia is a local legend, in the way that 30-year coaches of football powerhouses in economically depressed Ohio Valley towns tend to be legends. He’s in the Ohio Coaches Hall of Fame. He’s won three state titles. When Saccoccia won his 300th game last year, a sellout crowd of more than 10,000 people packed Harding Stadium—christened “Reno Field” in 2007—and chanted “Reno, Reno, Reno” as he left the field.

He breakfasts regularly with the sheriff. His sister-in-law works in the county’s juvenile court, where he is licensed as a mediator. He “molds young boys into men.” So how did Saccoccia react when he got word that two of his young boys were accused of raping a passed-out student?

On the night of the assault, a Steubenville student recorded this video joking about it. Off-camera, someone says “Trent and Ma’lik raped someone.” Among the text messages released at the trial of Trent Mays and Ma’lik Richmond, one sent by Mays indicated that Saccoccia had seen the video:

Deleate that off You-tube. Coach Sac knows about it. Seriously delete it.

Saccoccia would later claim he was unaware of the social media evidence, angrily telling a reporter that he didn’t “do the internet.” But a flurry of texts sent on August 13, the day after the incident, indicated that Saccoccia had heard what had happened.

Even as all of Steubenville gradually heard the rumors, even after a local blogger alerted the country to what had happened in Steubenville, those involved in posting and sharing the photos and videos continued to play. They were only suspended eight games into the season, more than two months after the assault and arrests.

Less than a month later, Saccoccia testified on behalf of Mays and Richmond in a hearing to determine whether they would be tried as adults.

As we all know, the “boys” were tried as juveniles and got off easy. Seriously, this asshole has to go!

I have some more stories to share, but I’ll put them in the comments . . .   What are you reading and blogging about today? I’m stuck in the house, so I have all the time in the world to click on your links and read!