{"id":142956,"date":"2015-01-11T02:20:32","date_gmt":"2015-01-11T02:20:32","guid":{"rendered":"http:\/\/rinf.com\/alt-news\/?p=142956"},"modified":"2015-01-11T19:50:22","modified_gmt":"2015-01-11T19:50:22","slug":"ukraines-creditors-grab-biggest-pieces-carcass","status":"publish","type":"post","link":"http:\/\/rinf.com\/alt-news\/editorials\/ukraines-creditors-grab-biggest-pieces-carcass\/","title":{"rendered":"Ukraine&#8217;s Creditors Grab for the Biggest Pieces of Its Carcass"},"content":{"rendered":"<p>Eric Zuesse<\/p>\n<p>The lifelong Russia-enemy George Soros, and the Russian Government itself, are now openly fighting over which parts of the Ukrainian Government they\u2019ll be getting in <a href=\"http:\/\/www.forbes.com\/sites\/markadomanis\/2014\/04\/15\/ukraines-economy-is-nearing-collapse\/\">the bankruptcy proceeding that\u2019s already unofficially starting<\/a>.<\/p>\n<p>Here\u2019s the necessary background, so that the battle now occurring on the part of Ukraine\u2019s creditors can be truthfully and honestly understood:<\/p>\n<p><a href=\"http:\/\/deutsche-wirtschafts-nachrichten.de\/2015\/01\/10\/putin-gegen-soros-russland-greift-nach-eu-milliarden-fuer-die-ukraine\/\">In December 2013<\/a> \u2013 just before the overthrow of the Russia-friendly Ukrainian Government of Ukrainian President Viktor Yanukovych, by Soros\u2019s American President and <a href=\"http:\/\/www.opensecrets.org\/news\/2010\/09\/opensecrets-battle-koch-brothers\/\">major political-campaign investment<\/a>, Barack Obama \u2013 Russia lent Ukraine $3 billion with a contract saying that if Ukraine\u2019s debt would rise above 60% of Ukraine\u2019s GDP, then Russia would be able to demand immediate repayment, and Ukraine agreed to the contract\u2019s condition that Ukraine wouldn\u2019t pay a cent to any other creditor before the entire due-balance on this $3 billion loan is returned to Russia.<\/p>\n<p>Then, <a href=\"https:\/\/www.youtube.com\/watch?v=MSxaa-67yGM\">on 4 February 2014, Victoria Nuland of Obama\u2019s State Department selected Ukrainian banker Arseniy Yatsenyuk<\/a> as the person to take control over Ukraine as soon as <a href=\"http:\/\/www.liveleak.com\/view?i=81d_1403227131\">Obama\u2019s Ukrainian coup would occur, which turned out to be 18 days later, on February 22nd<\/a>.<\/p>\n<p>Soros\u2019s and Obama\u2019s plan was to privatize as much of the Ukrainian Government as possible in a fire-sale of its assets, such as <a href=\"http:\/\/www.congressionaldish.com\/cd067-what-do-we-want-in-ukraine\/\">the valuable gas-fields in the Yuzivska region in Ukraine\u2019s southeast (where the civil war now is)<\/a>, so that Soros and the other investors would be able to get their money back, with interest. Furthermore, inasmuch as only Soros and other insiders would be in on this fire-sale, those same people would also be the bidders; and thus Ukraine\u2019s assets would be sold to them at prices far lower than their actual worth as economic investments for the future. This would turn their prior Ukrainian bonds into super-discounted equity or stock in what now are Ukrainian Government-owned gas-fields, electrical power companies, factories, etc. Furthermore, <a href=\"http:\/\/www.globalresearch.ca\/ukraine-the-corporate-annexation-for-cargill-chevron-monsanto-its-a-gold-mine-of-profits\/5375170\">Western agribusiness giants are now coming into Western Ukraine<\/a> to buy up Ukrainian farmland, which is among the world\u2019s most-fertile.<\/p>\n<p>The basic privatization-scheme that\u2019s being used here had <a href=\"http:\/\/exiledonline.com\/larry-summers-a-suicidal-choice\/2\/\">originally been drawn up by the Harvard economist, and the then-World-Bank chief, Lawrence Summers, and by Harvard\u2019s Economics Department, in the 1990s, as being the way for American insider investors and the U.S.S.R.\u2019s Communist Party insiders, to buy the U.S.S.R.\u2019s assets dirt-cheap, and thereby profit from the dissolution of the U.S.S.R.<\/a> Those economists oversaw the sell-offs of industrial and other assets throughout many of <a href=\"http:\/\/en.wikipedia.org\/wiki\/Post-Soviet_states\">the 15 nations comprising the Soviet Union<\/a>, one of which is Ukraine, where the fire-sales are now occurring.<\/p>\n<p>With this as the background, the world\u2019s great newspaper, <em>German Economic News<\/em>, headlines, on January 10th (as translated by the present writer into English), <a href=\"http:\/\/deutsche-wirtschafts-nachrichten.de\/2015\/01\/10\/putin-gegen-soros-russland-greift-nach-eu-milliarden-fuer-die-ukraine\/\">\u201cPutin v. Soros: Russia Grabs for EU-Billions to Ukraine,\u201d<\/a> and reports that:<\/p>\n<p><em>\u201cJust a few days after Angela Merkel cleared the way for a 1.8 billion euro loan from the EU\u2019s tax-money for [Ukrainian Premier] Arseny \u2018Yaz\u2019 Yatsenyuk, Russia launched its interest in this money: Moscow is considering to mature a loan it had made to Kiev. Russia makes this move especially against the speculator George Soros.<\/em><\/p>\n<p><em>Ukraine&#8217;s \u2018Yaz\u2019 Yatsenyuk met with Chancellor Merkel, at the Chancellor&#8217;s Office, on Thursday [Jan. 8]. No sooner was the Premier assured by the EU of receiving 1.8 billion euros, than Russia intervenes for the money \u2013 Moscow may trigger the state bankruptcy of Ukraine.<\/em><\/p>\n<p><em>Russia could use the EU payments to Ukraine to mature a loan that is due at the end of January, and Kiev cannot use its own resources: Moscow could demand early repayment of a three-billion-dollar loan to Ukraine. Ukraine did not meet a number of conditions [of the loan-agreement], reported the Russian news agency RIA Novosti on Saturday [the 10th], citing government sources. Under these circumstances, Russia was forced to insist on the earlier payment.\u201d<\/em><\/p>\n<p>Soros has been lobbying very intensively, after the <a href=\"https:\/\/www.youtube.com\/watch?v=8-RyOaFwcEw\">coup<\/a> (see all about it by clicking on that link), to persuade the EU, IMF and U.S., to donate enough of Western taxpayers\u2019 money, so as to enable Ukraine to buy enough weapons to win its war against the rebelling portion of Ukraine \u2013 <a href=\"http:\/\/observationalism.com\/wp-content\/uploads\/2014\/01\/Ukraine_historical_vs_electoral_2010.png\">the region which had voted 90% for the overthrown former President, Viktor Yanukovych<\/a> \u2013 the region in Ukraine that\u2019s often called \u201cDonbass,\u201d which is in Ukraine\u2019s far east, and which has declared its independence, and which includes much of the Yuzivska gas-field. That region has consistently rejected the Obama-coup-imposed Government; and consequently its gas cannot be used to repay Ukraine\u2019s debts unless Ukraine regains control over that land, where now, almost certainly, even <em>more<\/em> than 90% of the people reject that Government. (Click <a href=\"http:\/\/www.washingtonsblog.com\/2014\/07\/america-guilty-dont-prosecute-obama.html\">here<\/a> in order to see the transcript of the EU officials\u2019 phone-conversation in which their Foreign-Affairs Minister Catherine Ashton was informed by her own investigator, on 25 February 2014, that Yanukovych had been overthrown in a violent coup, rather than himself perpetrated the bloodshed, and that Ukraine\u2019s current President, Petro Poroshenko, himself acknowledged to the EU\u2019s investigator at the time, that it was a coup \u2013 which Ashton hadn\u2019t known of until that moment.) This is the reason why the IMF informed the coup Government, on 1 May 2014, that unless it could regain control over the rebels\u2019 land, which means eliminate its residents (since they would never accept a Government that is set upon <a href=\"http:\/\/rinf.com\/alt-news\/editorials\/enemies-ukraine-speak\/\">exterminating them<\/a>), the IMF would stop lending (actually donating, since these \u2018loans\u2019 will come at the end of the long line in the bankruptcy proceeding that\u2019s now inevitable) Ukraine more of its Western taxpayers\u2019 money. Without those gas-fields and other assets, even the existing IMF loans to Ukraine wouldn\u2019t likely ever be able to be paid back. New IMF loans surely won\u2019t be.<\/p>\n<p>On 6 January 2015, an aide to Poroshenko announced that, as the news-headline on this story the following day phrased it, <a href=\"http:\/\/rinf.com\/alt-news\/featured\/ukraine-says-450-stolen-military-2014\/\">\u201cUkraine Says $450 Million Was Stolen from Its Military in 2014.\u201d<\/a> This report also noted that, \u201cThis amount happens to be precisely the same maximum amount of money that the U.S. Government, in legislation that was supported by more than 98% of U.S. Senators and Representatives and that was signed into law by U.S. President Barack Obama on December 18th, will donate to Ukraine\u2019s military for this year, 2015.\u201d <a href=\"http:\/\/rinf.com\/alt-news\/featured\/u-s-congress-now-virtually-100-ukraines-war-russia-americans-least-67-opposed\/\">Both Republicans and Democrats in the U.S. Congress overwhelmingly support Obama\u2019s ethnic-cleansing program to get rid of the people in that region of Ukraine and thus endorsed the $450 million donation by U.S. taxpayers.<\/a> However, if the people we\u2019re hiring to do that job are stealing as much money as we\u2019re donating to them, then people like Soros could end up losing money on their bond-investments. This is the reason why Soros is pressing the European Union to donate lots more of <em>their<\/em> taxpayers\u2019 money to this war. In the 5 February issue of the <em>New York Review of Books<\/em>, he says, <a href=\"http:\/\/www.nybooks.com\/articles\/archives\/2015\/feb\/05\/new-policy-rescue-ukraine\">\u201call the consequences of helping Ukraine would be positive. By enabling Ukraine to defend itself, Europe would be indirectly also defending itself.\u201d<\/a> He doesn\u2019t mention that Ukraine\u2019s Government resulted from a coup instead of from the anti-corruption demonstrators in the Maidan, and he portrays Russia\u2019s President Vladimir Putin as being the aggressor for accepting Crimea back into Russia (where it had been during 1783-1954), and not America\u2019s President Barack Obama as being the aggressor for perpetrating the coup and trying to oust Russia\u2019s Black Sea Fleet from Crimea. Soros says:<\/p>\n<p><em>\u201cPutin\u2019s ambition to recreate a Russian empire has unintentionally helped bring into being a new Ukraine that is opposed to Russia and seeks to become the opposite of the old Ukraine with its endemic corruption and ineffective government. The new Ukraine is led by the cream of civil society: young people, many of whom studied abroad and refused to join either government or business on their return because they found both of them repugnant. Many of them found their place in academic institutions, think tanks, and nongovernmental organizations. A widespread volunteer movement, of unprecedented scope and power unseen in other countries, has helped Ukraine to stand strong against Russian aggression.\u201d<\/em><\/p>\n<p><em><a href=\"http:\/\/rinf.com\/alt-news\/editorials\/meet-ukraines-master-mass-murderer-dmitriy-yarosh\/\">Here<\/a><\/em> is the type of <a href=\"https:\/\/www.youtube.com\/watch?v=c-NzhHv6AAo&amp;list=UUtvrV_ifhx0EDhmPPRl7adQ\">people<\/a> that Obama\u2019s team actually placed into control over the actually <a href=\"http:\/\/rinf.com\/alt-news\/editorials\/head-stratfor-private-cia-says-overthrow-yanukovych-blatant-coup-history\/\">coup<\/a>-Government. It\u2019s the opposite of \u201cthe cream of civil society.\u201d In fact, the very same person who is described there led the organization, called Right Sector, which perpetrated the <a href=\"http:\/\/www.washingtonsblog.com\/2014\/05\/videos-photos-odessan-massacre-done.html\">massacre of the people inside the Trade Unions Building in Odessa on May 2nd, the day after the IMF had said that if the opponents to the new regime weren\u2019t eliminated, IMF loans to Ukraine would stop.<\/a> And the main financier paying those Right Sector operatives to do that was <a href=\"http:\/\/www.washingtonsblog.com\/2014\/05\/key-man-behind-may-2nd-odessa-ukraine-trade-unions-building-massacre-many-connections-white-house.html\">this man, who recently hired two young people who are closely associated with the Obama White House<\/a>.<\/p>\n<p>The Russian novelist Zakhar Prilepin was quoted on 3 January 2015 in <a href=\"http:\/\/rian.com.ua\/interview\/20150103\/361689127.html\">an interview by RIA Novosti Ukraine<\/a>, after having travelled through Donbass and spoken with many people there, in order to understand why the separation from Ukraine had occurred. He said:<\/p>\n<p><em>\u201cI thoroughly questioned local guys what led them to battle, I think Ukraine should know the answers. One of the main points of reference was not even Maidan [the demonstrations, and the extreme violence there that produced the coup in February], which many looked upon with distaste, but suffered, and namely it [the start of the civil war] was the events in Odessa [the May 2nd massacre in Odessa] \u2013 and the reaction of thousands of Ukrainian bloggers on this obvious atrocity.\u201d<\/em><\/p>\n<p>In other words: Until the massacre in Odessa, residents in Donbass were willing to have some kind of federation arrangement with the post-coup Government; but, after the massacre, they knew that <a href=\"http:\/\/www.nakedcapitalism.com\/2014\/08\/michael-hudson-frackingworld-bankimfhunter-biden-dismantling-plan-ukraine.html\">this new Government<\/a> wanted them <a href=\"http:\/\/www.liveleak.com\/view?i=703_1406188532\">dead<\/a>. That massacre was thus the real start of Ukraine\u2019s civil war.<\/p>\n<p>Soros\u2019s International Renaissance Foundation (or Fund) was one of the three top financial backers of Ukraine\u2019s Hromadske TV, which <a href=\"http:\/\/vineyardsaker.blogspot.com\/2014\/08\/its-perfectly-simple-you-need-to-kill.html\">interviewed<\/a> (and never criticized) a guest who said:<\/p>\n<p><em>\u201cDonbass, in general, is not simply a region in a very depressed condition, it has got a whole number of problems, the biggest of which is that it is severely overpopulated with people nobody has any use for. Trust me I know perfectly well what I am saying. If we take, for example, just the Donetsk oblast, there are approximately 4 million inhabitants, at least 1.5 million of which are superfluous. That&#8217;s what I mean: we don&#8217;t need to [try to] \u2018understand\u2019 Donbass, we need to understand Ukrainian national interests. Donbass must be exploited as a resource, which it is. I don&#8217;t claim to have a quick solution recipe, but the most important thing that must be done \u2013 no matter how cruel it may sound \u2013 is that there is a certain category of people that must be exterminated.\u201d<\/em><\/p>\n<p>The other main funders of Hromadske TV are the U.S. Government and the Netherlands Government.<\/p>\n<p>Soros\u2019s <em>NYRB<\/em> article closes with a five-point analysis of where the tens of billions of dollars that will be required in order to exterminate those people should come from. He lists: Balance of Payments Assistance, European Financial Stability Mechanism, Macro-Financial Assistance Facility, European Union, IMF, Extended Fund Facility, European Investment Bank, World Bank, European Bank for Reconstruction and Development, Paris Club.<\/p>\n<p>He says that if they don\u2019t come up with the funds: \u201cEurope will be left on its own to defend itself against Russian aggression, and Europe will have abandoned the values and principles on which the European Union was founded. That would be an irreparable loss.\u201d<\/p>\n<p>On 1 January 2015, he headlined a Project Syndicate oped at Live Mint and other sites, <a href=\"http:\/\/www.livemint.com\/Opinion\/vMhn5F3UZO8miWQ86TnXmK\/George-Soros--Europe-at-war.html\">\u201cEurope at War: Supporting the New Ukraine in 2015 and Beyond Is the Most Cost-Effective Investment the EU Could Make,\u201d<\/a> and he said:<\/p>\n<p><em>By invading Ukraine in 2014, President Vladimir Putin\u2019s Russia has posed a fundamental challenge to the values and principles on which the European Union (EU) was founded. \u2026<\/em><\/p>\n<p><em>Putin\u2019s regime is based on rule by force, manifested in repression at home and aggression abroad. \u2026<\/em><\/p>\n<p><em>Russia annexed Crimea and established separatist enclaves in eastern Ukraine\u2019s Donbas region. \u2026<\/em><\/p>\n<p><em>The West, sadly, has provided embattled Ukraine with only a fa\u00c3\u00a7ade of support. \u2026<\/em><\/p>\n<p><em>All available resources should be put to work in the war effort, even if that requires running up budget deficits. Europe is fortunate that German Chancellor Angela Merkel has behaved as a true European with regard to the threat posed by Russia. \u2026<\/em><\/p>\n<p><em>Helping Ukraine to defend itself against Russian aggression would have a stimulative effect on Ukraine and Europe. The EU\u2019s members are at war\u2013and they need to start acting like it. \u2026<\/em><\/p>\n<p><em>Ukraine needs an immediate cash injection of, say, $20 billion, with a promise of more when needed. \u2026<\/em><\/p>\n<p><em>The \u201cnew Ukraine\u201d is resolutely pro-European. \u2026<\/em><\/p>\n<p><em>Supporting the new Ukraine in 2015 and beyond is the most cost-effective investment the EU could make.<\/em><\/p>\n<p>His call here was a more detailed presentation of the argument that the <em>Financial Times<\/em> had made earlier, on 30 November 2014, under the headline, <a href=\"http:\/\/www.ft.com\/intl\/cms\/s\/0\/91620f78-76f5-11e4-944f-00144feabdc0.html\">\u201cThe Economic Collapse of Ukraine Must Be Halted: The IMF and Western donors need to inject $15bn of emergency funding.\u201d<\/a> Nobody mentions that those \u201cWestern donors\u201d are taxpayers, and that the Ukrainian public aren\u2019t being bailed out but that the Western aristocracy is.<\/p>\n<p>However, Arseniy Yatsenyuk himself said essentially this very thing, on 9 January 2015, under a Ukrainian site\u2019s headline (translated here) <a href=\"http:\/\/www.unn.com.ua\/ru\/news\/1424770-groshi-mvf-pidut-tilki-na-viplatu-zovnishnikh-borgiv-a-yatsenyuk\">\u201cIMF money will be used only for the payment of foreign debts &#8211; Yatseniuk,\u201d<\/a> which presented this quotation from him:<\/p>\n<p><em>\u201cI would also like to note that the money that we get in the framework of international financial assistance, does not go to finance the state budget deficit, it does not go to the payment of pensions, does not go to the payment of wages. All of this is happening in the first place, to perform our external obligations.\u201d<\/em><\/p>\n<p>Those \u201cexternal obligations\u201d were first stated, on 1 May 2014, by the IMF, when it demanded, basically, that the people in Donbass be exterminated. Western aristocrats want the <a href=\"http:\/\/rinf.com\/alt-news\/editorials\/obama-definitely-caused-malaysian-airliner-downed\/\">land<\/a> that\u2019s there, not <a href=\"http:\/\/rinf.com\/alt-news\/editorials\/obamas-ukrainian-stooges\/\">the people who live on it<\/a>. And Western taxpayers are supposed to foot the bill in order to get rid of the residents in Donbass.<\/p>\n<p>This is the deal that\u2019s being proposed \u2013 and <a href=\"http:\/\/rinf.com\/alt-news\/featured\/u-s-congress-now-virtually-100-ukraines-war-russia-americans-least-67-opposed\/\">executed<\/a> \u2013 in Western \u2018democracies.\u2019<\/p>\n<p>&#8212;&#8212;&#8212;-<\/p>\n<p>Investigative historian Eric Zuesse is the author, most recently, of <a href=\"http:\/\/www.amazon.com\/Theyre-Not-Even-Close-Democratic\/dp\/1880026090\/ref=sr_1_9?ie=UTF8&amp;qid=1339027537&amp;sr=8-9\"><em>They\u2019re Not Even Close: The Democratic vs. Republican Economic Records, 1910-2010<\/em><\/a><em>,<\/em> and of <em>\u00a0<a href=\"http:\/\/www.amazon.com\/dp\/B007Q1H4EG\">CHRIST\u2019S VENTRILOQUISTS: The Event that Created Christianity<\/a>.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Eric Zuesse The lifelong Russia-enemy George Soros, and the Russian Government itself, are now openly fighting over which parts of the Ukrainian Government they\u2019ll be getting in the bankruptcy proceeding that\u2019s already unofficially starting. Here\u2019s the necessary background, so that the battle now occurring on the part of Ukraine\u2019s creditors can be truthfully and honestly [&hellip;]<\/p>\n","protected":false},"author":1254,"featured_media":142628,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[461,1622],"tags":[115,30,32,96,535,59,77,524,523,49,76,40],"class_list":{"0":"post-142956","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-editorials","8":"category-featured","9":"tag-barack-obama","10":"tag-big-brother","11":"tag-cia","12":"tag-cover-up","13":"tag-global-news","14":"tag-military","15":"tag-oil","16":"tag-russia","17":"tag-ukraine","18":"tag-usa-news","19":"tag-warfare","20":"tag-white-house"},"_links":{"self":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/posts\/142956","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/users\/1254"}],"replies":[{"embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/comments?post=142956"}],"version-history":[{"count":0,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/posts\/142956\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/media\/142628"}],"wp:attachment":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/media?parent=142956"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/categories?post=142956"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/tags?post=142956"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}