Government Corruption News Articles

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The Obama administration [has] moved vigorously on two fronts ... to promote nuclear power, proposing a tripling of federal loan guarantees for new projects and appointing a high-level commission to study what to do with nuclear waste. Administration officials confirmed that their 2011 federal budget request next week would raise potential loan guarantees for the projects to more than $54 billion, from $18.5 billion. Energy Secretary Steven Chu has been saying for weeks that the administration would seek a greater amount of guarantees; commercial investment has been hard to come by because there is so much uncertainty about the cost and schedule for building plants. When President Obama said in his State of the Union address on [January 27] that the country should build “a new generation of safe, clean nuclear power plants,” it was one of the few times he got bipartisan applause. Opponents have complained that loan guarantees for projects that cannot attract commercial investment amounted to “nuclear socialism.”

Note: The US administration is allocating billions in loan guarantees for risky nuclear power plants in 2010, yet only $320 million for solar energy research, which is on track to become cheaper than fossil fuel energy generation before long. Could corporate largess have an influence in this? For lots more, click here.

Goldman Sachs Chairman Lloyd Blankfein still doesn't get it. Unemployment is at 10 percent and Americans are suffering because of the meltdown he and his colleagues helped create. But Blankfein's firm, generously bailed out by taxpayers, has already returned to its ways of greed. Blankfein, called to Washington on Wednesday to testify before the federal Financial Crisis Inquiry Commission, made it plain that he was done apologizing. "Would you look back on some of the financings as negligent or improper?" asked the commission chairman, former California state treasurer Phil Angelides. "I think those were very typical behaviors in the context that we were in," Blankfein replied. Angelides pointed out that others regarded Goldman's behavior -- in which the firm sold mortgage securities to customers and then placed bets against those same securities -- was "the most cynical" of practices. "That's what a market is," the CEO explained. Angelides ... tried again to get Blankfein to acknowledge that "excessive risk was being taken." "Look, how would you look at the risk of a hurricane?" the man from Goldman retorted. "Acts of God we'll exempt," Angelides said. "These were acts of men and women." But Blankfein seems to exempt himself from the rules of man.

Note: For many key reports on the corruption underlying the financial crisis and the government bailout of Wall Street, click here.

Ministers are preparing to offload millions of unwanted swine flu vaccines, it has emerged, as officials predicted that there will be no third wave of the pandemic this winter. Millions of [dollars] could be wasted if the Government is unable to get out of orders for the vaccine it has placed with GlaxoSmithKline (GSK), the pharmaceutical giant. Officials confirmed that they are considering a number of options, including attempting to sell or give away millions of the vaccines. They also considering whether to stand down the National Pandemic Flu Service, the network of call centres which diagnose swine flu and hand out antiviral medications. In May, even before a pandemic had been declared, ministers had signed contracts thought to be worth around Ł100 million to deliver 90 million vaccines to Britain. Britain has now received almost 29 million doses of the H1N1 vaccine, but only just over 3.7 million have been given out and in total the Government has announced plans to inoculate only 14 million people.

Note: For a powerful insight into the corrupt symbiosis between pharmaceutical corporations and government, read this analysis by Marcia Angell, former editor of the New England Journal of Medicine. For lots more on the swine flu scare, click here.

Data, data, data. There's loads of it out there and more coming your way as governments open their statistics vaults around the world. First the US with data.gov, then Australia and New Zealand followed suit. Now it's the UK's turn with data.gov.uk. And that's in addition to the cities and US states that have made government data available too: London launched very recently - you can get the full set of links for government data sites around the world here. You now have tens of sites around the world providing you access, but how do you find them? Well, this is now the place. To coincide with the launch of data.gov.uk, we have created the ultimate gateway to world government data. At World Government Data you can: • Search government data sites from the UK, USA, Australia, New Zealand and London ... in one place and download the data • Help us find the best dataset by ranking them • Collect similar datasets together from around the world • Browse all datasets by each country.

The nation’s top scientists and spies are collaborating on an effort to use the federal government’s intelligence assets — including spy satellites and other classified sensors — to assess the hidden complexities of environmental change. The collaboration ... has the strong backing of the director of the Central Intelligence Agency. Secrecy cloaks the monitoring effort ... because the United States wants to keep foes and potential enemies in the dark about the abilities of its spy satellites and other sensors. Controversy has often dogged the use of federal intelligence gear for environmental monitoring. About 60 scientists — mainly from academia but including some from industry and federal agencies — run the effort’s scientific side. All have secret clearances. The C.I.A. runs the program and arranges for the scientists to draw on federal surveillance equipment, including highly classified satellites of the National Reconnaissance Office. Officials said the effort to restart the program originated on Capitol Hill in 2008 after former Vice President Al Gore argued for its importance with Senator Dianne Feinstein, Democrat of California, who was then a member of the Senate Intelligence Committee; she became its chairwoman in early 2009.

Note: What happens to the public perception of science if research relies increasingly on secret data and collaboration with spy agencies? How could the results of important studies be verified by independent researchers? For lots more on the ever-expanding world of government secrecy, click here.

Furious opposition MPs accused Prime Minister Stephen Harper of muzzling the House of Commons after he moved for the second time in a little more than a year to suspend Parliament. Mired in controversy over an alleged cover-up on the torture of Afghan prisoners and eager to increase the Conservatives' power in the Senate, the government is closing down Parliament until March 3, the Prime Minister's Office said Wednesday. The decision is "about one thing and one thing only – avoiding the scrutiny of Parliament at a time when this government is facing tough questions about their conduct in covering up the detainee scandal," Liberal Leader Michael Ignatieff said in a statement. "Mr. Harper is showing his disregard for the democratic institutions of our country." Harper spoke Wednesday by telephone with Governor-General Michaëlle Jean, who agreed to the suspension. The prorogation of Parliament until after the Winter Olympics in Vancouver will likely scuttle dozens of pieces of legislation, and give the Tories a chance to increase their representation on Senate committees. The government has been on the defensive for weeks over allegations it failed to act on information that prisoners being passed to Afghan authorities by Canadian soldiers were at risk of being tortured.

Note: This is only the second time in Canadian history the Prime Minister has shut down parliament, with the governor-general's permission. Note that the governor-general is the English representative in Canadian government who is believed to have only nominal power, yet if you read this CNN article, you will see how England has more power over Canada than many believe.

Israel's Supreme Court has ordered the military to let Palestinians use a road that runs through the West Bank. Palestinians were barred from the Jerusalem to Tel Aviv Highway 443 in 2002 when militants shot dead a number of Israelis in their cars. The case was brought by Palestinians who live in the villages along the 12.5-mile (20-km) West Bank section of the road. Human rights groups hailed the decision saying it was "a huge victory". The court said the military did not have the authority to impose the kind of sweeping limitation that "in effect transforms the road into a route designed for 'internal' Israeli traffic alone". The road was built on land appropriated from the villagers. But villagers are prevented from getting on the highway by concrete barricades and military checkpoints along its length. The military have five months to implement the ruling and dismantle the barriers. It is the second time in recent months the court has ordered the military to open roads to Palestinians. The Association for Civil Rights in Israel, which provided legal representation to the Palestinians, said it was "a huge victory". But the ruling was condemned by Israeli right-wingers.

Goldman Sachs Group Inc. played a bigger role than has been publicly disclosed in fueling the mortgage bets that nearly felled American International Group Inc. Goldman was one of 16 banks paid off when the U.S. government last year spent billions closing out soured trades that AIG made with the financial firms. A Wall Street Journal analysis of AIG's trades, which were on pools of mortgage debt, shows that Goldman was a key player in many of them, even the ones involving other banks. Goldman originated or bought protection from AIG on about $33 billion of the $80 billion of U.S. mortgage assets that AIG insured during the housing boom. That is roughly twice as much as Société Générale and Merrill Lynch, the banks with the biggest exposure to AIG after Goldman. In Goldman's biggest deal, it acted as a middleman between AIG and banks, taking on the risk of as much as $14 billion of mortgage-related investments. Then Goldman insured that risk with one trading partner – AIG. When the federal government bailed out the insurer, Goldman avoided losses on its trades with AIG covering a total of $22 billion in assets.

Note: For many revealing reports from reliable, verifiable sources on the hidden realities behind the Wall Street bailout, click here.

Private security guards from Blackwater Worldwide participated in some of the C.I.A.’s most sensitive activities — clandestine raids with agency officers against people suspected of being insurgents in Iraq and Afghanistan and the transporting of detainees, according to former company employees and intelligence officials. The raids against suspects occurred on an almost nightly basis during the height of the Iraqi insurgency from 2004 to 2006, with Blackwater personnel playing central roles in what company insiders called “snatch and grab” operations. Several former Blackwater guards said that their involvement in the operations became so routine that the lines supposedly dividing the Central Intelligence Agency, the military and Blackwater became blurred. Instead of simply providing security for C.I.A. officers, they say, Blackwater personnel at times became partners in missions to capture or kill militants in Iraq and Afghanistan, a practice that raises questions about the use of guns for hire on the battlefield. The secret missions illuminate a far deeper relationship between the spy agency and the private security company than government officials had acknowledged. Blackwater’s ties to the C.I.A. have emerged in recent months, beginning with disclosures in The New York Times that the agency had hired the company as part of a program to assassinate leaders of Al Qaeda and to assist in the C.I.A.’s Predator drone program in Afghanistan and Pakistan.

Note: After this report was published, the CIA announced it had terminated contracts with Blackwater. The reality is that many of Blackwater's services are provided under classified contracts, with both the CIA and the Joint Special Operations Command, so the denial of "contracts" with Blackwater may be deceptive.

Despite changes intended to curb Congressional junkets, some lawmakers and even their families continue to take trips hosted by private groups and companies that revel in their access to Washington power brokers. An examination by The New York Times of 1,150 trips shows that some of them bent or broke rules adopted in 2007 to limit corporate influence in Washington. Others exploited glaring loopholes in the guidelines, enacted with much fanfare after scandals involving the disgraced lobbyist Jack Abramoff. The rules are filled with odd contradictions. Lobbyists themselves are not allowed to pay for trips, but their corporate clients can. And lobbyists are permitted to give huge sums to nonprofit groups that can sponsor travel. They can also travel to destinations and meet the lawmakers once they get there, though they cannot go on the same plane. Seizing on the loopholes, lobbyists and the companies that employ them are still underwriting trips by dozens of members of Congress, particularly those in the House, the Times review shows. The companies finance much of this travel indirectly, getting around the spirit of the rules by giving money to nonprofits, some of which seem to exist largely to sponsor trips. In fact, the rules may have had the unexpected effect of obscuring who is actually paying for a lawmaker’s junket.

Note: For many reports from mainstream sources on government corruption, click here.

In spring 2007, as one of many American air travelers who were inconvenienced when our names popped up on a federal "watch list," I never could get straight answers from my government. Was this a mistake, or was I being flagged for some reason? How many Americans were on that watch list? What were the criteria for getting on it? I filed my appeal with the Department of Homeland Security's Travel Redress Inquiry Program (TRIP). The Department of Homeland Security received 75,315 requests for redress under the TRIP program as of Oct. 31. Of those requests, 49,826 have been adjudicated, 7,217 are under review, and 18,272 are awaiting supporting documentation, according to the DHS. "Absolutely, the system didn't work as well as it should have," said Suzanne Trevino, a spokeswoman for the Transportation Security Administration. Once an airline receives a passenger's control number, along with full name, date of birth and gender, that information is transmitted to the government for clearance. Fewer than 2,500 known and suspected terrorists are actually on the "no fly" list, according to Trevino. And less than 10 percent of them are Americans. [Yet] the FBI's Terrorist Screening Center has acknowledged that its watch list has more than 1 million entries of names and aliases representing about 400,000 people [with] with an average of 1,600 people who presented a "reasonable suspicion" being added every day.

Note: For many revealing reports from major media sources on the worsening threats to civil liberties, click here.

Critics point to Canada and Britain as the poster children of what could happen here with a "government takeover" of health coverage. But three other wealthy nations - the Netherlands, Switzerland and Germany - offer much closer parallels, as well as lessons. Health care systems in the three nations more closely resemble the U.S. system of insurance-based coverage. Holland and Switzerland rely exclusively on private insurance, and all three rely on private doctors. The three European nations deliver universal coverage and world-class quality at a fraction of what Americans spend. All of them require that everyone purchase insurance, make sure everyone can afford it and ban insurers from such practices as refusing to cover the sick that are common in the United States. European health care is universal, but contrary to popular perception, it is not all nationalized. Most of Europe spends about 10 percent of its national income on health care and covers everyone. The United States will spend 18 percent this year and leave 47 million people uninsured. Europe has more doctors, more hospital beds and more patient visits than the United States. Take Switzerland: 4.9 doctors per thousand residents compared with 2.4 in the United States. And cost? The average cost for a hospital stay is $9,398 in relatively high-cost Switzerland and $17,206 in the United States.

Note: Maybe it boils down to whether we want our health controlled more by profit motive or by government bureaucracies One thing is for sure, the average U.S. citizen is getting much less for a greater cost than those in other developed countries.

A website has published what it says are 573,000 intercepted pager messages sent during the 9/11 attacks in the United States. WikiLeaks says it will not reveal who gave it the messages - some of which are from federal agencies as well as ordinary citizens. Internet analysts say they believe the messages are genuine but federal authorities have refused to comment. The messages are not all about the attacks. Some are mundane questions about what people are having for lunch. However, many are about the deadly plane attacks and range from people trying to find out if their loved ones are safe to government messages. They include messages such as * This is Myrna, I will not rest until you get home, the second tower is down, I don't want to have to keep calling you after every event. Pls just go home * Bomb detonated in World Trade Ctr. Pls get back to Mike Brady w/ a quick assessment of your areas and contact us if anything is needed. New York's fire and police departments said they could not comment on whether messages purportedly sent from them were genuine while the US Secret Service refused to comment. WikiLeaks allows people to anonymously post documents on the web, saying its aim is to promote transparency. It was created in 2006 by dissidents, journalists, mathematicians and technologists from the US, Taiwan, Europe, Australia and South Africa.

Note: For questions raised by hundreds of highly respected and credible officials, academics and professionals about what really happened on 9/11, click here and here.

The government has handed its ATM card to beleaguered mortgage giants Fannie Mae and Freddie Mac. The Treasury Department said [it had] removed the $400 billion financial cap on the money it will provide to keep the companies afloat. Already, taxpayers have shelled out $111 billion to the pair. By making the change before year-end, Treasury sidestepped the need for an OK from a bailout-weary Congress. "The companies are nowhere close to using the $400 billion they had before, so why do this now?" said Bert Ely, a banking consultant in Alexandria, Va. The news followed an announcement Thursday that the CEOs of Fannie and Freddie could get paid as much as $6 million for 2009, despite the companies' dismal performances this year.

Note: For many reliable reports on the government bailout of Wall Street and the financial industry, click here.

Wall Street has found a way to make money from the mortgage mess. Investment funds are buying billions of dollars’ worth of home loans, discounted from the loans’ original value. Then, in what might seem an act of charity, the funds are helping homeowners by reducing the size of the loans. But as part of these deals, the mortgages are being refinanced through lenders that work with government agencies like the Federal Housing Administration. This enables the funds to pocket sizable profits by reselling new, government-insured loans to other federal agencies, which then bundle the mortgages into securities for sale to investors. While homeowners save money, the arrangement shifts nearly all the risk for the loans to the federal government — and, ultimately, taxpayers — at a time when Americans are falling behind on their mortgage payments in record numbers. The trick is to persuade the homeowners to refinance those mortgages, by offering to reduce the amounts the homeowners owe. The profit comes when the refinancings reach more than the [amount] that the fund paid for the block of loans. The strategy has created an unusual alliance between Wall Street funds that specialize in troubled investments — the industry calls them “vulture” funds — and American homeowners. But the transactions also add to the potential burden on government agencies, particularly the F.H.A., which has lately taken on an outsize role in the housing market and, some fear, may eventually need to be bailed out at taxpayer expense.

Note: For many revealing reports from reliable sources on the realities behind the Wall Street bailout, click here.

The United States is massively building up its potential for nuclear and non-nuclear strikes in Latin America and the Caribbean by acquiring unprecedented freedom of action in seven new military, naval and air bases in Colombia. The new US push is part of an effort to counter the loss of influence it has suffered recently at the hands of a new generation of Latin American leaders no longer willing to accept Washington's political and economic tutelage. President Rafael Correa, for instance, has refused to prolong the US armed presence in Ecuador, and US forces have to quit their base at the port of Manta by the end of next month. So Washington turned to Colombia. The country has received military aid worth $4.6bn (Ł2.8bn) from the US since 2000, despite its poor human rights record. Colombian forces regularly kill the country's indigenous people and other civilians, and last year raided the territory of its southern neighbour, Ecuador, causing at least 17 deaths. This being US foreign policy, a tell-tale trail of oil is evident. The fact that the US gets half its oil from Latin America was one of the reasons the US Fourth Fleet was re-established in the region's waters in 2008. The fleet's vessels can include Polaris nuclear-armed submarines – a deployment seen by some experts as a violation of the 1967 Tlatelolco Treaty, which bans nuclear weapons from the continent. With or without nuclear weapons, the bilateral agreement on the seven Colombian bases, signed on 30 October in Bogota, risks a costly new arms race in a region.

Note: American dependence on foreign oil fuels not only US wars in the Middle East and Central Asia but an ever escalating global militarization. For many promising reports from reliable sources on alternatives to oil for many purposes, click here.

A spate of recent deaths of New York police and fire officers who took part in the emergency operation at Ground Zero after the 9/11 attacks has heightened fears that it could be the start of a delayed epidemic of cancer-related illness. Five firefighters and police officers, all of whom were involved in the rescue and clear-up at the site of the collapsed Twin Towers, have died of cancer in the past three months, the oldest being 44. Three died last month within a four-day period. Up to 70,000 people took part in the massive operation at Ground Zero, including police, firefighters and construction workers who came to New York voluntarily from all over the US. Many worked for months amid a toxic soup of dust and chemicals. Amid the pollutants within the giant pile of 1.8m tons of debris and the surrounding air were ... about 1,000 tons of asbestos that was used in the construction of the Twin Towers, pulverised lead from computers, mercury and highly carcinogenic by-products from the burning of plastics and chlorinated chemicals. No official tally is available for the number of those who have died as a result of the 9/11 clear-up. The New York state health department has recorded 817 deaths of emergency workers. Claire Calladine, a campaigner who runs the organisation 9/11 Health Now, said the fear was that the recent rise in cancer cases was just the start. "We have only seen the tip of the iceberg. How bad will it get – that is the big question."

Note: To read important questions raised by hundreds of government officials, academics and professionals about what really happened on 9/11, click here and here.

[Four] former top executives at Blackwater Worldwide say the U.S. security contractor sent about $1 million to its Iraq office with the intention of paying off officials in the country who were angry about the fatal shootings of 17 civilians by Blackwater employees. Iraqis had long complained about ground operations by the North Carolina-based company, now known as Xe Corp. Then the shooting by Blackwater guards in Baghdad's Nisoor Square in September 2007 left 17 civilians dead, further strained relations between Baghdad and Washington and led U.S. prosecutors to bring charges against the Blackwater contractors involved. The State Department has since turned to DynCorp and another private security firm, Triple Canopy, to handle diplomatic protective services in the country. But Xe continues to provide security for diplomats in other nations, most notably in Afghanistan. The former executives told the [New York Times] that the payments were approved by the company's then-president, Gary Jackson. They did not know if he came up with the idea. Any payments would have been illegal under the U.S. Foreign Corrupt Practices Act, which bans bribes to foreign officials. Two of the former executives said they were directly involved in discussions about paying Iraqi officials, and the other two said they were told about the discussions by others at Blackwater.

Note: For lots more from reliable sources on corporate corruption, click here.

Things turned Orwellian in the House Financial Services Committee this week when members — with the backing of the White House — passed an investor protection bill that would make it all too easy for thousands of publicly traded companies to cook their books. While the bill offers investors important protections ... an amendment was added to permanently exempt smaller public companies (worth less than $75 million) from a post-Enron auditing requirement. It passed with votes from 28 of the committee’s 29 Republicans (one was absent) and 9 Democrats. All clearly were more interested in pleasing corporate constituents than protecting investors who, last time we checked, are also constituents. While President Obama and Democratic leaders say they are committed to more transparency and regulation over derivatives — the complex instruments that were at the heart of the financial crisis — they are supporting a dangerous exemption for big businesses in the derivative reform bill pending in the House. Another House bill to protect consumers of financial products has concessions for big and small banks alike. It appears that the administration will support those concessions, too. Mr. Obama and his aides have said repeatedly that they are committed to closing the regulatory gaps that allowed the financial system to spin so dangerously out of control. They need to do a lot more.

Note: For many revealing reports from reliable sources on the realities behind the Wall Street bailout, click here.

In a landmark ruling, an Italian judge ... convicted a base chief for the Central Intelligence Agency and 22 other Americans, almost all C.I.A. operatives, of kidnapping a Muslim cleric from the streets of Milan in 2003. The case was a huge symbolic victory for Italian prosecutors, who drew the first convictions involving the American practice of rendition, in which terrorism suspects are captured in one country and taken for questioning in another, often one more open to [torture]. The fact that Italy would actually convict intelligence agents of an allied country was seen as a bold move that could set a precedent in other cases. Judge Oscar Magi handed an eight-year sentence to Robert Seldon Lady, a former C.I.A. base chief in Milan, and five-year sentences to the 22 other Americans, including an Air Force colonel and 21 C.I.A. operatives. Three of the other high-ranking Americans were given diplomatic immunity, including Jeffrey Castelli, a former C.I.A. station chief in Rome. Citing state secrecy, the judge did not convict five high-ranking Italians charged in the abduction, including a former head of Italian military intelligence, Nicolň Pollari. All the Americans were tried in absentia and are considered fugitives. Armando Spataro, the counterterrorism prosecutor who brought the case, said he was considering asking the Italian government for an international arrest warrant for the fugitive Americans. Tom Parker, Amnesty International’s United States point man for terrorism issues, called on the Obama administration to “repudiate the unlawful practice of extraordinary rendition.”

Note: The US government has refused to extradite to Italy the 23 Americans convicted in absentia of kidnapping. Yet the US is pressing for the extradition of 76-year-old Roman Polanski for fleeing the US after serious judicial malfeasance. For an analysis of these contradictions by US authorities over extradition, click here.

Important Note: Explore our full index to revealing excerpts of key major media news articles on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.