You and I are paying the legal bills of executives accused of fraud

Here is yet another secret deal that has recently seen the light of day thanks to the New York Times:

Since the government took over Fannie Mae and Freddie Mac, taxpayers have spent more than $160 million defending the mortgage finance companies and their former top executives in civil lawsuits accusing them of fraud. The cost was a closely guarded secret until last week, when the companies and their regulator produced an accounting at the request of Congress. The bulk of those expenditures — $132 million — went to defend Fannie Mae and its officials in various securities suits and government investigations into accounting irregularities that occurred years before the subprime lending crisis erupted. The legal payments show no sign of abating.
If this was such a good idea, why was it kept secret.

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Avoid These Topics to Help End Civilization

Courtesy of WikiMedia There are four subjects the polite American avoids discussing in public: Politics, Religion, Sex, and Money. The ostensible reason for this taboo is to avoid offending anyone. But here I argue that this over-correctness is a causative factor in the decline of a civilization. Let's do money, first. As far as I know, this is a particularly American obsession. My European parents had to learn not to talk about money when they came to this country. Other places, the question, "So, how much do you make?" is as normal as "Are you married?" But in the U.S.A, we maintain a fiction of a classless society. We ask the same question only obliquely: "Where did you go to school?" is a good indicator of family income and social position. It is to the advantage of the landed class employers that their serfs employees not compare incomes, as well. By not allowing people to honestly gauge their economic value, they stay insecure. And insecurity leads to all manners of submissive behaviors, shoring up the security of the ruling classes, both secular and religious. Sex is a more generally repressed topic. There is no stronger drive, yet we must never directly say what we feel about it. Western churches even teach that one should deny and ignore the strongest drives within ourselves, leading to all sorts of perverse (read as counter-social) behaviors. To discuss it in public would allow people to see how normal their lusts really are, removing a major source of insecurity. Minor curiosities would not blossom into obsessions and perversions. Such openness would reduce the influence of those very organizations that profit from its repression, like churches and (other) marketing firms, whose urgent short-term goals are only occasionally and accidentally in line with continuing our civilization. Religion is a big one. People wear "subtle" symbols to let others of the same brand know they can be approached on the subject. The third eye, a cross or fish, a Koranic verse, and a star are some of the more obvious "secret" symbols. But it is a major faux pas to overtly declaim about your own faith to someone who may not agree. Unless, of course, the purpose is to stir controversy or solicit, two disreputable (completely human) drives. Again, by not knowing when and to whom you may come out,one feels insecure. This gives the leaders the upper hand. Especially when they strive to sow divisiveness, as in malignant fundamentalist sects. Finally, politics. This is the least stringent of the social prohibitions. I think this is in part because the churches and marketing firms rule the field, anyway. In our land, there are basically two sides: The established American parties, and those who can barely tell them apart. The parties do have differences. One wants to conserve our resources, reduce capitalist predation, and protect the underclass in hopes of a better tomorrow, and the other wants government to protect the minorities (specifically the rich, the unborn, and corporations) and let God (or the invisible hand) sort out the others until the imminent judgment day. So it occurred to me that hiding from these basic topics destabilizes civilization. Social groups balkanize into small, trusted segments that define themselves by their perceived differences. Each of the 30,000 Christian sects publicly claim the sum of all members of all denominations as supporting them, yet privately know that most of the 30,000 others are wrong and hell-bound. We have been divided, and conquered. If the people knew where they stood, and knew where the leaders stood, we would have actual checks and balances as were envisioned by our founders. Without such things, our nation may well founder.

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Substitute NYT for Wikileaks and substitute Iran for the United States

Wikileaks continues to be punished for being one of the few organizations brash enough to inform us what our governments are really doing and why. This is intolerable, of course, because the U.S. government is being run by big corporations and wealthy people who, for the most part, are driven by greed--so sorry to break this to the kids who are studying civics in grade school, where they don't tell you about armies of lobbyists, and they don't tell you that the banks own Congress. The true powers that be are running the federal government in secret and they are, regrettably, running it into the ground. That's what one should expect when there is no sunshine to keep powerful people accountable. What we have is a needlessly warmongering, debt-ridden secret and personally invasive brave new government.   I truly wish I didn't believe these things. Consider that our government first attacked Wikileaks by starving it financially, despite the lack of any charges filed against it. They did this by harassing Amazon and various financial organizations to make sure that Wikileaks had no funds to fight in Round II, which is underway. We now know that there are secret subpoenas being issued by the US, and thank goodness that Twitter had the decency to inform its users that their privacy is being invaded, unlike the big U.S. telecoms, who have a long documented track record for turning over our private information without informing us (encouraged very much by President Obama's agreement to grant them retroactive immunity for past invasions of our privacy.  Julian Assange sums up the current grand jury proceedings like this, and we know of this only because the U.K. Guardian has continually refused to be the lapdog of the U.S.:

The emergence of the Twitter subpoena – which was unsealed after a legal challenge by the company – was revealed after WikiLeaks announced it believed other US Internet companies had also been ordered to hand over information about its members' activities. WikiLeaks condemned the court order, saying it amounted to harassment. "If the Iranian government was to attempt to coercively obtain this information from journalists and activists of foreign nations, human rights groups around the world would speak out," Assange said in a statement.
Glenn Greenwald comments further:
It's worth recalling -- and I hope journalists writing about this story remind themselves -- that all of this extraordinary probing and "criminal" investigating is stemming from WikiLeaks' doing nothing more than publishing classified information showing what the U.S. Government is doing: something investigative journalists, by definition, do all the time. And the key question now is this: did other Internet and social network companies (Google, Facebook, etc.) receive similar Orders and then quietly comply? It's difficult to imagine why the DOJ would want information only from Twitter; if anything, given the limited information it has about users, Twitter would seem one of the least fruitful avenues to pursue. But if other companies did receive and quietly comply with these orders, it will be a long time before we know, if we ever do, given the prohibition in these orders on disclosing even its existence to anyone. UPDATE III: Iceland's Interior Minister, Ögmundur Jónasson, described the DOJ's efforts to obtain the Twitter information of a member of that country's Parliament as "grave and odd." While suggesting some criticisms of WikiLeaks, he added: "if we manage to make government transparent and give all of us some insight into what is happening in countries involved in warfare it can only be for the good."

Continue ReadingSubstitute NYT for Wikileaks and substitute Iran for the United States

Unchecked secret power

The December 27, 2010 issue of The Nation comments on a noteworthy piece of reporting by The Washington Post:

In July the Washington Post published 'Top-Secret America,' a series of articles based on a two-year investigation by Dana Priest and William Arkin. The report meticulously documented the growth of a vast secret government in the wake of September 11, encompassing at least 1,271 government organizations, 1,931 private companies and an estimated 854,000 individuals with top-secret security clearance. Secret America, Priest and Arkin wrote, has become 'so large, so unwieldy and so secretive' that it is not only unaccountable, it is practically unknowable--even to the officials charged with administering it. The series elicited much praise from fellow journalists, but from the government there was-- nothing. The Posts report generated not one congressional hearing, subpoena or reform. As far as we know, Secret America continues its work unchecked and unchastised. . . The Post didn't tell secrets so much as outline the contours of the shadow world from which they originate; WikiLeaks rips off the veil. It's the exposure of the secrets that has the world's power elite so rattled.

Here's a link to the Washington Post's articles and introductory video--the secret network of government agencies is so extensive that the authors of Secret American describe it as America's "fourth branch of government, which emerged subsequent to 9/11." Amy Goodman of Democracy Now recently discussed Secret America with Julian Assange. Here's what Assange had to say:

Dana Priest’s article on the CIA black sites had all the names of the countries removed from it after a request by the White House to the editors of the Post. Similarly, it is standard Washington Post practice, whenever Dana Priest is to reveal a new story showing significant allegations of abuse, say, by the CIA, to call up the press office the night before to give them the heads-up, as a courtesy move. That doesn’t seem like independent journalism to us. It seems to us that a journalist’s relationship should be with the public, on the one hand, and with their sources, on the other hand, who are providing them with information to give to the public. It seems that the Post is engaging in a sort of an unclear cooperation with the very organizations that it’s meant to be policing. So we’re a little bit hesitant about dealing with them.

But the recent Dana Priest article covering the extensive expanse of money going into the top-secret industry in the United States is encouraging. So perhaps, if that’s a sign of the movement by the Washington Post to a more combative form of journalism, then we would be happy to work with them.

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The United Nations comments on Wikileaks

On December 21, 2010, Frank LaRue (the UN Special Rapporteur on the Promotion and Protection the Right to Freedom of Opinion and Expression) and Catalina Botero (the Inter-American Commission on Human Rights Special Rapporteur for Freedom of Expression) have issued a Joint Statement on Wikileaks. This statement is carefully crafted and right on the mark. It will piss off American conservatives who still care one whit about freedom of speech issues because it is written in the spirit of the First Amendment. It was written "in light of ongoing developments related to the release of diplomatic cables by the organization Wikileaks. The Statement recognizes the critical importance of the free flow of information for the preservation of democratic societies. It advocates that a stiff burden of proof should be on those who attempt to stifle any form of speech with claims of national security. It recognizes the important work done by journalists and whistle-blowers. It condemns the following:

- Politically motivated legal cases brought against journalists and independent media,

- The blocking of websites and web domains on political grounds and

- Calls by public officials for illegitimate retributive action.

The only fault I find with the statement is that the issuing organizations have protected it with traditional copyright. that is so 20th Century. Something of this importance and magnitude should have been been issued accordance with Creative Commons or with "no rights reserved" to reach the broadest possible audience. Here are the first two articles of the Statement:

1. The right to access information held by public authorities is a fundamental human right subject to a strict regime of exceptions. The right to access to information protects the right of every person to access public information and to know what governments are doing on their behalf. It is a right that has received particular attention from the international community, given its importance to the consolidation, functioning and preservation of democratic regimes. Without the protection of this right, it is impossible for citizens to know the truth, demand accountability and fully exercise their right to political participation. National authorities should take active steps to ensure the principle of maximum transparency, address the culture of secrecy that still prevails in many countries and increase the amount of information subject to routine disclosure.

2. At the same time, the right of access to information should be subject to a narrowly tailored system of exceptions to protect overriding public and private interests such as national security and the rights and security of other persons. Secrecy laws should define national security precisely and indicate clearly the criteria which should be used in determining whether or not information can be declared secret. Exceptions to access to information on national security or other grounds should apply only where there is a risk of substantial harm to the protected interest and where that harm is greater than the overall public interest in having access to the information. In accordance with international standards, information regarding human rights violations should not be considered secret or classified.

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