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The CIA inspector general’s office has said it “mistakenly” destroyed its only copy of a comprehensive Senate torture report, despite lawyers for the Justice Department assuring a federal judge that copies of the documents were being preserved. The erasure of the document by the spy agency’s internal watchdog was deemed an “inadvertent” foul-up by the inspector general, according to Yahoo News. One intelligence community source told Yahoo News, which first reported the development, that last summer CIA inspector general officials deleted an uploaded computer file with the report and then accidentally destroyed a disk that also contained the document.

The 6,700-page report contains thousands of secret files about the CIA’s use of “enhanced” interrogation methods, including waterboarding, sleep deprivation and other aggressive interrogation techniques at “black site” prisons overseas. The full version of the report remains classified, but a 500-page executive summary was released to the public in 2014. Christoper R. Sharpley, the CIA’s acting inspector general (CIA IG), alerted the Senate intelligence panel that his office’s copy of the report had vanished in August. And Senator Dianne Feinstein, the driving force behind the 2014 report, sent letters to the CIA and Justice Department confirming the spy agency’s inspector general “has misplaced and/or accidentally destroyed” its copy of the report. Douglas Cox, a City University of New York School of Law professor who specialises in tracking the preservation of federal records told Yahoo News: “It’s breathtaking that this could have happened, especially in the inspector general’s office – they’re the ones that are supposed to be providing accountability within the agency itself.”

Another copy of the report exists elsewhere within the CIA, which is waiting for the conclusion of a years-long legal battle over the document.

Months after Russia became the first country to announce the creation of a state-backed Cryptorouble, Venezuela has followed suit, announcing the creation of El Petro, a state-sanctioned cryptocurrency to be backed by Venezuela’s extensive reserves of crude oil. Venezuela has already broken free of Dollar dependence months ago when Caracas announced it would be trading its oil using China’s Petroyuan. Venezuelan President Nicolas Maduro also stated that he would like to begin trade with Russia in the Rouble. With Venezuela heavily sanctioned by the United States, El Petro looks to be another tool which Venezuela can use to continue and conduct international commerce without relying on Dollar based financial institution.

Crucially, while existing Cryptocurrencies tend to create their initial value through an arithmetic process called “mining”, leaving them heavily subject to market fluctuation, El Petro will be backed by a known commodity, oil, thus giving it a clear advantage for risk-averse investors. While the world’s most popular cryptocurrency Bitcoin, has seen its value skyrocket against the Dollar, some remain unconvinced of its long-term prospects for stability. A currency, backed by oil would, by contrast, ostensibly fluctuate in accordance with the well established global price of Brent Crude.

An official oil-backed cryptocurrency could work in tandem with Russia’s soon to be launched Cryptorouble, a digital currency which will ostensibly be backed by the vast resources of the Russian state. With western governments ambivalent about how to treat existing cryptocurrencies, Russia and Venezuela have taken the lead to both normalize cryptos while backing them by well-known assets.

Russia’s Ministry of Justice, on Tuesday, designated nine U.S. media outlets as foreign agents. The measure came in “retaliation” after the U.S. designated the Russian State funded Russia Today (RT) USA as a foreign agent. Independent journalists and media fear the battle of the giants will make it more difficult for independent and “unorthodox” journalists and media while major State and corporate-funded giants are likely to continue unabated.

Russia listed Radio Free Europe/Radio Liberty (RFE/RL), the Voice of America (VOA), and several other affiliates as “foreign agents. RFE/RL president Tom Kent said in a statement that the Russian Ministry of Justice indicated the new designation will involve more “limitations” on the work of its company in Russia. He added that “the full nature of these limitations is unknown,” but vowed that the network remains “committed to continuing our journalistic work, in the interests of providing accurate and objective news to our Russian-speaking audiences.” Russian President Vladimir Putin signed a law in November empowering the government to designate media outlets receiving funding from abroad as “foreign agents” and impose sanctions against them. Russian officials have called the new legislation a “symmetrical response” to what they describe as U.S. pressure on Russian media. On November 13, Russian state-funded television channel RT registered as a foreign agent in the United States under a decades-old law called the Foreign Agents Registration Act (FARA). U.S. Ambassador to Russia Jon Huntsman said FARA is aimed at promoting transparency but does not restrict the television network’s operation in the United States. The U.S. State Department has condemned Russia’s law, saying it obstructs press freedom. “New Russian legislation that allows the Ministry of Justice to label media outlets as ‘foreign agents’ and to monitor or block certain internet activity presents yet another threat to free media in Russia,” State Department spokesperson Heather Nauert said in a statement last month.

Venezuela’s Congress reports that the inflation rate has reached quadruple digits and that the inflation rate in 2017 will top some 2,000 percent. The opposition-controlled legislature reported that inflation reached quadruple digits with consumer prices rising by a whopping 1,369 percent between January and November 2017.

Congress began publishing its own data on inflation after the socialist party (PSUV) administration stopped releasing them. Venezuela’s central bank reported an inflation of 180 percent in 2015 and 240 percent in 2016 which so far had been the highest on record. The central bank and the administration of President Nicolas Maduro have since stopped providing detailed inflation figures. Congress reported that prices rose by 56.7 percent in November. The legislators also reported that they expect that 2017 inflation would top a whopping 2,000 percent. Monetary liquidity grew 14 percent in a single week of November, according to official data, its steepest rise since the central bank began keeping records in 1940. OPEC member Venezuela was struck by a severe economic crisis when oil prices slumped in 2014 leading to shortages of food and medicines, among others. The socialist party (PSUV) administration of President Nicolas Maduro is blaming the crisis on an alleged economic war against Venezuela, allegedly led by the United States, and allegedly in collaboration with members of the opposition.

While Trump's Twitter activity from yesterday continues to drive media and political outrage, especially in the UK, and with the focus of the frenzied coverage being that the president retweeted a far-right U.K. leader's "anti-Muslim videos", there is actually something much more interesting concerning the context to the “Muslim Destroys A Statue Of Virgin Mary” video. That particular video shared by the president is from 2013 and shows a Free Syrian Army (FSA) commander named Omar Gharba destroying a Virgin Mary statue as the group invaded a Syrian Christian town. In a geopolitical and deeply ironic twist demonstrating the absurdity and contradictions of US foreign policy, the radical Islamist commander was actually supported by the United States at the time as part of the FSA, which the media and US government deemed "moderate".  So a sitting US president shared a video which reveals a Syrian "rebel" fighter committing war crimes who was part of one of the very groups backed by the CIA as official US policy under the Obama administration. Of course it is likely that Trump himself is not fully aware of this, yet the astounding geopolitical irony in this should not be missed, even as public outrage is reduced to merely discussing "anti-Muslim bigotry" and whether or not Trump is being "presidential".

nd while multiple media outlets, for example NPR, continue to claim the videos are "unverified" and "have no context" or are of "murky origins" (as the Washington Post wrongly claims), this particular video especially was widely shared and discussed among the world's top Syria analysts and Middle East scholars at the time. The video was taken in 2013 and shows the Wahhabi cleric and FSA commander smashing the Christian statue in connection with the US-backed group's prior attack on Yakubiya in Idlib province. The book, The Islamic State: Combating The Caliphate Without Borders, authored by counter-terrorism experts Yonah and Dean Alexander, gives his full name as Omar Gharba al-Khojji and like vast numbers of FSA fighters he eventually jointed ISIS (some online sources alternately list his name as Omar Raghba).

akubiyah was a mostly Christian village principally comprised of Armenian Orthodox and Catholic churches which after being taken over by the FSA was subsequently held by ISIS. The local Christians saw no distinction between the invading FSA and ISIS fighters as it was primarily the US-backed FSA which began massacring Christians and looting churches. Even the US government funded Voice of America news had this to say based on an interview with a Christian survivor: Christian refugees described to VOA the execution of a half dozen of their co-religionists in the northwestern village of al-Yakubiye, in Idlib province, by Sunni Muslims aligned with the Western-backed Free Syrian Army. Rahel, a 45-year-old former teacher, said, “Al Nusra didn’t come to our village; the people who came were from villages close by, and they were Free Syrian Army.”   ...Nearly a third of Syria’s Christians, an estimated 600,000, have fled the country. Before the war, Christians accounted for about 10 percent of Syria’s population of 22 million. And The Daily Beast also confirmed at the time that "nearly all Christians have fled [Yakubiyah] after half a dozen were executed with their heads chopped off and about 20 more were kidnapped" by the US sponsored FSA. Furthermore, an October 2013 report in Arabic media confirmed that, Terrorists belonging to al-Nusra front broke into homes in Yakubiyah in Syria's Idlib province, killed a Chrisitan man and destroyed a Virgin Mary statue. Upon arrival at a house that had the statue of virgin Mary, Wahhabi cleric, Omar Gharba' carried the statue of the Virgin Mary after it was taken over by militants from the "Islamic State in Iraq and the Levant" (ISIL) and broke it by throwing it on the ground. He stated that he and his fellow Wahhabis won't tolerate any form of worship except strict Wahhabism of Saudi Arabia.   "God willing, Only God will be worshipped in the land of the Levant," the terrorist who destroyed the statue said, noting that "no other idol will be worshiped after these days . We won't accept but the religion of Allah and the Sunnah of our Prophet Mohammed bin Abdullah." In 2012 and 2013 Omar Gharba's name appeared somewhat frequently in Western news reports as he was interviewed on a few occasions and presented as a "moderate" rebel, for example by BBC Arabic in 2012. The below video is one such example of Omar Gharba insisting that he and his fellow FSA militants would be tolerant and respectful of Christians and other religious minorities should they inherit power by toppling the Assad government  - though he was subsequently outed as the destroyer of the Virgin Mary statue, as the edit of the video interview makes clear.

Malaysian Defense Minister Datuk Seri Hishammuddin Tun Hussein said the country's armed forces are ready to play a role following U.S. President Donald Trump's official recognition of Jerusalem as Israel's capital. The statement came a day after protesters gathered in front of the American embassy in the capital, Kuala Lumpur. "Armed Forces chief (General Tan Sri Raja Mohamed Affandi Raja Mohamed Noor) and the MAF are definitely ready," said Hishammuddin.

The government of Pakistan is considering a proposal to start using the Chinese yuan in trade with China, according to the Interior Minister Ahsan Iqbal, as quoted by Pakistan’s English-language daily Dawn. “We are examining the use of yuan instead of the US dollar for trade between the two countries,” the minister told the media after the official launch of the Long Term Plan (LTP) for the China-Pakistan Economic Corridor (CPEC).

ilateral trade between Pakistan and China was worth $13.8 billion in 2015 to 2016, a decade after the countries signed a free trade agreement. Pakistan will continue to use the rupee domestically, according to Iqbal.The LTP includes cooperation between the countries in energy, information network infrastructure, road and rail connections, trade and industrial parks, tourism, agriculture, and poverty alleviation. The plan will be implemented in three phases, the first ending in 2020, followed by another in 2025, with completion in 2030.

Under the plan, the countries intend to develop multi-level cooperation and strengthen policy coordination, as well as establish and improve the cross-border credit system and financial services. Karachi and Beijing are also planning to enhance currency swap arrangements and create a bilateral payment and settlement system.

Russian President Vladimir Putin has made history today, when he endorsed the creation of a soon to be unveiled CryptoRouble, the world’s first cryptocurrency endorsed by a state. Russian monetary experts and political leaders have recently begun engaging in a debate which pitted monetary conservatives against monetary radicals. Most Russian officials agreed that allowing the use of western designed (though not western state endorsed) cryptocurrencies such as Bitcoin, was not compatible with Russian financial security concerns. China, for example, reached a similar conclusion about existing cryptocurrencies. In Russia, the debate then quickly evolved into to a question over what role if any, a government and central bank should have in respect of cryptocurrencies. Conservatives argued that the entire process of blockchain cryptocurrency technology should not be accepted as a legal alternative to traditional state issued notes, while radicals argued for the creation and regulation of a uniquely Russian cryptocurremcy. The radials have clearly won and appear to have been embraced by President Putin.

en years ago today, I informed Gordon England, then the Deputy Secretary of Defense, that I could no longer serve as chief prosecutor for the military commissions at Guantanamo Bay. I requested immediate reassignment to another post and, within an hour, my request was approved. Soon after, I received an order not to speak to anyone about why I quit.Here’s why I quit. Earlier that day, I had been handed an order, signed by England, that reorganized the chain of command, effective immediately. The order had placed Air Force Brig. Gen. Thomas W. Hartmann above me, and it had placed William J. Haynes II, the general counsel of the Department of Defense, above Hartmann.Haynes, you might recall, signed the infamous torture memo — the one authorizing enhanced interrogation at Guantanamo that was approved by former Defense Secretary Donald Rumsfeld.

Hartmann had arrived a few months before, in July 2007, to serve as chief counsel to the official overseeing the military commissions. He was anxious to get convictions and wanted me to use all evidence, regardless of how it was acquired. For two years, my policy had been that the prosecution would not use evidence obtained by torture, because evidence obtained by torture is tainted. By the end of his first month, Hartmann had already tried to challenge this well-established fact. When I learned that two men who sanctioned torture were above me in the chain of command, I concluded that I could not ensure fair trials for the detainees at Guantanamo. Nor could I put my head down and ignore the fact that the United States employed a practice it had long condemned.I wish I could say that, in the following decade, the U.S. recovered from the shock of the Sept. 11 terrorist attacks, recognized the errors it made and regained its legal and moral standing on the issue of torture. That would be fake news.

According to Russia’s Defense Ministry, the US State Department has finally admitted that the infamous Al Nusra Front, which controls Syria’s Idlib Governorate through the umbrella terrorist group HTS and is still thought to be a front for al-Qaeda, “not only has, but uses chemical weapons against civilians.” “The Hayat Tahrir al-Sham terrorist group (HTS), linked to Jabhat al-Nusra, which uses ‘small and heavy arms, improvised explosive devices, and chemical weapons’, operates in that province [Idlib]. This is the first official recognition by the [US] State Department not simply of the presence, but, I emphasize, the use of chemical weapons by Jabhat al-Nusra terrorists in that part of Syria to commit terrorist attacks, about which we repeatedly warned,” Russian Defense Ministry spokesman Maj. Gen. Konashenkov said. Igor Konashenkov also recalled that in Idlib province, “only one case of the use of chemical weapons is known — in Khan-Sheikhun.”

“However, the US accused government troops of [conducting] this chemical attack. And those who [actually] organized it, they called a “moderate opposition,” Konashenkov said.

The Israeli government has approved a plan setting aside $72 million to fighting the campaign to boycott the Jewish state. The plan, which would entail the largest monetary investment yet by Israel specifically toward combating the Boycott, Divestment and Sanctions campaign, was announced last week to cabinet ministers and approved as an executive order after none of them objected, the Ynet news site reported Friday.

It calls for setting up a not-for-profit organization whose board will be made up of government officials and donors from abroad, the report said. The board will oversee the first major “civil-society infrastructure servicing the State of Israel and the pro-Israel community in the fight against the de-legitimization of Israel,” the notice sent to ministers read. The $75 million budget will come partly from the government and partly from Jewish donors and communities abroad, the report said. It did not say when the new organization would become operational or even established formally.

While such activities today formally fall under the purview of the Ministry of Foreign Affairs, privatizing them would allow for quicker and more flexible action unconstrained by government bureaucracy and legal limitations on third party services, that require tenders when carried out by the government, the announcement explained. The new organization will, however, be subject to review by the state.

A changing-places moment brought about by Russia-gate is that liberals who are usually more skeptical of U.S. intelligence agencies, especially their evidence-free claims, now question the patriotism of Americans who insist that the intelligence community supply proof to support the dangerous claims about Russian ‘hacking” of Democratic emails especially when some  veteran U.S. government experts say the data would be easily available if the Russians indeed were guilty. One of those experts is William Binney, a former high-level National Security Agency intelligence official who, after his 2001 retirement, blew the whistle on the extraordinary breadth of NSA surveillance programs. His outspoken criticism of the NSA during the George W. Bush administration made him the subject of FBI investigations that included a raid on his home in 2007. Even before Edward Snowden’s NSA whistleblowing, Binney publicly revealed that NSA had access to telecommunications companies’ domestic and international billing records, and that since 9/11 the agency has intercepted some 15 trillion to 20 trillion communications. Snowden has said: “I have tremendous respect for Binney, who did everything he could according to the rules.”

I spoke to Binney on Dec. 28 about Russia-gate and a host of topics having to do with spying and America’s expanding national security state.

Bernstein: Your expertise was in the Soviet Union and so you must know a lot about bugging.  Do you believe that Russia hacked and undermined our last election?  Can Trump thank Russia for the result? Binney:  We at Veteran Intelligence Professionals for Sanity (VIPS) published an article on this in July.  First of all, if any of the data went anywhere across the fiber optic world, the NSA would know.  Just inside the United States, the NSA has over a hundred tap points on the fiber lines, taking in everything.    Mark Klein exposed some of this at the AT&T facility in San Francisco. This is not for foreigners, by the way, this is for targeting US citizens.  If they wanted only foreigners, all they would have to do was look at the transatlantic cables where they surface on the coast of the United States.  But they are not there, they are distributed among the US population. Bernstein: So if, in fact, the Russians were tapping into DNC headquarters, the NSA would absolutely know about it. Binney: Yes, and they would also have trace routes on where they went specifically, in Russia or anywhere else.  If you remember, about three or four years ago, the Chinese hacked into somewhere in the United States and our government came out and confirmed that it was the Chinese who did it, and it came from a specific military facility in Shanghai.  The NSA had these trace route programs embedded by the hundreds across the US and all around the world.

After President Trump signed two sweeping executive orders on immigration on Wednesday, most of the attention was on his plans to build a wall along the border with Mexico and to hold back money from “sanctuary cities.” But the most immediate effect may come from language about deportation priorities that is tucked into the border wall order. It offers an expansive definition of who is considered a criminal — a category of people Mr. Trump has said he would target for deportation. Immigration agents will now have wider latitude to enforce federal laws and are being encouraged to deport broad swaths of unauthorized immigrants.

Each presidential administration must decide who it considers a priority for deportation. Mr. Trump’s order focuses on anyone who has been charged with a criminal offense, even if it has not led to a conviction. He also includes, according to language in the order, anyone who has “committed acts that constitute a chargeable criminal offense,” meaning anyone the authorities believe has broken any type of law — regardless of whether that person has been charged with a crime.Mr. Trump’s order also includes anyone who has engaged in “fraud or willful misrepresentation in connection with any official matter or application before a governmental agency,” a category that includes anyone who has used a false Social Security number to obtain a job, as many unauthorized immigrants do. Anyone who has received a final order to leave the country, but has not left, is also considered a priority.Finally, he allows the targeting of anyone who “in the judgment of an immigration officer” poses a risk to either public safety or national security. That gives immigration officers the broad authority they have been pressing for, and no longer requires them to receive a review from a supervisor before targeting individuals.

The order defines criminal loosely, and includes anyone who has crossed the border illegally — which is a criminal misdemeanor. Anyone who has abused any public benefits program is also considered a criminal under the order.The Obama administration, which deported nearly 400,000 people per year during its first five years, initially included those convicted of minor offenses such as shoplifting. But it later changed its policy to target primarily those who had been convicted of serious crimes, were considered national security threats or were recent arrivals. By the end of President Barack Obama’s time in office, around 90 percent of the country’s 11 million undocumented immigrants were not considered a priority for deportation. According to the Migration Policy Institute, a nonpartisan think tank, roughly 820,000 undocumented immigrants currently have a criminal record.

After agreeing to pay a whopping $3.9 billion in fines and restitution, Goldman Sachs has finally been freed from one of its biggest albatrosses for its international business: Malaysian prosecutors have dropped all criminal charges in the 1MDB episode.

Reuters reports that, on Friday morning local time, Malaysian prosecutors announced that they would be withdrawing criminal charges against three Goldman Sachs units accused of misleading investors over a series of bond sales worth a combined $6.5 billion which helped fund the ill-fated sovereign wealth fund 1MDB (it stands for 1Malaysia Development Berhad). The Goldman subsidiaries based in London, Hong Kong and Singapore had pleaded not guilty to criminal charges back in February and the bank has consistently denied wrongdoing, though gallons of ink have been spilled about the alleged skulduggery that reportedly involved officials as senior as CEO Lloyd Blankfein. Now, the bank needs to settle things with the DoJ, which is also pursuing a criminal investigation. The DoJ estimates that $4.5 billion was siphoned from the fund by a group of insiders led by the fugitive financier Jho Low, the alleged mastermind, and former PM Najib Razak, who received hundreds of millions of dollars in proceeds from the fraud. Late last year, the bank was reportedly on the verge of a settlement with US authorities for roughly $2 billion, but those talks have reportedly fallen apart.

Russian financial institutions and firms are ready to work without SWIFT's interbank cash transfer services, according to Deputy Prime Minister Arkady Dvorkovich. “Certainly, it is unpleasant, as it will prove a stumbling block for companies and banks, and will slow down work. It will be inevitable to deploy some aged technologies for information transfer and calculations. However, the companies are technically and psychologically ready for the shutdown as this threat was repeatedly voiced,” Dvorkovich said, as quoted by TASS.He added that the measure may have a negative impact on corporations working in the US and Europe.

The potential disconnection of Russia from SWIFT has been under discussion since 2014, when the EU and the US introduced the first round of international penalties against Moscow over alleged involvement in the Ukraine crisis and the reunification with Crimea.At the time, the European Parliament called for strong actions against Russia, including expelling the country from money transfer services. However, the Society for Worldwide Interbank Financial Telecommunication regarded the recommendations as violating rights and damaging for businesses.

In 2017, Russia’s Central Bank Governor Elvira Nabiullina told President Vladimir Putin that the banking sector had been provided with all the necessary conditions for operating lenders and payment systems in case of disconnection from SWIFT. According to the regulator, 90 percent of ATMs in Russia were ready to accept the Mir payment system, a domestic version of Visa and MasterCard.The Mir payment system was introduced in 2015 after clients of several Russian banks (SMP Bank, InvestCapitalBank, Russia Bank and Sobinbank) were unable to use Visa and MasterCard due to the sanctions.

Prominent U.S. senators Bernie Sanders and Elizabeth Warren have joined watchdog groups and banking regulators in calling for a crackdown on dirty money and banks that profit from it in the wake of the FinCEN Files investigation. Sanders and Warren, former candidates for the 2020 Democratic presidential nomination who both inspired strong support on the left, called for tougher consequences for banks and their executives who move money linked to crime and corruption.

Sanders’ messages came less than a day after the International Consortium of Investigative Journalists’ release of FinCEN Files, a global investigation revealing how leading banks allowed trillions of dollars in tainted money to flow freely through the financial system. Based on more than 2,100 secret reports filed by banks to the U.S. Department of Treasury and obtained by BuzzFeed News, the investigation included more than 400 journalists in 88 countries around the world. Warren also called for a crackdown on banks that are complicit in the spread of dirty money, highlighting policy proposals that would strengthen the ability of law enforcement to combat white collar crime. Warren called for the creation of a new unit in the U.S. Treasury Department to investigate financial crimes linked to the flow of dirty money. She also pushed for the passage of the Ending Too Big to Jail Act, a law she proposed in 2018 that would make it easier to hold Wall Street executives criminally accountable when the banks they lead engage in illegal activity.

Elizabeth Rosenberg, a former sanctions official for the U.S. Treasury Department, said the revelations exposed the national security threats posed by banks’ laxity. “The FinCEN Files illustrate the alarming truth that an enormous amount of illicit money is sloshing around our financial system, and that U.S. banks play host and facilitator to rogues and criminals that represent some of America’s most insidious national security threats,” Rosenberg told the Wall Street Journal. Rosenberg urged the passage of stronger transparency laws that crack down on the use of anonymous companies, which are often used for money laundering.