Battling the banks to save public power

WRITING ON THE WALL by Representative Dennis Kucinich


Once they were as gods, but the deities of the American banking system are now in ruins, plunged from their 

Rep. Dennis Kucinich

pedestals into the maw of taxpayer largesse. Congress voted to give the banks $700 billion, lifting them temporarily out of their sepulcher of debt, while revealing a deep truth about the condition of America’s financial powers:

They never had the money they said they had as they constructed their debt-based monetary system, which now lies in ruins. Their decisions on behalf of depositors, shareholders and investors were lacking in basic integrity and common sense. Green gods bailing out with their golden parachutes. There was a time when their power was real. Come with me to Cleveland 30 years ago today.

Dec. 15, 1978, Cleveland, Ohio
I awoke to find a curt payment demand that was dropped on my front step by a grandfatherly man who supplemented his Social Security delivering the morning newspaper. The headline plastered across the front page:

Cleveland Trust: Pay Up. Bank would relent if Muny Light were sold, Forbes believes.

One of America’s largest banks, Cleveland Trust, led local banks in demanding immediate payment from the city by midnight, Dec. 15, of $14.5 million in short-term loans.

I regarded the headline skeptically. Having lived in 21 different places by the time I was 17, including a couple of cars, I had come to an encyclopedic knowledge of dun letters, sent to my parents by battalions of bill collectors seeking immediate payment for televisions, cars and a variety of household appliances that never seemed to work. I first came to regard these credit alarms with trepidation, later with impassiveness, with the expectation that as our family grew to two adults and seven children it would soon be on the move again, incurring new delinquencies with each new address. Lack of access to money, housing and credit seemed to be a permanent condition.

Now, having fought through a thicket of consequence to become America’s youngest mayor, elected on a promise to stop the privatization of the city’s electric system, I was faced with paying off loans taken out by the previous mayor, for the financing of municipal projects of dubious value.

The banks refused to extend terms of payment and connived with City Council members to block alternative payment plans, such as the sale of city land or tax revenues. The banks knew the city couldn’t otherwise pay. They demanded instead the sale of the city’s electric system, Muny Light, to an investor-owned electric company, the Cleveland Electric Illuminating Co. (CEI). The president of the Cleveland Council, George Forbes, had met with the head of Cleveland Trust bank, who insisted on the sale of Muny Light as a precondition for extending the city credit. This was a case of the bank blackmailing the city, pure and simple.

The alternative to accepting the bank’s blackmail was default. Cleveland could become the first city since the Depression to default on its financial obligations. Cities rely on credit for everyday operations and for meeting long-term financial obligations, such as infrastructure improvements. If banks called in their loans, the city would head toward dire straits. No one knew that better than the law firm of Squire Sanders and Dempsey, which had served as bond counsel for the city of Cleveland while the city entered fiscal peril and was simultaneously, though not coincidentally, the principal law firm for the Cleveland Electric Illuminating Co. Through Squire Sanders and Dempsey, CEI had access to the intricacies of the city of Cleveland’s financial records.

Under the previous administration, the city began using bond funds for general operating purposes. As mayor, I inherited $40 million worth of debt that had to be refinanced before the end of my first year in office. Under my predecessor, the city had illegally spent money it did not have, and yet it had the key to every bank in town and the confidence of the bond rating houses, at precisely the same time it was preparing for the sale of the municipal electric system to CEI.

Cleveland Trust and another bank demanding the sale of Muny Light, National City, were principal stock owners in CEI. Several members of CEI’s board sat on the boards of local banks as interlocking directorates. There was a myriad of bank-utility business relations. Cleveland Trust bank, which handled CEI’s demand deposits, pension funds and other assets, would directly profit from the sale of Muny Light. In a way, the banks were the private utility. With the sale, CEI would have an electricity monopoly in Cleveland and would be able to name its price for electricity and get it. Everyone in the Muny Light territory would receive at least a 20 percent rate increase as the rates would be raised to CEI’s levels.

The city was self-sufficient with Muny Light for many years. Muny provided power to 46,000 homes with low electric rates, which contributed to the economic growth of the city. That was until the late 1960s and early ‘70s, when a series of suspicious mechanical failures and power outages diminished the system’s reliability. At that time, under heavy lobbying from CEI, the Cleveland City Council delayed the passage of legislation for $9.8 million in repairs to Muny Light’s generators, thereby forcing the city to purchase power at a premium from its competitor, CEI. The city became increasingly dependent on an interconnection between CEI and Muny Light, a high-voltage line over which power could be transferred from CEI to the city, to ensure reliability. The city’s power system began to experience more unexplained power failures. CEI began to make public overtures to purchase Muny Light. The sale of Muny Light to CEI was soon supported by most of Cleveland’s media, business, political and labor interests.

In November 1976, the City Council passed legislation authorizing the sale of Muny Light for a fraction of its value. I was clerk of Cleveland’s Municipal Court at the time and I objected to the sale. I was advised that there was no way to stop the sale, but I saw it differently. Cleveland had a long history of municipal power. I could sense a terrible injustice was being visited upon the people of the city by its leading institutions, which were conspiring to deprive the city of its public power system.

I organized a petition drive that attracted support from city neighborhoods served by Muny Light. A full civic campaign was born with an intense effort made under brutal weather conditions to gather the signatures necessary to put the issue on the ballot. There was much at stake besides the monetary value of the system: The people’s right to own an electric system. And the historic position of Muny Light, one of America’s first municipal electric utilities, founded 70 years earlier by Cleveland mayor Tom Johnson. Muny Light provided electricity to about one-third of the homes and businesses in the city at a peak savings of 20-30 percent over the rates charged by CEI. Additionally, Muny Light provided millions of dollars annually in savings to taxpayers by serving 76 city facilities. It also provided Cleveland’s street lighting. High electric rates and higher taxes would follow if Muny were sold. The private sector was forcing the sale for its own profit at the expense of the community.

On January 4, 1977, the Atomic Safety and Licensing Board (ASLB), in an antitrust review required of any company applying to operate a nuclear power plant, ruled that CEI had conspired to put Muny Light out of business. CEI tried to force Muny Light into price-fixing and blocked Muny expansion, stopped the installation of Muny Light pollution-abatement equipment and forced the city to buy power it didn’t need. In addition, the ASLB uncovered a CEI budget planning report for 1971 that spoke of a five-year plan “to reduce and ultimately eliminate” Muny Light.

The ASLB determined that CEI deliberately caused a Christmas season blackout on the Muny Light system and sent salesmen into Muny Light territory offering “reliable CEI service.” The private utility illegally tripled the cost of purchased power, thereby driving up Muny Light’s operating costs. CEI illegally blocked Muny Light’s access to power from other companies, all in violation of federal antitrust law. As a condition of receiving its license to operate a nuclear power plant, CEI had to provide Muny Light with access to cheap power. Documents showed that CEI executives believed the purchase of Muny Light would increase CEI’s earnings by $2.732 a share, eliminate a competitive threat, and push the company’s growth rate to 10 percent, further enhancing investment.

Documents in the case also demonstrated CEI’s successful attempts to subvert media editorial policy through cunning use of the company’s large advertising budget. Over the years, several local reporters lost their jobs after writing reports unfavorable to CEI, and CEI bragged internally about placing verbatim company-written propaganda as general media editorial content.

Confronted with the federal finding that bolstered a previously filed $330 million antitrust damage suit, the Cleveland city administration’s response was incredible: “Now CEI has to buy Muny Light!”

At the same time the campaign to sell Muny Light accelerated, a high-powered rifle shot ripped through my house, just missing my head.

A cavalcade of media editorials commenced favoring the transfer of Muny Light to CEI. During an ensuing legal battle over the validity of the referendum petitions, I became a candidate for mayor. I promised that if elected I would save the system. I won the election. My first act in office was to cancel the sale of Muny Light. I next had to pay off a $14 million CEI electricity bill that the previous administration owed and wanted to satisfy through the sale of the light system.

I had been in the mayor’s office barely a year, facing a municipal horror story of huge snow storms, massive water main breaks and a police strike. I had cut city spending by 10 percent through eliminating corrupt contracts, payroll padding and attritional cutbacks. Through the year, I struggled with a recall attempt for firing a police chief. The recall was backed by banks, utility and real estate interests with a last minute appeal printed by the Plain Dealer to sell Muny Light. Credit rating agencies, which had looked the other way while CEI was attempting to gain Muny Light in the previous administration, downgraded the city’s finances.

Another Muny Light-related attempted assassination was averted when I was rushed to a hospital vomiting blood from a profusely bleeding ulcer. Some years later, a congressional investigation produced information from an undercover agent of the Maryland State Police that the assassination attempt was to occur while I was the grand marshal in a local parade. A local television investigative report claimed the assassin’s services were purchased because I refused to sell the electric system.

One month later, I was back at work trying to find a way to save Muny Light. The utility’s financial difficulties, though contrived largely through interference with the system by CEI, were depicted as so overwhelming that only the sale of the electric system itself would save the city from financial catastrophe. I held several meetings with bank officials and it became clear we were heading for trouble on the question of refinancing. The banks were going to try to force me to sell the electric system. I went public with a plea for an income tax increase to protect the city’s solvency.

On December 15, I made a last-minute appeal to Cleveland Trust. It was eight o’clock in the morning. I met with Brock Weir, the chairman of Cleveland Trust, council president Forbes and our host, a local businessman. I had the intention of protecting Muny Light and avoiding a default.

“There’s just one thing you’ve got to do,” said the council president, who strongly favored the sale.

Weir, the bank CEO with the stern visage: “If you sell Muny Light, we’ll roll over the notes. I can get you $50 million in new financing. We’d get other banks to participate.” It was a bribe.

My thoughts went to the street just outside the boardroom. Some 20 years earlier, a few blocks from where this meeting was taking place, I slept with my brothers and sister and parents in a car, homeless. I remembered an apartment where my parents sat underneath the pale yellow light of a kitchen wall lamp, counting their pennies on an old porcelain-topped table. The pennies dropped, click, click, click. Pennies to pay the utility bills.

It matters how much people pay for electricity. It matters if the public owns its own system and has political and financial control over rates. I could hear the pennies dropping, click, click, click, as Mr. Weir insisted on the sale of Muny Light. I remembered my family and the struggles of people like them. I couldn’t do it. I couldn’t sell. Not for $50 million, not for anything.

“I’m not going to sell, even if it means my career,” I said, as council president Forbes looked on in surprise.

“Why do you want to end your career? Sell the system. Get rid of it!” he said.

“Is there some other way we can work this out?” I asked Brock Weir.

He shook his head “No.”

Throughout that day, every media outlet in Cleveland echoed the sentiment of Cleveland Trust’s chairman, including the morning newspaper headline, with such depth of coverage and intensity that it seemed the city itself would crumble unless I agreed to the sale, which also included a provision dropping the $330 million antitrust damage suit.

The objective condition of the city’s finances received no honest review. The sale of Muny Light was depicted as the only way the city could avoid fiscal disaster. The majority leader of the City Council held a news conference live on the six o’clock news. He declared that if I sold Muny Light, “the chairman of the Cleveland Trust bank has informed the council that his bank will purchase $50 million worth of city bonds. So, in effect, we have a plan sitting on the mayor’s desk that will absolutely end the city’s financial problems, if he will put his signature on it.”

The $50 million bribe had been brought out into the open in a manner that now suggested it was a legitimate offer, a fake solution to a fake crisis. I refused to sell.

As Cleveland television stations covered the event live, with a countdown clock that looked like a twisted version of New Year’s Eve, midnight struck. Television networks of several countries recorded the grim event: The city of Cleveland became the first American city to go into default since the Great Depression. The default was over just $14.5 million dollars in credit.

When I called for a congressional investigation a few days later, Cleveland Trust denied it wanted Muny Light, CEI denied it wanted Muny Light, the council president denied the chairman of Cleveland Trust wanted Muny Light, and the majority leader said he was mistaken when he said live on the six o’clock news that the bank chairman offered $50 million in credit for Muny Light. Muny Light was no longer the issue. It was the mayor and his obstinacy that caused the crisis. So went the waltz into a netherworld devoid of truth, justice, reality or morality.

Though the people of Cleveland supported keeping Muny Light by a margin of two to one in a referendum a few months later, and passed an income tax increase by the same margin in order for the city to pay off the defaulted bond anticipation notes, the state of Ohio intervened and put the city into fiscal receivership. I lost the mayor’s race in 1979. The banks renegotiated the defaulted notes, at a profit. The city lost its antitrust suit against CEI in 1981, in a hung jury. An appeal failed.

I was out of major public office for almost 15 years until, in 1993, Cleveland announced an expansion of Muny Light (now called Cleveland Public Power). At that time, the City Council and others decided that I had made the right decision in refusing to sell Muny Light. The city and its residents had saved hundreds of millions of dollars through Muny Light’s reduced electric rates and the savings the taxpayers enjoyed from Muny’s lower-cost power for street lighting and city buildings.

I attempted another political comeback and this time succeeded, getting elected to the state Senate with the motto: “Because he was right.” My campaign literature showed a radiant light bulb behind my name. Two years later, I was elected to Congress, with the slogan “Light up Congress.” Today I am the chairman of the House Government Oversight Domestic Policy Subcommittee, which has broad jurisdiction over most government departments and agencies, including the Nuclear Regulatory Commission, and electric utility matters generally.

The Cleveland Electric Illuminating Co. is now a subsidiary of First Energy Co., which was fined by the NRC for various safety violations and, a few years ago, was found to have primary responsibility for the 2003 blackout that left 50 million people throughout the northeastern United States without electricity.

Cleveland Trust no longer exists. No other bank involved in the default survives, except for National City, which faces extinction through shareholder approval of a takeover by PNC bank. I have spent much time trying to save National City.

One newspaper, the Cleveland Press, which advocated that CEI be Cleveland’s sole electricity provider, ceased publication. The other strong proponent of the sale of Muny Light, the Plain Dealer, struggles to survive.

The city’s electric system endures and this past year celebrated its 100th anniversary.

Another US nail in the coffin of international law

by Robert Dreyfuss

A parallel new Bush doctrine is emerging, in the last days of the soon-to-be ancien régime, and it needs to be strangled in its crib. Like the original Bush doctrine – the one that Sarah Palin couldn’t name, which called for preventive military action against emerging threats – this one also casts international law aside by insisting that the United States has an inherent right to cross international borders in “hot pursuit” of anyone it doesn’t like.

They’re already applying it to Pakistan, and this week Syria was the target. Is Iran next?

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Let’s take Pakistan first. Though a nominal ally, Pakistan has been the subject of at least nineteen aerial attacks by CIA-controlled drone aircraft, killing scores of Pakistanis and some Afghans in tribal areas controlled by pro-Taliban forces. The New York Times listed, and mapped, all nineteen such attacks in a recent piece describing Predator attacks across the Afghan border, all since August. The Times notes that inside the government, the U.S. Special Operations command and other advocates are pushing for a more aggressive use of such units, including efforts to kidnap and interrogate suspected Taliban and Al Qaeda leaders. Though President Bush signed an order in July allowing U.S. commando teams to move into Pakistan itself, with or without Islamabad’s permission, such raids have occurred only once, on September 3.

The U.S. raid into Syria on October 26 similarly trampled on Syria’s sovereignty without so much as a fare-thee-well. Though the Pentagon initially denied that the raid involved helicopters and on-the-ground commando presence, that’s exactly what happened. The attack reportedly killed Badran Turki Hishan al-Mazidih, an Iraqi facilitator who smuggled foreign fighters into Iraq through Syria. The Washington Post was ecstatic, writing in an editorial:

“If Sunday’s raid, which targeted a senior al-Qaeda operative, serves only to put Mr. Assad on notice that the United States, too, is no longer prepared to respect the sovereignty of a criminal regime, it will have been worthwhile.”

Is it really that easy? To say: We declare your regime criminal, and so we will attack you anytime we care to? In its news report of the attack into Syria, the Post suggests, in a report by Ann Scott Tyson and Ellen Knickmeyer, that the attack is raising cross-border hot pursuit to the level of a doctrine:

“The military’s argument is that you can only claim sovereignty if you enforce it,” said Anthony Cordesman, a military analyst at the Center for Strategic and International Studies. “When you are dealing with states that do not maintain their sovereignty and become a de facto sanctuary, the only way you have to deal with them is this kind of operation.”

The New York Times broadens the possible targets from Pakistan and Syria to Iran, writing (in a page one story by Eric Schmitt and Thom Shanker): “Administration officials declined to say whether the emerging application of self-defense could lead to strikes against camps inside Iran that have been used to train Shiite ‘special groups’ that have fought with the American military and Iraqi security forces.”

That, of course, has been a live option, especially since the start of the surge in January, 2007, when President Bush promised to strike at Iranian supply lines in Iraq and other U.S. officials, including Vice President Cheney, pressed hard to attack sites within Iran, regardless of the consequences.

On October 24, I went to hear Mike Vickers, the assistant secretary of defense for special operations and low-intensity conflict, speaking at the Washington Institute for Near East Policy (WINEP), a pro-Israeli think tank in Washington. He spoke with pride about the vast and growing presence of these commando forces within the U.S. military, noting that their budget has doubled under the Bush administration and that, by the end of the decade, their will more than 60,000 U.S. forces in this shadowy effort. Here are some excerpts of Vickers’ remarks:

“If you look at the operational core of our Special Operations Forces, and focus on the ground operators, there are some 15,000 or so of those – give or take how you count them – these range from our Army Special Forces or our Green Berets, our Rangers, our Seals, some classified units we have, and we recently added a Marine Corps Special Operations Command to this arsenal as well. In addition to adding the Marine component, each of these elements since 2006 and out to about 2012 or 2013 has been increasing their capacity as well as their capabilities, but their capacity by a third. This is the largest growth in Special Operations Force history. By the time we’re done with that, there will be some things, some gaps we need to fix undoubtedly, but we will have the elements in place for what we believe is the Special Operations component of the global war on terrorism.

“There’s been a very significant – about a 40 or 50 percent – increase in operational tempo, and of course more intense in terms of the action since the 9/11 attacks. On any given day that we wake up, our Special Operations Forces are in some sixty countries around the world. But more than 80 percent or so of those right now are concentrated in the greater Middle East or the United States Central Command area of responsibility – the bulk of those of course in Iraq and Afghanistan.”

Notice what he said: operating in 60 countries. The very invasion of Iraq was illegal in 2003, and it flouted international law. So some may say these cross-border raids are small potatoes. But they’re not. This is a big deal. If it becomes a standard part of U.S. military doctrine that any country can be declared “criminal” and thus lose its sovereignty, then there is no such thing as international law anymore.

And what of Defense Secretary Robert Gates? As quoted in the Washington Post article cited earlier: “Gates said that he was not an expert in international law but that he assumed the State Department had consulted such laws before the U.S. military was granted authority to make such strikes.”

Not an expert in international law? He’ll leave it to the State Department? And this is the guy that Barack Obama’s advisers say ought to stay on at the Pentagon under an Obama administration?

Robert Dreyfuss is a contributing editor of The Nation magazine, and the author of Devil’s Game: How the United States Helped Unleash Fundamentalist Islam (Metropolitan).

Give me some truth

by Joseph Roberts

I’m sick and tired of hearing things

From uptight, short-sighted, narrow-minded hypocrites

All I want is the truth

Just gimme some truth

I’ve had enough of reading things

By neurotic, psychotic, pig-headed politicians

All I want is the truth

Just gimme some truth.

– from Gimme Some Truth by John Lennon

I am not happy with this federal election and the way it is being reported. Unimportant, nauseating details are cited while important matters – the politicians’ essential character, whether or not they are telling the truth and what they really stand for – get little coverage. These politicians are asking us to trust them with our vote and the power to govern Canada, so, yes, it is important that we know who they are so we can judge for ourselves whether or not they are worthy.

Many party leaders have made themselves available to share who they are as people and politicians. We had the good fortune to interview Stéphane Dion, leader of the Liberal Party of Canada, for Common Ground’s May 2008 edition. We also gladly published an interview with Jack Layton, leader of the New Democratic Party (NDP) in our June edition. We wanted our readers to have a chance to hear from these politicians directly about who they are and what they stand for. (Read their candid interviews on our website at Click on “Archive” at the top of our homepage, then click on the monthly edition and follow to the interviews.)

We had hoped to interview all the leaders of a Canadian political party prior to October 19, 2009, our official election day as prescribed in the Canada Elections Act, passed by the current government through Bill C-16, which had its first reading on May 30, 2006. Instead, we are now heading to the polls on October 14, 2008, a full year earlier.

There would have been ample time to interview Elizabeth May, leader of the national Green Party, Bloc Quebecois’ Gilles Duceppe BQ, and, of course, Stephen Harper, leader of the Conservative Party of Canada (CPC). Only one of the aforementioned refused to be interviewed. After a number of emails and phone calls, we were still denied the opportunity to interview Mr. Harper. We would have settled for a candid interview with a next in command, such as David Emerson, who was voted in as Liberal MP, but jumped over to the CPC before parliament even had a chance to sit. Emerson decided not to run again for MP and instead settled for co-directing the CPC campaign across Canada.

The voters here in the riding of Vancouver / Kingsway, where our office is located, still feel ripped off by his disregard for their votes and his refusal to stand in a by-election as a Conservative in order to honour the wishes of the people. We would have appreciated the opportunity to ask him a few questions, but it seems Conservative MPs are trained to not talk to media unless they are reading from the party script – coverage you can readily get from mainstream media. So with the snap election called, we ran out of months to interview those remaining leaders who were willing to go public inCommon Ground. My apologies to those leaders we would have interviewed. We believed the official election date would have been honoured, in which case each of you would have had your month to let our one-quarter million readers know who you as a person, why you got into politics and what your vision is for Canada.

As a replacement for an interview with Prime Minister Stephen Harper or his next in command, please find below portions of a speech by the Honourable Danny Williams, Premier of Newfoundland and Labrador. Premier Williams spoke his mind about Stephen Harper at the St. John’s Board of Trade on September 10, 2008.

“While I am on the topic of our federal government, allow me a few words on the federal election and the very dire consequences that could face us should Stephen Harper and his right-wing Conservative-Reform Party form a majority government in the coming weeks.

First, let me remind you that Stephen Harper as Opposition Leader, together with the Conservative Newfoundland and Labrador MPs, voted against the Government Bill that gave us the two billion dollar Atlantic Accord cheque. ‘Trust us; we know what we’re doing,’ they said at the time. Thank goodness we didn’t take them at their word back then. On top of that, we now have the 10 billion dollar broken promise on the removal of non-renewable resource revenue from the equalization formula. This promise was made in the past two elections in writing, in their campaign platform and in subsequent letters. And let’s face it folks – regardless of our recent financial well-being, that 10 billion dollars would have made a huge difference to the bottom line of our province.

But now, all of a sudden, because we have finally achieved some self-sufficiency, we should forget the promise. Or so say Conservative candidates. After all, God forbid Newfoundland and Labrador get what is rightfully theirs as partners in Canada. We have put up with that attitude in this province for 55 years and look where that has gotten us in the past.

Stephen Harper’s own campaign literature proclaimed, ‘There is no greater fraud than a promise not kept.’ He used these words as he successfully attempted to woo voters from this province to not vote for the opposing party.

Naively, we trusted him. He rewarded that trust with a broken promise. According to his own brochure – he is a fraud.

I think you all know my views on this issue and I firmly believe that Newfoundlanders and Labradorians at home and abroad still feel the same cold, sharp sting of betrayal at the hands of our country’s leader.

Other commitments were also made by Stephen Harper that were not kept – 5-Wing Goose Bay; custodial management; a Lower Churchill guarantee and numerous others.

We all know that these promises are sadly not worth the paper they were written on and the bond of his word is meaningless.

The raising of rates at Marine Atlantic in times of high gas prices, poor service and inaction on badly needed vessels is another example of their attitude to isolate the island, which creates more economic hardship on small rural businesses.

If Harper is prepared to slash program spending with large surpluses and break his written word as the leader of a minority government, the future for Newfoundlanders and Labradorians, and indeed all Canadians, will be very bleak under a Conservative majority.

Do not let Stephen Harper turn your focus onto a green shift in his attempt to turn your focus away from the Conservative’s blue shaft.

His list of broken and unfulfilled promises portrays a lack of integrity in his character and shows us he cannot be trusted.

This is a federal government willing to not only break their own promises, but they go so far as to break their own laws and call an election even though they mandated fixed election dates.

There is nothing Harper will not do to win a majority government.

This is a party who purportedly offered a terminally ill MP a life insurance policy to get his vote. How low can you go?

This is a man who wants an election before losing by-elections that were to have taken place this month.

A man who wants an election before the economy declines any further due to fiscal mismanagement.

He wants an election before findings are released on various ethical breaches against his government.

It is so critically important that the people of Newfoundland and Labrador let Stephen Harper know that his treatment, his attitude, his indifference to this province is not acceptable.

When I met with him to offer a compromise, he told me face-to-face that he does not need the people of this province to win an election. So, let’s let him know that we don’t need him either.

His own candidates and MPs admit that the promise was broken, but we should forgive and forget. Well folks, forgiveness may be a virtue; but forgetting is just plain foolhardy.

In the very words of Stephen Harper’s own candidate in St. John’s East just a year ago, ‘Given his handling of equalization, who can trust the Prime Minister anyway?’

Here in Newfoundland and Labrador, we need to ask ourselves is it ok for the man occupying the highest office in our country to treat a province in this federation with such distain?

We should show him we don’t put up with that in Newfoundland and Labrador anymore.

Vote anything but conservative.

Even his own candidates say they don't trust him. So why should you?

How does it make us feel when the Prime Minister of Canada invites backbencher Newfoundland and Labrador MP Fabian Manning into the front bench in the House of Commons to smile and laugh along with him, as he openly mocks this province upon delivering the best budget in its history?

It was a betrayal that was felt deeply across this province as another MP put Ottawa ahead of province.

Stephen Harper’s ideology has been cleverly hidden and implemented quietly as much as possible in the past four years.

And the only reason we have not seen his full plan for Canada implemented is because he had a minority government to keep him in check.

I can only say this, and I say it with all sincerity and genuine concern for our great country: A majority government for Stephen Harper would be one of the most negative political events in Canadian history.

Even without a majority, he has cut funding for minorities.

Cut funding for literacy.

Cut funding to students.

To volunteers.

To museums.

To arts and culture groups right across the country.

His government cut funding to women’s groups.

In fact, his government actually went so far as to remove the federal mandate to advance equality for women.

This all happened under a minority government. What in heaven’s name will happen if he gets his majority government?

And make no mistake – you won’t hear Stephen Harper admit he may win a majority government because he is terrified that people might stop and actually start to think about the consequences.

Well, I beg you all today. Stop. Think. And decide if that is what this country deserves?

When we vote, I would rather that we stand on the solid ground of principles than on the shaky ground of broken promises.

If you believe the country deserves better, you know what to do. It is as easy as ABC.”

(For more information, visit

Abandoned voters in David Emerson’s riding have followed suit and launched the West Coast version of Anything But Conservative (ABC).

It has been difficult for me to write this month’s editorial. The incessant, fear-inciting crap on TV, and in other sources of mass media, has a corrosive effect and as much as I might wish, I am not immune to the toxicity of this onslaught of propaganda. But I had to pay attention and respond to these issues. As Edmund Burke said, “All that is necessary for evil to succeed is that good men do nothing.”


So what is weighing heavily on my heart? This 12-month too early, unwanted Canadian federal election, the third in four years. It is especially galling as the new Prime Minister passed Bill 16, thereby creating a fixed election date that would no longer be at the whim of an opportunistic PM. Well, parliament may have passed the law, but Stephen Harper, unable to blame the election on a NPD or Liberal non-confidence vote, decided himself that he lacked confidence in the government. He told the Governor General to dissolve parliament and called a snap election.

There are many speculations as to why Harper leaped for an election at this time. A few educated guesses follow, and we can only guess because he was unavailable for comment. 1) The polls show that the Conservatives are ahead – hey, it’s an opportunity. 2) With Barack Obama looking like a winner in the US presidential race, Stephen Harper’s pro Bush, Oil and War would be awkward for Conservatives up North. 3) Remember when the RCMP raided the CPC headquarters for inappropriate election expenses? The CPC now has its own scandal brewing as the “In/Out” election kickback scheme, which could have the same damaging effect on Conservative re-electablity as the Gomery Inquiry had for the Liberals. In the last election, Canada voted to “kick the bums out” because of what was seen as cronyism and corruption while the CPC accusers stood pure as the driven snow. Harper did not want to wait for the results of his party’s own RCMP investigation before the next election. 4) There were a number of by-elections slated for this month that may have not left the CPC in a popular light. 5) The subprime and Wall Street “bail out” / give-away / taxpayer rip-off economic crisis brewing in the USA would certainly stink up the Canadian economy and not look pretty for an election if it was held on the designated, lawful date in 2009. Harper is too greedy for power and is too afraid of what the CPC might lose to wait for the celebrated National Election Day. Except for Harper and his handlers, this is the election nobody wanted. Given the way Harper has acted as if he had a majority with the minority, we should all be concerned with what he would he do if he snatched a majority.


Going south on the bailout

I write this as the US congress staggers to comprehend the real issues behind the $700 billion protection rack, AKA bail out for Wall Street and the banks. On September 29, I was delighted to see Congress vote against the mugging of America and say no! The taxpayers ought not to be rushed into generations of debt because a former Wall Street CEO was appointed by Bush a few months back to sell their latest con to congress. The same level of thinking (and ethics) that created the problem is not the same level of thinking (or ethics) needed to create the solution. In fact, we need different people with higher morals and a dedication to the American taxpayers to figure out a real solution that helps homeowners and Main Street. They are certainly not the same people who created the chaos in the first place. The markets will correct themselves, as painful as it will be to the money trust and the bank cartel, AKA the Federal Reserve. The Fed, whose members are very big private banks joined at the hip with the federal government, makes it look like they care about taxpayers. For more background go online and read G. Edward Griffin’s A Second Look at the Federal Reserve.

Many great thinkers are writing about this cash-for-trash hustle. In his article, US taxpayers are being enrolled in an economic chain gang, posted at on September 25, Jeff Randall quotes Thomas Jefferson: “To preserve their [the people’s] independence, we must not let our rulers load us with perpetual debt. We must make our selection between economy and liberty, or profusion and servitude… Banking institutions are more dangerous to our liberties than standing armies.”

According to Randall, “having failed to deliver victory in the War on Terror, President Bush is hoping for better luck in the War on Error…Toxic rubbish will not be made to disappear by Mr. Paulson’s [Henry M. Paulson, Jr. is Secretary of the Treasury] proposals. All that will be different is ownership. It will be like removing nuclear waste from a failing business and parking it in a government building. The risk moves from private to public… Mr Paulson’s sales pitch is essentially: ‘American capitalism, I love you! But we only have 14 hours to save the Earth!’… Which brings us back to Jefferson. Two hundred years ago, he demanded: ‘The issuing power should be taken from the banks and restored to the people to whom it properly belongs.’ Twas ever thus.”

Writer Mike Whitney nails it in his article Trouble in Banktopia posted at on September 27: “The Fed’s rotating loans are just a way to perpetuate the myth that the banks aren’t flat-lining already, Bernanke [Ben Bernanke is Chairman of the Board of Governors of the US Federal Reserve] has tied strings to the various body parts and jerks them every so often to make it look like they’re alive. But the Wall Street model is broken and the bailout is pointless… The bailout has galvanized grassroots movements which have flooded congressional faxes and phone lines. Callers are overwhelmingly opposed to any bailout for banks that are buckling under their own toxic mortgaged-backed assets. One analyst said that the calls to Congress are 50 percent ‘No’ and 50 percent ‘Hell, no.’ There is virtually no popular support for the bill” (the 700 billion bailout bill)… Surely, the cure for hyperbolic credit excesses and reckless behaviour cannot be more of the same… The worthless assets must be written-down, insolvent banks must be allowed to go bust, and the crooks and criminals who engineered this financial blitz on the nation’s coffers must be held to account.”

I could not say it any better myself.

A grassroots middle America pressured their congress to do the right thing and defeat the dastardly bill. A big thank you to those who had the courage to vote against the 700 Billion Dollar Bailout hidden within the patriotic sounding Bill title: To amend the Internal Revenue code of 1986 to provide earnings assistance and tax relief to members of the uniformed services, volunteer firefighters, and Peace Corps volunteer, and for other purposes.

The vote went as follows:

Democrats: Yes: 140, No: 95, 1 NV

Republicans: Yes: 65, No: 133, 1 NV

President: no vote NV

Totals: Yes: 205, No: 228 with 2 NV

From See the website for the final vote results and how each member voted. Bush's bank bailout went back to the drawing board. After putting more lipstick on the pig, tweaking a few changes, and voting it through Senate, they then sent it back to Congress which caved in and passed the bill. Most economist say the bail out won't do much. But where does all that taxpayer's money go, likely to the same kind of people who did the S&L scam.


Access denied

On May 2, 2008, CBC News published the piece entitled Tories kill access to information database. The following has been excerpted from that report: “The federal Conservatives have quietly killed an access to information registry used by journalists, experts and the public that users say helped hold the government accountable. The Coordination of Access to Information Requests System, or CAIRS, is an electronic list of nearly every access to information request filed to federal departments and agencies.

Originally created in 1989, it was used as an internal tool to keep track of requests and co-ordinate the government’s response between agencies to potentially sensitive information released. “It was really a tool designed to make government more open,” said CBC investigative journalist David McKie. Public Works, which operates the database, spent $166,000 improving it in 2001. Federal officials in 2003 had been working on a publicly accessible online version.


Fixed elections date

Bill C-16, an Act to amend the Canada Elections Act, was introduced in the House of Commons and received first reading on May 30, 2006. The bill amends the Canada Elections Act to bring in fixed election dates at the federal level in Canada. It provides that, subject to an earlier dissolution of Parliament, a general election must be held on the third Monday in October in the fourth calendar year following polling day for the last general election, with the first general election after the bill comes into force to be held on Monday, October 19, 2009.

The issue of fixed election dates – or elections at fixed intervals – has been discussed at some length and acquired certain popularity in recent years. Fixed election dates are part of a general package of measures designed, it is argued, to make Parliament more accountable and democratic. Part of the reason that many people have embraced this issue is that it is seen as a way of counteracting the pervasive cynicism that exists towards politics and politicians.


So here’s to living in interesting times. And please do your own research and go vote. This looks like the most important election in Canada’s short history. It may decide whether or not we continue to have a country or become a toss-away colony of the Empire.

How 9/11 taught me to seek truth

by Drew Noftle

In 2005, I was living a luxurious life in Beijing, China, as the private English teacher for Yang Kaisheng, then President of the Industrial Commercial Bank of China, the largest bank in the world. I was also a corporate trainer for various multinational corporations. Like many people, I believed 9/11 was about America getting blowback from decades of exploitive foreign policy.

At that time, my roommate frequently listened to the Alex Jones Show, a nationally syndicated news/talk radio show based out of Austin, Texas. I remember often coming home to hear Jones, with his thick Texan accent, telling his listeners how he thought the world was run. To me, his ideology seemed radical and baseless until my roommate pleaded with me to sit down and watch one of his films. I said I had neither the time nor the desire to watch a full film, but that I would give him five minutes of my sincere attention. During those five minutes, he played a clip from Martial Law where I saw the collapse of 7 WTC. At first, I thought it wasn’t real. Then I thought if it was real how could I have not seen it on TV even once in the last four years? How could a building blow itself up? After six months of personal research, I still didn’t have many answers, but I had some. The answers I did find led me to join the 9/11 Truth Movement in Canada and inspired me to step onto a path of self-discovery and social awareness.

9/11 brought Canadian troops into Afghanistan and delivered Canadian material support to the war in Iraq. In fact, it is, as Stephen Harper reminded us on September 11, 2007, our sole reason for participation in the War on Terror. “And that is why the countries of the United Nations … launched their mission in Afghanistan – to deal with the source of the 9/11 terror.”

However, what Harper did not mention is that we only did so because then Secretary of State Colin Powel promised us a white paper linking Osama Bin Laden (OBL) to the attacks. That white paper never materialized.

More recently, on August 19 of this year, Minister of Public Safety Stockwell Day sent me a letter in which he stated, “The Canadian Government has no cause to believe the destruction of the World Trade Center was due to reasons other than those cited in the … 9/11 Commission Report.”

No cause to believe? How about the following?

  • Some of the alleged “suicide hijackers” are still alive and well.
  • Fire has never – either before or after 9/11 – caused a steel-framed structure to collapse, let alone at free-fall speed.
  • Squibs (explosives that cause puffs of pulverized concrete and steel), such as those you would see in a controlled demolition, were caught on tape during the collapse of all three towers.
  • In January of 2008, 9/11 Commissioners Kean and Hamilton stated, “We had no way of evaluating the credibility of detainee information…” adding they were “stonewalled by the C.I.A.”
  • To this day, the FBI does not accuse OBL of the attacks. The collapse of 7 WTC – which was not hit by an aircraft – was not even mentioned in the 9/11 Commission Report.
  • Furthermore, why was not one official or civil servant fired for their actions that day? Was no one negligent? Why were 70 percent of the victims’ family members’ questions not answered by the 9/11 Commissioners?

I, for one, no longer delve into where to place blame for the events of September 11. My reasons for participating in Canadian 9/11 Truth are no longer about putting Bush, Cheney or Osama Bin Laden in jail. Nor is it about justice for the victims. It is about seeing the world once and for all for what it really is. It is about realizing how we are lied to by our government and by corporate journalism, and how we accept those lies. It is about seeking truth in all we do, and learning the importance of educating ourselves, for ourselves.

9/11 Truth is about steering away from our more than 2,000-year-old cycle of non-stop war, and moving instead into a world based on truth, peace and tolerance. These are the truths for which I gave up my life in China and these are the truths the 9/11 Truth movement is founded upon and guides us toward.

Drew Noftle will be in Ottawa this September 11 to build support for a Canadian investigation into 9/11. He is currently working as a teacher in Yaletown. More info:

How Canada can avoid an American corporate takeover

by Drew Noftle

What do you call a country where the gap between the rich and the poor is growing beyond bounds, the principal exports are wood pulp and scrap metal, the principal imports are manufactured goods and the fastest growing industry is the construction and operation of private prisons?

According to Dr. Robert Bowman Lt. Col. (ret), the answer is a Third World country. Unfortunately for us, this Third World country is the US with its corporations unilaterally running the world, and its military spending far exceeding that of the rest of the world combined. Disturbingly, Canada is currently going down a path that will see its inevitable integration into the Bush Administration’s corporate and militaristic desires. The question is can Canada regain its own self-determined direction?

Dr. Robert Bowman has seen both sides of the argument of corporatism and militarism. He flew more than 100 combat missions over Vietnam and directed the Department of Defense’s Star Wars programs under presidents Ford and Carter. Since then, however, Dr. Bowman, who received a Ph.D. in Aeronautics and Nuclear Engineering from Caltech and ran as the Reform Party presidential candidate in 2000, has spent well over two decades in the peace movement.

Last summer, during a speech he gave in Portland, Oregon, Bowman delivered a State of the Union address at his imaginary inauguration as successor of George W. Bush for President of the United States. During this address, he cited how America is unquestionably number one. “Number one in the use of our world’s resources, number one in the production of pollution, number one in the gap between the rich and the poor, …deaths by gunfire…teen pregnancies …poverty among the elderly …citizens without health coverage…child poverty …homeless veterans …and number one in citizens behind bars. Our Canada is following suit with these prerequisites for corporate takeover.”

Bowman also talked about how his predecessor should have taken the advice of his father. In George H. W. Bush’s memoir, he writes, “Trying to eliminate Saddam would have incurred incalculable human and political costs. We would have been forced to occupy Baghdad, and, in effect, rule Iraq. There was no viable exit strategy we could see. Had we gone the invasion route, the United States could conceivably still be an occupying power in a bitterly hostile land.” In a rare show of emotion, Bowman then proclaimed, “It is too damn bad his son doesn’t read!”

Mr. Harper is also seemingly missing this fatherly advice.

On August 22, 7:30 PM, Dr. Bowman will give a lecture at the Maritime Labour Centre in Vancouver. His talk will focus on how Canada can escape American corporate takeover. Although he will be back in Vancouver in late October, be sure to catch him this time around.

In October, he will present evidence to the newly formed Canadian Citizens Jury on 9/11, where a non-partial jury will hear presentations from both the 9/11 Truth community and from official defenders of the official story to determine if the 9/11 Commission Report is a reliable and honest account of what happened that day.

If the jury decides that it is not, it may advise Canada to begin its own investigation to either justify or end our participation in Afghanistan and our material support for the Iraq war. Although the Canadian Citizens Jury will be open to the public, seating will be very limited. The location has yet to be announced.

Come out for Dr. Bowman’s talk on August 22 to see why the Los Angeles Times calls Dr. Bowman, “The best speaker in the country.” We all, Stephen Harper included, could use a little advice. For more information,

Drew Noftle helped organize the Vancouver 9/11 Truth Conference in June 2007. He is currently working as a teacher in Yaletown.