Wednesday, 11 March 2009


1. UN: Iran Caught Red-Handed
by Tzvi Ben Gedalyahu UN: Iran Caught Red-Handed

A United Nations Security Council committee confirmed on Tuesday that Iran violated U.N. sanctions by trying to send a ship with weapons to Syria. The high-explosive shells, including those than can pierce armor, and anti-tank explosives may have been destined for Hamas terrorists in Gaza, Hizbullah in Iran or Syrian-backed Iraqis, Council diplomats told the Associated Press.

The U.N. has banned Iran from exporting weapons or materials for the manufacture of arms.

The ship, chartered by the Islamic Republic of Iran, has been docked in Cyprus since January 29, when Cypriot authorities unloaded it and said there were no weapons aboard, although it found material that could be used to make ammunition.

However, United States military inspectors found artillery shells on the ship when it stopped in the Red Sea and said it was destined for Syria.



The U.N. Security Council Sanctions Committee told Cypriot authorities that the shipment contravened the U.N. sanctions. Officials from Cyprus said the weapons may be defused "at the appropriate time." Britain offered to help neutralize the explosives.



U.S. Ambassador to the U.N. Susan Rice condemned the violation, and France and Britain expressed concern. Iran and Syria were ordered to explain the shipment, but the U.N. has not stated if there will be any punitive action.

The sanctions were clamped on Iran after it refused to suspend its program for enriching uranium, a key material for manufacturing a nuclear weapon.

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2. Chas Freeman Declines Post
by Hana Levi Julian Chas Freeman Declines Post

Charles (Chas) Freeman, chosen by U.S. President Barack Obama to head the White House National Intelligence Council, has turned down the job. Dennis Blair, director of the National Intelligence Agency, announced the decision on Tuesday afternoon in a statement "with regret."

Blair had cited Freeman's "wealth of knowledge and expertise in defense, diplomacy and intelligence" last month when he recommended the former U.S. ambassador to Saudi Arabia for the post. It was a controversial choice; Freeman has blamed Israel for the current unrest in the Middle East between Arabs and the Jewish State and in the past has implied acceptance for Hamas terrorist attacks.

Freeman Slams 'Israel Lobby'

In an angry letter sent to U.S. foreign policy officials following his announcement, Freeman accused the "Israel lobby" of deliberately slandering him.

The former ambassador claimed that several quotes in the media that had raised red flags among pro-Israel Americans had been taken out of context.

"The libels on me... show conclusively that there is a powerful lobby determined to prevent any view other than its own from being aired, still less to factor in American understanding of trends and events in the Middle East,” Freeman said. “The tactics of the Israel Lobby plumb the depths of dishonor and indecency and include character assassination, selective misquotation, the willful distortion of the record, the fabrication of falsehoods, and an utter disregard for the truth.”

Stiff Republican Opposition to Freeman

Had he accepted the nomination, Freeman would have faced stiff resistance from all seven Republican members of the Senate Intelligence Committee, although the post does not require Senate confirmation. In addition, two leading Republican Congressmen, backed by at least one Democrat, demanded an investigation into Obama's choice, questioning Freeman's financial ties.

Freeman's appointment has been contested due to his outspoken criticism of some key government policies in Israel and China. Freeman has also disagreed with some of the U.S. policies regarding the nation's war on terror.

A past apologist for Saudi and Chinese behavior, he has chaired Projects International, a group representing American business interests in both countries. He also served as the director of the Saudi-funded Middle East Policy Council, an Arab lobby that routinely promotes anti-Israeli messages. 

If the appointment had gone through, Freeman would have chaired the top think tank for the U.S. intelligence community, one that is tasked with providing "national intelligence estimates" on security issues and global hotspots for policy makers.

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. Fischer’s ‘Modest’ Rescue Plan
by Tzvi Ben Gedalyahu Fischer’s ‘Modest’ Rescue Plan

Bank of Israel Governor Prof. Stanley Fischer presented a “modest” 4.4 billion shekel-$1.1 billion economic rescue plan on Tuesday for more government spending and a higher deficit, but he has no magic wand to stop the recession.

His program calls for increased aid for lower-income families, including a negative income tax, incentives for increased exports and industry and stimulus outlays for the labor marker.

Labor union and businessmen praised Fischer’s proposal despite his own admission that it will give limited help to the ailing economy, which by all accounts is in a recession.

Fischer explained that the suggested government outlays are a lot less than those proposed by other countries but that “we do not have a lot of leeway in government spending” because of the high personal and government debt.

He suggested increasing the government deficit to 5.8 percent of the gross domestic product (GDP), 10 percent higher than the current deficit and far higher than the previous maximum target of three percent.

Higher oil prices and the higher exchange rate also may spark a reversal in falling energy prices and cause higher inflation. The worse scenario for the economy may be “stagflation,” whereby the economy sags while inflation rises.

The Bank cannot stimulate the economy by lowering interest rates much more because they already are near zero, one of the reasons that the shekel-dollar rate has soared from 3.30 to 4.25 in the past year. The higher rate encourages exports but also may cause higher inflation, primarily in real estate deals that are quoted in dollars.

The stimulus program will save 15,000 families from unemployment, according to Fischer, whose term of office ends in May. He recently stated his conditions for accepting another three-year term, and the Finance Ministry will likely approve despite its being upset with his demands for less ministry authority in overseeing the capital markets.

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4. Clinton’s Kindness Killed Fayyad
by Tzvi Ben Gedalyahu Clinton’s Kindness Killed Fayyad

United States Secretary of State Hillary Clinton’s sweet compliments for Palestinian Authority Prime Minister Salam Fayyad were the breaking point for PA leaders who forced him to resign, contends TIME magazine.

The new Secretary of State, wife of Oslo Accords sponsor and former U.S. President Bill Clinton, poured on the praise of Fayyad during her visit to Ramallah last week, upsetting the Fatah establishment as well as Hamas. They consider him an outsider, and he never enjoyed their support since the Bush administration handpicked him as “their man” in the PA two years ago.

Clinton’s lavish applause for Fayyad, who has spent most of his adult life in the U.S., was a continuation of a U.S. policy of trying to westernize the PA and build up confidence for moderate leaders who want to create a new Arab state in all of Judea, Samaria and Gaza through international pressure on Israel instead of through terrorism.

The American government and several media analysts tried to present Fayyad’s resignation as paving the way for a new Hamas-unity government that would allow Fatah to resume control over Gaza and moderate Hamas.

However, TIME’s Tim McGirk reported, “The Prime Minister's pat on the head from Clinton was the snapping point for many senior Fatah officials, who resent Fayyad as a technocratic usurper with no political base of his own.”

Fayyad, an economist, vowed to wipe out corruption in the Fatah-led government, and he was a welcome partner with the U.S. for its program to train Fatah armed forces to bring law and order to the Arab street and keep out terrorists. He was being groomed by the U.S. to replace PA Chairman Mahmoud Abbas, according to several media sources.

“Whether or not those specific reports are true, most Palestinians resent what they see as U.S. meddling in their internal politics,” McGirk wrote. “The previous Administration had first demanded that the Palestinians hold democratic elections, and then when those elections were won by Hamas, Washington refused to accept the result.”

 

The State Department has been pleased with Hamas’s continuing decline in popularity, but that has changed around dramatically in the past several weeks. A poll released last week by the Palestinian Center for Policy and Survey Research (PSR) reported that Hamas’s return to popularity is partly the result of Abbas’s relative silence during Operation Cast Lead and “public perceptions of the end of Abbas’s term in office and hence the loss of legitimacy suffered by the Fayyad’s government.”

The survey showed that if elections were held today, Gaza de facto Prime Minister Ismail Haniyeh would defeat Abbas. PA Arabs are running out of patience with the lack of progress towards ousting Israel from Judea and Samaria and making eastern Jerusalem the capital of a new Arab country.

Hamas also declared victory and won Arab admiration at the end of Israel’s Operation Cast Lead that left the Hamas terrorist authority intact.
 

5. Russia Reconsiders Iranian Deal
by Nissan Ratzlav-Katz Russia Reconsiders Iranian Deal

Russia may not deliver the S-300 air defence systems to Iran, according to Russian news agency Interfax. A deal for the system was signed by the two states in 2005.

An unnamed source in Moscow was quoted as saying that the possibility of Russia canceling the deal should not be ruled out. "The decision on this matter must be taken at the political level, because this contract is now well beyond the purely commercial framework," according to Interfax's source.

The S-300 long-range surface-to-air missiles could be deployed as a powerful defense against air raids on Iranian strategic sites. The system is capable of simultaneously tracking up to 100 targets, engaging 12 of them, at a range of up to 200 kilometers and a height of up to 27 kilometers.

The unofficial word on the missile system came from Moscow on the heels of a meeting between American and Russian officials last week, when they pledged to work towards agreed approaches to Iran, Afghanistan and North Korea.

In December 2008, Iran's state-run IRNA news agency reported that Russia had already begun delivering the S-300 systems. IRNA quoted Ismail Kosari, deputy head of Iran's Foreign Affairs and National Security committee. The Iranian Foreign Ministry declined to comment on the report.

In 2007, Russia supplied Iran with Tor-M1 short-range anti-aircraft missile systems. Iran reportedly deployed the Russian systems to guard its nuclear development sites from air attack.

Russia is still heavily involved in the Iranian nuclear program, especially the construction of the Bushehr nuclear power plant. US and other Western powers fear Iran is using the cover of nuclear power development to prepare a nuclear weapons arsenal.

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6. Diplomacy Weak Anti-Iran Weapon
by Tzvi Ben Gedalyahu Diplomacy Weak Anti-Iran Weapon

Diplomacy is unlikely to stop Iran from developing a nuclear weapon, United States intelligence chief Dennis Blair told the Senate Armed Services Committee on Tuesday. However, he did not offer a clear answer on how to convince Iran to give up its suspected aim of manufacturing a nuclear bomb.

Blair suggested using economic incentives and more threats of intense pressure but added, “It is difficult to specify what such a combination might be.”

 

Iran has claimed its nuclear power plant, which is set to start operations later this year, will be used only to generate electricity, but told the Senate committee, "Although we do not know whether Iran currently intends to develop nuclear weapons, we assess Tehran at a minimum is keeping open the option to develop them.”

The testimony further confirms the validity of Israel’s angry reaction last to year an American intelligence report that Iran has ceased its program to enrich uranium, which is a key element for a nuclear weapon. The U.S. estimated that Iran ceased the nuclear arms program in 2003 and resumed it only two years ago.

Blair estimated that Iran could produce uranium for a bomb as early as next year but also warned that he cannot "rule out that Iran has acquired from abroad or will acquire in the future a nuclear weapon or enough fissile material for a weapon."

 

Blair Backs Freeman

Blair, who is Director of National Intelligence, also defended his choice of Charles (Chas) Freeman to lead the National Intelligence Council, a position that includes overseeing intelligence estimates.

 

Many Jewish and non-Jewish organizations have expressed several concerns that Freeman’s pro-Arab and anti-Israeli background could jeopardize American security. Freeman is a former ambassador to Saudi Arabia.

Senator Joe Lieberman told Blair that Freeman’s previous statements made him “appear either to be inclined to lean against Israel or too much in favor of China…. And the concern here is that it suggests that he’s more an advocate than an analyst.”

Blair responded that those officials are carrying out a routine check on Freeman’s past. “As far as the statements of Ambassador Freeman that have appeared in the press, I would say that those have all been taken out of context and I urge everyone to look at the full context of what he was saying,” Blair added.

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