WEDNESDAY, DECEMBER 18, 2019

Volume 6, Number 250

EIR Daily Alert Service

P.O. Box 17390, Washington, DC 20041-0390

• Down With Frauds on the Public, The Time is Ripe for LaRouche’s Strategic Solutions
• FiSA Court Slams Christopher Wray Over FBI’s Surveillance Abuses
• Paul Sperry Unveils How Horowitz Report Discredits Nadler as Impeachment Manager
• House Judiciary Report Accuses Trump of Bribery and Wire Fraud Not Included in Articles of Impeachment
• Impeachment Investigation To Go On, and On, and On….Even if Senate Acquits Trump
• Judge Emmett Sullivan Performs to Type in Insane Attack on Flynn’s Attorney Sidney Powell
• Sourhtern Italian Bank Put into Receivership, in Crisis Test For Glass-Steagall
• Goldman Sachs Demands Governments Help Banksters Make Money in Green Investments
• Chile’s President Pinera Sinking Fast as He Clings to Pinochet Economic Model
• Russia and Syria Collaborate on Economic Reconstruction, Discuss ‘Big Projects’
• General Fusion Inc. Raises Enough Funds to Move Towards a Fusion Demonstration Plant
• Xi Jinping, Li Keqiang Praise With Hong Kong Executive Carrie Lam for Handling Tough Situation

EDITORIAL

Down with Frauds on the Public. The Time Is Ripe for LaRouche’s Strategic Solutions

Dec. 17 (EIRNS)—The strategic picture is dramatic, with millions of people taking to the streets in protest of impossible living conditions, from Chile, to Algeria, to Lebanon. Today, a mass strike occurred across France, against—among other things—the government’s intended change to the pension system to demand a longer lifetime of work for less compensation. Hundreds of thousands of people demonstrated in a bigger cross-sector turnout than even the huge rallies already this fall. At the famed Paris Opera, both singers and orchestras struck in solidarity. Massed on the steps of the Opera, they performed “Va Pensiero,” the Chorus of the Hebrew Slaves from Verdi’s opera Nabucco, and other universal patriotic songs.

This is the reality of the approaching New Year. No warmed-over neo-liberal, neo-conservative schemes and swindles will get by anymore to perpetuate the deadly City of London/Wall Street “market” system. The Federal Reserve is pumping multibillions into the financial system over the holidays in attempt to avert the pending meltdown.

That is how to look at the past few days’ record U.S. stock market levels. Money is flowing everywhere. Today’s record Dow Index of 28,267 is a “melt-up,” as the investor/speculators now like to call it, meaning it is positive. But melt-up really means what the words imply—financial froth. There is nothing behind the “money” but money and air. The Federal Reserve policy is a fraud on the public.

Schiller Institute President Helga Zepp LaRouche, in discussions today with European colleagues, stressed the importance of this being the moment to make known what is truthful and workable—the strategic economic method of the late statesman Lyndon LaRouche. Five years ago he issued his “Four Laws” based on segregating and defending commercially useful banks, through the Glass Steagall Act; making credit plentiful for useful agro-industrial and infrastructure activity, and especially promoting front-end scientific advance, through the space program and international space exploration.

This kind of intervention is one and the same with exposing the fraud behind the weaponized intelligence networks that are going after the U.S. Presidency, and also targetting China and Russia, at the very time when great power collaboration around sound policies is urgently required.

Today, President Donald Trump sent a personal letter to House Speaker Nancy Pelosi, denouncing this fraud in the strongest terms, calling it an “illegal, partisan, attempted coup.” He told her, “If you truly cared about freedom and liberty for our Nation, then you would be devoting your vast investigative resources to exposing the full truth concerning the FBI’s horrifying abuses of power before, during, and after the 2016 election,” Trump said, “More due process was afforded to those accused in the Salem Witch Trials.” (The full letter is posted on the White House website.)

What is critical, warned Zepp LaRouche, is to not miss the present opportunity to end the evil, and to succeed, by acting from the highest overview. There have been movements in the past of differing groups—labor, farmers, physicians and medical personnel, educators, students—which can be powerfully in motion, but then become defeated in one way or another, as they become disoriented, demoralized, threatened, bought off. The consequence is that their productive and political capacities are lost or weakened, and everyone loses.

But if people have the highest overview, and strategic solutions, we can succeed. The time is ripe.

U.S. POLITICAL AND ECONOMIC

FISA Court Slams Christopher Wray over FBI’s Surveillance Abuses

Dec. 17 (EIRNS)—Rosemary Collyer, the presiding judge on the Foreign Intelligence Surveillance Court (FISC), issued an unusual public order today rebuking the FBI and ordering Director Christopher Wray to state how he intends to correct the errors documented in Justice Department Inspector General Michael Horowitz’s report.

Judge Collyer said that “the frequency with which representations made by FBI personnel turned out to be unsupported or contradicted by information in their possession, and with which they withheld information detrimental to their case, calls into question whether information contained in other FBI applications is reliable.” She gave the FBI until Jan. 10 to explain in writing how it intends to remedy those problems, NBC News reported. The FBI must explain, her order stipulated, “what it has done, and plans to do, to ensure the statements of facts in each FBI application accurately and completely reflects information possessed by the FBI.”

Collyer charged that the FBI’s handling of the case of former Trump campaign associate Carter Page “was antithetical to the heightened duty of candor” which is required by the Foreign Intelligence Surveillance Act, the law that established the FISC. She emphasized that since the court relies entirely on the government’s submissions, it expects that the government is operating with a “heightened duty of candor.” According to CNN, in today’s order, the FISA court noted new information that should have cast doubt within the FBI about the accuracy of Christopher Steele’s dodgy dossier on Donald Trump and Russia, which was cited in the Page warrant. The FBI withheld information “which was detrimental to their case for believing that Mr. Page was acting as an agent of a foreign power,” Collyer wrote.

The FISC, she stressed, “expects the government to provide complete and accurate information in every filing with the court. Without it, the FISC cannot properly ensure that the government conducts electronic surveillance for foreign intelligence purposes only when there is a sufficient factual basis.”

The FISC, CNN reported, said it plans to make another order related to the Page warrants public in the coming days.

Wray is now scrambling to respond to Judge Collyer’s order. In a statement issued today, the FBI said it is committed to working with the FISA court and the Justice Department to ensure the accuracy and completeness of the process. “FISA is an indispensable tool in national security investigations,” the statement said.

Shortly after Horowitz released his report, Wray said he had immediately ordered changes in how the FBI submits requests to the FISC. Last week, Horowitz reported he’d already opened a new review, looking at whether the FBI is complying with its duty to provide accurate information to the FISC in seeking to conduct surveillance of Americans in terrorism and spying investigations.

Paul Sperry Unveils How Horowitz Report Discredits Nadler as Impeachment Manager

Dec. 17 (EIRNS)—In an article for RealClearInvestigations on Dec. 16, investigative reporter Paul Sperry argues that all of the damning evidence provided by DOJ Inspector General Michael Horowitz’s report on FBI abuses proves absolutely that Rep. Jerry Nadler, chairman of the House Judiciary Committee, has no credibility as an impeachment manager or an honest broker.

For the past year and a half, Sperry points out, Nadler has defended the FBI from charges it had abused the FISA surveillance process, insisted that former Trump campaign aide Carter Page was a Russian agent and asserted that the dossier on Donald Trump by former MI6 spy Christopher Steele—paid for by the DNC—played no significant role in supporting FISA warrants to spy on Page. Raving about “conspiracy theories,” Nadler violently attacked ranking member Rep. Devin Nunes (R-CA), when he produced a memorandum documenting FBI surveillance and other abuses, and implied that Nunes had lied about what he had read in classified applications and supporting documents.

Nunes’ denunciation of the FISA warrants, Nadler raved, was “embarrassingly flawed.” One source quoted by Sperry emphasized that by publicly defending the FBI against charges of egregious surveillance abuses, Nadler in effect gave federal officials a Congressional blessing to illegally spy on American citizens.

With the Horowitz report now proving that Nadler was wrong about pretty much everything, the New York Congressman, like his cohort Adam Schiff (D-CA), at the very least has egg—or something worse—on his face. Sperry quotes unnamed Hill sources saying that as a result of Horowitz’s findings, which concur with those of Devin Nunes, it’s now clear that it was Nadler, not Nunes, who was misrepresenting the documents and misinforming the public. A Republican Congressional aide remarked, “Two years ago he tried to impeach the Nunes Memo, and now the inspector general has exposed that effort as an embarrassing piece of dishonesty. So why should anybody trust him now to be an honest arbiter of the facts in impeaching the President?”

House Judiciary Report Accuses Trump of Bribery and Wire Fraud, Not Included in Articles of Impeachment

Dec. 17 (EIRNS)—In the 658-page report issued late on the evening of Dec. 15, the House Judiciary Committee, explaining impeachment charges against President Donald Trump, throws in the accusation that he is also guilty of bribery and wire fraud, the latter referring to use of electronic or telephonic communication to fraudulently deprive someone of their property. Nota bene: These charges are not included in the official articles of impeachment.

The House Rules Committee today is to vote on approval of the articles of impeachment, and then they will go to the full House for debate and to be voted tomorrow.

According to the Dec. 16 Washington Examiner, the report states that Trump could face decades in prison, if he’s charged and convicted for these crimes, even though a successful impeachment would only remove him from office. The report cites specific federal laws about bribery and wire fraud, and the jail sentences that could be imposed.

The only mention in the articles of impeachment of bribery comes from a specific quote from the Constitution, which states that the “president shall be removed from Office on impeachment for, and conviction of, Treason, Bribery or other high Crimes and Misdemeanors.” Fraud isn’t mentioned at all. Nonetheless, the Democrats’ Judiciary Committee report states that “although President Trump’s actions need not rise to the level of a criminal violation to justify impeachment, his conduct here was criminal.”

George Washington University Law Professor Jonathan Turley told the Examiner that the Democrats’ dropping of the bribery, extortion, campaign financing and obstruction of justice charges from the articles of impeachment is “a curious resolution…. I testified [before the Judiciary Committee] that those crimes could not be credibly alleged on these facts to support articles of impeachment.” He added that despite Pelosi and Schiff insisting that the crime of bribery was “clear and established, the majority dropped all four articles despite testimony in favor of those articles by the three Democratic witnesses.” And, he noted, this came after telling voters that evidence of bribery was “devastating.” The House “has agreed to drop the articles, but it is still proclaiming the president to be guilty of such crimes. It is [like] avoiding a public trial while maintaining the public accusations.”

Recall that last week, when House Speaker Nancy Pelosi was asked why the bribery charge wasn’t included in the articles of impeachment, she replied “it was a group decision.”

Impeachment Investigation To Go On, and On, and On … Even if Senate Acquits Trump

Dec. 17 (EIRNS)—The coup-mongers have no intention of letting the impeachment investigation drop. Politico reports that in a filing to the D.C. Circuit Court of Appeals, House Counsel Douglas Letter argued that the House demands for grand jury material related to Special Counsel Robert Mueller’s investigation were still “urgent” because this evidence might become relevant to the expected Senate impeachment trial.

Even apart from the impeachment trial, however, Letter said the House Judiciary Committee intends to “continue its impeachment investigation arising from the Mueller probe on its own merit.” Letter asserted that the committee will continue its impeachment investigations “consistent with its own prior statements respecting their importance and purposes.”

Recall that several Democrats, chief among them Texas Rep. Al Green, have said there is no limit to how many times Trump could be impeached, even if he is reelected. As the Washington Examiner observes today, the Democrats are laying the groundwork to undermine the legitimacy of Trump’s Presidency, should he win reelection.

Take note too that sleazebag prosecutor Andrew Weissmann, who worked with Mueller, and has a long history of prosecutorial misconduct going back years, is already salivating over the possibility that the Southern District of New York may continue to pursue criminal investigations of President Trump, once he leaves office in 2025—assuming he is reelected in 2020—the Gateway Pundit reported today.

Judge Emmett Sullivan Performs to Type in Insane Attack on Flynn’s Attorney Sidney Powell

Dec. 17 (EIRNS)—In a decision issued yesterday, Judge Emmett Sullivan denied all of Gen. Michael Flynn’s pending motions for discovery of exculpatory evidence and dismissal of his case for outrageous government misconduct.

When Sullivan first encountered General Flynn directly, in December 2018 at his first sentencing date, he launched into an unhinged rant accusing the General of “treason” and “selling your country out,” despite the fact that the plea before him was a simple 1001 false statement charge, with the government itself recommending no jail time. Flynn’s new attorney Sidney Powell had attempted over and over again to remind Judge Sullivan about the case for which he is rightly famous, overturning the 2008 conviction of Alaska Sen. Ted Stevens based on outrageous government misconduct. In a 92-page ruling, Judge Sullivan denied all of Flynn’s requests for exculpatory materials and directly attacked Powell, claiming that she plagiarized parts of the brief she submitted. Referring to Flynn as “Mr.” rather than “General,” Sullivan shot back that this was “not the case of U.S. v. Ted Stevens” and his Memorandum Decision brief fairly dripped with contempt for both General Flynn and his lawyer.

He set a Jan. 28 sentencing date for Flynn. It is clear that Judge Sullivan has a deep case of Trump Derangement Syndrome and that the disease is fairly epidemic with judges who have an allegiance to Barack Obama, not just in the heavily infected Washington, D.C. District Court, but also throughout the country. Only a thorough defeat of the impeachment insanity and those afflicted by it, including in the 2020 elections and a complete draining of the swamp will restore any semblance of justice in this country.

COLLAPSING WESTERN FINANCIAL SYSTEM

Southern Italian Bank Put into Receivership, in Crisis Test for Glass-Steagall

Dec. 17 (EIRNS)—The Banca Popolare di Bari (BPB), a local bank in Southern Italy, was put in receivership by the central bank and de facto nationalized after becoming insolvent. The government bailed out the BPB with a direct injection of €900 million, plus a takeover through the government-controlled Mediocredito Centrale. The privately owned Interbanking Deposit Insurance Fund filled in with a quota.

The Conte government declared they are going to make the nationalized BPB a “Bank for Investments” in Italy’s Mezzogiorno. What this is going to look like is a big question, given the government bias for fascist “climate protection” policies.

The BPB is the main financial institution in the Apulia region, whose major city Taranto is hit by the ILVA steel crisis and by the general economic depression of Southern Italy. Part of the BPB problems arose when the Bank of Italy ordered it to bail out another regional bank, the Cassa di Risparmio di Teramo (Tercas). Bank of Italy is accused of turning its eyes from BPB’s troubles.

BPB has deposits for €2 billion. Many retail customers were sold BPB shares with the assurance that it was a “low risk” investment. Those customers, including the elderly, have now lost their savings.

Nobody from either the government or the opposition has so far raised the necessary issue of Glass-Steagall bank separation.

Goldman Sachs Demands Governments Help Banksters Make Money in Green Investments

Dec. 17 (EIRNS)—Goldman Sachs announced a plan to divest from the hydrocarbons-connected economy and invest $750 billion in so-called “climate transition” in the next 10 years—provided that governments help with subsidies.

In a Dec. 15 article published in the City of London’s Financial Times, Goldman Sachs CEO David Solomon made no mystery that “climate transition” offers chances to himself and fellow banksters for “powerful business.”

“The evidence of climate change is clear. And, people in both developed and developing countries are questioning the ability of their economies to reward their hard work. There is not only an urgent need to act, but also a powerful business and investing case to do so. That gives me hope for what we can achieve and conviction that financial institutions can play a critical role. Over the next 10 years, Goldman Sachs will target $750 billion of financing, investing and advisory activity to nine areas that focus on climate transition and inclusive growth.

“To give us the best chance of combating climate change”—that is, to blow hot air into a new financial bubble—“governments must put a price on the cost of carbon, whether through a capand trade system, a carbon tax or other means. The resulting incentives will channel capital to low carbon solutions and drive innovation,” Solomon wrote in FT’s new Opinion section for “Social and Environmental Impact Investment.”

Goldman Sachs has also decided to stop future financing of oil drilling or exploration in the Arctic and said it would not invest in new thermal coal mines anywhere in the world, according to the Guardian.

Chile’s President Piñera Sinking Fast as He Clings to Pinochet Economic Model

Dec. 17 (EIRNS)—The latest polls show Chile’s millionaire President Sebastian Piñera sinking rapidly, now with only a 13% approval rating. Although protests that rocked the country a few weeks ago have diminished in size, there is no change in popular anger and demand for real, substantive change; that is, the elimination of the free-market, “Chicago Boys” model imposed by dictator Augusto Pinochet in the mid-1970s.

Piñera boasts he has been diligent in meeting protesters’ demands for higher pensions, wages, etc. But in his most recent press conference, he warned that no one should think that the two months of protests will result in a change in the economic model, the daily El Mostrador reported. Those proposing such a change favor the Venezuelan model (he means “socialism”), he said, where human rights are trampled on daily. He asserted there is foreign intervention behind violent protests—Venezuela named as the culprit—citing as his authoritative sources on the matter, the corrupt Secretary-General Luis Almagro of the Organization of American States, and the U.S. State Department.

Several human rights organizations have attacked Piñera for not restraining the police (carabineros) from committing grave human rights violations against protesters. But the recent one by the UN’s High Commission on Human Rights, led by former Chilean President Michelle Bachelet, is particularly harsh against the carabineros, documenting “the excessive and unnecessary use of force resulting in arbitrary loss of life, injuries, torture and abuse, sexual assault and arbitrary detentions.” There are now 17,000 people under arrest.

The report charges that carabineros made no distinction between violent and peaceful protesters, attacking all with equal ferocity. It pointed out the carabineros’ common practice of targetting protesters’ eyes, resulting in an “epidemic” of citizens who have lost sight in one eye or were completely blinded.

Defensively, Piñera admitted to “mistakes” and asked forgiveness, but staunchly defended the head of the carabineros, Gen. Mario Rozas, insisting he’d done everything “humanly possible” to avoid human rights violations.

THE NEW GLOBAL ECONOMIC ORDER

Russia and Syria Collaborate on Economic Reconstruction, Discuss ‘Big Projects’

Dec. 17 (EIRNS)—Russia’s Deputy Foreign Minister Yuri Borisov was in Syria today meeting with President Bashar al-Assad and his cabinet to discuss bilateral economic and trade cooperation, focussed on rebuilding Syria’s economy, the official SANA news agency reported.

Reviewing implementation of agreements the two nations have signed, the parties placed special attention on prospects for future cooperation and specifically on the types of projects required to promote economic recovery. Top priorities include energy, infrastructure and attracting new investment in industrial projects, SANA elaborated. President Assad expressed satisfaction with the way economic cooperation is proceeding, enhancing the two nations’ strategic partnership. This will be discussed in greater detail at the next meeting of the Syria-Russia Joint Committee, scheduled for the end of this year.

Borisov issued a statement prior to his departure from Damascus, indicating “we have discussed with President al-Assad a number of important issues, particularly, the big projects that take place in the service of rebuilding the Syrian economy—infrastructure projects, of airports, border crossings and roads.” Particularly important was discussion of plans for Russian investment in expanding the Tartus port, in the amount of $500 million, Borisov said. Another project involves modernizing the fertilizer factor in Homs, with investment from another Russian company.

While U.S. and European sanctions on Syria are obstacles to its development, Borisov said, he emphasized that there are tangible results visible and improvements in economic reconstruction. He vowed that Russia will continue to help improve the Syrian situation, offering its support and assistance, and stating that he also talks to other Arab states on how they can contribute to Syria’s economic reconstruction.

SCIENCE AND INFRASTRUCTURE

General Fusion Inc. Raises Enough Funds To Move toward a Fusion Demonstration Plant

Dec. 17 (EIRNS)—Canadian-based General Fusion Inc. which is supported by Amazon mogul Jeff Bezos, announced in a press release on Dec. 16 that US$65 million in new financing, led by global investment company, Singapore-based Temasek, along with C$50 million from the Canadian government’s Strategic Innovation Fund, will allow it to take the next steps in its fusion project. All told, since its founding in 2002, General Fusion has attracted more than US$200 million in funding.

The press release explains that “the prototype facility is intended to confirm the performance of General Fusion’s magnetized target fusion technology in a power plant relevant environment.”

The General Fusion approach to creating fusion is described as a “magnetized target fusion technology.” It uses a sphere filled with molten lead-lithium that is pumped to form a vortex. A pulse of magnetically confined plasma fuel is then injected into the vortex. Around the sphere, an array of pistons drive a pressure wave into the center of the sphere, compressing the plasma to fusion conditions. This process is then repeated, while the heat from the reaction is captured in the liquid metal and used to generate electricity via a steam turbine.

The General Fusion approach is a seemingly odd combination of the most advanced scientific concepts and the use of “practical, existing technology,” as in the 19th-century “steam-powered pistons” to compress the plasma to fusion conditions. “Not requiring the exotic lasers or giant magnets found in other fusion approaches, steam pistons can be practically implemented in a commercial power plant,” the company offers as a selling point. The electricity, it states, is produced by steam turbines, also a 19th-century technology.

STRATEGIC WAR DANGER

Xi Jinping, Li Keqiang Praise with Hong Kong Executive Carrie Lam for Handling Tough Situation

Dec. 17 (EIRNS)—Carrie Lam, Chief Executive of Hong Kong’s Special Administrative Region (SAR), met yesterday with Chinese President Xi Jinping and Premier Li Keqiang, to give them a status report on the situation in Hong Kong and discuss prospects for the future.

According to the semi-official Global Times, Xi reaffirmed China’s determination to implement the “One Country, Two Systems” principle and to also oppose any foreign intervention in Hong Kong’s—China’s—internal affairs. Beijing, Xi stated, has “unswerving determination to safeguard China’s sovereignty, security and development interests.”

He said Lam deserves praise for sticking with the “One Country, Two Systems” principle, and displaying both courage and a sense of mission in a very difficult situation. “You have scrupulously fulfilled your duties and done a great deal of hard work,” Xi told her, emphasizing that this past year has been the most challenging and complicated year for HKSAR since its return to China in 1997. He vowed that Beijing will offer continued support for the HKSAR governing “in accordance with the law, firmly support the Hong Kong police in strictly enforcing the law, firmly support all people who love China and Hong Kong.”

In his meeting with Lam, Premier Li Keqiang observed that Hong Kong society has been damaged in many areas and the economy is showing signs of recession. He praised Lam for facing difficult challenges but emphasized that continued efforts must be made to end the violence and chaos and restore order. There should be accelerated efforts, he said, to investigate a series of deep-rooted problems in the region’s social and economic development, China Daily reported.

In her own press conference, Lam said she was encouraged by the central government’s recognition of her efforts, and stressed that ending violence remains her top priority. Through an independent review committee, she said, the HKSAR government will investigate the causes of social unrest and seek solutions. She announced there will be continuous financial resources extended to local businesses and residents during this difficult time.

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