Tamil Media House forced to shut down after assassination attempt on senior official

23 September 2014
The France based Tamil Media House has been forced to shut down, after an assassination attempt was made against a senior official last week.

The official, whose name has not been disclosed for security reasons, was shot at by an masked gunman, by his home in Paris on September 18, before receiving death threats, warning him to stop running the organisation or face death.

The Tamil Media House runs the widely read Eelamurasu newspaper, which has been publishing for the past nineteen years, as well as two Tamil diaspora websites - www.sankathi24.com and www.tamilkathir.com.

The gunman, dark clothes and concealing his face with a balaclava, got out from a car at 7.45pm, and attempted to fire his pistol twice at the official and his assistant, sources at the Tamil Media House told the Tamil Guardian, adding that they "had no doubt" the gunman was a Sri Lankan intelligence operative.

The pistol failed to fire on both attempts however, allowing the official and his assistant to run for cover. Onlookers were reported to have been heard screaming in horror whilst the gunman fled the scene.

A few minutes after the official reached his home, his assistant received a phonecall from an unknown male asking him to hand over the phone to the official.

The man, who the official believed to be the gunman, proceeded to warned to "shutdown Tamil Media House or face death like Paruthi", in an apparent reference to Paruthi, the late head of Tamil Coordinating Committee – France, who was assassinated in 2012 by a gunman suspected of being affiliated to the Sri Lankan intelligence services.  
The following day, the official received an email by an individual claiming to be from the Ellalan Force of Tamil Eelam, warning him to "shutdown Tamil Media House or face the barrel of our gun". 
Two days after Paruthi's assassination in 2012, an email was sent out by individuals claiming to be from the Ellalan Force of Tamil Eelam, warning Tamil diaspora political activists to cease their activities or face death.
Sources at Tamil Media House told the Tamil Guardian that as the French police have not so far provided any security guarantees, they have "no choice but to end all of their activities", adding that Eelamurasu will release its final issue today and from midnight www.sankathi24.com and www.tamilkathir.com will end their services.

S.Seraman, a columnist for Tamil Media House, told the Tamil Guardian he suspects Sri Lankan intelligence services to be behind the assassination attempt.

Two months earlier, the same official and other key officials of Tamil Media House received threatening telephone calls from a mobile number based in Sri Lanka, said Seraman.

"The Sri Lankan intelligence services are using some of the former LTTE members who surrendered to the Sri Lanka armed forces at the end of the armed conflict in May 2009 and sent clandestinely to European countries through India to threaten and assassinate Tamil diaspora activists in the name of the Ellalan Force of Tamil Eelam," Seraman added. 

In July 2009, Eelamurasu was forced to suspend its services for nearly two months following death threats on its officials. During this time the senior official’s car was vandalised. In 2011, the front door of his house was also axed.
 
In July 2009, Nagulan, a former Eastern commander of the LTTE and now working with the Sri Lankan military intelligence, telephoned journalists associated with the Tamil Media House and asked them to help facilitate the take-over of the institution by his proxies in Europe in return for a large sum of money.

In 2010, the official website of Tamil Media House, www.sankathi.com, was hijacked by a Canadian-based associate of Selvarajah Pathmanathan (alias KP), who is working with the Sri Lankan government, forcing the Tamil Media House to open a new website www.sangathie.com. This was renamed www.sankathi24.com in 2012.

In August, the server of www.sankathi24.com was wiped out during a cyber attack, suspected, by the website's staff, to have been carried out by Sri Lankan intelligence services.

A similar attack on the website and another Tamil diaspora website www.pathivu.com also took place in November 2013 during Tamil Eelam National Heroes’ Week.

In October 1996, K. Kajan, the founding editor of Eelamurasu, was assassinated in Paris with K. Nathan, the head of LTTE’s international finances, by a gunman suspected to be affiliated to the Sri Lankan intelligence services.

The Hierarchy Curse

By Somapala Gunadheera -September 23, 2014

Somapala Gunadheera

The UNP has shown its colours at the Uva Provincial Council election after a long time but it appears to have fallen into turmoil even before the cheering died down. The General Secretary has resigned and a tussle has started over the second post in the hierarchy. The Party faces the threat of falling back to square one unless the row is settled with no loss of time.

The native saying goes, “Don’t tighten your loin cloth with the sea seven ‘govvas’ away”. It means that one should act only when action is due and should not waste energy in anticipation. The UNP appears to be the only Party obsessed with prematurely naming the successor to its current leader. No one knows who would succeed the present leader of the SLFP. JVP’s new leader was known only after his predecessor resigned. Mavai Senathiraja became leader of the TULF not by virtue of a post he held but by being appointed by his Party after Sampanthan stood down. Posts in all other Parties are routine appointments and they are never touted as qualifications for promotion.

Why then should the UNP haggle on its Number 2 post and bring the house down when No.1 is set to be in the saddle for quite some time. The chances are that by the time Ranil makes up his mind to quit, the other colleagues of his generation might not be in the scene. It is only at that stage that leaders of the second generation can come to the limelight. At that time, the country will choose among them not on the strength of the position they held in the Party but on their personal credentials and contributions. In that light, the UNP’s infighting for posts would appear to be an exercise in futility. The wrangle has already sapped the energy of the Party and been responsible for its past setbacks. The best way to resolve this problem appears to be to appoint all aspirants to power as Deputy Leaders, leaving them to achieve their ambitions on their own merits, when the proper time comes.

Personally, I have no political interest in the UNP or in any other Party. As a matter of fact. However, as a citizen, I am only interested in good governance. There cannot be good governance in a country where the Opposition is in tatters.

Tamils for Labour call for self-determination for the Tamil people in Sri Lanka

Tuesday, 23 September 2014 

Sen Kandiah, Chair of Tamils for Labour, called upon the Labour Party to acknowledge the Tamil people’s right to self-determination in Sri Lanka, during his speech at Labour’s Conference on Monday 22nd September.

Addressing the packed main auditorium during the ‘Britain’s Global Role’ debate, he discussed the historic referendum events in Scotland and the fact that millions of Scots had been able to embrace their democratic rights in a free and peaceful manner. “There is a lot to be learnt from the British example”, said Mr Kandiah. “It is all so different to everything I have known in our struggle in Sri Lanka. [..]Hundreds of thousands of lives have been lost for the same right as those people enjoyed in Scotland a few days ago.”

Sen also spoke of the deteriorating situation on the island and the plight faced by the Tamil people, particularly the concerns regarding the militarisation of their land. “International action is required” to remedy the situation, he said. However, whilst welcoming the initiation of the UN Human Rights Council investigation into alleged violations and serious human rights issues in Sri Lanka, Mr Kandiah admonished the Government of Sri Lanka for refusing to co-operate with the inquiry. “The Sri Lankan government is not interested in playing by international norms and standards”, he said.

Thanking the Labour Party and the shadow foreign affairs frontbench team for the tremendous support they had given to the causes of accountability, justice and reconciliation – including backing a UN-led investigation since 2012- Sen Kandiah called on the Conference to:

1) “Support targeted sanctions, such as travel bans and asset freezes, on Sri Lankan military personnel and politicians.

2) To acknowledge the Tamil people’s right to self-determination.”

Tamils for Labour hosted an evening reception at Conference, on Monday 22nd September. The event, which was attended by the members of the Shadow cabinet, Labour MPs and Lords, prospective parliamentary candidates and party activists discussed, in depth, the important issues raised by Mr Kandiah during his speech.

ITAK/TNA Affirms Self-rule Within A United Sri Lanka

[TNA position: loud and clear]-23/09/2014 
Filing an affidavit in the Supreme Court, the Illankai Tamil Arasu Kachchi (ITAK) today affirmed that neither the ITAK nor the TNA had as its objective the setting up of a separate state within the territory of Sri Lanka.

ITAK President Mavai Senathirajah filed this affidavit, when the six petitions filed in Supreme Court alleging that the TNA had as its political objective the formation of a separate government in Sri Lanka were taken up by a Bench comprising Chief Justice Mohan Peries and Justices Rohini Marasinghe and Chandra Ekanayake.

In its Northern Provincial Council election manifesto, the TNA stated that, “We as a people would thus be concerned about our historic habitats, our option to determine what is best for us to ensure self-government in the Tamil-speaking North-East of the country within a united Sri Lanka.”

The manifesto further stated that a power sharing arrangement must be established as a unit of a merged Northern and Eastern Provinces based on a federal structure in a manner also acceptable to the Tamil-speaking Muslim people.

The affidavit further stated that the ITAK’s position pertaining to a federal solution within a united Sri Lanka had also been consistently articulated publicly on several occasions by the TNA and its leaders. (Lakmaal Sooriyagoda)

Heavy Post-Election Violence In Uva – Harin Targeted In The Attacks Too

September 23, 2014 

Post-election violence in Uva has resulted in a tense situation in the area following the major setback suffered by the ruling party at the Provincial polls, to which has included heavy attacks on several oposition party members and their properties.

The most recent attack took place yesterday near the Haliela Police station where UNP Chief Ministerial candidate Harin Fernando who bagged the highest number of preferential votes in the election, was attakced by a mob of UPFA supporters.

After the poll results of Moneragala were released – the district where the highest number of pre-election violence was reported – several UNP and JVP supporters, their properties and party offices have been attacked, driving some of the opposition members to flee their homes in fear.

The most recent attack took place yesterday near the Haliela Police station where UNP Chief Ministerial candidate Harin Fernando who bagged the highest number of preferential votes in the election, was attakced by a mob of UPFA supporters. Fernando had visited the area yesterday to look at some of the cutouts and posters of UNP that had been damaged by UPFA supporters.

Another UNP candidate who performed well at the elections – Roy Kalinga, who bagged the 6th highest number of preferential votes in the Moneragala district was attacked at about 1 am yesterday. When he received news of a possible attack on him, Kalinga had fled to a hiding place but the thugs had followed him in a white defender jeep and attacked his head with a club. He is said to be in critical condition and is presently receiving treatment at the Moneragala hospital.

Meanwhile, Moneragala JVP candidate Anura Kumara Wickramasinghe’s home has been attacked last morning and it has been damaged heavily.

Moneragala JVP candidate Palliyaguruge Wijesiri who has been a continuous target of attacks for the mobs of UPFA supporters has been victimized for the fifth time last night. Meanwhile, the Dambagalle office of the JVP had also been attacked by ruling party supporters.

According to CaFFE the heaviest election related violence during the pre-poll period was recorded from the Haputale electoral zone of the Badulla district where JVP election center representative Sunil Shantha was attacked by a group of thugs and is currently receiving treatment at the Diyatalawa hospital.

Moreover, the Haldummulla UPFA Pradeshiya Sabha Chairman Danaratne has stabbed local councilor Nimal Karunarathe who has been hospitalized. The attacker has also been threatening and propagating violence in several areas including an attack on several JVP supporters since the conclusion of the election.

As a result of the widespread violence against opposition supporters in the province, former Badulla district Provincial Councillor Sudath Balagalle had fled his home with his family. Despite requests made by JVP Leader Anura Kumara Dissanayake to provide him with security, their safety has not been assured by law enforcement authorities so far.

‘Japana Hapana’ and ‘Cheena Patas’

September 23, 2014 

The story begins in 1951, to be precise, on 8 April. The day on which the Treaty of San Francisco, between Japan and part of the Allied Powers who fought World War II, was signed. It was signed by 48 nations, at the War Memorial Opera House in San Francisco.

The Treaty came into force on 28 April 1952. This Treaty served officially to end World War II. It ended Japan’s position as an imperial power, it allocated compensation to Allied civilians and former prisoners of war who had suffered Japanese war crimes, and to end the Allies’ military occupation of Japan and return sovereignty to that defeated nation.
‘Japana Hapana’ and ‘Cheena Patas’ by Thavam

Building an Asian community

 

Tuesday, 23 September 2014 

The introduction of the ICAPP states “ The International Conference of Asian Political Parties (ICAPP) was launched in Manila in September 2000 to promote exchanges and cooperation between political parties from different Asian countries and with various ideologies; to enhance mutual understanding and trust among Asian countries; to promote Asia’s regional cooperation through the unique role and channel of political parties.”

ICAPP membership has increased to more than 364. ICAPP has spread to 53 countries in the region covering Northeast Asia, Southeast Asia, Central Asia, West Asia, Middle East and Oceania.

There is no doubt whatsoever that ICAPP has taken an effort to establish Friendship and Trust and to achieve Peace and Stability in the region.

However the JANATHA VIMUKTHI PERAMUNA (JVP – PEOPLE’S LIBERATION FRONT) of Sri Lanka believes that BUILDING AN ASIAN COMMUNITY enjoying Peace and Prosperity is a great challenge.

We strongly believe that this august assembly is well aware that the mankind is not free of threat of war even after 100 years have passed since the beginning of the World War 1. President Putin’s economic advisor, Sergei Glazyev recently said ”History shows that the United States has benefited politically and economically from wars in Europe. The huge outflow of capital from Europe following the First and Second World Wars, transformed the US into a super-power: “ Today faced with economic decline, the US is trying to precipitate another European war to achieve the same object.” We completely agree with him.    

The enemy No.1 of the mankind at present, the ugly alliance of Imperialism and Zionism caused unprecedented destruction in the Middle East and elsewhere. It encourages separatism and division of countries: It created, Al Qaeda, ISIS and many other terrorist organizations and spreads terrorism throughout the world. The alliance worked hand in hand with Neo-Fascists in killing civilian population and to topple elected President in Ukrain: We have been silent observers. There will be no friends to stop the ugly alliance when it spreads its claws towards our region stopping us from building an Asian Community. Unless we defeat the enemy ‘BUILDING AN ASIAN COMMUNITY’ will only be a distant dream.
- JVP -

Space For Review Of Critical National Issues

By Chandra Jayaratne -September 23, 2014 

Chandra Jayaratne

Early Monday 22^nd September morning, a business leader rings and states “Wow! Now there is light at the end of the tunnel”. “Which tunnel? Yet another illusion? To be quickly covered in a black veil of no debate and no Action? Why risk being targeted as a Traitor? Why loose benefits of patronage politics till the end? and  “Why not allow business leaders to get back to their hypnotized sleep mode again?” asks the independent voice.

If there is hope and light at the end of the tunnel, it is not too late for the business leaders and the City based social and educated elites to genuinely enter in to separate open intellectual debates on Critical National Issues and let those in governance and those wanting to be in governance, hear their voice and advocacy! The debates must of course be under Chatham House Rules, and be based on upholding the Private Sector Core Values of placing “Sustainable Growth, Democracy, Human Rights, Rule of Law, Equity, Peace and Ethno Religious Harmony of Sri Lanka and All its People, the First Priority”. The Chambers and Chamber Leaders must in fact take the first steps? A weekend is all that is needed at first?

The Review can begin by identifying, at a macro level, the critical national issues. Each of these critical issues should then be expanded in to other key issues, taking the expectations of the Nation and all the people as the foremost important objective. The next step should be to prioritize these and place sometime references in seeing the expected results or the expected change. The key issues can then be classified under related headings. The next step should be to identify the core expected strategic governance responses in effectively managing these critical national challenges and delivering the desired change or key results. The key issues and the required immediate response strategies must then be grouped in to short term (12 months) and medium term (36 months) periods.

The use of appropriately designed plenary and sub group sessions with expertise based resource allocations will lead optimum results from the weekend. The sub group review teams can develop their presentations under the allocated headings and summaries can be presented and debated in a plenary session. A core groups comprising selected group leaders can following the plenary, review the outcomes and compile within a week a formal presentation. This presentation can then be placed in the media, as a draft “Way Forward Strategy” for critique, suggestions and response by other members of the private sector and leaders of civil society as well as the public at large. Allowing two weeks for public critique and one more week for the core group to finalize the presentation based on public responses, the completed ‘Voice of Advocacy Way Forward Strategic Submission’ should be ready to be sent to all relevant leaders in governance and all political parties. The submission recipients must be required to effectively respond to the voice of business and civil society in the manifestos to be released for the expected next round of key elections.

If Chamber and Business Leaders and the City based social and educated elites take up this challenge, then certainly there will be some hope of light at the end of the tunnel. 

Revisiting a Tamil democrat’s legacy

MEERA SRINIVASAN-JAFFNA, September 23, 2014

Best known for the book The Broken Palmyra, she had predicted the demise of LTTE

In September 1989, Sri Lanka’s Northern Province lost one of its most prominent human rights defenders following the death of Rajani Thiranagama, who was gunned down, reportedly by the rebel Tigers.

A human rights activist and feminist, Rajani is best known for her contribution to the The Broken Palmyra — a book she co-wrote with three other members of the University Teachers for Human Rights, Jaffna — that documented atrocities committed allegedly by the LTTE, the Indian Peace Keeping Force (IPKF) and the Sri Lankan forces on the Tamil civilian population in Jaffna. The book remains one of the few works critiquing human rights violations by all sides.

Only 35 at the time of her assassination Rajani was head of Jaffna University’s anatomy department and the mother of two young girls then.

Twenty five years later, her colleagues, associates and family decided to come together in Jaffna last weekend to remember her work but quite a few hurdles came their way, bringing into focus concerns over shrinking democratic spaces in the country.

Organisers said they had obtained prior permission to hold a meeting at the University of Jaffna, where Rajani served, and police permission to hold a procession. However, both were revoked days ahead of the event. When contacted, University vice-chancellor Vasanthy Arasaratnam said: “No one came to me to obtain permission,” adding that some of the organisers, working with the University, were “always troublemakers”. Deputy Inspector General of Police-Jaffna Rohan Dias denied having given permission to the procession as “it would inconvenience the public in the narrow roads of Jaffna”.

Ahilan Kadirgamar, Jaffna-based political economist and member of the Rajani Thiranagama Commemoration Committee, said, “We wanted to organise a series of events to remember not only Rajani but all those who had stood for democracy and justice during the tragic war that had torn apart our society and our country.”

Later, municipal authorities revoked permission obtained by the organisers to hold one of the seminars at Jaffna’s public library, Mr. Kadirgamar said, adding that authorities prevented their attempt to hold the event in public spaces in a transparent way. The municipal commissioner in-charge of the library could not be reached for comment. The organising committee, its members said, had to find alternative venues in the last minute.

Amid concerns about constant military surveillance in the Northern Province, a few men turned up at the seminar on Sunday, organised in the premises of a church, introducing themselves as members of the CID and taking details. On the visit of "CID officials", the DIG said: “I don’t know who they are. The CID is not in my purview. And sometimes, some people in civilian clothes just claim they are from the CID.”

After Rajani’s assassination in September 1989, her fellow activists and family members had to leave Jaffna as they faced similar death threats. Over two decades later -- and five years after Sri Lanka's brutal war ended -- the group of academics and activists that put the event together saw the event as an opportunity to reflect on the process of democratisation and issues of the marginalised sections of the war-torn people, something that resonated with Rajani's work.

Speaking at the commemorative meeting, health worker Sarada Devi said: “The war was intense and we were terrified seeing many of our loved ones dying. Many of us were detained, tortured and put through enormous difficulty. I was so affected that I could not even cry at that time. It was Rajani who lifted me up and brought me out of my terrible situation."

Initially assisting the LTTE — offering medical support to its wounded combatants — Rajani left the movement, completely disillusioned with the armed struggle and what she saw as the group’s “narrow nationalistic politics.” Rajani's was also one of the few voices in the north at that time that critically reflected on Tamil nationalistic politics and the implications of an arms movement.

She was equally critical of the Sri Lankan armed forces and the IPKF, the Indian military on a peace-keeping operation in Sri Lanka between 1987 and 1990.

Rajani had, in fact, predicted the fall of the LTTE in The Broken Palmyra, observing, “The Tigers’ history, their theoretical vacuum, lack of political creativity, intolerance and fanatical dedication will be the ultimate cause of their own break up. The legendary Tigers will go to their demise with their legends smeared with the blood and tears of victims of their own misdoings.

Keeping China At Bay Is Key To Protect Lanka

| by Pearl Thevanayagam

(September 23, 2014, Bradford UK, Sri Lanka Guardian) First there was Modi mania and now it is China’s turn. China is now on a hyper mode and its intervention in Sri Lankan economy would spell long-term doom. It is taking over our ports, highways and power-plants. It has planted itself in Trincomalee and sending its nuclear warships into our terrain. It is virtually running our country.

The present government has unholy alliance with countries with abysmal human rights record on par with its own horrendous treatment of its ethnic minorities. Never mind China’s foreign policy; it does not even provide human rights to its own citizens. It limits two children per family to control its population. It also has a long history of killing off elders by throwing them out of windows since they no longer contribute to its economy.

Let us face it; China despite its Buddhist heritage has only one goal which is to accumulate at any price. China is not providing grants but loans which Sri Lanka needs to pay back with interest and by the way things are going Sri Lanka would become a slit-eyed Chinese enclave.

It is spreading its tentacles into the four corners of Asia and even far away Africa much to the chagrin of India, its competitor. Neither China nor India has Sri Lanka’s interest at heart. It is a crying shame and indictment on the government that it plays into their hands while taxing its citizens to pay the price for its opulent showcase developments which are bereft of any benefits for the ordinary citizen.

There was a time when Sri Lanka would not touch China with a barge pole. Their goods were tin made and not to be trusted unlike the British goods which were made to last. China has not changed one bit since then.

This country is being sold by the present government at the expense of its populace for their own selfish interests. Ahead of Japan’s premier’s visit PLA has planted its ships on the shores of Sri Lanka for which purpose there is no answer.

The country is in debt for kingdom to come to China. We are being sold lock, stock and barrel to China and there is no doubt we would go the way of Chagos islanders who were shipped out of their country because US deemed it fit to base its military encampment in the Indian archipelago. UK was complicit in selling off the island of Diego Garcia and declared the Chagossans were not the original settlers but indentured labourers.

The Chagos islanders who loved their pets were set sail to board the ships to Mauritius never to return and the dogs incinerated by the British who revered their own dogs in 1971. The horses were fed while the islanders starved. British PM Harold Wilson declared in the seventies that Chaggosians were but indentured labourers and not the original settlers of Diego Garcia which was an utter lie.

Diego Garcia now holds one of US major five military bases in the Indian Ocean and UK was its ally. China is coming close to occupying the sub-continent as its strategic mile post to extend its hegemony over and above US surveillance. According to John Pilger, Al Qaeda suspects were detained and tortured in Diego Garcia (the archipelago in the Indian Ocean of which Chagos Island is one) by the US.

While the British mention Asia it means India and its sub-continent whereas US cites Asia as China. Will Sri Lanka become another Diego Garcia thanks to the government’s myopic vision and sell its assets to the Chinese?

The independent media and intelligentsia are awakening to the fact the country is being eroded by the Rajapaksa regime and its boorish behaviour would cause its death knell since international probe into its stubborn stance of denying it committed war crimes. Garnering support from China, Belarus or some African states abysmal human rights track records would not placate UNHTRC which will abide by international norms and covenants already in place.

It is in the interest of our country the Rajapaksa regime is boycotted and its genuflection before the Chinese is curbed.

(The writer has been a journalist for 25 years and worked in national newspapers as sub-editor, news reporter and news editor. She was Colombo Correspondent for Times of India and has contributed to Wall Street Journal where she was on work experience from The Graduate School of Journalism, UC Berkeley, California. Currently residing in UK she is also co-founder of EJN (Exiled Journalists Network) UK in 2005 the membership of which is 200 from 40 countries. She can be reached at pearltheva@hotmail.com)

China, Sri Lanka pledge military cooperation

Xu Qiliang (R), vice chairman of China's Central Military Commission, meets with Gotabaya Rajapaksa, secretary of Sri Lanka's Defense and Urban Development Ministry, in Beijing, capital of China, Sept. 23, 2014. (Xinhua/Liu Jiansheng)

2014-09-23 14:

BEIJING, Sept. 23 (Xinhua) -- Xu Qiliang, vice chairman of China's Central Military Commission met with Gotabaya Rajapaksa, Sri Lanka's secretary of defence and urban development, on Tuesday.

Hailing the friendship between China and Sri Lanka, Xu Qiliang said leaders of two countries attach great importance to military-to-military ties and the Chinese military is willing to strengthen pragmatic cooperation in various fields with the Sri Lankan military.

Chinese President Xi Jinping and his Sri Lankan counterpart Mahinda Rajapaksa agreed to strengthen the two countries' strategic cooperative partnership during Xi's state visit to Sri Lanka last week.

Gotabaya Rajapaksa said that Sri Lanka will continue to enhance cooperation with China to advance military-to-military ties.

Alarming: Putin Could Soon Bring The U.S. Economy To Its Knees With One Simple Action

L. Todd Wood — September 22, 2014

The de-dollarization of the world economy continues to proceed as countries around the world sign swap agreements to trade in their own currencies and remove the US dollar from transactions with their non-U.S. trading partners.

It is no secret that Russian President Vladimir Putin would love to further this process and damage the United States economically as much as possible by minimizing the use of the dollar globally, and undermining its status as a global reserve currency.  The Western sanctions on Russia are starting to bite as the Ruble approaches forty to the dollar.

Unfortunately for Russia, it cannot harm U.S. interests on its own.  She does not have the economic strength and is playing this hand from a position of weakness.  However, there is a way the Kremlin could seriously harm the United States. Combined efforts by the BRIC developing economies would have a devastating impact on the value and influence of the dollar.

China is also keen on reducing USD hegemony in the global economy. India and Brazil are as well, although to a lesser extent than China and Russia. If these four nations teamed up to sell U.S. treasuries and remove the dollar from their foreign transactions, we could see the bottom fall out of the dollar’s valuation. The Federal Reserve would also most likely lose control of the bond market. So you would have a dual shock to the American economy–significantly higher interest rates and a weak currency.  We also would have trouble finding buyers for our bonds to support our ravenous spending habits if the BRICs refused to participate in U.S. treasury auctions.

This scenario is almost certainly being planned and implemented by Moscow already, with the latest indications being that they’re shifting their assets out of the greenback and into hard commodities like gold.  In a recent commentary on its website, Birch Gold Group, a national dealer of precious metals, noted that “Besides retaliating with more sanctions against the E.U. and the U.S., the Russians have been one of the world’s biggest buyers of gold this year. Over the past six months, according to the World Gold Council, Russia has added 54 metric tons to its gold reserves; Russians now have the 6th largest gold reserves, higher than both Switzerland’s and China’s.”

Perhaps the Russians know something we don’t?

With the recent Western sanctions targeting the life blood of the Russian economy, the main state-owned hydrocarbon producers, the Russians have been looking East.  Russia recently signed a multi-year natural gas deal with China to lock in a long term customer, albeit just above cost.  Moscow is also very aware of Western Europe’s efforts to diversify away from Russian gas supplies.

The point is that cooperation with the historically belligerent neighbors is already underway.  In the same commentary, Birch Gold observed that “Russia is also unloading U.S. dollars and euros and increasing its Chinese yuan reserves – which could hurt the dollar in the long run. China and Russia have recently agreed on a draft document to exchange currencies. Their central banks will swap currencies to stimulate further development of direct trade between the countries.”

The wildcard in the BRIC adverse scenario is the actions of India and Brazil.  Relations with India soured significantly last year after the U.S. arrested an Indian diplomat for alleged visa fraud. Since the election of Modi earlier in 2014, the United States has been keen to repair relations and have warmed up to the new Indian leader.  Perhaps the Obama administration realizes America needs more friends in the world, not less.  Relations with Brazil and the United States are also at an all-time low. This comes after the news that the NSA was spying on the Brazilian president. Efforts by the Obama administration to repair this relationship have so far been fruitless.

So it seems the United States finds itself in a situation where all of the BRIC countries are at odds with the United States’ policy agenda. Therefore, the potential for these countries to unite and coordinate their efforts to harm the United States economically is substantial.  This bodes ill for the status of the USD and influence of the United States in the long run.  In other words, a perfect storm.

If this “perfect storm” were indeed to strike the U.S. Dollar, will your savings be protected? Don’t wait to find out. Safeguard your nest egg today with gold – the one currency that has stood the test of time. To learn how to get started, and how you can even move your IRA or 401(k) to physical precious metals, request a free information kit from Birch Gold Group – there is no cost and no obligation to you. All you need to do is enter your details at www.birchgold.com.

Iran Ends Oil Transactions In U.S. Dollars

Iranian oil workers work at Tehran's oil refinery, Iran, Saturday, Nov. 17, 2007. Iran's president said Saturday that the Organization of Petroleum Exporting Countries is "under heavy economic and political pressures" and that the oil prices are below its real value, state-run-news agency reported. Mahmoud Ahmadinejad made his remarks prior to his trip to Bahrain and Saudi Arabia where he is due to attend the OPEC summit. (AP Photo/Vahid Salemi)  AP PHOTO/VAHID SALEMI

By CBSNEWSAPApril 30, 2008

Iran, OPEC's second-largest producer, has completely stopped conducting oil transactions in U.S. dollars, a top Oil Ministry official said Wednesday, a concerted attempt to reduce reliance on Washington at a time of tension over Tehran's nuclear program and suspected involvement in Iraq.

Iran has dramatically reduced dependence on the dollar over the past year in the face of increasing U.S. pressure on its financial system and the fall in the value of the American currency.

Oil is priced in U.S. dollars on the world market, and the currency's depreciation has concerned producers because it has contributed to rising crude prices and eroded the value of their dollar reserves.

"The dollar has totally been removed from Iran's oil transactions," Oil Ministry official Hojjatollah Ghanimifard told state-run television Wednesday. "We have agreed with all of our crude oil customers to do our transactions in non-dollar currencies."

Iranian President Mahmoud Ahmadinejad called the depreciating dollar a "worthless piece of paper" at a rare summit last year in Saudi Arabia attended by state leaders from the Organization of Petroleum Exporting Countries.

Iran put pressure on other OPEC countries at the meeting to price oil in a basket of currencies, but it has not been able to generate support from fellow members — many of whom, including Saudi Arabia, are staunch U.S. allies.

Iran has a tense relationship with the U.S., which has accused Tehran of using its nuclear program as a cover for weapons development and providing support to Shiite militants in Iraq that are killing American troops. Iran has denied the allegations.

Iranian oil officials have said previously that they were shifting oil sales out of the dollar into other currencies, but Ghanimifard indicated Wednesday that all of Iran's oil transactions were now conducted in either euros or yen.

"In Europe, Iran's oil is sold in euros, but both euros and yen are paid for Iranian crude in Asia," said Ghanimifard.

Iran's central bank has also been reducing its foreign reserves denominated in U.S. dollars, motivated by the falling value of the greenback and U.S. attempts to make it difficult for Iran to conduct dollar transactions.

U.S. banks are prohibited from conducting business directly with Iran, and many European banks have curbed their dealings with the country over the past year under pressure from Washington.

However, the U.S. has been wary of targeting Iran's oil industry directly, apparently worried that such a move could drive up crude prices that are already at record levels.

Iranian analysts say Tehran can withstand U.S. pressure as long as it can continue its oil and gas sales, which constitute most of the country's US$80 billion in 

Israel shoots down Syrian fighter jet which 'infiltrated' Israeli airspace

Military source says plane infiltrated Israeli airspace and was shot down using Patriot air defence system

The Syrian fighter jet is seen in flames after it was hit by the Israeli military over the Golan Heights. Photograph: JALAA MAREY/AFP/Getty Images

Peter Beaumont in Jerusalem

Tuesday 23 September 2014

An Israeli Patriot missile battery has shot down a Syrian fighter jet that infiltrated half a mile into airspace controlled by Israel over the Golan Heights on Tuesday morning.

Video footage of the first such downing by Israel of a Syrian jet since 1982 showed two burning sections of the plane falling to the ground and then the parachutes of the pilot and navigator who ejected moments before impact.

Syria immediately condemned the downing of the jet, with state television describing it as an “act of aggression” and linking it to US-led air strikes against Islamic State (Isis) forces in Syria that had occurred earlier.

The jet entered Israeli-controlled airspace a few minutes before 9am and was flying at between 10,000 and 14,000 feet when it was engaged.

An Israeli military source said a “Syrian aircraft infiltrated into Israeli airspace [and was] intercepted in mid-flight, using the Patriot air defence system”.

Military sources and experts described the plane as a Sukhoi 24, which they say had flown from Saikal air base in eastern Syria. They said they believed it had strayed into Israeli-controlled airspace while fully armed on a mission to bomb anti-government groups on the other side of the border.

The Syrian Observatory for Human Rights said the warplane had been bombing areas outside Quneitra, a Syrian town near the Israeli-held side of the frontier, at the time it was shot down.

The decision to bring down the aircraft was taken after it had spent one minute and 20 seconds in Israeli airspace. Defending the decision, sources and military experts said the infiltration by an armed enemy aircraft could not be tolerated.

Israel’s defence minister, Moshe Ya’alon, said the Syrian warplane had “approached Israeli territory in the Golan Heights in a threatening manner, and even crossed the border”.

He said Israel “has made it clear in the past, and is reiterating now: we will not allow anyone, neither state nor terror organisation, to threaten our security and to violate our sovereignty.”

In recent weeks, fighting on the Golan Heights – which Israel captured from Syria during the six day war in 1967 – has raised tensions on the normally quiet border.

The regime of Syria’s president, Bashar al-Assad, has recently been fighting al-Qaida-linked groups around the Quneitra border crossing. On a visit to the Golan last week, the Guardian could hear the sound of fighting echoing over the mountainous border throughout the day and into the night.

Israel has largely stayed on the sidelines of the civil war raging across the border in Syria. But Israeli leaders appear increasingly nervous about the possibility of fighters linked to al-Qaida occupying the Golan’s high ground over northern Israel.

During the civil war, Israeli troops have responded to occasional mortar fire that has landed on their side of the Golan. Israel says some of the attacks have been accidental spillover, while others have been intentionally aimed at Israeli civilians and soldiers. It has always held Syria responsible for any cross-border fire.

Despite Tuesday’s incident, the former Israeli air force commander Eitan Ben Eliyahu said he did not believe that the Assad regime was trying to provoke an escalation, adding that he did not believe the aircraft posed a threat to Israel before it was shot down.

He told Israel Radio: “The Syrian regime would not dare now – and it has not dared for decades – to do anything to provoke us. So I don’t believe that this was deliberate. The fighting there is right on the border fence and when planes are involved, because of their speed and altitude and ability to spot the targets, it is easy to make mistakes. We, of course, cannot permit this.

“No, I don’t consider the infiltration as a threat. But it reminds us of the mess over there. Perhaps the most important thing is the formation of the coalition against Isis.”

IDF        ✔ @IDFSpokesperson

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Moment ago, a Syrian aircraft infiltrated Israeli airspace. IDF's Patriot air defense system intercepted the aircraft.

2:52 AM - 23 Sep 2014