Showing posts with label redactions. Show all posts
Showing posts with label redactions. Show all posts

Friday, October 10, 2014

After Federal Reserve Exposed, CIT Group Gives Inner City Press Heavily Redacted Copies Of Its Letters to FRBNY: Regulatory Captured


By Matthew Russell Lee
UNITED NATIONS, October 10 -- The secret recordings of then Federal Reserve examiner Carmen Segarra about Goldman Sachs and regulatory capture have given rise to calls for oversight hearings by at least two US Senators, and to spin from the Federal Reserve Bank of New York.
  On October 10, Inner City Press was sent heavily redacted copies of two letters from the CIT Group to the Federal Reserve Bank of New York, supposedly in compliance with the Freedom of Information Act - nowuploaded to Scribd here and here. 
  CIT sought to withhold even its Community Reinvestment Act plan. Inner City Press has raised the issue to Fed Chair Yellen in Washington. What next?
   The head of the FRBNY since 2009, William Dudley, has insisted that supervision by the Fed and its regional banks is "completely in the public interest." He cites, in support of this, something he calls "horizontal" supervision, which to many has the context of being supine. 
  And the Federal Reserve Banks are, in fact, owned by the banks they ostensibly regulate. And as Inner City Press has previously reported, while merger applications go in the first instance to the Federal Reserve Bank, they have only the power to approve, not deny or even impose conditions, the applications.
  Horizontal, indeed.
  This horizontal position is the rule, not the exception. Inner City Press routinely submits Freedom of Information Act requests for communication between the Fed and banks applying for mergers.
  Most recently, the Fed has extended its deadline for responding to Inner City Press' request on CIT - OneWest, on which it purported to close its public comment period on September 24:
FOIA Request No. F-2014-00380
Dear Mr. Lee,
On August 27, 2014, the Board of Governors ("Board") received your electronic message dated August 26, pursuant to the Freedom of Information Act ("FOIA"), 5 U.S.C. § 552... On August 28, 2014, the Board’s Freedom of Information Office made an interim production of responsive documents consisting of the public portion of the application by CIT Group Inc. and Carbon Merger Sub LLC to acquire and merge with IMB HoldCo LLC, and thereby indirectly acquire voting shares of OneWest Bank... Pursuant to section (a)(6)(B)(i) of the FOIA, we are extending the period for our response until October 9, 2014, in order to consult with two or more components of the Board having a substantial interest in the determination of the request. If a determination can be made before October 9, 2014, we will respond to you promptly.
How can the public be shut out before it has the basic information it has requested? Now, only because CIT mis-published public notice, the Fed's comment period has been extended to October 10. (A new Office of the Comptroller of the Currency comment period has opened, through October 24.)
  The Federal Reserve Board has asked CIT some questions, including “discuss CIT Group's plans to manage OneWest Bank's mortgage servicing assets and nontraditional mortgage loan portfolio." Nontraditional mortgages - that would be, subprime.
Tellingly, when lawyers leave the Federal Reserve's Legal Division, many go to white shoe law firms that submit bank merger applications to the same people they until recently worked with or supervised.
  Inner City Press, Bronx-based Fair Finance Watch and NCRC have repeatedly raised this to the Fed, without meaningful response.
So here's hoping that Carmen Segarra's courage, in secretly making the recordings and then releasing them, leads to increased oversight of and reform at the Fed. 
 The problem is, while some in Congress are willing to criticize the Fed, the real parties in interest here are the largest banks and investment banks in the country. Who in Congress will directly challenge those? Watch this site.

 
  

Saturday, November 24, 2012

Sri Lanka Trashes UN Blacking Out Ban Ki-moon on Giving Space to Rajapaksas, 2 Views


By Matthew Russell Lee
 
UNITED NATIONS, November 23 -- Twelve days after the UN released a redacted version of its Charles Petrie report into its actions and inactions during the killings in Sri Lanka in 2009, that country's Rajapaksa government belatedly responded -- in part by criticizing the redactions.

   When the reported was issued with portions blacked out, Inner City Press asked why. Next, it posted all of the redacted material -- it was as easy as copying the excised portions and pasting them into a word processing document.

   Then on November 12, Inner City Press asked Secretary General Ban Ki-moon's chief of staff Susana Malcorra to justify a particular redaction, in Paragraph 173, in which Ban said  "the Government should be given the political space to develop a domestic mechanism."

   Malcorra responded tersely that this was "twisting," and claimed that all redactions were either for staff safety or to retain the ability to deliberate. It seems Ban would cite the latter to black out his subordinates' advice -- but his own orders?

   And so while Inner City Press agrees, for once, with Sri Lanka's government that the redactions are wrong, there is a difference. The Rajapaksa government maintains that lines like Ban's were blacked out because, revealed, they make the Sri Lanka government look good.

   Our view, however, continues to be that Ban's quote was taken it because it makes him look bad. He did not push for accountability, as he has done -- with more Western backing -- elsewhere such as in Syria.

   The proof of this is the redaction of an opinion then former top UN humanitarian John Holmes, advising that the term "war crimes" not be used. This makes Holmes look bad, and perhaps explains him emerging from his sinecure in the British countryside to defend Ban's UN and himself.

  Inner City Press has re-posted the report as it appeared with redactions, and has gone behind the redactions. Here from Paragraph 173, the material the UN blacked out, but is now being "liberated" by Inner City Press, appears in brackets, followed by an explanation.

"the Secretary-General met with President Rajapaksa and urged him 'to uphold his commitment to establish an accountability process.' On 30 July the Policy Committee met again at UNHQ to address 'follow-up on accountability' in Sri Lanka. [Discussing whether or not the SecretaryGeneral should establish an international Commission of Experts, many participants were reticent to do so without the support of the Government and at a time when Member States were also not supportive. At the same time, participants also acknowledged that a Government-led mechanism was unlikely to seriously address past violations. The Secretary-General said that 'the Government should be given the political space to develop a domestic mechanism and that only if this did not occur within a limited time frame would the UN look at alternatives.] The meeting agreed"

  So Ban Ki-moon, even after being advised that a Sri Lankan "Government-led mechanism was unlikely to seriously address past violations," said Rajapaksa should be given more space -- and time.

  And as of November 2012, no one had been held accountable. In fact, one of the General most associated, including in Ban's report, with the killings in 2009, Shavendra Silva, was accepted by Ban Ki-moon as a UN "Senior Adviser on Peacekeeping Operations."

  (Ban told Inner City Press that this was a decision of member states; his head of Peacekeeping Herve Ladsous outright refused to answer this or any other Press question.)
 
   On September 6, 2011, Silva appeared with Sri Lanka's Permanent Representative Palitha Kohona at a film screening in the UN's Dag Hammarskjold Auditorium, fallout written up by the SLC, here.

   Inner City Press waited to write this story until more than eight hours went by from submitting two simple questions to Ban's top three spokespeople on November 23, a workday at the UN in New York:
 
"Please provide the Secretariat's response to Sri Lanka Ministry of Foreign Affairs statement earlier today, including that the material redacted showed, in at least one case, the Secretary General on the side of the Sri Lankan government ( The Secretary General said that the Government should be given the political space to develop a domestic mechanism"), and
 
'the alleged intimidation of UN staff for delivery of humanitarian assistance is completely baseless, a position which has been endorsed by the former United Nations USG for Humanitarian Affairs.' [John Holmes]."

   Ban's spokesman forwarded other Inner City Press questions submitted at the same time to the spokesman for UN Peacekeeping chief Herve Ladsous, Kieran Dwyer.

  But no acknowledgment, much less answer, was provided in eight hours to the above question. When and if there is a UN response, we will publish it. For now, here are the other deletions, and the Executive Summary which the UN removed. Watch this site.

Thursday, November 15, 2012

Exclusive: From Sri Lanka Report, UN Outright Removed Over 5,000 Dead & Summary, Added Praise of Itself



By Matthew Russell Lee, Exclusive

UNITED NATIONS, November 15 -- The scandal of the UN's amateur blacking-out of portions of its report on its actions and inactions in Sri Lanka in 2009 which pointed the finger at envoy Vijay Nambiar, ex-humanitarian chief John Holmes and Secretary General Ban Ki-moon himself is worse that Inner City Press reported yesterday.

  Now Inner City Press has learned of significant portions of Charles Petrie's penultimate draft of the report which were omitted (and added) even to the "final" redacted version. Inner City Press has also obtained the removed Executive Summary, and publishes it in full below, as a public service and hope for accountability.

  From the final redacted report-- which after complaints the UN has re-posted online here -- in Paragraph 22 a final line "The RC told a 13 February meeting of the IAWG-SL that as many as 3,000 people may have been killed since 20 January" was removed.

  From Paragraph 82 a final line "At the time the COG was reporting 5687 killed and 10,067 injured of which 1964 and 3571 were confirmed" was removed from the "final" version, even as redacted.

As self-servingly, to Paragraph 39 the line "a step that was widely praised" was added in to the final version -- trying to play up, ironically, Ban Ki-moon's UN's transparency.

  Not only did the UN pull out, and then conceal casualty figures -- the coverup and breakdown was systemic afterward, in terms of messaging in the UN and Ban Ki-moon and his Peacekeeping chief accepting one of the responsible Generals, Shavendra Silva, as a UN Senior Advisor on Peacekeeping. 

   Meanwhile, the Executive Summary which was removed said that "events in Sri Lanka mark a grave failure of the UN to adequately respond to early warning and the evolving events during the final stages of the conflict and its aftermath, to the detriment of hundreds of thousands of civilians."

That's putting it mildly. And who will be held accountable? 

Here as a public service from Inner City Press is the complete Executive Summary which the UN removed:

Executive Summary: Assessment of the UN’s Actions in Sri Lanka

Between August 2008 and May 2009, as the war between the Government of Sri Lanka and the Liberation Tigers of Tamil Eelam (LTTE) entered its final stages, an estimated 360,000 or more civilians were crowded into an ever smaller part of ‘the Wanni’ area of Northern Sri Lanka where many died as a result of sustained artillery shelling, illness and starvation. Almost 280,000 survivors were forcibly interned in military-run camps outside the area of conflict. The UN responded mainly through its humanitarian assistance and development frameworks; its political and human rights roles were limited. Despite the gravity of events, UN Member States did not formally consider the situation until the war ended. During the final stages, and the aftermath from May 2009 onward, the UN provided assistance to IDPs in internment camps, even as IDP rights and UN principles of intervention were not respected. Most IDPs were eventually allowed to return home. (Annex III provides a detailed account of events and UN actions)

In April 2011, the Secretary-General’s Panel of Experts (POE) on accountability in Sri Lanka issued a report recommending a review of the UN’s own actions. In a letter to the Secretary-General, the POE described UN action as a low point for the organization as a whole, and said that some UN agencies and individuals had failed in their mandates and did not uphold the UN’s founding principles. Pursuant to the POE’s recommendation, the Secretary-General established an “Internal Review Panel on UN action in Sri Lanka” (the Panel), led by Charles Petrie, tasked with providing an assessment of UN action during the final stages of the conflict and its aftermath, identifying institutional and structural strengths and weaknesses, and making recommendations to ensure a more effective UN response in similar situations. The Panel began work in late April 2012 and submitted the present report at the end of September.

For the UN, the last phase of the conflict in Sri Lanka presented a major challenge. The UN struggled to exert influence on the Government which, with the effective acquiescence of a post-9/11 world order, was determined to defeat militarily an organization designated as terrorist. Some have argued that many deaths could have been averted had the Security Council and the Secretariat, backed by the UN country team (UNCT), spoken out loudly early on, notably by publicizing the casualty numbers. Others say that the question is less whether the UN should assume responsibility for the tragedy, but more whether it did everything it could to assist the victims.

The Panel’s conclusion is that events in Sri Lanka mark a grave failure of the UN to adequately respond to early warning and the evolving events during the final stages of the conflict and its aftermath, to the detriment of hundreds of thousands of civilians and in contradiction with the principles and responsibilities adopted by Member States and the Secretariat, agencies and programs.
Decision-making across the UN was dominated by a culture of trade-offs – from the ground to UN headquarters (UNHQ). Options for action were seen less as responsibilities and more in terms of dilemmas. Choosing not to speak up about Government and LTTE broken commitments and violations of international law was seen as the only way to increase UN humanitarian access. 

Choosing to focus Security Council briefings on the humanitarian situation rather than the causes of the crisis and the obligations of the parties to the conflict was seen as essential to facilitate Secretariat engagement with Member States. There was a sustained and institutionalized reluctance among UNCT actors to stand up for the rights of the people they were mandated to assist. In Colombo, many senior UN staff simply did not perceive the prevention of killing of civilians as their responsibility; and agency and department heads at UNHQ were not instructing their staff in Sri Lanka otherwise. The UN’s failure to adequately counter the Government’s under-estimation of population numbers in the Wanni, the failure to adequately confront the Government on its 
obstructions to humanitarian assistance, the unwillingness of the UN in UNHQ and Colombo to address Government responsibility for attacks that were killing civilians, and the tone and content of UN communications with the Government and Member States on these issues, contributed to the unfolding of dramatic events.

UNHQ engagement with Member States regarding Sri Lanka was ineffective and heavily influenced by what UNHQ perceived Member States wanted to hear, rather than by what States needed to know if they were to respond. Reflection on Sri Lanka by UNHQ and States at the UN was conducted on the basis of a mosaic of considerations among which the grave situation of civilians in Sri Lanka competed with extraneous factors such as inconclusive discussions on the concept of the ‘responsibility to protect’ and Security Council ambivalence on its role in such situations. In the absence of clear Security Council support, the UN’s actions lacked adequate purpose and direction amid the many competing factors.

Most crucially, the UN did not use all the political and advocacy tools at its disposal. In particular, it did not keep Member States or the public fully informed. Nor did it warn the Sri Lankan Government or the LTTE of the consequences of their actions, including their responsibility for possible war crimes and crimes against humanity.

Systemic failure in Sri Lanka can be distilled into the following: (i) a UN system that lacked an adequate and shared sense of responsibility for human rights violations; (ii) an incoherent internal UN crisis-management structure which failed to conceive and execute a coherent strategy in response to early warnings and subsequent human rights and international humanitarian law (IHL) violations against civilians, and which did not exercise sufficient oversight for UN action in the field; (iii) senior staff on the ground who lacked the necessary armed conflict, political and IHL experience to deal with the challenge presented by Sri Lanka, and who were given insufficient support; (iv) the ineffective dispersal of coordination of UN action and monitoring of human rights and IHL violations across several different UNHQ entities in Geneva and New York with overlapping mandates; (v) inadequate political support from Member States and inadequate efforts by the Secretariat to build such support; and (vi) a framework for Member State engagement with human rights and IHL protection crises that is outdated and often unworkable.

Overview of Recommendations

The Panel’s Terms of Reference imply that it should gather lessons from an historical event that has passed. However, the magnitude of the violence in the Wanni, following decades of strife and injustice, continue to be felt by Sri Lanka’s communities. Sri Lanka’s peaceful and stable progress will require a process of accountability and reconciliation and a political solution to the long-standing grievances of all communities, as well as a response to ongoing and new concerns, and prevention and protection in the future. Working closely with the Government of Sri Lanka, the UN needs to take on this further challenge.

This report’s recommendations for the UN system are designed to be politically feasible and resource neutral, while encouraging profound changes in the institution’s approach to similar situations in the future. The broad lines of the recommendations include the need to:

Restate the vision of the UN: The Secretary-General should restate a vision of the UN’s most fundamental responsibilities to include the defence of human rights. The vision should help frame strategy and policy responses by senior levels of the organization to situations of massive human rights violations.

Embed a UN human rights perspective into UN strategies: The UNHQ needs stronger capacity to include human rights, IHL and international criminal law perspectives in overall analysis and strategy for any situation. It should also have stronger capacity to build political support from Member States for addressing grave concerns.

Strengthen the management of the UN’s crisis response: To ensure coherent UNHQ oversight for UN strategy and action, the Secretary-General should strengthen management of the whole-of-UN response to situations of massive human rights violations.

Promote accountability and responsibility: All staff should be fully informed of, and have easy access to, procedures under which allegations of serious misconduct by staff can be reported and promptly investigated.

Improve UN engagement with Member States and building of political support: For every such crisis, the Secretary-General must have an array of options that will permit him to fully inform Member States and suggest appropriate actions.

Better address violations of privileges and immunities: When a Member State engages in sustained actions against UN personnel and institutions, including violations of UN privileges and immunities, the Secretary-General should review options for response by the Secretariat and invite Member States to consider what action they could also take.

Coming at the beginning of his second term, the Secretary-General’s decision to commission an internal review is an extremely courageous step. The Panel believes that the report’s findings and recommendations provide an urgent and compelling platform for action. The UN’s failure to adequately respond to the events in Sri Lanka should not happen again. When confronted by similar situations, the UN should be able to meet a much higher standard in fulfilling its protection and humanitarian responsibilities. In support of this effort, the Panel strongly urges that its report be made public.