Mandelson ‘gifts’ show how capitalist corruption works

The most recent scandal to befall Little Lord Mandelson is the revelation that he and his husband, Reinaldo Avila da Silva, allegedly received about $75,000 from Jeffrey Epstein. The evidence for the transactions, comes from documents released by the US Department of Justice.

The documents, which are about transactions alleged to have occurred 20 years ago, seem to indicate Epstein transferred 3 payments of $25,000 over a few months to Mandelson da Silva, who was Mandelson’s boyfriend at the time.

Mandelson’s ‘denial’ or his immediate reaction was to state that he had no recollection of the transactions, and to question whether they were genuine bank documents. He suggested the bank should be asked to verify the accuracy of the documents and suggested he needed time to check his own records.

This comes on top of the reports that Mandelson’s boyfriend received a ‘loan’ of £10,000 from Epstein to fund a training course to become an osteopath.

What is striking about Mandelson’s rebuttal of the allegations is how indecisive they are. He needs to check his records. He wants the bank to confirm if the documents are real. But what is omitted from his response is an unequivocal assertion that the transactions never happened. Any ordinary person would probably have no trouble rmembering that they never received tens of thousands of pounds in gifts. I know I would have no trouble answering an allegation that someone had sent me, or my partner, £75,000. Even if the gift was 20 years ago. But then for me, and all the people I know, gifts of tens of thousands of pounds are the exception, not the rule.

The allegation and Mandelson ‘s prevarification, give us a glimpse into how the ruling class works to corrupt the politicians elected by the working class. We know about the jobs-for-the-boys arrangements that reward former government mimisters who have served the interests of the ruling class. Mandelson’s sleazy relationship with Epstein illustrates the ‘gifts’ and ‘loans’ made to influential politicians. The gifts and loans are made with implausible deniability. Of course `Mandelson will deny that Epstein was buying influence. The working class will drawe its own conclusions.

The alleged gifts were made when Mandelson was serving MP and the Labour government was under pressure to limit the system of financial bonuses for bankers and financiers. Epstein made it perfectly clear what he thought of limiting those bonuses.

The capitalist press will focus on Epstein’s sexual predation and his conviction for sex-related offences. But the bigger picture is not whether mandelson received money from a convicted paedophile and traficker. The question is why he received any money from anyone. The scandal reveals how the capitalist class uses their money to influence politics. In a system of one person one vote, they want us to believe we are all equa. The reality in a capitalist society, is that real power belongs to the rich.

BBC promotes dictatorship and torture in Iran

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Today BBC News provided a platform for Lisa Daftari, an apologist for the Iranian military dictatorship which preceded the Islamic Republic.

In an interview on the BBC News channel today, Daftari sang the praises of the Shah of Iran’s regime. She argued that ‘millions’ had taken part in the current wave of unrest and demonstrations in Iran, and the majority of slogans at the demonstrations were in support of Reza Pahlavi, the son of the former dictator.

The interviewer, Carl Nasman, allowed her to continue with her assertions unchallenged. Eventually he suggested the Pahlavi regime had not been democratic.

Daftari’s response was to describe the dictatorship of the Shah as ‘a utopia’ compared to the current regime. The utopia claim went unchallenged.

The facts about the Shah’s dictatorship are undisputed.

The self-titled Shah of Iran, came to power in a coup that overthrew a democratically elected regime.

The regime he overthrew nationalised Iranian oil assets, taking control from foreign oil companies.

The coup was actively backed by British and US intelligence services.

During the Shah’s dictatorship thousands of political opponents were routinely killed or tortured by his secret police, SAVAK.

SAVAK extensively monitored the activities of Iranian students and others living abroad, creating a climate of fear. Students and other Iranians living abroad were terrified they would be arrested and tortured or killed, when they returned home.

The facts show the Shah’s regime was one of the most brutal regimes of oppression.

Lisa Daftari has a strange idea of what utopia means.

And the BBC claims to report the facts without bias.

When Andrew (Batty-Mount) Windsor sold his little house

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The BBC are reporting they have revealed a shocking truth about the disgraceful Royal. Some of the money which he got when he sold his little house might have come from a corrupt source. The truth is much simpler.

When the Queen’s favourite son (you know, the one who likes hob-knobbing with a convicted paedophile ) married Sarah Ferguson, he was given a cosy little multi-million pound mansion by his mum. Then when his sweet little old granny kicked the bucket, he moved into her gaff and put his own little place up for sale.

Asking price? £12 million. But there were no takers. Probably because it was overpriced.

Yet, a few years later, a billionaire businessman from Kazakhstan took it off his hands for a mere £15 million. According to the BBC, probably close to double its market value.

For the BBC, the scandal is Andrew’s Kazak buddy. Timur Kolabayev is the son-in-law of the dictatorial ruler of Kazakhstan. And he got to be a billionaire oligarch in the same way they all did — by cashing in on the corrupt sell-off of national assets for a fraction of their real value. Kolabayev’s corruption is not so much his association with a company being investigated for bribery, as his involvement of the rip-off of Kazakhstan;s wealth for private profit.

Back in the UK, the corruption at the hear of British society, has been obvious for decades. It is not the inflated price Andrew received a mansion that cost him nothing to acquire. We don’t need the BBC to investigate what mutual back-scratching was involved in that deal. The corruption that lies at the heart io British capitalist society is the obscene level of unearned wealth floating around the aristocracy and the finance capitalists of the City of London.

The BBC’s ‘revelation’ shines the spotlight somwhere the BBC chooses not to go. It exposes, once again, the chasm that separates working people from the ruling class. And it serves to remind us we have our own oligarchy here in Britain.

Andy Millburn’s nice little earner!

Today on BBC Radio 4 Alan Milburn was being interviewed. The host said he was a former Health Secretary in the Labour government, and was now working for a private health consultancy.

Well knock me down with a feather! #jobsfortheboys

A quick internet search reveals Wikipedia has him listed as a consultant to Price Waterhouse Coopers while holding another appointment at Bridgepoint Capital and all while being a member of the Healthcare Advisory Panel at Lloyds Pharmacy.

What a busy little bee he is.

EU accession for Georgia, Moldova and Ukraine?

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On 8 July 2022 The Economist set out its explanation of why Georgia had been denied candidate status on the same day Ukraine and Moldova were granted their candidacy, on 23 June 2022.

The Economist explains the failure by uncritically repeating the EU’s explanation. But the EU’s real reasons are not necessarily the reasons they give for their actions.

In 2014 all three countries signed association agreements with the EU. The Economist omits to explain the difference between an ‘association agreement’ and ‘candidate status’ but they are essentially steps along the same path. The EU expects countries seeking membership to demonstrate a stable bourgeois democracy and also have a reasonably strong economy. If the applicant is deemed to meet their criteria they are granted candidate status. If not they draw up an association agreement setting out what changes the EU requires before they can become candidates.

Moldova, Georgia and Ukraine are former Soviet states and all three were subject to the same economic anarchy that enabled powerful individuals to seize the assets of the people at a tiny percentage of their true value. This was achieved primarily through the corruption of the government bureaucracies who were bribed or co-opted into the new capitalist entities that took over the state assets. In many cases the corruption was at arm’s length. The co-owners of the massive new enterprises were often the family members of the people who actually wielded the power.

The problem Georgia faced with it’s candidacy was its failure to ‘de-oligarchize’. This is a term used by the EU to stigmatise the obscenely rich individuals who own and control Georgia. They cite Bidzina Ivanishvili as an example of type of oligarch whose influence needs to be restricted. And like many oligarchs in the states of the former Soviet Union, he uses proxies to do his dirty work. The trouble with the EU’s concerns about oligarch power in Georgia is their failure to show the same concern about oligarch power in Ukraine and Moldova.

The Economist let’s slip the reason behind the EU’s selective blindness. ‘Russia’s relationship with Georgia will also be on the minds of EU leaders’ we are told. Of course it will.

French military threaten coup

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The letter, which was also signed by many senior military personnel below the rank of general, belies the myth that ‘democracy’ is the default mode of capitalism. It demonstrates there are sections of the ruling class who will not hesitate to jettison the paraphernalia of democracy when the working class threaten their control of the economy.

French military plan a coup

The letter makes it clear that there are many high-ranking soldiers who have no problem launching a military coup if they think the government of the day are not acting forcefully enough against the ‘suburban hordes’.

‘The hour is grave. France is in peril,’ the generals wrote. France is disintegrating and ‘Those who run our country must imperatively find the needed courage to eradicate these dangers.”

The generals go on the threaten that Macron’s failure to act decisively against ‘Islamism and the hordes from the banlieues’ will lead to ‘the intervention of our active-duty comrades in a perilous mission to protect our civilisation’s values and safeguard our compatriots on the national territory.’

By ‘hordes from the banlieues’ the generals mean the unemployed young people who live in dilapidated tower blocks in the suburbs around Paris, who are refusing to accept the almost daily harassment they experience at the hands of the police. They protested (successfully) against a proposed law making it illegal to publicise videos of police beating up young people.

The danger for the ruling class is that the numbers of unemployed and angry working class youth could be swollen by an anticipated surge in unemployment when the trillion-pound grants and loans to deal with the pandemic end.

The French state, who would not hesitate to arrest and put on trial ‘un-French’ agitators calling for an armed uprising, are suggesting that any active members of the military who signed the letter could face mild administrative consequences such as ‘delisting’ or ‘immediate retirement’. And, of course, as far as the already retired generals are concerned, no legal action is proposed.

For the working class this demonstrates the double standards of a state which claims to be acting in the defence of democracy when it attacks the left, and takes no action when democracy is threatened from the right.

PC assaults women on her way home

PC OLiver Banfield, a 25 year old PC with the West Midlands constabulary, was convicted of ‘assault by beating’ in January.

The attack occurred in July 2020 when Banfield grabbed his 37-year old victm by the throat and tried to drag her to the floor.

In her victim impact statement the woman he attacked said it took police over 30 hours to take a statement over the phone, nine days before they came to see her, and eight weeks before an officer carried out house-to-house enquiriers. A West Midlands police statement was issued apologising that its ‘initial response to the report of the assasult was not as swift as it should have been’.

Banfield was told by the court he would have to pay £680 (£500 compensation to his victim, £95 victim surcgharge and £85 court costs). He was also required to stay home between the hours of 7pm and 7am for 14 weeks.

“To be verbally abused with misogynistic slang, grabbed by the neck, and forced to the floor on a dark road by a drunk man a foot taller than me is terrifying, but to then find that he was a police officer shook my belief system to its core.”

As for the rest of us it serves as a reminder – the belief system propagated by the media that cops are the righteous guardians of the public, with a ‘few bad apples’ is a myth. A police officer is no more virtuous than the average citizen. And often they are less so. The priveleged position in which they find themselves during most court proceedings, particlarly magistrates’ courts (when in doubt, the defendant is lying and the police officer is telling the truth) leads to countless miscarriages of justice.

There is a reason why magistrates’ courts are often referred to as ‘police courts’.

DEMOCRATS AGAINST THE WORKING CLASS

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The defeat of Trump at the election gave rise to a huge sigh of relief from the mass media. There were displays of triumphalism across the USA, most famously in central New York City with his opponents celebrating in the streets. Trump’s decision to challenge validity of some of the voting procedures is portrayed as vainglorious peevishness by sections of the press.

The spectre hanging over this election, however, is the huge number of people who voted for a second term of Trump presidency. For the Democrats and their supporters in the media the question is: why did so many voters choose not to support Joe Biden?

Trump could not have made a Democrat victory easier for them if he had tried. By siding with the anti-maskers and the Covid-deniers and failing to take drastic steps to control the spread of Covid-19, he virtually handed the election to them. And yet the walkover that was predicted for the Democrats did not materialise.

The outgoing President has announced he will challenge many of the votes in court. The media are spitting feathers at the prospect of a judicial challenge to the electoral process. This is despite the fact that Trump’s opponents spent years trying to overturn Trump’s election, through the Mueller enquiry into Russian interference in the 2016 election and into alleged collusion, and through an attempted impeachment of the President.

The legal process is invoked by losing Presidential candidates as a matter of routine in American elections. In this case, however, the media announce that it is unreasonable for Trump to invoke his rights under the law.

Trump has been written off as a crank, a madman and a fool. But that analysis also assumes over 70 million US voters chose a crank, a madman and a fool to run their country for the next four years.

I have more confidence in the American working class than that.

It is closer to the truth to say that millions of American workers have absolutely no faith in the Democrats to carry out policies that are in the interests of working people. And they are right to be suspicious.

Within the Democrat Party the right wing have already declared their intention to ditch some of the policies which helped them attract some working class support. They effectively put an end to the bid of Bernie Sanders to offer a moderately social-democratic programme to the voters. Instead they chose to put forward a long-standing supporter of Wall Street, big finance and crony capitalism. They assumed that any candidate, no matter how tainted by their connection with financial capital, would be enough to defeat Trump.

The question for the American working class, and for socialists everywhere, is to create an alternative party committed to promoting the interests of the working class. The economic crisis faced by world capitalism has not gone away during the pandemic. In fact it has been exacerbated by the creation of billions of dollars, pounds and Euros of fictional capital. This growing credit mountain can only intensify the struggle between the working class and finance capital for the real wealth created by the labour of the working class. The ruling class will be driven by economic necessity to make deeper and more savage attacks on the living standards and welfare of working people.

The working class need their own party, their own leadership, and their own policies, because a programme that defends the rights and living conditions of working people will come into uncompromising conflict with the needs of the ruling class.

Democrats against the working class

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The defeat of Trump at the election gave rise to a huge sigh of relief from the mass media. There were displays of triumphalism across the USA, most famously in central New York City with his opponents celebrating in the streets. Trump’s decision to challenge validity of some of the voting procedures is portrayed as vainglorious peevishness by sections of the press.

The spectre hanging over this election, however, is the huge number of people who voted for a second term of Trump presidency. For the Democrats and their supporters in the media the question is: why did so many voters choose not to support Joe Biden?

Trump could not have made a Democrat victory easier for them if he had tried. By siding with the anti-maskers and the Covid-deniers and failing to take drastic steps to control the spread of Covid-19, he virtually handed the election to them. And yet the walkover that was predicted for the Democrats did not materialise.

The outgoing President has announced he will challenge many of the votes in court. The media are spitting feathers at the prospect of a judicial challenge to the electoral process. This is despite the fact that Trump’s opponents spent years trying to overturn Trump’s election, through the Mueller enquiry into Russian interference in the 2016 election and into alleged collusion, and through an attempted impeachment of the President.

The legal process is invoked by losing Presidential candidates as a matter of routine in American elections. In this case, however, the media announce that it is unreasonable for Trump to invoke his rights under the law.

Trump has been written off as a crank, a madman and a fool. But that analysis also assumes over 70 million US voters chose a crank, a madman and a fool to run their country for the next four years.

I have more confidence in the American working class than that.

It is closer to the truth to say that millions of American workers have absolutely no faith in the Democrats to carry out policies that are in the interests of working people. And they are right to be suspicious.

Within the Democrat Party the right wing have already declared their intention to ditch some of the policies which helped them attract some working class support. They effectively put an end to the bid of Bernie Sanders to offer a moderately social-democratic programme to the voters. Instead they chose to put forward a long-standing supporter of Wall Street, big finance and crony capitalism. They assumed that any candidate, no matter how tainted by their connection with financial capital, would be enough to defeat Trump.

The question for the American working class, and for socialists everywhere, is to create an alternative party committed to promoting the interests of the working class. The economic crisis faced by world capitalism has not gone away during the pandemic. In fact it has been exacerbated by the creation of billions of dollars, pounds and Euros of fictional capital. This growing credit mountain can only intensify the struggle between the working class and finance capital for the real wealth created by the labour of the working class. The ruling class will be driven by economic necessity to make deeper and more savage attacks on the living standards and welfare of working people.

The working class need their own party, their own leadership, and their own policies, because a programme that defends the rights and living conditions of working people will come into uncompromising conflict with the needs of the ruling class.

Organised crime and the banks

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JPMorgan Chase agreed last week to settle an investigation into its practices by paying a settlement of $920 million.

The bank was accused of manipulating the precious metals market and the Treasuries market. The authorities claimed that JPMorgan Chase staff fraudulently rigged the markets tens of thousands of times between 2008 and 2016. By agreeing to pay penalties of nearly a billion dollars JPMorgan Chase tacitly concedes its complicity in a major fraud which was perpetrated for years.

Reports on the type of sly dealing undertaken by this pillar of the financial community are revealing. A trader who intended to sell an asset, say gold, would place a series of orders for the asset in order to create an illusion of elevated demand. The perception of rising demand would raise the trading price of the asset, which the trader would then sell, and then cancel the future orders he had used to lift the price.

This practice is referred to as ‘spoofing’ among asset traders. According to The Economist it was outlawed in the USA in 2010. But in the past two years spoofing charges against UBS, Merrill Lynch, Deutsche Bank and HSBC have all been settled by the accused banks paying penalties.

From the outside it seems astonishing to find out the practice was only made explicitly illegal in 2010. What have the financial authorities been doing for the last fifty years? It is not as if artificially manipulating prices is a new phenomenon for the capitalists.

It is hard for the banks to argue that these were the practices of a few rogue traders when the fiddling went on for years and occurred tens of thousand of times.

It is even more telling that the individuals who face prosecution under the RICO Act include the bank’s former head of precious metals trading.

By the way, the RICO Act, under which the individuals are being charged, stands for Racketeer Influenced and Corrupt Organisations, and was originally formulated to target organised crime. Draw your own conclusions.