McCain pushed for land swap that would have benefited Keating associate

[DogPoundPup]

Source: News Observer / McClatchy Newspapers

WASHINGTON - Years after he resurrected his political fortunes from the Keating Five savings and loan investigation, John McCain promoted an Arizona land swap that would have benefited a former mentor and partner of the scandal's central figure.

The owners of the Spur Cross Ranch, a dramatic 2,154-acre tract of Sonoran desert just north of Phoenix, in the late 1990s sought to sell it to a developer who planned to build a premier golf course surrounded by 390 luxury homes.

Nearby residents and environmentalists, however, wanted to preserve the area's unusual cacti, stone formations and hundreds of Hopi Indian tribal artifacts.

After opposition surfaced, the developer sought McCain's help in forging a land swap with the U.S. Forest Service - a deal that also would benefit the owners of the ranch, including a company controlled by billionaire Carl H. Lindner Jr., an associate of S&L chief Charles H. Keating.

Read more: http://www.newsobserver.com/1573/story/1271052.html

[crossroads]

1. Very interesting and typical! k&r

[Gillian]

2. Nambe´s grandmother was born on this land.

She and her parents were among the ¨environmentalists´ mentioned in the article. She does not like to talk about it but I don´t think she will mind me posting this.

[BunkerHill24]

3. .....Off to the Greatest Page for you!

[Kali]

4. Hopi? I don't think so. Probably Hohokam.

[leveymg]

5. McCain Still Getting Big Campaign $$$s from Lindner, Who Has BCCI & Mob Ties. Quid Pro Quo?

See, http://journals.democraticunderground.com/leveymg/385

McCain Still Receives Big $$$s from Keating S&L Figure Linked to BCCI and Organized Crime

Posted by leveymg in General Discussion
Thu Aug 21st 2008, 06:18 PM

A lot of people are familiar with S&L crook Charles Keating's illegal contributions to John McCain in the 1980s. What most don't know, however, was that Keating was implicated in the BCCI takeover of a number of S&Ls, including his own. With me, so far?

Carl Lindner, an Ohio billionaire with CIA and underworld connections who owned Chiquita Bananas, was Charles Keating's original partner, banker, and mentor. Lindner got Keating wrapped up with schemes involving the usual cast of BCCI characters, shady Saudi bankers, the Bush family, and Iran-Contra money laundering. Keating was always a sort of pass-through guy, without any real money of his own. But, a lot of money flowed through Keating to McCain and his wife, Cindy, in an Arizona real estate scam. Lindner who was recently convicted of financing Right-wing death squads in Colombia, is still giving big, dirty campaign checks to McCain. Now, that's a story that the American people need to hear.

leveymg's Journal - THE CRIMES AND COVERUPS OF JOHN McCAIN, “REFORMER” Jun 3, 2008 ... Like the Bush Family, McCain had his Hand in the BCCI and S&L Scandals McCain claims that his involvement in the Keating S&L scandal wasn’t ...
http://journals.democraticunderground.com/... - 48k

McCain Backer's Firm Pleaded Guilty To Funding Terrorist Group In Colombia ...Jul 2, 2008 ... Late last week, Lindner co-hosted a $25000-per-person fundraiser for McCain and the Republican Party in the wealthy Indian Hills ...
http://www.huffingtonpost.com/2008/07/02/m... - 146k -

The public should get a view into the background of Lindner, Keating and McCain, which essentially boils down to big Mafia money that has flowed into the GOP and various extreme Rightist groups around the world since Meyer Lansky made a deal with the Republicans in the mid-1940s. John McCain got onto the mob pad because he was willing to do business, and Cindy's father was a long-time wise guy in the Bronfman-Marley liquor racket. In exchange for their legalized gambling and liquor concessions, Top Bosses Lansky and Giancana straightened up the mob's image in the southwest, in exchange the GOP (along with elements of the CIA) got a piece of the action. See, http://www.mail-archive.com/ctrl@listserv....

During the high points of Keating's reign the
big man in Arizona was Kemper Marley. Marley was the first and
only billionaire in Arizona. His wealth was based originally on
a liquor monopoly conferred upon him by Sam Bronfman of the
SEAGRAMS family. In Arizona Marley was all powerful.

In 1948, fifty two employees of Kemper Marley's wholely
owned company, UNITED LIQUOR, went to prison on federal liquor
violations -- including Gene Hensley, the father-in-law of
Arizona Senator John McCain. Gene Hensley was Kemper Marley's
UNITED LIQUOR general manager. On the basis of so many
prosecutions some people might feel UNITED LIQUOR could qualify
as organized crime. The slick attorney who kept Marley out of
this trial and sent McCain's father-in-law to prison in his place
was William Rehnquist -- currently the Chief Justice of the U.S.
Supreme Court.

It was the judgement of the court that Gene Hensley would
be prohibited from ever working in the liquor industry. Of
course such judgments meant nothing to Marley. When Gene Hensley
got out of prison Marley arranged a BUDWIESER distributorship for
Hensley which is now in the hands of Senator John McCain and
reported to be worth $50 million!

The best source for an introduction to the environment of
total political corruption in Arizona is the book, THE ARIZONA
PROJECT: HOW A TEAM OF INVESTIGATIVE REPORTERS GOT REVENGE ON
DEADLINE. In graphic detail journalist Michael Wendland links the
most prominent people in Arizona with various organized crime
king pins. Wendland was part of the group called INVESTIGATIVE
REPORTERS AND EDITORS who came to Phoenix in the wake of the
fatal car bombing of the ARIZONA REPUBLIC's investigative
reporter, Don Bolles. It was the conclusion of this group that
Marley, by far the wealthiest man in Arizona, was behind this
murder.

According to intelligence sources of the Phoenix police, who
prepared a background profile of Kemper Marley the week following
the Bolles murder, Marley was at one time directly connected to
the remnants of the old Al Capone mob.

When Marley died July 1990 he owned 5 square miles of
Carefree )*) the highest priced real estate in Arizona. The
smallest lot in this most exclusive township is zoned for one
acre. By some coincidence the Tax Accessor made the same mistake
evaluating Marley's properties as he did on Charlie Keating's
properties. This oversight was saving Marley a million dollars a
year. Of course the official investigation showed no wrongdoing
in either case.

For the last 45 years Marley bankrolled the Republican Party
which doled out Marley's great wealth to a slate of Republican
candidates who were almost universally successful in obtaining
high political office. Marley was able to control the Democratic
party as well. Every current congressman and every senator in
Arizona owes his position to the Marley machine. These office
holders include "Keating Five" Senators John McCain and Dennis
DeConcini as well as former State Attorney General, Bob Corbin.

At one point Marley served as Chairman of the Board of the VALLEY NATIONAL BANK. When
Bugsy Siegel, on instructions from Meyer Lansky, built the FLAMINGO CLUB,
Las Vegas's first casino, the money was borrowed from the VALLEY NATIONAL
BANK.

Also, see, http://journals.democraticunderground.com/leveymg/365

THE CRIMES AND COVERUPS OF JOHN McCAIN, “REFORMER”
Posted by leveymg in General Discussion
Tue Jun 03rd 2008, 10:47 AM
Part 2: McCain’s 30-Years of Service to Saudi Bank Raiders and Junk Bond Kings

From BCCI, to Milken’s Junk Bond Kings, to Jack Abramoff, Senator John McCain has long provided the clean All-American face to the dirty job of cleaning up after the looting of America.

Senator John McCain has made a career out of serving the Kingdom of Saudi Arabia and its army of lobbyists, bagmen, and corrupt bankers during the last three decades.

In the process, he has done his part to cover-up BCCI’s looting of American banks and S&Ls, helped Ahmed Chalabi sell phony Iraq WMD information to Senate colleagues and to his constituents (see, Part 1, http://journals.democraticunderground.com/... ), and more than anyone else, limited the public’s awareness of Jack Abamoff’s wholesale foreign buyout of the GOP, activities that individually have killed the careers of other Washington luminaries. Yet, somehow, John McCain remains the last man standing. He even appears to keep his hands clean.



The Saudi-Manchurian Candidate

The Senator’s patented role as All-American influence peddler to the world now includes the latest flap over his national campaign finance co-chair’s lucrative deals as a Saudi lobbyist and revelations about possible violations of federal campaign laws.

Tom Loeffler, McCain’s finance co-chair received $15 million from Saudi clients since 2002, is just part of a long conduit in the petrodollar pipeline from Riyadh to the Senator from Arizona. The Loeffler Group, which he founded, has also represented the People’s Republic of China.

Under Loeffler, the campaign has brought in more than $50 million for McCain so far this year, far more than was raised during all of 2007 when the GOP candidate faced a weak field of primary competitors. OpenSecrets.com shows that Loeffler and his wife, Nancy, have made a total of fifteen $2,300 maximum personal contributions to McCain during the past year.

The latest revelation of McCain’s connection to Arab oil money, and corruption within his campaign, came after the May 17 issue of NEWSWEEK reported: http://www.newsweek.com/id/137522

Loeffler last month told a reporter "at no time have I discussed my clients with John McCain." But lobbying disclosure records reviewed by NEWSWEEK show that on May 17, 2006, Loeffler listed meeting McCain along with the Saudi ambassador to "discuss US-Kingdom of Saudi Arabia relations."

Another potential problem: Loeffler's firm started paying $15,000 a month last summer to one of its lobbyists, Susan Nelson, after she left to become McCain's full-time finance director, said a source familiar with the arrangement (who asked not to be identified talking about sensitive matters). Campaign officials were told the payments were "severance" for Nelson and that they ended by November. But in "February or March," Loeffler rehired Nelson as a consultant to "help him with his clients" while she continued on the McCain payroll, according to a campaign official who asked not to be identified talking about personnel matters. Federal election law prohibits any outside entity from subsidizing the income of campaign workers. . . .Also last week, energy adviser Eric Burgeson was ousted.


Burgeson reportedly represented the Gulf emirate state of Qatar, along with several major multinational energy companies. See, http://radio.weblogs.com/0145903/2008/05/2...

McCain is, indeed, in good favor among the Saudi and Gulf elites. Bloomberg reports: http://www.bloomberg.com/apps/news?pid=206...

Saudis are privately rooting for the presumptive Republican nominee, discounting some of his rhetoric because he's the only candidate to promise to keep U.S. troops in Iraq and to deter Iran.

``The royal family and other elites would like to see McCain,'' Mai Yamani, a visiting scholar with the Carnegie Middle East Center in Beirut, said yesterday in a telephone interview from London.

``He would keep the troops in Iraq, and that is their main worry, that the U.S. may withdraw or minimize its presence,'' said Yamani, whose father, Sheikh Ahmed Zaki Yamani, was the kingdom's oil minister from 1962 to 1986.


When McCain belatedly ordered his campaign to sever Loeffler, Nelson and Burgeson he may have wished he could so easily jettison the rest of the crude oil covered skeletons from his closet.

Like the Bush Family, McCain had his Hand in the BCCI and S&L Scandals

McCain claims that his involvement in the Keating S&L scandal wasn’t really much to worry ourselves about. He was all but exonerated by his Senate colleagues, he says, let off with the political equivalent of a warning at a traffic stop. In fact, the Senate Ethics Committee was rather lenient with all five caught up in the scandal. But, that says more about the nature of the Senate than it does about the actual damage done to the American public by the financial crimes that led to the S&L collapse, itself.

The S&L crisis was all about oil, junk bonds, and deregulation that allowed the two to mix. That volatile brew is still actively bubbling over,and taxpayers are still paying $30 billion annual installments toward the trillion dollar bailout.

Here's how you got stuck paying the bill, courtesy of the Bush family and John McCain.

In the mid-1980s, world oil prices plunged which set off a long series of bankruptcies and financial takeovers when overvalued Texas and southwestern land prices collapsed. The financial panic of 1988 also followed the “reform” of federal banking rules that had allowed bank managers to trade in risky new derivatives and junk bonds.

This tidal wave of bankruptcies in the oil patch created a huge buying opportunity for anyone with ready cash. The problem was, these were hard times on Wall Street after the sudden panic sell-off on October 1987. But, someone did step in once prices were sufficiently discounted. Huge bank holding companies scooped up looted banks and S&Ls (along with their land deeds and oil rights), bought out for pennies on the dollar after they went belly-up. The federal government even subsidized many of these purchases. The American taxpayer was left with an estimated $1 trillion bailout cost. The epicenters of this late 20th Century white collar crime wave were in Houston and Phoenix, home base for two highly ambitious GOP politicians. One was named George H.W. Bush, and the other John McCain, III.

McCain and BCCI, the Bush Bank

Before he was selected to as Ronald Reagan’s 1980 running mate, George H.W. Bush had a short and little-known career as an international banker. That effectively started in 1976, while Bush was still CIA Director, a post he held for part of the Nixon and Ford Administration. In the final months of the Ford presidency, Bush made a deal with the newly-appointed head of Saudi General Intelligence Directorate, Prince Turki al-Faisal. The two spy chiefs agreed the CIA would look the other way while the Saudis ran their own global operations. In exchange, the Saudis financed the sort of black ops that had been banned by the Democratic Congress after Watergate and the Church Committee hearings. The arrangement was called “The Safari Club” , and the funding mechanism for this was the Bank of Credit and Commerce International, “BCCI”. See, http://www.dailykos.com/story/2007/7/8/146... ; http://www.saudiembassy.net/2006News/State...

Newly-elected President Jimmy Carter fired the CIA Director. In early 1977, Houston banker Joe Allbritton appointed Bush to direct his First International Bancshares (dba, First Interbank) and its London and Luxembourg affiliates. According to Kevin Phillips, Bush’s bank was among the first outposts in America for BCCI. http://www.commondreams.org/views04/0111-0... In the early 1980s, Allbritton followed G.H.W. to Washington, purchasing Riggs Bank, installing brother Jonathan Bush as a Director.

Riggs closed in 2004 after being fined $25 million dollars for violation of federal money laundering and anti-terrorism laws. Riggs had catered to high-end foreign customers and the diplomatic trade in Washington, as well as having “a relationship” with the CIA. http://www.slate.com/id/2112015 / After 9/11, the bank was found to have transferred money from Saudi Embassy accounts that ended up supporting two of the 9/11 hijackers, Flt. 77 leaders Nawaf al-Hazmi and Khaleed al-Midhar after their arrival in the U.S. See, http://www.usatoday.com/money/industries/b...

Know Your Banking Customer: Salem Bin Laden

Meanwhile, back in Texas, First Interbank merged with Jim Baker’s Republic Bank, in which the Saudis had taken a stake with the 1978 purchase of the bank’ headquarters building by members of the Bin-Laden and bin-Mahfouz families. The merger of these two Texas banks several years later created the largest regional financial institution in the U.S. Infused with capital from Saudi Arabia, First RepublicBank went on a massive bargain buying binge in the Southwest oil patch. http://www.guardian.co.uk/media/2004/mar/3...

This Saudi-financed merger of the Bush bank with the Baker bank created the nation’s largest bank holding company, and soon the largest bank failure, resulting in a $1 billion tax-payer funded bailout in 1987. This was to become a pattern for the trillion dollar rip-off to come. See, http://query.nytimes.com/gst/fullpage.html...

McCain's Role in Covering Up the The Trillion Dollar Bank Heist

It’s been said that the American people didn’t become very angry about the S&L crisis because the explanations given for what caused it were too complicated for many to comprehend. That seems to have set a pattern for financial scandals to follow. Nobody dared tell the American public – although the 1992 Kerry Commission report came close -- that their financial system was being looted by a well-funded, highly-organized global criminal organization with ties to half a dozen of the world’s most powerful intelligence services, including elements of the U.S. Central Intelligence Agency. They didn't name CIA Headquarters, "The George H.W. Bush Intelligence Center" for nothing. See,
http://www.fas.org/irp/congress/1992_rpt/b...



Buried in all this muck is the thread running through all these financial scandals – from Keating to Silverado to First RepublicBank to BCCI to Enron -- has been corrupt management, corrupt officials, corrupt intelligence operatives, and corrupt auditors. See, http://www.theatlantic.com/issues/92jan/st...

As the group’s scams became more sophisticated and wide-ranging, the price tag for bail-outs escalated. The federal rescue of Neil Bush’ Silverado S&L cost the taxpayer $1.3 billion. The price tag for Charles Keating’s Lincoln Savings & Loan bailout eventually reached $2.6 billion. http://www.slate.com/id/1004633 BCCI was termed “the $20-billion-plus heist.” (Beatty, Jonathan; S.C. Gwynne. The Outlaw Bank: A Wild Ride Into the Secret Heart of BCCI Beard Books (1993)). Finally, the Federal Energy Regulatory Commission (FERC) estimated that Enron fleeced ratepayers of $30 billion, creating the 2001 California energy crisis. On November 15, 2005, FERC settled with Enron’s receivers for a mere $1.5 billion. http://www.ferc.gov/industries/electric/in...

The Keating S&L scandal was part of a now-familiar pattern of transnational commodities price-fixing, land grabs, stock-price rigging, fraudulent audits, financial panic, and public bailouts, all carried out by an overlapping cast of characters with ties to foreign and domestic intelligence agencies. Amidst the financial panic of 1986-88 that followed the drop of a barrel of oil from $39 to $13, many of these banks and S&Ls (and their land deeds and oil rights) were bought out for pennies on the dollar. More than a thousand deregulated financial institutions went belly up and were looted. Deregulation allowed crooked bank managers to cash in on the junk bond craze that was sweeping Wall Street. Banks and S&Ls issued unsecured notes and plots of land and traded them in circles with other institutions to ring up the notional value to support cash-out loans for themselves and their partners.

This is precisely the sort of round-robin games that Neil Bush, Director of Silverado S&L played with Charles Keating and his partners, Saudi European Investment Corp’s board and officers – Roger Tamraz, Tolat Othman, Abdullah Taha Bakhsh, Abbas Gokal -- along with other BCCI players. All told, the S&L scandal left the American taxpayer holding the tab for an estimated $1 trillion bailout. See, Steven Wilmsen: Silverado: Neil Bush and the Savings & Loan Scandal, p. 81; http://www.netmagic.net/~franklin/SS1.html ;
http://72.14.205.104/search?q=cache:IpskRJ... ;
http://caselaw.lp.findlaw.com/cgi-bin/getc...

It was during this period that the Saudis and Gulf states leveraged their earnings from American bank acquisitions through junk-bond mills, and then moved on to the 1996 Chemical-Chase and Citi banks consolidations in New York. http://query.nytimes.com/gst/fullpage.html... Today, Prince Alaweed’s Kingdom Holdings owns a substantial and growing share of Citicorp, the largest bank in America, along with a portfolio of the nation’s largest financial, technology and media corporations. A similar process of slash and burn acquisition of the U.S. financial industry is now going on with the collapse of the U.S. mortgage and derivatives markets. See, http://www.marketwatch.com/news/story/week... ; http://www.nytimes.com/2008/01/11/business...

A major figure in the Keating S&L case was Carl Linder, known as the “father figure” to junk bond king Michael Milken, and the single largest purchaser of Milken’s junk bonds. http://www.motherjones.com/news/special_re...

“Lindner, a wealthy businessman from Cincinnati, Ohio owned the American Financial Corporation (AFC). In 1976, Keating bought a subsidiary of AFC called American Continental Homes from Lindner, which Keating later renamed American Continental Corporation (ACC). ACC embarked on several ambitious real estate development projects, mostly in Arizona and Colorado. To finance its activities, ACC set up its own in-house mortgage company and was a pioneer in creating the type of financial package and instrument known as the ‘mortgage-backed security.’” See, http://law.jrank.org/pages/3505/Charles-Ke...


To recap, the context of the Keating S&L scandal was manipulation of world oil prices following the 1979 Iranian revolution and a loosening of regulatory oversight that set off a wave of bank failures across the American oil patch. Into this mix enters BCCI’s global raiders and junk bond traders, who cash cow the giant bank holding companies and leverage their assets into a play to take over the American banking industry. Finally, to top it off, the Bush presidency and elements of U.S. intelligence engage in a massive cover up of these global financial mechanizations in an effort to protect their international partners. It’s in this context that one needs to re-examine the role of John McCain in the Keating S&L scandal. McCain has always been a conciliator and clean-up specialist – in the case of the Keating S&L, the purpose was to protect a group of junk bond salesmen and Arab bank raiders, but, most of all to shield the Bush wing of the CIA and corrupt lawmakers – and put an attractive, all-American face of “reform” on cleaning up the mess afterwards. This is precisely the coverup routine McCain repeated twenty years later in the Abramoff case.

McCain and Enron

Throughout his career, McCain has been an enthusiastic champion of financial industry deregulation as a member of the Senate Commerce Committee from 1997-2001 and 2003-2005. McCain voted, according to a Washington Post financial columnist, with his “campaign's general co-chairman and domestic policy adviser, former Texas senator Phil Gramm. The Politico's Lisa Lerer reports that not only did Gramm author the 1999 legislation that repealed Glass-Steagall, the New Deal law restricting the speculative activities of banks, but after Gramm left the Senate, he lobbied Congress on behalf of the Swiss bank UBS when the banking lobby wanted Congress to overturn state laws restricting predatory lending and the issuance of mortgages to prospective home owners who could not afford them.” http://www.washingtonpost.com/wp-dyn/conte... McCain, like Gramm, has been a supporter of the “Enron Loophole” that allowed Amaranth Advisors hedge fund, a commodities futures trading company, to attempt in 2006 to corner the natural gas market, a criminal violation for which the fund was recently handed a $300 million fine. http://www.consortiumnews.com/2008/051908a...

McCain also has a direct connection with Enron, having received money in campaign contributions from Ken Lay’s Death Star. "We're all tainted by the millions and millions of dollars that were contributed by Enron executives," John McCain told CBS' "Face the Nation" Sunday. McCain then acknowledged receiving $9,500 from Enron in two campaigns. http://www.time.com/time/business/article/... Gramm’s wife, Wendy, was on the Enron Board of Directors, and Gramm was the architect of much of the “reform” while he chaired the Senate Banking Committee, including a move to exempt electronic trading of electricity from regulatory oversight. According to Time Magazine, Gramm and his wife were at the forefront of many of the illicit practices that led to the firm’s massive ripoffs and ultimate collapse:

On Jan. 14, 1993, in the final days of the first Bush administration, Wendy Gramm – as chairwoman of the Commodity Futures Trading Commission – pushed through a key regulatory exemption removing energy derivatives contracts and interest-rate swaps from federal oversight.

That was a major financial boon to Enron, where Wendy Gramm landed five weeks later as a member of the board of directors. She also became a member of the audit committee that signed off on another one of Enron’s fraudulent schemes, partnerships that hid the company’s growing debt.


McCain claims that his role in Keating was merely to help out a local constituent in dealing with Washington bank regulators. McCain, his current wife, and father-in-law were, in fact, Charles Keating’s business partners in a Phoenix shopping mall, received in excess of one hundred thousand dollars in campaign contributions from Keating, and accompanied Keating on his private jet to his private resort in the Bahamas on multiple occasions, gifts which McCain did not report until they were discovered. Yet, McCain, hand-picked as Barry Goldwater’s successor, got a slap on the wrist from the Senate Ethics Committee when this came out in the Keating-Five inquiry.

A second Senate panel wasn’t so sanguine. The 1992 Kerry Commission report concluded that the Keating affair was far more serious than a mere domestic banking scandal: “the financial dealings of BCCI directors with Charles Keating and several Keating affiliates and front-companies, includ(e) the possibility that BCCI related entities may have laundered funds for Keating to move them outside the United States.” http://www.fas.org/irp/congress/1992_rpt/b... Out of the five Senators accused, only McCain and Glenn ever ran again for office, with McCain the sole survivor.
____________________________________________

[mod mom]

7. A BIG thanks from someone in Ohio who wants to clean up the corruption!

[mod mom]

8. On Lindner, Chiquita & their terrorism:

Last week, in one of the largest and most unusual settlements by a news organization, The Cincinnati Enquirer published an apology across the top of its front page and said it had agreed to pay Chiquita Brands International Inc. more than $10 million to avoid being sued for a series of articles that exposed the fruit company's criminal practices.

The articles, which appeared in an 18-page special section on May 3rd, were partially based on 2,000 internal voice mails that were said to have been obtained from "a high ranking Chiquita executive."

-snip




Nevertheless, the Enquirer has erased all the articles from its website; previously existing links on the internet to the stories now all lead to the Enquirer's apology to Chiquita instead.

Chiquita, formerly known as the United Fruit Company, is the world s largest banana producer. Among the illegal Chiquita practices uncovered by the Enquirer s investigation:

Chiquita secretly controls dozens of supposedly independent banana companies. It also suppresses union activity on the farms it controls.
Despite its pact with environmental groups to abide by pesticide safety standards, Chiquita subsidiaries have used pesticides in Central America that are banned in the U.S., Canada, and the European Union. Chiquita also released harmful toxic chemicals into farms, killing at least one worker in Costa Rica according to a coroner's report.
Chiquita's fruit transport ships have been used to smuggle cocaine into Europe. More than a ton of cocaine was seized from 7 Chiquita ships in 1997. (The Enquirer story says the illegal shipment was traced to lax Colombian security rather than to Chiquita)
Chiquita executives bribed Colombian officials
Chiquita called in the Honduran military to evict residents of a farm village; the soldiers forced the farmers out at gunpoint, and the village was bulldozed.
An employee of a competitor filed a federal lawsuit charging that armed men hired by Chiquita tried to kidnap him in Honduras.


-snip
http://www.democracynow.org/article.pl?sid=03/04/07/0342243

In Terrorism-Law Case, Chiquita Points to U.S.
Firm Says It Awaited Justice Dept. Advice
By Carol D. Leonnig
Washington Post Staff Writer
Thursday, August 2, 2007; Page A01



On April 24, 2003, a board member of Chiquita International Brands disclosed to a top official at the Justice Department that the king of the banana trade was evidently breaking the nation's anti-terrorism laws.

Roderick M. Hills, who had sought the meeting with former law firm colleague Michael Chertoff, explained that Chiquita was paying "protection money" to a Colombian paramilitary group on the U.S. government's list of terrorist organizations. Hills said he knew that such payments were illegal, according to sources and court records, but said that he needed Chertoff's advice.

Chiquita, Hills said, would have to pull out of the country if it could not continue to pay the violent right-wing group to secure its Colombian banana plantations. Chertoff, then assistant attorney general and now secretary of homeland security, affirmed that the payments were illegal but said to wait for more feedback, according to five sources familiar with the meeting.

Justice officials have acknowledged in court papers that an official at the meeting said they understood Chiquita's situation was "complicated," and three of the sources identified that official as Chertoff. They said he promised to get back to the company after conferring with national security advisers and the State Department about the larger ramifications for U.S. interests if the corporate giant pulled out overnight.

-snip

http://www.washingtonpost.com/wp-dyn/content/article/2007/08/01/AR2007080102601.html?hpid=topnews




-snip

A "false and misleading picture"? The Enquirer's lawyers may have found it necessary to bend over fast and far. But in fact the "Chiquita Secrets Revealed" series presents a damning, carefully documented array of charges, most of them "untainted" by those purloined executive voice mails. Gallagher's and McWhirter's allegations are largely based on old-fashioned reportorial legwork: land records in Central America, interviews with environmental scientists and trade unions, lawsuit records, leaked corporate memoranda and the reporters' own visits to workers' villages and camps.

Consider:

In Honduras, Guatemala and Colombia, Chiquita "secretly controls dozens of supposedly independent banana companies," the articles charge, evading laws limiting foreign companies' ownership of farms by setting up local fronts for the corporation's under-the-table investments. One Honduran lawyer who works for Chiquita openly told the reporters that the corporation was trying to "hide its assets" to evade ownership restrictions, to "get rid of its Honduran labor union" and protect itself from "lawsuits and child labor law violations."

Throughout much of Latin America, McWhirter and Gallagher charge, Chiquita subsidiaries spray plantations with highly toxic pesticides banned in the United States and Europe, in direct violation of an agreement with environmentalists. They uncovered the autopsy report of an 18-year-old agricultural worker at a Chiquita subsidiary in Costa Rica who died after working in a recently sprayed field. "He didn't have any experience in this kind of job and he wasn't using any protective gear like gloves and mask either," one of the young man's co-workers had told Costa Rican authorities. The company refuses to allow independent scientific researchers to study the impact of pesticides on its plantations; workers are exposed to pesticides without protective clothing, and runoff from Chiquita pesticides contaminates workers' drinking water.

Chiquita security guards, according to the Enquirer series, are widely accused of using "brute force to enforce their authority on plantations operated or controlled by Chiquita. In an internationally controversial case, Chiquita called in the Honduran military to enforce a court order to evict residents of a farm village; the village was bulldozed and villagers run out at gunpoint."

McWhirter and Gallagher also detailed the precarious economic condition of workers on Chiquita plantations.

To repeat, none of these charges -- none -- depend on Chiquita's hacked voice mails. The series does present one allegation to which the voice mails are central: that company executives bribed Colombian officials to gain use of a government warehouse. And there, the voice mail messages Gallagher recorded, legally or not, were deeply revealing of Chiquita's mind-set. "We can only fire him with cause because of his involvement in the Colombian problem if we file a criminal charge against him with Colombian authorities," the series quoted company lawyer David Hills saying of another executive. "Clearly we would not want to do that because we would be implicating ourselves." Another message caught company Vice Chairman Keith Lindner suggesting the company muscle Panama's foreign minister out of a European Union trade mission deemed not in Chiquita's best interests.

-snip

http://www.salon.com/media/1998/07/08media.html

[leveymg]

6. Self-delete. Dupe.