Category Archives: Society

Demography And Leaping To Conclusions

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But first, a note about those two articles published here this morning: As I hope many (if not all) of you guessed, it was a scheduling accident. In particular, as regards the piece “Russia’s Economy Is Now Europe’s Largest,” this is what I expected to see once the World Bank released its PPP-adjusted GNI figures for 2012 (it always does this in April, but for whatever reason it has been late this year). Russia is already very close to Germany as of 2011, and due to a planned harmonization of its GDP counting methodology with international standards – i.e. the introduction of imputed rent - it is projected to automatically increase by 5% in addition to its normal growth. Hence the title: It’s something that’s likely to happen, hence I wrote that title with “see data” for text and scheduled it for publication on April 30th, on the assumption that the World Bank will have released its new data by then and I’d have time to write the actual post. But the World Bank dallied and I forgot about the scheduled publication date.

Now, onto the demography. In contrast to the first 3 months of 2012, when both mortality and birth rates saw big improvements, they have now gone into reverse for the same period in 2013. Namely, births have decreased by 0.8%, deaths have also risen by 0.8%, and the rate of natural decrease widened from 35,000 in 2012 to 43,000 in 2013. Mark Adomanis notes that this is a “pretty worrying development,” with “2013 is shaping up to be the year in which Russia’s streak of improving demography comes to an end.”

That is true enough if current trends continue. The operative word being “if.” But as I cautioned in my last post, extrapolating from a month or even a few months is a risky proposition, given the sharp seasonal swings in mortality. This is particularly true for extrapolations from winter months, in which there is an additional strong independent factor in the form of the influenza/pneumonia situation (which, on average, is worse during colder winters) and climatic factors (e.g. all else equal, Russians tend to drink more during colder winters). Now we know that this year’s has been exceptionally severe in Russia, so let’s look at the detailed breakdown for causes of mortality: -3% for infectious diseases, -1% for cancers and heart/CVD diseases, +18% for pulmonary diseases (e.g. pneumonia), no change in digestive tract diseases, -5% for deaths from external causes (but a +1% rise in alcohol poisonings), and +14% in deaths from sundry causes.

Now on the surface this now looks quite a lot better. Despite a harsh winter, deaths from heart disease (the biggest killer in Russia) continued to decline, as did deaths from external causes (which disproportionately affect the young and thus have an especially negative impact on life expectancy). The additional 3,000 increase in deaths from pulmonary diseases will have mostly accrued to elderly deaths from pneumonia, most likely due to the season swings typical of its epidemiology. The major, overriding question is this: What are “deaths from sundry causes” (прочие причины смерти)? I don’t know. But we can speculate. In old age, it is frequently unclear which of a panoply of ailments finally do someone in. And harsh winters are associated with mortality rises, especially among the elderly. Perhaps a large part of that 7,000 rise in deaths from “sundry causes” were simply a result of more elderly dying due to general winter causes and not being precisely classified.

In any case, I submit that three months is too short a time period to make any meaningful conclusions as to the final trajectory for the year. Again, I refer to Sergey Zhuravlev’s graph as a graphic demonstration of why that is so. Russia’s improvements in mortality are not a steady process, to the contrary they look like a series of intermittent sharp declines followed by steady periods of up to a year’s duration.

Then there is the decline in birth rates. To be fair, it is increasingly unrealistic to expect further rises in crude birth rates, because the “echo effect” is real (if often overstated, because of a failure to adjust for birth postponement/rising age of mother at childbirth). Russia’s total fertility rate started plummeting around 1991; the girls born then are now in their early 20′s. The average age of the mother at childbirth is now about 27 and rising, and up by 2 years since the 1990′s. Nonetheless, despite that counteracting effect, the fact is that the demographic “chasm” of the 1990′s continues to gain on women at their peak fertility (even if the age of peak fertility continues to increase) and it is a deep chasm, with women of the age of 5-19 making up just 61% of women of the age of 20-34 in 2012. So as there will be accumulating downwards pressure from changes in the age structure until the late 2020′s/early 2030′s we can now expect crude birth rates to start consistently falling from year to year.

The Russian Imperialist Genocide In Chechnya

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Hard as it is to believe, but in the wake of the Boston Bombings, many Western commentators actively trying to find the roots of the Tsarnaev brothers’ rage in Russia’s “aggression” or even “genocide” of Chechnya.

This is not to deny that Chechens did not have an exceptionally hard time of it in the 1990s. That said, what strikes one is the pathological one-sidedness of some of the commentary, such as this vomit-inducing screed by Thor Halvorssen, a self-imagined human rights promoter from Norway. In their world, it is a simple morality tale of small, plucky Chechnya being repeatedly ravaged by the big, bad Russian imperialist – and it is one that many people, conditioned in appropriate ways for two decades by the Western media, swallow hook, line, and sinker.

It’s not that simple. But rather than (re)dredging up many words and sources, let’s just suffice with one of the most telling graphs on the matter: The population graph of Chechnya since 1989.

chechnya-population-by-ethnicity-to-2010

Some people are certainly getting ethnically cleansed there alright, but it’s not who you might think it is. So this, essentially, is what the Russian “genocide” of Chechens boils down to: 715,306 Chechens & 269,130 Russians in 1989; 1,206,551 Chechens & 24,382 Russians in 2010. Russians almost entirely gone from there, even though the lands north of the Terek River – that is, about a third of Chechnya – were first settled by Cossacks during the 16th century and had never been Chechen until the 20th century. Those Russians (and other minority ethnicities) were terrorized out of Chechnya during the rule of “moderate nationalists” Maskhadov and Zakayev, whom the likes of Halvorssen describe as the “legitimate government of Chechnya,” with several thousand of them murdered outright. This ethnic cleansing continued unimpeded into the 2000s with the complicit silence of the “nationalist” Putin regime.

I really wish all the (non-Chechen) “Free Chechnya!” people could be reborn as minorities in 1990′s Chechnya in their next lives so that the likes of Halvorssen can experience firsthand the extent to which Chechens “share the democratic values of a Western civilization.”

Angsty Chechens Come To Boston

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Is discussed at the other blog.

To add a couple of things that are Russia specific:

(1) We now learn that the FBI had interviewed the older brother at the bequest of an unspecific foreign government – almost certainly Russia. Tamerlan had visited it for 6 months in 2011. I wonder if he established links with some of the Caucasus Emirate Wahhabi types while there – and if so, whether US suspicions about Russia’s “assaults” on human rights in Chechnya made them drop their guard on a man who, it is now clear, was by then fast becoming an Islamist radical. The one silver lining to this horrible event is that it will become even more obvious that the Chechen rebellion has now been completely subsumed into the global Islamist struggle – and by extension, it will encourage the West to take a closer look at its “friends” in Syria.

(2) The reactions of Russian liberals has as always been as hilarious as it is nauseating. They seriously believe that the FSB is behind this.

Vasily Gatov, state news agency RIA employee: “I am watching three TV channels and listening to the radio, and reading the Boston Globe, and I gather that the main task of the FBI is to take the suspect alive. There is a drama brewing between Watertown, Washington, Moscow, and Grozny… And who knows which other cities. But I’m sure that the greatest fear is felt in Grozny. Which is why he will be taken alive.“

Self-hating random Echo of Moscow commentator: “I will not be surprised if it turns out that the Tsarnaev brothers where recruited by Russian special forces for the execution of this terrorist act, because Russia will benefit from it. Why? Because this terrorist act will change American and Western public opinion – and hence, that of their politicians  - towards Chechnya. If before the Western public supported the Chechens’ independence struggle, it is now more likely that they will support the Russian government’s policy on the Caucasus. And this means that the Kremlin KGBists will be able to use still crueler and more barbaric methods to fight separatism on the part of the Caucasus peoples. In other words, this terrorist act will untie the hands of the Kremlin in its war against the peoples of the Caucasus.“

Storm In A BVI Teacup

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If you remember a couple of weeks ago, the Internet was rocked – for a total of about one or two days – by a wave of leaks from the ICIJ about the identities of offshore account holders in the British Virgin Islands. What juicy revelations did we have about the henchmen of the kleptocratic Putin regime?

Other high profile names identified in the offshore data include the wife of Russia’s deputy prime minister, Igor Shuvalov, and two top executives with Gazprom, the Russian government-owned corporate behemoth that is the world’s largest extractor of natural gas.

Shuvalov’s wife and the Gazprom officials had stakes in BVI companies, documents show. All three declined comment.

So that comes to one Minister who has always been open about the wealth which he made in the 1990′s as a law firm manager and then multiplied by leaving it in a blind trust invested into the Russian stockmarket; and a couple of top executives at one of the world’s biggest companies, are the two most prominent names that have been dredged up.

Rather underwhelming, TBH.

Incidentally, in most countries there is nothing particularly illegal about having offshore bank accounts. Morally questionable? Perhaps. For some, yes. And I can understand why countries like Germany (mistakenly, IMO) might not want to contribute to bailing out alleged tax havens like Cyprus, or why the US demands Switzerland reveal the identities of Swiss secret bank account holders to the IRS.

But is keeping money offshore illegal? No, it isn’t. Not in the US, not in Russia, not practically anywhere else. Not in any country that supports the principle of basically free movements of capital. Now if said money is suspected to have been laundered or otherwise acquired illegally then yes, investigations can follow. But the past few years of pressed government budgets have seen the big countries lean heavily on alleged tax shelters to reveal more information about their clients so it is arguably a much smaller problem than it was, say, a decade ago.

The non-illegal nature of offshore banking is the reason why Romney isn’t being prosecuted for his $250 billion stash in the Cayman Islands, and why revelations that many wealthy Germans keep bank accounts in Panama has led to a lot of media noise but no legal proceedings. Is it because Germany is a kleptocracy in which the elites corruptly protect their own? To ask the question is to mock it.

But funnily enough whenever it comes to Russia even otherwise neoliberal or even Randian commentators start frothing at the mouth and demanding populist, Bolshevik reprisals against any Russian – that is, if he isn’t opposed to Putin – with money abroad.

A Brief Intro To The Navalny Case

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The anti-corruption crusader and best hope of the Russian race Navalny will be on trial for embezzlement on April 17th. And it has to be admitted that even many of us who tend to look at the liberal opposition’s claims of repression with a healthy degree of skepticism are now “plagued by vague suspicions.”

It’s just too convenient. After all, there are now a total of four criminal cases against him, three of them potential (SPS, Yves Roche, Post of Russia) and one in process (Kirovles). Most of them appear to be pretty flimsy. It’s as if the Investigative Committee read through the entire book of his life and placed a laser-like focus on every spelling and grammatical error. Which the IC itself acknowledges:

Interviewer: But if the case didn’t have Navalny, then, probably, the case itself wouldn’t exist?

Vladimir Markin, IC spokesman: Perhaps, it would not have happened so quickly, because unfortunately the numbers and energy of our investigators are quite limited. In an ordinary case of embezzlement and misappropriation perhaps our hands wouldn’t have reached in so quickly. But if the person in question draws attention to himself with all his strength, or we can even say, teases authority – saying that oh I am so white and flawless, then the interest in his past increases and the process of exposing it to the sunlight, understandably, accelerates.

Yet with all that said, the fact of this vastly intensified scrutiny being politically motivated does not – as with Khodorkovsky – absolve the defendant of guilt should he actually have committed the crimes in question. And here is where an objective appraisal of the case parts ways with the narrative that has been presented by the liberal opposition and Western media, which asserts that the case against Navalny has been invented out of thin air on Putin’s orders.

After all, stealing 15 million rubles of timber should, at least in theory, be as bad if done by Navalny as if done by any random Nashist – and as deserving of punishment. IF he did actually steal them. But how to find out if he did?

You could do a lot worse than avoiding the media din, and instead systemically reading through the documents and arguments offered by both sides. Here are the more important sources I have identified:

The only problem? All this material is in Russian. But despair not! For your fearless Leader (aka myself) is going to do this for you in the coming days, and write informative posts and articles on the basis of his discoveries.

I will not write a lot right now, but there are four things I wish to clear up from the beginning, to set down the correct channels about how to think about the case.

(1) At the most basic level, the allegation is that Navalny, in concert with Ofitserov, set up a shell company to criminally enrich themselves. Originally, Kirovles, a state company headed by Opalev, had a set of agreements with its customers to supply them with timber. Under pressure from Navalny, who was an adviser to Governor Belykh, these agreements were torn up and rewritten at the same prices, but with their shell company as the new partner. Kirovles, in its turn, sold the same amount of timber to the shell company, but at lower prices. The difference, presumably, was pocketed by Navalny and Ofitserov. This scheme only lasted four months before there was a scandal and Opalev was evicted from Kirovles.

(2) It is not clear that this, even if true, would constitute outright theft. As Politrash’s second lawyer Strigov argues, the charges then would not be Article 160, part 4 of the Criminal Code (theft/хищение) – as per the Investigative Committee – but Article 165, part 2 (causing financial loss by way of deceit and misuse of trust/Причинение имущественного ущерба путем обмана или злоупотребления доверием).

(3) There are dozens of witnesses testifying that they were pressured into rewriting timber supply contracts from Kirovles to Navalny and Ofitserov’s shell company. For his part, Navalny alleges that he had nothing to do with the shell company and was only marginally acquainted with Ofitserov. The evidence within the IC’s indictment however overwhelmingly suggests that this was the not case on both counts. Navalny would have been wiser to focus his defense on proving that the shell company did not do anything illegal, as opposed to (falsely) disavowing any involvement with it, and I do not know if it’s now too late to change tactics.

PS. More links:

The Anti-Magnitsky List

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Here is the list of US citizens publicly barred from Russia in response to the US Magnitsky List. Are you familiar with any of them?

Individuals alleged to be involved in the use and legalization of torture and indefinite confinement of prisoners – the “Guantanamo list”:

1. David Spears Addington – Chief of Staff of the U.S. Vice-President Dick Cheney (2005-2009);
2. John Choon Yoo – Legal adviser at the U.S. Department of Justice (2001-2003);
3. Geoffrey D. Miller – Commander of Joint Task Force Guantanamo, which administers the U.S. military detention centers at the U.S. Guantanamo Naval Base on Cuba (2002-2003)
4. Jeffrey Harbeson – Commander of Joint Task Force Guantanamo (2010-2012)

Individuals alleged to be involved in abuse of Russian citizens’ human rights abroad:

5. Jed Saul Rakoff – U.S. District Judge for Southern District of New York;
6. Preetinder S. Bharara – U.S. Attorney for the Southern District of New York;
7. Michael J. Garcia – Former U.S. Attorney for the Southern District of New York;
8. Brendan R. McGuire – Assistant U.S. Attorney for the Southern District of New York;
9. Anjan S. Sahni – Assistant U.S. Attorney for the Southern District of New York;
10. Christian R. Everdell – Assistant U.S. Attorney for the Southern District of New York;
11. Jenna Minicucci Dabbs – Assistant U.S. Attorney for the Southern District of New York;
12. Christopher L. Lavigne – Assistant U.S. Attorney for the Southern District of New York;
13. Michael Max Rosensaft – Assistant U.S. Attorney for the Southern District of New York;
14. Louis J. Milione – Senior Special Agent of the U.S. Drug Enforcement Administration;
15. Sam Gaye – Senior special Agent of the U.S. Drug Enforcement Administration;
16. Robert F. Zachariasiewicz – Special Agent of the U.S. Drug Enforcement Administration;
17. Derek S. Odney – Special Agent of the U.S. Drug Enforcement Administration;
18. Gregory A. Coleman – Special Agent of the Federal Bureau of Investigation;

I’m familiar with two of them.

John Yoo, of course – the guy who provided much of the “legal” basis for both Guantanamo and the Iraq War. I don’t view him as a war criminal or anything like some of the liberal leftists do. Nonetheless, if Russia is providing a “symmetrical” response to the Magnitsky List, it couldn’t bar a more appropriate person. Yoo himself seems to be taking it in good stride.

The other guy I’m familiar with (too familiar with) is Preet Bharara who was just now the subject of a gushing hagiography from Mark Galeotti. In reality he is a thug who thinks who thinks that going after online poker players’ money is a good use of US investigative resources. Oh, I know full well that he was really blacklisted for his actions against Viktor Bout – a legitimate arms trader who the US only took a disliking to after he started selling weapons to the wrong people. But while I may not care much about Bout, I do care about my money, especially that which was frozen after Black Friday, and the hit to my expected earnings once the biggest online poker vendors pulled out of the US in its aftermath. (How else do you think I blog and write books without a regular day job?). So for this reason I am extremely happy to see Bharara on that list in the knowledge that maybe, just maybe it will cause him some spot of inconvenience one day.

Mark Feygin Treating Pussies Badly

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Everybody in the Western media seems to have forgotten Pussy Riot. Well, not forgotten, they still wheel them out every so often as symbols of the repressiveness of the Putin regime – but news of actual developments in the affair have come to a standstill. Which is a pity, because they undermine the commonly accepted narrative about what it was in the first place.

I am talking, of course, about the estrangement of Pussy Riot from their original trio of lawyers – Mark Feygin, Nikolay Polozov, and Violetta Volkova. This began approximately when they Pussy Riot lost their case and got sent off to jail, which led them to switch lawyers. Their new lawyer, Irina Khrunova, managed to get Samutsevich (one of the Pussies) released by arguing that she was not an active participant in the “performance.” Khrunova continues to represent the other two who are still in jail. Here is pretty much the only article you will find out about this in the Western media. (Funny that it’s in The Independent, and not in the Guardian, which was otherwise Pussy Riot’s most fiery supporter).

Then Mark Feygin, via his wife’s company, tried to register the Pussy Riot brand. Pussy Riot claims that he did not have their permission to do so and that it was an attempt to cash in on the case. Feygin denies this, saying that he did have permission and that his intentions were to prevent OTHERS from unscrupulously profiting off the name. He says the newspapers smeared him. In any case this is a moot point anyway, as Russia’s patent office denied them their trademark anyway; but this was just one of a series of wedges that would alienate the lawyers from the Pussies.

Things moved up into critical mode when Samutsevich asked Russia’s bar association to consider Volkova’s status as a lawyer, and now, to dismiss her. This prompted a furious, vitriolic, and frankly stunning reaction from the lawyers:

Mark Feygin: Samutsevich again requested the Association to disbar Violetta Volkova!

Mark Feygin: Without a doubt, we are dealing with a RAT here!

Continue reading →

Navalny’s Promises To Put Putin In Jail

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In a recent interview with the opposition Dozhd TV channel – which is, incidentally, available for public viewing in Russia as part of the NTV Plus satellite TV package – for the first time openly declared he wants to be President. He also speculated about the motivations behind the Kirovles fraud case being brought against him. (He expects to get a suspended jail sentence that will disbar him from electoral politics).

However, I think other parts of the interview were at least equally interesting and telling about what sort of politician Navalny would be. First, he unequivocally said that he would send Putin and his friends to jail. It is rather ironic that the self-appointed leader of the extra-parliamentary Russian opposition doesn’t bother, unlike Putin, to even pay lip service to the rule of law and judicial impartiality that he supposedly espouses. Second, his tendency to intemperately react to critics – even those who support him – is, once again, on full and inglorious display.

Below is a translation from the relevant part of the interview.

Host: Many people interpreted you as saying, I paraphrase, “I am Alexey Navalny and I will put you in prison, once I become President.”

Navalny: I don’t know about a President Navalny, but one day there will come to power those who will put him in prison. It’s a general feeling, I or we altogether, in another regime we would put him…

Host: [interrupting] [unclear] is it we or I?…

Navalny: Well, I, because I feel myself as part of this process, and I will do everything possible to make sure that he, and Putin, and Timchenko, and the entire list go to prison. To me these are all chains in this odious, kleptocratic regime, from the policeman who breaks your arm to Timchenko who steals oil, it’s all related…

Host: [interrupting] Do you want to become President?

Navalny: I do want to become President. I want to change life in this country, I want to change the system of administration, I want to make it so that the 140 million people of in this country – who are surrounded by oil and gas that flows out of the ground – would no longer have to live in destitution and hopeless squalor, but lived normally, like in any European country. We aren’t any worse than Estonians!

Host: Do you have a clear, well-planned program? Because as we know, and I think we raised the issue a year ago with you, you said that one shouldn’t lie and steal, and we got questions from many people like this on air: ”To not steal and lie is all well and good, but what can we concretely do about it?”

Navalny: These “many people” are all idiots. We don’t need to do anything other not lie and not steal.

Host: So everyone will cease to not lie… will cease lying and will cease stealing…

Navalny: [interrupting] It’s the principles that are important.

Host: … and the Sun will start shining?

Navalny: If the top echelons of government will no longer lie and steal, but will do what is expected of it, and will at the least start to realize those nice programs of Putin such as Strategy 2020… All the reforms we need have already been compiled, down to roadmap detail. But none of them are being fulfilled.

Host: [interrupting] [unclear] … So the plans suit you. At least as they are on paper.

Navalny: No. They don’t exist. The plan for Russia’s development, and reforms, has been reworked multiple times, and overall everybody pretty much understands and agrees… We have this strange situation where we have a consensus between Left and Right as relates to the reforms we have to carry out, but they aren’t getting carried out, because the essence of the current regime is corruption. Everybody more or less understands how to combat this corruption, and we bring very concrete and constructive proposals on how to combat corruption to Medvedev’s anti-corruption conferences…

Host: For example Rospil.

Navalny: Yes Rospil, and our Anti-Corruption Fund, and many other suggestions, and many people there agree with those suggestions, but nothing happens further.

And They Say Mark Adomanis Is A Putin Stooge

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Anti-corruption efforts have been significantly stepped up in recent months, both in terms of headline making events (e.g. the dismissal of Serdyukov) and the less heralded progress in the introduction of new laws to combat the source. One of these is a ban on Russian bureaucrats holding foreign bank accounts (this represents a watering down of the original provision, which would have also banned foreign property holdings).

Not everybody is happy with this law, as to be expected. What is not to be expected is who exactly that is. For instance, Mark Adomanis, a liberal anti-Putin blogger who is nonetheless one of the most informed and objective Russia watchers out there (which many of his detractors take as evidence that he is a Putin stooge). Well, judge for yourself, based on his reaction to a press conference with Presidential Chief of Staff Sergey Ivanov, in which he said that bureaucrats would have three months to move their assets back to Russia.

“Forcible asset repatriation”? That’s some strong rhetoric there! I must have missed the part where the Kremlin was holding a gun to the heads of those offshore chinovniki forcing them to continue working for the government. Why is no-one being arrested for extortion??

As an informed observer, Mark Adomanis surely knows that quite a number of Duma deputies and other officials have already resigned their seats because they’d rather keep their foreign nest eggs than continue in political life. Nobody is forcing them to make the latter choice, so how does “forcible” describe anything?

Fortunately, he soon clarifies his position.

Oh, I see. Less corrupt bureaucrats equals a more powerful Putin. And because Putin is the Dark Lord of the Kremlin, it’s for the best if bureaucrats were to remain just as corrupt and apatride as they are now. Essentially he would have Russia cut off its nose to spite Putin’s face.

Note also the overt double standards.

Now just to make things absolutely clear, I don’t have an issue with that. Mark Adomanis has a perfect right to his own political views on Russia and to air them on his blog and Twitter account. What I do however want to point out is that many people, including some fairly high profile ones, seriously consider him to be a “Russophile” or even a paid-up stooge of the “Putin regime.” (Some of the more conspiratorial-minded even consider Masha Gessen, who wrote a biography of Putin called “The Man without a Face,” to be a Kremlin flunky). In reality, as far as his priorities go, cleaner and more effective government in Russia takes a clear second place to the prime imperative of politically undermining Putin. All this just serves to illustrate how utterly divorced from reality the mainstream commentary is when it comes to Russia and Putin.

PS. Since I scheduled this to be published, Adomanis has written an entire blog post about it, where he in addition also takes exception to the Russian government not bailing out Russian deposit holders in Cypriot, in addition to expounding on the points he already made on Twitter.

The fact that many Russian officials had accounts in foreign banks acted as a (very!) crude check on Putin and the center’s ability to control things: true autocracy is impossible in a situation in which any mid or high level official can, at a moment’s notice, go abroad and live off the accumulated assets in their foreign bank accounts. … Assuming the Kremlin actually can get officials to “repatriate” their foreign holdings (a very big if, I grant you) they will be in a much weaker position to question or resist anything the President demands. Basically, completely banning the holding of foreign accounts would make the Russian government even more unaccountable, unpredictable, and arbitrary.

The evidence for these assertions that Adomanis brings to the table are precisely zilch. This is especially disappointing coming from a pundit who has based a substantial part of his blogging career on expounding the extremely tenuous nature of the ties between autocracy/democracy, and things like economic performance and demographic health. So why now this supposed link between corruption and democracy? Aside from the general lack of data and incoherence, for a man so concerned with “autocracy” in Russia, I wonder if Adomanis realizes that simply translating his article would make for excellent propaganda for Putin (e.g. by feeding “the good Tsar stymied by his bad boyars” trope).

PPS. And it’s been translated at Inosmi, with most of the reactions as predicted above. E.g. the commentator AndrewGur: “Did I get this right? This journalist is suggesting that one component of democracy – is the possibility not to obey the orders of the President while under the control of a foreign enemy who controls them by dint of them having their money there?”

The Juche Response To British Lawlessness

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My latest for VoR’s Experts Panel. (Incidentally, good to see that site getting revamped, and entering the Web 2.0 era).

London has a reputation as a “safe sanctuary” for shady people of means from the ex-USSR and other less-developed places, and I think it’s loath to lose it – as it would by extraditing the likes of Borodin – in return for the chance of improving its relations with Russia.

In general, I think we should treat the idea that Western countries give political asylum out of genuine humanitarian concerns with skepticism. See the Dutch refusal to give Alexander Dolmatov, wanted in Russia in connection with the May 6th riots, political asylum. Was it because of their respect for Russian judicial sovereignty? Or did it have something to do with his work at military factory – and possibly, his preference for suicide over spilling military secrets?

In short, it’s a very cynical game they play. London calls Russia a “mafia state” while sheltering those very mafiosi in Mayfair. The Europeans lecture Moscow about rule of law, but then see it fit to grab 7-10% of the value of all deposits in Cypriot (where many Russians bank, far from all of whom are money launderers).

From Russia’s perspective, we have to note that concessions and a pacifistic attitude have never brought much in the way of benefits from the West. For instance, Ukraine has allowed in Europeans visa-free for years now, but it is Russia – which insists on mutual reciprocity in relations – that is far more advanced in negotiations to institute visa-free travel with the EU.

As North Korean diplomat Jon Yong Ryong said, “a high-handed policy should be countered by a tough-fist policy.” In other words, nobody will respect you if you don’t first respect yourself. Instead of piteously whining about British “hypocrisy” and “double standards” and other moralistic claptrap, Russia should take a cue from the DPRK and retaliate in kind. In this particular case, it could make it clear that big-time British financial fraudsters and tax evaders (no need to bother with little fishes) are welcome in Moscow provided they make the requisite “investments.” Not only will it feel good to give the “doctor” some of his own medicine, but it actually stands a chance of incentivizing future British cooperation on financial crimes by hitting their Exchequer. As an added bonus, it also wouldn’t hurt Moscow’s quest to become a global financial center.

It’s all nice, civilized, and pathologically passive-aggressive. In other words, if Russia were to follow my advice, it would be all the closer to “convergence” with true Western standards. And I’ve been told that’s a good thing.