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Brazil sinks deeper into crisis as its unelected President faces corruption charges

Deepening political and economic crisis in Brazil exposes the folly of last summer’s impeachment of Dilma Rousseff – the country’s democratically elected leader – on obviously concocted charges.

Alexander Mercouris

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Back on 29th August 2016 I wrote an article for The Duran in which I said that the pending impeachment of Brazilian President Dilma Rousseff was a disaster for Brazil, removing from office a President who for all her mistakes had been democratically elected and was not corrupt, and replacing her with Michel Temer, an appointed President who would inevitably be compromised by the grossly partisan method of his appointment through a flawed impeachment process orchestrated by a corrupt and self-seeking elite.

I also pointed out that the ostensible reason for impeaching Rousseff – that her government had engaged in an illegal budget manoeuvre during Brazil’s recession – would convince no one since it was all too obviously not the real reason for Rousseff’s impeachment but rather an excuse for it, the true reason being the wish of a corrupt right wing elite to remove form office a President who was both left wing and not corrupt.

This is how I summarised the situation in my article

This is very bad for Brazil.  The country has had a difficult history of political instability and violence.  Within living memory Brazil has experienced two long periods of dictatorship (under Getulio Vargas from 1930 to 1945, and under the military from 1964 to 1985), military coups in 1930 and 1964, an attempted military coup in 1954 (aborted by the suicide of the then President, the former dictator Getulio Vargas), and extreme political violence during the period of military rule from 1964 to 1985, in which Dilma Rousseff herself became involved as an urban guerrilla before being captured and tortured by the military.   As is true in most of Latin America class and political conflict in Brazil is intense.

Brazil also suffers from deep seated problems of violent crime and corruption.  The recent holding of the Olympic Games in Rio de Janeiro highlighted the degree to which the slum areas of the city – the favelas – are to a great extent controlled by heavily armed criminal gangs and have become no-go areas for the police.   Meanwhile the irony that one of Brazil’s few genuinely non-corrupt politicians – Dilma Rousseff – is being impeached in the middle of a corruption scandal by a political system rife with corruption is lost on no-one. 

In such a fragile system removing a democratically elected leader through a grossly partial impeachment process is not only profoundly undemocratic.  It is also fraught with risk, and can only add to the already dangerously high levels of cynicism and alienation which exist in the country…..

It is Brazil’s deeply corrupt, dysfunctional and highly polarised political system which is holding the country back.  By removing its democratically elected leader Brazil’s political class has just ensured that it remains corrupt, dysfunctional and highly polarised still.

Since I wrote those words the political and economic crisis in Brazil has deepened, exactly as I – and many others – predicted.

Lacking an electoral mandate Brazil’s new President Michel Temer predictably sought to consolidate his authority by doing what the elite and the international investment community wanted from him: imposing austerity measures to “cure” Brazil’s economic crisis.

These austerity measures in turn threatened the economic and social benefits Brazil’s lower classes had won during the decade of leftist rule under President Dilma Rousseff and her charismatic predecessor President Luiz Inácio Lula da Silva.

That in turn provoked a storm of protests culminating in a general strike in April, during which Temer’s poll ratings crashed to single figures.

Temer now faces mounting calls to resign as claims about his previous corrupt practices have become widespread, with Temer now under investigation for corruption by the country’s prosecutor general.

Meanwhile revelations about the corruption of the country’s political elite have exploded, with the speaker of the parliament who presided over Rousseff’s impeachment now in prison on corruption charges, and his successor as parliament’s speaker, 9 ministers of Temer’s government, and scores of other politicians, officials and business leaders under investigation also.

Temer meanwhile is resisting calls ti resign despite reports of a revolt against him from within his own party, and despite talk of a possible petition to the Brazilian courts to set aside the result of Brazil’s last Presidential election, which put Temer in the position to succeed Rousseff as President by electing him alongside her as her Vice-President.

The trouble is that even if Temer is removed from an office for which on any objective assessment he seems completely unsuited, there is no one who obviously commands the respect or authority to replace him.  Interestingly no one so far seems to be calling for Rousseff to be brought back, possibly because following her impeachment that is either politically or legally impossible.

The result is that Brazil – Latin America’s largest country and a founder member of the BRICS group – seems destined to descend into even deeper crisis whether Temer stays or goes, with no end to the crisis in sight.

This is a tragedy.  This is what I wrote about Brazil’s potential last August

Brazil is a country with enormous potential.  Possessing huge natural resources, a large, young and dynamic population, a by no means insignificant industrial base, a potentially strong commercial and financial hub in Sao Paulo, no external enemies to speak of, secure borders, and with large areas of the south of the country as developed and as wealthy as many places in Europe and north America, Brazil should be a world leader.

People have been saying thing like this about Brazil’s potential for as long as I can remember.  Yet Brazil’s seeming inability to resolve the problems of its dysfunctional political system always seem to prevent this potential from realised.  It seems that after brief hopes in the 2000s that this barrier had at last been broken, the country once more is falling back into the corrupt and dysfunctional mire from which it has never managed to escape.

The contrast with Russia is instructive.  During the economic and political crisis of 1998-1999 Russia experienced a financial crisis far worse than the one Brazil experienced under Rousseff, whilst in Boris Yeltsin it had a leader whose failings were many orders of magnitude greater than Rousseff’s.  However despite extraordinary provocations Russia remained politically stable, largely because the leaders of the country’s opposition – fully conscious of the fragile of the state of the country – were determined to keep it so.  I remember at the time being impressed by how violent and extreme responses were consistently rejected, as the country sought to resolve its problems peacefully and constitutionally.

The result was that when the transfer of power from Yeltsin to Putin finally took place it was carried out smoothly with all the constitutional formalities observed, and was immediately put to the people for their consent in a Presidential election.

The consequence is that the legitimacy and authority of Russia’s government is today never seriously questioned, whilst the general standard of Russia’s governance is of a quality of which Brazil can only dream.

The truth – of which Rousseff’s impeachment serves as just one example – is that cutting corners in a country which aspires to be a democracy in order to remove from office the country’s constitutional leader is not the right way to secure democracy or end a political crisis however flawed that leader may be.  On the contrary doing that undermines democracy, and exacerbates the crisis.

That has been true in recent years in both Ukraine and Brazil.  If the attempts to impeach Donald Trump on manifestly bogus charges ever succeed it will also be true of the United States.

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May Forces Brexit Betrayal to its Crisis Point

We’re 29 months later and the U.K. is no closer to being out of the EU than the day of the vote. 

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Authored by Tom Luongo:


The only words that were left out of Theresa May’s announcement of achieving Cabinet approval over her Brexit deal were Mission Accomplished.

Theresa May was put in charge of the U.K. to betray Brexit from the beginning.  She always represented the interests of the European Union and those in British Parliament that backed remaining in the EU.

No one in British ‘high society’ wanted Brexit to pass.   No. One.

No one in Europe’s power elite wanted Brexit to pass.  No. One.

No one in the U.S.’s power elite wanted Brexit to pass.  No. One.

When it did pass The Davos Crowd began the process of sabotaging it.  The fear mongering has done nothing but intensify.  And May has done nothing but waffle back and forth, walking the political tight rope to remain in power while trying to sell EU slavery to the both sides in British Parliament.

We’re 29 months later and the U.K. is no closer to being out of the EU than the day of the vote.  Why?

Because Theresa May’s 585 page ‘deal’ is the worst of all possible outcomes.  If it passes it will leave the EU with near full control over British trade and tax policy while the British people and government have no say or vote in the matter.

It’s punishment for the people getting uppity about their future and wanting something different than what had been planned for them.

Mr. Juncker and his replacement will never have to suffer another one of Nigel Farage’s vicious farragoes detailing their venality ever again.  YouTube will get a whole lot less interesting.

It’s almost like this whole charade was designed this way.

Because it was.

May has tried to run out the clock and scare everyone into accepting a deal that is worse than the situation pre-Brexit because somehow a terrible deal is better than no deal.  But, that’s the opposite of the truth.

And she knows it.  She’s always known it but she’s gone into these negotiations like the fragile wisp of a thing she truly is.

There’s a reason I call her “The Gypsum Lady.” She’s simply the opposite of Margaret Thatcher who always knew what the EU was about and fought to her last political breath to avoid the trap the U.K. is now caught in.

The U.K. has had all of the leverage in Brexit talks but May has gone out of her way to not use any of it while the feckless and evil vampires in Europe purposefully complicate issues which are the height of irrelevancy.

She has caved on every issue to the point of further eroding what’s left of British sovereignty.  This deal leaves the U.K. at the mercy of Latvia or Greece in negotiating any trade agreement with Canada.  Because for a deal between member states to be approved, all members have to approve of it.

So, yeah, great job Mrs. May.  Mission Accomplished.  They are popping champagne corks in Brussels now.

But, this is a Brexit people can be proud of.

Orwell would be proud of Theresa May for this one.

You people are leaving.  Let the EU worry about controlling their borders.  And if Ireland doesn’t like the diktats coming from Brussels than they can decide for themselves if staying in the EU is worth the trouble.

The entire Irish border issue is simply not May’s problem to solve.  Neither is the customs union or any of the other stuff.  These are the EU’s problems.   They are the ones who don’t want the Brits to leave.

Let them figure out how they are going to trade with the U.K.  It is so obvious that this entire Brexit ‘negotiation’ is about protecting the European project as a proxy for the right of German automakers to export their cars at advantageous exchange rates to the U.K. at everyone’s expense.

Same as it was in the days of The Iron Lady.

If all of this wasn’t so predictable it would be comical.

Because the only people more useless than Theresa May are the Tories who care only about keeping their current level of the perks of office.

The biggest takeaway from this Brexit fiasco is that even more people will check out of the political system. They will see it even more clearly for what it is, an irredeemable miasma of pelf and privilege that has zero interest in protecting the rights of its citizens or the value of their labor.

It doesn’t matter if it’s voter fraud in the U.S. or a drawn out betrayal of a binding referendum. There comes a point where those not at the political fringes look behind the veil and realize changing the nameplate above the door doesn’t change the policy.

And once they realize that confidence fails and systems collapse.

Brexit was the last gasp of a dying empire to assert its national relevancy.  Even if this deal is rejected by parliament the process has sown deep divisions which will lead to the next trap and the next and the next and the next.

By then Theresa May will be a distant memory, being properly rewarded by her masters for a job very well done.


Please support the production of independent and alternative political and financial commentary by joining my Patreon and subscribing to the Gold Goats ‘n Guns Investment Newsletter for just $12/month.

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The DOJ Is Preparing To Indict Julian Assange

Ecuador’s relationship with Assange has deteriorated considerably with the election of President Lenin Moreno.

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Via Zerohedge…


The US Justice Department is preparing to indict WikiLeaks founder Julian Assange which, after sensitive international negotiations, would likely trigger his extradition to the United States to stand trial, according to the Wall Street Journalciting people in Washington familiar with the matter.

Over the past year, U.S. prosecutors have discussed several types of charges they could potentially bring against Mr. Assange, the people said. Mr. Assange has lived in the Ecuadorean embassy in London since receiving political asylum from the South American country in 2012.

The people familiar with the case wouldn’t describe whether discussions were under way with the U.K. or Ecuador about Mr. Assange, but said they were encouraged by recent developments.

The exact charges Justice Department might pursue remain unclear, but they may involve the Espionage Act, which criminalizes the disclosure of national defense-related information. –WSJ

In short, the DOJ doesn’t appear to have a clear charge against Assange yet. Then there’s the optics of dragging Assange out of Ecuador’s London Embassy and into the United States, then prosecuting him, and if successful – jailing him.

Prosecuting someone for publishing truthful information would set a terrible and dangerous precedent,” said Assange lawyer Barry Pollack – who says he hasn’t heard anything about a US prosecution.

“We have heard nothing from authorities suggesting that a criminal case against Mr. Assange is imminent,” he added.

Moreover, assuming that even if the DOJ could mount a case, they would be required to prove that Russia was the source of a trove of emails damaging to Hillary Clinton that WikiLeaks released in the last few months of the 2016 election.

An indictment from special counsel Robert Mueller that portrayed WikiLeaks as a tool of Russian intelligence for releasing thousands of hacked Democratic emails during the 2016 presidential campaign has made it more difficult for Mr. Assange to mount a defense as a journalist. Public opinion of Mr. Assange in the U.S. has dropped since the campaign.

Prosecutors have considered publicly indicting Mr. Assange to try to trigger his removal from the embassy, the people said, because a detailed explanation of the evidence against Mr. Assange could give Ecuadorean authorities a reason to turn him over. –WSJ

It’s no secret that Assange and Hillary Clinton aren’t exactly exchanging Christmas cards, however would WikiLeaks’ release of damaging information that was hacked (or copied locally on a thumb drive by a well-meaning American), be illegal for Assange as a publisher?

Despite scant clues as to how the DOJ will prosecute Assange aside from rumors that it has to do with the Espionage Act, the US Government is cooking on something. John Demers – head of the DOJ’s national security division, said last week regarding an Assange case: “On that, I’ll just say, we’ll see.”

The U.S. hasn’t publicly commented on whether it has made, or plans to make, any extradition request. Any extradition request from the U.S. would likely go to British authorities, who have an outstanding arrest warrant for Mr. Assange related to a Swedish sexual assault case. Sweden has since dropped the probe, but the arrest warrant stands.

Any extradition and prosecution would involve multiple sensitive negotiations within the U.S. government and with other countries. –WSJ

Beginning in 2010, the Department of Justice beginning under the Obama administration has drawn a distinction between WikiLeaks and other news organizations – with former Attorney General Eric Holder insisting that Assange’s organization does not deserve the same first amendment protections during the Chelsea Manning case in which the former Army intelligence analyst was found guilty at a court-martial of leaking thousands of classified Afghan War Reports.

US officials have given mixed messages over Assange, with President Trump having said during the 2016 election “I love WikiLeaks,” only to have his former CIA Director, Mike Pompeo label WikiLeaks akin to a foreign “hostile intelligence service” and a US adversary. Former Attorney General Jeff Sessions has said that Assange’s arrest is a “priority.”

Ecuador’s relationship with Assange, meanwhile, has deteriorated considerably with the election of President Lenin Moreno – who called the WikiLeaks founder a “stone in our shoe,” adding that Assange’s stay at the London embassy is unsustainable.

Ecuador has been looking to improve relations with the U.S., hosting Vice President Mike Pence in 2018 amid interest in increasing trade.

Ecuador’s Foreign Relations Ministry declined to comment. This month, Foreign Relations Minister José Valencia told a radio station the government hadn’t received an extradition request for Mr. Assange.

Mr. Assange has clashed with his Ecuadorean hosts in over internet access, visitors, his cat and other issues. Last month, he sued Ecuador over the conditions of his confinement. At a hearing last month, at which a judge rejected Mr. Assange’s claims, Mr. Assange said he expected to be forced out of the embassy soon.  –WSJ

Assange and Ecuador seem to have worked things out for the time being; with his months-long communication blackout mostly lifted (with strict rules against Assange participating in political activities that would affect Ecuador’s international relations). Assange is now allowed Wi-Fi, but has to foot the bill for his own phone calls and other communication.

In October, a judge threw out a lawsuit Assange filed against Ecuador from implementing the stricter rules,.

“Ecuador hasn’t violated the rights of anyone,” Attorney General Íñigo Salvador said after the court ruling. “It has provided asylum to Mr. Assange, and he should comply with the rules to live harmoniously inside Ecuador’s public installations in London.”Assange’s attorneys say he will appeal the ruling – however it may be a moot point if he’s dragged into a US courtroom sooner than later.

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Trump Understands The Important Difference Between Nationalism And Globalism

President Trump’s nationalism heralds a return to the old U.S. doctrine of non-intervention.

The Duran

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Authored by Raheem Kassam, op-ed via The Daily Caller:


President Macron’s protests against nationalism this weekend stand in stark contrast with the words of France’s WWII resistance leader and the man who would then become president: General Charles de Gaulle.

Speaking to his men in 1913, de Gaulle reminded them:

“He who does not love his mother more than other mothers, and his fatherland more than other fatherlands, loves neither his mother nor his fatherland.”

This unquestionable invocation of nationalism reveals how far France has come in its pursuit of globalist goals, which de Gaulle described later in that same speech as the “appetite of vice.”

While this weekend the media have been sharpening their knives on Macron’s words, for use against President Trump, very few have taken the time to understand what really created the conditions for the wars of the 20th century. It was globalism’s grandfather: imperialism, not nationalism.

This appears to have been understood at least until the 1980s, though forgotten now. With historical revisionism applied to nationalism and the great wars, it is much harder to understand what President Trump means when he calls himself a “nationalist.” Though the fault is with us, not him.

Patriotism is the exact opposite of nationalism: nationalism is a betrayal of patriotism … By pursuing our own interests first, with no regard to others,’ we erase the very thing that a nation holds most precious, that which gives it life and makes it great: its moral values,” President Macron declared from the pulpit of the Armistice 100 commemorations.

Had this been in reverse, there would no doubt have been shrieks of disgust aimed at Mr. Trump for “politicizing” such a somber occasion. No such shrieks for Mr. Macron, however, who languishes below 20 percent in national approval ratings in France.

With some context applied, it is remarkably easy to see how President Macron was being disingenuous.

Nationalism and patriotism are indeed distinct. But they are not opposites.

Nationalism is a philosophy of governance, or how human beings organize their affairs. Patriotism isn’t a governing philosophy. Sometimes viewed as subsidiary to the philosophy of nationalism, patriotism is better described as a form of devotion.

For all the grandstanding, Mr. Macron may as well have asserted that chicken is the opposite of hot sauce,so meaningless was the comparison.

Imperialism, we so quickly forget, was the order of the day heading into the 20th century. Humanity has known little else but empire since 2400 B.C. The advent of globalism, replete with its foreign power capitals and multi-national institutions is scarcely distinct.

Imperialism — as opposed to nationalism — seeks to impose a nation’s way of life, its currency, its traditions, its flags, its anthems, its demographics, and its rules and laws upon others wherever they may be.

Truly, President Trump’s nationalism heralds a return to the old U.S. doctrine of non-intervention, expounded by President George Washington in his farewell address of 1796:

” … It must be unwise in us to implicate ourselves, by artificial ties, in the ordinary vicissitudes of [Europe’s] politics, or the ordinary combinations and collisions of her friendships or enmities.”

It should not have to be pointed out that the great wars of the 20th century could not be considered “ordinary vicissitudes”, but rather, that imperialism had begun to run amok on the continent.

It was an imperialism rooted in nihilism, putting the totality of the state at its heart. Often using nationalism as nothing more than a method of appeal, socialism as a doctrine of governance, and Jews as a subject of derision and scapegoating.

Today’s imperialism is known as globalism.

It is what drives nations to project outward their will, usually with force; causes armies to cross borders in the hope of subjugating other human beings or the invaded nation’s natural resources; and defines a world, or region, or continent by its use of central authority and foreign capital control.

Instead of armies of soldiers, imperialists seek to dominate using armies of economists and bureaucrats. Instead of forced payments to a foreign capital, globalism figured out how to create economic reliance: first on sterling, then on the dollar, now for many on the Euro. This will soon be leapfrogged by China’s designs.

And while imperialism has served some good purposes throughout human history, it is only when grounded in something larger than man; whether that be natural law, God, or otherwise. But such things are scarcely long-lived.

While benevolent imperialism can create better conditions over a period of time, humanity’s instincts will always lean towards freedom and self-governance.

It is this fundamental distinction between the United States’ founding and that of the modern Republic of France that defines the two nations.

The people of France are “granted” their freedoms by the government, and the government creates the conditions and dictates the terms upon which those freedoms are exercised.

As Charles Kesler wrote for the Claremont Review of Books in May, “As a result, there are fewer and fewer levers by which the governed can make its consent count”.

France is the archetypal administrative state, while the United States was founded on natural law, a topic that scarcely gets enough attention anymore.

Nationalism – or nationism, if you will – therefore represents a break from the war-hungry norm of human history. Its presence in the 20th century has been rewritten and bastardized.

A nationalist has no intention of invading your country or changing your society. A nationalist cares just as much as anyone else about the plights of others around the world but believes putting one’s own country first is the way to progress. A nationalist would never seek to divide by race, gender, ethnicity, or sexual preference, or otherwise. This runs contrary to the idea of a united, contiguous nation at ease with itself.

Certainly nationalism’s could-be bastard child of chauvinism can give root to imperialistic tendencies. But if the nation can and indeed does look after its own, and says to the world around it, “these are our affairs, you may learn from them, you may seek advice, we may even assist if you so desperately need it and our affairs are in order,” then nationalism can be a great gift to the 21st century and beyond.

This is what President Trump understands.

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