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Politics : President Barack Obama -- Ignore unavailable to you. Want to Upgrade?


To: ChinuSFO who wrote (74725)5/14/2010 11:28:05 AM
From: tejek  Read Replies (1) | Respond to of 149317
 
Deutsche Bank Chief Doubts Greece Can Repay its Debt

5/14/2010 9:52 AM EDT

Deutsche Bank chief Josef Ackermann has told German TV channel ZDF that he doubts Greece will be able to undertake the steps necessary to repay its debt in full.

"Over time, I doubt that Greece will be in a position to muster up the economic wherewithal" to fully pay back its debt, Ackermann said. It would take "incredible effort," he added. Greece must be stabilized and the "risk of contagion limited or reduced," he said. Spain and Italy are strong enough to weather the storm, he continued, though he said it would be "slightly more difficult" for Portugal.

He said the EU had no option but to bail out Greece. Had Greece been an isolated incident, then, perhaps, doing nothing would have been an option, however "Spain, to a certain extent Italy and Portugal" have "comparable imbalances," so inaction was not an option. Ackermann said the hope is that the almost $1 trillion in loans and guarantees won't be needed, but that they are there to strengthen Europe's balances if needed.

Ackermann joked that the Swiss franc is probably the safest currency right now, but said he believes "the euro is fundamentally strong". Even with Eurozone's current debt levels, it's in considerably better economic shape "than, for example, the United States, or England", he said.



To: ChinuSFO who wrote (74725)5/14/2010 11:41:50 AM
From: Broken_Clock  Respond to of 149317
 
U.S. Said to Allow Drilling Without Needed Permits
By IAN URBINA
Published: May 13, 2010
nytimes.com

WASHINGTON — The federal Minerals Management Service gave permission to BP and dozens of other oil companies to drill in the Gulf of Mexico without first getting required permits from another agency that assesses threats to endangered species — and despite strong warnings from that agency about the impact the drilling was likely to have on the gulf.

Those approvals, federal records show, include one for the well drilled by the Deepwater Horizon rig, which exploded on April 20, killing 11 workers and resulting in thousands of barrels of oil spilling into the gulf each day.

The Minerals Management Service, or M.M.S., also routinely overruled its staff biologists and engineers who raised concerns about the safety and the environmental impact of certain drilling proposals in the gulf and in Alaska, according to a half-dozen current and former agency scientists.

Those scientists said they were also regularly pressured by agency officials to change the findings of their internal studies if they predicted that an accident was likely to occur or if wildlife might be harmed.

Under the Endangered Species Act and the Marine Mammal Protection Act, the Minerals Management Service is required to get permits to allow drilling where it might harm endangered species or marine mammals.

The National Oceanic and Atmospheric Administration, or NOAA, is partly responsible for protecting endangered species and marine mammals. It has said on repeated occasions that drilling in the gulf affects these animals, but the minerals agency since January 2009 has approved at least three huge lease sales, 103 seismic blasting projects and 346 drilling plans. Agency records also show that permission for those projects and plans was granted without getting the permits required under federal law.

“M.M.S. has given up any pretense of regulating the offshore oil industry,” said Kierán Suckling, director of the Center for Biological Diversity, an environmental advocacy group in Tucson, which filed notice of intent to sue the agency over its noncompliance with federal law concerning endangered species. “The agency seems to think its mission is to help the oil industry evade environmental laws.”

Kendra Barkoff, a spokeswoman for the Minerals Management Service, said her agency had full consultations with NOAA about endangered species in the gulf. But she declined to respond to additional questions about whether her agency had obtained the relevant permits.

Federal records indicate that these consultations ended with NOAA instructing the minerals agency that continued drilling in the gulf was harming endangered marine mammals and that the agency needed to get permits to be in compliance with federal law.

Responding to the accusations that agency scientists were being silenced, Ms. Barkoff added, “Under the previous administration, there was a pattern of suppressing science in decisions, and we are working very hard to change the culture and empower scientists in the Department of the Interior.”

On Tuesday, Interior Secretary Ken Salazar announced plans to reorganize the minerals agency to improve its regulatory role by separating safety oversight from the division that collects royalties from oil and gas companies. But that reorganization is not likely to have any bearing on how and whether the agency seeks required permits from other agencies like NOAA.

Criticism of the minerals agency has grown in recent days as more information has emerged about how it handled drilling in the gulf.

In a letter from September 2009, obtained by The New York Times, NOAA accused the minerals agency of a pattern of understating the likelihood and potential consequences of a major spill in the gulf and understating the frequency of spills that have already occurred there.

The letter accuses the agency of highlighting the safety of offshore oil drilling operations while overlooking more recent evidence to the contrary. The data used by the agency to justify its approval of drilling operations in the gulf play down the fact that spills have been increasing and understate the “risks and impacts of accidental spills,” the letter states. NOAA declined several requests for comment.

The accusation that the minerals agency has ignored risks is also being levied by scientists working for the agency.

Managers at the agency have routinely overruled staff scientists whose findings highlight the environmental risks of drilling, according to a half-dozen current or former agency scientists.

The scientists, none of whom wanted to be quoted by name for fear of reprisals by the agency or by those in the industry, said they had repeatedly had their scientific findings changed to indicate no environmental impact or had their calculations of spill risks downgraded.

“You simply are not allowed to conclude that the drilling will have an impact,” said one scientist who has worked for the minerals agency for more than a decade. “If you find the risks of a spill are high or you conclude that a certain species will be affected, your report gets disappeared in a desk drawer and they find another scientist to redo it or they rewrite it for you.”

Another biologist who left the agency in 2005 after more than five years said that agency officials went out of their way to accommodate the oil and gas industry.

He said, for example, that seismic activity from drilling can have a devastating effect on mammals and fish, but that agency officials rarely enforced the regulations meant to limit those effects.

He also said the agency routinely ceded to the drilling companies the responsibility for monitoring species that live or spawn near the drilling projects.

“What I observed was M.M.S. was trying to undermine the monitoring and mitigation requirements that would be imposed on the industry,” he said.

Aside from allowing BP and other companies to drill in the gulf without getting the required permits from NOAA, the minerals agency has also given BP and other drilling companies in the gulf blanket exemptions from having to provide environmental impact statements.

Much as BP’s drilling plan asserted that there was no chance of an oil spill, the company also claimed in federal documents that its drilling would not have any adverse effect on endangered species.

The gulf is known for its biodiversity. Various endangered species are found in the area where the Deepwater Horizon was drilling, including sperm whales, blue whales and fin whales.

In some instances, the minerals agency has indeed sought and received permits in the gulf to harm certain endangered species like green and loggerhead sea turtles. But the agency has not received these permits for endangered species like the sperm and humpback whales, which are more common in the areas where drilling occurs and thus are more likely to be affected.

Tensions between scientists and managers at the agency erupted in one case last year involving a rig in the gulf called the BP Atlantis. An agency scientist complained to his bosses of catastrophic safety and environmental violations. The scientist said these complaints were ignored, so he took his concerns to higher officials at the Interior Department.

“The purpose of this letter is to restate in writing our concern that the BP Atlantis project presently poses a threat of serious, immediate, potentially irreparable and catastrophic harm to the waters of the Gulf of Mexico and its marine environment, and to summarize how BP’s conduct has violated federal law and regulations,” Kenneth Abbott, the agency scientist, wrote in a letter to officials at the Interior Department that was dated May 27.

The letter added: “From our conversation on the phone, we understand that M.M.S. is already aware that undersea manifolds have been leaking and that major flow lines must already be replaced. Failure of this critical undersea equipment has potentially catastrophic environmental consequences.”

Almost two months before the Deepwater Horizon exploded, Representative Raúl M. Grijalva, Democrat of Arizona, sent a letter to the agency raising concerns about the BP Atlantis and questioning its oversight of the rig.

After the disaster, Mr. Salazar said he would delay granting any new oil drilling permits.

But the minerals agency has issued at least five final approval permits to new drilling projects in the gulf since last week, records show.

Despite being shown records indicating otherwise, Ms. Barkoff said her agency had granted no new permits since Mr. Salazar made his announcement.

Other agencies besides NOAA have begun criticizing the minerals agency.

At a public hearing in Louisiana this week, a joint panel of Coast Guard and Minerals Management Service officials investigating the explosion grilled minerals agency officials for allowing the offshore drilling industry to be essentially “self-certified,” as Capt. Hung Nguyen of the Coast Guard, a co-chairman of the investigation, put it.

In addition to the minerals agency and the Coast Guard, the Deepwater Horizon was overseen by the Marshall Islands, the “flag of convenience” under which it was registered.

No one from the Marshall Islands ever inspected the rig. The nongovernmental organizations that did were paid by the rig’s operator, in this case Transocean.



To: ChinuSFO who wrote (74725)5/14/2010 11:43:43 AM
From: tejek  Respond to of 149317
 
Some good news........

Turkish PM visits troubled Greece, backs arms cuts

<read more>

Greece is the European Union's largest military spender in terms of gross domestic product, due to its often hostile relations with its eastern neighbor.

Erdogan said he would support a mutual reduction in arms spending.

"Both countries have very large defense budgets. ... We must reduce these expenditures and use the money for other purposes," he said.

Greek Defense Minister Evangelos Venizelos has said Greece aims to slash military operating costs by up to 25 percent this year, but the cuts would not affect arms procurement programs.

Venizelos said Greece would spend about euro6 billion — or 4.8 percent of GDP — on defense in 2010, with about euro2.3 billion on arms and the rest for operating costs and salaries.

Greece has said tension with Turkey must be resolved before military spending can be reduced.

Before Greece will discuss arms reductions, Deputy Defense Minister Panos Beglitis said Turkey first "must take specific action relating to the respect of international law in the Aegean and the eastern Mediterranean," where both sides claim frequent military flight violations.

"Otherwise, it would be like placing the cart before the horse. ... It is not usual practice to first discuss armaments reductions and then solve the problems," Beglitis said on state radio Friday.

Still, Erdogan's visit marks a significant step in efforts to improve ties, and the Turkish premier said the business conference also being held would open a new era in trade. The countries in 2007 inaugurated a natural gas pipeline connecting their grids, a year after Greece's largest lender, NBG, acquired Turkey's Finansbank AS.


google.com



To: ChinuSFO who wrote (74725)5/14/2010 12:26:51 PM
From: Broken_Clock  Respond to of 149317
 
Weekend Edition
May 14 - 16, 2010
counterpunch.org
What's Good for GM is Bad the America

GM's Shell Game

By SAUL LANDAU

Joe, whose business has gone bad, borrows $100 from Mike. The next day he borrows another $100. Some months later, he pays Mike $100 and says: “Business has picked up. I really needed that $100.”

On April 21, the Wall Street Journal published an op ed by Ed Whitacre, CEO of General Motors, claiming GM had paid back the money it had borrowed from the government -- plus interest. GM ads boasted of their rapid repayment of the company’s TARP loan debts. (The GM Bailout: Paid Back in Full)

“Today, General Motors is announcing that it has made a payment of $5.8 billion to the U.S. Treasury and Export Development Canada,” wrote Whitacre. “We're paying back-- in full, with interest, years ahead of schedule-- loans made to help fund the new GM.”

Wow, I said to no one, “I can’t believe this.” GM paying back loans, as the ad says, “less than a year after emerging from bankruptcy.”

Even President Obama agreed. “Many believed this was a fool's errand. Many feared we would be throwing good money after bad: that taxpayers would lose most of their investment and that these companies would soon fail regardless,” said Obama. (Presidential address, May 1)

Maybe what’s good for General Motors really is good for the country, I thought for a mili-second, referring to the apocryphal statement issued by GM President Charles E. Wilson in 1953. After all, Whitacre reassured us that “the industry is recovering at a pace few thought possible.” (Wilson actually said: “I thought what was good for the country was good for General Motors and vice versa.”)

Wait! Did this mean Americans are back to their old habit, buying cars in large numbers? Whitacre insisted the pay back “is a sign that our plan for building a new GM is working.” A crisis emerging from making lousy, gas guzzling cars that only fools and government agencies bought, GM had turned around and taken “an important step toward eventually reducing the amount of equity the governments of the U.S., Canada and Ontario hold in our company. Combined, these governments hold a majority of GM's equity, and we want citizens to know how their governments' money is being put to work.”

Indeed, Whitacre concluded, “You can feel a renewed energy and commitment at GM. Our new vehicles are generating sales, and these sales are allowing us to make investments and create jobs.”

Treasury Secretary Tim Geithner also supported GM’s claims. “We are encouraged that GM has repaid its debt well ahead of schedule and confident that the company is on a strong path to viability.” He mentioned nothing of the escrow account.

Then, Republican Senator Chuck Grassley (IA) pointed out what everyone should have known. “Whitacre was just shuffling TARP (Trouble Asset Relief Program) money from one account to another.” (NYT, May 2)

Indeed, Treasury knew of this unpublicized account from which GM drew the funds to make the payment. GM didn’t use the profits from sales of Chevys and Buicks, but, according to assistant secretary for financial stability Herbert M. Allison, Jr., “the money GM used to repay its bailout loan had come from a tax-payer financed escrow account held for the automaker at the Treasury.” (Morgenstern, NYT, May 2)

Grassley laid out the problem. “The public would know nothing of the TARP escrow being the source of the supposed repayment from simply watching GM’s TV commercials or reading Treasury’s press release.”

Above and beyond the spin used by GM and Treasury to convince taxpayers that GM had used its own profits to repay a public loan, the larger questions remain, ones not raised since the famous equation of GM’s interest with those of America.

How can auto and truck sales be good for the country at a time of history when the greenhouse gas effect threatens the future of the world? The massive bailouts of the auto giants saved some jobs at a terrible economic time. But crisis situations -- life or death -- often dictate less than healthy solutions.

Beyond getting fooled by GM and Treasury propaganda over loans, we, the public, continue our course of denial about the automobile as a central instrument of the US economy and our daily lives, No matter how many hybrids replace the old gas guzzlers, this country and the world cannot continue to rely on this 20th Century polluting industry to guide our future. And we leave it to government officials and GM executives to run our affairs?

Saul Landau is an Institute for Policy Studies fellow. His films on dvd are available at roundworldproductions.com. His latest book, A BUSH AND BOTOX WORLD was published by CounterPunch



To: ChinuSFO who wrote (74725)5/14/2010 1:31:35 PM
From: Broken_Clock  Read Replies (2) | Respond to of 149317
 
To his credit, O is finally acknowledging that things are broken at the DOI and MMS.
++++++
Obama decries fingerpointing, 'cozy' oil links
Obama promises end to 'cozy' relationship between oil producers and US regulators
finance.yahoo.com

Erica Werner, Associated Press Writer, On Friday May 14, 2010, 1:16 pm
WASHINGTON (AP) -- President Barack Obama on Friday angrily decried the "ridiculous spectacle" of oil industry officials pointing fingers of blame for the catastrophic spill in the Gulf of Mexico and pledged to end a "cozy relationship" between the oil industry and federal regulators that he said had extended into his own administration.

Obama said he shared the "anger and frustration" felt by many Americans, and he acknowledged differing estimates about just how disastrous the damage from the leak could become. He said the administration's response has "always been geared toward the possibility of a catastrophic event."

As Obama spoke in the White House Rose Garden, undersea robots in the Gulf tried to thread a small tube into the jagged pipe that is spewing oil into the water. The blown-out well has pumped out more than 4 million gallons of crude.

BP engineers were trying to move the 6-inch tube into the leaking 21-inch pipe, known as a riser. The smaller tube was to be surrounded by a stopper to keep oil from leaking into the sea. BP said it hoped to know by Friday evening if the tube succeeded in taking the oil to a tanker at the surface.

The Gulf spill is not only a potential environmental and economic catastrophe. It also is a major political challenge for Obama to demonstrate that his administration is doing everything it can to deal with the disaster. An AP-GfK poll this week found that to this point the spill hasn't stained Obama nor dimmed the public's desire for offshore energy drilling. Although some conservative pundits have called this "Obama's Katrina," that's not how the public feels.

Obama slammed BP and other companies responsible for equipment involved in the spill for pointing fingers at each other instead of accepting responsibility.

But he said responsibility rests with the federal government, too, and that oil drilling permits had been granted without appropriate environmental reviews.

"That cannot and will not happen anymore," Obama said. He announced a new examination of the environmental reviews that must happen before oil and gas development goes forward.

With millions of gallons of oil fouling the fragile Gulf ecosystem after a drilling rig exploded April 20 and later sank, Obama said: "It's pretty clear that the system failed and it failed badly." Eleven workers were killed in the accident.

There's "enough blame to go around and all parties should be willing to accept it," the president said.

He said he would not be satisfied until the leak was stopped, the spill was cleaned up and all claims were paid.

This week executives from three oil companies -- BP PLC, which was drilling the well, Transocean, which owned the rig, and Halliburton, which was doing cement work to cap the well -- testified on Capitol Hill, each trying to blame the other for what may have caused the disaster. Obama decried that scene.

"I did not appreciate what I considered to be a ridiculous spectacle during the congressional hearings into this matter. You had executives of BP and Transocean and Halliburton falling over each other to point the finger of blame at somebody else," the president said.

"The American people could not have been impressed with that display, and I certainly wasn't."

Not long before the spill the president had announced plans for a limited expansion of offshore oil drilling. After the catastrophe, he said those plans would be put on hold pending a 30-day review by Interior Secretary Ken Salazar of safety procedures on oil rigs and at wells.

On Friday the president announced there would be more stringent environmental reviews, too.

The Interior Department said those will focus on whether the Minerals Management Service is following all environmental laws before issuing permits for offshore oil and gas development.

"It seems as if permits were too often issued based on little more than assurances of safety from the oil companies," Obama said.

The standard, he said, quoting President Ronald Reagan's comment on nuclear arms agreements with Moscow, should be: "Trust but verify."

Still, Obama didn't back down from his support for domestic oil drilling, saying it "continues to be one part of an overall energy strategy."

"But it's absolutely essential that, going forward, we put in place every necessary safeguard and protection so that a tragedy like this oil spill does not happen again," he said.



To: ChinuSFO who wrote (74725)5/14/2010 4:15:27 PM
From: stockman_scott  Read Replies (1) | Respond to of 149317
 
A Slick and Slimy Killer /

by Tom Turnipseed

Published on Friday, May 14, 2010 by CommonDreams.org

When I was a kid our family lived in Mobile, Alabama. We enjoyed the "fish jubilee" over on the Baldwin County side of Mobile Bay. This occurred when the moon and tide reached a certain alignment causing fish and crabs to swim up to the edge of the water, especially at night. By moonlight with small nets we scooped up flounder, red fish, trout and crabs teeming in the shallow water at the edge of the bay. We also enjoyed our annual vacations at my grandmother's cottage at Sunnyside Beach near Panama City in the Florida Panhandle. The sandy beaches were as white as snow. We enjoyed fishing; catching red fish in a cove, flounder under a bridge in a small bay called Phillips Inlet, and red snapper and grouper by bottom fishing out in the Gulf. We gathered oysters in bays and coves. This abundant sea life is now threatened by a slick and slimy oil spill caused by slick and slimy British Petroleum (BP) executives.

The BP oil spill will destroy much of the fish, shrimp, crabs, and the oyster beds. The Gulf region accounts for about one-fifth of total U.S. commercial seafood production and nearly three-quarters of the nation's shrimp output. The oil spill is becoming the nation's worst environmental disaster ever, threatening hundreds of species of fish, birds and other wildlife along the Gulf Coast, one of the world's richest seafood grounds.

"It is of grave concern," David Kennedy of the National Oceanic and Atmospheric Administration, told The Associated Press. "I am frightened. This is a very, very big thing."

Meanwhile congressional committee members, probing the spill, focused on possible defects in critical safety devises. Rep. Henry A. Waxman (D-Calif) called it "a calamitous series of equipment and operational failures. Rep. Joe Barton (R-Texas), an oil industry supporter, said there was "in all probability shoddy maintenance," as well as "mislabeled components."

Among the possible ways to plug the leak that is spewing 210,000 gallons of oil a day, BP proposed a so-called "junk shot" procedure, in which shredded tires, golf balls and other material would be pumped into the leak. Rep. Edward J. Markey (D-Mass) said BP is "largely making it up as they go....When we heard the best minds were on the case, we expected MIT and not the PGA."

The disaster contributes to a sense that government failed again, just as it did during Hurricane Katrina. Cade Thomas, a fishing guide in Venice, Louisiana said, "They lied to us. They came out and said it was leaking 1,000 barrels when I think they knew it was more. And they weren't proactive."

Without crucial environmental and safety studies, the Obama administration intervened in court to ensure that BP's Gulf drilling operations would go forward. The administration's efforts applied specifically to the site run by BP. It exploded on April 26, killing 11 workers and creating an oil slick that is an unparalleled disaster on the Gulf Coast.

The Obama administration joined BP in quashing environmental challenges to Gulf drilling in 2009 legal actions by Ken Salazar, Obama's Secretary of Interior. They asked the federal court of appeals in Washington, DC to overturn their decision that blocked new drilling in the Gulf of Mexico's outer continental shelf, referring to the same area where the explosion later occurred.

The appeals court partially approved Salazar's petition, with the condition that the administration produce an environmental impact study for Gulf of Mexico drilling operations. The Obama administration granted BP a "categorical exemption" from producing a legally required environmental impact study and approved its exploration plan for the location of the future spill.

The Department of the Interior appealed the ruling, arguing that exploration had begun, and that "attempting to restore the status quo would therefore be extraordinarily difficult."

Democrats have pushed deregulation as much as Republicans. In the 2008 elections BP employees gave Obama $71,000, more than they gave to any other candidate. They have spent tens of millions lobbying in the past three years, purchasing support of powerful politicians in both parties. BP, the 4th largest corporation in the world with yearly revenues of $327 billion, gave about 60 % of their campaign contributions to Republicans and 40 % to Democrats in the last election cycle.

In 2008 candidate Obama rejected calls to open new areas for drilling, saying, "It would have long-term consequences for our coastlines but no short-term benefits, since it would take at least 10 years to get any oil." He said off-shore drilling would not lower gas prices. And, "when I'm president, I intend to keep in place the moratorium here in Florida and around the country that prevents oil companies from drilling off Florida's coasts."

On March 31, 2010, Obama flip-flopped, proposing opening the Atlantic coastline, the eastern Gulf of Mexico, and the north coast of Alaska to drilling.

Nowadays we vacation at Edisto Beach in South Carolina with our children and grandchildren and enjoy fishing, crabbing, and shrimping together. How long before the slick and slimy bosses of big oil bring their deadly oil slicks here too?

*Tom Turnipseed is an attorney, writer and peace activist in Columbia, SC. His blog is tomandjudyonablog.blogspot.com