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No sooner had Roman Abramovich, newly targeted by the United Kingdom's sanctions on Russian oligarchs, announced that he was selling Chelsea Football Club than the feeding frenzy began. An athletics icon, City grandees, and even a respected Times columnist, each representing different American multi-billionaires, descended on London in a race to buy the club. Meanwhile, a host of London properties belonging to Russian oligarchs entered a long-overdue process of liquidation. What took so long?
In terms of magnitude, American plutocrats match every dollar that Russian plutocrats stash abroad to escape scrutiny with $10 of their own.
To put it bluntly: the West's legal foundations.
True, Western leaders encouraged the inflows. David Cameron, then UK Prime Minister, appealed in 2011 to a Moscow audience to "invest" in Britain. But it wasn't hard to convince the oligarchs to flood London with their money. Western countries' legislation prevents governments and the public not only from disturbing wealth stored in their jurisdictions but also from even knowing where and how much of it there is. Why else would countless corporations register in the US state of Delaware, using post office box addresses that guarantee their owners anonymity?
In fact, Western democracies grant foreign wealth even more protection from scrutiny. In a 2021 report aptly titled "The UK's Kleptocracy Problem," the London-based think tank Chatham House revealed that the golden visas for sale to oligarchs from all over the world were granted after "checks ... [that] were the sole responsibility of the law firms and wealth managers representing them." In my country, Greece, following our state's effective bankruptcy in 2010, an oligarch could buy a no-questions-asked golden visa, which also came with a Schengen visa (and the opportunity to live and travel anywhere in the European Union), for a measly EUR250,000 ($276,000). Similar visas are sold by other fiscally stressed eurozone countries, fueling a race to the bottom that the world's oligarchs greatly appreciate.
While there is good reason to focus on Russian money, now that Russian bombs are destroying Ukrainian cities, it is puzzling that only Russian billionaires are called oligarchs. Why is oligarchy, which means rule (arche) by the few (oligoi), considered an exclusively Russian phenomenon? Are the Saudi or Emirati princes not oligarchic? Do American billionaires, like those now flocking to buy Chelsea FC, smuggle less money out of their country than their Russian counterparts do, or have less political clout? Do they use such power better than the Russians?
Russia's wealthiest 0.01% (the top 1% of the top 1%) have taken about half their wealth, around $200 billion, out of Russia and stashed it in the UK and other havens. At the same time, America's wealthiest 0.01% have taken around $1.2 trillion out of the United States, principally to avoid paying taxes. So, in terms of magnitude, American plutocrats match every dollar that Russian plutocrats stash abroad to escape scrutiny with $10 of their own.
As for the relative political clout of Russian and American billionaires, it is not at all clear who has more. While there is no doubt that a number of Russian oligarchs have President Vladimir Putin's ear, he has more control over them than the American government has over its billionaires. Since the US Supreme Court's 2010 decision affording corporations the right to donate to politicians as if they were persons, America's richest 0.01% accounted for 40% of all campaign contributions. It has proved to be an excellent investment in wealth preservation.
Is it by chance that in the years since the "deregulation" of campaign financing, American billionaires have obtained the lowest tax rate in over a generation, and the lowest among all wealthy countries? Is it an accident that the US Internal Revenue Service is starved of resources? According to an authoritative empirical study of the US legislative record, none of this is an accident: the correlation between what Congress enacts and what most Americans prefer is not significantly greater than zero.
So, if non-Russian billionaires are also oligarchs, does the exclusive emphasis in the West on Russians mean that "our" oligarchs, and those nurtured by our allies, are in some sense better? Here we are treading on treacherous ethical ground.
To argue that the Saudi billionaires behind the decade-long devastation of Yemen are "better" than Abramovich is to invite mockery. Putin would feel vindicated if we dared claim that the American oilmen who reaped a windfall from the illegal US-UK invasion of Iraq were morally superior to the owners of Rosneft and Gazprom. To be sure, Putin's oligarchs turn a blind eye whenever a brave journalist is snuffed out in Russia. But, meanwhile, WikiLeaks founder Julian Assange withers in a high-security UK prison, under conditions bordering on torture, for having exposed Western countries' war crimes following their illegal invasion of Iraq. And how did Western oligarchs and governments respond when their Saudi business partners dismembered the Washington Post columnist Jamal Khashoggi?
Following Putin's invasion of Ukraine, the UK government declared its determination to rip away the veil of secrecy and deception shrouding the money parked in Britain to escape the scrutiny of law enforcement and tax authorities. Whether the reality matches the rhetoric remains to be seen. Already, there are signs of tension between the ambition to seize oligarchs' money and the imperative of keeping Britain "open for business."
Perhaps the only silver lining in the Ukrainian tragedy is that it has created an opportunity to scrutinize oligarchs not only with Russian passports but also their American, Saudi, Chinese, Indian, Nigerian, and, yes, Greek counterparts. An excellent place to start would be with the London mansions that Transparency International tells us sit empty. How about turning them over to refugees from Ukraine and Yemen? And, while we're at it, why not turn over Chelsea FC to its fans.
Larry Sanders, the older brother of Sen. Bernie Sanders (I-Vt.), who lives in the U.K., is taking a page from his brother's book and running for the parliamentary seat left empty by former Prime Minister David Cameron.
And in keeping with family tradition, he will campaign on a platform to end social inequality and neoliberalism. The elder Sanders, who was chosen by the Green Party, opposes privatization of healthcare and, as a retired social worker, wants to highlight the impacts of austerity on public services.
"In Britain, as in the U.S., we have had an increase in inequality in the last 30 years, and that's having all sorts of consequences," he told the Guardian on Friday--comments that probably seemed familiar to some American readers. "Many people can't afford houses who you would have expected to not long ago."
"We need to show that we don't want Britain to be the most unequal country in Europe. We don't want unmet health needs to increase when we already have too few doctors, nurses, and hospital beds," he said in a separate statement. "We don't want the government to impose unworkable contracts on 50,000 precious doctors, when it is clear that the supposed reason for the contract, a seven day hospital service, can't be done at present funding."
"This is a rich, capable, and decent country," he said. "We can do better."
Cameron resigned as prime minister following the Brexit referendum but only stepped down as a minister of parliament this month, triggering a by-election for his seat in Witney of Oxfordshire.
Left-leaning candidates do not do well in the area, the Guardian notes, with the last Green to run there winning just 5.1 percent of the vote, but Sanders believes his name recognition will go a long way.
"Because of Bernard, I've become famous, and I will get more attention from the media, and that's to be used to get the Green Party's policies across," he said. "Bernard's campaign in America was a very successful shifting point."
"Our similarities in terms of policies are astonishing, partly because we talk all the time," he added.
Sanders will face off with Conservative candidate Robert Courts, Liberal Democrat Liz Leffman, and Labour's Duncan Enright. The election will take place on Thursday, October 20.
Sanders moved to Britain in the 1960s after studying at Harvard Law School.
A British parliamentary inquiry into the Libyan fiasco has reported what should have been apparent from the start in 2011 - and was to some of us - that the West's military intervention to "protect" civilians in Benghazi was a cover for what became another disastrous "regime change" operation.
The report from the U.K.'s Foreign Affairs Committee confirms that the U.S. and other Western governments exaggerated the human rights threat posed by Libyan leader Muammar Gaddafi and then quickly morphed the "humanitarian" mission into a military invasion that overthrew and killed Gaddafi, leaving behind political and social chaos.
The report's significance is that it shows how little was learned from the Iraq War fiasco in which George W. Bush's administration hyped and falsified intelligence to justify invading Iraq and killing its leader, Saddam Hussein. In both cases, U.K. leaders tagged along and the West's mainstream news media mostly served as unprofessional propaganda conduits, not as diligent watchdogs for the public.
"When it comes to Putin and Russia, it's the same ole hyperbole and falsehood that so disinformed the public regarding the 'threats' from Saddam Hussein and Muammar Gaddafi."
Today, we are seeing an even more dangerous repetition of this pattern: demonizing Russian President Vladimir Putin, destabilizing the Russian economy and pressing for "regime change" in Moscow. Amid the latest propaganda orgy against Putin, virtually no one in the mainstream is exercising any restraint or finding any cautionary lessons from the Iraqi and Libyan examples.
Yet, with Russia, the risks are orders of magnitude greater than even the cases of Iraq and Libya - and one might toss in the messy "regime change" projects in Ukraine and Syria. The prospect of political chaos in Moscow - with extremists battling for power and control of the nuclear codes - should finally inject some sense of responsibility in the West's politicians and media, but doesn't.
When it comes to Putin and Russia, it's the same ole hyperbole and falsehood that so disinformed the public regarding the "threats" from Saddam Hussein and Muammar Gaddafi. Just as President George W. Bush deceptively painted Hussein's supposed WMD as a danger to Americans and Secretary of State Hillary Clinton dishonestly portrayed Gaddafi as "genocidal," U.S. officials and pundits are depicting Putin as some cartoonish villain or some new Hitler.
And, just as The New York Times, Washington Post and other mainstream media outlets amplified the Iraq and Libyan propaganda to the American people - rather than questioning and challenging it - these supposedly journalistic entities are performing the same function regarding Russia. The chief difference is that now we're talking about the potential for nuclear annihilation.
According to the new U.K. report on Libya, Britain's military intervention - alongside the U.S. and France - was based on "erroneous assumptions and an incomplete understanding" of the reality inside Libya, which included a lack of appreciation about the role of Islamic extremists in spearheading the opposition to Gaddafi.
In other words, Gaddafi was telling the truth when he accused the rebels around Benghazi of being penetrated by Islamic terrorists. The West, including the U.S. news media, took Gaddafi's vow to wipe out this element and distorted it into a claim that he intended to slaughter the region's civilians, thus stampeding the United Nations Security Council into approving an operation to protect them.
That mandate was then twisted into an excuse to decimate Libya's army and clear the way for anti-Gaddafi rebels to seize the capital of Tripoli and eventually hunt down, torture and murder Gaddafi.
Ignored Terror Evidence
Yet, there was evidence before this "regime change" occurred regarding the extremist nature of the anti-Gaddafi rebels as well as those seeking to overthrow Bashar al-Assad in Syria. As analysts Joseph Felter and Brian Fishman wrote in a pre-Libya-war report for West Point's Combating Terrorism Center, "the Syrian and Libyan governments share the United States' concerns about violent salafist/jihadi ideology and the violence perpetrated by its adherents."
In the report entitled "Al-Qaeda's Foreign Fighters in Iraq," Felter and Fishman also analyzed Al Qaeda's documents captured in 2007 showing personnel records of militants who flocked to Iraq for the war. The documents revealed that eastern Libya (the base of the anti-Gaddafi rebellion) was a hotbed for suicide bombers traveling to Iraq to kill American troops.
Felter and Fishman wrote that these so-called Sinjar Records disclosed that while Saudis comprised the largest number of foreign fighters in Iraq, Libyans represented the largest per-capita contingent by far. Those Libyans came overwhelmingly from towns and cities in the east.
"The vast majority of Libyan fighters that included their hometown in the Sinjar Records resided in the country's Northeast, particularly the coastal cities of Darnah 60.2% (53) and Benghazi 23.9% (21)," Felter and Fishman wrote, adding:
"Both Darnah and Benghazi have long been associated with Islamic militancy in Libya, in particular for an uprising by Islamist organizations in the mid?1990s. ... One group -- the Libyan Fighting Group ... -- claimed to have Afghan veterans in its ranks," a reference to mujahedeen who took part in the CIA-backed anti-Soviet war in Afghanistan in the 1980s, as did Al Qaeda founder, Osama bin Laden, a Saudi.
"The Libyan uprisings [in the 1990s] became extraordinarily violent," Felter and Fishman wrote. "Qadhafi used helicopter gunships in Benghazi, cut telephone, electricity, and water supplies to Darnah and famously claimed that the militants 'deserve to die without trial, like dogs,'"
Some important Al Qaeda leaders operating in Pakistan's tribal regions also were believed to have come from Libya. For instance, "Atiyah," who was guiding the anti-U.S. war strategy in Iraq, was identified as a Libyan named Atiyah Abd al-Rahman.
It was Atiyah who urged a strategy of creating a quagmire for U.S. forces in Iraq, buying time for Al Qaeda's headquarters to rebuild its strength in Pakistan. "Prolonging the war [in Iraq] is in our interest," Atiyah said in a letter that upbraided Jordanian terrorist Abu Musab al-Zarqawi for his hasty and reckless actions in Iraq.
The Atiyah letter was discovered by the U.S. military after Zarqawi was killed by an airstrike in June 2006. [To view the "prolonging the war" excerpt in a translation published by the Combating Terrorism Center at West Point, click here. To read the entire letter, click here.]
Hidden Motives
This reality was known by U.S. officials prior to the West's military intervention in Libya in 2011, yet opportunistic politicians, including Secretary of State Clinton, saw Libya as a stage to play out their desires to create muscular foreign policy legacies or achieve other aims.
Some of Clinton's now-public emails show that France's President Nicolas Sarkozy appeared to be more interested in protecting France's financial dominance of its former African colonies as well as getting a bigger stake in Libya's oil wealth than in the well-being of the Libyan people.
"For Clinton, a prime motive for pushing the Libyan 'regime change' was to demonstrate her mastery of what she and her advisers called 'smart power,' i.e., the use of U.S. aerial bombing and other coercive means, such as economic and legal sanctions, to impose U.S. dictates on other nations."
An April 2, 2011 emailfrom Clinton's personal adviser Sidney Blumenthal explained that Gaddafi had plans to use his stockpile of gold "to establish a pan-African currency" and thus "to provide the Francophone African Countries with an alternative to the French franc."
Blumenthal added, "French intelligence officers discovered this plan shortly after the current rebellion began, and this was one of the factors that influenced President Nicolas Sarkozy's decision to commit France to the attack on Libya." Another key factor, according to the email, was Sarkozy's "desire to gain a greater share of Libya oil production."
For Clinton, a prime motive for pushing the Libyan "regime change" was to demonstrate her mastery of what she and her advisers called "smart power," i.e., the use of U.S. aerial bombing and other coercive means, such as economic and legal sanctions, to impose U.S. dictates on other nations.
Her State Department email exchanges revealed that her aides saw the Libyan war as a chance to pronounce a "Clinton doctrine," but that plan fell through when President Obama seized the spotlight after Gaddafi's government fell in August 2011.
But Clinton didn't miss a second chance to take credit on Oct. 20, 2011, after militants captured Gaddafi, sodomized him with a knife and then murdered him. Appearing on a TV interview, Clinton celebrated Gaddafi's demise with the quip, "we came; we saw; he died."
Clinton's euphoria was not long-lasting, however, as chaos enveloped Libya. With Gaddafi and his largely secular regime out of the way, Islamic militants expanded their power over the country. Some were terrorists, just as Gaddafi and the West Point analysts had warned.
One Islamic terror group attacked the U.S. consulate in Benghazi on Sept. 11, 2012, killing U.S. Ambassador Christopher Stevens and three other American personnel, an incident that Clinton called the worst moment of her four-year tenure as Secretary of State.
"Western nations have little credibility left inside Libya."
As the violence spread, the United States and other Western countries abandoned their embassies in Tripoli. Once prosperous with many social services, Libya descended into the category of failed state with rival militias battling over oil and territory while the Islamic State took advantage of the power vacuum to establish a foothold around Sirte.
Though Clinton prefers to describe Libya as a "work in progress," rather than another "regime change failure," U.S. and U.N. efforts to impose a new "unity government" on Libya have met with staunch resistance from many Libyan factions. Since April, the so-called Government of National Accord has maintained only a fragile presence in Tripoli, in Libya's west, and has been rejected by Libya's House of Representatives (HOR), which functions from the eastern city of Tobruk.
Over the past few days, military forces loyal to Gen. Khalifa Hafter, who is associated with HOR in the east, seized control of several oil facilities despite angry protests from Western nations, including the U.S., U.K., and France. But Western nations have little credibility left inside Libya, which not only faced colonization in the past but has watched as the U.S.-U.K.-French military intervention in 2011 has led to widespread poverty, suffering and death.
Inept Intervention
The U.K. report only underscores how deceptive and inept that intervention was. As described by the U.K. Guardian newspaper, then-Prime Minister "David Cameron's intervention in Libya was carried out with no proper intelligence analysis, drifted into an unannounced goal of regime change and shirked its moral responsibility to help reconstruct the country following the fall of Muammar Gaddafi, according to a scathing report by the foreign affairs select committee.
"Though Blair and Cameron have at least faced personal disgrace over their roles in these two failed 'regime change' invasions, there has been less accountability in the United States."
"The failures led to the country becoming a failed state on the verge of all-out civil war, the report adds. The report, the product of a parliamentary equivalent of the Chilcot inquiry into the Iraq war, closely echoes the criticisms widely made of [then-Prime Minister] Tony Blair's intervention in Iraq, and may yet come to be as damaging to Cameron's foreign policy legacy."
Earlier this year, Cameron stepped down as prime minister following the approval of the "Brexit" referendum calling on the U.K. to leave the European Union, a position that Cameron opposed. This week, Cameron also resigned his seat in Parliament.
Though Blair and Cameron have at least faced personal disgrace over their roles in these two failed "regime change" invasions, there has been less accountability in the United States, where there were no comprehensive examinations of the policy failures that led to the wars in Iraq and Libya (although studies were undertaken regarding Bush's false claims about Iraq's WMD and the Obama administration's failure to adequately protect the U.S. consulate in Benghazi).
There has been even less accountability in the mainstream U.S. news media, where, for instance, The Washington Post's editorial page editor Fred Hiatt, who repeatedly reported Iraq's non-existent WMD as flat fact remains in the same job today pushing similar over-the-top propaganda regarding Russia.
A New Cold War
As with the fiascos in Iraq and Libya, U.S. policymakers continue to ignore or sideline American intelligence analysts who possess information that would cast doubt on the escalation of hostilities with Russia.
Even as the Obama administration has charted this new Cold War with Russia over the past two years - a prospect that could cost U.S. taxpayers trillions of dollars and carries the risk of thermonuclear war - there has been no National Intelligence Estimate getting a consensus judgment from America's 16 intelligence agencies about how real the Russian threat is, according to intelligence sources.
One source said a key reason why an NIE had not been done was that U.S. policymakers wanted a more alarmist report than the intelligence analysts were willing to produce. "They call [the alarm about Russia] political, not factual," the source said. "They weren't going to do one, period. They can't lie."
The source added that the analysts would have to acknowledge how helpful Putin has been in a number of sensitive and strategic areas, such as securing Syria's agreement to surrender its chemical weapons and convincing Iran to accept tight limits on its nuclear program.
" Israel has nuclear weapons and a crazy leader," the source said about Israeli Prime Minister Benjamin Netanyahu. "If not for Putin, the guy may have used it [a nuclear bomb] in Iran. He [Putin] calmed things down in Syria. They [CIA analysts] aren't that stupid. To tell the truth, you have to say he [Putin] saved the Middle East a lot of trouble."
U.S. intelligence analysts also might have had to include their assessments regarding whether Syrian rebels - not Assad's military - deployed sarin gas outside Damascus on Aug. 21, 2013, and whether an element of the Ukrainian military - not ethnic Russian rebels - shot down Malaysia Airlines Flight 17 over eastern Ukraine on July 17, 2014.
Those two propaganda themes blaming Syria and Russia, respectively, were promoted heavily by mainstream Western media and various Internet-based information warriors. The two themes have been central to the Western-backed "regime change" project in Syria and to the new Cold War with Russia. If U.S. intelligence analysts knocked down those themes in an NIE, valuable propaganda assets would be exposed and discredited.
Also, in the wake of the two British government reports undermining the propaganda that was used to justify "regime change" in Iraq and Libya, the blow to Western "credibility" if there were similar admissions about falsehoods regarding Syria and Russia could be devastating.
Instead, the hope of Official Washington is that the American public won't catch on to the pattern of deception and that the people will continue to ignore the famous warning that President George W. Bush infamously garbled: "fool me once, shame on ... shame on you; fool me - you can't get fooled again."