Paper Bird: Three years old and growing

Origami Wren by Roman Diaz, folded by Gilad Aharoni: from giladorigami.com

Origami Wren by Roman Diaz, folded by Gilad Aharoni: from giladorigami.com

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It’s midway through this month of fundraising for A Paper Bird. Please consider giving $5, $10, $100 — whatever you can – to keep us going strong.

If you visit this site regularly, you’ll agree: it gives a bit more than most blogs do. That’s why it’s been cited, and praised, from the New York Times to the Nation

It shines light on injustice. News about the crackdown on trans and gay people in Egypt has largely spread from here: we’ve been an indispensable source for journalists and human rights activists alike, inside and outside Egypt. We helped stoke the storm of indignation that freed 26 men in the most publicized Egyptian “debauchery” trial – an unprecedented victory.

It gives you facts behind the slogans. For analysis of why ISIS murders “gay” Iraqis, or what made Putin put Russia’s activists in his sights, or what’s the truth underlying rumors from Iran — you can turn here.

It asks the hard questions. What’s the real impact when the World Bank links preventing maternal mortality to LGBT rights? How do Western leaders’ bold promises to defend queer Africans play out on the ground? What does it mean when “vulture fund” bankers support gay marriage internationally? What are the hard choices we make in fighting for free speech?

This blog is still mainly solo work. I want it to become something bigger, more wide-ranging. Your generosity can help fund some of my own research and travel. If worse comes to worst, it can pay my legal fees in Egypt. But it can also:

  • Support some of the people who have been helping with research and translation (from Russian, Arabic, Farsi,and Hindi, and more) out of sheer dedication – but who deserve something more.
  • Help bring guest writers and new voices into the blog. The writers I’d like to see are activists from the South who don’t enjoy the cushion of time and leisure that lets Westerners opine for free. They deserve to be recognized – and reimbursed.

From now till June 5 – that’s my birthday – I’ll keep cajoling you to give a little to a site that gives you facts, scandals, sex, shocking pictures, snarky captions, stories of rights and wrongs, and ways to fight back. Press the Paypal button. Do what you can. And, as always, thanks!

Feed the bird. If you like this blog, please think about pitching in:
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Vultures over Iran: The Human Rights Campaign follows the money

vulture-9Why is the Human Rights Campaign hanging out with the friends of homophobe Gary Bauer?

Some background: HRC, the richest US gay group, has gone international. More and more of the news on its website features hard-to-pronounce foreign places: Brunei, Abuja, Alabama … And now “Iran,” syllabified by most Americans as “Satan.” Yesterday, HRC published an account of a Congressional event with which it seemingly had little to do. Two small House subcommittees held a hearing on “One Year Under Rouhani: Iran’s Abysmal Human Rights Record,” and one-quarter of the testimony dealt with LGBT rights. What’s interesting is the fine print.

The hearing itself (snippets here) was undramatic. The International Gay and Lesbian Human RIghts Commission (IGLHRC) sent its Middle East program officer to testify. Generally, when human rights organizations speak at congressional hearings, it’s because they want to advance a policy goal. In this case, though, it’s hard to define what policy goal for LGBT people’s rights in Iran could involve the US Congress, given that the US has neither sway nor leverage in Tehran. “The United States and other Western countries are in a unique position to make a difference in the future of Iran and in the surrounding region,” IGLHRC said — but they are not. (See note at end.) At least, any difference they’ve made so far has been almost uniformly for the worse. (See Iraq.) If ever there was a situation where the US government should acknowledge the primacy of internal social movements beyond its leadership or control, it’s the issue of sexual rights and state repression in Iran.

No, what’s interesting is how a writeup on this –“Congress Explores Iran’s Persecution of LGBT Community” — got onto HRC’s site, because it wasn’t written by anybody at HRC. It was “submitted” by Toby Dershowitz, vice-president of the Foundation for Defense of Democracies (FDD). HRC has a new partner organization, and thereby hangs a tale.

FDD: FIghting for wars that we will not fight in

FDD: FIghting for wars that we will not fight in

I always quote Glenn Greenwald on FDD: “basically a Who’s Who of every unhinged neocon extremist in the country.” More politely, they are a DC-based neoconservative lobbying group with special interest in the Middle East: “founded,” in their own words, “shortly after 9/11 by a group of visionary philanthropists and policymakers who understood the threat facing America, Israel and the West.” (We’ll get to the identity of those donors later.) From the beginning it drew on the High Hawkish tradition of the Reagan ascendancy, with figures like Jeane Kirkpatrick and Robert McFarlane conspicuous in its ranks; the Cold War being over, though, enemies of Israel displaced the Soviet threat in its demonology. The clearest idea of what they’re up to comes from listing some of the research interests of their fellows:

Iran, Iran – Energy, Iran – Human Rights
Iran – Energy, Pakistan, Syria, Iran – Human Rights
Iraq, Iran, Lebanon
Iran, Iran – Energy
Iran – Energy, Israel, Europe, Iran – Human Rights
United Nations, Arab Spring, Iran – Energy, Iran – Human Rights
Iran – Energy, Europe

It’s like a Symbolist poem. The main function of the Foundation these days is to drum up support for a US assault on Iran. To do this, it courts various constituencies in the American public, from energy conglomerates to women’s groups. Gays are one of them, increasingly endowed with clout; FDD adopts the language of human rights, plants op-eds. colonizes the gay press, and otherwise strives to shock and appall the homintern about the wiles of Sauron in Tehran.

Let me research your family: Gary Bauer

Let me research your family: Gary Bauer

This is not without complications. I first noticed FDD when one of its fellows, Ben Weinthal, published a bizarre piece in New York’s Gay City News three years ago, accusing Iran of an ongoing “anti-gay genocide.” When I paid a visit to FDD’s web page, I found that on their staff and board sat such luminaries as Frank Gaffney (a vicious and paranoid Islamophobe), Andrew McCarthy (perhaps the US’s most vocal advocate of torture) — and Gary Bauer. I remarked that it was strange for a gay newspaper to get into bed with right-wingers boasting such connections. The chipmunk-cheeked Bauer is one of the main strongmen of Christian fundamentalism. He served for eleven years as caudillo of the Family Research Council, named in 2010 as a hate group by the Southern Poverty Law Center for its “false claims about the LGBT community based on discredited research and junk science.” “I don’t believe a healthy society can endorse, subsidize, or encourage” such a “destructive lifestyle,” Bauer said about the sodomites in 1998. (Bauer’s own lifestyle, padded by a web of consultancies and sinecures, is well-subsidized enough to ensure his health.) But he is also a Christian Zionist, militantly intolerant of any criticism of Israel, flush with evangelical faith in the Likud; so there was Bauer’s name, right on the list of FDD’s advisory board, a warning that its love for the homos had limits.

I flatter myself that the FDD learned from my research. Since then the organization, which like most neocon groups was never exactly crystalline about its connections, has become even less transparent. It erased the list of board members from its website. Instead, a short paragraph says,

FDD’s distinguished advisors include Sen. Joe Lieberman, former National Security Advisor Robert “Bud” McFarlane, former FBI Director Louis J. Freeh, former State Department Under Secretary Paula Dobriansky, Gen. P.X. Kelley (ret.), Francis “Bing” West, Wall Street Journal columnist Bret Stephens, syndicated columnist Charles Krauthammer, Weekly Standard Editor William Kristol … [Emphasis added]

This neatly obscures the question of who else is “included,” or whether Bauer still belongs to the family. Still, problems persist. Another “Distinguished Advisor” omitted from the list is KT McFarland; she flaunts her FDD title on her own website, though, and on others. McFarland, now a “national security analyst” for Fox News, ran for the Republican Senate nomination in New York in 2006. Midway through, scandal surfaced when New York magazine revealed how she had shunned and insulted her gay brother, who died of HIV/AIDS ten years before. She

couldn’t abide his sexual orientation. Shortly after she discovered Mike had AIDS, she wrote her parents lengthy, angry, almost Gothic letters in which she outed her brother, blamed her father for his troubles as well as those of her and her other siblings, and cut off contact with her parents. “Have you ever wondered why I have never had anything to do with Mike and have never let my daughters see him although we live only fifteen minutes away from each other?” she wrote. “He has been a lifelong homosexual, most of his relationships brief, fleeting one-night stands.”

This was too much even for the GOP; she lost the nomination, and the privilege of getting steamrollered by Hillary Clinton. No wonder she’s quietly disincluded from the FDD page; she’d crimp the outreach.

KT McFarland does Fox: He ain't heavy, and he is not my brother

KT McFarland does Fox: He ain’t heavy, and he is emphatically not my brother

One advisor FDD proudly names is Bill Kristol — he’s too big, and full of himself, to omit. Kristol edits the Weekly Standard, a conservative rag sweeping in its influence. (Dick Cheney, in the days when he ran the country, would send for 30 copies each Monday morning.) His work there has drawn the praise of no less than Austin Ruse, fanatical campaigner against LGBT rights, women’s rights, and reproductive freedom. “Do a site search at The Weekly Standard on social issues,” Ruse writes,

and you find – alone  among conservative magazines? – a publication that  has never wavered on them. …A great deal of credit for the Weekly Standard not abandoning the social issues can be given to one man, William Kristol. …

Where does this come from? Perhaps it’s the influence of friends. For years, the Kristol family took a summerhouse with Gary Bauer and his family. … For this, we all owe Bill Kristol a mountainous debt of gratitude and our regular prayers. He could have caved. But he never has. Bill Kristol is square and getting squarer.

Kristol does Fox, and answers the big questions

Kristol does Fox, and answers the big questions

Kristol has called those who deviate from “traditional marriage” “pathetic.” He’s perhaps best known as the divine voice who drew the Pucelle of Wasilla — the armor-clad Joan of Alaska, Sarah Palin– into the national fray. Long before he blessed the mama grizzly and anointed her Veep-to-Be, though, Kristol was staking out his orthodox, orthogonian positions on morality. In 1997, he gave the closing speech at a Washington conference meant to expose homosexuality as ”the disease that it is.” Afterward, he helped assemble a collection of essays on “Homosexuality and American Public LIfe,” actually about keeping homosexuality out of American public life: a book for “activists who want to keep the ‘hetero’ in ‘sexuality,'” as one right-wing reviewer said.

It goes without saying: any organization counting Bauer, Kristol, and McFarland among its patrons has no genuine interest in the rights of LGBT folk, in Iran or elsewhere. On moral matters, they are more likely to empathize with Ayatollah Khameini than to abhor him. (Mozilla got slammed with a boycott for way less than FDD has done.) FDD’s attempts to seduce American LGBT communities are opportunism, and riddled with the contradictions of the right-wing ideologies they promote. That doesn’t stop them, though, from trying to bury the paradoxes and insinuate themselves into the good graces of LGBT organizations; and HRC is a very powerful one.

What does HRC get, though, for associating itself with Gary Bauer and company?

Money.

One of the two big donors who offered HRC $3 million to start its international program last year is billionaire hedge-fund owner and vulture capitalist Paul Singer. Singer, a major funder of the GOP and other right-wing agglomerations, is also the second-biggest donor to the Foundation for Defense of Democracies. He gave it $3.6 million between 2008 and 2011 alone.

The details of my life are quite inconsequential ... Paul Singer

The details of my life are quite inconsequential … Paul Singer

Singer isn’t just a “visionary philanthropist,” as FDD calls him; he’s an investor; his generosity expects returns. When HRC announced it was getting Singer’s largesse, one naturally wondered what Singer would demand back. The answer’s clearer now. He wants HRC’s cooperation with his other pet causes, including his lobbyists for the Likud. As The Nation observes, “Singer is a huge supporter of groups advocating for hawkish policies against Iran, including promoting the use of military force against Tehran.” He presses HRC to lend space to the war brigade.

The quote Singer approved in the HRC press release about his donation said:

LGBT individuals face arrest, imprisonment, torture and even execution just for being who they are … Some of the worst offenders in this area also happen to be the same regimes that have dedicated themselves to harming the United States and its democratic allies across the globe.

It’s evident which offenders he wants his philanthropic objects to focus on: not Egypt or Saudi Arabia, US clients, but anti-American miscreants like Russia or Iran. This conflation of LGBT people’s rights with a particular set of geopolitical exactions radiates through the little piece he asked HRC to publish. It uses the LGBT issue solely to bash a possible nuclear agreement, reproducing the legislators’ most belligerent rhetoric — Republican Ed Royce, for instance:

Let’s imagine that Iran and the [US] come to an agreement next month are we comfortable leaving this regime with much of the critical nuclear infrastructure in place. [sic] How can this regime which holds the noose in one hand be trusted with the keys to a nuclear bomb in the other?

It quotes Ileana Ros-Lehtinen (a conservative Republican whose interest in LGBT rights draws urgency from the many White Party gays in her Miami district), speaking “with an obvious sense of exasperation”:

Rouhani knows that all he needs to do is smile, and tweet, and promise the US and the West that he will cooperate on the nuclear issue … it’s way past our time for our administration to stand up to these thugs and to stand up for the people who cannot stand up for themselves. If we won’t do it, who will?

All this armchair-heroic stuff — voices for the voiceless, saviors with drones — is war talk in its essence, and HRC is endorsing it. FDD suppresses any mention of IGLHRC’s one concrete, pacific ask, that the US fund technological fixes to help Iranians circumvent Internet censorship. (See the note below.) The Foundation doesn’t want LGBT Iranians to surf the Web freely. It wants LGBT Iranians to die, with their compatriots, under a rain of bombs.

The moral compromises involved in an association with Paul Singer are intricate, and, for HRC, likely to be incessant. When you deal with the devil, don’t expect to be released from the contract. As I wrote last year, Singer’s fortune comes from one of the least ethical activities in the world of international capitalism. His vulture fund, Elliot Management, buys up distressed countries’ debt at bargain prices when they’re verging on default; he then goes to court in other countries, to force the states he’s scamming to repay the face value of the debt in full. The profits are astronomical, and some of the world’ most impoverished populations (Congo-Brazzaville, for instance) have been among his victims.

I'll take my ball and go home: Singer, by the Financial Times

I’ll take my ball and go home: Singer, by the Financial Times

Last week, a few days before the Iran hearing, the US Supreme Court ruled on Singer’s case against Argentina. 13 years ago, he began buying some $2.5 billion of Argentina’s then-cheap government debt; he held out fiercely for his full return, defying two negotiated debt restructurings in 2005 and 2010, when most other creditors accepted around 30% of face value. The Supremes handed Singer a victory, allowing him to start ransacking Argentina’s assets in search of money to repay him. They also opened the door for other vulture extortionists to move on the country, meaning Argentina could be compelled to pay $15 billion to opportunistic creditors — or could be manhandled into default. An economy that slowly rebuilt itself after the chaos of a 2001 collapse faces a new cycle of catastrophe.

“The decision makes no economic sense,” a prominent economist said. But Daniel Loeb, a fellow hedge-fund billionaire and the other megadonor to HRC’s international work, praised his colleague: “Whether it is gay marriage or Argentina or affecting the political landscape, Paul is intense and tenacious in seeing things through. He is intensely focused and result-oriented yet extremely principled.” It’s a study in how donors ostensibly supporting human rights define “principle.”

Argentina has a comprehensive battery of legislation protecting LGBT people, and the single most progressive law on gender identity recognition anywhere in the world. In the confrontation between a supportive Southern country and foreign capitalists who want to demolish its democratic governance, do you think HRC would put out a press release in Argentina’s cause? Do you need to ask?

(Struggling to win over US opinion in the Argentine debt battle, Singer didn’t hesitate to launch a campaign accusing his Buenos Aires enemies of ties to the definitive American bête noire — Iran.)

Meanwhile, Singer’s inflows of money continue to find new use. in May, he donated $1 million to American Crossroads, a super-PAC for Republican candidates run by conservative conspirator Karl Rove. What will HRC say? Can one expect “the nation’s premier gay and lesbian civil rights group” to find new and unpredicted virtues in Turd Blossom‘s career? Yes.

Argentinian poster: "Paul Singer, the Most Wanted Vulture"

Argentinian poster: “Paul Singer, the Most Wanted Vulture”

NOTE: At the Congressional hearing, IGLHRC specifically praised the Obama administration’s promise to provide technologies Iranians could use to circumvent Internet censorship — in particular, building independent communications networks for linking to the Internet. As Gandhi said of Western civilization: It would be a nice idea.

Many observers note that the US program has gotten nowhere in the last three years, and so far seems to envision only clunky, conspicuous and incriminating hardware — suitcases of stuff bristling with antennae, smuggled in over the mountains. I’ve voiced reservations about this project in the past; and even the New York Times has warned: 

Developers caution that independent networks come with downsides: repressive governments could use surveillance to pinpoint and arrest activists who use the technology or simply catch them bringing hardware across the border.

To which you might add, in our post-Snowden era, that if the US erects the network, it can monitor everything that’s said on it. Move over, Ayatollah, the earphones are mine!

Moreover, as Omid Memarian has written, the blaring publicity the administration has given the program suggests it’s mainly for American consumption: “Many Iranians I spoke to about this news were shocked that the plan has been revealed; bringing such plans to the attention of the Tehran authorities may put people in danger.” He concludes:

The United States’ current plan to change the Iranian Web landscape is simply not realistic. In fact, the current plan makes me suspect that the U.S. isn’t taking Iran as seriously as it ought to.

Open-source, low-profile software tools such as Psiphon, originally developed at the University of Toronto, so far appear more useful to Iranians seeking to evade the censors’ grip.

HRC and the vulture fund: Making Third World poverty pay for LGBT rights

marriage-equality-red blood copyThe Human Rights Campaign (HRC), the largest US gay organization, is going international. It’s just been given at least $3 million to spread the word of marriage equality to benighted countries that treat gays badly. Unfortunately, there’s a catch. Its chief partner and donor in this project wants the people in those countries, LGBT folk included, to starve – their economies wrecked, their incomes shipped abroad, their resources squeezed and stolen to pay off odious debt. HRC is receiving its money for gay rights in the Third World from the man who “virtually invented vulture funds”: a form of speculation that’s one of the worst contributors to Third World poverty ever.

But if you’re poor and getting poorer, look on the bright side (as long as river blindness hasn’t got you, that is). You can still have a nice white wedding; and you’ll save on the food bill if your nation has no food.

HRC is understandably happy about the sunny prospects opening up. It says,

The need to support LGBT advocates and call out U.S.-based anti-equality organizations abroad has never been greater. … At the same time, opportunities exist for a global equality movement as a growing number of countries are passing pro-equality legislation and recognizing marriage equality.  Seventeen countries around the world afford, or will soon afford, committed and loving gay and lesbian couples the legal right to marry.

One of the two big donors to this project is a little more explicit about how the enterprise relates to the projection of US power:

“Every day around the world, LGBT individuals face arrest, imprisonment, torture and even execution just for being who they are,” said Paul Singer. “Some of the worst offenders in this area also happen to be the same regimes that have dedicated themselves to harming the United States and its democratic allies across the globe. [Emphasis added] As an organization that has been at the forefront of the equality movement for over three decades, the Human Rights Campaign is uniquely positioned to work in tandem with NGOs to empower LGBT and human rights advocates abroad and help stop these abuses.”

Well, yes, except … this doesn’t quite sound like “human rights” envisioned from the high vantage of universality and internationalism. It sounds like LGBT rights uneasily painted into a picture of US interests.

Paul Singer (Jacob Kepler/Bloomberg/Getty Images)

Paul Singer (Jacob Kepler/Bloomberg/Getty Images)

On the other hand, it’s natural to couch the project in terms of what the US will get out of it. After all, its two deep-pocketed benefactors are Singer, who runs a hedge fund called Elliott Management, and Daniel S. Loeb, who runs another called Third Point LLC. They’re both conservatives and huge donors to the Republican Party. Singer underwrote last year’s GOP National Convention with $1 million of largesse. One operative called himthe big power broker in the Republican financial world.” The Wall Street Journal wrote that 

He has given more to the GOP and its candidates—$2.3 million this election season—than anyone else on Wall Street, helping make his hedge fund … one of the nation’s biggest sources of political donations, the vast majority to the GOP.

My little man: Singer, with full-sized Mitt in front of him, for Fortune magazine

My little man: Singer, with full-sized Mitt in front of him, for Fortune magazine

The New York Times writes that Singer “believes in the doctrine of American exceptionalism and is wary about United States involvement in ‘international organizations and alliances.’” (Apparently HRC won’t be supporting the hundreds of LGBT activists and groups who fight for their rights at the vile, collectivist UN.) Singer is a nexus of con and neocon ties and tendrils; he chairs the Manhattan Institute, a conservative think tank, and has served on the board of Commentary magazine, the national journal of Podhoretzstan. He’s ladled at least $3.6 million to the self-styled Foundation for Defense of Democracies, a hawksh outfit which Glenn Greenwald called “basically a Who’s Who of every unhinged neocon extremist in the country.” Dan Senor — the glib apologist who served as authorized liar and TV personality for the Coalition Provisional Authority while the Bush Administration devastated Iraq — is one of Singer’s foreign policy advisors.

Na na, na na, na na, come on, come on, sticks and stones may break my bones: Loeb

Na na, na na, na na, come on, come on, sticks and stones may break my bones: Rihanna Loeb

Loeb, meanwhile, supported Barack Obama in 2008, but turned on him when the President ungratefully demanded that Wall Street let itself be regulated a little. In a celebrated email announcing his desertion he cast the President as abusive husband, with a bunch of submissive bankers as his bruised brides: “When he beats us, he doesn’t mean it … he usually doesn’t hit me in the face [so] it doesn’t show except for that one time … he’s not that bad really, unless he gets drunk (from power) …” Probably this was irony; I mean, a sheltered guy worth billions wouldn’t seriously compare himself to a poor woman living in a shelter, would he? By April 2011, Loeb had given almost $500,000 to the GOP, and he kept giving. In mid-2012, he co-hosted a $25,000-a-plate fundraiser for Mitt Romney in the Hamptons. Mocked for extravagance, the proceedings seem to have furnished Romney with the intellectual foundations for his later comments about the wrongly franchised 47%. A guest lumbering up in a Range Rover told the media that

“I don’t think the common person is getting it. … We’ve got the message,” she added. “But my college kid, the baby sitters, the nails ladies — everybody who’s got the right to vote — they don’t understand what’s going on. I just think if you’re lower income — one, you’re not as educated, two, they don’t understand how it works, they don’t understand how the systems work, they don’t understand the impact.”

But all this GOP-ness isn’t the most interesting part. What matters isn’t where these guys give their money. It’s where they get it.

Curious how no one asks this. In gratitude for their generosity, HRC arranged for the two donors to feature in a puff piece yesterday by Frank Bruni, the New York Times’ designated homosexual.  “Elliott Management’s lofty offices in Midtown Manhattan look north, south, east and west across the borough’s thicket of skyscrapers …” The view was terribly distracting for Bruni, who probably lives, like most Times writers, in a windowless Bronx tenement where he makes matchsticks to pay the bills.

I sat in a 30th-floor library with the hedge fund’s founder and chief executive, Paul Singer, a billionaire who was one of the most important donors to Mitt Romney in 2012 … He’s wary of speaking with journalists, so much so that I’ve seen the adjective “reclusive” attached to his name.

The piece is all about Singer’s lavish giving for gay marriage, and it exhibits, if beneath the surface, the historical function of philanthropy: to silence annoying questions about where you got your fortune. “The battlefield” for gay rights “isn’t what it used to be,” Bruni wrote gauzily. “From the 30th floor, I could see that most clearly of all.” But there are other battlefields Bruni chose not to see.

Paul Singer runs a vulture fund. He makes his profits from the debt incurred by Third World countries — I won’t use the PC term “developing” countries, because the point of the debt is to prevent them from developing — and from the misery it causes their citizens. Of all the parasites in the global economy, of all the profiteers of poverty, vulture funds may be the worst.

Vulture funds operate by buying up a country’s distressed debt just as the original lenders are about to write it off  — usually, as the Guardian describes it, when the country “is in a state of chaos. When the country has stabilised, vulture funds return to demand millions of dollars in interest repayments and fees on the original debt.” In other words, you purchase the right to be a hardassed debt collector, and to harass and impoverish whole populations till you get your cash. Singer, says the BBC, “virtually invented vulture funds.”   A University of Pennsylvania expert on emerging-market debt told Bloomberg that Singer’s “actions are amoral,” adding that he puts the squeeze on “without worrying about the potential consequences for the country involved.”

That’s an understatement. Three examples of Singer’s work:

Peru. In 1996, just as Peru embarked on restructuring its massive debts, Singer’s hedge fund bought $20.7 million worth of old loans to the country — paying only $11.4 million, a huge discount. They immediately rejected the restructuring and sued Peru in a New York court, for the original value of the loans plus interest.  As the USA Jubilee Network explains, they “won a $58 million settlement and made a $47 million profit — a 400% return.”

Peru, however, couldn’t pay the sum. Instead, it put priority on paying back its other debtors, who had participated in the restructuring. Singer actually took out an injunction to keep Peru from repaying anyone else, thus shoving the entire country back toward default in the name of his own profits. Jubilee writes that “Elliott pioneered this litigate-into-submission strategy that allows these vultures to collect astronomical profits on countries in economic stress.”

Investigative journalist Greg Palast claims that Singer finally got his money when authoritarian President Alberto Fujimori had to flee the country in 2000.  Singer and his repo men, he says, put a lien on the Presidential plane before Fujimori could reach it — then demanded the full sum from the desperate dictator before giving it back. Singer piously defends his work as promoting “transparency” among foreign governments. Getting a corrupt leader to ransom away his country’s resources to save his skin hardly fits that description.

Vulture funds in Africa

Vulture funds in Africa

Congo-Brazzaville.  In the late 1990s, Singer’s Elliott Associates used a Cayman Islands-based subsidiary called Kensington International to buy, at a discount, over $30 million worth of defaulted debt issued by the Republic of Congo (Congo-Brazzaville) — by some reports, paying only $1.8 million. It then sued the government for almost $120 million in repayments plus interest. That’s a 10,000% profit.

A UK court handed Singer victory in a succession of judgements in 2002 and 2003. The Congolese government couldn’t pay up, though: interest continued to accrue at a rate of $22,008.23 per day. Congo-Brazzaville’s GDP per person at the time averaged around $800. More than a quarter of deaths of children under 5 were from malnutrition. The country had, according to the Financial Times, “one of the highest foreign debts per capita of any developing country, estimated at $9 billion for a population of fewer than 4 million people” — and, following Singer’s model, private vulture funds hurriedly bought up about a tenth of that.

Singer and Kensington relentlessly chased Congolese assets in courts around the world. In 2005, another UK judge gave them partial satisfaction. He let Singer intercept and expropriate $39 million in Congolese oil sales to a Swiss firm. That’s still more than a 2000% profit, not bad when your only productive work is pushing paper. Other firms that have speculated in Congolese debts, though, continue hounding the impoverished country’s resources from court to court.

December 2001: Riot police and tear gas used against protesters in Buenos Aires

December 2001: Riot police and tear gas unleashed against protesters in Buenos Aires

Argentina. In 2001, Argentina had a revolution: citizens banging pots and pans in the public squares threw out a neoliberal regime that had driven the country into depression and stolen almost everybody’s savings. A new government of economic nationalists defied the Washington Consensus by defaulting on more than $80 billion in foreign debt and devaluing the currency. It worked: reasserting domestic control gradually revived the moribund economy.

That was the good news. Meanwhile, though, one of Singer’s companies called NML Capital Ltd. sniffed future profit. It bought over $180 million of the defaulted debt at between 15 and 30 cents on the dollar.

Impounded: Argentine warship Libertad, seized by Singer in Ghana, 2012 (Leo La Valle/EPA)

Unenduring freedom: Argentine flagship Libertad, seized by Singer in Ghana, 2012 (Leo La Valle/EPA)

In 2005, Argentina’s President, Nestor Kirchner, offered lenders 30 cents on the dollar to forgive its debts. The vast majority of bondholders accepted the offer; Singer rejected it and demanded full repayment. Argentina’s legislature passed a law that barred the government from raising the offer — a sign, if one were needed, that Singer’s demands flouted the democratic will of a nation of 40 million. Singer refused to budge. He took Argentina to court in the US and elsewhere. In 2012, he actually managed to impound an Argentinian naval vessel while it rested in an African port, demanding an extortionary sum to release it until the International Tribunal on the Law of the Sea ordered it freed.

European judges have found against Singer, but in 2006 he won a judgment for $284 million in the U.S. (That would be at least a 500% profit.) The case is still in court. Singer’s pursued the same strategy he did with Peru, demanding that Argentina be barred from paying any creditors who joined the restructuring unless he‘s repaid in full. Either Argentina will be semi-bankrupted by his greed, or it will suspend its obligations indefinitely; in either case, that’s too much uncertainty for most lenders. Singer has pretty much singlehandedly kept Argentina an unsafe investment. The US judiciary’s willingness to buy his arguments has shaken Latin American financial markets, doubled the cost of Argentina’s borrowing, and pushed the country toward a new, disastrous default. Paul Singer is like honey badger. He don’t care.

Protestor outside the London offices of Elliott Management, Febuary 2013

Protestor at a Jubilee Debt Campaign demo outside the London offices of Elliott Management, February 2013

The World Bank has called on developed countries to put an end to profiteering like SInger’s. “Vulture funds are a threat to debt relief efforts,” its Vice-President for Poverty Reduction said.  “Their increasing litigation against countries receiving debt relief will penalize some of the world’s poorest countries.” George W. Bush’s Treasury Secretary told Congress in 2007 that “I deplore what the vulture funds are doing.” Gordon Brown, the UK Prime Minister, accused them of “perversity” and called them “morally outrageous.” I could go on and on — but so do Singer and his proteges. They don’t stop. The World Bank estimates that vulture funds have sued a third of countries receiving debt relief. Jubilee USA notes that

As of late 2011, 16 of 40 Heavily Indebted Poor Countries (HIPC) surveyed by the International Monetary Fund were facing litigation in 78 individual cases brought by commercial creditors. Of these, 36 cases have resulted in court judgments against HIPCs amounting to approximately $1 billion on original claims worth roughly $500 million.

Red sky at morning

Red sky at morning

And no wonder Singer buys up political influence so assiduously. Hector Timerman, Argentina’s Minister of Foreign Affairs, wrote in 2012:

Vulture funds abuse the system, acquiring distressed debt in secondary markets to multiply profits at the expense of the poor and weak. As these activities are ethically repellent, well-prepared propaganda machinery keeps their lucrative business alive.

It’s not just propaganda. Singer needs his paid politicians to fend off scrutiny and guard the “lucrative business” from disruption. A bill to curtail vulture funds’ profiteering was introduced in the US Congress in 2009. The next year, Singer told his heavily funded Manhattan Institute they had to combat “indiscriminate attacks by political leaders against anything that moves in the world of finance.” Will HRC flex its legislative muscle to fight the Stop Vulture Funds Act as well?

It’s a sick irony that the money HRC takes to fund its new work in the Third World is made off the backs of Third World suffering. It’s even worse when HRC’s PR machine colludes with the New York Times to whitewash — pinkwash — Singer’s record of destruction. It’s politically disastrous for an LGBT group to operate this way. They’re sending a message to governments in the developing world that the US really does see LGBT people as a privileged class, and is willing to promote their rights while condoning the immiseration of whole populations. But it’s self-defeating also. LGBT people don’t want this kind of “help.” LGBT people are citizens, workers, children, parents too. HRC should know that they are as affected as anybody when a parasite like Singer enforces endless debt service on states, devastates the necessary services that governments provide, litigates countries into permanent submission.  What does HRC think it can give the victims, after Singer has stripped their assets and sold off their national resources? Is same-sex marriage supposed to be a consolation? I’m afraid HRC is acting like old honey badger, too. It just don’t care.

Alejandra Sardá-Chandiramani

Alejandra Sardá-Chandiramani

Since Argentina has been one of Singer’s targets, I went to an old colleague of mine, the great Argentinian feminist and sexual rights activist Alejandra Sardá-Chandiramani. Alejandra has fought for the rights of LGBT people throughout Latin America for more than 20 years. She was sad but not shocked at the assembled ironies. She told me:

“International work” done “for” LGBTs (or women, development, girls, you name it) from the USA is, first of all, a great industry giving jobs to a vast majority [within the organizations] of USA citizens and also to a few privileged ones from the Global South (I was once among the latter, so I know what I am talking about). There are always a few good souls thrown in the mix, who normally can’t resist too many years. For too long our misfortunes (patriarchal social norms, authoritarian governments, condoned forms of violence, subordinated economies) have made the North rich, sometimes through jobs “saving us” and other times more directly, like in the case of the profits made by the vulture funds or the arms dealers. And they also serve to hide the existence of quite similar phenomena in the Global North itself and to keep the fragile national pride and self-esteem of our “saviours” intact.

“Another thing that does not surprise me,” she writes,

is that a USA based “LGBT” organization accepts money from such a source … [P]articularly in the USA many/most LGBT activists have a hard time linking their issues to broader social, economic and political realities, as they are too self-absorbed in all their identity politics. I hope that not many people in the Global South will agree to do work funded with this extremely dirty money — if they know where it is coming from. But sometimes, people are facing such difficult circumstances that they can’t afford to be so principled.

She adds that “in some Global South countries, activists belong to social and economic elites (this happens particularly in the early stages of movements, as these are the ones that can afford to be out) and they are as ignorant or unconcerned about broader social issues as their USA colleagues, so anything can happen.”

Vultures and their masters: Argentinian cartoon

Vultures and their masters: Argentinian cartoon

Maybe she’s right, but here I’m inclined to differ. Most LGBT movements in the larger world aren’t in their early stages any more. They’re mature and politically sophisticated. They don’t need HRC; try telling someone in South Africa (where LGBT rights are in the Constitution) that they should “learn” from the US. Far more valuable to them are their connections with local civil societies and social movements that fight for people’s real rights and freedoms. They ally with groups that combat maternal mortality, defend the rights to health care and education, press the State to keep the social welfare system functioning, ensure that votes count and that people can decide their collective economic as well as civic future. That’s not what Singer stands for, and outsiders paid from his dirty money may get an unexpectedly cold welcome.

I forgot about Daniel Loeb. He too has a history of bold international interventions, it turns out. If you want to read about him, Vanity Fair has a long piece coming out in its December issue, less puffy than Frank Bruni’s by far. There’s a nugget about how, on a 2002 vacation in Cuba with the heir to the von Furstenberg money, Loeb ran down a child with his car. Cuban authorities held him in the country until — well, whatever. Perhaps he made some investments. A friend recalled,

“I truly felt so sorry for him when he told me he had found himself unable to leave the country, curled up in a ball on the floor of his room crying, promising God that he’d do anything if the Almighty got him out of his predicament. It wasn’t as if Dan had done it on purpose, and who really knows what ended up happening to the kid?”

A benighted country that’s not the United States, a rich guy, a poor child with tire marks on his back, and — who knows. Isn’t that what the new landscape of LGBT organizing is all about?

Forward to freedom, and fresh meat

Forward to freedom, and fresh meat