U.S. Air Force Staff Sergeant Rafael DeGuzman-Paniagua, 305th Aerial Port Squadron special handling representative, secures a pallet of equipment bound for Ukraine from Joint Base McGuire-Dix-Lakehurst, New Jersey on March 24 / credit: Air Force Senior Airman Joseph Morales / U.S. Department of Defense
Editor’s Note: This report was originally published by Antiwar.com.
CBS News retracted a documentary it briefly released on August 7 after pressure from the Ukrainian government. The original documentary (watch it here) CBS put out examined the flow of military aid to Ukraine and quoted someone familiar with the process who said in April that only 30 percent of the arms were making it to the frontline.
We removed a tweet promoting our recent doc, "Arming Ukraine," which quoted the founder of the nonprofit Blue-Yellow, Jonas Ohman's assessment in late April that only around 30% of aid was reaching the front lines in Ukraine. pic.twitter.com/EgA96BrD9O
“All of this stuff goes across the border, and then something happens, kind of like 30 percent of it reaches its final destination,” said Jonas Ohman, the founder of Blue-Yellow, a Lithuania-based organization that CBS said has been meeting with and supplying frontline units with aid in Ukraine since the start of the war in the Donbas in 2014. “30-40 percent, that’s my estimation,” Ohman said.
After the documentary sparked outrage from the Ukrainian government, it was removed from the internet by CBS. In an editor’s note, CBS said it changed the article that was published with the documentary and that the documentary itself was being “updated.”
The editor’s note also insisted that Ohman has said the delivery of weapons in Ukraine has “significantly improved” since he filmed with CBS back in April, although he didn’t offer a new estimate on the percentage of arms being delivered.
The editor’s note also said that the Ukrainian government noted U.S. defense attaché Brig. Gen. Garrick M. Harmon arrived in Kyiv in August for “arms control and monitoring.” Defense attachés are military officers stationed at U.S. embassies that represent the Pentagon’s interests in the country. Previously, it was unclear if there was any sort of military presence at the U.S. embassy in Kyiv after it reopened in May.
Ukrainian Foreign Minister Dmytro Kuleba said the retraction by CBS was not enough and called for an investigation into the documentary. “Welcome first step, but it is not enough … There should be an internal investigation into who enabled this and why,” he wrote on Twitter.
In the documentary, Ohman described the corruption and bureaucracy that he has to work around to deliver aid to Ukraine. “There are like power lords, oligarchs, political players,” he said. “The system itself, it’s like, ‘We are the armed forces of Ukraine. If security forces want it, well, the Americans gave it to us.’ It’s kind of like power games all day long, and so eventually people need the stuff, and they go to us.”
Other reporting has shown that there is virtually no oversight for the billions of dollars in weapons that the United States and its allies are pouring into Ukraine. CNN reported in April that the United States has “almost zero” ability to track the weapons it is sending once they enter Ukraine. One source briefed on U.S. intelligence described it as dropping the arms into a “big black hole.”
Editor’s Note: To help our international readers understand this Unicorn Riot story, we provide the following context. Roof Depot is a closed warehouse that the U.S. Environmental Protection Agency has deemed a Superfund site, which means it has been identified as a candidate for cleanup of hazardous materials. Further, East Phillips is a neighborhood in the U.S. Midwestern city of Minneapolis. Find here a scan of the physical press release that has been cited below.
MINNEAPOLIS, United States—East Phillips residents and members of the American Indian Movement (AIM) started an occupation of the Roof Depot site in the early hours of Tuesday morning in resistance to the city’s plan to demolish the site which sits atop decades of arsenic contamination. Demands include an end to the demolition plan, no more additional polluting facilities and an end to evictions of encampments. [After the publication of this article, the occupation was evicted by Minneapolis Police on Tuesday evening. Eight people were reportedly detained and released.]
In the “arsenic triangle” in the most diverse neighborhood in Minnesota, the Roof Depot site is set for demolition next week against the wishes of many in the community who are fearful of the toxic impacts on their health and the health of future generations.
A tipi was erected in the morning, along with over a dozen tents and a sacred fire. In the morning, Unicorn Riot livestreamed the beginning of the occupation as well as an afternoon press conference.
Watch the press conference that took place at 1 p.m. at 27th Street and Longfellow Avenue below.
A press release from Defend the Depot said the community is demanding the city officials cancel the demolition and made seven specific demands. They also provided a brief history of the past century of heavy pollution on East Phillips, where the Roof Depot EPA Superfund site exists.
“For generations, East Phillips, a neighborhood of over 70% residents of color and home to the majority Indigenous Little Earth housing development, has been treated as an environmental sacrifice zone. For the last century, East Phillips has been zoned for heavy industrial pollution. According to US EPA data, the area within a one-mile radius of the Roof Depot site ranks nationally in the 89th percentile for diesel particulate matter, the 99th percentile for Superfund Proximity, and the 96th percentile for hazardous waste proximity.”
Press release from Defend the Depot – Feb. 21, 2023
The list of demands includes an end to encampment evictions and the creation of a new ‘navigation center’ for the unhoused people to access support, referrals, and resources:
Total relocation of the Hiawatha Expansion Project
Hand over control of Roof Depot site to the community
Plans to remove of Bituminous Roadways and Smith Foundry [Bituminous Roadways and the Smith Foundry are sources of legacy contamination near to the Roof Depot]
Enact a moratorium on encampment evictions [According to a Wilder Foundation Study Indigenous people make up 1 percent of Minnesota’s adult population, but a disproportionate 13 percent of the houseless population. A survey of a large encampment in Minneapolis in 2020 found that nearly half of the 282 people living there were Native.]
Provide funding for peer support workers
Invest in pilot programs to provide shelter and services to the houseless community like the former navigation center
Provide funding for the community’s vision for an indoor urban farm at the Roof Depot site
“The area around the Roof Depot warehouse is a former Superfund site, and the Depot building itself sits atop a reservoir of legacy arsenic contamination. Public health and environmental experts have spoken out about the risks of demolishing the building and exposing arsenic beneath the site and releasing it into the community. The city’s own Environmental Assessment Worksheet (EAW) acknowledges the risk of “fugitive” dust, which experts say will likely contain arsenic and other contaminants, but the city declined to carry out more intensive environmental studies and has delivered no information about protection plans to those living near the demolition site.“
Press release from Defend the Depot – Feb. 21, 2023
"I appreciate everybody that has come out here to fight for our people. We can't stand any more pollution. You know, our kids are sick, our elders are sick, and, we can't do this, we're gonna fight, so I hope you're seeing this, Mayor Frey." – Nicole Perez pic.twitter.com/5IUxTrCMlU
— UNICORN RIOT 🦄 mastodon.social/@UnicornRiot 👈 (@UR_Ninja) February 21, 2023
On Sunday, a protest at the Roof Depot site brough together the resistance against the planned ‘Cop City’ in the Atlanta Forest and the East Phillips struggle against the Roof Depot demolition. At the action, AIM member Rachel Thunder told people to be expecting actions at the site and that “you’re gonna know in our words and our thoughts and our prayers and our songs, that we’re not gonna back down. We’re gonna make a stand here.”
During Sunday’s protest we heard from Cassie Holmes, an East Phillips Neighborhood Institute (EPNI) board member, about some of the history of the East Phillips community dealing with the Roof Depot site over the last several years.
In late January, the Minneapolis City Council voted 7-6 that the site was to be demolished. Unicorn Riot has been covering this story for several months, documenting protests and city hall meetings.
Daniel Schmidt, an organizer with the EPNI’s Communications Team, provides insight on the history of environmental racism in Minneapolis, including the origin of the arsenic plume that lays dormant underneath the East Phillips Roof Depot site.
Anti-government protest in Sri Lanka on April 13 in front of the Presidential Secretariat / credit: AntanO / Wikipedia
Editor’s Note: This article was originally published by Multipolarista.
Facing a deep economic crisis and bankruptcy, Sri Lanka was rocked by large protests this July, which led to the resignation of the government.
Numerous Western political leaders and media outlets blamed this uprising on a supposed Chinese “debt trap,” echoing a deceptive narrative that has been thoroughly debunked by mainstream academics.
In reality, the vast majority of the South Asian nation’s foreign debt is owed to the West.
These structural adjustment programs clearly have not worked, given Sri Lanka’s economy has been managed by the IMF for many of the decades since it achieved independence from British colonialism in 1948.
As of 2021, a staggering 81 percent of Sri Lanka’s foreign debt was owned by U.S. and European financial institutions, as well as Western allies Japan and India.
This pales in comparison to the mere 10 percent owed to Beijing.
According to official statistics from Sri Lanka’s Department of External Resources, as of the end of April 2021, the plurality of its foreign debt is owned by Western vulture funds and banks, which have nearly half, at 47 percent.
The top holders of the Sri Lankan government’s debt, in the form of international sovereign bonds (ISBs), are the following firms:
BlackRock (U.S.)
Ashmore Group (Britain)
Allianz (Germany)
UBS (Switzerland)
HSBC (Britain)
JPMorgan Chase (U.S.)
Prudential (U.S.)
The Asian Development Bank and World Bank, which are thoroughly dominated by the United States, own 13 percent and 9 percent of Sri Lanka’s foreign debt, respectively.
Less known is that the Asian Development Bank (ADB) is, too, largely a vehicle of U.S. soft power. Neoconservative DC-based think tank the Center for Strategic and International Studies (CSIS), which is funded by Western governments, affectionately described the ADB as a “strategic asset for the United States,” and a crucial challenger to the much newer, Chinese-led Asian Infrastructure Investment Bank.
“The United States, through its membership in the ADB and with its Indo-Pacific Strategy, seeks to compete with China as a security and economic partner of choice in the region,” boasted CSIS.
Another country that has significant influence over the ADB is Japan, which similarly owns 10 percent of Sri Lanka’s foreign debt.
An additional 2 percent of Sri Lanka’s foreign debt was owed to India as of April 2021, although that number has steadily increased since. In early 2022, India was in fact the top lender to Sri Lanka, with New Delhi disbursing 550 percent more credit than Beijing between January and April.
Together, these Western firms and their allies Japan and India own 81 percent of Sri Lanka’s foreign debt – more than three-quarters of its international obligations.
By contrast, China owns just one-tenth of Sri Lanka’s foreign debt.
The overwhelming Western role in indebting Sri Lanka is made evident by a graph published by the country’s Department of External Resources, showing the foreign commitments by currency:
As of the end of 2019, less than 5 percent of Sri Lanka’s foreign debt was denominated in China’s currency the yuan (CNY). On the other hand, nearly two-thirds, 64.6 percent, was owed in U.S. dollars, along with an additional 14.4 percent in IMF special drawing rights (SDR) and more than 10 percent in the Japanese yen (JPY).
Western media reporting on the economic crisis in Sri Lanka, however, ignores these facts, giving the strong, and deeply misleading, impression that the chaos is in large part because of Beijing.
Sri Lankan Economic Crisis Driven by Neoliberal Policies, Inflation, Corruption, Covid-19 Pandemic
This July, Sri Lanka’s government was forced to resign, after hundreds of thousands of protesters stormed public buildings, setting some on fire, while also occupying the homes of the country’s leaders.
The protests were driven by skyrocketing rates of inflation, as well as rampant corruption and widespread shortages of fuel, food, and medicine – a product of the country’s inability to pay for imports.
In May, Sri Lanka defaulted on its debt. In June, it tried to negotiate another structural adjustment program with the U.S.-dominated International Monetary Fund (IMF). This would have been Sri Lanka’s 17th IMF bailout, but the talks ended without a deal.
By July, Sri Lankan Prime Minister Ranil Wickremesinghe publicly admitted that his government was “bankrupt.”
Sri Lankan President Gotabaya Rajapaksa, who spent a significant part of his life working in the United States, entered office in 2019 and immediately imposed a series of neoliberal economic policies, which included cutting taxes on corporations.
These neoliberal policies decreased government revenue. And the precarious economic situation was only exacerbated by the impact of the Covid-19 pandemic.
Facing an out-of-control 39.1 percent inflation rate in May, the Sri Lankan government did a 180 and suddenly raised taxes again, further contributing to popular discontent, which broke out in a social explosion in July.
Media Falsely Blames China for Sri Lankan Debt Default
While 81 percent of Sri Lanka’s foreign debt is owned by Western financial institutions, Japan, and India, major corporate media outlets sought to blame China for the country’s bankruptcy and subsequent protests.
The Wall Street Journal pointed the finger at Beijing in a deeply misleading article titled “China’s Lending Comes Under Fire as Sri Lankan Debt Crisis Deepens.” The newspaper noted that the crisis “opens a window for India to push back against Chinese influence in the Indian Ocean region.”
U.S. media giant the Associated Press also tried to scapegoat China, and its deceptive news wire was republished by outlets across the world, from ABC News to Saudi Arabia’s Al Arabiya.
VOA accused Beijing of “pursuing a kind of ‘debt-trap diplomacy’ meant to bring economically weak countries to their knees, dependent on China for support.”
On social media, the Western propaganda narrative surrounding the July protests in Sri Lanka was even more detached from reality.
A veteran of the Central Intelligence Agency (CIA), Defense Intelligence Agency (DIA), and National Security Agency (NSA), Derek J. Grossman, portrayed the unrest as an anti-China uprising.
“China’s window of opportunity to one day control Sri Lanka probably just closed,” he tweeted on July 9, as the government announced it was resigning.
After working for U.S. spy agencies, Grossman is today an analyst at the Pentagon’s main think tank, the RAND Corporation, where he has pushed a hawkish line against Beijing.
China’s window of opportunity to one day control Sri Lanka probably just closed. pic.twitter.com/WOLIb3SUTf
— Derek J. Grossman (@DerekJGrossman) July 9, 2022
BBC Reluctantly Admits the ‘Chinese Debt Trap’ Narrative in Sri Lanka Is False
China has funded several large infrastructure projects in Sri Lanka, building an international airport, hospitals, a convention center, a sports stadium, and most controversially a port in the southern coastal town of Hambantota.
The UK government’s BBC sent a reporter to Sri Lanka to investigate these accusations of supposed “Chinese debt traps.” But after speaking to locals, he reluctantly came to the conclusion that the narrative is false.
“The truth is that many independent experts say that we should be wary of the Chinese debt trap narrative, and we’ve found quite a lot of evidence here in Sri Lanka which contradicts it,” BBC host Ben Chu acknowledged.
He explained, “The Hambantota port, well, that was instigated by the Sri Lankans, not by the Chinese. And it can’t currently be used by Chinese military naval vessels, and actually there’s some pretty formidable barriers to that happening.”
“A lot of the projects we’ve been seeing, well, they feel more like white elephants than they do Chinese global strategic assets,” Chu added.
In our latest film from Sri Lanka, which faces financial collapse as the global Big Squeeze bites, Ben Chu examines the effect that Chinese loans and investment are having on the country:#Newsnighthttps://t.co/GBFZ1ItP0G
The British state media outlet interviewed the director of Port City Colombo’s economic commission, Saliya Wickramasuriya, who emphasized, “The Chinese government is not involved in setting the rules and regulations, so from that standpoint the government of Sri Lanka is in control, and it’s up to the government of Sri Lanka’s wish to flavor the city, the development of the city, in the way it wants to.”
“It is accurate to say that infrastructure development has boomed under Chinese investment, Chinese debt sometimes, but those are things that we’ve actually needed for a long, long time,” Wickramasuriya added.
Chu clarified that, “Importantly, it’s not debt but equity the Chinese own here.”
“So is the debt trap not all it seems?” he asked.
Mainstream U.S. Academics Debunk the ‘Chinese Debt Trap’ Myth
Mainstream Western academics have similarly investigated the claims of “Chinese debt traps,” and come to the conclusion that they do not exist.
Even a professor at Johns Hopkins University’s School of Advanced International Studies, which is notorious for its revolving door with the U.S. government and close links to spy agencies, acknowledged that “the Chinese ‘debt trap’ is a myth.”
Writing in 2021 in the de facto mouthpiece of the DC political establishment, The Atlantic magazine, scholar Deborah Brautigam stated clearly that the debt-trap narrative is “a lie, and a powerful one.”
“Our research shows that Chinese banks are willing to restructure the terms of existing loans and have never actually seized an asset from any country, much less the port of Hambantota,” Brautigam said in the article, which was co-authored by Meg Rithmire, a professor at the stridently anti-socialist Harvard Business School.
The Chinese "debt-trap" narrative is a false one which wrongfully portrays both Beijing and the developing countries it deals with, Deborah Brautigam and Meg Rithmire write: https://t.co/FagExsdeNT
Brautigam published her findings in a 2020 article for Johns Hopkins’ China Africa Research Initiative, titled “Debt Relief with Chinese Characteristics,” along with fellow researchers Kevin Acker and Yufan Huang.
They investigated Chinese loans in Sri Lanka, Iraq, Zimbabwe, Ethiopia, Angola, and the Republic of Congo, and “found no ‘asset seizures’ and, despite contract clauses requiring arbitration, no evidence of the use of courts to enforce payments, or application of penalty interest rates.”
They discovered that Beijing cancelled more than $3.4 billion and restructured or refinanced roughly $15 billion of debt in Africa between 2000 and 2019. At least 26 individual loans to African nations were renegotiated.
Western critics have attacked Beijing, claiming there is a lack of transparency surrounding its loans. Brautigam explained that “Chinese lenders prefer to address restructuring quietly, on a bilateral basis, tailoring programs to each situation.”
The researchers noted that China puts an “emphasis on ‘development sustainability’ (looking at the future contribution of the project) rather than ‘debt sustainability’ (looking at the current state of the economy) as the basis of project lending decisions.”
“Moreover, despite critics’ worries that China could seize its borrower’s assets, we do not see China attempting to take advantage of countries in debt distress,” they added.
“There were no ‘asset seizures’ in the 16 restructuring cases that we found,” the scholars continued. “We have not yet seen cases in Africa where Chinese banks or companies have sued sovereign governments or exercised the option for international arbitration standard in Chinese loan contracts.”
Benjamin Norton is founder and editor of Multipolarista.
BREAKING: Activists in Atlanta say that police are lying about what happened when a protester was shot and killed Wednesday.
The activists say police were hit with friendly fire when raiding their encampment, and that the activist killed, Tort, did not shoot them. pic.twitter.com/7U5JrkTj8k
