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• 3,000 km range, extensible to “over 4,000 km” with the help of additional drop tanks. The SU-34 can also refuel in mid-air. • It can fly in TERCOM (Terrain Contour Matching) mode for low-level flight, and has software to execute a number of difficult maneuvers. • Leninets B004 phased array multimode X-band radar, which interleaves terrain-following radar and other modes.

Clearly the aircraft is impressive as it has demonstrated against terrorist centers in Syria. Now, however, beginning this month it will add a “game-changer” in the form of a new component. Speaking at the Dubai Air Show on November 12, Igor Nasenkov, the First Deputy General Director of the Radio-Electronic Technologies Concern (KRET) announced that this month, that is in the next few days, SUKHOI SU-34 fighter-bombers will become electronic warfare aircraft as well. Nasenkov explained that the new Khibiny aircraft electronic countermeasures (ECM) systems, installed on the wingtips, will give the SU-34 jets electronic warfare capabilities to launch effective electronic countermeasures against radar systems, anti-aircraft missile systems and airborne early warning and control aircraft. KRET is a holding or group of some 95 Russian state electronic companies formed in 2009 under the giant Russian state military industry holding, Rostec.

During the critical days of the March 2014 Crimean citizens’ referendum vote to appeal for status within Russia, New York Times reporters then in Crimea reported the presence of Russian electronic jamming systems, known as R-330Zh Zhitel, manufactured by Protek in Voronezh, Russia. That state-of-the-art technology was believed to have been used to prevent the Ukrainian Army from invading Crimea before the referendum. Russian forces in Crimea, where Russia had a legal basing agreement with Kiev, reportedly were able to block all communication of Kiev military forces, preventing a Crimean bloodbath. Washington was stunned.

Russia’s advances in what is euphemistically termed in military jargon, Electronic Counter Measures or ECM, is causing some sleepless nights for the US Pentagon top brass to be sure. In the battles in eastern pro-Russian Ukraine earlier this year, as well as in the Black Sea, and now in Syria, according to ranking US military sources, Russia deployed highly-effective ECM technologies like the Krasukha-4, to successfully jam hostile radar and aircraft. Lt. General Ben Hodges, Commander of US Army Europe (USAREUR) describes Russian ECM capabilities used in Ukraine as “eye-watering,” suggesting some US and NATO officers are more than slightly disturbed by what they see. Ronald Pontius, deputy to Army Cyber Command’s chief, Lt. Gen. Edward Cardon, told a conference in October that, “You can’t but come to the conclusion that we’re not making progress at the pace the threat demands.” In short, Pentagon planners have been caught flat-footed for all the trillions of wasted US taxpayer dollars in recent years thrown at the military industry.

Thereafter, in April, 2014, one month after the accession of Crimea into the Russian Federation, President Obama ordered the USS Donald Cook into the Black Sea waters just off Crimea, the home port of Russia’s Black Sea Fleet, to “reassure” EU states of US resolve. Donald Cook was no ordinary guided missile destroyer. It had been refitted to be one of four ships as part of Washington’s Aegis Ballistic Missile Defense System aimed at Russia’s nuclear arsenal. USS Donald Cook boldly entered the Black Sea on April 8 heading to Russian territorial waters. On April 12, just four days later, the US ship inexplicably left the area of the Crimean waters of the Black Sea for a port in NATO-member Romania. From there it left the Black Sea entirely. A report on April 30, 2014 in Russian newspaper Rossiyskaya Gazeta Online titled, “What Frightened the American Destroyer,” stated that while the USS Donald Cook was near Crimean (Russian by that time) waters, a Russian Su-24 Frontal Aviation bomber conducted a flyby of the destroyer. The Rossiyskaya Gazeta went on to write that the Russian SU-24 “did not have bombs or missiles onboard. One canister with the Khibin electronic warfare complex was suspended under the fuselage.” As it got close to the US destroyer, the Khibins turned off the USS Donald Cook’s “radar, combat control circuits, and data transmission system – in short, they turned off the entire Aegis just like we turn off a television by pressing the button on the control panel. After this, the Su-24 simulated a missile launch at the blind and deaf ship. Later, it happened once again, and again – a total of 12 times.”

While the US Army denied the incident as Russian propaganda, the fact is that USS Donald Cook never approached Russian Black Sea waters again. Nor did NATO ships that replaced it in the Black Sea. A report in 2015 by the US Army’s Foreign Military Studies Office assessed that Russia, “does indeed possess a growing EW capability, and the political and military leadership understand the importance…Their growing ability to blind or disrupt digital communications might help level the playing field when fighting against a superior conventional foe.” Now new Russian Khibini Electronic Counter Measure systems are being installed on the wingtips of Russia’s SUKHOI SU-34 fighter-bombers going after ISIS in Syria.

A second highly-advanced new Russian military technology that’s raising more than eyebrows in US Defense Secretary ‘Ash’ Carter’s Pentagon is Russia’s new Bumblebee which Russia’s military classifies as a flamethrower. In reality it is a highly advanced thermobaric weapon which launches a warhead that uses a combination of an explosive charge and highly combustible fuel. When the rocket reaches the target, the fuel is dispersed in a cloud that is then detonated by the explosive charge. US Military experts recently asked by the US scientific and engineering magazine Popular Mechanics to evaluate the Bumblebee stated that, “the resulting explosion is devastating, radiating a shockwave and fireball up to six or seven meters in diameter.” The US experts noted that the Bumblebee is “especially useful against troops in bunkers, trenches, and even armored vehicles, as the dispersing gas can enter small spaces and allow the fireball to expand inside. Thermobarics are particularly devastating to buildings — a thermobaric round entering a structure can literally blow up the building from within with overpressure.”

We don’t go into yet another new highly secret Russian military technology recently subject of a Russian TV report beyond a brief mention, as little is known. It is indicative of what is being developed as Russia prepares for the unthinkable from Washington. The “Ocean Multipurpose System: Status-6” is a new Russian nuclear submarine weapons system designed to bypass NATO radars and any existing missile defense systems, while causing heavy damage to “important economic facilities” along the enemy’s coastal regions. Reportedly the Status-6 will cause what the Russian military terms, “assured unacceptable damage” to an adversary force. They state that its detonation “in the area of the enemy coast” (say, New York or Boston or Washington?) would result in “extensive zones of radioactive contamination” that would ensure that the region would not be used for “military, economic, business or other activity for a long time.” Status-6 reportedly is a massive torpedo, designated as a “self-propelled underwater vehicle.” It has a range of up to 10 thousand kilometers and can operate at a depth of up to 1,000 meters. At a November 10 meeting with the Russian military chiefs, Vladimir Putin stated that Russia would counter NATO’s US-led missile shield program through “new strike systems capable of penetrating any missile defenses.” Presumably he was referring to Status-6.

The entitlement mentality is a source of much anger and misunderstanding. It leads people who see themselves as victims to one conclusion: they are entitled to be taken care of.

Honest profits of successful entrepreneurs are quite different than profits of the corporate elite who gain control of the government and, as a consequence, accumulate obscene wealth by “robbing” the middle class.

True satisfaction comes from productive effort and self-reliance and not from a government transferring wealth in an effort to bring about an egalitarian society.

Retraining the police won’t touch the complex problems that pit the police against the victims of complex social conditions generated by hate, violence and bad economic policies.

Eventually the social strife that is predictable leads to an overthrow of the government.

The strife that we are witnessing is a reflection of a growing number of people who are recognizing the discrepancy between rich and poor, the weak and the powerful, Wall Street and Main Street.

The economic interventionist system under which we live today rewards those who benefit from government economic planning by the Federal Reserve, access to government contracts, and targeted special regulations to help one group over the other

Police brutality and militarization may well induce a violent event far beyond what we have seen in Ferguson. It also can serve as an excuse. But it is not the root cause of turmoil. The real cause is poverty, the entitlement mentality, and the breakdown of the rule of law. Moral decay and the national police state are the real culprits.

The Founders and our Constitution intended that policing powers would be the responsibility of the individual states. That was forgotten a long time ago

Old-fashioned colonialism was deemed necessary by various European powers to secure natural resources along with control over sea lanes and markets for selling manufactured goods.

We are now subject to an out-of-control domestic police force while the US military maintains our Empire overseas.

The United States military presence around the world provides a “private” police force to protect US and other international companies against any local resistance or leaders that turn unfriendly. Our military presence overseas has nothing to do with protecting our freedoms and defending our Constitution.

Tax revenues will continue to rise, aiding the policy of the government spending the people’s money rather than those who earned it.

When this process gets out-of-control the economy goes into a death spiral, in the beginning of which we currently find ourselves. Without a correction to the basic understanding of the proper role of government, the downward spiral will continue.

Wall Street will be protected, and the trillions of dollars of big banks derivatives will be absorbed by the Fed, the FDIC, and ultimately by the American taxpayers in the next financial crisis.

Authoritarianism has overtaken our economic system as the welfare mentality takes over at every level of government.

Restraining the few who thrive on the use of force to rule over us is the challenge. Fortunately they are outnumbered by those who would choose liberty yet lack the will to challenge the humanitarian monsters who gain support from naive and apathetic citizens.

The sentiments supporting secession, jury nullification, nullification of federal laws by state legislatures, and a drive for more independence from larger governments will continue.

The slow burn is a world in which for most people income is flat or falling and expenses are steadily rising. It's a debasement scenario. And the reality is the central banks have been able to have a quite liberal monetary policy because we've been able to offset that with labor deflation. So by globalizing labor and instituting technology you have tremendous deflationary pressures, which offset very generous monetary policy.

You can balance the budget with fiscal measures or you can balance the budget by the Fed just buying bonds and if you look at the Fed's balance sheet, I think they have a much greater capacity to buy bonds. If you look at all the money that was stolen, the breakaway civilization has plenty of money to buy bonds.

So now you have big decisions. You have two economies. Before this started what I call the legacy systems had $100 trillion of liabilities and $100 trillion of assets – now, I'm just pulling those numbers out of the air – and

if you will. Now we've got the legacy systems trying to reconcile $60 trillion of assets to $100 trillion of liabilities and there is a long, drawn-out, grinding process by which some people will get 50 cents on the dollar, some people will get zero cents on the dollar, some people will get 100 cents on the dollar. It's just a very difficult, complex and tangled political scene as to how that's going to all happen. Meantime, NewCo, with $40 trillion dollars, is investing and going gangbusters. NewCo is enjoying an unprecedented boom, investing in lots of new technology and new frontiers, including space. So I think the next step is to manage the lowering of expectations in the legacy systems. That's basically what the administration and the Fed are going to be doing for the next couple years, is just gutting their way through retirees' disappointment.

There are three things

Well, the goal of Obamacare is to control.

in a relatively short period of time US Medicare expenses would be several multiplicities of the GNP.

If you go around the entire financial ecosystem, they're getting hit within every line by the same pro-centralization policies that ultimately go up to the same people.

If you look at it across all the different tools, from fabrication technology to new composite materials to robotics to lasers, we're reaching a critical mass of the economic costs dropping and the speed of learning accelerating.

If you look back at the history of the US stock market you'll see two huge spikes, one in the '20s, one in the '90s, both when very profound new communication and information technology came out.

Wall Street doesn't understand about crowdfunding, are the new alignments that are going to be created in terms of circulating knowledge and purchases and money between consumers and entrepreneurs and companies. It's going to create a whole new level of intimacy.

in North America there is almost an astonishing lack of transparency about how government money works within the jurisdiction for which we vote for political representation.

That's number one.

if you have all your assets in the legacy economy and none in the growing economy you're going to suffer.

Take a look at different predictions that gold is going to increase significantly in value. All those predictions assume that the monetary inflation is going to spill into commodities. And what you're watching instead is the G-7 have been essentially building a corral that forces the horses to run out through the stock market. That's why I call it a crash-up.

Right after 9/11 – and General Wesley Clark has said this and I experienced it in my tiny little community in Tennessee – we were basically given what the battle plan was going to be – the US military taking over Eurasia. First we were going to go to Afghanistan, then we were going to go to Iraq, then we were going to go to Libya, then we were going to go to Syria and then we're going to Iran. It was all laid out for us and we seem to be following that battle plan, albeit slower than predicted at that time.

what we're watching is an effort to bring everybody into a centrally controlled central banking model.

For the banks, of course, Glencore may not be their only exposure in the commodity trading space. We consider that other vehicles such as Trafigura, Vitol and Gunvor may feature on bank balance sheets as well ($100 bn x 4?)

On September 11, Spruce Alpha, a small hedge fund which is part of a bigger investment group, sent a short report to investors. The letter said that the $80 million fund had lost 48% in a month, according the performance report seen by Business Insider. There was no commentary included in the note. No explanation. Just cold hard numbers.

I certainly agree with that last sentence.  Bernanke was the one telling us that there was not going to be a recession back in 2008 even after one had already started.  He was clueless back then and he is clueless today. Most of our “leaders” either don’t understand what is happening or they are not willing to tell us. So that means that we have to try to figure things out for ourselves the best that we can.  And right now there are signs all around us that another 2008-style crisis has begun. Personally, I am hoping that there will be a lot more days like today when the markets were relatively quiet and not much major news happened around the world. Unfortunately for all of us, these days of relative peace and tranquility are about to come to a very abrupt end.

The Russians for their part have never been known to call in the Israeli ambassador over an Israeli air raid in Syria at any time since Russia began its intervention in Syria in September 2015.  That they have done so in this case shows how seriously they are treating this incident. Lastly, the blustering response from the Israelis, with Netanyahu issuing thinly veiled warnings to Moscow and the Israelis bragging about their ability to destroy Syria’s air defenses and threatening to do so “without the slightest hesitation”, suggests that they are rattled, and that they have been taken by surprise and are alarmed by the Syrian and Russian response.

Contrary to some claims, the Tiyas air base has never been captured by ISIS or by any other Jihadi group, though ISIS did unsuccessfully attempt to capture it following its temporary capture of Palmyra last December. Tiyas is one of Syria’s biggest air bases, and was the base from which the Syrian army launched its counter-offensive which recaptured Palmyra a few weeks ago.  Tiyas is now providing critical support to the ongoing Syrian military offensive against ISIS, whose ultimate objective appears to be the relief of the besieged eastern desert city of Deir Ezzor. Unofficially, the Israelis always claim that their air strikes in Syria are intended to prevent weapons supplies to Hezbollah.  In this case unofficial claims are circulating in Israel that the air strike was intended to stop a handover of Scud missiles at the Tiyas air base by Syria to Hezbollah. This is on the face of it extremely unlikely.  There are no reports of Hezbollah fighters present in any number near Palmyra or at the Tiyas base, or of them being involved in the ongoing Syrian military offensive against ISIS.  It is anyway unlikely that the Syrians would use the Tiyas air base – close to the front line in the fight against ISIS and far away from Hezbollah’s bases in Lebanon – in order to supply Scud missiles to Hezbollah.  If the Syrians really were transferring such powerful weapons to Hezbollah, a far more likely place for them to do it would be Damascus. A far more natural explanation for the Israeli raid is that it was intended to disrupt the ongoing Syrian army offensive against ISIS, which relies heavily on smooth operation of the Tiyas air base.  This after all is what the Syrian military is quoted by SANA (see above) as saying was the reason for the raid “This blatant Israeli act of aggression came as part of the Zionist enemy’s persistence with supporting ISIS terrorist gangs and in a desperate attempt to raise their deteriorating morale and divert attention away from the victories which Syrian Arab Army is making in the face of the terrorist organizations.” There have been persistent reports throughout the Syrian war that Israel would prefer a Jihadi victory or even an ISIS victory in Syria to the restoration of the Syrian government’s full control over Syria.

The Syrian government’s major regional allies are Iran and Hezbollah, which Israel has come to see as its major enemies, so the possibility that Israel might wish to see the Syrian government defeated is not in itself unlikely.  Possibly rather than an outright Jihadi victory, which might cause Israel serious problems in the future, what some tough minded people in Israel want is an indefinite prolongation of the war, so as to tie down the Syrian military, Hezbollah and Iran, preventing them from challenging Israel. If that is indeed the thinking of some people in Tel Aviv, then it would explain the raid on the Tiyas air base.  It would however be an astonishingly reckless and cynical thing to do, to support an organisation like ISIS in order to disrupt the alliance between Syria, Iran and Hezbollah. Of course there is a widespread view that it was precisely in order to disrupt this alliance between Syria, Iran and Hezbollah that the Syrian war was launched in the first place.   Whether or not that is so, and whether or not Israel had any part in that, the Israelis now need to reconsider their stance.  On any objective assessment their tactic of providing discrete backing to ISIS and to the other Jihadi groups fighting the Syrian government is achieving the opposite of Israel’s interests. Instead of weakening or breaking the alliance between Syria, Iran and Hezbollah, the Syrian war has made it stronger, with Iran and Hezbollah both coming to Syria’s rescue, and Iraq increasingly cooperating with them in doing so.  The result is that Iran’s influence in Syria has grown stronger so that there is now even talk of Iran establishing a naval base in Syria, whilst Hezbollah is probably stronger than it has ever been before. The Syrian military is also becoming significantly stronger, with the incident of the raid showing that technical help from Russia has now made it possible for the Syrians to track and intercept Israeli aircraft over Israeli territory. The Syrian war has also caused Russia to intervene in Syria, making Russia a de facto ally of Syria, Iran and Hezbollah.

The result is that Russia is now busy establishing a massive air defense and military base complex in Syria, which for the first time has brought a military superpower with far greater technological and military resources than Israel’s own close to Israel’s border. The result is that for the first time in its history – apart from the brief period of the so-called War of Attrition (‘Operation Kavkaz’) of 1970 – Israel’s military dominance in the region of the region is being seriously challenged.  Already there are reports that the Russian air defence system in Syria is too advanced for the Israelis to defeat, and that the Russians have the ability to track every single Israeli aircraft that takes off in Israel itself. Lastly, the Russian protest to Israel on Friday shows that the Russians are prepared to speak up for Syria if it is being attacked or threatened.

On Wednesday Russian Defense Minister Sergey Shoigu commented on the incident, saying that Russia would deploy the S-400 Triumf Air Defense System to the Hmeimim Air Base. Shoigu noted that the decision to deploy the system had been made by Russia’s commander-in-chief.

A Game of Geopolitics. It is noteworthy that the incident occurred in northern Lattakia province, in a region that is controlled by a Turkmen militia and Jabhat al-Nusrah. Both are Turkish proxies. Although it is not officially declared policy, most independent analysts agree that primarily Washington and London attempt to establish a Kurdish Corridor in northern Syria, northern Iraq as well as a belt of low-intensity conflicts from the Mediterranean, along Russia’s southern borders to Pakistan. While Turkey is supporting and cooperating with the Kurdish administration in northern Iraq, it is opposed to a larger Kurdish region along its southern border in Syria. Hence Ankara’s support of Jabhat al-Nusrah and Turkmen “rebels” in northwestern Syria. Moscow for its part, is a traditional ally of the Turkish Kurdistan Worker’s Party PKK, using the PKK as a Moscow-version of NATO’s stay-behinds. It is within this geopolitical context that the downing of a single Russian Su-24 attains the perspective it deserves. It is one incident in a regional proxy war, that can only be played out due to the fact that the UN and the UN Security Council are virtually defunct.

Austrians argue that economics is fundamentally a science and study of "human action." It attempts to trace out the logic and implications of man's intentional conduct in selecting among ends desired and applying perceived means to try to attain them. Austrians emphasize that all human action and the social and market interactions among men occur in a setting of imperfect knowledge, inescapable degrees of uncertainty and always through the passage of time.

The Austrian analysis of markets, competition and prices, led them to devastating critiques of the unworkability of all forms of socialist central planning, the inherent contradictions and inconsistencies in virtually all forms of government intervention and regulation, and a theory of money and the business cycle that points the finger of responsibility for inflations and recessions at the doorstep of government monetary and fiscal policies.

It is not surprising that classical liberal and libertarian ideas are often attacked. After all they are the ideas that consistently oppose the current political systems of plunder, privilege and power lusting.

The only reasonable meaning to the "common good" or the "general welfare" is when each individual is free to peacefully live his life as he chooses and is at liberty to voluntarily associate and interact with his fellow men for mutually beneficial improvements to their lives.

This is the great battle of the twenty-first century;

Austrian Economics, not surprisingly, has been attacked precisely because of its insightful and cogent analysis of how it was government intervention and central bank monetary manipulation that generated the unsustainable boom in the last decade that set the stage for the inescapable bust, which the world is still suffering from.

There are "natural rights" libertarians

most convincing case for human liberty

Because libertarians have not agreed about this among themselves, nor have they been able to persuade enough others in society to move the world further away from the collectivist premises and the interventionist-welfare state policies that guide so much that goes on in the world.

I happen to have been most strongly influenced by the "natural rights" defense of liberty, and especially as formulated by Ayn Rand in her philosophy of Objectivism.

From a moral perspective, I am in sympathy with the anarcho-capitalist position, in that I find the compulsory taking of people's income and wealth without their consent for whatever reason to be ethically repugnant.

This means that the Supreme Court has said that you are the slave of "society" and the government that represents "the people," since, in principle, anything that you do or not do can be argued to have some affect, positive or negative, on others.

Think about this Court decision. It is saying that if you do not buy health insurance the government will tax you to pay for it. If you refuse to pay the tax, the government will end up attempting to seize financial assets or real property you own in lieu of failure to pay. If you try to prevent this taking of your property, you are subject to arrest and imprisonment. If you resist arrest or imprisonment, the police have the authority to force you to comply – up to and including lethal force to subdue you into obedience.

Rand's political philosophy arises out of the "natural rights" tradition, that rights are inherent in the nature of man and precede government.

And in the twentieth century, Rand and Mises were two of the most principled and uncompromising advocates for the completely free market society

Second, she rejected the anarchist elements in the libertarian movement, believing that any reasonable analysis of the reality of man and the human condition strongly suggested the inescapable need for a single legal standard for defining and enforcing individual rights and a single authority to as impartially and "objectively" as possible enforce laws defending each individual's rights to his life, liberty and honestly acquired property.

"Hardly ever do the advocates of free capitalism realize how utterly their ideal was frustrated at the moment the state assumed control of the monetary system . . .

Government basically has three ways to acquire the income and wealth of its citizens: taxation, borrowing and printing money

So, governments throughout history have turned to the monetary printing press to fund the expenditures not covered by taxes or borrowed money

This "non-neutral," or uneven, impact on prices and wages in the economy during the inflationary process brings in its wake distorted profit margins, misallocations of resources and labor and various mal-investments of capital. Here are the seeds for the artificial and unsustainable "booms" that invariably come crashing down in the "bust" once the monetary expansion that has set it all in motion is stopped or slowed down.

I consider a private, competitive free banking system to be the only one consistent with a truly free market society.

The tragedy will stain Russia’s relations with the world for years to come. Nations determined to keep on good terms with Russia – such as China or Vietnam which relies on Russian weapon supplies and wishes these to continue – will keep quiet. And there will always be some plausible deniability, giving other countries enough room for manoeuvre to avoid accusing Russia directly for this disaster. But the culprits for the crime will be pursued by international investigators and tribunals. And many Russian officials will be added to the ‘wanted’ lists of police forces around the world. The story will linger, and won’t be pretty for Russian diplomats. Given the fact that the majority of the victims are European citizens, it is also getting increasingly difficult to see how France would be able to deliver the Mistral ships which Russia ordered for its navy, or how Britain could continue shielding Russia from financial sanctions. And, given the fact that scores of US citizens were also killed on the MH17 flight means that the US Congress will demand greater sanctions on Russia, making any improvement in relations with Washington highly unlikely.

USI explains in great detail the possible motivation Kiev and NATO had to shoot down MH17 and subsequently frame Russia. An international flight, with passengers from across the globe would invoke unifying outrage against Russia as well as universal support for NATO’s so far unsuccessful attempts to isolate Moscow. RUSI itself admits that individual members of the EU have until now, been reluctant to back sanctions and further confrontation with Moscow.

NATO needed a “game changer,” because it was playing a game it was clearly losing. The dubious circumstances surrounding the downing of MH17 – occurring just as Kiev’s forces were deteriorating across the country and additional US sanctions against Russia fell flat –  is more than a mere coincidence. RUSI and the Atlantic Council’s statement represent an increasingly desperate and shrinking corner the West finds itself in. With the ascension of Russia along with other BRICS nations, a “game changer” was desperately needed to “stain Russia’s relations with the world for years to come,” and help arrest what appeared to be the irreversible rise of the global East and South, in tandem with the irreversible decline of the West. If the West was so sure of who was responsible for the downing of MH17, it would patiently allow the facts to reveal themselves, giving them unassailable credibility as they begin an effective campaign to contain, isolate, and dismantle Russia’s global influence. However, just like in Damascus, Syria in August 2013 when NATO gassed thousands of Syrians in what is now confirmed to be a false flag attack, the West is racing against the clock to do maximum damage before the truth of MH17 emerges.

The very expediency the West pursues its smear campaign against Russia with raises suspicion. The world has been at critical junctures like this before, with Western politicians and media personalities making well-scripted, passionate pleas – but based on little to no “evidence.” Weathering the psychological inertia the West is seeking to stampede its political assault on Russia through with, will cause the West’s attempts to reverse its fortunes in Ukraine to fail. Failing in Ukraine will weaken the West’s position in Syria and Iraq, further undermine its “pivot” in Asia, and diminish its ability to visit upon humanity yet another horrific staged event it may finally realize will only further compromise its place among a new emerging, multipolar global order – not help it restore its antiquated “unipolar” empire.

From the Pentagon to the Department of Homeland Security to the labyrinthine world of intelligence, the rise to power of the national security state has been a spectacle of our time.  Whenever news of its secret operations begins to ooze out, threatening to unnerve the public, the White House and Congress discuss “reforms” which will, at best, modestly impede the expansive powers of that state within a state.  Generally speaking, its powers and prerogatives remain beyond constraint by that third branch of government, the non-secret judiciary.  It is deferred to with remarkable frequency by the executive branch and, with the rarest of exceptions, it has been supported handsomely with much obeisance and few doubts by Congress. And also keep in mind that, of the four branches of government, only two of them -- an activist Supreme Court and the national security state -- seem capable of functioning in a genuine policymaking capacity at the moment.

In that light, let’s turn to a set of intertwined events in Washington that have largely been dealt with in the media as your typical tempest in a teapot, a catfight among the vested and powerful.  I’m talking about the various charges and countercharges, anger, outrage, and irritation, as well as news of acts of seeming illegality now swirling around a 6,300-page CIA “torture report” produced but not yet made public by the Senate Intelligence Committee.  This ongoing controversy reveals a great deal about the nature of the checks and balances on the Fourth Branch of government in 2014.

Fourteen years into the twenty-first century, we’re so used to this sort of thing that we seldom think about what it means to let the CIA -- accused of a variety of crimes -- be the agency to decide what exactly can be known by the public, in conjunction with a deferential White House.  The Agency’s present director, it should be noted, has been a close confidant and friend of the president and was for years his key counterterrorism advisor.  To get a sense of what all this really means, you need perhaps to imagine that, in 2004, the 9/11 Commission was forced to turn its report over to Osama bin Laden for vetting and redaction before releasing it to the public.  Extreme as that may sound, the CIA is no less a self-interested party. And this interminable process has yet to end, although the White House is supposed to release something, possibly heavily redacted, as early as this coming week or perhaps in the dog days of August.

The fact is that, for the Fourth Branch, this remains the age of impunity.  Hidden in a veil of secrecy, bolstered by secret law and secret courts, surrounded by its chosen corporations and politicians, its power to define policy and act as it sees fit in the name of American safety is visibly on the rise.  No matter what setbacks it experiences along the way, its urge to expand and control seems, at the moment, beyond staunching.  In the context of the Senate’s torture report, the question at hand remains: Who rules Washington?

this move amounts to a direct transfer from derivatives counterparties of Merrill to the taxpayer, via the FDIC, which would have to make depositors whole after derivatives counterparties grabbed collateral.

This move paves the way for another TARP-style shakedown of taxpayers, this time to save depositors. No Congressman would dare vote against that. This move is Machiavellian, and just plain evil.” (Naked Capitalism)

Let’s say the second biggest bank in the country is starting to teeter because it’s loaded with all manner of dodgy (toxic?) derivatives that could blow up at any minute and take down the entire global financial system. Would you (a) Wait until the bombshell exploded knowing that the only choice you would then have would be to further expand the Fed’s balance sheet by another couple trillion dollars or (b) Try to sleaze the whole thing off on Uncle Sam and let the taxpayers pick up the tab?

The request was approved through military channels three days later but not made public. Under the terms of the deal, the Israelis used US financing to pay for $3 million in tank rounds. No presidential approval or signoff by the secretary of state was required or sought, according to officials.

One senior US official said the decision to tighten oversight and require the pre-approval of higher-ranking officials for shipments was intended to make clear to Israel that there is no “blank check” from Washington in regards to the US-made weapons that the Israel Defense Forces (IDF) uses in Gaza.

What he stressed is how they all work under a false premise; "If a surveillance program produces information of value, it legitimizes it ... In one step, we've managed to justify the operation of the Panopticon". Oh yes, make no mistake; Snowden has carefully read his Michel Foucault (he also stressed his revulsion facing "the capabilities of this architecture of oppression"). Foucault's deconstruction of the Panopticon's architecture is now a classic (see it here in an excerpt of his 1975 masterpiece Discipline and Punish). The Panopticon was the ultimate surveillance system, designed by utilitarian philosopher Jeremy Bentham in the 18th century. The Panopticon - a tower surrounded by cells, a pre-Orwellian example of "architecture of oppression" - was not originally conceived for the surveillance of a prison, but of a factory crammed with landless peasants on forced labor. Oh, but those were rudimentary proto-capitalist days. Welcome to the (savagely privatized) future, where the NSA black hole, "Digital Blackwater", lords over all as the ultimate Panopticon.

The international lawyers of Wall Street did not hide from each other their shared belief that they understood better than Washington the requirements for running the world. As John Foster Dulles wrote in the 1930s to a British colleague, The word “cartel” has here assumed the stigma of a bogeyman which the politicians are constantly attacking. The fact of the matter is that most of these politicians are highly insular and nationalistic and because the political organization of the world has under such influence been so backward, business people who have had to cope realistically with international problems have had to find ways for getting through and around stupid political barriers.21

In the 1960s and especially the 1970s America began to import more and more oil from the Middle East. But the negative effect on the U.S. balance of payments was offset by increasing arms and aviation sales to Iran and Saudi Arabia. Contracts with companies like Northrop and especially Lockheed (the builder of the CIA’s U-2) included kickbacks to arms brokers, like Kodama Yoshio in Japan and Adnan Khashoggi in Saudi Arabia, who were also important CIA agents. Lockheed alone later admitted to the Church Committee that it had provided $106 million in commissions to Khashoggi between 1970 and 1975, more than ten times what it had paid to the next most important connection, Kodama.31 These funds were then used by Khashoggi and Kodama to purchase pro-Western influence. But Khashoggi, advised by a team of ex-CIA Americans like Miles Copeland and Edward Moss, distributed cash, and sometimes provided women, not just in Saudi Arabia but around the world – including cash to congressmen and President Nixon in the United States.32 Khashoggi in effect served as a “cutout,” or representative, in a number of operations forbidden to the CIA and the companies he worked with. Lockheed, for one, was conspicuously absent from the list of military contractors who contributed illicitly to Nixon’s 1972 election campaign. But there was no law prohibiting, and nothing else to prevent their official representative, Khashoggi, from cycling $200 million through the bank of Nixon’s friend Bebe Rebozo.33

The most dramatic use of off-the-books drug profits to finance foreign armies was seen in the 1960s CIA-led campaign in Laos. There the CIA supplied airstrips and planes to support a 30,000-man drug-financed Hmong army. At one point Laotian CIA station chief Theodore Shackley even called in CIA aircraft in support of a ground battle to seize a huge opium caravan on behalf of the larger Royal Laotian Army.30

At the time of the Marshall Plan slush fund in Europe, the CIA also took steps which resulted in drug money to support anti-communist armies in the Far East. In my book American War Machine I tell how the CIA, using former OSS operative Paul Helliwell, created two proprietary firms as infrastructure for a KMT army in Burma, an army which quickly became involved in managing and developing the opium traffic there. The two firms were SEA Supply Inc. in Bangkok and CAT Inc. (later Air America) in Taiwan. Significantly, the CIA split ownership of CAT Inc.’s plane with KMT bankers in Taiwan – this allowed the CIA to deny responsibility for the flights when CAT planes, having delivered arms from Sea Supply to the opium-growing army, then returned to Taiwan with opium for the KMT. Even after the CIA officially severed its connection to the KMT Army in 1953, its proprietary firm Sea Supply Inc. supplied arms for a CIA-led paramilitary force, PARU, that also was financed, at least in part, by the drug traffic.28 Profits from Thailand filtered back, in part through the same Paul Helliwell, as donations to members from both parties in Congress. Thai dictator Phao Sriyanon, a drug trafficker who was then alleged to be the richest man in the world, hired lawyer Paul Helliwell…as a lobbyist in addition to [former OSS chief William] Donovan [who in 1953-55 was US Ambassador to Thailand]. Donovan and Helliwell divided the Congress between them, with Donovan assuming responsibility for the Republicans and Helliwell taking the Democrats.29

The power exerted by Khashoggi was not limited to his access to funds and women. By the 1970s, Khashoggi and his aide Edward Moss owned the elite Safari Club in Kenya.34 The exclusive club became the first venue for another and more important Safari Club: an alliance between Saudi and other intelligence agencies that wished to compensate for the CIA’s retrenchment in the wake of President Carter’s election and Senator Church’s post-Watergate reforms.35

As former Saudi intelligence chief Prince Turki bin Faisal once told Georgetown University alumni, In 1976, after the Watergate matters took place here, your intelligence community was literally tied up by Congress. It could not do anything. It could not send spies, it could not write reports, and it could not pay money. In order to compensate for that, a group of countries got together in the hope of fighting Communism and established what was called the Safari Club. The Safari Club included France, Egypt, Saudi Arabia, Morocco, and Iran.36 Prince Turki’s candid remarks– “your intelligence community was literally tied up by Congress. …. In order to compensate for that, a group of countries got together … and established what was called the Safari Club.” – made it clear that the Safari Club, operating at the level of the deep state, was expressly created to overcome restraints established by political decisions of the public state in Washington (decisions not only of Congress but also of President Carter).

Specifically Khashoggi’s activities involving corruption by sex and money, after they too were somewhat curtailed by Senator Church’s post-Watergate reforms, appear to have been taken up quickly by the Bank of Credit and Commerce International (BCCI), a Muslim-owned bank where Khashoggi’s friend and business partner Kamal Adham, the Saudi intelligence chief and a principal Safari Club member, was a part-owner.37 In the 1980s BCCI, and its allied shipping empire owned by the Pakistani Gokal brothers, supplied financing and infrastructure for the CIA’s (and Saudi Arabia’s) biggest covert operation of the decade, support for the Afghan mujahedin. To quote from a British book excerpted in the Senate BCCI Report: “BCCI’s role in assisting the U.S. to fund the Mujaheddin guerrillas fighting the Soviet occupation is drawing increasing attention. The bank’s role began to surface in the mid-1980′s when stories appeared in the New York Times showing how American security operatives used Oman as a staging post for Arab funds. This was confirmed in the Wall Street Journal of 23 October 1991 which quotes a member of the late General Zia’s cabinet as saying ‘It was Arab money that was pouring through BCCI.’ The Bank which carried the money on from Oman to Pakistan and into Afghanistan was National Bank of Oman, where BCCI owned 29%.”38

In 1981 Vice-president Bush and Saudi Prince Bandar, working together, won congressional approval for massive new arms sales of AWACS (airborne warning and control system) aircraft to Saudi Arabia. In the $5.5 billion package, only ten percent covered the cost of the planes. Most of the rest was an initial installment on what was ultimately a $200 billion program for military infrastructure through Saudi Arabia.41 It also supplied a slush fund for secret ops, one administered for over a decade in Washington by Prince Bandar, after he became the Saudi Ambassador (and a close friend of the Bush family, nicknamed “Bandar Bush”). In the words of researcher Scott Armstrong, the fund was “the ultimate government-off-the-books.” Not long after the AWACS sale was approved, Prince Bandar thanked the Reagan administration for the vote by honoring a request by William Casey that he deposit $10 million in a Vatican bank to be used in a campaign against the Italian Communist Party. Implicit in the AWACS deal was a pledge by the Saudis to fund anticommunist guerrilla groups in Afghanistan, Angola, and elsewhere that were supported by the Reagan Administration.42 The Vatican contribution, “for the CIA’s long-time clients, the Christian Democratic Party,” of course continued a CIA tradition dating back to 1948.

The activities of the Safari Club were exposed after Iranians in 1979 seized the records of the US Embassy in Tehran. But BCCI support for covert CIA operations, including Iran-Contra, continued until BCCI’s criminality was exposed at the end of the decade. Meanwhile, with the election of Ronald Reagan in 1980, Washington resumed off-budget funding for CIA covert operations under cover of arms contracts to Saudi Arabia. But this was no longer achieved through kickbacks to CIA assets like Khashoggi, after Congress in 1977 made it illegal for American corporations to make payments to foreign officials. Instead arrangements were made for payments to be returned, through either informal agreements or secret codicils in the contracts, by the Saudi Arabian government itself. Two successive arms deals, the AWACS deal of 1981 and the al-Yamamah deal of 1985, considerably escalated the amount of available slush funds.

It is reported in two books that the BCCI money flow through the Bank of Oman was handled in part by the international financier Bruce Rappaport, who for a decade, like Khashoggi, kept a former CIA officer on his staff.39 Rappaport’s partner in his Inter Maritime Bank, which interlocked with BCCI, was E.P. Barry, who earlier had been a partner in the Florida money-laundering banks of Paul Helliwell.40

After a second proposed major U.S. arms sale met enhanced opposition in Congress in 1985 from the Israeli lobby, Saudi Arabia negotiated instead a multi-billion pound long-term contract with the United Kingdom – the so-called al-Yamamah deal. Once again overpayments for the purchased weapons were siphoned off into a huge slush fund for political payoffs, including “hundreds of millions of pounds to the ex-Saudi ambassador to the US, Prince Bandar bin Sultan.”43 According to Robert Lacey, the payments to Prince Bandar were said to total one billion pounds over more than a decade.44 The money went through a Saudi Embassy account in the Riggs Bank, Washington; according to Trento, the Embassy’s use of the Riggs Bank dated back to the mid-1970s, when, in his words, “the Saudi royal family had taken over intelligence financing for the United States.”45 More accurately, the financing was not for the United States, but for the American deep state.

This leads me to the most original and important thing I have to say. I believe that these secret funds from BCCI and Saudi arms deals – first Khashoggi’s from Lockheed and then Prince Bandar’s from the AWACS and al-Yamamah deals – are the common denominator in all of the major structural deep events (SDEs) that have afflicted America since the supranational Safari Club was created in l976. I am referring specifically to 1) the covert US intervention in Afghanistan (which started about 1978 as a Safari Club intervention, more than a year before the Russian invasion), 2) the 1980 October Surprise, which together with an increase in Saudi oil prices helped assure Reagan’s election and thus give us the Reagan Revolution, 3) Iran-Contra in 1984-86, 4) and – last but by no means least – 9/11. That is why I believe it is important to analyze these events at the level of the supranational deep state. Let me just cite a few details.

1) the 1980 October Surprise. According to Robert Parry, Alexandre de Marenches, the principal founder of the Safari Club, arranged for William Casey (a fellow Knight of Malta) to meet with Iranian and Israeli representatives in Paris in July and October 1980, where Casey promised delivery to Iran of needed U.S. armaments, in exchange for a delay in the return of the U.S. hostages in Iran until Reagan was in power. Parry suspects a role of BCCI in both the funding of payoffs for the secret deal and the subsequent flow of Israeli armaments to Iran.46 In addition, John Cooley considers de Marenches to be “the Safari Club player who probably did most to draw the US into the Afghan adventure.”47 2) the Iran-Contra scandal (including the funding of the Contras, the illegal Iran arms sales, and support for the Afghan mujahideen There were two stages to Iran-Contra. For twelve months in 1984-85, after meeting with Casey, King Fahd of Saudi Arabia, in the spirit of the AWACS deal, supported the Nicaraguan Contras via Prince Bandar through a BCCI bank account in Miami. But in April 1985, after the second proposed arms sale fell through, McFarlane, fearing AIPAC opposition, terminated this direct Saudi role. Then Khashoggi, with the help of Miles Copeland, devised a new scheme in which Iranian arms sales involving Israel would fund the contras. The first stage of Iran-Contra was handled by Prince Bandar through a BCCI account in Miami; the second channel was handled by Khashoggi through a different BCCI account in Montecarlo. The Kerry-Brown Senate Report on BCCI also transmitted allegations from a Palestinian-American businessman, Sam Bamieh, that Khashoggi’s funds from BCCI for arms sales to Iran came ultimately from King Fahd of Saudi Arabia, who “was hoping to gain favor with Ayatollah Ruhollah Khomeini.”48

3) 9/11 When the two previously noted alleged hijackers or designated culprits, al-Mihdhar and al-Hazmi, arrived in San Diego, a Saudi named Omar al-Bayoumi both housed them and opened bank accounts for them. Soon afterwards Bayoumi’s wife began receiving monthly payments from a Riggs bank account held by Prince Bandar’s wife, Princess Haifa bint Faisal.49 In addition, Princess Haifa sent regular monthly payments of between $2,000 and $3,500 to the wife of Osama Basnan, believed by various investigators to be a spy for the Saudi government. In all, “between 1998 and 2002, up to US $73,000 in cashier cheques was funneled by Bandar’s wife Haifa … – to two Californian families known to have bankrolled al-Midhar and al-Hazmi.”50 Although these sums in themselves are not large, they may have been part of a more general pattern. Author Paul Sperry claims there was possible Saudi government contact with at least four other of the alleged hijackers in Virginia and Florida. For example, “9/11 ringleader Mohamed Atta and other hijackers visited s home owned by Esam Ghazzawi, a Saudi adviser to the nephew of King Fahd.”51

But it is wrong to think of Bandar’s accounts in the Riggs Bank as uniquely Saudi. Recall that Prince Bandar’s payments were said to have included “a suitcase containing more than $10 million” that went to a Vatican priest for the CIA’s long-time clients, the Christian Democratic Party.52 In 2004, the Wall Street Journal reported that the Riggs Bank, which was by then under investigation by the Justice Department for money laundering, “has had a longstanding relationship with the Central Intelligence Agency, according to people familiar with Riggs operations and U.S. government officials.”53 Meanwhile President Obiang of Equatorial Guinea “siphoned millions from his country’s treasury with the help of Riggs Bank in Washington, D.C.”54 For this a Riggs account executive, Simon Kareri, was indicted. But Obiang enjoyed State Department approval for a contract with the private U.S. military firm M.P.R.I., with an eye to defending offshore oil platforms owned by ExxonMobil, Marathon, and Hess.55 Behind the CIA relationship with the Riggs Bank was the role played by the bank’s overseas clients in protecting U.S. investments, and particularly (in the case of Saudi Arabia and Equatorial Guinea), the nation’s biggest oil companies.

The issue of Saudi Embassy funding of at least two (and possibly more) of the alleged 9/11 hijackers (or designated culprits) is so sensitive that, in the 800-page Joint Congressional Inquiry Report on 9/11, the entire 28-page section dealing with Saudi financing was very heavily redacted.56 A similar censorship occurred with the 9/11 Commission Report: According to Philip Shenon, several staff members felt strongly that they had demonstrated a close Saudi government connection to the hijackers, but a senior staff member purged almost all of the most serious allegations against the Saudi government, and moved the explosive supporting evidence to the report’s footnotes.57 It is probable that this cover-up was not designed for the protection of the Saudi government itself, so much as of the supranational deep state connection described in this essay, a milieu where American, Saudi, and Israeli elements all interact covertly. One sign of this is that Prince Bandar himself, sensitive to the anti-Saudi sentiment that 9/11 caused, has been among those calling for the U.S. government to make the redacted 28 pages public.58

This limited exposure of the nefarious use of funds generated from Saudi arms contracts has not created a desire in Washington to limit these contracts. On the contrary, in 2010, the second year of the Obama administration, The Defense Department … notified Congress that it wants to sell $60 billion worth of advanced aircraft and weapons to Saudi Arabia. The proposed sale, which includes helicopters, fighter jets, radar equipment and satellite-guided bombs, would be the largest arms deal to another country in U.S. history if the sale goes through and all purchases are made.59 The sale did go through; only a few congressmen objected.60 The deep state, it would appear, is alive and well, and impervious to exposures of it. It is clear that for some decades the bottom-upwards processes of democracy have been increasingly supplanted by the top-downwards processes of the deep state.

But the deeper strain in history, I would like to believe, is in the opposite direction: the ultimate diminution of violent top-down forces by the bottom-up forces of an increasingly integrated civil society.61 In the last months we have had Wikileaks, then Edward Snowden, and now the fight between the CIA and its long-time champion in Congress, Dianne Feinstein. It may be time to see a systemic correction, much as we did after Daniel Ellsberg’s release of the Pentagon Papers, which was followed by Watergate and the Church Committee reforms. I believe that to achieve this correction there must be a better understanding of deep events and of the deep state. Ultimately, however, whether we see a correction or not will depend, at least in part, on how much people care.