This is a song that has really got into my system. It is by Zambian artist General Ozzy. It is great to see Zambian musicians putting out some top notch work! I suggest you get ready to dance because without further ado, I present Potential!
Showing posts with label Zambia. Show all posts
Showing posts with label Zambia. Show all posts
Sunday, January 18, 2009
Monday, February 19, 2007
The Vultures Swoop in on Zambia
Anyone who has eyes sees all the injustice that goes on in the world today. But in my case it has always been something affecting other people - a country far off, a place I've never been to, whose effects only trickle down towards me. That is until now. Recently, my elder brother showed me an article which struck pretty close to home.
The whole story is about how a certain company called Donegal International bought an outstanding debt owed by Zambia and then sued Zambia for an exorbitant amount. The fiendish companies that exploit poor countries in this manner have become what are known as the 'Vulture Funds'. I further researched the story and found some very interesting facts. An investigative reporter with the BBC, a Mr. Greg Palast, followed the story to its roots and made a very informative report on the Donegal vs Zambia case. The transcript of this report, the audio and video streams are available online on an independent news site - www.democracynow.org. I strongly recommend you watch the report's video stream, but you will need at least a 256kb/s connection to do so. My post is based on this report and some other sources (links provided) with the aim of putting this story into a reader-friendly form as opposed to the report's transcript. I have also made a diagram/flowchart so that the connections are vividly portrayed. I will use this as reference in trying to get the information across.
1. The story begins back in 1979 when Romania loaned $15 million to Zambia. This money was meant to be used for the purchase of tractors for farming. However, Zambia did not pay back its debt. And as time went on the interest kept piling up.
2. By 1998, Zambia's economy was in a dire state with no viable means of repaying the entire debt plus interest. Zambia and Romania engaged in talks over this debt and Romania agreed to write it off for a sum of $3 million. I cannot help but think that this agreement was linked to the Jubilee 2000 campaign. Little did most Zambians know that something sinister was about take place.
3. A company called Donegal International, based in the British Virgin Islands, stepped into the picture. From my own searches on the Internet I have found Donegal to be quite an obscure company with almost no web presence (except for this story). Donegal International is owned by another company called Debt Advisory International that owns many other companies like Donegal. At the head of Debt Advisory International is a man called Michael Francis Sheehan, a man who has dubbed himself 'Goldfinger' and whose pastime is Cadillacs with fancy rims. Enough of the hierarchy stuff.
Just before Zambia and Romania finalised the writing off of the debt with a $3 million payment, Donegal swoops in and buys this debt from Romania for $3.28 million. This, as you may have guessed made more monetary sense to Romania. I am not familiar with the legal details involved in purchasing debt and I am not well-read enough to comment on that aspect. This resulted in a scenario where Donegal had the right to collect on Zambia's debt and they wasted no time in wringing the neck of a nation in distress. They sued Zambia for the original loan with interest added over the years, a sum amounting to at least $42 million.
4. Mr. Greg Palast went further to name an unprecedented culprit in the big picture. He uncovered some emails between Sheehan and none other than the former President of Zambia, Frederick Chiluba. Dr. Chiluba, it must be mentioned, is facing charges of corruption during his 10 year tenure of office. The emails describe a deal between the two profiteers in which Sheehan 'donates' $2 million to Chiluba's 'favorite charity' and in return Chiluba ensures that Donegal collects on the ensuing law suit. How exactly Chiluba is supposed to ensure this is not mentioned in Mr. Palast's report. The Guardian, in this article states that Zambia agreed to Donegal's purchase of the debt and later agreed to pay $15 million for it. I cannot even begin to comprehend why Zambia agreed to pay $15 million instead of outbidding Donegal when they offered to buy the debt for only $280,000 more than what Zambia was offering? The stench of foul play is undeniable and despicable.
Coming to Chiluba's 'favorite charity'. Mr. Palast was forced to hunt down Sheehan as it was the only way he could get to interview him. And he did so on one of Sheehan's morning walks, reeling in a reluctant and impromptu interview. When questioned about the dubious donation, Sheehan retorted that the money went to help the people of Zambia building thousands of houses. Now, the only such endeavor I can think of in those days was the Lusaka Housing Project. This indeed did build many houses for Zambians, but Zambians bought these houses! It was not charity! There was probably international aid going into the project but I am not sure. Such a scenario, with the copious flow of large sums of money, I feel, is a perfect place for $2 million to end up in somebody's pocket!
5. This is where the plot thickens. One shrewd aspect of the U.S. political system is the strong influence lobby groups have in government decision making. Have a strong lobbyist pushing your agenda in government and you have the capability of even rewriting the laws of the U.S., as long as you have the financial backing to boot, of course. You may ask how is it that lobbyists gain so much influence in government. It is pretty simple. The people behind these lobby groups are the biggest sponsors of American presidential election campaigns. So whoever is elected usually ends up fulfilling the wishes of his sponsors. After all the sponsors are in it for their own gain. This is legal and something the Americans have come to accept as normal (for the most part anyway).
Sheehan's company, Debt Advisory International, has been known to hire lobbyists, and one in particular, a firm owned by a Jack Abramoff. Abramoff is currently serving a five-year prison sentence for bribing a couple of politicians! I think the connection is pretty clear that Sheehan and others with the money and a political agenda are able to redirect government decisions, even at the highest levels, to their advantage. This will become clearer at the end of this trail.
6. This year, President Bush, during his 'State of the Union' speech seemingly sincerely pledged his support for the alleviation of the debt crisis faced by third world countries like Zambia. He convinced congress to grant a whooping $280 million in debt relief to Zambia. This money logically comes out of the coffers of the American taxpayer, a people already plagued by the woeful management of the American economy by the Bush administration. Nevertheless, many American people are willing to bear the burden of debt relief and they deserve all the respect and gratitude in the world. This truly is a noble deed.
7. From the $280 million in debt relief Zambia received, she stood to save in the region of $40 million in interest. This money was specifically earmarked to be used in the fight against HIV/AIDS and also in providing an education for 300,000 children. We are talking about the future of no less than a few hundred thousand people that can be transformed for the better. I feel mere numbers do not relay the magnitude of the change this money can make. So I ask you to take a moment to stop and think about it. Take that number - 300,000 and transform it to something you can relate to personally. For me it would be the number of people in Cluj-Napoca (the city I live in), that is the number of children that will have a chance for a better future. That is immense.
8. Many of us already know the outcome of the trial. Zambia lost the case on the 15th of February, 2007 since Zambia had a valid and legal contract with Donegal International. However, the court judge did mention that Donegal's case did have quite a few discrepancies. The Guardian speculates that the judge will order Zambia to pay an amount less than the sought for $42 million. The final decision will be announced next month.
9. Zambia's assets in the U.K. have been frozen at the moment meaning that Zambia cannot use its money located in U.K. accounts. However, the judge proposed to end this freeze. Hopefully, this will fall through and the money will reach projects (again hopefully) where it can help the Zambian people. But Donegal and Sheehan have another trick up their sleeves - the U.S.A. Using the court ruling from the U.K., Donegal can then go to the U.S. and seize the $40 million savings Zambia has made from debt cancellation by the U.S. And with the strong influence they enjoy there, this would be a more viable option to claim their prize before any Zambian reaped the benefits of that money. Sinister indeed, don't you think? But it doesn't get any better.
10. Among all the other presidential powers George Bush bestows on himself and his minions, he has something that is called the power of comity. I have tried to look up what exactly it means but have found nothing apart from its use in this story. According to Mr. Palast, this gives Bush the absolute power to stop any of the Vulture Fund companies from seizing debt relief money. Bush hasn't shown the same zeal in exercising this power as he has for powers given to him in the Patriot Act for example. The Vultures have already taken millions upon millions of dollars that was meant to finance various projects in poor countries under the nose the only man with the power to stop this atrocity, the same man who last month pledged to help indebted countries. But somehow this is not surprising. Why would he stop the very people who sponsored his election campaign from collecting their prize money? His loyalty has been evident for what now seems like an eternity.
__________________________________________
In spite of all this, for a country in Zambia's shoes, the last thing we should give up is hope. So the question I ask now is, what are the leaders of Zambia going to do? Are they going to send a delegation to the U.S. to convince Bush to exercise his power of comity and prevent Sheehan and his goons from snatching money that is so desperately needed in Zambia? Why should the children of Zambia pay with their future for the selfish acts of a former president? Why should they be chained by a contract that is legal but immoral whichever way you look at it? What is the global community going to do? Zambia is not the first country in this predicament and certainly not the last. There have been about 40 countries that have fallen victim to these vultures so far. Are we going to sigh, take a breath, move on and watch it happen again and again? Or are we going to say, "This is wrong and it should end here." These thieves use corrupt leaders and laws that they have had a hand in writing to snatch away the dreams of children, all to add a few millions to their billions. Does it get it get any lower than that? The corrupt leaders must be weeded out and these laws changed. That is the goal, but the road is long.
Now, what can I do? Today, I will raise awareness among my friends and family, my colleagues and acquaintances of the injustice that I see. And hopefully one day when enough people know, the wheels of change will begin to turn. Will you join me?
Tuesday, October 24, 2006
Independence Day
Hi everybody!
Yet again I emerge from my hole to publish my once-in-a-blue-moon post. I'm alive and well and kickin'.
Today, the 24th of October is Zambia's Independence Day! So, I would like to wish Zambia a bright and prosperous future in the year ahead, and pray that the newly elected leaders keep in mind the struggle many paid for with their blood for the realization of this day. This day, a celebration of freedom, sovereignty and the determination of Zambia to soar above her tribulations and conquer like the eagle, her national bird.
Since independence of a country centers around freedom, I would like to dwell on this and the trend we see in our world today. Take a look at the political trend in the world. We see the rise of the global government - the first one being the U.S.A., and more recently the E.U., Africa concocting her own version, the A.U. (African Union), similar trends in Asia, the Middle East and South America. Now, some will and have called me a communist for my opinion, but it is my opinion and I have a right to have it.
The general consensus is that this new form of political and economic unity is for the benefit of the masses. I am no expert on the matter but what I see is what I will say. As of now Romania (my present country of residence) is poised to join the E.U. on the 1st of January,2007. Promises of a brighter future with a first-world standard of living for the commoner abound. Who am I to disagree with that, after all the fruits of sacrifice are supposed to be borne 30 to 50 years from now. More probably than not, the economies of nations subscribing to this trend towards a global government will flourish with the inevitable influx of investment and political influence. But let us keep in mind, the people/organizations/companies/governments that form this influx do so also for their own benefit. So, what is the price that a country like Romania or Zambia will pay? I haven't lived in Zambia for almost 11 years now and have been in Romania for almost 8 years. So, my perspective will be more realistic speaking about Romania.
A little insight if I may. Before Hungary joined the E.U. a couple of years ago certain commodities were cheaper in Hungary than they were in Romania. This led to a situation where Romanians would cross the border into Hungary to do their shopping. However, after integration the prices in Hungary shot up, wages increased but at a much lower rate and all of a sudden the tables were turned and Hungarians were the ones doing the border-crossing. I expect a similar sequence of events here in Romania with a slower rise in wages.
My friends say in defense of integration that large multi-national corporations will move in and set up shop in Romania providing European standard services, big European banks will provide credit with lower interest rates, and so on and so forth. But what does this make the Romanian masses out to be? Firstly, small Romanian businesses will not be able to withstand the onslaught from these large corporations. They will wither and die. Then we will be left with a situation were the average Romanian is converted into a money churning device for these leeches. A people who will have to take what they are given for lack of an alternative. Already numerous restrictions are being enforced on the Romanian peasants who depend quite a bit on subsistence farming and their livestock. End result being the dependence on the same machine that promises them a better future with wider 'choices', choices offered to them.
What about the political perspective? Again I see a similar fate. Decisions made by the European Parliament will have to be adopted by all member states notwithstanding the views of the people of the member states. Again the argument arises of the organization being a democracy. But that is just what it is - majority rule. And the majority can always be won over one way or the other depending on who is doing the political arm-twisting. An example: let us take the U.S. invasion of Iraq (that is what it was no matter how you sugarcoat it). France and Germany were in the forefront of the Bush-bashing because they had a lot to lose. Of course, it is oil we are talking about here. This was pretty obvious when Saddam's regime was thwarted, who offered to help the U.S. out? Yes! France and Germany, among others. My point here is this: France and Germany's stance on the whole issue was regarded as the European stance despite some countries' support for the U.S. invasion (like Romania). Romania, newly accepted members of NATO for this very reason, had to prove their metal and send their lads to put their necks on the line for war mongers and oil tycoons. And it is this siding with the U.S. that resulted in the postponement of Romania's integration into the E.U. from 2004 (with Hungary) to 2007. This was indeed a major setback for Romanian politics. I hope you can see how once Romania joins the E.U. she will have to dance to the tune of countries that play the music in the E.U. End result? Romania will have little or no say as to what happens on her own soil and with her own people.
This, friends, is the face of a new breed of colonialism. Kind of like neocolonialism on steroids.
Maybe I have oversimplified, maybe I have exaggerated, maybe I am paranoid, but this is the way I see the future of Romania: a state without a say in its own affairs, with an economy which profits foreign corporations than it does its own, one that has to take what it is given.
Coming back to Zambia. The African Union is gaining ground and momentum. However, African leaders have notoriously been known to get their fill before taking the slightest glimpse at the plight of the African people. So how will the African Union ever work out? What we must keep in mind is that this is a global change. Just as European governments are being assimilated into one government so will the continental governments be assimilated into one Global government. It may sound like science fiction but the gears of the machine have been set in motion and it will come to pass. Already a single African currency is in the pipeline expected to be unveiled by 2023. The African Parliament is already well into its gestation. The same is happening in Asia and South America. The Global Government is here. The New World Order is beginning.
But it doesn't sound so bad you say. It might the only way to world peace. It seems like the best thing for any country to affiliate itself to such a body. I say, just like anywhere else, when power is taken from the people and handed to a few, bad things are bound to happen. This is the greedy nature of humankind. We only need to look at President Bush, all the power he bestows on himself, his endeavors in Iraq and his violation of the Americans' rights. Now imagine this on a global scale. This is what I see in a Global government.
Don't misunderstand me. I do believe that wages will be higher, infrastructure will be better, the standard of living will be higher, but it will all come at a price. And that price is our freedom. We will be forced to succumb to the government for our own livelihood and that of our children. We will not be shackled with chains. We will be enslaved by our own desires for material prosperity, and a false sense of security and safety maintained by the only thing that will be left able to wage war - the Global government and those with the power to influence it.
So I say, today on Zambia's Independence Day, let us not surrender our rightful freedoms for hopes based on the words of those in power who have lied and continue to lie. Let us keep the power with the people. Let our leaders serve us because it is because of us that they are where they are. Let us not serve the law, let the law serve us. For if the law does not serve the people, it should not be law. We must struggle like those before us to be free.
Zambia be blessed. Zambia may you prosper. Zambia may you soar like an eagle and be free. May you always be united under the banner One Zambia, One Nation!
"He who sacrifices freedom for security deserves neither" - Benjamin Franklin
Yet again I emerge from my hole to publish my once-in-a-blue-moon post. I'm alive and well and kickin'.
Today, the 24th of October is Zambia's Independence Day! So, I would like to wish Zambia a bright and prosperous future in the year ahead, and pray that the newly elected leaders keep in mind the struggle many paid for with their blood for the realization of this day. This day, a celebration of freedom, sovereignty and the determination of Zambia to soar above her tribulations and conquer like the eagle, her national bird.
Since independence of a country centers around freedom, I would like to dwell on this and the trend we see in our world today. Take a look at the political trend in the world. We see the rise of the global government - the first one being the U.S.A., and more recently the E.U., Africa concocting her own version, the A.U. (African Union), similar trends in Asia, the Middle East and South America. Now, some will and have called me a communist for my opinion, but it is my opinion and I have a right to have it.
The general consensus is that this new form of political and economic unity is for the benefit of the masses. I am no expert on the matter but what I see is what I will say. As of now Romania (my present country of residence) is poised to join the E.U. on the 1st of January,2007. Promises of a brighter future with a first-world standard of living for the commoner abound. Who am I to disagree with that, after all the fruits of sacrifice are supposed to be borne 30 to 50 years from now. More probably than not, the economies of nations subscribing to this trend towards a global government will flourish with the inevitable influx of investment and political influence. But let us keep in mind, the people/organizations/companies/governments that form this influx do so also for their own benefit. So, what is the price that a country like Romania or Zambia will pay? I haven't lived in Zambia for almost 11 years now and have been in Romania for almost 8 years. So, my perspective will be more realistic speaking about Romania.
A little insight if I may. Before Hungary joined the E.U. a couple of years ago certain commodities were cheaper in Hungary than they were in Romania. This led to a situation where Romanians would cross the border into Hungary to do their shopping. However, after integration the prices in Hungary shot up, wages increased but at a much lower rate and all of a sudden the tables were turned and Hungarians were the ones doing the border-crossing. I expect a similar sequence of events here in Romania with a slower rise in wages.
My friends say in defense of integration that large multi-national corporations will move in and set up shop in Romania providing European standard services, big European banks will provide credit with lower interest rates, and so on and so forth. But what does this make the Romanian masses out to be? Firstly, small Romanian businesses will not be able to withstand the onslaught from these large corporations. They will wither and die. Then we will be left with a situation were the average Romanian is converted into a money churning device for these leeches. A people who will have to take what they are given for lack of an alternative. Already numerous restrictions are being enforced on the Romanian peasants who depend quite a bit on subsistence farming and their livestock. End result being the dependence on the same machine that promises them a better future with wider 'choices', choices offered to them.
What about the political perspective? Again I see a similar fate. Decisions made by the European Parliament will have to be adopted by all member states notwithstanding the views of the people of the member states. Again the argument arises of the organization being a democracy. But that is just what it is - majority rule. And the majority can always be won over one way or the other depending on who is doing the political arm-twisting. An example: let us take the U.S. invasion of Iraq (that is what it was no matter how you sugarcoat it). France and Germany were in the forefront of the Bush-bashing because they had a lot to lose. Of course, it is oil we are talking about here. This was pretty obvious when Saddam's regime was thwarted, who offered to help the U.S. out? Yes! France and Germany, among others. My point here is this: France and Germany's stance on the whole issue was regarded as the European stance despite some countries' support for the U.S. invasion (like Romania). Romania, newly accepted members of NATO for this very reason, had to prove their metal and send their lads to put their necks on the line for war mongers and oil tycoons. And it is this siding with the U.S. that resulted in the postponement of Romania's integration into the E.U. from 2004 (with Hungary) to 2007. This was indeed a major setback for Romanian politics. I hope you can see how once Romania joins the E.U. she will have to dance to the tune of countries that play the music in the E.U. End result? Romania will have little or no say as to what happens on her own soil and with her own people.
This, friends, is the face of a new breed of colonialism. Kind of like neocolonialism on steroids.
Maybe I have oversimplified, maybe I have exaggerated, maybe I am paranoid, but this is the way I see the future of Romania: a state without a say in its own affairs, with an economy which profits foreign corporations than it does its own, one that has to take what it is given.
Coming back to Zambia. The African Union is gaining ground and momentum. However, African leaders have notoriously been known to get their fill before taking the slightest glimpse at the plight of the African people. So how will the African Union ever work out? What we must keep in mind is that this is a global change. Just as European governments are being assimilated into one government so will the continental governments be assimilated into one Global government. It may sound like science fiction but the gears of the machine have been set in motion and it will come to pass. Already a single African currency is in the pipeline expected to be unveiled by 2023. The African Parliament is already well into its gestation. The same is happening in Asia and South America. The Global Government is here. The New World Order is beginning.
But it doesn't sound so bad you say. It might the only way to world peace. It seems like the best thing for any country to affiliate itself to such a body. I say, just like anywhere else, when power is taken from the people and handed to a few, bad things are bound to happen. This is the greedy nature of humankind. We only need to look at President Bush, all the power he bestows on himself, his endeavors in Iraq and his violation of the Americans' rights. Now imagine this on a global scale. This is what I see in a Global government.
Don't misunderstand me. I do believe that wages will be higher, infrastructure will be better, the standard of living will be higher, but it will all come at a price. And that price is our freedom. We will be forced to succumb to the government for our own livelihood and that of our children. We will not be shackled with chains. We will be enslaved by our own desires for material prosperity, and a false sense of security and safety maintained by the only thing that will be left able to wage war - the Global government and those with the power to influence it.
So I say, today on Zambia's Independence Day, let us not surrender our rightful freedoms for hopes based on the words of those in power who have lied and continue to lie. Let us keep the power with the people. Let our leaders serve us because it is because of us that they are where they are. Let us not serve the law, let the law serve us. For if the law does not serve the people, it should not be law. We must struggle like those before us to be free.
Zambia be blessed. Zambia may you prosper. Zambia may you soar like an eagle and be free. May you always be united under the banner One Zambia, One Nation!
"He who sacrifices freedom for security deserves neither" - Benjamin Franklin
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