Tag Archives: corruption

Obama’s former communications director’s firm does PR for Keystone XL pipeline, tar sands rail transport

By Steve Horn, May 3, 2013. Source: DeSmog Blog

Anita_DunnDouble-dipping is a “no go” in the real world of eating chips and salsa with a circle of friends but an everyday reality in the world of lobbyists and PR professionals.

Enter double-dipper Anita Dunn, former White House Communications Director for President Barack Obama who now runs the firm SKDKnickerbocker (Squier Knapp Dunn), a firm that ”brings unparalleled strategic communications experience to Fortune 500 companies, political groups and candidates, non-profits, and labor organizations.”

Dip one: TransCanada Corporation, which SKDK does public relations work for, as revealed in an Oct. 2012 New York Times investigation. TransCanada is the multinational corporation currently building the contentious southern half of theKeystone XL (KXL) tar sands pipeline, following the dictates of a March 2012 Obama Administration Executive Order. Within months, the fate of the border-crossing Alberta to Port Arthur, TX KXL export pipeline will also likely be decided by the U.S. State Department.

Dip two: Another SKDKnickerbocker client is the Association of American Railroads (AAR), the American Petroleum Institute trade association equivalent for the freight rail industry. Even without KXL – as covered previously on DeSmogBlog tar sands crude can be moved to targeted markets via freight rail (coupled with pipeline capacity increases of other tubes and potential barging along Lake Superior).
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Filed under Ending the Era of Extreme Energy, Oil, Politics, Tar Sands

NY fracking scandal: Seven groups demand conflict of interest investigation of Cuomo administration

By Steve Horn, February 11, 2013. Source: DeSmogBlog

Photo: DeSmogBlog

Photo: DeSmogBlog

New York could soon become the newest state in the union to allow hydraulic fracturing (fracking), the controversial technique used to enable shale oil and gas extraction. The green light from New York Governor Andrew Cuomo could transpire in as little as “a couple of weeks,” according to journalist and author Tom Wilber.

That timeline, of course, assumes things don’t take any crazy twists or turns.

Enter a press conference today in Albany, where seven groups, including Public CitizenFood and Water WatchFrack ActionUnited for ActionCatskill Citizens for Safe Energy, and Capital District Against Fracking, called for an Albany County District Attorney General investigation of the Cuomo Administration.

They are asking ”whether Lawrence Schwartz, Secretary to Gov. Andrew M. Cuomo, has a conflict of interest between his stock investments and his involvement in the state’s decision on whether to allow high-volume hydraulic fracturing for shale gas.” Continue reading

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Filed under Climate Change, Ending the Era of Extreme Energy, Energy, Hydrofracking, Politics, Water

Mozambique losing a fortune to illegal timber exports

February 7, 2013.  Source: Environmental Investigation Agency

Corruption in Mozambique aids illegal logging & timber smuggling to China

viewerWeak forest governance and corruption in Mozambique are facilitating illegal logging and timber smuggling to supply China’s voracious demand, costing the fourth least developed country in the world tens of millions in lost taxes annually.

The new report First Class Connections: Log Smuggling, Illegal Logging and Corruption in Mozambique by the London-based Environmental Investigation Agency (EIA) exposes massive discrepancies in import/export data between Mozambique and China, indicating that half the timber flowing into China is illegal.

Compiling evidence from research and undercover operations in both countries, the report features detailed investigative case studies into some of the biggest companies engineering these crimes in Mozambique today, exposing both the smuggling techniques used and the political patronage and corruption that facilitate them.

EIA forests campaigner Chris Moye said: “Despite recent commendable efforts by the Mozambican Government to control the illegal trade in timber to China, our investigation uncovers how high-level politicians, in league with unscrupulous Chinese traders, continue to not only breach Mozambique’s export and forest laws but are now putting pressure on the sustainable yield of Mozambique’s forests”.
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Filed under Africa, Biodiversity, Forests, Illegal logging

More corruption involving Norwegian REDD funding in Tanzania

By Chris Lang, February 6, 2013.  Source: redd-monitor

2013-02-06-110259_576x767_scrot-e1360123728554-135x135In 2006, an evaluation of Norwegian aid to Tanzania revealed that about US$30 million had been lost to corruption and mismanagement in the Ministry of Natural Resources and Tourism. The money was about half of the total that Norway spent on a Management of Natural Resources Programme. This week, Norwegian aid is in the headlines again over allegations of corruption in Tanzania.

Norway supported the MNRP from 1994 to 2006 to the tune of US$5 million a year. An independent evaluation in 2006 found that money was syphoned off through buying overpriced or non-existent goods and services. Procurement rules were not followed. More than half of Norway’s money went on workshops and “capacity building” exercises. Large amounts of money were lost to the “per diem culture” that surrounds aid-agency funded workshops in Africa.

Norway stopped aid to Tanzania. But after Tanzania returned a small part of the missing money, Norway turned the aid flow back on, committing US$100 million over five years for forest climate projects in Tanzania. Some of the money went to the Ministry of Natural Resources and Tourism – the same Ministry that had syphoned off US$30 million from the MNRP budget.

This time around, Norway wanted Tanzanian-based NGO to implement the REDD projects. WWF were hired to work on a project titled “Strengthening Capacity of Environmental Civil Society Organizations”. Last year WWF was embroiled in a corruption scandal in Tanzania and recently returned just over US$120,000 to Norway, which is less than 10% of the US$1.3 million that was reported missing in an audit carried out by Ernst & Young.
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Filed under Carbon Trading, Climate Change, False Solutions to Climate Change, Forests, Forests and Climate Change, REDD

Norway, REDD and corruption in DR Congo: “Risks of corruption will threaten the implementation of REDD+ in DRC”

By Chris Lang, January 23, 2012.  Source: redd-monitor

2013-01-23-121128_699x665_scrot-135x135In November 2011, PricewaterhouseCoopers warned that “The implementation of REDD+ in DRC will face numerous challenges because of the widespread nature of corruption in the country”. As in all other sectors, PwC added, corruption is “likely to be ever present”.

PwC’s report, “Implementing REDD+ in the Democratic Republic of Congo: How to manage the risk of corruption” (pdf file 3.7 MB), was commissioned by the Norwegian Agency for Development Cooperation (NORAD).

“Risks of corruption will threaten the implementation of REDD+ in DRC in all of the phases,” PwC states in the report and notes that,

In fact, a number of politicians, including those in the government circles and Parliament, as well as high-ranking civil servants, are currently engaged in industrial and artisanal logging. Congolese armed forces are also involved in mining, and some of the mines that they operate are situated in forested areas. Investors are also increasingly interested in agribusiness in DRC. Oil companies are also vying for contracts to explore oil in forested zones. Many are these investors are also business associates of politicians on whose protection they rely. It is therefore likely that such individuals or groups of people would be keen to influence the design of the national REDD+ framework for their private gain.

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Filed under Africa, Climate Change, Forests and Climate Change, Land Grabs, REDD, World Bank

The bribery aisle: How Wal-Mart got its way in Mexico

By David Barstow and Alejandra Xanic von Bertrab, December 17 2012. Source: New York Times

Photo: NBC

Photo: NBC

SAN JUAN TEOTIHUACÁN, Mexico — Wal-Mart longed to build in Elda Pineda’s alfalfa field. It was an ideal location, just off this town’s bustling main entrance and barely a mile from its ancient pyramids, which draw tourists from around the world. With its usual precision, Wal-Mart calculated it would attract 250 customers an hour if only it could put a store in Mrs. Pineda’s field.

One major obstacle stood in Wal-Mart’s way.

After years of study, the town’s elected leaders had just approved a new zoning map. The leaders wanted to limit growth near the pyramids, and they considered the town’s main entrance too congested already. As a result, the 2003 zoning map prohibited commercial development on Mrs. Pineda’s field, seemingly dooming Wal-Mart’s hopes.

But 30 miles away in Mexico City, at the headquarters of Wal-Mart de Mexico, executives were not about to be thwarted by an unfavorable zoning decision. Instead, records and interviews show, they decided to undo the damage with one well-placed $52,000 bribe. Continue reading

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Filed under Actions / Protest, Corporate Globalization, Latin America-Caribbean

Corruption and REDD at the international level

By Chris Lang, 15th November 2012. Source: REDD-Monitor

Corruption and REDD at the international level

Earlier this week, Transparency International Indonesia launched the organisation’s new report, “Keeping REDD+ Clean”, at their office in Jakarta. I was invited to give a presentation and this post is based on the presentation.

TI asked me to talk about developing a monitoring instrument to address the risks of corruption in REDD. I requested changing the title to “Corruption and REDD at the international level”. I did so for two reasons. First because I have no experience of setting up monitoring instruments for corruption in Indonesia or anywhere else and second, because it made more sense for me, as the only international speaker, to speak about international corruption and REDD. I also felt that this might help towards filling a gap in Transparency International’s “Keeping REDD+ clean” report, which states that,

The manual’s scope does not extend to corruption risks at the international level. Rather it is deliberately focused on processes that occur in country, to facilitate the participation of national and local groups in informing national policy, planning and project implementation.

But if national policy involves carbon trading, then it is essential to look at the risks of corruption internationally.

The presentation is in four parts. The first part gives a very brief introduction to corruption in the forest sector in Indonesia, a look at how the media reports on corruption in Indonesia and in the UK, and some thoughts about the history of aid to the forest sector. The second and third parts look at the stories that are most often reported about corruption, REDD and carbon trading internationally: from carbon cowboys to billions of euros worth of fraud in the EU Emissions Trading System. The fourth part is the most important part, taken from a 2009 paper written by Larry Lohmann of the UK-based Corner House: “Regulation as Corruption in the Carbon Offset Markets: Cowboys and Choirboys United”. Lohmann argues that the problems of carbon offset markets are not “carbon cowboys” or “bad apples” but the architecture of the markets themselves:

To continue to claim that carbon offset markets can be regulated is to legitimise continued corruption and to undermine popular struggles against it, as well as to harm the causes of climate action and climate justice.

To read the entire piece, go to REDD-Monitor

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Filed under Biodiversity, Carbon Trading, Climate Change, Commodification of Life, Commons, False Solutions to Climate Change, Forests, Forests and Climate Change, Green Economy, Greenwashing, Indigenous Peoples, Land Grabs, REDD, The Greed Economy and the Future of Forests

Money in Politics: Where is the outrage?

by Bill Moyers, Saturday 1 September 2012, Source: Nation of Change

“We are nearing the culmination of a cunning and fanatical drive to dismantle the political institutions, the legal and statutory canons, and the intellectual and cultural frameworks that were slowly and painstakingly built over decades to protect everyday citizens from the excesses of private power.”

We might wish the uproar from the convention halls of both parties these busy weeks were the wholesome clamor of delegates deliberating serious visions of how we should be governed for the next four years. It rises instead from scripted TV spectacles — grown-ups doing somersaults of make-believe — that will once again distract the public’s attention from the death rattle of American democracy brought on by an overdose of campaign cash.

No serious proposal to take the money out of politics, or even reduce its tightening grip on the body politic, will emerge from Tampa or Charlotte, so the sounds of celebration and merriment are merely prelude to a funeral cortege for America as a shared experience. A radical minority of the super-rich has gained ascendency over politics, buying the policies, laws, tax breaks, subsidies, and rules that consolidate a permanent state of vast inequality by which they can further help themselves to America’s wealth and resources.

Their appetite for more is insatiable. As we write, Mitt Romney, after two fundraisers in which he raised nearly $10 million from the oil and gas industry, and having duly consulted with the Oklahoma billionaire energy executive who chairs the campaign’s energy advisory committee, has announced that if elected President, he will end a century of federal control over oil and gas drilling on public lands, leaving such matters to local officials more attuned to industry desires. Theodore Roosevelt, the first great advocate for public lands in the White House, would be rolling in his grave, if Dick Cheney hadn’t already dumped his bones in a Wyoming mining shaft during the first hours of the Bush-Halliburton administration.

We are nearing the culmination of a cunning and fanatical drive to dismantle the political institutions, the legal and statutory canons, and the intellectual and cultural frameworks that were slowly and painstakingly built over decades to protect everyday citizens from the excesses of private power. The “city on the hill” has become a fortress of privilege, guarded by a hired political class and safely separated from the economic pressures that are upending the household stability, family dynamics, social mobility, and civic life of everyday Americans.

Socrates said to understand a thing, you must first name it. As in Athens then, so in America now: The name for what’s happening to our political system is corruption — a deep, systemic corruption.

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Filed under Climate Change, Political Repression, Politics

Dams and logging in Sarawak: Can REDD stop the destruction?

By Chris Lang, August 24, 2012.  Source: REDD-Monitor

Dams and logging in Sarawak: Can REDD stop the destruction?

In 2011, the 2,400 MW Bakun dam started operations in Sarawak, Malaysia. Transparency International described the US$2.2 billion project as a “monument to corruption”. The reservoir behind the dam flooded 70,000 hectares of forest. About 10,000 Indigenous People were forced into new houses that they had to pay for themselves.

The Sarawak government plans to build 12 more dams by 2020. The impact on the people, forests and rivers of Sarawak will inevitably be severe. However, others are firmly in favour of more dams, among them Sarawak’s Chief Minister, Abdul Taib Mahmud. Taib has been in power for more than three decades and during that period he has become a multi-billionaire.

Last year, Sarawak Report spoke to one of Taib’s key business partners, who described Taib’s Ten Income Streams. The logging and palm oil industries provided many of the income streams. He demands money for issuing timber licences:

Cronies who deal with the Chief Minister are instructed to pay their bribes and kickbacks into foreign bank accounts outside of Sarawak, often in Hong Kong or Singapore in the early days.

Another source of income is through Federal Government and State contracts. Nearly all government projects in Sarawak are constructed by Taib family companies. The Malaysian Anti Corruption Commission is currently investigating Taib and his fortune.

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Filed under Climate Change, Ending the Era of Extreme Energy, Energy, False Solutions to Climate Change, Forests and Climate Change, Hydroelectric dams, Illegal logging, Indigenous Peoples, REDD

Japan: Nuclear power industry’s shady payments since Fukushima crisis

August 20, 2012. Source: Asahi Shimbun

An elementary school building under construction in Rokkasho village, Aomori Prefecture, on Aug. 1 with donations from the Federation of Electric Power Companies of Japan (Yo Noguchi)
An elementary school building under construction in Rokkasho village, Aomori Prefecture, on Aug. 1 with donations from the Federation of Electric Power Companies of Japan. Photo: Yo Noguchi


The nuclear power industry has made behind-the-scenes payments to the tune of at least 3.18 billion yen ($40 million) to six local governments hosting nuclear-power related facilities since the Fukushima disaster last year.

The funds were doled out by six nuclear power-related organizations, including electric power companies, The Asahi Shimbun learned.

Of that amount, 2.4 billion yen was not disclosed. The only conclusion to draw from this is that dubious payments to local governments have continued since the reactor meltdowns at the Fukushima No. 1 nuclear power plant.

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Filed under Climate Change, Energy, Nuclear power, Politics