Connect with us

Economy

A Correspondence with World Bank Whistleblower Karen Hudes. Justified Optimism ? The First Order of Business.

Published

on

There are few who doubt that World Bank whistleblower Karen Hudes is one courageous woman. Hudes, who worked 20 years in the World Bank´s legal department, reported corruption by a conglomerate or megabank, which according to Hudes is responsible for corruption in the Bretton Woods institutions. A cartel which effectively has the U.S. Federal Government under arrest, and which is likely to maneuver the world into a global currency war and a breakdown of the world financial system and trade.

Moreover, the Trans-Atlantic Alliance may be endangered, which is not necessarily perceived as a negative development by everyone. While not everyone agrees with Karen Hudes basic premises, and while very few would doubt her courage, many doubt there is a reason for her apparent optimism. I asked Karen Hudes questions, which

The case Karen Hudes is becoming increasingly Kafkaresqe, and the Kafka novel “The Castle” comes to mind. So where is Karen Hudes getting her optimism from ? One must admit that it was an almost Herculean achievement to be reinstated as World Bank Counsel after being fired for reporting corruption.

But then again, Hudes was prevented in taking part in the last day of the 2013 World Bank spring meetings, after a security guard from Allied Barton, which is owned by the conglomerate which Hudes is up against, had her arrested. Hudes was arraigned to the Superior Court at the District of Colombia, a federal court, on the non federal offense of trespassing.

In Hudes´ case it was not the long arm of the law, but the long arm of lawlessness, of a cartel that considers itself above the law, that had the final say with regard to her participation in the last meeting of the 2013 World Bank spring meetings in April.

Exposing that group is clearly the first order of business. Asked about other progress, Hudes states, that “exposing that group is clearly the first order of business“, and Karen Hudes has done just that, with some success in independent media such as nsnbc international. Hudes has been on INN World Report, a radio show hosted by Thomas Kiley, and she has been on Coast to Coast, another syndicated radio show. Also the Russian TV channel Russia Today, RT, has had Karen Hudes on the air.

The question is, will she and her message succeed at reaching critical mass, and for that to happen, she would have to appear on one of the U.S.´s mainstream media which are owned by the same cartel that Hudes opposes. Her case elicits, why it is important that “we the people”, which is you who is reading this article, begin becoming independent on corporate media and begin supporting those media who are truly independent.

That is, those who are truly independent, and not those, who are branding themselves as independent while in fact being the mouth piece for either the one or the other minority faction of one of the two major parties in the USA, who are maintaining the status quo. Or “independent media who happen to be funded by foundations like the Ford Foundation or George Soros Open Society Foundation and their likes.

World Bank as Microcosm. Karen Hudes describes the World Bank as a microcosm that convenes the stakeholders, saying:

“The U.S. Congress is one of the stakeholders, and they are requiring the elimination of retaliation against whistleblowers as a condition for contributing to the World Bank capital increase. This is after the World bank stonewalled the GAI inquiry into corruption requested by Senators Lugar, Lehay and Bayh, and after the Parliament of the United Kingdom published how the Securities and Exchange Commission (SEC) stonewalled the Serious Fraud Office´s inquiry into the SEC”.

Karen Hudes describes her progress, saying that some of the U.S. Governors are now involved, and:

“I have recently spoken with the office of Governor Terry Branstad, of of the Co-Chairs of the Governors Council”.

“I have also asked the counties to help get the Governors off the dime. Will this occur in time ? I have asked the television station that interviewed me to help me, and they have contacted Canada´s Parliament”.

“In this day and age of the internet, my money is on the stakeholder analysis, that the rule of law will prevail. Let us approach the issue from another perspective. If you were a member of the ´super entity`, would you think it possible to continue the cover-up after all of this has happened ? I am getting a lot of help — we shall see if I am getting enough!”

Running in a Hamster Wheel ? Karen Hudes´answer brings us back to the need for strengthening truly independent media. After all, most Senators and Governors are very much aware of which issues they have to address in order not to be loosing voter confidence.

Considering the lack of independent media which can reach a critical mass, I asked if she does not think whether the segment of the public which can be reached by independent media needs objective progress reports, or alternatively, a realistic assessment of what should be manifesting to make progress, Karen Hudes replied:

“I have always asked whether I am simply running in a hamster wheel, or whether there is any progress, and I try to figure out what sign I would look for to see to determine the progress. The biggest indicator now of progress is the interest from the media in the story. I will let you know when the story of the World Bank whistleblowers becomes irrelevant, or beside the fact”.

“Many people have told me that the issues we are working on are the right ones, and that our approach is the only one that will prevent the poorest from being harmed in a meltdown of the international financial system.  If this is a widely shared belief, that is one indicator.  Another indicator is if the World Bank whistleblowers stay together.  We have done and are doing that.  

Karen Hudes, along with other World Bank whistleblowers from among other India and some African countries, have been fighting the corruption at the Bretton Woods institutions and the deep systemic problems with the Bretton Woods system per se since 2007.

Naturally, the fact that independent media have begun picking up on the story and are getting up to speed is a positive development, which not only helps inform the public; as Hudes herself states, it increases the whistleblowers credibility and, on might add, it opens the way to increased pressure from the side of the public, on their Governors and Congressmen.  Hudes continued:

“I have been calling and speaking with a number of Governors’ offices, and with their representatives in Washington, and also their chiefs of staff.  This morning, one governor’s office asked me to speak with their Secretary of Finance.  One Governor’s office assured me that their Governor was discussing the issues I raised during their weekly meeting on major issues and at the end of that week, the Governor signed legislation placing the state militia directly under the Governor’s control, although Governors who do that are given national security letters. The Governors are all required under blue sky securities laws to protect bondholders of the World Bank’s $180 billion in bonds”.

I asked Karen Hudes, if she believes, that sending faxes to 50 governors will have any positive effect, and told her that I did not ask this question to denigrate her work. My concern, I said, was more based in the fact that overestimating one´s own strength is one of the most dangerous strategic mistakes. Karen Hudes said:

“What will have a positive effect is if the cover up of corruption ends.  There are a number of issues facing the Governors, including the impending permanent backwardation in gold, which will interrupt world trade”.

“One of the television stations that interviewed me forwarded my disclosures and the stakeholder analysis to the members of Canada’s Senate, and I informed the UK Parliament and the US Congress about this, and also informed some US citizens and taxpayers”.

There are over 50,000 hits on the RTTV podcast, and over 30,000 hits on the podcast of that television station. The RTTV broadcast helped.  Another TV station informed me they had 30,000 hits on their podcast of my disclosures”. 

“If the counties also raise these issues, as well as US citizens, the Governors will act.  The Board members of the National Association of Counties are now considering this matter”.
Have you gotten any responses that indicate that no action will be taken – or does a lack of response indicate that ?  

There are coalitions at work, and most of the action is taking place behind the scenes.  As an example, look at the issues now raised by the European governments about the NSA spying. Why do they raise the issue now, and not earlier, when they were blackmailed for firing Paul Wolfowitz, using information from the same New York madam who was used as a reason for firing then New York State Governor Elliot Spitzer?

The stakeholder analysis predicts that if the US does not end the corruption, the transAtlantic alliance will not last.  This is what you are now seeing.

The Department of Defense is aware of this analysis and this risk, and can read the same tea leaves as I can.  It took me four times to send this information to the US Department of Defense and the UK military attache in Washington.

Someone did not want this information to go through.  Has the US been so emasculated by the “super-entity” that it will allow its most important alliance with Europe to be lost?

That is the simple question which I asked in the email that was being censored.  The stakeholder analysis answers clearly that if I succeeded in getting a country to openly report the corruption, that there was a   95% likelihood that rule of law would prevail.

The UK and EU Parliaments published my testimony, the European Institute of Technology published the description of the super entity, and you and Lars have fleshed out all of the details.  We are squarely on track for rule of law.  

For many people worldwide, and with the recent developments within the BRICS countries, and with a European Union, which is increasingly becoming divided between a British – French – led faction and a German – led faction, it is likely that that also the number of policymakers and decision makers who are asking themselves the questions whether salvaging the Bretton Woods system or the Trans-Atlantic Alliance would be beneficial for long-term developments, stability and peace is growing.

One can read in-between the lines, that Karen Hudes would like the Bretton Woods system to continue, and if the stakeholder analysis is correct, it eventually might. Not wanting to discuss the inherent value or risks of saving the giant on clay feet, Karen Hudes was asked:

 How does the establishment of the council of governors relate to corruption at the World Bank ? <

“It gives me a handle to show the Board of Executive Directors that they have a counterpart.  I called the office of Governor Terry Branstad of Iowa, one of the Council’s co-chairs and reported this fact, and then informed the Chair of the Development Committee.  Do you want to publish all of these details?  I doubt your readership would like to know this level of “whodunit”  Is this to assure yourself that the rule of law will prevail?  Why not just report the struggle and the dynamics, and the rest will take care of itself”.
“They are charged with maintaining order in this Executive Order, which many people consider to be unconstitutional”.
The International Organization of Securities Commissions is also aware of the ongoing obligation of the World Bank’s oversight agencies to end the corruption on the capital markets”.
Asked, who and what in the institutions Karen Hudes mentions is aware of the ongoing obligation of the World Bank´s oversight agencies, and what effect she presumes that this awareness has in terms of realpolitics, Karen Hudes replied:
Whether or not citizens demand accountability is the driving force.  When the pendulum will swing from secret societies to rule of law is when the people taking cover behind inaction start worrying whether there will be consequences for their inaction and whether they will be blamed for their inaction.  Do you want me to send you the emails I have sent to the INTOSAI and the IOSCO?

Again, without necessarily wanting to discuss the inherent value or risks tied to salvaging the Bretton Woods institutions and agreements, or without wanting to enter into a dialog about whether the world actually would be a safer place if the Bretton Woods System, Trans-Atlantic Alliance, and NATO were to fall apart, what the case of World Bank whistleblower Karen Hudes boils down to is this.

Karen Hudes, as well as truth speakers worldwide, are confronted by a super entity, a cartel, that controls almost all western mainstream media. Karen Hudes´case, whether one agrees with her basic premise, that Bretton Woods and its institutions, the Trans-Atlantic Partnership and NATO are worth salvaging, or that it even would be safe to salvage them, the deepest value of her case may be that it shows an urgent need to counter corporate cartel´s and governments information and media monopolies.  Karen Hudes said:

“I am also reminding the mainstream press of its duty to the public and not its shareholders. The Guardian banned me from commenting, and now I am warning them of their legal obligations”.

I replied, that it was good that she was “reminding them”, but that I believe, that an annual check from the US DoD is more efficient that her “reminder”, and I asked what her intention with reminding them was? Karen Hudes replied:

“It is not that the Mainstream Media (MSM) gets annual checks from the United States Department of Defense. It is that the ´super entity` owns these companies”.

Karen Hudes´statement is a truth that needs modification. State-owned media, including the British BBC do receive large sums of funds from the U.S. DoD. The Pentagon´s motto is Global, Full Spectrum Dominance”, not Global, Full Spectrum Dominance minus state-owned media”.

However, Karen Hudes is making a valid point in that Western MSM are controlled by the same cartel that stands for the corruption of the World Bank and other Bretton Woods institutions, and through them, for much of the usurpation of nations and people worldwide.

We began our correspondence with Karen Hudes stating, that “exposing that group is clearly the first order of business”, and I could not agree more. Karen Hudes will be featured in an upcoming, Italian documentary film by Primafilm, and nsnbc international will announce the premier to our readers.

The truth is out there. Somewhere, in between, in limbo, waiting for our readers to do what I did years ago. To throw away the television, to stop paying for newspapers just to have the privilege of paying for being propagandized.

Especially now, when you can get a free subscription for nsnbc international at the bottom of our website. Karen Hudes is one optimistic woman, and her optimism may be realistic if you start doing something to support her in breaking the monopoly on information.

many undoubtedly have been asking themselves.

Analysis

Mystery about Germany´s Gold in the US Solved

Published

on

Nobody wants to admit it openly. The German Gold Reserves in the United States are gone, used for financing the United States war chest and bet for “Global Full Spectrum Dominance”. So why is even the German Federal Bank trying to avoid further speculation by referring to a non-existent “full transparency” ? The answer is quite simple. Nobody wants the current backwardation of the gold market to turn into a permanent backwardation of the gold market. The consequence would be the inevitable collapse of global trade and civilization as we know it.

nsnbc international report from April 2013 “in the money” – “to take to the bank”. In April 2013, nsnbc international published a report by nsnbc contributor, Prof. Long Xinming, revealing that the German government had asked to visit the vaults of the US Federal Reserve to determine the actual existence of the German gold reserves.

Germany has deposited about half of its gold reserves in the USA. The FED refused to permit Germany to examine its own gold, stating “security” and “no room for visitors” as reasons. Nothing else.

When Germany finally was “permitted” an audit, the auditors were admitted into the vault´s anté chamber where 5 or 6 gold bars were shown to them as “representative for Germany´s holdings”.

The German auditors apparently returned a second time, when the FED granted them permission to “look into” 1 of 9 rooms without allowing them to enter or touch the gold, before the auditors were sent back home to Germany. The report on nsnbc prompted worldwide discussions.

In July 2013, the US American hedge-fund manager William Kaye created a stir when he picked-up the ball, stating:

” Germany won´t ever see its gold again…… Central Banks, such as the FED, where most of the reserves had been deposited, had lent the gold to U.S. Banks such as Goldman Sachs and JP Morgan.

The gold has been used in the market to lower the gold price and the FED has received securities in exchange…. Germany won´t ever see that gold again, because it is safely kept in my accounts and the accounts of our investors”.

William Kaye, who previously has been working for Goldman Sachs is by no means a “nobody” on the global markets, and the fact that his statement caused a stir was less surprising than the surprise non-insiders got when they heard the news about Germany´s gold. In fact, nsnbc´s initial report was doubted by many but was, as it turned out right “in the money”, one could, so to speak, take our report to the bank.

German Federal Bank. A Real Embarrassment and Non-Existent Transparency. Not surprisingly either, is the fact that the situation became an embarrassment for the German Federal Bank, Deutsche Bundesbank (DB).

A DB speaker said, that the Deutsche Bundesbank told the German financial publication “Deutsche Wirtschafts Nachrichten” (German Market News), that the DB does not want to comment on the statement and referred to the full transparency which it had provided about the German gold reserves in January 2013. “The situation” said the DB spokesperson, “has remained unchanged since then”. The statement however, was only 50 % true. The true 50 % of the statement is, that the Deutsche Bundesbank does not want to comment.

The untrue 50 % is the statement about the purported full transparency which the DB has provided in January 2013. While it is understandable that it is an embarrassment that one´s purported “ally“, whom many Germans consider more of a political, economical, cultural and not to forget military occupier rather than an ally, has the audacity to put Germany´s auditors off with “no place for visitors” and shows them 1 of 9 chambers, “but don´t enter and touch” after protests from Berlin, is understandable.

After all, no German functionary would ever be allowed to, and no German politician in his right mind would ever dare to say, that “Germany still has not regained its full sovereignty”without risking the carrier – or more.

But talking about full transparency is equivalent to literally ask for trouble from one´s compatriots.

The demand that Germany repatriate its physical gold reserves is becoming increasingly outspoken, and not only among German patriots and conservatives like Member of Parliament for the Christian Social Union, CSU, Peter Gauweiler.

After all, it can hardly have escaped the DB spokesperson and German as well as international observers, that Germany´s Federal Accounting Office has issued a statement in late 2012, in which it criticized the Deutsche Bundesbank because it had not ever had any of its staff to personally audit the German gold reserves abroad. That is, “Not Ever”.

No Audit of German Reserves “Ever”. Deutsche Wirtschafts Nachrichten (German Market News) also asked the DB spokesperson whether any of the German Federal Bank´s officials has ever taken to Paris or the USA to personally audit the German gold reserves. The DB spokesperson replied, or rather tried to avoid answering the question, saying:

“The Deutsche Bundesbank has, with regard to the storage, appropriate storage and deposit contracts with those Central Banks with whom the gold is being deposited”.

He then added, that these contracts, however, were subject to confidentiality, and by the way, he added,

“the Chair for Cash, Settlements and Payment Systems of the Deutsche Bundesbank, Carl-Ludwig Thiele had said in January that he had been there”.

Given this answer, the journalist probably knew that his job would be entering the “Danger Zone” if he would have asked:

” Was there ? Where ? In France ? In New York ? Did Herr Carl-Ludwig Thiele inspect the gold and how much was there ? Is it documented anywhere ? Can I see a copy ? I mean, we are speaking about full transparency right ? ”

An ode to independent media! So, the poor German journalist could keep his job, the Bundesbank spokesperson was proud about his evasive PR skills and that he could keep his job, and we remain in the dark. Everybody is happy. Right ? Business as usual !

The effect of the Deutsche Bundesbank´s complicity in covering-up the obvious theft of Germany´s gold reserves by Germany´s occupying ally USA, the United States blatant arrogance in dealing with his “Trans-Atlantic Partners in Germany” however is beginning to backfire.

How much longer the scandal can be contained is becoming increasingly questionable, and Germans begin to organize themselves to demand the repatriation of the country´s gold reserves.

A group of renown Germans, including the member of the European Taxpayers Association, Rolf Baron von Hohenhau, Peter Boehringer of the German Precious Metals Society, M.P. Frank Scäffler, Author and former IBM Germany CEO, Prof. Hans O. Henkel, Ralf Flier, the Editor in Chief of Smart Investor Magazine, and numerous others have organized themselves in the Association “Repatriate Our Gold” (Holt unser Gold Heim)

The Co-Initiator of the Initiative, Peter Boehringer, states that he considers it absolutely plausible, that the German gold reserves no longer exist within the USA in terms of physical gold bars. Moreover, Boehringer states, that one can strongly suspect it. Boehringer concludes:

“We do believe the Deutsche Bundesbank in its statements, but we do not believe that the Bundesbank can believe what its contractual partners say. The Deutsche Bundesbank simply cannot be sure, that the gold reserves still are present at the FED in the form of gold bars” .

“The Bundesbank does not even officially claim this, or cannot prove the physical presence according to appropriate principles of accounting. The Bundesbank has officially informed us, that the depots and Partner Central Banks have a marvelous integrity, and that the doubts, which we have forwarded in the form of questions, are unsubstantiated”.

He then, correctly remarks the fact which the Bundesbank obviously attempts to omit, which is, that the FED has not performed any official audit of its gold holdings since 1953, and the fact that the Americans they don´t even trust the FED. Ask any US citizen in any major city in the USA and ask: “Can the FED be trusted?”. If you can ask the question with a straight face, people will either believe that you are retarded or that you are part of a new “Candid Camera show”.

Repatriate Our Gold therefore demands, that the Deutsche Bundesbank publishes all the lists with the gold bar numbers of gold bars, which are deposited abroad as well as in Germany.

The question one may ask is, whether the publication of the gold bar numbers would add any credibility to the claims that the gold is physically present, and the ultimate proof can only be given by a full inspection, rather than a dog and pony show, in which German auditors at the fed are shown one out of nine vaults “but don´t enter and don´t touch”. Repatriate Our Gold is therefore still insisting on a full, physical audit of the gold.

Repatriate Our Gold warns, that the repatriation of the German gold reserves from the USA and France by 2020, as the Bundesbank states it would, is far from sufficient. Boehringer states, that the Bundesbank seem to be betting on time because, as he states:

“If German gold reserves really have been used as collateral, one will first have to buy them back”.

And here, Boehringer is touching the most touchy of issues. It is correct, that the FED would first have to buy the gold before it could deliver, but the trouble is, that the gold-market has been in backwardation since early July 2013. To buy gold requires that there is someone who is able and willing to sell gold, and with the market being in backwardation that is impossible.

According to a nsnbc international report with World Bank whistleblower Karen Hudes, we may be facing a global currency war as corruption at the World Bank unsettles the gold market. Karen Hudes has worked 20 years as legal counsel at the World Bank´s legal department. Hudes was sacked in retaliation after she blew the whistle and reported massive corruption in the Bretton Woods institutions.

Hudes has since been reinstated, but the US administration continues its retaliation, and is, as a stakeholder analysis shows, under arrest of a conglomerate or megabank, has Hudes describes it, which prevents that the USA begins to comply with international accounting standards.

Already in May, Hudes warned that the consequence of failure to address the problems would be a permanent backwardation of the gold market and a global currency war that would, one started, grind world trade to a standstill. Moreover, Hudes states:

“A stakeholder analysis derived from accurate game theory modeling shows a clear fork in the road for the United States: rule of law and the transatlantic alliance or corruption and the ascendency of China.”

It may very well be that the United States and Germany, the FED and the Deutsche Bundesbank perceive it as being in their shared interest to cover-up the fact that Germany´s gold is gone, that:

” Germany won´t ever see its gold again…… Central Banks, such as the FED, where most of the reserves had been deposited, had lent the gold to U.S. Banks such as Goldman Sachs and JP Morgan. The gold has been used in the market to lower the gold price and the FED has received securities in exchange…. Germany won´t ever see that gold again, because it is safely kept in my accounts and the accounts of our investors”.

as William Kaye said it. The shared interest would in that case be the attempt to prevent the permanent backwardation, the subsequent currency war and the grinding of world trade to a hold. The problem for both the FED and the Bundesbank is, that the “Gini has left the bottle”, the truth is out and no complicity of silence will make it return into the bottle on its own volition. More simplified: “How to get the paste back into the tube?”.

When push comes to shove we will see that the German gold and the gold of numerous other countries who deposited their gold in the USA after WW II has been used to line the pockets of the US military industrial complex and has financed the US bet for global, full-spectrum dominance. Not surprisingly, many, especially older Germans come to think “Dresden and Pforzheim” when they are confronted with that fact.

Continue Reading

Analysis

French Africa Policy Damages African and European Economies.

Published

on

Since the independence of the former French colonies in western Africa they are in spite of the richness of their natural resources and the productivity of their populations still catastrophically under-developed.

In 2007 the French and European economies began deteriorating into a devastating recession. France seems to be like a man who is standing at the edge of a cliff, transfixed by the thought of falling into the abyss. In fear of losing the lucrative racket of controlling the western African economies he forgets that there is Terra firma and a possibility for both French, European and African prosperity behind him. Africans and leading European politicians expected that the administration of President Hollande would bring much-needed change with respect to French control over the economies of Benin, Burkina Faso, Cameroon, Central African Republic, Chad, Equatorial Guinea, Ivory Coast, Gabon, Guinea-Bissau, Mali, Niger, the Republic of Congo, Senegal and Togo. However, also Hollande´s administration seems to be so transfixed by the prospect of falling into the abyss that it does not fathom the possibility of taking one step back.

Will France remain transfixed in fear and drag western Africa and Europe with it when it falls or does it dare to loosen up its grip on control over the good old CFA racket in its former colonies and discover the true potential and value of the African markets. As painful as it may be, the primary prerequisite for a progressive development and prosperity is the truth about the current state of affairs.

The root causes for the lacking development of the western African economies are closely related to the fact that France, contrary to other former colonial powers, managed to install its commissars at the heart of its former colonies economic and monetary system and that it still maintains almost unchallenged control over them. The system was created by German National Socialists during the 1930s and 40s. It was used to usurp France and other German occupied nations.

The Genesis of the CFA-System in Nazi Germany and the German Occupation of France.

On 9 Maj 1941 Hemmen, the German Ambassador to France declared that he had signed a treaty with the French Admiral Darlan. The treaty would place German commissars within the French National Bank´s departments for foreign currencies and international commerce.(1) The treaty was negotiated under the auspices of German Minister of Finance Herman Göring, whose father, Heinrich Ernst Göring has been the German Governor of German West Africa, todays Namibia, from 1885 to 1890. Herman Göring was among other notorious for his plundering the occupied nations’ economies through operations accounts and for his special interest in treasures and art from the German occupied areas.

At the end of world war two and the occupation of France, the French President Charles de Gaulle created the CFA Franc as a currency for the western African colonies. De Gaulle created a monetary union whose functions of control were based on the model Germany had used to usurp German occupied France.

Even though the colonies have since gained independence, the system of almost absolute control over their economies by the installment of commissars with the Central Banks of the West African Monetary and Economic Unions, the B.E.A.C., the B.C.C., and the B.C.E.A.O. persists.

Modo-Colonialism, the Veto Right by French Commissars over African Economies.

Together, Benin, Burkina Faso, Cameroon, Central African Republic, Chad, Equatorial Guinea, Ivory Coast, Gabon, Guinea Bissau, Mali, Niger, the Republic of Congo, Senegal and Togo, establish the Monetary and Economic Union of West Africa (U.M.E.O.A. / UMEAO. Their currency, the CFA-Franc is printed under supervision of the French National Bank in Charmaliéres, France. The Council of Presidents of the fifteen U.M.E.O.A. member states constitutes the highest authority of the union. Decisions of the Presidential Council are made unanimously. The Ministerial Council of the U.M.E.O.A. defines the monetary and credit policy of the union and it is responsible for the economic development of the region. According to the constitutions of all fifteen member states the creation of their currency, the regulation of its value as well as the regulation of parities and modalities is the exclusive privilege of the nation and its people and decisions about it are made by the parliament.

The placement of French commissars within the heart of the nations and the union`s banking system however, creates an obvious dichotomy between the apparent sovereignty of the union, its constituents, and direct control from the previous colonial power.

Three of the thirteen of the Directors of the B.E.A.C. are French and four of the eight Directors of the B.C.C. are French. The Board of Directors of the B.C.E.A.O. is constituted by sixteen Directors; two from each country plus two additional Directors from France who take part in the management of the bank under the same conditions and with the same privileges as the other Directors. The number and placement of the commissars gives them a Veto right at the board of each of the Central Banks. No decision can be made without their approval and France can enforce its policy by threatening to deadlock the economies unless decisions are made in compliance with French suggestions.

The French Veto right also extends to the nomination of the Governor of the B.E.A.C.. The Governor is elected with the unanimous vote of the Board of Directors, on suggestion of the government of Gabon, and after the approval of the other member states as well as France.(2)

The Central Bank does not only have the privilege to create the currency. It also has the privilege to grant credit for the current accounts of the national treasuries at its discount rate. The Board of Directors is making the decisions about the temporalities and about the total amount that is granted for financing the economies of each of the member states.

Feeding France, Bleeding Africa – Current Accounts and the System of Usurpation.

While the primary instrument of control is the installment of French commissars, the primary instrument for usurping the western African economies is their current accounts. The member states agree to deposit their foreign currency reserves in a shared reserve fond.

The foreign currency reserves are subject to deposition in an operations account at the French National Bank. Between 1945 and 1973 one hundred per cent of the foreign currency reserves had to be deposited in the operations account, in 1973 it was reduced to sixty-five, and on 27. September 2005 to fifty percent. (3) Another fifteen percent is kept in a guaranty fund.

In other words sixty-five per cent of all foreign currency reserves of the fifteen nations and all revenue generated outside of the unions territory is kept at the French National Bank. On 3 Mai 2010 the website of Jeune Afrique quotes the former French Minister of Finance and Commerce, Christine Lagarde: “The Bank of the States of Central Africa, for instance, places an almost 90 per cent of their reserves in the French National Bank”. (4)

In 1960 Jean Boissonat, a member of the currency committee of the French National Bank wrote: “Almost all decisions were made in France .. The Franc Zone allowed France to deliver certain natural resources to itself without having to spend any foreign reserves. It was estimated that this represented two hundred and fifty million US-Dollar savings in terms of foreign reserves per year …” Boissonat continues by stating that approximately half a million Frenchmen in Paris receive their means of survival from the Franc Zone.(5)

The French socialist Jean-Noël Jeanny wrote in 1963 that: “all that the African nations achieve by increasing their export is the generation of more foreign currency reserves for France”.(6) He could as well have added “and the creation of debt for themselves”. Beside profiting on African foreign currency reserves which are returned to the West African nations in the form of debt, France is also profiting from African gold.

The gold reserves of the fifteen nations are kept in France, supposedly to guaranty for the value of the CFR Franc. In 2001 the West-African gold reserves at the French National Bank had an estimated value of 206,528 billion CFR Franc. In an interview for Le Liberation in 1996 the late President of Gabon, Omar Bongo said: “We are in the Franc Zone. Our operations accounts are managed by the French National Bank in Paris. Who profits from the interests that our money generates ? France.” (7)

France is indebting and enslaving Africans by means of Africa’s own wealth; for example: 12.0000 billion invested at three per cent creates 360 billion in interests which France grants as credits to Africa at an interest rate of five to six per cent or more. The allegory of “Bleeding Africa and Feeding France” is no exaggeration, not alarmist, and not revolutionary. It it is a sobering fact of French modo-colonialism and the cost in terms of under-development and human suffering is staggering. The current accounts and the French usurpation are a humanitarian disaster that is induced by France and financed by those who are suffering from it.

Coups, Crisis and French Finance-Nazism in Africa.

In 1996 France devalued the CFR Franc in spite of the protest of most western African nations. Former French Prime Minister Eduard Balladour justified the French dictated devaluation of the CFR Franc because “ it was considered to be the best possibility for aiding the development of the western African countries” (8), even though another statement by Balladoure indicates that he was aware of that the regulation of a currency is a matter of national sovereignty(9).

The late President of Togo, Etienne Gnassingbé said about the devaluation: “One uses to say that violence overrules justice. I was not the only one who issued the warning….. But France has decided otherwise. The African voices don´t count for much in this affair”.(10)

The words of the late Etienne Gnassingbé indicate that the Bleeding of Africa can be taken literally. According to the statutes of the monetary and economic union every member state is free to leave it. So much to theory. In practice, France has left a trail of post-modern coup d´etats, violence, and murder in those nations who tried to get out from under what many West-Africans perceive as French Finance-Nazism in Africa.

In January 1963 the President of Togo, the late Sylvanus Olympio was murdered three days before the issuing of a new currency.

On 19. November 1968 the late President of Mali Modibo Kéita was ousted in a coup and arrested. In 1977 Modibo Kéita died in prison. Kéita was poisoned.

On 27. January 1996 the President of Mali was ousted in a military coup d´etat.

On 15. March 2003 the late President of the Central African Republic Angè Félix Patassé was ousted by the “rebel leader” Francois Bozizé. In all cases the monetary union and France have played a role.

Ivory Coast´s President Laurent Gbagbo, France, the ICC and Modo-Colonialism.

When Laurent Gbagbo became the President of Ivory Coast one of his first official initiatives was the erection of a concrete wall in the tunnel that connects the French Embassy with the Presidential Residence. Gbagbo wanted Ivory Coast to abandon the CFA and institute a new regional and if possible a Pan-African, gold-backed currency. The initiative toward the establishment of a gold-backed Pan-African currency enjoyed the sympathy of many African nations and enjoyed unequivocal support from Libya, which until the so-called Arab Spring in 2011 was the richest and most developed of all African nations.

As if it was a conditioned reflex, France seemed transfixed by is fear of falling into the abyss, of losing the CFR racket that has kept the French economy afloat since it was conceived by de Gaulle in 1945. Rather than seeing a potential, France was biding its time until an opportunity for a post-modern coup d´etat. The 2010 Presidential elections in Ivory Coast. France sided with Alessanne Outtara. Libyan intelligence reports from 2009 and 2010 indicated that the French Intelligence Service D.G.S.E. had begun infiltrating, financing and arming a group of “rebels” in the northern region of Ivory Coast.

The outcome of the Presidential election was apparently very close. The electoral commission declared Alessanne Outtara the winner but the election result was disputed by Laurent Gbagbo.

There had been registered serious irregularities. In one particular village with a population of approximately ten thousand, Alessanne Outtara seemed to have received almost one hundred thousand votes.

Western mainstream media began building a narrative: The electoral commission had declared Outtara to be the winner. The despotic Laurent Gbagbo refused to hand over the reins of power to the winner of the elections. Gbagbo is cracking down on peaceful protesters. Gbagbo is cornered in his bunker…

What western media generally failed to report, underreported, or conveyed in a distorted and strongly biased fashion was that: Laurent Gabgbo and his party had brought the case to the Supreme Court; that the Supreme Court of Ivory Coast had recounted the votes; that the Supreme Court had taken notice of election fraud in favor of Outtara; and that the Supreme Court of Ivory Coast had declared Laurent Gbagbo to be the winner of the elections and the rightfully elected President of Ivory Coast. That French backed guerrilla began attacking predominantly pro-Gbagbo villages, committing massacres, and that French backed “rebels” were attacking the Presidential Residence.

What was emphatically reported in French and western media like the BBC was that “security forces” clamped down on peaceful protesters, and that “Ouattara´s Army” is cornering “Gbagbo in his bunker”.(11)

Nobody seemed to ask the important question. Where in the world had Outtara, who just claimed to have won the elections gotten an “army” from ?

It is symptomatic for the high prevalence of racism and condescending modo-colonialist reasoning among European populations that only very few commentators and analysts said:

“But the electoral commission is not the one who has the competence to approve of election results, it is the Supreme Court”.

A comparison can illustrate the point: When George W. Bush and Al Gore had the closest of all elections that have been held in the United States of America; who certified the election ? The Supreme Court, of course. (12)

Many Americans felt utterly disenfranchised but the population respected the Supreme Court. Could anyone have even thought about the remote possibility of “Al Gore´s Army cornering Bush in his Bunker” of “Gore neglecting the Supreme Court because the electoral commission had pronounced him to be the winner ?” And where in the world would Al Gore have gotten his army from Anyways ? And where did Alessanne Outtara get his army from ?

The capture of Laurent Gbagbo cost the lives of approximately 1.600 young Ivorian soldiers. Young patriots who were willing to defend the President of Ivory Coast from the onslaught of a French-backed post-modern coup d´etat. The capture an arrest of President Laurent Gbagbo was possible only after French special forces violated international law by blasting a hole into the wall which Laurent Gbagbo had erected inside the tunnel that connects the French embassy with the Presidential residence.

The sealed boxes with the ballots from the 2010 elections are kept at the United Nations. So far U.N. Secretary General Ban Kyi-moon has failed to order an independent re-count of the ballots. The fact that the United Nations has so far failed to re-count the ballots to determine the legitimacy of either Laurent Gbagbo´s or Alessanne Outtara´s claim for the Ivorian Presidency, combined with the selective and one-sided prosecution of Laurent Gbagbo at the ICC and of military officers who were loyal to him in 2010 is symptomatic for grave systemic and procedural problems at the United Nations and the International Criminal Court at The Haag. The case against Laurent Gbagbo ought to have been dismissed on the basis of selective prosecution from the very start. His prosecution at the ICC after French involvement in the aggravation of post-election violence in Ivory Coast and the arrest with the aid of French special forces is a blatant example for the abuse of the ICC as an instrument of modo-colonialist control. The most recent selectively prosecuted case is that against General Dogbo Ble in Ivory Coast. Also here western media are de-facto sentencing a political opponent of modo-colonialism before he is even heard in court.(13)

A recent analysis of the systemic and political problems with the ICC, the United Nations, the Rome Statute and the explosion of international law at its very root by Dr. Hans Köchler (14) reads as if it was written to elicit the injustice that is being perpetrated against Laurent Gbagbo and the people of Ivory Coast.

Missed Chances for African and European Economies and the Urgency of Change.

A growing number of African and European leaders are becoming impatient about the paralysis of France. African leaders are impatient because the obvious usurpation of their nations is unbearable for the African economies and their populations. European leaders are mostly impatient because France prevents a European adaptation to the last decades geopolitical changes in Africa and because the crisis of the Euro requires initiative rather than stagnation. Failure to integrate the western African economies into the economic sphere of Europe is bound to have devastating long term consequences for both Africa and Europe.

China has recognized the colossal market potential of a developing African middle class. The French and Trans-Atlantic model of usurpation and subjugation is not only criminal and unethical, it is also uncompetitive.

Recent statements made by the French political heavyweight Jacques Chiraq, who said that France does not have to be a benefactor, it must merely stop usurping Africa, are indicating a potential for change. Chiraq stated that failure to change French-African relations can have catastrophic consequences. 2012 Presidential candidate Jean Luc Mélenon stated that the CFA represents the severe mistake not to tie the western African economies to the economies of the European Union. Mélenon demanded that France abandons its veto right at the Boards of the African Central Banks.

The European Council stated that France is blocking for any project of the European Central Bank that attempts to change the nature or the bearing of the French involvement in the western African Central Banks. The French approach to managing French-African relations is not only bleeding Africa. It is increasingly bleeding both the French and European economies who are missing out on the market potential of an emerging African middle class.

Some political analysts have suggested the establishment of an African-European Peace and Reconciliation Commission that is dealing with the crimes of the past, the building of trust, the review of highly politicized cases at the International Criminal Court, such as the prosecution of Ivoryan President Laurent Gbagbo to ease a transition toward new African-European relations.

The question for this and the coming year is whether France will continue standing at the edge of the cliff and fall while dragging both western Africa and Europe into the abyss together with it, or if it dares to listen to the voices of reason from Africa and its European partners, turn its gaze away from the abyss and see that there is fertile land, right behind it.

“We want to express our recognition and gratitude to Prof. Nicolas Agbohou. The historical context of the article and references about it are inspired by his speech at the Conference on African-French Relations in Paris City Hall, on 09 October 2012. – NSNBC International.”

NB.: If you like this kind of journalism, please sign up for a free subscription for our newspaper at the bottom left of this page and if possible, donate a few coins per month by using the donate button in the right side column. Thank you for informing yourself and for your support.

Continue Reading

Economy

Mozambican Gas Export Doubled in 2015

Published

on

The export of Mozambican natural gas has doubled in 2015 to approximately 115.4 million giga-joules, announced the Mozambican Ministry of Mining Resources and Energy Production. The  increased export is consistent with the potential to turn the south African country into the world’s 2nd largest exporter of Liquefied natural Gas by 2020.

The announcement was made by Mozambican Minister of Mining Resources and Energy, Pedro Couto, during the opening of a session of the Coordinating Council of the Ministry that convened on Tuesday and Wednesday last week.

Couto also announced that the production of natural gas had increased by 8% but added that the falling hydrocarbon prices on the global market have put a dent into commitments to exploration activities in the country.

Couto noted that negotiations were underway to begin the development of natural gas reserves discovered in the Rovuma basin and that the Ministry expects production to start between 2020 and 2021.

The chairman of Mozambican state oil and gas company ENH, Omar Mitha said recently that oil companies operating in Mozambique would invest US$31 billion in the coming years to begin exploration of the natural gas reserves discovered in the north of the country.

A survey from 2012 showed that Mozambique is poised to become the world’s second-largest exporter of Liquefied Natural Gas by 2020. Mozambique has, besides vast gas resources, one of the world’s largest, yet untapped coal reserves. The country also about doubled its export of coal to Brazil.

The Frelimo government aims at a balanced economic model that combines State control with free market mechanisms, investments in infrastructure to increase the quality of life of Mozambican citizens, and investment into a Sovereign Wealth Fund.

Continue Reading

Trending

Copyright © 2019 NSNBC INTERNATIONAL.