• More Media B.S. — OMG, Trump Company Legally Rented Office Space to Iranian Bank!

    October 3, 2016 // 13 Comments »

    gmbuilding

    Once again a story that Trump did nothing illegal is somehow front page news. His crime this time? Continuing to legally rent out office space to a bank already in a building he bought 18 years ago.

    So the big news is that Donald Trump’s real estate organization rented space to an Iranian bank later linked to Iran’s nuclear program.

    Bank Melli, one of Iran’s largest state-controlled banks, was already a tenant in 1998 when Trump purchased the General Motors Building, above, in Manhattan, but he kept them on for another five years, until 2003.


    Quick summary:

    — There is no evidence and it is highly unlikely that Trump himself knew every one of the hundreds of tenants in a building he bought in 1998. In fact, the building occupies a full city block, with 1,774,000 net leasable square feet (the bank rented 8,000 square feet.)

    — U.S. security authorities allowed Bank Melli to legally operate offices in the U.S., so renting to them is not a story.

    — Bank Melli was prohibited from conducting bank transactions in the U.S., and did not conduct transactions, but kept an office in New York in hopes sanctions might one day be eased.

    — Bank Melli operated fully in the open. The U.S. Department of the Treasury could have shut them down at any time, or sanctioned Trump for dealing with them if it wished. It did not.

    — The bank itself (not Trump) was only sanctioned by Treasury in 2007, four years after it left Trump’s building. However, the Huffington Post helpfully notes (emphasis added) “[Unnamed] Experts told the Center for Public Integrity that the bank likely supported proliferation activity and Iran’s military years before the Treasury Department publicly condemned the bank,” something the owners of the rental building presumably should have been aware of somehow.

    — The Center for Public Integrity reveals on its website that the Bank Melli “as being controlled by the Iranian government” since 1999. Actually in its own publically available history, the Bank notes it served as the nation’s central bank, issuing currency, from 1931.


    While the media is enjoying this story, it ignores the broader picture. Despite sanctions and trade embargoes, over the past decade the United States government allowed American companies to do billions of dollars in business with Iran and other countries blacklisted as state sponsors of terrorism.

    At the request of companies from Kraft Food and Pepsi to some of the nation’s largest banks, the Treasury Department across multiple administrations granted some 10,000 licenses for deals involving sanctioned countries.


    The media is so full of sh*t on these stories their eyes are brown.



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    Posted in Iran

    John Kerry Accidentally Sanctions Self

    July 23, 2014 // 4 Comments »




    “I’m still not sure exactly what happened,” said gaffe-prone, beleaguered Secretary of State John Kerry, “but I’m told I agreed to sanctions on myself.”


    In an exclusive, Kerry explained his mistake.


    “So there we were in the Middle East. I travel almost constantly, and at my age, even with a large staff, it can get hard to keep track. I mean, have you ever been to the MidEast? Every place looks like every other place. It’s hot, sandy, and each country seems to have some sort of odd headgear. Look, I’m not the first to get confused by all this.”

    “Anyway, so I’m tired. We’re in West-Somewhere-Stan, some forsaken patch of garbage with no oil, where the national export is dust, and I’m shaking hands for a photo op with what seems like the same orphan I shook hands in Baghdad, Kabul, Cairo and Tunis. Does that kid travel on the plane with me? We had had some local food for lunch which did not agree with me, and so I proposed sanctioning humus. Maybe it was sort of a joke, maybe I meant Hamas, maybe it was the Ambien talking. Next thing I know, the State Department spokesperson in Washington is telling reporters I have imposed a sanction on a beloved food product.”

    “It really hits the fan then. Half the Middle East turns around and imposes retaliatory sanctions on me. Those people can’t agree on something simple like not killing each others’ kids, and bang! overnight they band together on some silly food thing. I had hoped it was going to blow over after another suicide bombing like always, but then Israel joins in the sanctions against me. Cray cray, amiright?”

    Kerry leaned over to an aide, who confirmed for him that he had read his printed talking points correctly.

    “Can’t be too careful, right?” joked Kerry, now chewing on the edge of the note card.

    “So once Israel agreed to join every Arab nation on the planet in sanctioning me, my hands were tied. I mean, when Israel barks, I’m there with a Scooby treat, often a multi-million dollar treat. So, in a show of solidarity with Israel– who indeed has the right to defend itself against me, which I strongly support– I agreed to join the sanctions regime against myself. I even explained that the United States views the situation with concern to make it all official. Tomorrow I’ll add ‘grave concern.’ That’ll show me I mean business about myself.”

    “Next thing I know, everybody in the U.S. is on TV about it. I thought nobody actually watched those Sunday morning news shows, but it turns out that Fox has an intern who takes notes if she’s up early. Pretty soon all of the media has opinions on this, some former Ambassador is writing an Op-Ed and then Barack orders me to come home and not leave my room.”

    “So we get on the plane and I’m relaxing with a stiff drink when out the window I see three F-18’s escorting us. My pilot tells me they’re trying to force us to land somewhere, saying I’m violating my own sanctions by flying, plus I’m on the No-Fly list now. Guess what? I end up in Moscow! Nearest airport somehow. You’d think they had a lot of places to stay there with capitalism and all, but I found out all the VIPs are stuck in the same place, which was booked solid for the Ukrainian National Day celebration, and I get stuck on Edward Snowden’s couch for the night. Awkward.”

    “At least the guy is pretty quiet, though he leaves his towels on the floor in the shower. And who doesn’t flush? But we got along OK and he even helped me with my laptop. The State Department still runs some software thingie I’m told is called “Windows XP” and Snowden told me it hadn’t been ‘patched’ since ‘like when the first Matrix came out.’ I had left the paper with all my passwords on the plane, but he knew mine somehow. He even said he installed a free ‘keylogger’ for me and some other good stuff. I asked him if I needed a new laptop and he was adamant that I should never, ever stop using the one he had installed all that magic stuff on. What could I say? Hah hah, I can’t even program my VCR I told Ed.”

    “That was apparently funny, because my aide had to explain to Ed what a VCR was. Ed said ‘LOL,’ which made me feel good after all those sanctions.”

    “How it could the day get worse? One word– Vladimir Putin. Really, what is that guy’s problem? Putin shows up on TV opposing sanctions against me. C’mon, does that dude have to oppose everything we do? Yeah, apparently he does. So I have to throw together a press conference where I call out Putin for opposing sanctions on me, and call on the international community to robustly support even greater sanctions against me. The EU issues a statement saying they resolutely aren’t sure what their position is, and the press sniping starts all over. I’m stuck ‘accidentally’ saying into an open mic I’m personally really angry at myself for not upholding the sanctions. What a mess.”

    “Next thing I know, my own State Department starts Tweeting about the sanctions, hashtagging my sorry self with junk like #SaveALifeSanctionKerry. Worse yet, they’re sending me emails asking me to approve the Tweets about myself, something about policies come and go but bureaucracy remains. Man, me and Snowden had a laugh about that one. He knew my password for Netflix and so we just chilled after that.”

    “So here I am stuck in Russia with all these sanctions on me. I hear Obama is threatening to ‘ratchet down’ the sanctions on me if China doesn’t lower tariffs. I’d like to fly there and sort that out, but with the sanctions I’m really over a barrell. I can’t even use my card at the ATM. At this point I’m not sure what to do next. I’m thinking of calling up Jon Stewart and seeing if he’ll weigh in for me. He’s about the only guy left Barack really listens to. Wish me luck.”



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    Posted in Iran

    North Korean Sanctions Don’t Interfere with Making Money

    April 4, 2013 // 43 Comments »

    Oh, a new crisis in North Korea!

    (Drumbeat) On June 26, 2008, the President issued Executive Order 13466, declaring “a national emergency to deal with the threat to the national security and foreign policy of the United States constituted by the current existence and risk of the proliferation of weapons-usable fissile material on the Korean Peninsula,” and continued certain restrictions with respect to North Korea that had been imposed under the authority of the Trading With the Enemy Act.

    (Drumbeat) On August 30, 2010, another President issued Executive Order 13551, expanding the scope of the national emergency declared in E.O. 13466 and adding new restrictions.

    (Drumbeat) On April 18, 2011, the President issued Executive Order 13570 to take additional steps to address the national emergency declared in E.O. 13466 and expanded in E.O. 13551 that will ensure implementation of the import restrictions contained in several United Nations Security Council Resolutions and complement the import restrictions provided for in the Arms Export Control Act.

    (More Dramatic Drumbeat) Criminal fines for violating the E.O.s range up to $1,000,000; individuals may also face imprisonment up to 20 years. In addition, civil penalties of up to the greater of $250,000 or twice the amount of the underlying transaction may be imposed administratively for each violation.


    The path was clear: The United States would apply a variety of economic sanctions to both punish North Korea for going nuclear and, more importantly, choke off its access to the world markets and the hard currencies needed to keep the evil regime alive. By cutting off its money supply, sanctions wold starve North Korea of the real fuel– money– needed to drive its nuclear program.

    Except of course if real money is involved.

    Kaesong

    Meanwhile, a South Korea-North Korea joint venture project happily churns away, generating some two billion dollars a year in hard currency for the North. At the Kaesong project, 123 South Korean firms employ more than 50,000 North Koreans to make whatever “household goods” are. In addition, Kaesong also generates more than $80 million a year in cash in wages, paid directly by South Korean firms to the North Korean government rather than to workers.

    Business is done in the international currency of U.S. dollars, ensuring North Korea of plenty of sanctions-free moolah.

    Business Could Not be Better

    In fact, business couldn’t be better. According to North Korean Economy Watch, despite rising cross-border tension, the trade between South and North Korea reached a record high last year. South Korean products worth $896.26 million were shipped to North Korea, up 13.4 percent from the previous year. The amount of products that came from the North jumped 19.3 percent on-year to $1.07 billion.

    In fact, since 2004, total wage payments for North Korean workers in Kaesong totaled $245.7 million, rising from $380,000 in 2004 (the first year of operation) to $61.76 million in 2011 and $45.93 million in the first half of 2012. To keep things humming along, electrical power and telephone service are supplied from South Korea.

    All About the Benjamins

    The appeal to South Korean industrialists is counted in dollars and cents; the monthly wage for a North Korean worker in Kaesong is about US$128, pennies compared to the labor costs in the South. The Kaesong complex is only a short one hour drive from Seoul, rail service exists to move goods and heavy raw materials, the labor force speaks Korean and shares cultural ties and hey, if a worker gets out of line, demands labor union rights or simply a day off, he can be “replaced,” replaced with extreme prejudice as they say. This is capitalism on steroids, baby.

    And while on April 3 the North Koreans banned South Korean personnel from Kaesong, they continue to accept South Korean money there. In addition, some 261 South Korean workers remain in Kaesong; although new workers are banned from coming in, the old ones are conveniently allowed to stay on. Follow the money.

    One sweet deal: while the U.S. throws sanctions at North Korea in a hissy fit because they went nuclear while we were looking the other way (wars in Iraq and Afghanistan), what really matters on the Peninsula is money. It’s all about the Benjamins.

    BONUS: The U.S. just spent $5.5 million of your sequester tax dollars flying two B-2 bombers over South Korea to intimidate North Korea. They did not bomb the industrial complex at Kaesong described above.




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