Oh ho! The news team at right-wing news outlet must be scared. RMT’s Mick Lynch has been laying waste all before him in interviews and debates, and so the alternative to the ‘woke, wet’ BBC is falling back on the old Thatcherite tactic of crying ‘Communism!’ Looking through YouTube this morning I found a piece put by them asking if the RMT aren’t trying to bring down capitalism with an interview with a Soviet historian. Ah yes, we’re back to the old Zinoviev letter of 1925 or whenever, the notorious MI5 forgery which painted the Labour party as in league with the Soviet Comintern. Or to the 1980s, with Arthur Scargill as an agent of Moscow. We’ve already had Sunak’s government tell the nurses that they’re doing the work of Putin.
No, Mick Lynch isn’t trying to bring down capitalism. He’s just trying to get all his union’s members a fair wage, and proper management and investment of Britain’s railways.
No, the nurses aren’t doing Putin’s work. They’re trying to get a living wage for their members. What they aren’t telling you on the news, or at least, I haven’t seen it, is that a quarter of NHS trusts now have food banks for the nurses. Abominable. And they want proper management and funding of the health service.
This means reversing privatisation in those industries.
But this isn’t Communism. It’s not total nationalisation of the economy, or the transformation of Britain into a one party state.
The right-wing scumbags were after America’s Bernie Sanders last week. Having succeeded in defeating Labour in the elections over here, and Corbyn’s campaign to bring prosperity, dignity and empowerment to the British working class, they’re trying to do the same to America’s working people. They’ve started attacking Bernie’s cause of Medicare for All, whereby American people’s medical bills would be paid by the American state. 40 million people in the Land of the Free can’t afford medical insurance. 40,000 people every year die because they can’t afford medical treatment. In some states, people are hoarding medicines, including those prescribed by vets for animals, because they can’t afford drugs. But the Republicans and their corporate masters once again have started attacking Medicare For All in the interests of keeping the private healthcare companies’ profits high, and America’s working and lower middle class poor and sick. And they’ve also launched a few more personal attacks on Bernie himself. Last week several videos appeared on YouTube claiming that a member of his campaign team was a violent Communist.
I’m not surprised that a Communist would work for Sanders. The American Communist party seems to have a history of joining mainstream left-wing movements. Sometimes its to try and take them over, as Marxist parties have tried to do elsewhere in the West. And sometimes it’s simply to help them in their attempts to improve conditions for working people. In the 1950s and ’60s, I think, a number of Communists were found working for the Democrats.
They tried similar tactics over here with Jeremy Corbyn. Apart from smearing him as a Trotskyite and Stalinist, they also attempted to discredit him through one of his campaign team, Seaumas Milne. Milne really is a Stalinist, who continues to support the old thug. His views on Stalin are genuinely disgusting, but that doesn’t discredit everything else he does. His books and articles tearing modern capitalism to shreds are still excellent. And just because Milne admires the brutal dictator, it doesn’t follow that Corbyn does, and the chance of Milne setting up a similar dictatorship in Britain, even if he wanted to, is absolute zero.
There have been similar attempts to discredit other socialist parties and leaders through their employment of or work with Communists. I’ve been reading Bhaskar Sankara’s superb The Socialist Manifesto. This is his call for radical change in America, and its transformation into a genuinely socialist state in which workers actually manage the companies in which they work, share the profits, and enjoy a welfare state comparable to those of Europe, only rather more expanded. The first few chapters are a history of socialism in various countries from its Marxist roots. This covers the rise of Social Democracy in Germany, Communism in Russia and China, social democracy in Sweden and socialism in America. America has, surprisingly, a very long tradition of socialism and working class parties. But these failed to make it into mainstream politics through factionalism, inept leadership, missed opportunities and violent opposition from the American state and capital. Private corporations hired armed thugs to put down strikes, along with the police and army. The Communist party also contributed to this through its factionalism, its blind obedience to the Comintern line even when this conflicted with the local party’s and American people’s own interests in favour of that of the Soviet state’s, and attacks on rival socialist parties. They caused the collapse of one working class, socialist organisation by infiltrating it in order to turn it into a Communist satellite. At which point everyone else in the organisation left. The Trotskyite Socialist Workers’ Party did the same thing in Britain in the 1970s when they infiltrated the Anti-Nazi League.
But there also were instances where Communists and reformist socialists attempted to work together. This happened in the Congress of Industrial Organisations, founded in the 1930s by John L. Lewis of the United Mine Workers’ union. The CIO had a large rank and file, but needed skilled leaders and organisers, and so drew on those from other socialist organisations. When it was pointed out to him that a large number of them were members of the Communist party, Lewis replied, ‘Who gets the bird? The dog or the hunter?’
Quite.
American Communism’s actually rather interesting, as it saw itself as firmly in the tradition of the American Revolution. And in contrast to the dull, crushing boredom of the Soviet Communist party, it also seems rather fun. The Party had a very strong social side to it, holding youth dances and other social events. It was also very strong on reaching out and defending Black Americans, which explains how Jackie Walker’s parents met. Her mother was a Black civil rights activist, and her father was of Jewish Russian descent. They met at a Communist civil rights event, if I remember properly.
They also revered the American Revolution and were, in their way, as patriotic as other Americans. When the Daughters of the American Revolution forgot their annual commemoration of Paul Revere’s ride, they had a man dress up as an 18th century minuteman and ride down Broadway in New York. They proclaimed ‘The DAR forgets, but the Communist party remembers!’ Another of their slogans was ‘Communism is 20th Century Americanism!’
Bernie Sanders is very far from being a Communist. His views are far more like those of mainstream European social democrats. There isn’t much about nationalisation in his book, Our Revolution, though he does favour worker cooperatives. He also doesn’t want to nationalise American healthcare. He just wants the government to pay people’s medical bills – hardly a radical suggestion from the European perspective. The Germans have had it since Bismarck’s Socialist Laws of 1875. But that, and Bernie’s concern to expand the American welfare state, restore union power and give working people proper employment rights – in effect, to undo forty years of Reaganomic misgovernment – is too much for American capital.
Communism fell in the 1990s. But socialism is alive and reviving. The world as well as America needs Bernie in the White House.
So let’s making Socialism 21st Century Americanism and Britishism!
Yesterday I put up a piece stating that the Labour leader, Jeremy Corbyn, was quite right to demand evidence that Iran was responsible for the explosions that have destroyed several tankers in the Persian Gulf. This is against the accusations that Trump and the Tory government have hurled against the Iranians, who protest their innocence.
Iran is a very authoritarian theocracy with an abysmal record of human rights abuses. The Iranian secret services are capable of organising terror attacks. In the 1980s they bombed a cafe in Berlin used by Kurdish separatists. More recently they sent out naval vessels to seize the crew of a British warship in the Gulf, whom they eventually released. And there are hardliners in the Iranian government, theocracy and military who would wish to start a war with the West.
The False Claims about Iraq and 9/11
But against this, there is the long history of the American Neocons manufacturing pretexts for attacks on and invasions of countries for no other reason than that they are obstacles to American and Western geopolitical and commercial imperialism. The Iraq invasion is a case in point. George W. Bush and Blair accused Saddam Hussein of supporting Osama Bin Laden 9/11 attack. The Blair creature, as Peter Hitchens calls him, told us all that we had to go and support the American-led invasion of Iraq, because the Iraqi dictator could launch weapons of mass destruction within 45 minutes. It was a lie. All of it. Saddam Hussein had zilch to do with 9/11, and there were no weapons of mass destruction. 17 of the 19 attackers in 9/11 were Saudis. None were Iraqis. The American intelligence agencies were aware that the Saudi spy agencies were involved with the attack, and the evidence pointed that involvement in it went all the way to the top, though direct evidence was lacking as the threads petered out. The American intelligence services were also acutely aware that after their invasion of Iraq, Saudi intelligence was supplying arms and collaborating with al-Qaeda and ISIS in their attacks in Iraq and Syria. Since then, records have been discovered that show that the Iraqis were interested in working with bin Laden against the West. But al-Qaeda overwhelmingly hated and despised Hussein and the Ba’athists because they were secular Arab socialists.
Real Reasons for Iraq Invasion
The real reason the Neocons wanted to oust Hussein was entirely down to western imperial ambitions. The Americans and the Saudis wanted the Iraqi oil industry and its reserves, as the latter is the largest outside Saudi Arabia. American multinationals also wanted to take over Iraqi state enterprises. And the Neocons also hoped to turn the country into the low-tax, free trade economy that they’d like to foist on America itself. And they and the Israelis also wanted Hussein overthrown because he supported the Palestinians.
Neocon and Multinationals’ Motives for Possible Invasion of Iran
I have no doubt that similar reasons are behind the latest accusations against Iran by Trump. I don’t think the American right has quite recovered from the Islamic Revolution of 1979 and the overthrow of the Shah, one of America’s and Israel’s allies in the region. After the Revolution, the Iranians nationalised the oil industry, taking it out of the hands of private, foreign companies. This was exactly like Mohammed Mossadeq, the country’s democratically elected prime minister, had done in the 1950s. The Iranian oil industry at the time was controlled by Anglo-Persian Oil, the British company that became BP. We joined the Americans in a CIA operation which overthrew Mossadeq, a coup which eventually led to the Shah assuming absolute power as a ruthless autocrat. I don’t doubt that American and British oil interests dearly want to grab the Iranian oil industry back. I also don’t doubt that American and western multinationals would also like to get their corporate mitts on the 51 per cent or so of the Iranian economy dominated by the state enterprises and the bonyads, the Islamic charitable foundations also managed by the state theocracy. The Neocons also want the current theocracy overthrown, not because they are genuinely interested in the wellbeing of the average Iranian, but because Iran is a fierce opponent of Israel. The dominant religion of Iran is Twelver Shi’ism, and since the overthrow of Hussein Iran has become increasingly influential amongst Iraqi Shi’a. The Saudis and other Gulf states are Sunni Muslims, who fear and oppress their own Shi’a population. A few years ago one of the leading Saudi clerics declared that the Shi’a were ‘enemies of the faith’ and ‘worthy of death’. They would like to see Iran conquered, I don’t doubt, as part of their religious campaign against Shi’a Islam.
Jeremy Hunt was in the news today as it’s reported he’s trying to calm the situation down and de-escalate tensions before it does come to violence. But he’s still criticising Corbyn for not automatically accepting Iranian responsibility for the attacks. Corbyn has committed the unforgivable sin of demanding evidence. And so he’s been grossly misrepresented as siding with the Iranians against Britain. Hunt has also attacked the Labour leader for not automatically accepting the word of the British intelligence agencies that Iran’s responsible.
But Corbyn’s quite right, and the British spy agencies can’t be trusted.
There’s ample evidence of this. Let’s go back to the Iraq invasion. Hussein didn’t have weapons of mass destruction, but Blair insisted that they did so he could have an excuse for joining George Dubya’s invasion. And so, under government pressure, the ‘dodgy dossier’ was concocted by the spy agencies, which purported to show that Hussein did.
And British Intelligence has a very long record of publishing disinformation, propaganda and sheer lies against the British Left.
There’s the case of the Zinoviev letter in the 1920s. This was supposedly a letter written by the Russian head of the Comintern to the Labour party encouraging them to start a revolution and turn Britain into a Communist satellite, and it was published by the British press just before a general election. It’s believed that the letter was a major cause of Labour losing it to the Tories. The letter was an utter fabrication, created by MI 5 to discredit Labour. And British intelligence have kept doing it. In the 1970s MI 5 was behind various rumours and attempts to overthrow the Labour leader and Prime Minister, Harold Wilson, because he was a KGB spy. This was part of a wider campaign of disinformation during the Cold War, designed to combat the spread of Communism. The agency responsible for this, the Information Research Department, and the other agencies also manufactured stories claiming that the IRA were collaborating with the Soviet Union, and that high profile members of the Labour left were also either Communist agents or sympathisers or members of the IRA. This has continued to today. Just a year or so ago, the Institute for Statecraft, a propaganda outfit churning out online pieces attacking politicians and other public figures, whom they thought were too close to Putin, was revealed as being funded by the British government. And although it’s a private organisation, it has links to the British intelligence agencies and the section of the SAS responsible for cyberwarfare. It’s no surprise that Jeremy Corbyn was one of those smeared as a supporter or agent of Putin.
And this is quite apart from the agencies’ grubby record rigging elections and doing other dirty tricks in Britain’s former colonies, in order to make sure that they remained loyal to Britain. This is extensively described in a recent book published by a mainstream historian.
And aside from producing propaganda, disinformation and outright lies, British intelligence at one time was also notorious for its incompetence.
Apparently Margaret Thatcher was the only Prime Minister, so it was claimed in the 1990s, who regularly read their reports. Other Prime Ministers didn’t bother for the simple reason that they were rubbish. Among the failures of the western intelligence agencies was the fact that they didn’t predict the Islamic Revolution in 1979. The only organisation that knew that a revolution was coming were the Tudeh, the Iranian Communist party. And they made the mistake of assuming it would be a Communist uprising. The CIA also thought that the Ayatollah Khomeini would be a leader in the mould of Gandhi, preaching non-violent opposition, instead of the radical firebrand he actually was.
Now British intelligence might be right about Iranian responsibility for these bombings, but they need to offer evidence. Evidence that can be subjected to proper scrutiny and independent analysis. If that is not forthcoming, then the long history of the British intelligence agencies in publishing lies and propaganda, including against the Labour party and other elements of the domestic Left, means that their word cannot be trusted.
Corbyn is quite right not to trust the word of the spy agencies automatically, and demand proper evidence. Until that is produced, it seems clear to me that the British and American right-wing political and media elite, and their secret states, are merely producing more smears to prepare for Iran’s invasion. And this is being driven not by anything the Iranians are doing, but simply for the same geopolitical and corporate imperialism behind the invasion of Iraq.
The Tories must really be in trouble. Not only are their supporters claiming they’re ahead in the polls, based simply on the evidence of one poll, and their fellow travelers in the Labour party are talking of quitting because of anti-Semitism, yet again, but the Tory press is now trying to run another Red Scare campaign.
This type of anti-Labour propaganda began with the Zinovieff letter in the 1920s. This purported to be a letter from the head of the Comintern in Communist Russia urging Labour to turn Britain into Communist state. It may have cost Labour the election that year, though some historians have suggested that Labour would have lost anyway and the letter itself didn’t make much difference. It certainly didn’t come from the Soviet Union, but was cooked up much closer to home by MI5.
In 1987 when Thatcher was up against Neil Kinnock, the Tory press ran it again. This time they claimed that there was a group of Labour MPs, who were secret Communists. If Labour was elected, they would oust Kinnock, seize power and turn Britain into a Communist state. The Scum also ran a double page spread of various left-wing Labour MPs, like Ken Livingstone and Diane Abbott, with quotes underneath them intended to scare the public into believing they were dealing with the ‘loony left’, as the Tories called them. The quote purporting to come from Red Ken had him saying that he didn’t believe in the British army, but in a worker’s army to guard the factories. And Diane Abbott was supposed to have said that ‘all White people are racist’. At the same time, the Tory press had been loudly telling everyone that Livingstone was a Marxist. Those who knew him made it clear that he wasn’t. He could sound like them on occasions, and was quite willing to use them. But he was never a Communist. So it’s a fair bet that Livingstone and Abbott may never have made the comments the Scum attributed to them, or if they did, they were ripped out of context. In any case there was no secret cabal of Commies within the Labour party plotting to seize power and turn us into the UKSSR.
Not that it stopped one of the Thatcher’s favourite novelists, Frederick Forsythe, writing another thriller based on this premise. This was about MI5 working to prevent Moscow turning Britain into a Soviet satellite through a group of infiltrators, who had worked their way into a Labour party headed by someone, who bore more than a little similarity to Michael Foot.
Now it seems the Tories are running the same scare tactics again. Zelo Street today has put up a very interesting piece about historian Giles Udy, who issued a series of Tweets promoting a forthcoming article in Tory political magazine Standpoint. Udy claims that Labour has a ‘shadow manifesto’ which states that capitalism has taken Britain to the abyss and only the seizure of power by the working class can save us. This document predicts that this revolution will be opposed by a Fascist dictatorship run by industrialists and newspaper editors, which will start a White Terror with death squads. This will only be avoided if the police, civil service, armed forces, security services and the judicial system are purged and replaced with supporters of the revolution. The lower ranks will be sent for re-education.
This is, of course, all twaddle. Zelo Street makes it clear that if you actually look at the article, you’ll find that the document in question doesn’t come from Labour. Not at all. It comes from the Communist Party of Britain’s 25,000 word piece, Britain’s Road to Socialism. This might actually cause a problem for a real journalist or historian, who would be well aware that this very obviously does not come from the Labour party. Udy tries to wave this objection away by saying that the words ‘socialist’, ‘democratic socialist’ and ‘communist’ are virtually interchangeable to describe followers of Marx. As Zelo Street remarks, they aren’t at all, and this is fraudulent in the extreme.
In fact, Udy has previous in trying to smear Corbyn and other members of the Labour party as agents of Moscow. In February last year he issued a series of Tweets touting an article by him in the Torygraph. This was at the time the Tory press were claiming that Corbyn had passed information on to the Czech secret service, despite the fact that he didn’t. Udy claimed that Corby and Abbott must have met party officials when they went on holiday in the former DDR, and that the Stasi would have preserved records of these meetings. Except that Corbyn and Abbott didn’t meet anyone from Honecker’s ruling party, and the Stasi didn’t have any records of them doing so. Those facts did not deter Udy. He claimed that he didn’t believe Corbyn had taken money from the East Germans, but he was only one of various deluded members of the Labour party, who were admirers of socialist totalitarianism, and lamented the fact that Blair’s revolution hadn’t cleaned them all out. The other high-ranking Labour figure and trade unionist, who had taken Soviet money, he claimed, was Jack Jones, the former head of the Transport and General Workers Union, now Unite. He also claimed that Jones’ wife had been a Soviet agent since the 1930s. This was all bilge. He only had one source for this nonsense, and that was the Soviet defector and liar Oleg Gordievsky. But Jones and his wife were safely dead, and so couldn’t sue.
Udy was supposed to be a historian of the gulags, and was respected on the Right supposedly for his insight into the Labour party and Soviet Union. But Zelo Street said that after this article, he squandered whatever little credibility he had, and was just a paranoid fraud. ‘So no change there’.
None whatsoever. When things get tough for the Tories, run a scare story about them and Communism. This posed a problem when Blair was in power, as he was as right-wing as they were. They solved it then by published various fictions predicting that sometime in the next decade the remains of the European socialist parties would united with the Muslims to start a new Holocaust of European Jews. Frederick Raphael reviewed a book, which had this as its theme, set in France, around about 2004 in the Spectator as I recall. Now that they’ve got a real left-winger to fear and smear in the case of Corbyn, they’ve dropped all the stuff about Islam and are going back to Communism.
As for Standpoint itself, it’d be very interesting to know what connections it has, if any, with the British or American secret state. When the roughly left leaning political magazine, Prospect, first appeared about a decade or so ago, Lobster noted that it was more than a little like Encounter, another political mag from the ’60s – ’70s that was revealed to have been financed by the CIA. The right-wing press in this country has been running articles from the British secret state. It’s therefore quite possible that British intelligence or one of its nominally independent subsidiaries has been feeding it bilge about the Labour party as well. Like the smears against Corbyn and other British, American and European political figures claiming they were agents of Putin by the Integrity Initiative.
Which brings us right back to MI5 and the Zinoviev letter. And how old and shopworn the Tories’ smear tactics are.
Mike this morning also put up a very importance piece about how Tweezer’s party has also been seeking to undermine British democracy by providing 2.25 million pounds to a think tank, the Institute of Statecraft, to spread smears against Jeremy Corbyn, the Labour party, and individual Labour politicos.
The Institute is based in an old mill in Fife, and runs a programme, the Integrity Initiative, to counter Russian propaganda. This is supposed to be done through a collection of friendly journos and ‘influencers’ throughout Europe, who will go online and attack Russian propaganda on the Net. Instead, it appears that the think tank has been using the money given it by the Foreign Office to smear Corbyn as an instrument of Moscow on Twitter. One Tweet included an extract from a newspaper article denouncing Corbyn as a ‘useful idiot’, a phrase Lenin used to describe sympathetic individuals in the West, who could be manipulated by the Bolsheviks. The Tweet then said
His open visceral anti-Westernism helped the Kremlin cause, as surely as if he had been secretly peddling Westminster tittle-tattle for money.
Another Tweet ran
It’s time for the Corbyn left to confront its Putin problem.’ A further message refers to an ‘alleged British Corbyn supporter’ who ‘wants to vote for Putin.
Emily Thornberry, Labour’s Shadow Foreign Secretary, stated it was outrageous and said that one of the cardinal rules of British politics was that government funds should not be used for party purposes. She made the point that the smears weren’t outside the government’s control, as it said in its funding agreement with the company that the money would be used in party to expand the Integrity Initiative as well as Twitter and social media accounts. She concluded
So the Government must now answer the following questions: Why did the Foreign Office allow public money to be spent on attempting to discredit Her Majesty’s Opposition? Did they know this was happening? If not, why not? And if they did, how on earth can they justify it?
According to RT, the revelations follow the leak of classified documents to the Sunday Mail.
Chris Williamson commented
What the hell is going on? I tabled a parliamentary question recently and discovered the Foreign Office has given 2 million of public money to a shady organization that’s indulging in black propaganda against Jeremy Corbyn and the Labour party.
Another Labour MP, Jon Trickett, said
If it is true that there is a deep state, taxpayer funded operation against our party it is totally unacceptable and explanation and an enquiry must be conducted immediately.
RT reported that the Foreign Office has now launched an investigation stating that any involvement in domestic politics would be condemned. Alan Duncan, the minister of state for Europe and the Americas, said
I don’t know the facts, but if there is any kind of organization for which we are paying, which is involved in domestic politics in that way, I would totally condemn it.
Here’s RT’s report on the scandal.
Mike in his article about the think tank and its smears also quotes Duncan, who said that
The Institute for Statecraft is an independent, Scottish, charitable body whose work seeks to improve governance and enhance national security. They launched the Integrity Initiative in 2015 to defend democracy against disinformation.
In financial year 2017/18, the FCO funded the Institute for Statecraft’s Integrity Initiative £296,500. This financial year, the FCO is funding a further £1,961,000. Both have been funded through grant agreements.
Mike comments that the statement that Institute for Statecraft was defending democracy was simply untrue, as they should not be posting disinformation on social media. And nobody else should be doing so either.
He also reminded us that less than a year ago, Gollum, I mean, Tweezer, had announced that she was launching a rapid reaction force based in the cabinet office to rebut fake news. Mike had said then that
This is not an attempt to ensure a ‘fact-based public debate’. It is a bid to hijack the news and turn it into Tory propaganda.
He adds in his article that he was right. It’s just that the government has outsourced its propaganda.
Mike’s article also gives the responses of a number of Labour supporters and MPs condemning the Institute’s smears. One of them, Aaron Bastani, states that if the Institute has a list of journos and influencers smearing the leader of the opposition, then it has to be made public immediately. And Dan Carden MP remarked on how, with the exception of the Scottish Daily Record and the Sunday Mail, this was being ignored by the mainstream media. He stated that these were strange times, but we still expected democracy to be defended.
Mike replies
Yes, we should expect democracy to be defended.
Just not by right-wingers like those running the BBC and most of the print news media – or by our democratically-elected government.
Yet this is the government that wants to push us all through Brexit, in the name of democracy.
It doesn’t stack up. We need an election to get the Tories out of office, and then a police investigation to find out who authorised the Foreign Office to fund this offence.
I wondered if the reason the lamestream media have so far ignored the story is because so many of those newspapers and organisations might have been involved in it. Several journos have been named as the conduits for government propaganda in the press. One of these was Andrew Neil, when he was the editor of the Sunday Times.
Actually, the Tories and the British secret state have a long history of smearing the Labour party and its leaders as agents of the Russians. Back in the 1920s there was the notorious Zinoviev Letter, forged by MI5, which purported to come from the head of the Comintern in the Soviet Union, Zinoviev, instructing the Labour party to get ready to stage a revolution and turn the country into a Communist satellite state.
Then in the 1970s the CIA and MI5 smeared Harold Wilson as a Russian spy. This has been extensively discussed by the conspiracy/parapolitics magazine, Lobster. One of those, who believed this tripe was Maggie Thatcher.
Robin Ramsay, in his recent additions to the ‘News from the Bridge’ section of Lobster, has also posted up a piece ‘IRD Reborn’, commenting on a report by Iain Cobain in the Groaniad that the British government has the army’s 77th Brigade conducting ‘information operations’. There’s also the Research, Information and Communications Unit (RICU) in the Home Office. According to Cobaine, the department, founded in 2007
says privately that it aims to “effect attitudinal and behavioural change” through methods including the dissemination of messages on social media, leafleting homes and feeding stories to newspapers, was modelled on a secretive anti-communist body called the Information Research Department (IRD), set up in Britain in 1948.’
Apparently, RICU was set up by Gordon Brown, who read Frances Stonor Saunders’ Who Paid the Piper: The CIA and the Cultural Cold War, and instead of taking the book and its revelations as a condemnation, actually thought it would be a good idea.
Ramsay comments
I think it may be safe to say that Brown knew nothing about the IRD’s activities, especially their role in the British state’s disinformation operations – a.k.a. the ‘Lisburn lie machine’ – in Northern Ireland in the 1970s. This pioneered the business of putting out so much disinformation – fake news – that no-one knows what to believe.
The rest of that section discusses whether or not anyone really believes the kind of fake news spouted by people like Alex Jones and InfoWars. Ramsay concludes that it’s probably very few.
The current issue of Lobster, 76, is at: https://www.lobster-magazine.co.uk/issue76.php
To see the piece, download the ‘View from the Bridge’ by clicking on it, and then scroll down the piece until you get to the right section. There’s also an awful lot of other very important pieces in that section, including government data-gathering on private citizens and implantable bio chips to keep track of us.
There’s an interesting article in Counterpunch today by John Wight, which might add a new dimension to the government losing around 2,000 files from the National Archives last week. The files were supposed to have been taken out by Home Office civil servants, and covered a range of very sensitive incidents, from the notorious Zinoviev Letter, through to the assassination in the 1970s of the Bulgarian dissident Georgi Markov, and the dirty war in Northern Ireland. Human Rights campaigners were alarmed in case this was an attempt to cover up human rights violations by the British state in Ulster in the long campaign against the IRA and related terror groups. The Zinoviev Letter, you will remember, was the forged letter by the British security services, which purported to be from Zinoviev, the head of Stalin’s Comintern, congratulating the Labour party on preparing to take over Britain in a revolution.
A number of Labour MPs have already made their feeling about the disappearance of the files clear, stating that this is another Orwellian attempt by the Tories to rewrite or obscure history.
It is, and this isn’t the first time the Tories have borrowed sensitive files to make sure they’re out of circulation. Anyone remember a similar incident a few years ago, when government documents similarly went missing from the archives, only for the minister responsible to claim that he had just ‘innocently’ taken them away to help him with a book he was writing? I didn’t believe that story then. The Tories have offered no excuse now, which does make you wonder what they’re trying to hide.
Some clue to this comes from Irish government documents from the 1980s that have been released under their 30-year rule. This includes a letter from the Protestant terrorist group, the UVF, to Charles Haughey, informing him that they were approached by an MI5 officer, who wished them to assassinate the Irish president. John Wight in his article about this in today’s Counterpunch writes
Said papers confirm that in 1987 the Ulster Volunteer Force (UVF), one of the oldest and most notorious of the various loyalist/Protestant paramilitary organizations that were engaged in sectarian violence in the province during the Troubles, wrote to the then Irish Prime Minister Charles Haughey in Dublin, informing him that in 1985 they were approached by Britain’s domestic intelligence service, MI5, with a request to assassinate him.
We learn that in the letter the UVF told Mr Haughey, “In 1985 we were approached by a MI5 officer attached to the NIO (Northern Ireland Office) and based in Lisburn, AlexJones was his supposed name. He asked us to execute you.” The letter subsequently goes on to allege that Britain’s MI5 supplied the group with information such as pictures of Haughey’s home, his private yacht, and details of the vehicles he travelled in.
The UVF refused follow through on MI5’s request, telling Mr Haughey, “We have no love for you but we are not going to carry out work for the Dirty Tricks Department of the British.”
In fact, MI5 and the British government probably weren’t the only ones making covert plans to overthrow the opposite side. Way back in the 1980s or ’90s, Lobster covered a piece in the Irish Republican newspaper, An Phoblacht, which claimed that there had been a scheme during Haughey’s premiership to stir up sectarian violence in order to provide a pretext for an invasion of Ulster from the Republic. The plan was that after rioting and sectarian violence, armed forces from the south would enter the Six Countries as a peace-keeping force. If this is also true, then nobody, on either side of the Irish border, ends up looking good. Or anything other than deeply duplicitous and murderous.
In fact, there is plenty of evidence that the British state was supplying intelligence to the loyalist terror gangs, so that they could assassinate leading Republicans, as Wight’s article goes on to discuss. And there is also evidence that secret SAS units were being embedded within regular army units in Northern Ireland to act as death squads. All of which makes it very clear that there’s much in the files that this Tory government would very, very much want to hide.
Mike has already suggested that a way to stop files going missing in the future would be for the National Archives to be run like a proper library: those borrowing books have a ticket, and it is known who has borrowed what, and that they must return it on time. I completely agree, but this is too efficient, and would prevent the government from having a convenient pretext with which to lose files when their contents prove inconvenient.
And the government’s behaviour in this respect is very much like the Russian authorities during the old Communist system. Foreign researchers were at liberty to use files in the Soviet archives. However, if you wanted something sensitive or incriminating, you’d be told that those files were out. Which sounds exactly like what has been going on here.
I’ve put up several pieces about workers’ control and industrial democracy, the system in which the workers in a particular firm or industry have their representatives elected on to the board of management. It was particularly highly developed in Communist Yugoslavia, following the ideas of Milovan Djilas and Edvard Kardelj, and formed an integral part of that country’s independent Communist system following the break with Stalin and the Soviet-dominated Comintern in 1948.
In 1963 the Fabian Society published the above pamphlet by Frederick Singleton, a lecturer on Geography and International Affairs in the Department of Industrial Administration at the Bradford Institute of Technology, and Anthony Topham, a staff tutor in Social Studies in the Adult Education department of Hull University.
The pamphlet had the following contents.
Chapter 1 was on Political Structure, and contained sections on the Communist Assumption of Power, the 1946 Constitution, the 1953 Constitution, and the Policy of the League of Communists.
Chapter 2: Economic Planning, had sections on the Legacy of the Past, From Administration to Fiscal Planning, Autonomy for the Enterprise, the Investment System, and Recent Developments.
Chapter: The Working Collective, has sections on the Workers’ Council, the Managing Board, the Director, Departmental Councils, Economic Units, the Disposal of Funds by Economic Units, Allocation of Personal Income, Structure and Role of the Trade Unions, the Right to Strike, Education for Workers’ Self-Management, Workers’ Universities, Worker’s Management in Action: Decision Making, Structure of a Multi-Plant Enterprise, and Incentives or Democracy: the Problem of Motive.
The final chapter, was the Conclusion, which considered the lessons the system had for Britain. It ran:
In considering the lessons which British socialists may draw from the Yugoslav experience, we must not lose sight of the different nature of our two societies and the disparity in levels of industrial development. But it is also relevant to ask how far the ideas of workers’ control could, with the stimulus of the Yugoslav experience, become a truly popular element of British Labour policy. It is true that, with the Yugoslav exception, past experience of this form of Socialism has been inconclusive and fragmentary. Usually, it has been associated with periods of revolutionary fervour such as the Paris Commune of 1871, the Catalan movement during the Spanish Civil War, and the factory Soviets of Russia in 1917-18. The experience of Owenite Utopian communities in this and other countries is misleading, in that they existed as small and vulnerable enclaves in a basically hostile society. On the other hand, there is an authentic tradition within the British Labour movement, represented by the early shop stewards’ movement, the Guild Socialists and Industrial Unionists, upon which we can draw. The Fabian tradition too, is not exclusively centralist or bureaucratic. In the 1888 volume of Fabian essays, Annie Besant raised the question of decentralisation. She did not believe that ‘the direct election of the manager and foreman by the employees would be found to work well’, but she advocated control of industry ‘through communal councils, which will appoint committees to superintend the various branches of industry. These committees will engage the necessary managers and foremen for each shop and factory.’ The importance attached to municipal ownership and control in early Fabian writings is related to the idea of the Commune, in the government of which the workers have a dual representation as consumer-citizens and as producers. This affinity to Yugoslav Commune government is even more marked in the constitutions evolved in Guild Socialist writings.
The history of the progressive abandonment of these aims, and the adoption of the non-representative Public Corporation as the standard form for British Socialised undertakings, is well known. Joint consultation, which was made compulsory in all nationalised industries, became the only instrument of workers’ participation. Yet the problem of democracy in industry is one which should be of great concern to the British socialist. It must surely be apparent that the nationalised industries have failed to create amongst the mass of their workers a feeling of personal and group responsibility. Even in the most ‘trouble-free’ gas and electricity industries, there is little real enthusiasm for the present system of worker-management relations. Nationalisation may have appeared to the Labour government to have solved the problems of the industries concerned. But the experience of the workers in these industries has not confirmed this. They found that joint consultation between managers and unions leaders plus vaguely defined parliamentary control did not create anything resembling industrial democracy. Had it done so, there would have been much stronger popular resistance to the anti-nationalisation propaganda which was so successful in the years preceding the 1959 election.
We therefore feel that the basic aim of the Yugoslavs is one which has validity for our own situation, and we conclude with some observations on the British situation suggested by an acquaintance with the Yugoslav system.
The Problem of Scale
The forms of economic organisation and management which have been evolved by the Yugoslavs are unique, and a study of them provides a valuable stimulus to those who seek ‘a real understanding of a scheme of workers’ control that is sufficiently comprehensive to operate over an entire industry, from top to bottom, and through the whole range of activities’. However, as the scale of production grows, the problem of ensuring that democratic control extends beyond primary groups such as Economic Units through the intermediate levels to the central management of the firm and the industry, becomes more and more difficult. There is a strong body of opinion which believes that schemes of workers’ control must ultimately founder in the context of modern large-scale production. The small, multi-firm industries of the Yugoslav economy make democratic control less difficult than in a highly developed industrial society such as our own.
But questions, which should be asked in relation to our own economy are: how far could the nationalised industries be broken down into the smaller, competing units, without serious loss of efficiency? How far is the growth in the average size of firm (as opposed to scale of production units) the outcome of purely commercial and power considerations, rather than concern for increased efficiency through economies of scale? How far have we been misled by the mystique of managerial skill into accepting the necessity of autocratic control by the managers in both private and public industries? After all, the principle of lay control over salaried experts is the normal and accepted principle in national and local government, and within the Co-operative movement. The decisions in these fields are no less complex and ‘technical’ than in industry. Where lay control in local Councils and Co-operative Management Boards is more apparent than real, how far is this due to the prevailing faith in technology, which makes us reluctant to transform the contribution of the elected representatives by a thorough and enthusiastic education programme of the kind found in the Yugoslav Workers’ Universities?
In the conditions of modern industry, decisions taken by line managers and directors are frequently a matter of choosing between alternative course the consequences of which have been calculated by technical staffs. Such decisions are of a social and political, rather than a technical nature, i.e. they are precisely the sort of decisions which should be undertaken by democratic bodies. These factors should be borne in mind when examining the conclusions of some writers that, whilst the Yugoslav experience is interesting, and may have relevance for countries at a similar stage of industrialisation, it has little bearing on the problems of advanced industries societies.
You can really feel the fear coming off the mainstream press in waves now, and with this story Murdoch appears to be the most frightened and desperate. This short clip from RT reports and comments on two pieces in the Times today, which named the British politicians, who had appeared on RT. Most of these were from the Labour party, but there were also a select number of Conservatives. One of the pieces was entitled ‘Helping Putin’, and claimed that the politicos going on the Russian-owned station were guilty of helping the Russian president interfere in British politics. Not only did the Times name the individual politicians, it also gave details of how many times they had appeared on RT, and the amounts they’d been paid. Among those outed are the Shadow Energy Secretary, Barry Gardiner, the Shadow Chancellor John McDonnell, the Welsh MP David Davies, the MP Nigel Evans, and the Shadow Lord Chancellor Richard Burgon.
The RT’s own Polly Boiko remarks that traditionally in Britain, speaking to the media was seen one of our democratic freedoms. She then walks into the studio of RT’s ‘Going Underground’ to talk to the programme’s host, Afshin Rattansi. Rattansi remarks that the story’s ‘pretty shoddy stuff’, and the Times has not come to RT for their comment on this story. He also says that they’ve had not just Labour politicians on the programme, but also Tories as well as those from other parties. They come on the programme as they know they will be listened to. As for ‘helping Putin’, this is an attempt to scare people off the broadcaster by connecting them to Jeremy Corbyn. Boiko asks him if he believes that this will make it difficult for RT to get politicians on to his show. Rattansi states that it was initially difficult, but it has now become much easier as they’ve become established and known for listening to their speakers.
The Russian embassy have also given their response to the accusation, asking if that means that the Russian politicos, who have appeared on the BBC, have been helping the British government.
This looks to me like the Murdoch press doing what it has so often done in the past: kick up a ‘Red Scare’ in order to stop people voting Labour. The Times is copying the attacks on RT America over the other side of the Pond by the Republicans and Corporatist Democrats, who are terrified because increasingly more severely normal Americans are preferring to get their news from alternative media outlets, like RT, rather than believe anything from the biased and compromised mainstream broadcasters. Like Fox News, which is solidly Republican to the core, and whose main host, Bill O’Reilly, and one of its chief executives, Roger Ailes, were both sacked as serial sexual harassers. Obama’s election victory in 2008 was credited to a campaign for him on social media, and it has been social media that’s played a very large part in the massive growth in popularity for Jeremy Corbyn and the Labour party, in opposition to a barrage of lies and smears from the mainstream press and broadcasters.
And Murdoch in particular is threatened by this. Fox News audience is very largely in their late 60s. I think the average age is 68, which means that it is signally failing to attract and influence the younger folks, who are turning instead to Bernie Sanders over in America and Corbyn in Britain. As for the Times, the paper is actually losing money hand over fist, to the point where Private Eye remarked that it would have been closed down long ago if it were not the British ‘paper of record’. Murdoch keeps it propped up so that he has a place at the table influencing our politicians.
Lobster and other commenters have observed that over the past decades, Murdoch has used his power in the British press to make deals with various governments. His papers support them and give them popularity as an a kind of unofficial official press, while in return they give in to Murdoch’s own agenda. This means that they grant him important business concessions, such as purchasing rival satellite and cable networks and generally expanding his squalid little empire. At the same time, they also listen very carefully to his wider political agenda, which has always consisted of smashing workers’ rights, and deregulating and privatising the economy. And that includes the NHS.
Clearly, with this story, Murdoch’s starting to become afraid that time’s running out for this scam. People are turning away from the mainstream media, including and particularly the Murdoch press, which has always had a reputation for sensationalist trash and gross rightwing political bias. And if nobody reads his papers, or watches Sky News, not only is Murdoch’s empire failing in itself, but so is his power to influence British and American politics.
He’s panicking, and it’s clear he’s panicking.
Of course, this isn’t the first time he’s attempted to smear respectable politicos as traitors and agents of Moscow. He’s done that many times before. Way back in the 1990s or early part of this century, the Times under its editor, David Leppard, printed a completely bogus story that Michael Foot, the former Labour leader, had been a KGB agent codenamed ‘Comrade Boot’. This was a highly credible story, as shown by the way Private Eye sent it up on their front page. This showed Foot walking his dog, which was cocking its leg on a tree. The tree, in turn, was attempting to contact Foot in code. Not surprisingly, Foot sued for libel and won.
Then there was the Scum’s attempt to smear various Labour politicians as Commies in the 1987 general election. Among those targeted were Labour politicians, who had spoken to or written for the Marxist press. Shock! Horror! Except that the politicos they tried to smear in this way weren’t actually Communists, nor even necessarily Marxists. They were largely mainstream Labour politicians, who had just written for the Marxist press on a particular issue. They also smeared Red Ken as a Marxist, when those, who knew him, said he wasn’t, though he wasn’t averse to using them and sounding like them on occasion. They also claimed that Peter Tatchell was a member of the Trotskyite entryist group, Militant Tendency, when he was no such thing. As well as making other spurious claims based on his homosexuality.
This is all the kind of stuff the right-wing British press has been doing since the infamous ‘Zinoviev Letter’ of the 1920s. This was an attempt by one of the newspapers to scare people away from voting Labour by publishing a letter from the head of the Comintern, Zionviev, to the Labour party, which purported to show that they were going to collaborate with Russia and turn the country into a Communist dictatorship. Except that the letter was a fake, a forgery, probably cooked up by MI5.
I’ve reposted a number of stories from RT, simply because the broadcaster is doing an excellent job of covering stories that the mainstream British media, including the Beeb, aren’t. This doesn’t mean I support Putin. I don’t. He’s an extremely authoritarian thug, and I don’t doubt that the stories of his own massive corruption are true. But that doesn’t mean that the stories reported by RT are false, or that RT isn’t doing proper journalism when it reveals them. In fact, it seems to me that RT is very much doing this, and it is precisely this that has got Murdoch and the Republicans and Clintonite Democrats in America running scared.
The Russian word for newspaper is ‘Gazeta’. The Russian word for the type of journalism practised by the Murdoch empire is ‘govno’. Which is Russian for ‘Sh*t’.
Yesterday, Mike also put up a piece from Medium entitled ‘Blairite Entryism’. This was about an email from three councillors for Oval Ward in Lambeth, Jack Hopkins, Jane Edbrooke and Claire Holland, appealing for people to join the Labour party so they could vote out Jeremy Corbyn. They made the usual noises about Corbyn and his supporters being unsuitable for government, stated that as well as trying to tackle inequality and protecting the most vulnerable, they were also active running basic council services, and threatened that if Corbyn was elected, it would mean the disappearance of many present Labour councillors. The email was sent to everyone, including Lib Dems and Conservatives. It was specifically targeted at the members of other parties, who were not Labour voters, to join simply to get rid of Corbyn.
Mike asks the question why Tom Watson, if he is so frightened by Left-wing entryism into the Labour party, isn’t also denouncing this Right-wing entryism, and demanding that they be duly punished in the same way as all the Trotskyites he imagines are out there.
Of course Watson won’t. Part of Tony Blair’s strategy to appeal to the right was to recruit Conservatives into the Labour party and the government. Those who switched sides were parachuted into safe Labour seats, often at the expense of the popular, Labour candidate for those areas. When it came to government officials, Blair decided that his was a Government Of All the Talents, and included even present members of the Tory party. This included Chris Patten, the former governor of Hong Kong. It was noted by Blair’s critics that he was far more comfortable with these Tories than he was with traditional Labour party members.
As for the long paranoia and fear about left-wing entryism into the Labour party, this has been around since the 1920s. Labour were concerned about possible Communist party infiltration, and so passed a resolution to remove members of the extreme left. The official stance of the Labour party is opposition to the class war, which is one of the major planks of Communist ideology. There is a problem in that under Stalin, the Comintern did have a policy of turning western Communist parties into carbon copies of the Soviet Communist party, and using them to further specific Russian foreign policy goals rather than those favouring their own nations. One of the reasons Communist Yugoslavia split from the Soviet bloc and aligned with NATO instead was because Stalin tried this effect takeover of their nation through the international Communist organisation. Milovan Djilas, the dissident Marxist writer and one of the architects of the system of worker’s control in the former Yugoslavia, described this process in his autobiography, Rise and Fall. For example, the official Communist international line demanded that the press in the satellite countries printed stories mainly about Russia, to the exclusions of articles about the satellite nations itself. And the way Stalin took over and the nations liberated by the Soviet Union during the Second World War into Communist states under the sway of the Soviet Union was by infiltrating, amalgamating and purging the local Socialist and opposition parties. For example, in East Germany the Social Democrats were, against their wishes, forcibly amalgamated with the Communist party. The leading Social Democrat politicians were then purged, and the majority Social Democrats then reformed as a Communist party, along the way turning their country into a Communist state. This didn’t just happen to Socialist parties. It also happened to non-Socialist parties, which occupied the leading left-wing position, such as the Peasant’s Party in Hungary.
There were also attempts to take over the trade unions through the Soviet trade union organisation. It’s why Ernest Bevin, the veteran trade unionist and Labour politician, hated Communism.
And it wasn’t just the Communists, who tried these antics. The Socialist Workers’ Party, which is the country’s main Trotskyite organisation, was notorious for trying to infiltrate other left-wing groups and campaigns in order to turn them into its front organisations. The ‘Rock Against Racism’ movement fell apart in the 1980s after they gained a majority on its leading committee. The campaign then declared it was working in concert with the Socialist Workers. The majority of its members, who weren’t interested in Trotskyism but simply wanted to listen to rockin’ bands while saving the country from the NF and the rest of the Fascists, voted with their feet and left.
Other extreme left-wing organisations adopt the same tactics. In the early 1990s a group of anarchist troublemakers tried to infiltrate a re-enactment group of which I was part. They left en masse after they were caught discussing their plans to take control of it.
Much of the fear of left-wing entryism into the Labour party and the trade unions was also stoked by the Americans as part of the Cold War. Robin Ramsay and Lobster have published a number of articles describing and criticising the process by which the American and British intelligence agencies sponsored various working class movement and organisations to combat possible Soviet influence. The Blairite hysteria here over Corbynite ‘Trotskyites’ is part of this pattern, as Blair and the other leading members of New Labour were sponsored by the British-American Project for the Successor Generation, a Reaganite project to influence the coming generation of politicians in favour of the Atlantic alliance and American interests.
All this hysteria ignores the fact that Jeremy Corbyn isn’t a Trot, and neither are his followers. They’re traditional old Labour. But this is too much for the New Labour capitalists, who get the vapours every time somebody mentions traditional, old Labour values, like working for the working class, protecting the unemployed, nationalisation and a mixed economy. New labour’s based entirely on copying the Tories and trying to steal their ideas and voters. And hence this attempt by the three Lambeth councillors to pack the party with voters from the Right, all the while screaming about the threat of the extreme left. The Blairites themselves are entryists – capitalist entryist, spouting Thatcherite nonsense. This should have no more place in the Labour party than Communists or Trotskyites on the hard Left.
Also looking through the pile of past newspaper clippings I’ve collected, I found this review by David Honigmann of Financial Missionaries to the World: The Politics and Culture of Dollar Diplomacy 1900-1930, by Emily S. Rosenberg, published by Harvard, in the FT’s weekend supplement for 11th/12th March 2000.
The Real Costs of an Empire on Loan
At the end of the 19th century, the US was acquiring an empire by default, picking up colonial possessions and exerting a sphere of influence it did not quite know how to handle. When the 1896 selection turned on the question of currency reform and the gold-standard advocates won, the next step to export the gold standard to the scattered territories under US control. It spread from Puerto Rico to the Philippines, then Panama, Cuba, Haiti, Nicaragua, Mexico. Eventually, US financial advisers would by plying their trade as far afield as China, Germany and Persia.
Dollar diplomacy was the term coined for an arrangement under which struggling economies would receive loans from US banks in return for accepting “supervision” from American economic advisers. The story of the public-private partnership that tried to bring this about is the subject of Emily Rosenberg’s meticulously researched book.
She traces the three parties involved in pushing dollar diplomacy. Investment banks, anxious for new markets, provided the loans. Academics made, in some cases, small fortunes from providing the advice: Edwin Kemmerer, who became the high priest of dollar diplomacy, made many times his already generous Princeton salary from grateful client governments. (Rosenberg cites personal correspondence to show that Kemmerer was obsessed with the inadequacy of his salary and what this meant for his manliness.
The third party underpinning all this was the US State Department, which played an ambiguous role in approving the loans. Each loan went to the State Department for approval, and when approval was granted there was at least a tacit expectation by lenders that the US government was backing it, protection which could take any form from ambassadorial murmurings to the dispatch of the Marines.
Banking was a contested area at the time. The gold standard, with its tendency to deflation, was inimical to small farmers and small businessmen. Marxists condemned it as materialism in action, and opposition to it also drew on a strain of populist anti-Semitism. (In the 1896 election, the Democrats warned against “crucifying mankind upon a Cross of Gold”.)
Attitudes to dollar diplomacy did not split evenly along political lines, however. When President (Theodore) Roosevelt, in 1905, halted the Dominican Republic’s slide towards bankruptcy by turning it into a US fiscal protectorate, and then built it into a model of dollar diplomacy, there was little anti-imperialist protest. The plan was seen essentially as extending “assistance without annexation”.
It was only as client countries began to rebel against the conditions and policies imposed to accompany loans (the Sandino rebellion in Nicaragua in the late 1920s being the most visible) that progressive domestic opposition and the Comintern rallied to denounce it.
Rosenberg dives deepest into the professional advisers and their search for respectability. this was the foundation of the whole system: the professionalism of the advisers reduced the perceived risk of the loans, lowering their price and making them affordable for the client countries. The advisers presented themselves as impartial third parties, aloof from both US governmental interests and the banks, responsible only to client governments. In fact, they received considerable support behind the scenes from the State Department, and Kemmerer was also kept on a secret annual retainer by Dillon Read, one of the investment banks: not so much Chinese walls as Hall of Mirrors.
Despite the technocratic claims of the advisers, dollar diplomacy was not a clean, value-free exercise. Rosenberg locates its roots in the cultural debates of the early 20th century. The Tarzan books and films were only one example of the ways in which other nations and peoples were framed as “primitive” and in need of western assistance.
Dollar diplomacy even became the subject of poplar entertainment, as in Edison’s 1917 film Billy and the Big Stick, whose hero was an American customs officer in Haiti, denied his salary by the Haitian president until he threatens the dispatch of gunboats. All very explicit, it might seem; in fact, as Rosenberg notes, it was the US financial adviser in Haiti who sopped the wages of Haitian officials until they agreed to his proposals.
The crux of Rosenberg’s argument is that dollar diplomacy cloaked geo-politics in the guise of market contracts, but with the iron first ill-concealed in the velvet glove. She draws a parallel with Victorian marriage contracts: “the dominant (male) party promised monetary support (loans) and supervision in return for obedience and acceptance of regulation. Yet, also like marriage, the status inequalities were embedded in the controlled loan contracts of dollar diplomacy, even as the contracts tended to be culturally presented as freely negotiated and based on mutual attraction.”
Financial Missionaries to the World is not easy reading. It is full enough of fiscal minutiae that even fairly central concepts, such as financing currency conversion through seniorage, go unexplained. There is no argument that is not a discourse, no assumption that is not a paradigm, no subordination that is not a “feminization”.
But it works well in explaining how this policy of arm’s length financial administration arose, how it was sustained by cultural pressures in the teeth of growing opposition from both isolationist Right and anti-colonialist Left, and how it eventually collapsed in the gale of the 1929 Crash and a series of armed rebellions.
Rosenberg does briefly trace the evolution of dollar diplomacy through Bretton Woods and the rise of the IMF, although a less scholarly book might have drawn even more explicit parallels with the financial regimens imposed by today’s multinational institutions. But perhaps the warnings are all too clear.
That last paragraph is important. The IMF and the World Bank certainly do act as instruments of American economic imperialism. When countries go for them for loan, these are given with a set prescribed conditions to rectify those nations’ ailing economies: they are to private the state industries and cut down on state expenditure generally, including removing or cutting back on any welfare support they may provide their citizens. The privatised industries are to be sold to American companies.
And the Americans haven’t just tried this with Developing Nations. They’ve done it to us as well. The British Empire was dismembered partly due to pressure from the Americans for their help during the Second World War, as they wanted to open up the closed imperial trading bloc to American companies. And they’ve continued interfering in our economic affairs afterwards. According to Lobster, one of the chiefs and head executives at the Bank of England under Bliar was Deanne Julius, a high ranking official within the American banking system. She believed that Britain should abandon its role as a manufacturer and concentrate instead on servicing American global financial interests.